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January 6, 2004 Agenda
AGENDA CITY OF DENTON CITY COUNCIL January 6, 2004 After determining that a quorum is presem, the City Council of the City of DeNon, Texas will convene in a Work Session on Tuesday, January 6, 2004 at 4:00 p.m. in the Council Work Session Room at City Hall, 215 E. McKinney Street, Denton, Texas at which the following items will be considered: Receive a report, hold a discussion and give staff direction regarding proposed amendmems to Sub-chapter 22 (Gas Well Drilling and Production) of the Developmem Code. (SI03-0024, Gas Well Amendments) Requests for clarification of consent agenda items listed on the consent agenda for today's City Council regular meeting of January 6, 2004. Following the completion of the Work Session, the City Council will convene in a Closed Meeting to consider specific items when these items are listed below under the Closed Meeting section of this agenda. When items for consideration are not listed under the Closed Meeting section of the agenda, the City Council will not conduct a Closed Meeting and will convene at the time listed below for its regular or special called meeting. The City Council reserves the right to adjourn into a Closed Meeting on any item on its Open Meeting agenda consistent with Chapter 551 of the Texas Governmem Code, as amended, as set forth below. 1. Closed Meeting: mo Deliberations regarding real property - Under TEXAS GOVERNMENT CODE Section 551.072, and Consultation with Attorney - Under TEXAS GOVERNMENT CODE Section 551.071. Deliberate the potential purchase and/or value of real property interests for potential sites which will support a fire station, public safety training facility, and neighborhood or regional park facilities including that following real property: tracts within The Vintage development, located southwest of the proposed intersection of Vintage Boulevard and Bonnie Brae Road, and adjacem tracts to the south bordered by Allred Road, a 94 acre site along the east side of Coumry Club Road and bounded on the south by Hickory Creek Road, and a 9.84 acre tract along the north side of Airport Road, west of and adjacent to a 41.629 acre tract to the City of DeNon recorded in Volume 516, Page 648 of the Deed Records of DeNon County, Texas; which acquisitions would be for a public purpose. Receive legal advice from the City Attorney or his staff concerning legal issues regarding the acquisition of such real property imerests. Bo Consultation with Attorney - Under TEXAS GOVERNMENT CODE Section 551.071. Discuss and consider legal issues concerning the Specific Use Permit and performance standard requiremems for gas wells in the floodplain, where to discuss these legal issues concerning the above stated matters with the attorneys in public would conflict with the duty of the City's attorneys to City of DeNon City Council Agenda January 6, 2004 Page 2 the City Council under the Texas Disciplinary Rules of Professional Conduct of the State Bar of Texas and would jeopardize the City's position in administrative proceedings or in potential litigation. Co Deliberations regarding economic developmem negotiations - Under TEXAS GOVERNMENT CODE Section 551.087. Deliberate and discuss commercial or financial information received from a business prospect and offers of financial or other incentives to the business prospect for the purposes of economic development negotiations with Teasley Partners, a Limited Partnership, regarding the construction of a mixed-use developmem consisting of retail, commercial and residemial development generally located on the north side of i-35E between Teasley Lane and Fort Worth Drive. ANY FINAL ACTION, DECISION, OR VOTE ON A MATTER DELIBERATED IN A CLOSED MEETING WILL ONLY BE TAKEN IN AN OPEN MEETING THAT IS HELD IN COMPLIANCE WITH TEXAS GOVERNMENT CODE, CHAPTER 551, EXCEPT TO THE EXTENT SUCH FINAL ACTION, DECISION, OR VOTE IS TAKEN IN THE CLOSED MEETING iN ACCORDANCE WiTH THE PROViSiONS OF §551.086 OF THE TEXAS GOVERNMENT CODE (THE "PUBLIC POWER EXCEPTION"). THE CiTY COUNCIL RESERVES THE RIGHT TO ADJOURN INTO A CLOSED MEETING OR EXECUTIVE SESSION AS AUTHORIZED BY TEX. GOV'T. CODE, §§551.001, ET SEQ. (THE TEXAS OPEN MEETINGS ACT) ON ANY ITEM ON ITS OPEN MEETING AGENDA OR TO RECONVENE IN A CONTINUATION OF THE CLOSED MEETING ON THE CLOSED MEETING ITEMS NOTED ABOVE, IN ACCORDANCE WITH THE TEXAS OPEN MEETINGS ACT, iNCLUDiNG, WITHOUT LiMiTATiON §§551.071-551.086 OF THE TEXAS OPEN MEETINGS ACT. Regular Meeting of the City of DeNon City Council on Tuesday, January 6, 2004 at 6:30 p.m. in the Council Chambers at City Hall, 215 E. McKinney Street, Denton, Texas at which the following items will be considered: 1. PLEDGE OF ALLEGIANCE mo U.S. Flag Texas Flag "Honor the Texas Flag -- i pledge allegiance to thee, Texas, one and indivisible." 2. PROCLAMATIONS/PRESENTATIONS A. Proclamations/Awards B. December Yard-of-the-Momh Awards C. Recognition of staff accomplishments City of DeNon City Council Agenda January 6, 2004 Page 3 3. CITIZENS REPORTS mo Receive citizen reports from the following: 1. Dessie Goodson regarding constitutional rights and responsibility. 4. CONSENT AGENDA Each of these items is recommended by the Staff and approval thereof will be strictly on the basis of the Staff recommendations. Approval of the Consem Agenda authorizes the City Manager or his designee to implement each item in accordance with the Staff recommendations. The City Council has received background information and has had an opportunity to raise questions regarding these items prior to consideration. Listed below are bids, purchase orders, contracts, and other items to be approved under the Consem Agenda (Agenda Items A-L). This listing is provided on the Consem Agenda to allow Council Members to discuss or withdraw an item prior to approval of the Consem Agenda. If no items are pulled, Consent Agenda Items A-L below will be approved with one motion. If items are pulled for separate discussion, they will be considered as the first items following approval of the Consent Agenda. A. Consider approval of the minutes of November 18, 2003 and December 2, 2003. B. Consider approval of a tax refund for the following property tax: Tax Name Reason Amount Year S~ a ~ a~ifo~ ~v~ nt $3 Co Consider adoption of an ordinance of the City of DeNon, Texas, amending Ordinance No. 2003-280 prescribing the number of positions in each classification of Police Officer; prescribing the number of positions in each classification of Fire Fighter; providing a savings clause; providing a severability clause; and declaring an effective date. Do Consider adoption of an ordinance amending and superceding Ordinance No. 2002-408, declaring a public necessity exists and finding that public welfare and convenience requires the taking and acquiring an easement in an approximate 8.91 acre tract or parcel of land for electric utility purposes being a part of the M.T. Cole Tract described in deed recorded in Volume 249, Page 387 of the Deed Records of DeNon County, Texas, said property being located in the B.B.B. and C.R.R. Survey, Abstract No. 176, Denton County, Texas, and an easement in an approximate 16.30 acre tract or parcel of land for electric utility purposes being a part of the M.T. Cole Tract described in deed recorded in Volume 249, page 387 of the Deed Records of DeNon County, Texas, said property being located in the J. Kjelberg Survey Abstract No. 1610, the J. Bacon Survey Abstract No. 1540, the I. Hembrie Survey Abstract No. 594, the J. Dalton Survey Abstract No. 353, and the I. Byerly Survey Abstract No. 1458, Denton County, Texas; authorizing the City Manager or his designee to make an offer to purchase the property for just City of DeNon City Council Agenda January 6, 2004 Page 4 compensation and if such offer is refused, authorizing the City Attorney to institute the necessary proceedings in condemnation in order to acquire the property necessary for the public purpose of electric utility facilities and installation; declaring an effective date. (West Electric Project) mo Consider approval of a resolution of the City of DeNon, Texas urging the Texas Transportation Commission to continue its strong and historic support for using Toll Credits in maintaining the existing system of public transportation in Texas; and providing an effective date. Fo Consider adoption of an ordinance of the City of DeNon approving a License Agreemem between the Texas Municipal Power Agency ("TMPA"), and the City of Denton relating to the encroachment of an electrical line, a portion of right-of- way and a storm drain across an existing TMPA Easement as part of the North Pointe Phase 3 improvements, located within two tracts of land situated in the T. Toby Survey Abstract Number 1288, City of Denton, Denton County, Texas and being a portion of a called 102.9 acre tract of land described in the Deed to Nicosia & 77, L.P. recorded in Volume 5144 Page 1032 of the Deed Records of Denton County, Texas and also being a potion of a the remainder of Tract 1 described in the Deed to Locust / 288 Partners, Ltd., recorded by County Clerk File Number 99-R00025993 of the Real Property Records of DeNon County, Texas; and providing an effective date. Go Consider adoption of an ordinance accepting competitive bids and awarding an annual contract for the purchase of pad mounted distribution transformers for Denton Municipal Electric; providing for the expenditure of funds therefor; and providing an effective date (Bid 3101 - Pad Mourned Distribution Transformers awarded to the lowest responsible bidder for each item in the estimated amount of $2,500,000). Ho Consider adoption of an ordinance accepting competitive bids and awarding an annual contract for the purchase of pole-mounted distribution transformers; providing for the expenditure of funds therefor; and providing an effective date (Bid 3102 - Pole-Mourned Distribution Transformers awarded to the lowest responsible bidder for each item in the estimated amoum of $131,728). Consider adoption of an ordinance of the City of DeNon authorizing the City Manager or his designee to execute a purchase order with the Houston-Galveston Area Council of Govemmems (H-GAC) for the acquisition of a 25 yard rear load refuse truck by way of an Interlocal Agreement with the City of Denton; and providing an effective date (File 3128 - HGAC-Purchase of 25 Yard Rear Load Refuse Truck in the amoum of $139,570). Jo Consider adoption of an ordinance approving the expenditure of funds for the purchase of the Caterpillar Computer Aided Earthmoving System (CAES) software package available from only one source in accordance with the provision for State Law exempting such purchases from requirements of competitive bids; and providing an effective date (File 3123 - Purchase of a Computer Aided Earthmoving System to Holt CAT in the amount of $72,914). City of DeNon City Council Agenda January 6, 2004 Page 5 Ko Consider adoption of an ordinance accepting competitive bids and awarding a contract for the purchase of a uniform rental service for various City departments; providing for the expenditure of funds therefor; and providing an effective date (Bid 3109 - Uniform ReNal Service awarded to G&K Services, Inc. in the estimated amouN of $105,000). Lo Consider approval of a resolution of the joint position of the Cities of DeNon and Lewisville, Texas regarding flexibility on the use of Section 5307 Transit Formula Grants; and providing an effective date. 5. PUBLIC HEARINGS mo Hold a public hearing to receive commeNs regarding proposed amendmeNs to the City of Denton Development Code, setting forth definitions, permit requirements, standards, and an appeal process concerning tree preservation. (SI03-0012, Tree Preservation) Bo Hold a public hearing and consider adoption of an ordinance amending Sub- Chapters 5 and 23 of the Development Code regarding movie theaters. The Planning and Zoning Commission recommends approval 7-0. (SI03-0023, Major Event EntertainmenO Co Hold a public hearing and consider adoption of an ordinance regarding the rezoning of approximately .34-acre tract from a Neighborhood ResideNial Mixed Use (NRMU) zoning district to a Neighborhood ResideNial Mixed Use - 12 (NRMU-12) zoning district. The property is generally located at the northwest corner of Emery Street and Ector Street. The proposal is to construct a single- family home. The Planning and Zoning Commission recommends approval (6-1). (Z03-0028, 2004 Emery StreeO Do Hold a public hearing and consider adoption of an ordinance concerning the rezoning of approximately 20.1 acres from Neighborhood ResideNial 3 (NR-3), Neighborhood ResideNial 4 (NR-4), and Neighborhood ResideNial Mixed-Use 12 (NRMU-12) zoning districts to approximately 10.7 acres of Neighborhood ResideNial Mixed Use (NRMU) and 9.4 acres of Neighborhood ResideNial Mixed Use 12 (NRMU-12) zoning districts. The properties, commonly known as 2500, 2520, 2528, 2605, and 2700 McKinney Street, are located along both sides of McKinney Street approximately 300 feet west of Bellaire and McKinney iNersection. Neighborhood services are proposed. The Planning and Zoning Commission recommends approval (7-0). (Z03-0027, Oak Grove Commercial Development) mo Hold a public hearing and consider adoption of an ordinance allowing the City Manager to execute a Non-drill Site/Pooling Agreement with Lynx Oil Company, Inc. for 50% of the mineral interest for 10.475 acres of Vintage Parkway east of 1-35W in the City of DeNon, Texas; and providing an effective date. City of Demon City Council Agenda January 6, 2004 Page 6 6. ITEMS FOR INDIVIDUAL CONSIDERATION Consider adoption of an ordinance establishing an economic developmem program under Chapter 380 of the Local Governmem Code for making grams of public money to promote economic development and to stimulate business activity in the City of Demon; approving an Economic Developmem Program Grant Agreement with Teasley Partners, Ltd. regarding the development of approximately 65 acres of land located on the north side of 1-35E between Teasley Lane and Fort Worth Drive in the City of Denton, Texas; authorizing the expenditure of funds therefor; and providing an effective date. Consider adoption of an ordinance amending ordinance No. 2002-018 and Section 2-29 of the City Code relating to the Rules of Procedure to clarify Section 6.5(2- 29(f)(5)) "Time Limits"; providing a savings clause; and providing an effective date. Consider approval of a resolution of the City Council of the City of Demon, Texas calling for the City of Demon, Texas to take a leadership role in assisting the North Texas region in attaining federal clean air standards for ozone by reducing emissions from its diesel-fueled vehicles and equipmem and by incorporating further energy efficiency measures in its buildings and facilities; calling for the City of Denton, Texas, in addition to meeting the requirements of existing state law, striving to reduce electricity consumption rates from its existing buildings and facilities by at least fifteen (15%) percem from a baseline of August 1999; calling for the City of Denton, Texas to either amend existing or enacting new ordinances which will result in reductions of emissions from diesel- fueled vehicles in both the public and private fleets and which will result in the application of more energy efficiency measures in public and private buildings and facilities; calling for the City of Denton, Texas to use the attached listing of control measures as a guidance document in its action strategies; and providing an effective date. D. Consider nominations/appoimmems to the City's Boards and Commissions. New Business This item provides a section for Council Members to suggest items for future agendas or to request information from the City Manager. Items from the City Manager 1. Notification of upcoming meetings and/or conferences 2. Clarification of items on the agenda Possible Cominuation of Closed Meeting under Sections 551.071-551.086 of the Texas Open Meetings Act. Official Action on Closed Meeting Item(s) under Sections 551.071-551.086 of the Texas Open Meetings Act. City of Denton City Council Agenda January 6, 2004 Page 7 CERTIFICATE I certify that the above notice of meeting was posted on the bulletin board at the City Hall of the City of Denton, Texas, on the day of ,2003 at o'clock (a.m.) (p.m.) CITY SECRETARY NOTE: THE CITY OF DENTON CITY COUNCIL CHAMBERS IS ACCESSIBLE IN ACCORDANCE WITH THE AMERICANS WITH DISABILITIES ACT. THE CITY WILL PROVIDE SIGN LANGUAGE INTERPRETERS FOR THE HEARING IMPAIRED IF REQUESTED AT LEAST 48 HOURS IN ADVANCE OF THE SCHEDULED MEETING. PLEASE CALL THE CITY SECRETARY'S OFFICE AT 349-8309 OR USE TELECOMMUNICATIONS DEVICES FOR THE DEAF (TDD) BY CALLING 1-800- RELAY-TX SO THAT A SIGN LANGUAGE INTERPRETER CAN BE SCHEDULED THROUGH THE CITY SECRETARY'S OFFICE. AGENDA INFORMATION SHEET AGENDA DATE: DEPARTMENT: CM/DCM/ACM: January 6, 2004 Planning DepartmeN Jon Fortune, Assistant City Manager SUBJECT - SI03-0024 (Gas Well Amendments) Receive a report, hold a discussion and give staff direction regarding proposed amendmeNs to Sub-chapter 22 (Gas Well Drilling and Production) of the DevelopmeN Code. BACKGROUND ApplicaN: City of DeNon, DeNon TX The original Gas Well ordinance wen iNo effect in December 2001. In November of 2002 at a meeting with representatives of the gas well industry, requests were made to amend the ordinance to allow gas wells by right in the floodplain instead of by SUP as the ordinance is now constructed. At the direction of the City Managers office staff began to work with represeNatives of the gas well industry to craft an amendmeN that responded to the industry's request. The amendments also include screening, inspection requirements and environmental monitoring (AttachmeN 1 & 3). For the past few months, staff has been working with representatives of the gas well industry to bring forward amendments to the ordinance, specifically, to allow gas well developmeN in floodplain fringes (AttachmeN 2). At the December 3, 2003 Planning and Zoning Commission work session, a major focus of discussion was the alternatives to allow gas wells in the floodplains by right, with the proposed additional requiremeNs, or to maiNain the curreN Specific Use Permit (SUP) process. The additional requiremeNs and performance standards ideNified in the revised ordinance provide protection to both the floodplain and water quality and reflect minimal requiremeNs that would be required if an SUP were approved. At the December 17th Planning and Zoning Commission work session the Commission requested that a third party consultant be hired to ensure that the proposed standards were stringent enough to ensure that water quality was protected. They also suggested that until a study is conducted the existing SUP process be followed utilizing the proposed ordinance as the performance standard. Finally, they requested that an additional work session be scheduled on January 14, 2004. Attachment 1 provides an analysis of the proposed gas well amendments as they relate to the goals and policies in the adopted DeNon Plan. ESTIMATED PROJECT SCHEDULE January 14, 2004: Planning and Zoning Commission Public Hearing January 20, 2004: City Council Public Hearing PRIOR ACTION/REVIEW November 12, 2003: December 3, 2003: December 17, 2003 Planning and Zoning Commission Work Session Planning and Zoning Commission Work Session Planning and Zoning Commission Work Session FISCAL INFORMATION N/A ATTACHMENTS 1. Staff Analysis 2. Points of Agreement 3. Draft Sub-chapter 22 revisions (underlined items are new text, struck out words are deleted) 4. Gas Well Development Plat Checklist redline - strikeout 5. ESA Monitoring memo and ESA Riparian Buffer Form 6. Railroad Commission Waste Minimization in Drilling Operations Prepared By: ~A~"rry R/hhart,*~A,'~A ssista~t Director of Planning and Development Respectfully submitted: Kelly Carpenter, AICP Director of Planning and Development ATTACHMENT 1 Staff Analysis Summary_ of Request The following categories reflect the major focuses of the proposed amendments, Gas Well Development in Floodplains: Currently any gas well proposed to be development in a floodplain requires a Specific Use Permit (SUP). An SUP is a discretionary zoning process that requires a great deal of time and energy for both staff and the applicant. Staff was charged to work with representatives from the gas well industry in order to determine if specific regulations could be developed that would minimize the impact of the construction and operation of gas wells in floodplains and thereby allow gas well development in the floodplain by right. Through a number of meetings, points of agreement (Attachment 2) were reached and were utilized as the basis for the proposed changes to Sub-chapter 22 (Attachment 3). One point of agreement is that no development would occur in any floodway. The proposed amendments would allow gas wells in all floodplain fringe areas. Although the major emphasis of the proposed amendments is on regulation of gas wells in floodplains (Subsection 35.22.5.8), additional regulations have been developed for all gas wells (Subsection 35.22.5) and include monitoring and environmental inspections in the ETJ. Inspection: With the exception of inspections by the Fire Marshall, the original gas well ordinance did not provide for any site inspections. Amendments have been added to the code that will provide for inspection of every well site (Attachment 2, #' s 8 & 10), including wells in the ETJ. All sites will be inspected to verify that the sites are being developed as approved, including but not limited to culverts, driveway, pad site and equipment locations and erosion control and monitored for contaminants (see below). Additional inspections will be conducted when ESA (stream buffers, floodplain) is impacted. Therefore two different fees are being proposed based on the potential impact to ESA' s. 1. $2,500.00 for gas wells located in a riparian buffer or floodplain. 2. $1,200 for gas wells not located in a riparian buffer or floodplain. Environmental Monitoring The potential impact of developing gas wells in and near floodplains on water quality is a major concern to staff. Therefore, part of the inspection fees collected will be utilized to set up an antidegradation water quality-monitoring program (Attachment 2, # 9). Screening: All Gas Well SUP's that have been approved near existing residential property have had a screening condition placed on them. Based on that practice a requirement is being added to the code that reads: "All well heads, storage tanks, separation facilities or other mechanical equipment located within 500' of a residential property shall be screened from the residential property with a 6' high solid screen fence, good side facing the residential property and/or a solid vegetative screen. Road Repair: The focus of the original ordinance was to have any damage to roads repaired by the operator that did the damage. With the number of differem operators using the same roads, it is difficult to determine which operator did what damage to what road. Staff is proposing to amend the code at a later date to change the focus towards collecting money (based on an assessmem for miles of non-state road used) and then the city would be responsible for repairs. Definitions: Additional definitions (related to the proposed amendmems) have been added to the ordinance and the definition of floodplain (in Subchapter 23- Definitions) will be revised to read; "The area designated by the Federal Emergency Managemem Agency (FEMA) as a "Special Flood Hazard Area" on a Federal insurance Rate Map (FIRM), Letter of Map Amendmem, or Letter of map Revision thereto approved by FEMA or any other area idemified by the City of DeNon having a one-percem probability of being inundated by flood waters once per year (100- year floodplain)". Comprehensive Plan Analysis With respect to floodplains and water quality, the underlying policy, idemified in the Developmem Code and Chapter 5 (Environmem) of the Denton Plan, is to preserve and protect floodplains to minimize flooding and maximize water quality. Allowing gas wells to be developed bF right in floodplains would be a shift in that policy which is not emirely supported or rejected by the Denton Plan. Below are a number of excerpts from Chapter 5 of the plan with a brief discussion of the impact of the proposed amendmems. "The City of Denton recognizes the need to value its environmental resources appropriately. By identifying, protecting, and preserving those areas with significant ecological value, further loss of our natural heritage can be avoided. Minimizing environmental degradation and pollution is an associated priority." (pg. 101) Water Management Goals (pg. 106) · Preserve floodplain areas to improve water quality and maintain floodplain habitat. · Protect the water quality of our water supply reservoirs. Response: The proposed standards intend to mitigate the impact of developing gas wells in the floodplain; however, allowing any developmem in the floodplain is not true preservation but is development with mitigation. To minimize the impact on or loss of habitat, additional mitigation, of habitat could be required. Environmental Management Policies (pg. 102) · Development policies will emphasize environmental awareness, promote the ethical use of natural resources, and encourage the preservation of native habitat. Response: Although native habitat is not entirely preserved, the proposed amendments do provide standards that allow extraction of gas (a natural resource) with an emphasis on environmental protection. Additionally, the amendments propose that any tree within a floodplain that is cut down will be mitigated. Environmental protection will be an integral consideration in the development of policies concerning economic growth and community development. Response: The major emphasis of the proposed standards is on environmental protection. Appropriate protection measures and management techniques will be used to minimize harmful discharges directly to the environment. Response: The proposed standards (especially the monitoring) intend to minimize harmful discharges to the environmem. Additional standards that could be considered include a closed loop system. A closed loop system would minimize the chance of a spill and/or leak from a "mud" pit. This system is not typically used by the industry due to the additional expense required, but is an option that is available. Site-specific pollution control techniques will be based on the environmental significance of the area and the pollution potential of the development. Response: The regulations do increase when a gas well is proposed in an environmemally significam area (floodplain). Environmental mitigation, or lessening of the force or intensity of developments will be considered for development in areas of ecological significance or sensitivity. Response: Mitigation is required for any tree removed in a floodplain. Additional mitigation could be required. Ecosystem Management Goals (pg. 103) Develop conservation and developmem priorities by: · Requiring proposed developments to protect the natural resources associated with the development site to the greatest extent possible. Response: If gas wells are allowed in the floodplains, the proposed regulations do provide a very high level of protection. Although additional mitigation requiremems could be developed, the policy question that needs to be addressed is how much protection and mitigation is needed to satisfy "to the greatest extent possible" and be confidem that the goals and policies of the DeNon Plan are addressed. In summary, although the proposed amendmems do not "preserve" floodplains, as idemified in the Denton Plan, they do provide a level of protection. Allowing gas wells in floodplains is a policy change that may require an amendment to the text of the Denton Plan in order to be in total compliance with the Plan. The extent to which mitigation is used to protect floodplains will lessen the possible need to amend the plan. ATTACHMENT 2 Floodplain Drilling Points of Agreement My comments are based on a meeting between myself, Jim Coulter, Howard Martin, Bob Cates (Lynx Oil), Ray Stevens (Devon energy) and Jay Ewing (Devon Energy) that took place on 11-6- 03 from 8:20 a.m. to 12:30 p.m. The points of agreement listed below were the main topic of discussion for this meeting. My comments, which are located below each point of agreement, reflect pertinent comments / additional considerations that were brought up during the meeting. 1. No drilling in the floodway. No equipment shall be stored in the floodway. This issue was agreed upon by all, and additional topics were discussed. For example, we discussed adding the language of "no pits or pad sites of any kind located in the floodway", and all parties were in agreement with adding this statement. All stream buffers should also have no equipment, pits, or pad sites located within the buffer (50-100 feet from the centerline of the stream on both sites, depending on the size of the drainage basin). There is still a potential issue concerning how we define floodways and floodplains. The oil and gas group indicated that this issue had been discussed with Engineering (Michael Anderson and Dave Salmon) and that the outcome of the discussion was that the currently available FEMA designation of floodplain and floodway would be used unless there is a disagreement. If a disagreement occurs, whichever party has the disagreement (the City or the oil/gas driller) will be responsible for performing the analyses needed to refute the FEMA map. I do not know if these issues were agreed upon as indicated by the oil and gas developers, but these issues must be resolved and written into the final ordinance. 2. No storage tanks shall be located in the floodplain. All agreed that no storage tanks would be located in the 100-year floodplain. There may be instances where the storage tank would be located within the fringe of a 100-year floodplain, but would be on a pad that is raised at least 2.5 feet above the 100-year floodplain level. The oil and gas developers also recommended placing steel containment tanks around all storage tanks to capture any materials that might leak from a tank if it was ruptured. This is apparently a common practice in the industry, and should not present a hardship to oil / gas developers. ESA assessments will be performed in those drilling locations, in identified floodplains and identified ESA areas. (For ESA's in the floodplain, revision to ESA protocol will be necessary) All parties were in agreement with this statement, and the oil / gas developers generally agreed to provide inspection fees to cover the costs of ESA inspections for all sites. We are working on the costs, and have worked out a draft cost allocation sheet for performing Page 1 of 4 ESA assessmems. One issue that curremly remains unresolved is the regulatory mechanism that would allow modifications to the Code. Curremly, the Code allows for modification of ESA map based on the discretion of the Director of Planning and Zoning (see DeNon Developmem Code 35.17.5.C). Applicams may also propose an Alternative Environmemally Sensitive Area Plan, as outlined in DDC 35.17.12. To date, the E SA assessmem process has only been performed on riparian buffers (not undeveloped floodplains). If a riparian buffer was determined to not be an ESA, the Director of Planning and Zoning would use this determination to justify modifying the ESA map to remove the area in question, thus removing the ESA requiremems. This process was needed, since some of the headwater ESAs indicated on the map did not really represem significam environmemal resources. However, undeveloped floodplains have always been imerpreted as being ESAs, and have therefore never been subjected to a review process. It seems, therefore, that the only mechanism within the Code that can be used to modify the regulatory requiremems of an undeveloped floodplain is Section 35.17.12. Any modification of 35.17.12 will require an SUP, which by definition will require a public hearing before both the Planning and Zoning Board and the City Council. Since the SUP process can take an appreciable amoum of time and resources, the oil and gas developers would like to see a process that allows the decision to drill in floodplain areas to be made at the discretion of staff. Whether or not this is possible, or even desirable, is a topic for discussion. However, this issue will need to be resolved before the existing ordinance can be modified. 4. Tree remediation plan will be developed for damage in floodplain & ESA's All parties were in agreemem with this statemem. The oil and gas developers did not think this would be a major issue for them, as they have some flexibility when locating pad sites and should be able to work around most trees. We are curremly working on an ESA assessmem protocol for undeveloped floodplains, which will likely be very tree oriemed. Tree preservation protocol for these areas will likely be more stringem that the protocol set forth in the currem draft tree ordinance for the City of DeNon. There will likely be some form of mitigation if there is no way to design a site without impacting trees. 5. No permitted pits in the floodplain. This seems to be a "non-issue", as most pits are now not permitted, according to the oil and gas developers. The is statemem should read "no pits in the floodway, and no pits within the 100-year floodplain except mud circulation pits. If a pit is located in the 100- year floodplain, the developer would have to demonstrate that the construction of the pit would not violate floodplain fill requiremems. Drilling mud pits may be constructed in the floodplain, upon completion of drilling, pits shall be removed within 90 days. All plastic lining associated with pit construction shall be removed prior to closure of pits. Page 2 of 4 All agreed to this statement. The only additional issue to consider is that pits within the 100-year floodplain should be required by the code to have at least two feet from the level of the pit at full capacity and the level of mud within the pit. In other words, mud should not be any closer than 2 feet from freeboard in these pits. 7. Erosion control shall be provided for on all drilling sites located in floodplains, riparian ESA's, and any sites located within 100 ft of water of the U.S. All agreed to this provision. Coulter suggested using compost from Denton's composting operation as an erosion control mechanism. We suggested a compost berm that is at least 1 foot tall and 2 feet wide that surrounded the down gradient sides of the entire pad site. 8. inspection of well sites for compliance with erosion control and stormwater runoff criteria. All agreed to this provision. The Utilities Department has worked up some preliminary costs for well inspections. The issue to be resolved is the regulatory mechanisms that will be available to the inspector, i would suggest having a mechanism to stop work at the site (maybe through the Fire Marshall's office) and the ability to realistically pursue the environmental damage bond that all oil and gas developers are required to obtain as a part of the permitting process. 9. An antidegradation water quality monitoring program will be conducted to protect water quality. All agreed to this provision. The final form of the monitoring program still needs to be worked out, but the oil and gas developers did not have a problem with being monitored. It is important to realize that if a water quality problem is detected, it may be hard to determine who is at fault without more intensive monitoring. The Utilities Department has worked up some preliminary costs for the monitoring program, which include both staff time and monitoring equipment. The oil and gas developers recognize the public perception benefits of this monitoring, and agreed that a fee for this service was reasonable. The ultimate dollar amount of this fee still needs to be finalized, and will be determined somewhat by how much monitoring is done, and how often. Monitoring will likely need to be conducted on a very routine basis, as oil and sediment pollutants can move around quickly in the environment. Additional monitoring of the amount of oil contamination in the mud circulation pits will likely be considered. According to the oil and gas developers, it is a common practice to dig a trench around the drilling machinery to capture any stormwater runoff from the site. This runoff can contain oil, diesel, and other hydrocarbons from the machinery used for drilling. We may consider using a measure of Total Petroleum Hydrocarbons (TPHs) or Benzene, Toluene, Ethylene, and Xylene (BTEX) within the pit as a measure of good housekeeping, it seems appropriate to base the regulatory limits of these contaminants for the pits on the regulatory limits set by the TCEQ for the release of water contaminated with these compounds. According to Page 3 of 4 TCEQ regulations, the following are the maximum allowable concentrations for the various compounds: Compound Concentration limit TPH 15 mg/L BTEX 500 ug/L Benzene 50 ug/L From 30TAC 321.131.138 10. Inspections of well sites and water quality monitoring program will be funded through additional inspection fees. All, as outlined above, agreed upon this issue. 11. This ordinance shall apply to wells in the City Limits and ETJ requesting plats to drill in floodplains or ESA's. This issue was agreed upon by all, but Dottie Palumbo in legal is still researching the legalities of applying our ESA ordinances in the ETJ. Page 4 of 4 Attachment 3 Subchapter 22 - Gas Well Drilling and Production Sections: 35.22.1 35.22.2 35.22.3 35.22.4 35.22.5 35.22.6 35.22.7 35.22.8 35.22.9 35.22.10 35.22.11 35.22.12 35.22.13 35.22.14 35.22.15 35.22.16 35.22.17 Purpose. Definitions. Gas Well Drilling and Production "By Right". Gas Well Drilling and Production by Specific Use Pemfit or Planned Development Zoning District; Application and Requirements. Standards for Gas Well Drilling and Production. DRC Recommendations for Specific Use Pemfits and Planned Development Zoning Districts. Gas Well Pemfit Required. Insurance and Indemnification. Security. Review of Application for Gas Well Pemfit. Periodic Reports. Notice of Activities. Amended Gas Well Pemfits. Transfer of Gas Well Pemfits. Inspection Remedies of fl~e City: Enforcement, Right of Entry,. 35.22.1 Purpose. The drilling and production of gas within the corporate limits and its Extraterritorial jurisdiction ~TJ) of the City necessitate reasonable regulations to prevent imminent-ddestruction of property,_protect--and-watersheds within the City, of Denton and its ETJ, prevent or injury to persons~ and, and ensure*o--m-ake--*t~e activities confom~ to the Denton Plan and development regulations. This Subchapter implements reasonable regulations to protect the health, safety, and general welfare of the public and to accomplish the orderly and practical development of mineral resources. 35.22.2 Definitions. All technical industry words or phrases related to the drilling and production of gas wells not specifically defined shall have the meanings customarily attributable thereto by prudent operators in the oi! and gas industry. For the purposes of this Subchapter, the following definitions shall apply unless the context clearly indicates or requires a different meaning. Abandonment. "Abandonment" as defined by the Railroad Commission and includes the plugging of the well and restoration of the drill site as required by this Subchapter. Cathodic protection. An electrochemical corrosion control techni%u_~ accom~_ppjyj__n_g a direct current to the structure that causes the structure potential to change from the corrosion potential to a protective potential in the inm~unity region. The required cathodic protection current is supplied by sacrificial anode materials or b.y...a!!...~.pres s ed current .~.ystem. Contaminant. Any substance .g.apable of caus but not limited to smoke,....zap.Q.r.~., fumes toxic chemicals fluids includin~uds; or off, er irritants. Drilling. Any digging or boring of a new well to develop or produce gas or to inject gas, water, or any other fluid or substance into fl~e earth. Drilling means and includes the re-entry of an abandoned well. Drilling does not mean or include fl~e re-entry of a well fl~at has not been abandoned Drill Site. The area used for drilling, completing, or re-working a well. December 11, 2003 22-1 Subchapter 23 Development Code Exploration. Geologic or geophysical activities, including, but not limited to surveying and seismic exploration, related to the search for oil, gas, or other sub-surface hydrocarbons. Fracturing. The use of sfim~ants ~jected into a gas well to spht or fracture the fom~afion to improve the producfivi~ of the gas well. Gas. Gas or natural gas, as such temps are used in the ~es, re~lations, or fom~s of the Ra~road Commission. Gas Well. ~y well dfi~ed for the production of gas or classified as a gas well under the Texas Natural Resources Code. Gas Well Permit. A Gas Well Pemfit applied for and issued or denied under this Subchapter authorizing the d~hng, production, and operation of one or more gas wells. Hazardous Materials Management Plan. The hazardous materials management plan and hazardous materials invento~ statements required by the Fire Code. ~ner. A continuous !ay~r of matefials~zynthefic or natural, beneath and on the sides of a_pj~ that restricts the downward and lateral release of fl~ds. New Well. A new well bore or new hole estabhshed at the ~o~d surface and shall not Mclude the re- workMg of an exis~g well that has not been abandoned. Oil and Gas Inspector. ~ inspector desi~ated by the City of Denton that is responsible for evaluating the impacts of exploration, development, and production of off and/or gas we~s. Responsibilities include environmenta~y sensitive areas review, erosion control ins.p.~g, ri~g., monitofin& and evalua~g_.c~g!pliance with federa!,_Z.t, ai~, and local relations. Operation Site. The area used for development and production and all related operational activities of gas a~er dfi~Mg activities are complete. Operator. For each well, the person listed on the Railroad Commission Fom~ W-1 or Fom~ P-4 for a gas well. Permit. ~y written license ~anted by the City of Denton for the exploration, development, md production ~_f_gas we~s issued_pursuant to ~es and relations of this Subsection. Petroleum Specialist. A person familiar with and educated M the oil and gas indust~ who has been retained by the Gty. Railroad Commission. The Railroad Commission of Texas. Re-wor~ng. Re-completion or re-ent~ of an existing well withM the exis~g bore hole or by deepening or sidetrack operations which do not extend more than one hundred fi~y (,150) feet from the exis~g well bore, or replacement of well hners or casM~.,. Tank. A contaMe~, covered or ~covered, used M conjunction with the d~Mg_.~.L.producfion of.ga.~ or other hydrocarbons for holding_Q~r sto~g fl~ds. Technical adhsor. Such ~n(s) familiar with and educated M the oil and or the law as it relates to oil and gas matters who may be retained from tM~e to ~e by the City of Denton. Well. A hole or bore to any horizon, fom~afion, or strata for the pu~ose of producing-~t; gas, or other hquid hydrocarbons. 35.22.3 Gas Well Drilling and Production "By Right". A. The drilling and production of gas within the corporate linfits of the City shall be permitted by right within the Rural Residential (RD-5), Rural Commercial (aC), Neighbomood Residential i (NR-1), Neighborhood December 11, 2003 22-2 Subchapter23 Development Code Residential 2 (NR-2), Regional Center Commercial Neighborhood (RCC-N), Regional Center Commercial Downtown (RCC-D), Employment Center Commercial (EC-C), Employment Center Industrial (EC-1), Industrial Center Employment (IC-E) and Industrial Center General (IC-G) Zoning Districts provided that no residential structure or place of assembly, institution or school exists no closer than five hundred feet (500') from the wellhead or within a previously platted residential subdivision where one or more lots have structures and provided fl~at tim drilling and production of gas meets tim following requirements: 1. All applicable standards forth in Section 35.22.5, Standard Conditions for Gas Well Drilling and Production. 2. An approved Gas Well Development Plat and a Road Repair Agreement are on file wifl~ fl~e Director. 3. A Gas Well Permit has been issued by tim Fire Marshal. B. The drilling and production of gas within tim corporate linfits of tim City shall be permitted by right within the Rural Residential (RD-5), Rural Commercial (RC), Neighborhood Residential i (NR-1), Neighborhood Residential 2 (NR-2), Regional Center Commercial Neighborhood (RCC-N), Regional Center Commercial Downtown (RCC-D), Employment Center Commercial (EC-C), Employment Center Industrial (EC-1), Industrial Center Employment (IC-E) and Industrial Center General (IC-G) Zoning Districts if tim property owner of a residential structure within two hundred and fifty feet (250') to five hundred feet (500') of tim wellhead agrees in writing and provided fl~at tim drilling and production of gas meets tim requirements of Section 35.22.3.A. 1. through. 3 and other requirements of this subchapter. C. A gas well permit shall automatically terminate, unless extended, if drilling is not commenced wiflfin one year from tim date of tim issuance of tim permit. A permit may be extended for an additional six monfl~s _u_p_o___n__r_e_q_u_e__s_t_b&__tl_te____o_perator and proof fl~at the _r_e_gu!__a_t_o__~ standard of the r_e_qu_e_s_t_e_d_permit for such location has not changed, D. The gas well permits required by this division are in addition to, and are not in lieu of, any permit that may be required by any other provision of this Code or by any other governmental agency. 35.22.4 Gas Well Drilling and Production by Specific Use Permit or Planned Development Zoning District; Application and Requirements. A. No person, acting for himself or acting as an agent, employee, independent contractor, or servant for any person, shall engage in drilling or production of a gas well within the corporate limits of the City without first obtaining either a Specific Use Permit as required by this Subchapter or unless permitted within a Planned Development Zoning District unless drilling is permitted by right pursuantrigllt pursuant to Section 35.22.3. B. An application for a Specific Use Permit or Planned Development Zoning District for the drilling and production of a gas well shall be filed by the person having legal authority. That person is presun~ed to be the record owner, mineral owner, or the duly authorized agent of either the record owner or the mineral owner. The Chairman of the Development Review Committee ,(DRC) may require an applicant to submit information of authority to file an application. C. The Chairman of the DRC has the authority to establish requirements for applications in the Application Criteria Manual. No application shall be accepted for filing until it is complete and the fee established by the City Council of the City of Denton has been paid. Incomplete applications shall be returned less a fee for processing determined by the Director of Planning and Development. December 11, 2003 22-3 Subchapter23 35.22.5 Standards for Gas Well Drilling and Production. Development Code The drilling and production of a gas well by right or the drilling and production of a gas well by a Specific Use Pemfit or Planned Development Zoning District required by this Subchapter shall include the following standards: 1. Compliance with the Development Plat. No drilling or production of a gas well shall begin until a Gas Well Development Plat that has been approved by the Chaim~an of the DRC is on file with the Deparm~ent fl~at confom~s to fl~e requirements of Section 35.16.20, Gas Well Development Plats. a. The gas well development plat shall provide for adequate public facilities, including water supply, access roads, drainage, erosion control and other necessary supporting facilities identified on the Gas Well Development Plat. b. The design, location, and arrangement of all driveways and parking spaces shall provide for fl~e safe and convenient movement of vehicular and pedestrian traffic without adversely affecting the general public or adjacent developments. c. A Road Repair Agreement shall be filed in fl~e Deparm~ent of Engineering. 2. On-site requirements. a. A secured entrance gate shall be required. Street lighting shall be required pursuant to Section 26-76 of the Utility Code of the Code of the City of Denton, Texas or the sign identifying the entrance to fl~e drill site or operation site shall be reflective. b. Fences shall not be required on drill sites during initial drilling, completion, or re-work operations as long as 24 hour on site supervision is provided. Once 24-hour supervision has ceased, all drilling features including storage pits shall be fenced to prevent access. c. Fences located on operation sites mustshall remain locked at all times when no one is present. d. No refining process, or any process for fl~e extraction of products from gas, shall be carried on at a drill site or operation site, except fl~at a dehydrator and separator may be maintained on a drill site or operation site for fl~e separation of liquids from gas. Any such dehydrator or separator may serve more fl~an one well. Gas Processing Facilities shall require a Specific Use Pemfit. e. Pem~anent weatherproof signs reading "DANGER NO SMOI~NG ALLOWED" in a minimun~ of four inch (4") lettering shall be posted at the entrance of each drill site and operation site. The sign shall include fl~e development or that is currently responsible for the gas well plat. fl~e Railroad Commission Well Identification Number and fl~e An~erican Petroleun~ Institute nun~ber for the well,....i!!~....phone nun~ber for emergency services (911), fl~e number for fl~e operator, and any ofl~erthe well designation required by fl~e Railroad Commission in two inch (2") lettering. f. No person shall place, deposit, or discharge (or cause or pemfit to be placed, deposited, or discharged) any oil, naphtha, petroleum, asphalt, tar, hydrocarbon substance, or any refuse, including wastewater or brine, from any gas operation or fl~e contents of any container used in connection with any oi! or gas operation in, into, or upon any public right-of-way, stom~ drain, ditch or sewer, sanitary drain or sewer, any body of water, or any private property within fl~e corporate limits or the Extratcrritorial iurisdictionETJ_of fl~e City of Denton. g. All production equipment on an operation site shall be painted and maintained at all times, including pumping units, storage tanks, buildings, and structures. h. All electric lines to production facilities shah be located in a manner compatible to those already installed in the surrounding areas or subdivision. December 11, 2003 22-4 Subchapter23 Development Code i. All fire suppression and prevention eqtfipment required by any applicable federal, state, or local law shall be provided by the operator, at the operator's cost, and maintenance and upkeep of such equipment shall be the responsibility of the operator. j. No operator shall excavate or construct any lines for the conveyance of fuel, water, or minerals on, under, or through the streets or alleys or other land of the City without an easement or right- of-way license from the City, at a price to be agreed upon, and then only in strict compliance with tiffs Subchapter, wifl~ ofl~er ordinances of the City, and with fl~e specifications established by Engineering Department. k. The digging up, breaking, excavating, tunneling, undemfining, breaking up, or damaging of any public street or leaving upon any public street any earth or other materials is prohibited. Construction activities or deposition of any materials or Qbjects creating an-of obstruction within limits of or easements are.,-is prohibited unless fl~e operator has first obtained written ~ission-approval from fl~e Engineering Deparm~ent and, if applicable, has filed a right-a-way use agreement, and then only i...f....in compliance with specifications established by the deparm~ent. 1. No Gas Well pemfit shall be issued for any well to be drilled within any of the streets or alleys of fl~e City and/or streets or alleys shown by fl~e Denton Plan, 1999-2020 and no street shall be blocked or encun~bered or closed due to any exploration, drilling, or production activities unless prior consent is obtained by the City Manager, and then only temporarily. m. Pit liners shall be desigl!ed_, constructed, and installed to _prevent an_y~_B!jgration of materials from the ~t~adiacent subsurface soils, ground water, or surface waters at any time durin~e !ifc. office pit. All lined pits shall adhere to fl~e liner standards set forfl~ by fl~e Railroad Commission. n. All well heads, storage tanks, separation facilities or other mechanical equipment located within 500' of an .adjacent residential pro. p.e.r~ and not within a floodplain shall be screened from the residential proper~ wifl~ a 6' high solid screen fence,good side facing the residential properS,. Operations and equipment practices and standards. a. Adequate nuisance prevention measures shall be taken to prevent or control offensive odor, fumes, dust, noise and vibration. b. Directional lighting shall be provided for the safety of gas well drilling and production operations and shall be provided so as to not disturb or adversely affect adjacent developments. c. The operator shall at all times comply with the rules and regulations of the Railroad Commission including but not limited to all applicable Field Rules. d. Internal combustion engines may be used in drilling operations if they have mufflers that will reduce noise to not more than 90 decibels at any point 300 feet from the boundary of the drill site or operation site. Only electric motors shall be used for the purpose of pun~ping gas wells. e. There shall be no venting of gas into fl~e open air in residential areas except as allowed by Railroad Commission and as approved by fl~e Fire Marshal. f. Vehicles, equipment, and machinery shall not be placed or located on a drill site or operation site (or on any public street, alley, driveway, or ofl~er public right-of-way) in such a way as to constitute a fire hazard or to unreasonably obstruct or interfere with fighting or controlling fires. g. Only Light Sand Fracture Technology or technologies approved by the Fire Marshal in accordance with the Fire Code City shall be used to fracture stimulate a well. h. Fracing operation shall be scheduled to occur during daylight hours unless the Operator has notified the Fire Marshal that fracing will occur before or after daylight hours to meet safety requirements. i. Air, gas, or pneumatic drilling shall not be pemfitted. December 11, 2003 22-5 Subchapter23 Development Code Storage tanks and separators. a. An operator is allowed to construct, use, and operate such storage eqtfipment and separation eqtfipment as shown on the typical well site, typical drilling pad, and typical pad site locations on the development plat approved by the Chaim~an of the DRC. b. The use of centralized tank batteries is pemfitted as shown on the applicable Gas Well Development Plat. c. No gas well development is allowed in fl~e FEMA designated 100-year floodway. N~-meter~; storage tanks~ separation faeilities~ or other above~otmd fae~ties shall be placed in fl~e t00-year d. No storage tanks or separation facilities shall be placed in fl~e Flood Fringe or off, er ESA except as authorized under Subsection 35.22.8.floodplain unlcss: Flow lines and gathering lines. a. Each operator sha~ place an identi~ing si~ at each point where a flow l~e or gaflm~g line crosses a pubhc street or road. b. Each operator shall place a wam~g si~ Gr l~es caring H2S (Hydrogen Sulfide) gas as req~red by fl~e Railroad Commission. c. ~1 flow hnes and gafl~efing l~es wiflfin tim co,orate l~its of tim City (excluding Ci~ u~i~ l~es and franchise distribution systems) fl~at are used to trmsport oil, gas, and/or water sha~ be l~fited to fl~e max~ allowable operating pressure applicable to tim pipes instated and sha~ be installed wifl~ at least the min~ cover or backfill specified by tim ~efican National Safe~ Institute Code, as amended. d. Structures sha~ not be b~lt over flow l~es or gaflm~g hnes. Additional safety and enhronmental requirements. a. The d~hng and production of gas and accessing fl~e gas well site shall be ~ compliance wifl~ all state and federal environmental re~lafions. No gas well development or acfiG~ is a~owed ~ tim FEMA desi~ated 100-year floodway. D~hng wiflfin Nood F~gefloodp!ains or oflmr ESA shown on tim M is allowed under the restrictions set forfl~ in Scc~on December 11, 2003 22-6 Subchapter23 Development Code 35.22.5(A)4 and Section 35.22.(A)8. b. Erosion control practices shall be conducted for all gas_ wells. Compost bem~s fl~at are at least 1 foot higJ~ and two feet wide~ equivalent erosion control devices, shall be installed so that all portions of fl~e well pad fl~at may drain off-site are contained. Damage resulting from sedin~entation and/or erosion shall be repaired immediately. kc. Gas wells may have a target location or bottom-hole location fl~at is under an Environmentally Sensitive Area_ ~SA) when fl~e gas well is drilled directionally from a location outside fl~e ESA. e,d. Each well shall be equipped wifl~ an automated valve fl~at closes fl~e well in fl~e event of an abnom~al change in operating pressure. All wellheads shall contain an emergency shut off valve to fl~e well distribution line. he. Each storage tank shall be equipped wifl~ a level control device fl~at will automatically activate a valve to close fl~e well in fl~e event of excess liquid accun~tflation in fl~e tank f. All storage tanks shall be anchored for stability,. e:g. All storage tanks shall be equipped wifl~ either steel or concrete secondary, containment systems including lining wifl~ an impervious material. The secondary, containment system shall be of a sufficient heig!!! to contain one and one-half .(!_!&) tin~es fl~e contents of fl~e largest tank in accordance wifl~ fl~e Fire Code. and buried at least one foot (!~) below fl~e surface. Drippots shall be provided at pump out connections to contain the liquids from fl~e storage h. Outdoor storag~ areas shall be c.q~.~pped with a secondarg containment ~.¥stem desigacd_tQ contain a spill from the largest individual vessel. If the area is open to rainfall, seconda~ containment shall be designed to include the volume of a 24-hour rainfall as detem~ined by a 25- year stom~ and provisions shall be made to drain accumulations of ground water and rainfall. G. Tank battery facilities shall be equipped with a remote foam line and a lighming arrestor system. ~i- A Hazardous Materials Management Plan shall be on fide with the Fire Marshal. Any updates or chan~_ ~i~ plan shall be provided to the Fire Marshal within 3 working~y~ of the change~. Ail chemicals and/or hazardous materials shall be stored in such a manner as to prevent, contain, and facilitate rapid remediation and cleanup of any accidental spill, leak, or discharge of a hazardous material..Operator shah have all material safet~ data sheets (~.~_!~.~.~) for all hazardous materials on site. All applicable federal and state irements for the of containers shall be followed. Appropriate pollution prevention actions shall be required and include, but are not limited to, chemical and materials raised from the ground (,e.g., wooden ~et~}~ bulk storage_, instat411ation and maintenance of secondary containment s~zagd protection from stom~ water and weather elements. h:k. Ail wells shah be abandoned in accordance with the rules of the Railroad Commission; however, all well casings shah be cut and removed to a depth of at least ten feet (10') below the surface unless the surface owner submits a written agreement otherwise. Three feet (3') shall be the minimun~ depth. k. 1.No structures shah be built over an abandoned well. m. No gas well drill sites shah be allowed on slopes greater than ten (10) percent. j=n. No salt-water disposal wells shall be located within the City of Denton. December 11, 2003 22-7 Subchapter23 Development Code k;-o. Lining the reserve pit shall be required if the reserve pit is within two hundred feet (200)' of a body of water, creek, or floodplain. p:____N___o__g'0_.s__w__e!!_pemfit will be issued for __a__11y well where the center of the well at the surface of the ground is located wiflfin 250 feet of an existing fresh water well intended for domestic use. shall always be maintained at least 2 feet from fl~e rgp of 0!e pit, r. Fencing shall be installed to restrict access to a reserve pit or other open water reservoir at a drilling site within fl~e corporate linfits of fl~e City,, except as provided in Section 35.22.5. C.2.c. s. Drip pans and off, er containment devices or oil absorbing materials shall be placed or installed underneath all tanks., containers,_._p~!p..s., lubricati fuel and chemical stor stem valves, connections, and any off, er areas or structures fl~at could potential leak, discharge, or spill hazardous liquids, senti-liquids, or solid waste materials, including hazardous waste inseparable by simple mechanical removal processes fl~at is made up primarily of natural material. t. After the well has been comp!_e_t_e_d_~__o_r_pLugg_e_d and abandoned,__tt_!_e___0_perator shall clean the drill site or operation site, complete restoration activities and repair all dan~age to public property, caused by such operations within thirty (30) days. u. After any spill, leak or malfunction, fl~e operator shall remove or cause to be removed all waste materials from affected b¥.>_ugh__.spi!!., leak or malfunction. Clean- up operations shall begin inm~ediate!y,. v. The drill site shall at all times be kept free of debris,pools of water or off, er liquids, contaminated soil, weeds, brash, trash or other waste material outside fl~e drill site wiflfin a radius of one hundred (100) feet around any separators, tanks and producing wells wiflfin the leased property. Drilling mud and reserve pits shall adhere the following_r_e_guirements i The _t_yp_e__oS__pJ_t used in drillir!g__o_perafions shall be __specified at the time of The oil and erfom~ a contamination assessment for completion / work-over pit, drilling fluid disposal pit, makeup water pit, mud circulation pit, washout pit, or water condensate pit. The following concentrations for contanfinants will be used to detemfine if contamination exists within any materials in fl~epits: Compound Concentration limit TPH !5 mg/L. BTEX 500 Benzene 50 ug/L From 30TAC 321.131.138 If concentrations exceeding these values are detected, the operator shall remove, cause to be removed, or otherwise remediate contaminants_, to the satisfaction of the oil and gas. inspector. Cleanup 9perations shall begi~ immediately, Cleanup activities that do not begin within 24 hours of notification by the oil and gas inspector shall be considered a violation of this Subchapter. ii Only freshwater-based mud systems shall be pemfitted. Saltwater-based mud systems and oil-based mud ..s.~4.~:~....prohibited. iii Chloride content of fluids held in reserve pil..s.._!B, ay not exceed er liter. iv No metal additives may be added to ~!2~.!!g fluids. v M1 fluid produced from the well during ~ompletion of production shall be held in enclosed containers while stored on fl~e property. December 11, 2003 22-8 Subchapter23 Development Code vi All fluids shall be removed ("de-watering") from the reserve pits within 30 days of completion of drilling__o_perations. vii The pit_ and its contents shall be removed from fl~e wpremises within after completion of fl~e we emfittee may app!y for a 90 day extension from such requirements based on showing of good cause, necessity, to maintain said pit. inclement weather, or off, er factors. The City. may designate a period of time shorter fl~an the 90-day extension set out herein. x. Waste minimization practices established by fl~e Railroad Commission shall be followed. eration shall be pemfitted wiflfin twelve hundred (,1,200) feet of fl~e flood P00! elevation of Lake Ray Roberts or Lake Lewisville. z. The provisions of 35.22.5(A)6 shall apply both within the corporate linfits of the City of Denton and within the ETJ of the Ci~ of Denton. __Supplemental drilling. a. Supplemental drilling to deepen or directional drill an existing well shall be conducted in accordance with the conditions for the applicable Specific Use Pemfit or Planned Development Zoning District or underlying zoning classification that pem~its gas development by right. The operator shall provide the Fire Marshal a copy of additional Railroad Commission pem~its that allow drilling to a deeper depth. b. Supplemental drilling to deepen or directional drill an existing well shall be conducted in accordance with fl~e approved Gas Well Pemfit for the well on file wifl~ fl~e Fire Mars!~a!Ci~. Additional Requirements for Wells located in Flood Fringe plains or other ESA's. a. Gas Wells located in the Flood Fringe or ESA shall comply with fl~e provisions of Subsection 35.22.5.A. and shall be located outside fl~ese areas whenever practicable to minimize adverse impacts on these areas, reduce flood damage, and lessen the potential for contaminating surface water or any water supply. ______Upon the recluest of the DRC Chaim~an an ESA assessment shall be submitted to the DRC by the Watershed Protection Deparm~ent and/or the Floodplain Administrator r.:~.,~.L: ,~-c ~,.~.L,~**r" ........ o~,~cc for all riparian buffer and floodplain ESA's. i If a riparian buffer is designated as "fair" to "excellent" ESA, fl~e designated protective stream buffer width as .~pecified in Subchapter 17 of the Denton Development Code shall apply. ii Within all areas except unstudied floodplains, if fl~e stream is designated as a "poor" ESA, fl~e designated widfl~ of fl~e protective stream buffer 'shall be decreased by either 50- percent or to fl~e linfits of fl~e floodway whichever is gr__e_a_t_e__r, but in no instance shall fl~e protective stream buffer widfl~ be decreased below 25-feet measured each direction from the centefline of the existing channel. The following requirements shall apply to all gas wells that are located within Flood Fringe or other ESA's. i A tree inventory.plan shall be submitted. ii An¥.r~q~est to remove tree(~) shall be accompal!i~d...by a letter from a certified geolo~st or eng/neer that indicates why the well site cannot be located to avoid the trees. iii Tree mitigation for gas wells located in a floodp!a~ fringe or other ESA shall be required and shall be calculated on a 1:1 replacement value for 100% of the dbh of trees removed from the drill site. Tree mitigation shall be accomplished by planting replacement trees, within a floodgl__a_i_n_~ on-site or off-site with similar tree w_s_pecies or __b_y_p_~yment into a December 11, 2003 22-9 Subchapter23 Development Code tree fund. Tree mitigation funds that are specific to ESA's will be kept separate from other tree funds and will only be used to either acciuire wooded too that remains in a naturalistic state in urchase conservation easements within riparian or floodplain areas. Funds may be used to purchase, plant, and maintain trees on public property,, as long as the public property, is within a riparian area or floodplain. iv Tree Mitigation funds shall be paid prior to final approval of a gas well development plat in a Flood Fringe or other ESA. Storage tanks or separation facilities, se~ing one well head, may be placed in the Flood Fringe or ESA under fl~e following conditions: i. These facilities shall be constructed at least 18-inches above the established Base Floo~d 35.22.6 elevation plus the surcharge depth for encroachment to the linfits of the floodway having a one-percent chance of being equaled or exceeded in any year. ii. A hydrologic and hydraulic engineering study shall be performed by a Certified Engineer. The study shall be submitted to the Engineering Department in a technical report for review by the City, Engineer or his designated representative. The report shall demonstrate that the proposed facilities will have no adverse impacts on the carrying capacity of the adjacent waterway nor cause any increases to the elevations established for the floodplain. When the Special Flood Hazard Areas (SFHA) on the subject site is designated as "Zone A" on the FIRM Panel, or the SFHA is not identified on the FIRM Panel, the following approximate method may be used to evaluate the impacts from gas well development. A flow rate shall be calculated using procedures set forth in the City, of Denton Drainage Criteria Manual. Using Manning's Equation wifl~ an estimate of fl~e average slope of fl~e strean~. measurements of a single irregular cross-section geometry at the well site, and the 100-year discharge rate, the average velocity, and normal depth may be calculated. Calculations shall be provided for the unaltered existing channel cross-section and for the proposed modified channel cross-section and submitted to the City, for review and approval prior to construction within these areas. e. If evidence from water c~u~_li_'_ty monitoring efforts indicates fl~at contanfination is occurring from erator shall remove, cause to be removed,, or otherwise remediate contanfination., to fl~e satisfaction office oil and gas inspector. Cleanup operations shall begin immediately. f. No more fl~an ten (10) percent of the floodplain, wiflfin fl~e lin~its of fl~e gas well development p.!~..may be filled. gc...._.....~!!~....provisions of 35.22.5 bofl~ wiflfin fl~e co,orate limits of fl~e City. of Denton and within the ETJ of the Ci~ of Denton. Drilling and production of gas wells shall comply with all federal, state, and local laws applicable to gas well drilling, production and operations. DRC Recommendations for Specific Use Permits and Planned Development Zoning Districts. A. The Department shall forward all applications for Specific Use Permits and Planned Development Zoning Districts to the DRC for review. The DRC shall review each application within 30 days after filing and shall make recommendations regarding the applications to the Planning and Zoning Commission and City Council. A copy of all recommendations shall be provided to the operator. The DRC may make recommendations regarding any aspect of the proposed gas well development including, but not linfited to, recommendations with respect to the standards set forth in Section 35.22.5. B. In connection with its review of an application for a Specific Use Permit or Planned Development Zoning District for the drilling and production of gas wells, the DRC may determine that it is necessary to hire a December 11, 2003 22-10 Subchapter23 35. 22. 7 Development Code petroleum specialist to assist the DRC in reviewing the application. If such a detemfination is made, the DRC will provide the operator a written "scope of work" that the DRC proposes for such specialist. The DRC and the operator will attempt to agree upon the "scope of work"; however, the decision of the DRC shall control. If required by the specialist, the operator will provide a retainer; otherwise, the operator will pay for the services of the specialist after they are rendered. All work perforated by the specialist shall be itemized on a daily basis (including a description of the work and the amotmt of time spent), and such itemization shall be provided to the operator with each request for payment. The DRC has the authority to establish guidelines to use in making recommendations for Gas Well Pemfits or by Specific Use Pemfit or Planned Development Zoning Districts. Guidelines shall be placed in the Application Criteria Manual. Gas Well Permit Required. A. Any person, acting for himself or acting as an agent, employee, independent contractor, or servant for any person, shall not engage in the drilling and production of gas wells within the corporate limits of the City without first obtaining a Gas Well Pemfit issued under this Subchapter. An operator may apply for and obtain a separate pem~it coveting each well or a "blanket" pemfit coveting multiple wells. B. When a Gas Well Pemfit has been issued covering a well, the pem~it shall constitute authority for drilling, operation, production, gathering of production, maintenance, repair, re-working, testing, site preparation consisting of rigs or tank batteries, plugging and abandonment, and any other activity authorized by this Subchapter associated with drilling or production by the operator and their respective employees, agents, and contractors. A Gas Well Pem~it shall also constitute authority for the construction and use of all facilities reasonably necessary or convenient in connection therewith, including gathering lines and discharge lines, by the operator and its respective employees, agents, contractors and subcontractors. C. A Gas Well Pemfit shall not be required for exploration for gas. Exploration of gas means geologic or geophysical activities, including, but not limited to surveying and seismic exploration, related to the search for oil, gas, or other sub-surface hydrocarbons. D. Any well that has been annexed into the City shall be required to meet the requirements of this Subchapter and shall apply for a Gas Well Pemfit on the effective date of the annexation. Any well that has obtained a Gas Well Pemfit issued by the Fire Marshal prior to the effective date of this Subchapter shall provide all infom~ation required for Gas Well Pemfits under this Subchapter unless the infom~ation has been previously provided to the Fire Marshal. Gas Well Pemfits issued by the Fire Marshal prior to the effective date of this Subchapter shall comply with the following requirements: 1. Standards for Gas Well Drilling and Production requirements of Section 35.22.5. 2. Insurance and Security requirements of Section 35.22.8 and Section 35.22.9. 3. Periodic reports as required by Section 35.22.11. 4. Road Maintenance Agreement unless already provided. 5. Notice of Activity requirements of Section 35.22.12. E. A Gas Well Pem~it shall not, however, constitute authority for the re-entering and drilling of an abandoned well. Re-entry and drilling of an abandoned well shall require a new Gas Well Pem~it. F. Applications for Gas Well Pemfits shall be in writing, shall be on fom~s provided by the Deparm~ent, shall be signed by the Operator, shall include the application fee, shall include a copy of the applicable Specific Use Pemfit or Planned Development Zoning District or Development Plat, and shall include the infom~ation required by the Application Criteria Manual unless such infom~ation has been previously provided to the City. December 11, 2003 22-11 Subchapter23 35.22.8 Insurance and Indemnification. Development Code The operator shall provide or cause to be provided the insurance described below for each well for which a Gas Well Pemfit is issued, such insurance to continue until fl~e well is abandoned and fl~e site restored. The operator may provide fl~e required coverage on a "blanket basis for multiple wells". Such coverage shall be approved by fl~e Risk Manager for fl~e City of Denton. A. General Requirements. Indemnification and Express Negligence Provisions. 1. Each Gas Well Pem~it issued by fl~e CityFirc Mars!~-A shall include fl~e following language: Operator does hereby expressly release and discharge, all clain~s, demands, actions, judgments, and executions which it ever had, or now have or may have, or assigns may have, or clain~ to have, against the City of Denton, and/or its deparm~ents, it agents, officers, servants, successors, assigns, sponsors, volunteers, or employees, created by, or arising out of personal injuries, known or unknown, and injuries to property, real or personal, or in any way incidental to or in connection with the perfom~ance of the work perforated by the operator under a gas well pemfit and the operator caused by or arising out of, that sequence of events which occur from the operator under the Gas Well Pemfit and work perforated by the operator shah fully defend, protect, indemnify, and hold ham~less the City of Denton, Texas, and/or its deparm~ents, agents, officers, servants, employees, successors, assigns, sponsors, or volunteers from and against each and every claim, demand, or cause of action and any and all liability, damages, obligations, judgn~ents, losses, fines, penalties, costs, fees, and expenses incurred in defense of the City of Denton, Texas, and/or its deparm~ents, agents, officers, servants, or employees, including, without limitation, personal injuries and death in connection therewith which may be made or asserted by Operator, its agents, assigns, or any third parties on account of, arising out of, or in any way incidental to or in connection with the perfom~ance of the work perforated by the Operator under a Gas Well Pemfit and, the Operator agrees to indemnify and hold ham~less the City of Denton, Texas, and/or its deparm~ents, and/or its officers, agents, servants, employees, successors, assigns, sponsors, or volunteers from any liabilities or damages suffered as a result of claims, demands, costs, or judgments against the City and/or, its deparm~ents, it's officers, agents, servants, or employees, created by, or arising out of the acts or omissions of the City of Denton occurring on the drill site or operation site in the course and scope of inspecting and pemfitting the gas wells INCLUDING, BUT NOT LIMITED TO, CLAIMS AND DAMAGES ARISING IN WHOLE OR IN PART FROM THE SOLE NEGLIGENCE OF THE CITY OF DENTON OCCURRNG ON THE DRILL SITE OR OPERATION SITE IN THE COURSE AND SCOPE OF INSPECTING AND PERMITTING THE GAS WELLS. IT IS UNDERSTOOD AND AGREED THAT THE INDEMINITY PROVIDED FOR IN THIS SECTION IS AN INDEMNITY EXTENDED BY THE OPERATOR TO INDEMNIFT AND PROTECT THE CITY OF DENTON, TEXAS AND/OR ITS DEPARTMENTS, AGENTS, OFFICERS, SERVANTS, OR EMPLOYES FROM THE CONSEQUENCES OF THENEGLIGENCE OF THE CITY OF DENTON, TEXAS AND/OR ITS DEPARTMENTS, AGENTS, OFFICERS, SERVANTS, OR EMPLOYEES, WHETHER THAT NEGLIGENCE IS THE SOLE OR CONTRIBUTING CAUSE OF THE RESULTANT INJURY, DEATH, AND/OR DAMAGE. LIABILITY FOR THE SOLE NEGLIGENCE OF THE CITY IN THE COURSE AND SCOPE OF ITS DUTY TO INSPECT AND PERMIT THE GAS WELL IS LIMITED TO THE MAXIMUM AMOUNT OF RECOVERY UNDER THE TORT CLAIMS ACT. 2. All policies shall be endorsed to read "this policy will not be cancelled or non-renewed without 30 days advanced written notice to the owner and the City except when this policy is being cancelled for nonpayment of premiun~, in which case 10 days advance written notice is required". 3. Liability policies shall be written by carriers licensed to do business in Texas and with companies with A: VIII or better rating in accordance with the current Best Key Rating Guide, or with nonadmitted carriers that have a financial rating comparable to carriers licensed to do business in Texas approved by the City. December 11, 2003 22-12 Subchapter23 35.22.9 Development Code 4. Liability policies shall name as "Additional Insured" the City and its officials, agents, employees, and volunteers. 5. Certificates of insurance mustshall be presented to the City evidencing all coverage's and endorsements required by this Section 35.22.8, and the acceptance of a certificate without the required linfits and/or coverage's shall not be deemed a waiver of these requirements. 6. Claims made policies will not be accepted except for excess policies or unless otherwise provided by this Subchapter. Required Insurance Coverage's. 1. Commercial General Liability Insurance. ~.h. Coverage should be a minin~um Combined Single Lin~it of $1,000,000 per occurrence for Bodily Injury and Property Damage. This coverage mustshall include premises, operations, blowout or explosion, products, completed operations, blanket contractual liability, underground property damage, broad fom~ property damage, independent contractors protective liability and personal injury. Ri. Environmental Impaim~ent (or Seepage and Pollution) shall be either included in the coverage or written as separate coverage. Such coverage shall not exclude damage to the lease site. If Environmental Impaim~ent (or Seepage and Pollution) Coverage is written on a "clain~s made" basis, the policy mustshall provide that any retroactive date applicable precedes the effective date of the issuance of the pem~it. Coverage shall apply to sudden and non-sudden pollution conditions resulting from the escape or release of smoke, vapors, fumes, acids, alkalis, toxic chemicals, liquids or gases, waste material or other irritants, contaminants or pollutants. 2. Automobile Liability Insurance. Minin~un~ Combined Single Linfit of $500,000 per occurrence for Bodily Injury and Property Damage. Such coverage shall include owned, non-owned, and hired vehicles. 3. Worker's Compensation Insurance. In addition to the minimum statutory requirements, coverage shall include Employer's Liability lin~its of at least $100,000 for each accident, $100,000 for each employee, and a $500,000 policy linfit for occupational disease, and the insurer agrees to waive rights of subrogation against the City, its officials, agents, employees, and volunteers for any work perforated for fl~e City by fl~e operator. 4. Excess (or Umbrella) Liability Insurance. Minin~um linfit of $10,000,000 covering in excess of the preceding insurance policies. 5. Control of Well Insurance. a. Minin~un~ limit of $5,000,000 per occurrence. ~j,__Policy shall cover fl~e Cost of controlling a well fl~at is out of control, Re-drilling or Restoration expenses, Seepage and Pollution Damage. Damage to Property in fl~e Operator's Care, Custody, and Control wifl~ a sub-linfit of $500,000 may be added. Security. A security instrtm~ent that covers each well mustshall be delivered to the Fire Marshal before the issuance of the Gas Well Pemfit for the well. The instrtm~ent mustshall provide that it cannot be cancelled without at least thirty 30 days' prior written notice to the City and, if the instrument is a perfom~ance bond, that the bond cannot be cancelled without at least ten 10 days' prior written notice for non-payment of premiun~. The instrument shall secure the obligations of the operator related to the well to: 1. Repair damage, excluding ordinary wear and tear, if any, to public streets, including but not linfited to bridges, caused by the operator or by the operator's employees, agents, contractors, subcontractors or December 11, 2003 22-13 Subchapter23 Development Code representatives in the perfom~ance of any activity authorized by or contemplated by the Gas Well Pemfit; 2. Comply with the insurance and security provisions set forth in Section 35.22.8 and Section 35.22.9; and 3. Pay frees and penalties in, posed upon the operator by the City for any breach of the Gas Well Pem~it. B. The security instrument may be in the fom~ of an irrevocable letter of credit or payment bond issued by a bank or surety approved by the City. The instrument shall mn to the City for the benefit of the City, shall become effective on or before the date the Gas Well Pemfit is issued, and shah remain in effect until the well is abandoned and the site restored. C. A certificate of deposit may be substituted for the letter of credit or payment bond. The certificate shall be issued by a bank in Denton County, Texas, shah be approved by the City, shall be payable to the order of the City to secure the obligations of the operator described above, and shall be pledged to the bank with evidence of delivery provided to the Director of Planning and Community Development. Interest on the certificate shall be payable to the operator. D. The security instmn~ent may be provided for individual wells or on a "blanket" basis for multiple wells. The amount of the security shall be a n~inin~um of $50,000 for any single well and a n~inin~um of $100,000 for multiple wells on a "blanket" basis. E. The security will tem~inate when the Gas Well Pemfit is transferred, with respect to the operator- transferor and if the operator-transferee provides replacement security that complies with this section, when the well is abandoned and the site restored, and when the Fire Marshal consents in writing to such tem~ination. F. An appeal of the detem~ination of the an~ount of security required under this Subchapter may be made to the Planning and Zoning Commission for recommendation to the City Council for final detem~ination of the amount of security. 35.22.?0 Review Of Applications For Gas Well Permit. A. All applications for Gas Well Pemfits shall be Filed with the Deparm~ent who shall inm~ediately forward all applications to the DRC for review. Incomplete applications shall be returned to the applicant, in which case the City shall provide a written explanation of the deficiencies if requested by the applicant. The City shall retain a processing fee detemfined by the Director. The City may remm any application as incomplete if there is a dispute pending before the Railroad Commission regarding the detem~ination of the operator. B. The DRC shall review each application within 15 days after acceptance for filing and shall detem~ine whether the application includes all of the infom~ation required by this Subchapter, whether the application is in confom~ance with the applicable Gas Well Development Plat, applicable Specific Use Pemfit or Planned Development Zoning District and whether the application is in confom~ance with the insurance and security requirements set forth in Section 35.22.8 and Section 35.22.9 of this Subchapter. The DRC shall forward a written report regarding its detem~ination to the Fire Marshal and Oil and Gas .!.r!~.p.~.g. to.r, with a copy provided to fl~e operator. C. The Fire Marshal shall review fl~e application and fl~e written report of fl~e DRC and shall issue the Gas Well Pemfit after receiving fl~e DRC report within 10 days unless he detem~ines fl~at fl~e application is incomplete or fl~at fl~e application is not in confom~ance with fl~e applicable Gas Well Development Plat, applicable Specific Use Pemfit, Planned Development Zoning District. The Fire Marshal may employ a technical advisor under the Fire Code. D. The Fire Marshal may condition fl~e release office approved Gas Well Pemfit upon fl~e operator providing fl~e security required by Section 35.22.9 of tiffs Subchapter and upon fl~e operator entering into a Road Repair Agreement fl~at will obligate fl~e operator to repair damage excluding ordinary wear and tear, if any, December 11, 2003 22-14 Subchapter23 Development Code to public streets, including but not limited to, bridges caused by the operator or by the operator's employees, agents, contractors, subcontractors or representatives in the perfom~ance of any activity authorized by or contemplated by the approved Gas Well Pemfit. E. The failure of the DRC or the Fire Marshal to review and issue a Gas Well Pemfit within the time linfits specified above shall not cause the application for the pemfit to be deemed approved. F. Each Gas Well Pemfit issued by the Fire Marshal shall: 1. Identify the name of each well and its operator; 2. Specify the date on which the Fire Marshal issued each pemfit; 3. Specify the date by which drilling m~stshall commence on at least one well covered by the pemfit otherwise the pemfit expires (such date shall not be less than one year after the date of issuance). A one year extension of tinge may be granted if existing conditions are the same; 4. Specify that if drilling is commenced on at least one well covered by the pem~it before the pem~it expires, the pem~it shall continue until the wells covered by the pemfit are abandoned and the site restored; 5. Incorporate, by reference, the insurance and security requirements set forth in Section 35.22.8 and Section 35.22.9 of this Subchapter; 6. Incorporate, by reference, the requirement for periodic reports set forth in Section 35.22.11 of this Subchapter and for Notice of Activities set forth in Section 35.22.12; 7. Incorporate the full text of the release of liability provisions set forth in Section 35.22.8.5.A of this Subchapter; 8. Incorporate, by reference, the conditions of the applicable Development Plat, applicable Specific Use Pemfit or Planned Development Zoning District; 9. Incorporate, by reference, the infom~ation contained in the pemfit application; 10. Incorporate, by reference, the applicable rules and regulations of the Railroad Commission, including the applicable "field roles"; 11. Specify that no drilling operations (including the construction of internal private access roads) shall commence until the operator has provided the security required by Section 35.22.9 of this Subchapter; 12. Contain the name, address, and phone number of the person designated to receive notices from the City, which person mustshall be a resident of Texas that can be served in person or by registered or certified mail; and 13. Incorporate by reference all pemfits and fees required by the Fire Code. G. The decision of the Fire Marshal to deny an application for a Gas Well Pemfit shall be provided to the operator in writing within 10 days after the decision, including an explanation of the basis for the decision, if requested by the operator. The operator may appeal any such denial to the Construction Review Board. H. If an application for a Gas Well Pemfit is denied by the Fire Marshal, nothing herein contained shall prevent a new pemfit application from being submitted to the City for the same well. 35. 22.1 ~ Periodic Reports. The operator shall notify the Fire Marshal of any changes to the following infom~ation inm~ediately, within one business day after the change occurs. 1. The name, address, and phone nun~ber of the operator; December 11, 2003 22-15 Subchapter23 35.22.72 Development Code 2. The name, address, and 24-hour phone number of the person(s) with supervisory authority over drilling or operations activities; 3. The name, address, and phone number of the person designated to receive notices from the City, which person mustshall a resident of Texas that can be served in person or by registered or certified mail; and 4. The operator's Emergency Action Response Plan including "drive-to-maps" from public rights-of- way to each drill site. The operator shall provide a copy of any "incident reports" or written complaints submitted to the Railroad Commission or any other state or federal agency within 30 days after the operator has notice of the existence of such reports or complaints. Beginning on December 31st after each well is completed, and continuing on each December 31st thereafter until the operator notifies the Fire Marshal that the well has been abandoned and the site restored, the operator shall prepare a written report to the Fire Marshal identifying any changes to the infom~ation that was included in the application for the applicable Gas Well pemfit that have not been previously reported to the City. Notice of Activities. A. Any person who intends to re-work a well using a drilling rig, to fracture stimulate a well after initial completion, or to conduct seismic exploration involving explosive charges shall give written notice to the City at least 10 days before the activities begin. B. The notice shall identify where the activities will be conducted and shall describe the activities in reasonable detail, including but not limited to fl~e duration of fl~e activities and fl~e time of day fl~ey will be conducted. C. The notice mustshall also provide fl~e address and 24-hour phone number of the person conducting fl~e activities. D. The person conducting fl~e activities will post a sign on fl~e property giving fl~e public notice of fl~e activities, including fl~e name, address, and 24-hour phone number of fl~e person conducting fl~e activities. E. If fl~e City detemfines that an inspection by fl~e Fire Marshal is necessary, fl~e operator will pay the City's customary charge for fl~e inspection. 35.22.?3 Amended Gas Well Permits. An operator may submit an application to the Fire Marshal to amend an existing Gas Well Pemfit to commence drilling from a new drill site fl~at is not shown on (or incorporated by reference as part of) the existing pemfit, to relocate a drill site or operation site fl~at is shown on (or incorporated by reference as part of) tim existing pemfit, or to otherwise amend tim existing pemfit. Applications for amended Gas Well Pemfits shall be in writing, shall be on fom~s provided by tim Deparm~ent of Planning and Development, shall be signed by tim operator, and shall include tim following: 1. The application fee as set by City ordinance; 2. A description of tim proposed amendments; 3. Any changes to the infom~ation submitted wifl~ the application for fl~e existing Gas Well Pemfit (if such infom~ation has not previously been provided to the City); December 11, 2003 22-16 Subchapter23 Development Code 4. Such additional infom~ation as is reasonably required by the Fire Marshal to demonstrate compliance with the applicable Development Plat, applicable Specific Use Pem~it or Planned Development Zoning District; and 5. Such additional infom~ation as is reasonably required by the Fire Marshal to prevent imminent destruction of property or injury to persons. C. All applications for amended Gas Well Pemfits shall be Filed with the Deparm~ent of Planning and Development, and the deparm~ent shall inm~ediately forward all applications to the Fire Marshal for review. Incomplete applications may be returned to the applicant, in which case the City shall provide a written explanation of the deficiencies; however, the City may retain a processing fee as detem~ined by the Fire Marshal. The City may remm any application as incomplete if there is a dispute pending before the Railroad Commission regarding the detem~ination of the operator. D. If the activities proposed by the amendment are not materially different from the activities covered by the existing Gas Well Pemfit, and if the proposed activities are in confom~ance with the applicable Development Plat, applicable Specific Use Pemfit, Planned Development Zoning District, then the Fire Marshal shall approve the amendment within 10 days after the application is Filed. E. If the activities proposed by the amendment are materially different from the activities covered by the existing Gas Well Pemfit, and if the proposed activities are in confom~ance with the applicable Development Plat, applicable Specific Use Pem~it or Planned Development Zoning District, then the Fire Marshal shall approve the amendment within 30 days after the application is filed. If, however, the activities proposed by the amendment are materially different and, in the judgment of the Fire Marshal, might create a risk of inmfinent destruction of property or injury to persons fl~at was not associated with fl~e activities covered by fl~e existing pemfit or fl~at was not otherwise taken into consideration by fl~e existing pemfit, fl~e Fire Marshal may require the amendment to be processed as a new Gas Well Pemfit application. F. The failure of the Fire Marshal to review and issue an amended Gas Well Pemfit within fl~e tinge linfits specified above shall not cause fl~e application for fl~e amended pemfit to be deemed approved. G. The decision of fl~e Fire Marshal to deny an amendment to a Gas Well Pemfit shall be provided to fl~e operator in writing within 10 days after fl~e decision, including an explanation of fl~e basis for fl~e decision. The operator may appeal any such denial to fl~e City Council. 35.22.14 Transfer of Gas Well Permits. A Gas Well Pe-mti*--------m-ayPemfit may be transferred by the operator without the consent of the City if the transfer is in writing signed by both parties, if the transferee agrees to be bound by the temps and conditions of the transferred pem~it, if all infom~ation previously provided to the City as part of the application for the transferred pemfit is updated to reflect any changes, if the transferee provides the insurance and security required by Section 35.22.8 and Section 35.22.9. The insurance and security provided by the transferor shall be released if a copy of the written transfer is provided to the City. The transfer shall not relieve the transferor from any liability to the City arising out of any activities conducted prior to the transfer. 35.22.15 Inspection. A. The Fire Marshal and/or the oil and gas inspector shall have the authority to issue any orders or directives required to carry out the intent and purpose of this Subchapter. Failure of any person to comply with any such order or directive shall constitute a violation of this Subchapter. B. The Fire Marshal and/or the oil and g~.~.....~.!!~.pector shall have the authority to enter and insp.~g.t.....~!!.y premises covered by fl!e provisions of tiffs Subsection to detemfine compliance wifl~ fl~e provisions of tiffs December 11, 2003 22-17 Subchapter23 Development Code Subsection and all applicable laws, rules, regulations, standards, or directives of any local state or federal authority: The oil and ga_s_i_n__s_pector shall conductperiodic inspections of all wells pemlitted under this Subchapter. 35.22. l=65Remedies of the City. A. If an operator (or its officers, employees, agents, contractors, subcontractors or representatives) fails to comply with any requirement of a Gas Well Pemlit (including any requirement incorporated by reference as part of the pemlit), the Fire Marshal or oil and gas inspector shall give written notice to the operator specifying the nature of the alleged failure and giving the operator a reasonable time to cure, taking into consideration the nature and extent of the alleged failure, the extent of the efforts required to cure, and the potential inlpact on the health, safety, and welfare of the community. In no event, however, shall the cure period be less than 30 days unless the alleged failure presents a risk of imminent destruction of property or injury to persons or unless the alleged failure involves the operator's failure to provide periodic reports. The Fire Marshal or oil and gas inspector may issue a Stop Work Order under the Fire Code. B. If the operator does not cure the alleged failure within the time specified by the Fire Marshal and/or oil and gas inspector, the Fire Marshal and/or oil and gas inspector may notify the Railroad Commission and request that the Railroad Commission take appropriate action (with a copy of such notice provided to the operator), and file City may pursue any other remedy available-~ d~i-s---~-h~er. C. If file operator does not cure file alleged failure wifllin file time specified by the Fire Marshal and/or oil and gas inspector, the Fire Marshal and/or oil and gas inspector may upon recommendation of file Construction Advisory Board: 1. Recommend to the City Council fllat file Gas Well Pemlit be suspended until file alleged failure is cured; or, 2. If file operator fails to initiate and diligently pursue a cure recommend to file City Council fllat file Gas Well Pemlit be revoked. D. The decision of file Fire Marshal and/or oil and gas inspector to recommend suspension or revocation of a Gas Well Pemlit shall be provided to file operator in writing at least ten (10) days before any action by file City Council unless file all resent a risk of inmlinent destruction of persons7 E. If a Gas Well Pemlit is revoked, the operator may submit an application a new Gas Well Pemlit for file same well. 35.22.17~6Enforcements, Right of Entry. A. The Fire Marshal and the oil and ~ inspector isarc .... ~.~,~ .......... are authorized and directed to enforce this Subchapter and the provisions of any Gas Well Pemlit. Wtmnever necessary to enforce any provision of this Subchapter or a Gas Well Pemlit, or whenever there is reasonable cause to believe there has been a violation of this Subchapter or a Gas Well Pemlit, the Fire Marshal and/or oil and ga_s__i__n_s_p__e_O_o_r, or therehis designated representative, may enter upon any property covered by this Subchapter or a Gas Well Pemlit at any reasonable tinle to inspect or perfoml any duty inlposed by this Subchapter. If entry is refused, the City shall have recourse to every remedy provided by law and equity to gain entry. B. It shall be unlawful and an offense for ally_person to do the following; 1. emfitted by the temls of a Gas Well Pemlit issued under this Subchaplc.r; December 11, 2003 22-18 Subchapter23 Development Code 2. fail to comply with any conditions set forth in a Gas Well Pemfit issued under this Subchapter; or 3. violate any provision or requirement set forfl~ under tiffs Subchapter. The enforcement and p_e_n__aL~__provision under Subsection 35.1.10.4 shall _apply to a violation of this Subchapter 1.engage in any activity not pem~itted bythe temps ora Glas Welt Pemfit issuedundee d~is Subchapter; December 11, 2003 22-19 PLANNING AND DEVELOPMENT DEPARTMENT City Hall West- 221 N Elm - Denton, Texas 76201 voice: (940) 349-8350 fax: (940) 349-7707 www.cityofdenton.com Gas Well Development Plat Checklist Attachment 4 Failure of applicant to provide required information or obtain waiver from DRC Chair constitutes grounds for refusal of plat acceptance for processing, or staff recommendation of denim when application is scheduled for consideration. Please note that this checklist is intended to assist developers and design professionals in the preparation of submittals for DRC review and are generally what is needed to facilitate the review of the gas well development plat. Under special circumstances, additional items may be required through the Development Review Committee process prior to approval. See DRC Submission Date schedule for application submission deadlines. A complete application form, the appropriate fee (as listed on the Development Review Fee Schedule) and a total of twelve (12) copies of the plan (indi¼dually folded) are required for each submission. Any person who proposes extraction of gas on a tract of land located within the corporate limits or within DMsion 1 of the City's Extraterritorial Jurisdiction, and is not required by chapter 34 to prepare a preliminary plat or final plat, shall prepare a gas well development plat. (1) Gas well development plats shall be processed in accordance wit TEX. LOC. GOV'T CODE ANN. ~212.041 through 212.050 (Vernon Supp. 1994) and no new gas development may b%dn on property until the gas development plat is filed and approved by the city in accordance with such section 34-34. (2) All proposed gas development shall be in compliance with the Roadway Component of the Mobility Plan. (3) Erosion control is required and shall comply with all Local, State and Federal requirements. The operator shall £fle a copy of the Storm water Pollution Plan if required by the EPA. (4) Reserve pits closer than 200' of a floodplain, lake, creek or stream shall be lined to prevent water pollution. (5) ...... .A copy of the determination by the Texas Commission on Environmental Quality of thc depth of usable quarry k~ound water. (6) Prior to approvM of a gas development plat or per,t, a Road Repair Agreement, that w~l obligate thc operator to repair damage to pubhc streets including but not h~tcd to bridges, caused by thc operator (or by thc operator's employees, agents, contractors, or representatives) in thc performance of any actMty authorized by or contemplated by thc approved Gas Well Petit must be executed by thc City of Denton. Thc City manager shM1 have thc authority to enter into thc Road Repair Agreement. (7) Prior to approvM of a gas development plat or pcr~t thc rcqMrcd insurance and performance bonds shall bc Gmardcd to thc LcgM Department for review and approval. (8) In addition to thc requirements of Scchon 35.16 (Contents of prcliminau~ plat, if applicable) a gas well development plat shall: Identify truck routes ..... .to be use for delive~ of useable quality ground water. Identi~; location and dimensions of existin~osed drivewa~ to be used. Identify Environmentally Sensitive Areas (ESA's) any proposed floodplain, creek and stream crossings. [] Ail floodplain, creek and stream crossings, if not at grade, shall be designed to a 1 O-year storm frequency. [] Ail floodplain crossings shall have no negative affects on surrounding property. [] A drainage study sufficient to substantiate the above requirements will be required as part of the submittal if crossings are proposed. [] Show the location and use of all structures within 500 feet of the gas well. [] Identify the proposed source of water. [] Identify and show proposed method of erosion control. Page 1 of 3 C:\My Documents\PROJECTS\StaffInitiated\SI03-0024 (Gas Wall Amendmens)\10-Gas Well Checklist Revised 12-03.doc Fotm Updated:12/2003 PLANNING AND DEVELOPMENT DEPARTMENT City Hall West- 221 N Elm - Denton, Texas 76201 voice: (940) 349-8350 fax: (940) 349-7707 www.cityofdenton.com Gas Well Development Plat Checklist Identify the location of proposed lease lines and well locations. [] Label distance between wells and property lines. [] Label distance between wellheads and structures within 500 feet of wellheads. [] Label distance between temporary holding ponds and floodplains. [] Provide typical well site schematics showing layout during drilling and upon completion of drilling. [] Show location of all proposed underground pipelines. As built drawings shall be Fried with thc City. proposed in public right-of-ways shall require a Right-of-way Usc Agreement. [] Identify if pipelines connect with a Gas Distribution System. All pipelines General Requirements [-I An application form, the appropriate fee (as listed on the Development Review Fee Schedule) and a tot~ of ~clvc (12) copies individually) folded with name of project in lower right corner. ~ Drawn to sclc: 1" = 50' or 1" = 100' (smaller of larger scale may be accepted o~y if approved by Development Review Committee Chair). ~ Drawn on a sheet size of 18" X 24" or 24" x 36" (smiler of larger sheet size may be accepted only if approved by Development Review Com~ttee Char). Legend of instruments on the gas well development plat - preferred. ~ The date, written and ~ap~c sclc, north arrow, proposed name of the development, key map showing the location of the development in relation to existing streets and highways and dates of preparation and revisions. ~ Tide Block cont~ng: Proposed name of the subdivision or lot on record, acres in platted and unplatted land and tot~ of those acres, survey and juris~cfion (City of Denton, County of Denton, Texas, for example). Thc date of a cation; and revision date s, ~ .......... , ....... , ....~ .................................. ~ The name~ ar~fi address phone number and emil address of the property owner or owners, ~neral owners, ~neral lessee and the planners, registered engineer, surveyor or other representatives processing the gas well development plat. ~ The names of the record owners of contiguous undeveloped lands. Name of the subdihder or developer, record owner or owners and the planners, re~fistered engineer, surveyor or other representatives processing the (GWD~) plat. ~ The name of each gas wall and its operators name. ~ Any city or extraterritorial lines traversing or on the boundaD; of the development. ~ Include signature block for the Development Rehew Com~ttee Ch~rman, the City SecretaD;. Property owner, a representative responsible for processing the gas we~ development plat and design profession~s must also sign the gas development plat. Boundaries, Acreage, Zoning and Uses The development boundaD; thCS, shown by contiguous dark lines of sufficient width to be easily identified. The total acreage within the development, the identification of each existing and proposed type of land use, and the acreage of each use. ~1 existing or proposed lots and blocks identified by letter or number witch the development and the names and lot patterns of contiguous developments, shown by dotted or dashed lines. ~ The existing and proposed zo~ng of the land to be developed and the zo~ng of adjacent land. ~ The location and identification of a~ existing b~ldings, paring lots, driveways, and other sig~ficant structures. Page 2 of 3 C:\My Documents\PROJECTS\Stafflnitiated\SI03-0024 (Gas Well Amendmens)\10-Gas Well Checklist Revised 12-03.doc Form Updated: 12/2003 PLANNING AND DEVELOPMENT DEPARTMENT City Hall West- 221 N Elm - Denton, Texas 76201 voice: (940) 349-8350 fax: (940) 349-7707 www.cityofdenton.com Gas Well Development Plat Checklist Utilities [-I Identify and show the identification, location and size of all existing public facilities, including water and sanitary sewer lines and the associated easements that are located within or on the boundaries of the development. [-I The identification, location, and size of all existing water and sanitary sewer lines and the associated easements that are proposed to serve the development, showing the location, size, and distance of any existing lines to which connections are proposed. [-I Detailed information on the means by which any alternative water or sanitary sewer service is to be provided, such as be wells or septic systems. [-I Thc location and routing of all existing or proposed lines, easements, and facilities for providing electrical services for the development. [-I The identification, location and size of all existing gas, petroleum, or similar common carrier easements located within or on the boundary of the development. Streets, Sidewalks and Driveways [-I The identification, location and size of all existing streets and street rights-of-way located within the development or adjacent developments. [-I The identification, location, and size of all proposed streets, sidewalk and slope rights-of-way which are to serve the development, showing the proposed connection or alignment with existing or proposed streets in adjacent developments. Where there is no adjacent development and there are arterial or collector streets proposed for the development, a key map shall be included to show the proposed future alignment and connection of the arterial or collector streets to the same type of streets in the nearest development. [-I The location and width of any existing or proposed driveways that accesses or proposed to access any existing or proposed arterial street located within or on the boundary of the development. [-I If a Road Repair Agreement is required, a video documenting the existing road conditions will be required prior to approval of the Road Repair Agreement. Drainage [-I The topography of the exishng land included within the development and any major changes in topography resulting from development as shown by contour lines of two (2) foot vertical intervals. Upon prior approval of the city engineer, different contour intervals may be used. [-I The identification, location, and approximate dimensions of all existing and proposed water courses, ponds, detention ponds, ditches, channels, floodway and floodplain boundaries, storm water improvements, drainage easements, or similar natural or man-made drainage facilities or features located within or outside the boundaries of the development that do or will affect or impact stormwater drainage on or across the site. [-I Idenhfy and show proposed method of erosion control if applicable (may be accomplished in notes). [-I Minimal drainage requirements: [-I Label and show any FEMA 100-year floodplain and floodway on the plan. Label and show centerline of any stream, creek, swale, etc. [-I Proposed top of drilling pad site elevation. [-I Show location, size, length and type of existing and proposed driveway culverts. All culverts shall be RCP or aluminized Type II pipe. [-I Provide Drainage area map and supporting calculation per drainage criteria manual for all drainage areas contributing to the proposed driveway culverts and flood plain crossings Page 3 of 3 C:\My Documents\PROJECTS\Stafflnitiated\SI03-0024 (Gas Well Amendmens)\10-Gas Well Checklist Revised 12-03.doc Form Updated: 12/2003 ATTACHMENT 5 Monitoring and AssessmeN Plan for Gas Well Drilling in the Floodplains and other ESA's. Bold items are Ray Stevens original questions submitted 11-22-03 Normal text is Ken Banks responses, 11-24-03. Blue items are Ray Stevens Response on 11-24-03 Green items are K. Banks reply on 11-25-03 Stevens: Is this just for the floodplain/esa areas or for all wells? Banks The cost for the anti-degradation water quality sampling is divided among all wells, not just those located in an ESA. Monitoring will be watershed-wide. Stevens: What is the standard/rule for erosion control/housekeeping inspections? Banks There will likely be an erosion coNrol inspection checklist that will be used for inspecting all sites. Erosion control inspections will emphasize the presence and maintenance of erosion control devices and will ultimately be concerned with the movement of sediment or other coNaminaNs off-site. Good housekeeping will be concerned with the containmeN of hazardous materials, the proper labeling and storage of chemicals, and the coNainmeN of leaks or spills. If requested, the checklist can be provided to operators. Stevens: I would think the checklist should be part of the package preseNed for approval. Is this consistent with you thinking? Banks This is a new form that will need to be produced. I am working on it, but I do not know if it will be finished before materials have to be submitted to P&Z. Stevens: What are the penalties for non-compliance? Banks This is really a Planning and Development question, but I expect that the penalties for non-compliance will be similar to those already in the code. A stop-work order may be issued, permits may be revoked, or fines may be levied (not to exceed $2000/day under the curreN code). Stevens: What are the parameters of the Environmental Assessment? Is this just a tree survey or are there other parameters? Banks There are two types of environmental assessments that will be conducted, depending on where the well is located. If the well is within a floodplain but not within a riparian buffer, there will simply be a review of the tree survey that will be required for the site (the tree survey will be provided by the operator, not conducted by City of DeNon staff), plus a general site visit to make sure there are no other issues with the site. If the proposed site is located in a riparian buffer, there will be an ESA assessment to determine if the buffer truly is an ESA and to rate the buffer in terms of "environmeNal quality". This second type of inspection is required for any development that occurs in the City that has the potential to impact an ESA. Stevens: Is this the ESA form that you gave me a copy oF If so, this should also be included as part of the proposal. Banks It is the same copy, and I have sen a copy for Reichhart to include in the P&Z materials Page 1 of 4 Stevens: Are pit samples just for floodplain/esa areas or for all locations in the City or ET J? Banks Under the proposed plan, there will be sampling from all pits in the City and ETJ. The sampling for all pits will occur at least 2 times per lifetime of the pit. The suggested standards for TPH and BTEX were to be applicable to those pits in the floodplain areas and other ESAs, since many of these pits by definition will have at least a 1% chance (and in some cases will have a much greater than 1% chance) of inundation during any given year. We based the initial approach for pit sampling on statements indicating that TPH and BTEX compounds would be very low in the pits. These statements were made during the tour of drilling sites on 11-6-03 that was attended by Utility Staff and members of the Chamber of Commerce sub-committee. The TPH and BTEX samples for wells outside of the 100-year floodplain or other ESAs will be used as a measure of good housekeeping and will only be expected to meet state regulatory guidelines. Stevens: Since gas development is regulated by the TRRC, could you provide some insight on the regulatory guidelines you refer to? Banks You have mentioned TRRC regulatory guidelines that are based on landfarming. I would like to see those guidelines as stated in TRRC regs to determine adequate levels for pits located outside of the floodplains and other ESA areas. Please provide this information as soon as convenient. Stevens: The TPH analysis will most likely be a violation each time. This is an issue that needs to be considered carefully. As City of Denton personnel, we have to manage for the worst-case scenario. For the issue of drilling in the 100-year floodplain, worst case translates into a 100-year flood event and the associated inundation. If pits contain a substantial amount of either TPH or BTEX, these chemicals will be the first things to leave the pits and flow downstream during inundation. It does not take much of this material to cause a theoretical violation of a drinking water / stream standard or to produce a theoretical level in the lake that would cause ecological and / or treatment problems. The issue of pits in the floodplain thus continues to be a problem. If steel pits are considered to be a burden on the industry and building the pit up to be above freeboard during a 100-year storm could exceed the floodplain fill requirements or make the pits unworkable, keeping the amount of TPH and BTEX in the pits low is the only way to ensure that the water supply is not jeopardized. Although the risk that a 100 year event will occur is relatively low, the proposed activities would allow drilling well inside the 100 year floodplain, up to the floodway, which may represent an area that is much more likely to be inundated. Since the inundation of a pit that contains TPH or BTEX is a real threat to both our drinking water and the ecological / recreational value of Lake Lewisville, risk levels must be very low to be acceptable. Stevens: This will have to be addressed with the drilling contractor. I believe that the BTEX can be controlled; however the TPH will be harder since some leakage on the equipments does occur. Again the TPH will have to be addressed with the drilling contractor. Banks If the problem is leaking equipment, it seems that this could be resolved by using some good housekeeping measures like drip containment, adsorbent materials, proper storage of materials, etc... We do need to discuss this issue in depth, as we will need to reach a resolution before we can completely modify the code. Regardless of the source of the TPH (contractor, etc...), the fact remains that we have an open pit containing TPH within an area that, by definition, is subjected to inundation. If TPH levels are high and a flooding event occurs, there could be a significant amount of TPHs transferred to surface waters Page 2 of 4 Stevens: For the watershed's listed, is historical data available for the sampling parameters? I did not find any hydrocarbon data. How will you know if the source is from gas wells? Dates listed for analytical are from 2001 forward. Is data available prior to 20017 Are the inlets from city sites going to be monitored? Banks There have been no hydrocarbon samples routinely collected during watershed monitoring activities, although many other types of water quality parameters have been collected since 2001. However, the concept of watershed monitoring is to look for changes over time. For example, if an increase in hydrocarbon concentrations or some other type of change in water chemistry is observed, a pollution event may have occurred. If this happens, additional samples will need likely to be collected to demonstrate the source of the contamination. Although the routine monitoring that has been suggested will give an idea that a problem exists, additional monitoring will be needed to determine the source of the problem. I am not sure what is meant by the phrase "inlets from City sites". If you mean "are well sites in the City going to be monitored" the answer is yes. If you mean "are other areas (and potentially sources other than gas wells) going to monitored in the City", the answer is also yes. We sample 73 areas around the city on a monthly basis, and thus have a good idea of what is "normal" and "not-normal" water chemistry. Stevens: I totally agree with the concept of developing a trend over time. My concern is that hydrocarbons may have been present in the past but not detected. When referring to "inlets from the City" I was referring to creeks that come into Walnut Creek from areas of the City that do not have any drilling activity. Banks I envision looking at increases in contamination over time. If monitoring activities indicate hydrocarbon levels are currently low and then indicate an increase as drilling activities increase, this would indicate a potential contamination issue. If a potential contamination issue is identified, further targeted sampling is warranted. It is at this point that additional sampling will be considered, which may take the form of an "upstream-downstream" study or a study to eliminate the "inlets from the City" as sources. FYI - I think that you were referring to either Hickory Creek or Pecan Creek, not Walnut Creek. Stevens: How will the City determine the source of the violation? Where is the intake associated with Hickory Creek? If the intake is over by 1-35, there is a large body of water between the entry point and the intake. Is consideration being given to other sources of the constituents other than drilling? Turbidity could result from farming, construction, roadwork or other sources. TPH/oil and grease could also be the result of the previous operations. Banks This is why some additional sampling may be needed. The intake on Hickory Creek is located near 1-35, which is why protection of the Hickory Creek arm of the Lake is particularly important. As stated, turbidity can result from a lot of other sources, and we have a good understanding of the ranges of turbidity that we expect from our watersheds through our monitoring program. If there is a problem, additional visual assessment or upstream / downstream sampling of a particular site may be warranted. The ability to conduct continuous monitoring can also be used to determine if impacts are occurring. We can place continuous monitoring devices anywhere they are needed in the watershed, which will allow us to isolate and monitor small, targeted sections of the watersheds. If previous operations have caused a measurable concentration of contaminants in surface waters, monitoring is absolutely crucial to determine the extent of contamination, sources of contamination, and to minimize future contamination. Page 3 of 4 Stevens: I agree with your strategy on the additional monitoring points. Stevens: Reserve Pit Analysis Results 1 of 12 exceeded the TPH (208 mg/L) Actual TPH value. 3 of 12 exceeded the Xylene for Total BETX (16, 1.84, 3.10 ug/L) These are the actual values. 1 of 12 exceeded the Benzene (0.584 ug/L) This is the Benzene value for the reserve pit. Xylene may be from a solvent? I do not know about the Benzene. Banks I am unsure what "exceeded" means in this context. Do you mean that the 1 TPH sample exceeded our suggested criterion of 15 mg/L, and that concentration was 208 mg/L? We provided a total BTEX standard of 500 ug/L, but nothing to my knowledge that was specific to Xylene. As far as sources go, Xylene may be used as an emulsion breaker in the fluids, a gelling agent, anti-corrosion agent, fuels, etc .... Benzene can come from a lot of different sources, including gelling agents, fuels, etc .... Stevens: The 1 TPH value was 208 mg/L. You are correct on the Xylene, the sum of the values did not exceed the 500 ug/L value. Stevens: The Benzene value is over the limit. I will have to review the additives to determine if Benzene is a constituent. On the basis that the other pits did not contain Benzene, I am suspicious that another factor is involved. Banks: Thanks for the clarification. I would like to see the raw numbers from the TPH and BTEX monitoring effort as soon as convenient. Stevens: Thank you for taking the time to answer the questions. Not a problem! -KB. Page 4 of 4 Riparian / ESA Assessment Form Version 1 Owner: Address or Location: Stream Name: Approximate Width Order: General Land Use (Current) p Forest ['- Agricultural (crop , grazing, pasture,fallow) F Residential (low intensity, high intensity ~ Commercial / Industrial ['" Recreational ['-Other: Purpose of Riparian Buffer (check all that apply) F' intercept sediment F intercept pesticides F lower water temperature F Improve fish habitat F" aesthetics ~ Privacy Intercept nutrient s / fertilizers intercept other pollutants help stabilize streambank improve wildlife habitat (species of interest Stream bank condition Evidence of frequent water level changes (Yes / No) Slope of bank Type of soil: clay / sand / sandy loam / gravel / ledge Active erosion: slight / moderate / severe Top of Bank Existing plant cover: little ~one / moderate / well vegetated Type of cover: Invasive exotics present? Approximate area of infestation: Existing plant cover: little ~one / moderate / well vegetated Type of cover: Large leaning trees? Invasive exotics present? Approximate area of infestation: Floodway present? Soil type: Page 1 of 8 Above the Bank Active erosion: slight/moderate / severe Slope: Does the land slope toward or away from water? Does the land direct runoff towards the buffer? Evident of sheet flow or concentrated flow? Plant cover on existing land: little ~one / moderate / well vegetated Type of cover: Invasive exotics present? Approximate area of infestation: Nuisance wildlife present? Yes / No Species Water quali .ty Color: clear / slightly turbid / turbid / very turbid Type and quantity of Potential Pollutants From Drainage Area (check all those that apply) F Lawns, landscapes, or other areas where fertilizers or pesticides are used F Land intesively cropped with exposed soils ar certain times of the year F Commercial fertilzer used ~ Commercial pesticides used F Grazing animals use the drainage area F Parking lots or roads send runoff into the stream F Steep slopes drain into the stream F Sensitive fisheries present F' Plant or animal species of concern are present ~ Stream used for swimming or boating ~ Stream is used as a drinking water source ~ A well is located near the stream F Construction is proposed in the drainage area. Construction is: 1'~ Low impact potential (parks, low density residential ~ High impact potential (urban, commercial development ~ Stream / watershed is in close proximity (3-4 miles) to a downstream surface water supply Grazing animals have access to the stream ['- Stream is used as a drinking water source Page 2 of 8 Vegetation Brief Survey Bank Dominant species 1. % cover Buffer Dominant species 1. % cover Hydrology Indicators Inundated Soil Saturated in Upper 12 inches Water marks Sediment Deposits F Oxidized Root channels in upper 12 inches [-' Water stainedleaves ['- Drift lines ['- Evidence of drainage pattern Comments: Hydric Soil Indicators Histosol Histic Epipedon Sulfidic odor Aquic Moisture Regime Reducing conditions Gleyed or Low Chroma Colors Comments: F Concretions ['- High surface organic content ['- Organic streaking in sandy soils F Listed on local hydric soil list ~ Listed on national hydric soils list F Other (explain in comments) Page 3 of 8 Required Attachments: Conclusions Based upon the site inspection by the City of Denton, the area in question is NOT an ESA requiring 50 or 100 foot buffers and therefore is not subjectedto the ESA requirements outlined in the Denton Development Code. All other appropriate aspects of Denton Development Code, however, still apply. The official city ESA map will be updated to remove the area from ESA status Based upon the site inspection by the City of Denton, the area in question IS an ESA and is subject to the requirment set forth Section 17 of the Denton Development Code (if this box is checked, fill out supplemental RSAT form) Based upon the site inspection by the City of Denton, insufficient information is available to determine the ESA status o area in question. A more extensive inspection is required from either the City of Denton or the property owner. The determination of the ESA status is permanently valid and may only be revisited if significant new information that necessitates a major change in the determination becomes available. A request for reconsideration of the determination may be submitted in writing by the applicant, landowner, or agent within 30 days of the date below. Signature of field investigator: Date: Approval: Date: Page 4 of 8 Supplemental RSAT Form Rapid Stream Assessment Techniques DRAFT version 1 RSAT Evaluation Category General Rating Categories and Associated Point Ranges Excellent Good Fair Poor Points 1. Channel Stability 9-11 6-8 3-5 0-2 2. Channel Scouring / Deposition 7-8 5-6 3-4 0-2 3. Physical In-stream Habitat 7-8 5-6 3-4 0-2 4. Water Quality 7-8 5-6 3-4 0-2 5. Riparian Habitat Conditions 6-7 4-5 2-3 0-2 6. Biological Indicators 7-8 5-6 3-4 0-2 Enter NA for not applicable categories Total Total Points Verbal Ranking Total Score 42-50 Excellent 30-41 Good 16-29 Fair <16 Poor (or > 84 percent of total) (60 _< percent of total > 84) (32 _< percent of total >60) (less than 32 percent of total) or % of total (ifNA is entered on any category) Table 1. Channel Stability Category Relative Significance Excellent Good Fair Poor > 80% of bank 71-80 % of bank network 50-70 % of bank < 50 % of bank network Indicative of network is stable. No stable. Infrequent signs of network stable, stable. Recent signs of bank hydrological flow evidence of bank bank sloughing, slumping Some signs of bank sloughing, slumping or regime alteration sloughing or failure or failure, sloughing, slumping failures are frequently and general or failure, observed. condition of physical / aquatic Stream bend areas are Stream bend areas are Stream bend areas Stream bend areas are highly habitat very stable. Outer stable. Outer bank height are unstable. Outer unstable. Outer bank height bank height is slightly 2-3 ft. above stream level, bank height is significantly above stream above stream level. Bank overhang slight to substantially above level. Overhangs are large Bank overhang moderate stream level. Bank and deep. Provides insight minimal overhang is into the past, substantial present, and possible future Exposed tree roots old, Exposed tree roots old and Young exposed tree Young exposed tree roots are changes in stream large, and woody, large, smaller young roots roots are common, abundant. 6 or more recent channel Generally 0-1 recent scarce. 2-3 recent large 4-5 recent large tree large tree falls per stream morphometry, large tree falls / stream tree falls / stream mile falls per stream mile mile. mile Bottom 1/3 of bank is Bottom 1/3 of bank is Bottom 1/3 of bank is Bottom 1/3 of bank is highly generally highly generally highly erosion generally highly erodible material. Plant / soil erosion resistant plant resistant plant / soil matrix erodible material, matrix is severely / soil matrix or or material Plant / soil matrix is compromised or nonexistent. material compromised. Channel Cross section Channel cross section is Channel cross section Channel cross section is is generally V or U- shaped as a '~ecide" U. is generally generally shaped like a wide shaped trapezoid-shaped trapezoid to rectangle Point range 9-11 6-8 3-5 0-2 Points given Page 5 of 8 Table 2. Channel Scouring and Sediment Deposition Relative Significance Excellent Good Fair Poor Relates to the level Riffle embedded < Riffle embedded 25 to Riffle embedded 50- > 75 % riffle embedded (> of uncontrolled 25% sand / silt (<35 % 49% sand/silt (35 to 59 75 % (60 to 85% 85% for larger streams) storm water runoff; for larger order % for larger order streams) embedded for larger sediment load, and streams) streams) transport and degradation of in- Potential for high Potential for moderate Potential for low Potential for few, if any, deep stream habitat number of deep pools number of deep pools, number of deep pools. Pool substrate >80 (2 ft. or deeper). Pool Pool substrate 30-59 pools. Pool percent sand / silt substrate < 30% sand / percent sand / silt. substrate is 60 to 80 silt percent sand / silt Streambed streak Streak marks or banana- Streak marks or Streak marks or banana- marks and / or banana- shaped deposits are banana-shaped shaped deposits are very shaped sediment uncommon deposits are common common deposits are absent Fresh, large sand Fresh, large sand deposits Fresh, large sand Fresh, large sand deposits deposits in channel are in channel are uncommon, deposits in channel very common in channel. rare or absent. No Small localized areas of are common. Moderate to heavy sand evidence of fresh fresh sand deposits along Moderate numbers of deposition along major deposition on the top of low banks localized areas of portions of the overbank area overbank areas fresh sand deposits along the top of low banks Point bars are few, Point bars are small and Point bars are Point bars are moderate to small, stable, and are stable, and are well moderate to large large sized and unstable, with well vegetated and / or vegetated and / or covered sized and are high amounts of fresh sand covered with little or with a moderate amount of unstable. High present in most stream bends no fresh sand on point fresh sand amounts of fresh bars. sand are common Point range 7-8 5-6 3-4 0-2 Points given Page 6 of 8 Table 3. Physical In-stream Habitat Relative Significance Excellent Good Fair Poor Relates to the wetted perimeter >85 wetted perimeter 61 to 85 wetted perimeter 40 to wetted perimeter < 40 ability of the percent of bottom percent of bottom channel 60 percent of bottom percent of bottom channel stream to meet channel width during width during seasons channel width during width during seasons basic physical seasons where water where water flows (non- seasons where water where water flows (non- requirements flows (non-storm storm water base flows) flows (non-storm water storm water base flows) necessary for the water base flows) base flows) support of a well balanced aquatic Evidence of riffles, Good mix between riffles, Few pools are present Dominated by one habitat community (i.e, runs and pools is runs, and pools. Evidence and riffles / runs type (usually runs) and one water temperature, present. Stream will of relatively diverse predominate. Depth is velocity / depth condition. water velocity, likely have areas of velocity and depth of flow shallower and more Velocity / depth diversity substrate type and diverse flow is water when water is present, uniform, is very low. quality, etc...) is present. Riffles are composed Riffles are represent a Riffle substrate Riffle composition is of cobble, gravel, or good mix of cobble, composition is predominantly small gravel rubble with little sand gravel, or rubble(25-49 % predominantly small with a high percentage of / silt (> 50 percent larger material) cobble with gravel and sand (<5 percent cobble). larger material) sand (5-24 % cobble) Riffle depths are > 6 Riffle depths are 4.0 to 5.9 Riffle depths are 2.0 to Riffle depths are less than inches deep during inches deep during periods 3.9 inches deep during 2 inches deep during periods when water when water flows (non- periods when water periods when water flows flows (non-storm base storm base flows) flows (non-storm base (non-storm base flows) flows) flows) Large pools are Large pools are generally Large pools are Large pools are generally < generally > 24 inches 18 to 24 inches deep. generally 12 to 18 12 inches deep. deep. inches deep. No channel alteration Slight amount of channel Moderate amount of Extensive channel modification channel modification modification Summer afternoon Summer afternoon water Summer afternoon Summer afternoon water water temperature in temperature in middle of water temperature in temperature in middle of middle of water water column 82 89 middle of water column water column > 94 degrees column < 82 degrees degrees 89 94 degrees Point range 7-8 5-6 3-4 0-2 Points given Page 7 of 8 Table 4. Water Quality (only applicable when the stream is actively flowing) Relative Significance Excellent Good Fair Poor Indicative of Substrate fouling level Substrate fouling level Substrate fouling level Substrate fouling level watershed 0-10 % on the light (11-20 %) on the moderate (21-50 %) on high ( > 50 % ) on the perturbations / underside of rocks underside of rocks (refers the underside of rocks underside of rocks (refers general level of (refers to the to the percentage of a (refers to the percentage to the percentage of a human activity, percentage of a cobble cobble sized stone lying of a cobble sized stone cobble sized stone lying point and non- sized stone lying free free in the streambed that lying free in the free in the streambed that point source in the streambed that is coated with biological streambed that is coated is coated with biological pollutant loadings, is coated with growth), with biological growth), growth). and aquatic habitat biological growth). conditions. Only applicable during TDS 350-399 mg/L TDS 400-449 mg/L TDS 450-500 mg/L TDS >500 mg/L times when the stream is actively Water has no odor Water has slight organic Water has slight Water has moderate to flowing odor moderate organic odor strong organic odor Point range 7-8 5-6 3-4 0-2 Points given Table 5. Riparian Habitat Conditions Relative Significance Excellent Good Fair Poor Provides insight Wide (<200 feet) Forested buffer generally Riparian area is Riparian area is mostly into changes in mature forested buffer more than 100 feet wide predominantly wooded, non-woody vegetation, stream energetics, along both banks along the major portion of but there are major with narrow-width riparian temperature both banks localized gaps in one or areas. regimes, and both both banks aquatic and terrestrial habitat Canopy coverage Canopy coverage provides Canopy coverage Canopy coverage provides conditions, provides > 80 percent 65-79 percent shading for a provides 45-64 percent < 45 percent shading for a shading for a majority majority of the stream (45 shading for a majority majority of the stream (<30 of the stream (> 60 to 59 percent for large of the stream (30-44 percent for large streams) percent for large streams) percent for large streams) streams) Point range 6-7 4-5 2-3 0-1 Points given Table 6. Biological Indicators (only applicable when the stream is actively flowing) Relative Significance Excellent Good Fair Poor Considered to be Diverse community of Mayflies and caddisflies Pollution tolerant Low diversity, generally the best overall macroinvertebrates are present. Good overall caddisflies, midge larva dominated by midge larva indication of dominated by mayflies diversity or other dipterans or other dipterans, aquatic stream health and and caddisfies. Few predominant, large worms, and snails. the level of snails, leeches, aquatic number of aquatic watershed worms present worms, lower diversity perturbation. Moderate to high Moderate to high number Low to moderate Very low number of number of different of different organisms number of individuals individuals organisms Point range 7-8 5-6 3-4 0-2 Points given Page 8 of 8 * Rt~C: Waste Minimization.in Drilling Operation Page 1 of 11 OIL and GAS DIVISION WASTE MINIMIZATION IN DRILLING OPERATIONS Introduction Waste minimization has been proven to be an effective and beneficial operating procedure. You will find that there are many economically and technically feasible waste minimization techniques that can be used in drilling operations. In fact, many oil and gas operators have implemented waste minimization techniques and have enjoyed benefits such as: reduced operating and waste management costs; increased revenue; reduced regulatory compliance concerns; reduced potential liability concerns; and improved company image and public relations. Choosing feasible source reduction and recycling options (i.e., waste minimization) is a smart business decision. Waste minimization is part of the concept of the "Waste Management Hierarchy." The Waste Management Hierarchy sets out a preferred sequence of waste management options. The first, and most preferred option is source reduction. Source reduction is any activity that reduces or eliminates either the generation of waste at the source or the release of a contaminant from a process. The next preferred option is recycling. Recycling is the reclamation of the useful constituents of a waste for reuse, or the use or reuse of a waste as a substitute for a commercial feedstock or as a feedstock in an industrial process. Together, source reduction and recycling comprise waste minimization. The last two options, and least preferred, of the hierarchy are treatment and disposal. This document will provide a general overview of waste minimization techniques for wastes arising from oil and gas drilling operations. In addition to a discussion of waste minimization techniques for drilling waste, the document provides case histories of successful waste minimization projects and a bibliography of useful technical references. Many of the references listed in the bibliography provide detail on the successful application the waste minimization opportunities discussed in this document. The Railroad Commission also provides the publication Waste Minimization in the Oil Field. Waste Minimization in the Oil Field provides a general overview of waste minimization as a waste management practice and how to include it in an area-specific waste management plan. It also includes chapters on waste generation in oil and gas operations, identification of hazardous oil and gas waste, and the principles of waste minimization. Waste Minimization in the Oil Field is available from the RRC's Waste Minimization Program. Call (512) 463-6804 to obtain a free copy. Waste Minimization in Drilling Operations As noted in the introduction, theirs airs many economically and technically feasible waste minimization techniques that may be applied to drilting operations, An operator should consider all costs, including waste http ://www.rrc.state.tx.us/divisions/og/key_programs/ogkwodoc.html 12/10/2003 P~C: Waste Minimization in Drilling Operation Page 2 of 11 management and disposal costs, when evaluating the feasibility of a waste minimization option. For example, a substitute product or chemical may cost more, but the savings in waste management and disposal costs will make the substitution cost-effective. Source Reduction The following discussion will consider the various source reduction oppOrtunities for wastes arising from a driiling operation Preplanning The best place to start waste minimization efforts for a ddlling operation is in the planning stages. The drilling plan should be evaluated for potential waste generation and modified to take advantage of the other source reduction and recycling options discussed below. A discussion of anticipated waste generation and management should be an integral part of the pre-spud meeting. This preplanning can make a significant impact on the waste management requirements of the drilling operation. Drill Site Construction and Rigging-Up: A preplanning opportunity for a drilling operation is in the construction of the location and roads. The drilling location and the associated roads should be planned so that they are constructed such that stormwater runoff is diverted away from the location and that the location's stormwater runoff, which may be contaminated, is collected. Construction of the location and roads should be planned so that erosion is minimized. These steps will help minimize the volume of contaminated stormwater runoff to be managed. Also, the location size should be only as large as absolutely necessary. Location construction costs, including the cost of the disposition of cleared trees and vegetation, can be reduced. As well, the image of such an operation, as perceived by the general public, is enhanced. Drilling Fluid Systems: An operator should design the drilling fluid, system with waste minimization in mind. Several waste minimization opportunities'for drilling fluid systems, such as improved system monitoring, substitute fluids and improved solids control, are discussed under the remaining opportunities. These waste minimization techniques should be integrated into the drilling fluid system portion of the drilling plan. Pit Design: Another consideration in preplanning for a drilling operation is the design of the reserve pit (also see "closed-loop" drilling fluid systems under procedural changes). A major oil company has designed a V- shaped pit that provides advantages with respect to waste generation and operational costs. The open end of the "V" faces the drilling rig and the cross-sectional view looks like a squared-off funnel (about 10 feet deep with the upper 5 feet having slanted wal~s to a width of about 20 feet). This V-shape design prevents mud from channeling from the discharge point to the suction point, as it must travel the full length of the pit. Also, because the V-shaped pit is long and narrow (each leg is about 110 feet long), it is easier to construct and line, if necessary. In an actual comparison to a conventional reserve pit (for drilling similar wells using the same drilling rig), the company determined that pit construction time was reduced by about 40%, water costs for the well were reduced by about 38%, and the liner costs were reduced by about 43%. The total cost savings were about $10,800. Also, the use of water was minimized (which is applicable under the waste minimization opportunity "Reduction In Water Use"). The V-shaped pit also leaves a smaller '?ootprint." Product Substitution Product substitution is one of the easiest and most effective source reduction opportunities. Vendors are becoming more attuned to operators' needs in this area and are focusing their efforts on providing less toxic, yet effective, substitutes. Some operators, such as the one featured in the case history on page 10, have found that vendors and suppliers will start offering less toxic substitutes in response to a company's establishing inventory control procedures. A few examples of effective and beneficial product substitution for drilling operations are provided below. Drilling Fluids: Many companies have found that the substitution of Iow toxicity glycols, synthetic hydrocarbons, polymers, and esters for conventional oil-based drilling fluids is an effective drilling practice. The use of substitute drilling fluids eliminates the generation of oil-contaminated cuffings and other contamination by the oil-based fluid (e.g., reserve pit and accidental releases). Drill site closure concerns are also reduced. Drilling engineers have published numerous technical papers that describe the http ://www.rrc. state.tx.us/divisions/og/key-programs/ogkwodoc.html 12/10/2003 RI~C: Waste Minimization in Drilling Operation Page 3 of 11 successful application of substitute drilling fluids. In many instances, this substitution has resulted in significant cost savings. Also, substitute spotting fluids are available for freeing differentially stuck drill pipe. Ddtling_ Fluid Additives: Many of the additives used in the past for drilling fluids have contained potential contaminants of concern such as chromium in Iignosulfonates. Also, barite weighting agents may contain concentrations of heavy metals such as cadmium or mercury. The use of such additives has diminished. However, an operator should take care to select additives that are less toxic and that will, therefore, result in a less toxic drilling waste. The design of the drilling fluid system is the best place to implement this product substitution opportunity. Pipe Dope: Pipe connections require the use of pipe dope. American Petroleum Institute (APl) specified pipe dope contains about 30% lead by weight and, therefore, can be of concern when disposed of. One simple waste minimization technique is to ensure that all pipe dope is used and containers are completely empty. However, lead-free, biodegradable pipe dopes are now available and, if feasible, should be substituted for APl specified pipe dope. Even if APl specified pipe dope is necessary for making the required connections, pipe supply companies should be asked to provide pipe with lead-free pipe dope on the thread protectors. That way you can recycfe the thread protectors with fewer regulatory concerns. Organic Solvents: Organic solvents, such as trichloroethylene, and carbon tetrachloride, are commonly used for cleaning rig equipment and tools. These solvents, when spent, become listed hazardous oil and gas wastes and are subject to stringent regulation. Alternative cleaning agents, such as citrus-based cleaning compounds and steam may be substituted for organic solvents. By doing so, a hazardous waste stream may be eliminated, along with the associated waste management and regulatory compliance concerns. Another solvent commonly used on drilling rigs is Varsol (also known as petroleum spirits or Stoddard solvent). While most Varsol has a flashpoint below 140°F, which is a characteristically hazardous waste when spent, some suppliers may provide a "high flash point Varsol" with a flash point greater than 140°F. Ask for non-toxic cleaners that reduce your regulatory compliance concerns. Paints and Thinners: Oil-based paints and organic solvents (i.e., thinners and cleaners) are used less frequently today, nonetheless they are still used. These paints and thinners provide an excellent product substitution opportunity. Water-based paints should be used whenever feasible. The use of water-based paints eliminates the need for organic thinners, such as toluene. Organic thinners used for cleaning painting equipment are typically listed hazardous waste when spent. This substitution can eliminate a hazardous waste stream and reduce waste management costs and regulatory compliance concerns. Equipment Modifications Lubricatin(~ Oil. Purification Units: The drflling rig's diesel power plants typically generate large volumes of waste lubricating oil and lubricating oil filters. A lube oil testing program combined with extended operating intervals between changes is effective, as shown by the case history on page 10. However, an equipment modification also can effectively reduce the volume of waste lubricating oil and filters. Commercial vendors offer a device called a lube oil purification unit. These units use 1 micron filters and fluid separation chambers and are attached to the lube oil system of an engine. The unit removes particles greater than 1 micron in size and any fuel, coolant, or acids, that may have accumulated in the oil. The unit does not affect the functional additives of the lube oil. The lube oil is circulated out of the system and through the purifier. The pudfied lube oil is then returned to the engine's lube oil system. Many operators have found that use of lube oil purification units has significanfly reduced the need for lube oil changes, waste lube oil management, and concurrently, the cost of replacement tube oil. Also, a new engine that has been fitted with a lube oil purification unit will break in better and operate more efficiently over time, in part because bearing surfaces and piston rings seat better due to the polishing by particles less than 1 micron in size. Process or Procedural Modifications Slim Holes: The drilling industry has improved the technology of "slim hole" drilling over the past few years. Slim hole drilling should be considered when planning a drilling project. If feasible and used, slim hole drilling reduces the volume of waste drilling fluid and the volume of drill cuffings. The total cost of a slim hole drilling operation may be considerably less than for conventional hole sizes due to the reduced fluid system and waste management costs. Also, smaller casing is required, which may help reduce the total cost of the operation. http ://www.rrc. state.tx.us/divisions/og/key-programs/oglcwodoc.html 12/10/2003 RRC: Waste Minimization in Drilling Operation Page 4 of I 1 Solids Control for the Ddllin.cl Fluid System: An effective way to reduce the volume of drilling fluid waste is the use of solids control. The efficient use of solids control equipment (e.g., hydrecyclones and centrifuges) in combination with chemical flocculants minimizes the need for makeup water to dilute the fluid system. An enhanced solids control system designed to compliment a specific drilling operation is a very effective waste minimization technique that can save money. Material Balance and Mud System Monitorinrj: Companies have found that diligent and comprehensive monitoring of ddlling fluid properties is effective in reducing the frequency of water and additive additions to the system. Such a system is also referred to as "integrated drilling fluids management." Monitoring devices at various points in the system allow the operator to immediately identify unwanted changes in the drilling fluid system and make the necessary corrections. This technique, in addition to the solids control described above can significantly reduce the costs of the drilling fluid system and the volume of ddlling waste remaining at the end of the operation. Closed-Loop Drillipg Fluid Systems: Closed-loop drilling fluid systems provide many advantages over conventional earthen reserve pits. Closed-loop drilling fluid systems use a sedes of steel tanks that contain alt drilling fluid and equipment used to remove cuttings. These systems enhance the operator's ability to monitor fluid levels and characteristics. The result is more efficient use of the drilling fluid and less ddlling waste remaining at the end of the operation. Also, the operator may more easily recycle the waste drilling fluid (also see "Recycling"). Even though it is not always cost effective, some companies have elected to use only closed-loop drilling fluid systems in their operations. However, other companies, such as the one featured in the case histo~j on page 9, have found that use of this system is cost-effective under certain circumstances. Regardless, whenever a closed-loop system is used, the operator reduces his potential future liability associated with a conventional earthen pit and the waste management and site closure costs. It's also good for the company image and public refations. Mud Runoff From Pulled Drill String: Running drill pipe into and out of the hole can contribute to the volume of waste in the reserve pit. Lost drilling mud and the excess rigwash required for cleaning it from the dg floor can be major contributors and can be minimized. Devices are available that wipe clean the inner diameter of the drill pipe as it is pulled so that the mud does not run onto the rig floor (about 0.4 bbls of mud can be lost per 1,000 feet of pipe pulled). Thus, drilling mud losses and the need for rigwash are reduced. Cementin.q "On-the-Fly": When conducting cementing operations, a significant volume of unused premixed cement may remain after obtaining returns. Of course, one way to prevent excess cement is careful preplanning. However, service companies now provide systems that mix neat cement and additives on-the- fly. These systems are also referred to as automatic density control systems. The advantage of mixing on- the-fly is that the mixing process can be stopped as soon as the cementing job is complete. Also, the mixing system can be shut down if the cementing job is interrupted for some reason, thus saving the generation of a much larger volume of unusable premixed cement. The only unused cement mixture is that remaining in the mixing system. The unused neat cement and additives are not wastes and can be returned to the service company for use in the next cementing job. Reduction In Water Use Rig Wash Hoses: A simple way to minimize the volume of waste rigwash is to use high-pressure/tow- volume nozzles on the rigwash hose. A rigwash hose left running can contribute significantly to the volume of waste in a reserve pit and the water needs for the drilling operation. If feasible, collection and treatment of rigwash for reuse is a good waste minimization technique. Drilling Fluid Systems: Improved design and operation of drilling fluid systems can also reduce the need for water. Waste minimization opportunities, such as solids control and detailed system monitoring, have been proven effective in reducing the amount of makeup water needed in a drilling operation (see "Process or Procedural Modifications" above). Dewatering Waste Drilling Fluids: An operator can reclaim water from waste drilling fluids by using mechanical or chemical separation techniques. Large bowl centrifuges, hydrocyclones, and/or chemical flocculants may be used to dewater waste drilling fluids. The reclaimed water may then be reused, thus reducing the demand on, and cost of, new water sources. Proper application of dewatering can result in a reduction of the volume of drilling waste to be managed, thus saving waste management costs, easing site closure concerns and costs, and reducing future potential liability concerns. http ://www.rrc.state.tx.us/divisions/og/key-programs/ogkwodoc.html 12/10/2003 Ri~C: Waste Minimization in Drilling Operation Page 5 of 11 Good Housekeeping and Preventative Maintenance Drill Site Construction and Riggina-Up: Drill site construction and rigging-up involve the use of heavy equipment, such as bulldozers. Heavy equipment should be well maintained to reduce the potential for fuel and lubricating oil leaks that may contaminate the site. Preventative maintenance and good housekeeping during the construction phase can help prevent the generation of contaminated soil and water. For example, secondary containment beneath fuel storage drums can prevent releases to soil and water. Drip Pans and Other Types of Containment: Tanks, containers, pumps, and engines all have the tendency to leak. A good housekeeping practice that can help reduce the amount of soil and water contamination that an operator has to remediate is installing containment devices. Even though a small investment is required, containment devices save money and regulatory compliance concerns in the long run. Also, they can capture valuable released chemicals that can be recovered and used. Some examples of containment include: drip pans beneath lubricating oil systems on engines; containment vessels beneath fuel and chemical storage tanks/containers; drip pans beneath the drum and container storage area; and containment, such as a half-drum or bucket beneath chemical pumps and system valves/connections. Numerous companies have implemented good housekeeping programs to reduce the amount of crude oil, chemicals, products, and wastes that reach the soil or water. These companies have found these programs to be cost effective in the long run (i.e., less lost chemical and product plus reduced cleanup costs). Also, their regulatory compliance concerns and potential future liability concerns are reduced. Preventive Maintenance: The companion of good housekeeping is preventive maintenance. Regularly scheduled preventive maintenance on equipment, pumps, piping systems and valves, and engines will minimize the occurrence of leaks and releases of chemicals and other materials to containment systems, or if there are no containment systems, to the environment. Numerous companies have implemented preventive maintenance programs and found them to be quite successful. The programs have resulted in more efficient operations, reduced regulatory compliance concerns, reduced waste management costs, and reduced soil and/or ground water cleanup costs. Chemical and Materials Storage: Another important aspect of good housekeeping is the proper storage of chemicals and materials. Chemicals and materials should be stored such that they are not in contact with the ground (e.g., on wooden pallets). Preferably, the raised storage area will include secondary containment and be protected from weather. All drums and containers should be kept closed except when in use. It is very important that all chemical and material containers always be properly labeled so that their contents may be identified at any time. Also, material data safety sheets (MSDSs) and other manufacturer information should be kept on file for all stored chemicals and materials. The use of bulk storage, rather than 55-gallon drums or smaller containers is a preferable way to store chemicals and materials. Proper storage and labeling of containers allows quick and easy identification and classification of released chemical or material in the event of a leak or rupture. In some instances, that could save hundreds of dollars in soil sampling and laboratory analysis costs. Inventory Control Inventory control is one of the most effective ways to reduce waste generation, regulatory compliance concerns and operating costs. Especially, when combined with proper chemical and materials storage. The case history on page 10 illustrates the impact an inventory control system can have on an operation. An inventory control system is easy to implement, especially with the use of computer programs now available. An operator who tracks his chemicals and materials can use them more efficiently and reduce the volume of unusable chemical that must be managed as waste. (Note: Commercial chemical products that are returned to a vendor or manufacturer for reclamation or recycling are not solid wastes. Therefore, it is to the operator's advantage to require vendors to take back empty and partially filled containers for reclamation or reuse.) Selection of Contractors Operators should choose contractors who recognize the value of waste minimization and make efforts to apply it in their service. The operator may consider inspecting the drilling rigs being considered for contract to appraise the general condition of the rigs. The contractor should be instructed to minimize maintenance operations on the drilling location (e.g., sand blasting and painting). Any oil and gas waste generated at the operator's drill site is the operator's regulatory responsibility. Therefore, an operator who uses contractors who practice waste minimization can expect reduced waste management concerns, reduced regulatory http://www.rrc, state.tx.us/divisions/og/key-programs/ogkwodoc.html 12/10/2003 Ri~C: Waste Minimization in Drilling Operation Page 6 of 11 compliance concerns, and reduced operating costs. The dfitling contractor may be instrumental in implementing the waste minimization opportunities discussed above. Recycling The next preferred waste management option is recycling. Recycling is becoming a big business and more recycling options are available every day The following discussion offers some tips on recycling drilling wastes. Drilling Fluids: Drilling fluids comprise the largest waste stream associated with a drilling operation. The cost of closing a drilling site is increased if waste drilling fluid in a reserve pit must be dewatered and/or stabilized prior to closure. A better alternative is to recycle or reuse the waste drilling fluid. If feasible, reuse the waste drilling fluid in another drilling project. One company designed a multi-well drilling project where the same drilling fluid was used for drilling each successive well. The result was significant cost savings and greatly reduced waste management concerns, if reuse within your company is not feasible, there are several companies in Texas who take waste drilling fluids for reconditioning and reuse. Another cost effective alternative for reuse of waste drilling fluid is in plugging or spudding of other wells. Reserve Pit Water: A drilling operation should consider reclaiming water from the reserve pit by using a dewatering technique. The reclaimed water can then be used as rigwash water, makeup water for the drilling fluid system, and other rig water usage. Additionally, collected stormwater runoff may be suitable for use. This technique can reduce the need for fresh water, and save money. Paint Solvent Reuse: A simple technique for reducing the volume of organic paint solvents is to reuse it in stages. An organic solvent, such as toluene, may be used for cleaning painting equipment, but eventually it will become spent and ineffective. The "spent" solvent is not a waste if it is used for another intended purpose. A solvent spent from cleaning painting equipment is still suitable for use in thinning paint. This simple technique can greatly reduce the volume of waste paint solvent that may be subject to stringent hazardous waste regulation. Commercial Chemical Products: An operator should implement procedures that recycle any unused chemical products. Whenever a vendor is contracted to supply chemicals, the vendor should be required to take contractual responsibility for unused chemical products and the containers in which they were delivered. As noted under the source reduction opportunity, "Inventory Control," commercial chemical products that are returned for reclamation or recycling are not solid wastes. An operator that manages chemical products properly will avoid the unnecessary generation of unused chemical that must be disposed of. In many instances, those chemical wastes would be hazardous and subject to stringent regulation. Recycling Information The RRC's Waste Minimization Program can help operators identify recycling options. More information on Waste Minimization Program assistance is presented on page 12. The Texas Natural Resource and Conservation Commission (TNRCC) publishes two useful documents: Recycle Texas and RENEW. Recycle Texas is a listing of many of the companies that take various wastes for recycling. Those wastes include many that are typical of oil and gas operations. RENEW is a waste exchange that is published quarterly. RENEW lists companies that have generated wastes and are making them available for recycling, and RENEWalso lists companies that want certain wastes for recycling. Recycle Texas and RENEW are available free of charge from TNRCC and can be obtained by calling 1-800-648-3927. Training Training is probably one of the best waste minimization opportunities. An operator's efforts to minimize waste and gain the associated benefits will only be effective if the people in the field understand waste classification and the concept of waste minimization. Also, people in the field should be empowered to implement waste minimization techniques as they are identified. Waste minimization training is becoming more common. Oil and gas associations have begun publicizing waste minimization successes, and technical societies such as the SPE, are publishing more and more papers on effective waste minimization techniques. Also, the RRC offers inexpensive Waste Minimization Workshops at various locations across the state. http://www.rrc.state.tx.us/divisions/og/key.programs/ogkwodoc.html 12/10/2003 RRC: Waste Minimization in Drilling Operation Page 7 of 11 Assistance Available From the Waste Minimization Program The Commission's Waste Minimization Program offers the following products and services to help you in your waste minimization efforts. Waste Minimization in the Oil Field: This manual, developed with the assistance of the oil and gas industry, offers source reduction and recycling (i.e., waste minimization) concepts, cost effective and practical examples of source reduction and recycling opportunities in the oil field, and information on how to develop an individualized waste minimization plan. The manual also presents a discussion on how to identify hazardous and nonhazardous oil and gas wastes as defined by EPA regulations under the Resource Conservation and Recovery Act. This manuai is used as a training aid in the Waste Minimization Workshops. The manual is available free of charge. Waste Minimization Workshops: The Waste Minimization Program offers a one-day Waste Minimization Workshop designed to help operators and their employees reduce oil and gas waste volumes, operating costs and potential liabilities through effective waste minimization. Future workshop schedules will be advertised in the Waste Minimization Newsletter. Technology Transfer: We provide oil and gas operators with technical assistance through the use of a technology transfer database, if you have a question about minimization of oil and gas exploration and production waste, contact the Waste Minimization Program. We can provide citations that include author, title, and an abstract. In many cases, we can also provide hard copies of cited technical papers and articles. Service Company and Vendor information: We maintain a file of companies and vendors who offer services and products that will help you in your waste minimization efforts. Several examples of these companies are cited in the preceding discussions of source reduction and recycling. Upon your request, we will send you materials provided by appropriate companies, along with a RRC disclaimer. Please note also, that any company or vendor who provides services that compliment waste minimization activities is welcome to provide their materials to the Waste Minimization Program for inclusion in the file. Waste Minimization Planning Software: We have developed a waste minimization planning software package called WasteMin. WasteMin is a Windows-based PC program that will assist you in developing a waste minimization pfan for a facility or site. Using WasteMin, you can taitor and generate, with some data entry, a document that will contain a plan introduction, an inventory of waste streams, specific waste management information, waste minimization opportunities, and pertinent technical references. The program also includes a cursory technical and economic feasibility analysis for selected waste minimization techniques. WasteMin is available on disk for a nominal fee of $7.00, and you can soon download WasteMin from the RRC web site (the RRC web site address is provided on page 13). Waste Minimization Newsletter: The Waste Minimization Newsletter is published three times a year. The purpose of the newsletter is to encourage oil and gas operators to implement their own waste minimization programs by illustrating the benefits through successful case studies. The newsletter also provides a mechanism for keeping oil and gas operators informed on current developments and for recognizing industry achievements in pollution prevention. On-Site Assistance in Waste Minimization Planning: We will assist oil and gas operators in assessing their operations and developing individualized waste minimization plans. First, we will help develop an inventory of waste streams generated in the operation and help classify each waste stream with respect to applicable regulations. Then we will help identify waste minimization opportunities. The operator can then develop a waste minimization plan that will provide the greatest benefits (e.g., cost savings and added revenue). Waste Minimization Program To contact the Waste Minimization Program contact Bart Sims at bart. sims@rrc.state.tx.us http ://www.rrc. st ate. tx.us/divisions/og/key-pro gr ams/ogkwo do c. html 12/10/2003 RRC: Waste Minimization in Drilling Operation Page 8 of 11 References SPE Technical Papers Walker, S.H., et al, "An Innovative Approach to Exploration and Exploration Drilling: The Slim-Hole High- .Speed Drilling System," Society of Petroleurn Engineers 19525 (June 18, 1990) Malachosky, et at, "Impact of Dewatering Technology on the Cost of Drilling Waste Disposal," Society of Petroleum Engineers 19528 (June 1, 1991) Dearing, H.L., "Material Balance Concepts Aid in Solids Control and Mud System Evaluation," Society of Petroleum Engineers 19957 (February 27, 1990) Mitchell, et al, "Design and Application of a High Temperature Mud System for Hostile Environments," Society of Petroleum Engineers 20436 (September 23, 1990) Halliday, et al, "Closed Loop Operation With Alternative Dewatering Technology," Society of Petroleum · Engineers 20461 (September 23, 1990) Stilwell, C.T., "Waste Management Plans for Drilling and Production Operations," Society of Petroleum Engineers 20713 (September 23, 1990) Oakley, D.J., et al, "Cooperative Research - A Route to Reduce the Environmental Impact of Drilling Fluids," Society of Petroleum Engineers 20885 (April 29, 1992) Peresich, et al, "Development and Field Trial of a Biodegradable Invert Emulsion Drilling Ftuid," Society of Petroleum Engineers 21935 (March 11, 1991) Enright, D.P, et al, "An Environmentally Safe Water-Based Alternative to Oil Muds," Society of Petroleum Engineers 21937 (January 13, 1992) Friedheim, et al, "New Oil-Based Mud Additive Reduces Oil Discharged on Cuttings," Society of Petroleum Engineers 21941 (March 11, 1991) Wojtanowicz, A.K., "Environmental Controi Potential of Drilling Engineering: An Overview of Existing Technologies," Society of Petroleum Engineers 21954 (March 11, 1991 ) Clark, R. And Almquist, "Evaluation of Spotting Fluids in a Full-Scale Differential Pressure Sticking Apparatus," Society of Petroleum Engineers 22550 (October 6, 1991 ) Bushnell-Watson, et al, "Differential Sticking Laboratory Tests Can Improve Mud Design," Society of Petroleum Engineers 22549 (October 6, 1991 ) Ogassawara, et al, "Optimum Use of Environmentally Safe Compound Grease for Application of Casing and Tubing Connection Makeup," Society of Petroleum Engineers 22555 (October 6, 1991) Wojtanowicz, A.K., "Oilfield Environmental Control Technology: A Synopsis," Society of Petroleum Engineers 22815 (October 6, 1991 ) Friedheim, et al, "An Environmentally Superior Replacement for Mineral-Oil Drilling Fluids," Society of Petroleum Engineers 23062 (September 3, 1991 ) Degouy, D., et al, "Design of Environmentally Safe Drilling Fluids: Tests Under Actual Bottomhole Conditions in an Original Flow Loop," Society of Petroleum Engineers 23063 (September 3, 1991 http ://www .n'c. state.tx.us/divisions/og/lcey-programs/ogkwodoc.html 12/10/2003 RRc: Waste Minimization in Drilling Operation Page 9 of 11 Retz, R.H, et al, "An Environmentally Acceptable and Field-Practical Cationic Polymer Mud System," Society of Petroleum Engineers 23064 (September 3, 1991 ) Sunde, E., et al, "Successful Environmental Action on the Gullfaks Field Also Reduced the Drilling Operation Costs," Society of Petroleum Engineers 23343 (November 10, 1991 ) Christainsen, C., "From Oil-Based to Water-Based Mud," Society of Petroleum Engineers 23359 (November 10, 1991) Geehan, T., et al, "Control of Chemical Usage in Drilling Fluid Formulations to Minimize Discharge to the Environ ment," Society of Petroleum Engineers 23374 (Novem be r 10, 1991 ) Thurber, N.E., "Waste Minimization for Land-Based Drilling Operations," Society of Petroleum Engineers 23375 (November 10, 1991) Barragan, et al, "SiC-System for Identifying Contaminants in Drilling Fluids," Society of Petroleum Engineers 23625 (March 8, 1992) Rautela, M.S., "Prevention of Wet Pull Out or Splashing," Society of Petroleum Engineers 23834 (September 27, 1991 ) Traonmilin, et al, "First Field Trial of a Coiled Tubing for Exploration Drilling," Society of Petroleum Engineers 23876 (February 18, 1992) Jacques, et al, "A Comparison of Field Drilling Experience With Low-Viscosity Mineral Oil and Dieset Muds," Society of Petroleum Engineers 23881 (February 18, 1992) Wisnie and Brazzel, "Design and Implementation of a Bulk Mud Additive System to Reduce Personnel Exposure and Eliminate Waste," Society of Petroleum Engineers 23883 (February 18, 1992) Longwett and Akers, "Economic Environmental Management of Ddlling Operations," Society of Petroleum Engineers 23916 (February 18, 1992) Stringfellow and Jacobs, "Field Experiences With an Environmentally Acceptable Rotery-Shouldered Thread Compound," Society of Petroleum Engineers 23920 (February 18, 1992) Harder, et al, "Surfactant/Cement Blends Improve Plugging Operations in Oil-Based Muds," Society of Petroleum Engineers 23928 (February 18, 1992) Bleier, et al, "Drilling Fluids: Making Peace with the Environment," Society of Petroleum Engineers 24553 (October 4, 1992) Beihoffer, et al, "Field Testing of a Cationic Polymer/Brine Drilling Fluid in the North Sea," Society of Petroleum Engineers 24588 (October 4, 1992) Elward-Berry, et al, "Rheologically Stable, Nontoxic, High-Temperature Water-Based Drilling Fluid," Society of Petroleum Engineers 24589 (October 4, 1992) Bland, et al, "Application of New Glycol/Resin Differential Sticking Preventative," Society of Petroleum Engineers 24591 (October 4, 1992) Hail and Ramos, "Development and Evaluation of Slimhole Technology as a Method of Reducing Drilling Costs for Horizontal Wells," Society of Petroleum Engineers 24610 (October 4, 1992) Foxenberg, et al, "Optimizing the Quality of High Density Brines for Maximum Performance and Economic Value," Society of Petroleum Engineers 24784 (October 4, 1992) http://www.rrc.state.tx.us/divisions/og/key_programs/ogkwodoc.html 12/10/2003 ' RRC: Waste Minimization in Drilling Operation Page 10 of 11 Reid, P.I., et al, "Reduced Environmental Impact and Improved Drilling Performance With Water-Based Muds Containing Glycols," Society of Petroleum Engineers 25989 (March 7, 1993) Candler, J.E., et al, "Synthetic-Based Mud Systems Offer Environmental Benefits Over Traditional Mud," Society of Petroleum Engineers 25993 (March 7, 1993) Wojtanowicz, A.K., "Dry Drilling Location - An Ultimate Source Reduction Challenge; Theory, Design, and Economics," Society of Petroleum Engineers 26013 (March 7, 1993) Caudle and Bansal, "Environmental Considerations in Production Chemical Usage," Society of Petroleum Engineers 26010 (March 7, 1993) Burke and Veil, "Synthetic Drilling Muds: Environmental Gain Deserves Regulatory Confirmation," Society of Petroleum Engineers 29737 (March 27, 1995) Proceedings Henriquez, L.R., "The Development of an OBM Cutting Cleaner in the Netherlands," Proceedings of the First Infemational Symposium on Oil and Gas Exploration and Production Waste Management Practices, New Orleans (September 10-13, 1990) Thurber, N.E., "Waste Minimization in E&P Operations," Proceedings of the First Infemational Symposium on Oil and Gas Exploration and Production Waste Management Practices, New Odeans (September 10- 13, 1990} Schmidt, E., et al, "PRS Treatment and Reuse of Oilfield Wastewaters," Proceedings of the First International Symposium on Oil and Gas Exploration and Production Waste Management Practices, New Orleans (September 10-13, 1990) Oil and Gas Journal Articles Plank, Johann P., '~Nater-Based Muds Using Synthetic Polymers Developed for High Temperature Drilling," Oil and Gas Journal (March 2, 1992) Beihoffer, et al, "Cationic Polymer Drilling Fluid Can Sometimes Replace Oil Based Mud," Oil and Gas Journal (March 16, 1992) Dachary, Vighetto, "Slim Hole Drilling Proven in Remote Exploration Project," Oil and Gas Journal (June 22, 1992) Bland, Ron, "Water-Based Glycol Systems Acceptable Substitute for Oil-Based Muds," Oil and Gas Journal (June 29, 1992) Zakharov, Konovalov, "Silicon-Based Additives Improve Mud Rheology," Oil and Gas Journal (August 10, 1992) Welch, Lee, "Cationic Polymer Mud Solves Gumbo Problems in North Sea," Oil and Gas Journal (July 13, 1992) MacEachern & Young, "Ultrafine Cement Seals Slow Leak in Casing Collar," Oil and Gas Journal (September 7, 1992) http ://www.rrc. state.tx.us/divisions/og/key-programs/ogkwodoc .html 12/10/2003 CITY OF DENTON CITY COUNCIL MINUTES November 18, 2003 After determining that a quorum was presem, the City Council convened in a Work Session on Tuesday, November 18, 2003 at 4:30 p.m. in the Council Work Session Room at City Hall. PRESENT: Mayor Brock; Mayor Pro Tem Burroughs; Council Members Kamp, McNeill, Montgomery, Redmon and Thomson. ABSENT: None 1. The Council received a report, held a discussion and provided direction to the Solid Waste Department on the Solid Waste Collection and Transportation Services Permit Rate (SWP). Vance Kemler, Director of Solid Waste, reviewed the current regulations for waste haulers. He indicated that the Solid Waste Department wanted to establish new rates that would compensate the City for the use of the streets, and program oversight and management by those companies permitted or registered to provide service for special wastes and recyclable materials. Collection and transportation service providers had to obtain permits to collect and transport special wastes and recyclable materials within the city. He reviewed the currem comractors, the additional revenue projections with the proposed ordinance and a funding method/fee survey done with 28 area cities. Council discussion included the difference in application fees among the various types of applications; inconsistencies in the permit fees and a concern about the possibility of double permit fees being charged. 2. Staff responded to requests for clarification of consent agenda items listed on the consent agenda for the regular meeting of November 18, 2003. Following the completion of the Work Session, the City Council convened in a Closed Meeting to consider the specific items listed below. 1. The following was considered in Closed Meeting: mo Deliberations regarding real property-Under TEXAS GOVERNMENT CODE Section 551.072, Consultation with Attorney-Under TEXAS GOVERNMENT CODE Section 551.071, and Deliberations regarding economic developmem negotiations-Under TEXAS GOVERNMENT CODE Section 551.087. Deliberated the value of real property imerests for a partial right-of way abandonment on Cedar Street, in the W.M. Neil Survey, Abstract Number 971 and being a tract of land approximately 1,234 square feet in size, located at the southeast corner of Cedar Street at the intersection of Cedar Street and Walnut Street DeNon, Texas (the '?ropert)~); which abandonmem is for a public purpose. Received legal advice from the City Attorney or his staff concerning legal issues regarding the abandonment of such real property imerests. Deliberate commercial or financial information received from a business prospect and offers of financial or other incentives to the business prospect for the purposes of economic developmem of facilities of the business prospect on or near the Property. City of DeNon City Council Minutes November 18, 2003 Page 2 B. Consultation with Attorney-Under Tex. Gov't Code§551.071. Discussed and considered legal issues concerning Charter Communications dba Marcus Cable Associates, L.L.C. (Charter) as follows: · Charter Franchise Fee Audit, and · Non-paymem of Cable Modem Franchise Fees, where to discuss these legal issues concerning the above state matters with attorneys in public would conflict with the duty of the City's attorneys to the City Council under the Texas Disciplinary Rules of Professional Conduct of the State Bar of Texas and would jeopardize the City's position in administrative proceedings or in potential litigation. Regular Meeting of the City of DeNon City Council on Tuesday, November 18, 2003 at 6:30 p.m. in the Council Chambers at City Hall. 1. PLEDGE OF ALLEGIANCE The Council and members of the audience recited the Pledge of Allegiance to the U. S. and Texas flags. 2. PROCLAMATIONS/PRESENTATIONS A. Proclamations/Awards Mayor Brock presemed proclamations for Sama's Helpers Week, Frenchy, City of DeNon Parks and Recreation Gold Medal Award Winner Week. B. November Yard of the Month Awards Mayor Brock presented Yard of the Month awards to: Joe Ann Andrews Kerri and Junior Burnside Brenda Floyd Scott Willis Don and Wanda Smith Carmen and David Bailey Water Smart Yard-Bob and Dianne Edmondson Business-Apple Orthodomix C. Recognition of staff accomplishmems City Manager Conduffpresemed staff accomplishmems. 3. CITIZENS REPORTS A. The Council received citizen reports from the following: City of DeNon City Council Minutes November 18, 2003 Page 3 1. Bob Clifton regarding malfeasance, misfeasance and nonfeasance. Mr. Clifton presemed a comparison of the City of DeNon salaries. He also commemed on the city's noise ordinance and the inconsistencies he felt were in the ordinance. 2. Dessie Goodson regarding city ordinances. Ms. Goodson commented on the contracts the LINK system had with the two universities and the route system. She questioned the duties of the Code Enforcement Office. 4. CONSENT AGENDA Burroughs motioned, Kamp seconded to approve the Consent Agenda and accompanying ordinances and resolutions. On roll vote, Burroughs"ayd', Kamp"ayd', McNeill"ayd', Momgomery 'hyd', Redmon"ayd', Thomson"ayd'and Mayor Brock"ayd'. Motion carried unanimously. 2003-368 - An ordinance of the City Council of the City of DeNon, Texas authorizing the City Manager to execute a Professional Services Agreemem with R. J. Covington consulting, LLC., for consulting services relating to Task Order No. 03-I, regarding regulatory services at the Electric Reliability Council of Texas and at the Public Utility Commission of Texas, relating to the City's position on issues and the interests of Denton Municipal Electric; authorizing the expenditure of funds therefor; and providing an effective date. 2003-369 - An ordinance of the City of DeNon, Texas authorizing the expenditure of funds for Wide Area Network Charges for DeNon Municipal Electric; providing for the expenditure of funds and providing an effective date (File 3108 to Electric Reliability Council of Texas (ERCOT) in the total estimated amoum $54,000). 2003-370 - An ordinance authorizing the execution of Change Order Number One to a contract of lease purchase financing of PC's, monitors, and peripheral equipment between the City of Denton and Dell Government Leasing and Finance; providing for an increase in the quamity of items, increase in the annual lease paymem amoum; and providing for the expenditure of funds therefore; and providing an effective date (File 3110 to Dell Governmem Leasing and Finance awarded in the amoum of $1,056,923.70 and change order one in the amoum of $331,241.64 for a total of $1,388,165.34). 2003-371 - An ordinance accepting competitive bids and awarding a comract for the purchase of bunker gear for the City of DeNon Fire Departmem; providing for the expenditure of funds therefore; and providing an effective date (Bid 3087- Bunker Gear/Turnout Gear awarded to NAFECO Fire Equipment Company in the estimated amoum of $50,000). 2003-372 - An ordinance authorizing the Mayor to enter into an Interlocal Cooperation Agreemem with DeNon County for Library Services; and providing an effective date. City of DeNon City Council Minutes November 18, 2003 Page 4 R2003-040 - A resolution casting votes for membership to the Board of Directors of the Denton Central Appraisal District; and declaring an effective date. 2003-373 - An ordinance amending Ordinance No. 2001-204 and Section 2-29 of the City Code relating to the Rules of Procedure to clarify Section 6.3(2-29(f)(3) '?resentations by Members of the Council'; correcting a reference in Ordinance 2003-235; providing a savings clause; and providing an effective date. 2003-374 - An ordinance of the City of DeNon, Texas, authorizing the competitive bid process for an oil and gas non-drill site/pooling agreemem for the Southern portion of the Airport Open Space; and providing an effective date. R2003-041 - A resolution by the City Council of the City of DeNon relating to the issuance of bonds by North Texas Higher Education Authority, Inc.; approving the issuance of such bonds and the use of the proceeds of such bonds; and making certain findings in connection therewith. 5. PUBLIC HEARINGS A. The Council held a public hearing and considered adoption of an ordinance regarding the rezoning of approximately 186.5 acres. The applicant was requesting to rezone from Neighborhood Residemial 4 (NR-4) and Neighborhood Residemial 2 (NR-2) to Neighborhood Residemial 3 (NR-3), Neighborhood Residemial 6 (NR-6), Neighborhood Residemial Mixed Use 12 (NRMU-12), and Neighborhood Residemial Mixed Use (NRMU). The property was generally located north of Pockrus Paige Road, west of Swisher Road, and south of Edwards Road. The applicam was proposing a mixed-use developmem that would include single-family housing, general retail, town homes, multi-family and park uses. The Planning and Zoning Commission recommended approval (6-0). (Z03-0024, Village of Lake Forest) Kelly Carpemer, Director of Planning and Development, presented the details of the proposal. No letters of opposition or support had been received. Annexation of the area would begin in late 2003-early 2004. The Mayor opened the public hearing. The following individual spoke during the public hearing: Bill Dahlstrom, 901 Main Street, Dallas, 75202 - favor The Mayor closed the public hearing. The following ordinance was considered: NO. 2003-375 City of Demon City Council Minutes November 18, 2003 Page 5 AN ORDINANCE OF THE CITY OF DENTON, TEXAS, PROVIDING FOR A ZONING CHANGE FOR APPROXIMATELY 106.06 ACRES OF LAND LOCATED AT THE NORTH OF POCKRUS PAIGE ROAD, WEST OF SWISHER ROAD AND SOUTH OF EDWARDS ROAD IN THE CITY OF DENTON, DENTON COUNTY, TEXAS IN THE GIDEON SURVEY ABSTRACT NO. 1330, FROM NEIGHBORHOOD RESIDENTIAL-2 (NR-2) AND NEIGHBORHOOD RESIDENTIAL-4 (NR-4) ZONING DISTRICT CLASSIFICATION AND USE DESIGNATIONS TO NEIGHBORHOOD RESIDENTIAL-3 (NR-3), NEIGHBORHOOD RESIDENTIAL-6 (NR-6), NEIGHBORHOOD RESIDENTIAL- MIXED USE-12 (NRMU-12), AND NEIGHBORHOOD RESIDENTIAL MIXED USE (NRMU) ZONING DISTRICT CLASSIFICATIONS AND USE DESIGNATIONS; PROVIDING FOR A PENALTY IN THE MAXIMUM AMOUNT OF $2,000.00 FOR VIOLATIONS THEREOF, A SEVERABILITY CLAUSE AND AN EFFECTIVE DATE. (Z03-0024) McNeill motioned, Kamp seconded to adopt the ordinance. On roll vote, Burroughs'hyd', Kamp 'hyd', McNeill"ayd', Momgomery"ayd', Redmon"ayd', Thomson'hyd' and Mayor Brock"ayd'. Motion carried unanimously. B. The Council held a public hearing and considered adoption of an ordinance regarding an amendment to Subchapter 5 of the Denton Development Code pertaining to the limitations of Accessory Dwelling Units. The Planning and Zoning Commission recommended approval (6-0). (SI03-0017, Accessory Dwelling Units) Kelly Carpenter, Director of Planning and Development, presented the details of the amendment to the Code regarding accessory dwelling units. The change would allow for larger accessory dwelling units on large sized parcels. The Mayor opened the public hearing. No one spoke during the public hearing. The Mayor closed the public hearing. The following ordinance was considered: NO. 2003-376 AN ORDINANCE OF THE CITY OF DENTON, TEXAS, AMENDING PORTIONS OF SUBCHAPTER 5 OF THE DENTON DEVELOPMENT CODE PERTAINING TO LIMITATIONS OF ACCESSORY DWELLING UNITS; PROVIDING A PENALTY CLAUSE WITH A MAXIMUM FINE OF $2000.00 PER DAY FOR A VIOLATION THEREOF; A SEVERABILITY CLAUSE; AND AN EFFECTIVE DATE. (S103-0017) Burroughs motioned, Thomas seconded to adopt the ordinance. On roll vote, Burroughs "ayd', Kamp "ayd', McNeill "ayd; Momgomery"ayd', Redmon"ayd', Thomson"ayd' and Mayor Brock"ayd'. Motion carried unanimously. City of Demon City Council Minutes November 18, 2003 Page 6 C. The Council held a public hearing and considered adoption of an ordinance regarding an amendment to Subchapter 12 of the Denton Development Code pertaining to the applicability of industrial Performance Standards. The Planning and Zoning Commission recommended approval (6-0). (Si03-0018, industrial Performance Standards) Kelly Carpenter, Director of Planning and Development, stated that there was an error in the language of the Code relative to industrial Performance Standards. The proposed ordinance would correct the language to allow for industrial performance standards in an industrial area. The Mayor opened the public hearing. No one spoke during the public hearing. The Mayor closed the public hearing. The following ordinance was considered: NO. 2003-377 AN ORDINANCE OF THE CITY OF DENTON, TEXAS, AMENDING PORTIONS OF SUBCHAPTER 12 OF THE DENTON DEVELOPMENT CODE PERTAINING TO APPLICABILITY OF INDUSTRIAL PERFORMANCE STANDARDS; PROVIDING A PENALTY CLAUSE WITH A MAXIMUM FINE OF $2000.00 PER DAY FOR A VIOLATION THEREOF; A SEVERABiLiTY CLAUSE; AND AN EFFECTIVE DATE. (S 103-0018) Kamp motioned, McNeill seconded to adopt the ordinance. On roll vote, Burroughs'hyd', Kamp 'hyd', McNeill"ayd', Momgomery"ayd', Redmon"ayd', Thomson'hyd' and Mayor Brock"ayd'. Motion carried unanimously. D. The Council held a public hearing and considered adoption of an ordinance regarding the rezoning of approximately 5 acres from a Neighborhood Residemial 4 (NR-4) zoning district to a Neighborhood Residemial 6 (NR-6) zoning district. The property, commonly known as 305 and 321 Mockingbird Lane, was generally located at the intersection of Mockingbird and Oriole Lane along the west side of Mockingbird Lane. Detach single-family units were proposed. The Planning and Zoning Commission recommended denial (5-1). (Z03- 0022, Oriole Court) City Manager Conduff stated that it would be acceptable to hold public hearings for Items D and E at the same time. The proposals would be voted on separately but the public hearings could be held together. Kelly Carpenter, Director of Planning and Development, presented the details of the proposals. Staff had recommended favor of the proposals, however, the Planning and Zoning Commission recommended denial. The petitioner was the Denton Affordable Housing Corporation. An additional neighborhood meeting was held since the Planning and Zoning Commission meeting and the Housing Corporation had proposed some changes to the proposal with a reduction in the number of lots for both sites. City of DeNon City Council Minutes November 18, 2003 Page 7 City Attorney Prouty stated that as the proposals were recommended for denial from the Planning and Zoning Commission, a supermajority vote by the Council would be required. The Mayor opened the public hearing. The following individuals spoke during the public hearings: Alan Bussell, represeming the petitioner - favor Jane Provo, Demon Affordable Housing Corporation-favor Guadalupe Salsedo, 1109 Manhattan, Demon, 76209 - favor Linnie McAdams, Demon Affordable Housing Corporation-favor Tommy Brewer, 1701 Thorndale Court, Corimh, 76210 - favor Wendy Boyals, 2704 Norfolk Court, Demon 76210 - favor Jack McKinney, 3140 North Trinity Road, Demon, 76208 - favor Kae Fisher, 2601 Oak Shores Drive, Cross Roads, 76227 - favor Martha Hall, 701 Pace Drive, Demon 76209-favor Joe Lanham, 4090 Sauls, Demon, 76209-favor Mark Moore, 3029 Brandywine, Demon, 76209 - favor Martin Jekyll, 2111 Emerson, Demon, 76209 - favor James Fagan, 3304 Woodthrush Lane, Demon, 76209 - opposed Jean Pekara, 3403 Kingfisher Lane, Demon, 76209 - opposed Jeff Hyde, 3406 Kingfisher Court, Demon, 76209 - opposed Dierdre Wendel, 3300 Woodthrush Lane, Demon, 76209 - opposed Carlton Wendel, 3300 Woodthrush Lane, Demon, 76209 - opposed Wendy Mayfield, 3321 Kingfisher Lane, Demon, 76209 - opposed Jan Grawo, 3323 Kingfisher Lane, Demon, - opposed Joyce Byers, 3304 Kingfisher Lane, Demon - opposed Mayor Brock indicated that the following Commem Cards had been received: Elizabeth Fagan, 3304 Woodthrush, DeNon, 76209 - opposed Jeannine Wendel, 3300 Woodthrush, DeNon, 76209 - opposed Andy Joe and Neva Thomas, 3318 Meadowlark, DeNon, 76209 - opposed The Mayor closed the public hearing. City Attorney Prouty stated that the only way the Council could vote on a change would be if the change were less intensive than what was proposed. As there had been new information provided, he would recommend that the Council not vote on the two proposals before the Planning and Zoning Commission reconsidered the items. Council discussed the pros and cons of the proposals with the following poims of consideration: Staff had recommended approval of the proposals but the Planning Commission had recommended denial with little or no discussion. The surrounding neighborhood was developed under the previous code. and Zoning City of DeNon City Council Minutes November 18, 2003 Page 8 The proposal was really between two zoning categories, NR-4 and NR-6 with an NR-5 category not an option. It would be difficult to bind the applicam to a lower density. Due to new information presented after the Planning and Zoning Commission meeting, new questions had come up and the Commission really needed to look at proposals again. New information had come forth both from the petitioner and the neighborhood as there was not as much opposition during the Planning and Zoning Commission meeting. There was a need to look at an NR-5 zoning category for the future. It would be difficult to vote for the proposal at this time based on the recommendation by the Planning and Zoning Commission and the opposition by the neighborhood. Consideration of the time limits for the applicant to return to Council with the changed proposal. Burroughs motioned, McNeill seconded to deny the application with a suggestion that Denton Affordable Housing bring back the application with the modifications and encourage staff look at an NR-5 zoning classification. Ms. McAdams requested that the Council remand the proposals back to the Planning and Zoning Commission based on the new information and changed proposal rather than deny the proposals due to the time factor involved in starting the entire process again after denial. Burroughs offered a substitute motion, seconded by McNeill to remand the proposal to the Planning and Zoning Commission so that it could receive the new information that had been presented to the Council at this meeting. Carpenter questioned that if the proposal was remanded to the Planning and Zoning Commission with an application for NR-6 zoning, what was the Council asking the Commission to reconsider as there was no NR-5 zoning classification. The property owner would not be bound by a site plan that would reflect any proposed changes. It was unclear what the Council would be asking the Commission to reconsider. Council responded that there was a recommendation to downzone the proposal but what would be the process to enforce that downzoning. Restrictive covenants to deeds had been suggested but at this point it was unclear if that would be sufficient. Denton Affordable Housing would have to present that to the Commission as an option to consider. On roll vote to remand the proposal back to the Planning and Zoning Commission, Burroughs 'hyd', Kamp 'hyd', McNeill "ayd', Momgomery"ayd', Redmon"ayd', Thomson"ayd' and Mayor Brock 'hyd'. Motion carried unanimously. Council requested that a transcript of this discussion be sent to the Planning and Zoning Commission. E. The Council held a public hearing and considered adoption of an ordinance regarding the rezoning of approximately 5.4 acres from a Neighborhood Residemial 4 (NR-4) zoning district to a Neighborhood Residemial 6 (NR-6) zoning district. The property, commonly known as 406, 408, 410, and 414 Mockingbird Lane, was generally located at the imersection of Mockingbird Lane and Weston Drive along the east side of Mockingbird Lane. Detached and City of DeNon City Council Minutes November 18, 2003 Page 9 attached single-family units were proposed. The Planning and Zoning Commission recommended denial (5-1). (Z03-0023, Nevada Court) The public hearing for this item was held in conjunction with Item D. Burroughs motioned, McNeill seconded to remand the proposal back to the Planning and Zoning Commission. On roll vote, Burroughs"ayd', Kamp"ayd', McNeill"ayd', Momgomery"ayd', Redmon 'hyd', Thomson"ayd'and Mayor Brock"ayd'. Motion carried unanimously. 6. ITEMS FOR INDIVIDUAL CONSIDERATION A. The Council considered adoption of an ordinance of the City of DeNon, Texas authorizing a settlement agreement with Marcus Cable Associates, L. L. C. D/B/A Charter Communications; authorizing the City Manager and the City Attorney to act on the City's behalf in executing any and all documents necessary to effect such agreement; and to make such other actions deemed necessary to finalize the agreement; and declaring an effective date. The following ordinance was considered: NO. 2003-378 AN ORDINANCE OF THE CITY OF DENTON, TEXAS AUTHORIZING A SETTLEMENT AGREEMENT WITH MARCUS CABLE ASSOCIATES, L. L. C. D/B/A CHARTER COMMUNICATIONS; AUTHORIZING THE CITY MANAGER AND THE CITY ATTORNEY TO ACT ON THE CITY'S BEHALF IN EXECUTING ANY AND ALL DOCUMENTS NECESSARY TO EFFECT SUCH AGREEMENT; AND TO MAKE SUCH OTHER ACTIONS DEEMED NECESSARY TO FINALIZE THE AGREEMENT; AND DECLARING AN EFFECTIVE DATE Burroughs motioned, Kamp seconded to authorize staff as stated in Item 6A and as presented in Closed Session. On roll vote, Burroughs "ayd', Kamp "ayd', McNeill "ayd', Momgomery "ayd', Redmon"ayd; Thomson"ayd' and Mayor Brock"ayd'. Motion carried unanimously. A. New Business The following items of New Business were suggested by Council for future agendas: 1. Council Member Montgomery requested information on the residential cart service for solid waste. 2. Mayor Pro Tem Burroughs requested that the review of the Development Code include a discussion on alternative developmem plans and an NR-5 zoning classification. 3. Mayor Pro Tem Burroughs suggested a luncheon discussion topic on changing the amoum of speaker time allowed an applicam during a public hearing from 3 to 5 minutes. 4. Council Member Thomson requested a discussion on allowing the use of Mexican metriculas for paying bills for the City of Demon. 5. Council Member McNeill asked for a discussion on infill developmem. City of DeNon City Council Minutes November 18, 2003 Page 10 6. Mayor Brock suggested that the discussion of alternative development plans include the possible need for a planned developmem or overlay zoning in certain cases. 7. Council Member Redmon stated that he would like to see individual developmem cases already in process be held accoumable to the new tree regulations once they were approved and not be grandfathered under the old regulations. Items from the City Manager 1. Notification of upcoming meetings and/or conferences 2. Clarification of items on the agenda City Manager Conduff did not have any items for Council. C. Possible Cominuation of Closed Meeting under Sections 551.071-551.086 of the Texas Open Meetings Act. There was no cominuation of the Closed Meeting. D. Official Action on Closed Meeting Item(s) under Sections 551.071-551.086 of the Texas Open Meetings Act. There was no official action on Closed Meeting items. With no further business, the meeting was adjourned at 9:35 p.m. EULINE BROCK MAYOR CITY OF DENTON, TEXAS JENNIFER WALTERS CITY SECRETARY CITY OF DENTON, TEXAS CITY OF DENTON CITY COUNCIL MINUTES December 2, 2003 After determining that a quorum was present, the City Council convened in a Work Session on Tuesday, December 2, 2003 at 4:30 p.m. in the Council Work Session Room at City Hall. PRESENT: Mayor Brock; Mayor Pro Tem Burroughs; Council Members Kamp, McNeill, Montgomery, Redmon and Thomson. ABSENT: None 1. The Council received a report, held a discussion and gave staff direction regarding proposed amendments to the Development Code and Criteria Manual related to Tree Preservation. (Tree Preservation, SI03-0012) Kelly Carpenter, Director of Planning and Development, stated that as a result of the public outcry following the removal of trees on the Flow Hospital site, the Planning and Zoning Commission created a sub-committee to prepare a tree preservation ordinance. City staff and the sub-committee held four community meetings to obtain input on the ordinance. The Planning and Zoning Commission held a work session and a public hearing to discuss it. Larry Reichhart, Assistant Director of Planning and Development, reviewed the highlights of the tree preservation ordinance. It preserved large native species and historic trees; required a minimum percentage of existing trees be preserved; allowed for mitigation of 50% of required preserved trees; allowed for an appeal process; provided incentives; created a tree fund; required tree protection during construction; and eliminated the indiscriminate removal of large trees. He stated that incentives included meet or exceed requirements requiring a simplified tree inventory; additional credit towards landscape requirements for individual trees and tree stands; parking spaces - increase or decrease required amount; and parking lot design. The Council invited John Cooper, Denton County Extension Horticulturist, to speak regarding the proposed ordinance. Cooper stated that oaks were the primary species of the Cross Timbers region and stressed the importance of protecting that region. He felt the Council needed to look hard at the species list and suggested replacing oak trees with oak trees. He suggested including a table that designated the size of tree by species. The Forest Service had a Big Tree Registry that showed the largest specimen of each species affected and a percentage of that species that could be saved. On the Big Tree Registry, the protected tree was 25% of the largest specimen of that species affected. There was another level of 50% and the highest level was 75% per species on a particular site. Mr. Cooper also stated that he would provide staff with a copy of the grades and standards for nursery stock in Texas. He stated that the draft ordinance had a definition for a quality tree but felt that needed to be revised. The Mayor requested that Mr. Cooper write down his comments on the draft ordinance and share them with staff and the Council. The Council discussed the need to have another work session to discuss the draft ordinance with each other. It was decided that they would hold the public hearing on the draft ordinance and have another work session after that. City of DeNon City Council Minutes December 2, 2003 Page 2 2. Staff responded to requests for clarification of consent agenda items listed on the consent agenda for the regular meeting of December 2, 2003. Council Member McNeill requested the November 18, 2003 minutes be pulled for corrections. On page 55 of the pdf documem the minutes stated "a concern about the possibility of double permit fees being charged". He thought the Council had done more than expressed concern about double permit fees being charged, that Council had given staff direction to research the issue. Following the completion of the Work Session, the City Council convened in a Closed Meeting to consider the specific items listed below: 1. The following item was considered in Closed Meeting: A. Consultation with Attorney - Under TEXAS GOVERNMENT CODE Section 551.071. Discussed and considered legal issues concerning road damage caused by gas well operations and considered a settlement agreement with the gas well operators, where to discuss these legal issues concerning the above stated matters with the attorneys in public would conflict with the duty of the City's attorneys to the City Council under the Texas Disciplinary Rules of Professional Conduct of the State Bar of Texas and would jeopardize the City's position in administrative proceedings or in potemial litigation. Regular Meeting of the City of Demon City Council on Tuesday, December 2, 2003 at 6:30 p.m. in the Council Chambers at City Hall. 1. PLEDGE OF ALLEGIANCE The Council and members of the audience recited the Pledge of Allegiance to the U.S. and Texas flags. 2. PROCLAMATIONS/PRESENTATIONS A. Proclamations/Awards Mayor Brock presemed the following proclamations: 1. Police Appreciation Day B. Recognition of staff accomplishmems City Manager Conduffpresemed staff accomplishmems to the Council. City of DeNon City Council Minutes December 2, 2003 Page 3 3. CITIZENS REPORTS A. The Council received citizen reports from the following: 1. Ross Melton Jr. regarding nice things about Denton. Mr. Melton complemented the City's Utilities Department, specifically Howard Martin and Rita Herrara; Municipal Court worked real well and Judge Ramsay and Stephanie Berry were doing a great job; Solid Waste departmem was a credit to the City and represemed the City well; street construction would feel so good when it stopped. 2. Ed Soph regarding Eureka Park and South Lakes Park. Mr. Soph spoke regarding Eureka Park at South Lakes Park. He stated that the DISD had removed all CCA-treated wood from their playgrounds and also the comaminated soil had been removed. He felt that the signage at Eureka Park was incomplete. He felt that the wood on the playground should be sealed twice a year, dangerous/splimered wood removed and/or replaced, and testing done more often. He would like to see the City raise the money to rebuild Eureka Park. 3. Robert Kam regarding Cooper Creek Trail. Mr. Kam stated that he would like to see the area off Wolftrap preserved as part of the proposed Greenway Corridor in the Master Plan. He suggested including it in the Cooper Glen Open Space or the Windsor Drive Open Space. 4. CONSENT AGENDA Mayor Brock indicated that the November 18, 2003 minutes had been pulled from consideration. She indicated that Item 4E had been pulled for separate consideration. Burroughs motioned, McNeill seconded to approve the Consem Agenda and accompanying ordinances with the exception of Item 4E and the November 18, 2003 minutes. On roll vote, Burroughs "aye", Kamp "aye". McNeill "aye", Montgomery "aye", Redmon "aye", Thomson "aye", and Mayor Brock "aye". Motion carried unanimously. Item 4E was considered. Charles Fiedler, Director of Engineering, stated that this project was part of the State of Texas Urban Street Program. He stated that the bid was for spot repairs to existing concrete paving on Carroll Boulevard from Eagle Drive to Egan Drive. He stated that TxDOT was contributing matching funds. The work needed to be completed before August 2004 or the City would lose TxDOT's matching funds. Burroughs motioned, Kamp seconded to approve Item 4E. On roll vote, Burroughs "aye", Kamp "aye". McNeill "aye", Montgomery "aye", Redmon "aye", Thomson "aye", and Mayor Brock "aye". Motion carried unanimously. City of Demon City Council Minutes December 2, 2003 Page 4 mo Consider approval of the minutes of October 14, October 21, October 27, November 4, and November 11, 2003. Bo 2003-379 - An ordinance of the City of Demon, Texas authorizing the expenditure of funds for paymems by the City of Demon for electrical energy transmission fees to those cities and utilities providing energy transmission services to the City of Demon; and providing an effective date (File 3118 - Electrical Energy Transmission Fees in the total amoum of $255,920). Co 2003-380 - An ordinance of the City Council of the City of Demon, Texas authorizing the City Manager to execute a Professional Services Agreemem with Black and Veatch Corporation, for professional consulting services relating to the Denton Municipal Utilities Water Utilities Cost of Service and Rate Design Study; authorizing the expenditure of funds therefor and providing an effective date. Do 2003-381 - An ordinance of the City Council of the City of Demon, Texas authorizing the City Manager to execute a professional services agreemem with Miner & Miner Consulting Engineers, inc. for professional engineering services relating to migrating the existing Denton Municipal Electric Geographic information System ("GiS") database from ARCFM version 7.2 to ARCFM version 8.3; authorizing the expenditure of funds therefor; and providing an effective date. mo 2003-382 - An ordinance accepting competitive bids and awarding a public works contract for the construction of the Carroll Boulevard Urban Street Program miscellaneous street repair; providing for the expenditure of funds therefor; and providing an effective date (Bid 3048 - Urban Street Program Carroll Boulevard awarded to Silver Creek Construction, Inc. in the amount of $407,905). Fo 2003-383 - An ordinance of the City of Demon, Texas accepting competitive bids and awarding a best value annual contract for a three-year agreement for the purchase of 15/20/25 MVA power transformers; providing for the expenditure of funds therefor; and providing an effective date (Bid 3105 - Three Year Agreement for the Purchase of Power Transformers awarded to Waukesha Electric Systems in the estimated amoum of $2,597,758). Go 2003-384 - An ordinance of the City of Demon, Texas requesting Non-Primary Entitlement Funds from the Texas Department of Transportation for a project for the purchase and installation of airport radio equipment at the Denton Municipal Airport; authorizing and directing the City Manager or his designee to execute documems on behalf of the City of Demon in order to implemem the project; and providing an effective date. Ho 2003-385 - An ordinance of the City of Demon authorizing the City Manager to execute on behalf of the City of Demon an Airport Project Participation Agreement with the Texas Department of Transportation relating to the City of DeNon City Council Minutes December 2, 2003 Page 5 construction of improvements at the Denton Municipal Airport; and declaring an effective date. 2003-386 - An ordinance authorizing the City Manager or his designee to execute a Real Estate Contract for the purchase of approximately 17.992 acres being part of a tract of land situated in the J. Douthitt Survey, Abstract Number 329, as described in the deed from Sally H. Mudd to Mark Amhony Mudd and Chad James Mudd recorded under clerk's file number 95-R00533339, of the real property records of Denton County, Texas; authorizing the expenditure of funds therefor; and providing an effective date. 2003-387 - An ordinance approving an agreemem between the City of DeNon and Mayhill Road investors, L.P. for the partial abandonmem of a Public Utility Easemem dated August 13,1991 and recorded in the real property records of DeNon County under Volume 3047, Page 778 as it affects land owners real property as described in Exhibit "A" and illustrated in Exhibit "B", attached hereto and made a part hereof by reference and being located in the M.E.P. & P.R.R. Survey, Abstract Number 950, Denton County, Texas, authorizing the City Manager or his designee to execute said agreemem on behalf of the City of Denton and providing an effective date. Denial of exaction variances for a parcel containing approximately 12.9 acres, which is located on the South side of Jim Christal Road West of the GC & SF Railroad. The property was currently designated as an industrial Cemer, Employmem (lC-E) zoning district. Buildings curremly exist on the site and new construction was proposed. The owners of the property operated a trucking company. The Planning and Zoning Commission recommended denial of the variances (5-1). (V03-0028) 1. Section 35.20.2(L.3.a.) of the Code of Ordinance concerning pavemem improvements to a perimeter street. 2. Section 35.20.2(H. 1 .) of the Code of Ordinance concerning the dedication of right of way for all streets that serves a commercial lot (regarding ROW for a cul-de-sac at the end of Jim Christal Road at its intersection with the GC & SF Railroad). 2003-388 - An ordinance of the City of DeNon, Texas approving an Imerlocal Cooperation Agreemem between the City of DeNon and DeNon County for the regulation of subdivisions in the Extraterritorial Jurisdiction of the City of Denton; and providing an effective date. A request to decertify a portion of the City of Denton's Water CCN to support an application for an exempt utility status from the TCEQ for the Heifer Water System. The Public Utilities Board unanimously approved this item. Council approved the following resolution in conjunction with approval of the request to decertify a portion of the City's Water CCN: R2003-043 - A resolution of the City Council of the City of DeNon, Texas authorizing the City Manager, or his designee, the authority to decertify a portion City of Demon City Council Minutes December 2, 2003 Page 6 of the City of Demon's Water Certificate of Convenience and Necessity ("CCN"), in order to satisfy Texas Commission on Environmemal Quality ("TCEQ") requirements, regarding the application for exempt utility status to be filed by the Heffer Water Well System; and providing for an effective date. 5. PUBLIC HEARINGS A. The Council held a public hearing inviting citizens to commem on the proposed usage of the 2003 Local Law Enforcemem Block Gram funding. Captain Lee Howell, Police Departmem, stated that the funds would be used for the purchase of equipment, digital cameras and related software to enhance the processing and collection of photographic evidence of crime scenes and victims; equipment and training on less-than-lethal force options for the purpose of providing officers various methods of disarming and apprehending potemially violem offenders prior to the use of deadly force; surveillance cameras, monitors, and security systems for the purpose of enhancing the physical security of the Police Departmem and Court facility. The Mayor opened the public hearing. No one spoke during the public hearing. The Mayor closed the public hearing. 6. ITEMS FOR INDIVIDUAL CONSIDERATION A. The Council considered a request for an exception to the Noise Ordinance for the purpose of "Christmas on the Square" hosted by Grace Temple Baptist Church, to be held in from of Demon Community Church at 115 N. Elm on Sunday, December 7, 2003 from 6:00 p.m. to 8:45 p.m. Pamela Rambo-Estill, Assistam to the City Manager, stated that this evem had been held on the square for the last six years. She stated that this event was not the Holiday Lighting Evem. Burroughs motioned, McNeill seconded to approve the request. On roll vote, Burroughs "aye", Kamp "aye", McNeill "aye", Montgomery "aye", Redmon "aye", Thomson "aye" and Mayor Brock "aye". Motion carried unanimously. B. The Council considered approval of a resolution of the City of Demon, Texas canceling the regular council meeting scheduled for December 16, 2003, to allow Council Members and City staff to travel to New Orleans to support the UNT Sun Belt Conference Championship Football Team, which will play in the New Orleans Bowl; and declaring an effective date. The following resolution was considered: City of DeNon City Council Minutes December 2, 2003 Page 7 NO. R2003-042 A RESOLUTION OF THE CITY OF DENTON, TEXAS CANCELING THE REGULAR COUNCIL MEETING SCHEDULED FOR DECEMBER 16, 2003, TO ALLOW COUNCIL MEMBERS AND CITY STAFF TO TRAVEL TO NEW ORLEANS TO SUPPORT THE UNT SUN BELT CONFERENCE CHAMPIONSHIP FOOTBALL TEAM, WHICH WILL PLAY IN THE NEW ORLEANS BOWL; AND DECLARING AN EFFECTIVE DATE. McNeill motioned, Kamp seconded to approve the resolution. On roll vote, Burroughs "aye", Kamp "aye", McNeill "aye", Montgomery "aye", Redmon "aye", Thomson "aye" and Mayor Brock "aye". Motion carried unanimously. C. The Council considered nominations/appoimmems to the City's Boards and Commissions. Council Member Kamp nominated Dorothy Adkins to the Library Board. Kamp motioned, Redmon seconded to suspend the rules and approve the nominations at this meeting. On roll vote, Burroughs "aye", Kamp "aye", McNeill "aye", Montgomery "aye", Redmon "aye", Thomson "aye" and Mayor Brock "aye". Motion carried unanimously. D. New Business The following items of New Business were suggested by Council for future agendas: Council Member McNeill requested an economic study to see what the cost would be to replace Eureka Park with material that meets appropriate standards. Items from the City Manager 1. Notification of upcoming meetings and/or conferences 2. Clarification of items on the agenda City Manager Conduff did not have any items for Council. F. Possible Cominuation of Closed Meeting under Sections 551.071-551.086 of the Texas Open Meetings Act. There was no cominuation of the Closed Meeting. G. The following official action was taken on Closed Meeting Item(s) under Sections 551.071-551.086 of the Texas Open Meetings Act. Burroughs motioned, Kamp seconded to authorize the City Manager to approve a settlement with the seven gas well operators in a form approved by the City Attorney. On roll vote, Burroughs "aye", Kamp "aye", McNeill "aye", Montgomery "aye", Redmon "aye", Thomson "aye" and Mayor Brock "aye". Motion carried unanimously. City of Demon City Council Minutes December 2, 2003 Page 8 With no further business, the meeting was adjourned 7:17 p.m. EULINE BROCK MAYOR CITY OF DENTON, TEXAS JANE RICHARDSON ASSISTANT CITY SECRETARY CITY OF DENTON, TEXA AGENDA INFORMATION SHEET AGENDA DATE: DEPARTMENT: ACM: January 6, 2004 Tax Kathy DuBose, Fiscal and Municipal Services SUBJECT Consider approval of a tax refund for the following property tax: Tax Name Reason Year Amount S w fo i v~ BACKGROUND Chapter 31.11 of the Texas Property Tax Code requires the approval of the governing body of the taxing unit for refunds in excess of $500.00. FISCAL INFORMATION The tax overpayment revenue fund would be reduced by $3,840.70 Respectfully submitted: Diana G. Ortiz Director of Fiscal Operations AGENDA INFORMATION SHEET AGENDA DATE: DEPARTMENT: CM/DCM/ACM: January 6, 2004 Fire Department Jon Fortune, Assistant City Manager SUBJECT Consider adoption of an Ordinance of the City o£ Demon, Texas, amending Ordinance No. 2003-280 prescribing the number of positions in each classification of Police Officer; prescribing the number of positions in each classification of Fire Fighter; providing a savings clause; providing a severability clause; and declaring an effective date. BACKGROUND The Fire Department's Battalion Chief-EMS Manager recently retired creating a vacant position. The Fire Department does not have an existing Civil Service promotional list to fill this position and desires to change the position from the specific Battalion Chief-EMS Manager to a Battalion Chief-Operations position. There is no negative impact to the organization, as we will assign a fully qualified Battalion Chief-Operations to oversee the Fire Department's EMS Program. Following are the proposed number changes to Ordinance 2003-280 that the City Council approved on September 2, 2003. Fire Chief Division Chief Battalion Chief-Operations Battalion Chief-Info Services Manager Captain Captain-Logistics Maintenance Officer Driver Fire Fighter (and Recruits) TOTAL 1 1 1 21 1 36 66 132 Therefore, the proposed ordinance changes the number of Battalion Chief-Operations positions from four (4) to five (5) and abolishes the Battalion Chief-EMS Manager position. The total number of Civil Service positions in the Fire Department remains the same at 132. This reorganization will allow much more flexibility in the future assignmems of Fire Battalion Chiefs. When a Civil Service position is specific, such as the Battalion Chief- EMS Manager is currently, it prohibits that position from doing other Battalion Chief functions such as operations and incidem command. However, using the Battalion Chief- Operation's position to fill positions such as Shift Battalion Chiefs, the Training Chief and the EMS Chief allows the Fire Department to use Senior Managers more efficiently and effectively. It provides for movement and the rotation of existing and future Battalion Chiefs into other Senior Management positions when in the best interests of the Fire Department. FISCAL IMPACT There will be no fiscal impact due to the fact that the Battalion Chief-EMS Manager and the Battalion Chief- Operations are at the same pay rates. Respectfully submitted, Prepared by: Ross Chadwick Fire Department ORDINANCE NO. AN ORDINANCE OF THE CITY OF DENTON, TEXAS, AMENDING ORDINANCE NO. 2003-280 PRESCRIBING THE NUMBER OF POSITIONS IN EACH CLASSIFICATION OF POLICE OFFICER; PRESCRIBING THE NUMBER OF POSITIONS IN EACH CLASSIFICATION OF FIRE FIGHTER; PROVIDING A SAVINGS CLAUSE; PROVIDING A SEVERABILITY CLAUSE; AND DECLARING AN EFFECTIVE DATE. WHEREAS, on September 2, 2003, the City Council passed Ordinance No. 2003-280 to implemem the recommendation of the Firefighters' and Police Officers' Civil Service Commission of the City of Denton, Texas, upon the recommendation and request of the Director of Civil Service, Denton Police Department and Denton Fire Department, adopting and approving a schedule of Authorized Positions which relates to compensation and classification of police officers and fire fighters; and WHEREAS, since the passage of Ordinance No. 2003-280, the Fire Department has determined that this ordinance needs to be amended to more correctly reflect the total number of Fire Department positions: abolish the Battalion Chief-EMS Manager position and add one Battalion Chief-Operations position; WHEREAS, the abolishmem of the Battalion Chief-EMS Manager and addition of Battalion Chief-Operations position shall lead to a more efficient and flexible department; NOW, THEREFORE, THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: SECTION 1. That Ordinance 2003-280 is hereby amended by adopting the schedule prescribing the number of positions for each classification of police officer and fire fighter in the City of Demon, attached hereto and incorporated by reference herein as Exhibit A, is hereby approved. SECTION 2. That Ordinance 2003-280 and all prior ordinances or resolutions of the City of Denton, Texas, in conflict herewith are repealed to the extent of any such conflict. SECTION 3. That this ordinance shall become effective immediately upon its passage and approval. PASSED AND APPROVED this the __day of ,2004. EULINE BROCK, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY BY: EXHIBIT A CITY OF DENTON SCHEDULE OF AUTHORIZED POSITIONS POLICE DEPARTMENT The Police Department is authorized 137 positions as follows: Chief of Police Captain Lieutenant Sergeant Police Officer (and Recruits) TOTAL 1 3 7 15 111 137 FIRE DEPARTMENT The Fire Department is authorized 132 positions as follows: Fire Chief Division Chief Battalion Chief-Operations Battalion Chief-Info Services Manager Captain Captain-Logistics Maintenance Officer Driver Fire Fighter (and Recruits) TOTAL 1 1 5 1 21 1 36 66 132 AGENDA INFORMATION SHEET AGENDA DATE: January 06, 2004 DEPARTMENT: CM/DCM/ACM: Engineering Jon Fortune, Assistant City Manager SUBJECT Consider adoption of an ordinance amending and superceding Ordinance No. 2002-408, declaring a public necessity exists and finding that public welfare and convenience requires the taking and acquiring an easemem in an approximate 8.91 acre tract or parcel of land for electric mility purposes being a part of the M.T. Cole Tract described in deed recorded in volume 249, page 387 of the Deed Records of DeNon County, Texas, said property being located in the B.B.B. and C.R.R. Survey, Abstract No. 176, Denton County, Texas, and an easement in an approximate 16.30 acre tract or parcel of land for electric mility purposes being a part of the M.T. Cole Tract described in deed recorded in volume 249, page 387 of the Deed Records of DeNon County, Texas, said property being located in the J. Kjelberg Survey Abstract No. 1610, the J. Bacon Survey Abstract No. 1540, the I. Hembrie Survey Abstract No. 594, the J. Dalton Survey Abstract No. 353, and the I. Byerly Survey Abstract No. 1458, DeNon County, Texas; authorizing the City Manager or his designee to make an offer to purchase the property for just compensation and if such offer is refused, authorizing the City Attorney to institute the necessary proceedings in condemnation in order to acquire the property necessary for the public purpose of electric mility facilities and installation; Declaring an effective date. (West Electric Project) BACKGROUND This ordinance is an amendmem to Ordinance 2002-408 which authorized the purchase or condemnation of the electric easement on the MT Cole property. It is necessary to amend the original ordinance to accommodate an expanded easement area and present a new offer to purchase based upon an updated appraisal. OPTIONS 1. Approve the ordinance, or 2. Denial, or 3. Table for future consideration RECOMMENDATION Staff recommends approval of the ordinance. ESTIMATED PROJECT SCHEDULE DeNon West Electrical Utility project to be initiated upon possession of necessary parcels, Estimated in February, 2004. PRIOR ACTION/REVIEW None FISCAL INFORMATION John G. Hirschy and Associates performed the appraisals of all of the necessary electrical utility easemems for this project. Based on this appraisal, The City of Demon Real Estate Division will forward an offer of $73,734.00 to the landowner. In accordance with Texas Property Code 21.0111, a copy of the appraisal will be made available to the landowner. Offer is based on the following methodology: 8.91 acre tract. An 80% compensation factor is being utilized. 8.91 acres X $4,315/acre X 0.80 = $30,757.00 16.30 acre tract of which 3.85 acre is in public right-of-way of Underwood Road. The remaining net land area is 12.45 acres. A 80% compensation factor is being utilized. 12.45 acre X $4,315/acre X 0.80 = $42,977.00 ATTACHMENTS Location map Draft ordinance Exhibits Prepared By: Respectfully submitted: Tod J. Taylor Real Estate Specialist Charles Fiedler, Director Engineering Department H. LIVELY perlbrmed. 1":1400' COD '--1~ ~~__~ ETJI ~ Area ORDINANCE NO. AN ORDINANCE AMENDING AND SUPERCEDING ORDINANCE NO. 2002-408, DECLARING A PUBLIC NECESSITY EXISTS AND FINDING THAT PUBLIC WELFARE AND CONVENIENCE REQUIRES THE TAKING AND ACQUIRING AN EASEMENT IN AN APPROXIMATE 8.91 ACRE TRACT OR PARCEL OF LAND FOR ELECTRIC UTILITY PURPOSES BEING A PART OF THE M.T. COLE TRACT DESCRIBED IN DEED RECORDED IN VOLUME 249, PAGE 387 OF THE DEED RECORDS OF DENTON COUNTY, TEXAS, SAID PROPERTY BEING LOCATED IN THE B.B.B. AND C.R.R. SURVEY, ABSTRACT NO. 176, DENTON COUNTY, TEXAS, AND AN EASEMENT IN AN APPROXIMATE 16.30 ACRE TRACT OR PARCEL OF LAND FOR ELECTRIC UTILITY PURPOSES BEING A PART OF THE M.T. COLE TRACT DESCRIBED IN DEED RECORDED IN VOLUME 249, PAGE 387 OF THE DEED RECORDS OF DENTON COUNTY, TEXAS, SAID PROPERTY BEING LOCATED IN THE J. KJELBERG SURVEY ABSTRACT NO. 1610, THE J. BACON SURVEY ABSTRACT NO. 1540, THE I. HEMBRIE SURVEY ABSTRACT NO. 594, THE J. DALTON SURVEY ABSTRACT NO. 353, AND THE I. BYERLY SURVEY ABSTRACT NO. 1458, DENTON COUNTY, TEXAS; AUTHORIZING THE CITY MANAGER OR HIS DESIGNEE TO MAKE AN OFFER TO PURCHASE THE PROPERTY FOR JUST COMPENSATION AND IF SUCH OFFER IS REFUSED, AUTHORIZING THE CITY ATTORNEY TO INSTITUTE THE NECESSARY PROCEEDINGS IN CONDEMNATION IN ORDER TO ACQUIRE THE PROPERTY NECESSARY FOR THE PUBLIC PURPOSE OF ELECTRIC UTILITY FACILITIES AND INSTALLATION; DECLARING AN EFFECTIVE DATE. (WEST ELECTRIC PROJECT) WHEREAS, the City Council pursuit to Ordinance No. 2002-408 (the "Prior Ordinance") determined that a public necessity exists and that public welfare and convenience required the acquisition of approximately 1.31 and 16.30 acre tracts or parcels of land for electric utility easement purposes with such easement rights being in the name of the City of Denton, Texas as more particularly described in the Prior Ordinance (the "Prior Easement"); and WHEREAS, after unsuccessfully attempting to agree on compensation and damages due the owners of the Prior Easement property, the City Attorney filed a condemnation proceeding to acquire the Prior Easement, such case being styled City of Denton, Texas v. Susan Bonnet Mead, Jack Donald Cole, Amy Cole Griffin, Trustees of the M.T. Cole Trust Numbers 1, 2, 3 and 4, and the Texas Scottish Rite Hospital, as their interest may appear, and Trio Consulting & Management, LLC, in the Probate Court of Denton County, Texas (the "Condemnation Proceedings"); and WHEREAS, subsequent to the filing of the Condemnation Proceedings it has been determined that there is a need for additional easement area and the Prior Easement needs to be amended to include the additional easement area; NOW, THEREFORE, THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: SECTION 1. The findings and recitations contained in the preamble of this ordinance are incorporated herein by reference. SECTION 2. Public necessity exists and public welfare and convenience require the acquisition of approximately 8.91 and 16.30 acre tracts or parcels of land for electric utility easement purposes as more particularly described in Exhibit "A" and Exhibit "B", respectively, attached hereto and made part of by reference (the "Easement Property" or "Easement"). The Easement is an electric utility easement is the name of the City of Denton, Texas in, over, and across the Easement Property to construct, reconstruct, install, repair and perpetually maintain electric utility facilities. All other utilities are excluded from using the Easement Property except that such other utilities will be permitted to cross the Easement in such manner as will not interfere with the City's electric facilities. The Owner shall have the right to use the Easement Property for any purpose not inconsistent with the City's full enjoyment of the Easement fights of the City, except as otherwise specified herein. Such rights include the fight to use the surface of the Easement Property for parking, driveways, sidewalks and landscaping. No buildings or other permanent structures will be permitted within the Easement Property, except for such stractures that are approved in advance in writing by the City. Such approval may be withheld if in the City's sole judgment the structure will interfere with City's then existing or proposed electric facilities. SECTION 3. The City Manager or his designee is hereby authorized and directed to make an offer for the Easement to the owner of the Easement Property, based on just compensation recommended by an independent appraisal prepared at the City Manager's direction. The City Council finds that based on said independent appraisal, the fair market value including damages to the remainder, if any, for the Easement is in the total amount of $73,734.00 All previous offers in said amount, if any, are hereby ratified. SECTION 4. In the event the offer as described in Section 3 is not accepted by the owner of the Property, the City Attorney or his designee is hereby authorized and directed to amend the Condemnation Proceedings to include the acquisition and condemnation of the Easement in place of the Prior Easement or take whatever action that may be necessary against the owner and any other parties having an interest in the Easement Property to acquire the Easement. The cost and expense of such acquisition shall be paid by the City of Denton, with such easement interests being in the name of the City of Denton. SECTION 5. If it should be subsequently determined that additional parties other than those named herein have an interest in the Easement Property, then in that event, the City Attorney or his designee is authorized and directed to join said parties as Defendants in said condemnation. SECTION 6. This ordinance supercedes Ordinance No. 2002-408. However, all prior actions taken by the City Attorney, or his designee, to acquire the Prior Easement are in no way invalidated but are herein ratified. SECTION 7. This ordinance shall become effective immediately upon its passage and approval. PASSED AND APPROVED this the day of ., 2003. Page 2 ~ XOur Doc ma~r~XO~dm ~acc~2t\CoI¢ Co~d*lnn~lloi~ Or4maac e-P,~vi~ ed ~ EULINE BROCK, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY BY: ~ Page 3 Parcel 1 EXHIBIT "A" All that certain lot, tract, or parcel situated in the B.B.B. and C.R.R. Survey Abstract Number 176, Denton Oounty, Texas, and being o port of the M.T. Cole Tract described in the deed recorded in Volume 249, Page 387, of the Deed Records of Denton County, Texas and the subject tract being more particularly described os follows; BEGINNING at the southwest corner of o Transmission line easement described in the deed recorded in Volume 009, Page 227, of the Deed Records of Denton County, Texas, and being Station 347+89.74 of Form-to-Market Rood Number 2449; THENCE South 89 Degrees 44 Minutes 01 Seconds West along or near o fence in the north right-of-way line of said rood o distance of 472.08 feet to o point, for corner; THENCE North O0 Degree 11 Minut. es 2(5 Seconds West o distance of 23,5.00 feet to o point for corner; THENCE North 89 Degrees 44 Minutes 01 Seconds East o distance of 2992.0,5 feet to o point for corner in the west line of o Texas Municipal Power Agency Easement os recorded in Volume 5, Page 706, Lis Pendens Records of Denton County, Texas; THENCE South O0 Degrees 16 Minutes 01 Seconds East with the said west line, o distance of 110.00 feet to o point for the southeast corner of the herein described easement and in o north line of o Transmission Line Easement os recorded in Volume 9, Page 227, Lis Pends Records of Denton County, Texas; THENCE South 89 Degrees 44 Minutes 01 Seconds West with the said Transmission Line Easement, o distance of 2`520.29 feet to o point, for corner~ THENCE South O0 Degrees 16 Minutes 12 Seconds East, o distance of 12.5.00 feet to the POINT OF BEGINNING and containing 8.91 acres of land. This Plot. correctly represents the results of on on-the-ground survey made under my direction and supervision on 12-18-00. There ore no visible or apparent intrusions, protrusions or easements except os shown hereon. d.E. THOk4PSON II R.P.L.S. No 48`57 Dote NOTE: Survey data based upon G.P.S. observations, inforrnotion inturpoloted from NAD 83 coordinate system. Page 1 of ~,~ ~: ~.~.~./~o-o~-b~ P'0'KRuM,BOXTx 50776249 }~'v ,: l o-o.~"-.'~'§/.?.~.~. (940)402-6723 ~¥~: ......... JOB NUMBER: -- , DRAWN BY: [lB RE¥3: CHECKED BY: J.E.T~ REV4: NCt~ DATE: 3-5-03 ........ AREA R.P.L,S. ~E~ ............. SURVEYING J,E.T. EXHIBIT "B" Description Parcel 2 All that certain lot, tract, or parcel of land situated in the J. Kjelberg Survey Abstract Number 1610, J. Bacon Survey Abstract Number 1540, I. Hembrie Survey Abstract Number 594, J. Dalton Survey Abstract No. 353 and the I. Byerly Survey Abstract Number 1458, in the Denton County, Texas and being a part of the M.T. Cole Tract Described in the deed recorded in Volume 249, Page 387, of the Deed Records of Denton County, Texas, the subject tract being more particularly described as follows; BEGINNING at a point in the centerline intersection of Underwood Road and Spring Side Road said point bears South 89 Degrees 44 Minutes 01 Seconds East from the Northeast corner of the M.T. Cole Tract described in Volume 249, Page 387; THENCE along or near the centerline of Underwood Road the following calls; South 00 Degrees 02 Minutes 50 Seconds East a distance of 2096.86 feet to a point for corner; South 07 Degrees 30 Minutes 38 Seconds West a distance of 94.27 feet to a point for comer; South 12 Degrees 02 Minutes 42 Seconds West a distance of 71.93 feet to a point for corner; South 07 Degrees 18 Minutes 17 Seconds West a distance of 127.71 feet to a point for corner; South 00 Degree 12 Minutes 51 Seconds West a distance of 141.23 feet to a point for corner; South 04 Degrees 30 Minutes 27 Seconds East a distance of 190.15 feet to a point for corner; South 03 Degrees 27 Minutes 14 Seconds East a distance of 57.88 feet to a point for corner; South 01 Degrees 43 Minutes 16 Seconds East a distance of 43.18 feet to a point for corner; South 02 Degrees 36 Minutes 19 Seconds West a distance of 103.35 feet to a point for corner; South 03 Degrees 31 Minutes 44 Seconds West a distance of 98.52 feet to a point for corner; South 02 Degrees 31 Minutes 15 Seconds West a distance of 112.60 feet to a point for corner; South 04 Degrees 53 Minutes 00 Seconds West a distance of 214.44 feet to a point for corner; South 04 Degrees 01 Minutes 05 Seconds West a distance of 174.44 feet to a point for corner; South 03 Degrees 09 Minutes 38 Seconds West a distance of 329.07 feet to a point for corner; THENCE South 00 Degrees 44 Minutes 07 Seconds West a distance of 1002.42 feet to a point for corner in the North line of a Texas Municipal Power Agency transmission line easement described in Volume 5, Page 706, of the Liz Pendens Records of Denton County, Texas and with the North line of said easement the following calls and distances; North 89 Degrees 35 Minutes 02 Seconds West a distance of 83.90 feet to a point for corner; North 89 Degrees 34 Minutes 51 Seconds West a distance of 843.39 feet to a point for corner; North 88 Degrees 13 Minutes 35 Seconds West a distance of 599.10 feet to a point for corller; North 89 Degrees 29 Minutes 49 Seconds West a distance of 2791.54 feet to a point for corner; South 89 Degrees 44 Minutes 00 Seconds West a distance of 2428.19 feet to a point for corner; THENCE North 00 Degrees 31 Minutes 04 Seconds East leaving the North line of said Easement a distance of 36.89 feet to a point for corner; THENCE North 89 Degrees 52 Minutes 16 Seconds East a distance of 2592.22 feet to a point for corner; THENCE South 89 Degrees 26 Minutes 06 Seconds East a distance of 4070.26 feet to a point for corner; THENCE North 01 Degrees 09 Minutes 55 Seconds East a distance of 4811.99 feet to a point for corner; THENCE South 89 Degrees 44 Minutes 01 Seconds East a distance of 85.07 feet to the PLACE OF BEGINNING and containing t6.30 acres of land, more or less of which 3.85 acres lies in Underwood Road; This Description correctly represents tile results of ail on-the-ground survey made under my direction and supervision on 12-18~00. J.E. THOMPSON II R.p.L.~'. No 4857 Date AGENDA INFORMATION SHEET AGENDA DATE: DEPARTMENT: CM/DCM/ACM: January 6, 2004 Airport and Transit Operations Jon Fortune, Assistant City Manager Questions concerning this item may be directed to Mark Nelson 349-7702 SUBJECT Consider approval of a resolution of the City of DeNon, Texas urging the Texas Transportation Commission to continue its strong, historic support for using Toll Credits in maintaining the existing system of public transportation in Texas; and providing an effective date. BACKGROUND With the passing of the Transportation Enhancement Act for the 21st century (TEA-21) in 1998, Congress authorized states with Toll Roads to use a percentage of the revenue as a credit toward other transportation projects. These credits would act as the local match for projects thus allowing the Federal Govemmem to pay for 100% of the project. Curremly, the Texas Transportation Commission (TTC) has limited local emities access to these Toll Credits and denied access to them for use on public transit projects. This is a change from the TTC's historical use of the credits. Before 2003, TTC divided the amoum of Toll Credits used for projects between Roads and Public Transit. Recemly, the TTC allowed the Cities of Beaumont and Port Arthur to have Toll Credits to purchase vehicles. However, the TTC also made a point of stating that this was a onetime exception. PRIOR ACTION/REVIEW None ESTIMATED SCHEDULE OF PROJECT N/A FISCAL INFORMATION By allowing municipalities access to Toll Credits for public transit projects, the City of DeNon may be able to purchase vehicles or other items at no cost to the city. EXHIBITS Resolution Respectfully submitted: Mark Nelson, Director Airport and Transit Operations S:~O~ Doeunte~.eso he~o~O~ToH Credits fe~ Loc. al Tzanspmta~m.doc RESOLUTION NO. A RESOLUTION OF THE CITY OF DENTON, TEXAS URGING THE TEXAS TRANSPORTATION COMMISSION TO CONTINUE ITS STRONG, HISTORIC SUPPORT FOR USING TOLL CREDITS IN MAINTAINING THE EXISTING SYSTEM OF PUBLIC TRANSPORTATION IN TEXAS; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the United States Congress has recognized that States with tollways have partially funded their transportation systems with local tolls; that such use of tolls has increased the overall local contribution to the transportation systems; and that Congress, in recognition of this increased local contribution established "toll credits" as a source of federal funding that can be, and has been, used to finance the local contribution requirement of funds fi:om the Federal Transit Administration and the Department of Transportation; and WHEREAS, toll credits in the State of Texas have been directed in the past by the Texas Transportation Commission to public transportation agencies in the State; and WHEREAS, public transportation's use of toll credits has effectively Ieveraged four times the amount of toll credit dollars in additional federal funds; and WHEREAS, the matching of federal funds represented by toll credits has been crucial to maxirni'zing the draw down and use of federal transportation grants to the State of Texas; and WHEREAS, public transportation has historically-based financial needs that greatly exceed that which is available, and that those needs have been welt documented by the Texas Department of Transportation; and WHEREAS, any backward movement in the use of toll credits for public transportation by the Texas Department of Transportation will further diminish the ability of public transit to serve residents; and WHEREAS, public transit agencies in Texas - and the local governments that support them - have practical limits in extending any financial resources in substitution of State toll credits; NOW, THEREFORE, THE COUNCIL OF THE CITY OF DENTON HEREBY RESOLVES: SECTION 1. The City of Denton, Texas, on behalf of Texas public transit agencies, urges the Texas Transportation Commission to continue its strong, historic support for using toll credits in maintaining the existing system of public transportation, and further recommends to the Texas Transportation Commission that public transportation be granted first use of toll credits in the advancement of transit services in the State of Texas. SECTION 2. This resolution shall become effective immediately upon its passage and approval. PASSED AND APPROVED this the day of ,2004. EULINE BROCK, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: APPROVED AS TO LEGAL FORM: HERB~~ATTORNEY Page 2 AGENDA DATE: DEPARTMENT: CM/DCM/ACM: AGENDA INFORMATION SHEET January 6, 2004 Engineering Jon Fortune, Assistant City Manager SUBJECT Consider adoption of an ordinance of the City of DeNon approving a License Agreemem between the Texas Municipal Power Agency ("TMPA"), and the City of DeNon relating to the encroachmem of a Electrical line, a portion of right-of-way and a storm drain across an existing TMPA Easement as part of the North Pointe Phase 3 improvements, located within two tracts of land situated in the T. Toby Survey Abstract Number 1288, City of DeNon, DeNon County, Texas and being a portion of a called 102.9 acre tract of land described in the Deed to Nicosia & 77, L.P. recorded in Volume 5144 Page 1032 of the Deed Records of DeNon County, Texas and also being a potion of a the remainder of Tract 1 described in the Deed to Locust/288 Partners, Ltd., recorded by County Clerk File Number 99- R00025993 of the Real Property Records of DeNon County, Texas. BACKGROUND Staff has approved the construction plans for North Poime Addition Phase 3 and has facilitated the Public Utility and Drainage easemems for the storm drain and the electric line. The right-of-way will be dedicated by the final plat of North Poime Phase 3 addition. The City of DeNon has requested permission to cross an area within the boundaries of an existing TMPA electric easement. TMPA has agreed to the encroachment on the easement with the use of their standard License Agreement. OPTIONS 1. Approve the License Agreemem 2. Denial, or 3. Table for future consideration RECOMMENDATION Staff endorses the approval of the License Agreemem ESTIMATED PROJECT SCHEDULE Wimer 2004 PRIOR ACTION/REVIEW Not Applicable. FISCAL INFORMATION N/A ATTACHMENTS Location Map Draft Ordinance > License Agreement Prepared by: Mark A. Laird Technical Assistant Respectfully submitted: Charles Fiedler, Director Engineering Department :/ 'ZS±SROOq'N 30A0¢ 'lS3VM831NN08 0 0 S:\Our Documents\Ordinances\03\TMPA Encroachment. DOC ORDINANCE NO. AN ORDINANCE OF THE CITY OF DENTON APPROVING A LICENSE AGREEMENT BETWEEN THE TEXAS MUNICIPAL POWER AGENCY ("TMPA"), AND THE CITY OF DENTON RELATING TO THE ENCROACHMENT OF A ELECTRiCAL LINE, A PORTION OF RiGHT-OF-WAY AND A STORM DRAIN ACROSS AN EXISTING TMPA EASEMENT AS PART OF THE NORTH POINTE PHASE 3 IMPROVEMENTS, LOCATED WITHIN TWO TRACTS OF LAND SITUATED IN THE T. TOBY SURVEY ABSTRACT NUMBER 1288, CITY OF DENTON, DENTON COUNTY, TEXAS AND BEING A PORTION OF A CALLED 102.9 ACRE TRACT OF LAND DESCRIBED IN THE DEED TO NICOSIA & 77, L.P. RECORDED IN VOLUME 5144 PAGE 1032 OF THE DEED RECORDS OF DENTON COUNTY, TEXAS AND ALSO BEING A POTION OF A THE REMAINDER OF TRACT 1 DESCRIBED IN THE DEED TO LOCUST / 288 PARTNERS, LTD., RECORDED BY COUNTY CLERK FILE NUMBER 99-0R0025993 OF THE REAL PROPERTY RECORDS OF DENTON COUNTY, TEXAS; AND PROVIDING AN EFFECTIVE DATE. THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: Section 1. The City Manager, Or his designee, is hereby authorized to execute a License Agreement Related to Encroachment on Easement between the City of Denton and the Texas Municipal Power Agency ("TMPA") in substantially the form of the Agreement which is attached to and made a part of this ordinance for all purposes, for the purpose of locating a electrical line, fight-of-way and storm drain within a TMPA Electric utility easement as described therein. Section 2. The City Manager is authorized to make the expenditures as set forth in the attached Agreement. Section 3. This ordinance shall become effective immediately upon its passage and approval. PASSED AND APPROVED this the __ day of ,2004. ATTEST: JENNIFER WALTERS, CITY SECRETARY EULINEBROCK, MAYOR BY: APPROVED AS TO LEGAL FO : ~ 2 LICENSE AGREEMENT RELATING TO ENCROACHMENT ON EASEMENT Date: November 11, 2003 File Code: T15, D36 Re: North Pointe Phase 3 Encroachments on the West Denton-North Denton T15- D36 138 KV Transmission Line Easement. Dear Sir: The City of Denton (hereinafter referred to as User) has requested permission to use the area within the boundaries of Texas Municipal Power Agency's (TMPA) West Denton-North 138 kV Power Line Easement, located at pole number 10/8 in Denton County, Texas, for a portion of a street (Beall Street), a drainage easement for a storm drain outfall, and a public utility easement for a City of Denton electrical line. TMPA is agreeable to the construction of the foregoing Street, Drainage and electrical improvements referred to collectively as the "encroaching facility", if the encroaching facility is located and described as shown on the attached drawing, marked Exhibit "A" and incorporated herein, and subject to the following terms and conditions: f It is understood and agreed that TMPA holds easement rights on or owns the property involved; therefore, User will be required to obtain whatever rights and permission, other than TMPA's, that are necessary. This letter agreement shall extend to and be binding upon User and its heirs, successors, and assigns, and is not to be interpreted as a waiver of any rights held by TMPA under its easement. To the extent permitted by law, user shall defend, indemnify and hold harmless TMPA, its Officers, Directors, Employees and Agents from and against any and afl claims, expenses, (including attorney fees), damages, losses and judgments whether for bodily injury including death or damage to property, arising out of or incident to the presence, construction, operation and maintenance of the encroaching facility. Use of dragline or other boom-type equipment in connection with any work to be performed on the TMPA easement by User, its employees, agents, representatives or contractors must comply with Chapter 752, Texas Health and Safety Code, the National Electrical Safety Code and any other applicable safety or clearance requirements. Notwithstanding anything to the contrary herein, in no event shall any equipment be within fifteen feet of the TMPA power line situated on the aforesaid property. User must notify the Supervisor of Transmission, Tom Chambers, at (936) 873~1125 or (936) 873-2_013, 48 hours prior to the use of any boom-type equipment on the TMPA easement. If in the future the encroaching facility, in the sole judgment of TMPA, does interfere with the use or enjoyment of its easement rights, TMPA shall have the right to remove said encroaching facility. TMPA shall notify User in writing that, within 90 days, the encroaching facility must be removed at User's sole cost. If at the end of the 90 day period the encroaching facility has not been removed, TMPA shall remove it at User's expense. TMPA will not be responsible nor will compensation be paid for damages incurred by such removal. However, in an emergency, TMPA shall have the right to immediately remove the encroaching facility. If the encroaching facility is removed, TMPA will allow a suitable space for the relocation of the encroaching facility within the TMPA easement, if practical. It is expressly understood and agreed that if the property has transmission or distribution facilities located thereon, User shall not place upon the premises, any improvements including but not limited to, building, light standards, fences, shrubs, trees or signs unless approved in writing by TMPA. It is agreed that no trash dumpsters, toxic substances or flammable material will be allowed on the easement. TMPA will not be responsible for any costs of construction, operation and maintenance of User's encroaching facility. It is further agreed that TMPA shall not be liable for any damage to the encroaching facility herein agreed to as a result of TMPA's use pursuant to its easement. Any TMPA property damaged or destroyed by User or its agents shall be repaired or replaced by TMPA at User's expense and payment is due upon User's receipt of an invoice from TMPA. 8. Blasting is not permitted on the TMPA right of way. Grading shall be done in order to leave the right of way in as near as possible to present condition. Spoil dirt and all trash shall be removed from the right of way. Slopes shall be graded so that TMPA vehicles may transit the right of way when required to maintain TMPA's facilities. 10. Shoring shall be required where approved excavation is within 10 feet of a structure and shall extend 20 feet each side of the centerline of the structure. Shoring shall be sufficient to withstand the added load of the structure and its footing. Ditches shall not be left open for extended periods of time. Shoring shall be removed and ditches properly backfilled as soon as practical. Backfill shall be thoroughly tamped. Water tamping shall not be permitted within this area. 11. The TMPA right of way shall be protected from washing and erosion by a method approved by TMPA, 12. Construction equipment and materials shall not be stored on the right of way during construction. 13. It is understood and agreed that, in case of default by User or its agents in any of the terms and conditions herein stated and such default continues for a period of ten (10) days after TMPA notifies User of such default, TMPA may at its election forthwith terminate this agreement and upon such termination all of User's rights hereunder shall cease and come to an end. This agreement shall also terminate upon the abandonment of the encroaching facility. If the foregoing terms and conditions are acceptable to The City of Denton, please have the original and a copy of this letter agreement signed and returned to me at Texas Municipal Power Agency, P.O. Box 7000, Bryan, Texas 77805 within 30 days for final approval by TMPA. This letter agreement shall be effective only after final approval by TMPA. Yours very truly, Hubert Nelson Land Supervisor ACCEPTED: City of Denton Agency APPROVED: Texas Municipal Power By: By: Title: Date: Title: General Manager Date: Encroachment: Denton Steam- Corinth APPROVED AS~O FOR~ C TY A_TTO BY: AGENDA DATE: DEPARTMENT: ACM: AGENDA INFORMATION SHEET January 6, 2004 Materials Management Kathy DuBose, Fiscal and Municipal Services Questions concerning this acquisition may be directed to Sharon Mays 349-8487 SUBJECT Consider adoption of an Ordinance accepting competitive bids and awarding an annual comract for the purchase of pad mounted distribution transformers for Denton Municipal Electric; providing for the expenditure of funds therefore; and providing an effective date (Bid 3101-Pad Mourned Distribution Transformers awarded to the lowest responsible bidder for each item in the estimated amoum of $2,500,000). BID INFORMATION This bid is for pad mourned distribution transformers that are used by DeNon Municipal Electric in the maintenance and new construction of the Electric Underground Distribution System. These items are stocked at the City of Denton Pole Yard for ease of accessibility and will be ordered on an as needed basis to maimain a safe level of stock. RECOMMENDATION We recommend award of this item to the lowest responsible bidder for each item as shown in the attached Exhibit A. PRINCIPAL PLACE OF BUSINESS Preferred Sales Agency, LTD Arlington, TX Priester Supply Arlington, TX Techline, Inc Fort Worth, TX Wesco Fort Worth, TX ESTIMATED SCHEDULE OF PROJECT This is an annual comract, which will begin January 6, 2004 and run through January 6, 2005 with the option to renew for an additional year contingent upon pricing. FISCAL INFORMATION The items in the bid will be funded from the Warehouse Working Capital accoum and charged back to the using department. Agenda Information Sheet January 6, 2004 Page 2 Attachment 1: Bid Tabulation 1-AlS-Bid 3101 Respectfully submitted: Tom Shaw, C.P.M., 349-7100 Purchasing Agent z z z z · - ,4 ~ ~: ~ ~ ~ ::::::::::::::::::::::: :::::::::::::::::::::: ~ ::::::::::::::::::::::: :::::::::::::::::::::: :::::::::::::::::::::: ._ o o o o 0 z z z z z z z z z z z z z z iiiiiiiiiiiiiiiiiiiii iiiiiiiiiiiiiiiiiiiiiiiii z ziiiiiiiiiiiiiiiiiiiii z :::::::::::::::::::::: z iiiiiiiiiiiiiiiiiiiiii z ::::::::::::::::::::: 113 · iiiiiiiiiiiiiiiiiiiiii Z Z Z Z Z Z Z :::::::::::::::::::::::::::::::: ,-n ,-n ,-n o o o o z z z z ~ 0 ~-- 0 ~-- U 0 0 0 0 E ~ E ~ E . z z z z z z z z z z z 0 0 0 0 z z z z z z z z 0 I-- ~ Z Z Z Z Z Z Z ~ ~) q' ~ ~'~' ~ c'q q' c'q z z z z 0 b. 0 0 z ~ z z o° o° o° o 0 0 ~ ::::::::::::::::::::::::::::::::::::::::::: ::::::::::::::::::::: ::::::::::::::::::::::::::::::::::::::::::: ::::::::::::::::::::::::::::::::::::::::::: ::::::::::::::::::::: ::::::::::::::::::::::::::::::::::::::::::: iiiiiiiiiiiiiiiiiiiii ::::::::::::::::::::: ::::::::::::::::::::::::::::::::::::::::::: ::::::::::::::::::::: ::::::::::::::::::::::::::::::::::::::::::: ::::::::::::::::::::: ::::::::::::::::::::: ..2' ' q- 113 113 113 © © © . ~_ - :::::::::::::::::::::: z z z z z z z :::::::::::::::::::::: ~ ~ ~-~ ~ ::::::::::::::::::::::::::::::: :::::::::::::::::::::::::::::: ::::::::::::::::::::::::::::::: ~ o o ............ - ............ ~ o o o o ~ z z ~ z z z z ~ ~ 0 ~ 0 ._ D ~ ~ 0 ~ 0 ~ ~ ~ 0 ~ 0 ~ ~ Z ~ Z ~ ~~ ~ Z ~ Z ~ z z z z o o o o 0 0 0 0 0 0 E 0 -- ~ ~ · ,_ z z z z z ORDINANCE NO. AN ORDINANCE ACCEPTING COMPETITIVE BIDS AND AWARDING AN ANNUAL CONTRACT FOR THE PURCHASE OF PAD MOUNTED DISTRIBUTION TRANSFORMERS FOR DENTON MUNICIPAL ELECTRIC; PROVIDING FOR THE EXPENDITURE OF FUNDS THEREFORE; AND PROVIDING AN EFFECTIVE DATE (BID 3101-PAD MOUNTED DISTRIBUTION TRANSFORMERS AWARDED TO THE LOWEST RESPONSIBLE BIDDER FOR EACH ITEM IN THE ESTIMATED AMOUNT OF $2,500,000). WHEREAS, the City has solicited, received and tabulated competitive bids for the purchase of necessary materials, equipment, supplies or services in accordance with the procedures of State law and City ordinances; and WHEREAS, the City Manager or a designated employee has reviewed and recommended that the herein described bids are the lowest responsible bids for the materials, equipment, supplies or services as shown in the "Bid Proposals" submitted therefore; and WHEREAS, the City Council has provided in the City Budget for the appropriation of funds to be used for the purchase of the materials, equipment, supplies or services approved and accepted herein; NOW, THEREFORE, THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: SECTION 1. That the numbered items in the following numbered bids for materials, equipment, supplies, or services, shown in the "Bid Proposals" on file in the office of the City Purchasing Agent, are hereby accepted and approved as being the lowest responsible bids for such items: BID ITEM NUMBER NO VENDOR AMOUNT 3101 Single Phase 3101 Single Phase 3101 Three Phase 3101 Three Phase 3101 Three Phase 3101 Three Phase 1,3,6-9 Techline, Inc. Exhibit A 2,4,5 Wesco Exhibit A 1,6,9,11,19 Wesco Exhibit A 2,3,7,8,15,16,18 Techline, inc. Exhibit A 4,5,10,12,13,14 Preferred Sales Agency, LTD Exhibit A 17 Priester Supply Exhibit A SECTION 2. That by the acceptance and approval of the above numbered items of the submitted bids, the City accepts the offer of the persons submitting the bids for such items and agrees to purchase the materials, equipment, supplies or services in accordance with the terms, specifications, standards, quantities and for the specified sums contained in the Bid invitations, Bid Proposals, and related documents. SECTION 3. That should the City and persons submitting approved and accepted items and of the submitted bids wish to enter into a formal written agreement as a result of the acceptance, approval, and awarding of the bids, the City Manager or his designated representative is hereby authorized to execute the written contract which shall be attached hereto; provided that the written contract is in accordance with the terms, conditions, specifications, standards, quantities and specified sums contained in the Bid Proposal and related documents herein approved and accepted. SECTION 4. That by the acceptance and approval of the above numbered items of the submitted bids, the City Council hereby authorizes the expenditure of funds therefor in the amount and in accordance with the approved bids or pursuant to a written contract made pursuant thereto as authorized herein. SECTION 5. That this ordinance shall become effective immediately upon its passage and approval. PASSED AND APPROVED this __ day of ,2004. ATTEST: JENNIFER WALTERS, CITY SECRETARY EULINE BROCK, MAYOR BY: APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY BY: 3-ORD-BID 3101 0 0 ~= 0 0 LL 0 z AGENDA INFORMATION SHEET AGENDA DATE: DEPARTMENT: January 6, 2004 Materials Management Questions concerning this acquisition may be directed to Sharon Mays 349-8487 ACM: Kathy DuBose, Fiscal and Municipal Services SUBJECT Consider adoption of an Ordinance accepting competitive bids and awarding an annual comract for the purchase of pole-mourned distribution transformers; providing for the expenditure of funds therefore; and providing an effective date (Bid 3102-Pole-Mourned Distribution Transformers awarded to the lowest responsible bidder for each item in the estimated amoum of $131,728). BID INFORMATION This bid is for pole-mourned distribution transformers that are used by DeNon Municipal Electric in the maintenance and new construction of the Electric Underground Distribution System. These items are stocked at the City of DeNon Pole Yard for ease of accessibility and will be ordered on an as needed basis to maimain a safe level of stock. RECOMMENDATION We recommend award of this item to the lowest responsible bidder for each item as shown in the attached Exhibit A. PRINCIPAL PLACE OF BUSINESS Hughes Supply Corinth, TX Techline Inc. Fort Worth, TX Preferred Sales Agency, Ltd. Arlington, TX ESTIMATED SCHEDULE OF PROJECT This is an annual comract, which will begin January 6, 2004 and run through January 6, 2005 with the option to renew for an additional year contingent upon pricing. FISCAL INFORMATION The items in the bid will be funded from the Warehouse Working Capital accoum and charged back to the using department. Agenda Information Sheet January 6, 2004 Page 2 Attachment 1 :Bid Tabulation Sheet 1-AlS-Bid 3102 Respectfully submitted: Tom Shaw, C.P.M., 349-7100 Purchasing Agent ORDINANCE NO. AN ORDINANCE ACCEPTING COMPETITIVE BIDS AND AWARDING AN ANNUAL CONTRACT FOR THE PURCHASE OF POLE-MOUNTED DISTRIBUTION TRANSFORMERS; PROVIDING FOR THE EXPENDITURE OF FUNDS THEREFORE; AND PROVIDING AN EFFECTIVE DATE (BID 3102-POLE-MOUNTED DISTRIBUTION TRANSFORMERS AWARDED TO THE LOWEST RESPONSIBLE BIDDER FOR EACH ITEM IN THE ESTIMATED AMOUNT OF $131,728). WHEREAS, the City has solicited, received and tabulated competitive bids for the purchase of necessary materials, equipment, supplies or services in accordance with the procedures of State law and City ordinances; and WHEREAS, the City Manager or a designated employee has reviewed and recommended that the herein described bids are the lowest responsible bids for the materials, equipment, supplies or services as shown in the "Bid Proposals" submitted therefore; and WHEREAS, the City Council has provided in the City Budget for the appropriation of funds to be used for the purchase of the materials, equipment, supplies or services approved and accepted herein; NOW, THEREFORE, THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: SECTION 1. That the numbered items in the following numbered bids for materials, equipment, supplies, or services, shown in the "Bid Proposals" on file in the office of the City Purchasing Agent, are hereby accepted and approved as being the lowest responsible bids for such items: BID ITEM NUMBER NO VENDOR AMOUNT 3102 1 Hughes Supply Exhibit A 3102 2 Techline Inc. Exhibit A 3102 3-8 Preferred Sales Agency, Ltd Exhibit A SECTION 2. That by the acceptance and approval of the above numbered items of the submitted bids, the City accepts the offer of the persons submitting the bids for such items and agrees to purchase the materials, equipment, supplies or services in accordance with the terms, specifications, standards, quantities and for the specified sums contained in the Bid Invitations, Bid Proposals, and related documents. SECTION 3. That should the City and persons submitting approved and accepted items and of the submitted bids wish to enter into a formal written agreement as a result of the acceptance, approval, and awarding of the bids, the City Manager or his designated representative is hereby authorized to execute the written contract which shall be attached hereto; provided that the written contract is in accordance with the terms, conditions, specifications, standards, quantities and specified sums contained in the Bid Proposal and related documents herein approved and accepted. SECTION 4. That by the acceptance and approval of the above numbered items of the submitted bids, the City Council hereby authorizes the expenditure of funds therefor in the amount and in accordance with the approved bids or pursuant to a written contract made pursuant thereto as authorized herein. SECTION 5. That this ordinance shall become effective immediately upon its passage and approval. PASSED AND APPROVED this __ day of ,2004. EULINE BROCK, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY BY: 3-ORD-BID 3102 ~' ..... AGENDA DATE: DEPARTMENT: ACM: AGENDA INFORMATION SHEET January 6, 2004 Materials Management Kathy DuBose, Fiscal and Municipal Services Questions concerning this acquisition may be directed to Vance Kemler 349-8444 SUBJECT Consider adoption of an Ordinance of the City of DeNon authorizing the City Manager or his designee to execute a purchase order with the Houston-Galveston Area Council of Governments (H-GAC) for the acquisition of a 25 yard rear load refuse truck by way of an Imerlocal Agreement with the City of Denton; authorizing the expenditure of funds; and providing an effective date (File 3128-HGAC-Purchase of 25 Yard Rear Load Refuse Truck in the amoum of $139,570). BID INFORMATION Residemial refuse collection truck number 9120 has experienced a major unforeseen breakdown. The truck rear driveline assembly has failed and upon inspecting the refuse body, it was determined that serious body imegrity failure has occurred that would require major body repair or body replacement to ensure that the unit will be safe to operate in the future. The cost to rebuild or replace this major driveline componem and the extended time required to either obtain all repair parts for a rebuild or to purchase a new matching rear drive axle assembly, and other refuse body repairs is estimated to be over $25,000 and could require as long as 30-45 days to complete. This unit is a 1991 model truck and has a history of major componem failures and minor repairs totaling approximately $150,000 over the life of the unit. Under these circumstances, the Solid Waste Division and Fleet Services agree that this unit should be replaced instead of additional repairs being made to the 12 year old truck. The contract supplier for the Houston Galveston Area Council of Governmems (HGAC), McNeilus Companies, can have a new Mack cab/chassis with McNeilus rear loading body available within four to five weeks after receipt of an order. The truck meets or exceeds our specifications, is diesel fueled, and meets EPA emission standards. RECOMMENDATION We recommend approval of this item in the amoum of $139,570. PRINCIPAL PLACE OF BUSINESS Houston-Galveston Area Council of Governments Houston, Texas Agenda Information Sheet January 6, 2004 Page 2 ESTIMATED SCHEDULE OF PROJECT The truck chassis is in dealer stock and the completed unit can be delivered within four to five weeks after receipt of an order. FISCAL INFORMATION Funding for the truck will be provided from account 810001.8535. Respectfully submitted: Attachment 1: Quote from HGAC 1-AlS-File 3128 Tom Shaw, C.P.M., 349-7100 Purchasing Agent Attachment 1 Dec.22. 2003 I'25PM McNe[lus Truck M~nufacturina No.3764 P. 2 Vendor: End User Agency: End User Contact; Product Description: B: H-GAC PRODUCT PRICING BASED ON CONTRACT FORM 'llfc fo[l~r/~ing detials MfI:~rr be provided with any purchase order from an End User to McNeilus Truck & Manufacturing Prepared By: Ramiro Leos .City of Denton TX Date Prepared Vance Kemler E.U. Phone No 940-349-8002 McNcilua 2$yd High Compaction Rear Loader E.U. Fax No: 940-349-8057 Base Price in Bid/Proposal No. RC02-02 Published Options: (Itemize Be_low) _Hopper Work L~htS 12/18/03 Sedes BAC Base Pdce $ 32~950.00 Dual McNeitus Cart Tipper Rear to Cab Buzzer 325.00 $ . 6,422.00 $ . 170_00 $ _ Pederson Smart Light Strobe $ 500.00 Subtotal c: Subtotal of A + B D: Unpublishe(t Options 0t~m~z-~ r~-~ow) UNPUBLISHED = 0 (NOTE: Ut~p~blist'~ Options CANNOT be used create anolfler Contractor's Bid item) * Upgrade to High Compaction $ 4,900.00 . $ 7,4t7.00 Subtotal $ - Published Options added to Base Price (~ubtotal of Co. 1 & Col 2} _-_> $ 7,417.00 $ 40,367.00 E; Sul:fmtal $ 4,000.00 Subtotal =$, - Unpublished Options added to Base Price (Subtotal of Co. 1 & Col 2} Contract Price Acljustment (If any, explain here) $ $ 4,000.00 $ Contract Price Adjustment Total F. Total of C + D + E (Excluding H-GAO Fee) G: Quantity Ordered Units: 2 x "E" H: H-GAC Administrative Fee (From Fee Schedule Table) I: Non-Equipment Charges & Credits Freight to Dentonr TX .,. TOTAL PURCHASE PRICE iNCLUDING G + H + I l> 44,367.00 $ 88,734.00 =;> (1 of 2) $ [ie: Ext. Warranty, Trade-In, & Factory Trips] $ 1,200-00 X 2 $ 2t400.00 $ X $ Subtotal of Non-Equipment Charge~ $ , 2,,,,400.00 I$ 91,134.00I ORDINANCE NO. AN ORDINANCE OF THE CITY OF DENTON AUTHORIZING THE CITY MANAGER OR HIS DESIGNEE TO EXECUTE A PURCHASE ORDER WITH THE HOUSTON- GALVESTON AREA COUNCIL OF GOVERNMENTS (H-GAC) FOR THE ACQUiSiTiON OF A 25 YARD REAR LOAD REFUSE TRUCK BY WAY OF AN INTERLOCAL AGREEMENT WITH THE CITY OF DENTON; AUTHORIZING THE EXPENDITURE OF FUNDS; AND PROVIDING AN EFFECTIVE DATE (FILE 3128-HGAC-PURCHASE OF 25 YARD REAR LOAD REFUSE TRUCK IN THE AMOUNT OF $139,570). WHEREAS, pursuant to Ordinance 95-107, the Houston-Galveston Council Area of Governmem (H-GAC) has solicited, received, and tabulated competitive bids for the purchase of necessary materials, equipmem, supplies, or services in accordance with the procedures of state law on behalf of the City of DeNon; and WHEREAS, the City Manager or a designated employee has reviewed and recommended that the herein described materials, equipmem, supplies, or services can be purchased by the City through the Houston-Galveston Area Council of Governmem (H-GAC) programs at less cost than the City would expend if bidding these items individually; and WHEREAS, the City Council has provided in the City Budget for the appropriation of funds to be used for the purchase of the materials, equipmem, supplies, or services approved and accepted herein; NOW, THEREFORE, THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: SECTION 1. That the numbered items in the following numbered file for materials, equipmem, supplies, or services, shown in the "Purchase Orders" referenced herein and on file in office of the Purchasing Agem, are hereby accepted and approved as being the lowest responsible bids for such items: FILE NUMBER VENDOR AMOUNT 3128 H-GAC $139,570 SECTION 2. That by the acceptance and approval of the above numbered items set forth in the referenced purchase orders, the City accepts the offer of the persons submitting the bids to the H-GAC for such items and agrees to purchase the materials, equipmem, supplies, or services in accordance with the terms, conditions, specifications, standards, quamities and for the specified sums comained in the bid documems and related documems filed with the H-GAC, and the purchase orders issued by the City. SECTION 3. That should the City and persons submitting approved and accepted items set forth in the referenced purchase orders wish to enter into a formal written agreement as a result of the City's ratification of bids awarded by the H-GAC, the City Manager or his designated representative is hereby authorized to execute the written contract which shall be attached hereto; provided that the written contract is in accordance with the terms, conditions, specifications and standards contained in the Proposal submitted to the H-GAC, quantities and specified sums contained in the City's purchase orders, and related documents herein approved and accepted. SECTION 4. That by the acceptance and approval of the above numbered items set forth in the referenced purchase orders, the City Council hereby authorizes the expenditure of funds therefor in the amount and in accordance with the approval purchase orders or pursuant to a written contract made pursuant thereto as authorized herein SECTION 5. That this ordinance shall become effective immediately upon its passage and approval. PASSED AND APPROVED this day of ,2004. EULINE BROCK, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY BY: 3-ORD-Filc .... AGENDA DATE: DEPARTMENT: ACM: AGENDA INFORMATION SHEET January 6, 2004 Materials Management Kathy DuBose, Fiscal and Municipal Services Questions concerning this acquisition may be directed to Vance Kemler 349-8444 SUBJECT Consider adoption of an Ordinance approving the expenditure of funds for the purchase of the Caterpillar Computer Aided Earthmoving System (CAES) software package available from only one source in accordance with the provision for State Law exempting such purchases from requirements of competitive bids; and providing an effective date (File 3123-Purchase of a Computer Aided Earthmoving System to Holt CAT in the amount of $72,914). BID INFORMATION On November 4, 2003, the City Council approved the purchase of a landfill compactor from A1- Jon Incorporated. This sole source purchase is for a Caterpillar CAES computer system for that compactor. This will allow the field operators to manage their work by using an electronic plan instead of relying on survey stakes and flags. This will in turn, ensure proper waste placement, more efficient operations, and optimum compaction. With real time grade/slope information, the operator can minimize airspace consumption. Additionally, the CAES system permits the identification of site-specific storage areas for all materials requiring a record of their placement. This system is compatible with the system currently installed on other landfill equipment. The CAES system is only available from Holt CAT and is therefore considered a sole source item. PRIOR ACTION/VIEW (COUNCIL, BOARDS, COMMISSIONS) The Public Utility Board approved this item at its December 1, 2003 meeting. RECOMMENDATION We recommend award of this item to Holt CAT in the amount of $72,914. PRINCIPAL PLACE OF BUSINESS Holt CAT Ft Worth, TX ESTIMATED SCHEDULE OF PROJECT The Computer Aided Earthmoving System will be delivered and installed on the A1-Jon compactor following the delivery of the compactor to the landfill. Agenda Information Sheet January 6, 2004 Page 2 FISCAL INFORMATION This item will be funded from account 660018583.1355.30100. Respectfully submitted: Tom Shaw, C.P.M., 349-7100 Purchasing Agent Attachment 1: Quote from Holt CAT Attachment 2: Price Confirmation from Holt CAT 1 -AlS-File 3123 Attachment i San Antonio · Austin · Corpus Christi · Dallas · Ft Worth · Laredo · Longview · Texarkana · Tyler · Victoria · Waco · Weslaco November 21, 2003 City of Denton Landfill 1100 South Mayhill RD Denton, TX 76208 QUOTATION Caterpillar Computer Aided Earthmoving System: CAES Vehicle System One 900MHZ Radio Shipping Installation: By Caterpillar Factory Representatives at City of Denton Landfill on the City's A1Jon Compactor. Local Dealer field service time, ffneeded, will be charged at published rates. Support Agreement: 24 hour Technical Support (by phone) Software Upgrades Firmware Upgrades The Support Agreement is for the first t2-month period beginning at the end of the software warranty period and is renewable annually through Caterpillar. Support Agreement rates to be determined at the time .of renewal. Warranty: Software - 90 days Hardware- 1 Year Quote Sale Price $ 72,914 Terms: Order must be received by Holt by December 19, 2003 System to be invoiced from date of shipment to the City of Denton Payment due 30 days fi.om date of invoice 549 North Jim Wright Freeway · Ft Worth, TX 76108-1447 · (817) 246-6651 · FAX (817) 367-0119 www, holttexas.com Austin · Corpus Christi, Dallas · Ft Worth · Laredo · Longview · San Antonio · Texarkana o Tyler · Victoria · Waco · Weslaco December 10, 2003 Mr. Tom D. Shaw City of Denton 90lB Texas Street Denton, TX 76201 Dear Mr. Shaw: We have received your letter of December 2, 2003 requesting price protection for Caterpillar Computer Aided Earthmoving System that we quoted on November 21, 2003. As stated in that quote, the order must be received by December 19, 2003. The reason for that stipulation was to avoid a price increase set by Caterpillar. The nature of this specialized equipment precludes Holt from being in a position to place such an order with Caterpillar without the certainty of a retail order from the City, therefore the order will not be placed until such time as we receive a purchase order from the City. That being said, we understand the circumstances that are involved in this process, and as a gesture of goodwill, Holt has decided to absorb this price increase and honor our quote of $72,914 until January 12, 2004. An order received after that date will need to be increased by 3%. We appreciate the opportunity of doing business with the City of Denton. Jo le Te~el~~ ative Cc: Dan Dooley Frank Warren 2000 E. Airport Freeway · Irving, TX 75062-4831 , (972) 721-2000 · FAX (972) 438-2481 www.holtcat.com ORDINANCE NO. AN ORDINANCE APPROVING THE EXPENDITURE OF FUNDS FOR THE PURCHASE OF THE CATERPILLAR COMPUTER AIDED EARTHMOVING SYSTEM (CAES) AVAILABLE FROM ONLY ONE SOURCE IN ACCORDANCE WITH THE PROVISION FOR STATE LAW EXEMPTING SUCH PURCHASES FROM REQUIREMENTS OF COMPETITIVE BIDS; AND PROVIDING AN EFFECTIVE DATE (FILE 3123-PURCHASE OF A COMPUTER AIDED EARTHMOVING SYSTEM TO HOLT CAT IN THE AMOUNT OF $72,914). WHEREAS, Section 252.022 of the Local Government Code provides that procurement of items that are only available from one source, including: items that are only available from one source because of patents, copyrights, secret processes or natural monopolies; films, manuscripts or books; electricity, gas, water and other utility purchases; captive replacement parts or components for equipment; and library materials for a public library that are available only from the persons holding exclusive distribution rights to the materials; need not be submitted to competitive bids; and WHEREAS, the City Council wishes to procure one or more of the items mentioned in the above paragraph; NOW, THEREFORE, THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: SECTION 1. That the following purchase of materials, equipment or supplies, as described in the "Purchase Orders" listed hereon, and on file in the office of the Purchasing Agent, and the license terms attached hereto are hereby approved: FILE NUMBER VENDOR AMOUNT 3123 Holt CAT $ 72,914 SECTION 2. That the acceptance and approval of the above items shall not constitute a contract between the City and the person submitting the quotation for such items until such person shall comply with all requirements specified by the Purchasing Department. SECTION 3. That the City Manager is hereby authorized to execute any contracts relating to the items specified in Section I and the expenditure of funds pursuant to said contracts is hereby authorized. SECTION 4. That this ordinance shall become effective immediately upon its passage and approval. PASSED AND APPROVED this the day of ,2004. EULINEBROCK, M AYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY BY: 3-ORD-File 3123 AGENDA INFORMATION SHEET AGENDA DATE: DEPARTMENT: January 6, 2004 Materials Management Questions concerning this acquisition may be directed to Tom Shaw 349-7100 ACM: Kathy DuBose, Fiscal and Municipal Services ~'% SUBJECT Consider adoption of an Ordinance accepting competitive bids and awarding a contract for the purchase of a uniform rental service for various City departments; providing for the expenditure of funds therefore; and providing an effective date (Bid 3109-Uniform Rental Service awarded to G&K Services, Inc. in the estimated annual amount of $105,000). BID INFORMATION This bid is for an annual contract to supply rented uniforms and laundry service to approximately 365 employees. Rented uniforms vary from cotton polo shirts to flame retardant shirts and jackets for specific divisions. The contract includes once per week laundry delivery/pickup, replacement as needed, and identification names and city logos. Also included in this contract are the entrance mats at various buildings. This contract is for three one-year periods with options to extend for two additional one-year periods. RECOMMENDATION We recommend award of Bid 3109 to G&K Services, Inc. in the estimated annual amount of $105,000. PRINCIPAL PLACE OF BUSINESS G&K Services, Inc. Coppell, TX ESTIMATED SCHEDULE OF PROJECT This is a three-year agreement with the option to renew for an additional two years if agreed to by both parties. FISCAL INFORMATION Each user department will provide funding for this item as they incur costs. Agenda Information Sheet January 6, 2004 Page 2 Attachment 1: Bid Tabulation 1-AlS-Bid 3109 Respectfully submitted: Tom Shaw, C.P.M., 349-7100 Purchasing Agent U U iii ~ 7 ~ U ORDINANCE NO. AN ORDINANCE ACCEPTING COMPETITIVE BIDS AND AWARDING A CONTRACT FOR THE PURCHASE OF A UNIFORM RENTAL SERVICE FOR VARIOUS CITY DEPARTMENTS; PROViDiNG FOR THE EXPENDITURE OF FUNDS THEREFORE; AND PROViDiNG AN EFFECTIVE DATE (BID 3109-UNIFORM RENTAL SERVICE AWARDED TO G&K SERVICES, INC. iN THE ESTIMATED AMOUNT OF $105,000). WHEREAS, the City has solicited, received and tabulated competitive bids for the purchase of necessary materials, equipment, supplies or services in accordance with the procedures of State law and City ordinances; and WHEREAS, the City Manager or a designated employee has reviewed and recommended that the herein described bids are the lowest responsible bids for the materials, equipment, supplies or services as shown in the "Bid Proposals" submitted therefore; and WHEREAS, the City Council has provided in the City Budget for the appropriation of funds to be used for the purchase of the materials, equipment, supplies or services approved and accepted herein; NOW, THEREFORE, THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: SECTION 1. That the numbered items in the following numbered bids for materials, equipment, supplies, or services, shown in the "Bid Proposals" on file in the office of the City Purchasing Agent, are hereby accepted and approved as being the lowest responsible bids for such items: BID NUMBER VENDOR AMOUNT 3109 G&K Services, Inc. Exhibit A SECTION 2. That by the acceptance and approval of the above numbered items of the submitted bids, the City accepts the offer of the persons submitting the bids for such items and agrees to purchase the materials, equipment, supplies or services in accordance with the terms, specifications, standards, quantities and for the specified sums contained in the Bid invitations, Bid Proposals, and related documents. SECTION 3. That should the City and persons submitting approved and accepted items and of the submitted bids wish to enter into a formal written agreement as a result of the acceptance, approval, and awarding of the bids, the City Manager or his designated representative is hereby authorized to execute the written contract which shall be attached hereto; provided that the written contract is in accordance with the terms, conditions, specifications, standards, quantities and specified sums contained in the Bid Proposal and related documents herein approved and accepted. SECTION 4. That by the acceptance and approval of the above numbered items of the submitted bids, the City Council hereby authorizes the expenditure of funds therefor in the amount and in accordance with the approved bids or pursuant to a written contract made pursuant thereto as authorized herein. SECTION 5. That this ordinance shall become effective immediately upon its passage and approval. PASSED AND APPROVED this __ day of ,2004. EULINE BROCK, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY BY: 3-ORD-Bid 3109 ILl AGENDA INFORMATION SHEET AGENDA DATE: DEPARTMENT: CM/DCM/ACM: January 6, 2004 Airport and Transit Operations Jon Fortune, Assistant City Manager Questions concerning this item may be directed to Mark Nelson 349-7702 SUBJECT Consider approval of a resolution of the joim position of the Cities of Demon and Lewisville, Texas regarding flexibility on the use of Section 5307 Transit Formula Grams; and providing an effective date. BACKGROUND The City of Demon receives a yearly federal gram (Section 5307 Urbanized Area Formula Grams) to assist the City's public transportation service, LINK. The gram allows "small" urbanized areas, defined as having a population under 200,000, to enjoy flexibility in how to use Section 5307 grams. The threshold was established in 1996 as part of the TEA-21 using 1990 Census data. Specifically, transit providers serving "small" urbanized areas can use Section 5307 funds for operating costs. The bulk of the LINK budget is operating costs, most of which comes from the 5307 and State grams. Transit providers in areas with more than 200,000 people are limited to using section 5307 funds to cover capital costs and the state removes all direct assistance for operations. Prior to 2000, Demon was the sole city in the Demon urbanized area and easily fell below the 200,000-population threshold. However, the 2000 Census combined the Demon and Lewisville Urbanized Areas imo one, increasing the population of the new Demon-Lewisville Urbanize Area to 299,823. Demon is among more that 40 urbanized areas impacted by either the combining of urbanized areas or population growth as reported in the 2000 Census. in many cases, the geographical areas encompassing the newly designated urban areas are generally too large to provide public transportation with out federal operating assistance. Denton has been working with a coalition of similarly affected transit providers for a solution to this problem. A temporary fix has been approved, but in FY 2005, this temporary fix expires and a more permanem solution is needed. The attached resolution expresses the City of Demon and the City of Lewisville's joim support to establish new criteria to be based on operations rather than population. The proposal, as outlined in the resolution, would establish transportation systems with 100 or more vehicles in service at any one time as the threshold or cut off for federal operating assistance. LiNK curremly operates 21 buses during peak service hours and Lewisville operates less than 10 Dial-a-Ride vehicles during peak service hours. PRIOR ACTION/REVIEW None ESTIMATED SCHEDULE OF PROJECT N/A FISCAL INFORMATION If the criterion is not changed, the City of Demon would have to $950,000 to cover short falls in operating expenses beginning FY 2005. EXHIBITS 200,000 Population Coalition Resolution idemify approximately Respectfully submitted: Mark Nelson, Director Airport and Transit Operations N N z .... ._.~ .- ._ ._ < ~ < ~ < ~ ~ < ~ < ~ _ ~ ~ ~ z z z o o ~ ~ : - o > > .~ ~ 0 ~ 0 < ~ ~ '~ < - .~ o RESOLUTION NO. JOINT RESOLUTION OF THE CITIES OF DENTON REGARDING FLEXIBILITY ON THE USE OF SECTION GRANTS; AND PROVIDING AN EFFECTIVE DATE. & LEWISVILLE, TEXAS 5307 TRANSIT FORMULA WHEREAS, the Office of Management and Budget issued new criteria for the definition and designation of urbanized areas; and WHEREAS, these new criteria were completed and finalized before their full effect could be gauged by local officials; and WHEREAS, under the new criteria the Denton and Lewisville Urbanized Areas were combined into a single urbanized area with a population of 299,823; and WHEREAS, under the old criteria each community had urbanized area populations of well under 200,000; and WHEREAS, the Cities of Lewisville and Denton are both members of the new Denton County Transportation Authority (DCTA); and WHEREAS, DCTA is in the preliminary stages of planning comprehensive countywide transit service; and WHEREAS, until DCTA resumes responsibility for transit service, the Cities of Denton and Lewisville are committed to continuing to provide transit service and to ensuring a smooth transition to DCTA; and WHEREAS, without federal operating assistance the Cities of Denton and Lewisville would have to reduce service, increase fares or both; and WHEREAS, budget and planning needs require the Cities of Denton and Lewisville and DCTA to prepare long-term service plans; NOW, THEREFORE, THE COUNCIL OF THE CITY OF DENTON HEREBY RESOLVES: SECTION 1. The Cities of Demon and Lewisville, Texas support federal legislation that would allow transit providers that operate fewer than 100 transit vehicles during peak service hours and serve communities where the urbanized area population crossed the 200,000- population threshold in the 2000 Census to continue to use federal transit formula grants to cover operating costs. SECTION 2. This resolution shall become effective immediately upon its passage and approval. PASSED AND APPROVED this the __ day of _,2004. EULINE BROCK, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY BY: Page 2 of 2 AGENDA INFORMATION SHEET AGENDA DATE: DEPARTMENT: CM/DCM/ACM: January 6, 2004 Planning and Development Jon Fortune, Assistant City Manager SUBJECT: SI03-0012 (Tree Preservation) Hold a public hearing to receive commems regarding proposed amendmems to the City of DeNon Development Code, setting forth definitions, permit requirements, standards, and an appeal process concerning tree preservation. BACKGROUND: As a result of the removal of trees on the Flow Hospital site the Planning and Zoning Commission created a sub-committee to create a tree preservation ordinance. City staff and the sub-committee held four community meetings to obtain input on the ordinance (Attachmem 2). As a result of those meetings an ordinance has been drafted that includes required tree preservation for all developmems, mitigation requiremems, incemives to preserve trees, the ability to seek relief, the establishment of a tree fund, additional requirements to protect trees during construction and enforcement. At the December 2nd work session Council raised a number of issues similar to those raised at the November 12th P&Z public hearing (Attachment 3). Major issues included the effect of the ordinance on infill developmem and the waiver approval process. The proposed regulations are imended to be amendmems to Subchapter 13 (Site Design Standards) of the Developmem Code. Relief from those standards is accomplished with an Alternative Developmem Plan (ADP). The relief process for tree preservation requiremems could also follow the ADP process. Specific relief from the regulations for infill developmem could be incorporated imo the regulations. The basis for relief, or partial relief for infill developmem could be a number of criteria including lot size, geographic location (dowmown for example), proposed use (single-family developmem) or staff could be given some discretionary authority regarding infill developmem. Finally, Council directed staff to schedule this public meeting to receive additional input from the community prior to scheduling an additional Council work session. PRIOR ACTION/REVIEW (Council, Boards, Commissions) November 5, 2003 November 12, 2003. December 2, 2004 Planning and Zoning Commission work session. Planning and Zoning Commission public hearing. (See Attachmem 2 for commems received at public hearing and staff responses to commems). City Council work session. FISCAL INFORMATION It is likely that the requirements of the proposed regulations will increase the cost of development on properties with trees. The regulations will also increase air and water quality and property values. RECOMMENDATION The Planning and Zoning Commission recommends approval of the draft ordinance 6-0, Roy absent. ATTACHMENTS 1. Draft Tree Preservation Ordinance 2. P&Z public hearing comments and staff responses. Prepar,ed b~: In Assist" A __,_.ant Director of Planning and Development Respectfully submitted: Kelly Carpenter, AICP Director of Planning and Development DRAFT TREE PRESERVATION ORDINANCE Purpose and Intent The purpose of these regulations is to promote the preservation of trees and existing tree canopy, to protect trees during construction, to facilitate site design and construction that contribute to the long term viability of existing trees which improves environmental conditions, specifically to comply with air and water quality regulations, increases property values and to develop a process to control the removal of trees when necessary. It is the further purpose of this ordinance to achieve the following broader objectives: A. Prohibit the clear-cutting of property. B. Maintain and enhance a positive image of the City. C. Protect quality trees and promote the ecological, environmental and aesthetic values of the City. D. Establish a Tree Fund for the preservation and replacement of trees. E. Preserve historic trees. F. Provide for a permitting and enforcement procedure. Applicability A. This subchapter shall apply to: 1. Undeveloped land. 2. All property to be redeveloped including additions or alterations, but not including interior alterations. 3. Gas Wells. 4. Right of way, streets, parks, and other public property under the jurisdiction of the City of Denton. B. The requirements of Subsection 35.17.9 (Upland Habitat Development Standards) controls over this subchapter. If the quantity of Upland Habitat Trees preserved meets or exceeds the preservation requirements specified in subsection 6 no additional preservation is required. C. Exceptions; All developments that have not submitted a preliminary plat application or a building permit application, whichever is applicable, as of the effective date of this ordinance shall be subject to the requirements for tree protection and replacement specified in subsections 6 and 7, with the exception of; 1. Agricultural uses greater than two (2) acres subject to the following restrictions; a. The agricultural use shall be maintained for at least five (5) years. b. In the event that the agricultural use is not maintained for five (5) years, the requirements of this subsection shall retroactively apply. Additionally, any quality tree removed below the minimum allowed in this subsection shall be mitigated at a ratio of 1:3 (3 inches of mitigation for every 1 inch removed). Staff is investigating legal mechanisms to apply the proposed agricultural restrictions to future property owners. DRAFT TREE PRESERVATION ORDINANCE Page 1 of 12 November 12, 2003 DRAFT TREE PRESERVATION ORDINANCE 2. Property on which dwelling unit(s) and completed. 3. Trees located in the Criteria Manual. construction of single-family or two-family residential a final inspection by the Building Official have been visibility triangle area, as defined in the Transportation 4. Public Utility Projects, including public streets, electric transmission lines, drainage improvements and water and wastewater construction: For any project, associated with a master plan, conducted by a public utility or a municipal owned utility shall be exempt from tree replacement and tree protection requirements. This does not exempt site development projects. 5. Public Utilities have the right to trim, cut, and/or remove any and all trees that: a. Interfere with or encroach upon the operations of the utilities; or b. Create a safety issue for utility crews; or c. Create a safety issue to the public. 6. City Landfill and Airport. 7. Nursery trees that are planted and growing on the premises of a Wholesale Nursery that are intended for sale in the ordinary course of business.. 8. Any tree determined to be diseased, dying or dead, by a qualified professional. 9. Public Safety Emergency Measure. Any tree determined to be causing a danger or be in hazardous condition as a result of a natural event such as tornado, storm, flood or other act of God that endangers the public health, welfare or safety and requires immediate removal. 10. Survey Work. Does not apply to the clearing of understory necessary to perform boundary surveying of real property or to conduct tree surveys or inventories As long as the clearing for surveying shall not exceed a width of two (2) feet for general survey (i.e. of easement boundary, etc.) and eight (8) feet for survey of property boundary lines and any tree having a ten (10) inch dbh or greater shall not be removed in any manner during such boundary or general surveying. 11. Capitol Improvement Projects awarded prior to the effective date of this ordinance Permit required No person, directly, or indirectly, shall cut down, destroy, remove or move, or effectively destroy through damaging any tree with a two (2) inch diameter at breast height (dbh) or greater without first obtaining a tree removal permit. 1. No grading shall take place on any undeveloped property that contains trees subject to this subchapter without obtaining a tree removal permit. 2. All trees not listed as a protected tree within this ordinance may be removed with a permit. DRAFT TREE PRESERVATION ORDINANCE Page 2 of 12 November 12, 2003 DRAFT TREE PRESERVATION ORDINANCE Permit Review and Approval Process 1. The Director may adopt rules establishing the requirements for permitting and approval process in the Application Criteria Manual. The rules shall include information required by the Director to determine if the application is complete. 2. A request for tree removal permit shall be submitted and approved prior to the removal of any protected tree in the City. 3. A complete application shall be submitted along with the application fee. The fees shall be established by City Council and published in the Application Criteria manual. 4. A Tree Inventory Plan and a Tree Replacement/Mitigation Plan must be submitted with the tree removal permit application. 5. Permits for tree removal issued in connection with a building permit or clearing and grading permit shall be valid for the same period of time. Tree removal permits issued not in connection with a building permit or clearing and grading permit are valid for 180 days. 6. After the tree removal permit is issued, the permit holder shall post a tree protection sign, supplied by the City, at each entrance to the property and at any other location designated by the City. 7. The City shall be authorized to work with the owners, developers, and builders to make non-substantive changes, within the scope of the ordinance, to plans, permits, and other requirements throughout the development and construction processes that will provide the greatest reasonable tree survival. Tree Designations A. Protected Trees Select healthy species, identified below, with a minimum dbh as identified shall be designated as a Protected Tree. A tree that is designated as a Protected Tree shall be preserved. Protected Tree Species Table Common Name Botanical Name DBH Large Trees Pecan Carya illinoinensis 20" Black Hickory Carya texana 20" Hackberry Celtis occidentalis, sp. 20" Texas Ash Fraxinus texensis 20" Honey Locust Gleditsia triacanthos 20" Black Walnut duglans nigra 20" Sweet Gum Liquidamber styraciflua 20" Chinese Pistachio Pistacia chinensis 20" Bois d'Arc Prosopis glandulosa 20" DRAFT TREE PRESERVATION ORDINANCE Page 3 of 12 November 12, 2003 DRAFT TREE PRESERVATION ORDINANCE Sawtooth Oak Quercus acutissima 20" Escarpment Live Oak Quercusfusiformis 20" Lacy Oak Quercus glaucoides 20" Bur Oak Quercus macrocarpa 20" Blackjack Oak Quercus marilandica 20" Chinquapin Oak Quercus muhlenbergii 20" Water Oak Quercus nigra 20" Shumard Oak Quercus shumardii 20" Post Oak Quercus stellata 20" Texas Red Oak Quercus texana 20" Live Oak Quercus virginiana 20" Black Locust Robinia pseudocacia 20" Bald Cypress Taxodium distichum 20" Cedar Elm Ulmus crassifolia 20" Lacebark Elm Ulmus parviflolia sempervirens 20" Slippery Elm Ulmus rubra 20" Medium Trees Red Cedar duniperus virginiana 8" Magnolia Magnolia grandiflora 8" Afghan Pine Pinus eldarica 8" Winged Elm Ulmus alata 8" Small Trees Redbud Cercis canadensis varieties 6" Texas Persimmon Diospyrus texana 6" Possumhaw Holly Ilex deciduas 6" Yaupon Holly Ilex vomitoria 6" Crape Myrtle Lagerstroemia indica 6" Wax Myrtle Myrica cerifera 6" Mexican Plum Prunus mexicana 6" Eve's Necklace Sophora affinis 6" B. Historic Trees A Historic Tree is a healthy tree that stands at a place where an event of historic significance occurred that had local, regional, or national importance; or at the home of a citizen who is famous on a local, regional, or national basis. A tree may also be considered historic if it has taken on a legendary stature to the community; mentioned in literature or documents of historic value; or considered unusual due to size, age or has landmark status. The Historic Landmark Commission will make DRAFT TREE PRESERVATION ORDINANCE Page 4 of 12 November 12, 2003 DRAFT TREE PRESERVATION ORDINANCE recommendations for Historic Tree designations to the Planning and Zoning Commission (which will conduct a public hearing and include property owner notification) for ultimate approval by the City Council. Upon designation, each tree shall be added to a Historic Tree Registry map to be maintained by the Planning and Development Department. A tree that is designated as a Historic Tree shall be preserved. Quality Trees A Quality Tree is any healthy tree of a species identified on in the "Protected Tree Species Table" that has a dbh that is greater than two (2) inches, but is less than the minimum dbh identified that designates it as a Protected Tree. All Quality Trees shall be preserved and/or mitigated as identified in Table 1. Quality Tree Stand A grouping or clustering of at least three (3) healthy Quality Trees with a two (2) inch dbh or greater in size, with or without understory, spaced at no greater than an average of five-foot intervals. All Quality Tree Stands shall be preserved and/or mitigated as identified in Table 1. Preservation A. Any tree designated as a Protected Tree or a Historic Tree shall be preserved. B. Table 1 establishes the minimum percentages of all dbh or percentage tree canopy of Quality Trees and/or Quality Tree Stands that must be preserved or mitigated. Table 1 Single-family & Duplex Multi-family and Non- Dwellings Residential Uses Quality Trees and 20% within the entire 25% within the entire site. Quality Tree Stands subdivision. 100% within the entire subdivision exclusive of Protected and Historic Trees Environmentally Sensitive 100% within the entire site Area (ESA) Upland Habitat areas. Up to 50% of the required Up to 50% of the required 20% of Quality Trees 25% of Quality Trees Mitigation Maximum and/or Quality Tree Stands and/or Quality Tree Stands may be mitigated rather may be mitigated rather than preserved, than preserved. DRAFT TREE PRESERVATION ORDINANCE Page 5 of 12 November 12, 2003 DRAFT TREE PRESERVATION ORDINANCE C. All percentages relating to preservation stated within this section shall be based on the initial tree survey. Any subsequent redevelopment of property must minimally preserve the applicable percentage of the total dbh of quality trees as indicated by the initial tree survey. D. Trees that are required to be preserved shall be mitigated at the ratio described in Table 2. E. Site Plans and/or Final Plats shall note the trees required to be preserved under this subchapter. The notation shall limit any future land disturbing activity or construction that would impact and/or damage the tree(s) and shall run with the land and be binding upon all successors and assigns of the current owner. Methods for the long-term conservation of said trees may include permanent conservation easements, restrictive covenants, or other such legal mechanisms. Mitigation A. Quality Trees may be removed in excess of the minimum preservation requirement contained in subsection 6 provided the excess removal is mitigated as identified in Table 2. B. Each replacement tree shall be a minimum of 2" caliper measured 6" above grade and at least 5' in height when planted. Table 2, Mitigation (^) (B) (C) Method Description Restrictions The cumulative total of all Quality Trees 2" dbh or greater removed in excess A minimum of seventy- 1. Establishment and of the minimum five (75) percent of the maintenance of new trees preservation requirement replacement trees shall be at the required ratio in contained in subsection 6 of a species identified on Column B on-site. See shall be mitigated at a the Protected Tree Species Column B ratio of 1:1.5 (every 1" Table. removed requires 1.5" towards mitigation). The cumulative total of all Quality Trees 2" dbh or greater removed in excess 2. Plant new trees at the of the minimum required ratio identified in preservation requirement See subsection 9 of this Column B on Public contained in subsection 6 Section Property. See Section9 shall be mitigated at a ratio of 1:1.5 (every 1" removed requires 1.5" towards mitigation). DRAFT TREE PRESERVATION ORDINANCE Page 6 of 12 November 12, 2003 DRAFT TREE PRESERVATION ORDINANCE 3. Payment to the tree See subsection 10 of this See subsection 10 of this mitigation fund. See Section Section Section 10 4. Any combination of See subsection 9 of this Method 1, 2 and 3. Section. Appeals An applicant may appeal the requirements of this subsection using the Zoning Amendment process outlined in Subchapter 3. The Planning and Zoning Commission may recommend and City Council may finally approve based on conditions of approval necessary to mitigate the loss of the Protected Tree(s), Historic Tree(s), Quality Tree(s) and/or Quality Tree Stand(s). The applicant shall provide supporting documentation that: A. Illustrates that there is a unique physical circumstance on the property that requires the removal of the Protected and/or Historic Tree(s). B. Illustrate that the proposed design has minimized the loss of trees to the extent possible. C. Illustrates that preservation and/or mitigation unduly burden the development of the property. Preservation Incentives A. Tree Credits 1. All individual Quality Trees 2" dbh or greater and/or Quality Tree Stands that are preserved beyond the minimum requirements identified in Table 1 shall be credited towards landscape canopy requirements at a ratio of 1:1.5. 2. All Quality Tree Stands without existing understory that are preserved beyond the minimum requirements identified in Table 1 shall be credited towards landscape canopy requirements at a ratio of 1:1.55. 3. All Quality Tree Stands with existing understory that are preserved beyond the minimum requirements identified in Table 1 shall be credited towards landscape canopy requirements at a ratio of 1:1.6. 4. Unless trees preserved are an integral part of the parking lot design, they will not be credited towards parking lot canopy requirements. B. Parking Spaces For every twelve (12) dbh of Quality Tree(s) that have been protected on site, beyond the minimum requirements identified in Table 1, one (1) parking space may be added to or subtracted from the required number of parking spaces up to a fifteen (15) percent increase or decrease. Upon the approval of the Director of Planning and Development, a waiver of up to thirty (30) percent may be granted. C. Parking Lot Design The Director of Planning and Development may allow parking lot design and parking lot landscaping requirements to vary from adopted standards to preserve existing trees. DRAFT TREE PRESERVATION ORDINANCE Page 7 of 12 November 12, 2003 DRAFT TREE PRESERVATION ORDINANCE 10. Replacement Planting Location Preservation shall be the first, best and standard approach. If preservation cannot be achieved, A. On-Site mitigation shall be next pursued. 1. Trees that are required to be planted in compliance with other development regulations shall not be counted for the purpose of satisfying the on-site mitigation requirements. B. If an applicant is able to demonstrate that neither preservation, nor on-site mitigation can be achieved due to environmental or spatial constraints, the applicant may request off-site alternatives on public property. 1. Trees that are required to be planted in compliance with other development regulations shall not be counted for the purpose of satisfying the off-site alternative requirements. 2. Off-site alternatives shall also include maintenance and irrigation for a period of not less than three (3) years. Security for the cost of maintenance shall be in the form of a cash bond, surety bond, or letter of credit. 3. Upon completion of the three-year landscape establishment period, the city shall inspect the trees and determine whether ninety percent (90%) of the trees are healthy and have a reasonable chance of surviving to maturity. Upon such a finding, the City shall release the currency, bond or letter of credit. In the absence of such a finding, the Applicant shall be notified to replace any unhealthy or dead trees. If the applicant does not take remedial steps to bring the property into compliance, the City shall make demand for payment on the cash bond, surety bond, or letter of credit. The City may use all legal remedies to enforce this subchapter in addition to making demand on the security provided herein. 4. Special consideration shall be given the applicant in the event trees are injured or destroyed by natural disasters, including but not limited to tornadoes, straight-line winds, ice storms, fire, floods, hail, or lightning strikes, or through he independent actions of third parties. C. If off-site mitigation cannot be achieved, payment shall be made to the Tree Fund. 11. Tree Fund The City shall administer the tree fund. The funds shall be used to purchase, plant and maintain trees on public property utilizing either city staff or contract labor, to acquire wooded property that remains in a naturalistic state in perpetuity, to perform and maintain a city wide tree inventory and to educate citizens and developers on the benefits and value of trees. The amount of money to be paid shall be based on the fair market value of materials and labor at the time of planting and the maintenance and irrigation for a period of three (3) years. The quantity of trees shall be calculated on the number of 2" replacement trees required to equal the total dbh of Significant Trees and/or Tree DRAFT TREE PRESERVATION ORDINANCE Page 8 of 12 November 12, 2003 DRAFT TREE PRESERVATION ORDINANCE Stands removed in excess of the minimum preservation requirements at a ratio of 1:1.5. The applicant shall submit cost estimates to the City for approval. C. Money contributed to the Tree Fund shall be paid prior to the issuance of a Clearing and Grading Permit on all Commercial, industrial, or Multi-Family Residential buildings, prior to final approval of a Gas Well Development Plat and prior to filing a Final Plat application for all Residential and Non-Residential Subdivisions. 12. Plan Submissions A. Tree Inventory Plan. A tree inventory plan shall delineate site boundaries and site trees by type, size (dbh) and/or canopy and species. An inventory map shall be prepared by a registered landscape architect, urban forester, botanist, arborist or other qualified professional and be submitted with a preliminary plat and/or building permit application. B. Tree Preservation/Replacement Plan. A tree preservation plan shall be submitted before the approval of a final plat and/or building permit and shall contain sufficient detail to show the following: 1. The location of existing and proposed improvements; 2. The limits of clearing and grading; 3. The location, size, species and health of all existing trees to remain, including tree credit calculations (canopy coverage) and methods proposed to comply with tree protection requirements during construction; 4. The location of any and all permanent conservation easements, restrictive covenants, or other such legal mechanism to allow for the long-term conservation of any and all trees required to be preserved. 5. The location, size, species and health of all existing trees proposed to be removed, including calculations (total dbh removed in excess of minimum requirements) to determine the replacement requirements; 6.Identification of all trees eligible for preservation; 7.The location and dimensions of boundary lines. C. Simplified Survey. 1. An aerial photo of the property showing the tree coverage may be used to identify groups of trees that will be preserved if mitigation is not proposed. 2. Large tree stands (greater than 1,000 square feet), which will be mitigated, may be inventoried by performing a detailed study within a specified 100 foot by 100 foot area. The study area shall be a representative sample of the entire tree stand and must be approved by the City prior to performing the survey. The survey shall include the size, species and health of all existing trees within the area. The results of the survey will be applied to the total area of the tree stand to determine the total dbh within the tree stand.. 3. if no Protected Trees, Historic Trees, Quality Trees or Quality Tree Stands exist on the property, a letter from a qualified professional stating what does exist on the property may be submitted in lieu of a survey. DRAFT TREE PRESERVATION ORDINANCE Page 9 of 12 November 12, 2003 DRAFT TREE PRESERVATION ORDINANCE D. The Tree Inventory Plan and the Tree Preservation Plan may be combined on one document. 13. Tree Protection Construction Plans shall include necessary notes and details to ensure the viability of Protected Tress, Historic Trees, Quality Trees and/or Quality Tree Stands including their roots, during construction. A. All trees identified on the tree preservation plan to be preserved shall be protected during construction. All tree protection measures shall be in place and approved prior to the commencement of any on-site construction. Protection measures such as fencing shall be maintained at all times during construction. B. Prior to development or redevelopment, the developer shall establish and maintain a construction entrance that is not within the critical root zone of any protected tree. C. Material intended for the use in construction or waste materials accumulated due to excavations or demolition shall not be placed within the limits of the critical root zone. D. Equipment shall not be cleaned or other foreign materials deposited or allowed to flow overland within the critical root zone of a protected tree. This includes without limitation, paint, oil, solvents, asphalt, concrete, mortar or similar materials. E. Signs, wires or other objects, other than those of a protective nature shall not be attached to any protected tree. However, lighting of a decorative nature may be attached to a protected tree. The lighting shall be attached in a manner as not to damage the protected tree. F. Vehicular and or construction traffic or parking shall not take place within the limits of the critical root zone of any protected tree other than on an existing paved surface. This restriction does not apply to access within the critical root zone for the purpose of clearing underbrush, which shall only be done by hand methods, vehicular traffic necessary for routine utility maintenance or emergency restoration of utility services or routine mowing operations. G. Grade changes shall be allowed within the limits of the critical root zone of any protected tree only upon approval by the city. If approved, major grade changes (i.e. four inches [4"] or greater) within the critical root zone of a protected tree will require additional measures to maintain proper oxygen and water exchange with the roots. Root pruning will be required when disturbance will result in root exposure. Root pruning shall be completed a minimum of two (2) weeks prior to any construction activity within the critical root zone of the protected tree. H. No paving with asphalt, concrete or other impervious materials shall occur within the critical root zone of a protected tree. I. In those areas where a protected tree is within 50 feet of a construction area, a protective fence, minimum of four feet (4') in height, shall be erected and maintained outside the critical root zone of each protected tree group. The protective fencing DRAFT TREE PRESERVATION ORDINANCE Page 10 of 12 November 12, 2003 DRAFT TREE PRESERVATION ORDINANCE 14. 15. shall only be required on the subject site, if the critical root zone extends onto an adjacent property. J. Boring of utilities under protected trees shall be required in those circumstances where it is not possible to trench around the critical root zone of a protected tree. When required, the length of the bore shall be the width of the critical root zone plus two feet (2') on either side of the critical root zone and shall be at a minimum depth of 48 inches. K. Any physical damage to a tree preserved for credit that is considered to place the survival of the tree in doubt shall be eliminated as a credited tree and will require additional trees to be planted in its place at the required ratio. L. Where protected tree removal is allowed through an exemption or by a tree removal permit and the root system is intertwined with the protected trees that are intended to be saved, the tree shall be removed by flush cutting with the natural level of the surrounding ground. Where stump removal is also desired, the stump grinding shall be allowed, or upon approval of the City, a trench may be cut between the two trees sufficient to cut the roots near the tree to be removed, thereby allowing removal of the remaining stump without the destruction of the root system of the saved tree. Tree Planting Restrictions 1. Overhead Lines: Any required replacement tree(s) shall not be planted within an area (both vertically and horizontally) such that the mature canopy will be within ten feet (10') of any overhead utility lines. 2. Underground Utilities: Any required replacement trees or street trees shall not be planted within 5' of underground public utility lines, including water lines, sewer lines, transmission lines, or other utilities. No trees may be planted within 10' of a fire hydrant. 3. Street Corners: No tree shall be planted in the visibility triangle area, as defined in the Transportation Criteria Manual. Definitions Clear Cutting: The removal of all of the trees or a significant majority of the trees within an area. Critical Root Zone (CRZ): The area of undisturbed natural soil around a tree defined by a concentric circle with a radius equal to the distance from the trunk to the outermost portion of the drip line but not less than one foot radius for each one inch dbh. dbh: Diameter at breast height (dbh) is the tree trunk diameter measured in inches at a height of four and one-half (4 ½) feet above existing ground level. For single-trunk trees, the width shall be measured at four and one-half feet (4 ½ ') above ground level. For multi-trunk trees, combine the diameter of largest stem or trunk with one-half of the diameter of each additional stem or trunk, all measured at four and one-half feet (4 ½ ') above ground level. DRAFT TREE PRESERVATION ORDINANCE Page 11 of 12 November 12, 2003 DRAFT TREE PRESERVATION ORDINANCE Drip Line: A vertical line run through the outermost portion of the canopy of a tree and extended to the ground. Healthy Tree: A healthy tree is a tree that is vigorously growing and is free of structural problems such as hollows or voids, free of disease, or insect problems and has a root system that is large enough to support its above ground mass. Limits of Construction: Delineation on a graphic exhibit, which shows the boundary of the area within which all construction activity will occur. Public Utilities: For the purposes of tree preservation provisions of the Denton Development Code, the term, Public Utilities includes public sanitary sewers, public water mains, public streets, public storm sewers, public detention ponds municipally- owned electric utilities, electric cooperatives, investor- owned electric utilities, telephone companies, cable television companies, and other utilities defined under Texas law as "public utilities," as well as any contractor hired by these utilities. Protective Fencing: Temporary chain link fence, wire fence, orange vinyl construction fence, snow fencing or other similar fencing with a minimum four-foot (4') height. Qualified Professional: A qualified professional is a person with a minimum of a Bachelor of Science Degree in any of the following disciplines: Forestry, Horticulture, Botany and/or Plant / Soil Science or, an Arborist that has been certified by the International Society for Arboriculture, a Texas Certified Nursery Professional, a Texas Master Certified Nursery Professional certified by the Texas Nursery and Landscape Association or a Licensed Landscape Architect. Quality Tree: A Quality Tree is any healthy tree of a species identified on in the "Protected Tree Species Table" that has a dbh that is greater than two (2) inches, but is less than the minimum dbh identified that designates it as a Protected Tree. Quality Tree Stand: A grouping or clustering of at least three (3) healthy Quality Trees with a two (2) inch dbh or greater in size, with or without understory, spaced at no greater than an average of five-foot intervals. Removal: Removal means an act that causes or may be reasonably expected to cause a tree to die including uprooting, severing the main trunk, damaging the root system and excessive pruning. Root Pruning: Shall mean to cut away, remove, cut off or cut back all or parts of the root. All root pruning shall be in accordance with approved methods set forth in the National Arborist Association Standards. Tree Protection Sign: A sign furnished by the City upon approval of a tree survey or tree permit that describes prohibited conduct detrimental to trees. Understory: A grouping of natural low-level woody, herbaceous, or ground covers species. DRAFT TREE PRESERVATION ORDINANCE Page 12 of 12 November 12, 2003 Attachment 2 Comments received at the November 12th P&Z Public Hearing Category Comment Staff Response Throughout the public Should not have a "specific" Protected process, the majority of Tree List. All trees should be participants want to protect protected, and/or preserve select native species of tree., not every tree. The proposed 20" size represents approximately the 93 percentile (or the upper 7%) of 4 recent tree inventories. · 24" = 92 percentile · 22" = 95 percentile · 18" = 89 percentile · 16" = 87 percentile Change the size (dbh) of protected Although varying the size trees requirements, based on · Decrease size (16" to 12") species, would better · Increase size represent the growth habits · Vary size per tree specie of each tree, it is also creates additional issues. Most people do not know the difference between tree Protected Tree List species and would not know if it would be protected (what size for what species). Having one size is easier for inventories and easier o implement. The ESA Upland Habitat protects large areas (10 acres or greater) of the Cross Timbers for residential Should be preserving the Cross Timbers. development only. The proposes ordinance would provide some protection to the Cross Timbers as well as other tree stands. One alternative would be to provide "Protected" status to individual trees only. Large Requiring preservation of all protected trees in a tree stand could be trees could hinder development, classified as a quality tree. It would count as a tree, but wouldn't necessarily have to be saved. Page 1 of 3 Category Comment Staff Response A detailed tree survey is only required if the amount of trees being removed is less than the percentage required The 2" requirement is to onerous to preserve (20% for single- . Costly to survey all 2" trees family and 25% for others). Consideration should be given to spacing of trees (a bunch of 2" trees Of the recent tree surveys; Quality Trees closely spaced will not mature into · 2" trees = 0% of the total large trees) trees inventoried. · Increase to 5", 6" or 8" · 4" = 9% 0% of the total trees inventoried. Add a "Marginal" tree list similar to · 6" = 33% 0% of the total Keller & Southlake". trees inventoried. · 8" = 52% 0% of the total trees inventoried. Currently, Bois d'Arc, Hackberry and Honey Locust (and others) are on the "Undesirable Tree species List". These trees cannot Do not allow "marginal" trees to be currently be used towards planted (Bois d'Arc, Hackberry, existing landscape Locust) requirements. The argument is, that if a tree species is good enough to save, it should be good enough to Replacement trees plant. A requirement for species diversity can easily be added to the ordinance. Either require a specific amount of Require species diversity species to be replanted (staff recommends at least 4) or base it on the survey. If 5 species are being remove, replace with a minimum of 5 species. The restrictions only apply to trees being credited towards Do not prohibit all development within the preservation Tree Protection the critical root zone - if done right, requirements. Simply stated the tree can survive - if you damage the roots, your not getting credit for the tree. Adding addition development The ordinance has a waiver Private Property Rights regulations is taking away a persons provision that provides ability to develop there property, armlicants the abilitv to seek Page 2 of 3 Category Comment Staff Response To paraphrase - the trees are mine, if I relief for the requirements. want to cut them down, I should be able to. As with the Alternative Development Plan (ADP) process, each case is different. What works in one circumstance may not be right for another Process is discressionary circumstance. As more and · Set max. mitigation rules more cases are bought Create administrative relief, forward, similarities for Waver requirements Process may be a loophole that allows approval may develop. If a mechanism to remove trees, patterns become apparent, Process is time consuming, may those can be incorporated hinder development, into the code. For example, if City Council approves tree removal based on required intersection geometry, then we can incorporate that circumstance into the code and allow it by right. Infill Development Ordinance does not address infill The proposed ordinance developments, treats all sites the same. Public utilities are exempt if building Who ever builds it should be Utility Improvement infrastructure identified on a Master exempt - the ordinance can Plan but a private developer is not. be modified to reflect that. Benefit of tree preservation is born by Depending on site developers (not community) conditions, tree preservation Cost City should develop resources will likely add cost to necessary to preserve trees in a public development. trust One additional incentive would be to provide a city Incentives Create more incentives tax abatement for trees preserved. The first year is the most critical with respect towards 3 year maintenance period is to long. survival. The three year Maintenance Homeowners could kill a tree and period was proposed because developer would be responsible, that is the minimum length of time that the parks Department will irrigate new trees. Page 3 of 3 AGENDA INFORMATION SHEET AGENDA DATE: DEPARTMENT: CM/DCM/ACM: January 6, 2004 Planning DepartmeN Jon Fortune, Assistant City Manager SUBJECT - SI03-0023 (Major Event Entertainmen0 Hold a public hearing and consider an ordinance amending Sub-Chapters 5 and 23 of the DevelopmeN Code regarding movie theaters. The Planning and Zoning Commission recommends approval 7-0. BACKGROUND ApplicaN: City of DeNon, DeNon TX Currently, movie theaters are in two categories in the Denton Development Code, "theaters less than 1,000 seats", and "major event entertainment". The intent of the Code was to allow "small" theaters to locate in less intensive areas and larger theaters in more intensive areas (Attachment 1). However, the impact of even a small theater on a surrounding neighborhood (especially to traffic) can be significaN. Additionally, the curreN trend in the movie theater industry is to open large multi-screen movie theaters. The proposed amendmeNs would: 1. Create a new and separate "Movie Theater" category (replacing the Movie Theaters less than 1,000 seats). 2. Allow movie theaters by right in the Regional CeNer Commercial Neighborhood (RCC- N) and Regional CeNer Commercial DowNown (RCC-D) zoning districts (areas near major expressways) [AttachmeN 2]. 3. Require a Specific Use Permit for movie theaters (regardless of size) in the DowNown Commercial Neighborhood and General (DC-N, DC-G), Community Mixed-Use General (CM-G) and Regional CeNer ResideNial-1 and 2 (RCR-1 and RCR-2) zoning districts. 4. Revise the definition of Major Even ENertainmeN (remove movie theaters as a typical use). This amendment is staff originated initially in response to industry questions and further revised based on our analysis of the zoning categories in which movie theaters are curreNly allowed. ESTIMATED PROJECT SCHEDULE N/A PRIOR ACTION/REVIEW December 3, 2003: Planning and Zoning Commission Work Session December 17, 2003: Planning and Zoning Commission public hearing FISCAL INFORMATION N/A RECOMMENDATION The Planning and Zoning Commission recommends approval 7-0. ATTACHMENTS 1. Staff Analysis 2. Regional Mixed Use Activity Centers Maps 3. Draft Ordinance 4. December 17th Planning and Zoning Commission Minutes Prepared By: ~A~"rry Rs0~hhart,~A,'~A ssistaht Director of Planning and Development Respectfully submitted: Kelly Carpenter, AICP Director of Planning and Development ATTACHMENT 1 Staff Analysis Summary_ of Request Currently, movie theaters are divided into two categories, theaters less than 1,000 seats, and major event entertainment. The tables below identify where each use is currently permitted. Theaters Less than 1,000 seats Major Event Entertainment L(14) = Uses are limited to no more than 10,000 square feet of gross floor area. SUP - Specific Use Permit According to the movie industry, the trend is to build large multi-screen movie theaters. Generally, these theaters have up to 16 screens and seat over 2,000 people. With that as the trend the category "less than 1,000 seats" doesn't relate to what is likely to occur. Additionally, besides including movie theaters in the definition of "Major Event Entertainment" (see below), the use is not a major event, it occurs daily. Major Event Entertainment: A structure or area with a capacity of greater than 1, 000 seats for public performances and sporting events. Major event entertainment facilities include movie theaters, concert halls, stadiums, and arenas. The intent of the proposed amendment is to eliminate the "Theaters less than 1,000 seats" category and replace it with a "Movie Theaters" category, which would be all inclusive to all types of movie theaters. If properly located and planned, movie theaters could be located in a number of different locations throughout the city. However, it appears that the most appropriate location would be within the Regional Mixed-Use Activity Centers land use areas (Attachment 2). These areas are adjacent to 1-35 and are intended to focus on the shopping, services, recreation, employment, and institutional facilities supported by and serving an entire region. A regional activity center could include a regional shopping mall, a number of major employers, restaurant and entertainment facilities, a large high school or community college, and high-density housing. A regional activity center is considerably larger and more diverse in its land uses than any other activity center. Recommendation: For the reasons stated above, staff is recommending the elimination of the "Theaters less than 1,000 seats" category and replacing it with a "Movie Theaters" category. Within the newly created Movie Theaters category, movie theaters would be allowed by right in the RCC-N and RCC-D zoning districts and by an SUP in the DC-N, DC-G, CM-G, RCR-1 and RCR-2 zoning districts. This will allow movie theaters to locate in high intensity areas by right and in other areas if appropriate. Finally, "movie theaters" would be removed from the definition of Major Event Entertainment. ATTACHMENT 2 Regional Mixed-Use Activity Centers Loop 288 / 1-35E Area Loop 288 / 1-35 Area 1-35W / Crawford Rd. Area : S:\Our Documents\Ordinances\03\SI03-0023.doc ORDINANCE NO. AN ORDINANCE OF THE CITY OF DENTON, TEXAS, AMENDING PORTIONS OF SUBCHAPTER 5 (ZONING DISTRICTS AND LIMITATIONS AND SUBCHAPTER 23 (DEFINITIONS) OF THE DENTON DEVELOPMENT CODE, PROVIDING FOR A PENALTY CLAUSE WITH A MAXIMUM AMOUNT OF $2,000.00 FOR VIOLATIONS THEREOF; AND PROVIDING FOR AN EFFECTIVE DATE. (SI03-0023) WHEREAS, pursuant to Ordinance No. 2002-040 the City Council of the City of Denton, Texas adopted the Denton Development Code (the "Development Code"); and WHEREAS, after conducting a public hearing as required by law on December 17, 2003, the Planning and Zoning Commission recommended approval of certain changes to Subchapters 5 and 23; and WHEREAS, after providing notice and after conducting a public heating as required by law, the City Council finds that the subject changes to the Development Code are consistent with the Comprehensive Plan and are in the public interest; NOW, THEREFORE THE COUNCIL OF THE CiTY OF DENTON HEREBY ORDAINS: SECTION 1. Subchapter 5 of the Development Code is hereby amended in part as particularly described in Exhibit "A" attached hereto and made part hereof by reference. All other provisions of subchapter 5 not inconsistent with the amendment shall remain in full force and effect. SECTION 2. The def'mition of Major Event Entertainment, in Subehapter 23 of the Development Code is hereby amended to: Major Event Entertainment: A structure or area with a capacity of greater than 1,000 seats for public performances and sporting events. Major event entertainment facilities include concert halls, stadiums, and arenas. All other provisions of subchapter 5 and 23 not inconsistent with the amendment shall remain in full force and effect. SECTION 3. Any person violating any provision of this ordinance shall, upon conviction, be fined a sum not exceeding $2,000.00. Each day that a provision of this ordinance is violated shall constitute a separate and distinct offense. SECTION 4. If any section, subsection, paragraph, sentence, phrase or word in this ordinance, or application there of to any person or circumstance is held invalid by any court of competent jurisdiction, such holding shall not effect the validity of the remaining portions of this ordinance, and City Council of the City of Denton, Texas hereby declares it would have enacted such remaining portions despite any such invalidity. PAGE 1 S:',Our Documents\Ordinances\03\SI03-0023.doc SECTION 5. This ordinance 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, a daily newspaper published in the City of Denton, Texas, within ten (10) days of the date of its passage. PASSED AND APPROVED this the __ day of ,2004. EULINE BROCK, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY BY: PAGE 2 Attachment 4 5. PUBLIC HEARINGS: Hold public hearings and consider making recommendations to the City Council on the following items: F. Amendments to Sub-Chapters 5 (Zoning Districts and Limitations) and 23 (Definitions) of the Development Code associated with movie theaters. (SI03-0023, Major Event Entertainment) The public hearing was opened. Larry Reichhart, Assistant Director of Planning and Development, briefed the Commissioners on the request. There was no input from the Commissioners or the public. The public hearing was closed. Commissioner Holt moved, Roy seconded to approve the request. Motion carried 7-0. AGENDA INFORMATION SHEET AGENDA DATE: DEPARTMENT: CM/DCM/ACM: January 6, 2004 Planning and Development Department Jon Fortune, Assistant City Manager SUBJECT: Z03-0028 (2004 Emery StreeO Hold a public hearing and consider adoption of an ordinance regarding the rezoning of approximately .34 acre tract from a Neighborhood Residential Mixed Use (NRMU) zoning district to a Neighborhood Residential Mixed Use - 12 (NRMU-12) zoning district, generally located at the northwest corner of Emery Street and Ector Street. The proposal is to construct a single-family home. The Planning and Zoning Commission recommends approval (6-1) (Watkins Opposed). BACKGROUND Applicant: R.W. Thornton, Denton, TX Single-family dwellings are not allowed in Neighborhood Residential Mixed Use zoning districts. The applicant has received a building permit to construct a three-car garage that would allow the storage of the applicant's personal antique car collection. The applicant would also like to build a single-family home between the street and the newly constructed garage for a personal residence. Public notification and property owner responses are provided in Attachment 3. As of this writing, staff has received one response in opposition and three responses in favor of the request from property owners within 200 feet of the subject site. OPTIONS 1. Approve as submitted. 2. Deny. 3. Postpone consideration. 4. Table item. RECOMMENDATION The Planning and Zoning Commission recommended approval of the request at its December 3, 2003 meeting. (6-1, Watkins Opposed.) ESTIMATED PROJECT SCHEDULE The subject property is platted. Development of the property will require a building permit prior to construction. PRIOR ACTION/REVIEW The following is a chronology of Z03-0028, commonly known as 2004 Emery Street: The Planning and Zoning Commission recommended approval at its December 3, 2003 meeting. At the Planning and Zoning Commission meeting of November 12, 2003 the final replat was approved. On September 24, 2003 the applicant requested that the entire 1 acre site be rezoned from Neighborhood Residential Mixed Use (NRMU) to Neighborhood Residential Mixed Use -12 (NRMU-12). The Planning and Zoning Commission recommended that the City Council rezone the property from NRMU to Neighborhood Residential 3 (NR-3) zoning district. The applicant withdrew that request before City Council heard the request. Ordinance 2002-040, adopted February 2002 placed the subject property in the Neighborhood Residential Mixed Use (NRMU) zoning district and land use classification. Prior to the adoption of the Development Code, the property was zoned Single-Family 10 (SF- 10) which allowed single-family dwellings on 10,000 sq. ft. lots. Final Plat for property has been approved. No Neighborhood meeting was held. ATTACHMENTS 1. Staff Analysis 2. Map 3. Public Notification (Property Owner Notification Map) 4. Zoning District Comparison Chart 5. Proposed Single-family home Elevation 6. Planning and Zoning December 3, 2003 Meeting Minutes 7. Draft Ordinance Prepared by: Wes Morrison Planner I Respectfully submitted: Kelly Carpenter, AICP Director of Planning and Development ATTACHMENT 1 Staff Analysis Summary_ of Zoning Request The applicam requests approximately .34-acre tract to be rezoned from its currem Neighborhood Residemial Mixed Use (NRMU) to a Neighborhood Residemial Mixed Use 12 (NRMU-12) zoning district. The requested zoning change would allow the applicam to construct a single- family home on the property located at 2004 Emery Street. Existing Condition of Property The subject property is vacam and is not in a flood plain. Adjacem zoning: North: Neighborhood Residemial Mixed Use (NRMU) zoning district - vacam land South: Neighborhood Residemial 3 (NR-3) zoning district - single-family East: Neighborhood Residemial 3 (NR-3) & Neighborhood Residemial Mixed Use (NRMU) zoning district - single-family & vacam land West: Community Mixed Use - General (CM-G) zoning district - commercial & vacam land Comprehensive Plan Analysis The subject site is located in an "Existing Neighborhoods/Infill Compatibility" future land use area. New development in this district should respond to existing development with compatible land uses, patterns and design standards. The plan recommends that existing neighborhoods within the city be vigorously protected and preserved. Housing that is compatible with the existing density, neighborhood service, and commercial land uses are allowed. The request to rezone this property is consistent with the Denton Plan. The proposed single- family use is compatible with the existing neighborhood and the proposed zoning would continue to allow neighborhood services to the area. The proposed zoning change and use meets the imem of the DeNon Plan. Developmem Review Analysis Transportation A traffic impact analysis will not be required for a single-family use. Access and Connectivity The site will be accessed by Emery Street. Public Infrastructure There is adequate infrastructure to support the proposed developmem. Developmem Code / Zoning Analysis Single-family uses are not permitted in the Neighborhood Residemial Mixed Use (NRMU) zoning district but it is permitted in Neighborhood Residemial Mixed Use-12 (NRMU-12) zoning district. Curremly the applicam is in the process of building a garage/workshop, which is allowed within the NRMU zoning district. The NRMU-12 zoning district would allow the newly constructed garage/workshop and proposed single-family dwelling. The garage/workshop would be considered an accessory dwelling unit and cannot be larger than 25% of the main structure on the property. The garage/workshop is approximately 1800 square feet and the proposed dwelling is approximately 1400 square feet. Upon construction of the proposed house the applicam has 3 indicated that the living quarters will be removed from the garage and converted into garage use, which will remove the accessory dwelling unit designation from the garage. Attachment 5 illustrates the difference between the two zoning districts. Any proposed development on this site is required to be in compliance with the site design standards of the Development Code. Staff Findings While the proposed zoning change is compatible with the existing neighborhood to the south, the adjacent property will allow for commercial uses. Buffering between the uses will be required. Staff Recommendation Based on the above finding, staff recommends approval of the requested zoning change ATTACHMENT 2 NORTH Location/Zoning Map ATTACHMENT 3 Scale: None Public Notification Date November 20, 2003 200' Legal Notices* sent via Certified Mail: Number of responses to 200' Legal Notice · In Opposition: 0 · In Favor: 0 · Neutral: 0 Percent of land within 200' in opposition: 0% 9 *A copy of the notification list can be picked up at City Hall West, 221 N. Elm Denton TX 76201 ATTACHMENT 4 Neighborhood Residential Mixed Use - 12 and Neighborhood Residential Mixed Use Comparison Chart Proposed Existing Zoning Zoning Single Family Dwellings P N Accessory Dwelling Units L(1) N Attached Single Family Dwellings P L(40) Dwellings Above Businesses P P Live/Work Units P P Duplexes P N Community Homes for the Disabled P P Group Homes SUP SUP Multi-Family Dwellings P SUP(L4) Bed and Breakfast L(10) P Retails Sales And Service L(15) P Theaters Less than 1,000 seats N L(14) Restaurant or Private Club N L(11) Drive-through Facility N SUP Professional Services and Offices L(14) L(17) Quick Vehicle Servicing N SUP Administrative or Research Facilities N L(14) Broadcasting of Production Studio N L(14) P =Permitted N =Not Permitted L =Limitations explained on following page. Limitations: L(1): Accessory dwelling units are permitted, subject to the following additional criteria: 1. The proposal must conform to the overall maximum lot coverage and setback requirements of the underlying zone. 2. The maximum number of accessory dwelling units shall not exceed 1 per lot. 3. The maximum gross habitable floor area (GHFA) of the accessory residential structure shall not exceed 50% of the GHFA of the primary residence on the lot, and shall not exceed 1000sq. ft. GHFA. 4. One additional parking space shall be provided that conforms to the off-street parking provisions of this Chapter. L(4): Permitted as part of a mixed use development often acres or more and only in conjunction with office, retail, or other permitted commercial or institutional uses. L(8): Traveler' accommodations, are permitted, provided that: 1. The business-owner or manager shall be required to reside on the property occupied by the accommodation, or adjacent property. 2. That each accommodation unit shall have 1 off-street parking space, and the owners shall have 2 parking spaces. All spaces shall be in conformance with the Off-Street Parking section of this Chapter. 3. That only one ground or wall sign, constructed of a non-plastic material, non-interior illuminated of 4 sq. ft. maximum size be allowed. Any exterior illumination of signage shall be installed such that it does not directly illuminate any residential structures adjacent or nearby the travelers' accommodation. 4. That the number of accommodation units allowed shall be proportional to the permitted density of the zone. Each traveler's accommodation trait shall be counted as 0.6 traits for the purpose of calculating the permitted number of traveler's accommodations. 5. All travelers' accommodations shall be within 200 feet of a collector or arterial. Street designations shall be determined by the City Comprehensive Plan. Distances shall be measured via public street or alley access to the site from the martial. 6. Excluding the business-owner's unit and the area of the structure it will occupy, there must be at least 400 sq. ft. of gross interior floor space remaining per unit. 7. Traveler's accommodations are limited to no more than 8 guests. L(10): All restrictions of L(8), but limited to no more than 5 guests. L(11): Limited to site down only, and no drive up service permitted. Limited to no more than 100 seats and no more than 4,000 square feet of restaurant area. L(14): Uses are limited to no more than 10,000 square feet of gross floor area. L(15): Uses are limited to no more than 5,000 square feet of gross floor area per lot. An SUP is required for additional square footage for Semi-Public Halls, Clubs and Lounges. L(17): Uses are limited to no more than 25,000 square feet of gross floor area per use, except grocery stores may be larger with approval of an SUP. L(40): Limited to a maximum of 12 units an acre. The limitations listed above regulate the specifics of each use allowed within the zoning district. Attachment 5 .(:. Rezoning of apl)roximately .34 a¢,'e traci froltl ~ Neighborhood ResidemiM Mixed (NRMI) zoning dlslrkt to a Neighborhood Residenllal Mixed Ise IZ (NRMU-i2) Wes Morris~m. l"hmncr i. hr]d~d (ommission members on thc request, bhx'rison abo stated thc Thornton. 218 Penns} h,'ania.. [)on,un. '['x. ( omm[ss[oncr Watkins - ua), ORDINANCE NO. AN ORDINANCE OF THE CITY OF DENTON, TEXAS, PROVIDING FOR A ZONING CHANGE FROM NEIGHBORHOOD RESIDENTIAL MIXED USE (NRMU) ZONING DISTRICT CLASSIFICATION AND USE DESIGNATION TO NEIGHBORHOOD RESIDENTIAL MIXED USE-12 (NRMU-12) ZONING DISTRICT CLASSIFICATION AND USE DESIGNATION FOR APPROXIMATELY .34 ACRE OF LAND LOCATED AT THE NORTHWEST CORNER OF EMERY STREET AND ECTOR STREET IN THE CITY OF DENTON, DENTON COUNTY, TEXAS; PROVIDING FOR A PENALTY IN THE MAXIMUM AMOUNT OF $2,000.00 FOR VIOLATIONS THEREOF, A SEVERABILITY CLAUSE AND AN EFFECTIVE DATE. (Z03-0028) WHEREAS, R.W. Thornton has applied for a change in zoning for approximately .34 acres of land located at the northwest comer of Emery Street and Ector Street, commonly known as 2004 Emery Street and more particularly described as Lot 3R-l, Block 1 of the Revised Roberts Addition, an addition to the City of Denton, Texas (the "Property") from Neighborhood Residential Mixed Use (NRMU) zoning district classification and use designation to Neighborhood Residential Mixed Use - 12 (NRMU-12) zoning district classification and use designation; and WHEREAS, on December 3, 2003, the Planning and Zoning Commission recommended approval of the requested change in zoning; and WHEREAS, the City Council finds that the change is consistent with the Comprehensive Plan; NOW, THEREFORE THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: SECTION 1. The zoning district classification and use designation of the Property approximately is hereby changed fi.om Neighborhood Residential Mixed Use (NRMU) zoning district classification and use designation to Neighborhood Residential Mixed Use - 12 (NRMU- 12) zoning district classification and use. SECTION 2. The City's official zoning map is amended to show the change in zoning district classification. SECTION 3. If any provision of this ordinance or the application thereof to any person or circumstance is held invalid by any court, such invalidity shall not affect the validity of other provisions or applications, and to this end the provisions of this ordinance are severable. SECTION 4. Anyperson violating any provision of this ordinance shall, upon conviction, be fined a sum not exceeding $2,000.00. Each day that a provision of this ordinance is violated shall constitute a separate and distinct offense. SECTION 5. This ordinance shall become effective fourteen (14) days fi.om 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, a daily newspaper published in the City of Denton, Texas, within ten (10) days of the date of its passage. PASSED AND APPROVED this the day of ,2003. EULINE BROCK, MAYOR ATTEST: JENNIFER WALTERS, C1TY SECRETARY BY: APPROVED AS TO LEGAL FORM: PAGE 2 AGENDA INFORMATION SHEET AGENDA DATE: DEPARTMENT: CM/DCM/ACM: January 6, 2004 Planning and Development Department Jon Fortune, Assistant City Manager SUBJECT - Z03-0027 (Oak Grove Commercial Developmen0 Hold a public hearing and consider adoption of an ordinance concerning the rezoning of approximately 20.1 acres from Neighborhood Residential 3 (NR-3), Neighborhood Residential 4 (NR-4), and Neighborhood Residential Mixed-Use 12 (NRMU-12) zoning districts to approximately 10.7 acres of Neighborhood Residential Mixed Use (NRMU) and 9.4 acres of Neighborhood Residential Mixed Use 12 (NRMU-12) zoning districts. The properties, commonly known as 2500, 2520, 2528, 2605, and 2700 McKinney Street, are located along both sides of McKinney Street approximately 300 feet west of Bellaire and McKinney intersection. Neighborhood services are proposed. The Planning and Zoning Commission recommends approval (7-0). BACKGROUND Applicant: Isbell Engineering Sanger, TX The subject site is located adjacent to existing NRMU-12 and NRMU zoning districts encompassing approximately 44 acres. Civic and institutional uses, such as a neighborhood park, an elementary school, and a church, are located within a half-mile radius. A neighborhood meeting was held on November 18, 2003, at the Martin Luther King Recreation Center. The participants expressed no opposition to the zoning request. Public notification and property owner responses are provided in Attachment 3. As of this writing, staff has received no responses from property owners within 200 feet of the subject site. OPTIONS 1. Approve as submitted. 2. Deny. 3. Postpone consideration. 4. Table item. RECOMMENDATION The Planning and Zoning Commission recommends approval (7-0). ESTIMATED PROJECT SCHEDULE The subject property is not platted. A final plat is required prior to the issuance of any building permits. PRIOR ACTION/REVIEW No prior development applications for the subject site have been submitted. ATTACHMENTS 1. Staff Analysis 2. Maps 3. Public Notification (Property Owner Notification Map) 4. Neighborhood Meeting Sign-In Sheet 5. Photos 6. Zoning Plan 7. Applicant's Response 8. December 3, 2003 Planning and Zoning Commission Minutes 9. Ordinance Prepared by: Deborah Viera, AICP Planner II Respectfully submitted: Kelly Carpenter, AICP Director of Planning and Development 2 ATTACHMENT 1 Staff Analysis Summary_ of Zoning Request The applicant is requesting the zoning change of approximately 20.1 acres from NR-3, NR-4, and NRMU-12 zoning districts as follows: Existing Zoning Proposed Zoning Acreage NR-3 NRMU-12 2.32 NR-3 NRMU 1.48 NR-4 NRMU- 12 6.88 NR-4 NRMU 8.24 NRMU- 12 NRMU 1.13 The proposed NRMU districts would have frontage along McKinney Street and would extend approximately 300 feet north and 400 feet south of McKinney. The proposed NRMU-12 would be located behind the proposed NRMU districts and would serve as transitional zoning between the existing NR-4 districts abutting along the north and south property lines and the proposed NRMU districts along McKinney. The subject site is located adjacent to existing NRMU-12 and NRMU zoning districts encompassing approximately 44 acres of which, approximately 32 acres are currently vacant. The existing 44 acre neighborhood center node includes the following parcels: Development/Owner Existing Zoning Acreage Status Fountains of Denton NRMU- 12 10.7 Developed Kelsey Law Firm NRMU 3.8 Developed Maple Leaf Homes NRMU 3.4 Vacant Edward Green NRMU- 12 7.4 Vacant Gerard Vela NRMU- 12 18.9 Vacant The following civic and institutional uses are located within a half-mile radius: Mack Park, Lee Elementary School, and the McKinney Street Baptist Church. The most recent zoning request in this area was the Maple Leaf (located on the north side of McKinney Street) rezoning for 3.4 acres of NRMU. The request was approved by City Council in November 2002. 3 Existing Condition of Property Property History. February 20, 2002 - Ordinance 2002-040 placed the subject property in Neighborhood Residential 3 (NR-3), Neighborhood Residential 4 (NR-4), and Neighborhood Residential Mixed-Use 12 (NRMU-12) zoning districts. The property was zoned Agricultural prior to the adoption of the Development Code (Ordinance 2002-040). Adjacem zoning and land uses. North: South: East: West: Neighborhood Residemial 4 (NR-4) (Vacam) Neighborhood Residemial 4 (NR-4) (Vacam) Neighborhood Residemial Mixed-Use (NRMU) (Maple Leaf) and Neighborhood Residemial 4 (NR-4) Neighborhood Residemial 3 (NR-3) and Neighborhood Residemial Mixed-Use 12 (NRMU- 12) Comprehensive Plan Analysis The northern tract is located within an "Existing Neighborhood/Infill Compatibility" future land use area. New development in this district should respond to existing developmem with compatible land uses, patterns and design standards. The plan recommends that existing neighborhoods within the city be vigorously protected and preserved. Housing that is compatible with the existing density, neighborhood service, and commercial land uses is allowed. According to the definition of compatibility per the DeNon Plan, compatibility refers to: "The characteristics of diffkrent uses or activities or design which allow them to be located near or adjacent to each other in harmony... Compatibility does not mean "the same as." Rather, compatibility refers to the sensitivity of development proposals in maintaining the character of existing development. "(p. 188) The southern tracts are located within a "Neighborhood Center" future land use area. Neighborhood cemers are imended to provide "facilities vital for the day-to-day activity of the neighborhood. A neighborhood cemer might comain a convenience store, small restauram, personal service shops, church, synagogue, daycare, individual office space, a small park, and perhaps an elememary school. These diverse facilities are located ideally in close proximity to one another in the cemer, so that all the essemial neighborhood facilities are in one conveniem location accessible in a single stop or by walking or biking". Existing facilities within a half-mile radius such as the Mack Park, the Lee Elememary School, the McKinney Street Baptist Church, and law offices lay down the foundation for the potemial developmem of a neighborhood cemer node in this area. However, staff recognizes the need for additional personal services shops and offices, and small-scale retail shops in this area. 4 The Denton Plan suggests a typical service area for a neighborhood center node, which includes both NRMU-12 and NRMU zoning districts, of one (1) square mile, and a typical land area of ten (10) acres. The existing NRMU-12 and NRMU parcels total over 44 acres, of which approximately 32 acres are currently vacant. Map #1 depicts the potential service area of the existing NRMU-12 and NRMU parcels. Map #1 The subject zoning request is for 20.1 acres, of which approximately 2 acres will be dedicated for a drainage easement and right-of-way dedication for McKinney Street. The zoning proposal would add approximately 18 acres to the existing node. However, the neighborhood service area would not be significantly expanded toward residential areas. Furthermore, the expansion of services will be toward areas zoned for community mixed-use services and employment centers located along Loop 288 (see Map #2). Map #2 Staff also stresses the importance of controlling the development of non-residential uses and the quality of design along major corridors. The community's visual preferences for new development, incorporated in The Denton Plan, identify strip developments as the less desirable type of development. "One of the overall goals of the land use plan is to limit the amount of strip commercial development along Denton's arterial streets, collectors, and highways." (p. 42) 5 "The quality of development, particularly commercial development along the city's corridors, is a significant factor in the quality of neighborhoods, the urban environment, and the sustainability of structures. Adequate public facilities shall be a criterion by which zoning is granted." (p. 42) The proposed zoning change is not in compliance with the policies of the DeNon Plan regarding the typical land area for a neighborhood center and promotes the opportunity to increase strip development along McKinney Street. Developmem Review Analysis Transportation A Traffic Impact Analysis (TIA) would be required prior to any final platting of any portion of this property to demonstrate that there is adequate traffic related infrastructure to support the proposed development uses. Right-of-way dedication for McKinney Street will be required prior to developmem. Access The proposed development will be required to take access from McKinney Street. Road Capacity The Demon Mobility Plan idemifies McKinney Street as a primary major arterial road. This road is designed to be a six (6) lane divided street without parking, providing six (6) lanes of through traffic. As such, its designed traffic capacity allows for a tolerable traffic flow of up to 27,900 trips per day. McKinney Street is currently constructed with two (2) lanes without parking. The reconstruction of McKinney Street is tentatively programmed to start during year 2007. Development Review The proposed NRMU-12 district could serve as a transitional zoning between higher imensity uses located within the proposed NRMU district along McKinney Street and the existing NR-4 districts abutting the sites. Theoretically, the southern tract is large enough to accommodate residemial uses compatible with neighborhood services creating a neighborhood node. Such residemial uses would be higher in density compared to the a typical NR-4 residemial subdivision. The differences between the proposed NRMU-12 and NRMU zoning districts are summarized in the following table: Land Use NRMU-12 NRMU Single-family Permitted Not Permitted dwelling Accessory Dwelling Limitation 1: Maximum of 1 Not Permitted Unit accessory unit, setbacks, and maximum floor area. Attached Single-family Permitted Limitation 40: Limited to 12 units per acre. Duplexes Permitted Not Permitted Multi-family dwellings Permitted Specific Use Permit Bed & Breakfast Limitation 10: Maximum 5 guest Permitted units. Retail Sales & Services Limitation 15: Maximum of 5,000 sq. Limitation 17: Maximum of ft. of gross floor area per lot. 25,000 sq. ft. of gross floor area per use, except grocery stores may be larger with a SUP. Theater less than 1,000 Not Permitted Limitation 14: Maximum of seat 10,000 sq. ft. of gross floor area. Restaurant or Private Not Permitted Limitation 11; Sit-down only Club and no drive thru facilities. Maximum of 100 seats and no more than 4,000 sq. ft. Drive-thru facilities Not Permitted Specific Use Permit Professional Services & Limitation 14: Maximum of 10,000 Limitation 17: Maximum of Offices sq. ft. of gross floor area. 25,000 sq. ft. of gross floor area per use, except grocery stores may be larger with a SUP. Quick Vehicle Services Not Permitted Specific Use Permit Administrative & Not Permitted Limitation 14: Maximum of Research Facilities 10,000 sq. ft. of gross floor area. Broadcasting of Not Permitted Limitation 14: Maximum of Production Studio 10,000 sq. ft. of gross floor area. Bakeries Not Permitted Limitation 21: Bakery and bottling areas not to exceed 2,500 sq. ft. Sales on premises of products produced required in this zone. Veterinary Clinics Not Permitted Permitted Semi-public, Halls, Limitation 15: Maximum of 5,000 sq. Permitted Clubs, & Lodges ft. of gross floor area per lot. An SUP for additional square footage. 7 Business/Trade School Not Permitted Limitation 14: Maximum of 10,000 sq. ft. of gross floor area. Private High School Not Permitted Specific Use Permit Elderly Housing Limitation 13: Maximum of 55,000 Permitted sq. ft. of gross floor area per lot. The available vacant land zoned for non-residential neighborhood activities in close proximity of the subject site does not support the idea that additional neighborhood mixed-use zoning is needed to provide services for the existing residential uses in that area. STAFF RECOMMENDATION Staff recommends denial of Z03-0027 based on the following findings: 1. Existing vacant land zoned for neighborhood mixed-use services does not support the argument that additional neighborhood mixed-use area is needed to service existing residential development. 2. The existing 44 acre neighborhood mixed-use district located adjacent to the subject site exceeds the typical land area of 10 acres for a neighborhood center node. If the zoning request were granted, the additional 20 acres would enlarge the existing node. 3. If the zoning request is granted, the expansion of the potential service area is not significant. Furthermore, the expansion of services will be toward areas already zoned for community mixed-use services and employment centers located along Loop 288. 4. The rezoning of parcels along McKinney Street for neighborhood mixed-use land uses could create a corridor of strip development along this thoroughfare. ATTACHMENT 2 Maps NORTH LOCATION AND ZONING MAP SITES FUTURE LAND USE MAP 9 ATTACHMENT 3 Public Notification Notification Map NORTH Newspaper Notification Date: Percent of land within 200' in opposition: 0% 200' Legal Notices* sent via Certified Mail: 19 500' Courtesy Notices* sent via 1st Class Mail: · In Favor: 0 · Opposed: 0 · Neutral: 0 November 22, 2003 33 Scale: None *A copy of the notification list can be picked up at City Hall West, 221 N. Elm Denton TX 76201 10 ATTACHMENT 4 Neighborhood Meeting Signing Sheet 11 ATTACHMENT 5 Photos 12 ATTACHMENT 6 Zoning Plan 13 ATTACHMENT 7 Applicant's Letter ~ISSELL ENGiNEERiNG G;ROU:P, iNC, 14 15 16 17 18 19 2O 22 ? 23 24 25 3O 31 Planning and Zoning Commission December 3, 2003 Page 3 of 4 4. PUBLIC HEARINGS: The Commission held a public hearing and considered making recommendations to Council on the following item: A. Final Plat of Lots 6R1 and 6R2, Block 1, of the Denton Regional Medical Center Addition, Phase 2 being a replat of Lot 6, Block 1 of the Denton Regional Medical Center Addition, Phase 2. The purpose of the replat was to create two lots out of one lot for medical office use. (FR03-0018, DeNon Regional Medical Cemer, Deborah Viera). The public hearing was opened. Deborah Viera, Planner II, stated the met the minimum requirements and staff recommended approval. No one spoke during the public hearing. The public hearing was closed. After discussion, Commissioner Roy moved, Holt seconded to approve the plat as it met the minimum requirements. Motion carried 7-0. Bo Rezoning of approximately 20.1 acres from Neighborhood Residential 3 (Nr-3), Neighborhood Residential 4 (NR-4), and Neighborhood Residential Mixed-Use 12 (NRMU-12) zoning districts to approximately 10.7 acres of Neighborhood Residential Mixed Used (NRMU) and 9.4 acres of Neighborhood Residential Mixed Use 12 (NRMU-12) zoning districts. The properties, commonly known as 2500, 2520, 2528, 2605, and 2700 McKinney Street, were located along the north and south sides of McKinney Street, approximately 300 feet west of Bellaire and McKinney intersection. Neighborhood services were proposed. (Z03-0027, Oak Grove Commercial Developmem, Deborah Viera). The public hearing was opened. Deborah Viera, Planner II, briefed Commission members on the rezoning request and recommended denial of this request due to the following reasons: 1. Existing vacam land zoned for neighborhood mixed-use services does not support the argumem that additional neighborhood mixed-use area is needed to service existing residential development. 2. The existing 44 acre neighborhood mixed-use district located adjacem to the subject site exceeds the typical land area of 10 acres for a neighborhood cemer node. If the zoning request were granted, the additional 20 acres would enlarge the existing node. 3. If the zoning request is granted, the expansion of the potential service area is not significam. Furthermore, the expansion of services will be toward areas already zoned for community mixed-use services and employmem cemers located along Loop 288. 4. The rezoning of parcels along McKinney Street for neighborhood mixed-use land uses could create a corridor strip development along this thoroughfare. Planning and Zoning Commission December 3, 2003 Page 4 of 4 The following individuals spoke during the public hearing: Les Allison, Isbell Engineering- favor Vikki Oppenheim, Isbell Engineering- favor The public hearing was closed After discussion, Commissioner request. Motion carried 7-0. Powell motioned, Johnson seconded to approve the rezoning Rezoning of approximately .34 acre tract from a Neighborhood Residential Mixed Use (NRMU) zoning district to a Neighborhood Residential Mixed Use 12 (NRMU-12) zoning district. The property was generally located at the northwest comer of Emery Street and Ector Street. The applicant was proposing a single-family dwelling, (Z03-0028, 2004 Emery, Wes Morrison). The public hearing was opened. Wes Morrison, Planner I, briefed Commission members on the request. Morrison also stated the deed restrictions are no longer in place on this lot. The following individual spoke during the public hearing: R. W. Thornton, 218 Pennsylvania, Denton, Tx. The public hearing was closed. After discussion, Commissioner Johnson moved, Strange seconded to approve the rezoning request. On a roll vote - Commissioner Johnson - aye, Commissioner Strange - aye, Commissioner Mulroy - aye, Commissioner Holt - aye, Commissioner Powell - aye, Commissioner Roy - aye, Commissioner Watkins - nay. Motion Carried 6-1. With no further business the meeting adjourned at 7:25 p.m. Joe Mulroy Chair Planning & Zoning Commission Mary Beth Thomas Administrative Assistant ORDINANCE NO. AN ORDINANCE OF THE CITY OF DENTON, TEXAS, PROVIDING FOR A ZONING CHANGE FROM NEIGHBORHOOD RESIDENTIAL 3 (N-R-3), NEIGHBORHOOD RESIDENTIAL 4 (NR-4), AND NEIGHBORHOOD RESIDENTIAL MIXED-USE 12 (NRMU-12) ZONING DISTRICT CLASSIFICATIONS AND USE DESIGNATIONS TO NEIGHBORHOOD RESIDENTIAL MIXED-USE 12 (NRMU-12) AND NEIGHBORHOOD RESIDENTIAL MIXED- USE (NRMU) ZONING DISTRICT CLASSIFICATIONS AND USE DESIGNATIONS FOR APPROXIMATELY 20.1 ACRES OF LAND COMMONLY KNOWN AS 2500, 2520, 2528, 2605, AND 2700 MCKINNEY STREET AND GENERALLY LOCATED ALONG BOTH SIDES OF MCKINNEY STREET APPROXIMATELY 300 FEET WEST OF BELLAIRE DRIVE AND MCKINNEY STREET, PROVIDING FOR A PENALTY IN THE MAXIMUM AMOUNT OF $2,000.00 FOR VIOLATIONS THEREOF; AND PROVIDING A SEVERABILITY CLAUSE AND AN EFFECTIVE DATE. (Z03-0027) WHEREAS, the Isbell Engineering initiated a change in zoning for approximately 20.1 acres of land from Neighborhood Residential 3 (NR-3), Neighborhood Residential 4 (NR-4), and, Neighborhood Residential Mixed-Use 12 (NRMU-12) zoning district classifications and use designations to Neighborhood Residential Mixed-Use (NRMU) zoning district classification and use designation for two tracts or parcels of land containing approximately 9.37 acres and 1.48 acres of land as more particularly described in Exhibit "A" attached hereto and made a part hereof by reference (the "Extfibit "A" Property") and Neighborhood Residential Mixed-Use 12 (NRMU-12) zoning district and use designation for two tracts or parcels of land containing approximately 6.88 acres and 2.32 acres of land as more particularly described in Exhibit"B" attached hereto and made a part hereof by reference (the "Exhibit "B" Property"); and WHEREAS, on December 3, 2003, the Planning and Zoning Commission concluded a public hearing as required by law, and recommended approval of the requested change in zoning; and WHEREAS, the City Council finds that the change in zoning is consistent with the Comprehensive Plan and Development Code; NOW, THEREFORE, THE COUNCIl, OF THE CITY OF DENTON HEREBY ORDAINS: SECTION 1. The findings and recitations contained in the preamble of this ordinance are incorporated herein by reference. SECTION 1. The zoning district classification and use designation of the Exhibit "A" Property is hereby changed from Neighborhood Residential 3 0XrR-3), Neighborhood Residential 4 (NR-4), and, Neighborhood Residential Mixed-Use 12 (NRMU-12) zoning district classifications and use designations to Neighborhood Residential Mixed-Use (NRMU) zoning district classification and use designation. The zoning district classification and use designation of the Exhibit "B" Property is hereby changed from Neighborhood Residential 3 (NR-3), Neighborhood Residential 4 Page 1 of 2 (NR-4), and, Neighborhood Residential Mixed-Use 12 (NRMU-12) zoning district classifications and use designations to Neighborhood Residential Mixed-Use 12 (NRMU-12) zoning district classification and use designation . Notwithstanding the above real property description, the property being rezoned includes all property to the centerline of all adjacent street rights-of-way. SECTION 2. The City's official zoning map is amended to show the change in zoning district classification. SECTION 3. If any provision of this ordinance or the application thereof to any person or circumstance is held invalid by any court, such invalidity shall not affect the validity of other provisions or applications, and to this end the provisions of this ordinance are severable. SECTION 4. Any person violating any provision ofthis ordinance shall, upon conviction, be fined a sum not exceeding $2,000.00. Each day that a provision of this ordinance is violated shall constitute a separate and distinct offense. SECTION 5. That this ordinance 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, a dally newspaper pubhshed in the City of Denton, Texas, within ten (10) days of the date of its passage. PASSED AND APPROVED this the day of ,2004. EULINE BROCK, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, BY: Page 2 of 2 Exhibit A FIELD NOTES to all that certain tract of land situated in the T.M. DEWING SURVEY, Abstract No. 346, and the M.E.P. & P.RR. SURVEY, Abstract No. 1475, and the M. YOACHUM SURVEY, Abstract No. 1442 in the City of Denton, Denton County, Texas and being all cfa called 1.121 acre tract of land described in the Deed fi.om C.W. Lewis, et ux, to R.L. Tyson, et ux, as recorded in Volume 918, Page 318 of the Deed Records of Demon County, Texas, a part of a called 3.481 acre tract of land described in the Deed from C.E. Stanford, et ux, to Gary Dennis Dillard, et ux, as recorded in Volume 1188, Page 730 of said Deed Records, and all cfa tract of land described in the Deed from Alex Diekie, Jr., et ux to Bobby R. Mitchell, et ux, as recorded in Volume 419, Page 22 of said Deed Records, and all of a tract of land described in the Deed from Alex Dickie, Jr., et ux, to Bobby R. Mitchell, et ux, as recorded in Volume 473, Page 673 of said Deed Records, and a part of a called I 1.958 acre lract of land described in the Deed from Bank One, Texas, National Association to Joan Cohagen as recorded under County Clerk's File Number 94-R0036955 in the Real Property records of Denton County, Texas; the Subject Tract being more particularly described as follows: BEGINNING at the Northwest comer of said Tyson tract on the South side of FM Road 455; THENCE South 71 degrees 15 minutes 39 seconds East with said Road and with the North line of said Tyson Tract a distance of 158.43 feet to the Northeast corner thereof at the Northwest comer of said Dillard Tract; THENCE South 72 degrees 07 minutes 00 seconds East with the North line thereof and with said Road a distance of 249.12 feet to the Northeast corner of said Mitchell Tract recorded in Volume 419, Page 22, in the West line of said Cohagen Tract; TI!ENCE North 01 degree 41 minute 18 seconds East with the West line thereof a distance of 38.38 feet to the Northwest corner thereof, in or near the middle of said FM Road 455; THENCE South 72 degrees 26 minutes 00 seconds East with said Road and with the North line of said Cohagen Tract a distance of 758.51 feet to the Northeast corner thereof} THENCE South 01 degree 41 minutes 00 seconds West with the East line thereof and the West line of Lot One, Block One of The McKinney Street Baptist Church Addition, an addition in the City of Denton, Demon County, Texas, according to the plat thereof recorded in Cabinet F, Page 208 of the Plat Records of Demon County, Texas, for a distance of 382.16 feet to the Southeast corner of the herein described tract; THENCE North 72 degrees 25 minutes 56 seconds West a distance of 996.57 feet to the Southerly most Southwest corner of the herein described tract in the West line of said Dillard Tract; THENCE North 00 degrees 12 minutes 22 seconds East with the West line thereof a distance of 48.26 feet to the Southeast comer of said Tyson Tract; THENCE South 89 degrees 57 minutes 40 seconds West with the South line thereof distance of 150.00 feet to the Southwest comer thereof; THENCE North 00 degrees 02 minutes 20 seconds West with the West line thereof a distance of 351.00 feet to the PLACE OF BEGINNING and enclosing 9.37 acres of land. TYSSELAND zoning .48 ACRES FIELD NOTES to all ~at certain tract of land situated in the M. Yoachum Survey, Abstract Number 1442, in lhe City and County of Denton, Texas and being a part of that ceflain tra~t descri~ in the deed from BBy Joe Martin and Nellie E. Martin to John Tysseland recorded in Volume 668 Page 512 of the Deed Records of Denton County, Texas; the subject easement being more particularly described as follows; BEGINNING for the Southeast comer of the tract being desatbed herein at a %' iron rod found for tile Southeast corner of said Tysseland tract on the North line of East Mc, Kinney Street; THENCE Norlh 73 degrees 34 minutes 42 seconds West along said Street with the South line of said tract a distance of 217.38 feet to an iron rod found for lhe $outbea~ comer of that certain tract describe din the deed from John Tysseiand to C.R, Lincoln et. ux. recorded in Volume 1058 Page 407 Deed Records; THENCE North 02 degrees 22 minutes 26 seconds East with the East line of said Lincoln tract a distance of 169.05 feet to the Northeast comer of said Lincoln tract; THENCE NoAh 89 degrees 33 minutes 03 seconds West with the NoAh line thereof a distance of 98.50 feet to a wood fence comer post for the Northwest comer of said Lincoln tract in the West line of said Tysseiend tract; THENCE North 00 degrees 47 minutes 35 seconds East with said West line a distance of 103.90 feet to the Norlhwest comer of the heroin described tract; THENCE South 79 degrees 31 minutes 57 seconds East with a line seve~ng said tract a distance of 307.29 feat to a comer in the East line of said Tysseiand tract; THENCE South 00 degrees 44 minutes 23 seconds West with said East line a distance of 279.22 feet to the PLACE OF BEGINNING and enclosing 1.48 of an acre of land, Exhibit B FIELD NOTES to all that certain tract of land situated in the M.E.P. & P.RR. SURVEY, Abstract No. 1475, and the M. YOACHUM SURVEY, Abstract No. 1442 in the City of Denton, Denton County, Texas and being a part of a called 3.481 acre tract of land described in the Deed from C.E. Stanford, et ux, to Gary Dennis Dillard, et ux, as recorded in Volume 1188, Page 730 of the Deed Records of Denton County, Texas, and a part of a called 11.958 acre tract of land described in the Deed from Bank One, Texas, National Association to Joan Cohagen as recorded under County Clerk's File Number 94- R0036955 in the Real Property records of Denton County, Texas; the Subject Tract being more particularly described as follows: BEGINNING at the Southwest comer of said Tyson Tract, in the North line of a tract of land described in the Deed from Amwest Savings Association to Staff Realty, Inc. as recorded under County Clerk's File Number 94-R0006845 of said Real Property Records; THENCE North 00 degrees 12 minutes 22 seconds East with the West line thereof a distance of 410.35 feet to tho Northwest comer of the herein described tract; THENCE South 72 degrees 25 minutes 56 seconds East a distance of 99657 feet to the Northeast corner of the herein described tract in the East line of said Cohagen Tract and in the West tine of Lot One, Block One of The McKinney Street Baptist Church Addition, an addition in the City of Denton, Denton County, Texas, according to the plat thereof recorded in Cabinet F, Page 208 of the Plat Records of Denton County, Texas; THENCE South 01 degree 41 minutes 00 seconds West with the West line thereof and the East line of said Cohagen Tract a distance of 185.18 feet to the Southeast corner of said Cohagen Tract at the Northeast corner of a called 16.927 acre tract of land described in the Deed form Bowen Ervin Snow to Alvin Ellis, et ux, as recorded in Volume 1029, Page 328 of said Deed Records; THENCE North 89 degrees 30 minutes 00 seconds West with the North line thereof and the South line of said Cohagen Tract a distance of 729.71 feet to the Southwest corner of said Cohagen Tract, in the East line of said Sta_ffRealty Tract; THENCE North 01 degree 41 minutes 00 seconds East with the East line thereof and the West line of said Cohagen Tract a distance of 69.82 feet to the SOutheast corner of said Dillard Tract; THENCE South 89 degrees 50 minutes 20 seconds West with the South line thereof and the North line of said Staff Realty Tract a distance of 218.50 feet to the PLACE OF BEGINNING and enclosing 6~88 acres of land. TYSSELAND zoning 2.32 ACRES FIELD NOTES to all that ~ertain tract of land situated in the M. Yoachum Survey, Abstract Number 1442, in the City and County of Denton, Texas and being a paff of that certain tract described in the deed from Billy Joe Martin and Nellie E. Martin to John Tysseland recorded in Volume 668'Page 512 of the Deed Records of Denton County~ Texas; the subject easement being more particularly described as follows; BEGiNNING,for the Northwest comer of the tract being described herein at an iron rod found for the Northwest comer of said Tysseland tract; THENCE North 89 degrees 15 minutes 52 seconds East with the. North line thereof a distance of 303.59 feet to an Iron rod found for the Northeast comer of said Tysseland tm~t; THENCE South 01 degrees 05 minutes 59 seconds West with the East line thereof · distance of 157.57 feet to an iron rod found; THENCE South 00 degrees 44 minutes 23 seconds West continuing with said East line a distance of 206.32 feet to the SoutheaSt comer of the herein described tract; THENCE North 79 degrees 31 minutes 57 seconds West with a line severing said tract a distance of $07.29 feet to a comer in the West line of said Tysseland tract; THENCE North 00 degrees 47 minutes 35 seconds East with seid West line a distance of 304.15 feet to the PLACE OF BEGINNING and enclosing 2.32 acres of land. AGENDA INFORMATION SHEET AGENDA DATE: January 6, 2004 DEPARTMENT: Legal Department CM/DCM/ACM: Dorothy Palumbo, Senior Assistant City Attorney SUBJECT: Consider adoption of an ordinance allowing the City Manager to execute a Non- drill Site/Pooling Agreement with Lynx Oil Company, Inc. for 50% of the mineral interest for 10.475 acres of Vintage Parkway east of 1-35W in the City of Denton, Texas; and providing an effective date. BACKGROUND: This ordinance allows the City Manager to execute a lease for a Non-drill Site/Pooling Agreement 50% of the mineral interest for 10.475 acres of Vintage Parkway east of 1-35W in the City of Denton, Texas with Lynx Oil Company. Lynx Oil Company, Inc. submitted the best bid and only bid for these mineral interests. The City will receive $1,309.38 bonus money and an 18.75% royalty interest. No drilling will be allowed on this land which will be pooled and drilled from a well on adjacent property. If the well is drilled and shut in before connecting to a gas transmission line, the City will receive 50% of $25.00 per acre. See Attachment A for the bid information. FISCAL: The City will receive the bonus money upon the execution of the lease and a monthly royalty when the well is drilled and connected to the gas transmission line. OPTIONS: The City Council may adopt the ordinance and authorize the City Manager to execute the lease according to the bid terms or the Council may reject all bids and re-advertise for additional bids. RECOMMENDATION: We recommend that the City Manager execute the mineral lease. Respectfully submitted, Dorothy Palumbo, Sr. ~sst. City Attorney S:Our Documenls Gas Well Documenls AlS Vinlage Parkway Pooling AgmemenLdoc LYNX OIL COMPANY, INC. 4226 1-35 NORTH DENTON, TEXAS 76207 (940) 566-1495 November 10, 2003 Purchasing Agent City of Denton Service Center 90lB Texas Street Denton, Texas 76201 RE: Gas Lease Bid - Vintage Parkway Lynx Oil Co., Inc. respectfully submits a bid of $250.00 per net rain,al acre for a six (6) month, no surface lease on the 10.475 Vintage Parkway property. The city owns 50% of the minerals under this property, therefore the lease bonus will be 10.475 x 50% x $250.00 = $1,309.38. The Paid-up Off and Gas lease will be of the same form used for the previous lease awarded to Lynx Oil Co., Inc. on the Airport Open Space property with the following changes: 1) Lease term shall be reduced to six (6) months. 2) Legal description shall be changed to reflect the 10.475 acre Vintage Parkway. A company profile is attached with this bid. The property will be operated by Lynx's joint venture partner, Eagle Off & Gas Co. Lymr and Eagle already own the remaining 50% mineral interest under this property, as well as 100% on thc minerals surrounding this property. We have three gas parks approved under the Vintage Planned Development Plat, as well as an offsite location previously approved by the city of Demon for a location permitted as the Cathy Lynn #I. A well from this location will be drilled horizontally under tho subject property to produce the Barnett Shale gas reserves under a gas unit including this property. (see aUached map) A Declaration of Poolcd Unit is also attached that has alr~___dy been executed by the reilla.ining royally owtlers axld work'in~ interest owners in the unit to which thla property will be pooled, and this Declaration of Pooled Unit will also need to be executed and become a part of this bid package. Thank you for your consideration of this bid. I am available to answer any qucstions you may have about this proposal. Sincerely, Bob Cares - President Cell 940-390-0490 FAX (940) 387~8306 · EMAIL bob@lynxoil.com CITY OF DENTON BID FORM GAS WELL DEVELOPMENT ON VINTAGE PARKWAY NON-DRILL SITE/POOLING AGREEMENT Description of property: The lease will be a non-drill site/pooling agreement. Vintage Parkway: Approximately 10.475 Acres Standards of the Bid: Please check each item that will be included in the lease. Bidders may submit alternate bids that vary from these standards. iA primary term of not more than three (3) years from date of execution. royalty to lessor of all oil and gas produced from said land. A Commencement of Drilling Clause to dritl within the first 6 months. Include a proposal for a continuous development after initial well estabhshes production rate. The royalty to be paid at the hig~hest, p,~ce in the area. A statement by the Lessee that the royalty to be paid the City is eq altt? highest price paid by the Lessee to any mineral owner in Denton, County;/~d ~atJ/~e Lessee pays a mineral owner in Denton County, Texas a higher royalty pjRce/~ge during the term of this lease, the Lessee shall increase the royalty paid to the {Tity so as to equal this higher mount. [3 An annual delay rental. //~ //~ . (This is a Paid-Up Lease_ [] Shut-in payment of ,o~ ~ o~ per acre. [] Bonus money as specified by bidder per acre ~"'7" ..o =-'r ' ,~, :' :~ acresX$_2,5/~ .peracre = total bonus money A Development Plat or other drawing showing a drill plan and drill sites must be submitted with this bid. See attached Exhibit A, Map of Leased Premises. The City reserves the right to award this bid based on both price, the most advantageous location of the drilling locations and sites, and the pooling of the city's mineral interest with other mineral interests on Lands that will be pooled with the Leased Premises. Information on the Total Depth ofwells once drilling is completed shall be submitted to the city. [] The successful bidder shall pay the cost of the advertisement of the bid and the cost of filing the Memorandum of Lease. -2- if' Bidders shall submit information of the bidder's history, including but not limited to the name and personal profile for each principal of the developer submitting the bid, bidder's reputation and quality of the bidder's oil and gas services, the bidder's financial ability to provide the oil and gas services, i.e. a company financial statement, safety record, comphance history, list of gas wells drilled in the City of Denton or its extraterritorial jurisdiction and any other relevant information that the bidder submits to the city for the determination of the best bid under Chapter 71 of the Texas Natural Resources Code. o/~The bidder shall indicate if the bidder intends to operate the well or what operator will drill the well(s). The successful bidder shall comply with all requirements in the Code of Ordinances for the City of Denton, Texas. A copy may be obtained in the City Secretary's office or on the City of Denton's website, www. ciWofdenton, com. The City of Denton's Gas Well Ordinances may be obtained from the City Secretary, website or City Attorney's Office. tn A bidder's conference w/Il be held on November 7, 2003 at the Service Center Conference Room, 901-A Texas Street, Denton, Texas 76209. ·/'An Oil' and Gas lease, (Sample attached), and Right of Way Use Agreement, if any, will be negotiated within th/rty (30) days after the successful bidder is selected. Bidders may submit alternative lease prov/sions. The City shall allow the successful bidder to pool the lease, the land or minerals included in the lease, or any part of these with any other land, leases, minerals estates or parts of any of these to form a drilling or spacing unit for the exploration, development, and production of oil and gas. By submitting a bid, each bidder agrees to waive and does hereby waive any claim the bidder has or may have against the City of Denton, Texas, and the City's respective employees and representatives for the award of attorney fees, arising out of or in connection with the administration, evaluation, or recommendation of any bid, waiver of any requirements under the Bid Documents, or the Contract Documents, acceptance or rejection of any bids, and award of the Bid. By submitting a bid, the bidder specifically waives any fight to recover or be paid attorney's fees from the City of Denton, Texas, or any of the City's employees and representatives under any of the provisions of the Texas Uniform Declaratory Judgments Act (Texas Civil Practice and Remedies Code, Section 37.001, et. seq., as amended). The bidder agrees that this is the intentional relinquishment of a presently existing known right. By execution and submission of this Bid, the Bidder hereby represents and warrants to -3- o I.-I o 'P~ poo~epuf't -' 3Ix' O~ on '.l. sNo3 o¥I).I' [ ~ '¥'1~1N1~3 '~q'O a0~E ~!uu0~t ~J LYNX OIL COMPANY, INC. ,.276 1-35 NORTH · DENTON, TEXAS 76207 - (940) 566-1495 COMPANY PROFILE Lynx Oil Co., Inc. was fotmded ia 1983 by Bob Cares, who has served as President since !ha~ time. The company is debt free and 100% owned by Bob Cates. Lynx currently operates wells in Wise, Montague, Clay, Haskell and McOallough Coon_ties in Texas. We have drilled and operated wells throughout Texas and Mississippi. Additionally, Lynx currently owns non-operated interest in wells in Texas, New Mexico, Oklahoma and Colorado. In addition to our drilling operations, we have negotiated the acquisition of nearly 300 wells producing in excess of 2,600 BOPD and 10,000 MCFGPD over the past 15 years. Working with industry partners who nnderstand the risk and rewards of the oil industry, all of our projects are privately and internally funded. Lynx has been an operator in good standing with the Texas Railroad Commission since 1983, and has never been cited for any violations by a state, federal or local authority. Lynx ~ has 3 office personnel and 3 field personnel. Lynx was the first company to get a Gas Well Development plat approved by the City of Denton under its new Gas Well OrdinanCe, slid currently has over 4,200 acres under lease in Demon. County and an active chilling program with its joint venture partner, Eagle Oil & Gas Co. As of July 2003, we are drilling our 15~ Barnett Shale gas well. Bob Cates, age 49, is a native of Denton, Texas. He attended Denton public schools, received an accounting degree from the University of North Texas (then NTSU), ~d went on to become a certified public accountant while working as amlit supe~sor for Bob Bullock at the State Comptroller's Office from 1972 to 1983. tie is a member of the Texas AllianCe of En~gy Produeer~. lie is chairman of the Gas Development R~Sew Committee nnder the Denton Chamber of Co~ created to work with City of Denton staff on issues concerning, gas development in the City and ETJ. lie has also recently been appointed to the Denton County Commissioner's Court Environmental Task Force. Personal References: Howard Young - President Justin State Bank 940-648-2753 Curtis Talley- Director CoServ and Justin State Bank 940-242-3221 Mike Riley - Owner Ad!rdno~ Ligbming Tech. Inc. 940-455-7300 Jim Horton - Attorne~ Nelson and Horton Law Offices 940-566-3164 Denton County Lessors: Vaughn Andros Jim Callahan Mike Casey Bruce I-Imbour Jerry and Patricia Kelsoe Knlm ISD Tend Meador & Robert Hammer Corey Piffle John Porter, Jr. Tony and Linda Riley Jay Rodgers S:\Our Documents\Ordinances\03Wintage Parkway Non-drilling Agreement.doc ORDINANCE NO. AN ORDINANCE ALLOWING THE CITY MANAGER TO EXECUTE AN OIL AND GAS NON- DRILL SITE/POOLING AGREEMENT FOR A NON-DRILL SITE/POOLING AGREEMENT OIL AND GAS LEASE AGREEMENT FOR THE 10.475 ACRES OF VINTAGE PARKWAY RIGHT OF WAY; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the City Council of the City of Denton has heretofore determined that it is advisable to lease for oil and gas purposes certain real property, 50% of the mineral interests of the 10.475 acres, located east of 1-35W Vintage Parkway fight-of-way, Denton, Texas; and WHEREAS, in compliance with Chapter 71 of the Texas Natural Resources Code (the "Code") the City published notice of its intention to lease such real property for oil and gas purposes once a week for three consecutive weeks in a newspaper with general circulation and published in Denton County, Texas; and WHEREAS, in compliance with the Code, the City Council of the City of Denton held a public hearing pursuant to Chapter 71 of the Texas Natural Resources Code; and WHEREAS, the City desires to authorize the City Manager to execute the lease with Lynx Oil Company, Inc. for a non-dfill site/pooling agreement pursuant to the bid specification submitted by Lynx Oil Company, Inc.; NOW, THEREFORE, THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: SECTION 1. Incorporation of Preamble. The above and foregoing preamble is incorporated into the body of this Ordinance as if copied herein in its entirety. SECTION 2. The City Manager or his designee is hereby authorized to execute a Non-dfill site/pooling oil and gas lease agreement between the City of Denton and Lynx Oil Company, Inc. in accordance with the bid specifications and in return for the payment(s) as outlined in Attachment A for the approximately 50% of the mineral interests of the 10.475 acres, located east ofI-35W Vintage Parkway fight-of-way, Denton, Texas. SECTION 3. If any section, article, paragraph, sentence, clause, phrase or word in this Ordinance or application thereof to any person or circumstance is held invalid or unconstitutional by a Court of competent jufisdiction, such holding shall not affect the validity of the remaining portions of this Ordinance, and the City Council hereby declares it would have passed such remaining portions of this Ordinance despite such invalidity, which remaining portions shall remain in full force and effect. SECTION 4. This ordinance shall become effective immediately upon its passage and approval. PASSED AND APPROVED this the day of .,2004. ATTEST: JENNIFER WALTERS, CITY SECRETARY EUL1NE BROCK, MAYOR BY: APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY BY: AGENDA INFORMATION SHEET AGENDA DATE: DEPARTMENT: January 6, 2004 Economic Development ACM: Mike Conduff, City Manager SUBJECT Consider adoption of an ordinance establishing an economic development program under Chapter 380 of the Local Government Code for making grants o f public money to promote economic development and to stimulate business activity in the City of Denton; approving an economic development program grant agreement with Teasley Partners, Ltd. regarding the development of approximately 65 acres of land located on the north side of 1-35E between Teasley Lane and Fort Worth Drive in the City of Denton, Texas; authorizing the expenditure of funds therefore; and providing for an effective date. BACKGROUND Staff will brief City Council regarding the proposed Section 380 Agreement in the January 6, 2004 Executive Session. The proposed agreement will be provided to City Council in the Attorney/Client Status report. Respectfully submitted: Linda Ratliff, Director Economic Development Department -1- ORDINANCE NO. AN ORDINANCE ESTABLISHING AN ECONOMIC DEVELOPMENT PROGRAM UNDER CHAPTER 380 OF THE LOCAL GOVERNMENT CODE FOR MAKING GRANTS OF PUBLIC MONEY TO PROMOTE ECONOMIC DEVELOPMENT AND TO STIMULATE BUSINESS ACTIVITY IN THE CITY OF DENTON; APPROVING AN ECONOMIC DEVELOPMENT PROGRAM GRANT AGREEMENT WITH TEASLEY PARTNERS, LTD. REGARDING THE DEVELOPMENT OF APPROXIMATELY 65 ACRES OF LAND LOCATED ADJACENT TO THE NORTH BOUND SERVICE ROAD OF 1-35E BETWEEN TEASLEY LANE AND FORT WORTH DRIVE IN THE CITY OF DENTON, TEXAS; AUTHORIZING THE EXPENDITURE OF FUNDS THEREFOR; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, Teasley Partners, Ltd. ("Developer") has made a request of the City of Denton to establish an economic development program under Chapter 380 of the Texas Local Government ("Chapter 380") to stimulate the development of commercial property within the City of Denton; and WHEREAS, the City Council by this ordinance is establishing an economic development program under Chapter 380 which will stimulate business activity in the City and promote the public interest (the "Program"); WHEREAS, to effectuate the Program the City and the Developer have negotiated an Economic Development Grant Agreement (the "Agreement"), a copy of which is attached hereto and made a part hereof by reference; and WHEREAS, the City Council finds that the Program and Agreement promote economic development and will stimulate commercial activity within the City of Denton for the benefit of the public; NOW, THEREFORE; THE COUNCIL OF THE CiTY OF DENTON, TEXAS HEREBY ORDAINS: SECTION 1. The recitals and findings contained in the preamble of this ordinance are incorporated into the body of this ordinance. SECTION 2. The Mayor or in case of her absence the Mayor Pro Tem, is hereby authorized to execute the Agreement on behalf of the City of Denton and to carry out the City's responsibilities and rights under the Agreement, including without limitation the authorization to make the expenditures set forth in the Agreement. SECTION 3. This ordinance shall become effective immediately upon its passage and approval. PASSED AND APPROVED this the day of ,2004. EULINE BROCK, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: APPROVED AS TO LEGAL FORM: BY: ~-~ ~ Page 2 AGENDA DATE: DEPARTMENT: CM/DCM/ACM: AGENDA INFORMATION SHEET January 6, 2003 Legal Department Herb Prouty, City Attorney SUBJECT: Consider an ordinance amending Ordinance No. 2002-018 and Section 2-29 of the City Code relating to the Rules of Procedure to clarify Section 6.5 (2-29(f)(5)) "Time Limits"; providing a savings clause; and providing an effective date. BACKGROUND: On January 8, 2002, the City Council passed Ordinance 2002-018 amending Section 6.5 of the Rules of Procedure and 2.29(f)(5) of the City Code "Time Limits" to cut down on the length and the redundancy of speakers' remarks at public hearings by reducing the time limits for applicants and proponents at public hearings from five to three minutes and by requiring groups of ten or more persons to designate a representative and to limit their presentation to 10 minutes. At your November 18, 2003 regular meeting, Mayor Pro Tem Burroughs requested that the Rules of Procedure be amended to give applicants and proponents of items at public hearings a longer time period than other speakers not to exceed five minutes. This Ordinance simply amends your Rules to extend the current time limit for applicants and proponents at public hearings from three to five minutes. OPTIONS: The Council can adopt the Ordinance which would extend the time limits for applicants and proponents at public hearings from three to five minutes. The Council can chose not to enact the Ordinance and the time limits for applicants and proponents at public hearings will remain at three minutes. RECOMMENDATION: The Legal Department would recommend that you adopt this Ordinance. We have had some complaints from applicants and proponents in land use public hearings stating that limiting their remarks to three minutes while neighborhood groups may take much more time is inequitable and creates due process concerns. Extending proponents and applicants time limits to five minutes will make the process more balanced. This is a policy decision for the City Council. As you can see from the above background, the time limit for public hearings was originally five minutes for all speakers and was reduced to three minutes in 2002 in an attempt to cut down on the time of public hearings, which at that time were often taking several hours on controversial items. Sections 6.5 and 6.4(d) of the Rules would still require groups or organizations of speakers comprised of ten or more members speaking for or against a matter to designate a representative and limit their remarks to ten minutes to reduce the time of public hearings. Individual members of smaller groups would still be limited to no more than three minutes of speaking time. FISCAL IMPACT: There is no fiscal impact as a result of this Ordinance. Respectfully submitted, ~e~b Pmuty, City Attorney ORDINANCE NO. AN ORDINANCE AMENDING ORDINANCE No. 2002-018 AND SECTION 2-29 OF THE CITY CODE RELATING TO THE RULES OF PROCEDURE TO CLARIFY SECTION 6.5 (2- 29(f)(5)) "TIME LIMITS"; PROVIDING A SAVINGS CLAUSE; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, on the 8th day of January 2002, the City Council passed Ordinance No. 2002-018 amending the Council Rules of Procedure ("Rules"); and WHEREAS, at their regular meeting of November 18, 2003, Mayor Pro Tem Burroughs expressed his desire to amend Section 6.5 (2-29(f)(5)) "Time Limits" of the Rules to extend the time limits for applicants and proponents for public hearing items from three to five minutes; and WHEREAS, the City Council deems it necessary to amend the Rules by amending the above-mentioned section; NOW, THEREFORE, THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: SECTION 1. That Ordinance No. 2002-018 and Section (2-29(f)(5)) of the Code of Ordinances of the City of Denton are hereby amended to read as follows: 6.5 (2-29(f)(5)) "Time Limits": Speakers before the Council shall limit their remarks to three (3) or less minutes for public and non-public hearing items provided that applicants and proponents of land use or other public hearing items shall limit their remarks to five (5) minutes or less. Groups or organizations comprised often or more members shall limit their remarks in accordance with the parameters established in paragraph 6.4 d. (2-29(f)(4)(d)). At the discretion of the presiding officer or a majority of the City Council, any speaker may be granted an extension of time to speak. SECTION 2. That save and except as amended hereby, the remaining paragraphs, sections and clauses of Ordinance No. 2002-018, as amended and Section 2-29 of the City Code shall remain in full force and effect. SECTION 3. This Ordinance shall become effective immediately upon its passage and approval. PASSED AND APPROVED this the __ day of ,2004. EULINE BROCK, MAYOR S:Our Doeunlmlts Ordhlanees 04 roles of proc tinlelinlits doc ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY BY: Page 2 of 2 AGENDA INFORMATION SHEET AGENDA DATE: January 6, 2004 DEPARTMENT: ACM: Utilities Administration Howard Martin, Utilities 349-8232 SUBJECT Consider adoption of a resolution of the City Council of the City of Demon, Texas calling for the City of Denton, Texas to take a leadership role in assisting the North Texas region in attaining federal clean air standards for ozone by reducing emissions from its diesel-fueled vehicles and equipmem and by incorporating further energy efficiency measures in its buildings and facilities; calling for the City of Denton, Texas, in addition to meeting the requirements of existing state law, striving to reduce electricity consumption rates from its existing buildings and facilities by at least fifteen (15%) percem from a baseline of august 1999; calling for the City of DeNon, Texas to either amend existing or enacting new ordinances which will result in reductions of emissions from diesel-fueled vehicles in both the public and private fleets and which will result in the application of more energy efficiency measures in public and private buildings and facilities; calling for the city of Denton, Texas to use the attached listing of control measures as a guidance document in its action strategies; and providing an effective date. BACKGROUND The North Texas Region (Dallas, Tarram, DeNon and Collin Coumies) is curremly in violation of federal air emissions standards. It is imperative that the region identifies the means necessary to achieve the air emission reductions, attain compliance and improve air quality for its citizens. Programs that reduce air emissions include building and equipmem energy efficiency improvemems and clean fleet programs (alternative fuel, retrofits). The Executive Committee of the Dallas Regional Mobility Coalition recemly passed a resolution supporting accelerated efforts by local governments to implement programs to reduce air pollution. It is imperative that governmental entities within the four county region provide the support necessary to idemify the policies and programs that can achieve the necessary air emissions reductions. In our continued support of the reduction of air pollution, the City of Denton is adopting the accompanying resolution to formalize our support of the goals set forth by the DRMC and our own commitmem to improving air quality for the health, safety and economic well being of our community and the North Texas Region. EXHIBITS 1. Clean Air Resolution 2. Possible Control Measures Respectfully submitted: Katherine Barnett Utilities Special Project Coordinator RESOLUTION NO. R2004- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DENTON, TEXAS CALLING FOR THE CITY OF DENTON, TEXAS TO TAKE A LEADERSHIP ROLE IN ASSISTING THE NORTH TEXAS REGION IN ATTAINING FEDERAL CLEAN AIR STANDARDS FOR OZONE BY REDUCING EMISSIONS FROM ITS DIESEL- FUELED VEHICLES AND EQUIPMENT AND BY INCORPORATING FURTHER ENERGY EFFICIENCY MEASURES IN ITS BUILDINGS AND FACILITIES; CALLING FOR THE CITY OF DENTON, TEXAS, IN ADDITION TO MEETING THE REQUIREMENTS OF EXISTING STATE LAW, STRIVING TO REDUCE ELECTRICITY CONSUMPTION RATES FROM ITS EXISTING BUILDINGS AND FACILITIES BY AT LEAST FIFTEEN (15%) PERCENT FROM A BASELINE OF AUGUST 1999; CALLING FOR THE CITY OF DENTON, TEXAS TO EITHER AMEND EXISTING OR ENACTING NEW ORDINANCES WHICH WILL RESULT IN REDUCTIONS OF EMISSIONS FROM DIESEL-FUELED VEHICLES IN BOTH THE PUBLIC AND PRIVATE FLEETS AND WHICH WILL RESULT IN THE APPLICATION OF MORE ENERGY EFFICIENCY MEASURES IN PUBLIC AND PRIVATE BUILDINGS AND FACILITIES; CALLING FOR THE CITY OF DENTON, TEXAS TO USE THE ATTACHED LISTING OF CONTROL MEASURES AS A GUIDANCE DOCUMENT IN ITS ACTION STRATEGIES; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the North Texas Region (consisting of Dallas, Tarrant, Denton and Collin Counties) is currently in violation of the Federal, one-hour standard for air quality; and WHEREAS, millions of North Texas citizens are subjected to breathing air that has been shown to increase health costs and increase rates of asthma and respiratory problems for North Texas citizens, especially among children and the elderly; and WHEREAS, the current clean air plan for the one-hour ozone standard known as the State Implementation Plan ("SIP") for North Texas, submitted by the State of Texas to the Environmental Protection Agency ("EPA") has not yet been approved by the EPA; and WHEREAS, failure to develop a SIP approved by EPA could result in the loss or delay of Federal transportation funds in North Texas, which would be devastating to the mobility and economic development of the region; and WHEREAS, the North Texas Region will have to meet a proposed nine-hour ozone standard which will be finalized by the EPA in April, 2004, and will require a new SIP containing additional ozone reduction strategies in order to meet this new health- based standard; and 1 EXHIBIT 1 WHEREAS, North Texas Region local governments want to set achievable goals and provide workable, cost-effective solutions to clean up our air, and implement those measures as soon as practicable to improve air quality; and WHEREAS, the State of Texas has created the Texas Emissions Reduction Program ("TERP") to provide monetary incemives to reduce pollution from on-road and off-road diesel equipmem over the next four years which govemmemal emities need to fully utilize. THE COUNCIL OF THE CITY OF DENTON, TEXAS HEREBY RESOLVES: SECTION 1. The City Council of the City of DeNon, Texas agrees to take a leadership role in assisting the North Texas Region in attaining Federal clean air standards for ozone by reducing emissions from its diesel-fueled vehicles and equipmem and by incorporating further energy efficiency measures in its buildings and facilities. SECTION 2. The City Council of the City of DeNon, Texas further resolves that the City of Denton will, in addition to meeting the requirements of applicable State law, strive to volumarily reduce electricity consumption from its existing buildings and facilities by at least fifteen (15%) percem from a baseline of August 1999. SECTION 3. The City Council of the City of DeNon, Texas further resolves that the City of DeNon will, where applicable, duly consider amending existing ordinances or enacting new ordinances which will result in reductions of emissions from diesel-fueled vehicles in both public and private fleets; and which will result in the application of more energy efficiency measures in public and private buildings and facilities. SECTION 4. The City Council of the City of DeNon, Texas further resolves that the City of Denton will use the attached listing of control measures as a guidance document in its action strategies. SECTION 5. That this Resolution shall become effective immediately upon its passage and approval. PASSED AND APPROVED this the __day of ,2004. EULINE BROCK, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY: By: APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY By: S:\Our Documents\Resolutions\04\Clean Air Resolution-City of Denton.doc Clean Air Resolution Control Measures Highest Priority Items Governmental Measures and Policies Vehicles And Equipment Conduct and inventory of all diesel-fueled on-road and off-road vehicles and equipment over 8,500 pounds gross weight (GVW). Develop a four-year capital plant o retrofit or replace vehicles and equipment with high nitrogen oxide (NOx) emissions. [An inventory template will be furnished to assist this process. Texas Emission Reduction Plan (TERP) financial assistance is available to partially offset costs.] Adopt methods through bidding and contracting provisions to involve contractors on public jobs in the reduction of NOx emissions from vehicles and equipment that they own, lease, or to otherwise bring to the job site and ensure compliance of successful bidder(s). (Bid document and/or contract language will soon be furnished for your consideration. TERP financial assistance is also available for private contractors.) · Adopt procurement policy that requires the purchase of the cleanest vehicle available that meets the functional requirements of the governmental entity. Building And Facilities · Inventory all energy efficiency strategies that have been implemented since 1999 and any that are scheduled for future implementation on buildings owned or leased by the governmental entity. Conduct an energy audit on buildings and facilities with high energy demands, if an audit has not been completed in the past four years, and develop a four year capital plan for implementing recommendations of new audits. EXHIBIT 2 High Priority Items Governmental and Private Entities Vehicles And Equipment Implement administrative policies restricting, where possible, the use of high-emitting vehicles and equipment owned or operated by the governmental entity on ozone action days (level orange or red). Scrap rather than auction vehicles owned or controlled by the governmental entity that cannot meet emission testing requirements. Building And Facilities · Implement a four-year capital plan for converting to high-efficiency lighting in all existing governmental entity-owned or leased building or facilities and continuing this practice in all new buildings and facilities. · Implement the use of"cool roofing" materials, where practicable, on new governmental entity-owned buildings and for replacement roofs. Other Governmental Entitw Actions · Implement a four-year capital plan for converting to light-emitting diodes (LED) lamps in all existing traffic signals and continuing this practice with future traffic signals. · Limit governmental meetings, particularly those requiring extensive travel of participants, between the hours of 7:00 a.m. and 10:00 a.m. during the ozone season. · Institute and promote expedited freeway clearance practices following and accident or incident. · Institute and promote a pre-tax, ozone season employee trip reduction program. · Institute and promote a pre-tax ozone season transit pass program where applicable. Policies Affecting The Private Sector Consider adoring green energy building codes such as "Energy Star" which has been adopted by the City of Frisco. Consider an ordinance requiring large commercial and industrial building s to have energy audits and resulting recommendations implemented. Consider an ordinance requiring the use of "cool roofing" materials, where practicable, on new privately- owned buildings and for replacement roofs. Consider an ordinance requiring track stops to provide technological alternatives for reducing/eliminating the need for long-term idling of diesel engines. · Adopt sustainable development practices which will result in reducing overall miles of travel. AGENDA INFORMATION SHEET AGENDA DATE: DEPARTMENT: CM: January 6, 2004 City Manager's Office Mike Conduff, City Manager SUBJECT Consider nominations and appointments to the City's Boards and Commissions. BACKGROUND Listed below are the board and commission vacancies for this quarter. Membership on some of these boards has become critical and new appointments are vital. Airport Advisory Board Richard Dugan has resigned-Council Member Thomson's nomination Animal Shelter Advisory_ Committee - three vacancies Susan Weinkein has passed away-Mayor Brock's nomination Darla Bostick has declined to serve-Council Member Montgomery's nomination Ralph Thomas has resigned due to health reasons-Council Member Kamp's nomination Community Development Advisory_ Committee Barbara Stinnett has moved out of the city-Nomination for entire Council Library_ Board Che Norris is not able to serve-Council Member Redmon's nomination Parks Recreation and Beautification Board Brandon Barnes has passed away-Council Member Kamp's nomination Zoning Board of Adiustment Bob Manning has resigned-Council Member Montgomery's nomination Denton Housing Authority - Mayor Brock will be making appointments to this board If you require any further information, please let me know. Respectfully submitted: Jennifer Walters City Secretary S:kAgenda Items\Board-Commission Quarterly Vacancies.doc