HomeMy WebLinkAboutSeptember 20, 2005 Agenda
AGENDA
CITY OF DENTON CITY COUNCIL
September 20, 2005
After determining that a quorum is present, the City Council of the City of Denton, Texas will
convene in a Work Session on Tuesday, September 20, 2005 at 4:30 p.m. in the Council Work
Session Room at City Rall, 215 E. McKinney Street, Denton, Texas at which the following items
will be considered:
1. Receive a report, hold a discussion and give staff direction regarding a proposed
Emergency Services District for Fire and Emergency Medical Services in the Argyle,
Bartonville and Copper Canyon jurisdictions and other County areas in the City of
Denton's ETJ.
2. Receive a report, hold a discussion and give staff direction regarding annual technology
contracts.
3. Requests for clarification of consent agenda items listed on the consent agenda for today's
City Council regular meeting of September 20,2005.
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 GOVERNMENT CODE, as amended, as set forth below.
1. Closed Meeting:
A. Consultation with Attorney - Under Texas Government Code Section 551.071
and Deliberations Regarding Real Property - Under Texas Government Code
Section 551.072.
1. Receive legal advice from the City Attorney regarding the status and
possible settlement of condemnation proceedings styled City of Denton v.
Dana J Beavers, aka Dana J Smith, et ai., Cause No. ED-2004-485,
pending in the Probate Court of Denton County, Texas, being an
acquisition of a public utility easement out of a tract of land south of
McKinney Street on Loop 288.
B. Deliberations Regarding Real Property - Under Texas Government Code Section
551.072.
1. Receive a confidential briefing and hold a discussion regarding
information relating to valuation and to other factors involved in the
proposed abandonment and release of certain blanket electric utility
easements owned presently by the City on real property owned by Roligan
Land Development, Ltd.; said easements being located on a 160.023 acre
tract ofland and being situated in the Gideon Walker Survey, Abstract No.
1330, Denton, Denton County, Texas.
City of Denton City Council Agenda
September 20, 2005
Page 2
C. Consultation with Attorney - Under Texas Government Code Section 551.0.
1. Consider and discuss status of litigation styled Tower v. City of Denton,
Cause No. 4:05cv302, currently pending in the U.S. District Court,
Eastern District, Sherman Division.
D. Personnel Matters - Under Texas Government Code Section 551.074.
1. Deliberate the evaluation, discipline, and duties, including contractual
duties, for the City Manager, City Attorney, and Municipal Court Judge.
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 9551.086 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, 9551.001, 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 9551.071-551.086 OF THE
TEXAS OPEN MEETINGS ACT.
After determining that a quorum is present, the City of Denton City Council will convene in a
Regular Meeting on Tuesday, September 20, 2005 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
A. U.S. Flag
B. Texas Flag
"Honor the Texas Flag - I pledge allegiance to thee, Texas, one and indivisible."
2. PROCLAMA TIONS/PRESENTA TIONS
A. Proclamations/Awards
1. Consider a Resolution of Appreciation for Kathy DuBose.
B. September Yard-of-the-Month Awards
C. Recognition of staff accomplishments
3. BUDGET INDIVIDUAL ITEMS FOR CONSIDERATION
A. Consider adoption of an ordinance adopting the Budget and first year of the
Capital Improvement Plan of the City of Denton, Texas for the fiscal year
beginning on October 1, 2005 and ending on September 30, 2006; and declaring
an effective date.
City of Denton City Council Agenda
September 20, 2005
Page 3
B. Consider adoption of an ordinance levying the ad valorem tax of the City of
Denton, Texas, for the year 2005, on all taxable property within the corporate
limits of the city on January 1, 2005, not exempt by law; providing revenues for
payment of current municipal expenses, and for interest and sinking fund on
outstanding City of Denton bonds; providing for limited exemptions of certain
homesteads; providing for enforcement of collections; providing for a severability
clause; and providing an effective date.
C. Consider adoption of an ordinance of the City of Denton, Texas, approving the
2005 Tax Rolls; and providing an effective date.
4. BUDGET CONSENT AGENDA
Budget Consent Agenda Items A-GG are items that support the proposed 2005-2006
budget and have been previously considered in budget work sessions. Approval of the Budget
Consent Agenda authorizes the City Manager or his designee to implement each item in
accordance with the recommendation. The City Council has received background information
and has had an opportunity to raise questions regarding these items prior to consideration.
Budget Consent Agenda Items A-GG will be approved with one motion.
A. Consider adoption of an ordinance amending the Schedule of Rates contained in
Ordinance No. 2004-386 for electric service; amending the local government
service rate (Schedule GL); amending the weekend rate (Schedule WK);
amending the athletic field rate (Schedule AF); amending the facility charge on
the street lighting rate (Schedule LS); amending the traffic lighting rate (Schedule
L T); amending the other lighting rate (Schedule LO); amending the facility
charge on the security lighting rate (Schedule DD); amending the facility charge
on the downtown decorative lighting rate (Schedule DDL); adding the decorative
street light rate (Schedule DSL); amending the temporary service rate (Schedule
Tl); amendment of several provisions of the Energysave Program to clarify the
meaning thereof (Schedule EP); adding a dark fiber rate (Schedule DFR);
providing for a repealer; providing for a severability clause; and providing for an
effective date. The Public Utilities Board recommends approval (5-0).
B. Consider adoption of an ordinance amending the Schedule of Water Rates
contained in Ordinance No. 2004-256 for water service and water rates; amending
the wholesale raw water service rate to Upper Trinity Regional Water District
(Schedule WRW); amending the wholesale raw water pass-through rate for Upper
Trinity Regional Water District from Lake Chapman into Lake Lewisville
(Schedule WCL); providing for a repealer; providing for a severability clause; and
providing for an effective date. The Public Utilities Board recommends approval
( 5-0).
C. Consider adoption of an ordinance amending the Schedule of Wastewater Rates
contained in Ordinance No. 2004-257 for Wastewater Service; amending the
residential wastewater service - facility charge and volume charge (Schedule SR);
amending the mobile home park - facility charge and volume charge (Schedule
SMH); amending the commercial/industrial wastewater service - facility charge,
City of Denton City Council Agenda
September 20, 2005
Page 4
volume charge, pretreatment program charge, sampling and analysis charge, and
surcharge; (Schedule SC); amending the commercial/industrial wastewater
service rate which measures with dedicated meters (sub-meters) water for
wastewater billing - facility charge, volume charge and surcharge (Schedule
SCD); amending the commercial/industrial wastewater service rate which
measures with dedicated meters (sub-meters) water excluded from wastewater
billing - facility charge and surcharge (Schedule SCS); amending the equipment
services facilities and restaurants and food service establishment - facility charge,
volume charge, pretreatment program charge, sampling and analysis charge, and
surcharge (Schedule SEE); amending the metered wastewater inside and outside
corporate limits - facility charge, volume charge, pretreatment program charge,
sampling and analysis charge, and surcharge (Schedule SM); amending the
wholesale wastewater treatment service for a governmental agency, division, or
subdivision - facility charge, pretreatment program charge, volume charge,
sampling and analysis charge, and surcharge (Schedule SSC); removing the dyno
chips rate and adding an asphalt millings rate (Schedule CWM); providing for a
repealer; providing for a severability clause; and providing for an effective date.
The Public Utilities Board recommends approval (5-0).
D. Consider adoption of an ordinance amending the schedule of rates for Solid Waste
Service contained in Ordinance Number 2004-258 as authorized by Chapter 24 of
the Code of Ordinances of the City of Denton, Texas; providing that the
provisions of Sections 26-3, 26-4, 26-5, 26-7, 26-8(a), and 26-9 of the Code of
Ordinances of the City of Denton, Texas shall expressly apply to City of Denton
Solid Waste Service; amending the Residential Solid Waste Collection Services
Schedule (SWR); amending the Residential Recycling and Processing Services
Schedule (SWRR); amending the Residential Financial Need Discount Schedule
(SWRD); adding the Multi-Family Recycling and Processing Services Schedule
(MFR); amending the Commercial Solid Waste Collection Services Schedule
(SWC); removing the Collection and Transportation Services Permit Schedule
(SWP); amending the Sanitary Landfill Services Schedule (SWI); providing for a
repealer; providing for a severability clause; and providing an effective date. The
Public Utilities Board recommends approval (5-0).
E. Consider adoption of an ordinance providing for the schedule of miscellaneous
fees, deposits, billings and procedures for administrative services to City
customers and taxpayers contained in Ordinance No. 2004-387 and as also
amended during previous FY 2004-2005; providing for a repealer; providing for a
severability clause; and providing for an effective date. The Public Utilities
Board recommends approval (5-0).
F. Consider adoption of an ordinance providing for the payment of inspection
services fees to the City of Denton for public improvements constructed by
developers, related to private development; providing for the superseding of
ordinances in conflict with this ordinance; providing an effective date. The Public
Utilities Board recommends approval (5-0).
City of Denton City Council Agenda
September 20, 2005
Page 5
G. Consider adoption of an ordinance of the City of Denton, Texas amending and
wholly substituting and superseding the provisions of Chapter 24 of the City of
Denton Code of Ordinances as attached hereto, regarding Solid Waste Service;
providing for a repealer, providing for a severability clause; and providing an
effective date. The Public Utilities Board recommends approval (5-0).
H. Consider adoption of an ordinance approving the expenditure of funds for the
purchase of annual maintenance for Harris Public Utility Billing System and
associated software modules 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 3373 - Purchase of Annual
Maintenance for Harris Public Utility Billing awarded to Harris Computer
Systems, Inc. in the amount of $56,755).
I. Consider adoption of an ordinance approving the expenditure of funds for the
purchase of annual maintenance for VisionAir Public Safety Software System and
associated modules used for Police and Fire Department dispatching and records
management 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 3384 - Purchase of Annual Maintenance for
VisionAir Public Safety Software System awarded to VisionAir, Inc. in the
amount of $148,079.66).
J. Consider adoption of an ordinance approving the expenditure of funds for the
purchase of annual maintenance for Geographic Information System (GIS)
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 3382 - Purchase of Annual Maintenance for
Geographic Information System (GIS) Software Package awarded to
Environmental Systems Research Institute (ESRI) in the amount of $35,000.00).
K. Consider adoption of an ordinance awarding a contract for the purchase of annual
maintenance for the Nortel phone system including 24 hours per day 7 days per
week support on all equipment located in City of Denton facilities as awarded by
the State of Texas Building and Procurement Commission through the Catalog
Information Service Vendor (CISV) Catalog Program; providing for the
expenditure of funds therefor; and providing an effective date (File 3378 - Annual
Maintenance for Nortel Phone System awarded to Verizon Southwest in the
amount of $44,092.85).
L. Consider adoption of an ordinance awarding a contract for the purchase of
continued software maintenance, and services for the LaserFiche Document
Imaging System currently being used by the City of Denton from VP Imaging, as
awarded by the State of Texas General Services Commission through the Catalog
Information Services Vendor (CIS V), formerly known as Qualified Information
Services Vendor (QISV), providing for the expenditure of funds therefor; and
providing an effective date (File 3381 - Purchase of Annual Maintenance for
LaserFiche Document Imaging System awarded to VP Imaging, in the amount of
$42,848.20).
City of Denton City Council Agenda
September 20, 2005
Page 6
M. Consider adoption of an ordinance authorizing the execution of change order two
to a contract for lease purchase financing of PC's, monitors, and peripheral
equipment for Utility and General Government (with the exception of Public
Safety) Departments between the City of Denton and Dell Government Leasing
and Finance; providing for an increase in the time period and an increase in the
annual lease payment amount; and providing for the expenditure of funds
therefor; and providing an effective date (File 3110 - Dell Government Leasing
and Finance awarded in the amount of $1,056,923.70, change order one in the
amount of $331,241.64 and change order two in the amount of $116,626.32 for a
total of $1,504,791.66).
N. Consider adoption of an ordinance awarding a contract approving the expenditure
of funds for the purchase of Mitsubishi 80kV A UPS and distribution system
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 3379 - Mitsubishi 80kV A UPS and distribution system
awarded to Data Com Power, Inc., in the amount of$61,101).
O. Consider adoption of an ordinance approving the expenditure of funds for the
purchase of annual maintenance for continued vendor support of the Millennium
Library System and associated hardware and software modules 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 3371 - Purchase of Annual Maintenance for Millennium Library System
awarded to Innovative Interfaces, Inc. in the amount of $33,069).
P. Consider adoption of an ordinance approving the expenditure of funds for the
purchase of annual maintenance for continued vendor support of the Oracle
Relational Database Software 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 3374 - Purchase of
Software Maintenance for Oracle Relational Database Software awarded to
Oracle USA, Inc. in the amount of $35,860).
Q. Consider adoption of an ordinance approving the expenditure of funds for the
purchase of annual maintenance for continued vendor support of the Oracle
EnterpriseOne (formerly PeopleSoft EnterpriseOne (formerly JD Edwards
OneWorld)) 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 3372 - Purchase of Annual
Maintenance for Oracle Enterprise One Software Package awarded to Oracle
USA, Inc. in the amount of $89,900).
R. Consider adoption of an ordinance awarding a contract for the purchase of annual
maintenance for the City of Denton Cisco networked devices (Smartnet) including
switches, hubs, routers, and Cisco IP phone equipment including 24 hour/7 days
per week Technical Assistance Center (TAC) support on all equipment located in
City of Denton facilities as awarded by the State of Texas Building and
City of Denton City Council Agenda
September 20, 2005
Page 7
Procurement Commission through the Catalog Information Service Vendor
(CISV) Catalog Program; providing for the expenditure of funds therefor; and
providing an effective date (File 3377 - Annual Maintenance for Cisco
Networked Devices awarded to InterNetwork Experts in the amount of $88,696).
S. Consider adoption of an ordinance awarding a contract for the purchase of
software maintenance for continued vendor support of the Informix Dynamic
Server Relational Database software as awarded by the State of Texas Building
and Procurement Commission through the Catalog Information Service Vendor
(CISV) Catalog Program; providing for the expenditure of funds therefor; and
providing an effective date (File 3370 - Purchase of Software Maintenance for
Informix Dynamic Server Relational Database Software awarded to CompuCom
Systems, Inc. in the amount of$64,817.00).
T. Consider adoption of an ordinance awarding a contract for the purchase of
continued software license maintenance for the City of Denton's Novell products
as approved by the State of Texas Building and Procurement Commission
Department of Information Resources (DIR); providing for the expenditure of
funds therefor; and providing an effective date (File 3380 - Annual Software
License Maintenance for Novell Products and Acquisition of Additional Novell
Licenses awarded to SHI-Government Solutions in the amount of $98,051.05).
U. Consider adoption of an ordinance awarding a contract under the Catalog
Information Services Vendor (CISV) program for the purchase of a Unitrends
DPU-5000 Data Protection Unit, and DPV-5000 Data Protection Vault as
awarded by the State of Texas Building and Procurement Commission contract
CISV #1200955787200; providing for the expenditure of funds therefor; and
providing an effective date (File 3376 - Purchase of Unitrends DPU-5000 Data
Protection Unit, and DPV-5000 Data Protection Vault, awarded to ARW Systems,
LLC. in the amount of $198,744).
V. Consider adoption of an ordinance approving the expenditure of funds for the
purchase of annual service access and support for the General Packet Radio
Services (GPRS) wireless computer network for the Public Safety mobile
computers used by City of Denton Police, Fire and EMS personnel 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 3383 - Purchase of Annual Service Access and Support for General Packet
Radio Services (GPRS) awarded to Cingular Wireless (formerly AT&T Wireless)
in the amount of $117,289.80).
W. Consider adoption of an ordinance authorizing the Mayor to execute an agreement
between the City of Denton and the Denton Black Chamber of Commerce for the
payment and use of hotel tax revenue; and providing an effective date.
X. Consider adoption of an ordinance authorizing the Mayor to execute an agreement
between the City of Denton and the Denton Chamber of Commerce (Convention
and Visitor Bureau) for the payment and use of hotel tax revenue; and providing
an effective date.
City of Denton City Council Agenda
September 20, 2005
Page 8
Y. Consider adoption of an ordinance authorizing the Mayor to execute an interlocal
agreement between the City of Denton and Denton County for the payment and
use of hotel tax revenue in support of the Courthouse-on-the-Square, the Bayless-
Selby House and the African American Museums; and providing an effective
date.
Z. Consider adoption of an ordinance authorizing the Mayor to execute an agreement
between the City of Denton and the Denton Community Theatre, Inc. for the
payment and use of hotel tax revenue; and providing an effective date.
AA. Consider adoption of an ordinance authorizing the Mayor to execute an agreement
between the City of Denton and the Denton Festival Foundation for the payment
and use of hotel tax revenue; and providing an effective date.
BB. Consider adoption of an ordinance authorizing the Mayor to execute an agreement
between the City of Denton and the Greater Denton Arts Council for the payment
and use of hotel tax revenue; and providing an effective date.
CC. Consider adoption of an ordinance authorizing the Mayor to execute an agreement
between the City of Denton and the Denton County Historical Commission, Inc.
for the payment and use of hotel tax revenue, and providing an effective date.
DD. Consider adoption of an ordinance authorizing the Mayor to execute an agreement
between the City of Denton and the Denton Holiday Festival Association, Inc. for
the payment and use of hotel tax revenue; and provide an effective date.
EE. Consider adoption of an ordinance authorizing the Mayor to execute an agreement
between the City of Denton and the Central Business District Association of
Denton, Texas, d/b/a Denton Main Street Association for the payment and use of
hotel tax revenue; and providing an effective date.
FF. Consider adoption of an ordinance authorizing the Mayor to execute an agreement
between the City of Denton and the North Texas State Fair Association for the
payment and use of hotel tax revenue; and providing an effective date.
GG. Consider adoption of an ordinance authorizing the Mayor to execute an agreement
between the City of Denton and the Tejas Storytelling Association, Inc. for the
payment and use of hotel tax revenue; and providing an effective date.
5. 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 Consent 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.
City of Denton City Council Agenda
September 20, 2005
Page 9
Listed below are bids, purchase orders, contracts, and other items to be approved under
the Consent Agenda (Agenda Items A-S). This listing is provided on the Consent Agenda to
allow Council Members to discuss or withdraw an item prior to approval of the Consent Agenda.
If no items are pulled, Consent Agenda Items A-S 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 adoption of an ordinance of the City of Denton authorizing an
agreement between the City of Denton, Texas and Opening Doors Immigration
Services for provision of assistance to victims of domestic violence; providing for
the expenditure of funds therefor; and providing for an effective date.
B. Consider adoption of an ordinance authorizing the City Manager to execute a
personal services agreement with Barbara T. McCall Associates, Inc. to provide
certain information and services with regard to legislation of interest to the city.
C. Consider adoption of an ordinance of the City of Denton, Texas authorizing the
expenditure of funds for payments by the City of Denton for electrical energy
transmission fees to those cities and utilities providing energy transmission
services to the City of Denton; and providing an effective date (File 3396 -
Electrical Energy Transmission Fees in the total amount of $134,421). The Public
Utilities Board recommends approval (4-0).
D. Consider adoption of an ordinance authorizing the City Manager to execute an
Interlocal Cooperative Purchasing Program Agreement with the Dallas
Independent School District, Texas under Section 271.102 of the Local
Government Code, to authorize participation in various Dallas Independent
School District contracts for the purchase of various goods and services;
authorizing the expenditure of funds therefor; and declaring an effective date (File
3404 - Interlocal Agreement with the Dallas Independent School District).
E. Consider adoption of an ordinance accepting competitive bids by way of an
Interlocal Cooperative Purchasing Program Agreement with the Dallas
Independent School District under Section 271.102 of the Local Government
Code, for the purchase of products and services for an onsite vehicle parts facility;
providing for the expenditure of funds therefor; and providing an effective date
(File 3405 - Interlocal Agreement for the Purchase of Products and Services for
an Onsite Vehicle Parts Facility with the Dallas Independent School District,
contract awarded to Genuine Parts Company in the estimated amount of
$839,946).
F. Consider adoption of an ordinance authorizing the City Manager or his designee
to execute a professional services agreement with the firm of Arthur Surveying
Co., Inc. to provide professional surveying services in support of the City of
Denton Engineering Department; authorizing the expenditure of funds therefor
and providing an effective date (PSA 3219 - in an amount not to exceed
$200,000). The Public Utilities Board recommends approval (4-0).
City of Denton City Council Agenda
September 20, 2005
Page 10
G. Consider adoption of an ordinance accepting sealed proposals and awarding a
contract for Benefit Consultant Services for the City of Denton; providing for the
expenditure of funds therefor and providing an effective date (RFP 3355 - Benefit
Consultant Services awarded to McGriff, Seibels and Williams in the annual
amount of $48,500).
H. Consider adoption of an ordinance of the City Council of the City of Denton,
Texas approving payment for the purchase and installation of Caron compactor
parts; and providing an effective date (File 3401 - Purchase of Wheels for
Landfill Compactor awarded to Caron Compactor Company in the amount of
$34,397.84). The Public Utilities Board recommends approval (4-0).
I. Consider adoption of an ordinance of the City of Denton, Texas amending the
provisions of Chapter 6 relating to Animals by amending Sections 6-27 regarding
the keeping of livestock; providing for a severability clause; providing a repealer
clause; providing a savings clause; providing for a penalty not to exceed $500 for
violations of this ordinance; and providing for an effective date.
J. Consider adoption of an ordinance of the City of Denton authorizing an
agreement between the City of Denton, Texas and the Greater Denton Arts
Council for the development and marketing of exhibitions at the Fall Festival;
providing for the expenditure of funds therefor; and providing for an effective
date.
K. Consider adoption of an ordinance of the City of Denton authorizing an
agreement between the City of Denton, Texas and the American Legion to assist
in purchasing food, providing monetary assistance to subsidize utility bill and
rental payments for citizens and for subsidizing medical costs for senior citizens,
providing for the expenditure of funds therefor; and providing for an effective
date.
L. Consider adoption of an ordinance of the City of Denton, Texas authorizing
settlement of an eminent domain action styled City of Denton, Texas v. Dana J
Beavers aka Dana J Smith, et ai., Cause No. ED-2004-485, filed in the Probate
Court of Denton County; authorizing the City Manager and the City's attorneys to
act on the City's behalf in executing any and all documents, and to take other
actions necessary to finalize the settlement; authorizing the expenditure of funds
therefor; and declaring an effective date.
M. Consider adoption of an ordinance of the City of Denton, Texas approving an
interlocal agreement by and between the City of Denton, Texas and the Town of
Copper Canyon, Texas to provide gas well inspection services; and providing an
effective date. The Public Utilities Board recommends approval (5-0).
N. Consider adoption of an ordinance of the City Council of the City of Denton,
Texas authorizing the City Manager to execute a First Amendment to Professional
Services Agreement with Kimley-Horn & Associates, Inc. for additional
Professional Engineering Services related to the Final Design of the Southwest
Booster Pump Station and Storage Facilities; authorizing the expenditure of funds
therefor; and providing an effective date. The Public Utilities Board recommends
approval (5-0).
City of Denton City Council Agenda
September 20, 2005
Page 11
O. Consider approval of an ordinance authorizing the abandonment and release of
certain blanket electric utility easements owned by the City, to the extent that they
encumber certain real property owned by Holigan Land Development, Ltd.
containing approximately 160.023 acres and being located in the Gideon Walker
Survey, Abstract No. 1330, Denton, Denton County, Texas; and providing an
effective date. The Public Utilities Board recommends approval (4-0).
P. Consider adoption of an ordinance of the City Council of the City of Denton,
Texas authorizing the City Manager to execute a professional services agreement
with Wolfe, Tidwell & McCoy, LLP for professional legal services relating to
litigation styled Tower v. City of Denton, Cause No. 4:05cv302 currently pending
in the U.S. District Court, Eastern District, Sherman Division; authorizing the
expenditure of funds therefor; and providing an effective date.
Q. Consider approval of a resolution of the City of Denton finding and determining
that the number of inhabitants in the City of Denton is in excess of 100,000; and
providing an effective date.
R. Consider adoption of an ordinance of the City of Denton, Texas approving and
authorizing the Mayor to execute an asset purchase agreement, bill of sale and
other documents transferring all buses, equipment and other assets from the city
passenger motor carrier transit system known as LINK to the Denton County
Transportation Authority and authorizing the Mayor to execute an assignment of
that certain agreement to provide the services for the passenger motor carrier
transit system known as LINK, with McDonald Transit Associates, Inc. dated
April 16, 2002, as amended, to the Denton County Transportation Authority;
authorizing the extension of that certain interlocal cooperation agreement with the
Denton County Transportation Authority effective October 1, 2004 and an
extension of the McDonald Transit Associates, Inc. agreement, if necessary,
authorizing necessary actions and the expenditure of funds to complete the
transfer; and providing an effective date.
S. Consider adoption of an ordinance of the Denton City Council approving and
authorizing the Mayor to execute a master lease agreement providing for the lease
of certain tracts of realty at the City of Denton Landfill, by and between the City
of Denton, Texas, as lessor and the Denton County Transportation Authority, as
lessee; authorizing the expenditure of funds therefor; and providing an effective
date.
6. PUBLIC HEARINGS
A. Hold a public hearing and consider adoption of an ordinance approving an
amendment to the Detailed Plan for Planned Development 173 (PD-173) zoning
district for approximately 33.65 acres. The subject property is generally located
on the north side of Robson Ranch Road, approximately 2,500 feet east of
Florence Road. The Planning and Zoning Commission recommends approval
(7-0). (Z05-0017, Robson Ranch Golf Course)
City of Denton City Council Agenda
September 20, 2005
Page 12
B. Hold a public hearing and consider adoption of an ordinance approving the zoning
of 95.16 acres from Neighborhood Residential (NR-2) to Neighborhood
Residential (NR-6) with an overlay district. The property is located in Tract 4A
of the William Roark Survey and Tract 11 of the J Edmondson Survey and is
generally located on the east side of Bonnie Brae, 1,300 feet west of US 377, and
2,800 feet south of Roselawn Drive. The Planning and Zoning Commission
recommends approval (7-0). (Z05-0020, GlenwoodMeadows)
C. Hold a public hearing and receive citizen input on an ordinance of the City of
Denton, Texas amending the Denton Comprehensive Plan to include the Open
Space Concept Plan; and providing for an effective date.
7. ITEMS FOR INDIVIDUAL CONSIDERATION
A. Consider adoption of an ordinance of the City of Denton, Texas authorizing the
City Manager to execute a grant agreement from the Texas Department of
Housing and Community Affairs for Emergency Shelter Grant Program and to
take all other actions necessary; and providing for an effective date.
B. Consider appointing a voting delegate and an alternate voting delegate to the
National League of Cities Annual Congress of Cities.
C. Consider approval of a resolution appointing members to the Board of Directors
of the North Texas Higher Education Authority; and declaring an effective date.
D. Consider approval of a resolution nominating members to the Board of Directors
of the Denton Central Appraisal District; and declaring an effective date.
E. Consider nominations/appointments to the City's Economic Development
Partnership Board.
F. Consider nominations/appointments to the City's Boards and Commissions.
G. New Business
This item provides a section for Council Members to suggest items for future
agendas or to request information from the City Manager.
H. Items from the City Manager
1. Notification of upcoming meetings and/or conferences
2. Clarification of items on the agenda
I. Possible Continuation of Closed Meeting under Sections 551.071-551.086 of the
Texas Open Meetings Act.
J. 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
September 20, 2005
Page 13
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 ,2005 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 IMP AIRED 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:
September 20, 2005
DEPARTMENT:
CM/DCM/ACM:
Fire
Jon Fortune, Assistant City Manager P
SUBJECT
Receive a report, hold a discussion and give staff direction regarding a proposed Emergency
Services District for Fire and Emergency Medical Services in the Argyle, Bartonville and Copper
Canyon jurisdictions and other County areas in the City of Denton's ETJ.
BACKGROUND
What is the issue?
The jurisdictions of Argyle, Bartonville, Copper Canyon, Corral City, Northlake and other
contiguous unincorporated Denton County areas within the Argyle Volunteer Fire District are
exploring the possibility and feasibility of creating a funding source for the provision of fire
protection and emergency medical services (EMS) in those areas. Currently, the Argyle
Volunteer Fire District (A VFD) provides this service through contracts with the jurisdictions as
well as Denton County. However, as the area continues to grow, the Argyle Fire Department has
identified that it needs to move toward a career fire department supplemented by volunteer to
meet service requirements. An "Argyle Volunteer Fire District Evaluation and Plan" by
Emergency Services Consulting recommends the creation of an Emergency Services District
(ESD) to provide emergency medial services, emergency ambulance services, and rural fire
prevention and control services and to levy an ad valorem tax up to $0.10 per $100 of assessed
value to fund the district.
What is an Emergency Services District?
Subchapter B of Chapter 775 of the Health and Safety Code outlines the procedure for creating
an Emergency Services District (ESD). The process is started by submission of a petition to the
County Judge from at least 100 voters who own taxable property within the proposed district.
The petition must include:
1. The statement that the creation of the district is in accordance with the relevant sections
of the constitution and law.
2. The name of the proposed district.
3. A legal description of the boundaries of the proposed district.
4. A list of services that the proposed district will provide.
5. The mailing address of each petitioner.
6. The name of each city whose consent to form must be obtained.
Page 1 of3
The consent to form the ESD is solicited from all cities included within the proposed boundaries.
Municipal consent is also required from any city with an extraterritorial jurisdiction (ETJ)
designation within the proposed district. In the case of the Argyle Volunteer Fire District
(A VFD), the cities of Argyle, Bartonville, Copper Canyon, Corral City, and Northlake are
included wholly (or partly) within the district's service area. The City of Denton has designated
ETJ in the northern extent of the A VFD.
The Commissioners Court has sole jurisdiction to grant or deny the petition. If the proposed
boundary of the ESD includes cities or ETJ's, the Court must consider each of the cities and/or
ETJ's. If the Court finds that the proposed district fails to meet stipulated requirements, the
petition is denied. If the petition is granted, an election is scheduled to confirm the creation of
the district and to authorize the imposition of a tax levy within the limits fixed by the Texas
Constitution.
When the election is certified and the district is created, the Commissioners Court appoints a
five-member board of emergency services commissioners to serve as the districts governing
board.
How would this Emergency Services District impact the City?
Since the ESD is in the City's Extraterritorial Jurisdiction (ETJ), the following must be
accomplished in accordance with Chapter 775 to create the District:
1. A written request to include the City of Denton's extraterritorial jurisdiction (ETJ) in the
district to be created must be presented to the City of Denton's City Council after the
petition is filed under Section 775.015.
2. The City of Denton's City Council must give written consent on or before the 60th day
after the date on which the City receives the request.
3. If the City of Denton's City Council does not consent to inclusion within the 60-day
period as stated above:
· A majority of the qualified voters and the owners of at least 50 percent of the territory
in the City of Denton extraterritorial jurisdiction that would have been included in the
district may petition the City of Denton's City Council to make fire control and
emergency medical and ambulance services available.
· The petition must be submitted to the governing body not later than the 90th day after
the date on which the City of Denton receives the request.
4. If the City of Denton's City Council refuses or fails to act on the petition within six
months after the date of which the petition was submitted, then the refusal or failure to
act constitutes consent for the territory that is the subj ect of the petition to be included in
the proposed district.
There are also provisions that allow a municipality to annex territory in a district but this may
involve compensation of a pro rated portion of the District's indebtedness. Specifically, Section
Page 2 of3
775.022 of the law discusses the annexation of ESD territory into a city. When a city annexes
part of the ESD with the intention to provide municipal emergency services in the annexed area,
the city must compensate the ESD for the territory's share of any bonded or other indebtedness.
In addition, the city may be required by the ESD to purchase any real or personal property used
to provide service in the de-annexed area.
OPTIONS:
The City of Denton will have a number of opportunities to discuss the formation of this
Emergency Services District before it is scheduled for a possible election in the spring of 2006.
There are several options that the city may consider in making a decision on areas of its ETJ. All
the options essentially depend on an annexation policy for the ETJ in the proposed ESD.
1. If the City does not intend to annex the areas of the ESD that fall within the city's ETJ, it
could consent to the formation of the district. The advantage to the City is that the
Argyle Fire Department will improve in its response capabilities and that will improve
the fire protection and EMS mutual aid availability in the southwest portions of the City
of Denton, most notably Robson Ranch.
2. If the City determines it may annex this area in its ETJ sometime in the future, it could
oppose the district due to future financial liabilities and choose to provide the fire
protection and EMS services to the territory with City resources.
3. If the City determines it may annex this area in its ETJ sometime in the future, they could
oppose the district due to future financial liabilities and voice its opposition to the
Commissioners Court.
If you should have any questions, please contact me at 8830.
Respectfully submitted:
Ross Chadwick
Fire Chief
Page 3 of3
AGENDA INFORMATION SHEET
AGENDA DATE: September 20, 2005
DEPARTMENT: Technology Services
ACM:
Kathy DuBose
16.
SUBJECT
Receive a report, hold a discussion and gIve staff direction regarding annual technology
contracts.
BACKGROUND
The City of Denton uses several software and hardware solutions to conduct daily business in
every department. It is essential for the City of Denton to upkeep current maintenance with these
vendors to ensure access to upgrades, software fixes, hardware repair/replacement, technical
support and licensing of these applications. These maintenance contracts must be renewed
annually.
Attached are the tables, which track the annual expenditures that have been updated with the
current year's information. The Dell lease extension will extend the lease agreement and
warranty coverage on the personal computer equipment by one year, and an equipment inventory
is also attached.
In addition, requests to replace the UPS in the Police Department data center and replacement of
the backup system used to backup and restore data for public safety and other departments are
also included. The current UPS in the Police Department data center was installed in 1990, and
has exceeded its estimated life by five years. The current backup solution was installed in 1995,
and can no longer meet the backup and restore requirements for the organization.
FISCAL INFORMATION
Funding is budgeted in the Technology Services budget.
EXHIBITS
Cost Analysis
Respectfully submitted:
~-
Alex Pettit
Director of Technology Services
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P.C. COUNTS
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18
4
7
7
3
38
11
18
142
7
11
11
5
7
5
5
3
6
3
3
9
4
8
10
1
3
4
8
4
5
4
8
46
3
2
4
8
6
10
997
AGENDA INFORMATION SHEET
AGENDA DATE: September 20, 2005
DEPARTMENT: Management and Budget
ACM: Kathy DuBose
SUBJECT
Consider adoption of an Ordinance adopting the Budget and first year of the Capital
Improvement Plan of the City of Denton, Texas for the fiscal year beginning on October 1,2005,
and ending on September 30,2006; and declaring an effective date.
BACKGROUND
Please find attached an Ordinance to adopt the 2005-06 Budget as directed by City Council. The
City Council received the 2005-06 Proposed Budget on July 30, 2005. A Budget workshop was
held on August 8, 2005. Finally, the Public Hearing on the 2005-06 Proposed Budget was
conducted on September 6, 2005. The tax rate used to balance the General Fund budget is
$.60815 per $100 valuation.
FISCAL INFORMATION
The total 2005-06 budget is listed below:
General Fund
Electric Fund
Water Fund
Wastewater Fund
Solid Waste Fund
Technology Services Fund
Materials Management Fund
Motor Pool Fund
Fleet Management Fund
Aquatics Fund
Recreation Fund
Tourist & Convention Fund
Emily Fowler Library Fund
Police Confiscation Fund
General Debt Service Fund
$ 69,921,911
173,216,026
38,536,098
23,496,101
15,585,607
6,319,775
6,230,279
4,558,706
4,421,888
1,879,167
1,317,139
1,078,755
156,737
115,500
10,629,427
$357,463,116
Respectfully submitted:
Kathy DuBose
Assistant City Manager
S:\Our Documents\Ordinances\05\Budget 2005-06 Ordinance.doc
ORDINANCE NO.
AN ORDINANCE ADOPTING THE BUDGET AND THE FIRST YEAR OF THE CAPITAL
IMPROVEMENT PLAN OF THE CITY OF DENTON, TEXAS, FOR THE FISCAL YEAR
BEGINNING ON OCTOBER 1, 2005, AND ENDING ON SEPTEMBER 30, 2006; AND
DECLARING AN EFFECTIVE DATE.
WHEREAS, notice of a public hearing on the budget for the City of Denton, Texas, for the
fiscal year 2005-2006 was heretofore published at least ten days in advance of said public hearing;
and
WHEREAS, a public hearing on the said budget was duly held on September 6, 2005, and all
interested persons were given an opportunity to be heard for or against any item thereof; and
WHEREAS, on 27th day of June the Public Utilities Board recommended the utility
operations budgets and capital improvements to be constructed during the coming year; and
WHEREAS, the City Manager has furnished a copy of the Planning and Zoning
Commission's recommended general obligation bond capital improvements to each member of the
City Council more than sixty days prior to the beginning of the budget year, as provided by Section
10.03(6) ofthe City Charter; 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. The budget for the City of Denton, Texas for the fiscal year beginning on
October 1,2005, and ending on September 30,2006 prepared by the City Manager and filed with
the City Secretary, as amended by the City Council, is hereby approved and adopted, a copy of
which budget is attached hereto and incorporated by reference herein.
SECTION 3. The City Council hereby appropriates from available resources to the following
funds:
General Fund
Electric Fund
Water Fund
Wastewater Fund
Solid Waste Fund
Technology Services Fund
Materials Management Fund
Motor Pool Fund
Fleet Services Fund
Aquatics Fund
Recreation Fund
Tourist & Convention Fund
$69,921,911p173,216,026
38,536,098
23,496,101
15,585,607
6,319,775
6,230,279
4,558,706
4,421,888
1,879,167
1,317,139
1,078,755
..
S:\Our Documents\Ordinances\05\Budget 2005-06 Ordinance.doc
Emily Fowler Library Fund
Police Confiscation Fund
General Debt Service Fund
156,737
115,500
10.629.427
Total
$357,463,116
SECTION 4. The City Council approves the first year of the capital improvements proposed
to be constructed during the forthcoming year, which are incorporated in the 2005-06 budget.
SECTION 5. The budget includes certain unlisted, authorized and lUlpaid encumbrances
from the prior fiscal year to be carried over to the 2005-2006 budget as determined by the City
Manager or his designee.
SECTION 6. The City Manager, or his designee, is hereby authorized to transfer the amolUlts
of money for employee benefit and salary adjustments as contained in the 2005-2006 budget to the
various departments.
SECTION 7. The City Manager, or his designee, shall cause copies of the budget to be filed
with the City Secretary and County Clerk of Denton COlUlty.
SECTION 8. This ordinance shall become effective immediately upon its passage and
approval.
PASSED AND APPROVED this the
day of
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
YMIzf~
BY:
PAGE 2
AGENDA INFORMATION SHEET
AGENDA DATE: September 20, 2005
DEPARTMENT: Fiscal Operations
ACM:
Kathy DuBose
..
SUBJECT
Consider adoption of an Ordinance levying the ad valorem tax of the City of Denton, Texas, for
the year 2005, on all taxable property within the corporate limits of the city on January 1, 2005,
not exempt by law; providing revenues for payment of current municipal expenses, and for
interest and sinking fund on outstanding City of Denton bonds; providing for limited exemptions
of certain homesteads; providing for enforcement of collections; providing for a severability
clause; and providing an effective date.
BACKGROUND
Please find attached an Ordinance to adopt the ad valorem tax rate for 2005. The proposed rate of
$.60815 per $100 valuation is used to balance the 2005-06 Budget and has not changed from the
current rate.
PRIOR ACTIONIREVIEW
Public Hearings on this tax rate were held during the September 6, 2005, and September 13,
2005, City Council meetings. The proposed tax rate is included in the Proposed 2005-06 Annual
Program of Services.
FISCAL INFORMATION
The proposed property tax rate should generate $29,126,595 of which $20,559,837 is budgeted
to support general fund services and $8,566,758 is budgeted for debt service.
~Res.pectfullAY s~b~mit~ed:
: ~ ; .', ",
\:.'_.,- - ~ :"
. t '"0 ~ I ~
. _ -_ _ __ ;iII~. ,.,.
Diana G. Ortiz
Director of Fiscal Operations
S:\Our Documents\OrdiIiances\05\ad valorem tax.doc
ORDINANCE NO.
AN ORDINANCE LEVYING THE AD VALOREM TAX OF THE CITY OF DENTON, TEXAS,
FOR THE YEAR 2005, ON ALL TAXABLE PROPERTY WITHIN THE CORPORATE LIMITS
OF THE CITY ON JANUARY 1, 2005, NOT EXEMPT BY LAW; PROVIDING REVENUES
FOR PAYMENT OF CURRENT MUNICIPAL EXPENSES, AND FOR INTEREST AND
SINKING FUND ON OUTSTANDING CITY OF DENTON BONDS; PROVIDING FOR
LIMITED EXEMPTIONS OF CERTAIN HOMESTEADS; PROVIDING FOR ENFORCEMENT
OF COLLECTIONS; PROVIDING FOR A SEVERABILITY CLAUSE; AND PROVIDING AN
EFFECTIVE DATE.
WHEREAS, after notice of two public hearings on a tax increase were published and posted
on the home page of the City's website as required by law, on August 28, 2005 and September 4,
2005, the City Council held two public hearings on a proposal to adopt a tax rate of $0.60815 per
$100 valuation which would increase total tax revenues from property on the tax roll by 5.2% and
the statement showing the effect of the proposed tax increase was included on the home page of the
City's web site any additional notices and actions were completed, as required by law; and
WHEREAS, at the end of both public hearings, the City Council passed a resolution setting
the meeting on which it would vote on the tax rate and announcing that it would vote on the tax rate
at its September 20,2005 meeting, which resolutions specified the time and place of this meeting in
accordance with the law; and
WHEREAS, after the public hearings and before the September 20, 2005 meeting, the City
Council recorded its vote and published a Notice of Vote on Tax Rate in accordance with the law;
and
WHEREAS, the City Council deems it in the public interest to adopt a tax rate for the 2005
tax year; NOW, THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. By authority of the Charter of the City of Denton, Texas, and the Laws of the
State of Texas, there is hereby levied for the year 2005, on all taxable property situated within the
corporate limits of the City of Denton on January 1, 2005, and not exempt by the Constitution and
laws of the State of Texas or municipal ordinance or by Sections 5,6, and 7 of this ordinance, a tax
of $0.60815 on each $100 assessed value of all taxable property. This tax is expected to increase
total revenue from properties on the tax roll by 5.2% over 2004 tax revenues.
SECTION 2. THIS TAX RATE WILL RAISE MORE TAXES FOR
MAINTENANCE AND OPERATIONS THAN LAST YEAR'S TAX .RATE. THE
TAX RATE WILL RAISE TAXES FOR MAINTENANCE AND OPERATIONS ON A
$100,000 HOME BY APPROXIMATELY $30.
SECTION 3. Of the total tax, $0.42928 of each $100 of assessed value shall be distributed to
the General Fund of the City to fund maintenance and operation expenditures of the City.
S:\OUf Documents\Ordinances\05\ad valorem tax.doc
SECTION 4. Of the total tax, $0.17887 of each $100 of assessed value shall be distributed to
pay the City's debt service as provided by Section 26.04(e)(3) of the Texas Property Tax Code.
SECTION 5. Pursuant to Article 8, Section I-b of the Texas Constitution, and pursuant to the
provisions of Section It.B(n) of the Texas Property Tax Code, one-half percent of the assessed
value of residential homesteads, or $5,000 of the assessed value of residential homesteads,
whichever amount shall be greater, shall be exempt from City ad valorem taxes.
SECTION 6. Pursuant to Article 8, Section I-b of the Texas Constitution., $25,000 of the
assessed value of residential homesteads of persons 65 years of age or older shall be exempt from
City ad valorem taxes.
SECTION 7. Pursuant to Article 8, Section 1-b of the Texas Constitution., $10,000 of the
assessed value of residential homesteads of disabled persons shall be exempt from City ad valorem
taxes.
SECTION 8. For enforcement of the collection of taxes hereby levied, the City of Denton
shall have available all rights and remedies provided by law.
SECTION 9. If any section, subsection, paragraph, sentence, clause, phrase or word in this
ordinance, or the application thereof to any person or circumstance is held invalid by any court of
competent jurisdiction, such holding shall not affect the validity of the remaining portions of this
ordinance and the City Council of the City of Denton, Texas, hereby declares it would have enacted
such remaining portions despite any such invalidity.
SECTION 10. This ordinance shall become effective immediately upon its passage and
approval.
PASSED AND APPROVED this the
day of
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM::
EDWIN M. SNYDER, CITY ATTORNEY
BY: rMif;J!1u4
PAGE 2
AGENDA INFORMATION SHEET
AGENDA DATE: September 20, 2005
DEPARTMENT: Fiscal Operations, Tax Department
ACM: Kathy DuBose
SUBJECT
Consider adoption of an Ordinance of the City of Denton, Texas, approving the 2005 Tax Rolls;
and providing an effective date.
BACKGROUND
Please find attached an ordinance to approve the 2005 tax roll. The approval of the tax roll is an
annual process required by the Texas Property Tax Code. The Tax Roll is calculated by taking
the 2005 Certified Appraisal Roll (excluding property under protest) and applying the 2005
adopted tax rate. The anticipated collection rate is 100%.
FISCAL INFORMATION
The approval of the Tax Roll will enable the City to mail tax bills October 1, 2005.
~lY submitted
". . flta-
. ..
: -' . ;;,< .
. . ~. ,
, . =- ~ . .... -.
Diana G. Ortiz
Director of Fiscal Operations
L,'Dut~5\iaxroll.doc
ORDINANCE NO.
AN ORDINANCE OF THE CITY OF DENTON, TEXAS, APPROVING THE 2005 TAX
ROLLS; AND PROVIDING AN EFFECTIVE DATE.
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. The City Council hereby approves the 2005 tax rolls of the City of Denton,
Texas, which will result in a tax levy in the amount of $29,126,595 based on the Certified
Appraisal Roll as approved by the Appraisal Review Board of the Denton Central Appraisal
District.
SECTION 2. This ordinance shall become effective immediately upon its passage and
approval.
PASSED AND APPROVED this the
day of
,2005.
EULINE BROCK., MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
BY: 1JJfrl ~.
AGENDA INFORMATION SHEET
AGENDA DATE:
September 20, 2005
DEPARTMENT:
Utilities Administration
Howard Martin, Utilities 349-8232 ..
ACM:
SUBJECT
Consider adoption of the Electric, Water, Wastewater, Solid Waste, Miscellaneous and Utility Engineering Rate
Ordinances. (The Public Utilities Board recommends approval 5-0.)
BACKGROUND
The proposed rate ordinances included in this agenda are designed to recover the cost of service
for each utility and provide a positive or breakeven net income.
During the budget presentations, the Council reviewed each Utilities budget and the proposed
rate changes that could be implemented to support the proposed FY 2005-06 budget and FY
2006-10 CIP. Included in the presentations was the increase in the Electric rates that were not
increased on January 1,2005. At Council's direction staff developed proposed base rate
increases for the remaining rate classes with the goal of having the overall impact of the changes
fall as close as possible to the 3.5% average increase previously applied to the residential,
commercial, and industrial classes. Wastewater rates were increased based on the direction
given by the PUB and Council during the FY 2004-05 budget presentations, which outlined
future rate increases. Staff has also developed a rate structure for Solid Waste that will support
once per week cart service and a Household Hazardous Waste program.
Also included in the attached rate ordinances is the Engineering Inspection Fees Ordinances. In
FY 2004-05 Engineering and the associated revenues were transferred to the Water Fund. Staff
has since included these fees in the annual rate ordinance review to the Public Utilities Board and
received approval. In the past these fees were in several different ordinances and not reviewed
on an annual basis. Staff has revised the current rates to reflect full cost recovery and combined
all engineering fees into one ordinance.
SUMMARY
No base rate increases are proposed for Water retail customers. The various Electric, Water
Wholesale, Wastewater and Solid Waste rate changes discussed during the budget review are
outlined in greater detail below. All changes have been highlighted in red in the attached
ordinances.
ELECTRIC RATE RECOMMENDATIONS
. Increase the Local Government Rate
Single-Phase Facility Charge from $15.15 to $15.80/bill
Three-Phase Facility Charge from $20.20 to $21.1 O/bill
Demand Charge from $6.31 to $6. 81/KW
Energy Charge from 3.03~ to 3.15~/KWH
. Increase the Weekend Rate
Single-Phase Facility Charge from $20.00 to $20.86/bill
Three-Phase Facility Charge from $25.00 to $26.08/bill
Demand Charge from $6.40 to $6.72/KW
Energy Charge from 6.75~ to 7.02~/KWH for the first 2,500 KWH
3.00~ to 3.67~/KWH for the next 3,500 KWH
2.65~ to 2.70~/KWH for all additional KWH
. Increase the Athletic Field Rate
Single-Phase Facility Charge from $20.20 to $21.07/bill
Three-Phase Facility Charge from $30.30 to $31.60/bill
Demand Charge from $4.70 to $4.94/KW for Peak Hours (June- September)
$1.11 to $1.17/KW for All Other Hours (June-September)
$1.11 to $1.17/KW for All Hours (October-May)
Energy Charge from 7.58~ to 7.96~/KWH for Peak Hours (June-September)
3.79~ to 3.98~/KWH for All Other Hours (June-September)
3.79~ to 3.98~/KWH for all additional KWH (October-May)
. Increase the Street Lighting Rate
LSA 100 W Sodium Vapor Facility Charge from $4.90 to $5. 15/bill
LSB 250 W Sodium Vapor Facility Charge from $6.95 to $730/bill
LSC 400 W Sodium Vapor Facility Charge from $8.75 to $9. 19/bill
. Increase the Traffic Lighting Rate and Other Lighting Rate
Energy Charge from 5.30~ to 5.62~/KWH
. Increase Security Lighting Rate
DSA 100 W Sodium Vapor Facility Charge from $7.75 to $8. 14/bill
DSB 250 W Sodium Vapor Facility Charge from $10.05 to $10.76/bill
DSC 400 W Sodium Vapor Facility Charge from $12.35 to $12.97/bill
DHA 250 W Metal Halide Facility Charge from $12.05 to $12.65/bill
DHB 400 W Metal Halide Facility Charge from $14.35 to $15.07/bill
. Increase the Downtown Decorative Lighting Rate
Facility Charge from $3.85 to $4.04/bill
. Add a Decorative Street Lighting Rate
Energy Charge 5.62~/KWH plus applicable ECA rate
. Temporary Service Schedule
Single-Phase Facility Charge from $15.15 to $15.80/bill
Three-Phase Facility Charge from $20.20 to $21.1 O/bill
Energy Charge from 6.77~ to 7.11~/KWH
. Add a Dark Fiber Rate
Fiber Mileage Charge
Building Presence Charge
Total Fiber Rate
$400/fiber pair/mile/month; and
$180/location/month
$580/fiber pair/mile/month/location
WATER RATE RECOMMENDATIONS
. Revise the Wholesale Raw Water Rate (WRW) applicable to Upper Trinity Regional
Water District (UTRWD). The FY 2005 City of Dallas raw water wholesale rate is
projected to be $0.4406/1,000 gallons, an increase of 9.51 % from the existing rate of
$0.3987/1,000 gallons. Denton's raw water wholesale rate to UTRWD, which is set at
85% of Dallas' raw water wholesale rate, will correspondingly increase from the existing
price of $0.3389/1,000 gallons to $0.3745/1,000 gallons. This rate is determined by the
terms of the raw water contract between Denton and UTRWD.
. Increase the rate for the pass-through raw water sent from Lake Chapman into Lake
Lewisville by the UTRWD per the Cooper Reservoir Project Contract and all "Chapman"
water reclaimed for reuse if discharged into and subsequently withdrawn from Lewisville
Lake by UTRWD or Lewisville. The rate will increase from $0.0207/1,000 gallons to
$.0212/1,000 gallons. The rate adjustment is determined by the consumer price index,
which as of June 30, 2005 is 2.5% over the same period last year.
W ASTEW A TER RATE RECOMMENDATIONS
. Increase all retail and wholesale facility, volume, and surcharges by 6% per the budget
proposal.
. Remove the Dyno Chips product-line as it is no longer produced.
. Add an Asphalt Milling rate of $8.00/cubic yard
SOLID WASTE RATE RECOMMENDATIONS
. Increase the residential cart rate for each cart size per the following:
1 cart servi ce
Large from $15.00 to $17.25
Medium from $13.00 to $16.50
Small from $12.00 to $15.75
2 cart servi ce
Large from $28.00 to $32.50
. Increase the rate for Residential Manual bagged pickup service from $17.75 to $19.00 for
those customers requiring manual pickup and reducing the number of pickups per week
from two to one.
. Increase the minimum billing rate from $11.70 to $15.00 for unoccupied residential
family units remaining vacant for a period greater than two months and maintaining other
utility services.
. Increase the residential construction materials rate from $50.00 to $60.00 for one cubic
yard or less and $10.00 for each additional cubic yard or part of a cubic yard.
. Increase the residential recycling rate from $2.99 to $3.50 to fund Household Hazardous
Waste.
. Establish a multifamily recycling rate of $1.75 per unit to fund recycling and Household
Hazardous Waste.
. Increase all the commercial collection services by an average of 5%.
. Remove Schedule SWP - Collection and Transportation Services Permit
. Include in the Sanitary Landfill Services the sale of excess sand, clay, mixed soil and
rock at the published rates.
MISCELLANEOUS RATE RECOMMENDATIONS
. Removal of the "Interest Earned on Contract Retainage" section of the Miscellaneous
Rate Ordinance since it is covered by state statute.
ENGINEERING INSPECTION FEES RECOMMENA TIONS
Right-of-Way Inspections
Overtime Inspections
$35.00
$50.00
to
to
$75.00
$90.00
These Right-of-Way and Overtime inspection fees were last updated in 1999 and did not reflect
full cost recovery at that time.
Parking Lot Inspections
1 - 50 spaces $100.00 to
51 - 100 spaces $200.00 to
101 - 250 spaces $300.00 to
251 - 500 spaces $400.00 to
$450.00
$600.00
$750.00
$900.00
Parking Lot Inspections were also last updated in FY 1999. The above increased fees are based
on the average number of trips to perform all inspections and the time allocated to those trips
multiplied by the proposed hourly rate of $75.00. Fees for appeals and variances to the Traffic
Safety Commission have been increased from $250.00 to $300.00.
Loading Zone Permits and Renewals
Single Loading Zone $132.00 to $175.00
Double Loading Zone $264.00 to $350.00
Loading Zone Permits were last updated in FY 1993.
Though the increases may seem excessive, the previous rates were not designed to fully recover
cost. The proposed fees have been adjusted to fully recovery inspection costs associated with
development, as are all other utilities rates.
OPTIONS
1. Approve the rates as recommended by the Public Utilities Board.
2. Recommend different rates than recommended by the Public Utilities Board.
RECOMMENDA TION
Staff recommends approval of the proposed ordinances.
PRIOR ACTIONIREVIEW (Council, Boards, Commission)
The Public Utilities Board recommended approval of the proposed rate ordinances on August 22,
2005 by a vote of 5-0.
FISCAL SUMMARY
The rates and charges included in the utility rate ordinances provide the revenues necessary to
cover the cost of service to customers.
EXHIBITS
1. FY 2005-06 Electric Rate Ordinance
2. FY 2005-06 Water Rate Ordinance
3. FY 2005-06 Wastewater Rate Ordinance
4. FY 2005-06 Solid Waste Rate Ordinance
5. FY 2005-06 Miscellaneous Rate Ordinance
6. FY 2005-06 Engineering Inspection Fees Ordinance
7. PUB Minutes
Respectfully submitted:
Howard Martin
ACM Utilities
ORDINANCE NO. 2005-
AN ORDINANCE OF THE CITY OF DENTON, TEXAS AMENDING THE SCHEDULE OF
RATES CONTAINED IN ORDINANCE NO. 2004-386 FOR ELECTRIC SERVICE;
AMENDING THE LOCAL GOVERNMENT SERVICE RATE (SCHEDULE Gl); AMENDING
THE WEEKEND RATE (SCHEDULE WK); AMENDING THE ATHLETIC FIELD RATE
(SCHEDULE AF); AMENDING THE FACILITY CHARGE ON THE STREET LIGHTING
RATE (SCHEDULE LS); AMENDING THE TRAFFIC LIGHTING RATE (SCHEDULE LT);
AMENDING THE OTHER LIGHTING RATE (SCHEDULE LO); AMENDING THE FACILITY
CHARGE ON THE SECURITY LIGHTING RATE (SCHEDULE DD); AMENDING THE
FACILITY CHARGE ON THE DOWNTOWN DECORATIVE LIGHTING RATE (SCHEDULE
DDL); ADDING THE DECORATIVE STREET LIGHT RATE (SCHEDULE DSL); AMENDING
THE TEMPORARY SERVICE RATE (SCHEDULE Tl); AMENDMENT OF SEVERAL
PROVISIONS OF THE ENERGY SA VE PROGRAM TO CLARIFY THE MEANING THEREOF
(SCHEDULE EP); ADDING A DARK FIBER RATE (SCHEDULE DFR); PROVIDING FOR A
REPEALER; PROVIDING FOR A SEVERABILITY CLAUSE; AND PROVIDING FOR AN
EFFECTIVE DATE.
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1 . That the Schedule of Rates for electrical services as provided for in Chapter
26 of the City of Denton Code of Ordinances, is amended to read as follows:
RES
RG
GSS
GSM
GSL
TGS
Gl
WK
AF
LS
LT
LO
DD
DDL
DSL
Tl
ELECTRIC RATE SCHEDULES
PAGE
Residential Service
Residential Renewable Service
General Service Small
General Service Medium
General Service Large
General Service Time of Use
Local Government
Weekend
Athletic Field
Street Lighting
Traffic Lighting
Other Lighting
Security Lighting
Decorative Downtown Lighting
Decorative Street Light
Temporary Service Schedule
3
5
7
9
11
13
16
18
20
22
23
24
26
28
29
31
1
EXHIBIT 1
IDR
EP
UPS
ECA
UD
DGR
SFR
DFR
Industrial Development Rider
EnergySave Program
Uninterruptible Power Supply
Energy Cost Adjustment
Discount Rider for State Universities and Colleges
Distributed Generation From Renewable Sources Rider
Special Facilities Rider
Dark Fiber Rate
33
34
38
39
40
41
43
44
2
SCHEDULE RES
RESIDENTIAl, SERVICE RATE
(Effective 1 % 1/05)
APPI JCA TION
Applicable to any Customer for all electric service used for residential purposes in an individual
private dwelling or an individually metered apartment, supplied at one point of delivery and
measured through one meter. Not applicable to resale service in any event, or to temporary, standby,
or supplementary service.
NET MONTHT Y RA TE
WINTER
SUMMER
Billing months of
November through April
Billing months of
May through October
(1) Facility Charge
Single-Phase
Three-Phase
$8.25/bill
$16.50/bill
$8.25/bill
$16.50/bill
plus;
(2) Energy Charge per billing period
First 600 KWH
Additional KWH
5. 70~/KWH
3. 79~/KWH
All KWH
5. 70~/KWH
plus;
(3) Energy Cost Adjustment Charge
See Schedule ECA
See Schedule ECA
MTNTMT JM BIT J JNG
For each billing period, the Customer shall be obligated to pay the following charges as a minimum,
whether or not any energy was actually used:
Single-Phase
Three-Phase
Facility Charge
Facility Charge
3
ENERGY C:HARGE
Billing for the Energy Charge shall be based on actual KWH consumption during the billing period.
Energy Charge = KWH in rate block x Rate per KWH in rate block
TYPE OF SER VTC:E
The City will supply single-phase service (or three-phase service if available at the point of delivery)
at sixty (60) cycles and at any standard voltages available from the City's distribution system through
one standard transformation. Additional contractual arrangements between the City and the
Customer, subject to the Special Facilities Rider, may be required where service of the type desired
by the Customer is not available at the point of service.
PAYMENT
The due date for the payment of the bill for utility services shall not be less than ten (10) business
days after issuance.
4
SCHEDULE RG
RESIDENTIAL RENEW ABLE ENERGY SERVICE RATE
(Effective 1 % 1/05)
APPTJC:ATTON
Applicable to any Customer for single-phase electric service used for residential purposes in an
individual private dwelling or an individually metered apartment, supplied at one point of
delivery and measured through one meter. Not applicable to resale service in any event, or to
temporary, standby, or supplementary service.
NET MONTHT Y RA TE
WINTER
SUMMER
Billing Months of
November through April
Billing Months of
May through October
(1)
Facility Charge
$8.25/bill
$8.25/bill
plus;
(2) Energy Charge per billing period
First 600 KWH
All Additional KWh
5.70~/KWh
3.79~/KWh
All KWh
5. 70~/KWh
plus;
(3) Renewable Cost Adjustment Charge
Variable, see below
Variable, see below
MTNTMl JM BIT J JNG
For each billing period, the Customer shall be obligated to pay the following charges as a minimum,
whether or not any energy was actually used:
Facility Charge
5
ENERGY C:HARGE
Billing for the energy charge shall be based on actual KWh consumption during the billing period.
Energy Charge = KWh in rate block x rate per KWh in rate block
RENEW A HI ,E C:OST A nIT TSTMENT (RC:A) C:H A RGE
The Renewable Cost Adjustment Charge shall be based on actual KWh consumption during the
billing period.
RCA Charge = KWh x Renewable Cost Adjustment
The Renewable Cost Adjustment shall be computed during the last month of each fiscal year
quarter (December, March, June and September) to be applied within the following quarter. The
City shall in no case change the Renewable Cost Adjustment more than once in any three (3)
month period. The Renewable Cost Adjustment shall be calculated using the following formula:
Renewable Cost Adjustment =
(Renewable energy credit and/or purchased energy cost shortfall or overage for current quarter +
Projected renewable energy credit and/or purchased energy cost for next quarter)/Projected KWh
sales for next quarter
In the event that actual plus estimated cumulative costs of renewable energy credits and/or
purchased energy are greater than or less than the actual and projected renewable energy revenues
by $100,000 or more during the next quarter, the Director of Electric Utilities or his/her designate
shall recalculate the Renewable Cost Adjustment and, with Public Utilities Board approval, may
establish a Renewable Cost Adjustment that collects or returns such difference during the next three
month period. Such change in the Renewable Cost Adjustment shall be applied during the next
three-month period.
TYPE OF SER VTC:E
The City will supply single-phase service at sixty (60) cycles and at any standard voltages available
from the City's distribution system through one standard transformation. Additional contractual
arrangements between the City and the Customer, subject to the Special Facilities Rider, may be
required where service of the type desired by the Customer is not available at the point of service.
PAYMENT
The due date for the payment of the bill for utility services shall not be less than ten (10) business
days after issuance.
6
SCHEDULE GSS
GENERAl, SERVICE SMAIJ,
(Effective 1 % 1/05)
APPI .If: A nON
The General Service Small (GSS) rate is applicable to any commercial or industrial customer having
a maximum demand of less than 20 KW in each of the previous twelve (12) months for all electric
service supplied at one point of delivery and measured through one meter. If the demand in any
month exceeds 20 KW, billing will be made under the Rate Schedule GSM and Customer must
remain on the GSM rate for a minimum of twelve (12) billing periods. Not applicable to resale
service in any event, or to temporary, standby, or supplementary service.
NET MONTHT Y RA TE
(1) Facility Charge
Single-Phase
Three-Phase
$15.80/bill
$21.10/bill
plus;
(2) Energy Charge per billing period
First 2,500 KWH
Additional KWH
7.02~/KWH
3.67~/KWH
plus;
(3)
Energy Cost Adjustment Charge
See Schedule ECA
MTNTMl JM BIT .I JNG
For each billing period, the Customer shall be obligated to pay the following charges as a minimum,
whether or not any energy was actually used:
Single-Phase
Three-Phase
F acili ty Charge
F acili ty Charge
ENERGY f:HARGE
Billing for the Energy Charge shall be based on actual KWH consumption during the billing period.
Energy Charge = KWH in rate block x Rate per KWH in rate block
7
TYPE OF SER VTC:E
The City will supply single-phase service (or three-phase service if available at the point of delivery)
at sixty (60) cycles and at any standard voltages available from the City's distribution system through
one standard transformation. Additional contractual arrangements between the City and the
Customer, subject to the Special Facilities Rider, may be required where service of the type desired
by the Customer is not available at the point of service.
PAYMENT
The due date for the payment of the bill for utility services shall not be less than ten (10) business
days after issuance.
8
SCHEDULE GSM
GENERAL SERVICE MEDTIJM
(Effective 1 % 1/05)
APPI JCA nON
The General Service Medium (GSM) rate is applicable to any commercial or industrial customer
having a maximum demand of at least 20 KW in anyone of the previous twelve (12) months but less
than 225 KW in each of the previous twelve (12) months for all electric service supplied at one point
of delivery and measured through one meter. Not applicable to resale service in any event, or to
temporary, standby, or supplementary service.
NET MONTHT Y RA TE
(1) Facility Charge
Single-Phase
Three-Phase
$15.80/bill
$21.10/bill
plus;
(2)
Demand Charge
$4.00/KW (all KW)
plus;
(3) Energy Charge (GMl) per billing period
First 6,000 KWH
Additional KWH
4.43~/KWH
3 .66~/KWH
plus;
(4)
Energy Cost Adjustment Charge
See Schedule ECA
MTNTMT JM BTI J JNG
For each billing period, the Customer shall be obligated to pay the following charges as a minimum,
whether or not any energy was actually used:
(1) The Facility Charge,
plus;
(2) The Demand Charge
9
DETERMTN A nON OF DEMAND
The demand used in calculating the Demand Charge for the billing period shall be the greater of: (1)
The actual monthly KW demand as measured during the fifteen (15) minute period of maximum use
each month; or (2) Seventy percent (70%) of the maximum monthly actual demand for any month
during the previous billing months of May through October in the twelve (12) months ending with
the current month.
ENERGY CHARGE
Billing for the Energy Charge shall be based on actual KWH consumption during the billing period.
Energy Charge = KWH in rate block x Rate per KWH in rate block
PRTMARY SERVTCE DTSCOTJNT
Customers who own, operate, and maintain all facilities necessary to receive three-phase primary
voltage service and all transformation facilities required for conversion to utilization voltage shall
receive a Energy Charge discount of 0.3~/KWH (GM3). Customers utilizing City owned and
operated facilities and transformation equipment and who are metered at primary voltage shall
receive an Energy Charge discount of O.I~/KWH (GM2). The City shall own, operate and maintain
all metering facilities, either at primary or secondary voltage.
TYPE OF SER VTCE
The City will supply single-phase service (or three-phase service if available at the point of delivery)
at sixty (60) cycles and at any standard voltages available from the City's distribution system through
one standard transformation. Additional contractual arrangements between the City and the
Customer, subject to the Special Facilities Rider, may be required where service of the type desired
by the Customer is not available at the point of service.
PAYMENT
The due date for the payment of the bill for utility services shall not be less than ten (10) business
days after issuance.
10
SCHEDULE GSL
GENERAl, SERVICE I,ARGE
(Effective 1 % 1/05)
APPIJC:ATTON
The General Service Large (GSL) Rate is applicable to any commercial or industrial customer
having a minimum actual demand of 250 KV A or 225 KW for all electric service supplied at one
point of delivery and measured through one meter. Customers with an average actual demand
equal to or greater than 200 KV A or 180 KW during the previous twelve month period may be
allowed service under this rate, subject to the minimum billing provision. Customers other than
commercial and industrial may be allowed service under this rate, subject to the minimum billing
provision. Customers who elect to discontinue service under this rate are ineligible for service
under this rate for twelve months. This rate is not applicable to resale service in any event, or to
temporary, standby, or supplementary service.
NET MONTHT Y RA TE
(1)
Facility Charge
$65.55/bill
plus;
(2)
Demand Charge
$933/KV A (Minimum of250 KV A billed)
plus;
(3) Energy Charge (GLl) per billing period
First 200,000 KWH
Additional KWH
2.14~/KWH
1.21 ~/KWH
plus;
(4)
Energy Cost Adjustment Charge
See Schedule ECA
MTNTMl JM BIT J JNG
For each billing period, the Customer shall be obligated to pay the following charges as a minimum,
whether or not any energy was actually used:
(1) The Facility Charge,
plus;
(2) The Demand Charge
11
DETERMTN A nON OF DEMAND
The demand used in calculating the Demand Charge for the billing period shall be the greater of: (1)
the actual monthly KV A demand as measured during the fifteen (15) minute period of maximum use
each month; or (2) 250 KV A; or (3) seventy percent (70%) of the maximum monthly KV A actual
demand for any month during the previous billing months of May through October in the twelve
(12) month period ending with the current month.
ENERGY C:HARGE
Billing for the Energy Charge shall be based on actual KWH consumption during the billing period.
Energy Charge = KWH in rate block x Rate per KWH in rate block
PRIMARY SERVTC:E DTSC:OIJNT
Customers who own, operate, and maintain all facilities necessary to receive three-phase primary
voltage service and all transformation facilities required for conversion to utilization voltage shall
receive an Energy Charge discount of 0.3~/KWH (GL3). Customers utilizing City owned and
operated facilities and transformation equipment and who are metered at primary voltage shall
receive an Energy Charge discount of O.I~/KWH (GL2). The City shall own, operate and maintain
all metering facilities, either at primary or secondary voltage.
TYPE OF SER VTC:E
The City will supply single-phase service (or three-phase service if available at the point of delivery)
at sixty (60) cycles and at any standard voltages available from the City's distribution system through
one standard transformation. Additional contractual arrangements between the City and the
Customer, subject to the Special Facilities Rider, may be required where service of the type desired
by the Customer is not available at the point of service.
PAYMENT
The due date for the payment of the bill for utility services shall not be less than ten (10) business
days after issuance.
12
SCHEDULE TGS
GENERAl, SERVICE TIME OF IJSE RATE
(Effective 1 % 1/05)
APPI JCA nON
Applicable to any customer having a minimum demand of 250 KV A for all electric service supplied
at one point of delivery and measured through one meter, with the City providing all facilities
necessary to receive primary voltage service. Customers electing this rate must remain on this rate
for a minimum of twelve (12) continuous billing months. This rate is not applicable to resale
service in any event, or to temporary, standby, or supplementary service.
NET MONTHT Y RA TE
(1) Facility Charge $76.45/bill
plus;
(2) On-Peak Demand Charge $11.87/KV A
plus;
(3) Off-Peak Demand Charge $234/KV A
plus;
(4) Energy Charge (TG 1) per billing period 0.71~/KWH
plus;
(5) Energy Cost Adjustment Charge See Schedule ECA
MTNTMl JM BIT J JNG
For each billing period, the Customer shall be obligated to pay the following charges as a minimum,
whether or not any energy was actually used:
(1) The Facility Charge,
plus;
(2) The Off-Peak Demand Charge
plus;
13
(3) The On-Peak Demand Charge
DEFTNTTTON OF ON-PEAK HOTJRS
The City's on-peak hours, for the purpose of this rate schedule, are designated as being from 2:00
P.M. to 7:00 P.M. each Monday through Friday, for the months of June through September. The
City's on-peak hours may be changed from time to time and the Customer will be notified twelve
(12) months before such changes become effective.
DEFTNTTTON OF OFF-PEAK HOIJRS
The City's system (off-peak) hours, for the purpose of this rate schedule, shall be all hours not
designated as on-peak hours.
DETERMINATTONOF ON-PEAK DEMAND
The demand used in calculating the On-Peak Demand Charge for the billing period shall be the
greater of: (1) The KVA actual demand supplied during the fifteen (15) minute period of maximum
use each month during on-peak hours as recorded by the City's demand meter, or (2) One hundred
percent (100%) of the actual maximum on-peak demand similarly determined during the billing
months of June through September in the twelve (12) months immediately preceding the current
month. The On Peak Demand Charge will be applied to each billing period.
DETERMINA TTON OF OFF-PEAK DEMAND
The demand used in calculating the Off-Peak Demand Charge for the billing period shall be the
actual KV A demand supplied during the fifteen (15) minute period of maximum use during off-peak
hours each month as recorded by the City's demand meter. The Off-Peak Demand Charge will be
applied to each billing period.
DETERMINATTON OF DEMAND RTLLING FOR C:TJSTOMERS WTTH NO PEAK DEMAND
HTSTORYDIJRINGOFF-PEAK MONTHS
If the Customer is new or does not have a history of on-peak use for June through September, and
elects to come on the TGS rate, the Customer's billed demand shall be the off-peak demand billed at
the GSL demand rate. The off-peak demand will be billed every month at the GSL rate until the
customer establishes a separate on-peak and off-peak demand during an on-peak month. At this
time, both on-peak and off-peak demand will then begin billing at the TGS rate.
PRTMARY SERVTC:E DTSC:OIJNT
Customers who own, operate and maintain all facilities necessary to receive three-phase primary
voltage service and all transformation facilities required for conversion to utilization voltage shall
receive an Energy Charge discount of 0.3~/KWH (TG5 and TG6). Customers utilizing City owned
and operated facilities and transformation equipment and who are metered at primary voltage shall
receive an Energy Charge discount ofO.l~/KWH (TG3 and TG4). The City shall own, operate and
maintain all metering facilities, either at primary or secondary voltage.
14
ENERGY C:HARGE
Billing for the Energy Charge shall be based on actual KWH consumption during the billing period.
Energy Charge = KWH x KWH Rate
TYPE OF SER VTC:E
The City will supply single-phase service (or three-phase service if available at the point of delivery)
at sixty (60) cycles and at any standard voltages available from the City's distribution system through
one standard transformation. Additional contractual arrangements between the City and the
Customer, subject to the Special Facilities Rider, may be required where service of the type desired
by the Customer is not available at the point of service.
PAYMENT
The due date for the payment of the bill for utility services shall not be less than ten (10) business
days after issuance.
15
SCHEDULE Gl
I DCAI, CTOVERNMENT SERVICE
(Effective 1 % 1/05)
APPIJCATTON
Applicable to any local City, County or School District for all electric service supplied at one
point of delivery and measured through one meter. Not applicable to resale service in any event,
or to temporary, standby or supplementary service.
NET MONTHT ,Y RATE
(1) Facility Charge
Single-Phase
Three-Phase
$15.80/bill
$21.10/bill
plus;
(2)
plus;
(3)
plus;
(4)
Demand Charge
$6.81/KW
Energy Charge
3.15~/KWH
Energy Cost Adjustment Charge
See Schedule ECA
MTNIMT JM BIT ,I ,TNeT
For each billing period, the Customer shall be obligated to pay the following charges as a minimum,
whether or not any energy was actually used:
(1) Facility Charge,
plus;
(2) Demand Charge
DETERMTN A TTON OF DEMAND
The demand used in calculating the Demand Charge for the billing period shall be the greater of:
(1) The actual KW demand supplied during the fifteen (15)-minute period of maximum use
during the current month as determined by City's demand meter; or (2) not less than 50% of the
highest monthly actual demand determined during the billing months of May through October in
16
the twelve (12) months immediately preceding the current month.
ENERGY CHARGE
Billing for the Energy Charge shall be based on actual KWH consumption during the billing
period.
Energy Charge = KWH x KWH Rate
TYPE OF SERVTCE
The City will supply single-phase service (or three-phase service if available at the point of
delivery) at sixty (60) cycles and at any standard voltages available from the City's distribution
system through one standard transformation. Additional contractual arrangements between the
City and the Customer, subject to the Special Facilities Rider, may be required where service of the
type desired by the Customer is not available at the point of service.
PAYMENT
The due date for the payment of the bill for utility services shall not be less than ten (10)
business days after issuance.
17
SCHEDULE WK
WEEKEND RA TE
(Effective 1 % 1/05)
APPT ,IrA nON
Applicable to any commercial and industrial user whose maximum demand load occurs during the
period from Thursday at 12 midnight through Sunday at 12 midnight and does not experience a
demand load during the period from Sunday 12 midnight through Thursday 12 midnight that
exceeds 80% of the maximum demand load. Customers who violate the 80% requirement more than
four (4) times during the month, or more than twice on the same day of the week, during the months
of June through September, are ineligible for service under this rate for twelve (12) months. Not
applicable to resale service in any event, or to temporary, standby or supplementary service except in
conjunction with applicable rider.
NET MONTHT ,Y RATE
(1) Facility Charge
Single-Phase
Three-Phase
plus;
(2) Demand Charge
plus;
(3) Energy Charge per billing period
First 2,500 KWH
Next 3500 KWH
Additional KWH
plus;
(4) Energy Cost Adjustment Charge
MTNTMT JM BIT ,I JNG
(1) Facility Charge
plus;
(2) Demand Charge
$20. 86/bill
$26.08/bill
$6.72/KW (First 20 KW not billed)
7.02~/KWH
3.67~/KWH
2. 70~/KWH
See Schedule ECA
18
DETERMTN A nON OF DEMAND
The demand used in calculating the Demand Charge for the billing period shall be the greater of: (1)
the actual KW demand supplied during the fifteen (15) minute period of maximum use during the
current billing period as determined by the City's demand meter less 20 KW; or (2) zero (0).
ENERGY CHARGE
Billing for the Energy Charge shall be based on actual KWH consumption during the billing period.
Energy Charge = KWH in rate block x Rate per KWH in rate block
TYPE OF SER VTCE
The City will supply single-phase service (or three-phase service if available at the point of delivery)
at sixty (60) cycles and at any standard voltages available from the City's distribution system through
one standard transformation. Additional contractual arrangements between the City and the
Customer, subject to the Special Facilities Rider, may be required where service of the type desired
by the Customer is not available at the point of service.
PAYMENT
The due date for the payment of the bill for utility services shall not be less than ten (10) business
days after issuance.
19
SCHEDULE AF
A THI ,ETTe FIET D
(Effective 1 % 1/05)
APPT .leA TTON
Applicable to all electric service metered at one point for use to light specified areas for athletic
events.
NET MONTHI ,Y RATE
(1) Facility Charge
Single-Phase
Three-Phase
$21.07/bill
$31.60/bill
plus;
(2) Energy Charge per billing period
Rilling months of Tune through Septemher
Peak (2:00 PM to 7:00 PM)
Off Peak (All Other Hours)
7.96~/KWH
3.98~/KWH
Rilling months of Octo her through M::IY'
All hours
3.98~/KWH
plus;
(3) Demand Charge
Rilling months of Tune through Septemher
Peak (2:00 PM - 7:00 PM)
Off Peak (All Other Hours)
$4.94/KW
$1. 17/KW
Rilling months of Octo her through M::IY'
All hours
$1. 17/KW
plus;
(4)
Energy Cost Adjustment Charge
See Schedule ECA
20
MTNTMT JM BIT J JNG
For each billing period, the Customer shall be obligated to pay the following charges as a minimum,
whether or not any energy was actually used:
Single-Phase
Three-Phase
Facility Charge
Facility Charge
DETERMTN A nON OF DEMAND
The demand used in calculating the Demand Charge for the billing period shall be the actual KW
demand supplied during the fifteen (15) minute period of maximum use during the current billing
period as determined by the City's demand meter.
ENERGY CHARGE
Billing for the Energy Charge shall be based on actual KWH consumption during the billing period.
Energy Charge = KWH in rate block x Rate per KWH in rate block
TYPE OF SER VTCE
The City will supply single-phase or three-phase service at sixty (60) cycles and at any standard
voltages available from the City's distribution system through one standard transformation.
Additional contractual arrangements between the City and the Customer, subject to the Special
Facilities Rider, may be required where service of the type desired by the Customer is not available
at the point of service.
PAYMENT
The due date for the payment of the bill for utility services shall not be less than ten (10) business
days after issuance.
21
SCHEDULE LS
STREET T JGHTTNG
(Effective 1 % 1/05)
APPT .If: A nON
Applicable to all street lighting owned and maintained by the City of Denton.
NET MONTHT Y RA TE
(1) Facility Charge
Rate
T ,uminaire Type
LSA
LSB
LSC
100 W Sodium Vapor
250 W Sodium Vapor
400 W Sodium Vapor
plus;
(2) Energy Cost Adjustment Charge
Rate
T ,liminaire Type
LSA
LSB
LSC
100 W Sodium Vapor
250 W Sodium Vapor
400 W Sodium Vapor
TYPE OF SER VTf:E
Facility f:harge
$5. 15/bill
$7.30/bill
$9. 19/bill
(Current ECA per Schedule ECA) x (Bulb
Wattage Factor where the following Bulb
Wattage Factors apply);
RlIlh Wattage Factor
48 KWH
105 KWH
159 KWH
The City will supply single-phase service (or three-phase service if available at the point of delivery)
at sixty (60) cycles and at any standard voltages available from the City's distribution system through
one standard transformation. Additional contractual arrangements between the City and the
customer, subject to the Special Facilities Rider, may be required where service of the type desired
by the customer is not available at the point of service.
PAYMENT
The due date for the payment of the bill for utility services shall not be less than ten (10) business
days after issuance.
22
SCHEDULE LT
TRA FFTC T JGHTTNG
(Effective 1 % 1/05)
APPT .If: A nON
Applicable to State and Local Government agencies that operate and maintain their own traffic
signals.
NET MONTHT ,Y RATE
(1)
Energy Charge per billing period
5 .62~/KWH
plus;
(2)
Energy Cost Adjustment Charge
See Schedule ECA
ENERGY f:HARGE
Billing for the energy charge shall be based on actual KWH consumption during the billing period.
Energy Charge = KWH x KWH Rate
TYPE OF SER VTf:E
The City will supply single-phase, sixty (60) cycle service at 120 or 240 volts from the City's
distribution system through one standard transformation. Additional contractual arrangements
between the City and the Customer, subject to the Special Facilities Rider, may be required where
service of the type desired by the Customer is not available at the point of service.
PAYMENT
The due date for the payment of the bill for utility services shall not be less than ten (10) business
days after issuance.
23
SCHEDULE LO
OTHER LIGHTING
(Effective 1 % 1/05)
APPT JCA nON
Applicable to Texas Department of Transportation unmetered and metered safety lighting systems
and continuous lighting systems as those terms are defined in Texas Administrative Code, Title 43,
Part 1, Chapter 25, Subchapter A, Rule 925.11.
LOA (lJnmetered Lighting)
NET MONTHT ,Y RATE
(1)
Energy Charge per billing period
5 .62~/KWH
plus;
(2)
Energy Cost Adjustment Charge
(Current ECA per Schedule ECA) x
(Bulb Wattage/lOOO) x (Hours of
Operation Per Billing Period)
ENERGY CHARGE
Billing for the Energy Charge shall be based on estimated KWH consumption during the
billing period.
Energy Charge = (KWH Rate x Bulb Wattage/lOOO) x (Hours of Operation Per Billing
Period)
where;
Hours of Operation Per Billing Period = 333 hours
Bulb Wattage is the rated wattage of the luminaire bulb
T,OB (Metered T ,ighting)
NET MONTHT ,Y RATE
(1)
Energy Charge per billing period
5 .62~/KWH
plus;
(2)
Energy Cost Adjustment Charge
See Schedule ECA
24
ENERGY C:HARGE
Billing for the Energy Charge shall be based on actual KWH consumption during the billing period.
Energy Charge = KWH x KWH Rate
TYPE OF SER VTC:E
The City will supply single-phase, sixty (60) cycle service at 120 or 240 volts from the City's
distribution system through one standard transformation. Additional contractual arrangements
between the City and the Customer, subject to the Special Facilities Rider, may be required where
service of the type desired by the Customer is not available at the point of service.
PAYMENT
The due date for the payment of the bill for utility services shall not be less than ten (10) business
days after issuance.
25
SCHEDULE DD
SEnJRTTYTJGHTTNG
(Effective 1 % 1/05)
APPT Jf:A nON
Applicable to any customer within the area served by the City's electric distribution system
for outdoor area lighting when such lighting facilities are operated as an extension of the
City's distribution system.
NET MONTHT ,Y RATE
(1) Facility Charge
Rate
T ,1Imin::lire Type
F::Icility f:h::lrge
DSA
DSB
DSC
DHA
DHB
100 W Sodium Vapor
250 W Sodium Vapor
400 W Sodium Vapor
250 W Metal Halide
400 W Metal Halide
$8. 14/bill
$ 10. 76/bill
$12.97/bill
$ 12.65/bill
$15.07/bill
plus;
(2) Energy Cost Adjustment Charge
(Current ECA per Schedule ECA) x (Monthly Bulb Wattage Factor where the
following Bulb Wattage Factors apply);
Rate Luminaire Type Bulb Wattage Factor
DSA 100 W Sodium Vapor 48 KWH
DSB 250 W Sodium Vapor 105 KWH
DSC 400 W Sodium Vapor 159 KWH
DHA 250 W Metal Halide 105 KWH
DHB 400 W Metal Halide 159 KWH
TYPE OF SER VTf:E
The City shall furnish, install, maintain and deliver electric service to automatically
controlled, metal halide or sodium vapor lighting fixtures conforming to the City's standards
and subject to its published rules and regulations.
Where necessary for proper illumination or where existing poles are inadequate, the City will
install or cause to be installed, one (1) wood pole with the necessary lighting hardware and
26
overhead conductor for each installed light, at a distance not to exceed eighty (80') feet from
existing lines, at no charge to the Customer. Additional contractual arrangements between
the City and the customer, subject to the Special Facilities Rider, may be required where
service of the type desired by the Customer is not available at the point of service.
TERM OF C:ONTRAC:T
A two (2) year contract shall be agreed to and signed by each Customer desiring Security
Lighting Service authorizing fixed monthly charges, which may be reviewed annually, and
to be applied to the monthly municipal utilities bill. In the event that a Customer requests the
removal of the unit or discontinuance of the service prior to completion of two (2) years, the
remainder of the contract period shall become due and payable. After the end of the initial
two (2) year contract, service shall continue on a month-to-month basis and may be canceled
by either party upon thirty (30) days notice.
PAYMENT
The due date for the payment of the bill for utility services shall not be less than ten (10)
business days after issuance.
27
SCHEDULE DDL
DOWNTOWN DECOR A TTVE T JGHTTNG
(Effective 1 % 1/05)
APPT JCA TTON
Applicable to any Customer on the perimeter of the square served by the City's electric distribution
system for outdoor area lighting when such lighting facilities are operated as an extension of the
City's distribution system.
NET MONTHT ,Y RATE
(1)
Facility Charge
$4.04/bill
plus;
(2) Energy Cost Adjustment(Current ECA per Schedule ECA) x (350 KWH per
Customer)
TYPE OF SERVICE
The City shall furnish, install, maintain and deliver electric service to automatically controlled
lighting fixtures conforming to the City's standards and subject to its published rules and regulations.
The service is provided between dusk and midnight. Additional contractual arrangements between
the City and the Customer, subject to the Special Facilities Rider, may be required where service of
the type desired by the Customer is not available at the point of service.
PAYMENT
The due date for the payment of the bill for utility services shall not be less than ten (10) business
days after issuance.
F ACTT JTY CH A RGE
The Facility Charge shall be assessed on each bill rendered.
28
SCHEDULE DSL
DEf:ORA nVE STREET T JGHTTNG
(Effective 1 % 1/05)
APPT ,If: A nON
Applicable to street lighting owned and maintained by the customer. This service is
contingent to an executed Special Facilities Rider between the legally responsible party and
the City of Denton.
NET MONTHT ,Y RATE
(1)
Energy Charge
5 .62~/KWH
Energy Charge = (KWH Rate) x (Bulb Wattage Factor)
plus;
(2) Energy Cost Adjustment Charge
(Current ECA per Schedule ECA) x (Monthly Bulb Wattage Factor where the
following Bulb Wattage Factors apply);
Rate Luminaire Type
Bulb Wattage Factor
DLSA 100 W Sodium Vapor
DLSB 250 W Sodium Vapor
DLSC 400 W Sodium Vapor
DLHA 250 W Metal Halide
DLHB 400 W Metal Halide
48 KWH
105 KWH
159 KWH
105 KWH
159 KWH
Other - For any lamp types installed by owner that are not included in the list above,
a Bulb Wattage Factor will be determined for each unique type.
TYPE OF SER VTf:E
The City shall deliver single-phase electric service at (60) cycles to the site for automatically
controlled metal halide or sodium vapor lighting fixtures conforming to the City's standards
and subject to its published rules and regulations. Additional contractual arrangements
between the City and the customer, subject to the Special Facilities Rider, may be required
where service of the type desired by the Customer is not available at the point of service.
If the City is required to maintain the privately owned lights to ensure public safety, the
owner of the lights may be subject to additional service charges.
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ADDITIONAL SERVICE CHARGES
Labor (Regular Time)
$60.00 minimum up to one (1) hour. $60.00 for each
additional hour (to be measured to the nearest one-
quarter hour).
Labor (Overtime)
$75.00 minimum up to one (1) hour. $75.00 for each
additional hour (to be measured to the nearest one-
quarter hour). Premium time to be added where
applicable.
Transportation
To be billed by hours or miles, as applicable,
according to the estimated cost of operating the
equipment.
Material
Any material needed to repair and/or maintain
facilities will be billed at Store's cost plus 25%.
PAYMENT
The due date for the payment of the bill for utility services shall not be less than ten (10)
business days after issuance.
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SCHEDULE Tl
TEMPORARY SERVICE SCHEDULE
(Effective 1 % 1/05)
APPT JCA nON
Applicable when a Customer requests electric service on a short term or temporary basis where a
customer has received a permit from the City of Denton's Building Inspections Department. This
rate is not applicable after the certificate of occupancy or building final has been issued.
NET MONTHT ,Y RATE
(1) Facility Charge
Single-Phase
Three-Phase
$15.80/bill
$21.10/bill
plus;
(2)
Energy Charge per billing period
7.11~/KWH
plus;
(3)
Energy Cost Adjustment Charge
See Schedule ECA
MTNTMl JM BIT ,I JNG
For each billing period, the Customer shall be obligated to pay the following charges as a minimum,
whether or not any energy was actually used:
Single-Phase
Three-Phase
Facility Charge
Facility Charge
ENERGY CHARGE
Billing for the Energy Charge shall be based on actual KWH consumption during the billing period.
Energy Charge = KWH x KWH Rate
TYPE OF SERVICE
The City will supply single-phase service at sixty (60) cycles at a standard secondary voltage
available at the site. Additional contractual arrangements between the City and the Customer,
subject to the Special Facilities Rider, may be required where service of the type desired by the
Customer is not available at the point of service.
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ADDTTTONAT, TEMPORARY SERVTC:E C:HARGES
Labor (Regular Time)
$60.00 minimum up to one (1) hour. $60.00 for each
additional hour (to be measured to the nearest one-
quarter hour).
Labor (Overtime)
$75.00 minimum up to one (1) hour. $75.00 for each
additional hour (to be measured to the nearest one-
quarter hour). Premium time to be added where
applicable.
Transportation
To be billed by hours or miles, as applicable,
according to the estimated cost of operating the
equipment.
Material
Material that cannot be salvaged to be billed at
Store's cost plus 25%, plus applicable sales tax. At
the time a temporary service is removed or converted,
any loss in the material installed due to negligence or
willful action by the Customer will be billed
separately to the Customer at replacement cost plus
25%, plus applicable sales tax.
PAYMENT
The due date for the payment of the bill for utility services shall not be less than ten (10) business
days after issuance.
FLAT RATE TEMPORARY SERVTC:E
Applicable to new construction of underground residential electric service only.
Rate: A flat fee of $195 per lot payable when the Customer applies for temporary
servIce.
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SCHEDULEIDR
INDlJSTRIAI, DEVEI DPMENT RIDER
(Effective 1 % 1/05)
A V ATT,ARTTJTY
This rider is available to the Customers who receive service from Rate Schedules GSL or TGS.
APPI JCA nON
This rider is available to electric service supplied at anyone location. It is for firm electric service
applicable to new and existing Customers as described below, over a five (5) year period. This rider
is available to the following classes of Customers:
(1) New customers whose electric service represents demand not previously served by
the City at any location in the City's service area in the last twelve (12) months,
where such metered demand will be in excess of 225 KV A or 200 KW, as estimated
and mutually agreed upon by the Director of Electric Utilities and the customer.
(2) Existing customers served under Rate Schedules GSL or TGS who increase their
prior existing metered demand by 225 KV A or 200 KW. This increase shall be
verified by sub-metering (at the Customers expense) the additional load. If sub-
metering is not possible, at the discretion of the Director of Electric Utilities, the
increase may be verified by comparing a three-month rolling average of the new
level of demand to the prior demand averaged for corresponding months. During
periods in which this verification method cannot be applied, the Director of Electric
Utilities and the Customer may develop a mutually agreed-upon formula to estimate
the base and additional demand levels.
NET MONTHT ,Y RATE
The Customer shall be charged under the appropriate applicable rate schedules with the exception
that the monthly billing demand (for GSL) or system demand and on-peak demand (for TGS) will be
adjusted in accordance with the following table:
Time Period
Reduction to Rilling Dem::lnd
First Year
Second Year
Third Year
F ourth Year
Fifth Year
50%
40%
30%
20%
10%
CONTRACT PERIOD
The term of the contract will be for five (5) years.
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SCHEDULE EP
ENRRGYSAVEPROGRAM
(Effective 1 % 1/05)
APPTJC:ATTONIPROGRAM SUMMARY
Denton Municipal Electric ("DME") through this program, called "EnergySave", is offering cash
payments as incentives in the form of rebates to Customers who purchase and install high-
efficiency air conditioners or heat pumps for existing residential or commercial facilities. This
program will also provide structure incentives in the form of rebates, in the amount of $2,000 per
qualifying structure, to residential builders of single-family residences for meeting specific DME
structure requirements. Satisfying these construction requirements will improve a residential
structure's heating and cooling system's operating efficiency. Customers requesting to
participate in the Structure Incentive program are not eligible to simultaneously
participate in the HV AC Equipment Rebate. Apartments and multiple unit residential
structures will qualify for the air conditioner rebates, but will not qualify for the structure
incentive, if they meet the applicable EnergySave Program Guidelines.
The EnergySave Program's objectives are primarily to reduce energy demand and consumption,
thereby allowing the Customers of DME to save dollars on their utility bills, reducing the peak
load of the City of Denton' s electric system, and promoting energy efficient heating and cooling.
The EnergySave Program will be in effect each fiscal year beginning on October 1, until the
allotted funding is depleted. At the time the funds are depleted, no additional applications for
participation will be accepted until the next fiscal year.
PROGRAM GTTTDETJNES
I. Qualification Guidelines for HV AC: Equipment
A. All installations must be for accounts served by the DME and must meet all
applicable national, local, and manufacturers' codes and specifications.
B. To qualify for the equipment incentive, the air conditioner or heat pump must be
new when installed and have a minimum efficiency rating of 14 SEER.
C. All equipment must be purchased. No leased or lease/purchased equipment will
qualify for a cash rebate.
D. Installations must be made by licensed contractors and/or dealers.
E. No rebate will be paid on a partial replacement of an air conditioner. The
condenser unit and the evaporator coil must be replaced to qualify for a rebate.
F. Requests for payment must be received by DME within thirty (30) days of
installation.
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G. Equipment and installation must be permitted and inspected by the City's Building
Inspection Department before final approval for payment is issued.
H. The EnergySave Program guidelines and payments are subject to change by DME
without prior notice.
I. DME may, at any time, discontinue the EnergySave Program, without prior notice.
J. Payments shall be credited to the recipient's utility account with DME.
II. QU::IlificMion Guidelines for Stmctme Incentive
A. $2,000.00 per qualifying structure is offered to a builder or authorized agent.
B. Builder, or authorized agent, must be enrolled in the Denton Municipal Electric
EnergySave Program (Energy Save ).
C. Each home participating in the EnergySave program must be registered with DME
prior to construction and must also comply with the 2000 IECC requirements relating
to residential structures.
D. Install a 1.5-ton or above central air conditioner or heat pump having a minimum
efficiency rating of 14 SEER.
E. Install minimum insulation of:
R49 - ceiling (uniform application)
R30 - under decking
R30 - cathedral or vaulted ceiling
R30 - floor
R13 - wall cavity
Insulation should not contact radiant barrier roof decking.
F. Exterior glass must meet minimum high efficiency standards
0.4 or below - solar heat-gain coefficient
0.4 or below - U-factor
G. Programmable Thermostat - EnergyStar approved
H. Radiant Barrier Decking
Must maintain air gap between insulation and decking
I. Acceptable attic ventilation
One square inch of ventilation per square foot of attic floor, or rate of air
exchange of entire volume of attic air once at per minute
35
J. Structure Incentives for new homebuilders must also comply with the respective
restrictions and guidelines set forth by the International Residential Code (IRC).
III. General Procedures
A. Application
1. Equipment:
An application for equipment incentive must be completed and sent to Denton
Municipal Electric within sixty (60) days of installation of new or replacement
equipment. Participating dealers have application forms and will complete these
forms for the purchaser. It is the purchaser's responsibility to see that the dealer
completes the form and submits it to DME. All submissions are subject to lawful
verification of identification and entitlement to the EnergySave credit by Denton
Municipal Electric.
2. Structure Incentive:
To qualify for residential structure incentives, a builder/developer or authorized
agent must be registered as an authorized Denton Municipal Electric EnergySave
Authorized Builder. To become a recognized EnergySave builder, applicant must
complete and submit a Denton Municipal Electric EnergySave Builder
Application form to the Director of Electric Utilities. Applicants must also
register as an EnergySave participant when submitting a request under this
program or applying for City of Denton building permits.
B. Inspections
Installations of central air-conditioning systems must be permitted and will be
inspected by the City's Building Inspection Department, and must be approved before
rebates will be processed. All submissions are subject to lawful verification of
identification and entitlement to the EnergySave credit by Denton Municipal Electric.
New structures will be randomly audited to insure adherence to the required energy
efficient construction specifications.
C. Payments to Participants
1. Equipment Retrofit (Exi sting resi dences)
Cash payments will be made to the purchaser of the qualifying replacement
equipment. Participating retail equipment dealers will receive a cash payment of
$20 per unit for the sale of window units, central air conditioning systems, or heat
pumps to offset their cost for properly filling out the applications for purchasers
of retrofit equipment. All submissions are subject to lawful verification of
identification and entitlement to the EnergySave credit by Denton Municipal
Electric.
36
2. New equipment and structure incentive
Program participants are responsible for submitting the correct information.
DME will not issue any additional payment unless the payment was incorrect due
to a mistake in processing by a City employee. The twenty-dollar ($20.00)
payments to dealers will be made only if they supply the qualifying equipment to
the customer or builder who is paying for the installation of the equipment.
Dealers and purchasers may be denied payment for failure to follow program
guidelines such as: failing to supply correct SEER/EER figures; installing
equipment which is not new; replacing part of a split system; or failure to fill out
rebate forms properly. All submissions are subject to lawful verification of
identification and entitlement to the EnergySave credit by DME. Payments will
be made to customers who purchase and install new qualifying equipment. If a
tenant purchases and installs qualifying equipment, the payment is made to the
tenant. If the owner of rental property purchases and installs qualifying
equipment, the payment is made to the owner.
IV. Payment Schedule
SEER/EER
Type ofT Tnit Rating Incentive
Central Air Conditioning 14.0 + $600/unit
Central Heat Pumps 14.0 + $700/unit
Geothermal Heat Pump 14.0 + $700/unit
Room Air Conditioners 12.0 + $50/unit
Room Heat Pumps 12.0 + $50/unit
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SCHEDULE UPS
1 JNTNTERRlJPTTBLE POWER SlJPPLY
(Effective 1 % 1/05)
APPT ,If: A nON
Applicable to any Customer who, by written agreement, receives service for an uninterruptible power
supply for a computer or other electrical equipment. Uninterruptible Power Supplies provided by the
City of Denton, Texas are of the standby type.
NET MONTHT Y RA TE
(1) Facility Charge:
0-300 Watts Uninterruptible Power Supply
301-700 Watts Uninterruptible Power Supply
701-1,200 Watts Uninterruptible Power Supply
$7.80/bill
$14.90/bill
$31.85/bill
plus;
(2)
Installation Charge
$25.75
For any Uninterruptible Power Supply other than above, the monthly Customer Charge will be
based on the following formula:
(1) Monthl y Charge:
5% of Annu::I1 M::Iinten::lnce f:ost
12 months
PLUS
6% Annu::I1 Return ofTnvestment
12 months
PLUS
8% Interest on a Five ( 5) Year Life
TYPE OF SER VTf:E
The City shall furnish, install, maintain an automatically controlled alternating current power backup
unit conforming to the City's standards and subject to its published rules and regulations.
PAYMENT
Bills are due when rendered, and become past due if not paid within fifteen (15) calendar days from
date of issuance.
38
SCHEDULE ECA
ENERGY COST ADTIJSTMENT (ECA)
(Effective 1 % 1/05)
ECA CALCTJLATTON
The Energy Cost Adjustment (ECA) shall be computed during the last month of each fiscal year
quarter (December, March, June and September) to be applied to the quarter immediately following.
The City shall in no case change the energy cost adjustment more than once in any three (3) month
period. The ECA shall be calculated using the following formula:
ECA = (Projected energy costs for next quarter)/(projected KWH sales for next quarter)
In the event that actual plus estimated cumulative costs of fuel, variable costs of Texas Municipal
Power Agency (TMPA) energy and purchased energy (excluding TMPA's fixed charges) are greater
than or less than the actual and projected ECA revenues by $500,000 or more during the next quarter,
the Director of Electric Utilities or her designate shall recalculate the Energy Cost Adjustment and,
with Public Utilities Board approval, may establish an ECA that collects or returns such difference
over the next three-month period. Such change in ECA shall be applied evenly to each month during
the three-month period.
ENERGY COST ADTIJSTMENT CHARGE
The Energy Cost Adjustment Charge shall be based on actual KWh consumption during the billing
period.
Energy Cost Adjustment Charge = KWh x Energy Cost Adjustment
39
SCHEDULE UD
DISCOlJNT RIDER
FOR STATE IJNIVERSITTES AND COLLEGES
(Effective 1 % 1/05)
APPI .TCA TTON
Service provided herein is applicable to electric service billed under the otherwise applicable
tariffed rate for service supplied to a facility of a "four-year state university, upper-level
institution, Texas State Technical College, or college" as provided in the Public Utility
Regulatory Act of2003, Chapter 36, Subchapter H, 936.351.
CREDIT TO MONTHTYRTTJ, OR MONTHTYRATE
Per the Public Utility Regulatory Act of 2003, Chapter 36, Subchapter H, 936.351 a discount of
20% shall be applied to the base rate of the applicable rate schedule of an account.
"Base Rates" are defined as the sum of the following charges: the Facility Charge, the Energy
Charge and/or the Demand Charge of the applicable rate schedule. Base rates do not include
recovery of fuel and purchased energy costs, including, without limitation, energy cost
adjustments (the ECA rate or its successors).
All other charges and calculations in the rate schedule are unchanged.
40
SCHEDULE DGR
DTSTRTRTTTED GENERATTONFROMRENEWARLE SOTTRf:ES RIDER
(Effective 1 % 1/05)
APPT .If:A TTON
This Rider is available to any retail customer receiving electric service under a City of Denton
residential electric rate schedule who owns and operates an on-site generating system powered
by a renewable resource capable of producing not more than 3 kW of power, and who
interconnects with the City of Denton's electric system. Renewable energy technology is any
technology that exclusively relies on an energy source that is naturally regenerated over a short
time and derived directly or indirectly from the sun or wind. A renewable energy technology
does not rely on energy resources derived from fossil fuels, waste products from fossil fuels, or
waste products from inorganic sources. This Rider applies to a Customer-owned generating
system that primarily offsets part or all of the Customer's electric service provided by the City of
Denton.
f:ONDTTTONS OF SERVTf:E
All charges, character of service, and terms and conditions of the City of Denton electric rate
schedule under which the Customer receives service apply except as expressly altered by this
Rider.
The Customer shall comply with the current City of Denton technical requirements for
distributed generation interconnection. The Customer shall obtain approval from the City of
Denton before the Customer energizes the customer's on-site generating system or interconnects
it with the City of Denton's electric system. The Customer shall submit to the City a completed
interconnection application form and signed agreement. The minimum term of an agreement
under this Rider is one year, extended automatically unless terminated by either party with sixty
days advance written notice
The Customer is responsible for the costs of interconnecting with the City of Denton's electric
system, including transformers, service lines, or other equipment determined necessary by the
City for safe installation and operation of the Customer's equipment with the City's system. The
Customer is responsible for any costs associated with required inspections and permits.
METERTNG
Metering under this Rider shall be performed by a single meter capable of registering the flow of
electricity in two directions (delivered and received) to determine the Customer's net energy
flow.
RATE
Beginning in a billing period after a Customer receives approval to interconnect the Customer's
on-site generating system from the City of Denton, if the energy delivered by the Customer's
41
approved system to the City of Denton's electric system exceeds the amount of energy delivered
by the City of Denton to the Customer, the City shall credit the Customer's account for the
energy generated as described below.
The monthly credit, if any, is calculated as follows:
Each kWh delivered from the Customer's approved system to the City of Denton's electric
system in excess of the kWh delivered by the City of Denton to that Customer is multiplied by
the billing period's Energy Cost Adjustment Rate.
Any credit shall be applied to the utility charges due from the Customer to the City of Denton for
the billing period.
42
SCHEDULE SFR
SPECIAL FACILITIES RIDER
(Effective 1 % 1/05)
(1) All service shall be offered from available facilities. If a customer service characteristic
requires facilities and devices not normally and readily available at the location which the
customer requests service, the total cost incurred by the City of all facilities installed, buried,
relocated and/or removed shall be the responsibility of the Customer and subject to a special
contract entered into between the Utility and the Customer. This contract shall be signed by
both parties prior to the City providing service to the Customer.
(2) Billing for services beyond the delivery of electricity, utilized by the Customer, may be
subject to a special contract entered into between the utility and the Customer. This contract
shall be signed by both parties prior to the City providing service to Customer.
43
SCHEDULE DFR
DA RK FTRRR RA TR
(Effective 1 % 1/05)
APPT ,IrA nON
Service is available to any customer to the extent there is any excess capacity respecting Denton
Municipal Electric's fiber optic cable facilities, within the area served by Denton Municipal
Electric's ("DME") distribution system, for the purpose of point-to-point dark fiber optic cable
connectivity intended for the transport of high-speed data.
MONTHT Y RA TE
(1)
Fiber Mileage Charge
$400 per fiber pair/mile, per month; and
(2) Building Presence Charge
$180 per location, per month
Total Fiber Rate
$580 per fiber pair/mile, per month, per location
RATE GT TIDE JNES
(1) The minimum quantity of fiber to be leased shall be one (1) fiber pair. All fiber pairs
furnished to the customer shall consist of two (2) fibers.
(2) The minimum Fiber Mileage Charge is for one (1) fiber pair/mile.
(3) Mter the first mile, Fiber Mileage Charge will be charged in increments of the nearest
one-tenth (0.1) mile.
(4) All costs associated with ingress to a customer's location from the DME right-of-way
shall be billed directly to the customer, and are not included in the Fiber Mileage
Charge and the Building Presence Charge and shall be paid to Denton Municipal
Electric within fifteen (15) calendar days from the date of issuance of the bill.
(5) The Fiber Mileage Charge calculation is based upon the actual fiber pair distance
along the DME distribution system rights-of-way. The Fiber Mileage Charge is not
based upon any other method of calculation. The Fiber Mileage Charge is not based
upon any distance determination, such as the distance the crow flies, or from point-to-
point.
(6) The Fiber Mileage Charge distance shall be capped at two (2) times the direct point-to-
point distance.
DTsrOT TNTS
Special discounts will be applied for fiber pairs to the same location, and for fiber pairs for long-
term contracts in the amounts as shown in the table below. The discount applicable to a customer
shall not be a cumulative total of all the discounts offered. The discount any customer is entitled to
shall be the largest single discount applicable to that customer's service.
44
Discount Type Discount Discount Type Discount
T effil ofT ,e::l se % NlImher ofFihers %
5-7 Years 30% 1-2 Fibers /Mileage Charge 0%
8-10 Years 45% 3-6 Fibers/ Mileage 9.7%
Chame
7-12 Fibers/Mileage Charge 19%
12 or more Fibers/Mileage 28.7%
Charge
TYPE OF SER VTC:E
The City shall furnish, install, maintain and deliver only point-to-point dark fiber connectivity for the
purpose of transporting high-speed data with a maximum loss of no more than 9.0 dB.
PAYMENT
Bills are due when rendered, and become past due if not paid within fifteen (15) calendar days from
date of issuance.
TERM OF I,EASE C:ONTRAC:T
All dark fiber lease contracts shall be for a minimum term of five (5) years.
45
SFrTTON 2 That the Assistant City Manager for Utilities is hereby authorized to
expend funds to issue rebates to electric utility customers in the form and type set forth in
Schedule EP, as the use of more efficient air conditioning compressors and heat pumps is in the
best interest of the City of Denton, Texas, as such will reduce the peak-load and conserve
energy, which are public purposes of the City.
SFrTTON ') That all ordinances or parts of ordinances in force when the provisions of this
ordinance became effective which are inconsistent, or in conflict with the terms or provisions
contained in this ordinance are hereby repealed to the extent of any such conflict.
SFrTTON 4 That if any section, subsection, paragraph, sentence, clause, phrase or word in
this ordinance, or application thereof to any person or circumstances is held invalid by any court of
competent jurisdiction, such holding shall not affect the validity of the remaining portions of this
ordinance, and the City Council of the City of Denton, Texas, hereby declares it would have enacted
such remaining portions despite any such invalidity.
SFrTTON ') That this ordinance and the rates herein adopted shall become effective,
charged, and applied to all electric services rendered by Denton Municipal Electric, and all energy
usage by customers of Denton Municipal Electric effective with the first billing issued on and after
October 1,2005; and a copy of said rates shall be maintained on file in the Office of the City Secretary
of the City of Denton, Texas.
PASSED AND APPROVED this the
day of
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
By:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
By:
S:IOur DocumentslOrdinancesl051FY 2006 Electric Rate Ordinance-D1.doc
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CITY OF DENTON, TEXAS
PUBLIC UTILITIES BOARD MEETING AGENDA
FOR AUGUST 22, 2005
9:00 A. M.
DRAFT
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After determining that a quorum of the Public Utilities Board of the City of Denton, Texas was
present, the Public Utilities Board convened into an Open Meeting on Monday, August 22,2005
at 9:00 a.m. in the Service Center Training Room, City of Denton Service Center, 901-A Texas
Street, Denton, Texas.
Present:
Bob Bland, John Baines, Bill Cheek, Phil Gallivan, Charldean Newell,
EX OFFICIO MEMBERS
Michael Conduff, City Manager
Howard Martin, ACM. /Utilities
Excused:
Dick Smith
George Hopkins
ITEMS FOR INDIVIDUAL CONSIDERATION:
6) Consider recommending approval of the Electric, Water, Wastewater, Solid Waste, and
Miscellaneous Rate Ordinances for FY 2005-06.
Howard Martin, ACM Utilities, reported to the Board that staff is requesting approval of Utility
Rate Ordinances that reflect changes in support of the FY 2005-06 Budget. Martin explained
that the Chapter 24 Code of Ordinance was not included in the backup material. Martin wanted
to know how the Board wanted to proceed, that is, whether Board Members wanted staff to place
the Chapter 24 Rate Ordinance on the next agenda or pull the Solid Waste Rate Ordinance and
vote on both items at the same time. It was determined that the Chapter 24 Code of Ordinance
would be discussed at the next meeting.
Gallivan commented that the increase in the cart service seemed excessive. Martin responded
that it has been determined that $4.6M is needed for solid waste operations. The rates were
based on several assumptions and will be fined tuned when the customer base has been defined.
Gallivan also reminded staff to be consistent when referring to cart sizes. In some instances
carts are referenced in gallons and in some instances by size small, medium or large.
Newell expressed several concerns as it relates to transitioning to cart service:
Page 1 of 3
Exhibit 7
1
2 Lack of Public Education on Cart Service
3 ADA Requirements, as it relates to making cart pickup service available to all
4 citizens
5 Development Code Requirements as it relates to cart pickup in older communities
6 Trash and Recycling scheduled for the same day and the difficulty of
7 maneuvering two carts
8 Potential traffic hazards along some heavily traveled but narrow streets.
9
10 Kemler responded that when and if the Council approves the transition to cart service, an intense
11 Public Education promotion will begin that will address her concerns. Kemler continued to say
12 the Solid Waste staff has been working with the Public Information Staff on educational
13 material. The FY 2005-2006 Budget is scheduled for approval September 20,
14 2005;implementation of cart service is scheduled to begin October 2005.
15
16 Bland asked if the bag distribution will be discontinued. Martin responded that clear bags will
17 continue to be distributed for yard waste.
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19 Newell called for a motion to approve the Solid Waste Rate Ordinance.
20
21 Bland moved to approve the Solid Waste Rate Ordinance contingent upon the passage of
22 the Chapter 24 Rate Changes that are scheduled to be presented at the next PUB meeting
23 with a second from Cheek. The motion was approved by a vote of 5 to O.
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25 Newell called for a motion to approve the Electric Rate Ordinance
26
27 Baines expressed concern regarding the impact the rate increases will have on individuals with
28 low and/or fixed incomes. The Board recalled its stated preference for some sort oflifeline rate.
29
30 Gallivan moved to approve the Electric Rate Ordinance with a second from Bland. The
31 motion was approved by a vote of 5 to O.
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33 Newell called for a motion to approve the Water Ordinance.
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35 Bland moved to approved the Water Rate Ordinance with a second from Cheek. The
36 motion was approved by a vote of 5 to O.
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38 Newell called for a motion to approve the Wastewater Ordinance.
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40 Cheek recommended that the rate for asphalt milling be increased from $8.00/cy to $lO.OO/cy
41 which is more reflective of the market rate.
42
43 Cheek moved to approve the Wastewater Ordinance contingent upon increasing the
44 asphalt milling price to $10.00/cy with a second from Bland. The motion was approved by
45 a vote of 5 to O.
46 Newell called for a motion to approve the Miscellaneous Rate Ordinance.
Page 2 of 3
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2 Cheek asked staff to request clarification from legal regarding use of the word "contractor" on
3 page 9, under the heading Interest Earned on Contract Retainage, is the appropriate usage. It
4 was discussed that "customer" may be the appropriate reference.
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6 Bland moved to approved the Miscellaneous Rate Ordinance with a second from Gallivan,
7 with clarification about the usage of "contractor." The motion was approved by a vote of 5
8 to O.
Page 3 of 3
AGENDA INFORMATION SHEET
AGENDA DATE:
September 20, 2005
DEPARTMENT:
Utilities Administration
Howard Martin, Utilities 349-8232 ..
ACM:
SUBJECT
Consider adoption of the Electric, Water, Wastewater, Solid Waste, Miscellaneous and Utility Engineering Rate
Ordinances. (The Public Utilities Board recommends approval 5-0.)
BACKGROUND
The proposed rate ordinances included in this agenda are designed to recover the cost of service
for each utility and provide a positive or breakeven net income.
During the budget presentations, the Council reviewed each Utilities budget and the proposed
rate changes that could be implemented to support the proposed FY 2005-06 budget and FY
2006-10 CIP. Included in the presentations was the increase in the Electric rates that were not
increased on January 1,2005. At Council's direction staff developed proposed base rate
increases for the remaining rate classes with the goal of having the overall impact of the changes
fall as close as possible to the 3.5% average increase previously applied to the residential,
commercial, and industrial classes. Wastewater rates were increased based on the direction
given by the PUB and Council during the FY 2004-05 budget presentations, which outlined
future rate increases. Staff has also developed a rate structure for Solid Waste that will support
once per week cart service and a Household Hazardous Waste program.
Also included in the attached rate ordinances is the Engineering Inspection Fees Ordinances. In
FY 2004-05 Engineering and the associated revenues were transferred to the Water Fund. Staff
has since included these fees in the annual rate ordinance review to the Public Utilities Board and
received approval. In the past these fees were in several different ordinances and not reviewed
on an annual basis. Staff has revised the current rates to reflect full cost recovery and combined
all engineering fees into one ordinance.
SUMMARY
No base rate increases are proposed for Water retail customers. The various Electric, Water
Wholesale, Wastewater and Solid Waste rate changes discussed during the budget review are
outlined in greater detail below. All changes have been highlighted in red in the attached
ordinances.
ELECTRIC RATE RECOMMENDATIONS
. Increase the Local Government Rate
Single-Phase Facility Charge from $15.15 to $15.80/bill
Three-Phase Facility Charge from $20.20 to $21.1 O/bill
Demand Charge from $6.31 to $6. 81/KW
Energy Charge from 3.03~ to 3.15~/KWH
. Increase the Weekend Rate
Single-Phase Facility Charge from $20.00 to $20.86/bill
Three-Phase Facility Charge from $25.00 to $26.08/bill
Demand Charge from $6.40 to $6.72/KW
Energy Charge from 6.75~ to 7.02~/KWH for the first 2,500 KWH
3.00~ to 3.67~/KWH for the next 3,500 KWH
2.65~ to 2.70~/KWH for all additional KWH
. Increase the Athletic Field Rate
Single-Phase Facility Charge from $20.20 to $21.07/bill
Three-Phase Facility Charge from $30.30 to $31.60/bill
Demand Charge from $4.70 to $4.94/KW for Peak Hours (June- September)
$1.11 to $1.17/KW for All Other Hours (June-September)
$1.11 to $1.17/KW for All Hours (October-May)
Energy Charge from 7.58~ to 7.96~/KWH for Peak Hours (June-September)
3.79~ to 3.98~/KWH for All Other Hours (June-September)
3.79~ to 3.98~/KWH for all additional KWH (October-May)
. Increase the Street Lighting Rate
LSA 100 W Sodium Vapor Facility Charge from $4.90 to $5. 15/bill
LSB 250 W Sodium Vapor Facility Charge from $6.95 to $730/bill
LSC 400 W Sodium Vapor Facility Charge from $8.75 to $9. 19/bill
. Increase the Traffic Lighting Rate and Other Lighting Rate
Energy Charge from 5.30~ to 5.62~/KWH
. Increase Security Lighting Rate
DSA 100 W Sodium Vapor Facility Charge from $7.75 to $8. 14/bill
DSB 250 W Sodium Vapor Facility Charge from $10.05 to $10.76/bill
DSC 400 W Sodium Vapor Facility Charge from $12.35 to $12.97/bill
DHA 250 W Metal Halide Facility Charge from $12.05 to $12.65/bill
DHB 400 W Metal Halide Facility Charge from $14.35 to $15.07/bill
. Increase the Downtown Decorative Lighting Rate
Facility Charge from $3.85 to $4.04/bill
. Add a Decorative Street Lighting Rate
Energy Charge 5.62~/KWH plus applicable ECA rate
. Temporary Service Schedule
Single-Phase Facility Charge from $15.15 to $15.80/bill
Three-Phase Facility Charge from $20.20 to $21.1 O/bill
Energy Charge from 6.77~ to 7.11~/KWH
. Add a Dark Fiber Rate
Fiber Mileage Charge
Building Presence Charge
Total Fiber Rate
$400/fiber pair/mile/month; and
$180/location/month
$580/fiber pair/mile/month/location
WATER RATE RECOMMENDATIONS
. Revise the Wholesale Raw Water Rate (WRW) applicable to Upper Trinity Regional
Water District (UTRWD). The FY 2005 City of Dallas raw water wholesale rate is
projected to be $0.4406/1,000 gallons, an increase of 9.51 % from the existing rate of
$0.3987/1,000 gallons. Denton's raw water wholesale rate to UTRWD, which is set at
85% of Dallas' raw water wholesale rate, will correspondingly increase from the existing
price of $0.3389/1,000 gallons to $0.3745/1,000 gallons. This rate is determined by the
terms of the raw water contract between Denton and UTRWD.
. Increase the rate for the pass-through raw water sent from Lake Chapman into Lake
Lewisville by the UTRWD per the Cooper Reservoir Project Contract and all "Chapman"
water reclaimed for reuse if discharged into and subsequently withdrawn from Lewisville
Lake by UTRWD or Lewisville. The rate will increase from $0.0207/1,000 gallons to
$.0212/1,000 gallons. The rate adjustment is determined by the consumer price index,
which as of June 30, 2005 is 2.5% over the same period last year.
W ASTEW A TER RATE RECOMMENDATIONS
. Increase all retail and wholesale facility, volume, and surcharges by 6% per the budget
proposal.
. Remove the Dyno Chips product-line as it is no longer produced.
. Add an Asphalt Milling rate of $8.00/cubic yard
SOLID WASTE RATE RECOMMENDATIONS
. Increase the residential cart rate for each cart size per the following:
1 cart servi ce
Large from $15.00 to $17.25
Medium from $13.00 to $16.50
Small from $12.00 to $15.75
2 cart servi ce
Large from $28.00 to $32.50
. Increase the rate for Residential Manual bagged pickup service from $17.75 to $19.00 for
those customers requiring manual pickup and reducing the number of pickups per week
from two to one.
. Increase the minimum billing rate from $11.70 to $15.00 for unoccupied residential
family units remaining vacant for a period greater than two months and maintaining other
utility services.
. Increase the residential construction materials rate from $50.00 to $60.00 for one cubic
yard or less and $10.00 for each additional cubic yard or part of a cubic yard.
. Increase the residential recycling rate from $2.99 to $3.50 to fund Household Hazardous
Waste.
. Establish a multifamily recycling rate of $1.75 per unit to fund recycling and Household
Hazardous Waste.
. Increase all the commercial collection services by an average of 5%.
. Remove Schedule SWP - Collection and Transportation Services Permit
. Include in the Sanitary Landfill Services the sale of excess sand, clay, mixed soil and
rock at the published rates.
MISCELLANEOUS RATE RECOMMENDATIONS
. Removal of the "Interest Earned on Contract Retainage" section of the Miscellaneous
Rate Ordinance since it is covered by state statute.
ENGINEERING INSPECTION FEES RECOMMENA TIONS
Right-of-Way Inspections
Overtime Inspections
$35.00
$50.00
to
to
$75.00
$90.00
These Right-of-Way and Overtime inspection fees were last updated in 1999 and did not reflect
full cost recovery at that time.
Parking Lot Inspections
1 - 50 spaces $100.00 to
51 - 100 spaces $200.00 to
101 - 250 spaces $300.00 to
251 - 500 spaces $400.00 to
$450.00
$600.00
$750.00
$900.00
Parking Lot Inspections were also last updated in FY 1999. The above increased fees are based
on the average number of trips to perform all inspections and the time allocated to those trips
multiplied by the proposed hourly rate of $75.00. Fees for appeals and variances to the Traffic
Safety Commission have been increased from $250.00 to $300.00.
Loading Zone Permits and Renewals
Single Loading Zone $132.00 to $175.00
Double Loading Zone $264.00 to $350.00
Loading Zone Permits were last updated in FY 1993.
Though the increases may seem excessive, the previous rates were not designed to fully recover
cost. The proposed fees have been adjusted to fully recovery inspection costs associated with
development, as are all other utilities rates.
OPTIONS
1. Approve the rates as recommended by the Public Utilities Board.
2. Recommend different rates than recommended by the Public Utilities Board.
RECOMMENDA TION
Staff recommends approval of the proposed ordinances.
PRIOR ACTIONIREVIEW (Council, Boards, Commission)
The Public Utilities Board recommended approval of the proposed rate ordinances on August 22,
2005 by a vote of 5-0.
FISCAL SUMMARY
The rates and charges included in the utility rate ordinances provide the revenues necessary to
cover the cost of service to customers.
EXHIBITS
1. FY 2005-06 Electric Rate Ordinance
2. FY 2005-06 Water Rate Ordinance
3. FY 2005-06 Wastewater Rate Ordinance
4. FY 2005-06 Solid Waste Rate Ordinance
5. FY 2005-06 Miscellaneous Rate Ordinance
6. FY 2005-06 Engineering Inspection Fees Ordinance
7. PUB Minutes
Respectfully submitted:
Howard Martin
ACM Utilities
ORDINANCE NO. 2005-
AN ORDINANCE AMENDING THE SCHEDULE OF WATER RATES CONTAINED IN
ORDINANCE NO. 2004-256 FOR WATER SERVICE AND WATER RATES; AMENDING
THE WHOLESALE RAW WATER SERVICE RATE TO UPPER TRINITY REGIONAL
WATER DISTRICT (SCHEDULE WRW); AMENDING THE WHOLESALE RAW WATER
PASS-THROUGH RATE FOR UPPER TRINITY REGIONAL WATER DISTRICT FROM
LAKE CHAPMAN INTO LAKE LEWISVILLE (SCHEDULE WCL); PROVIDING FOR A
REPEALER; PROVIDING FOR A SEVERABILITY CLAUSE; AND PROVIDING FOR AN
EFFECTIVE DATE.
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SEcnON 1 That the Rate Schedules for water service as provided for in Chapter 26 of
the Code of Ordinances, are amended to read as follows:
WATER RATE SCHEDULES
WR Residential Water Service
EAGE
2
WC CommerciallIndustrial Water Service Rate
6
WFH Metered Water From Fire Hydrant 9
WW2 Wholesale Treated Water Service to Upper Trinity Regional Water District 10
WRW Wholesale Raw Water Service to Upper Trinity Regional Water District 12
WCL Wholesale Raw Water Pass-Through to Upper Trinity Regional Water District 13
from Lake Chapman into Lake Lewisville
Water Tap and Meter Fees 14
Fire Hydrant Installation 16
Water Laboratory Testing Fees 17
Special Facilities Rider 18
Exhibit 2
SCHEDULE WR
RESIDENTIAl, WATER SERVICE
(Effective 1 % 1/05)
APPI JCA TION
Applicable for single-family residential service, and individually-metered apartments, mobile homes,
or multi-family facilities with less than four units, with or without wastewater service within the
corporate limits of the City of Denton, Texas. (WR)
Applicable for single-family residential service, and individually-metered apartments, mobile homes,
or multi-family facilities with less than four units outside the corporate limits of the City of Denton,
Texas with or without wastewater service. (WRO)
The rate is also applicable where the metered water is not returned to the wastewater system for
collection and treatment, i.e. lawn sprinkler or septic system. (WRN)
Not applicable to resale, temporary, standby, or supplementary service except in conjunction with
applicable rider.
MONTHT Y RA TE (WR) - RESIDENTIAl, WATER SERVICE;
AND MONTHLY RATE (WRN) - METERED WATER NOT RETURNED TO WASTEWATER
SYSTEM FOR COI .I ,ECTION AND TREA TMENT
(1) Facility Charge Per Bill
3/4" Meter $ 9.55
1" Meter $11.40
1-1/2" Meter $16.25
2" Meter $18.10
(2) Volume Charge RMe Per 1 000 G::Illons
,
RATE BIDCK PER 30 DAYS WINTER
SIMMER
Billing months of
NOV through APRIL
Billing months of
MAY through OCT
0-15,000 gals
15,001-30,000 gals
Over 30,000 gals
$2.60
$2.60
$2.60
$2.60
$3.50
$4.3 5
2
MONTHI Y RA TES (WRO) - WATER SERVICE 01 JTSTDE CORPORA TE I JMITS
MONTHI ,Y RA TE
(1)
Facility Charge
Per Bill
3/4" Meter
1" Meter
1-1/2" Meter
2" Meter
$11. 00
$13.10
$18.65
$20.80
(2)
Volume Charge
RMe Per 1 000 G::Illons
,
RA TE BI,OCK PER 10 DA YS WINTER
Sl JMMER
Billing months
NOV through APRIL
Billing months
MA Y through OCT
0-15,000 gals
15,001-30,000 gals
Over 30,000 gals
$3.00
$3.00
$3.00
$3.00
$4.05
$5.00
MTNTMl JM Brr J ,ING
Facility Charge.
PAYMENT
Bills are due when rendered, and become past due if not paid within fifteen (15) calendar days from
date of issuance.
SPECI A I, FA crr ,TTIES
All services which require special facilities in order to meet Customer's service requirements shall be
provided, subject to the Special Facilities Rider.
VOl JJME CHARGE
Billing for the water consumption shall be based on the gallon consumption during the billing period.
Formula:
G::Illons in rMe hlock x rate per 1,000 gal. in rate block
1000 gallons
3
PRORA TTON OF VOl HME HI,Of:KS
Billing for the summer period volume charges shall be based on water consumption in each rate block
and prorated using the following formula.
Formula:
Actual days in hilling period V I . th t bl k
x 0 ume III e ra e oc
30 days
RETAIL WATER RATES ONDER DROOGHT f:ONTTNGENf:Y PLAN f:ONDITTONS -
ORDTNANf:E NO 2000-00n
Under Stage 3 drought conditions, the following residential water rates shall apply for retail
customers. Residential customers shall be charged a 20% surcharge penalty for water usage greater
than 30,000 gallons per account per thirty (30) days.
STAGE 3 WR RATE BLOCKS PER THIRTY (30) DAYS
IJNDER DROIJGHT f:ONTTNGENf:YPI,AN
WTNTER
Billing months of
NOV through APRIL
SI JMMER
Billing months of
MAY through Of:T
0-15,000 gals
15,001-30,000 gals
Over 30,000 gals
$2.60
$2.60
$2.60
$2.60
$3.50
$5.22
STAGE 3 WRORATEBLOCKSPER THIRTY (30) DAYS
I JNDER DROI JGHT f:ONTTNGENf:Y PI ,AN
WTNTER
Billing months of
NOV through APRIL
SIMMER
Billing months of
MAY through Of:T
0-15,000 gals
15,001-30,000 gals
Over 30,000 gals
$3.00
$3.00
$3.00
$3.00
$4.05
$6.00
Under Stage 4 drought conditions, the following residential water rates shall apply for retail
customers. Residential customers shall be charged a 20% surcharge penalty for water usage greater
than 15,000 gallons per account per thirty (30) days.
4
STAGE 4 WR RATE BLOCKS PER THIRTY (30) DAYS
IJNDER DROIJGHT CONTINGENCYPI,AN
WINTER
Billing months of
NOV through APRIL
0-15,000 gals
15,001-30,000 gals
Over 30,000 gals
$2.60
$2.60
$2.60
STAGE 4 WRORATEBLOCKSPER THIRTY (30) DAYS
IJNDER DROIJGHT CONTINGENCYPI,AN
WINTER
Billing months of
NOV through APRIL
0-15,000 gals
15,001-30,000 gals
Over 30,000 gals
$3.00
$3.00
$3.00
5
SIMMER
Billing months of
MAY through OCT
$2.60
$4.20
$5.22
Sl JMMER
Billing months of
MAY through OCT
$3.00
$4.86
$6.00
SCHEDULE WC
COMMERCTALlTNDlJSTRTAL WATER SERVICE RA TE
(Effective 1 % 1/05)
APPT JCA nON
Applicable to all commercial and industrial users, or other water users not otherwise classified under
this ordinance, for all water provided at one point of delivery and measured through one meter. (WC)
Applicable for all commercial and industrial users or other users not otherwise classified under this
ordinance outside of the corporate limits of the City of Denton for all water service provided at one
point of delivery and measured through one meter, with or without wastewater service. (WCO)
Also applicable where the metered water is not returned to the wastewater system for collection and
treatment, i.e. water used in production or irrigation or where the wastewater flow is measured
separately. (WCN)
Not applicable to resale service in any event, nor to temporary, standby, or supplementary service
except in conjunction with applicable rider.
MONTHT Y RA TE (WC) :'Inti (WCN)
(1) Facility Charge
Per Bill
3/4" Meter
I" Meter
1-l/2" Meter
2" Meter
3 " Meter
4" Meter
6" Meter
8" Meter
10" Meter
$20.20
$22.20
$25.75
$31.65
$66.25
$122.50
$153.00
$178.00
$214.00
(2) Volume Charge
$2.87 per 1,000 gallons
MONTHT Y RA TE (WCO) - OlJTSIDE CORPORA TE T JMTTS
(1) Facility Charge Per Bill
3/4" Meter $21.50
1" Meter $23.50
1-1/2" Meter $29.60
2" Meter $34.50
3" Meter $75.00
6
4" Meter
6" Meter
8" Meter
10" Meter
$141.00
$176.00
$205.00
$247.00
(2) Volume Charge
$3.25 per 1,000 gallons
MTNTMl JM BIT J JNG
Facility Charge.
PAYMENT
Bills are due when rendered, and become past due if not paid within fifteen (15) calendar days from
date of issuance.
SPECI A I, F ACIT ,TTIES
All services which require special facilities in order to meet Customer's service requirements shall be
provided, subject to the Special Facilities Rider.
VOl .lJME CHARGE
Billing for the water consumption shall be based on the consumption during the billing period.
Formula:
Gallons consumption x Rate per 1,000 gallons
1,000
COMMERCTATJTNDTTSTRTAL WATER RATES (WC/WCN) TTNDER DROTTGHT
CONTINGENCY PI ,A N CONDITIONS - ORDINANCE NO 2000-00n
Under Stage 3 drought conditions, the following commercial/industrial water rates shall apply for
retail customers. CommerciallIndustrial customers shall be charged a 20% surcharge penalty for
water usage above 80% of prior billing volumes per account per thirty (30) days.
STAGE 3 WC/WCN RATE BLOCKS PER THIRTY (30) DAYS
ITNDER DROIJGHT CONTINGENCYPI,AN
Volume Rate for under 80% volumes
$2.87/1,000 Gallons
Volume Rate for volume over 80%
of Prior Billing Volumes
$3.44/1,000 Gallons
7
Under Stage 4 drought conditions, the following commercial/industrial water rates shall apply for
retail customers. CommerciallIndustrial customers shall be charged a 20% surcharge penalty for
water usage above 70% of prior billing volumes per account per thirty (30) days.
STAGE 4 WC/WCN RATE BLOCKS PER THIRTY (30) DAYS
lJNDER DROlJGHT CONTINGENCYPI,AN
Volume Rate for under 70% volumes
$2.87/1,000 Gallons
Volume Rate for volume over 70%
of Prior Billing Volumes
$3.44/1,000 Gallons
COMMERCIALlTNDlJSTRIAL WATER RATES (WCO) lJNDER DROlJGHT CONTINGENCY
PLAN CONDITIONS - ORDINANCE NO 2000-00n
Under Stage 3 drought conditions, the following commercial/industrial water rates shall apply for
retail customers. CommerciallIndustrial customers shall be charged a 20% surcharge penalty for
water usage above 80% of prior billing volumes per account per thirty (30) days.
STAGE 3 WCORATEBLOCKSPER THIRTY (30) DAYS
lJNDER DROlJGHT CONTINGENCYPI,AN
Volume Rate for under 80% volumes
$3.25/1,000 Gallons
Volume Rate for volume over 80%
of Prior Billing Volumes
$3.90/1,000 Gallons
Under Stage 4 drought conditions, the following commercial/industrial water rates shall apply for
retail customers. CommerciallIndustrial customers shall be charged a 20% surcharge penalty for
water usage above 70% of prior billing volumes per account per thirty (30) days.
STAGE 4 WCORATEBLOCKSPER THIRTY (30) DAYS
1 JNDER DROl JGHT CONTINGENCY PI ,AN
Volume Rate for under 70% volumes
$3.25/1,000 Gallons
Volume Rate for volume over 70%
of Prior Billing Volumes
$3.90/1,000 Gallons
8
SCHEDULE WFH
METERED WATER FROM FIRE HYDRANT
(Effective 1 % 1/05)
APPT ,IrA nON
Applicable for all water taken through a fire hydrant or other direct distribution line source at one
location for private or commercial use not associated with fire fighting. Customers must complete,
sign, and agree to all terms and conditions stated in the "Fire Hydrant Meter Use Agreement."
DEPOSTT
$800.00 per meter
User shall place a deposit each time a City's hydrant meter(s) is requested. Deposit will be returned
when meter is returned and final bill is paid.
NET RATE
Volume Charge
$3.33 per 1,000 gallons
Monthly volume shall be computed by subtracting the beginning meter reading from the ending meter
reading divided by 1,000, and multiplied times the volume charge, upon the monthly return of the
meter to the Water Department for reading. Per the "Fire Hydrant Meter Use Agreement", failure by
the Customer to return the meter to water utilities by the 3rd day of each month for reading, results in
acceptance by the Customer to pay a monthly billing equal to 100,000 gallons of water usage for the
month.
Facility Charge
$66.25 per bill
PAYMENT
Bills are due when rendered, and become past due if not paid within fifteen (15) calendar days from
date of issuance.
9
SCHEDULE WW2
WHOLESALE TREATED WATER SERVICE
TO UPPER TRINITY REGIONAl, WATER DISTRICT
(Effective 1 % 1/05)
APPI JCA nON
Applicable to all wholesale treated water sales from the City of Denton, Texas to the Upper Trinity
Regional Water District (UTRWD).
Not applicable for temporary, standby, or supplementary service.
MONTHT Y CHARGES
The monthly charge for service shall be expressed as a facility charge, a volume price per 1,000
gallons and a demand price per million gallons per day (MGD) of demand.
(WW2) (1) Facility Charge
$176.00 per bill
(2) Water Volume Rate
$0.34 per 1,000 gallons
(WD2) (3) Subscribed Demand Rate
$406,10700 per MGD (Annual)
12 (Paid Monthly)
*Full Payment of Annual Water Demand Adjustments:
As determined in the last month of each fiscal year (September), if any outstanding or unpaid
annual water demand adjustment charges exist, they shall be included in their entirety on the
monthly billing for the following month of October. Water demand adjustment charges shall
be billed and payable in full, in accordance with the bill payment delinquency provisions
provided for below.
MTNTMT JM BIT .I ,ING
The minimum monthly billing shall be the sum of the monthly facility charge plus the monthly
subscribed demand rate charge.
WATER DEMAND
The demand will be billed on a monthly basis at the Water Demand Rate for the subscribed MGD
water demand level. Annual water demand charges will be retroactively adjusted up beginning in
June for each water year, if anytime during the fiscal year the actual peak demand required, as
established by the highest rate of flow controller setting for anyone day during the fiscal year, is
greater than the peak demand subscribed during the fiscal year. If the actual peak demand has an
increased daily volume between .05 and .10 MGD from the subscribed demand (50,000 - 100,000
10
gallons per day), the annual water demand charge will be adjusted up and billed at the actual peak
demand level.
BIT J, PAYMENT DET JNQl JENCY
Bills shall be due and payable when rendered. Bills are considered delinquent if not paid within
twenty (20) calendar days of the date a bill for service is rendered. There shall be a ten (10%) percent
per annum interest charge on the amount due, from the date when due until paid, if not paid within
twenty (20) calendar days of the date a bill for service is rendered.
11
SCHEDULE WRW
WHOLESALE RAW WATER SERVICE TO
UPPER TRTNTTYREGTONAL WATER DTSTRTCT
(Effective 1 % 1/05)
APPT JCA nON
Applicable to all raw water sales from the City of Denton, Texas to the Upper Trinity Regional Water
District (UTRWD), per the Interim Sale of Wholesale Raw Water Contract.
MONTHT Y CHARGES
The monthly charge for service shall be expressed as a volume price per 1,000 gallons.
Volume Charge:
$0.3745 per 1,000 gallons
PAYMENT
Denton shall render bills by the tenth (10th) day of each month. Bills shall be due and payable within
twenty (20) calendar days of the date a bill is rendered.
BIT J, PAYMENT DET ,TNQT JENCY
Bills shall be due and payable when rendered. Bills are considered delinquent if not paid within 20
calendar days of the date a bill for service is rendered. There shall be a ten (10%) percent per annum
interest charge on the amount due, from the date when due until paid, if not paid within twenty (20)
calendar days of the date a bill for service is rendered.
12
SCHEDULE WCL
WHOLESALE RAW WATER P ASS-THROUGH TO
UPPER TRINITY REGIONAL WATER DISTRICT
FROMT,AKE CHAPMANTNTO T,AKE T,EWTSVTTJ,E
(Effective 1 % 1/05)
APPT JCA nON
Applicable to all pass-through raw water sent from Lake Chapman into Lake Lewisville by the Upper
Trinity Regional Water District (UTRWD) per the Cooper Reservoir Project Contract, as well as, all
Lake Chapman water reclaimed for reuse if discharged into and subsequently withdrawn from
Lewisville Lake by UTRWD or Lewisville pursuant to a reuse permit or other appropriate regulatory
authorization.
MONTHT Y CHARGES
The monthly charge for service shall be expressed as a volume price per 1,000 gallons.
Volume Charge:
$0.0212 per 1,000 gallons
PAYMENT
Denton shall render bills monthly. Bills shall be due and payable within twenty (20) calendar days of
the date a bill for service is rendered.
BIT .I, PAYMENT DET ,TNQT JENCY
Bills shall be due and payable when rendered. Bills are considered delinquent if not paid within
twenty (20) calendar days of the date a bill for service is rendered. There shall be a ten (10%) percent
per annum interest charge on the amount due, from the date when due until paid, if not paid within
twenty (20) calendar days of the date a bill for service is rendered.
13
WATER TAP AND METER FEES
(Effective 1 % 1/05)
APPI JCA nON
This schedule applies to the installation, removal, or relocation of water taps and meters by the City of
Denton Utility Department at the request of a person, firm, association or corporation.
TAP AND METER FEES
Any person, association of persons, or corporation that requests that a water main tap, water meter or
water meter loop, be removed, installed, or relocated by the Utility Department shall pay in advance to
the Utility Department the following applicable fees:
WATER TAPS WITH METER
Size of Tap and Meter
Paved Street
1 Jnpaved Street
3/4 inch
1 inch
1 1Iz inch
2 inch
$1,410.00
$1,625.00
$2,055.00
$2,275.00
$595.00
$730.00
$1,085.00
$1,410.00
WATER METER FEES
Size of Meter
3/4 inch $305.00
1 inch$375.00
1 1Iz inch$490.00
2 inch$630.00
WATER METER REI DCA nONS
Size of Meter Relocation of 10 Feet or I,ess
3/4 inch $285.00
1 inch$285.00
1 1Iz inch $340.00
2 inch$390.00
14
WATER TJNE TAPS
Size of Tap
Paved Street
1 Jnpaved Street
4 inch
6 inch
8 inch
12 inch
$2,705.00
$2,920.00
$3,895.00
$4,865.00
$1,625.00
$1,895.00
$2,815.00
$3,730.00
FEES FOR TNST A T J ,A nONS NOT T JSTED
For the installation of a tap, loop or meter for which a fee is not specified, the requestor shall pay in
advance a 50% deposit based upon the estimated cost of such installation, or similar work, plus an
administrative charge of 20%. Upon completion of the installation, the applicant shall be billed at
actual cost, as determined by the Utility Department, plus a 20% administrative charge.
The installation charges may be waived by the Utility Department for a request to install taps
exclusively dedicated to fire sprinkler systems.
15
FIRE HYDRANT INSTALLATION
(Effective 1 % 1/05)
APPT .leA nON
This schedule applies to the installation, removal, or relocation of fire hydrants by the City of
Denton Utility Department at the request of a person, firm, association or corporation.
FIRE HYDR A NT TNST AT .I ,A nON FEES
Any person, association of persons, or corporation that requests that a fire hydrant be removed,
installed, or relocated by the Utility Department shall pay in advance to the Utility Department the
following applicable fees:
Fire Hyanmt Tnst::lll::Jtion
P::Ivea Street
T Tnp::Ivea Street
Installation Fee
$5,030.00
$3,085.00
FEES FOR TNST A T J ,A nONS NOT T JSTED
For the installation of a fire hydrant for which a fee is not specified, the requestor shall pay in
advance a 50% deposit based upon the estimated cost of such installation, or similar work, plus an
administrative charge of 20%. Upon completion of the installation, the applicant shall be billed at
actual cost, as determined by the Utility Department, plus a 20% administrative fee.
16
WATER T ,ARORA TORY TESTING FEES
(Effective 1 % 1/05)
APPT .leA nON
Applicable to all customers and entities requesting testing and analysis services from the City of
Denton W ater/W astewater Laboratory.
RATE
Fee Descn pti on
Fee Per Test
Colilert (P/ A)
Colilert (P/ A) Quantitray
Total Coliform Analysis (MPN)
Heterotrophic Plate Counts (HPC)
Fecal Coliform (MF)
$20.00
$20.00
$45.00
$25.00
$30.00
Records Search
$25.00/hour
The testing and analysis fees are established to recover the cost of testing water and wastewater
samples.
MTNTMT JM BIT J JNG
$20.00 - Testing
$25.00 - Records Search
PAYMENT
Bills are due when rendered, and become past due if not paid within fifteen (15) calendar days from
date of issuance.
17
SPECIAL FACILITIES RIDER
(Effective 1 % 1/05)
All service shall be offered from available facilities. If a Customer service request for a special or
unusual service not otherwise provided for by the water rate ordinance, and/or requires facilities or
devices which are not normally and readily available at the location at which the Customer requests
the service, then the City shall provide the service subject to the requirements of paragraph 2 of this
Rider.
The total cost of all facilities required to meet the Customer's special requirements, which are incurred
by the City in connection with rendering the service shall be subject to a special contract entered into
between the Water Utility Department and the Customer. This contract shall be signed by both parties
prior to the City providing the requested service to the Customer.
18
SEc:nON 2 That all ordinances or parts of ordinances in force when the provisions of this
ordinance became effective which are inconsistent or in conflict with the terms of provisions
contained in the amended schedule of rates hereby enacted by this ordinance, are hereby repealed to
the extent of any such conflict.
SEc:nON ') That if any section, subsection, paragraph, sentence, clause, phrase or word in
this ordinance, or application thereof to any person or circumstances is held invalid by any court of
competent jurisdiction, such holding shall not affect the validity of the remaining portions of this
ordinance, and the City Council of the City of Denton, Texas, hereby declares it would have enacted
such remaining portions despite any such invalidity.
SEc:nON 4 That the Schedule of Rates herein adopted shall be effective, charged and
applied to all water consumption occurring on and after October 1, 2005; and a copy of said rates,
fees, and charges shall be maintained on file in the Office of the City Secretary of Denton, Texas.
PASSED AND APPROVED this the
day of
2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
By:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
By:
19
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CITY OF DENTON, TEXAS
PUBLIC UTILITIES BOARD MEETING AGENDA
FOR AUGUST 22, 2005
9:00 A. M.
DRAFT
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After determining that a quorum of the Public Utilities Board of the City of Denton, Texas was
present, the Public Utilities Board convened into an Open Meeting on Monday, August 22,2005
at 9:00 a.m. in the Service Center Training Room, City of Denton Service Center, 901-A Texas
Street, Denton, Texas.
Present:
Bob Bland, John Baines, Bill Cheek, Phil Gallivan, Charldean Newell,
EX OFFICIO MEMBERS
Michael Conduff, City Manager
Howard Martin, ACM. /Utilities
Excused:
Dick Smith
George Hopkins
ITEMS FOR INDIVIDUAL CONSIDERATION:
6) Consider recommending approval of the Electric, Water, Wastewater, Solid Waste, and
Miscellaneous Rate Ordinances for FY 2005-06.
Howard Martin, ACM Utilities, reported to the Board that staff is requesting approval of Utility
Rate Ordinances that reflect changes in support of the FY 2005-06 Budget. Martin explained
that the Chapter 24 Code of Ordinance was not included in the backup material. Martin wanted
to know how the Board wanted to proceed, that is, whether Board Members wanted staff to place
the Chapter 24 Rate Ordinance on the next agenda or pull the Solid Waste Rate Ordinance and
vote on both items at the same time. It was determined that the Chapter 24 Code of Ordinance
would be discussed at the next meeting.
Gallivan commented that the increase in the cart service seemed excessive. Martin responded
that it has been determined that $4.6M is needed for solid waste operations. The rates were
based on several assumptions and will be fined tuned when the customer base has been defined.
Gallivan also reminded staff to be consistent when referring to cart sizes. In some instances
carts are referenced in gallons and in some instances by size small, medium or large.
Newell expressed several concerns as it relates to transitioning to cart service:
Page 1 of 3
Exhibit 7
1
2 Lack of Public Education on Cart Service
3 ADA Requirements, as it relates to making cart pickup service available to all
4 citizens
5 Development Code Requirements as it relates to cart pickup in older communities
6 Trash and Recycling scheduled for the same day and the difficulty of
7 maneuvering two carts
8 Potential traffic hazards along some heavily traveled but narrow streets.
9
10 Kemler responded that when and if the Council approves the transition to cart service, an intense
11 Public Education promotion will begin that will address her concerns. Kemler continued to say
12 the Solid Waste staff has been working with the Public Information Staff on educational
13 material. The FY 2005-2006 Budget is scheduled for approval September 20,
14 2005;implementation of cart service is scheduled to begin October 2005.
15
16 Bland asked if the bag distribution will be discontinued. Martin responded that clear bags will
17 continue to be distributed for yard waste.
18
19 Newell called for a motion to approve the Solid Waste Rate Ordinance.
20
21 Bland moved to approve the Solid Waste Rate Ordinance contingent upon the passage of
22 the Chapter 24 Rate Changes that are scheduled to be presented at the next PUB meeting
23 with a second from Cheek. The motion was approved by a vote of 5 to O.
24
25 Newell called for a motion to approve the Electric Rate Ordinance
26
27 Baines expressed concern regarding the impact the rate increases will have on individuals with
28 low and/or fixed incomes. The Board recalled its stated preference for some sort oflifeline rate.
29
30 Gallivan moved to approve the Electric Rate Ordinance with a second from Bland. The
31 motion was approved by a vote of 5 to O.
32
33 Newell called for a motion to approve the Water Ordinance.
34
35 Bland moved to approved the Water Rate Ordinance with a second from Cheek. The
36 motion was approved by a vote of 5 to O.
37
38 Newell called for a motion to approve the Wastewater Ordinance.
39
40 Cheek recommended that the rate for asphalt milling be increased from $8.00/cy to $lO.OO/cy
41 which is more reflective of the market rate.
42
43 Cheek moved to approve the Wastewater Ordinance contingent upon increasing the
44 asphalt milling price to $10.00/cy with a second from Bland. The motion was approved by
45 a vote of 5 to O.
46 Newell called for a motion to approve the Miscellaneous Rate Ordinance.
Page 2 of 3
1
2 Cheek asked staff to request clarification from legal regarding use of the word "contractor" on
3 page 9, under the heading Interest Earned on Contract Retainage, is the appropriate usage. It
4 was discussed that "customer" may be the appropriate reference.
S
6 Bland moved to approved the Miscellaneous Rate Ordinance with a second from Gallivan,
7 with clarification about the usage of "contractor." The motion was approved by a vote of 5
8 to O.
Page 3 of 3
AGENDA INFORMATION SHEET
AGENDA DATE:
September 20, 2005
DEPARTMENT:
Utilities Administration
Howard Martin, Utilities 349-8232 ..
ACM:
SUBJECT
Consider adoption of the Electric, Water, Wastewater, Solid Waste, Miscellaneous and Utility Engineering Rate
Ordinances. (The Public Utilities Board recommends approval 5-0.)
BACKGROUND
The proposed rate ordinances included in this agenda are designed to recover the cost of service
for each utility and provide a positive or breakeven net income.
During the budget presentations, the Council reviewed each Utilities budget and the proposed
rate changes that could be implemented to support the proposed FY 2005-06 budget and FY
2006-10 CIP. Included in the presentations was the increase in the Electric rates that were not
increased on January 1,2005. At Council's direction staff developed proposed base rate
increases for the remaining rate classes with the goal of having the overall impact of the changes
fall as close as possible to the 3.5% average increase previously applied to the residential,
commercial, and industrial classes. Wastewater rates were increased based on the direction
given by the PUB and Council during the FY 2004-05 budget presentations, which outlined
future rate increases. Staff has also developed a rate structure for Solid Waste that will support
once per week cart service and a Household Hazardous Waste program.
Also included in the attached rate ordinances is the Engineering Inspection Fees Ordinances. In
FY 2004-05 Engineering and the associated revenues were transferred to the Water Fund. Staff
has since included these fees in the annual rate ordinance review to the Public Utilities Board and
received approval. In the past these fees were in several different ordinances and not reviewed
on an annual basis. Staff has revised the current rates to reflect full cost recovery and combined
all engineering fees into one ordinance.
SUMMARY
No base rate increases are proposed for Water retail customers. The various Electric, Water
Wholesale, Wastewater and Solid Waste rate changes discussed during the budget review are
outlined in greater detail below. All changes have been highlighted in red in the attached
ordinances.
ELECTRIC RATE RECOMMENDATIONS
. Increase the Local Government Rate
Single-Phase Facility Charge from $15.15 to $15.80/bill
Three-Phase Facility Charge from $20.20 to $21.1 O/bill
Demand Charge from $6.31 to $6. 81/KW
Energy Charge from 3.03~ to 3.15~/KWH
. Increase the Weekend Rate
Single-Phase Facility Charge from $20.00 to $20.86/bill
Three-Phase Facility Charge from $25.00 to $26.08/bill
Demand Charge from $6.40 to $6.72/KW
Energy Charge from 6.75~ to 7.02~/KWH for the first 2,500 KWH
3.00~ to 3.67~/KWH for the next 3,500 KWH
2.65~ to 2.70~/KWH for all additional KWH
. Increase the Athletic Field Rate
Single-Phase Facility Charge from $20.20 to $21.07/bill
Three-Phase Facility Charge from $30.30 to $31.60/bill
Demand Charge from $4.70 to $4.94/KW for Peak Hours (June- September)
$1.11 to $1.17/KW for All Other Hours (June-September)
$1.11 to $1.17/KW for All Hours (October-May)
Energy Charge from 7.58~ to 7.96~/KWH for Peak Hours (June-September)
3.79~ to 3.98~/KWH for All Other Hours (June-September)
3.79~ to 3.98~/KWH for all additional KWH (October-May)
. Increase the Street Lighting Rate
LSA 100 W Sodium Vapor Facility Charge from $4.90 to $5. 15/bill
LSB 250 W Sodium Vapor Facility Charge from $6.95 to $730/bill
LSC 400 W Sodium Vapor Facility Charge from $8.75 to $9. 19/bill
. Increase the Traffic Lighting Rate and Other Lighting Rate
Energy Charge from 5.30~ to 5.62~/KWH
. Increase Security Lighting Rate
DSA 100 W Sodium Vapor Facility Charge from $7.75 to $8. 14/bill
DSB 250 W Sodium Vapor Facility Charge from $10.05 to $10.76/bill
DSC 400 W Sodium Vapor Facility Charge from $12.35 to $12.97/bill
DHA 250 W Metal Halide Facility Charge from $12.05 to $12.65/bill
DHB 400 W Metal Halide Facility Charge from $14.35 to $15.07/bill
. Increase the Downtown Decorative Lighting Rate
Facility Charge from $3.85 to $4.04/bill
. Add a Decorative Street Lighting Rate
Energy Charge 5.62~/KWH plus applicable ECA rate
. Temporary Service Schedule
Single-Phase Facility Charge from $15.15 to $15.80/bill
Three-Phase Facility Charge from $20.20 to $21.1 O/bill
Energy Charge from 6.77~ to 7.11~/KWH
. Add a Dark Fiber Rate
Fiber Mileage Charge
Building Presence Charge
Total Fiber Rate
$400/fiber pair/mile/month; and
$180/location/month
$580/fiber pair/mile/month/location
WATER RATE RECOMMENDATIONS
. Revise the Wholesale Raw Water Rate (WRW) applicable to Upper Trinity Regional
Water District (UTRWD). The FY 2005 City of Dallas raw water wholesale rate is
projected to be $0.4406/1,000 gallons, an increase of 9.51 % from the existing rate of
$0.3987/1,000 gallons. Denton's raw water wholesale rate to UTRWD, which is set at
85% of Dallas' raw water wholesale rate, will correspondingly increase from the existing
price of $0.3389/1,000 gallons to $0.3745/1,000 gallons. This rate is determined by the
terms of the raw water contract between Denton and UTRWD.
. Increase the rate for the pass-through raw water sent from Lake Chapman into Lake
Lewisville by the UTRWD per the Cooper Reservoir Project Contract and all "Chapman"
water reclaimed for reuse if discharged into and subsequently withdrawn from Lewisville
Lake by UTRWD or Lewisville. The rate will increase from $0.0207/1,000 gallons to
$.0212/1,000 gallons. The rate adjustment is determined by the consumer price index,
which as of June 30, 2005 is 2.5% over the same period last year.
W ASTEW A TER RATE RECOMMENDATIONS
. Increase all retail and wholesale facility, volume, and surcharges by 6% per the budget
proposal.
. Remove the Dyno Chips product-line as it is no longer produced.
. Add an Asphalt Milling rate of $8.00/cubic yard
SOLID WASTE RATE RECOMMENDATIONS
. Increase the residential cart rate for each cart size per the following:
1 cart servi ce
Large from $15.00 to $17.25
Medium from $13.00 to $16.50
Small from $12.00 to $15.75
2 cart servi ce
Large from $28.00 to $32.50
. Increase the rate for Residential Manual bagged pickup service from $17.75 to $19.00 for
those customers requiring manual pickup and reducing the number of pickups per week
from two to one.
. Increase the minimum billing rate from $11.70 to $15.00 for unoccupied residential
family units remaining vacant for a period greater than two months and maintaining other
utility services.
. Increase the residential construction materials rate from $50.00 to $60.00 for one cubic
yard or less and $10.00 for each additional cubic yard or part of a cubic yard.
. Increase the residential recycling rate from $2.99 to $3.50 to fund Household Hazardous
Waste.
. Establish a multifamily recycling rate of $1.75 per unit to fund recycling and Household
Hazardous Waste.
. Increase all the commercial collection services by an average of 5%.
. Remove Schedule SWP - Collection and Transportation Services Permit
. Include in the Sanitary Landfill Services the sale of excess sand, clay, mixed soil and
rock at the published rates.
MISCELLANEOUS RATE RECOMMENDATIONS
. Removal of the "Interest Earned on Contract Retainage" section of the Miscellaneous
Rate Ordinance since it is covered by state statute.
ENGINEERING INSPECTION FEES RECOMMENA TIONS
Right-of-Way Inspections
Overtime Inspections
$35.00
$50.00
to
to
$75.00
$90.00
These Right-of-Way and Overtime inspection fees were last updated in 1999 and did not reflect
full cost recovery at that time.
Parking Lot Inspections
1 - 50 spaces $100.00 to
51 - 100 spaces $200.00 to
101 - 250 spaces $300.00 to
251 - 500 spaces $400.00 to
$450.00
$600.00
$750.00
$900.00
Parking Lot Inspections were also last updated in FY 1999. The above increased fees are based
on the average number of trips to perform all inspections and the time allocated to those trips
multiplied by the proposed hourly rate of $75.00. Fees for appeals and variances to the Traffic
Safety Commission have been increased from $250.00 to $300.00.
Loading Zone Permits and Renewals
Single Loading Zone $132.00 to $175.00
Double Loading Zone $264.00 to $350.00
Loading Zone Permits were last updated in FY 1993.
Though the increases may seem excessive, the previous rates were not designed to fully recover
cost. The proposed fees have been adjusted to fully recovery inspection costs associated with
development, as are all other utilities rates.
OPTIONS
1. Approve the rates as recommended by the Public Utilities Board.
2. Recommend different rates than recommended by the Public Utilities Board.
RECOMMENDA TION
Staff recommends approval of the proposed ordinances.
PRIOR ACTIONIREVIEW (Council, Boards, Commission)
The Public Utilities Board recommended approval of the proposed rate ordinances on August 22,
2005 by a vote of 5-0.
FISCAL SUMMARY
The rates and charges included in the utility rate ordinances provide the revenues necessary to
cover the cost of service to customers.
EXHIBITS
1. FY 2005-06 Electric Rate Ordinance
2. FY 2005-06 Water Rate Ordinance
3. FY 2005-06 Wastewater Rate Ordinance
4. FY 2005-06 Solid Waste Rate Ordinance
5. FY 2005-06 Miscellaneous Rate Ordinance
6. FY 2005-06 Engineering Inspection Fees Ordinance
7. PUB Minutes
Respectfully submitted:
Howard Martin
ACM Utilities
ORDINANCE NO. 2005-
AN ORDINANCE AMENDING THE SCHEDULE OF WASTEWATER RATES CONTAINED
IN ORDINANCE NO. 2004-257 FOR WASTEWATER SERVICE; AMENDING THE
RESIDENTIAL WASTEWATER SERVICE - FACILITY CHARGE AND VOLUME CHARGE
(SCHEDULE SR); AMENDING THE MOBILE HOME PARK - FACILITY CHARGE AND
VOLUME CHARGE (SCHEDULE SMH); AMENDING THE COMMERCIAL/INDUSTRIAL
WASTEWATER SERVICE - FACILITY CHARGE, VOLUME CHARGE, PRETREATMENT
PROGRAM CHARGE, SAMPLING AND ANALYSIS CHARGE, AND SURCHARGE;
(SCHEDULE SC); AMENDING THE COMMERCIAL/INDUSTRIAL WASTEWATER
SERVICE RATE WHICH MEASURES WITH DEDICATED METERS (SUB-METERS)
WATER FOR WASTEWATER BILLING - FACILITY CHARGE, VOLUME CHARGE AND
SURCHARGE (SCHEDULE SCD); AMENDING THE COMMERCIAL/INDUSTRIAL
WASTEWATER SERVICE RATE WHICH MEASURES WITH DEDICATED METERS (SUB-
METERS) WATER EXCLUDED FROM WASTEWATER BILLING - FACILITY CHARGE
AND SURCHARGE (SCHEDULE SCS); AMENDING THE EQUIPMENT SERVICES
FACILITIES AND RESTAURANTS AND FOOD SERVICE ESTABLISHMENT - FACILITY
CHARGE, VOLUME CHARGE, PRETREATMENT PROGRAM CHARGE, SAMPLING AND
ANALYSIS CHARGE, AND SURCHARGE (SCHEDULE SEE); AMENDING THE METERED
WASTEWATER INSIDE AND OUTSIDE CORPORATE LIMITS - FACILITY CHARGE,
VOLUME CHARGE, PRETREATMENT PROGRAM CHARGE, SAMPLING AND ANALYSIS
CHARGE, AND SURCHARGE (SCHEDULE SM); AMENDING THE WHOLESALE
WASTEWATER TREATMENT SERVICE FOR A GOVERNMENTAL AGENCY, DIVISION,
OR SUBDIVISION - FACILITY CHARGE, PRETREATMENT PROGRAM CHARGE,
VOLUME CHARGE, SAMPLING AND ANALYSIS CHARGE, AND SURCHARGE
(SCHEDULE SSC); REMOVING THE DYNO CHIPS RATE AND ADDING AN ASHPHALT
MILLINGS RATE (SCHEDULE CWM); PROVIDING FOR A REPEALER; PROVIDING FOR
A SEVERABILITY CLAUSE; AND PROVIDING FOR AN EFFECTIVE DATE.
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SEcnON 1 That the Rate Schedules for wastewater service as provided for in Chapter 26 of the
Code of Ordinances, are amended to read as follows:
1
EXHIBIT 3
WASTEWATER RATE SCHEDULES
SR Residential Wastewater Service 3
SMH Mobile Home Park Wastewater Service 6
SC Commercial and Industrial Wastewater Service 9
SCD CommerciallIndustrial Wastewater Service Which Measures With 13
Dedicated Water Meters (Sub-meters); Water For Wastewater Billing
SCS CommerciallIndustrial Wastewater Service Which Measures With 15
Dedicated Water Meters (Sub-meters); Water Excluded From Wastewater Billing
SEE Equipment Services Facilities and Restaurants & Food 17
Service Establishments Wastewater Service
SM Metered Wastewater Inside and Outside Corporate Limits
20
SGE Sale of Treated Wastewater Effluent
22
SSC Wholesale Wastewater Treatment Service for a
Governmental Agency, Division or Subdivision
24
CWM DYNO Dirt Products
26
GBL Grass, Brush, and Leaves
28
ST Wastewater Tap Fees
29
STE Treated Effluent Wastewater Tap Fees
30
OSSF On-Site Sewage Facility Fees
31
SD
Storm Drainage Fees
32
Special Facilities Rider
34
2
SCHEDULE SR
RESIDENTIAl, W A STEW A TER SERVICE
(Effective 10/1/05)
APPI .If: A TION
Applicable for single-family residential service, and individually metered apartments or mobile
homes or multi-family facilities with less than four (4) units. Also applicable for wastewater service
without City of Denton, Texas water service.
Not applicable for sub-billing or other utility billing by service user in any event.
MONTHT Y RA TES (SR) - WITH f:TTY OF DENTON WATER SERVTf:E
(1) Facility Charge
$7.45/bill
(2) Volume Charge
$2.85/1,000 gallons effluent
MONTHT Y RATES (SRO) - OlJTSIDE f:ORPORA TE LIMITS WITH f:ITY OF DENTON
WATER SERVTf:E
(1) Facility Charge
$8.60/bill
(2) Volume Charge
$3.29/1,000 gallons effluent
Except as otherwise stated in this schedule, wastewater volume is calculated based upon a current
winter Average Daily Usage, established annually during the previous billing months of December
through February, and based upon 98% of actual water consumption during those months. The
average daily usage may be calculated using as few as two months. The Average Daily Usage thus
calculated establishes the wastewater volume charge for each subsequent month, through the
following February.
For customers without an established winter Average Daily Usage water consumption billing history
derived from the preceding billing months of December through February, wastewater volume for
each billing month through the following February shall be calculated at 98% of6,500 gallons.
MTNTMT JM BIT .I ,TNeT - WITH f:ITY OF DENTON WATER SER VTf:E
Facility Charge.
3
VOT J TME f:H A ReTE - WTTH f:TTY OF DENTON WATER SER VTf:E
With a current Average Daily Usage, billings through the following February shall be based on the
average daily usage calculated using the following formula.
f:mrent Aven'lge D::Iily TTs::Ige x 9R% x Rate per 1,000 gallons
1,000
For customers without an established current Average Daily Usage, billings shall be based on 98%
of 6,500 gallons.
6500 eT::Illons x 9R% x Rate per 1,000 gallons
1,000
PAYMENT
Bills are due when rendered, and become past due if not paid within fifteen (15) calendar days from
date of issuance.
SPEf:T AT, FA f:IT ,TTIES
All services which require special facilities in order to meet Customer's service requirements shall be
provided, subject to the Special Facilities Rider.
MONTHT Y RA rns (SRNT/SRNO) - WTTHOl JT f:TTY OF DENTON WATER SER VTf:E
SRNI SRNO
Inside Corporate Outside Corporate
Limits Limits
(1) Facility Charge $7.45/bill $8.60/bill
(2) Volume Charge $2.85/1,000 gals $3.29/1,000 gals
The customer shall pay a minimum Volume Charge on the established billable volume of five
thousand (5,000) gallons per month.
MTNTMl JM BIT J ,TNeT - WTTHOl JT f:TTY OF DENTON WATER SERVTc:E
The Facility Charge plus five thousand (5,000) gallons of wastewater.
4
VOT J TME f:H A ReTE - WTTHOT JT f:TTY OF DENTON WATER SER VTf:E
The billing for the wastewater volume shall be based on the minimum wastewater volume (5,000
gallons) during the billing period.
Minimum Wastewater Volume x Rate per 1,000 gallons
1,000
PAYMENT
Bills are due when rendered, and become past due if not paid within fifteen (15) calendar days from
date of issuance.
SPEf:T AT, FA f:rr ,TTIES
All services which require special facilities in order to meet Customer's service requirements shall be
provided, subject to the Special Facilities Rider.
5
SCHEDULE SMH
MOBTT,E HOME PARK WASTEWATER SERVICE
(Effective 1 % 1/05)
APPI JCA nON
Applicable for mobile home parks that are master water metered to provide residential wastewater
service. Wastewater service is billed based on the Customer's winter average water usage.
Also applicable for wastewater service without City of Denton water service, in the event the mobile
home park does not have a master meter for wastewater. Wastewater service is billed on the average
residential wastewater volume per customer.
Not applicable for sub-billing or other utility billing by service user in any event.
MONTHl Y RATE (SMH) - WITH CITY OF DENTON WATER SERVICE
(1) Facility Charge $ 19.47/bill
(2) Volume Charge $2.85/1,000 gallons effluent
MONTHlY RATE (SMHO) - OTTTSIDE CORPORATE LIMITS WITH CITY OF DENTON
WATER SERVICE
(1) Facility Charge $21.62/bill
(2) Volume Charge $3.29/1,000 gallons effluent
Except as otherwise stated in this schedule, wastewater volume is calculated based upon a current
winter Average Daily Usage, established annually during the previous billing months of December
through February, and based upon 98% of actual water consumption during those months. The
average daily usage may be calculated using as few as two months. The Average Daily Usage thus
calculated establishes the wastewater Volume Charge for each subsequent month, through the
following February.
For customers without an established winter Average Daily Usage water consumption billing history
derived from the preceding billing months of December through February, wastewater volume for
each billing month through the following February shall be calculated at the established billable
volume (5,000 gallons per month per mobile home) for mobile home park customers not receiving
water service.
6
MTNTMT JM BIT J ,TNeT - WTTH f:TTY OF DENTON WATER SER VTf:E
Facility Charge.
VOT UME f:HAReTE - WTTH f:TTY OF DENTON WATER SERVTf:E
With a current Average Daily Usage, billings through the following February shall be based on the
average daily usage calculated using the following formula.
f:mrent Aven'lge D::Iily TTs::Ige x 9R% x Rate per 1,000 gallons
1,000
For customers without an established winter Average Daily Usage, billings shall be based on the
established billable volume of 5,000 gallons per mobile home per month.
Est::lhlished Bill::1hle Volume x Rate per 1,000 gallons x Number of Mobile Homes
1,000
PAYMENT
Bills are due when rendered, and become past due if not paid within fifteen (15) calendar days from
date of issuance.
SPEf:T AT, FA f:IT JTTES
All services which require special facilities in order to meet Customer's service requirements shall be
provided, subject to the Special Facilities Rider.
MONTHT Y RA TE (SMNT/SMNO) - WTTHOTTT f:TTY OF DENTON WATER SERVTf:E
SMNI SMNO
Inside Corporate Outside Corporate
Limits Limits
(1) Facility Charge $19.47/bill $21.62/bill
(2) Volume Charge $2.85/1,000 gals $3.29/1,000 gals
The Customer shall pay a minimum Volume Charge on the established billable volume of five
thousand (5,000) gallons per month.
MTNTMT JM BIT J ,TNeT - WTTHOl JT f:TTY OF DENTON WATER SERVTc:E
The Facility Charge plus five thousand (5,000) gallons of wastewater per mobile home.
7
VOT J TME f:H A ReTE - WTTHOT JT f:TTY OF DENTON WATER SER VTf:E
The billing for the wastewater volume shall be based on the wastewater volume calculated during
the billing period.
Minimum Wastewater Volume x Rate per 1,000 gallons x Number of Mobile Homes
1,000
PAYMENT
Bills are due when rendered, and become past due if not paid within fifteen (15) calendar days from
date of issuance.
SPEf:T AT, FA f:rr JTTES
All services which require special facilities in order to meet Customer's service requirements shall be
provided, subject to the Special Facilities Rider.
8
SCHEDULE SC
COMMERCIAl, AND INDUSTRIAl, WASTEWATER SERVICE
(Effective 1 % 1/05)
REGULAR COMMERCIAL
APPI JCA nON
Applicable to all general commercial and industrial wastewater service users and to all wastewater
service users not otherwise specifically classified under a specialized class wastewater rate.
Also applicable to all commercial facilities not receiving metered water service from the City of
Denton, including subdivisions, for apartments, or other commercial users.
MONTHl Y RA TE (Sf":) - WITH CITY OF DENTON WATER SERVICE
(1) Facility Charge
$19.47/bill
(2) Volume Charge
$3.70/1,000 gallons effluent
Billing based on eighty-five (85%) percent of monthly water consumption.
Elu.s
PRETREA TMENTIPROGRAM CHARGES (As Applicahle)
(SCA) (A) Categorical Customer $400.00/bill
(SCB) (B) Non-categorical Customer $ 50.00/bill
SAMPLING AND ANALYSIS CHARGES (As applicahle)
(A) Sampling charge (each)
$42.00
(B) Analysis charge (per test)
$21.00
MONTHlY RATE (Sf":O) - OUTSIDE CORPORATE LIMITS WITH CITY OF DENTON
WATER SERVICE
(1) Facility Charge
$21.62/bill
(2) Volume Charge
$4.26/1,000 gallons effluent
Billing based on eighty-five (85%) percent of monthly water consumption.
9
MTNTMT JM BIT J JNG
Facility Charge.
VOl JJME C:HARGE
Billing for the wastewater volume shall be based on the wastewater volume calculated during the
billing period.
Formula:
Water volume x: 85 x Rate per 1,000 gallons
1,000
C:OMMERC:IAL AND TNDTTSTRIAL SIJRC:HARGE
In addition to the above charges for commercial and industrial services, there will be added to the
monthly rate a surcharge based on the following formula:
Surcharge Unit Cost Factor
$0.004886 mg/l of Biochemical Oxygen Demand (BOD)
$0.002678 mg/l of Total Suspended Solids (TSS)
Cu = Vu ([Bu-250] B + [Su-250] S])
Where:
Cu
Vu
Bu
B
Su
S
is the surcharge for customer X.
is the billing volume per 1000 gallons for customer X.
is the tested BOD level for user X or 250 mg/l, whichever is greater.
is the unit cost factor for treating one unit BOD per 1,000 gallons.
is the tested TSS level for user X or 250 mg/l, whichever is greater.
is the unit cost factor for treating one unit ofTSS per 1,000 gallons.
MONTHT Y RA TE (SCNT/SCNO) - WITHOl JT C:ITY OF DENTON WATER SERVTC:E
SCNI SCNO
Inside Corporate Outside Corporate
l,imits Limits
(1) Facility Charge $19.47/bill $21.62/bill
(2) Volume Charge $3.70/1,000 gals $4.26/1,000 gals
The minimum apartment Volume Charge will be for five thousand (5,000) gallons per unit receiving
wastewater service per month. Other commercial users will be billed on their estimated monthly
wastewater volume.
10
MTNTMT TM BIT J JNG
(1) Facility Charge plus 5,000 gallons wastewater per unit receiving wastewater service.
or
(2) Facility Charge plus other commercial user estimated monthly wastewater volume.
VOl .lTME CHARGE
Billing for the wastewater volume shall be based on the wastewater volume calculated during the
billing period.
Formula:
Minimum wastewater volume x Rate per 1,000 gallons
1,000
Elu.s
PRETREA TMENTIPROGRAM CHARGES (As applicahle)
(1) Categorical Customer $400/bill
(2) Non-categorical Customer $50/bill
SAMPLING AND ANALYSIS CHARGES (As applicahle)
(1) Sampling charge (each)
$42.00
(2) Analysis charge (per test)
$21.00
COMMERCIAL AND TNDTTSTRIAL STTRCHARGE
In addition to the above charges for commercial and industrial services, there will be added to the
net monthly rate a surcharge based on the following formula:
Surcharge Unit Cost Factor
$0.004886 mg/l of Biochemical Oxygen Demand (BOD)
$0.002678 mg/l of Total Suspended Solids (TSS)
Cu = Vu ([Bu-250] B + [Su-250] S])
Where:
Cu
Vu
is the surcharge for customer X.
is the billing volume per 1000 gallons for customer X.
11
Bu is the tested BOD level for user X or 250 mg/l, whichever is greater.
B is the unit cost factor for treating one unit BOD per 1,000 gallons.
Su is the tested TSS level for user X or 250 mg/l, whichever is greater.
S is the unit cost factor for treating one unit ofTSS per 1,000 gallons.
PAYMENT
Bills are due when rendered, and become past due if not paid within fifteen (15) calendar days from
date of issuance.
SPErl A l , FA rrr JTTES
All services which require special facilities in order to meet Customer's service requirements shall be
provided, subject to the Special Facilities Rider.
12
SCHEDULE SCD
COMMERCIAL/INDUSTRIAL WASTEWATER SERVICE
WHICH MEASURES WITH DEDICATED WATER METERS (SUB-METERS),
WATER FOR WASTEWATER BILLING
(Effective 1 % 1/05)
APPI .leA nON
Applicable to all commercial and industrial wastewater service users and to all wastewater service
users not otherwise classified under this ordinance whose wastewater volume is measured by a water
meter which measures the water which is returned into the wastewater collection and treatment
system. The SCD sub-metered wastewater volumes are billed to the Customer.
Not applicable for sub-billing or other utility billing by service user in any event.
MONTHT ,Y RA TE
(1) Facility Charge
Billing Per Bill
3/4" Meter
1" Meter
1-1/2" Meter
2" Meter
3" Meter
4" Meter
6" Meter
8" Meter
10" Meter
$25.83
$28.24
$35.56
$41.46
$90.12
$169.43
$211.48
$246.33
$296.80
(2) Volume Charge
$3.70/1,000 gallons effluent
The wastewater billing is based on ninety-eight (98%) percent of the actual water volume
submetered.
MTNTMT JM Bll J ,ING
Facility Charge.
PAYMENT
Bills are due when rendered, and become past due if not paid within fifteen (15) calendar days from
date of issuance.
13
SPEf:l A l , FA f:rr JTTES
All services which require special facilities in order to meet customer's service requirements shall be
provided subject to the Special Facilities Rider.
f:OMMERf:lAL AND TNDTTSTRlAL SlJRf:HARGE
In addition to the above charges for services, there will be added to the monthly rate a surcharge
based on the following formula:
Surcharge Unit Cost Factor
$0.004886 mg/l of Biochemical Oxygen Demand (BOD)
$0.002678 mg/l of Total Suspended Solids (TSS)
Cu = Vu ([Bu-250] B + [Su-250] S])
Where:
Cu
Vu
Bu
B
Su
S
is the surcharge for customer X.
is the billing volume per 1000 gallons for customer X.
is the tested BOD level for user X or 250 mg/l, whichever is greater.
is the unit cost factor for treating one unit BOD per 1,000 gallons.
is the tested TSS level for user X or 250 mg/l, whichever is greater.
is the unit cost factor for treating one unit ofTSS per 1,000 gallons.
VOlJJMEf:HARGE
Billing for the wastewater volume shall be based on the wastewater volume calculated during the
billing period.
Formula:
Actual Water volume x: 98 x Rate per 1,000 gallons
1,000
14
SCHEDULE SCS
COMMERCIAL/INDUSTRIAL WASTEWATER SERVICE
WHICH MEASURES WITH DEDICATED WATER METERS (SUB-METERS),
WATER EXCT.lIDEDFROMWASTEWATER BIT .I JNG
(Effective 1 % 1/05)
APPT .leA nON
Applicable to all commercial and industrial wastewater service users and to all wastewater service
users not otherwise classified under this ordinance whose wastewater volume is calculated by a
water meter which measures the water which is not returned into the wastewater collection and
treatment system. The SCS sub-metered wastewater volumes are consumed in the customer's
processes, not returned to the wastewater system, and are therefore excluded from the customer's
wastewater billing volumes.
Not applicable for sub-billing or other utility billing by service user in any event.
MONTHT Y RA TE
(1) Facility Charge
Billing Per Bill
3/4" Meter
1" Meter
1-1/2" Meter
2" Meter
3" Meter
4" Meter
6" Meter
8" Meter
10" Meter
$25.83
$28.24
$35.56
$41.46
$90.12
$169.43
$211.48
$246.33
$296.80
(2) Volume Charge - None
The wastewater billing exclusion is based on one-hundred (100%) percent of the actual water
volume submetered.
MTNTMl JM BIT .I JNG
Facility Charge.
PAYMENT
Bills are due when rendered, and become past due if not paid within fifteen (15) calendar days from
date of issuance.
15
SPEf:l A l , FA f:rr JTTES
All services which require special facilities in order to meet Customer's service requirements shall be
provided, subject to the Special Facilities Rider.
WASTEWATER SlJRf:HARGE
In addition to the above charges for services, there will be added to the monthly rate a surcharge
based on the following formula:
Surcharge Unit Cost Factor
$0.004886 mg/l of Biochemical Oxygen Demand (BOD)
$0.002678 mg/l of Total Suspended Solids (TSS)
Cu = Vu ([Bu-250] B + [Su-250] S])
Where:
Cu
Vu
Bu
B
Su
S
is the surcharge for customer X.
is the billing volume per 1000 gallons for customer X.
is the tested BOD level for user X or 250 mg/l, whichever is greater.
is the unit cost factor for treating one unit BOD per 1,000 gallons.
is the tested TSS level for user X or 250 mg/l, whichever is greater.
is the unit cost factor for treating one unit ofTSS per 1,000 gallons.
VOl J JME f:H A RGE EXn J JSlON
The wastewater volume exclusion shall be based on the water volume calculated during the billing
period. This sub-metered volume shall be excluded, in other words, removed, from the master meter
water volume prior to the wastewater billing volume calculation.
16
SCHEDULE SEE
EQUIPMENT SERVICES FACILITIES AND
RESTAURANTS & FOOD SERVICE ESTABLISHMENTS
WASTEWATER SERVICE
(Effective 1 % 1/05)
APPT JCA TION
Applicable to facilities which perform washing, cleaning or servicing of automobiles, trucks, buses
or similar equipment and are categorized by Standard Industrial Code Numbers 5541, 7549, 7542,
and/or similar code classifications.
Applicable to all restaurants and food service establishments that prepare and serve food directly to
customers and are categorized by Standard Industrial Code Numbers 5812,5813 and/or similar code
classifications.
MONTHT Y RATE (SEE)
(1)
Facility Charge
$19.47/bill
(2)
Volume Charge
$5.11/1,000 gallons effluent
Billing based on eighty-five (85%) percent of monthly water consumption.
El.us
PRETREATMENT /PROGRAM CHARGES (As Applic::Ihle)
(SEA) (A) Categorical $400/bill
(SEB) (B) Non-categorical $50/bill
The appropriate Pretreatment/Program charge will be applied if the Customer is identified as either
categorical or non-categorical. These charges are not to be applied if the Customer is not designated
as either a categorical or non-categorical customer.
SAMPLING/ANALYSTS CHARGES (As Applic::Ihle)
(1)
(2)
Sampling charge (each)
Analysis charge (per test)
$42.00
$21. 00
"SEE" RATE EXEMPTIONS
(1) Customers under the SEE rate shall be charged the SC rate if only pre-wrapped and
preprocessed foods are served from their premises and no food processing is
performed on the premises so that only minimal organic material is discharged to the
17
sanitary sewer. The exemption for the SEE class shall be determined by the City of
Denton Environmental Health Services Food Inspection Division.
(2) Customers under the SEE rates shall be charged the SC rate plus the applicable
industrial surcharge if the Customer:
(a) Installs a wastewater sampling manhole on the sanitary sewer discharge line;
(b) Agrees to pay for the City to sample and analyze, quarterly, the wastewater
discharge for the following: Biochemical Oxygen Demand (BOD), Total
Suspended Solids (TSS), and Fats, Oils and Grease (FOG), based on the actual
costs; and
(c) Agrees to pay, based on the industrial surcharge formula, a surcharge on all
wastewater discharged that is in excess of 500 mg/l of BOD and 550 TSS as
determined by the monitoring performed in Section 2(b).
MTNTMl JM Brr J JNG
Facility Charge.
W A STEW A TER SlJRCHARGE
The wastewater surcharge calculation that applies to equipment services facilities and restaurant and
food service establishments claiming the SEE exemption shall be based on the following formula:
Surcharge Unit Cost Factor
$0.004886 mg/l of Biochemical Oxygen Demand (BOD)
$0.002678 mg/l of Total Suspended Solids (TSS)
Cu = Vu ([Bu-500] B + [Su-600] S])
Where:
Cu
Vu
Bu
B
Su
S
is the surcharge for customer X.
is the billing volume per 1000 gallons for customer X.
is the tested BOD level for user X or 500 mg/l, whichever is greater.
is the unit cost factor for treating one unit BOD per 1,000 gallons.
is the tested TSS level for user X or 600 mg/l, whichever is greater.
is the unit cost factor for treating one unit ofTSS per 1,000 gallons.
PAYMENT
Bills are due when rendered, and become past due if not paid within fifteen (15) calendar days from
date of issuance.
SPECT AT, FA crr JTTES
18
All services which require special facilities in order to meet Customer's service requirements shall be
provided, subject to the Special Facilities Rider.
VOTJJMEC:HARGE
Billing for the wastewater volume shall be based on the wastewater volume calculated during the
billing period.
Formula:
Water volume x: 85 x Rate per 1,000 gallons
1,000
19
SCHEDULE SM
METERED WASTEWATER INSIDE AND OUTSIDE
CORPORA TE T JMTTS
(Effective 1 % 1/05)
APPT JCA nON
Applicable to any wastewater service Customer whose wastewater discharge is metered from a
single customer location and not otherwise classified under this ordinance.
MONTHT Y RA TE
SMI
Inside Corporate
Limits
SMO
Outside Corporate
Limits
(1) Facility Charge
$240. 32/bill $276.37/bill
(2) Volume Charge
$3.70/1,000 gals $4.26/1,000 gals
El.us
(3) Pretreatment/Program Charge (As Applicable)
(SMA) (A) Categorical
$400/bill
(SMB) (B) Non-categorical
$50/bill
The appropriate Pretreatment/Program charge will be applied if the Customer is identified as either
categorical or non-categorical. The categorical and non-categorical classifications are not bound by
corporate limits. These charges are not to be applied if the Customer is not designated as either a
categorical or non-categorical Customer by the wastewater utility staff.
SAMPTJNG/ANATYSTS CHARGE (As Applicable)
(1) Sampling charge (each) $42.00
(2) Analysis charge (per test) $21.00
WASTEWATER STJRCHARGE
In addition to the above charges, there will be added to the monthly rate for metered wastewater, a
surcharge based on the following formula:
Surcharge Unit Cost Factor $0.004886 mg/l of Biochemical Oxygen Demand (BOD)
$0.002678 mg/l of Total Suspended Solids (TSS)
20
Cu = Vu ([Bu-250] B + [Su-250] S])
Where: Cu
is the surcharge for customer X.
Vu is the billing volume per 1000 gallons for customer X.
Bu is the tested BOD level for user X or 250 mg/l, whichever is greater.
B is the unit cost factor for treating one unit BOD per 1,000 gallons.
Su is the tested TSS level for user X or 250 mg/l, whichever is greater.
S is the unit cost factor for treating one unit ofTSS per 1,000 gallons.
MTNTMT JM BIT J JNG
Facility Charge, plus the appropriate Pretreatment/Program Charge, if applicable.
PAYMENT
Bills are due when rendered, and become past due if not paid within fifteen (15) calendar days from
date of issuance.
SPEf:l A l , FA f:IT JTTES
All services which require special facilities in order to meet Customer's service requirements shall be
provided, subject to the Special Facilities Rider.
VOl JJME f:HARGE
Billing for the wastewater volume shall be based on the wastewater volume calculated during the
billing period.
Formula:
Wastewater volume x Rate per 1,000 gallons
1,000
21
SCHEDULE SGE
SAT ,E OF TREA TED W A STEW A TER EFFT.l TENT
(Effective 10/1/05)
APPT .IrA nON
Applicable for sales of treated wastewater effluent to any municipal utility or approved private
business. Useable for non-potable purposes only. Not intended for human consumption.
Not available for resale in any event.
PRODurT A V ATLABTLTTY
Wastewater effluent is available for resale only if volumes are available. Supplies may be limited or
unavailable.
MONTHT Y RA TES
(1) Facility Charge
Per Bill
3/4" Meter
1" Meter
1-1/2" Meter
2" Meter
3" Meter
4" Meter
6" Meter
8" Meter
10" Meter
$ 20.20
$ 22.20
$ 25.75
$ 31.65
$ 66.25
$122.50
$153.00
$178.00
$214.00
(2) Volume Charge
$1.35/1,000 gallons
MTNTMT JM BIT .I JNG
Facility Charge.
PAYMENT
Bills are due when rendered, and become past due if not paid within fifteen (15) calendar days from
date of issuance.
22
SPEf:l A l , FA f:rr JTTES
All services which require special facilities in order to meet Customer's service requirements shall be
provided subject to the Special Facilities Rider.
VOlJJMEf:HARGE
Billing for the wastewater volume shall be based on the effluent volume calculated during the billing
period.
Formula:
Effluent volume x Rate per 1,000 gallons
1,000
23
SCHEDULE SSC
WHOLESALE WASTEWATER TREATMENT SERVICE FOR A GOVERNMENTAL
AGENCY, DTVISTON, OR SlffiDTVISTON
(Effective 1 % 1/05)
APPT .lCA nON
Applicable to any municipal corporation, or other governmental agency or subdivision which
operates a wastewater collection system and contracts with the City of Denton for wastewater
treatment service.
MONTHT Y RA TES
(1) Facility Charge
$198.43/bill
(2) Pretreatment/Program Charge (As Applicable)
(A) Categorical
$400/bill
(B) Non-categorical
$50/bill
(3) Volume Charge
$2.20/1,000 gallons
Billing shall be based on one hundred (100%) percent of actual gallons measured.
SAMPT.lNG/ANATYSTS CHARGE (As Applicahle)
(1) Sampling Charge (each)
$42.00
(2) Analysis Charge (per test)
$21.00
MTNTMl JM BIT J JNG
Facility Charge.
WHOLESALE SlJRCHARGE
In addition to the above charges for wholesale wastewater services, there will be added to the
monthly rate an industrial surcharge based on the following formula:
Surcharge Unit Cost Factor $0.004886 mg/l of Biochemical Oxygen Demand (BOD)
$0.002678 mg/l of Total Suspended Solids (TSS)
24
Cu = Vu ([Bu-250] B + [Su-250] S])
Where: Cu
is the surcharge for customer X.
Vu is the billing volume per 1000 gallons for customer X.
Bu is the tested BOD level for user X or 250 mg/l, whichever is greater.
B is the unit cost factor for treating one unit BOD per 1,000 gallons.
Su is the tested TSS level for user X or 250 mg/l, whichever is greater.
S is the unit cost factor for treating one unit ofTSS per 1,000 gallons.
PAYMENT
Bills are due when rendered, and become past due if not paid within fifteen (15) calendar days from
date of issuance.
SPEf:l A l , FA f:rr JTTES
All services which require special facilities in order to meet Customer's service requirements shall be
provided, subject to the Special Facilities Rider.
VOlJJMEf:HARGE
Billing for the wastewater volume shall be based on the wastewater volume calculated during the
billing period.
Formula:
Wastewater volume x Rate per 1,000 gallons
1,000
25
SCHEDULE CWM
DYNO DIRT PRODIJCTS
(Effective 10/1/05)
APPT JCA nON
Applicable to any and all customers, whether residential, commercial, or wholesale, which elect to
acquire the City of Denton's Dyno Dirt products for their use. The City of Denton reserves the right
to restrict or limit the sale of all Dyno Dirt products to any customer at any time.
RATES
Dyno Dirt products will be sold by volume on a cubic yardage basis, or in one cubic foot bags. Bulk
quantities will not be sold in volumes less than one-half cubic yard.
(A)
Compost
(1) Dyno Soil (Top Soil Blend)
(2) Dyno Dirt
(3) Dyno Lite
$27.50/Cubic Yard
$22.50/Cubic Yard
$30.00/Cubic Yard
(B)
Wood Mulch
(1) Dyno Brown Mini Mulch
(2) Dyno Deco Colored Mulch
(3) Dyno Double Grind
$17.50/Cubic Yard
$30.00/Cubic Yard
$17.50/Cubic Yard
Purchases for (A) and (B) above, greater than ten (10) cubic yards will receive a 20% discount,
purchases greater than 100 cubic yards will receive a 40% discount, and purchases greater than 500
yards will receive a 50% discount.
(C) City of Denton departments will receive a 50% discount on all purchases of Dyno
Dirt products
(D)
One cubic foot bags of Dyno Dirt
$1.50/bag (50 Bag Minimum Purchase)
(E)
Asphalt Millings
$lO.OO/Cubic Yard
PRODUCT A V ATLABTLTTY
The City of Denton produces Dyno Dirt products throughout the year in varying limited quantities.
The City of Denton does not guarantee the availability of any product, and expressly reserves the
right to restrict the sale of any product based upon available volumes.
26
T,Of:ATTON
All Dyno Dirt products may be purchased from the City of Denton at the following location:
Locati on
Address
Compost Sales Bldg.
Water Reclamation Plant
1100 Mayhill Road, Denton, Texas
WHOT,FSAT,F PTJRf:HASFS
All Dyno Dirt products purchased wholesale, for resale to the public, is to be identified as a City of
Denton manufactured product. The wholesale purchaser must provide the City of Denton selling
price information to the retail customer if it is requested.
27
SCHEDULE GBL
GRASSIBRIJSHII ,EA YES
(Effective 10/1/05)
APPT .If: A nON
Applicable to all City of Denton residents who submit for deposit at the landfill grass
clippings, brush, and/or leaves, who shall pay the following rates:
GRASSIBRlJSHII ,EAVES'
Product f:haracteri stj cs
f:harge
1. Uncontaminated bagged or un-bagged $16.25/ton
grass, brush, or leaves in less than twelve foot (12') lengths.
2. Uncontaminated bagged or un-bagged $27.00/ton
grass, brush, or leaves in greater than twelve foot (12') lengths.
3. Contaminated grass, brush, or leaves
of any length:
waste originating within Denton's city limits
waste originating outside of Denton' s city limits
$33.75/ton (<3 cubic yards)
$39.00/ton (>3 cubic yards)
$41. OO/ton
4. Whole trees and stumps
$48.75/ton
MTNTMl JM f:H A RGE
$7.50 per load.
Professional landscapers, tree trimmers, and yard maintenance personnel are required to bring
their grass, brush, or leaves (all collectible yard waste) to the landfill, and are not permitted to
leave any of the above-referenced collectible yard waste items stacked or piled on the curb at
the Customer's location.
Grass, brush, and leaves shall not be assessed the City of Denton solid waste 3.5% surcharge
to compensate for the State of Texas surcharge for all solid waste received at landfills if the
materials are not landfilled.
28
SCHEDULE ST
WASTEWATER TAP FEES
(Effective 1 % 1/05)
APPT ,If: A nON
This schedule applies to the installation, removal, or relocation of wastewater taps by the City of
Denton Utility Department at the request of any person, firm, association, corporation, or other legal
entity.
TAP FEES
Any person, firm, association, corporation, or other legal entity that requests that a wastewater main
tap be removed, installed, or relocated by the Wastewater Utility Department shall pay in advance to
the Wastewater Utility Department the following applicable fees:
WASTEWATER TAPS WTTHf:LEANOlJT
Si ze of T::Ip
P::Ivea Street
T Tnp::lvea Street
4 inch
6 inch
8 inch
10 inch
$2,000.00
2,110.00
2,220.00
2,380.00
$1,410.00
1,570.00
1,730.00
1,865.00
M A NHOT ,E RREA KOT JT FEE
6" - 12" Line
$165.00
FEES FOR TNST A T J ,A nONS NOT T JSTED
For installation of a tap for which a fee is not specified, the requestor shall pay in advance a deposit
based upon the estimated cost of such installation, or similar work, plus an administrative charge of
20%. Upon completion of the installation or similar work requested, the customer shall be billed at
actual cost, as determined by the Wastewater Utility Department, plus a 20% administrative charge.
Any excess deposit shall be refunded to the Customer.
29
SCHEDULE STE
TREA TED EFFT DENT W A STEW A TER TAP FEES
(Effective 1 % 1/05)
APPT ,IrA nON
This schedule applies to the installation, removal, or relocation of treated effluent wastewater taps by
the City of Denton Utility Department at the request of any person, firm, association, corporation, or
other legal entity.
TAP FEES
Any person, firm, association, corporation, or other legal entity that requests that a wastewater main
tap be removed, installed, or relocated by the Wastewater Utility Department shall pay in advance to
the Wastewater Utility Department the following applicable fees:
RElJSE WASTEWATER LINE TAPS
Si ze of T::Ip
P::Ivea Street
T Tnp::lvea Street
4 inch
6 inch
8 inch
12 inch
$2,705.00
2,920.00
3,895.00
4,865.00
$1,625.00
1,895.00
2,815.00
3,730.00
FEES FOR TNST A T J ,A nONS NOT T JSTED
For installation of a tap for which a fee is not specified, the requestor shall pay in advance a deposit
based upon the estimated cost of such installation, or similar work, plus an administrative charge of
20%. Upon completion of the installation or similar work requested, the customer shall be billed at
actual cost, as determined by the Wastewater Utility Department, plus a 20% administrative charge.
Any excess deposit shall be refunded to the Customer.
30
SCHEDULE OSSF
ON-SITE SEW AGE F ACTT ,TY PERMIT FEES
(Effective 10/01/04)
APPI JCA nON
This schedule applies to the new construction of aerobic treatment systems, new construction of
non-aerobic treatment systems, and repair and alteration of the above.
OSSF PERMIT FEES
Any person, firm, association, corporation, or other legal entity that requests a wastewater system
work permit shall pay in advance to the Wastewater Utility Department the following applicable
fees:
New Construction of aerobic treatment systems
$410
New Construction of non-aerobic treatment systems
$210
Repair or Alteration fees (All types of OS SF's)
$50
31
SCHEDULE SD
STORM DRAINAGE FEES
(Effective 1 % 1/05)
APPI ,IrA TION
Applicable to all impervious real property and appurtenances owned and located within the
incorporated limits of the City of Denton, Texas, except as exempted below. The Storm Drainage
fee charged to each tract of real property is based upon the amount of impervious surface cover that
results in water runoff into the City of Denton drainage system.
MONTHTYFEE- RESIDENTIAl, (SDR)
The residential fee is applicable to all single-family through fourplex real properties located within
the incorporated limits of the City of Denton, Texas, for which impervious surfaces can be
individually identified. The residential fee is established by utilizing a block system. The fee
charged in each fee block is set forth and established as follows:
Fee Block
Per Bill
o - 600 Square Feet
601 - 1,000 Square Feet
1,001 - 2,000 Square Feet
2,001 - 3,000 Square Feet
3,001 - 4,000 Square Feet
4,001 - 5,000 Square Feet
5,001 - 6,000 Square Feet
Over 6,000 Square Feet
$ 0.50
$ 1. 00
$ 3.35
$ 5.45
$ 7.60
$ 9.75
$12.00
$15.50
MONTHT Y FEE - NON-RESIDENTIAl, (SDN)
The non-residential fee is applicable to all other real property owned and located within the
incorporated limits of the City of Denton, Texas, except as exempted below. The non-residential fee
is based upon the total square footage of impervious surface cover measured for each
customer/owner.
Formula:
Measured Square Footage of Impervious Surface Cover x $0.00186 per bill
32
EXEMPTTONS
The following real property owned and located within the incorporated limits of the City of Denton,
Texas shall be exempt from imposition of the residential fee or the non-residential fee:
1. Real property with proper construction and maintenance of a wholly sufficient and privately-
owned drainage system, not draining into the City of Denton drainage system, upon the real
property's inspection and certification by the City; or
2. Real property held and maintained in its natural state, until such time that the real property is
developed, and all of the public infrastructure constructed thereon has been accepted by the City; or
3. Real property, consisting of an unimproved subdivided lot, until such time as a structure has
been built on the lot and a certificate of occupancy has been issued by the City.
No other exemptions to the residential fees or the non-residential fees are applicable.
33
SPEC:TAT, FAC:TTJTTES RIDER
(Effective 1 % 1/05)
(1) All service shall be offered from available facilities. If a customer service request for a
special or unusual service not otherwise provided for by the Wastewater rate ordinance,
and/or requires facilities and devices which are not normally and readily available at the
location at which the Customer requests the service, then the City shall provide the service
subject to the requirements of paragraph (2) of this rider.
(2) The total cost of all facilities required to meet the Customer's special requirements which are
incurred by the City in connection with rendering the service, shall be subject to a special
contract entered into between the Wastewater Utility Department and the Customer. This
contract shall be signed by both parties prior to the City providing the requested service to
the Customer.
34
SFrnON 2 That all ordinances or parts of ordinances in force when the provisions of this
ordinance became effective which are inconsistent, or in conflict with the terms or provisions
contained in this ordinance are hereby repealed to the extent of any such conflict.
SFrnON:) That if any section, subsection, paragraph, sentence, clause, phrase or word
in this ordinance, or application thereof to any person or circumstances is held invalid by any court
of competent jurisdiction, such holding shall not affect the validity of the remaining portions of this
ordinance, and the City Council of the City of Denton, Texas, hereby declares it would have enacted
such remaining portions despite any such invalidity.
SFrnON 4 That the Schedule of Rates herein adopted shall be effective, charged and
applied to all wastewater service rendered on and after October 1, 2005, and a copy of said rates,
fees, and charges shall be maintained on file in the Office of the City Secretary of the City of
Denton, Texas.
PASSED AND APPROVED this the
day of
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
By:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
By:
35
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CITY OF DENTON, TEXAS
PUBLIC UTILITIES BOARD MEETING AGENDA
FOR AUGUST 22, 2005
9:00 A. M.
DRAFT
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After determining that a quorum of the Public Utilities Board of the City of Denton, Texas was
present, the Public Utilities Board convened into an Open Meeting on Monday, August 22,2005
at 9:00 a.m. in the Service Center Training Room, City of Denton Service Center, 901-A Texas
Street, Denton, Texas.
Present:
Bob Bland, John Baines, Bill Cheek, Phil Gallivan, Charldean Newell,
EX OFFICIO MEMBERS
Michael Conduff, City Manager
Howard Martin, ACM. /Utilities
Excused:
Dick Smith
George Hopkins
ITEMS FOR INDIVIDUAL CONSIDERATION:
6) Consider recommending approval of the Electric, Water, Wastewater, Solid Waste, and
Miscellaneous Rate Ordinances for FY 2005-06.
Howard Martin, ACM Utilities, reported to the Board that staff is requesting approval of Utility
Rate Ordinances that reflect changes in support of the FY 2005-06 Budget. Martin explained
that the Chapter 24 Code of Ordinance was not included in the backup material. Martin wanted
to know how the Board wanted to proceed, that is, whether Board Members wanted staff to place
the Chapter 24 Rate Ordinance on the next agenda or pull the Solid Waste Rate Ordinance and
vote on both items at the same time. It was determined that the Chapter 24 Code of Ordinance
would be discussed at the next meeting.
Gallivan commented that the increase in the cart service seemed excessive. Martin responded
that it has been determined that $4.6M is needed for solid waste operations. The rates were
based on several assumptions and will be fined tuned when the customer base has been defined.
Gallivan also reminded staff to be consistent when referring to cart sizes. In some instances
carts are referenced in gallons and in some instances by size small, medium or large.
Newell expressed several concerns as it relates to transitioning to cart service:
Page 1 of 3
Exhibit 7
1
2 Lack of Public Education on Cart Service
3 ADA Requirements, as it relates to making cart pickup service available to all
4 citizens
5 Development Code Requirements as it relates to cart pickup in older communities
6 Trash and Recycling scheduled for the same day and the difficulty of
7 maneuvering two carts
8 Potential traffic hazards along some heavily traveled but narrow streets.
9
10 Kemler responded that when and if the Council approves the transition to cart service, an intense
11 Public Education promotion will begin that will address her concerns. Kemler continued to say
12 the Solid Waste staff has been working with the Public Information Staff on educational
13 material. The FY 2005-2006 Budget is scheduled for approval September 20,
14 2005;implementation of cart service is scheduled to begin October 2005.
15
16 Bland asked if the bag distribution will be discontinued. Martin responded that clear bags will
17 continue to be distributed for yard waste.
18
19 Newell called for a motion to approve the Solid Waste Rate Ordinance.
20
21 Bland moved to approve the Solid Waste Rate Ordinance contingent upon the passage of
22 the Chapter 24 Rate Changes that are scheduled to be presented at the next PUB meeting
23 with a second from Cheek. The motion was approved by a vote of 5 to O.
24
25 Newell called for a motion to approve the Electric Rate Ordinance
26
27 Baines expressed concern regarding the impact the rate increases will have on individuals with
28 low and/or fixed incomes. The Board recalled its stated preference for some sort oflifeline rate.
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30 Gallivan moved to approve the Electric Rate Ordinance with a second from Bland. The
31 motion was approved by a vote of 5 to O.
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33 Newell called for a motion to approve the Water Ordinance.
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35 Bland moved to approved the Water Rate Ordinance with a second from Cheek. The
36 motion was approved by a vote of 5 to O.
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38 Newell called for a motion to approve the Wastewater Ordinance.
39
40 Cheek recommended that the rate for asphalt milling be increased from $8.00/cy to $lO.OO/cy
41 which is more reflective of the market rate.
42
43 Cheek moved to approve the Wastewater Ordinance contingent upon increasing the
44 asphalt milling price to $10.00/cy with a second from Bland. The motion was approved by
45 a vote of 5 to O.
46 Newell called for a motion to approve the Miscellaneous Rate Ordinance.
Page 2 of 3
1
2 Cheek asked staff to request clarification from legal regarding use of the word "contractor" on
3 page 9, under the heading Interest Earned on Contract Retainage, is the appropriate usage. It
4 was discussed that "customer" may be the appropriate reference.
S
6 Bland moved to approved the Miscellaneous Rate Ordinance with a second from Gallivan,
7 with clarification about the usage of "contractor." The motion was approved by a vote of 5
8 to O.
Page 3 of 3
AGENDA INFORMATION SHEET
AGENDA DATE:
September 20, 2005
DEPARTMENT:
Utilities Administration
Howard Martin, Utilities 349-8232 ..
ACM:
SUBJECT
Consider adoption of the Electric, Water, Wastewater, Solid Waste, Miscellaneous and Utility Engineering Rate
Ordinances. (The Public Utilities Board recommends approval 5-0.)
BACKGROUND
The proposed rate ordinances included in this agenda are designed to recover the cost of service
for each utility and provide a positive or breakeven net income.
During the budget presentations, the Council reviewed each Utilities budget and the proposed
rate changes that could be implemented to support the proposed FY 2005-06 budget and FY
2006-10 CIP. Included in the presentations was the increase in the Electric rates that were not
increased on January 1,2005. At Council's direction staff developed proposed base rate
increases for the remaining rate classes with the goal of having the overall impact of the changes
fall as close as possible to the 3.5% average increase previously applied to the residential,
commercial, and industrial classes. Wastewater rates were increased based on the direction
given by the PUB and Council during the FY 2004-05 budget presentations, which outlined
future rate increases. Staff has also developed a rate structure for Solid Waste that will support
once per week cart service and a Household Hazardous Waste program.
Also included in the attached rate ordinances is the Engineering Inspection Fees Ordinances. In
FY 2004-05 Engineering and the associated revenues were transferred to the Water Fund. Staff
has since included these fees in the annual rate ordinance review to the Public Utilities Board and
received approval. In the past these fees were in several different ordinances and not reviewed
on an annual basis. Staff has revised the current rates to reflect full cost recovery and combined
all engineering fees into one ordinance.
SUMMARY
No base rate increases are proposed for Water retail customers. The various Electric, Water
Wholesale, Wastewater and Solid Waste rate changes discussed during the budget review are
outlined in greater detail below. All changes have been highlighted in red in the attached
ordinances.
ELECTRIC RATE RECOMMENDATIONS
. Increase the Local Government Rate
Single-Phase Facility Charge from $15.15 to $15.80/bill
Three-Phase Facility Charge from $20.20 to $21.1 O/bill
Demand Charge from $6.31 to $6. 81/KW
Energy Charge from 3.03~ to 3.15~/KWH
. Increase the Weekend Rate
Single-Phase Facility Charge from $20.00 to $20.86/bill
Three-Phase Facility Charge from $25.00 to $26.08/bill
Demand Charge from $6.40 to $6.72/KW
Energy Charge from 6.75~ to 7.02~/KWH for the first 2,500 KWH
3.00~ to 3.67~/KWH for the next 3,500 KWH
2.65~ to 2.70~/KWH for all additional KWH
. Increase the Athletic Field Rate
Single-Phase Facility Charge from $20.20 to $21.07/bill
Three-Phase Facility Charge from $30.30 to $31.60/bill
Demand Charge from $4.70 to $4.94/KW for Peak Hours (June- September)
$1.11 to $1.17/KW for All Other Hours (June-September)
$1.11 to $1.17/KW for All Hours (October-May)
Energy Charge from 7.58~ to 7.96~/KWH for Peak Hours (June-September)
3.79~ to 3.98~/KWH for All Other Hours (June-September)
3.79~ to 3.98~/KWH for all additional KWH (October-May)
. Increase the Street Lighting Rate
LSA 100 W Sodium Vapor Facility Charge from $4.90 to $5. 15/bill
LSB 250 W Sodium Vapor Facility Charge from $6.95 to $730/bill
LSC 400 W Sodium Vapor Facility Charge from $8.75 to $9. 19/bill
. Increase the Traffic Lighting Rate and Other Lighting Rate
Energy Charge from 5.30~ to 5.62~/KWH
. Increase Security Lighting Rate
DSA 100 W Sodium Vapor Facility Charge from $7.75 to $8. 14/bill
DSB 250 W Sodium Vapor Facility Charge from $10.05 to $10.76/bill
DSC 400 W Sodium Vapor Facility Charge from $12.35 to $12.97/bill
DHA 250 W Metal Halide Facility Charge from $12.05 to $12.65/bill
DHB 400 W Metal Halide Facility Charge from $14.35 to $15.07/bill
. Increase the Downtown Decorative Lighting Rate
Facility Charge from $3.85 to $4.04/bill
. Add a Decorative Street Lighting Rate
Energy Charge 5.62~/KWH plus applicable ECA rate
. Temporary Service Schedule
Single-Phase Facility Charge from $15.15 to $15.80/bill
Three-Phase Facility Charge from $20.20 to $21.1 O/bill
Energy Charge from 6.77~ to 7.11~/KWH
. Add a Dark Fiber Rate
Fiber Mileage Charge
Building Presence Charge
Total Fiber Rate
$400/fiber pair/mile/month; and
$180/location/month
$580/fiber pair/mile/month/location
WATER RATE RECOMMENDATIONS
. Revise the Wholesale Raw Water Rate (WRW) applicable to Upper Trinity Regional
Water District (UTRWD). The FY 2005 City of Dallas raw water wholesale rate is
projected to be $0.4406/1,000 gallons, an increase of 9.51 % from the existing rate of
$0.3987/1,000 gallons. Denton's raw water wholesale rate to UTRWD, which is set at
85% of Dallas' raw water wholesale rate, will correspondingly increase from the existing
price of $0.3389/1,000 gallons to $0.3745/1,000 gallons. This rate is determined by the
terms of the raw water contract between Denton and UTRWD.
. Increase the rate for the pass-through raw water sent from Lake Chapman into Lake
Lewisville by the UTRWD per the Cooper Reservoir Project Contract and all "Chapman"
water reclaimed for reuse if discharged into and subsequently withdrawn from Lewisville
Lake by UTRWD or Lewisville. The rate will increase from $0.0207/1,000 gallons to
$.0212/1,000 gallons. The rate adjustment is determined by the consumer price index,
which as of June 30, 2005 is 2.5% over the same period last year.
W ASTEW A TER RATE RECOMMENDATIONS
. Increase all retail and wholesale facility, volume, and surcharges by 6% per the budget
proposal.
. Remove the Dyno Chips product-line as it is no longer produced.
. Add an Asphalt Milling rate of $8.00/cubic yard
SOLID WASTE RATE RECOMMENDATIONS
. Increase the residential cart rate for each cart size per the following:
1 cart servi ce
Large from $15.00 to $17.25
Medium from $13.00 to $16.50
Small from $12.00 to $15.75
2 cart servi ce
Large from $28.00 to $32.50
. Increase the rate for Residential Manual bagged pickup service from $17.75 to $19.00 for
those customers requiring manual pickup and reducing the number of pickups per week
from two to one.
. Increase the minimum billing rate from $11.70 to $15.00 for unoccupied residential
family units remaining vacant for a period greater than two months and maintaining other
utility services.
. Increase the residential construction materials rate from $50.00 to $60.00 for one cubic
yard or less and $10.00 for each additional cubic yard or part of a cubic yard.
. Increase the residential recycling rate from $2.99 to $3.50 to fund Household Hazardous
Waste.
. Establish a multifamily recycling rate of $1.75 per unit to fund recycling and Household
Hazardous Waste.
. Increase all the commercial collection services by an average of 5%.
. Remove Schedule SWP - Collection and Transportation Services Permit
. Include in the Sanitary Landfill Services the sale of excess sand, clay, mixed soil and
rock at the published rates.
MISCELLANEOUS RATE RECOMMENDATIONS
. Removal of the "Interest Earned on Contract Retainage" section of the Miscellaneous
Rate Ordinance since it is covered by state statute.
ENGINEERING INSPECTION FEES RECOMMENA TIONS
Right-of-Way Inspections
Overtime Inspections
$35.00
$50.00
to
to
$75.00
$90.00
These Right-of-Way and Overtime inspection fees were last updated in 1999 and did not reflect
full cost recovery at that time.
Parking Lot Inspections
1 - 50 spaces $100.00 to
51 - 100 spaces $200.00 to
101 - 250 spaces $300.00 to
251 - 500 spaces $400.00 to
$450.00
$600.00
$750.00
$900.00
Parking Lot Inspections were also last updated in FY 1999. The above increased fees are based
on the average number of trips to perform all inspections and the time allocated to those trips
multiplied by the proposed hourly rate of $75.00. Fees for appeals and variances to the Traffic
Safety Commission have been increased from $250.00 to $300.00.
Loading Zone Permits and Renewals
Single Loading Zone $132.00 to $175.00
Double Loading Zone $264.00 to $350.00
Loading Zone Permits were last updated in FY 1993.
Though the increases may seem excessive, the previous rates were not designed to fully recover
cost. The proposed fees have been adjusted to fully recovery inspection costs associated with
development, as are all other utilities rates.
OPTIONS
1. Approve the rates as recommended by the Public Utilities Board.
2. Recommend different rates than recommended by the Public Utilities Board.
RECOMMENDA TION
Staff recommends approval of the proposed ordinances.
PRIOR ACTIONIREVIEW (Council, Boards, Commission)
The Public Utilities Board recommended approval of the proposed rate ordinances on August 22,
2005 by a vote of 5-0.
FISCAL SUMMARY
The rates and charges included in the utility rate ordinances provide the revenues necessary to
cover the cost of service to customers.
EXHIBITS
1. FY 2005-06 Electric Rate Ordinance
2. FY 2005-06 Water Rate Ordinance
3. FY 2005-06 Wastewater Rate Ordinance
4. FY 2005-06 Solid Waste Rate Ordinance
5. FY 2005-06 Miscellaneous Rate Ordinance
6. FY 2005-06 Engineering Inspection Fees Ordinance
7. PUB Minutes
Respectfully submitted:
Howard Martin
ACM Utilities
ORDINANCE NO. 2005-
AN ORDINANCE OF THE CITY OF DENTON, TEXAS AMENDING THE SCHEDULE OF
RATES FOR SOLID WASTE SERVICE CONTAINED IN ORDINANCE NUMBER 2004-258
AS AUTHORIZED BY CHAPTER 24 OF THE CODE OF ORDINANCES OF THE CITY OF
DENTON, TEXAS; PROVIDING THAT THE PROVISIONS OF SECTIONS 26-3, 26-4, 26-5,
26-7, 26-8(a), AND 26-9 OF THE CODE OF ORDINANCES OF THE CITY OF DENTON,
TEXAS SHALL EXPRESSLY APPLY TO CITY OF DENTON SOLID WASTE SERVICE;
AMENDING THE RESIDENTIAL SOLID WASTE COLLECTION SERVICES SCHEDULE
(SWR); AMENDING THE RESIDENTIAL RECYCLING AND PROCESSING SERVICES
SCHEDULE (SWRR); AMENDING THE RESIDENTIAL FINANCIAL NEED DISCOUNT
SCHEDULE (SWRD); ADDING THE MULTI-FAMILY RECYCLING AND PROCESSING
SERVICES SCHEDULE (MFR); AMENDING THE COMMERCIAL SOLID WASTE
COLLECTION SERVICES SCHEDULE (SWC); REMOVING THE COLLECTION AND
TRANSPORTATION SERVICES PERMIT SCHEDULE (SWP); AMENDING THE SANITARY
LANDFILL SERVICES SCHEDULE (SWL); PROVIDING FOR A REPEALER; PROVIDING
FOR A SEVERABILITY CLAUSE; AND PROVIDING AN EFFECTIVE DATE.
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SFrTTON 1. That the charges for Solid Waste collection services as authorized by
Section 24-42(b) of Article II, Section 24-66 of Article III and Section 24-4 of Article I of
Chapter 24; and by Section 32-90 of Article IV of Chapter 32 of the Code of Ordinances of the
City of Denton, Texas, are hereby established as follows:
SOLID WASTE RATE SCHEDULES
.M.G.E
SWR Residential Solid Waste Collection Services 2
SWRR Residential Recycling and Processing Services 4
SWRD Residential Financial Need Discount 5
MFR Multi-family Recycling and Processing Services 7
SWC Commercial Solid Waste Collection Services 8
SWCR Commercial Recycling Services 13
SWL Sanitary Landfill Services 15
1
EXHIBIT 4
SCHEDULE SWR
RESIDENTTAI, SOI,ID WASTE COI.T ,ECTTON SERVICES
(Effective 1 % 1/05)
APPI .TCA TTON
Applicable for residential family-unit solid waste collection service. A family unit includes each
unit of a duplex or triplex, each living unit of a residential lot, and any single unit or living space in
which a person or single family resides.
MONTHT Y RA TES
Containerized Collection Service
1 pickup per week
Nominal Size of Containers
Large
Medium
Small
1 Container
$ 17.25/bill
$ 16.50/bill
$15.75/bill
2 Containers
$32.50/bill
All refuse must be placed within the cart with the lid fully closed.
Residents may contact Solid Waste Customer Service to request that the Solid Waste
collection personnel reload their refuse cart with additional bagged refuse materials adjacent
to the refuse cart at a price of $5.00 per additional cart reload and empty. These reload and
extra empty services will be provided if the customer contacts the Customer Service
Department and makes the request a minimum of one day prior to their scheduled collection
day.
Ragged Collection Service
1 pickup per week
$19.00/bill
MTNTMTTMRTT.T.TNGIRASE RATE SERVICE
$15.00 per bill applicable for residential solid waste service for an unoccupied residential family unit
which remains vacant for a period for greater than two months. This minimum billing rate shall only
be effective after written application is made by the ratepayer with the Customer Service
Department, and such minimum billing rate shall be limited to a maximum period of six months per
calendar year.
OTHER CHARGES
There is no additional charge for the collection of bagged grass clippings and leaves, or brush and
tree limbs which are cut and stacked in less than four foot (4') lengths, if the combined
grass/leaves/brush total volume is not over eight cubic yards per collection day. If over eight (8)
cubic yards of combined bagged grass clippings, brush, or leaves are placed out for collection on a
collection day, excess volume charges will be assessed at $5.00 per cubic yard or part of a cubic
yard collected for all cubic yards in excess of eight (8) cubic yards. The Solid Waste Department
2
staff will automatically collect and bill for excess volumes of yard waste if the additional charges are
$25.00 or less.
Residential customers may be provided metal containers and service at the published commercial
rates.
Residential customers shall contact Solid Waste Customer Service to request the collection of up to
four bulky items per week on their refuse collection day for no additional charge. Customer Service
should be contacted a minimum of one day in advance of their scheduled collection day. Bulky
items are residential household type items that are consistent with residential household use, such as
furniture and selected appliances. Bulky items exclude non-household type items, fencing,
remodeling, construction and demolition materials, and those appliances manufactured containing
polychlorinated biphenyls (PCB's) or chlorofluorocarbons (CFC's).
Residential construction materials (including, but not limited to lumber, brick, fencing, and drywall)
will be collected at the rate of $60.00 per pickup plus an additional $10.00 per cubic yard or part of a
cubic yard collected above one cubic yard. Materials must not exceed eight (8') feet in length.
Customers should contact Solid Waste Department Customer Service during normal business hours
to request the collection of residential construction materials. If the customer has over 10 cubic
yards of materials for collection, the customer is required to have a city container delivered, if
collection service is desired.
Appliances manufactured to contain PCB's or CFC's, for which the customer provides no certified
removal documentation of the PCB's or CFC's, will be charged $50.00 for the collection and
disposal of each appliance and/or the associated materials. There is no charge for the collection of
appliances which were manufactured to contain either PCB's or CFC's, if the customer provides a
certificate of documentation from an approved business qualified to remove these products
indicating that the PCB's or CFC's have been properly removed for disposal. If the Solid Waste
Department is not provided a certificate of removal, the $50.00 charge per item will be assessed if
the customer requests services through the Solid Waste Department.
Other residential services may be provided at fees established by the department, and approved by
the Director. The fees established will recoup the special and administrative services provided.
When initiating new service, a residential Solid Waste service deposit may be charged.
3
SCHEDULE SWRR
RESIDENTIAl, RECYCT JNG AND PROCESSING SERVICES
(Effective 1 % 1/05)
APPI JCA TION
Applicable for residential family-unit recycling materials collection and processing services. A
family unit includes each unit of a duplex or triplex, each living unit of a residential lot, and any
single unit or living space in which a person or single family resides.
MONTHT Y RA TE
$3.50 per bill
Should any other fees be established by an authorized governmental entity, those fees will be added
to the monthly rate to recover those costs.
MTNTMT JM BIT J ,ING
$3.50 per bill
If any other fees are established by an authorized governmental entity, the minimum billing would
adjust to include those costs.
EXCEPTION TO IMPOSITION OF RATE
The residential recycling and processing services rate will not be charged for an unoccupied
residential family unit that applies for and is granted the Minimum Billing/Base Rate Service as
described in Schedule SWR. This exception shall be effective so long as the Minimum Billing/Base
Rate Service rate is applicable to the unoccupied residential family unit.
4
SCHEDULE SWRD
RESIDENTIAl, FINANCIAl, NEED DISCOlJNT
(Effective 1 % 1/05)
APPI JCA TION
Applicable for residential family-unit solid waste collection and recycling collection and processing
service customers. A family unit includes each unit of a duplex or triplex, each living unit of a
residential lot, and any single unit or living space in which a person or single family resides.
QlJ ALTFICA TION
Residents who wish to receive the Residential Financial Need Discount shall qualify for the discount
if the following requirements are met:
1. They receive financial assistance from the Plus One Program; and.
2. They are a City of Denton residential solid waste customer; and.
3. They inform the City's Customer Service Department of their desire to participate in
the program.
DISCOlJNT TERM
The discount is effective for each family for those months in which they receive funding from the
Plus One program.
MONTHT Y DISCOIJNT RA TE
A reduction of the Residential Solid Waste Service charges by $3.50 per bill. The rate reduction
applies to both the total monthly refuse and recycling charges.
EXCT .I TSIONS
The Residential Financial Need Discount IS not applicable if the customer IS on mInImUm
billing/base rate service.
5
SCHEDULE MFR
MlJLTT-FAMTLYRECYCLTNG AND PROCESSTNG SERVICES
(Effective 1 % 1/05)
APPT JCA TTON
Applicable for multi-family residents living within the City of Denton's solid waste service area.
These residents receive, participate in, and benefit from numerous City of Denton recycling and
. .
proceSSIng servIces.
A multi-family unit includes each separate living unit of a four-plex, apartment, condominium, or
other such multi-family living facility with four or more residences.
Facilities that are constructed as boardinghouses, or contain living facilities with separate bedrooms
for lease by each tenant, but that contain one common kitchen and/or open living area, will qualify
as one living unit, and one multi-family recycling and processing charge will apply.
MONTHT ,Y RA TE
$1.75 per bill per multi-family living unit.
MTNTMl JM BIT ,I ,TNG
$1.75 per bill per multi-family living unit.
6
SCHEDULE SWC
COMMERCIAl, SOIJD WASTE COI .I ,ECTTON SERVICES
(Effective 1 % 1/05)
APPI JCA TTON
Every owner, occupant, tenant, or lessee of any business, commercial, or institutional property
not entitled to receive residential refuse collection service shall be required to have commercial
solid waste collection service provided by the City of Denton.
New commercial business development and redevelopment requires that commercial solid waste
service requirements be reevaluated and services be provided under current service requirements.
Business development includes, but is not limited to any of the following: new business
construction, existing business expansions or remodeling, and existing business site revisions. With
these occurrences, the Denton Development Code and Site Plan Criteria Guidelines will apply.
MONTHT Y RA TE
Commercial refuse collection services are provided through a volume-based rate system. Refuse
will be collected in city approved, city provided containers only.
A. PERMANENT FRONT I DAD CONT ATNER SERVICE
(Long Term Scheduled Service)
1. R CITRIC YARD CONTAINER
Front Load
Pickups Cubic Yards Rate Per
Per Week Per Week Bill
1 8 $108.00
2 16 $217.00
3 24 $331.00
2. () CITRIC YARD CONTAINER
Front Load
Pickups Cubic Yards Rate Per
Per Week Per Week Bill
1 6 $ 88.00
2 12 $178.00
3 18 $271.00
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3. 4 nJRTf: YARD f:ONTATNER
Front Load Side Load
Pickups Cubic Yards Rate Per Rate Per
Per Week Per Week Bill Bill
1 4 $68.00 $79.00
2 8 $137.00 $160.00
3 12 $208.00 $242.00
4. 2 & 3 f:1JRTf: YARD f:ONTATNERS
Front Load Side Load
Pickups Cubic Yards Rate Per Rate Per
Per Week Per Week Bill Bill
1 3 $55.00 $65.00
2 6 $112.00 $131.00
3 9 $171.00 $199.00
The Solid Waste Department will establish rates to recover the full cost of service for
collection services at frequencies greater than three times per week.
New two yard and side load container services are no longer available. Customers
currently receiving two yard or side load container services that discontinue these
services may not reinstate them in the future.
5. f:ONT A TNER EXTR A SER VTf:E (F or a container reload and extra empty)
f:ont::liner Size
2 & 3 CY container
4 CY container
6 CY container
8 CY container
f:ollection Service Fee
$31.00 per pickup
$36.00 per pickup
$47.00 per pickup
$59.00 per pickup
These extra service fees apply if the truck, while on route, remains on-site to provide the
additional service. The driver waits while the customer reloads the container. On-site
waiting time in excess of fifteen (15) minutes will be charged to the customer at the rate
of $85.00 per hour. Waiting time will be billed in fifteen- minute increments.
If the driver is called in from off-site to provide same day extra service, there is a $50.00
same day service charge, plus the applicable collection service fee.
B. f:OMMERf:TAL f:ART SERVTf:E
Commercial cart service is not available city-wide. In those areas where commercial cart
collection is available, small quantity waste generators may contract for once per week
cart service. All waste must be contained in the cart. Bulky item collection services are
not provided for commercial cart service customers.
8
One (1) pickup per week service:
Cart Capacity LCart
Large $ 17.25/bill
2 Carts
$32.50/bill
A maximum of two carts is available. Service above this level will require the placement
of a metal container.
Extra empties performed while on-site will be provided at the one-cart rates listed above.
Customers on commercial cart service where fully automated collection service cannot be
provided will be charged an additional $2.00 per month per cart for providing semi-
automated or manual collection service.
C. TEMPORARYFRONTLOADCONTATNER SERVTCE
Container Size
4 CY container
8 CY container
Monthly Container Rental
$34.00/bill
$56.00/bill
Coli ecti on Servi ce Fee
$65.00 per pickup
$88.00 per pickup
Temporary service accounts incur container delivery charges to initially place the containers.
The use of a temporary container requires a minimum collection service and/or billing a
minimum of once a month.
D. ROT J ,-OFF OPEN TOP CONTATNER SERVTCE
Container Size
15 CY container
20 CY container
30 CY container
Monthly Container Rental
$70.00/bill
$85.00/bill
$98.00/bill
Coli ecti on Servi ce Fee
$203.00 per pickup
$258.00 per pickup
$304.00 per pickup
Customers that request the driver wait while they reload the container, in order for the
City to provide an additional empty(s), will be charged the collection service fee and on-
site waiting time in 15 minute increments at the rate of $85.00 per hour.
The use of a temporary roll-off container requires mInImUm service and/or billing a
minimum of once a month.
The Solid Waste Department will establish rates to recover the cost of service for
unlisted container sizes.
Construction and demolition material (C&D) collections will be provided using 20 cubic
yard containers.
9
E. ROLL-OFF COMPACTOR CONTAINER SERVICE
Container Size
30 CY compactor
42 CY compactor
Monthly Container Rental
$307.00/bill
$351.00/bill
Collection Service Fee
$356.00 per pickup
$411. 00 per pickup
The Solid Waste Department will establish rates to recover the cost of service for
unlisted container sizes.
F. () CTJRTC YARD COMPACTOR SERVTCE
Pickups
1
2
3
Monthly Container Rental
$120.00/bill
$120.00/bill
$120.00/bill
Extra Empty while on-site:
$75.00
Collection Service Fee
$136.00 per pickup
$398.00 per pickup
$685.00 per pickup
G. MUT TT-F AMTT Y RUT XY TTEM COT J ,ECTTON SERVICE
Container Size
4 CY SL container
8 CY FL container
Monthly Container Rental
$ 17.25/bill
$19.50/bill
Coli ecti on Servi ce Fee
$37.00 per pickup
$52.00 per pickup
These services are provided for the collection of residential household bulky items. Items
which will not be collected include: refrigerators, freezers, air conditioners, or any other item
manufactured to contain CFC's or PCB's. Collection services using these containers shall
occur during the customer's normal refuse collection route service. The customer must
contact Customer Service and request the bulky item container collection service on the day
prior to the requested collection date. Items placed in the container may not extend beyond
seven (7) feet high from the bottom of the container.
If the container is not serviced during the scheduled refuse collection route, and the customer
desires a special collection service, services will be provided at the standard service fees.
If the bulky item container is contaminated with refuse, construction materials, or contains
other non-bulky materials, the standard service fees will apply.
H. SHARED COMMERCTAL CONTATNERS
Shared commercial container customers must have at least one (1) cubic yard of service per
customer per week. The use of shared commercial containers shall be determined by the
Solid Waste Department staff. Rates will include the additional monitoring, billing, and
administrative costs associated with this service.
10
I. MTNTMlJM COMMERCIAL CHARGE
A minimum charge of $17.25 per bill will be charged to all commercial solid waste
customers.
Shared accounts are subject to other applicable service fees.
Customers on commercial cart service where fully automated collection service cannot be
provided will be charged an additional $2.00 per month per cart for providing semi-
automated or manual collection service.
J. SPECIAL WASTE
Denton's acceptance and disposal of Special Waste is defined by the State of Texas in the
Texas Municipal Solid Waste Management Regulations and is conditional upon the
waste requested for disposal. Acceptance of special waste is subject to Federal and State
laws and regulations, and the City of Denton has the right to refuse to accept or collect
special waste at their discretion. Charges, approved by the Director of Solid Waste, for the
collection and disposal of special waste, will be established based on the type of special
waste, and the requirements for collection and disposal of the waste.
K. SERVICE REQUIREMENTS AND CHARGES
A delivery fee of $75.00 per container will be charged to all customers for roll-off
containers. A delivery fee of $50.00 per container will be charged to all customers for front
load or side load containers.
A relocation fee of $75.00 will be charged for each roll-off container that is relocated at the
customer's site, unless relocation occurs during a service. Front load and side load container
relocations are charged $50.00 per service.
A $50.00 fee will be charged for each request for same day service. The Solid Waste
Department Customer service personnel must receive on-demand service requests prior to
11 :00 AM. on the day service is requested in order to provide same day collection service.
An access fee will be charged for containers that present accessibility problems, and/or
additional services or time. Containers that are inaccessible at the time of collection will be
charged an inaccessible fee of $75.00 for roll-off containers and $50.00 for all other
containers. On-site waiting time will be charged in fifteen (15) minute increments at the rate
of $85.00 per hour.
A $125.00 fee will be charged for the Solid Waste Department's installation or removal of
container locks.
Loaded side-load containers shall not exceed a total weight of one ton. Loaded front-load
11
containers shall not exceed a total weight of two tons. Any container evaluated by the City's
collection manager to contain excess weight shall be emptied by the customer to the level
determined by the collection manager prior to being serviced. Tickets and/or fines for
overweight roll-off loads, and the City's administrative costs, are the responsibility of the
customer, and shall be paid by the customer.
A minimum of once per week pickup service is required for those containers in which
putrescible waste is placed.
Bulky items may be delivered to the landfill by the customer. Solid waste customers may
deliver up to four (4) times per month, and up to 200 pounds of bulky items per delivery, to
Denton's landfill at no charge. Loads in excess of 200 pounds will be charged landfill rates.
Appliances manufactured to contain PCB's or CFC's, for which the customer provides no
certified removal documentation of the PCB's or CFC's, will be charged $50.00 for the
collection and disposal of each appliance and/or the associated materials. There is no charge
for the collection of appliances which were manufactured to contain either PCB's or CFC's,
if the customer provides a certificate of documentation from an approved business qualified
to remove these products indicating that the PCB's or CFC's have been properly removed
for disposal. If the Solid Waste Department is not provided a certificate of removal, the
$50.00 charge per item will be assessed if the customer requests services through the Solid
Waste Department.
Overflowing and excess waste containers, which are determined to necessitate collections
by solid waste personnel, will be charged a $50.00 service fee, plus a $40.00 charge per
cubic yard for overflowing and excess waste outside the container, which is collected,
containerized, and serviced by Solid Waste Department personnel.
Other commercial services may be provided at fees established by the Solid Waste
Department, and approved by the Director of Solid Waste. The fees established will recoup
the costs and administration of the special services provided.
For permanent containers, a commercial solid waste service deposit, if required, will be
charged based on two months of the projected billing amount. Following a service review, if
the deposit is determined to be under-projected, additional deposit funds are required to
continue receiving service.
For temporary containers, a commercial solid waste service deposit is required. It will be
charged at 50% of the estimated billing amount, or two months of estimated service,
whichever is less. Following a service review, if the deposit is determined to be under-
projected, additional deposit funds are required to continue receiving service.
12
SCHEDULE SWCR
COMMERCIAl, RECYCIJNG SERVICES
(Effective 1 % 1/05)
APPI JCA nON
Owners and managers of various multi-family living units, businesses, commercial and
institutional businesses, and properties receiving commercial solid waste collection services are
subject to receive a refuse audit to determine if they generate enough commercial recyclables to
warrant receiving commercial recycling services. Commercial recycling services are available to
specific commercial customers only.
QIJAI JFICA nON
Commercial recycling is not available for all multi-family living units and commercial and
institutional businesses operating within the City of Denton. The Director of Solid Waste or
designee will evaluate interested and solicited commercial businesses and the projected volume
of recyclable materials from these businesses to determine if commercial recycling services
justify being provided.
MONTHT Y RA TE
Rates will recover the cost of service. Rates will vary by container size, frequency of collection
service provided, and the commodity collected.
Based on the recyclable volumes projected, and the City's recommendation, collection services will
be provided using either a fixed or demand response collection schedule.
MTNTMl JM BIT J JNG
The minimum billing required is the amount of service provided and applicable for billing each
month.
ACCEPTABLE RECYCLABLE MATERIALS
Acceptable materials depend on local commodities markets and will be mutually agreed upon by the
commercial recycling customer and the City.
NON-ACCEPTABI,E MATERIAl,S
Only materials mutually agreed upon by the commercial recycling customer and the City are
acceptable in the provided recycling container. The owner/manager of the commercial entity is
the party responsible for notifying his/her personnel of proper recycling procedures.
13
RTGHT OF T,OAD REFTTSAT,
The City reserves the right to refuse recycling loads contaInIng any materials other than the
contracted material. If a load is refused as recycling by the City, it will be handled as municipal
solid waste (MSW) and incur both the contracted recycling charges as well as associated
commercial solid waste disposal rates.
OTHER CHARGES
All other solid waste services performed will be charged at listed solid waste rates, or at fees
established to recoup the costs and administration of the services provided.
RECYCT ,ART ,E MA TERTAT ,S SAT ,ES
Recyclable glass, plastic, metals, wood, and fiber materials may be sold at no less than forty-five
percent of the current market index price.
14
SCHEDULE SWL
SANTT ARY T ,ANDFTT J, SERVICES
(Effective 10/1/05)
A. MTJNT(:TPAL SOLm WASTE (MSW)DTSPOSAL RATES:
1. RETAIL RATES
a. Uncompacted Waste [Load capacity ofless than three (3) cubic yards]
[This waste excludes construction and demolition (C&D) materials.]
$33.75 per ton for waste originating within Denton's city limits
$41.00 per ton for waste originating outside of Denton' s city limits
b. Uncompacted Waste [Load capacity of three (3) or more cubic yards]
$39.00 per ton for waste originating within Denton's city limits
$41.00 per ton for waste originating outside of Denton's city limits
c. Compacted Waste
$35.00 per ton for waste originating within Denton's city limits
$37.00 per ton for waste originating outside of Denton's city limits
2. WHOLESALE RATES
a. Compacted Waste [Load capacity equal to twenty-five (25) or more cubic yards]
$21.00 per ton for waste originating within Denton's city limits
$23.00 per ton for waste originating outside of Denton' s city limits
b. Uncompacted Waste [Load capacity equal to fifty (50) or more cubic yards]
$21.00 per ton for waste originating within Denton's city limits
$23.00 per ton for waste originating outside of Denton' s city limits
When the scales are inoperative, or accurate weights cannot be determined, the following
rates may be charged based on the gross volume capacity of the vehicle, container, or trailer,
if no more accurate method is available.
Uncompacted Refuse
Compacted Refuse
$6.00 per cubic yard
$8.50 per cubic yard
The current State of Texas landfill surcharge of $1.25 per ton is included in the above
disposal rates. Any additional assessment or fees established by a government entity will
be added to the disposal rates and assessed on all waste delivered to the landfill.
B. MTNTMlJMLANDFTT,L CHARGE
There shall be a $10.00 minimum charge per load for all materials delivered to the landfill.
15
C. MTXED LOADS
Customers bringing mixed loads of municipal solid waste, yard waste, and bulky items to the
landfill will be charged the applicable rate, or rates to cover the cost to handle wastes of
various types, characteristics, and amounts.
D. TIRES
Charge Per Whole Tire
Charges for tires not shredded or quartered:
1. Automobile and Pickup tires
2. Commercial and Industrial truck tires
3. Off-road tires with larger than a 24.5" wheel diameter
$5.00
$7.00
$15.00
E. YARD WASTE
1. Whole trees and stumps
2. Clean bagged or un-bagged grass, leaves
or brush in less than twelve (12') foot lengths
3. Clean bagged or un-bagged grass, leaves,
or brush greater than twelve (12') lengths
$48.75 per ton
$16.25 per ton
$27.00 per ton
All contaminated yard waste in this category will be charged a MSW disposal rate.
F. HI IT KY ITEMS
Bulky items may be delivered to the landfill by the customer. Solid waste customers may
deliver up to four times per month, and up to 200 pounds of bulky items per delivery, to
Denton's landfill at no charge. Loads in excess of 200 pounds will be charged landfill rates.
For appliances, which were manufactured to contain PCB's or CFC's, and for which no
certified removal documentation is provided, there will be a $50.00 charge per appliance.
G.
INERT MA TERTAT ,S
$10.00 per ton
Asphalt/Concrete: Inert materials include clean and uncontaminated loads of millings,
concrete, asphalt, road-base, or similar materials, which may be recycled. The posted inert
materials rate will be charged, or rates to cover the cost to handle various types,
characteristics, and amounts of these and other acceptable inert materials. Periodically these
materials may be sold to Denton's citizens.
BrickIBlock: Clean and uncontaminated brick and block will be accepted at the landfill at no
charge.
H. SAND, CLAY, MIXED SOIL, AND ROCK SALES
The Solid Waste Department may sell excess sand, clay, mixed soil, and rock to the public.
16
Vehicle Gross Volume - In Cuhic Yards (CY's)
1.0 - 3.0 CY's
3.1- 8.0 CY's
8.1-16.0 CY's
16.1-28.0 CY's
28.1- 50.0 CY's
Rates are per Cubic Yard
Sand ~ Mixed
$5.00 $8.00 $7.50
$3.00 $5.00 $4.50
$2.50 $4.00 $3.75
$2.00 $3.20 $3.00
$1.75 $2.80 $2.64
Customers wishing to purchase large volumes of soil, and load their own vehicles will be
required to provide proof of insurance meeting the city's minimum liability insurance
coverage. Those customers will pay a rate equal to 50% of the 28.1 to 50.0 cubic yardage
volume rate. These large volume sales will require pre-approval by the Director of Solid
Waste. The soils must be excess to the needs of the Solid Waste Department. Pricing for
special soils will be established by the Director of Solid Waste at a rate to fully recover costs,
but will not be less than 20% below the large volume rates.
Large Rock will be sold on a per ton basis.
1.0 - 3.0 Tons
3.1 - 50.0 Tons
$1.10 per ton
$1. 00 per ton
I. SPECIAL WASTE
The acceptance by the landfill of and the disposal of Special Waste is conditional.
Acceptance of Special Waste is subject to Federal and State laws and regulations. The
City of Denton has the right to refuse to accept or dispose of special waste at its
discretion. Charges for the disposal of Special Waste will be established based on the type,
characteristics, and amounts of Special Waste, as well as the requirements for disposal of the
waste. Such charges shall be established by the Director of Solid Waste.
J. TJNSECTJRED I DADS
In compliance with State regulations, solid waste loads that are not adequately secured to
prevent the material from spilling will be charged an Unsecured Load Charge of $20.00 for
each load.
K. OTHER CHARGES
Other landfill services that are not otherwise listed under this Schedule SWL, may be
provided by the City at fees established by the Director of Solid Waste. Such fees shall be
established that will recover the operational costs, administrative costs, and any other direct
or indirect costs incident to the non-listed landfill services.
17
SECTION 2 That the Director of Solid Waste of the City of Denton is hereby authorized to deny
the use of the City of Denton landfill to any customer who provides false information regarding the
origin of, or the composition of the solid waste delivered for disposal to the landfill; or for safety
violations committed by a customer within the landfill; or for non-compliance with verbal and
written instructions provided to the customer by Solid Waste Department personnel at the landfill; or
for nonpayment of delinquent funds owed by the customer to the City of Denton, Texas; or for any
violation of the law committed by the customer within the landfill; or for any non-compliance by the
customer with the Texas Commission on Environmental Quality regulations or policies; or for any
non-compliance by the customer with the City of Denton's Code of Ordinances or rules; or for any
violation of the written landfill rules by the customer as posted by the Solid Waste Department at the
entrances to the landfill, from time to time.
SECTION 1. That it is in the public interest that the provisions of Sections 26-3,26-4,26-5,26-7,
26-8(a), and 26-9 of Article I of Chapter 26 of the City of Denton Code of Ordinances shall
expressly apply to City of Denton Solid Waste service.
SECTION 4. That all ordinances or parts of ordinances in force when the provisions of this
ordinance became effective which are inconsistent, or in conflict with the terms or provisions
contained in this ordinance are hereby repealed to the extent of any such conflict.
SECTION 5. That if any section, subsection, paragraph, sentence, clause, phrase, or word in this
ordinance, or the application thereof to any person or under any circumstances is held invalid by any
court of competent jurisdiction, such holding shall not affect the validity of the remaining portions of
this ordinance, and the City Council of the City of Denton, Texas, hereby declares it would have
enacted such remaining portions despite any such invalidity.
SECTION h. That this ordinance shall become effective, charged, and applied to all solid waste
services rendered on and after October 1, 2005; and a copy of said rates, fees, and charges shall be
maintained on file in the Office of the City Secretary of Denton, Texas.
PASSED AND APPROVED this the
day of
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
By:
18
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
By:
19
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CITY OF DENTON, TEXAS
PUBLIC UTILITIES BOARD MEETING AGENDA
FOR AUGUST 22, 2005
9:00 A. M.
DRAFT
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After determining that a quorum of the Public Utilities Board of the City of Denton, Texas was
present, the Public Utilities Board convened into an Open Meeting on Monday, August 22,2005
at 9:00 a.m. in the Service Center Training Room, City of Denton Service Center, 901-A Texas
Street, Denton, Texas.
Present:
Bob Bland, John Baines, Bill Cheek, Phil Gallivan, Charldean Newell,
EX OFFICIO MEMBERS
Michael Conduff, City Manager
Howard Martin, ACM. /Utilities
Excused:
Dick Smith
George Hopkins
ITEMS FOR INDIVIDUAL CONSIDERATION:
6) Consider recommending approval of the Electric, Water, Wastewater, Solid Waste, and
Miscellaneous Rate Ordinances for FY 2005-06.
Howard Martin, ACM Utilities, reported to the Board that staff is requesting approval of Utility
Rate Ordinances that reflect changes in support of the FY 2005-06 Budget. Martin explained
that the Chapter 24 Code of Ordinance was not included in the backup material. Martin wanted
to know how the Board wanted to proceed, that is, whether Board Members wanted staff to place
the Chapter 24 Rate Ordinance on the next agenda or pull the Solid Waste Rate Ordinance and
vote on both items at the same time. It was determined that the Chapter 24 Code of Ordinance
would be discussed at the next meeting.
Gallivan commented that the increase in the cart service seemed excessive. Martin responded
that it has been determined that $4.6M is needed for solid waste operations. The rates were
based on several assumptions and will be fined tuned when the customer base has been defined.
Gallivan also reminded staff to be consistent when referring to cart sizes. In some instances
carts are referenced in gallons and in some instances by size small, medium or large.
Newell expressed several concerns as it relates to transitioning to cart service:
Page 1 of 3
Exhibit 7
1
2 Lack of Public Education on Cart Service
3 ADA Requirements, as it relates to making cart pickup service available to all
4 citizens
5 Development Code Requirements as it relates to cart pickup in older communities
6 Trash and Recycling scheduled for the same day and the difficulty of
7 maneuvering two carts
8 Potential traffic hazards along some heavily traveled but narrow streets.
9
10 Kemler responded that when and if the Council approves the transition to cart service, an intense
11 Public Education promotion will begin that will address her concerns. Kemler continued to say
12 the Solid Waste staff has been working with the Public Information Staff on educational
13 material. The FY 2005-2006 Budget is scheduled for approval September 20,
14 2005;implementation of cart service is scheduled to begin October 2005.
15
16 Bland asked if the bag distribution will be discontinued. Martin responded that clear bags will
17 continue to be distributed for yard waste.
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19 Newell called for a motion to approve the Solid Waste Rate Ordinance.
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21 Bland moved to approve the Solid Waste Rate Ordinance contingent upon the passage of
22 the Chapter 24 Rate Changes that are scheduled to be presented at the next PUB meeting
23 with a second from Cheek. The motion was approved by a vote of 5 to O.
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25 Newell called for a motion to approve the Electric Rate Ordinance
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27 Baines expressed concern regarding the impact the rate increases will have on individuals with
28 low and/or fixed incomes. The Board recalled its stated preference for some sort oflifeline rate.
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30 Gallivan moved to approve the Electric Rate Ordinance with a second from Bland. The
31 motion was approved by a vote of 5 to O.
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33 Newell called for a motion to approve the Water Ordinance.
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35 Bland moved to approved the Water Rate Ordinance with a second from Cheek. The
36 motion was approved by a vote of 5 to O.
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38 Newell called for a motion to approve the Wastewater Ordinance.
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40 Cheek recommended that the rate for asphalt milling be increased from $8.00/cy to $lO.OO/cy
41 which is more reflective of the market rate.
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43 Cheek moved to approve the Wastewater Ordinance contingent upon increasing the
44 asphalt milling price to $10.00/cy with a second from Bland. The motion was approved by
45 a vote of 5 to O.
46 Newell called for a motion to approve the Miscellaneous Rate Ordinance.
Page 2 of 3
1
2 Cheek asked staff to request clarification from legal regarding use of the word "contractor" on
3 page 9, under the heading Interest Earned on Contract Retainage, is the appropriate usage. It
4 was discussed that "customer" may be the appropriate reference.
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6 Bland moved to approved the Miscellaneous Rate Ordinance with a second from Gallivan,
7 with clarification about the usage of "contractor." The motion was approved by a vote of 5
8 to O.
Page 3 of 3
AGENDA INFORMATION SHEET
AGENDA DATE:
September 20, 2005
DEPARTMENT:
Utilities Administration
Howard Martin, Utilities 349-8232 ..
ACM:
SUBJECT
Consider adoption of the Electric, Water, Wastewater, Solid Waste, Miscellaneous and Utility Engineering Rate
Ordinances. (The Public Utilities Board recommends approval 5-0.)
BACKGROUND
The proposed rate ordinances included in this agenda are designed to recover the cost of service
for each utility and provide a positive or breakeven net income.
During the budget presentations, the Council reviewed each Utilities budget and the proposed
rate changes that could be implemented to support the proposed FY 2005-06 budget and FY
2006-10 CIP. Included in the presentations was the increase in the Electric rates that were not
increased on January 1,2005. At Council's direction staff developed proposed base rate
increases for the remaining rate classes with the goal of having the overall impact of the changes
fall as close as possible to the 3.5% average increase previously applied to the residential,
commercial, and industrial classes. Wastewater rates were increased based on the direction
given by the PUB and Council during the FY 2004-05 budget presentations, which outlined
future rate increases. Staff has also developed a rate structure for Solid Waste that will support
once per week cart service and a Household Hazardous Waste program.
Also included in the attached rate ordinances is the Engineering Inspection Fees Ordinances. In
FY 2004-05 Engineering and the associated revenues were transferred to the Water Fund. Staff
has since included these fees in the annual rate ordinance review to the Public Utilities Board and
received approval. In the past these fees were in several different ordinances and not reviewed
on an annual basis. Staff has revised the current rates to reflect full cost recovery and combined
all engineering fees into one ordinance.
SUMMARY
No base rate increases are proposed for Water retail customers. The various Electric, Water
Wholesale, Wastewater and Solid Waste rate changes discussed during the budget review are
outlined in greater detail below. All changes have been highlighted in red in the attached
ordinances.
ELECTRIC RATE RECOMMENDATIONS
. Increase the Local Government Rate
Single-Phase Facility Charge from $15.15 to $15.80/bill
Three-Phase Facility Charge from $20.20 to $21.1 O/bill
Demand Charge from $6.31 to $6. 81/KW
Energy Charge from 3.03~ to 3.15~/KWH
. Increase the Weekend Rate
Single-Phase Facility Charge from $20.00 to $20.86/bill
Three-Phase Facility Charge from $25.00 to $26.08/bill
Demand Charge from $6.40 to $6.72/KW
Energy Charge from 6.75~ to 7.02~/KWH for the first 2,500 KWH
3.00~ to 3.67~/KWH for the next 3,500 KWH
2.65~ to 2.70~/KWH for all additional KWH
. Increase the Athletic Field Rate
Single-Phase Facility Charge from $20.20 to $21.07/bill
Three-Phase Facility Charge from $30.30 to $31.60/bill
Demand Charge from $4.70 to $4.94/KW for Peak Hours (June- September)
$1.11 to $1.17/KW for All Other Hours (June-September)
$1.11 to $1.17/KW for All Hours (October-May)
Energy Charge from 7.58~ to 7.96~/KWH for Peak Hours (June-September)
3.79~ to 3.98~/KWH for All Other Hours (June-September)
3.79~ to 3.98~/KWH for all additional KWH (October-May)
. Increase the Street Lighting Rate
LSA 100 W Sodium Vapor Facility Charge from $4.90 to $5. 15/bill
LSB 250 W Sodium Vapor Facility Charge from $6.95 to $730/bill
LSC 400 W Sodium Vapor Facility Charge from $8.75 to $9. 19/bill
. Increase the Traffic Lighting Rate and Other Lighting Rate
Energy Charge from 5.30~ to 5.62~/KWH
. Increase Security Lighting Rate
DSA 100 W Sodium Vapor Facility Charge from $7.75 to $8. 14/bill
DSB 250 W Sodium Vapor Facility Charge from $10.05 to $10.76/bill
DSC 400 W Sodium Vapor Facility Charge from $12.35 to $12.97/bill
DHA 250 W Metal Halide Facility Charge from $12.05 to $12.65/bill
DHB 400 W Metal Halide Facility Charge from $14.35 to $15.07/bill
. Increase the Downtown Decorative Lighting Rate
Facility Charge from $3.85 to $4.04/bill
. Add a Decorative Street Lighting Rate
Energy Charge 5.62~/KWH plus applicable ECA rate
. Temporary Service Schedule
Single-Phase Facility Charge from $15.15 to $15.80/bill
Three-Phase Facility Charge from $20.20 to $21.1 O/bill
Energy Charge from 6.77~ to 7.11~/KWH
. Add a Dark Fiber Rate
Fiber Mileage Charge
Building Presence Charge
Total Fiber Rate
$400/fiber pair/mile/month; and
$180/location/month
$580/fiber pair/mile/month/location
WATER RATE RECOMMENDATIONS
. Revise the Wholesale Raw Water Rate (WRW) applicable to Upper Trinity Regional
Water District (UTRWD). The FY 2005 City of Dallas raw water wholesale rate is
projected to be $0.4406/1,000 gallons, an increase of 9.51 % from the existing rate of
$0.3987/1,000 gallons. Denton's raw water wholesale rate to UTRWD, which is set at
85% of Dallas' raw water wholesale rate, will correspondingly increase from the existing
price of $0.3389/1,000 gallons to $0.3745/1,000 gallons. This rate is determined by the
terms of the raw water contract between Denton and UTRWD.
. Increase the rate for the pass-through raw water sent from Lake Chapman into Lake
Lewisville by the UTRWD per the Cooper Reservoir Project Contract and all "Chapman"
water reclaimed for reuse if discharged into and subsequently withdrawn from Lewisville
Lake by UTRWD or Lewisville. The rate will increase from $0.0207/1,000 gallons to
$.0212/1,000 gallons. The rate adjustment is determined by the consumer price index,
which as of June 30, 2005 is 2.5% over the same period last year.
W ASTEW A TER RATE RECOMMENDATIONS
. Increase all retail and wholesale facility, volume, and surcharges by 6% per the budget
proposal.
. Remove the Dyno Chips product-line as it is no longer produced.
. Add an Asphalt Milling rate of $8.00/cubic yard
SOLID WASTE RATE RECOMMENDATIONS
. Increase the residential cart rate for each cart size per the following:
1 cart servi ce
Large from $15.00 to $17.25
Medium from $13.00 to $16.50
Small from $12.00 to $15.75
2 cart servi ce
Large from $28.00 to $32.50
. Increase the rate for Residential Manual bagged pickup service from $17.75 to $19.00 for
those customers requiring manual pickup and reducing the number of pickups per week
from two to one.
. Increase the minimum billing rate from $11.70 to $15.00 for unoccupied residential
family units remaining vacant for a period greater than two months and maintaining other
utility services.
. Increase the residential construction materials rate from $50.00 to $60.00 for one cubic
yard or less and $10.00 for each additional cubic yard or part of a cubic yard.
. Increase the residential recycling rate from $2.99 to $3.50 to fund Household Hazardous
Waste.
. Establish a multifamily recycling rate of $1.75 per unit to fund recycling and Household
Hazardous Waste.
. Increase all the commercial collection services by an average of 5%.
. Remove Schedule SWP - Collection and Transportation Services Permit
. Include in the Sanitary Landfill Services the sale of excess sand, clay, mixed soil and
rock at the published rates.
MISCELLANEOUS RATE RECOMMENDATIONS
. Removal of the "Interest Earned on Contract Retainage" section of the Miscellaneous
Rate Ordinance since it is covered by state statute.
ENGINEERING INSPECTION FEES RECOMMENA TIONS
Right-of-Way Inspections
Overtime Inspections
$35.00
$50.00
to
to
$75.00
$90.00
These Right-of-Way and Overtime inspection fees were last updated in 1999 and did not reflect
full cost recovery at that time.
Parking Lot Inspections
1 - 50 spaces $100.00 to
51 - 100 spaces $200.00 to
101 - 250 spaces $300.00 to
251 - 500 spaces $400.00 to
$450.00
$600.00
$750.00
$900.00
Parking Lot Inspections were also last updated in FY 1999. The above increased fees are based
on the average number of trips to perform all inspections and the time allocated to those trips
multiplied by the proposed hourly rate of $75.00. Fees for appeals and variances to the Traffic
Safety Commission have been increased from $250.00 to $300.00.
Loading Zone Permits and Renewals
Single Loading Zone $132.00 to $175.00
Double Loading Zone $264.00 to $350.00
Loading Zone Permits were last updated in FY 1993.
Though the increases may seem excessive, the previous rates were not designed to fully recover
cost. The proposed fees have been adjusted to fully recovery inspection costs associated with
development, as are all other utilities rates.
OPTIONS
1. Approve the rates as recommended by the Public Utilities Board.
2. Recommend different rates than recommended by the Public Utilities Board.
RECOMMENDA TION
Staff recommends approval of the proposed ordinances.
PRIOR ACTIONIREVIEW (Council, Boards, Commission)
The Public Utilities Board recommended approval of the proposed rate ordinances on August 22,
2005 by a vote of 5-0.
FISCAL SUMMARY
The rates and charges included in the utility rate ordinances provide the revenues necessary to
cover the cost of service to customers.
EXHIBITS
1. FY 2005-06 Electric Rate Ordinance
2. FY 2005-06 Water Rate Ordinance
3. FY 2005-06 Wastewater Rate Ordinance
4. FY 2005-06 Solid Waste Rate Ordinance
5. FY 2005-06 Miscellaneous Rate Ordinance
6. FY 2005-06 Engineering Inspection Fees Ordinance
7. PUB Minutes
Respectfully submitted:
Howard Martin
ACM Utilities
ORDINANCE NO. 2005-
AN ORDINANCE OF THE CITY OF DENTON, TEXAS PROVIDING FOR THE
SCHEDULE OF MISCELLANEOUS FEES, DEPOSITS, BILLINGS AND PROCEDURES
FOR ADMINISTRATIVE SERVICES TO CITY CUSTOMERS AND TAXPAYERS
CONTAINED IN ORDINANCE NO. 2004-387 AND AS ALSO AMENDED DURING
PREVIOUS FY 2004-2005; PROVIDING FOR A REPEALER; PROVIDING FOR A
SEVERABILITY CLAUSE; AND PROVIDING FOR AN EFFECTIVE DATE.
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. That the schedule of charges for general utility services as generally
provided for in Chapter 26 of the Code of Ordinances; and for services to other City of Denton
customers and taxpayers, are hereby established as follows:
SERVICE CHARGES AND PROCEDURES SCHEDULES
A.
ACCOUNT CONNECTION AND RECONNECTION CHARGES
PAGE
Electric Meter Installation Charge
3
Electric and Water Meter Connection Charge
3
Delinquent Service Charge
4
Unauthorized Usage Penalty
4
B. METER CHARGES
Meter Reading
5
Meter Testing
5
Meter Tampering and/or Damage Charge
5
Meter Inaccessibility Charge
6
C. MISCELLANEOUS FEES, CHARGES AND DEPOSITS
Returned Payment Charge
7
Service Deposits
7
1
EXHIBIT 5
Waiver of Service Deposits
Late Payment Charge Due on Delinquent Balances
Interest Charge on Past Due Account Balance
Credit Report Charge
Interest Earned on Contract Retainage
8
8
9
9
9
2
ACCOUNT CONNECTION AND RECONNECTION CHARGES
(Effective 1 % 1/05)
For the purposes of this rate schedule, business hours shall be defined as Monday through
Friday, 8:00 AM to 5:00 PM.
ELECTRIC METER INSTALLATION CHARGE
APPLICATION
Applicable when a customer requests electric service on a first time basis where no permanent
service previously existed and where a new account number is established.
CHARGE
First Service Requested
$22.00
First Service Requested, after
business hours
$35.00
ELECTRIC AND WATER METER CONNECTION CHARGE
APPLICATION
Applicable when a customer requests service at an address which has eXIstmg or previous
service, with an existing account number and history, and the electric and/or water meter must be
installed or activated for readiness.
CHARGE
Electric Service Requested
Water Service Requested
$11. 00
$11. 00
Electric Service Requested, after
Business Hours
$25.00
Water Service Requested, after
Business Hours
$25.00
3
DELINQUENT SERVICE CHARGE
(Effective 1 % 1/05)
APPLICATION
Applicable when a customer's account is processed for disconnection due to nonpayment.
CHARGE
Delinquent Service Charge
$22.00
Reconnect Charge, after business hours
$55.00
UNAUTHORIZED USAGE PENALTY
APPLICATION
Applicable to any customer that fails to request connection of services within 24 hours of
occupancy in a new service location.
CHARGE
Unauthorized Usage Penalty
$30.00
4
METER CHARGES
(Effective 1 % 1/05)
METER READING
APPLICATION
Applicable to any electric or water utility customer who requests a reading of a city meter due to
a contested billing more than twice in the previous twelve (12) months, and no error is found.
CHARGE
Per Additional Reading
$25.00
METER TESTING
APPLICATION
Applicable to any customer who requests the testing of a city meter previously tested within the
past four (4) years and the meter is found to be within accuracy standards.
CHARGE
Per Test
$27.00/KWH Electric Meter
$38.00/KW/KWH Electric Meter
ACCURACY STANDARDS
A meter is defined as within accuracy standards when found to be plus or minus two percent
(2%) or less.
METER TAMPERING AND/OR DAMAGE CHARGE
APPLICATION
Applicable to any person that tampers with, damages, or illegally connects to a city electric,
water, or wastewater utility system.
CHARGE
Per Event
$200.00 minimum per connection per system
5
METER INACCESSIBILITY CHARGE
APPLICATION
Applicable to any customer who prevents the regular and routine reading, maintenance, repair or
removal of any city meter due to inaccessibility of the meter.
CHARGE
Per event
$38.00
6
MISCELLANEOUS FEES, CHARGES, AND DEPOSITS
(Effective 1 % 1/05)
RETURNED PAYMENT CHARGE
APPLICATION
Applicable when a customer's or taxpayer's check, or money order, or bank draft for payment of
fees, fines, court costs, taxes, utilities, or other charges has been dishonored by the maker's bank
and returned to the City of Denton unpaid.
CHARGE
Per Check
$27.00
SERVICE DEPOSITS
APPLICATION
Applicable when a residential customer requests utility service in the City of Denton service area
and does not have twelve (12) months of good credit standing with the City of Denton or another
utility system for the type of service requested, or does not have a co-signer with twelve (12)
months of good credit standing with the City of Denton, or does not request and demonstrate a
passing credit rating through a credit reporting agency.
Applicable when a commercial customer does not have twenty-four (24) months of good credit
standing with the City of Denton, or a commercial letter of good credit from another utility
system. Not applicable when a commercial customer provides an irrevocable letter of credit to
the City of Denton as security for payment.
CHARGE
Residential Customer
$150.00 or an amount equal to 1/6 of the last
12 months of billing at the service location.
If utility service is disconnected for non-
payment, then the customer will be required
to pay a deposit sum up to but not greater
than 1/6 of the last 12 months of billing at
the service location.
Commercial Customer
$300.00 or an amount equal to 1/6 of the last
12 months of billing at the service location,
whichever is greater. If utility service is
disconnected for non-payment, then the
customer will be required to pay a deposit
7
sum equal to 1/6 of the last 12 months of
billing at the service location.
Deposits will earn interest for the customer. The applicable rate of interest will be adjusted
semi-annually to equal the rate of a one-year United States Treasury Note on October 1 and April
1 of each year. If refund of deposit is made within thirty (30) days of receipt of deposit, no
interest payment will be made. If the City retains the deposit more than thirty (30) days,
payment of interest, at the current rate, shall be made retroactive to the date the deposit was paid,
A. Payment of the interest to the customer shall be made at the time the deposit is returned
or credited to the customer's account.
B. The deposit shall cease to earn interest on the date it is returned or credited to the
customer's account.
WAIVER OF SERVICE DEPOSITS
APPLICATION
Applicable when an Applicant is a citizen of the City of Denton, Texas and who also is a "victim
of family violence," applies for utility service in the City of Denton, Texas. To be a qualified as
a "victim of family violence" an Applicant must secure and provide a certification letter,
provided by one of the certifying entities to the Utilities Customer Service Department.
If a proper, dated and completed certification letter is presented by or on behalf of the Applicant
to the Utilities Customer Service Department, and its issuance is verified by the Utilities
Customer Service Department, then the requirement of a utility deposit shall be waived for that
Applicant. This provision is applicable solely to "victims of family violence" as defined by
Texas Family Code, 971.004, as amended. No other relief from the City's utility rates, or
deposits, or charges, or fees is hereby provided to "victims of family violence."
LA TE PAYMENT CHARGE DUE ON DELINQUENT BALANCES
APPLICATION
To cover a portion of the administrative costs of collecting past due balances, a late payment
charge shall be assessed on the fifth business day following the due date.
CHARGE
$10.00 late payment charge
8
INTEREST CHARGE ON PAST DUE ACCOUNT BALANCE
APPLICATION
Interest shall be assessed on any past due account balance (excluding late payment charges) that
remains unpaid at the time of the current month's billing calculation. The interest provided for
and assessed herein shall be due and payable on the due date of the current month's billing
statement.
CHARGE
1 % / month on all past due charges and account balances
unpaid at the time of the current month's billing
calculation. **
**Under no circumstances shall the interest charge provided for herein exceed the legal rate of interest. To the extent that it
does so, the charge is inadvertent, and the City intends only to assess, charge and collect such interest rate that does not exceed
the highest lawful rate.
CREDIT REPORT CHARGE
APPLICATION
This fee is applicable if the customer: (a) cannot provide a satisfactory credit rating through
previous service history with Denton Municipal Utilities or another utility service; or (b) cannot
provide the city with a qualified co-signer, and (c) provides written authorization for the city to
obtain a credit rating from a credit source available to the city.
CHARGE
Charge per credit report
$13 .00
INTEREST EARNED ON CONTRACT RETAINAGE
Contract retainage will earn interest for the contractor as provided by TEX REV. CIV. STAT.
ANN. Article 6252, Sec.5b (Vernon Supp. 1992). The rate of interest will be adjusted semi-
annually to equal the interest rate of a one year United States Treasury Note on October 1 and
April 1 of each year. Payment of the interest shall be made at the time the retainage is paid to the
contractor.
9
SECTION 2. That all ordinances or parts of ordinances in force when the provisions of
this ordinance became effective which are inconsistent, or in conflict with the terms or
provisions contained in this ordinance are hereby repealed to the extent of any such conflict.
SECTION 3. That if any section, subsection, paragraph, sentence, clause, phrase or
word in this ordinance, or application thereof to any person or circumstances is held invalid by
any court of competent jurisdiction, such holding shall not affect the validity of the remaining
portions of this ordinance, and the City Council of the City of Denton, Texas, hereby declares it
would have enacted such remaining portions despite any such invalidity.
SECTION 4. That this ordinance shall become effective, charged, and applied to all
services occurring on and after October 1, 2005; and a copy of said fees and charges shall be
maintained on file in the Office of the City Secretary of Denton, Texas.
PASSED AND APPROVED this the
day of
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
By:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
By:
8:IOur DocumentslOrdinancesl051FY 2006-Miscellaneous Rate Ordinance-D1.doc
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CITY OF DENTON, TEXAS
PUBLIC UTILITIES BOARD MEETING AGENDA
FOR AUGUST 22, 2005
9:00 A. M.
DRAFT
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After determining that a quorum of the Public Utilities Board of the City of Denton, Texas was
present, the Public Utilities Board convened into an Open Meeting on Monday, August 22,2005
at 9:00 a.m. in the Service Center Training Room, City of Denton Service Center, 901-A Texas
Street, Denton, Texas.
Present:
Bob Bland, John Baines, Bill Cheek, Phil Gallivan, Charldean Newell,
EX OFFICIO MEMBERS
Michael Conduff, City Manager
Howard Martin, ACM. /Utilities
Excused:
Dick Smith
George Hopkins
ITEMS FOR INDIVIDUAL CONSIDERATION:
6) Consider recommending approval of the Electric, Water, Wastewater, Solid Waste, and
Miscellaneous Rate Ordinances for FY 2005-06.
Howard Martin, ACM Utilities, reported to the Board that staff is requesting approval of Utility
Rate Ordinances that reflect changes in support of the FY 2005-06 Budget. Martin explained
that the Chapter 24 Code of Ordinance was not included in the backup material. Martin wanted
to know how the Board wanted to proceed, that is, whether Board Members wanted staff to place
the Chapter 24 Rate Ordinance on the next agenda or pull the Solid Waste Rate Ordinance and
vote on both items at the same time. It was determined that the Chapter 24 Code of Ordinance
would be discussed at the next meeting.
Gallivan commented that the increase in the cart service seemed excessive. Martin responded
that it has been determined that $4.6M is needed for solid waste operations. The rates were
based on several assumptions and will be fined tuned when the customer base has been defined.
Gallivan also reminded staff to be consistent when referring to cart sizes. In some instances
carts are referenced in gallons and in some instances by size small, medium or large.
Newell expressed several concerns as it relates to transitioning to cart service:
Page 1 of 3
Exhibit 7
1
2 Lack of Public Education on Cart Service
3 ADA Requirements, as it relates to making cart pickup service available to all
4 citizens
5 Development Code Requirements as it relates to cart pickup in older communities
6 Trash and Recycling scheduled for the same day and the difficulty of
7 maneuvering two carts
8 Potential traffic hazards along some heavily traveled but narrow streets.
9
10 Kemler responded that when and if the Council approves the transition to cart service, an intense
11 Public Education promotion will begin that will address her concerns. Kemler continued to say
12 the Solid Waste staff has been working with the Public Information Staff on educational
13 material. The FY 2005-2006 Budget is scheduled for approval September 20,
14 2005;implementation of cart service is scheduled to begin October 2005.
15
16 Bland asked if the bag distribution will be discontinued. Martin responded that clear bags will
17 continue to be distributed for yard waste.
18
19 Newell called for a motion to approve the Solid Waste Rate Ordinance.
20
21 Bland moved to approve the Solid Waste Rate Ordinance contingent upon the passage of
22 the Chapter 24 Rate Changes that are scheduled to be presented at the next PUB meeting
23 with a second from Cheek. The motion was approved by a vote of 5 to O.
24
25 Newell called for a motion to approve the Electric Rate Ordinance
26
27 Baines expressed concern regarding the impact the rate increases will have on individuals with
28 low and/or fixed incomes. The Board recalled its stated preference for some sort oflifeline rate.
29
30 Gallivan moved to approve the Electric Rate Ordinance with a second from Bland. The
31 motion was approved by a vote of 5 to O.
32
33 Newell called for a motion to approve the Water Ordinance.
34
35 Bland moved to approved the Water Rate Ordinance with a second from Cheek. The
36 motion was approved by a vote of 5 to O.
37
38 Newell called for a motion to approve the Wastewater Ordinance.
39
40 Cheek recommended that the rate for asphalt milling be increased from $8.00/cy to $lO.OO/cy
41 which is more reflective of the market rate.
42
43 Cheek moved to approve the Wastewater Ordinance contingent upon increasing the
44 asphalt milling price to $10.00/cy with a second from Bland. The motion was approved by
45 a vote of 5 to O.
46 Newell called for a motion to approve the Miscellaneous Rate Ordinance.
Page 2 of 3
1
2 Cheek asked staff to request clarification from legal regarding use of the word "contractor" on
3 page 9, under the heading Interest Earned on Contract Retainage, is the appropriate usage. It
4 was discussed that "customer" may be the appropriate reference.
S
6 Bland moved to approved the Miscellaneous Rate Ordinance with a second from Gallivan,
7 with clarification about the usage of "contractor." The motion was approved by a vote of 5
8 to O.
Page 3 of 3
AGENDA INFORMATION SHEET
AGENDA DATE:
September 20, 2005
DEPARTMENT:
Utilities Administration
Howard Martin, Utilities 349-8232 ..
ACM:
SUBJECT
Consider adoption of the Electric, Water, Wastewater, Solid Waste, Miscellaneous and Utility Engineering Rate
Ordinances. (The Public Utilities Board recommends approval 5-0.)
BACKGROUND
The proposed rate ordinances included in this agenda are designed to recover the cost of service
for each utility and provide a positive or breakeven net income.
During the budget presentations, the Council reviewed each Utilities budget and the proposed
rate changes that could be implemented to support the proposed FY 2005-06 budget and FY
2006-10 CIP. Included in the presentations was the increase in the Electric rates that were not
increased on January 1,2005. At Council's direction staff developed proposed base rate
increases for the remaining rate classes with the goal of having the overall impact of the changes
fall as close as possible to the 3.5% average increase previously applied to the residential,
commercial, and industrial classes. Wastewater rates were increased based on the direction
given by the PUB and Council during the FY 2004-05 budget presentations, which outlined
future rate increases. Staff has also developed a rate structure for Solid Waste that will support
once per week cart service and a Household Hazardous Waste program.
Also included in the attached rate ordinances is the Engineering Inspection Fees Ordinances. In
FY 2004-05 Engineering and the associated revenues were transferred to the Water Fund. Staff
has since included these fees in the annual rate ordinance review to the Public Utilities Board and
received approval. In the past these fees were in several different ordinances and not reviewed
on an annual basis. Staff has revised the current rates to reflect full cost recovery and combined
all engineering fees into one ordinance.
SUMMARY
No base rate increases are proposed for Water retail customers. The various Electric, Water
Wholesale, Wastewater and Solid Waste rate changes discussed during the budget review are
outlined in greater detail below. All changes have been highlighted in red in the attached
ordinances.
ELECTRIC RATE RECOMMENDATIONS
. Increase the Local Government Rate
Single-Phase Facility Charge from $15.15 to $15.80/bill
Three-Phase Facility Charge from $20.20 to $21.1 O/bill
Demand Charge from $6.31 to $6. 81/KW
Energy Charge from 3.03~ to 3.15~/KWH
. Increase the Weekend Rate
Single-Phase Facility Charge from $20.00 to $20.86/bill
Three-Phase Facility Charge from $25.00 to $26.08/bill
Demand Charge from $6.40 to $6.72/KW
Energy Charge from 6.75~ to 7.02~/KWH for the first 2,500 KWH
3.00~ to 3.67~/KWH for the next 3,500 KWH
2.65~ to 2.70~/KWH for all additional KWH
. Increase the Athletic Field Rate
Single-Phase Facility Charge from $20.20 to $21.07/bill
Three-Phase Facility Charge from $30.30 to $31.60/bill
Demand Charge from $4.70 to $4.94/KW for Peak Hours (June- September)
$1.11 to $1.17/KW for All Other Hours (June-September)
$1.11 to $1.17/KW for All Hours (October-May)
Energy Charge from 7.58~ to 7.96~/KWH for Peak Hours (June-September)
3.79~ to 3.98~/KWH for All Other Hours (June-September)
3.79~ to 3.98~/KWH for all additional KWH (October-May)
. Increase the Street Lighting Rate
LSA 100 W Sodium Vapor Facility Charge from $4.90 to $5. 15/bill
LSB 250 W Sodium Vapor Facility Charge from $6.95 to $730/bill
LSC 400 W Sodium Vapor Facility Charge from $8.75 to $9. 19/bill
. Increase the Traffic Lighting Rate and Other Lighting Rate
Energy Charge from 5.30~ to 5.62~/KWH
. Increase Security Lighting Rate
DSA 100 W Sodium Vapor Facility Charge from $7.75 to $8. 14/bill
DSB 250 W Sodium Vapor Facility Charge from $10.05 to $10.76/bill
DSC 400 W Sodium Vapor Facility Charge from $12.35 to $12.97/bill
DHA 250 W Metal Halide Facility Charge from $12.05 to $12.65/bill
DHB 400 W Metal Halide Facility Charge from $14.35 to $15.07/bill
. Increase the Downtown Decorative Lighting Rate
Facility Charge from $3.85 to $4.04/bill
. Add a Decorative Street Lighting Rate
Energy Charge 5.62~/KWH plus applicable ECA rate
. Temporary Service Schedule
Single-Phase Facility Charge from $15.15 to $15.80/bill
Three-Phase Facility Charge from $20.20 to $21.1 O/bill
Energy Charge from 6.77~ to 7.11~/KWH
. Add a Dark Fiber Rate
Fiber Mileage Charge
Building Presence Charge
Total Fiber Rate
$400/fiber pair/mile/month; and
$180/location/month
$580/fiber pair/mile/month/location
WATER RATE RECOMMENDATIONS
. Revise the Wholesale Raw Water Rate (WRW) applicable to Upper Trinity Regional
Water District (UTRWD). The FY 2005 City of Dallas raw water wholesale rate is
projected to be $0.4406/1,000 gallons, an increase of 9.51 % from the existing rate of
$0.3987/1,000 gallons. Denton's raw water wholesale rate to UTRWD, which is set at
85% of Dallas' raw water wholesale rate, will correspondingly increase from the existing
price of $0.3389/1,000 gallons to $0.3745/1,000 gallons. This rate is determined by the
terms of the raw water contract between Denton and UTRWD.
. Increase the rate for the pass-through raw water sent from Lake Chapman into Lake
Lewisville by the UTRWD per the Cooper Reservoir Project Contract and all "Chapman"
water reclaimed for reuse if discharged into and subsequently withdrawn from Lewisville
Lake by UTRWD or Lewisville. The rate will increase from $0.0207/1,000 gallons to
$.0212/1,000 gallons. The rate adjustment is determined by the consumer price index,
which as of June 30, 2005 is 2.5% over the same period last year.
W ASTEW A TER RATE RECOMMENDATIONS
. Increase all retail and wholesale facility, volume, and surcharges by 6% per the budget
proposal.
. Remove the Dyno Chips product-line as it is no longer produced.
. Add an Asphalt Milling rate of $8.00/cubic yard
SOLID WASTE RATE RECOMMENDATIONS
. Increase the residential cart rate for each cart size per the following:
1 cart servi ce
Large from $15.00 to $17.25
Medium from $13.00 to $16.50
Small from $12.00 to $15.75
2 cart servi ce
Large from $28.00 to $32.50
. Increase the rate for Residential Manual bagged pickup service from $17.75 to $19.00 for
those customers requiring manual pickup and reducing the number of pickups per week
from two to one.
. Increase the minimum billing rate from $11.70 to $15.00 for unoccupied residential
family units remaining vacant for a period greater than two months and maintaining other
utility services.
. Increase the residential construction materials rate from $50.00 to $60.00 for one cubic
yard or less and $10.00 for each additional cubic yard or part of a cubic yard.
. Increase the residential recycling rate from $2.99 to $3.50 to fund Household Hazardous
Waste.
. Establish a multifamily recycling rate of $1.75 per unit to fund recycling and Household
Hazardous Waste.
. Increase all the commercial collection services by an average of 5%.
. Remove Schedule SWP - Collection and Transportation Services Permit
. Include in the Sanitary Landfill Services the sale of excess sand, clay, mixed soil and
rock at the published rates.
MISCELLANEOUS RATE RECOMMENDATIONS
. Removal of the "Interest Earned on Contract Retainage" section of the Miscellaneous
Rate Ordinance since it is covered by state statute.
ENGINEERING INSPECTION FEES RECOMMENA TIONS
Right-of-Way Inspections
Overtime Inspections
$35.00
$50.00
to
to
$75.00
$90.00
These Right-of-Way and Overtime inspection fees were last updated in 1999 and did not reflect
full cost recovery at that time.
Parking Lot Inspections
1 - 50 spaces $100.00 to
51 - 100 spaces $200.00 to
101 - 250 spaces $300.00 to
251 - 500 spaces $400.00 to
$450.00
$600.00
$750.00
$900.00
Parking Lot Inspections were also last updated in FY 1999. The above increased fees are based
on the average number of trips to perform all inspections and the time allocated to those trips
multiplied by the proposed hourly rate of $75.00. Fees for appeals and variances to the Traffic
Safety Commission have been increased from $250.00 to $300.00.
Loading Zone Permits and Renewals
Single Loading Zone $132.00 to $175.00
Double Loading Zone $264.00 to $350.00
Loading Zone Permits were last updated in FY 1993.
Though the increases may seem excessive, the previous rates were not designed to fully recover
cost. The proposed fees have been adjusted to fully recovery inspection costs associated with
development, as are all other utilities rates.
OPTIONS
1. Approve the rates as recommended by the Public Utilities Board.
2. Recommend different rates than recommended by the Public Utilities Board.
RECOMMENDA TION
Staff recommends approval of the proposed ordinances.
PRIOR ACTIONIREVIEW (Council, Boards, Commission)
The Public Utilities Board recommended approval of the proposed rate ordinances on August 22,
2005 by a vote of 5-0.
FISCAL SUMMARY
The rates and charges included in the utility rate ordinances provide the revenues necessary to
cover the cost of service to customers.
EXHIBITS
1. FY 2005-06 Electric Rate Ordinance
2. FY 2005-06 Water Rate Ordinance
3. FY 2005-06 Wastewater Rate Ordinance
4. FY 2005-06 Solid Waste Rate Ordinance
5. FY 2005-06 Miscellaneous Rate Ordinance
6. FY 2005-06 Engineering Inspection Fees Ordinance
7. PUB Minutes
Respectfully submitted:
Howard Martin
ACM Utilities
ORDINANCE NO. 2005-
AN ORDINANCE OF THE CITY OF DENTON, TEXAS PROVIDING FOR THE
PAYMENT OF INSPECTION SERVICES FEES TO THE CITY OF DENTON FOR
PUBLIC IMPROVEMENTS CONSTRUCTED BY DEVELOPERS, RELATED TO
PRIVATE DEVELOPMENT; PROVIDING FOR THE SUPERSEDING OF
ORDINANCES IN CONFLICT WITH THIS ORDINANCE; PROVIDING AN
EFFECTIVE DATE.
WHEREAS, the City of Denton, Texas incurs administrative expenses in
providing inspection services for public improvements which are constructed by
developers, and should be properly borne as fees by developers; and
WHEREAS, when contractors or utilities perform work within City of Denton
right-of-way, the City incurs right-of-way inspection and administrative expenses, which
should be properly borne as fees by the contractor or utility requesting services; and
WHEREAS, when commercial establishments require loading zones, or parking
lots, or commercial establishments file variances or appeals to the Traffic Safety
Commission regarding the proper traffic flow and safety, the City of Denton thereby
incurs inspection and administrative expenses, which should be borne as fees to the
commercial establishment seeking the City action; and
WHEREAS, the City Council finds that such fees as are recited herein bear a
reasonable relationship to the actual administrative costs and expenses incurred by the
City of Denton to conduct such inspections, and that the following ordinance should be
enacted; NOW, THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. That the findings and recitations contained in the preamble of this
ordinance are incorporated herein by reference.
SECTION 2. That a public works inspection fee is hereby established in an
amount equal to 3.5% of the cost to construct public improvements by developers. This
inspection fee must be paid to the City by the developer of such development prior to the
City's authorization to proceed with construction of the pubic improvements. The cost to
construct the public improvements is the cost set forth in the public improvements
agreement by and between the City and the developer. The inspection fee covers
inspection services by the City for weekdays, Monday through Friday from 8:00 a.m. to
5:00 p.m. Should the developer request inspection during any other time period
including weekends, an additional overtime fee (the "Overtime Fee") shall be paid to the
city based upon the following hourly rate:
$90.00 per hour as of and after the effective date of this ordinance.
EXHIBIT 6
A minimum Overtime Fee shall be deposited with the City based upon four hours, at least
24 hours before the overtime inspection is scheduled to start; except that the weekend
overtime deposit my be received on or before 12:00 p.m. of the Friday immediately
preceding the weekend overtime period. If there are more than four overtime inspection
hours, developer will be billed for such additional hours, which shall be paid no later than
fifteen (15) days after the date of the billing, and prior to incurring additional overtime
inspections. Authorization to proceed with construction of the public improvements will
be withheld until all outstanding inspection fees owing the City are paid in full.
SECTION 3. A right-of-way inspection fee is hereby established in an amount equal to
$75.00 per hour, with a minimum of one hour for each inspection conducted. The
inspection fee covers inspection services by the City for weekdays, Monday through
Friday from 8:00 a.m. to 5:00 p.m. Should the developer request inspection during any
other time period including weekends, an additional overtime fee (the "Overtime Fee")
shall be paid to the city at a rate of $90.00 per hour. The right-of-way inspection fee will
be invoiced monthly and must be paid to the City by the contractor or utility undertaking
construction or repairs with the City right-of-way no later than fifteen (15) days after the
date of the invoice. Authorization to proceed with construction of the public
improvements will be withheld until all outstanding inspection fees owing the City are
paid in full. Failure to pay the fee in full may result in the City terminating the
contractor's or utility's right to work within the City right-of-way.
SECTION 4. A parking lot permit inspection fee is to be paid to the City of Denton, and
is hereby established in an amount equal the following:
Parking lot permit fees
1 - 50 spaces
51 - 100 spaces
101 - 250 spaces
251 - 500 spaces
$450.00
$600.00
$750.00
$900.00
This parking lot permit inspection fee must be paid to the City by the developer or
contractor of such facility prior to the City's authorization to proceed with construction of
the parking lot facilities.
SECTION 5. A fee for appeals or for variances to the City of Denton Traffic Safety
Commission is to be paid by the Applicant to the City of Denton, and is as follows:
Fees for appeals or variances to Traffic Safety Commission
Fee per appeal or variance
$300.00
SECTION 6: A loading zone permit fee is to be paid by the Applicant to the City of
Denton and is hereby established in the following amounts:
1. A single loading zone shall be a fee of $175.00 per year
2. A double loading zone shall be a fee of $350.00 per year
That any renewal of a loading zone permit shall require the payment by
the Applicant to the City of Denton and is hereby established in the following amounts:
1. A single loading zone shall be a fee of $175.00 per year
2. A double loading zone shall be a fee of $350.00 per year
SECTION 7. All ordinances of the City of Denton, Texas, including without limitation,
Ordinance No. 99-299 and Ordinance No. 2000-300, that are in conflict with this
ordinance are hereby superseded by this ordinance, to the extent of any such conflict.
This ordinance and Ordinance No. 99-299 and Ordinance No. 2000-300 are controlling
over anything contained in the Construction Design Criteria Manual (the "Criteria
Manual" of the City) pertaining to inspection fees, including without limitation, Section
1.C. of the Criteria Manual entitled "Inspection Fees;" it never being the intent of the
City Council to exempt private developments from paying the inspection fee(s) where the
effective preliminary plat was approved prior to October 1, 2005. The fees established by
this ordinance and Ordinance No. 99-299 and Ordinance No. 2000-300 are applicable to
all developments within the jurisdiction of the City, regardless of the date on which a
preliminary plat was approved.
SECTION 8. All fees established by this ordinance shall take effect, from and after
October 1, 2005. A copy of these fees shall be maintained in the Office of the City
Secretary, and shall be open for public inspection.
PASSED AND APPROVED this the
day of
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
By:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
By:
8:IOur DocumentslOrdinanceslOSIEngineering Fees Ordinance-200S.doc
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CITY OF DENTON, TEXAS
PUBLIC UTILITIES BOARD MEETING AGENDA
FOR AUGUST 22, 2005
9:00 A. M.
DRAFT
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After determining that a quorum of the Public Utilities Board of the City of Denton, Texas was
present, the Public Utilities Board convened into an Open Meeting on Monday, August 22,2005
at 9:00 a.m. in the Service Center Training Room, City of Denton Service Center, 901-A Texas
Street, Denton, Texas.
Present:
Bob Bland, John Baines, Bill Cheek, Phil Gallivan, Charldean Newell,
EX OFFICIO MEMBERS
Michael Conduff, City Manager
Howard Martin, ACM. /Utilities
Excused:
Dick Smith
George Hopkins
ITEMS FOR INDIVIDUAL CONSIDERATION:
6) Consider recommending approval of the Electric, Water, Wastewater, Solid Waste, and
Miscellaneous Rate Ordinances for FY 2005-06.
Howard Martin, ACM Utilities, reported to the Board that staff is requesting approval of Utility
Rate Ordinances that reflect changes in support of the FY 2005-06 Budget. Martin explained
that the Chapter 24 Code of Ordinance was not included in the backup material. Martin wanted
to know how the Board wanted to proceed, that is, whether Board Members wanted staff to place
the Chapter 24 Rate Ordinance on the next agenda or pull the Solid Waste Rate Ordinance and
vote on both items at the same time. It was determined that the Chapter 24 Code of Ordinance
would be discussed at the next meeting.
Gallivan commented that the increase in the cart service seemed excessive. Martin responded
that it has been determined that $4.6M is needed for solid waste operations. The rates were
based on several assumptions and will be fined tuned when the customer base has been defined.
Gallivan also reminded staff to be consistent when referring to cart sizes. In some instances
carts are referenced in gallons and in some instances by size small, medium or large.
Newell expressed several concerns as it relates to transitioning to cart service:
Page 1 of 3
Exhibit 7
1
2 Lack of Public Education on Cart Service
3 ADA Requirements, as it relates to making cart pickup service available to all
4 citizens
5 Development Code Requirements as it relates to cart pickup in older communities
6 Trash and Recycling scheduled for the same day and the difficulty of
7 maneuvering two carts
8 Potential traffic hazards along some heavily traveled but narrow streets.
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10 Kemler responded that when and if the Council approves the transition to cart service, an intense
11 Public Education promotion will begin that will address her concerns. Kemler continued to say
12 the Solid Waste staff has been working with the Public Information Staff on educational
13 material. The FY 2005-2006 Budget is scheduled for approval September 20,
14 2005;implementation of cart service is scheduled to begin October 2005.
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16 Bland asked if the bag distribution will be discontinued. Martin responded that clear bags will
17 continue to be distributed for yard waste.
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19 Newell called for a motion to approve the Solid Waste Rate Ordinance.
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21 Bland moved to approve the Solid Waste Rate Ordinance contingent upon the passage of
22 the Chapter 24 Rate Changes that are scheduled to be presented at the next PUB meeting
23 with a second from Cheek. The motion was approved by a vote of 5 to O.
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25 Newell called for a motion to approve the Electric Rate Ordinance
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27 Baines expressed concern regarding the impact the rate increases will have on individuals with
28 low and/or fixed incomes. The Board recalled its stated preference for some sort oflifeline rate.
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30 Gallivan moved to approve the Electric Rate Ordinance with a second from Bland. The
31 motion was approved by a vote of 5 to O.
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33 Newell called for a motion to approve the Water Ordinance.
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35 Bland moved to approved the Water Rate Ordinance with a second from Cheek. The
36 motion was approved by a vote of 5 to O.
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38 Newell called for a motion to approve the Wastewater Ordinance.
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40 Cheek recommended that the rate for asphalt milling be increased from $8.00/cy to $lO.OO/cy
41 which is more reflective of the market rate.
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43 Cheek moved to approve the Wastewater Ordinance contingent upon increasing the
44 asphalt milling price to $10.00/cy with a second from Bland. The motion was approved by
45 a vote of 5 to O.
46 Newell called for a motion to approve the Miscellaneous Rate Ordinance.
Page 2 of 3
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2 Cheek asked staff to request clarification from legal regarding use of the word "contractor" on
3 page 9, under the heading Interest Earned on Contract Retainage, is the appropriate usage. It
4 was discussed that "customer" may be the appropriate reference.
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6 Bland moved to approved the Miscellaneous Rate Ordinance with a second from Gallivan,
7 with clarification about the usage of "contractor." The motion was approved by a vote of 5
8 to O.
Page 3 of 3
AGENDA INFORMATION SHEET
AGENDA DATE: September 20,2005
DEPARTMENT: Utilities Administration
ACM:
Howard Martin, Utilities 349-8232
..
SUBJECT
Consider adoption of an ordinance of the City of Denton, Texas amending and wholly
substituting and superseding the provisions of chapter 24 of the City of Denton Code of
Ordinances as attached hereto, regarding Solid Waste Service; providing for a repealer;
providing for a severability clause; and providing an effective date. (The Public Utilities Board
recommends approval 5-0.)
BACKGROUND
The City of Denton solid waste code, Chapter 24 of the City of Denton Code of Ordinances, was
originally codified in 1966, with the most recent update occurring in 2000. Over the past several
years solid waste operations and services have changed. In several cases, code revisions were not
made to support the operations and services changes. The proposed code changes will provide a
code reflective of current services.
Recommended Chapter 24 Solid Waste code changes include:
Definitional Changes - This included some minor definition changes to reflect the current
services provided, and the addition of the state's definition of municipal solid waste.
Text Updates - This included replacing outdated text with current terminology. Examples of
outdated text included replacing, 'garbage, trash, and rubbish', 'sanitation division', 'head of
sanitation division' and 'plus ten percent' with current terminology.
Text Deletions - Deleted Sections 24-6, c,d,e,f. These sections do not reflect current operational
practices. Deleted Section 24-13; this section is provided for in the solid waste rate ordinance.
Clarifications - Examples of clarifications include the updating of the text for mobility and
visually impaired customers and the addition of Article IV, Recycling and Processing Services.
Additions - Two new sections are recommended to support current operational practices. They
are;
Sec. 24-43. Residential collection service.
Sec. 24-44. Residential containerized collection service.
Main points of these sections are:
. Providing residential set out and retrieval times
. Cart locations and service
Exhibit I provides the City Council with a draft red-lined (representing new text), and strike out
(representing deleted text) version of the complete Chapter 24, Solid Waste revisions.
Exhibit II provides a complete revised and more easily readable Chapter 24, without the red line
or strike out text included.
OPTIONS
The City Council mayor may not recommend the proposed revisions and additions to the City of
Denton Code of Ordinances, Chapter 24, Solid Waste.
RECOMMENDA TION
Staff recommends adoption of the updated City of Denton Code of Ordinances, Chapter 24,
Solid Waste.
PRIOR ACTIONIREVIEW (Council. Boards. Commissions)
The Public Utilities Board approved the proposed updates to the City of Denton Code of
Ordinances, Chapter 24, Solid Waste as provided during their meeting of September 12, 2005.
FISCAL INFORMATION
The costs to revise and provide additions to the City of Denton Code of Ordinances, Chapter 24,
Solid Waste will be funded from the Solid Waste Department's fiscal year 2006 budget.
EXHIBITS
1. Draft Revised Chapter 24, Solid Waste - Red lined and strike out text version.
2. Proposed Chapter 24, Solid Waste.
3. Ordinance
4. PUB Minutes
Respectfully,
a-(-l~
A. Vance Kemler
Director of Solid Waste
Chapter 24
SOLID WASTE
ARTICLE I. IN GENERAL
Sec. 24-1. Purpose.
The accumulation of garbage, trash and rubbish on the premises of private residences,
businesses, public and private institutions, vacant lots, and in the streets, and alleys and
on other property within efthe city, constitute a public menace and nuisance and greatly
increases the danger of the spread of infectious, contagious and epidemic diseases, and
the regulations of this chapter are adopted for the purpose of preserving and protecting
the public health, safety and general welfare by requiring property owners, tenants,
occupants and lessees to secure and maintain containers and receptacles of sufficient size
and material for the deposit of garbage, trash, and rubbish, and recyclable materials for
collection and removal at regular intervals and to maintain their premises free of
accumulations thereof.
(Code 1966, 9 12-1)
Sec. 24-2. Definitions.
The following words, terms and phrases, when used in this chapter, shall have the
meanings ascribed to them in this section, except where the context clearly indicates a
different meaning:
Bulky items means any household item that will not fit inside a solid waste container
when the lid on the solid waste container is closed. Only items consistent with residential
use, such as household furniture and appliances shall be considered bulky items.
Commercial means any structure or building other than residential, including business
structures, hotels, motels, roominghouses or boardinghouses and structures containing
more than four (4) or more dwelling units.
Commercial garbage consists of all waste normally generated by each indiyidual
establishment, except plant clippings, leayes, tree trimmings, ashes, demolition and
remodeling debris and other material that cannot be broken do'.vn to fit in regular garbage
containers.
Commercial tree trimmer means a person who or firm that engages in and solicits the
trimming, and/or cutting of trees as a regular part of the business.
Hazardous waste means any commercial or residential garbage, trash, rubbish or other
solid waste identified or listed as a hazardous waste by the administrator of the U. S.
Environmental Protection Agency (EPA) pursuant to the federal Solid Waste Disposal
Act 42 U.S.C. 6901 et seq., as amended.
Page I of 13
EXHIBIT 1
Infectious waste means commercial or residential garbage, trash, rubbish, or other waste
containing pathogens or biologically active material which because of its type,
concentration, and quantity is capable of transmitting disease to persons exposed to the
waste, including human and animal tissue, bandages and other material used in health
care which become contaminated by pathogenic materials.
Municipal Solid Waste (MSW) is solid waste resulting from or incidental to residential,
municipal, commercial, institutional, and recreational activities, including garbage,
rubbish, ashes, street cleanings, construction and demolition materials, dead animals, and
all other solid waste other than special wastes.
Residential means a structure, house or building occupied as a dwelling only, and which
contains no more than three (3) four (1) dwelling units.
Residential garbage consists of all normal household waste, except plant clippings,
leaves, tree trimmings, ashes, metal scraps other than cans, large accumulations of boxes,
demolition and remodeling debris and other material that cannot be broken down to fit in
regular garbage containers.
Rubbish trash consists of all '.vaste and refuse material that is not either residential
garbage or commercial garbage.
Special waste means any commercial or residential garbage, trash, rubbish, hazardous
waste, infectious waste, or other solid waste that because of its quantity, concentration,
physical or chemical characteristics or biological properties is not collectable by the city's
solid waste department. sanitation division.
Unusual accumulations, for residential service for each regular collection, means more
than one cubic yard eight (8), forty gallon plastic bags of garbage, trash, and other
municipal solid waste permitted under this chapter, and/or limbs and cuttings yard waste
that exceeds a pile three (3) feet in height, three (3) feet in width and cut to a maximum
of four-foot lengths, and heavy, bulky objects and other accumulations unusual for the
average household. Unusual accumulations for commercial service means any
accumulation of refuse outside of the container. permitted under this chapter that is not
ordinarily encountered in the operation of that type of business or an accumulation
substantially greater than ordinary for that commercial establishment.
(Code 1966, 9 12-2; Ord. No. 91-066, 9 I, 4-30-91; Ord. No. 98-299, 9 1,9-15-98)
Cross reference-Definitions and rules of construction generally, 9 1-2.
Sec. 24-3. City to provide solid waste services.
(a) The city's solid waste department sanitation division shall be the exclusive provider
of municipal solid waste collection residential and commercial garbage, rubbish, and
refuse collection and disposal services for all premises within the city and it shall be
Page 2 of 13
unlawful for any other person or entity to provide municipal solid waste collection
residential or commercial garbage, rubbish, or refuse collection or disposal services to
any person or entity for compensation within the city, or to make use of the public streets
for that purpose, except as provided in this chapter.
(Code 1966, 9 12-4; Ord. No. 91-066, 9 III, 4-30-91)
Sec. 24-4. Charges for use of city landfill.
The charges to be paid by persons for the use of the city's sanitary landfill site shall be in
an amount established and as from time-to-time amended by ordinance as adopted by the
city council, the ordinances and amendments thereto to be kept on file with the city
secretary and to be available for public inspection during regular business hours.
(Code 1966, 9 12-5)
Sec. 24-5. Disposal of garbage, trash or rubbish only in authorized locations.
(a) It shall be unlawful for any person to dispose of garbage, trash or rubbish in any
place in the city, other than as provided in this chapter or authorized by the city. No
person shall place any solid waste, bulky items or any other material in, on or next to the
solid waste container of another, unless authorized to do so by the person or persons who
pay the charge for the solid waste collection service.
(b) Any waste, garbage or other solid or liquid matter, residential, industrial or
commercial, that possesses characteristics deemed by the state '.'later quality board Texas
Commission of Environmental Quality (TCEQ), or the Environmental Protection
Agency, or the State Department of Health, or any other federal, state or local agency
having jurisdiction to be unsuitable or detrimental to the environment or human health
when disposed of in the type of sanitary landfill operated by the city is hereby prohibited.
Such material or matter shall be disposed of in the manner prescribed by the agency
having jurisdiction and at the expense of the party or parties generating such material or
matter. In no case shall such material or matter be placed for collection by the city nor
shall it be delivered to or disposed of at the city's sanitary landfill.
(Code 1966, 9 12-6; Ord. No. 98-299, 9 II, 9-15-98; Ord. No. 00-042, 9 1,2-1-00)
State law references: Water quality standards, v.T.C.A., Water Code 926.124.
Sec. 24-6. Receptacles for municipal solid waste. trash and rubbish.
(a) Every owner, manager, agent, occupant, tenant, or lessee of any building, house, or
structure within the corporate limits of the city shall provide and maintain suitable
containers or receptacles of sufficient size and number to hold the municipal solid waste
garbage, trash and rubbish which accumulates on the premises.
(b) It shall be unlawful to place solid waste in, on or near a solid waste container in a
manner that does not allow the lid of the solid waste container to completely close with
all the solid waste completely within the container.
Page 3 of 13
It shall be a defense to prosecution under this section if the solid waste placed next to the
container is a bulky item as defined in section 24-2, and if the bulky item is placed next
to the container less than forty-eight hours before the collection. first Thursday of each
meHtfl. The defense does not apply if the person placing the bulky item in, on or near the
solid waste container was not authorized to use the solid waste container.
(c) It shall be unlawful for any person who pays the charge for solid waste container
service to allow bulky items to accumulate around the person's solid waste container for
more than forty eight (18) hours.
(d) The first time subsection (a), (b), or (c) is violated by an individual or a business,
the city may send out a written warning notifying the person who pays the solid waste
charge that if the violations are repeated then the level of service may be automatically
increased at the cost of such person. If the individual or business yiolates subsection (a),
(b) or (c) a second time within six (6) months of the first yiolation, the city may send out
certified mail notifying the person who pays the solid waste charge that if a yiolation
occurs a third time, then the leyel of service will be automatically increased. If the
indiyidual or business yiolates subsection (a), (b) or (c) a third time within six (6) months
of the first yiolation and if two (2) warnings were sent to the person who pays the solid
'.vaste charge, the level of service may be automatically increased. The '.vritten '.varnings
and increased level of service are remedies in addition to any criminal prosecutions
'.vhich may be brought under this section.
(e) Except as otherwise provided in this chapter, plastic bags designed for garbage,
trash and rubbish disposal that meet standard city specifications and having a capacity of
not more than forty (10) gallons shall be used and placed on the curb or alley and suitably
protected from animals and vermin. .^JI bags shall be securely tied or otherw-ise have all
openings securely closed. Paper bags designed for garbage disposal and possessing
characteristics approved by the director of solid 'Haste as being equal to the plastic bags
described in this subsection or otherwise specified by the city may be permitted when
placed on the curbline or alley and properly protected. Other containers or receptacles
may be used where otherwise permitted under this chapter.
(f) The city shall furnish one hundred four (101) bags each year per individual family
unit and may make ayailable for sale additional bags to citizens of the city at locations
designated by the city.
(c) The contents of municipal solid waste trash or rubbish receptacles shall be secured
so that neither the wind nor animals can scatter trash or rubbish over the premises or over
the streets or alleys or other property within efthe city.
(Code 1966, 99 12-8, 12-9(b), (c), 12-11(b); Ord. No. 98-299, 9 111,9-15-98; Ord. No.
00-042, 9 2, 2-1-00)
Sec. 24-7. Weight limitations of containers.
Page 4 of 13
The total weight of any garbage bag and contents and of any trash and rubbish receptacle
and contents shall be fifty (50) pounds or less.
(Code 1966, 9 12-10)
Sec. 24-8. Removal of unauthorized containers.
All solid waste and recycling storage garbage and refuse containers, drums, and barrels,
not meeting the requirements of the this chapter shall be removed and disposed of by the
city and the city shall not be liable for the removal and disposal of the same.
(Code 1966, 9 12-12)
Sec. 24-9. Prohibited materials and regulations.
(a) The Director of Solid Waste head of the city's sanitation division shall keep a list of
special waste that is not acceptable for collection and disposal by the Solid Waste
Department sanitation division. The head of the sanitation division Director of Solid
Waste may also make reasonable rules regarding the collection and disposal by the Solid
Waste Department city's sanitation division of any municipal solid waste garbage,
rubbish, trash, or other solid waste that requires special preparation or handling to meet
the requirements of any state or federal law or regulation or which are otherwise
necessary to safely and properly collect, transport, and provide for disposal. The list of
special waste and the rules shall be written and kept on file by the Director of Solid
Waste head of the sanitation division and be available for public inspection during
regular business hours.
(b) No person shall deposit in any container serviced by the Solid Waste Department
city sanitation division any special waste. The Solid Waste Department city sanitation
diyision may refuse to collect, transport or dispose of special or hazardous waste or any
other garbage, rubbish, trash, or other solid waste that does not comply with this chapter
or the regulations made by the Director of Solid Waste head of the sanitation diyision.
(c) Each property owner shall be responsible for arranging collections with an
authorized private hauler for the collection, removal, and disposal of any special waste or
other garbage, trash, rubbish, or other solid waste which the city's Solid Waste
Department sanitation diyision will not collect.
(Code 1966, 9 12-14(a)--(d); Ord. No. 91-066, 9 IV, 4-30-91)
Sec. 24-10. Municipal Solid Waste Carbage, trash and rubbish to be drained.
All municipal solid waste garbage and all trash and rubbish mixed with water or other
liquids shall be drained before being placed in the receptacle.
(Code 1966, 9 12-15)
Sec. 24-11. Preparation of yard waste, tree limbs and cuttings.
Page 5 of 13
(a) Tree limbs, shrubs and hedge cuttings shall not exceed four (4) feet in length and
shall be stacked neatly with one (1) cut end toward the street at the curb line. No unit or
piece shall weigh more than fifty (50) pounds. Yard waste consisting of small pieces,
small cuttings and small loose material shall be placed in approved plastic bags.
(b) The director of solid waste community services shall provide for regular collections
of yard waste trash and rubbish which has been prepared in accordance with this section.
If unusual accumulations are present an4-i.f more than normal work is necessary in
making such collection, a reasonable charge shall be made for such service in addition to
the regular monthly service charge.
(c) Brush, limbs, leaves and cuttings from trees and shrubs which have been trimmed
or removed by a commercial tree trimmer shall be disposed of at the expense of the
owner or person controlling the same or upon payment of the actual cost of such removal
plus an administrative and overhead charge. ten (10) percent of such cost to the city.
(Code 1966, 99 12-16(b), (c), 12-17(c))
Cross references - Landscaping, screening and tree preservation generally, Ch. 31.
Sec. 24-12. Heavy or unusual accumulations.
(a) Construction and demolition materials and other accumulations as a result of
construction, remodeling, repairing or destruction shall be disposed of at the expense of
the owner.
(b) Household furnishings, goods and appliances, including but not limited to stoves,
refrigerators, washing or drying machines, het water heaters, sofas, chairs, tables,
mattresses and box springs, shall be disposed of at the expense of the owner or person
controlling same or, upon request and payment of a fee to recover the cost of providing
these additional services, including administrative and overhead costs. established by the
city council and on file in the office of the city secretary, shall be removed by the city.
(Code 1966, 9 12-17(e), (f))
See. 24 13. Fees for eleaning area surrounding solid waste eontainers.
(a) If bulky items are left next to, in, on, or near a solid waste container in violation of
section 21 6(b) or 21 6( c), then a forty five dollar ($15.00) fee for the removal of the first
bulky item shall be charged to the person '.vho pays the fee for the solid '.vaste container.
For each additional bulky item removed, a ten dollar ($10.00) fee per item shall be
assessed unless the bulky item is an appliance containing chlorinated fluorocarbons
(hereinafter referred to as dc's) or polychlorinated biphenals (hereinafter referred to as
pcb's). If the bulky item is an appliance containing dc's or pcb's, the fee shall be t'.venty
dollars ($20.00) per appliance.
(b) If solid waste, other than bulky items, is left in, on, or near a solid waste container
in violation of section 21 6(a) or 21 6(b), then a sixty five dollar ($65.00) fee shall be
charged to the person who pays the fee for the solid waste container for the removal of up
Page 6 of 13
to one (1) cubic yard of solid '.vaste. '^1n additional fee of thirty dollars ($30.00) for every
additional cubic yard of solid waste up to eight (8) cubic yards shall be assessed unless
the solid '.vaste exceeds eight (8) cubic yards.
( c) If more than eight (8) cubic yards of solid waste are left in, on, or near a solid waste
container in violation of section 21 6(a) or 21 6(b) the solid waste department shall
provide written notice to the person who pays the fee for the solid waste container
requiring the person to lease appropriate equipment as specified by the solid waste
department and provide for the removal of the solid waste.
(d) It is unlawful for a person receiving notice to remove solid waste under section 21
13 ( c) to fail to have all the solid 'Haste removed '.vithin forty eight hours (18) of the
notice.
(e) Up to eight (8) bulky items per month will be picked up without any charge if the
bulky items are left by the solid waste container less than forty eight (18) hours before
the first Thursday of each month and if the bulky items are not appliances containing
pcb's or cfc's.
(Ord. No. 00-045, 93,2-1-99)
Sec. 24-13. Theft of Service Prohibited.
No person shall knowingly place any solid waste, bulky items, or any other material in,
on, or next to the solid waste container of another person or entity in the city of Denton,
Texas.
Secs.24-14--24-40. Reserved.
ARTICLE II. RESIDENTIAL COLLECTION SERVICE
Sec. 24-41. Residential Solid Waste Services Required.
(a) Any owner, occupant, tenant or lessee of any residential premises in the city shall
have their municipal solid waste garbage, trash and rubbish regularly removed by the
city.
(b) The charges for such service shall be included on a regularly scheduled bill. the
monthly bill of the applicant, as determined by the utility deposit or service application.
(Code 1966, 9 12-18(a), (b))
Sec. 24-42. Charges for residential service.
(a) As used in this section, the term "individual family unit" shall mean each side of a
duplex, each living unit per subdivided lot, each apartment in an apartment house, up to
Page 7 of 13
and including three (3) four (1) units and any unit or living space in which a single family
resides.
(b) The charge for collecting municipal solid waste garbage, trash and rubbish from
each individual family unit shall be in an amount established and as from time-to-time
amended by ordinance as adopted by the city council; the ordinance and amendments
thereto to be kept on file with the city secretary and to be available for public inspection
during regular business hours.
(c) Multiple-dwelling units having either water or electricity billed through a single
meter will be billed a single solid waste charge along with the single water or electric
charge, regardless of the occupancy of such multiple-dwelling unit.
(d) Multiple-dwelling units classified as fraternities, sororities, boardinghouses and
dormitories shall be charged as a commercial or institutional service. Any multiple-
dwelling unit which requires more than the minimum service described in this chapter is
subject to having the charges increased by the director of solid waste community services
based upon the additional required service.
(e) Mobility or visually impaired customers may receive special collection services.
Containers may be placed in locations designated by the city. The resident receiving this
special service must be mobility or visually impaired and no member of the household is
physically able to place the containers at the curb. Such special services shall require
approval by the Director of Solid Waste or designee. The monthly rate for these special
collection services will be the same rate as is charged those customers with no
impairments.
(f) All residential dwelling units shall containerize their waste for collection. use bags
as specified under section 21 6(b) and shall place such bags on the curb or alley line as
specified by the city.
~ Containers (bags) may be placed in other locations designated by the city if no
member of the household is physically able to place such containers on the curbline. Such
exceptions shall be at the discretion of the city.
(Code 1966, 9 12-19)
Sec. 24-43. Residential collection service.
(a) All single family residents within the city shall place their residential refuse and
recyclables at the curb as specified by the Director of Solid Waste or designee.
(b) Residential refuse and recyclables shall be placed at the curb no earlier than 6:00
p.m. on the day prior to the scheduled collection day. To ensure collection, residential
refuse and recyclables should be placed at the curb by 7:00 a.m. on the day of collection.
(c) Customers whose refuse or recyclables were not collected because; they were not
placed at the proper location, they contained unacceptable materials, or they were not
Page 8 of 13
placed out for collection by the required time, shall not be collected until the next
regularly scheduled collection service.
(d) Containers, receptacles and any unaccepted waste or recyclables, shall be removed
from the curb or other designated collection point by the customer no later than 8:00 a.m.
on the day following the scheduled collection day.
(e) All refuse and recyclable containers shall securely contain all contents, and shall be
capable of being handled without spillage. Refuse and recyclables determined by the city
to not be properly contained shall not be collected.
Sec. 24-44. Residential containerized collection service.
(a) Carts shall be placed at or near the curb line, a minimum of four (4) feet from any
mailbox, vehicle, obstacle, or other container. The cart shall be placed in the street with
its wheels against the curb. The Director of Solid Waste or designee may make
reasonable exceptions to the foregoing location requirements, as needed, upon request of
the customer, to meet unique circumstances.
(b) Only authorized refuse and recycling container(s) (carts) provided by the city will
be serviced. No other containers, boxes, or bags placed at the collection site will be
collected, unless special refuse collection services have been requested.
Secs. 24-45--24-65. Reserved.
ARTICLE III. COMMERCIAL COLLECTION SERVICE
Sec. 24-66. Commercial Solid Waste Services Required. Owner to arrange for
eolleetion.
Every owner, occupant, tenant or lessee of any business, commercial, industrial, or
institutional property, or other property not entitled to receive residential solid waste
garbage collection services shall arrange, by contract with the city, for commercial solid
waste garbage collection and disposal services from the city's solid waste department
sanitation diyision, except as otherwise specified in this chapter.
(Code 1966, 9 12-21; Ord. No. 91-066, 9 V, 4-30-91)
Sec. 24-67. Charges for commercial, industrial, or institutional service.
(a) The charge for collection and removal of municipal solid waste garbage, trash and
rubbish from premises used for business, industrial, or institutional purposes shall be
based upon the size, type and number of containers in use at such establishments and the
frequency with which such containers are scheduled to be serviced by city collection
personnel. Such charge shall be in an amount established and as from time to time
amended by ordinance as adopted by the city council; the ordinance and amendments
Page 9 of 13
thereto to be kept on file with the city secretary and to be available for public inspection
during regular business hours.
(b) The service charge for other commercial waste disposal and collection services not
otherwise provided for pursuant to this section may be provided upon approval of the
Director superintendent of Solid Waste at a cost not to exceed the actual cost plus
administrative and overhead costs. ten (10) percent.
(Code 1966, 9 12-20; Ord. No. 89-032, 9 I, 2-21-89)
Sec. 24-68. Containers furnished by city for commercial and industrial facilities.
concerns.
(a) The Director of Solid Waste community services may locate and place metal refuse
containers for use by commercial, and industrial, and institutional facilities concerns in
accordance with the waste storage needs of the individual facility. concern. All facilities
concerns for which containers are so provided by the city shall place all refuse and waste
materials in such containers and shall not place waste refuse or garbage in any containers
except those designated by the director of solid waste. community services for their use.
It shall be unlawful for any person using such containers to leave the lid open after
placing refuse material therein.
(b ) All boxes and cartons must be broken down and placed in proper containers.
(c) The maximum weight of the container and contents shall not exceed twelve
hundred (1,200) pounds. The net contents shall not exceed six hundred (600) pounds.
(d) Reserved.
(b) Where more than one (1) commercial establishment uses the same container, the
charges shall be prorated according to use, but in no case shall be less than an amount
established by the city council and on file in the office of the city secretary.
(f) The charges for containers shall apply to all types of approved use except apartment
houses and residences served by containers. Such apartment houses and residences shall
be charged the regular rate listed in this chapter.
(Code 1966, 9 12-22; Ord. No. 91-066, 9 VI, 4-30-91)
Sec. 24-69. Annual permit required for special waste and recyclables haulers.
(a) No person shall collect or remove for compensation from any property within the
city any special waste or recyclables without first obtaining a special waste hauler's
permit from the city. division of sanitation.
Page 10 of 13
(b) The person applying for a special waste hauler's permit shall make application to
the city's sanitation division on efforms provided for that purpose, and pay the required
fee. The application shall require the following information:
(1) The name and business address of the applicant.
(2) The name of the owner of the property and the address where the special waste and
recyclables will be collected.
(3) A description of the special waste and recyclables to be collected.
(4) The location where the special waste and recyclables will be disposed, including
proof, when required by the Director of Solid Waste head of the sanitation division, that
the applicant is legally authorized to dispose ~ at the specified location.
(5) A description and the license number of the motor vehicles to be used in collecting
and transporting the special waste and recyclables within the city.
(6) Any other information which is reasonably necessary to administer this section.
( c) The Director of Solid Waste head of the sanitation division shall issue the special
waste and recyclables hauler's permit to the applicant if:
(1) Proper application has been made and the fee paid.
(2) The applicant will only be collecting special waste or recyclables as defined in this
chapter.
(3) The applicant is authorized to use the specified disposal site and the manner and
place of disposal does not appear to violate any state or federal law or regulation or city
ordinance.
(d) The special waste and recyclables hauler's permit shall be valid for one year. Hem
the date of issuance.
(Code 1966, 9 12-23; Ord. No. 90-003, 9 I, 1-2-90; Ord. No. 91-066, 9 VII, 4-30-91)
ARTICLE IV. RECYCLING AND PROCESSING SERVICES.
Sec. 24-90. Recyclable Materials. refuse.
(a) Nothing in this chapter shall prohibit a person from collecting, gathering, or
transporting recyclable materials refuse collected from property within the city.
(b) Any person who transports recyclable materials refuse collected from any property
inside the city to a point outside the city, more than three times per year shall register
Page 11 of 13
with the city's sanitation division, on forms provided for that purpose. There shall be no
fee for registration.
(c) As used in this section, "recyclable materials refuse" means glass, tin, aluminum,
paper, newspaper or other discarded materials, which are not special waste and have been
separated from other municipal solid waste garbage, trash, and rubbish at the point of
collection for delivery to another location for processing for reuse.
(Ord. No. 91-066, 9 VIII, 4-30-91)
Editor's note: Ord. No. 91-066, 9 VIII, adopted April 30, 1991, amended former 9 24-70,
relative to license terms, in its entirety to read as herein set out. The provisions of former
924-70 derived from Code 1966 9 12-24 and Ord. No. 90-003, 9 II, adopted Jan. 2,1990.
Sec. 24-91. Disposing of recyclable materials.
It shall be unlawful for a person to place any non-recyclable solid waste in any recycling
receptacle or to leave any non-recyclable solid waste on a recycling site in the city of
Denton, Texas.
(Ord. No. 98-299, 9 IV, 9-15-98)
ARTICLE V. POSSESSION OF OPEN GLASS CONTAINERS IN FRY STREET
DISTRICT
Sec. 24-100. Definitions.
Fry Street District: Refers to the area as described in Zoning Ordinance No. 2000-045 as
the Fry Street district. The Fry Street district is generally bounded by Welch Street to the
east, Oak Street to the North, Ave B to the northwest, Ave A to the southwest, Mulberry
Street to the southeast, and Hickory Street to the southwest, which is depicted in Exhibit
A attached hereto and made a part hereof by reference.
Glass container: Means any glass bottle or receptacle, closed or capable of being closed.
Ord. No. 00-045, 9 1,2-1-00)
Sec. 24-101. Prohibition of open glass containers.
(a) Prohibitions. No person shall possess within the Fry Street district upon or
immediately adjacent to any right-of-way, street, sidewalk, pedestrian way, or parking
area, any glass container which is open or has been previously opened except for use on
the premises where the glass containers are acquired.
(b) Exemptions. Notwithstanding any other provision of this section, nothing in this
section shall prohibit the possession of the following glass containers in the Fry Street
District:
Page 12 of 13
(1) Baby bottles containing products for consumption by babies;
(2) Glass drug containers containing prescription drugs;
(3) Glass containers that are being transported in a trash bag directly to a trash or
recycling container for disposal or recycling purposes;
(4) Glass lined vacuum picnic containers or thermos bottles, and
(5) Any container as permitted by Texas Alcoholic Beverage Code Ann. 28.1 O(b).
(Ord. No. 00-045, 9 1,2-1-00)
Sec. 24-102. Discretion of police officer.
Whenever any police officer shall, in the exercise of reasonable judgement, decide that
the presence of any person in any public place is causing or is likely to cause any of the
conditions enumerated in subsection 24-1 0 1-+.+(a), he may, ifhe deems it necessary for
the preservation of public peace and safety, order that person to leave that place and
surrender the open glass container. Any person who shall refuse to leave or surrender an
open glass container after being ordered to do so by a police officer shall be in violation
of this section.
(Ord. No. 00-045, 9 1,2-1-00)
Page 13 of 13
Chapter 24
SOLID WASTE
ARTICLE I. IN GENERAL
Sec. 24-1. Purpose.
The accumulation of garbage, trash and rubbish on the premises of private residences,
businesses, public and private institutions, vacant lots, and in the streets, and alleys and
on other property within the city, constitute a public menace and nuisance and greatly
increases the danger of the spread of infectious, contagious and epidemic diseases, and
the regulations of this chapter are adopted for the purpose of preserving and protecting
the public health, safety and general welfare by requiring property owners, tenants,
occupants and lessees to secure and maintain containers and receptacles of sufficient size
and material for the deposit of garbage, trash, rubbish, and recyclable materials for
collection and removal at regular intervals and to maintain their premises free of
accumulations thereof.
(Code 1966, 9 12-1)
Sec. 24-2. Definitions.
The following words, terms and phrases, when used in this chapter, shall have the
meanings ascribed to them in this section, except where the context clearly indicates a
different meaning:
Bulky items means any household item that will not fit inside a solid waste container
when the lid on the solid waste container is closed. Only items consistent with residential
use, such as household furniture and appliances shall be considered bulky items.
Commercial means any structure or building other than residential, including business
structures, hotels, motels, roominghouses or boardinghouses and structures containing
four (4) or more dwelling units.
Commercial tree trimmer means a person who or firm that engages in and solicits the
trimming, and/or cutting of trees as a regular part of the business.
Hazardous waste means any commercial or residential garbage, trash, rubbish or other
solid waste identified or listed as a hazardous waste by the administrator of the U. S.
Environmental Protection Agency (EPA) pursuant to the federal Solid Waste Disposal
Act 42 U.S.C. 6901 et seq., as amended.
Infectious waste means commercial or residential garbage, trash, rubbish, or other waste
containing pathogens or biologically active material which because of its type,
concentration, and quantity is capable of transmitting disease to persons exposed to the
EXHIBIT 2
Page I af1I
waste, including human and animal tissue, bandages and other material used in health
care which become contaminated by pathogenic materials.
Municipal Solid Waste (MSW) is solid waste resulting from or incidental to residential,
municipal, commercial, institutional, and recreational activities, including garbage,
rubbish, ashes, street cleanings, construction and demolition materials, dead animals, and
all other solid waste other than special wastes.
Residential means a structure, house or building occupied as a dwelling only, and which
contains no more than three (3) dwelling units.
Residential garbage consists of all normal household waste, except plant clippings,
leaves, tree trimmings, ashes, metal scraps other than cans, large accumulations of boxes,
demolition and remodeling debris and other material that cannot be broken down to fit in
regular garbage containers.
Special waste means any commercial or residential garbage, trash, rubbish, hazardous
waste, infectious waste, or other solid waste that because of its quantity, concentration,
physical or chemical characteristics or biological properties is not collectable by the city's
solid waste department.
Unusual accumulations, for residential service for each regular collection, means more
than one cubic yard of garbage, trash, and other municipal solid waste permitted under
this chapter, and yard waste that exceeds a pile three (3) feet in height, three (3) feet in
width and cut to a maximum of four-foot lengths, and heavy, bulky objects and other
accumulations unusual for the average household. Unusual accumulations for commercial
service means any accumulation of refuse outside of the container.
(Code 1966, 9 12-2; Ord. No. 91-066, 9 I, 4-30-91; Ord. No. 98-299, 9 1,9-15-98)
Cross reference-Definitions and rules of construction generally, 9 1-2.
Sec. 24-3. City to provide solid waste services.
(a) The city's solid waste department shall be the exclusive provider of municipal solid
waste collection and disposal services for all premises within the city and it shall be
unlawful for any other person or entity to provide municipal solid waste collection or
disposal services to any person or entity for compensation within the city, or to make use
of the public streets for that purpose, except as provided in this chapter.
(Code 1966, 9 12-4; Ord. No. 91-066, 9 III, 4-30-91)
Sec. 24-4. Charges for use of city landfill.
The charges to be paid by persons for the use of the city's sanitary landfill site shall be in
an amount established and as from time-to-time amended by ordinance as adopted by the
Page 2 af1I
city council, the ordinances and amendments thereto to be kept on file with the city
secretary and to be available for public inspection during regular business hours.
(Code 1966, 9 12-5)
Sec. 24-5. Disposal of garbage, trash or rubbish only in authorized locations.
(a) It shall be unlawful for any person to dispose of garbage, trash or rubbish in any
place in the city, other than as provided in this chapter or authorized by the city. No
person shall place any solid waste, bulky items or any other material in, on or next to the
solid waste container of another, unless authorized to do so by the person or persons who
pay the charge for the solid waste collection service.
(b) Any waste, garbage or other solid or liquid matter, residential, industrial or
commercial, that possesses characteristics deemed by the Texas Commission of
Environmental Quality (TCEQ), or the Environmental Protection Agency, or the State
Department of Health, or any other federal, state or local agency having jurisdiction to be
unsuitable or detrimental to the environment or human health when disposed of in the
type of sanitary landfill operated by the city is hereby prohibited. Such material or matter
shall be disposed of in the manner prescribed by the agency having jurisdiction and at the
expense of the party or parties generating such material or matter. In no case shall such
material or matter be placed for collection by the city nor shall it be delivered to or
disposed of at the city's sanitary landfill.
(Code 1966, 9 12-6; Ord. No. 98-299, 9 II, 9-15-98; Ord. No. 00-042, 9 1,2-1-00)
State law references: Water quality standards, v.T.C.A., Water Code 926.124.
Sec. 24-6. Receptacles for municipal solid waste.
(a) Every owner, manager, agent, occupant, tenant, or lessee of any building, house, or
structure within the corporate limits of the city shall provide and maintain suitable
containers or receptacles of sufficient size and number to hold the municipal solid waste
which accumulates on the premises.
(b) It shall be unlawful to place solid waste in, on or near a solid waste container in a
manner that does not allow the lid of the solid waste container to completely close with
all the solid waste completely within the container.
It shall be a defense to prosecution under this section if the solid waste placed next to the
container is a bulky item as defined in section 24-2, and if the bulky item is placed next
to the container less than forty-eight hours before the collection. The defense does not
apply if the person placing the bulky item in, on or near the solid waste container was not
authorized to use the solid waste container.
(c) The contents of municipal solid waste receptacles shall be secured so that neither
the wind nor animals can scatter trash or rubbish over the premises or over the streets or
alleys or other property within the city.
Page 3 of II
(Code 1966, 99 12-8, 12-9(b), (c), 12-11(b); Ord. No. 98-299, 9 111,9-15-98; Ord. No.
00-042, 9 2, 2-1-00)
Sec. 24-7. Weight limitations of containers.
The total weight of any garbage bag and contents and of any trash and rubbish receptacle
and contents shall be fifty (50) pounds or less.
(Code 1966, 9 12-10)
Sec. 24-8. Removal of unauthorized containers.
All solid waste and recycling storage containers, not meeting the requirements of the this
chapter shall be removed and disposed of by the city and the city shall not be liable for
the removal and disposal of the same.
(Code 1966, 9 12-12)
Sec. 24-9. Prohibited materials and regulations.
(a) The Director of Solid Waste shall keep a list of special waste that is not acceptable
for collection and disposal by the Solid Waste Department. The Director of Solid Waste
may also make reasonable rules regarding the collection and disposal by the Solid Waste
Department of any municipal solid waste, or other solid waste that requires special
preparation or handling to meet the requirements of any state or federal law or regulation
or which are otherwise necessary to safely and properly collect, transport, and provide for
disposal. The list of special waste and the rules shall be written and kept on file by the
Director of Solid Waste and be available for public inspection during regular business
hours.
(b) No person shall deposit in any container servi ced by the Soli d Waste Department
any special waste. The Solid Waste Department may refuse to collect, transport or
dispose of special or hazardous waste or any other garbage, rubbish, trash, or other solid
waste that does not comply with this chapter or the regulations made by the Director of
Solid Waste.
(c) Each property owner shall be responsible for arranging collections with an
authorized private hauler for the collection, removal, and disposal of any special waste or
other garbage, trash, rubbish, or other solid waste which the city's Solid Waste
Department will not collect.
(Code 1966, 9 12-14(a)--(d); Ord. No. 91-066, 9 IV, 4-30-91)
Sec. 24-10. Municipal Solid Waste to be drained.
All municipal solid waste mixed with water or other liquids shall be drained before being
placed in the receptacle.
(Code 1966, 9 12-15)
Page 4 af1I
Sec. 24-11. Preparation of yard waste, tree limbs and cuttings.
(a) Tree limbs, shrubs and hedge cuttings shall not exceed four (4) feet in length and
shall be stacked neatly with one (1) cut end toward the street at the curb line. No unit or
piece shall weigh more than fifty (50) pounds. Yard waste consisting of small pieces,
small cuttings and small loose material shall be placed in approved bags.
(b) The Director of Solid Waste shall provide for regular collections of yard waste
which has been prepared in accordance with this section. Ifunusual accumulations are
present, a reasonable charge shall be made for such service in addition to the regular
service charge.
(c) Brush, limbs, leaves and cuttings from trees and shrubs which have been trimmed
or removed by a commercial tree trimmer shall be disposed of at the expense of the
owner or person controlling the same or upon payment of the actual cost of such removal
plus an administrative and overhead charge
(Code 1966, SS 12-16(b), (c), 12-17(c))
Cross references - Landscaping, screening and tree preservation generally, Ch. 31.
Sec. 24-12. Heavy or unusual accumulations.
(a) Construction and demolition materials and other accumulations as a result of
construction, remodeling, repairing or destruction shall be disposed of at the expense of
the owner.
(b) Household furnishings, goods and appliances, including but not limited to stoves,
refrigerators, washing or drying machines, water heaters, sofas, chairs, tables, mattresses
and box springs, shall be disposed of at the expense of the owner or person controlling
same or, upon request and payment of a fee to recover the cost of providing these
additional services, including administrative and overhead costs.
(Code 1966, S 12-17(e), (f))
Sec. 24-13. Theft of Service Prohibited.
No person shall knowingly place any solid waste, bulky items, or any other material in,
on, or next to the solid waste container of another person or entity in the city of Denton,
Texas.
Secs.24-14--24-40. Reserved.
ARTICLE II. RESIDENTIAL COLLECTION SERVICE
Sec. 24-41. Residential Solid Waste Services Required.
Page 5 af1I
(a) Any owner, occupant, tenant or lessee of any residential premises in the city shall
have their municipal solid waste regularly removed by the city.
(b) The charges for such service shall be included on a regularly scheduled bill.
(Code 1966, 9 12-18(a), (b))
Sec. 24-42. Charges for residential service.
(a) As used in this section, the term "individual family unit" shall mean each side of a
duplex, each living unit per subdivided lot, each apartment in an apartment house, up to
and including three (3) units and any unit or living space in which a single family resides.
(b) The charge for collecting municipal solid waste from each individual family unit
shall be in an amount established and as from time-to-time amended by ordinance as
adopted by the city council; the ordinance and amendments thereto to be kept on file with
the city secretary and to be available for public inspection during regular business hours.
(c) Multiple-dwelling units having either water or electricity billed through a single
meter will be billed a single solid waste charge along with the single water or electric
charge, regardless of the occupancy of such multiple-dwelling unit.
(d) Multiple-dwelling units classified as fraternities, sororities, boardinghouses and
dormitories shall be charged as a commercial or institutional service. Any multiple-
dwelling unit which requires more than the minimum service described in this chapter is
subj ect to having the charges increased by the Director of Solid Waste based upon the
additional required service.
(e) Mobility or visually impaired customers may receive special collection services.
Containers may be placed in locations designated by the city. The resident receiving this
special service must be mobility or visually impaired and no member of the household is
physically able to place the containers at the curb. Such special services shall require
approval by the Director of Solid Waste or designee. The monthly rate for these special
collection services will be the same rate as is charged those customers with no
impairments.
(f) All residential dwelling units shall containerize their waste for collection.
(Code 1966, 9 12-19)
Sec. 24-43. Residential collection service.
(a) All single family residents within the city shall place their residential refuse and
recyclables at the curb as specified by the Director of Solid Waste or designee.
Page 6 af1I
(b) Residential refuse and recyclables shall be placed at the curb no earlier than 6:00
p.m. on the day prior to the scheduled collection day. To ensure collection, residential
refuse and recyclables should be placed at the curb by 7:00 a.m. on the day of collection.
(c) Customers whose refuse or recyclables were not collected because; they were not
placed at the proper location, they contained unacceptable materials, or they were not
placed out for collection by the required time, shall not be collected until the next
regularly scheduled collection service.
(d) Containers, receptacles and any unaccepted waste or recyclables, shall be removed
from the curb or other designated collection point by the customer no later than 8:00 a.m.
on the day following the scheduled collection day.
(e) All refuse and recyclable containers shall securely contain all contents, and shall be
capable of being handled without spillage. Refuse and recyclables determined by the city
to not be properly contained shall not be collected.
Sec. 24-44. Residential containerized collection service.
(a) Carts shall be placed at or near the curb line, a minimum of four (4) feet from any
mailbox, vehicle, obstacle, or other container. The cart shall be placed in the street with
its wheels against the curb. The Director of Solid Waste or designee may make
reasonable exceptions to the foregoing location requirements, as needed, upon request of
the customer, to meet unique circumstances.
(b) Only authorized refuse and recycling container(s) (carts) provided by the city will
be serviced. No other containers, boxes, or bags placed at the collection site will be
collected, unless special refuse collection services have been requested.
Secs. 24-45--24-65. Reserved.
ARTICLE III. COMMERCIAL COLLECTION SERVICE
Sec. 24-66. Commercial Solid Waste Services Required.
Every owner, occupant, tenant or lessee of any business, commercial, industrial, or
institutional property, or other property not entitled to receive residential solid waste
collection services shall arrange, by contract with the city, for commercial solid waste
collection and disposal services from the city's solid waste department, except as
otherwise specified in this chapter.
(Code 1966, S 12-21; Ord. No. 91-066, S V, 4-30-91)
Sec. 24-67. Charges for commercial, industrial, or institutional service.
(a) The charge for collection and removal of municipal solid waste from premises used
for business, industrial, or institutional purposes shall be based upon the size, type and
Page 7 af1I
number of containers in use at such establishments and the frequency with which such
containers are scheduled to be serviced by city collection personnel. Such charge shall be
in an amount established and as from time to time amended by ordinance as adopted by
the city council; the ordinance and amendments thereto to be kept on file with the city
secretary and to be available for public inspection during regular business hours.
(b) The service charge for other commercial waste disposal and collection services not
otherwise provided for pursuant to this section may be provided upon approval of the
Director of Solid Waste at a cost not to exceed the actual cost plus administrative and
overhead costs.
(Code 1966, 9 12-20; Ord. No. 89-032, 9 I, 2-21-89)
Sec. 24-68. Containers furnished by city for commercial and industrial facilities.
(a) The Director of Solid Waste may locate and place containers for use by
commercial, industrial, and institutional facilities in accordance with the waste storage
needs of the individual facility. All facilities for which containers are so provided by the
city shall place all refuse and waste materials in such containers and shall not place waste
in any containers except those designated by the director of solid waste. It shall be
unlawful for any person using such containers to leave the lid open after placing refuse
material therein.
(b) Where more than one (1) commercial establishment uses the same container, the
charges shall be prorated according to use, but in no case shall be less than an amount
established by the city council and on file in the office of the city secretary.
(Code 1966, 9 12-22; Ord. No. 91-066, 9 VI, 4-30-91)
Sec. 24-69. Annual permit required for special waste and recyclables haulers.
(a) No person shall collect or remove for compensation from any property within the
city any special waste or recyclables without first obtaining a special waste hauler's
permit from the city.
(b) The person applying for a special waste hauler's permit shall make application to
the city on forms provided for that purpose, and pay the required fee. The application
shall require the following information:
(1) The name and business address of the applicant.
(2) The name of the owner of the property and the address where the special waste and
recyclables will be collected.
(3) A description of the special waste and recyclables to be collected.
Page 8 of II
(4) The location where the special waste and recyclables will be disposed, including
proof, when required by the Director of Solid Waste, that the applicant is legally
authorized to dispose at the specified location.
(5) A description and the license number of the motor vehicles to be used in collecting
and transporting the special waste and recyclables within the city.
(6) Any other information which is reasonably necessary to administer this section.
( c) The Director of Solid Waste shall issue the special waste and recyclables hauler's
permit to the applicant if:
(1) Proper application has been made and the fee paid.
(2) The applicant will only be collecting special waste or recyclables as defined in this
chapter.
(3) The applicant is authorized to use the specified disposal site and the manner and
place of disposal does not appear to violate any state or federal law or regulation or city
ordinance.
(d) The special waste and recyclables hauler's permit shall be valid for one year.
(Code 1966, 9 12-23; Ord. No. 90-003, 9 I, 1-2-90; Ord. No. 91-066, 9 VII, 4-30-91)
ARTICLE IV. RECYCLING AND PROCESSING SERVICES.
Sec. 24-90. Recyclable Materials.
(a) Nothing in this chapter shall prohibit a person from collecting, gathering, or
transporting recyclable materials collected from property within the city.
(b) Any person who transports recyclable materials collected from any property inside
the city to a point outside the city, more than three times per year shall register with the
city on forms provided for that purpose.
(c) As used in this section, "recyclable materials" means glass, tin, aluminum, paper,
newspaper or other discarded materials, which are not special waste and have been
separated from other municipal solid waste at the point of collection for delivery to
another location for processing for reuse.
(Ord. No. 91-066, 9 VIII, 4-30-91)
Editor's note: Ord. No. 91-066, 9 VIII, adopted April 30, 1991, amended former 9 24-70,
relative to license terms, in its entirety to read as herein set out. The provisions of former
924-70 derived from Code 1966 9 12-24 and Ord. No. 90-003, 9 II, adopted Jan. 2,1990.
Page 9 af1I
Sec. 24-91. Disposing of recyclable materials.
It shall be unlawful for a person to place any non-recyclable solid waste in any recycling
receptacle or to leave any non-recyclable solid waste on a recycling site in the city of
Denton, Texas.
(Ord. No. 98-299, 9 IV, 9-15-98)
ARTICLE V. POSSESSION OF OPEN GLASS CONTAINERS IN FRY STREET
DISTRICT
Sec. 24-100. Definitions.
Fry Street District: Refers to the area as described in Zoning Ordinance No. 2000-045 as
the Fry Street district. The Fry Street district is generally bounded by Welch Street to the
east, Oak Street to the North, Ave B to the northwest, Ave A to the southwest, Mulberry
Street to the southeast, and Hickory Street to the southwest, which is depicted in Exhibit
A attached hereto and made a part hereof by reference.
Glass container: Means any glass bottle or receptacle, closed or capable of being closed.
Ord. No. 00-045, 9 1,2-1-00)
Sec. 24-101. Prohibition of open glass containers.
(a) Prohibitions. No person shall possess within the Fry Street district upon or
immediately adjacent to any right-of-way, street, sidewalk, pedestrian way, or parking
area, any glass container which is open or has been previously opened except for use on
the premises where the glass containers are acquired.
(b) Exemptions. Notwithstanding any other provision of this section, nothing in this
section shall prohibit the possession of the following glass containers in the Fry Street
District:
(1) Baby bottles containing products for consumption by babies;
(2) Glass drug containers containing prescription drugs;
(3) Glass containers that are being transported in a trash bag directly to a trash or
recycling container for disposal or recycling purposes;
(4) Glass lined vacuum picnic containers or thermos bottles, and
(5) Any container as permitted by Texas Alcoholic Beverage Code Ann. 28.1 O(b).
(Ord. No. 00-045, 9 1,2-1-00)
Sec. 24-102. Discretion of police officer.
Page 10 af1I
Whenever any police officer shall, in the exercise of reasonable judgement, decide that
the presence of any person in any public place is causing or is likely to cause any of the
conditions enumerated in subsection 24-101(a), he may, ifhe deems it necessary for the
preservation of public peace and safety, order that person to leave that place and
surrender the open glass container. Any person who shall refuse to leave or surrender an
open glass container after being ordered to do so by a police officer shall be in violation
of this section.
(Ord. No. 00-045, S 1,2-1-00)
Page 11 af1I
ORDINANCE NO. 2005-
AN ORDINANCE OF THE CITY OF DENTON, TEXAS AMENDING AND WHOLLY
SUBSTITUTING AND SUPERSEDING THE PROVISIONS OF CHAPTER 24 OF THE
CITY OF DENTON CODE OF ORDINANCES AS ATTACHED HERETO, REGARDING
SOLID WASTE SERVICE; PROVIDING FOR A PENALTY NOT TO EXCEED $500 FOR
EACH VIOLATION THEREOF; PROVIDING FOR A REPEALER; PROVIDING FOR A
SEVERABILITY CLAUSE; PROVIDING FOR THE PUBLICATION OF THE CAPTION
THEREOF AND PROVIDING FOR AN EFFECTIVE DATE.
WHEREAS, the City Council of the City of Denton, Texas has determined that it is
necessary and appropriate to wholly amend, supersede and update the provisions of Chapter
24 of the Denton Code of Ordinances, and that the adoption of this ordinance is found by the
City Council to be in the best interest of the citizens of the City of Denton, Texas; and
WHEREAS, the City Council desires to substitute the provisions of the new Chapter
24, Denton Code of Ordinances, as attached hereto, and incorporated by reference herein; and
it desires to supersede all of the provisions of the existing Chapter 24; NOW THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. That the provisions of the amended Chapter 24, Denton Code of
Ordinances, entitled "Solid Waste" which are attached hereto as Exhibit "A", shall be in
all things adopted by the City Council on this date; and the existing Chapter 24, Denton
Code of Ordinances shall be hereby superseded.
SECTION 2. That all ordinances or parts of ordinances in force when the provisions
of this ordinance became effective which are inconsistent, or in conflict with the terms or
provisions contained in this ordinance are hereby repealed to the extent of any such conflict.
SECTION 1. That if any section, subsection, paragraph, sentence, clause, phrase, or
word in this ordinance, or the application thereof to any person or under any circumstances is
held invalid by any court of competent jurisdiction, such holding shall not affect the validity of
the remaining portions of this ordinance, and the City Council of the City of Denton, Texas,
hereby declares it would have enacted such remaining portions despite any such invalidity.
SECTION 4 That this ordinance shall be effective fourteen (14) days after this
ordinance is approved by the City Council, and the City Secretary is hereby directed to cause
the caption of this ordinance to be published twice in the Denton Record Chronicle, the
official newspaper of the City of Denton, Texas, within ten (10) days of the date of its
approval by the City Council.
PASSED AND APPROVED this the
day of
,2005.
1
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
By:
APPROVED AS TO LEGAL FORM:
EDWINM. SNYDER, CITY ATTORNEY
By:
S:IOur DocumentslOrdinanceslOSIChapter 24 Amended Ordinance-Solid Waste-200S.doc
2
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CITY OF DENTON, TEXAS
PUBLIC UTILITIES BOARD MEETING AGENDA
FOR SEPTEMBER 12, 2005
9:00 A. M.
DRAFT
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After determining that a quorum of the Public Utilities Board of the City of Denton, Texas was
present, the Public Utilities Board convened into an Open Meeting on Monday, Sept 12, 2005 at
9:12 a.m. in the Service Center Training Room, City of Denton Service Center, 901-A Texas
Street, Denton, Texas.
Present:
Bob Bland, Bill Cheek, Charldean Newell, Dick Smith
John Baines arrived at approximately 11 :06 a.m.
EX OFFICIO MEMBERS
Michael Conduff, City Manager
Howard Martin, ACM. /Utilities
Excused:
Phil Gallivan
George Hopkins
ITEMS FOR INDIVIDUAL CONSIDERATION:
11) Receive a presentation, hold a discussion and provide a recommendation to update the
City of Denton Code of Ordinances, Chapter 24, Solid Waste.
Vance Kemler, Solid Waste Director, presented this item. Kemler reported that the Solid Waste
Department has proposed changes to the Code of Ordinance that will support current operations
as well as the new service associated with the citywide cart service program proposed for FY
2006.
Newell expressed concern regarding the education plan and the frequently asked questions. She
noted that:
1. The answers were too long in regard to the frequently asked questions.
2. Some editing for grammar was needed and there needed to be a clear separation of concepts
between marketing and education.
4. The educational process should not just rely on information being posted on the web. Staff
should utilize the University news papers and KNTU News to communicate to a wider
audience.
5. Documents should make sure that when using the term residential service that it is clearly
defined. Residential service does not apply or affect those living in apartments.
Page 1 of 2
EXHIBIT 4
1 Newell also volunteered her services to edit the frequently asked questions document.
2
3 Cheek stated that a hotline number should be established to answer questions associated with the
4 implementation of the new cart service.
S
6 Newell, notifying the lack of orthodox parliamentary procedure in doing say, asked the Board's
7 indulgence so that she could put the motion on this issue since she had been the one to who had
8 raised so many issues.
9
10 Newell moved to approve with a second by Board Member John Baines. The motion was
11 approved by a vote of 5-0.
12
Page 2 of 2
AGENDA INFORMATION SHEET
AGENDA DATE: September 20,2005
DEPARTMENT: Materials Management
Questions concerning this
acquisition may be directed
to Alex Pettit at 349-8595
ACM: Kathy DuBose
II
SUBJECT
Consider adoption of an Ordinance approving the expenditure of funds for the purchase of
annual maintenance for Harris Public Utility Billing System and associated software modules
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 3373-
Purchase of Annual Maintenance for Harris Public Utility Billing awarded to Harris Computer
Systems, Inc. in the amount of $56,755).
FILE INFORMATION
The City of Denton uses the Harris Public Utility Billing System software for maintaining utility
customer accounts, producing utility bills, and processing utility revenues. It is essential for the
City of Denton to upkeep current maintenance with the software vendor in order to ensure
availability of upgrades, software fixes, and access to knowledge and support resources. By
keeping current maintenance, the City will be able to upgrade to the newest version of the Harris
NorthStar 6.0 software over the course of the next year.
Harris Computer Systems, Inc. is the sole source vendor for maintenance for the Harris Public
Utility Billing System and associated software modules. Section 252.022 of the Local
Government Code provides that procurement of items that are only available from one source do
not have to be competitively bid.
RECOMMENDA TION
Award to Harris Computer Systems, Inc. in the amount of $56,755.
PRINCIPAL PLACE OF BUSINESS
Harris Computer Systems, Inc.
Ottawa, Ontario, Canada
ESTIMA TED SCHEDULE OF PROJECT
Annual maintenance is being paid for November 1, 2005 through October 31,2006.
Agenda Information Sheet
September 20, 2005
Page 2
FISCAL INFORMATION
Funding for this item is budgeted in the FY2005-06 Technology Services Operating Account
830400.6504.
Respectfully submitted:
~~~
Tom Shaw, C.P.M., 349-7100
Purchasing Agent
Attachment 1: Quote
Attachment 2: Sole Source Letter
Attachment 3: Software Agreement
Attachment 4: Cost Analysis
l-AIS-File 3373
Attachment 1
Denton, TX
Maintenance Proaram
Invoice in Harris
Current
Product Next Invoice Invoice
Nov 1/05 - Oct 31/06 Nov 1/04 - Oct 31/05
Software
PUBS, CARe & HHI 28,755.00 27,000.00
Report Writer - PUBS 1,865.00 1,750.00
eCARe 12,860.00 12,075.00
Call Centre 1,650.00 1,550.00
Test Server 2,075.00 1,950.00
47,205.00 44,325.00
Cog nos Nov 1/05 - Oct 31/06 Nov 1/04 - Oct 31/05
1 admin @ $250 250.00 250.00
Nov 1/05 - Oct 31/06 Nov 1/04 - Oct 31/05
GUI (155 @ $60) 9,300.00 9,300.00
Attachment 2
Harris Computer, l'ne.
Patricia Boisvert
1 Antares DrivejSune 400
ottawa, Ontari:o. Cana.QCi K2E 8C4
Dear patricia:
Your firm has been selected asa vendor providing annual maintenance and continued
vendor support of the Hams pubHc Utility Bilting System and associatedsafhvare t
modulles. You have indIcmed to us that you are lheonly exis'.' vendorofthislthe~e
commodities. Due to statutory requirements, unless: you are l "single or 5:01e ,solirce~'
of this!these commodities we must bId thefr procurementciomp:enUvely. SinglesDurce,
in th~s. case, means that you srethe only company that can . Iy us With this
commodB:y. We are required tocormrm tnisstatus with yeu" respond a~
necessary to thefoUowing questions and return this sneet'to llS via U,S. Mail or fax.. Cal!
if you have any questions,
1, Are Y9Y. th.e sole 'Or Sfn9Je.. source vendor for thecommoditiel> named above?
-LYes __ No
2. 15 there any other vendor th.atoffers this service?
_Yes ~. No
[f you are not the singJe sourCEi vendor of this servfce please list the :other vendors. we
need to contact for bids: '
if you answered questions above as a single source vendor please stgnbelow ta'oertIfy
filat you are the slnglesQurce of this material and return to: .
Tom Shaw, PurchaSIng Agent
9011 B Texas: Street
Denton, Texas 76209
Or Fax ta (940) 349-7302
I certify that weare the sole source 'Of the above listed commo\;ifty or commodities,
Signed: ()(1<~~ Title: CoN'fYl<ot).,b'"fL.
~ (Company Offici-al)
o..,\,^--<) .~ I 'Z-(:x.JS;-
Print Name;
p~~c \ 4-
~
~(7lS:'J-~
Date:
Attachment 3
- 1 -
Schedule A
R R IS
Software Support Agreement
Standard Guidelines
Last Update: May 12,2004 NL
- 2 -
Purpose
The purpose of this document is to provide our customers with information on our
standard coverage, the services which are included as part of your annual software
support, a listing of call priorities, an outline of our escalation procedures, details on our
current service rates. This document will serve as a guideline for the support department
but will be superceded by an existing, signed software support contract where applicable.
Harris reserves the right to make modifications to this document as required.
Standard Support and Maintenance Services
The services listed below are services that are included as part of your software support
contract.
. 800 Telephone support
. Software for Life
. "On Call" after hours support (Scheduled assistance for installations, upgrades &
other special projects, there maybe charges depending on the scope of work)
. Technical troubleshooting
. E-mail support call logging and notification
. Free Harris eSupport access 24 x 7 with the following on-line benefits:
Log & close calls
View & update calls
Update contact information
Access published documentation
Access available downloads
Access Support lmowledge base
Participate in Discussion Forums
. Standard software releases and updates
Defect corrections (as warranted)
Planned enhancements
Payroll regulated changes
Release notes
. Limited training questions (15 minutes)
. DB tuning / optimization
. Customer Care Program
Quarterly News Letter with support tips
Technical support bulletins
Communication on new products and services
. Outstanding Calls Report with conference call as required
. Design review for potential enhancements or custom modifications
. Invitation to annual Customer Conference
Last Update: May 12,2004 NL
- 3 -
Billable Support Services
The services listed below are services that are out of scope of your software support
contract and are therefore considered billable services.
. Extended telephone training
. Forms redesign or creation (includes Bill Prints, Notice Prints and Letters)
. Setup & changes to handheld interface or creation of new interface
. Setup of new services or changes to services ( PAP, ACH, etc)
. File imports/exports - Interfaces to other applications
. Setting up test areas, database refreshes, backups, restores
. Setup of new printers, printer setup changes
. Custom modifications (reports, bills, forms, software customizations)
. Addition of tokens for Letters module
. Setting up additional companies or agencies
. Reversal of custom code
. Setting up new General Ledgers
. Data conversions / global modification to setup table data
. Integrity issues due to database updates by non-Harris personnel
. Extended Hardware & Operating System support
. Upgrades ofthird party software
. Installations I re-installations (workstations, servers)
Rates
Rates are subject to change on an annual basis, quotations will be provided for all billable
servIces.
HelpDesk Hours
Our standard hours of support across all product lines, are from 8:00 a.m. ET to 5 :00 p.m.
ET, Monday to Friday, excluding designated statutory holidays. Extended coverage
from 5:00 p.m. to 8:00 p.m. is available for west coast clients who are running PUBS &
SELECT applications.
Last Update: May 12,2004 NL
Response Times
-4-
Response times will vary and are dependant on the priority of the call. We do our best to
ensure that we deal with incoming calls in the order that they are received, however calls
will be escalated based on the urgency ofthe issue reported. Our response times are as
follows:
Priority 1: 1 - 4 hours
Priority 2: 1 - 8 hours
Priority 3: 1 - 24 hours
Holiday Schedule
Below is a listing of Canadian & US Statutory Holidays. Please note that Harris Support
Services will be closed on designated days as outlined below, emergency support will be
available from 8am ET to 5pm ET in most cases when there is no US corresponding
statutory holiday.
New Year's Day
Good Friday
Memorial Day
Victoria Day
Canada Day
Fourth of July
August Provincial Holiday
Labour Day
Veterans Day
Canadian Thanksgiving
US Thanksgiving
US Thanksgiving (Day After)
Christmas Day
Boxing Day
Closed
8-5
8-5
8-5
8-5
8-5
8-5
Closed
8 - 5
8 - 5
8 - 5
8 - 5
Closed
Closed
Last Update; May 12,2004 NL
- 5 -
Call Priorities
In an effort to assign our resources to incoming calls as effectively as possible, Harris has
identified three types of call priorities, 1, 2 & 3. A Priority 1 call is deemed by our
support staff to be an Urgent or High Priority call, Priority 2 is classified as a Medium
Priority and Priority 3 is deemed to be a Low Priority. The criteria used to establish
guidelines for these calls are as follows:
Priority 1 - High
. System Down (HW, OS, Database, Application)
. Inability to process Payroll checks
. Inability to process Accounts Payable checks
. Inability to process bills
. Program errors without workarounds
. Incorrect calculation errors impacting a majority of records
. Aborted postings or error messages preventing data integration and update
. Performance issues of severe nature impacting critical processes
. Hand-held interface issues preventing billing
Priority 2 - Medium
. System errors that have workarounds
. Calculation errors impacting a minority of records
. Reports calculation issues
. Printer related issues (related to interfaces with our software and not the printer itself)
. Security issues
. HH issues not preventing billing
. Performance issues not impacting critical processes
. Usability issues
. Workstation connectivity issues (WS specific)
Priority 3 - Low
. Report formatting issues
. Training questions, how to, or implementing new processes
. Aesthetic issues
. Issues with workarounds for large majority of accounts
. Recommendations for enhancements on system changes
. Questions on documentation
f
Last Update: May 12,2004 NL
- 6 -
Call Process
All issues or questions reported to Support Services are tracked via a Support Call, our analysts
can not provide assistance unless a support call is logged. Our current process for logging calls
is as follows.
Place a support call through one of the following methods:
1) eSupport at http://support.harriscomputer.com
2) Email to:support@harrisconwuter.com
3) Phone to: 866-450-6696
4) Fax to: 613-226-3377
);> Your call must contain: Your company name, contact person, software product &
version, module and/or menu selection, nature of issue, detailed description of your
question or issue, Batch #, Journal #, Account # (if applicable) support call reference #
(See Customer Log Form)
);> Harris eSupport or the Support Coordinator will provide you with a Call ill to track your
issue and your call will be logged into our support tracking database (eFrontOffice).
);> Your call will be stored in a queue and the first available support representative will be
assigned to deal with your issue.
);> As the support representative assigned to your call investigates your issue, you will be
contacted and advised as to where the issue stands and the course of action that will be
taken for resolution. If we require additional information, you will be contacted by the
assigned support representative to supply the information required.
);> All correspondence and actions associated with your call will be tracked against the call
in our support database. At any time, log onto eSupport to see the status of your call.
);> Once your issue has been resolved, you will receive an automated notification by email
that your call has been closed. This em ail will contain the entire event history of the call
from the time the call was created leading up to the resolution of the call. You also have
the option of viewing both your open and closed calls on-line through eSupport.
);> If the issue needs to be escalated to a programmer, your issue will be logged into our
Development database and you will be provided with a Tracker # to track the progress of
your development issue. At this time, your support call will be closed and the Tracker #
provided will become your new reference #, your Tracker will remain open until your
issue has been completely resolved. Issues escalated to Development will be scheduled
for resolution and may not be resolved immediately depending on the nature and
complexity of the issue.
);> Contact the support department at your convenience for a status update on your
Development Tracker, or log onto eSupport to view your Trackers on-line.
Last Update: May 12,2004 NL
- 7 -
Escalation Procedures
Our escalation process is defined below. This process has been put into place to ensure
that issues are being dealt with appropriately. If at any time you not satisfied with the
resolution of your issue or the response to your call, please contact our Support
Coordinator and we will have the appropriate individual follow up.
Escalation Process
Your call is logged with Harris Support
JJ
If your call is a Priority 1 and it has not been responded to within 4 hours, the support
resources responsible for your call are notified by email and your call is escalated
internally to a level 1. Priority 2 calls will be escalated if not responded to within 8 hours
and Priority 3 calls not responded to within 12 hours will be escalated.
JJ
If your Priority 1 call has not been responded to 4 hours after the designated timeftame,
the Team Leaders are notified and your call is escalated to a level 2.
JJ
If your Priority 1 call has not been responded to after 5 hours from the designated
timeframe, the Director of Support Services is notified and your call is escalated to a
level 3.
U
If your Priority 1 call has not been responded to after 6 hours from the designated
timeftame, the VP of Support Services is notified and your call is escalated to a level 4.
JJ
If your Priority 1 call has not been responded to after 7 hours from the designated
timeframe, the senior Management Team is notified and your call is escalated to a level
5, our final level of escalation.
Last Update: May 12,2004 NL
- 8 -
Connection Methods
To ensure we can effectively support our clients, we ask that a communication link is
established and maintained between our two sites. It is the client's responsibility to
ensure the connection is valid at your location so that Harris can connect to your site and
resolve the issue at hand. Our supported methods of connection are:
. Direct Internet
. VPN
. RAS
. Direct Connection (Modem)
. Terminal Services (Remote Desktop Connection) **Select clients will require a
backup connection for file transfers.
. PC Anywhere (excluding PUBS & Select)
Last Update: May 12,2004 NL
- 9 -
Appendix A
HARDWARE SUPPORT AGREEMENT
Purpose
The pwpose ofthis document is to provide our customers with information on our standard
coverage and the services which are included as part of your annual hardware support. This
document will serve as a guideline for the support department but will be superceded by an
existing, signed hardware support contract where applicable.
Harris reserves the right to make modifications to this document as required.
Standard Hardware Support and Maintenance Services
The services listed below are services that are included as part of your hardware support contract.
. 800 Telephone support
. "On Call" after hours support (Scheduled assistance for installations, upgrades & other
special projects, there may be charges depending on the scope of work)
. Modem support (through one of our recommended methods of communication)
. Technical troubleshooting
On components listed on your Hardware Service Agreement
Operating System
Development tools/licenses
. Limited training questions (15 minutes)
. Creation of backup scripts / backup recovery
. Recovering data resulting from system crashes
. Recommendations on specific hardware requirements
Billable Support Services
The services listed below are services that are out of scope of your hardware support contract and
are therefore considered billable services. Please note we do not provide Hardware support on
any Printers.
. On-site installation or upgrade of hardware or other components
. Extended telephone training
. Reconfiguring hardware and file servers
. Recovering data resulting from client error
. Upgrading of hardware systems
. Preventative maintenance monitoring or other services
. Recommending or assisting with disaster recovery plans
Last Update; May 12,2004 NL
- 10 -
Call Priorities
In an effort to assign our resources to incoming calls according to the urgency of the issue being
reported, Harris Computer Systems has identified three types of call priorities, 1, 2 & 3. A
Priority 1 call is deemed by our support staffto be an Urgent or High Priority call, Priority 2 is
classified as a Medium Priority and Priority 3 is deemed to be a Low Priority. The criteria used
to establish guidelines for these calls are as follows:
Priority 1
. System Down (HW, OS, Database, Application)
. File system full
. Performance issues of severe nature impacting critical processes
Priority 2
. System errors that have workarounds
. Performance issues not impacting critical processes
. Workstation connectivity issues (WS specific)
. Backup problems
Priority 3
. Recommendations for enhancements on system changes
. Training on network of IS related functions
Last Update: May 12,2004 NL
- 11 -
Appendix B
THIRD PARTY SUPPORT AGREEMENT
Purpose
The purpose of this document is to provide our customers with information on our standard
coverage and the services which are included as part of your annual 3'd party support. This
document will serve as a guideline for the support deparbnent but will be superceded by an
existing, signed contract where applicable.
Harris reserves the right to make modifications to this document as required.
Standard Third Party Support and Maintenance Services
For those clients with Harris Computer Systems maintenance on 3rd party products, Harris will
provide support as described below. Harris provides 1 sl line support for all 3rd party products
listed below and will escalate to the vendor if required. Please note that 3rd party installations &
preventative maintenance services are not included as part of your maintenance unless otherwise
indicated below.
. Informix - Standard Engine & Online Engine databases.
Support provided for Harris database related issues
ODBC installation & connection to Harris databases
Updating database to support new Harris software releases
Entitlement to new fuformix software shipments
Initial Infonnix installation & configuration
. Unidata
Entitlement to new Unidata software shipments
fuitial Unidata installation & configuration
1 slline support for troubleshooting Unidata related issues
. GUI
Entitlement to new GUI software releases
Installation & configuration
1 sl line support for troubleshooting GUI related issues
. System Builder & SB+
Entitlement to new SB software releases
fustallation & configuration
1 sl line support for troubleshooting SB related issues
. Report Writer (Impromptu) - Administrator & User License
Initial installation & configuration of Impromptu software.
Set up ofImpromptu and establishing a connection with the PUBS software
Limited assistance in utilizing standard report writer functionality (15 min. max.)
. Report Writer - Data Dictionary
Updates to catalog which reflect changes in PUBS upgrades
Assistance in locating information within the catalog
Direction on an existing report (a copy of the report is needed)
. Crystal Reports (run time only) - Configuration ofODBC to run application reports and
export data from reports. Applicable for OWF clients only.
Last Update: May 12,2004 NL
- 12 -
. MSS 2000 - Databases
Support provided for Harris database related issues
ODBC installation & connection to Harris databases
Updating database to support new Harris software releases
Configuration of Backup Maintenance Plans
. Solid Databases
Support provided for Harris database related issues
ODBC installation & connection to Harris databases
Updating database to support new Harris software releases
Configuration of Backup Maintenance Plans
Billable 3Td Party Services
. Upgrades & installations (other than at time of initial purchase)
. Report Writer upgrades & installations (other than at time of initial purchase)
. Re-establishment of ODBC connection if connection was lost due to actions of non-Harris
personnel.
. ODBC connections to other 3rd party products
. Creation of custom reports
. Report Writer training
Last Update: May 12,2004 NL
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ORDINANCE NO.
AN ORDINANCE APPROVING THE EXPENDITURE OF FUNDS FOR THE
PURCHASE OF ANNUAL MAINTENANCE FOR HARRIS PUBLIC UTILITY
BILLING SYSTEM AND ASSOCIATED SOFTWARE MODULES 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 3373-
PURCHASE OF ANNUAL MAINTENANCE FOR HARRIS PUBLIC UTILITY
BILLING AWARDED TO HARRIS COMPUTER SYSTEMS, INC. IN THE AMOUNT
OF $56,755).
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. The following purchase of materials, equipment or supplies, as
described in the "File" listed hereon, and on file in the office of the Purchasing Agent,
and the license terms attached are hereby approved:
FILE
NUMBER
VENDOR
AMOUNT
3373
Harris Public Utility Billing System
$56,755
SECTION 2. 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. The City Manager is hereby authorized to execute any contracts
relating to the items specified in Section 1 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
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
BY ~~
6-ORD-File 3373
AGENDA INFORMATION SHEET
AGENDA DATE:
September 20, 2005
Questions concerning this
acquisition may be directed
to Alex Pettit at 349-8595
DEPARTMENT:
Materials Management
ACM:
Kathy DuBose
II
SUBJECT
Consider adoption of an Ordinance approving the expenditure of funds for the purchase of
annual maintenance for VisionAir Public Safety Software System and associated modules used
for Police and Fire Department dispatching and records management 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 3384-Purchase of Annual
Maintenance for VisionAir Public Safety Software System awarded to VisionAir, Inc. in the
amount of $148,079.66).
FILE INFORMATION
The City of Denton uses the VisionAir Public Safety Software Suite for managing all aspects of
Public Safety Dispatching as well as managing the Public Safety Records of Police and Fire
Departments. It is essential for the City of Denton to upkeep current maintenance with the
software vendor in order to ensure availability of upgrades, software fixes, and access to
knowledge and support resources.
VisionAir Inc. is the sole-source vendor for maintenance and support for the VisionAir Public
Safety Software Suite of modules. Section 252.022 of the Local Government Code provides that
procurement of items that are only available from one source, do not have to be competitively
bid.
RECOMMENDA TION
Award to VisionAir, Inc. in the amount of$148,079.66.
PRINCIPAL PLACE OF BUSINESS
VisionAir, Inc.
Castle Hayne, NC
ESTIMA TED SCHEDULE OF PROJECT
Annual Maintenance is being paid from October 1,2005 through October 30,2006.
Agenda Information Sheet
September 20, 2005
Page 2
FISCAL INFORMATION
Funding for this purchase order is budgeted in the FY2005-06 Technology Services operating
budget account 830700.6504.
Respectfully submitted:
~~~
Tom Shaw, C.P.M., 349-7100
Purchasing Agent
Attachment 1: Quote
Attachment 2: Sole Source Letter
Attachment 3: Cost Analysis
l-AIS-File 3384
Attachment 1
Denton TX, City of
Tiffany Wei
601 East Hickory, suite E
Denton, TX 76205
Invoice: IVC07665
Invoice Date: 7/29/05
Date Due: 9/30/05
24x7 CAD Software Maintenance Renewal (Admin Only)
October 1, 2005 through September 30,2006
VisionCAD: 7 Position
24x7 CAD Software Maintenance Renewal (Admin Only)
October 1, 2005 through September 30,2006
VisionGEO: 5 Position
8x5 RMS Software Maintenance Renewa(Admin Only)
October 1, 2005 through September 30,2006
VisionRMS Base: 40 Position
8x5 Jail Software Maintenance Renewal(Admin
October 1, 2005 through September 30,2006
VisionJail: 5 Position,
not live Fingerprint
24x7 Mobile Software Maintenance Renewal(Admin)
October 1, 2005 through September 30,2006
VisionMobile Message Switch: 100 Position
24x7 Mobile Software Maintenance Renewal(Admin)
October 1, 2005 through September 30,2006
VisionMobile Base Package: 85 Position
Not Live Paperless Citation
Fire Mobile Not Live
8x5 Fire Software Maintenance Renewal(Admin Only)
October 1, 2005 through September 30,2006
VisionFire: 20 Position
8x5 Inform SW Maintenance (Admin Only)
October 1, 2005 through September 30,2006
VisionInform: 10 Position
24x7 Mobile Software Maintenance Renewal(Admin)
October 1, 2005 through September 30,2006
Job#027043
VisionMobile Message Switch: 41-50 Position
$38,442.24
$3,551.16
$15, 13 1.44
$4,276.82
$17,619.85
$54,338.02
$0.00
$4,887.29
$3,559.56
$5,873.28
Attachment 1
Denton TX, City of
Tiffany Wei
601 East Hickory, suite E
Denton, TX 76205
Invoice: IVC07665
Invoice Date: 7/29/05
Date Due: 9/30/05
Go To Assist
$400.00
Subtotal:
Tax
Total:
$148,079.66
$0.00
$148,079.66
Remit Payment to: VisionAir, Inc., Dept. at 952157, Atlanta,
GA 31192-2157
If you have any questions please call, 800.882.2108 ext.
5166.
Attachment 2
r
Tiffany Wei
Assistant to the Chief for Information Technology and Crime Analysis
Denton Police Department
601 E. Hickory St., Suite E
Denton, Texas 76205
June 16,2005
Dear Ms. Wei,
VisionAir is the sole source provider of support for its software that is used by the Denton Public
Safety. Please let me know if you have any questions. We appreciate your business.
Warm regards,
Mitzi Kincaid
Senior Financial Manager
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ORDINANCE NO.
AN ORDINANCE APPROVING THE EXPENDITURE OF FUNDS FOR THE
PURCHASE OF ANNUAL MAINTENANCE FOR VISIONAIR PUBLIC SAFETY
SOFTWARE SYSTEM AND ASSOCIATED MODULES USED FOR POLICE AND
FIRE DEPARTMENT DISPATCHING AND RECORDS MANAGEMENT
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 3384-PURCHASE OF ANNUAL MAINTENANCE FOR VISIONAIR
PUBLIC SAFETY SOFTWARE SYSTEM AWARDED TO VISIONAIR, INC. IN THE
AMOUNT OF $148,079.66).
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. The following purchase of materials, equipment or supplies, as
described in the "File" listed hereon, and on file in the office of the Purchasing Agent,
and the license terms attached are hereby approved:
FILE
NUMBER
VENDOR
AMOUNT
3384
VisionAir Inc.
$148,079.66
SECTION 2. 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. The City Manager is hereby authorized to execute any contracts
relating to the items specified in Section 1 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
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
BY ~~
5-ORD-File 3384
AGENDA INFORMATION SHEET
AGENDA DATE: September 20,2005
DEPARTMENT: Materials Management
Questions concerning this
acquisition may be directed
to Alex Pettit 349-8595
ACM:
Kathy DuBose
Ii
SUBJECT
Consider adoption of an Ordinance approving the expenditure of funds for the purchase of
annual maintenance for Geographic Information System (GIS) 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 3382 - Purchase of
Annual Maintenance for Geographic Information System (GIS) Software Package awarded to
Environmental Systems Research Institute (ESRI) in the amount of $35,000.00).
FILE INFORMATION
The GIS User Group consisting of Public Safety, Water, Electric, Solid Waste, Engineering,
Planning and Technology Services meet quarterly to discuss GIS projects for the City. The ESRI
software is the tool that has been used to develop GIS solutions that the City's departments
utilize.
The City of Denton uses the ESRI GIS software package to create and manage City inventories,
produce web interactive maps, as well as paper maps, and provide a tool for data integration and
analysis to the user departments. It is essential for the City of Denton to upkeep current
maintenance with the software vendor in order to ensure availability of upgrades, software fixes,
and access to knowledge and support resources.
The City of Denton is in the process of upgrading the GIS database server from ArcSDE 8.0 to
ArcSDE 9.0. The process for upgrading the software includes installing ArcSDE on the server
and configuring the server to be accessible from client workstations.
ESRI, as owner and manufacturer, is the sole-source vendor for maintenance contracts for the
GIS software package. Section 252.022 of the Local Government Code provides that
procurement of items that are only available from one source do not have to be competitively
bid.
RECOMMENDA TION
Award to Environmental Systems Research Institute in the amount of $35,000.00.
Agenda Information Sheet
September 20, 2005
Page 2
PRINCIPAL PLACE OF BUSINESS
ESRI
Redlands, CA
ESTIMA TED SCHEDULE OF PROJECT
Maintenance is being paid from December 1, 2005 through November 30,2006.
FISCAL INFORMATION
Funding for this item is budgeted in the FY 2005-06 Technology Service operating account
830400.6504.
Respectfully submitted:
~~~
Tom Shaw, C.P.M., 349-7100
Purchasing Agent
Attachment 1: Quote
Attachment 2: Sole Source Letter
Attachment 3: Cost Analysis
l-AIS-File 3382
Attachment 1
I1EII
ESRllnc
380 New York Street
REDLANDS CA 92373
SUBJECT:
MAINTENANCE QUOTE
DATE:
TO:
ORGANIZATION:
07/22/2005
Sylvia Wood
CITY OF DENTON
TECHNOLOGY SERVICES DEPT
940-566-8533 PHONE #: 940-349-7897
FAX#:
FROM:
FAX#:
EMAIL:
Melissa Lestina
909-793-4801 PHONE #: 909-793-2853 Ext. 2459
mlestina@esri.com
Number of pages transmitted
(including this cover sheet): 6
QUOTATION #25164703
Please find the attached quotation for your forthcoming software
maintenance term. As you know, keeping your maintenance current entitles
you to exclusive benefits that may include technical support, software
upgrades, and User Conference registrations. If you choose to discontinue
your maintenance, you will become ineligible for maintenance benefits and
services. All maintenance fees from the date of discontinuation will be due
and payable if you decide to reactivate your coverage at a later date.
This quote has been prepared using new ArcGIS 9.1 licensing guidelines. At
9.1, Arclnfo will include the functionality and data from ArcScan, ArcPress,
Maplex, and StreetMap; ArcEditor will include the functionality and data from
ArcScan, ArcPress, and Streetmap; ArcView will include the functionality and
data from ArcPress and Streetmap; ArcGIS Engine will include the
functionality and data from StreetMap; and ArcGIS Server will include the
functionality and data from StreetMap. Due to these changes, these
extensions are no longer itemized in maintenance quotes because coverage
will be included with the maintenance fee for the core product.
Customers who have multiple copies of some ESRI products may have the
option of supporting some of their licenses with secondary maintenance.
Secondary maintenance entitles users to software upgrades and technical
support through a primary license. Users must support at least one primary
license for every ten copies of each version of a product (e.g., ArcView 3.x
licensing is regarded as separate from ArcView 9.x). Please contact
Customer Service to find out more about the availability of secondary
maintenance.
If you are using ESRI products that are at previous versions, or if you have
software that is not currently covered by one of our programs, please contact
us for information about the different options that are available to you.
I1EII
ESRllnc
380 New York Street
REDLANDS CA 92373
Do you need training? You can get affordable ESRI software training for your
entire organization with a subscription to ESRI Virtual Campus. To find out
how, visit the campus: http://campus.esri.com/campus/catalog/subscriptions
If you have any questions or need additional information, please contact
Customer Service at 888-377-4575.
380 New York Street
REDLANDS, CA 92373
Phone: 909-793-28532459
Fax #: 909-793-4801
Quotation
Date: 07/22/2005
Quotation Number: 25164703
CITY OF DENTON
TECHNOLOGY SERVICES DEPT
601 E HICKORY STE A
DENTON TX 76205-4305
Attn: Sylvia Wood
Send Purchase Orders To:
ESRI, Inc.
380 New York Street
Redlands, CA 92373-8100
Attn: Melissa Lestina
Please include the following
remittance address on your
Purchase Order:
ESRI Inc.
File #54630
Los Angeles, CA 90074-4630
Customer Number: 552
Item Qty Product# Description
Unit Price
Extended Price
IF YOU HAVE ANY QUESTIONS REGARDING YOUR MAINTENANCE QUOTATION,
PLEASE CONTACT CUSTOMER SERVICE AT 888-377-4575
10 52384 MAINT,PRIM,AI,FL
Arclnfo Floating Primary Maintenance
Start Date: 12/01/2005
End Date: 11/30/2006
20 7 52385 MAINT,SCNDRY,AI,FL
Arclnfo Floating Secondary Maintenance
Start Date: 12/01/2005
End Date: 11/30/2006
30 52396 MAINT,PRIM,COGO,FL
ArcCOGO Floating Primary Maintenance
Start Date: 12/01/2005
End Date: 11/30/2006
40 2 87192 MAINT,PRIM,AV,SU
ArcView Single Use Primary Maintenance
Start Date: 12/01/2005
End Date: 11/30/2006
3,000.00
3,000.00
1,200.00
8,400.00
500.00
500.00
400.00
800.00
This quotation is valid for 90 days and is subject to your ESRI License Agreement. The quotation information is proprietary and may not be
copied or released other than for the express purpose of system selection and purchase/license. This information may not be given to outside
parties or used for any other purpose without consent from Environmental Systems Research Institute, Inc. (ESRI).
Any estimated sales and/or use tax has been calculated as of the date of this quotation and is merely provided as a convenience for your
organization's budgetary purposes. ESRI reserves the right to adjust and collect sales and/or use tax at the actual date of invoicing. If your
organization is tax exempt or pays state taxes directly, then prior to invoicing, your organization must provide ESRI with a copy of a current tax
exemption certificate issued by your state's taxing authority for the given jurisdiction.
Issued By: Melissa Lestina
Ext: 2459
[LESTINAM]
To expedite your order, please reference your customer number and this quotation number on your purchase order.
380 New York Street Quotation
REDLANDS, CA 92373
Phone: 909-793-28532459 Page 2
Fax #: 909-793-4801
Date: 07/22/2005 Quotation Number: 25164703
Item Qty Product# Description Unit Price Extended Price
Hardware Platform: GENERIC DESKTOP
50 25 87193 MAINT,SCNDRY,AV,SU 300.00 7,500.00
ArcView Single Use Secondary Maintenance
Start Date: 12/01/2005
End Date: 11/30/2006
Hardware Platform: GENERIC DESKTOP
60 7 87193 MAINT,SCNDRY,AV,SU 300.00 2,100.00
ArcView Single Use Secondary Maintenance
Start Date: 12/01/2005
End Date: 11/30/2006
Hardware Platform: GENERIC DESKTOP
70 87194 MAINT,PRIM,AV,CU 700.00 700.00
ArcView Concurrent Use Primary Maintenance
Start Date: 12/01/2005
End Date: 11/30/2006
Hardware Platform: WINDOWS NT-INTEL
80 3 87195 MAINT,SCNDRY,AV,CU 500.00 1,500.00
ArcView Concurrent Use Secondary Maintenance
Start Date: 12/01/2005
End Date: 11/30/2006
Hardware Platform: WINDOWS NT-INTEL
90
87198
MAINT,PRIM,AG 3D,CU
ArcGIS 3D Analyst Concurrent Use Primary Maintenance
Start Date: 12/01/2005
End Date: 11/30/2006
Hardware Platform: WINDOWS NT-INTEL
500.00
500.00
100
87213
MAINT,DSG,ASDE,SRVR,2CPU 3,000.00 3,000.00
ArcSDE Developer Support Group Maintenance for 1 Server 2 CPUs and 5 Read and Write
Connections
Start Date: 12/01/2005
End Date: 11/30/2006
This quotation is valid for 90 days and is subject to your ESRI License Agreement. The quotation information is proprietary and may not be
copied or released other than for the express purpose of system selection and purchase/license. This information may not be given to outside
parties or used for any other purpose without consent from Environmental Systems Research Institute, Inc. (ESRI).
Any estimated sales and/or use tax has been calculated as of the date of this quotation and is merely provided as a convenience for your
organization's budgetary purposes. ESRI reserves the right to adjust and collect sales and/or use tax at the actual date of invoicing. If your
organization is tax exempt or pays state taxes directly, then prior to invoicing, your organization must provide ESRI with a copy of a current tax
exemption certificate issued by your state's taxing authority for the given jurisdiction.
Issued By: Melissa Lestina
Ext: 2459
[LESTINAM]
To expedite your order, please reference your customer number and this quotation number on your purchase order.
380 New York Street
REDLANDS, CA 92373
Phone: 909-793-28532459
Fax #: 909-793-4801
Quotation
Page 3
Date: 07/22/2005 Quotation Number: 25164703
Item Qty Product# Description
Unit Price
Extended Price
110
92628
500.00
120
93094
130
93094
140 2
97534
150
98696
MAINT,PRIM,AG SRVAN,CU 500.00
ArcGIS Survey Analyst Concurrent Use Primary Maintenance
Start Date: 12/01/2005
End Date: 11/30/2006
Hardware Platform: WINDOWS NT-INTEL
MAINT,PRIM,AV,EXT,SU 1,000.00
ArcView with Extension Single Use Primary Maintenance
Start Date: 12/01/2005
End Date: 11/30/2006
Hardware Platform: GENERIC DESKTOP
1,000.00
MAINT,PRIM,AV,EXT,SU 1,000.00
ArcView with Extension Single Use Primary Maintenance
Start Date: 12/01/2005
End Date: 11/30/2006
Hardware Platform: GENERIC DESKTOP
1,000.00
MAINT,AIMS,1 SRVR,2CPU
ArclMS 1 Server 2 CPUs Maintenance
Start Date: 12/01/2005
End Date: 11/30/2006
2,000.00
4,000.00
MAINT,PRIM,AG PUB,CU
ArcGIS Publisher Concurrent Use Primary Maintenance
Start Date: 12/01/2005
End Date: 11/30/2006
Hardware Platform: WINDOWS NT-INTEL
500.00
500.00
Subtotal
Shipping & Handling
Estimated Tax
Total
35,000.00
0.00
0.00
$ 35,000.00
This quotation is valid for 90 days and is subject to your ESRI License Agreement. The quotation information is proprietary and may not be
copied or released other than for the express purpose of system selection and purchase/license. This information may not be given to outside
parties or used for any other purpose without consent from Environmental Systems Research Institute, Inc. (ESRI).
Any estimated sales and/or use tax has been calculated as of the date of this quotation and is merely provided as a convenience for your
organization's budgetary purposes. ESRI reserves the right to adjust and collect sales and/or use tax at the actual date of invoicing. If your
organization is tax exempt or pays state taxes directly, then prior to invoicing, your organization must provide ESRI with a copy of a current tax
exemption certificate issued by your state's taxing authority for the given jurisdiction.
Issued By: Melissa Lestina
Ext: 2459
[LESTINAM]
To expedite your order, please reference your customer number and this quotation number on your purchase order.
380 New York Street
REDLANDS, CA 92373
Phone: 909-793-28532459
Fax #: 909-793-4801
Quotation
Page 4
Date: 07/22/2005 Quotation Number: 25164703
Item Qty Product# Description
Unit Price
Extended Price
BY SIGNING BELOW, YOU ARE INDICATING THAT YOU ARE AUTHORIZED TO OBLIGATE FUNDS FOR YOUR
ORGANIZATION. DO NOT USE THIS FORM FOR ORDER ACTIVATION IF YOUR ORGANIZATION WILL NOT HONOR AND
PAY AN INVOICE THAT HAS BEEN ISSUED AT YOUR DIRECTION WITHOUT ADDITIONAL AUTHORIZING PAPERWORK.
To expedite your order, either attach a copy of this quotation to your purchase order when it is remitted to ESRI, or sign below and
return this quotation to indicate your acceptance. ESRI's address and fax number are provided on the first page of this quotation.
If you have made ANY alterations to the line items included in this quote and have chosen to sign the quote to indicate your
acceptance, you must fax ESRI the signed quote in its entirety in order for the quote to be accepted. You will be contacted by
your Customer Service Representative if additional information is required to complete your request.
If your organization is a US Federal, state, or local government agency; an educational facility; or a company that will not pay an
invoice without having issued a formal purchase order, a signed quotation will not be accepted unless it is accompanied by your
purchase order.
If you choose to discontinue your support, you will become ineligible for support benefits and services. All maintenance fees from
the date of discontinuation will be due and payable if you decide to reactivate your support coverage at a later date.
By signing below, you are authorizing ESRI to issue a software maintenance invoice in the amount of:
$
Signature of Authorized Representative
Name (Please Print)
Title
This quotation is valid for 90 days and is subject to your ESRI License Agreement. The quotation information is proprietary and may not be
copied or released other than for the express purpose of system selection and purchase/license. This information may not be given to outside
parties or used for any other purpose without consent from Environmental Systems Research Institute, Inc. (ESRI).
Any estimated sales and/or use tax has been calculated as of the date of this quotation and is merely provided as a convenience for your
organization's budgetary purposes. ESRI reserves the right to adjust and collect sales and/or use tax at the actual date of invoicing. If your
organization is tax exempt or pays state taxes directly, then prior to invoicing, your organization must provide ESRI with a copy of a current tax
exemption certificate issued by your state's taxing authority for the given jurisdiction.
Issued By: Melissa Lestina
Ext: 2459
[LESTINAM]
To expedite your order, please reference your customer number and this quotation number on your purchase order.
Attachment 2
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ORDINANCE NO.
AN ORDINANCE APPROVING THE EXPENDITURE OF FUNDS FOR THE
PURCHASE OF ANNUAL MAINTENANCE FOR GEOGRAPHIC INFORMATION
SYSTEM (GIS) SOFTWARE P ACKAGE 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 3382 - PURCHASE OF ANNUAL
MAINTENANCE FOR GEOGRAPHIC INFORMATION SYSTEM (GIS) SOFTWARE
PACKAGE AWARDED TO ENVIRONMENTAL SYSTEMS RESEARCH
INSTITUTE (ESRI) IN THE AMOUNT OF $35,000.00).
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. The following purchase of materials, equipment or supplies, as
described in the "File" listed hereon, and on file in the office of the Purchasing Agent,
and the license terms attached are hereby approved:
FILE
NUMBER VENDOR
AMOUNT
3382 Environmental Systems Research Institute
$35,000
SECTION 2. 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. The City Manager is hereby authorized to execute any contracts
relating to the items specified in Section 1 and the expenditure of funds pursuant to said
contracts is hereby authorized.
SECTION 4. This ordinance shall become effective immediately upon its
passage and approval.
PASSED AND APPROVED this the
day of
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
BY ~~
5-ORD-File 3382
AGENDA INFORMATION SHEET
AGENDA DATE: September 20,2005
DEPARTMENT: Materials Management
Questions concerning this
acquisition may be directed
to Alex Pettit at 349-8595
ACM:
Kathy DuBose _
SUBJECT
Consider adoption of an Ordinance awarding a contract for the purchase of annual maintenance
for the Nortel phone system including 24 hours per day 7 days per week support on all
equipment located in City of Denton facilities as awarded by the State of Texas Building and
Procurement Commission through the Catalog Information Service Vendor (CISV) Catalog
Program; providing for the expenditure of funds therefore; and providing an effective date (File
3378-Annual Maintenance for Nortel Phone System awarded to Verizon Southwest in the
amount of $44,092.85).
FILE INFORMATION
The Nortel phone system provides mission critical support for all departments within the City
including Police and Fire, Electric, Water, Solid Waste, Customer Service, Engineering, Library,
City Manager's Office, Tax, Municipal Court, Facility Management and Finance. It is essential
for the City of Denton to upkeep current maintenance with the vendor in order to ensure
availability of upgrades, software fixes and access to knowledge and support resources.
RECOMMENDA TION
Award to Verizon Southwest in the amount of $44,092.85.
PRINCIPAL PLACE OF BUSINESS
Verizon Southwest
Dallas, Texas
ESTIMA TED SCHEDULE OF PROJECT
Maintenance contract is scheduled for the term 2005 to 2006 budget year.
FISCAL INFORMATION
Funding for this purchase order is budgeted in the FY 2005-06 Technology Services operating
budget account 830200.6504.
Agenda Information Sheet
September 20, 2005
Page 2
Attachment 1: Quote and CISV Certification
Attachment 2: CISV Letter
Attachment 3: Cost Analysis
l-AIS-File 3378
Respectfully submitted:
~~~
Tom Shaw, C.P.M., 349-7100
Purchasing Agent
Attachment 1
~
ver'ZQD
CITY OF DENTON 2005 Maintenance Renewal
Annual cost
Material Prior year Equiped Per Port Pricing at Equipped
Location Address Component Code/Serial # ports Ports Approved rates Ports Notes NMA QUOTES
CITY HALL 2-2666 215 E. McKinney Meridian Opt 81C PBJ< J00025 Rei 25.15 777 16,924.80 24 X 7 Switch only with
meridian mail
Meridian Mail 2,102.40
Valcom Paging 102.54
Recorder Announcer 736.86
19,866.60
City Hall West 2-2194 221 N. Elm St Meridian Remote 80 1,968.00 24 X 7 Switch Only
1,968.00
CITY HALL EAST
Municipal Center 2-5904 601 E. Hickory Meridian Opt 61C PBJ< L00054 Rei 25.15 437 11,709.60 24 X 7 Switch Only
(2-2666)
Valcom Paging 561.05
12,270.65
SUBSTATION
SPENCER Power Plant 1701 C Spencer Ri Meridian Opt 51 C PBJ< L00098 Rei 25.15 141 3,911.40 24 X 7 Switch Only
2-1031 3,911.40
SERVICE CENTER
2-2665
901 Texas Street Meridian Opt 11C PBJ< 934490 Rei 25.10
225
6,076.20
24 X 7 Switch Only
6,076.20
Monthly payment schedule adds 6% to price
44,092.85
Note: The Prices Quoted are At or Below CISV catalog prices
Verizon CISV # 1750573444601/40009
Pricing presented by:
Verizon Enterprise Solutions
Corporate Account Manager
Daniel Mendez
972-719-3203 ph
972-717-7611 fax
Daniel. Mendez@Verizon.com
Attachment 2
.
CISV Letter
Texas GSC
VID #1750573444600
CISV ORDERING ADDRESS
816 CONGRESS AVENUE
SUITE 1500
AUSTIN, TX 78701
This is a true and accurate copy of the catalogue
approved with the General Service Commission.
Effective Date of Catalogue:
August 1, 1998
This catalogue has been updated. Last version of update
Is dated
Wed Mar 28 10:45:31 2001
VENDOR CONTACT INFORMATION
CISV & CMBL Contact Information
Daniel Mendez
972-719-3203
972-281-2524
ndez@Verizon.com
Use or disclosure of this information is subject to the restriction found on the title page of this document.
June 7, 2004
1-1
.,..-- .:1""'-- ~""
"
,.. . ~ ._~ .. . t~
QISV Letter
PRODUCTI SERVICES INFORMATION
Class Codes Available:
Cables: Printer, Disk, Network
Cameras, Di ital (AIS only
s: Accelerator, Graphics, Math Co-Processor ,Memory (RAM and RO
ark, SIMMS
ication Boards: Fax, Modem Internal
ication Control Units: Concentrators, Multi lexors, Cou lers
Data Entry and Remote Job Entry Devices, Voice Activated: Voice
nition/Di itization, S eech S nthesizers
Drives: Compact Disk (CD-ROM)
. s, Flopp Disk
es, Hard/Fixed Disk
Drives, Tape
yboards
S stems, Microcom uter
ion/Accelerator Boards: Hard Drive Controller Cards, Memory,
ocessor, SCSI, Video Cards
uters, Deskto or Towerbased
mputers, Handheld, Laptop, Notebook, Electronic Organizers
icrocomputers, Multi-Processor
s, External, Data Communications
onitors, Color & Monochrome (CGA, VGA, SVGA),Flat Panels
otherboards
nsion Moduels/Ports, Hubs, Line Drivers,MSAUS, Routers, Transc
N
Is: Joy Sticks, Graphic Digitizers, Light Pens, Mice, Pen Pads,
balls
Printers, Dot Matrix
inters, Ink'et
Printers, Laser
Printers, Other
les: Printer, Disk, Network
ips: Acceleratory, Graphics, Math Co-Processor, Memory (RAM and RO
, SIMMS
ication Boards: Fax, Modem Internal, Network Cards
munication Control Units: Concentrators, Multiplexors, Couplers
Communication Processors and Protocol Convertors: Front-End Processor,
ark Interface Module, Protocol Interchange, Switching Controls
Use or disclosure of this information is subject to the restriction found on the title page of this document.
June 7, 2004
1-2
~~
. .
QISV Letter
Computer S stems, Di ital
ansion/Accelerator Boards: Memo , Processor
Geographic Information Systems (GIS), Mini/Main Frame Components
ms, External, Data Communications
Network Components: Adapter Cards, Bridges, Connectors, Expansion
Modules/Ports, Hubs, LineDrivers, MSAUS, Routers, Transceivers (LAN,
WAN
Printers, Dot Matrix
Printers, Ink'et
inters, Laser
inters, Pen Plotter
nners, Document: Handheld, Desktop and Hi h Volume
als and CRT's: Data Processin S stems
s, For Com uters and Peri herals
Chargers, For Computer and Peripheral Batteries
pe Drive Cleaner
puter Instructional Aids and Training Devices (Computer Based T
os, CD-ROM)
Printer Accessories and Supplies (Internal Consumables): Chemicals, Form
Tractors, Inks and Cartridges, Sheet Feeders, Toner Cartridges, Wheels
Includes Rec cled and Remanufactured
Projection Devices: Interactive Conferencing Boards,LCD Panels, Data
. ctors
Testing Equipment for Computers (Does Not Include Tools or Tool Kits)
ccounting/Financial: Bookkeeping, Billing and Invoicing, Budgeting, Payroll,
Taxes
Communications: Network and Linkin
uter Aided Desi nand Vectorization
. er and Hardware Support Programs
Expert System
ted
, Mathematical and Mappin
Use or disclosure of this information is subject to the restriction found on the title page of this document.
June 7, 2004
1-3
~~
. .
QISV Letter
h Volume
Use or disclosure of this information is subject to the restriction found on the title page of this document.
June 7, 2004
1-4
~~
. .
QISV Letter
air
Use or disclosure of this information is subject to the restriction found on the title page of this document.
June 7, 2004
1-5
~~
. .
QISV Letter
CATALOGUE INFORMATION
NOTE to State Agencies:
If this Qualified Information Systems Vendor provides consulting services and if the
value of the consulting contract is reasonably foreseen to exceed $15,000.00, please
refer to the Texas Government Code, Subtitle F, Chapter 2254.
NOTES to all Eligible Purchasers:
. Only Automated Information System (AIS) products and services may be purchased
from this catalogue. Products not eligible for the catalogue purchase procedure must
be edited out by the vendor.
. Any telecommunication services that may be included within this catalogue shall
only be procured by the General Services Commission.
. Disregard any statement in this catalogue that states that prices and availability may
change without notice. This catalogue is required to be kept current by the vendor.
. Disregard any "proprietary, confidential, copyright (C), all rights reserved"
statements in this catalogue. Eligible purchasers are allowed to make copies of this
catalogue.
. For services and products offered in this catalogue that have only one price, the
price shown may be considered both the list price and state price.
. Any terms and conditions in this catalogue that conflict with the Constitution or laws
of the state of Texas shall not be enforceable and, therefore, will not be binding.
. All AIS products and services offered in this catalogue conform and comply with all
applicable standards adopted by the DIR; and all products conform to all state and
federal requirements such as ANSI, FCC, NEMA, OSHA and UL standards.
Vendor Affirmation
By signing the GSC QISV Catalogue Purchasing Program application and submitting
this catalogue through the program, the vendor has reviewed T AC 113.19, and agrees
to comply with the rules as stated for the QISV program. The vendor will also:
. Not give, offer to give, or intend to give at any time hereafter any economic
opportunity, future employment, gift, loan, gratuity, special discount, trip, favor, or
service to a public servant in connection with catalogue purchase transactions;
. Not currently be delinquent in the payment of any franchise tax owed the State of
Texas under Tax Code, Chapter 171 (go to "Certification of Franchise Tax Account
Status" for verification);
. Update their catalogue as needed to reflect changes in price and the availability of
products or services offered.
Use or disclosure of this information is subject to the restriction found on the title page of this document.
June 7, 2004
1-6
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ORDINANCE NO.
AN ORDINANCE AWARDING A CONTRACT FOR THE PURCHASE OF ANNUAL
MAINTENANCE FOR THE NORTEL PHONE SYSTEM INCLUDING 24 HOURS PERDA Y 7
DAYS PER WEEK SUPPORT ON ALL EQUIPMENT LOCATED IN CITY OF DENTON
FACILITIES AS AWARDED BY THE STATE OF TEXAS BUILDING AND PROCUREMENT
COMMISSION THROUGH THE CATALOG INFORMATION SERVICE VENDOR (CISV)
CATALOG PROGRAM; PROVIDING FOR THE EXPENDITURE OF FUNDS THEREFOR;
AND PROVIDING AN EFFECTIVE DATE (FILE 3378-ANNUAL MAINTENANCE FOR
NORTEL PHONE SYSTEM AWARDED TO VERIZON SOUTHWEST IN THE AMOUNT OF
$44,092.85).
WHEREAS, the City Council of the City of Denton has heretofore adopted Resolution 92-
019 pursuant to Section 2157.067 of the Texas Government Code and Sections 271.082 and 271.083
of the Texas Local Government Code which authorizes the City to participate in the State Purchasing
Building and Procurement Commission Information Service Vendor Catalog Purchase Method
provi ded for in Subchapter B of Chapter 2157 of the Texas Government Code (the "CIS V Catalog");
and
WHEREAS, the herein described vendor is a qualified vendor in the CISV Catalog and the
contract authorized by this ordinance is in the best interests of the City and complies with the
requirements of Subchapter B of Chapter 2157 of the Texas Government Code as a CIS V Catalog
purchase; and
WHEREAS, the City Council has provided in the City Budget for the appropriation offunds
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. The numbered items in the following numbered purchase order for materials,
equipment, supplies, or services, shown in the "File Number" listed hereon, and on file in the office
of the Purchasing Agent, are hereby approved:
FILE
NUMBER
VENDOR
AMOUNT
3378
Verizon Southwest
$44,092.85
SECTION 2. By the acceptance and approval of the above numbered items set forth in the
attached purchase orders, the City accepts the offer of the persons submitting the bids to the Building
and Procurement Commission for such items and agrees to purchase the materials, equipment,
supplies or services in accordance with the terms, conditions, specifications, standards, quantities
and for the specified sums contained in the bid documents and related documents filed with the
Building and Procurement Commission, and the purchase orders issued by the City.
SECTION 3. Should the City and persons submitting approved and accepted items set forth
in the attached purchase orders wish to enter into a formal written agreement as a result of the City's
ratification of bids awarded by the Building and Procurement Commission, the City Manager or his
designated representative is hereby authorized to execute the written contract; provided that the
written contract is in accordance with the terms, conditions, specifications and standards contained in
the Proposal submitted to the Building and Procurement Commission, quantities and specified sums
contained in the City's purchase orders, and related documents herein approved and accepted.
SECTION 4. By the acceptance and approval of the above enumerated bids, the City Council
hereby authorizes the expenditure of funds therefor in the amount and in accordance with the
approved bids.
SECTION 5. This ordinance shall become effective immediately upon its passage and
approval.
PASSED AND APPROVED this
day of
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
BY. ~
5-0RD-File 3378
AGENDA INFORMATION SHEET
AGENDA DATE: September 20,2005
DEPARTMENT: Materials Management
Questions concerning this
acquisition may be directed
to Alex Pettit, 349-8595
ACM:
Kathy DuBose
II
SUBJECT
Consider adoption of an Ordinance awarding a contract for the purchase of continued software
maintenance, and services for the LaserFiche Document Imaging System currently being used by
the City of Denton from VP Imaging, as awarded by the State of Texas General Services
Commission through the Catalog Information Services Vendor (CISV), formerly known as
Qualified Information Services Vendor (QISV), providing for the expenditure of funds therefore;
and providing an effective date (File 3381-Purchase of Annual Maintenance for LaserFiche
Document Imaging System awarded to VP Imaging, in the amount of $42,848.20).
BACKGROUND
The initial document imaging system was installed as a pilot project to meet the imaging needs
for the City Secretary's Office and the Legal Department. After successful implementations in
both of these departments, an Imaging Committee was established to define the needs and set the
priority for future imaging projects. The committee was made up of staff members from the
departments that had expressed a need for imaging. Based on the Imaging Committee's
recommendations, the system was enhanced and imaging has now been successfully deployed in
multiple departments throughout the City. The imaging projects include many solutions
integrated with GIS, the Internet, and the City's Intranet.
To maximize the benefits achieved from the recent Street Paving Project, the information was
linked using the GIS, CarteGraph, and the LaserFiche Imaging Systems. The survey resulted in
a large amount of data that included over 950,000 pictures, Ground Penetrating Radar (GPR)
data, and individual video clips of every 20 feet of city streets. The digital images were loaded
into the LaserFiche Imaging System and are now easily managed. The GIS system links all of
the data to the exact location on the interactive map, and the Imaging System displays the
corresponding pictures. The system provides maximum return of the project investments, has
improved employee productivity by easing access to the data, and helps staff to make better-
informed decisions.
This system ensures records security, eliminates time-consuming document searches, cuts
storage space requirements, and meets regulatory compliance. The project has streamlined
operations while providing a more cost-effective means of serving our citizens and internal
departments.
Agenda Information Sheet
September 20, 2005
Page 2
The City Secretary's Office has imagined thousands of documents making them accessible.
Among the documents imaged were City Council minutes, ordinances and resolutions going
back to the 1900's, and cemetery records and abstracts from the 1800's.
The City of Denton's Property Tax Rolls dating back to the 1950's, all Property Tax, Hotel
Occupancy Tax, Investment records, tax bankruptcy files, and the City's mowing and paving
liens are now in digital format. The Tax project saved years of records from destruction and
hundreds of square feet of storage space. By using the LaserFiche System, the Tax Office
provides the Delinquent Tax Attorney immediate access to files through the Internet.
The Human Resources Department has implemented the LaserFiche Imaging System and is now
a paperless operation. By integrating the Imaging System, the online application process, and
the Internet/intranet applications, the Human Resource Department has developed a user-friendly
process that dramatically increased the department's efficiency and effectiveness. The Human
Resources Department now receives an average of 475 applications per month from the online
application service out of the total average of 628 applications per month (76% of all
applications come in from the online process).
This request covers the software license maintenance and services for the LaserFiche Document
Imaging solution that is being used by the City of Denton for applications in the Police
Department, Fire Department, Electric Administration, Utility Administration, City Secretary's
Office, Engineering, Tax, Municipal Court, Facilities Management, Legal, and Human
Resources. It is essential for the City of Denton to upkeep current maintenance with the software
vendor in order to ensure availability of upgrades, software fixes and access to knowledge and
support resources.
RECOMMENDA TION
Award to VP Imaging in the amount of $42,848.20.
PRINCIPAL PLACE OF BUSINESS
VP Imaging
Lubbock, Texas
ESTIMA TED SCHEDULE OF PROJECT
Annual software license maintenance and services will cover FY 2005-06 for the LaserFiche
Document Imaging Application. Contract period is October 25, 2005 through October 25, 2006.
Agenda Information Sheet
September 20, 2005
Page 3
PRIOR ACTIONIREVIEW
Phase I: The trial and selection process of using the LaserFiche Document Imaging Application
for the City of Denton started on April 13, 2000 Purchase Order 04969.
Phase II: On January 8, 2002, the City Council approved Purchase Order 102246 to VP Imaging
for initial deployment of LaserFiche document imaging to Human Resources, Fire, Police, Legal,
Engineering, Tax, and Utilities.
Phase III: On November 5, 2002, the City Council approved File 2909 to VP Imaging for
upgrades and enhancements to the LaserFiche Imaging System for Human Resources, Fire,
Police, Legal, Engineering, Municipal Court, City Manager's Office, City Secretary's Office,
and Utilities, as recommended by the Imaging Committee.
On October 21, 2003, the City Council approved Purchase Order 113926 in the amount of
$40,265 to VP Imaging for software maintenance and services for FY 2003-04.
On October 12, 2004, the City Council approved Purchase Order 119418 in the amount of
$41,731.50 to VP Imaging for software maintenance and services for FY 2004-06.
FISCAL INFORMATION
Funding for this purchase order is budgeted in the 2005-06 Technology Services Operating
Budget account number 830500.6504.
Respectfully submitted:
~~~
Tom Shaw, C.P.M., 349-7100
Purchasing Agent
Attachment 1: Quote and CISV Certification
Attachment 2: CISV Catalog Pricing
Attachment 3: Cost Analysis
Attachment 1
Ooclit:!Nw@
solut oos
QUOTE
VP Imaging, Inc.
PO Box 94011
Lubbock, Texas 79493
806-784-0055 FAX 806-771-0925
Quote#
Date:
31247
8/22/2005
To: Mary Collins
VPI Contact:
Cody Bettis
Customer ID:
Denton
Note: All quotes expire 30 days
from above date. Please call your
VPI contact for any changes.
City of Denton
215 E. McKinney Street
Denton, Texas 76201
Qty Item Descriptions Unit Pr Total
1 VPL Service Contract Agreement for one year. VP Imaging is your $ 36,048.20 $ 36,048.20
Laserfiche provider and front line support service center. Laserfiche
Renewal Support for one year, October 25,2005 through October 25,
2006. This includes LaserFiche service packs and point upgrades.
VP Imaging Technical Support, one year, unlimited support via
phone, fax, email, M-F, 8AM-5PM, CST, Call toll free (800) 353-
2320.
LaserFiche LSAP for the following items:
LF Enterprise Server Software for SQL system, LF Enterprise Full
user 50, LF Enterprise Retrieval user 100, LF Enterprise WebLink,
LF Toolkit, LF CD Publisher, LF Snapshot Site, LF Email Site, LF
Audit-Trail, DocuNav ToolBar Site, DocuNav AutoFile 4, Court
customize software, Zone Capture
80 VPIYR VP Imaging On-Site Training, Technical Support and/or Scanner $ 85.00 $ 6,800.00
Support, one year, @ $85.00per hour plus parts. Hours to be divided
as needed.
$ -
$ -
$ -
$ -
$ -
$ -
ATTENTION:
Quote includes ClSV pricing. VP Imaging, Inc is a ClSV approved vendor. Subtotal $ 42,848.20
VID#1752738222400
Review this quote and once approved, please attach your purchase order Tax
and we will process it. We look forward to working with you! Freight $
Thank you, Nadine. -
Total $ 42,848.20
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1
ORDINANCE NO.
AN ORDINANCE AWARDING A CONTRACT FOR THE PURCHASE OF CONTINUED
SOFTWARE MAINTENANCE, AND SERVICES FOR THE LASERFICHE DOCUMENT
IMAGING SYSTEM CURRENTLY BEING USED BY THE CITY OF DENTON FROM VP
IMAGING, AS AWARDED BY THE STATE OF TEXAS GENERAL SERVICES COMMISSION
THROUGH THE CATALOG INFORMATION SERVICES VENDOR (CISV), FORMERLY
KNOWN AS QUALIFIED INFORMATION SERVICES VENDOR (QISV), PROVIDING FOR
THE EXPENDITURE OF FUNDS THEREFOR; AND PROVIDING AN EFFECTIVE DATE
(FILE 3381-PURCHASE OF ANNUAL MAINTENANCE FOR LASERFICHE DOCUMENT
IMAGING SYSTEM AWARDED TO VP IMAGING, IN THE AMOUNT OF $42,848.20).
WHEREAS, the City Council of the City of Denton has heretofore adopted Resolution 92-
019 pursuant to Section 2157.067 of the Texas Government Code and Sections 271.082 and 271.083
of the Texas Local Government Code which authorizes the City to participate in the State Purchasing
Building and Procurement Commission Information Service Vendor Catalog Purchase Method
provi ded for in Subchapter B of Chapter 2157 of the Texas Government Code (the "CIS V Catalog");
and
WHEREAS, the herein described vendor is a qualified vendor in the CISV Catalog and the
contract authorized by this ordinance is in the best interests of the City and complies with the
requirements of Subchapter B of Chapter 2157 of the Texas Government Code as a CIS V Catalog
purchase; and
WHEREAS, the City Council has provided in the City Budget for the appropriation offunds
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. The numbered items in the following numbered purchase order for materials,
equipment, supplies, or services, shown in the "File Number" listed hereon, and on file in the office
of the Purchasing Agent, are hereby approved:
FILE
NUMBER
VENDOR
AMOUNT
3381
VP Imaging
$42,848.20
SECTION 2. By the acceptance and approval of the above numbered items set forth in the
attached purchase orders, the City accepts the offer of the persons submitting the bids to the Building
and Procurement Commission for such items and agrees to purchase the materials, equipment,
supplies or services in accordance with the terms, conditions, specifications, standards, quantities
and for the specified sums contained in the bid documents and related documents filed with the
Building and Procurement Commission, and the purchase orders issued by the City.
SECTION 3. Should the City and persons submitting approved and accepted items set forth
in the attached purchase orders wish to enter into a formal written agreement as a result of the City's
ratification of bids awarded by the Building and Procurement Commission, the City Manager or his
designated representative is hereby authorized to execute the written contract; provided that the
written contract is in accordance with the terms, conditions, specifications and standards contained in
the Proposal submitted to the Building and Procurement Commission, quantities and specified sums
contained in the City's purchase orders, and related documents herein approved and accepted.
SECTION 4. By the acceptance and approval of the above enumerated bids, the City Council
hereby authorizes the expenditure of funds therefor in the amount and in accordance with the
approved bids.
SECTION 5. This ordinance shall become effective immediately upon its passage and
approval.
PASSED AND APPROVED this
day of
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
~JRD-3381 ~$-
AGENDA INFORMATION SHEET
AGENDA DATE: September 20,2005
DEPARTMENT: Materials Management
Questions concerning this
acquisition may be directed
to Alex Pettit 349-8595
ACM:
Kathy DuBose
II
SUBJECT
Consider adoption of an Ordinance authorizing the execution of change order two to a contract
for lease purchase financing of PC's, monitors, and peripheral equipment for Utility and General
Government (with the exception of Public Safety) Departments between the City of Denton and
Dell Government Leasing and Finance; providing for an increase in the time period and an
increase in the annual lease payment amount; and providing for the expenditure of funds
therefore; and providing an effective date (File 3110-Dell Government Leasing and Finance
awarded in the amount of $1,056,923.70, change order one in the amount of $331,241.64 and
change order two in the amount of $116,626.32 for a total of $1,504,791.66).
CHANGE ORDER INFORMA TION
With the pending release of a new Microsoft Windows operating system and no hardware
limitations impeding present city technology needs, it is in the city's best interest to extend it's
current lease for an additional year. Extending the lease an additional year will allow time for the
new operating system to be released and to be fully tested before deploying it within the city.
This will allow for the operating system and hardware lease to remain on the same upgrade cycle
and eliminate the need for a mid lease operating system upgrade and the licensing costs
associated with an upgrade.
The original three-year Utility and General Government PC lease contract began in February
2003 with a lease payment of $352,307.90 per year for a total of $1,056,923.70. Change order
one was for 197 Public Safety PC's approved in November 2004, and was an extension of the
original lease. The Public Safety portion increased the annual lease payment by $110,413.88 for
a three-year total of $331,241.64. Change order two is for a one-year extension to the Utility and
General Government PC lease contract that will add an additional $116,626.32 to the total
contract amount bringing the total to $1,504,791.66. This additional one-year lease will end in
March 2007.
This purchase order is for lease payments to extend the current lease an additional 12 months.
This extension covers 525 Dell Optiplex GX260 desktop PCs, 80 Dell Latitude C640 notebook
PCs, software, peripherals, and services currently being used by the Utility and General
Government Departments leased equipment expiring in April 2006. The master lease is through
the State of Texas Building and Procurement Commission Department of Information Resources
Cooperative Purchasing Agreement. The leasing rate is negotiated by the State of Texas, which
makes adding to this existing lease more economical than pursuing a lease on the open market.
This allows the City of Denton to take advantage of the leasing power of the State of Texas
Building and Procurement Commission.
Agenda Information Sheet
September 20, 2005
Page 2
RECOMMENDA TION
Approval of change order two for twelve monthly payments in the amount of $9,718.86 each for
a total cost of $116,626.32.
PRINCIPAL PLACE OF BUSINESS
Dell Government Leasing and Finance
Round Rock, Texas
ESTIMA TED SCHEDULE OF PROJECT
The lease renewal for the 525 desktop PC's and 80 notebook PC's with software, peripherals and
services will begin April 1, 2006.
FISCAL INFORMATION
Funding is budgeted from Technology Services account 830500.7802.
Respectfully submitted:
~~~
Tom Shaw, C.P.M., 349-7100
Purchasing Agent
Attachment 1: Dell Government Leasing and Finance Lease Renewal Proposal
City of Denton
Schedule 11066062-01
8-10-05
Dell Government Leasing & Finance III is pleased to provide the following Purchase/Renewal Options for equipment
listed on the above referenced lease schedules.
Effective 10/31/05 ("Effective Date")
Pav#
1
2
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Date
1-Nov-2005
1-Dec-2005
1-Jan-2006
1-Feb-2006
1-Mar-2006
1-Apr-2006
1-May-2006
1-Jun-2006
1-Jul-2006
1-Aug-2006
1-Sep-2006
1-0ct-2006
1-Nov-2006
1-Dec-2006
1-Jan-2007
1-Feb-2007
1-Mar-2007
Payment
0.00
0.00
0.00
0.00
0.00
9,718.86
9,718.86
9,718.86
9,718.86
9,718.86
9,718.86
9,718.86
9,718.86
9,718.86
9,718.86
9,718.86
9,718.86
All pricing included in this quote is effective on the noted Effective Date, and assumes all rental payments, late fees,
applicable sales and property taxes are made to that date. New rental payment will start on the noted Effective/Rental
Start Date. Payments do not include any applicable sales tax.
All payment and other obligations of the Lessee under the Lease must be satisfied and there must be no continuing
defaults there under on the Effective Date. If Lessee fails to pay the Purchase/Renewal price for the Equipment and
applicable taxes within 45 days of invoicing, Lessee shall be liable for additional monthly rentals (in the same amount
as currently due under the Lease) for each month (full or partial) from the Effective Date until the Purchase/Renewal
price and all such additional monthly rentals are paid in full. All advanced payments/deposits are included in the
purchase price, and refunds will not be given. Purchase of the Equipment will be without representations or
warranties, express or implied, by Dell Government Leasing & Finance III, which sells the Equipment on an "AS IS,
WHERE IS" basis.
Please indicate your acceptance by signing below. This quote will remain valid through September 30, 2005. If
Lessee's signed acceptance is not received as of such date, the Lease, including Lessee's obligation to pay rent
there under, will remain in full force and effect.
Regards,
Todd Stevenson
Agreed & Accepted: City of Denton
By:
Signature:
Title:
Date:
ORDINANCE NO.
AN ORDINANCE AUTHORIZING THE EXECUTION OF CHANGE ORDER TWO TO A
CONTRACT FOR LEASE PURCHASE FINANCING OF PC'S, MONITORS, AND
PERIPHERAL EQUIPMENT FOR UTILITY AND GENERAL GOVERNMENT (WITH THE
EXCEPTION OF PUBLIC SAFETY) DEPARTMENTS BETWEEN THE CITY OF DENTON
AND DELL GOVERNMENT LEASING AND FINANCE; PROVIDING FOR AN INCREASE IN
THE TIME PERIOD AND AN INCREASE IN THE ANNUAL LEASE PAYMENT AMOUNT;
AND PROVIDING FOR THE EXPENDITURE OF FUNDS THEREFOR; AND PROVIDING AN
EFFECTIVE DATE (FILE 311 O-DELL GOVERNMENT LEASING AND FINANCE AWARDED
IN THE AMOUNT OF $1,056,923.70, CHANGE ORDER ONE IN THE AMOUNT OF
$331,241.64 AND CHANGE ORDER TWO IN THE AMOUNT OF $116,626.32 FORA TOTAL
OF $1,504,791.66).
WHEREAS, pursuant to Resolution 92-019, the State Purchasing Building and Procurement
Commission has solicited, received and tabulated competitive bids for the purchase of necessary
materials, equipment, supplies or services in accordance with the procedures of state law on behalf of
the City of Denton; and
WHEREAS, on February 4,2003 the City awarded a 36 Month Master Lease Agreement for
PC's, Monitors, Laptop, and Peripheral Equipment to Dell Government Leasing and Finance in the
amount of$I,056,923.70 and on November 18, 2003 the City Council approved change order one in
the amount of $331,241.64; and
WHEREAS, the City Manager or a designated employee has reviewed and recommended that
the herein described materials, equipment, supplies or services can be purchased by the City through
the Building and Procurement Commission programs at less cost than the City would expend if
bidding these items individually; and
WHEREAS, the City Manager having recommend to the Council that a change order be
authorized to amend such lease agreement with respect to the scope and price and said change order
being in compliance with the requirements of Chapter 252 of the Local Government Code,
exempting such purchases from the competitive bid process; NOW THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. Change order two increasing the amount of the lease agreement between the
City and Dell Government Leasing and Finance, a copy of which is on file in the office of the
Purchasing Agent, in the amount of One Hundred Sixteen Thousand Six Hundred Twenty Six and
32/100 Dollars ($116,626.32), is hereby approved and the expenditure of funds therefore is hereby
authorized. The master lease annual amount is amended to read $1,504,791.66).
SECTION 2. By the acceptance and approval of change order two to the master lease on file
in the office of the Purchasing Agent, the City accepts the offer of the persons submitting the bids to
the Building and Procurement Commission for such items and agrees to purchase the materials,
equipment, supplies or services in accordance with the terms, conditions, specifications, standards,
quantities and for the specified sums contained in the bid documents and related documents filed
with the Building and Procurement Commission, and the purchase orders issued by the City.
SECTION 3. Should the City and persons submitting approved and accepted items set forth
in the change order two wish to enter into a formal written agreement as a result of the City's
ratification of bids awarded by the Building and Procurement Commission, the City Manager or his
designated representative is hereby authorized to execute the written contract which shall be
substantially the same as the documents on file in the office of the Purchasing Agent; provided that
the written contract is in accordance with the terms, conditions, specifications and standards
contained in the Proposal submitted to the Building and Procurement Commission, quantities and
specified sums contained in the change order two, and related documents herein approved and
accepted.
SECTION 4. By the acceptance and approval of the listed items set forth in the change order
two, the City Council hereby authorizes the expenditure of funds therefor in the amount and in
accordance with the purchase orders issued by the City or pursuant to a written contract made
pursuant thereto as authorized herein.
SECTION 5. This ordinance shall become effective immediately upon its passage and
approval.
PASSED AND APPROVED this _, day of
2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
BY ~~
3-0RD-File 3110 Change Order Two
AGENDA INFORMATION SHEET
AGENDA DATE: September 20,2005
DEPARTMENT: Materials Management
Questions concerning this
acquisition may be directed
to Alex Pettit at 349-8595
ACM:
Kathy DuBose III
SUBJECT
Consider adoption of an Ordinance awarding a contract approving the expenditure of funds for
the purchase of Mitsubishi 80kV A UPS and distribution system 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 3379-Mitsubishi 80kV A UPS and
distribution system awarded to Data Com Power, Inc., in the amount of $61,10 1).
FILE INFORMATION
The UPS and distribution system will support mISSIOn critical equipment used by Police
Dispatch Operations Center. Systems supported by UPS include Radio Communications, Public
Safety Visionair Servers, and the Police CAD Dispatch Equipment.
This equipment was selected because the Mitsubishi 80kV A UPS Model 2033D UPS provides a
ratio of 1: 1 of engine generator loading to UPS power output using low reflected input current
THD (Total Harmonic Distortion) technology and is capable of paralleling with existing
Mitsubishi 50kV A Model 2033D UPS. Data Com Power, Inc is the only supplier in the state of
Texas and Mitsubishi will not sell direct. Section 252.022 of the Local Government Code
provides that procurement of items that are only available from one source do not have to be
competitively bid.
RECOMMENDA TION
Award to Data Com Power, Inc., in the amount of $61,101.
PRINCIPAL PLACE OF BUSINESS
Data Com Power, Inc.
Piano, Texas
ESTIMA TED SCHEDULE OF PROJECT
Installation of UPS and distribution system will be completed by December 31,2005.
Agenda Information Sheet
September 20, 2005
Page 2
FISCAL INFORMATION
Funding for this item is budgeted in the Technology Services Bond Fund and in the Facilities
Management Special Projects Bond Fund.
Respectfully submitted:
~~~
Tom Shaw, C.P.M., 349-7100
Purchasing Agent
Attachment 1: Quote
Attachment 2: Sole Source Letter
l-AIS-File 3379
Attachment 1
DataCom POWBr, Inc.
Critical Power and Environmental Specialists
City of Denton
UPS System Installation
Aug ust 25, 2005
Proposal P-052448
Provide all engineering, project management, and labor to remove old Exide
UPS and install a new Mitsubishi 80kVA UPS system. This unit will be used to
backup the existing computer room loads which will also include some Police
department loads:
1. Provide and connect new Mitsubishi 80kVA, Three Phase
UPS with external battery system rated for 14 minutes @
full-load, includes remote status alarm panel and start up.
$39,338
$480
2. Provide new UPS Monitoring Package (Netcom).
3. Provide removal of Exide UPS and battery system from
building. Then provide freight and inside delivery of
Mitsubishi UPS and batteries.
$4,1 00
4. Disconnect Exide UPS. Provide new breaker and feeds
to new UPS and maintenance bypass panel. Provide and
install new output panel to distribute the output, allowing a
circuit to go to the Police department equipment room and
a circuit to reefed the existing PDU, plus feed the static
transfer switch feeding newer PDU. Provide feeds from
existing output circuits to new output panel.
$17,183
5. Clean premises as they were when project began.
TOTAL PRICE FOR UPS PROJECT
$61,101
Payment terms are net 30 days after shipment.
Pricing is exclusive of any applicable Federal, State or Local Taxes.
3020 Legacy Dr. #100-380 . Plana, Texas. 75023-8321 . (972)491-0987 . (972)491-0718 Fax
e-mail: ChrisHowell@DataComPower.com.wwwDataComPower.com
Tulsa (918)477-9400 . Oklahoma City (405)917-5100
Attachment 2
Datacom Power, Inc.
Steve Blackman
3020 Legacy Drive Suite 100-380
Piano, TX 75023-8321
Dear Steve:
Your firm has been selected as a vendor providing Mitsubishi 80kV A Model 2033D UPS
providing a ratio of 1:1 of engine generator loading to UPS power output using low
reflected input current THD (Total Harmonic Distortion) technology and capable of
paralleling with existing Mitsubishi 50kVA Model2033D UPS.
You have indicated to us that you are the only existing vendor of this/these
commodities. Due to statutory requirements, unless you are the "single or sole source"
of this/these commodities we must bid their procurement competitively. Single source,
in this case, means that you are the only company that can supply us with this
commodity. We are required to confirm this status with you. Please respond as
necessary to the following questions and return this sheet to us via U.S. Mail or fax. Call
if you have any questions.
1. Are you the sole or single source vendor for the commodities named above?
l~Yes No
2. Is there any other vendor that offers this service?
_Yes ;/ No
If you are not the single source vendor of this service please list the other vendors we
need to contact for bids:
If you answered questions above as a single source vendor please sign below to certify
that you are the single source of this material and return to:
Tom Shaw, Purchasing Agent
901 B Texas Street
Denton, Texas 76209
Or Fax to (940) 349-7302
I certify th:_~e are Ih~O.. uu~r~ce o'-tlJ~e"boo/ve I' led commodilyor commodities. .
Signed: Title: {/(~ e ~.../>,.~/
(Company Official)
Print Name:-00v-e /5t";AC,k'.lMU//) Date: gA4/"O-5"'
"" /
ORDINANCE NO.
AN ORDINANCE AWARDING A CONTRACT APPROVING THE EXPENDITURE OF FUNDS
FOR THE PURCHASE OF MITSUBISHI 80KV A UPS AND DISTRIBUTION SYSTEM
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 3379-MITSUBISHI 80KV A UPS AND
DISTRIBUTION SYSTEM AWARDED TO DATA COM POWER, INC., IN THE AMOUNT OF
$61,101).
WHEREAS, the City Council of the City of Denton has heretofore adopted Resolution 92-
019 pursuant to Section 2157.067 of the Texas Government Code and Sections 271.082 and 271.083
of the Texas Local Government Code which authorizes the City to participate in the State Purchasing
Building and Procurement Commission Information Service Vendor Catalog Purchase Method
provi ded for in Subchapter B of Chapter 2157 of the Texas Government Code (the "CIS V Catalog");
and
WHEREAS, the herein described vendor is a qualified vendor in the CISV Catalog and the
contract authorized by this ordinance is in the best interests of the City and complies with the
requirements of Subchapter B of Chapter 2157 of the Texas Government Code as a CIS V Catalog
purchase; and
WHEREAS, the City Council has provided in the City Budget for the appropriation offunds
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. The numbered items in the following numbered purchase order for materials,
equipment, supplies, or services, shown in the "File Number" listed hereon, and on file in the office
of the Purchasing Agent, are hereby approved:
FILE
NUMBER
VENDOR
AMOUNT
3379
Data Com Power, Inc.
$61,101
SECTION 2. By the acceptance and approval of the above numbered items set forth in the
attached purchase orders, the City accepts the offer of the persons submitting the bids to the Building
and Procurement Commission for such items and agrees to purchase the materials, equipment,
supplies or services in accordance with the terms, conditions, specifications, standards, quantities
and for the specified sums contained in the bid documents and related documents filed with the
Building and Procurement Commission, and the purchase orders issued by the City.
SECTION 3. Should the City and persons submitting approved and accepted items set forth
in the attached purchase orders wish to enter into a formal written agreement as a result of the City's
ratification of bids awarded by the Building and Procurement Commission, the City Manager or his
designated representative is hereby authorized to execute the written contract; provided that the
written contract is in accordance with the terms, conditions, specifications and standards contained in
the Proposal submitted to the Building and Procurement Commission, quantities and specified sums
contained in the City's purchase orders, and related documents herein approved and accepted.
SECTION 4. By the acceptance and approval of the above enumerated bids, the City Council
hereby authorizes the expenditure of funds therefor in the amount and in accordance with the
approved bids.
SECTION 5. This ordinance shall become effective immediately upon its passage and
approval.
PASSED AND APPROVED this
day of
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
~JRD-3379 ~-er:-
AGENDA INFORMATION SHEET
AGENDA DATE: September 20,2005
DEPARTMENT: Materials Management
Questions concerning this
acquisition may be directed
to Alex Pettit 349-8595
ACM:
Kathy DuBose
II
SUBJECT
Consider adoption of an Ordinance approving the expenditure of funds for the purchase of
annual maintenance for continued vendor support of the Millennium Library System and
associated hardware and software modules 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 3371-Purchase of Annual Maintenance for Millennium
Library System awarded to Innovative Interfaces, Inc. in the amount of $33,069).
FILE INFORMATION
The City of Denton uses the III Millennium software for maintaining Library patron accounts,
managing the Library collection, and processing fines and fees. It is essential for the City of
Denton to upkeep current maintenance with the software vendor in order to ensure availability of
upgrades, software fixes, and access to knowledge and support resources.
Innovative Interfaces, Inc. is the sole manufacturer and vendor of the Millennium Library
System and thus the sole source for providing maintenance services for the software of this
system. Section 252.022 of the Locat Government Code provides that procurement of items that
are only available from one source do not have to be competitively bid.
RECOMMENDA TION
Award to Innovative Interfaces, Inc. in the amount of $33,069.
PRINCIPAL PLACE OF BUSINESS
Innovative Interfaces, Inc.
Emeryville, CA
ESTIMA TED SCHEDULE OF PROJECT
Annual Maintenance is being paid for November 1, 2005 through October 31,2006.
Agenda Information Sheet
September 20, 2005
Page 2
FISCAL INFORMATION
Funding for this item is budgeted in the FY2005-06 Technology Services Operating Account
830400.6504.
Respectfully submitted:
~~~
Tom Shaw, C.P.M., 349-7100
Purchasing Agent
Attachment 1: Quote and Sole Source Letter
Attachment 2: Cost Analysis
l-AIS-File 3371
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ORDINANCE NO.
AN ORDINANCE APPROVING THE EXPENDITURE OF FUNDS FOR THE
PURCHASE OF ANNUAL MAINTENANCE FOR CONTINUED VENDOR
SUPPORT OF THE MILLENNIUM LIBRARY SYSTEM AND ASSOCIATED
HARDW ARE AND SOFTW ARE MODULES 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 3371-PURCHASE OF
ANNUAL MAINTENANCE FOR MILLENNIUM LIBRARY SYSTEM AWARDED
TO INNOVATIVE INTERFACES, INC. IN THE AMOUNT OF $33,069).
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. The following purchase of materials, equipment or supplies, as
described in the "File" listed hereon, and on file in the office of the Purchasing Agent,
and the license terms attached are hereby approved:
FILE
NUMBER
VENDOR
AMOUNT
3371
Innovative Interfaces, Inc.
$33,069
SECTION 2. 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. The City Manager is hereby authorized to execute any contracts
relating to the items specified in Section 1 and the expenditure of funds pursuant to said
contracts is hereby authorized.
SECTION 4. This ordinance shall become effective immediately upon its
passage and approval.
PASSED AND APPROVED this the
day of
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
BY ~~
4-ORD-File 3371
AGENDA INFORMATION SHEET
AGENDA DATE:
September 20, 2005
Questions concerning this
acquisition may be directed
to Alex Pettit 349-8595
DEPARTMENT:
Materials Management
ACM:
Kathy DuBose
II
SUBJECT
Consider adoption of an Ordinance approving the expenditure of funds for the purchase of
annual maintenance for continued vendor support of the Oracle Relational Database Software
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 3374-
Purchase of Software Maintenance for Oracle Relational Database Software awarded to Oracle
USA, Inc. in the amount of $35,860).
FILE INFORMATION
In 1998, a Focus Committee was formed to review and select a new financial reporting system
and human resources management system. This new software would replace an eighteen-year
old mainframe system. Twelve representatives from Utilities, Treasury, Purchasing and
Warehouse, Human Resources, Accounting and Budget, and other end-user departments
participated in the evaluation process. The Committee met regularly establishing criteria for
selection, identifying possible product solutions and evaluating each potential system provider.
After product demonstrations and initial selection of four possible solutions, site visits were
made to similar municipal users. The Committee unanimously made the final selection of JD
Edwards on September 24, 1999.
The City of Denton uses the Oracle Relational Database software package for the Oracle
EnterpriseOne (formerly PeopleSoft EnterpriseOne (formerly lD. Edwards OneWorld)
System)). This system supports the operation of Accounting and Finance, Human Resources,
Payroll, Procurement, and Warehouse. It is essential for the City of Denton to upkeep current
maintenance with the software vendor in order to ensure availability of upgrades, software fixes,
and access to knowledge and support resources.
Oracle USA, Inc. is the sole source vendor for Oracle Relational Database Software
maintenance. Section 252.022 of the Local Government Code provides that procurement of items
that are only available from one source do not have to be competitively bid.
RECOMMENDA TION
Award to Oracle USA, Inc. in the amount of $35,860.
Agenda Information Sheet
September 20, 2005
Page 2
PRINCIPAL PLACE OF BUSINESS
Oracle USA, Inc.
Redwood Shores, CA
ESTIMA TED SCHEDULE OF PROJECT
Maintenance is being paid for October 28, 2005 through October 27, 2006.
FISCAL INFORMATION
Funding for this item is budgeted in the FY2005-06 Technology Services Operating Account
830400.6504.
Respectfully submitted:
~~~
Tom Shaw, C.P.M., 349-7100
Purchasing Agent
Attachment 1: Quote
Attachment 2: Sole Source Letter
Attachment 3: Cost Analysis
l-AIS-File 3374
Attachment 1
ORACLE'
25-Jul-05
Anthony Caranna*
CITY OF DENTON
901 B TEXAS STREET
DENTON
TX 76201
United States
Re: Service Renewal # 1877837
Dear Anthony Caranna*,
Please find attached a quotation for the above service renewal. The technical support services and
benefits you are receiving will expire, or have expired, on 27-0ct-05. This quotation is provided pursuant
to the terms and conditions of the valid license agreement that you executed when you acquired technical
support from Oracle or an Oracle authorized Reseller for the licenses referenced on the above service
renewal; your service order under this quotation is subject to Oracle's acceptance.
The new service level, named Software Update License & Support, reflects the combination of Software
Updates and Product Support service levels. All licenses on which you previously had both Software
Updates and Product Support have been quoted on this renewal with Software Update License &
Support. All licenses on which you previously had only Software Updates have been quoted on this
renewal with Software Updates. Your access and entitlement to support services are unaffected. For
more detailed information on this change, please refer to http://www.oracle.com/support/standard.html.
In order to complete this service renewal and to ensure that there is no interruption to your technical
support, please accept this service renewal in accordance with the attached Acceptance Details on or
before 28-Sep-05. Once ordered, technical support for the support period defined below is
non-cancelable and the related fees are non-refundable. If the pre-tax value of this renewal is $2000 or
less, pre-payment in the form of a check or credit card must be received. Purchase orders are no longer
acceptable for these transactions. An invoice, including applicable sales tax, GST, or VAT (collectively
referred to as "Tax"), will only be issued upon receipt of acceptance. If your company is tax exempt, a
copy of your tax exemption certificate must be included with your purchase order or other form of
payment.
Oracle's technical support policies govern the terms of your technical support and are subject to change
in accordance with its terms. The most current technical support policies, including Oracle's
Reinstatement Policy, can be found on the web at http://www.oracle.com/support/policies.html.
Customers who allow technical support to lapse and later wish to reactivate it will be subject to Oracle's
then current Reinstatement Policy. Applicable reinstatement fees may apply in addition to the annual
technical support fees.
Oracle provides information and notices about technical support via e-mail. Accordingly, it is important
that you provide updated e-mail information with your order to ensure that you receive all communication
and notices from us.
Please note that as part of a corporate restructuring associated with our recent acquisition of PeopleSoft,
Inc., Oracle Corporation has transferred substantially all of its U.S. based operations, including our
contracts with our customers to, Oracle USA, Inc., effective March 1, 2005.
Page 1 of 6
Contract Number: 1877837
ORACLE'
Accordingly, Oracle USA, Inc., is now responsible for the performance of all of these obligations under
these contracts. Correspondence and invoices relating to these contracts will reflect the name of Oracle
USA, Inc. Likewise, any correspondence and payments from you (including the vendor specification on
any tax exemption certificates) should be address to Oracle USA, Inc. We expect that Oracle's
addresses and your contacts will remain unchanged.
I would like to take this opportunity to thank you for your continued business with Oracle. If you require
further information, please do not hesitate to contact me at your earliest convenience.
Regards,
Sara Phillips
Oracle Support Services
E-mail: sara.jordan@oracle.com
Tel.: 7033640017
Fax: 719 757 4303
Page 2 of 6
Contract Number: 1877837
ORACLE.
Oracle Service Renewal
Quotation Date: 25-Jul-05
Anthony Caranna*
CITY OF DENTON
901 B TEXAS STREET
DENTON
TX 76201
United States
Tel.:
Fax:
E-mail:
940349-7249
940 349-8533
Anthony.Caranna@cityofdenton.com
THIS QUOTATION IS VALID THROUGH 27-0ct-05.
PLEASE DO NOT CHANGE ANY OF THE INFORMATION BELOW WHEN SUBMITTING YOUR
SERVICE RENEWAL. ORDERS IN WHICH THE SERVICE DETAILS HAVE BEEN CHANGED ARE
NOT VALID AND YOUR ORDER WILL NOT BE PROCESSED. If a change to the information provided
below is required, please contact me and an updated service renewal quote will be provided to you in
accordance with Oracle's technical support policies located at
http://www.oracle.com/support/policies.html.
The service level Software Update License & Support reflects the combination of Software Updates and
Product Support. For more detailed information on this change, please refer to
http://www.oracle.com/support/standard.html.
Service level: Software Update License & Support
Product Description CSI # Qty
Oracle Database Enterprise Edition - 13995712 5
Processor Perpetual
Oracle Database Enterprise Edition - 13995712
Processor Perpetual
Internet Developer Suite - Narned 13995712
User Plus Perpetual
Page 3 of 6
End Date: 27-0ct-06
License License Start Date Final Price
Metric Level/Type
FULL USE 28-0ct-05 26,400.00
FULL USE 28-0ct-05 8,800.00
FULL USE 28-0ct-05 660.00
Total Amount: USD
35,860.00
Plus Applicable Tax
Contract Number: 1877837
ORACLE.
Acceptance Details
Oracle processes service renewal orders after receipt of a purchase order or other acceptable form of
payment such as a check or credit card for the total fees specified on the Oracle Service Renewal.
PURCHASE ORDER. CHECK. CREDIT CARD CONFIRMATION
Purchase Order
If accepting your service renewal by Purchase Order, your Purchase Order must include the following:
Service Renewal #:
Term of Service:
Local Tax, if applicable
1877837
28-0ct-05 to 27-0ct-06
The terms of your agreement with Oracle and this order supersede the terms of a Purchase Order.
Please e-mail or fax your Purchase Order to:
Attn:
Fax:
E-mail:
Customer:
From:
Sara Phillips
Oracle Support Services
7197574303
sara .jordan@oracle.com
CITY OF DENTON
Anthony Caranna*
Check
If accepting your service renewal by Check, please include the following information:
Service Renewal #:
Term of Service:
Local Tax, if applicable
1877837
28-0ct-05 to 27-0ct-06
Credit Card
If accepting your service renewal by Credit Card, please complete the sections below and fax this
information to:
Attn:
Fax:
E-mail:
Customer:
From:
Page 4 of 6
Sara Phillips
Oracle Support Services
7197574303
sara .jordan@oracle.com
CITY OF DENTON
Anthony Caranna*
Contract Number: 1877837
ORACLE'
Credit Card Number
Expiration Date
Authorized Signature
Print Name
PAYMENT TERMS
Payment Terms for all fees payable to Oracle are 30 NET and will be invoiced annually in advance.
ADDITIONAL ORACLE TERMS
There are no additional terms.
Page 5 of 6
Contract Number: 1877837
ORACLE.
Customer Details
Please verify and update the following information to enable us to provide an efficient and timely service
to your company. If changes are required, please e-mail or fax the updated information to:
Attention:
E-mail:
Fax:
Tel.:
Company Name:
Service Renewal #:
For Quotation
Contact:
Company:
Address:
Tel.:
Fax:
E-mail:
For Invoice
Contact:
Company:
Address:
Tel.:
Fax:
E-mail:
Page 6 of 6
Sara Phillips
Oracle Support Services
sara .jordan@oracle.com
7197574303
7033640017
CITY OF DENTON
1877837
Anthony Caranna*
CITY OF DENTON
901 B TEXAS STREET
DENTON
TX 76201
United States
940 349-7249
940 349-8533
Anthony. Ca ra nna@cityofdenton.com
ACCOUNTS PAYABLE
CITY OF DENTON
215 EAST MCKINNEY STREET
DENTON
TX 76201
United States
Contract Number: 1877837
08/15/05 11:41 FAX
141 002
Attachment 2
Oracle USA, Inc.
Sara Phillips
1900 Oracle Way
Reston, VA 20190
Dear Sara:
Your firm has been selected as a vendor providing annual maintenance and continued
vendor support of the Oracle Relational Database Management System and associated
software modules. You have indicated to us that you are the. only existing vendor of
this/these commodities. Due to statutory requirements, unless you are the "single or
sole source" of this/these commodities we must bid their procurement competitively.
Single source, in this case; means that you are the only company that can supply us
with this commodity. We are required to confirm this status with you. Please respond as
necessary to the following ;questions and return this sheet to us via U.S. Mail or fax. Call
if you have any questions.'
1. Are you the sole or single source vendor for the commodities named above?
~Yes No
2. Is there any other vendor that offers this service?
_Yes .; No
If you are not the single source vendor of this service please list the other vendors we
need to contact for bids:
, I
I
I..
~-
11~~"--"'>.:.~.Jm.i} v.._ ~ -!:l!I=~ r 1 ~k~~-
If you answered questions, above as a single source vendor please sign below to certify
that you are the single source of this material and return to:
Tom Shaw, Purchasing Agent
901 B Texas Street : i
Denton, Texas 76209 I,
Or Fax to (940) 349-7302
I certify that we are the sole source of the above listed commodity or commodities.
Signed: rivAl / Ill. l%'1Ir) Title: 0~/XJrf SO/(J:S Ref)
/ . (Co pany Official) (
Print Name: Sora' fh;/J,M Date: Aug" 15.' 2C(}5
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ORDINANCE NO.
AN ORDINANCE APPROVING THE EXPENDITURE OF FUNDS FOR THE
PURCHASE OF ANNUAL MAINTENANCE FOR CONTINUED VENDOR
SUPPORT OF THE ORACLE RELATIONAL DATABASE SOFTWARE
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 3374-PURCHASE OF SOFTWARE MAINTENANCE FOR ORACLE
RELATIONAL DATABASE SOFTWARE AWARDED TO ORACLE USA, INC. IN
THE AMOUNT OF $35,860).
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. The following purchase of materials, equipment or supplies, as
described in the "File" listed hereon, and on file in the office of the Purchasing Agent,
and the license terms attached are hereby approved:
FILE
NUMBER
VENDOR
AMOUNT
3374
Oracle Corporation
$35,860
SECTION 2. 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. The City Manager is hereby authorized to execute any contracts
relating to the items specified in Section 1 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
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
BY ~~
5-ORD-File 3374
AGENDA INFORMATION SHEET
AGENDA DATE: September 20,2005
DEPARTMENT: Materials Management
Questions concerning this
acquisition may be directed
to Alex Pettit at 349-8595
ACM:
Kathy DuBose
II
SUBJECT
Consider adoption of an Ordinance approving the expenditure of funds for the purchase of
annual maintenance for continued vendor support of the Oracle EnterpriseOne (formerly
PeopleSoft EnterpriseOne (formerly JD Edwards OneWorld)) 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 3372-Purchase of Annual
Maintenance for Oracle Enterprise One Software Package awarded to Oracle USA, Inc. in the
amount of $89,900).
FILE INFORMATION
In 1998, a Focus Committee was formed to review and select a new financial reporting system
and human resources management system. This new software would replace an eighteen-year
old mainframe system. Twelve representatives from Utilities, Treasury, Purchasing and
Warehouse, Human Resources, Accounting and Budget, and other end-user departments
participated in the evaluation process. The Committee met regularly establishing criteria for
selection, identifying possible product solutions and evaluating each possible solution. After
product demonstrations and initial selection of four possible solutions, site visits were made to
similar municipal users. The Committee unanimously made the final selection of JD Edwards on
September 24, 1999.
The City of Denton uses the Oracle EnterpriseOne software package for Job Cost, Warehouse
Inventory and Procurement, Financials, General Ledger Accounting, Human Resources,
Employee Information, and Payroll. It is essential for the City of Denton to upkeep current
maintenance with the software vendor in order to ensure availability of upgrades, software fixes,
and access to knowledge and support resources.
Oracle USA, Inc. confirms that the PeopleSoft Software is the proprietary property of the Oracle
Corporation, the parent company of Oracle, USA, Inc and thus the sole source vendor for
maintenance contracts for the Oracle EnterpriseOne software package. Section 252.022 of the
Local Government Code provides that procurement of items that are only available from one
source and protected by copyright or patent; do not have to be competitively bid.
RECOMMENDA TION
Award to Oracle USA, Inc. in the amount of $89,900.
Agenda Information Sheet
September 20, 2005
Page 2
PRINCIPAL PLACE OF BUSINESS
Oracle USA, Inc.
Pleasanton, CA
ESTIMA TED SCHEDULE OF PROJECT
Maintenance is being paid for November 1, 2005 through October 31,2006.
FISCAL INFORMATION
Funding for this purchase order is budgeted in the FY2005-06 Technology Services Operating
Account number 830400.6504.
Respectfully submitted:
~~~
Tom Shaw, C.P.M., 349-7100
Purchasing Agent
Attachment 1: Quote
Attachment 2: Sole Source Verification
Attachment 3: Cost Analysis
l-AIS-File 3372
anna - Support Renewal for the City of Denton, TX
P
Attachment 1
From:
To:
Date:
Subject:
"TIM MCNEIL" <tim.mcneil@oracle.com>
"Anth ony. Caran na@cityofdenton .com" <Anthony. Caran na@cityofdenton.com>
7/28/20055:14:18 PM
Support Renewal for the City of Denton, TX
Anthony,
Following is the support fee forecast you requested. Please respond to confirm your wish to continue this
support and the billing address is correct. Also, please let me know if your city is exempt from state taxes.
Thanks.
Customer ID: 34340
AB#6557926
Support Period: 11/01/05 to 10/31/06
Supported Products: Licensed modules and users from former JD Edwards.
Support Fee: $89,900.00
Billing Address:
215 E. McKinney
Denton, TX 76201
Attention: Anthony Caranna
Tim McNeil
Support Services
(925) 694-6689
'A..APG. 24. 2005010: 41 ~M
ORACLe
Attachment 2
JemE!S McLeod
732 -56S-l9l ~584
p. 1
500 Oracle Parkway
Redwood Shores, CA 94065
AUQust18,200S
Anthony Caranna
City of Denton
215 E. McKinney
Denton, TX 76201
Dear Anthony:
,
This letter shall serve as confirmation lhalt as of the date of this letter, Oracle USA, Inc_
confirms that the PeopleSoft Software is the proprietary property of Oracle Corporation; the
parent company of Oracle USA, Inc. Oralc:le USA, Jne. is the sole source provider for 'Support
Services for the PeopleSoft Software in the United States. The software fixes, upgrades, new
releases, and other SoftvJare Support Se!rvices are not available via any other source. Items
are available from only one source because of patents, copyrights, trade secrets, or other
proprietary information.
, Sincerely,
'.-.... --'..ifJtJ-. /i}/.J./~. /
v'lames L McLeOr-v 7'f
Regional Manager. North America
Support Services Sales
Oracle USA, Inc,
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ORDINANCE NO.
AN ORDINANCE APPROVING THE EXPENDITURE OF FUNDS FOR THE
PURCHASE OF ANNUAL MAINTENANCE FOR CONTINUED VENDOR
SUPPORT OF THE ORACLE ENTERPRISEONE (FORMERLY PEOPLESOFT
ENTERPRISEONE (FORMERLY JD EDWARDS ONEWORLD)) SOFTWARE
P ACKAGE 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 3372-PURCHASE OF ANNUAL MAINTENANCE FOR ORACLE
ENTERPRISE ONE SOFTWARE PACKAGE AWARDED TO ORACLE USA, INC.
IN THE AMOUNT OF $89,900).
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. The following purchase of materials, equipment or supplies, as
described in the "File" listed hereon, and on file in the office of the Purchasing Agent,
and the license terms attached are hereby approved:
FILE
NUMBER
VENDOR
AMOUNT
3372
PeopleSoft Enterprise One
$89,900
SECTION 2. 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. The City Manager is hereby authorized to execute any contracts
relating to the items specified in Section 1 and the expenditure of funds pursuant to said
contracts is hereby authorized.
SECTION 4. This ordinance shall become effective immediately upon its
passage and approval.
PASSED AND APPROVED this the
day of
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
BY ~~
5-ORD-File 3372
AGENDA INFORMATION SHEET
AGENDA DATE: September 20,2005
DEPARTMENT: Materials Management
Questions concerning this
acquisition may be directed
to Alex Pettit at 349-8595
ACM:
Kathy DuBose _
SUBJECT
Consider adoption of an Ordinance awarding a contract for the purchase of annual maintenance
for the City of Denton Cisco networked devices (Smartnet) including switches, hubs, routers, and
Cisco IP phone equipment including 24 hour/7 days per week Technical Assistance Center
(TAC) support on all equipment located in City of Denton facilities as awarded by the State of
Texas Building and Procurement Commission through the Catalog Information Service Vendor
(CISV) Catalog Program; providing for the expenditure of funds therefore; and providing an
effective date (File 3377-Annual Maintenance for Cisco Networked Devices awarded to
InterNetwork Experts in the amount of $88,696).
FILE INFORMATION
The Cisco network provides mission critical support pathways for all departments using phone
and data services including Police and Fire, Electric, Water, Solid Waste, Customer Service,
Engineering, Library, City Manager's Office, Tax, Municipal Court, Facilities Management and
Finance. It is essential for the City of Denton to upkeep current maintenance with the vendor in
order to ensure availability of upgrades, software fixes and access to knowledge and support
resources.
RECOMMENDA TION
Award to InterNetwork Experts in the amount of $88,696.
PRINCIPAL PLACE OF BUSINESS
InterNetwork Experts
Lewisville, Texas
ESTIMA TED SCHEDULE OF PROJECT
Maintenance contract schedule coverage begins December 1, 2005 and ends on
November 30, 2006.
Agenda Information Sheet
September 20, 2005
Page 2
FISCAL INFORMATION
Funding for this item is budgeted in the FY 2005-06 Technology Services operating budget
account 830200.6504.
Respectfully submitted:
~~~
Tom Shaw, C.P.M., 349-7100
Purchasing Agent
Attachment 1: Quote and CISV Certification
Attachment 2: Cost Analysis
l-AIS-File 3377
Attachment 1
6ii
nterNetwork
EXPERTS
Go DIRect
Contract Number
DIR-BUSOP-012
September 10, 2005
CIICD hUE.'
--
PARTNER
GDL.II CERTIFIEC
City of Denton Cisco Maintenance Summary Page
Please reference Contract Number DIR-BU50P-012 on order
Quote valid for 30 days
Terms are Net 30
Note: The prices quoted are at or below CISV Catalog Prices.
InterNetwork Experts
1955 Lakeway Drive
Suite 220
Lewisville, TX 75057
CISV# 1-76-065-0041-500
Customer Signature of Acceptance
Date
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ORDINANCE NO.
AN ORDINANCE AWARDING A CONTRACT FOR THE PURCHASE OF ANNUAL
MAINTENANCE FOR THE CITY OF DENTON CISCO NETWORKED DEVICES
(SMARTNET) INCLUDING SWITCHES, HUBS, ROUTERS, AND CISCO IP PHONE
EQUIPMENT INCLUDING 24 HOURI7 DAYS PER WEEK TECHNICAL ASSISTANCE
CENTER (TAC) SUPPORT ON ALL EQUIPMENT LOCATED IN CITY OF DENTON
FACILITIES AS AWARDED BY THE STATE OF TEXAS BUILDING AND PROCUREMENT
COMMISSION THROUGH THE CATALOG INFORMATION SERVICE VENDOR (CISV)
CATALOG PROGRAM; PROVIDING FOR THE EXPENDITURE OF FUNDS THEREFOR;
AND PROVIDING AN EFFECTIVE DATE (FILE 3377-ANNUALMAINTENANCEFOR CISCO
NETWORKED DEVICES AWARDED TO INTERNETWORK EXPERTS IN THE AMOUNT OF
$88,696).
WHEREAS, the City Council of the City of Denton has heretofore adopted Resolution 92-
019 pursuant to Section 2157.067 of the Texas Government Code and Sections 271.082 and 271.083
of the Texas Local Government Code which authorizes the City to participate in the State Purchasing
Building and Procurement Commission Information Service Vendor Catalog Purchase Method
provi ded for in Subchapter B of Chapter 2157 of the Texas Government Code (the "CIS V Catalog");
and
WHEREAS, the herein described vendor is a qualified vendor in the CISV Catalog and the
contract authorized by this ordinance is in the best interests of the City and complies with the
requirements of Subchapter B of Chapter 2157 of the Texas Government Code as a CIS V Catalog
purchase; and
WHEREAS, the City Council has provided in the City Budget for the appropriation offunds
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. The numbered items in the following numbered purchase order for materials,
equipment, supplies, or services, shown in the "File Number" listed hereon, and on file in the office
of the Purchasing Agent, are hereby approved:
FILE
NUMBER
VENDOR
AMOUNT
3377
InterNetwork Experts
$88,696
SECTION 2. By the acceptance and approval of the above numbered items set forth in the
attached purchase orders, the City accepts the offer of the persons submitting the bids to the Building
and Procurement Commission for such items and agrees to purchase the materials, equipment,
supplies or services in accordance with the terms, conditions, specifications, standards, quantities
and for the specified sums contained in the bid documents and related documents filed with the
Building and Procurement Commission, and the purchase orders issued by the City.
SECTION 3. Should the City and persons submitting approved and accepted items set forth
in the attached purchase orders wish to enter into a formal written agreement as a result of the City's
ratification of bids awarded by the Building and Procurement Commission, the City Manager or his
designated representative is hereby authorized to execute the written contract; provided that the
written contract is in accordance with the terms, conditions, specifications and standards contained in
the Proposal submitted to the Building and Procurement Commission, quantities and specified sums
contained in the City's purchase orders, and related documents herein approved and accepted.
SECTION 4. By the acceptance and approval of the above enumerated bids, the City Council
hereby authorizes the expenditure of funds therefor in the amount and in accordance with the
approved bids.
SECTION 5. This ordinance shall become effective immediately upon its passage and
approval.
PASSED AND APPROVED this
day of
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
BY '-1C~
4-0RD-File 3377
AGENDA INFORMATION SHEET
AGENDA DATE: September 20,2005
DEPARTMENT: Materials Management
Questions concerning this
acquisition may be directed
to Alex Pettit at 349-8595
ACM:
Kathy DuBose
Ii
SUBJECT
Consider adoption of an Ordinance awarding a contract for the purchase of software maintenance
for continued vendor support of the Informix Dynamic Server Relational Database software as
awarded by the State of Texas Building and Procurement Commission through the Catalog
Information Service Vendor (CISV) Catalog Program; providing for the expenditure of funds
therefore; and providing an effective date (File 3370-Purchase of Software Maintenance for
Informix Dynamic Server Relational Database Software awarded to CompuCom Systems, Inc. in
the amount of$64,817.00).
FILE INFORMATION
The City of Denton uses the Informix Dynamic Server Relational Database software package for
the Utility Billing System, the Municipal Court Management System, and the Geographic
Information System. It is essential for the City of Denton to upkeep current maintenance with the
software vendor in order to ensure availability of upgrades, software fixes, and access to
knowledge and support resources.
RECOMMENDA TION
Award to CompuCom Systems, Inc. in the amount of$64,817.00.
PRINCIPAL PLACE OF BUSINESS
CompuCom Systems, Inc.
Dallas, TX
ESTIMA TED SCHEDULE OF PROJECT
Annual maintenance is being paid for November 1,2005 through October 31, 2006.
FISCAL INFORMATION
Funding for this purchase order is budgeted in the FY2005-06 Technology Services operating
account 830400.6504.
Agenda Information Sheet
September 20, 2005
Page 2
Respectfully submitted:
~~~
Tom Shaw, C.P.M., 349-7100
Purchasing Agent
Attachment 1: Quote
Attachment 2: Renewal Notice
Attachment 3: Cost Analysis
l-AIS-File 3370
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From:
To:
Date:
Subject:
Quotation
"Passport Advantage Web" <Passport_Advantage_Web@lotus.com>
<ANTHONY.CARANNA@CITYOFDENTON.COM>
8/21/2004 4:03:23 AM
Passport Advantage Online Software Maintenance Renewal -
Number: 0025279258
***** Note:
*****
This is an automated e-mail message; please do not respond.
Dear Passport Advantage customer,
Thank you for acquiring Software Maintenance through Passport Advantage.
This e-mail is a reminder of the approaching renewal date for your Software
Maintenance. We are pleased to provide you with a Web site where you may
view a renewal quotation detailing the Software Maintenance which needs to
be renewed to assure your continued coverage until 1-Nov-2005.
Accessing Your Software Maintenance Renewal Quotation Online:
You can access the Web site at:
http://www.ibm.com/software/howtobuy/passportadvantage. You will be
prompted for the Username and Password that have been assigned to your
Passport Advantage Site. If you do not have this information, please
contact your eCustomer Care team as indicated below. Once at the Web site,
choose "Software Maintenance Renewals" from the "Online Ordering" category
in the left navigator.
After reviewing your renewal quotation, you may either accept it as is or
adjust the quantities listed. In either case, you have the choice of
sending your renewal quotation to a Business Partner for final pricing and
fulfillment or submitting the order directly to IBM for fulfillment at
Suggested Volume Price (SVP).
Forwarding Your Software Maintenance Renewal Quotation to a Business
Partner:
To send your renewal quotation to a Business Partner, select the "E-mail
Business Partner" button. You will be prompted to enter your Business
Partner's e-mail address. A copy of your renewal quotation will be routed
to your Business Partner who will provide you with final pricing and
expedite your order.
Placing Your Software Maintenance Order Directly with IBM:
To place your Software Maintenance order directly with IBM at SVP prices,
select "Order Direct". We accept credit cards and purchase orders as
methods of payment for your Software Maintenance renewal.
Terms:
Please note: Software Maintenance benefits will cease to be provided if
your Software Maintenance coverage is not renewed prior to the expiration
of the current coverage period. Reinstatement of Software Maintenance
coverage after expiration of the current coverage period will be subject to
higher prices.
If you have any questions about your renewal quotation, please contact:
Durdan, Beth (E.D.)
Phone Number: 1-888-771-7705 x35040
Fax Number: 1-866-268-0002
Emai1 bdurdan@ca.ibm.com
Yours sincerely,
IBM Passport Advantage eCustomer Care Team
For additional contact information
https://www-112.ibm.com/software/howtobuy/passportadvantage/paocustomer/docs/e
n US/ecare.html
emc=10007361822USA
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01-
ORDINANCE NO.
AN ORDINANCE AWARDING A CONTRACT FOR THE PURCHASE OF SOFTWARE
MAINTENANCE FOR CONTINUED VENDOR SUPPORT OF THE INFORMIX DYNAMIC
SERVER RELATIONAL DATABASE SOFTWARE AS AWARDED BY THE STATE OF
TEXAS BUILDING AND PROCUREMENT COMMISSION THROUGH THE CATALOG
INFORMATION SERVICE VENDOR (CISV) CATALOG PROGRAM; PROVIDING FOR THE
EXPENDITURE OF FUNDS THEREFOR; AND PROVIDING AN EFFECTIVE DATE (FILE
3370-PURCHASE OF SOFTWARE MAINTENANCE FOR INFORMIX DYNAMIC SERVER
RELATIONAL DATABASE SOFTWARE AWARDED TO COMPUCOM SYSTEMS, INC. IN
THE AMOUNT OF $64,817.00).
WHEREAS, the City Council of the City of Denton has heretofore adopted Resolution 92-
019 pursuant to Section 2157.067 of the Texas Government Code and Sections 271.082 and 271.083
of the Texas Local Government Code which authorizes the City to participate in the State Purchasing
Building and Procurement Commission Information Service Vendor Catalog Purchase Method
provi ded for in Subchapter B of Chapter 2157 of the Texas Government Code (the "CIS V Catalog");
and
WHEREAS, the herein described vendor is a qualified vendor in the CISV Catalog and the
contract authorized by this ordinance is in the best interests of the City and complies with the
requirements of Subchapter B of Chapter 2157 of the Texas Government Code as a CIS V Catalog
purchase; and
WHEREAS, the City Council has provided in the City Budget for the appropriation offunds
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. The numbered items in the following numbered purchase order for materials,
equipment, supplies, or services, shown in the "File Number" listed hereon, and on file in the office
of the Purchasing Agent, are hereby approved:
FILE
NUMBER
VENDOR
AMOUNT
3370
CompuCom Systems, Inc.
$64,817.00
SECTION 2. By the acceptance and approval of the above numbered items set forth in the
attached purchase orders, the City accepts the offer of the persons submitting the bids to the Building
and Procurement Commission for such items and agrees to purchase the materials, equipment,
supplies or services in accordance with the terms, conditions, specifications, standards, quantities
and for the specified sums contained in the bid documents and related documents filed with the
Building and Procurement Commission, and the purchase orders issued by the City.
SECTION 3. Should the City and persons submitting approved and accepted items set forth
in the attached purchase orders wish to enter into a formal written agreement as a result of the City's
ratification of bids awarded by the Building and Procurement Commission, the City Manager or his
designated representative is hereby authorized to execute the written contract; provided that the
written contract is in accordance with the terms, conditions, specifications and standards contained in
the Proposal submitted to the Building and Procurement Commission, quantities and specified sums
contained in the City's purchase orders, and related documents herein approved and accepted.
SECTION 4. By the acceptance and approval of the above enumerated bids, the City Council
hereby authorizes the expenditure of funds therefor in the amount and in accordance with the
approved bids.
SECTION 5. This ordinance shall become effective immediately upon its passage and
approval.
PASSED AND APPROVED this
day of
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
~JRD-3370 ~~
AGENDA INFORMATION SHEET
AGENDA DATE: September 20,2005
DEPARTMENT: Materials Management
Questions concerning this
acquisition may be directed
to Alex Pettit at 349-8595
ACM:
Kathy DuBose
Ii
SUBJECT
Consider adoption of an Ordinance awarding a contract for the purchase of continued software
license maintenance for the City of Denton's Novell products as approved by the State of Texas
Building and Procurement Commission Department of Information Resources (DIR); providing
for the expenditure of funds therefore; and providing an effective date (File 3380-Annual
Software License Maintenance for Novell Products and Acquisition of Additional Novell
Licenses awarded to SHI-Government Solutions in the amount of $98,051.05).
FILE INFORMATION
Novell applications and services are utilized to provide overall network and user security, to
protect citizen information, to distribute applications and functions, and to control access to
information and hardware.
The Novell licensed products are Netware 6.5, Zenworks, Border Manager, Groupwise, Ichain,
Secure Login, Novell Cluster Services, Novell Extend Director, File System Factory, and Nsure
Identity Manager used on desktops and servers throughout the City of Denton.
Novell Zenworks allows the City of Denton to manage the entire lifecycle of desktops, laptops,
servers and handheld devices. Through Policy-Driven Automation, ZENworks decreases
administrative burdens and increases enterprise-wide business efficiency. ZENworks Desktop
Management allows the City of Denton to automatically and transparently configure, update and
troubleshoot workstations from wherever they are-inside or outside the firewall-without having
to visit each device.
Nsure Identity Manager and Secure Login are components of our security ill vault. They enable
City of Denton to manage the full user lifecycle, automating changes to user access rights,
passwords and profiles, streamlining administration and simplifying password management.
It is essential for the City of Denton to upkeep current maintenance with the software vendor in
order to ensure availability of upgrades, software fixes and access to knowledge and support
resources.
Agenda Information Sheet
September 20, 2005
Page 2
RECOMMENDA TION
Award to SHI-Government Solutions in the amount of$98,051.05.
PRINCIPAL PLACE OF BUSINESS
SHI - Government Solutions
Austin, Texas
ESTIMA TED SCHEDULE OF PROJECT
Annual Novell software licenses and maintenance will cover FY 2005-06.
FISCAL INFORMATION
Funding for this item is budgeted in the FY 2005-06 Technology Services Operating Budget
account 830500.6504.
Respectfully submitted:
~~~
Tom Shaw, C.P.M., 349-7100
Purchasing Agent
Attachment 1: Quote
Attachment 2: Cost Analysis
l-AIS-File 3380
SRI Quote # 1275287
Attachment 1
Page 1 of3
Pricing Proposal
Quotation #: 1275287
Created On: Jun~16-2005
Valid Until: Jun-30-2005
SHI
Account Representative
City of Denton
~~~_~~~~~~~~~^~~~_~'.~'~'~O~_"~~~~~~'_'o'~~~~~.'-'<-~~.~.^~o._~_~~~~
Jim Avery
601 E. Hickory, Ste A
Denton, TX 76025
Phone: 940-349-7660
Fax: 940-349-8533
Email: jim.avery@cityofdenton.tx.us
Sandra Pisula
1250 Capital of Texas Hwy South,
Suite 1-350
Austin, TX 78746
Phone: 800-870-6079
Fax: 512-732-0232
Email: sandra_pisula@gs.shLcom
All Prices are in US Dollar(USD)
Product
Qty Your Price
Total
1 Novell Open Enterprise Server 1.0 1-User e-Maintenance - Annual
Maintenance Required With License. Current Maintenance period
ends Aug. 31st; renewal maintenance due each Sept. 1st
NOVELL MLA - STATE OF TEXAS - Part#: 877-000157-001
1114
~~~~o~-N-~~~~_~~."~"~~'~~._W'_~~~~O^~~"~~'~~~~WWW-"--~~~~.~_~~,.~'"~~~~0,~.~^~_~~~~o~0"'~~O^~-~~~~~-M~'~~~~~~~~~
$20.41 $22,736.74
'""~~~~W~,,+,~,~_~._'~'O~~'T.~'~~~~~~-'-~"~~~~~~~~'~~~~~~~.~~,~,~~~~""~~~~~'M~'~~~_^~~~~~~W~~
2 Novell Cluster Services 1.7 for NetWare 6.5 Cluster Server 1
Maintenance - Annual Maintenance Required With License. Current
Maintenance period ends Aug. 31st; renewal maintenance due each
Sept. 1 st
NOVELL MLA - STATE OF TEXAS - Part#: MNT-005657-001
3 Novell BorderManager 3.8 1-User Maintenance - Annual 981
Maintenance Required With license. Current Maintenance period
ends Aug. 31st; renewal maintenance due each Sept. 1st
NOVELL MLA - STATE OF TEXAS - Part#: MNT-005716-001
$637.76
$637.76
$5.10
$5,003.10
~~._~~~,+,-+,-~~~~~~~.~~~~~w._w-w-~~~~~~~~_~~~~~~~~w.w-.....~~~~~~~~._~w.w.w-w-"",.^~^.^~,
$1.53
$1,809.99
4 Nsure Identity Manager 2.0 Standard Edition 1-ldentity Maintenance - 1183
Annual Maintenance Required With License. Current Maintenance
period ends Aug. 31st; renewal maintenance due each Sept. 1st
NOVELL MLA - STATE OF TEXAS - Part#: MNT-005768-001
'~^.~_~~__~~O~~"""""'^O~~~_~^~_.-'_~"~~T'~-+~'~~.^._---~'~,~~,~~~~~",,,,~~~^__~~~,~~~~~~,o~~<n<n"+W-~~_'~"~~'""~~~~~._~~~'O~~~~"~+._~~
5 Nsure Identity Manager Integration Module 2.0 for Email1-ldentity 1183
Maintenance - Annual Maintenance Required With License. Current
Maintenance period ends Aug. 31st; renewal maintenance due each
Sept. 1 st
NOVELL MLA - STATE OF TEXAS - Part#: MNT-005776-001
$0.77
$910.91
__O^_~._,."~"~~^_~..__,.~o~~~~~.~.~~_~^_~~~_,.,....~~~~~T_"~'~.'~~_~_~_~~~""~~~~_~~_~~~"_.'~~~~.'+'-'~~_~~~+'-..~.~~~^.
6 iChain 2.3 1-User Maintenance - Annual Maintenance Required With 900
License. Current Maintenance period ends Aug. 31st; renewal
maintenance due each Sept. 1 st .
NOVELL MLA - STATE OF TEXAS - Part#: MNT-005797-001
$1.28
$1,152.00
._.,~,~~~~~~~.,._-..+-.+'0~~~_~""'~~~~__~~~~' __,__.__._.~~~~.~~.~~...,~".,..~.~~~_~_~_". ,__~",~~~^,~~~~_~,"'~"~~'~'~__~_~'__'T~ ~__~~~_.~n.~~._' ,,~'~~~~~'__'T__~_._~~.~.n~___,~~~,o__'o,.'~m."'" ,+,-+'
7 SecureLogin 3.5 1-User Maintenance - Annual Maintenance 900
Required With License. Current Maintenance period ends Aug. 31st;
renewal maintenance due each Sept. 1 st
NOVELL MLA - STATE OF TEXAS - Part#: MNT-00571 0-001
$9.69
$8,721.00
8 GroupWise 6.5 (Full Product) 1-User Maintenance - Annual
1058
.~..~~~"""~,~~~~_o~~_~~~~~_~~~~~~-c'-w.,~~~~~~~~~'~._~~-~~~~o~'-rl~~~,~~~~~-M'"
$16.84 $17,816.72
file:/ /Q: \Agenda%20Itern %20Shared\2005 %20Agenda%20F 0Iders\Septernber%202005\Sep... 9/512005
SRI Quote # 1275287
Maintenance Required With License. Current Maintenance period
ends Aug. 31 st; renewal maintenance due each Sept. 1 st
NOVELL MLA - STATE OF TEXAS - Part#: MNT-005584-001
Page 2 of3
~~_,~~o,o,~~~~,~,~~~w-.~O^~-~~.~~,-,~~--~~'~"~~~~~-'~~',~~~_~_~~~~...,.~O^
$16.84 $17,496.76
9 ZENworks 6.5 Suite 1-User Maintenance - Annual Maintenance 1039
Required With License. Current Maintenance period ends Aug. 31st;
renewal maintenance due each Sept. 1 st
NOVELL MLA - STATE OF TEXAS - Part#: MNT-005843-001
10 Novell exteNd Director 5.2 Enterprise Edition 1-User Maintenance-
Annual Maintenance Required With License. Current Maintenance
period ends Aug. 31 st; renewal maintenance due each Sept. 1 st
NOVELL MLA - STATE OF TEXAS - Part#: MNT-006011-001
856
~~~~~...,.w.~~~~~~~~~""~~~~..~~~m__~"~.O~~~~~-_~~~~^~~~_'~.~,~_"~~~w--N-"'~.^~~___~~"~~_~""~~"~.~~"'~"'''~~~'''''w.~~~w-.~~"o~,~~~~~~o'~'~~
$7.65
$6,548.40
~"~._'n~_0<+"",~~~_~,_"o~~",----~-~'-,+~~.n.._,.~~~-~~~,~~,____~~n"*~^~~","'~"~'~~~~~~'O"T'~_'_~+'+'~~O^_O"'~'_",~_~_~~~~_,__'~'-c'+,~~~o~_..._,..,~~~_~~,~rl-__hn~..~_~...,~,+,~~~._d"'~+'""''M~_O~''P'+'+'~__O~'O~
11 File System Factory 1.2 1-User Maintenance - Annual Maintenance 1039
Required With License. Current Maintenance period ends Aug. 31st;
renewal maintenance due each Sept. 1 st
NOVELL MLA - STATE OF TEXAS - Part#: MNT-005827-001
$1.53
$1,589.67
12 GroupWise 6.5 Web/Wireless/Messenger 1-User Maintenance-
Annual Maintenance Required With License. Current Maintenance
period ends Aug. 31st; renewal maintenance due each Sept. 1st
NOVELL MLA - STATE OF TEXAS - Part#: MNT-005587-001
65
~"",~~'~O~~",~'~~~~~~~Ho"__~~~_~""""~~M'-'o"~^.~~-~~-~~~~~^~~~~~~-mo~.",,~~~^.~~'~~~'~~'~~~~'"~~~~~'
$4.08
$265.20
13 Education Training Vouchers Market Type 2
Novell MLA Customer Education and Support - Part#:
00662644433905
25
,_~~~~~~~~O~'~_~M~~~_~~'~~+-H'~~~-~~~~~-H'~~-~~~~~~~~"~-~'~~~.~~~~,_~~~-H'-H'-H'~~~~
$316.84
$7,921.00
.~~~,w-~,~~~~_~~,~,__~~'~'~__~~~O,~_~~.~.~_~~~~T"'~--~-'~~-N-.'~_~~~~~'_~~~~~_'~O~~+~~-^~'~~~~
14 Nsure Identity Manager Integration Module 2.0 for Windows 1- 1183
Identity Maintenance - Annual Maintenance Required With License.
Current Maintenance period ends Aug. 31st; renewal maintenance
due each Sept. 1 st
NOVELL MLA - STATE OF TEXAS. Part#: MNT-005774-001
$0.77
$910.91
_~~~_,~~~~~~_.~,~",~~~~~,~~~~~~"~~.+,~~~~~~.~'~'~_~~_~~~~."._~?<~~~,~.,~~~~~~~_~<+v+"-"+.~~~~~~.~~~'~..~,...<~~~~~'~_~___"~<~~~~~'~'O__~_C"_~,__',,hM"~~'
15 Nsure Identity Manager Integration Module 2.1 & Prior For Database 1183
1-ldentity E-License
Novell MLA Customer Disc 50 pet - Part#: 979-000305-001
$3.06
$3,619.98
-H'~~_~~_~~~~~~~..~~~~~~~__'_~~~~'-H'-H'~~~-H"~~~'-'-'~~~~~-~..~~~~~
$0.77
$910.91
16 Nsure Identity Manager Integration Module 2.1 Database 1-ldentity 1183
Maintenance
Novell MLA Customer Disc 49 pet - Part#: MNT -006078-001
Additional Comments
Total $98,051.05
,~~~~.__~~~~.~~~~~~~~O~~~O__._~'O~~~~'T ~~~~_~~~.~~~~~~'~~~~~~~~~~T'T~'~~.^~~'~._~~~~-H'~~~~"-~~~~~~~~.~~.~~~~~
Here is a quote for your renewal for your Novell MLA Renewal for the period of 9/1105 - 8/31/06.
Before submitting this order please complete your self audit online at https://selfaudit.novell.com,
Print and include a copy with your order. Novell requires a self audit completed each year and
included with your purchase order for renewal. PLEASE NOTE: This quote DOES NOT constitute as
your actual license count for your self audit.
Your Novell MLA membership number is: 127352-M6X0806.
If you have any questions please feel free to contact me at sandra_pisula@gs.shLcom
file:/ /Q: \Agenda%2OI tem%20Shared\2005 %20Agenda%20F olders\SeptembetlIo202005\Sep... 9/5/2005
SHI Quote # 1275287
Page 3 of3
Thank You for choosing SHI-GS! To ensure the best level of service, please provide End User Name,
Phone Number, and E-Mail Address when submitting a Purchase Order. Our DIR Software Contract
Number is DIR-SDD-198. For any additional information including Hardware and Software Contract
Numbers, please contact an SHI-GS Sales Representative at 800-870-6079.
file://Q:\Agenda%20Item%20Shared\2005%20Agenda%20Folders\September%202005\Sep... 9/5/2005
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ORDINANCE NO.
AN ORDINANCE AWARDING A CONTRACT FOR THE PURCHASE OF CONTINUED
SOFTW ARE LICENSE MAINTENANCE FOR THE CITY OF DENTON'S NOVELL
PRODUCTS AS APPROVED BY THE STATE OF TEXAS BUILDING AND PROCUREMENT
COMMISSION DEPARTMENT OF INFORMATION RESOURCES (DIR); PROVIDING FOR
THE EXPENDITURE OF FUNDS THEREFOR; AND PROVIDING AN EFFECTIVE DATE
(FILE 3380-ANNUAL SOFTWARE LICENSE MAINTENANCE FOR NOVELL PRODUCTS
AND ACQUISITION OF ADDITIONAL NOVELL LICENSES AWARDED TO SHI-
GOVERNMENT SOLUTIONS IN THE AMOUNT OF $98,051.05).
WHEREAS, the City Council of the City of Denton has heretofore adopted Resolution 92-
019 pursuant to Section 2157.067 of the Texas Government Code and Sections 271.082 and 271.083
of the Texas Local Government Code which authorizes the City to participate in the State Purchasing
Building and Procurement Commission Information Service Vendor Catalog Purchase Method
provi ded for in Subchapter B of Chapter 2157 of the Texas Government Code (the "CIS V Catalog");
and
WHEREAS, the herein described vendor is a qualified vendor in the CISV Catalog and the
contract authorized by this ordinance is in the best interests of the City and complies with the
requirements of Subchapter B of Chapter 2157 of the Texas Government Code as a CIS V Catalog
purchase; and
WHEREAS, the City Council has provided in the City Budget for the appropriation offunds
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. The numbered items in the following numbered purchase order for materials,
equipment, supplies, or services, shown in the "File Number" listed hereon, and on file in the office
of the Purchasing Agent, are hereby approved:
FILE
NUMBER
VENDOR
AMOUNT
3380
SHI-Government Solutions
$ 98,051.05
SECTION 2. By the acceptance and approval of the above numbered items set forth in the
attached purchase orders, the City accepts the offer of the persons submitting the bids to the Building
and Procurement Commission for such items and agrees to purchase the materials, equipment,
supplies or services in accordance with the terms, conditions, specifications, standards, quantities
and for the specified sums contained in the bid documents and related documents filed with the
Building and Procurement Commission, and the purchase orders issued by the City.
SECTION 3. Should the City and persons submitting approved and accepted items set forth
in the attached purchase orders wish to enter into a formal written agreement as a result of the City's
ratification of bids awarded by the Building and Procurement Commission, the City Manager or his
designated representative is hereby authorized to execute the written contract; provided that the
written contract is in accordance with the terms, conditions, specifications and standards contained in
the Proposal submitted to the Building and Procurement Commission, quantities and specified sums
contained in the City's purchase orders, and related documents herein approved and accepted.
SECTION 4. By the acceptance and approval of the above enumerated bids, the City Council
hereby authorizes the expenditure of funds therefor in the amount and in accordance with the
approved bids.
SECTION 5. This ordinance shall become effective immediately upon its passage and
approval.
PASSED AND APPROVED this
day of
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
BY ~~
3-0RD-File 3380
AGENDA INFORMATION SHEET
AGENDA DATE: September 20,2005
DEPARTMENT: Materials Management
Questions concerning this
acquisition may be directed
to Alex Pettit at 349-8595
ACM:
Kathy DuBose
II
SUBJECT
Consider adoption of an Ordinance awarding a contract under the Catalog Information Services
Vendor (CISV) program for the purchase of a Unitrends DPU-5000 Data Protection Unit, and
DPV-5000 Data Protection Vault as awarded by the State of Texas Building and Procurement
Commission contract CISV #1200955787200; providing for the expenditure of funds therefore;
and providing an effective date (File 3376-Purchase of Unitrends DPU-5000 Data Protection
Unit, and DPV-5000 Data Protection Vault, awarded to ARW Systems, LLC. in the amount of
$198,744).
FILE INFORMATION
This equipment is being purchased in order to provide faster recovery times and offsite
replication for several mission-critical City systems. These systems include, but are not limited
to, Public Safety Computer-Aided Dispatch (CAD), Police and Fire Records Management
Systems (RMS), Network Directory Services, GroupWise E-Mail, LaserFiche Document
Management System, Tax Accounting System, Parks Reservations System, Fleet Maintenance
System, Solid Waste Work Orders and Routing System, Planning and Building Inspections
Project Management System, Facilities Work Management System, EMS Billing System, and
Library Management System. This acquisition was approved by the 2004 Tech Bond Committee
and will provide for offsite Disaster Recovery capability for selected applications that have been
identified as critical to the effective operations of City Departments.
Products and services provided are listed in the vendor's CISV approved catalog and the prices
are equal to or less than the published catalog prices.
RECOMMENDA TION
Award to ARW Systems, LLC. in the amount of$198,744.
PRINCIPAL PLACE OF BUSINESS
ARW Systems, LLC.
Richardson, TX
Agenda Information Sheet
September 20, 2005
Page 2
ESTIMA TED SCHEDULE OF PROJECT
Installation and configuration of equipment is scheduled for completion by November 30,2005.
FISCAL INFORMATION
Funding for this purchase order is provided in the 2004 Technology Bond Fund.
Respectfully submitted:
~~~
Tom Shaw, C.P.M., 349-7100
Purchasing Agent
Attachment 1: Quote
l-AIS-File 3376
Attachment 1
ARW Systems
1701 N. Greenville Ave
Richardson, TX 75081
P: 972-479-1900
F: 972-479-1904
Information Technology Services Order
Company Name JO'y ,~~"'u, Company Name City of
Address 601 E. Hickory Address 601 E. Hickory
City, State ZI P Denton, TX 76205 City, State ZI P Denton, TX 76205
Contact Anthony Caranna Contact Anthony Caranna
Phone 940-349-7249 Phone 940-349-7249
Fax Fax
email Anthony. Caran na@citvofdenton.com email Anthonv. Caran na61citvofdenton. co
iRO#
Sales Person Payment Terms Quotation End Date Quote Number
Joe Khan Net 30 DEN5072701
Part Number Description Cost Quantity I Extended Cost
All Prices Conform to CISV Guidelines for Contract Number 1200955787200
DPU-5000
5U Data Protection Unit w/24 Drive Bays,
Expands to 8.8TB Raid, RX9 compression
technology, 2 Gigabit Ethernet port, N + 1
redundant power supplies
DPU5000R-24D400 Unitrends - DPU5000 w/8.8TB RAID wI RX9 $ 76,500.00 1.00 $ 76,500.00
GE4P Unitrends - 4 Port Gigabit Adapter $ 535.00 1.00 $ 535.00
Maintenance
Unitrends - 24X7X365 Phone Support,
DAP5000-3D400 Software Upgrades, Same Day Onsite Service $ 17,881.00 1.00 $ 17,881.00
for 8.8TB RAID
Installation
DPV-5000
5U Data Protection Vault w/24 Drive Bays,
Expands to 8.8TB Raid, RX9 compression
technology, 2 Gigabit Ethernet port, N + 1
redundant power supplies
DPU5000R-24D400 Unitrends - DPU5000 w/8.8TB RAID wI RX9 $ 76,500.00 1.00 $ 76,500.00
SDS5 Unitrends - Secure Data Sync License $ 3,412.00 1.00 $ 3,412.00
GE4P Unitrends - 4 Port Gigabit Adapter $ 535.00 1.00 $ 535.00
Maintenance
Unitrends - 24X7X365 Phone Support,
DAP5000-3D400 Software Upgrades, Same Day Onsite Service $ 17,881.00 1.00 $ 17,881.00
for 8.8TB RAID
Installation
Unitrends - Turn Key Professional Installation
and Configuration of Main DPU and Vault up $ 5,500.00 1.00 $ 5,500.00
to 2 Databases (includes Travel and
Expenses)
Note: Prices do not include applicable shipping charges Sub Total: $ 198,744.00
By signing below, the parties acknowledge and agree to the services stated above, VV'hich shall be governed byViyu's Standard Terms and Conditions. Signed on
this _day of __,2005 ("Effective Date").
Com pany:
ARW SYSTEMS
Signature:
Signature:
Print:
Print:
Title:
Title:
ORDINANCE NO.
AN ORDINANCE AWARDING A CONTRACT UNDER THE CATALOG INFORMATION
SERVICES VENDOR (CISV) PROGRAM FOR THE PURCHASE OF A UNITRENDS DPU-5000
DATA PROTECTION UNIT, AND DPV-5000 DATA PROTECTION VAULT AS AWARDED
BY THE STATE OF TEXAS BUILDING AND PROCUREMENT COMMISSION CONTRACT
CISV #1200955787200; PROVIDING FOR THE EXPENDITURE OF FUNDS THEREFOR; AND
PROVIDING AN EFFECTIVE DATE (FILE 3376-PURCHASE OF UNITRENDS DPU-5000
DAT A PROTECTION UNIT, AND DPV-5000 DATA PROTECTION V AUL T, AWARDED TO
ARW SYSTEMS, LLC. IN THE AMOUNT OF $198,744).
WHEREAS, the City Council of the City of Denton has heretofore adopted Resolution 92-
019 pursuant to Section 2157.067 of the Texas Government Code and Sections 271.082 and 271.083
of the Texas Local Government Code which authorizes the City to participate in the State Purchasing
Building and Procurement Commission Information Service Vendor Catalog Purchase Method
provi ded for in Subchapter B of Chapter 2157 of the Texas Government Code (the "CIS V Catalog");
and
WHEREAS, the herein described vendor is a qualified vendor in the CISV Catalog and the
contract authorized by this ordinance is in the best interests of the City and complies with the
requirements of Subchapter B of Chapter 2157 of the Texas Government Code as a CIS V Catalog
purchase; and
WHEREAS, the City Council has provided in the City Budget for the appropriation offunds
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. The numbered items in the following numbered purchase order for materials,
equipment, supplies, or services, shown in the "File Number" listed hereon, and on file in the office
of the Purchasing Agent, are hereby approved:
FILE
NUMBER
VENDOR
AMOUNT
3376
ARW Systems, LLC.
$ 198,744
SECTION 2. By the acceptance and approval of the above numbered items set forth in the
attached purchase orders, the City accepts the offer of the persons submitting the bids to the Building
and Procurement Commission for such items and agrees to purchase the materials, equipment,
supplies or services in accordance with the terms, conditions, specifications, standards, quantities
and for the specified sums contained in the bid documents and related documents filed with the
Building and Procurement Commission, and the purchase orders issued by the City.
SECTION 3. Should the City and persons submitting approved and accepted items set forth
in the attached purchase orders wish to enter into a formal written agreement as a result of the City's
ratification of bids awarded by the Building and Procurement Commission, the City Manager or his
designated representative is hereby authorized to execute the written contract; provided that the
written contract is in accordance with the terms, conditions, specifications and standards contained in
the Proposal submitted to the Building and Procurement Commission, quantities and specified sums
contained in the City's purchase orders, and related documents herein approved and accepted.
SECTION 4. By the acceptance and approval of the above enumerated bids, the City Council
hereby authorizes the expenditure of funds therefor in the amount and in accordance with the
approved bids.
SECTION 5. This ordinance shall become effective immediately upon its passage and
approval.
PASSED AND APPROVED this
day of
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
BY. ~
3-0RD-File 3376
AGENDA INFORMATION SHEET
AGENDA DATE: September 20,2005
DEPARTMENT: Materials Management
Questions concerning this
acquisition may be directed
to Alex Pettit at 349-8595
ACM:
Kathy DuBose
II
SUBJECT
Consider adoption of an Ordinance approving the expenditure of funds for the purchase of
annual service access and support for the General Packet Radio Services (GPRS) wireless
computer network for the Public Safety mobile computers used by City of Denton Police, Fire
and EMS personnel 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 3383-Purchase of Annual Service Access and Support for General Packet
Radio Services (GPRS) awarded to Cingular Wireless (formerly AT&T Wireless) in the amount
of $117,289.80).
FILE INFORMATION
The City of Denton uses the Cingular Wireless (formerly AT&T Wireless) GPRS (General
Packet Radio Services) Network to provide Public Safety MDC (Mobile Data Computer)
wireless access to the City Computer Network thereby affording direct access to the Public
Safety Dispatching, Mapping, and Records system of Police and Fire by providing real-time
access to information of both departments. It is essential for the City of Denton to upkeep current
wireless connectivity with the established vendor to assure there is no break in service or
support.
Cingular Wireless is the sole-source vendor for GPRS wireless connectivity in the Denton area.
No other Denton area wireless access vendor offers signal coverage to the extent required by
Public Safety. Cingular Wireless is the only wireless access vendor to offer Fixed IP (Internet
Protocol) addressing which further enhances data security. Additionally, to consider another
source would require a complete re-fit, including all modem hardware for the entire fleet at a
projected cost of $850,000. Section 252.022 of the Local Government Code provides that
procurement of items that are only available from one source do not have to be competitively
bid.
RECOMMENDA TION
Award to Cingular Wireless in the amount of $117,289.80.
PRINCIPAL PLACE OF BUSINESS
Cingular Wireless
Phoenix, AZ
Agenda Information Sheet
September 20, 2005
Page 2
ESTIMA TED SCHEDULE OF PROJECT
Monthly access is being paid from October 1, 2005 through September 30,2006.
FISCAL INFORMATION
Funding for this item is budgeted in the FY 2005-06 Technology Services operating budget
account 830700.7946.
Respectfully submitted:
~~~
Tom Shaw, C.P.M., 349-7100
Purchasing Agent
Attachment 1: Quote
Attachment 2: Sole Source Letter
Attachment 3: Cost Analysis
l-AIS-File 3383
Attachment 1
www.cingular.com/business
To: City of Denton
Attn: Tiffany Wei
From: Stephen Turner
Government Account Executive
Cingular Wireless
301 NE Loop 820 #500
Hurst TX 76053
817-359-6428
Monthly Recurrin2 Char2e: Account # 0037122588
$69.99 per line less $10.49 discount = $59.50 per line
$59.50 @ 150 lines $8925.00
Monthly Recurrin2 Char2e: Account # 0039995532 (Frame)
$399.00 per month less $59.85 discount
$339.15 = net cost for 128K Frame
Monthly Recurrin2 Char2e: Frame Expansion to 256K
$549.00 per month less $82.35 discount
$466.65 = net cost for larger 256K Frame
Each IP = $3.00 per IP / Month less 15% discount = $2.55 per IP / Month
$2.55 @ 150 IP addresses = $382.50 per month
Grand Total of Services: $9,646.65 / month with 128K Frame option
$9,774.15/ month with expanded 256K Frame option
Please let me know if you need additional information or pricing.
Thanks
Stephen Turner
Confidential
Page 1
9/11/2005
17::Sfn'}4-79
cH1.-gt:1af v.'ifeless
05..:"30,32 p_m
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Attachment 2
......
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ci ngu.l.a ~. .
r"13<:.1I19 '.n e l}l;tr- .......'1
\\-'W\\, .cingular.com/lIOyernmcn!
October 1. 2005 through September 30. 2006
Cingular Wireless is the sole provide;- of wireless internet access compatible with the
hardware tUllized by the CilY of Denlon_
Step en Turner
Cingular Wireless
Government Account Executive
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UJl-roC/l
ORDINANCE NO.
AN ORDINANCE APPROVING THE EXPENDITURE OF FUNDS FOR THE
PURCHASE OF ANNUAL SERVICE ACCESS AND SUPPORT FOR THE
GENERAL PACKET RADIO SERVICES (GPRS) WIRELESS COMPUTER
NETWORK FOR THE PUBLIC SAFETY MOBILE COMPUTERS USED BY CITY
OF DENTON POLICE, FIRE AND EMS PERSONNEL 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 3383-PURCHASE OF
ANNUAL SERVICE ACCESS AND SUPPORT FOR GENERAL PACKET RADIO
SERVICES (GPRS) AWARDED TO CINGULAR WIRELESS (FORMERLY AT&T
WIRELESS) IN THE AMOUNT OF $117,289.80).
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. The following purchase of materials, equipment or supplies, as
described in the "File" listed hereon, and on file in the office of the Purchasing Agent,
and the license terms attached are hereby approved:
FILE
NUMBER
VENDOR
AMOUNT
3383
AT&T Wireless
$117,289.80
SECTION 2. 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. The City Manager is hereby authorized to execute any contracts
relating to the items specified in Section 1 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
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
BY ~~
3-ORD-File 3383
AGENDA INFORMATION SHEET
AGENDA DATE: September 20, 2005
DEPARTMENT: Tax
ACM:
Kathy DuBose
..
SUBJECT
Consider adoption of an ordinance authorizing the Mayor to execute an agreement between the
City of Denton and the Denton Black Chamber of Commerce for the payment and use of hotel
tax revenue; and providing an effective date.
BACKGROUND
This agency is recommended to receive funding from the Hotel Occupancy Tax funds. This
contract is for a one-year term beginning January 1, 2006, through midnight December 31, 2006.
Allocations are dependent upon requests for funding, as well as availability of revenues.
PRIOR ACTIONIREVIEW
The Hotel Occupancy Tax Committee reviewed all budget applications and recommended
allocations to Council during the Council Work Session on August 8, 2005.
FISCAL INFORMATION
The Hotel Occupancy Tax allocation for this agency is $15,800 for FY 2005-06 and has been
included in the Annual Program of Services.
Diana G. Ortiz
Director of Fiscal Operations
S:\Our Documents\Ordinances\05\H01\bIack chamber ordinance.doc
ORDINANCE NO.
AN ORDINANCE AUTHORIZING THE MAYOR TO EXECUTE AN AGREEMENT
BETWEEN THE CITY OF DENTON AND THE DENTON BLACK CHAMBER OF
COMMERCE FOR THE PAYMENT AND USE OF HOTEL TAX REVENUE; AND
PROVIDING AN EFFECTNE DATE.
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. That the Mayor is hereby authorized to execute an agreement between the
City of Denton and the Denton Black Chamber of Commerce for the payment and use of hotel
tax revenue, under the terms and conditions contained in the agreement, a copy of which is
attached hereto and made a part hereof.
SECTION 2. That this ordinance shall become effective immediately upon its passage
and approval.
PASSED AND APPROVED this the
day of
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
AGREEMENT BETWEEN THE CITY OF DENTON AND
THE DENTON BLACK CHAMBER OF COMMERCE (pY2006)
PROVIDING FOR THE PAYMENT AND USE OF HOTEL TAX REVENUE
THIS AGREEMENT made between the City of Denton, Texas, a municipal corporation
(the "CITY"), and the Denton Black Chamber of Commerce, a legal entity existing under the laws
ofthe State of Texas (the "CHAMBER"):
WHEREAS, TEX. TAX CODE 9351.002 authorizes CITY to levy by ordinance a municipal
hotel occupancy tax ("hotel tax") not exceeding seven percent (7%) of the consideration paid by a
hotel occupant; and
WHEREAS, by ordinance, CITY has provided for the assessment and collection of a
municipal hotel occupancy tax in the City of Denton of seven percent (7%); and
WHEREAS, TEX. TAX CODE 9351.101(a) authorizes CITY to use revenue from its
municipal hotel occupancy tax to promote tourism and the convention and hotel industry by
advertising and conducting solicitations and promotional programs to attract tourists and convention
delegates or registrants to the municipality or its vicinity; and
WHEREAS, CHAMBER is well equipped to perform those activities; and
WHEREAS, TEX. TAX CODE 9351.101(c) authorizes CITY to delegate by contract with
CHAMBER, as an independent entity, the management and supervision of programs and activities
of the type described hereinabove funded with revenue from the municipal hotel occupancy tax;
NOW, THEREFORE, in consideration of the performance of the m~tua1 covenants and
promises contained herein, CITY and CHAMBER agree and contract as follows:
I. HOTEL TAX REVENUE PAYMENT
1.1 Consideration. For and in consideration of the activities to be performed by CHAMBER
under this Agreement, CITY agrees to pay to CHAMBER a portion of the hotel tax revenue
collected by CITY at the rates and in the manner specified herein (such payments by CITY to
CHAMBER, sometimes herein referred to as the "agreed payments" or "hotel tax funds").
1.2 Amount of Payments.
(a)
mearungs:
As used in this Agreement, the following terms shall have the following specific
(i) The term "hotel tax revenue" shall mean the gross monies collected and
received by CITY as municipal hotel occupancy tax at the rate of seven percent (7%) of
the price paid for a room in a hotel, pursuant to Texas Tax Code 351.002 and City
Ordinance. Hotel tax revenue will include penalty and interest related to the late
payments of the tax revenue by the taxpayer.
Black Chamber HOT Funding PY2006 - Page 1
(ii). The term "Collection period" will mean the collection period for CITY's
fiscal year. It will include hotel tax revenue due to CITY for the relevant fiscal year and
collected through the 22nd day ofthe month following the close of the relevant fiscal year.
(iii) The term "base payment amount" shall mean a net amount of money equal
to the total hotel tax revenue collected by CITY during any relevant period of time (i.e.,
fiscal year or fiscal quarter), less: (1) attorney and auditing costs incurred during such
relevant period of time for costs of collection or auditing of hotel taxpayers. (attorney and
auditing costs include fees paid to attorneys or agents not in the regular employ of CITY for
which attorneys or agents effect compliance or collection of the hotel tax from taxpayers);
and (2) court costs and other expenses incurred in litigation against or auditing of such
taxpayers.
(iv) The term "contract quarter" shall refer to any quarter of the calendar year in
which this Agreement is in force. Contract quarters will end on March 31St, June 30th,
September 30 , and December 31 st of each contract year.
(b) In return for satisfactory performance of the activities set forth in this Agreement
and all attachments hereto, CITY shall pay to CHAMBER an amount of money in each contract
year equal to the lesser amount of One and Forty-Six One Hundredths percent (1.46%) of the
annual base payment amount or the fixed contract amount of Fifteen Thousand and Eight
Hundred Dollars ($15,800). This amount will be divided into quarterly payments equal to 25%
of the annual fixed contract amount, unless CITY can show with reasonable certainty that the
annual base payment amount will be less than originally estimated for the fiscal year. The fourth
quarterly payment will represent 25% of the fixed contract amount or the unpaid remainder of
1.46% of the base payment amount, whichever is less. Each quarterly payment is subject to
receipt of unused funds from the prior contract period and the receipt of the required quarterly
reports.
1.3 Dates of Payments.
(a) The term "quarterly payments" shall mean payments by CITY to CHAMBER of
those amounts specified in ~1.2, above, as determined by the hotel tax revenue collected.
(b) Each quarterly payment shall be paid upon receipt of the required reports and
after the 25th day following the last day of the contract quarter. If the quarterly financial report is
not received within thirty (30) days of the end of the applicable contract quarter, the recipient may
be held in breach of this Agreement. CITY may withhold the quarterly payment(s) until the
appropriate reports are received and approved, which approval shall not be unreasonably withheld.
1.4 Other limitations regarding consideration.
(a) The funding of this project in no way commits CITY to future funding of this
program beyond the current contract period. Any future funding is solely the responsibility of
CHAMBER.
(b) It is expressly understood that this contract in no way obligates the General Fund or
any other monies or credits of CITY.
Black Chamber HOT Funding PY2006 - Page 2
7
(c) CITY may withhold further allocations if CITY determines that CHAMBER's
expenditures deviate materially from their approved budget.
II. USE OF HOTEL TAX REVENUE
2.1 Use of Funds. For and in consideration of the payment by CITY to CHA1\1BER of the
agreed payments of hotel tax funds specified above, CHAMBER agrees to use such hotel tax funds
only for advertising and conducting solicitations and promotional programs to attract tourists and
convention delegates or registrants to the municipality or its vicinity; as authorized by TEx. TAX
CODE ~351.101(a). Funds for any calendar year which are unused by midnight December 31st of
that year shall be refunded to CITY within sixty (60) days.
2.2 Administrative Costs. The hotel tax funds received from CITY by CHAMBER may be
spent for day-to-day operations, office supplies, salaries, travel expenses, and other administrative
costs allowed by TEX. TAX CODE 351.101(f), only if each are directly attributable to work on
programs which promote tourism and the hotel and convention industry, and if each promotes at
least one of the six statutory purposes enumerated within TEX. TAX CODE 351. 10 1 (a).
2.3 Specific Restrictions on Use of Funds.
(a) That portion of total' administrative costs of CHAMBER for which hotel tax fimds may
be used shall not exceed that portion of CHAMBER's administrative costs actually incurred in
conducting the activities specified in ~2.1 above.
(b) Hotel tax funds may not be spent for travel for a person to attend an event or conduct an
activity the primary purpose of which is not directly related to the promotion of local tourism and
the convention and hotel industry or the performance of the person's job in an efficient and
professional manner.
ill. RECORDKEEPING AND REPORTING REQUIREMENTS
3.1 Budget.
(a) CHAMBER shall prepare and submit to the City Manager of CITY an annual budget
(see Exhibit "A") as approved by the City Council for each calendar year, for such operations of
CHAMBER funded by hotel tax revenues. This budget shall specifically identify proposed
expenditures of hotel tax funds by CHAMBER. In other words, CITY should be able to audit
specifically the purpose of each individual expenditure of hotel tax funds from the separate account
relating to hotel tax funds. CITY shall not pay to CHAMBER any hotel tax revenues as set forth in
Section I of this contract during any program year of this Agreement unless a budget for such
respective program year has been approved in writing by the Denton City Council authorizing the
expenditure of funds. Failure to submit an annual budget may be considered a breach of contract,
and if not remedied is considered grounds for termination of this Agreement as stated in paragraph
4.2.
(b) CHAMBER acknowledges that the approval of such budget by the Denton City
Council creates a fiduciary duty in CHAMBER with respect to the hotel tax funds paid by CITY to
Black Chamber HOT Funding PY2006 - Page 3
CHAMBER under this Agreement. CHAMBER shall expend hotel tax funds only in the manner
and for the purposes specified in this Agreement, TEX. TAX CODE ~35l.101(a), and in the budget as
approved by CITY.
3.2 Separate Accounts. CHAMBER shall maintain any hotel tax funds paid to CHAMBER by
CITY in a separate account, or with segregated fund accounting, such that any reasonable person
can ascertain the revenue source of any given expenditure.
3.3 Financial Records. CHAMBER shall maintain complete and accurate financial records of
each expenditure of the hotel tax funds made by CHAMBER. These funds shall be classified as
restricted :funds for audited financial purposes, and may not be used for contracted services,
including, but not limited to, auditing fees and attorney fees. Upon reasonable advance written
request of the Denton City Council, the City Manager or designate, or any other person,
CHAMBER shall make such financial records available for inspection and review by the party
making the request. CHAMBER understands and accepts that all such financial records, and any
other records relating to this Agreement shall be subject to the Public Information Act, TEx. GOV'T
CODE, ch. 552, as hereafter amended.
3.4 Quarterly Reports. After initial receipt of hotel tax funds, and within thirty days after the
end of every quarter thereafter, until all funds have been expended and reported to CITY,
CHAMBER shall furnish to CITY: (1) a completed financial report, (2) a list of the expenditures or
copies of the invoices or receipts made with regard to hotel tax funds, pursuant to TEX. TAX CODE
g351.101(c), and (3) a copy of all financial records (e.g., front and back copies of cleared checks or
bank statements, and other relevant documentation). Both the financial and expenditure reports will
be in a form either determined or approved by the City Manager or designate. CHAMBER shall
respond promptly to any request from the City Manager of CITY, or designate, for additional
information relating to the activities performed under this Agreement.
3.5 Notice of Meetings. CHAMBER shall give the City Manager of CITY, or his designate,
reasonable advance written notice of the time and place of all meetings of CHAMBER's Board of
Directors, as well as any other meeting of any constituency of CHAMBER, at which this
Agreement or any matter subject to this Agreement shall be considered.
IV. TERM AND TERMINATION
4.1 Term. The term of this Agreement shall commence on January 1, 2006 and terminate at
midnight on January 31,2007. However, the program period shall commence on January 1, 2006
and terminate at midnight on December 31, 2006. Only those expenditures authorized by Chapter
351 of the Texas Tax Code and the program guidelines, which are actually incurred during the
program period, for events and activities taking place within the program period, are eligible for
funding under this agreement, and any ineligible expenditures or unspent funds shall be forfeited to
CITY upon termination of the Agreement.
4.2 Termination Without Cause.
(a) This Agreement may be terminated by either party, with or without cause, by giving
the other party sixty (60) days advance written notice.
Black Chamber HOT Funding PY2006 - Page 4
(b) In the event this contract is terminated by either party pursuant to Section 4.2(a),
CITY agrees to reimburse CHAMBER for any contractual obligations of CHAMBER
undertaken by CHAMBER in satisfactory performance of those activities specified in ~~2.1 and
2.2 above and that were approved by the Council through the budget, as noted in ~3.1. This
reimbursement is conditioned upon such contractual obligations having been incurred and
entered into in the good faith performance of those services contemplated in ~~2.1 and 2.2 above,
and further conditioned upon such contractual obligations having a term not exceeding the full
term of this Agreement. Notwithstanding any provision hereof to the contrary, the obligation of
CITY to reimburse CHAMBER or to assume the performance of any contractual obligations of
CHAMBER for or under any contract entered into by CHAMBER as contemplated herein shall
not exceed 662/3% of the current quarterly payment.
(c) Further, upon termination pursuant to ~4.2(a), CHAMBER will provide CITY: I)
Within 10 business days from the termination notification, a short-term budget of probable
expenditures for the remaining 60 day period between termination notification and contract
termination. This budget will be presented to Council for approval within 10 business days after
receipt by CITY. If formal approval is not given within 10 business days and the budget does
not contain any expenditures that would be prohibited by the Texas Tax Code, and is within the
current contractual period approved budget; the budget will be considered approved; 2) Within
30 days, a full accounting of all expenditures not previously audited by the City; 3) Within 5
business days of a request from CITY, a listing of expenditures that have occurred since the last
required reporting period; 4) a final accounting of all expenditures and tax funds on the day of
termination. CHAMBER will be obligated to return any unused funds or funds determined to be
used improperly. Any use of remaining funds by CHAMBER after notification of termination is
conditioned upon such contractual obligations having been incurred and entered into in the good
faith performance of those services contemplated in 2.1 and 2.2 above, and further conditioned
upon such contractual obligations having a term not exceeding the full term of this Agreement.
4.3 Automatic Termination. This Agreement shall automatically terminate upon the
occurrence of any of the following events:
(a) The termination of the legal existence of CHAMBER;
(b) The insolvency of CHAMBER, the filing of a petition in bankruptcy, either
voluntarily or involuntarily, or an assignment by CHAMBER for the benefit of creditors;
(c) The continuation ofa breach of any of the terms or conditions of this Agreement by
either CITY or CHAMBER for more than thirty (30) days after written notice of such breach is
given to the breaching party by the other party; or
(d) The failure of CHAMBER to submit a financial quarterly report which complies
with the reporting procedures required herein and generally accepted accounting principles prior to
the beginning of the next contract term, or quarterly as required by Section 1.3 hereof.
4.4 Right to Immediate Termination Upon Litigation. Notwithstanding any other provision
of this Agreement, to mitigate damages and to preserve evidence and issues for judicial
determination, either party shall have the right to terminate this Agreement upon immediate notice
to the other party in the event that any person has instituted litigation concerning the activities of the
Black Chamber HOT Funding PY2006 - Page 5
non-terminating party, and the terminating party reasonably believes that such activities are required
or prohibited under this Agreement.
4.5 In the event that this Agreement is terminated pursuant to 114.3 or 4.4, CHAMBER agrees
to refund any and all unused funds, or funds determined by CITY to. have been used improperly,
within 30 days after termination of this Agreement.
v. GENERAL PROVISIONS
5.1 Subcontract for Performance of Services. Nothing in this Agreement shall prohibit, nor
be construed to prohibit, the agreement by CHAMBER with another private entity, person, or
organization for the performance of those services described in ~2.1 above. In the event that
CHAJvIBER enters into any arrangement, contractual or otherwise, with such other entity. person or
organization, CHAMBER shall cause such other entity, person, or organization to adhere to.
conform to, and be subject to all provisions, terms, and conditions of this Agreement and to TEX.
TAX CODE ch. 351, including reporting requirements, separate funds maintenance, and limitations
and prohibitions pertaining to expenditure of the agreed payments and hotel tax funds.
5.2 Independent Contractor. CHAMBER shall operate as an independent contractor as to all
services to be performed under this Agreement and not as an officer, agent. servant, or employee of
CITY. CHAMBER shall have exclusive control of its operations and performance of services
hereunder, and such persons, entities, or organizations performing the same and CHAMBER shall
be solely responsible for the acts and omissions of its directors. officers, employees, agents, and
subcontractors. CHAMBER shall not be considered a partner or joint venturer with CITY, nor shall
CHAMBER be considered nor in any manner hold itself out as an agent or official representative of
CITY.
5.3 Indemnification. CHAMBER AGREES TO INDEMNIFY, HOLD HARMLESS,
AND DEFEND CITY, ITS OFFICERS, AGENTS, AND EMPLOYEES FROM AND
AGAINST ANY AND ALL CLAIMS OR SUITS FOR INJURIES, DAMAGE, LOSS, OR
LIABILITY OF WHATEVER KIND OR CHARACTER, ARISING OUT OF OR IN
CONNECTION WITH THE PERFORMANCE BY CHAMBER OF THOSE SERVICES
CONTEMPLATED BY THIS AGREE:MENT, INCLUDING ALL SUCH CLAIMS OR
CAUSES OF ACTION BASED UPON COMMON, CONSTITUTIONAL OR STATUTORY
LAW, OR BASED, IN WHOLE OR IN PART, UPON ALLEGATIONS OF NEGLIGENT
OR INTENTIONAL ACTS OF CHAMBER, ITS OFFICERS, EMPLOYEES, AGENTS,
SUBCONTRACTORS, LICENSEES AND INVlTEES.
5.4 Assignment. CHAMBER shall not assign this Agreement without first obtaining the
written consent of CITY.
5.5 Notice. Any notice required to be given under this Agreement or any statute, ordinance, or
regulation, shall be effective when given in writing and deposited in the United States mail, certified
mail, return receipt requested, or by hand-delivery, addressed to the respective parties as follows:
Black Chamber HOT Funding PY2006 - Page 6
-
CITY
CHAMBER
City Manager
City of Denton
215 E. McKinney
Denton, TX 76201
Denton Black Chamber of Commerce
John Baines
P.O. Box 51026
Denton, Texas 76206
5.6 Inurement. This Agreement and each provision hereof, and each and every right, duty,
obligation, and liability set forth herein shall be binding upon and inure to the benefit and obligation
of CITY and CHAMBER and their respective successors and assigns.
5.7 Application of Laws. All terms, conditions, and provisions of this Agreement are subject
to all applicable federal laws, state laws, the Charter of the City of Denton, all ordinances passed
pursuant thereto, and all judicial determinations relative thereto.
5.8 Exclusive Agreement. This Agreement contains the entire understanding and constitutes
the entire agreement between the parties hereto concerning the subject matter contained herein.
There are no representations, agreements, arrangements, or understandings, oral or written, express
or implied, between or among the parties hereto, relating to the subject matter of this Agreement,
which are not fully expressed herein. The terms and conditions of this Agreement shall prevail
notwithstanding any variance in this Agreement from the terms and conditions of any other
document relating to this transaction or these transactions.
5.9 Duplicate Originals. This Agreement is executed in duplicate originals.
5.10 Headings. The headings and subheadings of the various sections and paragraphs of this
Agreement are inserted merely for the purpose of convenience and do not express or imply any
limitation, definition, or extension of the specific terms ofthe section and paragraph so designated.
5.11 Severability. If any section, subsection, paragraph, sentence, clause, phrase or word in this
Agreement, or application thereof to any person or circumstance is held invalid by any court of
competent jurisdiction, such holding shall not affect the validity of the remaining portions of this
Agreement, and the parties hereby declare they would have enacted such remaining portions despite
any such invalidity.
5.12 Insurance. CHAMBER shall, at a minimum, provide insurance as follows:
1. $500,000 Conunercial General Liability, or $1,000,000 Event Insurance, covering
all events taking place on City-owned property
2. Statutory Workers' Compensation and Employers' Liability
($100,000/$500,000/$100,000)
3. $250,000 Liquor/Dram Shop Liability for any event occurring on City-owned
property where alcohol will be provided or served
CITY must be named as an additional insured on all policies (except Workers' Compensation), and
proof of coverage shall be submitted prior to any payment by the CITY.
Black Chamber HOT Funding PY2006 - Page 7
EXECUTED this _ day of
, 2005.
THE CITY OF DENTON, TEXAS
By:
EULINE BROCK, MAYOR
OF
ATTEST:
By:
JENNIFER WALTERS,
CITY SECRETARY
ATTEST:
By:
By:
Secretary
Black Chamber HOT Funding PY2006 - Page 8
Exhibit A
Denton Black Chamber of Commerce
Denton Blues Festival and Auto Show 2006
ADVERTISING
Brochures $ 1,800
Postage 2,000
Radio 5,000
Newspaper 2,000
Printing 2,500
Signage 2,500
$ 15,800
TOTAL BUDGET $ 15,800
AGENDA INFORMATION SHEET
AGENDA DATE: September 20, 2005
DEPARTMENT: Tax
ACM:
Kathy DuBose
..
SUBJECT
Consider adoption of an ordinance authorizing the Mayor to execute an agreement between the
City of Denton and the Denton Chamber of Commerce (Convention and Visitor Bureau) for the
payment and use of hotel tax revenue; and providing an effective date.
BACKGROUND
This agency is recommended to receive funding from the Hotel Occupancy Tax funds. This
contract is for a one-year term beginning January 1, 2006, through midnight December 31, 2006.
Allocations are dependent upon requests for funding, as well as availability of revenues.
PRIOR ACTIONIREVIEW
The Hotel Occupancy Tax Committee reviewed all budget applications and recommended
allocations to Council during the Council Work Session on August 8, 2005.
FISCAL INFORMATION
The Hotel Occupancy Tax allocation for this agency is $556,155 for FY 2005-06 and has been
included in the Annual Program of Services.
Diana G. Ortiz
Director of Fiscal Operations
S:\Our Documents\Ordinances\OS\H01\chamber ord.doc
ORDINANCE NO.
AN ORDINANCE AUTHORIZING THE MAYOR TO EXECUTE AN AGREEMENT
BETWEEN THE CITY OF DENTON AND THE DENTON CHAMBER OF COMMERCE
(CONVENTION AND VISITOR BUREAU) FOR THE PAYMENT AND USE OF HOTEL
TAX REVENUE; AND PROVIDING AN EFFECTIVE DATE.
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. The Mayor is hereby authorized to execute an agreement between the City
of Denton and the Denton Chamber of Commerce (Convention and Visitor Bureau) for the
payment and use of hotel tax revenue, under the terms and conditions contained in the
agreement, a copy of which is attached hereto and made a part hereof.
SECTION 2. This ordinance shall become effective immediately upon its passage and
approval.
day of
,2005.
PASSED AND APPROVED this the
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
AGREEMENT BETWEEN THE CITY OF DENTON AND THE DENTON CHAMBER
OF COMMERCE (CONVENTION & VISITOR BUREAU) (pY 2006) PROVIDING FOR
THE PAYMENT AND USE OF HOTEL TAX REVENUE
THIS AGREEMENT made between the City of Denton, Texas, a municipal corporation
(the "CITY"), and the Denton Chamber of Commerce (Convention & Visitor Bureau), a non-profit
corporation incorporated under the laws of the State of Texas (the "BUREAU"):
WHEREAS, TEX. TAX CODE ~351.002 authorizes CITY to levy by ordinance a municipal
hotel occupancy tax ("hotel tax") not exceeding seven percent (7%) of the consideration paid by a
hotel occupant; and
WHEREAS, by ordinance, CITY has provided for the assessment and collection of a
municipal hotel occupancy tax in the City of Denton of seven percent (7%); and
WHEREAS, TEX. TAX CODE ~351.101(a) authorizes CITY to use revenue from its
municipal hotel occupancy tax to promote tourism and the convention and hotel industry by
advertising and conducting solicitations and promotional programs to attract tourists and convention
delegates or registrants to the municip~lity or its vicinity; and
WHEREAS, BUREAU is well equipped to perform those activities through its Denton
Convention and Visitor's Bureau; and
WHEREAS, TEX. TAX CODE ~351.101(c) authorizes CITY to delegate by contract with
BUREAU, as an independent entity, the management and supervision of programs and activities of
the type described hereinabove funded with revenue from the municipal hotel occupancy tax;
NOW, THEREFORE, in consideration of the performance of the mutual covenants and
promises contained herein, CITY and BUREAU agree and contract as follows:
I. HOTEL TAX REVENUE PAYMENT
1.1 Consideration. For and in consideration of the activities to be performed by BUREAU
under this Agreement, CITY agrees to pay to BUREAU a portion ofthe hotel tax revenue collected
by CITY at the rates and in the manner specified herein (such payments by CITY to BUREAU
sometimes herein referred to as the "agreed payments" or "hotel tax funds").
1.2 Amount of Payments.
(a) As used in this Agreement, the following terms shall have the following specific
meamngs:
(i) The term "hotel tax revenue" shall mean the gross monies collected and
received by CITY as municipal hotel occupancy tax at the rate of seven percent (7%) of
the price paid for a room in a hotel, pursuant to Texas Tax Code ~351.002 and City
Ordmance. Hotel tax revenue will include penalty and interest related to the late
payments of the tax revenue by the taxpayer.
CVB PY2006 HOT Fund Contract -- Page 1
-
(ii) The term "Collection period" will mean the collection period for CITY's
fiscal year. It will include hotel tax revenue due to CITY for the relevant fiscal year and
collected through the 22nd day ofthe month following the close of the relevant fiscal year.
(iii) The term "base payment amount" shall mean a net amount of money equal
to the total hotel tax revenue collected by CITY during any relevant period of time (i.e., .
fiscal year or fiscal quarter), less: (1) attorney and auditing costs incurred during such
relevant period of time for costs of collection or auditing of hotel taxpayers (attorney and
auditing costs include fees paid to attorneys or agents not in the regular employ of CITY for
which attorneys or agents effect compliance or collection of the hotel tax from taxpayers);
and (2) court costs and other expenses incurred in litigation against or auditing of such
taxpayers.
(iv) The term "contract quarter" shall refer to any quarter of the calendar year in
which this Afeement is in force. Contract quarters will end on March 31 S\ June 30th,
September 30 ,and December 31 sl of each contract year.
(b) In return for satisfactory performance of the activities set forth in this Agreement
and all attachments hereto, CITY shall pay to BUREAU an amount of money in each contract
year equal to the lesser amount of Fifty One and Fifty-Six One Hundredths percent (51.56%) of
the annual base payment amount or the fixed contract amount of Five Hundred Fifty-Six
Thousand One Hundred and Fifty~Five Dollars ($556,155). This amount will be divided into
quarterly payments equal to 25% of the annual fixed contract amount, unless CITY can show
with reasonable certainty that the annual base payment amount will be less than originally
estimated for the fiscal year. The fourth quarterly payment will represent 25% of the fixed
contract amount or the unpaid remainder of 51.56% of the base payment amount, whichever is
less. Each quarterly payment is subject to receipt of unused funds from the prior contract period
and the receipt of the required quarterly reports.
1.3 Dates of Payments.
(a) The term "quarterly payments" shall mean payments by CITY to BUREAU of those
amounts specified in ~1.2, above, as determined by the hotel tax revenue collected.
(b) Each quarterly payment shall be paid upon receipt of the required reports and after the
25th day following the last day of the contract quarter. If the quarterly financial report is not
received within thirty (30) days of the end of the applicable contract quarter, the recipient may be
held in breach of this Agreement. CITY may withhold the quarterly payment(s) until the
appropriate reports are received and approved, which approval shall not be unreasonably withheld.
1.4 Other limitations regarding consideration.
(a) The funding of this project in no way commits CITY to future funding of this program
beyond the current contract period. Any future funding is solely the responsibility ofBUREAD.
CVB PY2006 HOT Fund Contract -- Page 2
(b) It is expressly understood that this contract in no way obligates the General Fund or any
other monies or credits of CITY.
(c) CITY may withhold further allocations if CITY determines that BUREAU's
expenditures deviate materially from their approved budget.
II. USE OF HOTEL TAX REVENUE
2.1 Use of Funds. For and in consideration of the payment by CITY to BUREAU of the agreed
pa)'TIlents of hotel tax funds specified above, BUREAU agrees to use such hotel tax funds only for
advertising and conducting solicitations and promotional programs to attract tourists and convention
delegates or registrants to the municipality or its vicinity as authorized by TEx. TAX CODE
9351.101(a). Funds for any calendar year which are unused by midnight December 31 sl ofthat year
shall be refunded to CITY within sixty (60) days.
2.2 Administrative Costs. The hotel tax funds received from CITY by BUREAU may be spent
for day-to-day operations, office supplies, salaries, travel expenses and other administrative costs
allowed by TEX. TAX CODE 9351.101(f), only if each are directly attributable to work on programs,
which promote tourism and the hotel and convention industry, and if each promotes at least one of
the six statutory purposes enumerated within TEX. TAX CODE 9351. 101 (a).
2.3 Specific Restrictions on Use of Funds.
(a) BUREAU agrees to demonstrate strict compliance with the record keeping and
apportionment limitations imposed by TEX. TAX CODE 9351.101(f) and 9351.108 (c) and (d).
BUREAU shall not utilize hotel tax funds for any expenditure which has not been specifically
documented to satisfy the purposes set forth in ~~2.1 and 2.2 above.
(b) Hotel tax funds may not be spent for travel for a person to attend an event or conduct
an activity the primary purpose of which is not directly related to the promotion of local tourism and
the convention and hotel industry or the performance of the person's job in an efficient and
professional manner.
III. RECORDKEEPING AND REPORTING REQUIREMENTS
3.1 Budget.
(a) BUREAU shall prepare and submit to the City Manager of CITY an annual budget
(see Exhibit "A") as approved by the City Council for each calendar year, for such operations of
BUREAU funded by hotel tax revenue. This budget shall specifically identify proposed
expenditures of hotel tax funds by BUREAU. In other words, CITY should be able to audit
specifically the purpose of each individual expenditure of hotel tax funds from the separate account
relating to hotel tax funds. CITY shall not pay to BUREAU any hotel tax revenues as set forth in
Section I of this contract during any program year of this Agreement unless a budget for such
respective program year has been approved in writing by the Denton City Council authorizing the
expenditure of funds. Failure to submit an annual budget may be considered a breach of contract,
and if not remedied is considered grounds for termination of this Agreement as stated in paragraph
4.2.
eVB PY2006 HOT Fund Contract -- Page 3
(b) BUREAU acknowledges that the approval of such budget by the Denton City
Council creates a fiduciary duty in BUREAU with respect to the hotel tax funds paid by CITY to
BUREAU under this Agreement. BUREAU shall expend hotel tax funds only in the manner and
for the purposes specified in this Agreement, TEX. TAX CODE ~351.101(a), and in the budget as
approved by CITY.
3.2 Separate Accounts. BUREAU shall maintain any hotel tax funds paid to BUREAU by
CITY in a separate checking account or with segregated fund accounting, such that any reasonable
person can review the revenue source of any given expenditure.
3.3 Financial Records. BUREAU shall maintain complete and accurate financial records of
each expenditure of the hotel tax funds made by BUREAU. These funds shall be classified as
restricted funds for audited financial purposes, and may not be used for contracted services,
including, but not limited to, auditing fees and attorney fees. Upon reasonable advance written
request of the Denton City Council, the City Manager or designate, or any other person, BUREAU
shall make such financial records available for inspection and review by the party making the
request. BUREAU understands and accepts that all such financial records, and any other records
relating to this Agreement shall be subject to the Public Information Act, TEx. GOy'r CODE, ch.
552, as hereafter amended.
3.4 Quarterly Reports. After initial receipt of the hotel tax funds, and within thirty days after
the end of every contract quarter, BUREAU shall furnish to CITY: (1) a completed [mancial report ,
(2) a list of the expenditures made or copies of the invoice or receipts with regard to hotel tax funds
pursuant to TEX. TAX CODE ~351.101(c), and (3) a copy of all financial records (e.g., copies offront
and back cleared checks or bank statements, and other relevant documentation). BUREAU shall
prepare and deliver all reports in a form and manner approved by the City Manager or designate.
BUREAU shall respond promptly to any request from the City Manager of CITY, or designate, for
additional information relating to the activities performed under this Agreement.
3.5 Notice of Meetings. BUREAU shall give the City Manager of CITY, or his designate,
reasonable advance written notice of the time and place of all meetings of BUREAU's Board of
Directors, as well as any other meeting of any constituency of BUREAU at which this Agreement
or any matter subject to this Agreement shall be considered.
IV. TERM AND TERMINATION
4.1 Term. The term of this Agreement shall commence on January 1, 2006 and terminate at
midnight on January 31, 2007. However, the program period shall commence on January 1, 2006
and terminate at midnight on December 31, 2006. Only those expenditures authorized by Chapter
351 of the Texas Tax Code and the program guidelines, which are actually incurred during the
program period, for events and activities taking place within the program period, are eligible for
funding under this agreement, and any ineligible expenditures or unspent funds shall be forfeited to
CITY upon termination of the Agreement.
CVB PY2006 HOT Fund Contract -- Page 4
4.2 Termination Without Cause.
(a) This Agreement may be terminated by either party, with or without cause, by giving
the other party sixty (60) days advance written notice.
(b) In the event this contract is terminated by either party pursuant to Section 4.2(a),
CITY agrees to reimburse BUREAU for any contractual obligations of BUREAU undertaken by
BUREAU in satisfactory performance of those activities specified in '11'112.1 and 2.2 above and
that were approved by the Council through the budget, as noted in ~3.1. This reimbursement is
conditioned upon such contractual obligations having been incurred and entered into in the good
faith performance of those services contemplated in ~~2.1 and 2.2 above, and further conditioned
upon such contractual obligations having a term not exceeding the full term of this Agreement.
Notwithstanding any provision hereof to the contrary, the obligation of CITY to reimburse
BUREAU or to assume the performance of any contractual obligations of BUREAU for or under
any contract entered into by BUREAU as contemplated herein shall not exceed 66 2/3% of the
current quarterly payment.
(c) Further, upon termination pursuant to ~4.2(a), BUREAU will provide CITY: 1)
Within 10 business days from the termination notification, a short-term budget of probable
expenditures for the remaining 60 day period between termination notification and contract
termination. This budget will be presented to Council for approval within 10 business days after
receipt by CITY. If formal approval is not given within 10 business days and the budget does
not contain any expenditures that would be prohibited by the Texas Tax Code, and is within the
current contractual period approved budget; the budget will be considered approved; 2) Within
30 days, a full accounting of all expenditures not previously audited by CITY; 3) Within 5
business days of a request from CITY, a listing of expenditures that have occurred since the last
required reporting period; 4) a final accounting of all expenditures and tax funds on the day of
termination. BUREAU will be obligated to return any unused funds or funds determined to be
used improperly. Any use of remaining funds by BUREAU after notification of termination is
conditioned upon such contractual obligations having been incurred and entered into in the good
faith performance of those services contemplated in 2.1 and 2.2 above, and further conditioned
upon such contractual obligations having a term not exceeding the full term ofthis Agreement.
4.3 Automatic Termination. This Agreement shall automatically terminate upon the
occurrence of any of the following events:
(a) The termination of the legal existence of BUREAU;
(b) The insolvency of BUREAU, the filing of a petition in bankruptcy, either voluntarily or
involuntarily, or an assignment by BUREAU for the benefit of creditors;
(c) The continuation of a breach of any of the terms or conditions of this Agreement by
either CITY or BUREAU for more than thirty (30) days after written notice of such breach is given
to the breaclting party by the other party; or
CVE PY2006 HOT Fund Contract -- Page 5
(d) The failure of BUREAU to submit a financial quarterly report which complies with the
reporting procedures required herein and generally accepted accounting principles prior to the
beginning of the next contract term, or quarterly as required by Section 1.3 hereof.
4.4 Right to Immediate Termination Upon Litigation. Notwithstanding any other provision
of this Agreement, to mitigate damages and to preserve evidence and issues for judicial
determination, either party shall have the right to terminate this Agreement upon immediate notice
to the other party in the event that any person has instituted litigation concerning the activities of the
non-terminating party, and the terminating party reasonably believes that such activities are required
or prohibited under this Agreement.
4.5 In the event that this Agreement is terminated pursuant to ~~4.3 or 4.4, BUREAU agrees to
refund any and all unused funds, or funds determined by CITY to have been used improperly,
within 30 days after termination of this Agreement.
V. GENERAL PROVISIONS
5.1 Subcontract for Performance of Services. Nothing in this Agreement shall prohibit, nor
be construed to prohibit, the agreement by BUREAU with another private entity, person, or
organization for the performance of those services described in ~2.1 above. In the event that
BUREAU enters into any arrangement, contractual or otherwise, with such other entity, person or
organization, BUREAU shall cause such other entity, person, or organization to adhere to, conform
to, and be subject to all provisions, terms, and conditions of this Agreement and to TEX. TAX CODE
ch. 351, including reporting requirements, separate funds maintenance, and limitations and
prohibitions pertaining to expenditure of the agreed payments and hotel tax funds.
5.2 Independent Contractor. BUREAU shall operate as an independent contractor as to all
services to be performed under this Agreement and not as an officer, agent, servant, or employee of
CITY. BUREAU shall have exclusive control of its operations and performance of services
hereunder, and such persons, entities, or organizations performing the same and BUREAU shall be
solely responsible for the acts and omissions of its directors, officers, employees, agents, and
subcontractors. BUREAU shall not be considered a partner or joint venturer with CITY, nor shall
BUREAU be considered nor in any manner hold itself out as an agent or official representative of
CITY.
5.3 Indemnification. BUREAU AGREES TO INDEMNIFY, HOLD HARMLESS, AND
DEFEND CITY, ITS OFFICERS, AGENTS, AND EMPLOYEES FROM AND AGAINST
ANY AND ALL CLAIMS OR SUITS FOR INJURIES, DAMAGE, LOSS, OR LIABILITY
OF WHATEVER KIND OR CHARACTER, ARISING OUT OF OR IN CONNECTION
WITH THE PERFORMANCE BY BUREAU OF THOSE SERVICES CONTEMPLATED
BY THIS AGREEMENT, INCLUDING ALL SUCH CLAIMS OR CAUSES OF ACTION
BASED UPON COMMON, CONSTITUTIONAL OR STATUTORY LAW, OR BASED, IN
WHOLE OR IN PART, UPON ALLEGATIONS OF NEGLIGENT OR INTENTIONAL
ACTS OF BUREAU, ITS OFFICERS, EMPLOYEES, AGENTS, SUBCONTRACTORS,
LICENSEES AND INVITEES.
CVB PY2006 HOT Fund Contract -- Page 6
5.4 Assignment. BUREAU shall not assign this Agreement without first obtaining the written
consent of CITY.
5.5 Notice. Any notice required to be given under this Agreement or any statute, ordinance, or
regulation, shall be effective when given in writing and deposited in the United States mail, certified
mail, return receipt requested, or by hand-delivery, addressed to the respective parties as follows:
CITY
BUREAU
City of Denton
215 E. McKinney
Denton, TX 76201
Denton Chamber of Commerce
Denton Convention & Visitor Bureau
Kim Phillips
Vice President
P.O. Box Drawer P
Denton, Texas 76202-1719
5.6 Inurement. This Agreement and each provision hereof, and each and every right, duty,
obligation, and liability set forth herein shall be binding upon and inure to the benefit and obligation
of CITY and BUREAU and their respective successors and assigns.
5.7 Application of Laws. All terms, conditions, and provisions of this Agreement are subj ect
to all applicable federal laws, state laws, the Charter of the City of Denton, all ordinances passed
pursuant thereto, and all judicial determinations relative thereto.
5.8 Exclusive Agreement. This Agreement contains the entire understanding and constitutes
the entire agreement between the parties hereto concerning the subject matter contained herein.
There are no representations, agreements, arrangements, or understandings, oral or written, express
or implied, between or among the parties hereto, relating to the subject matter of this Agreement,
which are not fully expressed herein. The terms and conditions of this Agreement shall prevail
notwithstanding any variance in this Agreement from the terms and conditions of any other
document relating to this transaction or these transactions.
5.9 Duplicate Originals. This Agreement is executed in duplicate originals.
5.10 Headings. The headings and subheadings of the various sections and paragraphs of this
Agreement are inserted merely for the purpose of convenience and do not express or imply any
limitation, definition, or extension of the specific terms of the section and paragraph so designated.
5.11 Severability. If any section, subsection, paragraph, sentence, clause, phrase or word in this
Agreement, or application thereof to any person or circumstance is held invalid by any court of
competent jurisdiction, such holding shall not affect the validity of the remaining portions of this
Agreement, and the parties hereby declare they would have enacted such remaining portions despite
any such invalidity.
CVE PY2006 HOT Fund Contract -- Page 7
5.12 Insurance. BUREAU shall, at a rnitrimum, provide insurance as follows:
1. $500,000 Commercial General Liability, or $1,000,000 Event Insurance, covering
all events taking place on City-owned property
2. Statutory Workers' Compensation and Employers' Liability
($100,000/$500,000/$100,000)
3. $250,000 LiquorlDram Shop Liability for any event occumng on City-owned
property where alcohol will be provided or served
4. $500,000 Business Automobile Liability on any owned, non-owned or hired
vehicles
CITY must be named as an additional insured on all policies (except Workers' Compensation) and
proof of coverage shall be submitted prior to any payment by CITY.
EXECUTED this ~ day of
,2005.
THE CITY OF DENTON, TEXAS
By:
EULINE BROCK, MAYOR
ATTEST:
APPROV~D~A8'TetEflA::L--FORM:
,....--~~-
By:
JENNIFER WALTERS,
CITY SECRETARY
DENTON C
~
ATTEST:
/APPROVED AS TO LEGAL FORM:
By:
Secretary
By:
CVB PY2006 HOT Fund Contract -- Page 8
Exhibit A
Denton Chamber of Commerce
Convention & Visitor Bureau
ADVERTISING
Print Advertising $ 64,000
Tourism Promotional Material 5,000
Brochures 10,000
Travel & Trade Shows 6,000
Tourism & PR Services 12,000
Special Projects 2,000
Denton Live Magazine 102,000
dentonlive.com 15,000
dentonlive.com annual hosting fee 3,600
ABA National Convention 5,000
$ 224,600
CVB GENERAL ADMINISTRATION
Salaries and Benefits $ 116,800
Liability Insurance 700
Travel & Training 5,000
Memperships & Subscriptions 2,100
Computer Equipment 6,000
Copy Machine 500
Warehouse Storage 700
Desktop Copier Lease 750
Office Supplies 2,000
Telephone 8,000
Printing 1,000
Postage 4,500
Office Rent 14,055
$ 162,105
SPORTS ADVERTISING
Convention & Trade Show $ 11,000
SPORTS ADMINISTRATION
Salary and Benefits
Travel & Training
Memberships
Printing
Postage
$
56,900
5,000
750
1,500
500
$ 64,650
CONVENTION & GROUP MARKETING ADVERTISING
Print Advertising
Sales & Marketing Mission
Trade Shows
$
8,000
20,000
7,000
$ 35,000
PAGE 2
CONVENTION & GROUP MARKETING ADMINISTRATION
Salary and Benefits
Travel & Training
Memberhsips
Printing
$
48,800
5,000
2,500
2,500
$ 58,800
TOTAL BUDGET $ 556,155
AGENDA INFORMATION SHEET
AGENDA DATE: September 20, 2005
DEPARTMENT: Tax
ACM:
Kathy DuBose
..
SUBJECT
Consider adoption of an ordinance authorizing the Mayor to execute an interlocal agreement
between the City of Denton and Denton County for the payment and use of hotel tax revenue in
support of the Courthouse-on-the-Square, the Bayless-Selby House and the African American
Museums; and providing an effective date.
BACKGROUND
This agency is recommended to receive funding from the Hotel Occupancy Tax funds. This
contract is for a one-year term beginning January 1, 2006, through midnight December 31, 2006.
Allocations are dependent upon requests for funding, as well as availability of revenues.
PRIOR ACTIONIREVIEW
The Hotel Occupancy Tax Committee reviewed all budget applications and recommended
allocations to Council during the Council Work Session on August 8, 2005.
FISCAL INFORMATION
The Hotel Occupancy Tax allocation for this agency is $95,000 for FY 2005-06 and has been
included in the Annual Program of Services.
Diana G. Ortiz
Director of Fiscal Operations
S:\Our Documents\Ordinances\05\H01\county museum ord.DOC
ORDINANCE NO.
AN ORDINANCE AUTHORIZING THE MAYOR TO EXECUTE AN INTERLOCAL
AGREEMENT BETWEEN THE CITY OF DENTON AND DENTON COUNTY FOR THE
PAYMENT AND USE OF HOTEL TAX REVENUE IN SUPPORT OF THE COURTHOUSE-
ON-THE-SQUARE, THE BAYLESS-SELBY HOUSE AND THE AFRICAN AMERICAN
MUSEUMS; AND PROVIDING AN EFFECTIVE DATE.
WHEREAS, Tex. Tax Code S351.101(a) authorizes the City of Denton, Texas to use
revenue from its municipal hotel occupancy tax to promote tourism and the convention and hotel
industry by advertising and conducting solicitations and promotional programs to attract tourists and
convention delegates or registrants to the municipality or its vicinity to visit preserved historic sites
and museums; and
WHEREAS, the County of Denton, Texas is well equipped to perform those activities by its
operation of the Courthouse on the Square, the Bayless-Selby House and the African American
Musewns; and
WHEREAS, Tex. Tax Code S351.101(c) authorizes the City of Denton, Texas to delegate
by contract with the County of Denton, Texas, as a govenunental entity, the management and
supervision of programs and activities of the type described hereinabove funded with revenue from
the municipal hotel occupancy tax; and
WHEREAS, both the City of Denton, Texas and the County of Denton, Texas have a
secondary source of authority to enter into an interlocal cooperation agreement, pursuant to Chapter
791 of the Texas Government Code, as: the agreement is authorized by both govenunental bodies;
the agreement states the purpose, terms, rights, and duties of the contracting parties; the
consideration is being paid by City of Denton, Texas out of current revenues; the compensation is
fair; and the services to be performed are "museum services" authorized under S791.003(3)(F) of
the Texas Government Code, which each party is authorized to perform individually; NOW,
THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. The Mayor is hereby authorized to execute an interlocal agreement
between the City of Denton and Denton County for the payment and use of hotel tax revenue in
support of the Courthouse on the Square, the. Bayless-Selby House and the African American
Musewns, under the terms and conditions contained in the agreement, a copy of which is
attached hereto and made a part hereof.
SECTION 2. That this ordinance shall become effective irnmediately upon its passage
and approval.
PASSED AND APPROVED this the day of
2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER,_CITY..AIIORNEY
Page 2
AGREEMENT BETWEEN THE CITY OF DENTON AND DENTON COUNTY, TEXAS
(COURTHOUSE ON THE SQUARE, THE BAYLESS-SELBY HOUSE AND THE
AFRICAN AMERICAN MUSEUMS) (pY2006)
PROVIDING FOR THE PAYMENT AND USE OF HOTEL TAX REVENUE
THIS AGREEMENT made between the City of Denton, Texas, a municipal corporation
(the "CITY"), and County of Denton, Texas, a governmental entity existing under the laws of the
State of Texas, contracting on behalf of its Courthouse-on-the-Square, African American, and
Bayless-Selby House Museums (collectively, the "MUSEUMS"):
WHEREAS, TEX. TAX CODE 9351.002 authorizes CITY to levy by ordinance a municipal
hotel occupancy tax ("hotel tax") not exceeding seven percent (7%) of the consideration paid by a
hotel occupant~ and
WHEREAS, by ordinance, CITY has provided for the assessment and collection of a
municipal hotel occupancy tax in the City of Denton of seven percent (7%); and
WHEREAS, TEX. TAX CODE 9351.10l(a) authorizes CITY to use revenue from its
municipal hotel occupancy tax to promote tourism and the convention and hotel industry by
advertising and conducting solicitations and promotional programs to attract tourists and convention
delegates or registrants to the municipality or its vicinity; as well as to engage in historical
restoration and preservation projects and activities and
WHEREAS, TEX. TAX CODE 9351.101(c) authorizes CITY to delegate by contract with
MUSEUMS, as a governmental entity, the management and supervision of programs and activities
of the type described hereinabove funded with revenue from the municipal hotel occupancy tax; and
WHEREAS, MUSEUMS are well equipped to perform those activities; and
WHEREAS, both CITY and MUSEUMS have a secondary source of authority to enter into
this Agreement as an interlocal cooperation agreement, pursuant to Chapter 791 of the Texas
Government Code, as: the Agreement is authorized by both governmental bodies; the Agreement
states the purpose, terms, rights, and duties of the contracting parties; the consideration is being paid
by CITY out of current revenues; the compensation is fair; and the services to be performed are
"museum services" authorized under 9791.003(3)(F) of the Texas Government Code, which each
party is authorized to perform individually;
NOW, THEREFORE, in consideration of the performance of the mutual covenants and
promises contained herein, CITY and MUSEUMS agree and contract as follows:
I. HOTEL TAX REVENUE PAYMENT
1.1 Consideration. For and in consideration of the activities to be performed by MUSEUMS
under this Agreement, CITY agrees to pay to MUSEUMS a portion of the hotel tax revenue
collected by CITY at the rates and in the manner specified herein (such payments by CITY to
MUSEUMS sometimes herein referred to as the "agreed payments" or "hotel tax funds").
HOT Funds PY2006 Denton County Museums Page 1
1.2 Amount of Payments.
(a) As used in this Agreement, the following tenns shall have the following specific
meamngs:
(i) The term "hotel tax revenue" shall mean the gross monies collected and
received by CITY as municipal hotel occupancy tax at the rate of seven percent (7%) of
the price paid for a room in a hotel, pursuant to Texas Tax Code 351.002 and City
Ordinance. Hotel tax revenue will include penalty and interest related to the late
payments of the tax revenue by the taxpayer.
(ii) The term "Collection period" will mean the collection period for CITY's
fiscal year. It will include hotel tax revenue due to CITY for the relevant fiscal year and
collected through the 22nd day ofthe month following the close ofthe relevant fiscal year.
(iii) The term "base payment amount" shall mean a net amount of money equal
to the total hotel tax revenue collected by CITY during any relevant period of time (i.e.,
fiscal year or fiscal quarter), less: (1) attorney and auditing costs incurred during such
relevant period of time for costs of collection or auditing of hotel taxpayers (attorney and
auditing costs include fees paid to attorneys or agents not in the regular employ of CITY for
which attorneys or agents effect compliance or collection of the hotel tax from taxpayers);
and (2) court costs and other expenses incurred in litigation against, or auditing of, such
taxpayers.
(iv) The term "contract quarter" shall refer to any quarter of the calendar year in
which this Afeement is in force. Contract quarters will end on March 31 st, June 30th,
September 30t \ and December 31 st of each contract year.
(b) In return for satisfactory performance of the activities set forth in this Agreement
and all attachments hereto, CITY shall pay to MUSEUMS an amount of money in each contract
year equal to the lesser amount of: Eight and Eighty-One One Hundredths percent (8.81 %) of the
annual base payment amount, or the fixed contract amount of Ninety-Five Thousand Dollars
($95,000). This amount will be divided into quarterly payments equal to 25% of the annual fixed
contract amount, unless CITY can show with reasonable certainty that the annual base payment
amount will be less than originally estimated for the fiscal year. The fourth quarterly payment
will represent 25% of the fixed contract amount or the unpaid remainder of 8.81 % of the base
payment amount, whichever is less. Each quarterly payment is subject to receipt of unused funds
from the prior contract period and the receipt of the required quarterly reports.
1.3 Dates of Payments.
(a) The term "quarterly payments" shall mean payments by CITY to MUSEUMS of those
amounts specified in ~1.2, above, as determined by the hotel tax revenue collected.
HOT Funds PY2006 Denton County Museums Page 2
(b) Each quarterly payment shall be paid upon receipt of the required reports and after the
25th day following the last day of the contract quarter. If the quarterly financial report is not
received within thirty (30) days of the end of the applicable contract quarter, the recipient may be
held in breach of this Agreement. CITY may withhold the quarterly payment(s) until the
appropriate reports are received and approved, which approval shall not be unreasonably withheld.
1.4 Other limitations regarding consideration.
(a) The funding ofthis project in no way commits CITY to future funding of this program
beyond the current contract period. Any future funding is solely the responsibility of MUSEUMS.
(b) It is expressly understood that this contract in no way obligates the General Fund or any
other monies or credits of CITY.
(c) CITY may withhold further allocations if CITY determines that MUSEUMS'
expenditures deviate materially from their approved budget.
II. USE OF HOTEL TAX REVENUE
2.1 Use of Funds. For and in consideration of the payment by CITY to MUSEUMS of the
agreed pa}TI1ents of hotel tax funds specified above, MUSEUMS agree to use such hotel tax funds
only for advertising and conducting solicitations and promotional programs to attract tourists and
convention delegates or registrants to the municipality or its vicinity, as well as to engage in
historical restoration and preservation projects' and activities to encourage tourists and convention
delegates to visit preserved historic sites and museums, as authorized by TEX. TAX CODE
9351.101(a)(3) and (a)(5). Funds for any calendar year which are unused by midnight December
31st ofthat year shall be refunded to CITY within sixty (60) days.
2.2 Administrative Costs. The hotel tax funds received from CITY by MUSEUMS may be
spent for day-ta-day operations, office supplies, salaries, travel expenses, and other administrative
costs allowed by TEX. TAX CODE 9351.101 (t), only if each such expenditure is directly attributable
to work on programs, which promote tourism and the hotel and convention industry, and promotes
at least one of the six statutory purposes enumerated within TEX. TAX CODE 9351.101 ( a).
2.3 Specific Restrictions on Use of Funds.
(a) MUSEUMS agree to demonstrate strict compliance with the record keeping and
apportionment limitations imposed by TEX. TAX CODE 9351.101(t) and 9351.108 (c) and (d).
MUSEUMS shall not utilize hotel tax funds for any expenditure which has not been specifically
documented to satisfy the purposes set forth in ~~2.1 and 2.2 above.
(b) Hotel tax funds may not be spent for travel for a person to attend an event or conduct
an activity, the primary purpose of which is not directly related to the promotion of local tourism
and the convention and hotel industry and the performance of the person's job in an efficient and
professional manner.
HOT Funds PY2006 Denton County Museums Page 3
III. RECORDKEEPING AND REPORTING REQUIREMENTS
3.1 Budget.
(a) MUSEUMS shall prepare and submit to the City Manager of CITY an annual budget
(see Exhibit "A") as approved by the City Council for each calendar year, for such operations of
MUSEUMS in which the hotel tax funds shall be used by MUSEUMS. This budget shall
specifically identify proposed expenditures of hotel tax funds by MUSEUMS. In other words,
CITY should be able to audit specifically the purpose of each individual expenditure of hotel tax
funds from the separate account relating to hotel tax funds. CITY shall not pay to MUSEUMS any
hotel tax revenues as set forth in Section I of this contract during any program year of this
Agreement unless a budget for such respective program year has been approved in writing by the
Denton City Council authorizing the expenditure of funds. Failure to submit an annual budget may
be considered a breach of contract, and if not remedied is considered grounds for termination of this
Agreement as stated in paragraph 4.2.
(b) MUSEUMS acknowledge that I the approval of such budget by the Denton City
Council creates a fiduciary duty in MUSEUMS with respect to the hotel tax funds paid by CITY to
MUSEUMS under this Agreement. MUSEUMS shall expend hotel tax funds only in the manner
and for the purposes specified in this Agreement, TEX. TAX CODE S351.101(a) and in the budget as
approved by CITY.
3.2 Separate Accounts. MUSEUMS shall maintain any hotel tax funds paid to MUSEUMS
by CITY in a separate account or with segregated fund accounting, such that any reasonable person
can ascertain the revenue source of any given expenditure.
3.3 Financial Records. MUSEUMS shall maintain complete and accurate financial records
of each expenditure of the hotel tax funds made by MUSEUMS. These funds are required to be
classified as restricted funds for audited financial purposes, and may not be used for contracted
services, including, but not limited to, auditing fees or attorney fees. Upon reasonable advance
written request of the Denton City Council, the City Manager or designate, or any other person,
MUSEUMS shall make such financial records available for inspection and review by the party
making the request. MUSEUMS understand and accept that all such financial records, and any
other records relating to this Agreement shall be subject to the Public Information Act, TEX. GoV'T
CODE, ch. 552, as hereafter amended.
3.4 Quarterly Reports. After initial receipt of hotel tax funds, and within thirty days after the
end of every contract quarter, MUSEUMS shall furnish to CITY: (1) a completed financial report ,
(2) a list of the expenditures or copies of the invoices or receipts made with regard to hotel tax
funds pursuant to TEX. TAX CODE S351.101(c), and (3) a copy of all financial records (e.g., front
and back copies of cleared checks or bank statements, and other relevant documentation),
MUSEUMS shall prepare and deliver all reports in a form and manner approved by the City
Manager or designate. MUSEUMS shall respond promptly to any request from the City Manager
of CITY, or designate, for additional information relating to the activities performed under this
Agreement.
HOT Funds PY2006 Dehton County Museums Page 4
3.5 Notice of Meetings. MUSEUMS shall give the City Manager of CITY, or his designate,
reasonable advance written notice of the time and place of all meetings of MUSEUMS' Boards of
Directors, as well as any other meeting of. any constituency of MUSEUMS, at which this
Agreement or any matter subject to this Agreement shall be considered.
IV. TERM AND TERMINATION
4.1 Term. The term of this Agreement shall commence on January 1, 2006, and terminate at
midnight on January 31, 2007. However, the program period shall commence on January 1, 2006
and terminate at midnight on December 31, 2006. Only those expenditures authorized by Chapter
351 of the Texas Tax Code and the program guidelines, which are actually incurred during the
program period, for events and activities taking place within the program period, are eligible for
funding under this agreement, and any ineligible expenditures or unspent funds shall be forfeited to
CITY upon termination of the Agreement.
4.2 Termination Without Cause.
(a) This Agreement may be terminated by either party, with or without cause, by giving
the other party sixty (60) days advance written notice.
(b) In the event this contract is terminated by either party pursuant to Section 4.2(a),
CITY agrees to reimburse MUSEUMS for any contractual obligations of MUSEUMS
undertaken by MUSEUMS in satisfactory performance of those activities specified in ~~2.1 and
2.2 above, and that were approved by the Council through the budget, as noted in ~3.1. This
reimbursement is conditioned upon such contractual obligations having been incurred and
entered into in the good faith performance of those services contemplated in ~~2.1 and 2.2 above,
and further conditioned upon such contractual obligations having a term not exceeding the full
term of this Agreement. Notwithstanding any provision hereof to the contrary, the obligation of
CITY to reimburse MUSEUMS, or to assume the performance of any contractual obligations of
MUSEUMS, for or under any contract entered into by MUSEUMS as contemplated herein, shall
not exceed 662/3% of the current quarterly payment.
(c) Further, upon termination pursuant to ~4.2(a), MUSEUMS will provide CITY: 1)
Within 10 business days from the termination notification, a short-term budget of probable
expenditures for the remaining 60 day period between termination notification and contract
termination. This budget will be presented to Council for approval within 10 business days after
receipt by CITY. If formal approval is not given within 10 business days, and the budget does
not contain any expenditures that would be prohibited by the Texas Tax Code, and is within the
current contractual period approved budget; the budget will be considered approved; 2) Within
30 days, a full accounting of all expenditures not previously audited by CITY; 3) Within 5
business days of a request from CITY, a listing of expenditures that have occurred since the last
required reporting period; 4) a final accounting of all expenditures and tax funds on the day of
termination. MUSEUMS will be obligated to return any unused funds, or funds determined to be
used improperly. Any use of remaining funds by MUSEUMS after notification of termination is
conditioned upon such contractual obligations having been incurred and entered into in the good
HOT Funds PY2006 Denton County Museums Page 5
faith performance of those services contemplated in 2.1 and 2.2 above, and further conditioned
upon such contractual obligations having a term not exceeding the full term of this Agreement.
4.3 Automatic Termination. This Agreement shall automatically terminate upon the
occurrence of any ofthe following events:
(a) The termination ofthe legal existence of MUSEUMS;
(b) The insolvency of MUSEUMS, the filing of a petition in bankruptcy, either voluntarily
or involuntarily, or an assignment by MUSEUMS for the benefit of creditors;
(c) The continuation of a breach of any of the terms or conditions of this Agreement by
either CITY or MUSEUMS for more than thirty (30) days after written notice of such breach is
given to the breaching party by the other party; or
(d) The failure of MUSEUMS to submit a financial quarterly report which complies with
the reporting procedures required herein and generally accepted accounting principles prior to the
beginning of the next contract term, or quarterly as required by Section 1.3 hereof.
4.4 Right to Immediate Termination Upon Litigation. Notwithstanding any other provision
of this Agreement, to mitigate damages and to preserve evidence and issues for judicial
determination, either party shall have the right to terminate this Agreement upon immediate notice
to the other party in the event that any person has instituted litigation concerning the activities of the
non-terminating party, and the terminating party reasonably believes that such activities are required
or prohibited under this Agreement.
4.5 In the event that this Agreement is terminated pursuant to ~~4.3 or 4.4, MUSEUMS agree to
refund any and all unused funds, or funds determined by CITY to have been used improperly,
within 30 days after termination ofthis Agreeq1ent.
V. GENERAL PROVISIONS
5.1 Subcontract for Performance of Services. Nothing in this Agreement shall prohibit, nor
be construed to prohibit, the agreement by MUSEUMS with another private entity, person, or
organization for the performance of those services described in ~2.1 above. In the event that
MUSEUMS enter into any arrangement, contractual or otherwise, with such other entity, person or
organization, MUSEUMS shall cause such other entity, person, or organization to adhere to,
conform to, and be subject to all provisions, terms, and conditions of this Agreement and to TEX.
T AX CODE ch. 351, including reporting requirements, separate funds maintenance, and limitations
and prohibitions pertaining to expenditure of the" agreed payments and hotel tax funds.
5.2 Independent Contractor. MUSEUMS shall operate as an independent contractor as to all
services to be performed under this Agreement and not as an officer, agent, servant, or employee of
CITY. MUSEUMS shall have exclusive control of its operations and performance of services
hereunder, and such persons, entities, or organizations performing the same, and MUSEUMS shall
be solely responsible for the acts and omissions of its directors, officers, employees, agents, and
HOT FlUlds PY2006 Denton County Museums Page 6
subcontractors. MUSEUMS shall not be considered a partner or joint venturer with CITY, nor shall
MUSEUMS be considered, nor in any manner hold itself out as, an agent or official representative
of CITY.
5.3 Indemnification. TO THE EXTENT AUTHORIZED BY LAW, MUSEUMS AGREE
TO INDEMNIFY, HOLD HARMLESS, AND DEFEND CITY, ITS OFFICERS, AGENTS,
AND EMPLOYEES FROM AND AGAINST ANY AND ALL CLAIMS OR SUITS FOR
INJURIES, DAMAGE, LOSS, OR LIABILITY OF WHATEVER KIND OR CHARACTER,
ARISING OUT OF OR IN CONNECTION WITH THE PERFORMANCE BY MUSEUMS
OF THOSE SERVICES CONTEMPLATED BY TillS AGREEMENT, INCLUDING ALL
SUCH CLAIMS OR CAUSES OF ACTION BASED UPON COMMON,
CONSTITUTIONAL OR STATUTORY LAW, OR BASED, IN WHOLE OR IN PART,
UPON ALLEGATIONS OF NEGLIGENT OR INTENTIONAL ACTS OF MUSEUM, ITS
OFFICERS, EMPLOYEES, AGENTS, SUBCONTRACTORS, LICENSEES AND
INVITEES.
5.4 Assignment. MUSEUMS shall not ~ssign this Agreement without first obtaining the
written consent of CITY.
5.5 Notice. Any notice required to be given under this Agreement or any statute, ordinance, or
regulation, shall be effective when given in writing and deposited in the United States mail, certified
mail, return receipt requested, or by hand-delivery, addressed to the respective parties as follows:
CITY
MUSEUMS
City Manager
City of Denton
215 E. McKinney
Denton, TX 76201
Denton County Courthouse-On- The Square,
Bayless-Selby House Museums and the African
American Museum
Georgia Caraway, Director
110 W. Hickory St., Denton, Texas 76201
5.6 Inurement. This Agreement and each provision hereof, and each and every right, duty,
obligation, and liability set forth herein shall be binding upon and inure to the benefit and obligation
of CITY and MUSEUMS and their respective successors and assigns.
5.7 Application of Laws. All terms, conditions, and provisions of this Agreement are subject
to all applicable federal laws, state laws, the Charter of the City of Denton, all ordinances passed
pursuant thereto, and all judicial determinations relative thereto.
5.8 Exclusive Agreement. This Agreement contains the entire understanding and constitutes
the entire agreement between the parties hereto concerning the subject matter contained herein.
There are no representations, agreements, arrangements, or understandings, oral or written, express
or implied, between or among the parties hereto, relating to the subject matter of this Agreement,
which are not fully expressed herein. The terms and conditions of this Agreement shall prevail,
HOT Funds PY2006 Denton County Museums Page 7
notwithstanding any variance in this Agreement from the terms and conditions of any other
document relating to this transaction or these trapsactions.
5.9 Duplicate Originals. This Agreement is executed in duplicate originals.
5.10 Headings. The headings and subheadings of the various sections and paragraphs of this
Agreement are inserted merely for the purpose of convenience and do not express or imply any
limitation, definition, or extension of the specific terms ofthe section and paragraph so designated.
5.11 Severability. If any section, subsection, paragraph, sentence, clause, phrase or word in this
Agreement, or application thereof to any person or circumstance is held invalid by any court of
competent jurisdiction, such holding shall not affect the validity of the remaining portions of this
Agreement, and the parties hereby declare they would have enacted such remaining portions despite
any such invalidity.
5.12 Insurance. MUSEUMS shall provide insurance as follows:
1.
Statutory Workers' Compensation
($100,000/$500,000/$100,000)
and
Employers'
Liability
Proof of coverage shall be submitted prior to any payment by CITY.
5.13 Waiver of Immunity for Suit to Enforce. By executing and authorizing the execution of
this contract, DENTON COUNTY, TEXAS expressly waives immunity from any suit brought by
CITY for the enforcement of the provisions contained herein, and further expressly waives the
presentment required of Tex. Loc. Gov't Code sec. 89.004 as a prerequisite to such suit. .
EXECUTED this _ day of
,2005.
THE CITY OF DENTON, TEXAS
By:
EULINE BROCK, MAYOR
ATTEST:
APPROVED AS TO LEGAL FORM:
~
By:
/ DWIN M..SNYDER,
CITY ATTORNEY
By:
JENNIFER WALTERS,
CITY SECRETARY
HOT Funds PY2006 Denton County Museums Pa~e 8
ATTEST:
DENTON COUNTY, TEXAS
APPROVED AS TO LEGAL FORM:
By: ~ fYlrGnU
~ctary
HOT Funds PY2006 Denton County Museums Page 9
Exhibit A
Denton County Museums
Couthouse on the Square, Bayless-Selby House
and African American Museums
ADVERTISING
Block Ads $ 2,200
Brochures 8,000
Newspaper 11,000
Magazines 8,750
$ 29,950
HISTORICAL
Archival Supplies
Referemce Books
Furnishings & Equipment
Tourism Director Salary
Curator of Collections Salary
Historical Park Manager Salary
Contract Labor
Membership Dues
Office Supplies
$ 5,000
500
8,024
10,000
10,000
28,761
2,000
265
500
$
65,050
TOTAL BUDGET $
95,000
AGENDA INFORMATION SHEET
AGENDA DATE: September 20, 2005
DEPARTMENT: Tax
ACM:
Kathy DuBose
..
SUBJECT
Consider adoption of an ordinance authorizing the Mayor to execute an agreement between the
City of Denton and the Denton Community Theatre, Inc. for the payment and use of hotel tax
revenue; and providing an effective date.
BACKGROUND
This agency is recommended to receive funding from the Hotel Occupancy Tax funds. This
contract is for a one-year term beginning January 1, 2006, through midnight December 31, 2006.
Allocations are dependent upon requests for funding, as well as availability of revenues.
PRIOR ACTIONIREVIEW
The Hotel Occupancy Tax Committee reviewed all budget applications and recommended
allocations to Council during the Council Work Session on August 8, 2005.
FISCAL INFORMATION
The Hotel Occupancy Tax allocation for this agency is $16,000 for FY 2005-06 and has been
included in the Annual Program of Services.
Diana G. Ortiz
Director of Fiscal Operations
S:\Our Documents\Ordinances\05\H0T\DCTOrd.doc
ORDINANCE NO.
AN ORDINANCE AUTHORIZING THE MAYOR TO EXECUTE AN AGREEMENT
BETWEEN THE CITY OF DENTON AND THE DENTON COMMUNITY THEATRE~ INC.
FOR THE PAYMENT AND USE OF HOTEL TAX REVENUE; AND PROVIDING AN
EFFECTIVE DATE.
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. That the Mayor is hereby authorized to execute an agreement between the
City of Denton and the Denton Community Theatre, Inc. for the payment and use of hotel tax
revenue, under the terms and conditions contained in the agreement, a copy of which is attached
hereto and made a part hereof.
SECTION 2. That this ordinance shall become effective immediately upon its passage
and approval.
PASSED AND APPROVED this the
day of
,2005.
EULINE BROCK., MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LE
. EDW~IN M. sNVDER, CITY ATTO
, -.----
.-
..BY:'/
//
(
AGREEMENT BETWEEN THE CITY OF DENTON AND
DENTON COMMUNITY THEATRE, INC. (pY2006)
PROVIDING FOR THE PAYMENT AND USE OF HOTEL TAX REVENUE
THIS AGREEMENT made between the City of Denton, Texas, a municipal corporation
(the "CITY"), and the Denton Community Theatre, Inc., a legal entity incorporated under the laws
ofthe State of Texas (the "THEATRE"):
WHEREAS, TEX. TAX CODE ~351.002 authorizes CITY to levy by ordinance a municipal
hotel occupancy tax ("hotel tax") not exceeding seven percent (7%) of the consideration paid by a
hotel occupant; and
WHEREAS, by ordinance, CITY has provided for the assessment and collection of a
municipal hotel occupancy tax in the City of Denton of seven percent (7%); and
WHEREAS, TEX. TAX CODE 9351.101(a) authorizes CITY to use revenue from its
municipal hotel occupancy tax to promote tourism and the convention and hotel industry by
advertising and conducting solicitations and promotional programs to attract tourists and convention
delegates or registrants to the municipality or its vicinity; and
WHEREAS, THEATRE is well equipped to perform those activities; and
WHEREAS, TEX. TAX CODE ~351.101(c) authorizes CITY to delegate by contract with
THEATRE, as an independent entity, the management and supervision of programs and activities of
the type described hereinabove funded with revenue from the municipal hotel occupancy tax;
NOW, THEREFORE, in consideration of the performance of the mutual covenants and
promises contained herein, CITY and THEATRE agree and contract as follows:
I. HOTEL TAX REVENUE PAYMENT
1.1 Consideration. For and in consideration of the activities to be performed by THEATRE
under this Agreement, CITY agrees to pay to THEATRE a portion of the hotel tax revenue
collected by CITY at the rates and in the manner specified herein (such payments by CITY to
THEATRE sometimes herein referred to as the "agreed payments" or "hotel tax funds").
1.2 Amount of Payments.
(a) As used in this Agreement, the following terms shall have the following specific
meanmgs:
(i) The term "hotel tax revenue" shall mean the gross monies collected and
received by CITY as municipal hotel occupancy tax at the rate of seven percent (7%) of
the price paid for a room in a hotel, pursuant to Texas Tax Code 35 I .002 and City
Ordinance. Hotel tax revenue will include penalty and interest related to the late
payments of the tax revenue by the taxpayer.
DCT HOT Funding PY2006 - Page 1
(ii) The term "Collection period" will mean the collection period for CITY's
fiscal year. It will include hotel tax revenue due to CITY for the relevant fiscal year and
collected through the 22nd day of the month following the close of the relevant fiscal year.
(iii) The term "base payment amount" shall mean a net amount of money equal
to the total hotel tax revenue collected by CITY during any relevant period of time (i.e.,
fiscal year or fiscal quarter), less: (1) attorney and auditing costs incurred during such
relevant period of time for costs of collection or auditing of hotel taxpayers (attorney and
auditing costs include fees paid to attorneys or agents not in the regular employ of CITY for
which attorneys or agents effect compliance or collection of the hotel tax from taxpayers);
and (2) court costs and other expenses incurred in litigation against, or auditing of, such
taxpayers.
(iv) The term "contract quarter" shall refer to any quarter of the calendar year in
which this Agreement is in force. Contract quarters will end on March 31 S\ June 30th,
September 30t , and December 31 st of each contract year.
(b) In return for satisfactory performance of the activities set forth in this Agreement
and . all attachments hereto, CITY shall pay to. THEATRE an amount of money in each contract
year equal to the lesser amount of: One and Forty-Eight One Hundredths percent (1.48%) of the
annual base payment amount, or the fixed contract amount of Sixteen Thousand Dollars
($16,000). This amount will be divided into quarterly payments equal to 25% ofthe annual fixed
contract amount, unless CITY can show with reasonable certainty that the annual base payment
amount will be less than originally estimated. for the fiscal year. The fourth quarterly payment
will represent 25% of the fixed contract amount or the unpaid remainder of 1.48% of the base
payment amount, whichever is less. Each quarterly payment is subject to receipt of unused funds
from the prior contract period and the receipt ofthe required quarterly reports.
1.3 Dates of Payments.
(a) The term "quarterly payments" shall mean payments by CITY to THEATRE of those
amounts specified in ~1.2, above, as determined by the hotel tax revenue collected.
(b) Each quarterly payment shall be pai.d upon receipt of the required reports and after the
25th day following the last day of the contract quarter. If the quarterly financial report is not
received within thirty (30) days of the end of the applicable contract quarter, the recipient may be
held in breach of this Agreement. CITY may withhold the quarterly payment(s) until the
appropriate reports are received and approved, which approval shall not be unreasonably withheld.
1.4 Other limitations regarding consideration.
(a) The funding of this project in no way commits CITY to future funding of this program
beyond the current contract period. Any future funding is solely the responsibility of THEATRE.
DCT HOT Funding PY2006 - Page 2
(b) It is expressly understood that this contract in no way obligates the General Fund or any
other monies or credits of CITY.
(c) CITY may withhold further allocations if CITY determines that THEATRE's
expenditures deviate materially from their approved budget.
II. USE OF HOTEL TAX REVENUE
2.1 Use of Funds. For and in consideration of the payment by CITY to THEATRE of the
agreed payments of hotel tax funds specified above, THEATRE agrees to use such hotel tax funds
only for advertising and conducting solicitations and promotional programs to attract tourists and
convention delegates or registrants to the municipality or its vicinity, as authorized by TEX. TAX
CODE 9351.10l(a) (3). Funds for any calendar year which are unused by midnight December 31st of
that year shall be refunded to CITY within sixty (60) days.
2.2 Administrative Costs. The hotel tax funds received from CITY by THEATRE may be
spent for day-to-day operations, office supplies, salaries, travel expenses, and other administrative
costs allowed by TEX. TAX CODE 351.101 (t), only if each such expenditure is directly attributable
to work on programs which promote tourism and the hotel and convention industry, and promotes at
least one ofthe six statutory purposes enumerated within TEX. TAX CODE 351.101(a).
2.3 Specific Restrictions on Use of Funds.
(a) That portion of total administrative costs of THEATRE for which hotel tax funds
may be used shall not exceed that portion of THEATRE's administrative costs actually incurred in
conducting the activities specified in ~2.1 above.
(b) Hotel tax funds may not be spent for travel for a person to attend an event or conduct
an activity, the primary purpose of which is not directly related to the promotion of local tourism
and the convention and hotel industry and the performance of the person's job in an efficient and
professional manner.
III. RECORD KEEPING AND REPORTING REQUIREMENTS
3.1 Budget.
(a) THEATRE shall prepare and submit to the City Manager of CITY an annual budget
(see Exhibit "A") as approved by the City Council for each calendar year, for such operations of
THEATRE in which the hotel tax funds shall be used by THEATRE. This budget shall specifically
identify proposed expenditures of hotel tax funds by THEATRE. In other words, CITY should be
able to audit specifically the purpose of each individual expenditure of hotel tax funds from the
separate account relating to hotel tax funds. CITY shall not pay to THEATRE any hotel tax
revenues as set forth in Section I of this contract during any program year of this Agreement unless
a budget for such respective program year has been approved in writing by the Denton City Council
authorizing the expenditure of funds. Failure to submit an annual budget may be considered a
OCT HOT Funding PY2006 - Page 3
breach of contract, and if not remedied is considered grounds for termination of this Agreement as
stated in paragraph 4.2.
(b ) THEATRE acknowledges that the approval of such budget by the Denton City
Council creates a fiduciary duty in THEATRE with respect to the hotel tax funds paid by CITY to
THEATRE under this Agreement. THEATRE shall expend hotel tax funds only in the manner and
for the purposes specified in this Agreement, TEX. TAX CODE ~351.101(a) and in the budget as
approved by CITY.
3.2 Separate Accounts. THEATRE shall maintain any hotel tax funds paid to THEATRE by
CITY in a separate account or with segregated fund accounting, such that any reasonable person can
ascertain the revenue source of any given expenditure.
3.3 Financial Records. THEATRE shall maintain complete and accurate financial records of
each expenditure of the hotel tax funds made by THEATRE. These funds are required to be
classified as restricted funds for audited financial purposes, and may not be used for contracted
services, including, but not limited to, auditing fees or attorney fees. Upon reasonable advance
written request of the Denton City Council, the City Manager or designate, or any other person,
THEATRE shall make such financial records available for inspection and review by the party
making the request. THEATRE understands and accepts that all such financial records, and any
other records relating to this Agreement shall be subject to the Public Information Act, TEX. GoV'T
CODE, ch. 552, as hereafter amended.
3.4 Quarterly Reports. After initial receipt of hotel tax funds, and within thirty days after the
end of every quarter thereafter, until all funds have been expended and reported to CITY,
THEATRE shall furnish to CITY: (I) a completed financial report, (2) a list of the expenditures or
copies of the invoices or receipts made with regard to hotel tax funds pursuant to TEX. TAX CODE
~351.101(c), and (3) a copy of all financial records (e.g., copies of front and back of cleared checks
or bank statements, and other relevant documentation). Both the financial and expenditure reports
will be in a form either detennined or approved by the City Manager or designate. THEATRE shall
respond promptly to any request from the City Manager of CITY, or designate, for additional
information relating to the activities performed under this Agreement.
3.5 Notice of Meetings. THEATRE shall give the City Manager of CITY, or his designate,
reasonable advance written notice of the time and place of all meetings of THEATRE's Board of
Directors, as well as any other meeting of any constituency of THEATRE, at which this Agreement
or any matter subject to this Agreement shall be considered.
IV. TERM AND TERMINATION
4.1 Term. The term of this Agreement shall commence on January 1, 2006 and terminate at
midnight on January 31,2007. However, the program period shall commence on January 1,2006
and terminate at midnight on December 31, 2006. Only those expenditures authorized by Chapter
35] of the Texas Tax Code and the program guidelines, which are actually incurred during the
program period, for events and activities taking place within the program period, are eligible for
DCT HOT Funding PY2006 - Page 4
funding under this agreement, and any ineligible expenditures or unspent funds shall be forfeited to
CITY upon termination of the Agreement.
4.2 Termination Without Cause.
(a) This Agreement may be terminated by either party, with or without cause, by giving
the other party sixty (60) days advance written notice.
(b) In the event this contract is terminated by either party pursuant to Section 4.2(a),
CITY agrees to reimburse THEATRE for any contractual obligations of THEATRE undertaken
by THEATRE in satisfactory performance of those activities specified in ~~2.1 and 2.2 above,
and that were approved by the Council through the budget, as noted in ~3 .1. This reimbursement
is conditioned upon such contractual obligations having been incurred and entered into in the
good faith performance of those services contemplated in ~~2.1 and 2.2 above, and further
conditioned upon such contractual obligations having a term not exceeding the full term of this
Agreement. Notwithstanding any provision hereof to the contrary, the obligation of CITY to
reimburse THEATRE, or to assume the performance of any contractual obligations of
THEA TRE, for or under any contract entered into by THEATRE as contemplated herein, shall
not exceed 66 2/3% of the current quarterly payment.
(c) Further, upon tennination pursuant to ~4.2(a), THEATRE will provide CITY: 1)
Within 10 business days from the termination notification, a short-term budget of probable
expenditures for the remaining 60 day period between termination notification and contract
termination. This budget will be presented to Council for approval within 10 business days after
receipt by CITY. If formal approval is not given within 10 business days, and the budget does
not contain any expenditures that would be prohibited by the Texas Tax Code, and is within the
current contractual period approved budget; the budget will be considered approved; 2) Within
30 days, a full accounting of all expenditures not previously audited by CITY; 3) Within 5
business days of a request from CITY, a listing of expenditures that have occurred since the last
required reporting period; 4) a final accounting of all expenditures and tax funds on the day of
termination. THEATRE will be obligated to return any unused funds, or funds determined to be
used improperly. Any use of remaining funds by THEATRE after notification of termination is
conditioned upon such contractual obligations having been incurred and entered into in the good
faith performance of those services contemplated in 2.1 and 2.2 above, and further conditioned
upon such contractual obligations having a term not exceeding the full term ofthis Agreement.
4.3 Automatic Termination. This Agreement shall automatically terminate upon the
occurrence of any of the following events:
(a) The termination ofthe legal existence of THEATRE;
(b) The insolvency of THEATRE, the filing of a petition in bankruptcy, either voluntarily
or involuntarily, or an assignment by THEATRE for the benefit of creditors;
DCT HOT Funding PY2006 - Page 5
(c) The continuation of a breach of any of the terms or conditions of this Agreement by
either CITY or THEATRE for more than thirty (30) days after written notice of such breach is given
to the breaching party by the other party; or
(d) The failure of THEATRE to submit a financial quarterly report which complies with the
reporting procedures required herein and generally accepted accounting principles prior to the
beginning of the next contract term, or quarterly as required by Section 1.3 hereof.
4.4 Right to Immediate Termination Upon Litigation. Notwithstanding any other provision
of this Agreement, to mitigate damages and to preserve evidence and issues for judicial
determination, either party shall have the right to terminate this Agreement upon immediate notice
to the other party in the event that any person has instituted litigation concerning the activities of the
non-terminating party, and the terminating party reasonably believes that such activities are required
or prohibited under this Agreement.
4.5 In the event that this Agreement is terminated pursuant to ~~4.3 or 4.4, THEATRE agrees to
refund any and all unused funds, or funds determined by CITY to have been used improperly,
within 30 days after termination of this Agreement.
v. GENERAL PROVISIONS
5.1 Subcontract for Performance of Services. Nothing in this Agreement shall prohibit, nor
be construed to prohibit, the agreement by THEATRE with another private entity, person, or organi-
zation for the performance of those services described in ~2.l above. In the event that THEATRE
enters into any arrangement, contractual or otherwise, with such other entity, person or organization,
THEATRE shall cause such other entity, person, or organization to adhere to, conform to, and be
subject to all provisions, terms, and conditions of this Agreement and to TEX. TAX CODE ch. 351,
including reporting requirements, separate funds maintenance, and limitations and prohibitions
pertaining to expenditure ofthe agreed payments and hotel tax funds.
5.2 Independent Contractor. THEATRE shall operate as an independent contractor as to all
services to be performed under this Agreement and not as an officer, agent, servant, or employee of
CITY. THEATRE shall have exclusive control of its operations and performance of services
hereunder, and such persons, entities, or organIzations performing the same, and THEATRE shall
be solely responsible for the acts and omissions of its directors, officers, employees, agents, and
subcontractors. THEATRE shall not be considered a partner or joint venturer with CITY, nor shall
THEATRE be considered, nor in any manner hold itself out as, an agent or official representative of
CITY. '
5.3 Indemnification. THEATRE AGREES TO INDEMNIFY, HOLD HARMLESS, AND
DEFEND CITY, ITS OFFICERS, AGENTS, AND EMPLOYEES FROM AND AGAINST
ANY AND ALL CLAIMS OR SUITS FOR:INJURIES, DAMAGE, LOSS, OR LIABILITY
OF WHATEVER KIND OR CHARACTER, ARISING OUT OF OR IN CONNECTION
WITH THE PERFORMANCE BY THEATRE OF THOSE SERVICES CONTEMPLATED
BY THIS AGREEMENT, INCLUDING ALL SUCH CLAIMS OR CAUSES OF ACTION
BASED UPON COMMON, CONSTITUTIONAL OR STATUTORY LAW, OR BASED, IN
DCT HOT Funding PY2006 - Page 6
WHOLE OR IN PART, UPON ALLEGATIONS OF NEGLIGENT OR INTENTIONAL
ACTS OF THEATRE, ITS OFFICERS, EMPLOYEES, AGENTS, SUBCONTRACTORS,
LICENSEES AND INVITEES.
5.4 Assignment. THEATRE shall not assign this Agreement without first obtaining the written
consent of CITY.
5.5 Notice. Any notice required to be given under this Agreement or any statute, ordinance, or
regulation, shall be effective when given in writing and deposited in the United States mail, certified
mail, return receipt requested, or by hand-delivery, addressed to the respective parties as follows:
CITY
THEATRE
City Manager
City of Denton
215 E. McKinney
Denton, TX 76201
Denton Community Theatre, Inc.
A TTN: Eric Bailey
P.O. Box 1931
Denton, Texas 76202-1931
5.6 Inurement. This Agreement and each provision hereof, and each and every right, duty,
obligation, and liability set forth herein shall be binding upon and inure to the benefit and obligation
of CITY and THEATRE and their respective successors and assigns.
5.7 Application of Laws. All tenus, conditions, and provisions of this Agreement are subject
to all applicable federal laws, state laws, the Charter of the City of Denton, all ordinances passed
pursuant thereto, and all judicial determinations relative thereto.
5.8 Exclusive Agreement. This Agreement contains the entire understanding and constitutes
the entire agreement between the parties hereto concerning the subject matter contained herein.
There are no representations, agreements, arrangements, or understandings, oral or written, express
or implied, between or among the parties hereto, relating to the subject matter of this Agreement,
which are not fully expressed herein. The terms and conditions of this Agreement shall prevail,
notwithstanding any variance in this Agreement from the terms and conditions of any other
document relating to this transaction or these transactions.
5.9 Duplicate Originals. This Agreement is executed in duplicate originals.
5.10 Headings. The headings and subheadings of the various sections and paragraphs of this
Agreement are inserted merely for the purpose of convenience and do not express or imply any
limitation, definition, or extension of the specifi~ terms of the section and paragraph so designated.
5.11 Severability. If any section, subsection, paragraph, sentence, clause, phrase or word in this
Agreement, or application thereof to any person or circumstance is held invalid by any court of
competent jurisdiction, such holding shall not affect the validity of the remaining portions of this
Agreement, and the parties hereby declare they would have enacted such remaining portions despite
any such invalidity.
DCT HOT Funding PY2006 - Page 7
5.12 Insurance. THEATRE shall provide insurance as follows:
1. $500,000 Commercial General Liability, or $1,000,000 Event Insurance, covering
all events taking place on City-owned property
2. Statutory Workers' Compensation and Employers' Liability
($100,000/$500,000/$100,000)
3. $250,000 Liquor/Dram Shop Liability for any event occurring on City-owned
property where alcohol will be provided or served
CITY must be named as an additional insured on all policies (except Workers' Compensation), and
proof of coverage shall be submitted prior to any payment by the CITY.
EXECUTED this ~ day of
,2005.
THE CITY OF DENTON, TEXAS
By:
EULINE BROCK, MAYOR
. By:
..
ATTEST:
By:
JENNIFER WALTERS,
CITY SECRETARY
ATTEST:
~.
ptrl-I eG' III A-6 U/f-tteU /
APPROVED AS TO LEGAL FORM:
By:
Secretary
By:
DCT HOT Funding PY2006 - Page 8
Denton Community Theatre
2006
ADVERTISING
Magazines
Cable
Website
Print Advertising
$ 6,000
4,000
4,000
2,000
$ 16,000
TOTAL BUDGET $16,000
Exhibit A
AGENDA INFORMATION SHEET
AGENDA DATE: September 20, 2005
DEPARTMENT: Tax
ACM:
Kathy DuBose
..
SUBJECT
Consider adoption of an ordinance authorizing the Mayor to execute an agreement between the
City of Denton and the Denton Festival Foundation for the payment and use of hotel tax revenue;
and providing an effective date.
BACKGROUND
This agency is recommended to receive funding from the Hotel Occupancy Tax funds. This
contract is for a one-year term beginning January 1, 2006, through midnight December 31, 2006.
Allocations are dependent upon requests for funding, as well as availability of revenues.
PRIOR ACTIONIREVIEW
The Hotel Occupancy Tax Committee reviewed all budget applications and recommended
allocations to Council during the Council Work Session on August 8, 2005.
FISCAL INFORMATION
The Hotel Occupancy Tax allocation for this agency is $75,000 for FY 2005-06 and has been
included in the Annual Program of Services.
Diana G. Ortiz
Director of Fiscal Operations
S:\Our Documents\Ordinances\05\H01\festival foundation ord.doc
ORDINANCE NO.
AN ORDINANCE AUTHORIZING THE MAYOR TO EXECUTE AN AGREEMENT
BETWEEN THE CITY OF DENTON AND THE DENTON FESTIVAL FOUNDATION FOR
THE PAYMENT AND USE OF HOTEL TAX REVENUE; AND PROVIDING AN
EFFECTIVE DATE.
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION I. That the Mayor is hereby authorized to execute an agreement between the
City of Denton and the Denton Festival Foundation for the payment and use of hotel tax revenue,
under the terms and conditions contained in the agreement, a copy of which is attached hereto
and made a part hereof.
SECTION II. That this ordinance shall become effective immediately upon its passage
and approval.
PASSED AND APPROVED this the
day of
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. S Y
AGREEMENT BETWEEN THE CITY OF DENTON AND
THE DENTON FESTIVAL FOUNDATION (PY2006)
PROVIDING FOR THE PAYMENT AND USE OF HOTEL TAX REVENUE
THIS AGREE11ENT made between the City of Denton, Texas, a municipal corporation
(the "CITY"), and the Denton Festival Foundation, Inc. a legal entity incorporated under the laws of
the State of Texas (the "FOUNDATION"):
WHEREAS, TEX. TAX CODE ~351.002 authorizes the CITY to levy by ordinance a
municipal hotel occupancy tax ("hotel tax") not exceeding seven percent (7%) of the consideration
paid by a hotel occupant; and
WHEREAS, by ordinance, the CITY has provided for the assessment and collection of a
municipal hotel occupancy tax in the City of Denton of seven percent (7%); and
WHEREAS, TEx. TAX CODE g351.101(a) authorizes the CITY to use revenue from its
municipal' hotel occupancy tax to promote tourism and the convention and hotel industry by
advertising and conducting solicitations and promotional programs to attract tourists and convention
delegates or registrants to the municipality or its vicinity; and
WHEREAS, the FOUNDATION is well equipped to perform those activities; and
WHEREAS, TEx. TAX CODE g351.101(c) authorizes the CITY to delegate by contract with
the FOUNDATION, as an independent entity, the management and supervision of programs and
activities of the type described hereinabove funded with revenue from the municipal hotel
occupancy tax;
NOW, THEREFORE, in consideration of the performance of the mutual covenants and
promises contained herein, the CITY and the FOUNDATION agree and contract as follows:
I. HOTEL TAX REVENUE PAYMENT
1.1 Consideration. For and in consideration of the activities to be performed by the
FOUNDATION under this Agreement, the CITY agrees to pay to the FOUNDATION a portion of
the hotel tax revenue collected by the CITY at the rates and in the manner specified herein (such
payments by the CITY to the FOUNDATION sometimes herein referred to as the "agreed
payments" or "hotel tax funds").
1.2 Amount of Payments.
(a)
mearungs:
As used in this Agreement, the following terms shall have the following specific
(i) The term "hotel tax revenue" shall mean the gross monies collected and
received by the City as municipal hotel occupancy tax at the rate of seven percent (7%) of
the price paid for a room in a hotel, pursuant to Texas Tax Code 351.002 and City
Festival Foundation HOT Funding PY2006 - Page 1
Ordinance. Hotel tax revenue will include penalty and interest related to the late
payments of the tax revenue by the taxpayer.
(ii) The term "Collection period" will mean the collection period for the CITY's
fiscal year. It will include hotel tax revenue due to the City for the relevant fiscal year and
collected through the 22nd day of the month following the close of the relevant fiscal year.
(iii) The term "base payment amount" shall mean a net amount of money equal
to the total hotel tax revenue collected by the CITY during any relevant period of time (i.e.,
fiscal year or fiscal quarter), less: (1) attorney and auditing costs incurred during such
relevant period of time for costs of collection or auditing of hotel taxpayers (attorney and
auditing costs include fees paid to attomeys or agents not in the regular employ of the CITY
for which attorneys or agents effect compliance or collection of the hotel tax from
taxpayers); and (2) comt costs and other expenses incurred in litigation against or auditing
of such taxpayers.
(iv) The term "contract quarter" shall refer to any quarter of the calendar year in
which this Agreement is in force. Contract quarters will end on March 31st, June 30th,
September 30t\ and December 31 5t of each contract year.
(b) In return for satisfactory performance of the activities set forth in this Agreement
and all attachments hereto, the CITY shall pay to FOUNDATION an amount of money in each
contract year equal to the lesser amount of Six and Ninety-Five One Hundredths percent (6.95%)
of the annual base payment amount or the fixed contract amount of Seventy Five Thousaiid
Dollars ($75,000). This amount will be divided into quarterly payments equal to 25% of the
annual fixed contract amount, unless the CITY can show with reasonable certainty that the
annual base payment amount will be less than originally estimated for the fiscal year. The fourth
quarterly payment will represent 25% of the fixed contract amount or the unpaid remainder of
6.95% of the base payment amount, whichever is less. Each quarterly payment is subject to
receipt of unused funds from the prior contract period and the receipt of the required quarterly
reports.
1.3 Dates of Payments.
(a) The term "quarterly payments" shall mean payments by the CITY to the
FOUNDATION of those amounts specified in ~L2, above, as detennined by the hotel tax revenue
collected.
(b) Each quarterly payment shall be paid upon receipt of the required reports and after the
25th day following the last day of the contract quarter. If the quarterly financial report is not
received within thirty (30) days of the end of the applicable contract quarter, the recipient may be
held in breach of this Agreement. The CITY may withhold the quarterly payment(s) until the
appropriate reports are received and approved, which approval shall not be unreasonably withheld.
Festival Foundation HOT Funding PY2Q06 - Page 2
1.4 Other limitations regarding consideration.
(a) The funding of this project in no way commits the CITY to future funding of this
program beyond the current contract period. Any future funding is solely the responsibility of the
FOUNDATION.
(b) It is expressly understood that this contract in no way obligates the General Fund or any
other monies or credits ofthe CITY.
(c) CITY may withhold further allocations if CITY detennines that FOUNDATION's
expenditures deviate materially from their approved budget.
II. USE OF HOTEL TAX REVENUE
2.1 Use of Funds. For and in consideration of the payment by the CITY to the FOUNDATION
of the agreed payments of hotel tax funds specified above, the FOUNDATION agrees to use such
hotel tax funds only for advertising and conducting solicitations and promotional programs to attract
tourists and convention delegates or registrants to the municipality or its vicinity; as well as the
promotion of tourism through the encouragement, promotion, improvement, and application of the
arts, including instrumental and vocal music, dance, drama, folk art, creative writing, architecture,
design and allied fields, painting, sculpture, photography, graphic and craft arts, motion pictures,
radio, television, tape and sound recording, and other arts related to the presentation, performance,
execution, and exhibition of these major arts forms, as authorized by TEx. TAX CODE ~351.101(a).
FUllds for any calendar year which are unused by midnight December 31 st of that year shall be
refunded to CITY within sixty (60) days.
2.2 Administrative Costs. The hotel tax funds received from the CITY by the FOUNDATION
may be spent for day-to-day operations, office supplies, salaries, travel expenses, and other
administrative costs allowed by TEX. TAX CODE 351.101(f), only if each are directly attributable
to work on programs which promote tourism and the hotel and convention industry, and if each
promotes at least one of the six statutory purposes enumerated within TEX. TAX CODE
351.101(a).
2.3 Specific Restrictions on Use of Funds.
(a) That portion of total administrative costs of the FOUNDATION for which hotel tax
funds may be used shall not exceed that portion of the FOUNDATION's administrative costs
actually incurred in conducting the activities specified in ~2.l above.
(b) Hotel tax funds may not be spent for travel for a person to attend an event or conduct
an activity the primary purpose of which is not directly related to the promotion oflocal tourism and
the convention and hotel industry or the performance of the person's job in an efficient and
professional manner.
Festival Foundation HOT Funding PY2006 - Page 3
.~
'.
Ill. RECORDKEEPING AND REPORTING REQUIREMENTS
3.1 Budget.
(a) The FOUNDATION shall prepare and submit to the City Manager of the CITY an
annual budget (see Exhibit "A") as approved by the City Council for each calendar year, for such
operations of the FOUNDATION funded by hotel tax revenues. This budget shall specifically
identify proposed expenditures of hotel tax funds by the FOUNDATION. In other words, the CITY
should be able to audit specifically the purpose of each individual expenditure of hotel tax funds
from the separate account relating to hotel tax funds. The CITY shall not pay to the
FOUNDATION any hotel tax revenues as set forth in Section I of this contract during any program
year of this Agreement unless a budget for such respective program year has been approved in
writing by the Denton City Council authorizing the expenditure of funds. Failure to submit an
annual budget may be considered a breach of contract, and if not remedied is considered grounds for
. tennillation of this Agreement as stated in paragraph 4.2.
(b) The FOUNDATION aclrnowledges that the approval of such budget by the Denton
City Council creates a fiduciary duty in the FOUNDATION with respect to the hotel tax funds paid
by the CITY to the FOUNDATION under this Agreement. The FOUNDATION shall expend hotel
tax funds only in the manner and for the purposes specified in this Agreement, TEX. TAX CODE
S 3 51.1 0 1 ( a), and in the budget as approved by the CITY.
3.2 Separate Accounts. The FOUNDATION shall maintain any hotel tax funds paid to the
FOUNDATION by the CITY in a separate account or with segregated fund accounting, such that
any reasonable person can review the source of expenditures of tax funds.
3.3 Financial Records. The FOUNDATION shall maintain complete and accurate financial
records of each expenditure of the hotel tax funds made by the FOUNDATION. These funds shall
be classified as restricted funds for audited financial purposes, and may not be used for contracted
services, including, but not limited to, auditing fees and attorney fees. Upon reasonable advance
written request of the Denton City Council, the City Manager or designate, or any other person,
shall make such financial records available for inspection and review by the party making the
request. FOUNDATION understands and acc.epts that all such financial records, and any other
records relating to this Agreement shall be subject to the Public Information Act, TEX. GOy'T CODE,
ch. 552, as hereafter amended.
3.4 Quarterly Reports. After initial receipt of hotel tax funds and within thirty days after the
end of every contract quarter, FOUNDATION shall furnish to CITY: (1) a completed financial
report, (2) a list of the expenditures or copies of the invoices or receipts made with regard to hotel
tax funds pursuant to TEX. TAX CODE 9351.101(c), and (3) a copy of all financial records (e.g.,
copies of front and back cleared checks or bank statements, and other relevant documentation).
Both the financial and expenditure reports will be in a form either determined or approved by the
City Manager or designate. The FOUNDATION shall respond promptly to any request from the
City Manager of the CITY, or designate, for additional information relating to the activities
performed under this Agreement.
Festival Foundation HOT Funding PY2006 - Page 4
_ _ L. _'.. . _
3.5 Notice of Meetings. The FOUNDATION shall give the City Manager of the CITY, or his
designate, reasonable advance written notice of the time and place of all meetings of
FOUNDATION's Board of Directors, as well as any other meeting of any constituency of the
FOUNDATION at which this Agreement or any matter the subject of this Agreement shall be
considered. This provision shall not be deemed to require the FOUNDATION to give notice of any
executive session of the Executive Committee of the FOUNDATION.
IV. TERM AND TERMINATION
4.1 Term. The term of this Agreement shall commence on January 1,2006 and terminate at
midnight on January 31,2007. However, the program period shall commence on January 1,2006
and terminate at midnight on December 31, 2006. Only those expenditures authorized by Chapter
351 of the Texas Tax Code and the program guidelines, which are actually incurred during the
program period, for events and activities taking place within the program period, are eligible for
funding under this agreement, and any ineligible expenditures or unspent funds shall be forfeited to
CITY upon termination of the Agreement.
4.2 Termination Without Cause.
(a) This Agreement may be tenninated by either party, with or without cause, by giving
the other party sixty (60) days advance written notice.
(b) In the event this contract is terminated by either party pursuant to Se9tion 4.2(a),
the CITY agrees to reimburse the FOUNDATION for any contractual obligations of the
FOUNDATION undertaken by the FOUNDATION in satisfactory performance of those
activities specified in ~~2.l and 2.2 above and that were approved by the Council through the
budget, as noted in ~3.1. This reimbursement is conditioned upon such contractual obligations
having been incurred and entered into in the good faith performance of those services
contemplated in -U~2.l and 2.2 above, and further conditioned upon such contractual obligations
having a term not exceeding the full term of this Agreement. Notwithstanding any provision
hereof to the contrary, the obligation of the CITY to reimburse the FOUNDATION or to assume
the performance of any contractual obligations of the FOUNDATION for or under any contract
entered into by the FOUNDATION as contemplated herein shall not exceed 66 2/3% of the
current quarterly payment.
(c) Further, upon termination pursuant to ~4.2(a), the FOUNDATION will provide the
CITY: 1) Within 10 business days from the termination notification, a short-term budget of
probable expenditures for the remaining 60 day period between termination notification and
contract termination. This budget will be presented to Council for approval within 10 business
days after receipt by CITY. If formal approval is not given within 10 business days and the
budget does not contain any expenditures that would be prohibited by the Texas Tax Code, and
is within the current contractual period approved budget; the budget will be considered
approved; 2) Within 30 days, a full accounting of all expenditures not previously audited by the
City; 3) Within 5 business days of a request from the CITY, a listing of expenditures that have
occurred since the last required reporting period; 4) a final accounting of all expenditures and tax
funds on the day of termination. The FOUNDATION will be obligated to return any unused
funds or funds determined to be used improperly. Any use of remaining funds by the
Festival Foundation HOT Funding PY2006 - Page 5
_. . "+ ~L
FOUNDATION after notification of termination is conditioned upon such contractual
obligations having been incurred and entered into in the good faith performance of those services
contemplated in 2.1 and 2.2 above, and further conditioned upon such contractual obligations
having a term not exceeding the full term of this Agreement.
4.3 Automatic Termination. This Agreement shall automatically terminate upon the
occurrence of any of the following events:
(a) The termination ofthe legal existence of the FOUNDATION;
(b) The insolvency of the FOUNDATION, the filing of a petition in bankruptcy, either
voluntarily or involuntarily, or an assignment by the FOUNDATION for the benefit of creditors;
(c) The continuation of a breach of any of the terms or conditions of this Agreement by
either the CITY or the FOUNDATION for more than thirty (30) days after written notice of such
breach is given to the breaching party by the other party; or
(d) The failure of the FOUNDATION to submit a financial quarterly report which complies
with the reporting procedures required herein and generally accepted accounting principles prior to
the beginning of the next contract term, or quarterly as required by Section 1.3 hereof.
4.4 Right to Immediate Termination Upon Litigation. Notwithstanding any other provision
of this Agreement, to mitigate damages and to preserve evidence and issues for judicial
determination, either party shall have the right to terminate this Agreement upon immediate notice
to the other party in the event that any person has instituted litigation concerning the activities of the
non-terminating party, and the terminating party reasonably believes that such activities are required
or prohibited under this Agreement.
4.5 In the event that this Agreement is tenninated pursuant to ~~4.3 or 4.4, FOUNDATION
agrees to refund any and all unused funds, or funds determined by the CITY to have been used
improperly, within 30 days after termination of this Agreement.
v. GENERAL PROVISIONS
5.1 Subcontract for Performance of Services. Nothing in this Agreement shall prohibit, nor
be construed to prohibit, the agreement by the FOUNDATION with another private entity, person,
or organization for the performance of those services described in ~2.1 above. In the event that the
FOUNDATION enters into any arrangement, contractual or otherwise, with such other entity,
person or organization, the FOUNDATION shall cause such other entity, person, or organization to
adhere to, conform to, and be subject to all provisions, terms, and conditions of this Agreement and
to TEX. TAX CODE eh. 351, including reporting requirements, separate funds maintenance, and
limitations and prohibitions pertaining to expenditure of the agreed payments and hotel tax funds.
5.2 Independent Contractor. The FOUNDATION shall operate as an independent contractor
as to all services to be performed under th.is Agreement and not as an officer. agent, servant, or
employee of the CITY. The FOUNDA nON shall have exclusive control of its operations and
performance of services hereunder, and such persons, entities, or organizations performing the same
Festival Foundation HOT Funding PY2006 - Page 6
and the FOUNDATION shall be solely responsible for the acts and omissions of its directors,
officers, employees, agents, and subcontractors. The FOUNDATION shall not be considered a
partner or joint venturer with the CITY, nor shall the FOUNDATION be considered nor in any
manner hold itself out as an agent or official representative of the CITY.
5.3 Indemnification. THE FOUNDATION AGREES TO INDEMNIFY, HOLD
HARMLESS, AND DEFEND THE CITY, ITS OFFICERS, AGENTS, AND EMPLOYEES
FROM AND AGAINST ANY AND ALL CLAIMS OR SUITS FOR INJURIES, DAMAGE,
LOSS, OR LIABILITY OF WHATEVER KIND OR CHARACTER, ARISING OUT OF OR
IN CONNECTION WITH THE PERFORMANCE BY THE FOUNDATION OF THOSE
SERVICES CONTEMPLATED BY THIS AGREEMENT, INCLUDING ALL SUCH
CLAIMS OR CAUSES OF ACTION BASED UPON C0MJ\10N, CONSTITUTIONAL OR
STATUTORY LAW, OR BASED, IN WHOLE OR IN PART, UPON ALLEGATIONS OF
NEGLIGENT OR INTENTIONAL ACTS OF FOUNDATION, ITS OFFICERS,
EMPLOYEES, AGENTS, SUBCONTRACTORS, LICENSEES AND INVITEES.
5.4 Assignment The FOUNDATION shall not assign this Agreement without first obtaining
the written consent of the CITY.
5.5 Notice. Any notice required to be given under this Agreement or any statute, ordinance, or
regulation, shall be effective when given in writing and deposited in the United States mail, certified
mail, return receipt requested, or by hand-delivery, addressed to the respective parties as follows:
CITY
FOUNDATION
City Manager
City of Denton
215 E. McKinney
Denton, TX 76201
Denton Festival Foundation, Inc.
Carol Short
Festival Coordinator
P.O. Box 2104
Denton, Texas 76202-2104
5.6 Inurement. This Agreement and each provision hereof, and each and every right, duty,
obligation, and liability set forth herein shall be binding upon and inure to the benefit and obligation
of the CITY and the FOUNDATION and their respective successors and assigns.
5.7 Application of Laws. All terms, conditions, and provisions of this Agreement are subject
to all applicable federal laws, state laws, the Charter of the City of Denton, all ordinances passed
pursuant thereto, and all judicial determinations relative thereto.
5.8 Exclusive Agreement. This Agreement contains the entire understanding and constitutes
the entire agreement between the parties hereto concerning the subject matter contained herein.
There are no representations, agreements, arrangements, or understandings, oral or written, express
or implied, between or among the parties hereto, relating to the subject matter of this Agreement,
which are not fully expressed herein. The terms and conditions of this Agreement shall prevail
notwithstanding any variance in this Agreement from the terms and conditions of any other
document relating to this transaction or these transactions.
Festival Foundation HOT Funding PY2006 - Page 7
5.9 Duplicate Originals. This Agreement is exec~ted in duplicate originals.
5.10 Headings. The headings and subheadings of the various sections and paragraphs of this
Agreement are inserted merely for the purpose of convenience and do not express or imply any
limitation, definition, or extension of the specific terms of the section and paragraph so designated.
5.11 Severability. If any section, subsection, paragraph, sentence, clause, phrase or word in this
Agreement, or application thereof to any person or circumstance is held invalid by any court of
competent jurisdiction, such holding shall not affect the validity of the remaining portions of this
Agreement, and the parties hereby declare they would have enacted such remaining portions despite
any such invalidity.
5.12 Insurance. The FOUNDATION shall provide insurance as follows:
1. $500,000 Commercial General Liability, or $1,000,000 Event Insurance, covering
all events taking place on City-owned property
2. Statutory Workers' Compensation and Employers' Liability
($100,000/$500,000/$100,000)
3. $250,000 Liquor/Dram Shop Liability for any event occurring on City-owned
property where alcohol will be provided or served
CITY must be named as an additional insured on all policies (except Workers' Compensation), and
proof of coverage shall be submitted prior to any payment by the CITY.
EXECUTED this _ day of
,2005.
THE CITY OF DENTON, TEXAS
By:
EULINE BROCK, MAYOR
ATTEST:
EDWIN M. S
By:
JENNIFER WALTERS,
CITY SECRETARY
DENTON F
IV AL FOUNDATION, INC.
By:
~ c;zJfin;t
Festival Foundation HOT Funding PY2006 - Page 8
Chainnan/Director
ATTEST:
APPROVED AS TO LEGAL FORM:
By:
Secretary
By:
F:lsll"",d\deptILGl.\O... DocurrmISIContrnctsl03\HOT\FestivaL Foundtllioodoc
Festival Foundation HOT Funding PY2006 - Page 9
Denton Festival Foundation, Inc
Denton Arts & Jazz Festival
ADVERTISING
Newspaper
Magazines
Commercials/Photography
Brochures
Tabloids
$
5,000
10,000
8,000
6,000
6,000
$ 35,000
ART
Musicians
$ 40,000
TOTAL BUDGET $ 75,000
-
Exhibit A
AGENDA INFORMATION SHEET
AGENDA DATE: September 20, 2005
DEPARTMENT: Tax
ACM:
Kathy DuBose
..
SUBJECT
Consider adoption of an ordinance authorizing the Mayor to execute an agreement between the
City of Denton and the Greater Denton Arts Council for the payment and use of hotel tax
revenue; and providing an effective date.
BACKGROUND
This agency is recommended to receive funding from the Hotel Occupancy Tax funds. This
contract is for a one-year term beginning January 1, 2006, through midnight December 31, 2006.
Allocations are dependent upon requests for funding, as well as availability of revenues.
PRIOR ACTIONIREVIEW
The Hotel Occupancy Tax Committee reviewed all budget applications and recommended
allocations to Council during the Council Work Session on August 8, 2005.
FISCAL INFORMATION
The Hotel Occupancy Tax allocation for this agency is $115,000 for FY 2005-06 and has been
included in the Annual Program of Services.
Respectfully submitted:
Diana G. Ortiz
Director of Fiscal Operations
S:\Our Documents\On:linances\05\H01\GDAC ord.doc
ORDINANCE NO.
AN ORDINANCE AUTHORIZING THE MAYOR TO EXECUTE AN AGREEMENT
BETWEEN THE CITY OF DENTON AND THE GREATER DENTON ARTS COUNCIL FOR
THE PAYMENT AND USE OF HOTEL TAX REVENUE; AND PROVIDING AN
EFFECTNE DATE.
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. That the Mayor is hereby authorized to execute an agreement between the
City of Denton and the Greater Denton Arts Council for the payment and use of hotel tax
revenue, under the terms and conditions contained in the agreement, a copy of which is attached
hereto and made a part hereof.
SECTION 2. That this ordinance shall become effective immediately upon its passage
and approval.
PASSED AND APPROVED this the
day of
, 2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYD
..___--"J.-
..",~".,.,,-,~
..,..-.,,/'
.../'''''
~--
;c
AGREEMENT BETWEEN THE CITY OF DENTON AND THE GREATER
DENTON ARTS COUNCIL (PY2006) PROVIDING FOR THE PAYMENT AND
USE OF HOTEL TAX REVENUE
THIS AGREEMENT made between the City of Denton, Texas, a municipal
corporation (the "CITY"), and the Greater Denton Arts Council, a non-profit corporation
incorporated under the laws of the State of Texas (the "GDAC"):
WHEREAS, TEX. TAX CODE 935 I .002 authorizes CITY to levy by ordinance a
municipal hotel occupancy tax ("hotel tax") not exceeding seven percent (7%) of the
consideration paid by a hotel occupant; and
WHEREAS, by ordinance, CITY has provided for the assessment and collection of
a municipal hotel occupancy tax in the city of Denton ofseven percent (7%); and
WHEREAS, TEX. TAX CODE g351.101(a) authorizes CITY to use revenue from its
municipal hotel occupancy tax to promote tourism and the convention and hotel industry by
advertising and conducting solicitations and promotional programs to attract tourists and
convention delegates or registrants to the municipality or its vicinity; and
WHEREAS, GDAC is well equipped to perform those activities; and
WHEREAS, TEX. TAX CODE S351.10l(c) authorizes CITY to delegate by contract
with GDAC; as an independent entity, the management and supervision of programs and
activities of the type described hereinabove funded with revenue from the municipal hotel
occupancy tax;
NOW, THEREFORE, in consideration of the performance of the mutual covenants
and promises contained herein, CITY and GDAC agree and contract as follows:
I. HOTEL TAX REVENUE PAYMENT
1.1 Consideration. For and in consideration of the activities to be performed by GDAC
under this Agreement, CITY agrees to pay to GDAC a portion of the hotel tax revenue
collected by CITY at the rates and in the manner specified herein (such payments by CITY
to GDAC sometimes herein referred to as the "agreed payments" or "hotel tax funds").
1.2 Amount of Payments.
(a) As used in this Agreement, the following terms shall have the following
specific meanings:
(i) The term "hotel tax revenue" shall mean the gross monies
collected and received by CITY as municipal hotel occupancy tax at the rate of
seven percent (7%) of the price paid for a room in a hotel, pursuant to Texas Tax
Code g351.002 and City Ordinance. Hotel tax revenue will include penalty and
interest related to the late payments of the tax revenue by the taxpayer.
GDAC PY2006 HOT Funds Contract - Page 1
(ii) The term "Collection period" will mean the collection period for
CITY's fiscal year. It will include hotel tax revenue due to CITY for the relevant
fiscal year and collected through the 22nd day of the month following the close of
the relevant fiscal year.
(iii) The term "base payment amount" shall mean a net amount of money
equal to the total hotel tax revenue collected by CITY during any relevant period of
time (i.e., fiscal year or fiscal quarter), less: (1) attorney and auditing costs incurred
during such relevant period of time for costs of collection or auditing of hotel
taxpayers (attorney and auditing costs include fees paid to attorneys or agents not in
the regular employ of CITY for which attorneys or agents effect compliance or
collection of the hotel tax from taxpayers); and (2) court costs and other expenses
incurred in litigation against, or auditing of, such taxpayers.
(iv) The term "contract quarter" shall refer to any quarter of the calendar
year in which this Agreement is in force. Contract quarters will end on March 315\
June 30th, September 30th, and December 315t of each contract year.
(b) In return for satisfactory performance of the activities set forth in this
Agreement and all attachments hereto, CITY shall pay to GDAC an amount of money in
each contract year equal to the lesser amount of: Ten and Sixty-Six One Hundredths
percent (10.66%) of the annual base payment amount, or the fixed contract amount of
One Hundred Fifteen Thousand Dollars ($115,000). This amount will be divided into
quarterly payments equal to 25% of the annual fixed contract amount, unless CITY can
show with reasonable certainty that the annual base payment amount will be less than
originally estimated for the fiscal year. Th~ fourth quarterly payment will represent 25%
of the fixed contract amount or the unpaid remainder of 10.66% of the base payment
amount, whichever is less. Each quarterly payment is subject to receipt of unused funds
from the prior contract period and the receipt of the required quarterly reports.
1.3 Dates of Payments.
(a) The term "quarterly payments" shall mean payments by CITY to GDAC of
those amounts specified in '11.2, above, as determined by the hotel tax revenue collected.
(b) Each quarterly payment shall be paid upon receipt of the required reports, and
after the 25th day following the last day of the contract quarter. If the quarterly financial
report is not received within thirty (30) days of the end of the applicable contract quarter,
the recipient may be held in breach of this Agreement. CITY may withhold the quarterly
payment(s) until the appropriate reports are received and approved, which approval shall not
be unreasonably withheld.
GDAC PY2006 HOT Funds Contract - Page 2
1.4 Other limitations regarding consideration.
(a) The funding of this project in no way commits CITY to future funding of this
program beyond the current contract period. Any future funding is solely the responsibility
ofGDAC.
(b) It is expressly understood that this contract in no way obligates the General Fund
or any other monies or credits of CITY.
(c) CITY may withhold further allocations if CITY determines that GDAC's
expenditures deviate materially from their approved budget.
II. USE OF HOTEL TAX REVENUE
2.1 Use of Funds. For and in consideration of the payment by CITY to GDAC of the
agreed payments of hotel tax funds specified above, GDAC agrees to use such hotel tax
funds only for advertising and conducting solicitations and promotional programs to attract
tourists and convention delegates or registrants to the municipality or its vicinity and by the
encouragement, promotion, improvement, and application of the arts, including instrumental
and vocal music, dance, drama, folk art, creative writing, architecture, design and allied
fields, painting, sculpture, photography, graphic and craft arts, motion pictures, radio,
television, tape and sound recording, and other arts related to the presentation, performance,
execution, and exhibition of these major art forms. Funds for any calendar year which are
unused by midnight December 31st of that year shall be refunded to CITY within sixty (60)
days.
2.2 Administrative Costs. The hotel tax funds received from CITY by GDAC may be
spent for day-to-day operations, office supplies, salaries, travel expenses and other
administrative costs allowed by TEX. TAX CODE g351.101(f), only if each such expenditure
is directly attributable to work on programs which promote tourism and the hotel and
convention industry, and promotes at least one of the six statutory purposes enumerated
within TEX. TAX CODE g351.101(a).
2.3 Specific Restrictions on Use of Funds.
(a) GDAC agrees to demonstrate strict compliance with the record keeping and
apportionment limitations imposed by TEX. TAX CODE g351.101(f) and g351.108 (c) and
(d). GDAC shall not utilize hotel tax funds for any expenditure, which has not been
specifically documented to satisfY the purposes set forth in ~~2.1 and 2.2 above.
(b) Hotel tax funds may not be spent for travel for a person to attend an event or
conduct an activity, the primary purpose of which is not directly related to the promotion of
local tourism and the convention and hotel industry and the performance of the person's job
in an efficient and professional manner.
GDAC PY2006 HOT Funds Contract - Page 3
III. RECORDKEEPING AND REPORTING REQUIREMENTS
3.1 Budget.
(a) GDAC shall prepare and submit to the City Manager of CITY an annual
budget (see Exhibit "A") as approved by the City Council for each calendar year, for such
operations ofGDAC in which the hotel tax funds shall be used by GDAC. This budget shall
specifically identify proposed expenditures of hotel tax funds by GDAC. In other words,
CITY should be able to audit specifically the purpose of each individual expenditure of hotel
tax funds from the separate account relating to hotel tax funds. CITY shall not pay to
GDAC any hotel tax revenues as set forth in Section I of this contract during any program
year of this Agreement unless a budget for such respective program year has been approved
in writing by the Denton City Council authorizing the expenditure of funds. Failure to
. submit an annual budget may be considered a breach of contract, and if not remedied is
considered grounds for termination ofthis Agreement as stated in paragraph 4.2.
(b) GDAC acknowledges that the approval of such budget by the Denton City
Council creates a fiduciary duty in GDAC with respect to the hotel tax funds paid by CITY
to GDAC under this Agreement. GDAC shall expend hotel tax funds only in the manner
and for the purposes specified in this Agreement, TEX. TAX CODE 9351.101(a) and in the
budget as approved by CITY.
3.2 Separate Accounts. GDAC shall maintain any hotel tax funds paid to GDAC by
CITY in a separate account or with segregated fund accounting, such that any reasonable
person can ascertain the revenue source of any given expenditure.
3.3 Financial Records. GDAC shall maintain complete and accurate financial
records of each expenditure of the hotel tax funds made by GDAC. These funds are
required to be classified as restricted funds for audited financial purposes, and may not be
used for contracted services, including, but not limited to, auditing fees or attorney fees.
Upon reasonable advance written request of the Denton City Council, the City Manager or
designate, or any other person, GDAC shall make such financial records available for
inspection and review by the party making the request. GDAC understands and accepts that
all such financial records, and any other records relating to this Agreement shall be subject
to the Texas Public Information Act, TEX. GOY'T CODE, ch. 552, as hereafter amended.
3.4 Quarterly Reports. After initial receipt of hotel tax funds, and within thirty days
after the end of every contract quarter, GDAC shall furnish to CITY: (1) a completed
financial report, (2) a list of the expenditures or copies of the invoices or receipts made with
regard to hotel tax funds pursuant to TEX. TAX CODE 9351.1 DI(c), and (3) a copy of all
financial records (e.g., copies affront and back cleared checks or bank statements, and other
relevant documentation). GDAC shall prepare and deliver all reports in a form and manner
approved by the City Manager or designate. GDAC shall respond promptly to any request
from the City Manager of CITY, or designate, for additional information relating to the
activities performed under this Agreement.
GDAC PY2006 HOT Funds Contract - Page 4
3.5 Notice of Meetings. GDAC shall give the City Manager of CITY, or his
designate, reasonable advance written notice of the time and place of all meetings of
GDAC's Board of Directors, as well as any other meeting of any constituency of GDAC, at
which this Agreement or any matter subject to this Agreement shall be considered.
IV. TERM AND TERMINATION
4.1 Term. The term of this Agreement shall commence on January 1, 2006, and
terminate at midnight on January 31, 2007. However, the program period shall commence
on January 1, 2006 and terminate at midnight on December 31, 2006. Only those
expenditures authorized by Chapter 351 of the Texas Tax Code and the program guidelines,
which are actually incurred during the program period, for events and activities taking place
within the program period, are eligible for funding under this agreement, and any ineligible
expenditures or unspent funds shall be forfeited to CITY upon termination of the
Agreement.
4.2 Termination Without Cause.
(a) This Agreement may be terminated by either party, with or without cause, by
giving the other party sixty (60) days advance written notice.
(b) In the event this contract is terminated by either party pwsuant to Section
4.2(a), CITY agrees to reimburse GDAC for any contractual obligations undertaken by
GDAC in satisfactory performance of those activities specified in ~~2.1 and 2.2 above,
and that were approved by the Council through the budget, as noted in ~3.1. This
reimbursement is conditioned upon such contractual obligations having been incurred and
entered into in the good faith performance of those services contemplated in ~~2.1 and
2.2 above, and further conditioned upon such contractual obligations having a term not
exceeding the full tenn of this Agreement. Notwithstanding any provision hereof to the
contrary, the obligation of CITY to reimburse GDAC, or to assume the performance of
any contractual obligations of GDAC, for or under any contract entered into by GDAC as
contemplated herein, shall not exceed 66 2/3% of the current quarterly payment.
(c) Further, upon termination pursuant to ~4.2(a), GDAC will provide CITY: I)
Within 10 business days from the temlination notification, a short-term budget of
probable expenditures for the remaining 60 day period between termination notification
and contract termination. This budget will be presented to Council for approval within
10 business days after receipt by CITY. If formal approval is not given within 10
business days, the budget does not contain any expenditures that would be prohibited by
the Texas Tax Code, and is within the current contractual period approved budget, the
budget will be considered approved; 2) Within 30 days, a full accounting of all
expenditures not previously audited by CITY; 3) Within 5 business days of a request
from CITY, a listing of expenditures that have occurred since the last required reporting
period; 4) a final accounting of all expenditures and tax funds on the day of termination.
GDAC will be obligated to return any unused funds, or funds determined to be used
improperly. Any use of remaining funds by GDAC after notification of termination is
conditioned upon such contractual obligations having been incurred and entered into in
GDAC PY2006 HOT Funds Contract - Page 5
the good faith performance of those services contemplated in 2.1 and 2.2 above, and
further conditioned upon such contractual obligations having a term not exceeding the
full term of this Agreement.
4.3 Automatic Termination. This Agreement shall automatically terminate upon the
occurrence of any of the following events:
(a) The termination of the legal existence ofGDAC~
(b) The insolvency of GDAC, the filing of a petition in bankruptcy, either
voluntarily or involuntarily, or an assignment by GDAC for the benefit of creditors~
(c) The continuation of a breach of any of the terms or conditions of this Agreement
by either CITY or GDAC for more than thirty (30) days after written notice of such breach
is given to the breaching party by the other party~ or
(d) The failure ofGDAC to submit a financial quarterly report which complies with
the reporting procedures required herein and generally accepted accounting principles prior
to the beginning of the next contract term, or quarterly as required by Section 1.3 hereof.
4.4 Right to Immediate Termination Upon Litigation. Notwithstanding any other
provision of this Agreement, to mitigate damages and to preserve evidence and issues for
judicial determination, either party shall have the right to terminate this Agreement upon
immediate notice to the other party in the event that any person has instituted litigation
concerning the activities of the non-terminating party, and the terminating party reasonably
believes that such activities are required or prohibited under this Agreement.
4.5 In the event that this Agreement is terminated pursuant to -,r-,r4.3 or 4.4, GDAC
agrees to refund any and all unused funds, or funds determined by CITY to have been
used improperly, within 30 days after termination of this Agreement.
v. GENERAL PROVISIONS
5.1 Subcontract for Performance of Services. Nothing in this Agreement shall
prohibit, nor be construed to prohibit, the agreement by GDAC with another private entity,
person, or organization for the performance of those services described in -,rZ.l above. In the
event that GDAC enters into any arrangement, contractual or otherwise, with such other
entity, person or organization, GDAC shall cause such other entity, person, or organization
to adhere to, conform to, and be subject to all provisions, terms, and conditions of this
Agreement and to TEX. TAX CODE ch. 351, including reporting requirements, separate funds
maintenance, and limitations and prohibitions pertaining to expenditure of the agreed
payments and hotel tax funds.
5.2 Independent Contractor. GDAC shall operate as an independent contractor as to
all services to be performed under this Agreement and not as an officer, agent, servant, or
employee of CITY. GDAC shall have exclusive control of its operations and performance
of services hereunder, and such persons, entities, or organizations performing the same, and
GDAC PY2006 HOT Funds Contract - Page 6
GDAC shall be solely responsible for the acts and omissions of its directors, officers,
employees, agents, and subcontractors. GDAC shall not be considered a partner or joint
venturer with CITY, nor shall GDAC be considered, nor in any manner hold itself out as, an
agent or official representative of CITY.
5.3 Indemnification. GDAC AGREES TO INDEMNIFY, HOLD HARMLESS,
AND DEFEND CITY, ITS OFFICERS, AGENTS, AND EMPLOYEES FROM AND
AGAINST ANY AND ALL CLAIMS OR SUITS FOR INJURIES, DAMAGE, LOSS,
OR LIABILITY, OF WHATEVER KIND OR CHARACTER, ARISING OUT OF
OR IN CONNECTION WITH THE PERFORMANCE BY GDAC OF THOSE
SERVICES CONTEMPLATED BY THIS AGREEMENT, INCLUDING ALL SUCH
CLAIMS OR CAUSES OF ACTION BASED UPON COMMON,
CONSTITUTIONAL OR STATUTORY LAW, OR BASED, IN WHOLE OR IN
PART, UPON ALLEGATIONS OF NEGLIGENT OR INTENTIONAL ACTS OF
GDAC, ITS OFFICERS, EMPLOYEES, AGENTS, SUBCONTRACTORS,
LICENSEES AND INVITEES.
5.4 Assignment. GDAC shall not assign this Agreement without first obtaining the
written consent of CITY.
5.5 ,Notice. Any notice required to be given under this Agreement or any statute,
ordinance, or regulation, shall be effective when given in writing and deposited in the
United States mail, certified mail, return receipt requested, or by hand-delivery, addressed to
the respective parties as follows:
CITY
GDAC
City of Denton
215 E. McKiImey
Denton, TX 76201
Greater Denton Arts Council
ATTN: Julie Schamberg
207 South Bell
Denton, Texas 76201
5.6 Inurement. This Agreement and each provision hereof, and each and every right,
duty, obligation, and liability set forth herein shall be binding upon and inure to the benefit
and obligation of CITY and GDAC and their respective successors and assigns.
5.7 Application of Laws. All terms, conditions, and provisions of this Agreement are
subject to all applicable federal laws, state laws, the Charter of the City of Denton, all
ordinances passed pursuant thereto, and all judicial determinations relative thereto.
5.8 Exclusive Agreement. This Agreement contains the entire understanding and
constitutes the entire agreement between the parties hereto concerning the subject matter
contained herein. There are no representations, agreements, arrangements, or
understandings, oral or written, express or implied, between or among the parties hereto,
relating to the subject matter of this Agreement, which are not fully expressed herein. The
terms and conditions of this Agreement shall prevail, notwithstanding any variance in this
GDAC PY2006 HOT Funds Contract - Page 7
. '
Agreement from the terms and conditions of any other document relating to this transaction
or these transactions.
5.9 Duplicate Originals. This Agreement is executed in duplicate originals.
5.10 Headings. The headings and subheadings of the various sections and paragraphs of
this Agreement are inserted merely for the purpose of convenience and do not express or
imply any limitation, definition, or extension of the specific terms of the section and
paragraph so designated.
5.11 Severability. If any section, subsection, paragraph, sentence, clause, phrase or word
in this Agreement, or application thereof to any person or circumstance is held invalid by
any court of competent jurisdiction, such holding shall not affect the validity of the
remaining portions of this Agreement, and the parties hereby declare they would have
enacted such remaining portions despite any such invalidity.
5.12 Insurance. GDAC shall, at a minimum, provide insurance as follows:
1. $500,000 Commercial General Liability, or $1,000,000 Event Insurance,
covering all events taking place on City-owned property
2. Statutory Workers' Compensation and Employers' Liability
($100,000/$500,000/$100,000)
3. $250,000 Liquor/Dram Shop Liability for any event occurring on City-
owned property where alcohol will be provided or served
4. $500,000 Business Automobile Liability on any owned, non-owned or hired
vehicles
CITY must be named as an additional insured on all policies (except Workers'
Compensation) and proof of coverage shall be submitted prior to any payment by CITY.
EXECUTED this _ day of
,2005.
THE CITY OF DENTON, TEXAS
By:
EULINE BROCK, MAYOR
GDAC PY2006 HOT Funds Contract - Page 8
, .
ATTEST:
By:
JENNIFER WALTERS,
CITY SECRETARY
BY:~~
resident
ATTEST:
APPROVED AS TO LEGAL FORM:
B~~"-
retary
By:
GDAC PY2006 HOT Funds Contract. Page 9
Greater Denton Arts Council
2006
ADVERTISING
Direct Promotion
Website Salary
$
2,000
12,000
$ 14,000
CONVENTION CENTER
Convention Salary
$
16,000
ART
Exhibitions and Programs
Exhibitions and Programs Salary
Administration Salary
Office Supplies
$ 13,000
20,000
47,000
5,000
$ 85,000
TOTAL BUDGET $ 115,000
Exhibit A
AGENDA INFORMATION SHEET
AGENDA DATE: September 20, 2005
DEPARTMENT: Tax
ACM:
Kathy DuBose
..
SUBJECT
Consider adoption of an ordinance authorizing the Mayor to execute an agreement between the
City of Denton and the Denton County Historical Commission, Inc. for the payment and use of
hotel tax revenue; and providing an effective date.
BACKGROUND
This agency is recommended to receive funding from the Hotel Occupancy Tax funds. This
contract is for a one-year term beginning January 1, 2006, through midnight December 31, 2006.
Allocations are dependent upon requests for funding, as well as availability of revenues.
PRIOR ACTIONIREVIEW
The Hotel Occupancy Tax Committee reviewed all budget applications and recommended
allocations to Council during the Council Work Session on August 8, 2005.
FISCAL INFORMATION
The Hotel Occupancy Tax allocation for this agency is $12,500 for FY 2005-06 and has been
included in the Annual Program of Services.
Diana G. Ortiz
Director of Fiscal Operations
S:\OUf Documents\Ordinances\05\HOT\HistoricaI Commission.doc
ORDINANCE NO.
AN ORDINANCE AUTHORIZING THE MAYOR TO EXECUTE AN AGREEMENT
BETWEEN THE CITY OF DENTON AND THE DENTON COUNTY HISTORICAL
COMMISSION, INC. FOR THE PAYMENT AND USE OF HOTEL TAX REVENUE; AND
PROVIDING AN EFFECTIVE DATE.
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION I. That the Mayor is hereby authorized to execute an agreement between the
City of Denton and the Denton County Historical Commission for the payment and use of hotel
tax revenue, under the terms and conditions contained in the agreement, a copy of which is
attached hereto and made a part hereof.
SECTION II. That this ordinance shall become effective immediately upon its passage
and approval.
PASSED AND APPROVED this the
day of
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDE;R,.-GI-T Y
..,",....,,_..-
AGREEMENT BETWEEN THE CITY OF DENTON AND
THE DENTON COUNTY HISTORICAL COMMISSION, INC., FOR THE PAYMENT
AND USE OF HOTEL TAX REVENUE IN SUPPORT OF THE DENTON COUNTY
HISTORICAL COMMISSION~ INC. (pY2006)
THIS AGREEMENT is made between the City of Denton, Texas, a municipal corporation
(the "CITY"), and THE DENTON COUNTY mSTORICAL COMMISSION, INC., a legal
entity incorporated under the laws of the State of Texas (the "DCHC"):
WHEREAS, TEX. TAX CODE ~351.002 authorizes CITY to levy by ordinance a municipal
hotel occupancy tax ("hotel tax") not exceeding seven percent (7%) of the consideration paid by a
hotel occupant; and
WHEREAS, by ordinance, CITY has provided for the assessment and collection of a
municipal hotel occupancy tax in the City of Denton of seven percent (7%); and
WHEREAS, TEX. TAX CODE ~351.101(a) authorizes CITY to use revenue from its
municipal hotel occupancy tax to promote tourism and the convention and hotel industry, by
advertising and conducting solicitations and promotional programs to attract tourists and convention
delegates or registrants to the municipality or its. vicinity; and
WHEREAS, DCHC is well equipped to perform those activities; and
WHEREAS, TEX. TAX CODE g351.101(c) authorizes CITY to delegate by contract with
DCHC, as an independent entity, the management and supervision of programs and activities of the
type described hereinabove funded with revenue from the municipal hotel occupancy tax;
NOW, THEREFORE, in consideration of the performance of the mutual covenants and
promises contained herein, CITY and DCHC agree and contract as follows:
I. HOTEL TAX REVENUE PAYMENT
1.1 Consideration. For and in consideration of the activities to be performed by DCHC under
this Agreement, CITY agrees to pay to DCHC a portion of the hotel tax revenue collected by CITY
at the rates and in the manner specified herein (such payments by CITY to DCHC sometimes herein
referred to as the "agreed payments" or "hotel tax funds").
1.2 Amount of Payments.
(a)
meanmgs:
As used in this Agreement, the following terms shall have the following specific
(i) The term "hotel tax revenue" shall mean the gross monies collected and
received by CITY as municipal hotel occupancy tax at the rate of seven percent (7%) of
the price paid for a room in a hotel, pursuant to Texas Tax Code 351.002 and City
HOT Funds PY2006 Denton County Historical Conunission - Page 1
Ordinance. Hotel tax revenue will include penalty and interest related to the late
payments of the tax revenue by the taxpayer.
(ii) The term "Collection period" will mean the collection period for CITY's
fiscal year. It will include hotel tax revenue due to CITY for the relevant fiscal year and
collected through the 22nd day of the month following the close of the relevant fiscal year.
(iii) The term "base payment amount" shall mean a net amount of money equal
to the total hotel tax revenue collected by CITY during any relevant period of time (i.e.,
fiscal year or fiscal quarter), less: (1) attorney and auditing costs incurred during such
relevant period of time for costs of collection or auditing of hotel taxpayers (attorney and
auditing costs include fees paid to attorneys or agents not in the regular employ of CITY for
which attorneys or agents effect compliance or collection of the hotel tax from taxpayers);
and, (2) court costs and other expenses incurred in litigation against, or auditing of, such
taxpayers.
(iv) The term "contract quarter" shall refer to any quarter of the calendar year in
which this Af"eement is in force. Contract quarters will end on March 31 S\ June 30th,
September 30t , and December 31 st of each contract year.
(b) In return for satisfactory performance of the activities set forth in this Agreement
and all attachments hereto, CITY shall pay to DCHC an amount of money in each contract year
equal to the lesser amount of: One and Sixteen One Hundredths percent (1.16%) of the annual
base payment amount, or the fixed contract amount of Twelve Thousand Five Hundred Dollars
($12,500). This amount will be divided into quarterly payments equal to 25% ofthe annual fixed
contract amount, unless CITY can show with reasonable certainty that the annual base payment
amount will be less than originally estimated for the fiscal year. The fourth quarterly payment
will represent 25% of the fixed contract amount or the unpaid remainder of 1.16% of the base
payment amount, whichever is less. Each quarterly payment is subj ect to receipt of unused funds
from the prior contract period and the receipt of the required quarterly reports.
1.3 Dates of Payments.
(a) The term "quarterly payments" Sl1all mean payments by CITY to DCHC of those
amounts specified in ~1.2, above, as determined by the hotel tax revenue collected.
(b) Each quarterly payment shall be paid upon receipt of the required reports and after the
25th day following the last day of the contract quarter. If the quarterly fmancial report is not
received within thirty (30) days of the end of the applicable contract quarter, the recipient may be
held in breach of this Agreement. CITY may withhold the quarterly payment(s) until the
appropriate reports are received and approved, which approval shall not be unreasonably withheld.
1.4 Other limitations regarding consideration.
(a) The funding of this project in no way commits CITY to future funding of this program
beyond the current contract period. Any future funding is solely the responsibility ofDCHC.
HOT Funds PY2006 Denton County Historical Commission - Page 2
(b) It is expressly understood that this contract in no way obligates the General Fund or any
other monies or credits of CITY.
(c) CITY may withhold further allocations if CITY determines that DCHC expenditures
deviate materially from their approved budget.
II. USE OF HOTEL TAX REVENUE
2.1 Use of Funds. For and in consideration of the payment by CITY to DCHC of the agreed
payments of hotel tax funds specified above, DCHC agrees to use such hotel tax funds only for
advertising and conducting solicitations and promotional programs to attract tourists and convention
delegates or registrants to the municipality or its vicinity, as well as activities to encourage tourists
and convention delegates to visit preserved historic sites and museums, as authorized by TEx. TAX
CODE ~351.101(a)(3) and (a)(5). Funds for any calendar year which are unused by midnight
December 31 st of that year shall be refunded to CITY within sixty (60) days.
2.2 Administrative Costs. The hotel tax funds received from CITY by DCHC may be spent
for day-to-day operations, office supplies, salaries, travel expenses, and other administrative costs
allowed by TEX. TAX CODE ~351.101(f), only if each such expenditure is directly attributable to
work on programs, which promote tourism and the hotel and convention industry, and promotes at
least one ofthe six statutory purposes enumerated within TEX. TAX CODE ~351.101(a).
2.3 Specific Restrictions on Use of Funds.
(a) DCHC agrees to demonstrate strict compliance with the record keeping and
apportionment limitations imposed by TEX. TAX CODE ~351.101(t) and 9351.108 (c) and (d).
DCHC shall not utilize hotel tax funds for any expenditure which has not been specifically
documented to satisfy the purposes set forth in ~~2.1 and 2.2 above.
(b) Hotel tax funds may not be spent for travel for a person to attend an event or conduct
an activity, the primary purpose of which is not directly related to the promotion of local tourism
and the convention and hotel industry and the performance of the person's job in an efficient and
professional manner.
III. RECORDKEEPING AND REPORTING REQUIREMENTS
3.1 Budget.
(a) DCHC shall prepare and submit to the City Manager of CITY an annual budget (see
Exhibit "A") as approved by the City Council for each calendar year, for such operations of DCHC
in which the hotel tax funds shall be used by DCHC. This budget shall specifically identify
proposed expenditures of hotel tax funds by DCHC. In other words, CITY should be able to audit
specifically the purpose of each individual expenditure of hotel tax funds in the separate account
relating to hotel tax funds. CITY shall not pay to DCHC any hotel tax revenues as set forth in
Section I of this contract during any program year of this Agreement unless a budget for such
HOT Funds PY2006 Denton County Historical Commission - Page 3
respective program year has been approved in writing by the Denton City Council authorizing the
expenditure of funds. Failure to submit an annual budget may be considered a breach of contract,
and if not remedied is considered grounds for tennination of this Agreement as stated in paragraph
4.2. '
(b) DCHC acknowledges that the approval of such budget by the Denton City Council
creates a fiduciary duty in DCHC with respect to the hotel tax funds paid by CITY to DCHC under
this Agreement. DCBC shall expend hotel tax funds only in the marmer and for the purposes
specified in this Agreement, TEX. TAX CODE 9351.101(a) and in the budget as approved by CITY.
3.2 Separate Accounts. DCHC shall maihtain any hotel tax funds paid to DCHC by CITY in
a separate account or with segregated fund accounting, such that any reasonable person can
ascertain the revenue source of any given expenditure.
3.3 Financial Records. DCHC shall maintain complete and accurate financial records of
each expenditure of the hotel tax funds made by DCHC. These funds are required to be classified
as restricted funds for audited [mancial purposes, and may not be used for contracted services,
including, but not limited to, auditing fees or attorney fees. Upon reasonable advance written
request of the Denton City Council, the City Manager or designate, or any other person, DCHC
shall make such [mancial records available for inspection and review by the party making the
request. DCHC understands and accepts that all such financial records, and any other records
relating to this Agreement shall be subject to the Public Information Act, TEX. GOy'T CODE, ch.
552, as hereafter amended.
3.4 Quarterly Reports. After initial receipt of hotel tax funds, and within thirty days after the
end of every contract quarter, DCHC shall furnish to CITY: (1) a completed [mancial report, (2) a
list of the expenditures or copies of the invoices or receipts made with regard to hotel tax funds
pursuant to TEX. TAX CODE 9351.101(c), and (3) a copy of all financial records (e.g., front and back
copies of cleared checks or bank statements, and other relevant documentation), DCHC shall
prepare and deliver all reports in a form and manner approved by the City Manager or designate.
DCHC shall respond promptly to any request from the City Manager of CITY, or designate, for
additional information relating to the activities performed under this Agreement.
3.5 Notice of Meetings. DCHC shall give the City Manager of CITY, or his designate,
reasonable advance written notice of the time and place of all meetings of DCHC Boards of
Directors, as well as any other meeting of any constituency of DCHC, at which this Agreement or
any matter subject to this Agreement shall be considered.
IV. TERM AND TERMINATION
4.1 Term. The term of this Agreement shall commence on January 1, 2006 and terminate at
midnight on January 31,2007. However, the program period shall commence on January 1,2006
and terminate at midnight on December 31, 2006. Only those expenditures authorized by Chapter
351 of the Texas Tax Code and the program 'guidelines, which are actually incurred during the
program period, for events and activities taking place within the program period, are eligible for
HOT Funds PY2006 Denton County Historical Commission - Page 4
funding under this agreement, and any ineligible expenditures or unspent funds shall be forfeited to
CITY upon termination of the Agreement.
4.2 Termination Without Cause.
(a) This Agreement may be terminated by either party, with or without cause, by giving
the other party sixty (60) days advance written notice.
(b) In the event this contract is terminated by either party pursuant to Section 4.2(a),
CITY agrees to reimburse DCHC for any contractual obligations of DCHC undertaken by
DCHC (or permitted subcontractor) in satisfactory performance of those activities specified in
~~2.1 and 2.2 above, and that were approved by the Council through the budget, as noted in ~3 .1.
This reimbursement is conditioned upon such contractual obligations having been incurred and
entered into in the good faith performance ofthose services contemplated in ~~2.1 and 2.2 above,
and further conditioned upon such contractual obligations having a term not exceeding the full
term of this Agreement. Notwithstanding any provision hereof to the contrary, the obligation of
CITY to reimburse DCHC, or to assume the performance of any contractual obligations of
DCHC, for or under any contract entered into by DCHC as contemplated herein, shall not exceed
662/3% of the current quarterly payment.
(c) Further, upon termination pursuant to ~4.2(a), DCHC will provide CITY: 1) Within
10 business days from the termination notification, a short":term budget of probable expenditures
for the remaining 60 day period between termination notification and contract termination. This
budget will be presented to Council for approval within 1 0 business days after receipt by CITY.
If formal approval is not given within 1 0 business days, the budget does not contain any
expenditures that would be prohibited by the Texas Tax Code, and is within the current
contractual period approved budget, the budget will be considered approved; 2) Within 30 days,
a full accounting of all expenditures not previously audited by CITY; 3) Within 5 business days
of a request from CITY, a listing of expenditures that have occurred since the last required
reporting period; and, 4) a final accounting of all expenditures and tax funds on the day of
termination. DCHC will be obligated to return any unused funds, or funds determined to be used
improperly. Any use of remaining funds by DCHC after notification of termination is
conditioned upon such contractual obligations having been incurred and entered into in the good
faith performance of those services contemplated in 2.1 and 2.2 above, and further conditioned
upon such contractual obligations having a term not exceeding the full term ofthis Agreement.
4.3 Automatic Termination. This Agreement shall automatically terminate upon the
occurrence of any ofthe following events:
(a) The termination ofthe legal existence ofDCHC;
(b) The insolvency of DCHC, the filing of a petition in bankruptcy, either voluntarily or
involuntarily, or an assignment by DCHC for the benefit of creditors;
HOT Funds PY2006 Denton County Historical Commission - Page 5
(c) The continuation ofa breach of any: of the terms or conditions of this Agreement by any
party for more than thirty (30) days after written notice of such breach is given to the breaclting
party by the other party; or
(d) The failure of DCHC to submit a'financial quarterly report which complies with the
reporting procedures required herein and generally accepted accounting principles prior to the
beginning of the next contract term, or quarterly as required by Section 1.3 hereof.
4.4 Right to Immediate Termination Upon Litigation. Notwithstanding any other provision
of this Agreement, to mitigate damages and to preserve evidence and issues for judicial
detemlination, either party shall have the right to terminate this Agreement upon immediate notice
to the other party in the event that any person has instituted litigation concerning the activities of the
non-temlinating party, and the terminating party reasonably believes that such activities are required
or prohibited under this Agreement.
4.5 In the event that this Agreement is terminated pursuant to -,r-,r4.3 or 4.4, DCHC agrees to
refund any and all unused funds, or funds determined by CITY to have been used improperly,
within 30 days after termination of this Agreement.
v. GENERAL PROVISIONS
5.1 Subcontract for Performance of Services. Nothing in this Agreement shall prohibit, nor
be construed to prohibit, the agreement by DCHC with another private entity, person, or
organization for the performance of those services described in -,r2.1 above. In the event that DCHC
enters into any arrangement, contractual or otherwise, with such other entity, person or organization,
DCHC shall cause such other entity, person, or organization to adhere to, conform to, and be subject
to all provisions, terms, and conditions of this Agreement and to TEX. TAX CODE ch. 351, including
reporting requirements, separate funds maintenance, and limitations and prohibitions pertaining to
expenditure of the agreed payments and hotel tro:: funds.
5.2 Independent Contractor. DCHC shall operate as an independent contractor as to all
services to be performed under this Agreement, and not as an officer, agent, servant, or employee of
CITY. DCHC shall have exclusive control of it~ operations and performance of services hereunder,
and such persons, entities, or organizations perfomling the same, and DCHC shall be solely
responsible for the acts and omissions of' its directors, officers, employees, agents, and
subcontractors. DCHC shall not be considered a partner or joint venturer with CITY, nor shall
DCHC be considered, nor in any manner hold itself out as, an agent or official representative of
CITY.
5.3 Indemnification. TO THE EXTENT AUTHORIZED BY LAW, DCHC AGREES TO
INDEMNIFY, HOLD HARMLESS, AND DEFEND CITY, ITS OFF1CERS, AGENTS, AND
EMPLOYEES FROM AND AGAINST ANY AND ALL CLAIMS OR SUITS FOR
INJURIES, DAMAGE, LOSS, OR LIABILITY OF WHATEVER KIND OR CHARACTER,
ARISING OUT OF OR IN CONNECTION WITH THE PERFORMANCE BY DCHC OF
THOSE SERVICES CONTEMPLATED BY TillS AGREEMENT, INCLUDING ALL
SUCH CLAIMS OR CAUSES OF ACTION BASED UPON COMMON,
HOT Funds PY2006 Denton County Historical Commission - Page 6
CONSTITUTIONAL OR STATUTORY LAW, OR BASED, IN WHOLE OR IN PART,
UPON ALLEGATIONS OF NEGLIGENT OR INTENTIONAL ACTS OF DCHC, ITS
OFFICERS, EMPLOYEES, AGENTS, SUBCONTRACTORS, LICENSEES AND
INVITEES.
5.4 Assignment. DCHC shall not assign this Agreement without ftrst obtaining the written
consent of CITY.
5.5 Notice. Any notice required to be given under this Agreement or any statute. ordinance, or
regulation, shall be effective when given in writing and deposited in the United States mail. certifted
mail. return receipt requested, or by hand-delivery, addressed to the respective parties as follows:
CITY
DCHC
City Manager
City of Denton
215 E. McKinney
Denton. TX 76201
Denton County Historical Commission. Inc.
ATTN: Tom Reedy
110 W. Hickory St.
Denton. Texas 76201
5.6 Inurement. This Agreement and each provision hereof, and each and every right. duty.
obligation. and liability set forth herein shall be binding upon and inure to the beneftt and obligation
of CITY and DCHC and their respective successors and assigns.
5.7 Application of Laws. All terms, conditions. and provisions of this Agreement are subject
to all applicable federal laws, state laws, the Charter of the City of Denton, all ordinances passed
pursuant thereto, and all judicial determinations relative thereto.
5.8 Exclusive Agreement. This Agreement contains the entire understanding and constitutes
the entire agreement between the parties hereto concerning the subject matter contained herein.
There are no representations, agreements, arrangements, or understandings, oral or written, express
or implied, between or among the parties hereto, relating to the subject matter of this Agreement,
which are not fully expressed herein. The terms and conditions of this Agreement shall prevail,
notwithstanding any variance in this Agreement from the terms and conditions of any other
document relating to this transaction or these transactions.
5.9 Duplicate Originals. This Agreement is executed in duplicate originals.
5.10 Headings. The headings and subheadings of the various sections and paragraphs of this
Agreement are inserted merely for the purpose of convenience and do not express or imply any
limitation, definition, or extension of the specific terms ofthe section and paragraph so designated.
5.11 Severability. If any section, subsection, paragraph, sentence, clause, phrase or word in this
Agreement, or application thereof to any person or circumstance is held invalid by any court of
competent jurisdiction, such holding shall not affect the validity of the remaining portions of this
Agreement, and the parties hereby declare they would have enacted such remaining portions despite
any such invalidity.
HOT Funds PY2006 Denton County Historical Conunission - Page 7
5.12 Insurance. DCHC shall provide insurance as follows:
1. $500,000 Commercial General Liability, or $1,000,000 Event Insurance, covering
all events taking place on City-owned property
2. Statutory Workers' Compensation and Employers' Liability
($100,000/$500,000/$100,000)
3. $250,000 Liquor/Dram Shop Liability for any event occurring on City-owned
property where alcohol will be provided or served
CITY must be named as an additional insured on all policies (except Workers' Compensation), and
proof of coverage shall be submitted prior to any payment by the CITY.
EXECUTED this _ day of
,2005.
THE CITY OF DENTON, TEXAS
By:
ATTEST:
EULINE BROCK, MAYOR
--_..---_............._---.......~._--
AP.:.~~OVED-As TO LEGAL FORM~
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By:
JENNIFER WALTERS,
CITY SECRETARY
//-
DENTON / COUNTY
COMMISSION, INe.
HISTORICAL
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HOT Funds PY2006 Denton County Historical Commission - Page 8
Denton County Historical Commission
John B. Denton Days
ADVERTISING
Texas Monthly
Texas Highways
True West
AAA Journey
Heritage Quest
Everton's Genealogical Helper
$
8,000
1,460
1,450
1,350
120
120
$
12,500
TOTAL BUDGET $
12,500
Exhibit A
AGENDA INFORMATION SHEET
AGENDA DATE: September 20, 2005
DEPARTMENT: Tax
ACM:
Kathy DuBose
..
SUBJECT
Consider adoption of an ordinance authorizing the Mayor to execute an agreement between the
City of Denton and the Denton Holiday Festival Association, Inc. for the payment and use of
hotel tax revenue; and providing an effective date.
BACKGROUND
This agency is recommended to receive funding from the Hotel Occupancy Tax funds. This
contract is for a one-year term beginning January 1, 2006, through midnight December 31, 2006.
Allocations are dependent upon requests for funding, as well as availability of revenues.
PRIOR ACTIONIREVIEW
The Hotel Occupancy Tax Committee reviewed all budget applications and recommended
allocations to Council during the Council Work Session on August 8, 2005.
FISCAL INFORMATION
The Hotel Occupancy Tax allocation for this agency is $8,000 for FY 2005-06 and has been
included in the Annual Program of Services.
Diana G. Ortiz
Director of Fiscal Operations
S:\Our Documents\Ordinances\05\H0T\holiday festival ord.DOC
ORDINANCE NO.
AN ORDINANCE AUTHORIZING THE MAYOR TO EXECUTE AN AGREEMENT
BETWEEN THE CITY OF DENTON AND THE DENTON HOLIDAY FESTIVAL
ASSOCIATION, INC. FOR THE PAYMENT AND USE OF HOTEL TAX REVENUE; AND
PROVIDING AN EFFECTIVE DATE.
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. That the Mayor is hereby authorized to execute an agreement between the
City of Denton and the Denton Holiday Festival Association, Inc. for the payment and use of
hotel tax revenue, under the terms and conditions contained in the agreement, a copy of which is
attached hereto and made a part hereof.
SECTION 2. That this ordinance shall become effective immediately upon its passage
and approval.
PASSED AND APPROVED this the
day
2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDEB.",_,cr:fV
~..",,--.,.....,..
B
-~\
AGREEMENT BETWEEN THE CITY OF DENTON AND
DENTON HOLIDAY FESTIV AL ASSOCIATION, INC. (pY2006)
PROVIDING FOR THE PAYMENT AND USE OF HOTEL TAX REVENUE
THIS AGREEMENT made between the City of Denton, Texas, a municipal corporation
(the "CITY"), and the Denton Holiday Festival Association, Inc., a legal entity incorporated under
the laws of the State of Texas (the "ASSOCIATION"):
WHEREAS, TEX. TAX CODE g351.002 authorizes CITY to levy by ordinance a municipal
hotel occupancy tax. ("hotel tax") not exceeding seven percent (7%) of the consideration paid by a
hotel occupant; and
WHEREAS, by ordinance, CITY has provided for the assessment and collection of a
municipal hotel occupancy tax in the City of Denton of seven percent (7%); and
WHEREAS, TEX. TAX CODE S351.101(a) authorizes CITY to use revenue from its
municipal hotel occupancy tax to promote tourism and the convention and hotel industry by
advertising and conducting solicitations and promotional programs to attract tourists and convention
delegates or registrants to the municipality or its vicinity; and
WHEREAS, ASSOCIATION is well equipped to perform those activities; and
WHEREAS, TEX. TAX CODE S351.101(c) authorizes CITY to delegate by contract with
ASSOCIATION, as an independent entity, the management and supervision of programs and
activities of the type described hereinabove funded with revenue from the municipal hotel
occupancy tax;
NOW, THEREFORE, in consideration of the performance of the mutual covenants and
promises contained herein, CITY and ASSOCIATION agree and contract as follows:
I. HOTEL TAX REVENUE PAYMENT
1.1 Consideration. For and in consideration of the activities to be performed by
ASSOCIATION under this Agreement, CITY agrees to pay to ASSOCIATION a portion of the
hotel tax: revenue collected by CITY at the rates and in the manner specified herein (such payments
by CITY to ASSOCIA nON sometimes herein referred to as the "agreed payments" or "hotel tax:
funds").
1.2 Amount of Payments.
(a)
meamngs:
As used in this Agreement, the following terms shall have the following specific
(i) The term "hotel tax revenue" shall mean the gross monies collected and
received by CITY as municipal hotel occupancy tax: at the rate of seven percent (7%) of
the price paid for a room in a hotel, pursuant to Texas Tax Code 351.002 and City
Holiday Festival HOT Funding PY2006 - Page 1
-
Ordinance. Hotel tax revenue will include penalty and interest related to the late
payments of the tax revenue by the taxpayer.
(ii) The term "Collection period" will mean the collection period for CITY's
fiscal year. It will include hotel tax revenue due to CITY for the relevant fiscal year and
collected through the 22nd day of the month following the close ofthe relevant fiscal year.
(iii) The term "base pa}1l1ent amount" shall mean a net amount of money equal
to the total hotel tax revenue collected by CITY during fiscal year 2005, less: (1) attorney
and auditing costs incurred during such period for costs of collection or auditing of hotel
taxpayers (attorney and auditing costs include fees paid to attorneys or agents not in the
regular employ of CITY for which attorneys or agents effect compliance or collection of the
hotel tax from taxpayers); and (2) court costs and other expenses incurred in litigation
against, or auditing of, such taxpayers.
(iv) The term "contract quarter" shall refer to any quarter of the calendar year in
which this Afeement is in force. Contract quarters will end on March 31S\ June 30th,
September 30t , and December 31 sl of each contract year.
(b) In return for satisfactory performance of the activities set forth in this Agreement
and all attachments hereto, CITY shall pay to ASSOCIATION an amount of money in each
contract year equal to the lesser amount of Seventy-Four One Hundredths percent (0.74%) ofthe
annual base payment amount, or the fixed contract amount of Eight Thousand Dollars ($8,000).
This amount will be paid in one lump sum on or before July 25, 2005.
1.3 Dates of Payments.
(a) The term "payments" shall mean payments by CITY to ASSOCIATION of those
amounts specified in '[1.2, above, as determined by the hotel tax revenue collected.
(b) Each quarterly payment shall be paid upon receipt of the required reports and after the
25111 day following the last day of the contract quarter. If the quarterly financial report is not received
within thirty (30) days of the end of the applicable contract quarter, the recipient may be held in
breach of this Agreement. CITY may withhold the quarterly payment(s) until the appropriate reports
are received and approved, which approval shall not be unreasonably withheld.
1.4 Other limitations regarding consideration.
(a) The funding of this project in no way commits CITY to future funding of this program
beyond the current contract period. Any future funding is solely the responsibility of
ASSOCIATION.
(b) It is expressly understood that this contract in no way obligates the General Fund or any
other monies or credits of CITY.
Holiday Festival HOT Funding PY2006 - Page 2
(c) CITY may withhold further allocations if CITY determines that ASSOCIATION's
expenditures deviate materially from their approved budget.
II. USE OF HOTEL TAX REVENUE
2.1 Use of Funds. For and in consideration of the payment by CITY to ASSOCIATION of the
agreed payments of hotel tax funds specified above, ASSOCIATION agrees to use such hotel tax
funds only for advertising and conducting solicitations and promotional programs to attract tourists
and convention delegates or registrants to the municipality or its vicinity; as authorized by TEX. TAX
CODE ~351.101(a). Funds for any calendar year which are unused by midnight December 31st of
that year shall be refunded to CITY within sixty (60) days.
2.2 Administrative Costs. The hotel tax funds received from CITY by ASSOCIATION may
be spent for day-to-day operations, office supplies, salaries, travel expenses, and other
administrative costs allowed by TEX. TAX CODE 351.101(f), and only if each such expenditure is
directly attributable to work on programs which promote tourism and the hotel and convention
industry, and promotes at least one of the six statutory purposes enumerated within TEX. TAX
CODE 351. 101 (a).
2.3 Specific Restrictions on Use of Funds.
(a) That portion of total administrative costs of ASSOCIATION for which hotel tax
funds may be used shall not exceed that portion of ASSOCIATION's administrative costs actually
incurred in conducting the activities specified in ~2.1 above.
(b) Hotel tax funds may not be spent for travel for a person to attend an event or conduct
an activity, the primary purpose of which is not directly related to the promotion of local tourism
and the convention and hotel industry and the performance of the person's job in an efficient and
professional manner.
III. RECORDKEEPING AND REPORTING REQUIREMENTS
3.1 Budget.
(a) ASSOCIATION shall prepare and submit to the City Manager of CITY an annual
budget (see Exhibit "An) as approved by the City Council for each calendar year, for such
operations of ASSOCIATION in which the hotel tax funds shall be used by ASSOCIATION. This
budget shall specifically identify proposed expenditures of hotel tax funds by ASSOCIATION. In
other words, CITY should be able to audit specifically the purpose of each individual expenditure of
hotel tax funds from the separate account relating to hotel tax. CITY shall not pay to
ASSOCIATION any hotel tax revenues as set forth in Section I of this contract during any program
year of this Agreement unless a budget for such respective program year has been approved in
writing by the Denton City Council authorizing the expenditure of funds. Failure to submit an
annual budget may be considered a breach of contract, and if not remedied is considered grounds for
termination of this Agreement as stated in paragraph 4.2.
Holiday Festival HOT Funding PY2006 - Page 3
(b) ASSOCIATION acknowledges that the approval of such budget by the Denton City
Council creates a fiduciary duty in ASSOCIATION with respect to the hotel tax funds paid by
CITY to ASSOCIATION under this Agreement. ASSOCIATION shall expend hotel tax funds
only in the manner and for the purposes specified in this Agreement, TEx. TAX CODE 9351.101(a)
and in the budget as approved by CITY.
3.2 Separate Accounts. ASSOCIATION shall maintain any hotel tax funds paid to
ASSOCIATION by CITY in a separate account or with segregated fund accounting, such that any
reasonable person can ascertain the revenue source of any given expenditure.
3.3 Financial Records. ASSOCIATION shall maintain complete and accurate financial
records of each expenditure of the hotel tax funds made by ASSOCIATION. These funds are
required to be classified as restricted funds for audited financial purposes, and may not be used for
contracted services, including, but not limited to, auditing fees or attorney fees. Upon reasonable
advance written request of the Denton City Council, the City Manager or designate, or any other
person, ASSOCIATION shall make such financial records available for inspection and review by
the party making the request. ASSOCIATION understands and accepts that all such financial
records, and any other records relating to this Agreement shall be subject to the Texas Public
Information Act, TEX. GOy'T CODE, ch. 552, as hereafter amended.
3.4 Quarterly Reports. After initial receipt of hotel tax funds, and within thirty days after the
end of every quarter thereafter, until all funds have been expended and reported to CITY,
ASSOCIATION shall furnish to CITY: (1) a completed financial report, (2) a list of the
expenditures or copies of the invoices or receipts made with regard to hotel tax funds pursuant to
TEX. TAX CODE 9351.101(c), and (3) a copy of all financial records (e.g., copies of front and back
cleared checks or bank statements, and other relevant documentation). Both the financial and
expenditure reports will be in a form either determined or approved by the City Manager or
designate. ASSOCIATION shall respond promptly to any request from the City Manager of CITY,
or designate, for additional information relating to the activities performed under this Agreement.
3.5 Notice of Meetings. ASSOCIATION shall give the City Manager of CITY, or his
designate, reasonable advance written notice of the time and place of all meetings of
ASSOCIATION's Board of Directors, as well as any other meeting of any constituency of
ASSOCIATION, at which this Agreement or any matter subject to this Agreement shall be
considered.
IV. TERM AND TERMINATION
4.1 Term. The term of this Agreement shall commence on January 1,2006, and terminate at
midnight on January 31,2007. However, the program period shall commence on January 1,2006
and terminate at midnight on December 31, 2006. Only those expenditures authorized by Chapter
351 of the Texas Tax Code and the program guidelines, which are actually incurred during the
program period, for events and activities taking place within the program period, are eligible for
funding under this agreement, and any ineligible expenditures or unspent funds shall be forfeited to
CITY upon termination of the Agreement.
Holiday Festival HOT Funding PY2006 - Page 4
4.2 Termination Without Cause.
(a) This Agreement may be terminated by either party, with or without cause, by giving
the other party sixty (60) days advance written notice.
(b) In the event this contract is terminated by either party pursuant to Section 4.2(a),
CITY agrees to reimburse ASSOCIA nON for any contractual obligations of ASSOCIA nON
undertaken by ASSOCIATION in satisfactory performance of those activities specified in -,r-,r2.1
and 2.2 above, and that were approved by the Council through the budget, as noted in -,r3.1. This
reimbursement is conditioned upon such contractual obligations having been incurred and
entered into in the good faith performance of those services contemplated in ~-,r2.1 and 2.2 above,
and further conditioned upon such contractual obligations having a term not exceeding the full
term of this Agreement. Notwithstanding any provision hereof to the contrary, the obligation of
CITY to reimburse ASSOCIATION, or to assume the performance of any contractual
obligations of ASSOCIATION, for or under any contract entered into by ASSOCIATION as
contemplated herein, shall not exceed 66 2/3% of the current quarterly payment.
(c) Further, upon termination pursuant to ~4.2(a), ASSOCIATION will provide CITY:
1) Within 10 business days from the termination notification, a short-term budget of probable
expenditures for the remaining 60 day period between termination notification and contract
termination. This budget will be presented to Council for approval within 10 business days after
receipt by CITY. If formal approval is not given within 10 business days, and the budget does
not contain any expenditures that would be prohibited by the Texas Tax Code, and is within the
current contractual period approved budget; the budget will be considered approved; 2) Within
30 days, a full accounting of all expenditures not previously audited by CITY; 3) Within 5
business days of a request from CITY, a listing of expenditures that have occurred since the last
required reporting period; 4) a final accounting of all expenditures and tax funds on the day of
termination. ASSOCIATION will be obligated to return any unused funds, or funds determined
to be used improperly. Any use of remaining funds by ASSOCIATION after notification of
termination is conditioned upon such contractual obligations having been incurred and entered
into in the good faith performance of those services contemplated in 2.1 and 2.2 above, and
further conditioned upon such contractual obligations having a term not exceeding the full term
ofthis Agreement.
4.3 Automatic Termination. This Agreement shall automatically terminate upon the
occurrence of any of the following events:
(a) The termination of the legal existence of ASSOCIATION;
(b) The insolvency of ASSOCIATION, the filing of a petition in bankruptcy, either
voluntarily or involuntarily, or an assignment by ASSOCIA nON for the benefit of creditors;
(c) The continuation of a breach of any of the terms or conditions of this Agreement by
either CITY or ASSOCIATION for more than thirty (30) days after written notice of such breach is
given to the breaching party by the other party; or
Holiday Festival HOT Funding PY2006 - Page 5
(d) The failure of ASSOCIATION to submit a financial quarterly report which complies with the
reporting procedures required herein and generally accepted accounting principles prior to the
beginning of the next contract term, or quarterly as required by Section 1.3 hereof.
4.4 Right to Immediate Termination Upon Litigation. Notwithstanding any other provision
of this Agreement, to mitigate damages and to preserve evidence and issues for judicial
determination, either party shall have the right to terminate this Agreement upon immediate notice
to the other party in the event that any person has instituted litigation concerning the activities of the
non-terminating party, and the terminating party reasonably believes that such activities are required
or prohibited under this Agreement.
4.5 In the event that this Agreement is terminated pursuant to ~~4.3 or 4.4, ASSOCIATION
agrees to refund any and all unused funds, or funds determined by CITY to have been used
improperly, within 30 days after termination of this Agreement.
v. GENERAL PROVISIONS
5.1 Subcontract for Performance of Services. Nothing in this Agreement shall prohibit, nor
be construed to prohibit, the agreement by ASSOCIATION with another private entity, person, or
organization for the performance of those services described in ~2.1 above. In the event that
ASSOCIATION enters into any arrangement, contractual or otherwise, with such other entity,
person or organization, ASSOCIATION shall :cause such other entity, person, or organization to
adhere to, conform to, and be subject to all provisions, terms, and conditions of this Agreement and
to TEX. TAX CODE ch. 351, including reporting requirements, separate funds maintenance, and
limitations and prohibitions pertaining to expenditure ofthe agreed payments and hotel tax funds.
5.2 Independent Contractor. ASSOCIATION shall operate as an independent contractor as to
all services to be performed under this Agreement and not as an officer, agent, servant, or employee
of CITY. ASSOCIATION shall have exclusive control of its operations and performance of
services hereunder, and such persons, entities, or organizations performing the same, and
ASSOCIATION shall be solely responsible for the acts and omissions of its directors, officers,
employees, agents, and subcontractors. ASSOCIATION shall not be considered a partner or joint
venturer with CITY, nor shall ASSOCIA TION'be considered, nor in any manner hold itself out as,
an agent or official representative of CITY.
5.3 Indemnification. ASSOCIATION AGREES TO INDEMNIFY, HOLD HARMLESS,
AND DEFEND CITY, ITS OFFICERS, AGENTS, AND EMPLOYEES FROM AND
AGAINST ANY AND ALL CLAIMS OR SUITS FOR INJURIES, DAMAGE, LOSS, OR
LIABILITY OF WHATEVER KIND OR CHARACTER, ARISING OUT OF OR IN
CONNECTION WITH THE PERFORMANCE BY ASSOCIATION OF THOSE
SERVICES CONTEMPLATED BY THIS AGREEMENT, INCLUDING ALL SUCH
CLAIMS OR CAUSES OF ACTION BASED UPON COMMON, CONSTITUTIONAL OR
STATUTORY LAW, OR BASED, IN WHOLE OR IN PART, UPON ALLEGATIONS OF
NEGLIGENT OR INTENTIONAL ACTS OF ASSOCIATION, ITS OFFICERS,
EMPLOYEES, AGENTS, SUBCONTRACTORS, LICENSEES AND INVITEES.
Holiday Festival HOT Funding PY2006 - Page 6
5.4 Assignment. ASSOCIATION shall not assign this Agreement without first obtaining the
written consent of CITY.
5.5 Notice. Any notice required to be given under this Agreement or any statute, ordinance, or
regulation, shall be effective when given in writing and deposited in the United States mail, certified
mail, return receipt requested, or by hand-delivery, addressed to the respective parties as follows:
CITY
ASSOCIATION
City Manager
City of Denton
215 E. McKinney
Denton, TX 76201
Georgia Caraway
Denton Holiday Festival Foundation, Inc.
P.O. Box 2765
Denton, Texas 76202-2765
5.6 Inurement. This Agreement and each provision hereof, and each and every right, duty,
obligation, and liability set forth herein shall be binding upon and inure to the benefit and obligation
of CITY and ASSOCIATION and theirrespective successors and assigns.
5.7 Application of Laws. All terms, conditions, and provisions of this Agreement are subject
to all applicable federal laws, state laws, the Charter of CITY of Denton, all ordinances passed
pursuant thereto, and all judicial determinations relative thereto.
5.8 Exclusive Agreement. This Agreement contains the entire understanding and constitutes
the entire agreement between the parties hereto concerning the subject matter contained herein.
There are no representations, agreements, arrangements, or understandings, oral or written, express
or implied, between or among the parties hereto, relating to the subject matter of this Agreement,
which are not fully expressed herein. The terms and conditions of this Agreement shall prevail,
notwithstanding any variance in this Agreement from the terms and conditions of any other
document relating to this transaction or these transactions.
5.9 Duplicate Originals. This Agreement is executed in duplicate originals.
5.10 Headings. The headings and subheadings of the various sections and paragraphs of this
Agreement are inserted merely for the purpose of convenience and do not express or imply any
limitation, definition, or extension of the specific terms of the section and paragraph so designated.
5.11 Severability. If any section, subsection, paragraph, sentence, clause, phrase or word in this
Agreement, or application thereof to any person or circumstance is held invalid by any court of
competent jurisdiction, such holding shall not affect the validity of the remaining portions of this
Agreement, and the parties hereby declare they would have enacted such remaining portions despite
any such invalidity.
Holiday Festival HOT Funding PY2006 - Page 7
EXECUTED this _ day of
ATTEST:
,2005.
By:
JENNIFER W ALTERS,
CITY SECRETARY
ATTEST:
By:~r~
THE CITY OF DENTON, TEXAS
By:
EULINE BROCK, MAYOR
APPROVED AS TO LEGAL FORM:
DENTON HOLID
ASSOCIATION, INe.
FESTIVAL
.I
/
By: R?~
Chainnan/Director
APPROVED AS TO LEGAL FORM:
By:
Holiday Festival HOT Funding PY2006 - Page 8
Denton Holiday Festival Association, Inc.
Denton Holiday Lighting Festival
ADVERTISING
Newspaper
eVB Coops
$ 5,000
3,000
$ 8,000
TOTAL BUDGET $ 8,000
Exhibit A
AGENDA INFORMATION SHEET
AGENDA DATE: September 20, 2005
DEPARTMENT: Tax
ACM:
Kathy DuBose
..
SUBJECT
Consider adoption of an ordinance authorizing the Mayor to execute an agreement between the
City of Denton and the Central Business District Association of Denton, Texas, dba Denton
Main Street Association for the payment and use of hotel tax revenue; and providing an effective
date.
BACKGROUND
This association is recommended to receive funding from the Hotel Occupancy Tax funds. This
contract is for a one-year term beginning January 1, 2006, through midnight December 31, 2006.
Allocations are dependent upon requests for funding, as well as availability of revenues.
PRIOR ACTIONIREVIEW
The Hotel Occupancy Tax Committee reviewed all budget applications and recommended
allocations to Council during the Council Work Session on August 8, 2005.
FISCAL INFORMATION
The Hotel Occupancy Tax allocation for this agency is $14,000 for FY 2005-06 and has been
included in the Annual Program of Services.
submitted:
4;.-
" .
, ~' :
Diana G. Ortiz
Director of Fiscal Operations
S:\Our Documents\Ordinances\05\H0T\main street ord.doc
ORDINANCE NO.
AN ORDINANCE AUTHORIZING THE MAYOR TO EXECUTE AN AGREEMENT
BETWEEN THE CITY OF DENTON AND THE CENTRAL BUSINESS DISTRICT
ASSOCIATION OF DENTON, TEXAS, d/b/a DENTON MAIN STREET ASSOCIATION
FOR THE PAYMENT AND USE OF HOTEL TAX REVENUE; AND PROVIDING AN
EFFECTIVE DATE.
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. That the Mayor is hereby authorized to execute an agreement between the
City of Denton and the Central Business District Association of Denton, Texas, d/b/a Denton
Main Street Association for the payment and use of hotel tax revenue, under the terms and
conditions contained in the agreement, a copy of which is attached hereto and made a part
hereof.
SECTION 2. That this ordinance shall become effective immediately upon its passage
and approval.
PASSED AND APPROVED this the
day of
, 2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYD~;erTY'ATTORNEY
...-'---
~
AGREEMENT BETWEEN THE CITY OF DENTON AND
THE CENTRAL BUSINESS DISTRICT ASSOCIATION OF DENTON, TEXAS,
d/b/a DENTON MAIN STREET ASSOCIATION (PY2006)
PROVIDING FOR THE PAYMENT AND USE OF HOTEL TAX REVENUE
TillS AGREEMENT made between the City of Denton, Texas, a municipal corporation
(the "CITY"), and the Central Business District Association of Denton, Texas, Inc., a legal entity
incorporated under the laws of the State of Texas (the "ASSOCIATION"):
WHEREAS, TEX. TAX CODE ~351.002 authorizes CITY to levy by ordinance a municipal
hotel occupancy tax ("hotel tax") not exceeding seven percent (7%) of the consideration paid by a
hotel occupant; and
WHEREAS, by ordinance, CITY has provided for the assessment and collection of a
municipal hotel occupancy tax in the City of Denton of seven percent (7%); and
WHEREAS, TEX. TAX CODE ~351.101(a) authorizes CITY to use revenue from its
municipal hotel occupancy tax to promote tourism and the convention and hotel industry by
advertising and conducting solicitations and promotional programs to attract tourists and convention
delegates or registrants to the municipality or its vicinity; and
WHEREAS, ASSOCIATION is well equipped to perform those activities; and
WHEREAS, TEX. TAX CODE ~351.101(c) authorizes CITY to delegate by contract with
ASSOCIATION, as an independent entity, the management and supervision of programs and
activities of the type described hereinabove funded with revenue from the municipal hotel
occupancy tax;
NOW, THEREFORE, in consideration of the performance of the mutual covenants and
promises contained herein, CITY and ASSOCIATION agree and contract as follows:
I. HOTEL TAX REVENUE PAYMENT
1.1 Consideration. For and in consideration of the activities to be performed by
ASSOCIATION under this Agreement, CITY agrees to pay to ASSOCIATION a portion of the
hotel tax revenue collected by CITY at the rates and in the manner specified herein (such payments
by CITY to ASSOCIATION sometimes hereiri referred to as the "agreed payments" or "hotel tax
funds").
1.2 Amount of Payments.
(a)
mearungs:
As used in this Agreement, the following terms shall have the following specific
(i) The term "hotel tax revenue" shall mean the gross monies collected and
received by CITY as municipal hotel occupancy tax at the rate of seven percent (7%) of
the price paid for a room in a hotel, pursuant to Texas Tax Code 351.002 and City
Main Street HOT Funding PY2006 - Page 1
Ordinance. Hotel tax revenue will .include penalty and interest related to the late
payments of the tax revenue by the taxpayer.
(ii) The term "Collection period" will mean the collection period for CITY's
fiscal year. It will include hotel tax revenue due to CITY for the relevant fiscal year and
collected through the 22nd day of the month following the close of the relevant fiscal year.
(iii) The term "base payment amount" shall mean a net amount of money equal
to the total hotel tax revenue collected by CITY during any relevant period of time (i.e.,
fiscal year or fiscal quarter), less (I) attorney and auditing costs incurred during such
relevant period of time for costs of collection or auditing of hotel taxpayers (attorney and
auditing costs include fees paid to attorneys or agents not in the regular employ of CITY for
which attorneys or agents effect compliance or collection of the hotel tax from taxpayers);
and (2) court costs and other expenses incurred in litigation against, or auditing of, such
taxpayers.
(iv) The term "contract quarter" shall refer to any quarter of the calendar year in
which this Areement is in force. Contract quarters will end on March 31st, June 30th,
September 30t , and December 31 st of each contract year.
(b) In return for satisfactory performance of the activities set forth in this Agreement
and all attachments hereto, CITY shall pay to ASSOCIATION an amount of money in each
contract year equal to the lesser amount of: One and Thirty One Hundredths percent (1.30%) of
the annual base payment amount, or the fixed contract amount of Fourteen Thousand Dollars
($14,000). This amount will be divided into quarterly payments equal to 25% of the annual fixed
contract amount, unless CITY can show with reasonable certainty that the annual base payment
amount will be less than originally estimated for the fiscal year. The fourth quarterly payment
will represent 25% of the fixed contract amount or the unpaid remainder of 1.30% of the base
payment amount, whichever is less. Each quarterly payment is subject to receipt of unused funds
from the prior contract period and the receipt of the required quarterly reports.
1.3 Dates of Payments.
(a) The term "quarterly payments" shall mean payments by CITY to ASSOCIATION of
those amounts specified in ~1.2, above, as detennined by the hotel tax revenue collected.
(b) Each quarterly payment shall be paid upon receipt ofthe required reports and after the
25th day following the last day of the contract quarter. If the quarterly financial report is not
received within thirty (30) days of the end of the applicable contract quarter, the recipient may be
held in breach of this Agreement. CITY may withhold the quarterly payment(s) until the
appropriate reports are received and approved, which approval shall not be unreasonably withheld.
1.4 Other limitations regarding consideration.
(a) The funding of this project in no way commits CITY to future funding ofthis program
beyond the current contract period. Any. future funding is solely the responsibility of
ASSOCIATION.
Main Street HOT Funding PY2006 - Page 2
(b) It is expressly understood that this contract in no way obligates the General Fund or any
other monies or credits of CITY.
(c) CITY may withhold further allocations if CITY determines that ASSOCIATION's
expenditures deviate materially from their approved budget.
II. USE OF HOTEL TAX REVENUE
2.1 Use of Funds. For and in consideration of the payment by CITY to ASSOCIATION of the
agreed payments of hotel tax funds specified above, ASSOCIATION agrees to use such hotel tax
funds only for advertising and conducting solicitations and promotional programs to attract tourists
and convention delegates or registrants to the municipality or its vicinity; as authorized by TEX. TAX
CODE ~351.10l(a) (3). Funds for any calendar year which are unused by midnight December 31st of
that year shall be refunded to CITY within sixt~ (60) days.
2.2 Administrative Costs. The hotel tax funds received from CITY by ASSOCIATION may
be spent for day-to-day operations, office supplies, salaries, travel expenses, and other
administrative costs allowed by TEX. TAX CODE 351.101(f), only if each such expenditure is
directly attributable to work on programs which promote tourism and the hotel and convention
industry, and promotes at least one of the six statutory purposes enumerated within TEX. TAX
CODE 35 1. 101 (a).
2.3 Specific Restrictions on Use of Funds.
(a) That portion of total administrative costs of ASSOCIATION for which hotel tax
funds may be used shall not exceed that portion of ASSOCIATION's administrative costs actually
incurred in conducting the activities specified in ~2.1 above.
(b) Hotel tax funds may not be spent for travel for a person to attend an event or conduct
an activity the primary purpose of which is not directly related to the promotion oflocal tourism and
the convention and hotel industry and the performance of the person's job in an efficient and
professional manner.
III. RECORDKEEPING AND REPORTING REQUIREMENTS
3.1 Budget.
(a) ASSOCIATION shall prepare and submit to the City Manager of CITY an annual
budget (see Exhibit "A") as approved by the City Council for each calendar year, for such
operations of ASSOCIATION in which the hotel tax funds shall be used by ASSOCIATION. This
budget shall specifically identify proposed expenditures of hotel tax funds by ASSOCIATION. In
other words, CITY should be able to audit specifically the purpose of each individual expenditure of
hotel tax funds from the separate account relating to hotel tax funds. CITY shall not pay to
ASSOCIATION any hotel tax revenues as set forth in Section I of this contract during any program
year of this Agreement unless a budget for such respective program year has been approved in
writing by the Denton City Council authorizmg the expenditure of funds. Failure to submit an
Main Street HOT Funding PY2006 - Page 3
annual budget may be considered a breach of contract, and if not remedied is considered grounds for
termination ofthis Agreement as stated in paragraph 4.2.
(b ) ASSOCIATION acknowledges that the approval of such budget by the Denton City
Council creates a fiduciary duty in ASSOCIATION with respect to the hotel tax funds paid by
CITY to ASSOCIATION under this Agreement. ASSOCIATION shall expend hotel tax funds
only in the manner and for the purposes specified in this Agreement, TEX. TAX CODE ~351.101(a)
and in the budget as approved by CITY.
3.2 Separate Accounts. ASSOCIA nON shall maintain any hotel tax funds paid to
AS SOCIA TION by CITY in a separate account or with segregated fund accounting, such that any
reasonable person can ascertain the revenue source of any given expenditure.
3.3 Financial Records. ASSOCIATION shall maintain complete and accurate financial
records of each expenditure of the hotel tax funds made by ASSOCIATION. These funds are
required to be classified as restricted funds for audited financial purposes, and may not be used for
contracted services, including, but not limited to, auditing fees or attorney fees. Upon reasonable
advance written request of the Denton City Council, the City Manager or designate, or any other
person, ASSOCIATION shall make such financial records available for inspection and review by
the party making the request. ASSOCIATION understands and accepts that all such financial
records, and any other records relating to this Agreement shall be subject to the Texas Public
Information Act, TEX. Goy'T CODE, ch. 552, as hereafter amended.
3.4 Quarterly Reports. After initial receipt of hotel tax funds, and within thirty days after the
end of every quarter thereafter, until all funds have been expended and reported to CITY,
ASSOCIATION shall furnish to CITY: (I) a completed financial report, (2) a list of the
expenditures or copies of the invoices or receipts made with regard to hotel tax funds pursuant to
TEX. TAX CODE g351.lOl(c), and (3) a copy of all financial records (e.g.. copies of front and back
of cleared checks or bank statements, and other relevant documentation). Both the financial and
expenditure reports will be in a form either determined or approved by the City Manager or
designate. ASSOCIATION shall respond promptly to any request from the City Manager of CITY,
or designate, for additional information relating to the activities performed under this Agreement.
,
3.5 Notice of Meetings. ASSOCIATION shall give the City Manager of CITY, or his
designate, reasonable advance written notice of the time and place of all meetings of
ASSOCIATION's Board of Directors, as well as any other meeting of any constituency of
ASSOCIATION, at which this Agreement or any matter subject to this Agreement shall be
considered.
IV. TERM AND TERMINATION
4.1 Term. The term ofthis Agreement shall conunence on January I, 2006, and terminate at
midnight on January 31, 2007. However, the program period shall conunence on January 1,2006
and terminate at midnight on December 31, 2006. Only those expenditures authorized by Chapter
351 of the Texas Tax Code and the program guidelines, which are actually incurred during the
program period, for events and activities taking place within the program period, are eligible for
Main Street HOT Funding PY2006 - Page 4
funding under this agreement, and any ineligible expenditures or unspent funds shall be forfeited to
CITY upon termination ofthe Agreement.
4.2 Termination Without Cause.
(a) This Agreement may be terminated by either party,.with or without cause, by giving
the other party sixty (60) days advance written notice.
(b) In the event this contract is terminated by either party pursuant to Section 4.2(a),
CITY agrees to reimburse ASSOCIATION for any contractual obligations of ASSOCIATION
undertaken by ASSOCIATION in satisfactory performance of those activities specified in ~~2.1
and 2.2 above, and that were approved by the Council through the budget, as noted in ~3 .1. This
reimbursement is conditioned upon such contractual obligations having been incurred and
entered into in the good faith performance of those services contemplated in ~~2.l and 2.2 above,
and further conditioned upon such contractual obligations having a term not exceeding the full
term of this Agreement. Notwithstanding any provision hereof to the contrary, the obligation of
CITY to reimburse ASSOCIATION or to assume the performance of any contractual obligations
of ASSOCIATION, for or under any contract entered into by the ASSOCIA TIION as
contemplated herein shall not exceed 66 2/3% of the current quarterly payment.
(c) Further, upon termination pursuant to ~4.2(a), ASSOCIATION will provide CITY:
1) Within 10 business days from the termination notification, a short-term budget of probable
expenditures for the remaining 60 day period between termination notification and contract
termination. This budget will be presented to Council for approval within 10 business days after
receipt by CITY. If formal approval is not given within 10 business days, and the budget does
not contain any expenditures that would be prohibited by the Texas Tax Code, and is within the
current contractual period approved budget; the budget will be considered approved; 2) Within
30 days, a full accounting of all expenditures not previously audited by CITY; 3) Within 5
business days of a request from CITY, a listing of expenditures that have occurred since the last
required reporting period; 4) a final accounting of all expenditures and tax funds on the day of
termination. ASSOCIATION will be obligated to return any unused funds, or funds determined
to be used improperly. Any use of remaining funds by the THEATRE after notification of
termination is conditioned upon such contractual obligations having been incurred and entered
into in the good faith performance of those services contemplated in 2.1 and 2.2 above, and
further conditioned upon such contractual obligations having a term not exceeding the full term
of this Agreement.
4.3 Automatic Termination. This Agreement shall automatically terminate upon the
occurrence of any of the following events:
(a) The termination ofthe legal existence of ASSOCIATION;
(b) The insolvency of ASSOCIATION, the filing of a petition in bankruptcy, either
voluntarily or involuntarily, or an assignment by ASSOCIATION for the benefit of creditors;
Main Street HOT Funding PY2006 - Page 5
(c) The continuation of a breach of any of the terms or conditions of this Agreement by
either CITY or ASSOCIATION for more than thirty (30) days after written notice of such breach is
given to the breaching party by the other party; or
(d) The failure of ASSOCIATION to submit a financial quarterly report which complies
with the reporting procedures required herein and generally accepted accounting principles prior to
the beginning of the next contract tenn, or quarterly as required by Section 1.3 hereof.
4.4 Right to Immediate Termination Upon Litigation. Notwithstanding any other provision
of this Agreement, to mitigate damages and to preserve evidence and issues for judicial
determination, either party shall have the right to terminate this Agreement upon immediate notice
to the other party in the event that any person has instituted litigation concerning the activities of the
non-terminating party, and the terminating party reasonably believes that such activities are required
or prohibited under this Agreement.
4.5 In the event that this Agreement is terminated pursuant to ~~4.3 or 4.4, ASSOCIATION
agrees to refund any and all unused funds, or funds determined by CITY to have been used
improperly, within 30 days after termination of this Agreement.
v. GENERAL PROVISIONS
5.1 Subcontract for Performance of Services. Nothing in this Agreement shall prohibit, nor
be construed to prohibit, the agreement by ASSOCIATION with another private entity, person, or
organization for the performance of those services described in ~2.1 above. In the event that
ASSOCIATION enters into any arrangement, contractual or otherwise, with such other entity,
person or organization, ASSOCIATION shall cause such other entity, person, or organization to
adhere to, conform to, and be subject to all provisions, terms, and conditions of this Agreement and
to TEX. TAX CODE ch. 351, including reporting requirements, separate funds maintenance, and
limitations and prohibitions pertaining to expenditure of the agreed payments and hotel tax funds.
5.2 Independent Contractor. ASSOCIATION shall operate as an independent contractor as to
all services to be performed under this Agreement and not as an officer, agent, servant, or employee
of CITY. ASSOCIATION shall have exclusive control of its operations and performance of
services hereunder, and such persons, entities, or organizations performing the same, and
ASSOCIATION shall be solely responsible for the acts and omissions of its directors, officers,
employees, agents, and subcontractors. ASSOCIATION shall not be considered a partner or joint
venturer with CITY, nor shall ASSOCIA TIONbe considered, nor in any manner hold itself out as,
an agent or official representative of CITY.
5.3 Indemnification. THE THEATRE AGREES TO INDEMNIFY, HOLD HARMLESS,
AND DEFEND CITY, ITS OFFICERS, AGENTS, AND EMPLOYEES FROM AND
AGAINST ANY AND ALL CLAIMS OR SUITS FOR INJURIES, DAMAGE, LOSS, OR
LIABILITY OF WHATEVER KIND OR CHARACTER, ARISING OUT OF OR IN
CONNECTION WITH THE PERFORMANCE BY THE THEATRE OF THOSE
SERVICES CONTEMPLATED BY THIS AGREEMENT, INCLUDING ALL SUCH
CLAIMS OR CAUSES OF ACTION BASED UPON COMMON, CONSTITUTIONAL OR
STATUTORY LAW, OR BASED, IN WHOLE OR IN PART, UPON ALLEGATIONS OF
Main Street HOT Funding PY2006 - Page 6
NEGLIGENT OR INTENTIONAL ACTS OF THEATRE, ITS OFFICERS, EMPLOYEES,
AGENTS, SUBCONTRACTORS, LICENSEES AND INVITEES.
5.4 Assignment. ASSOCIA nON shall not assign this Agreement without first obtaining the
written consent of CITY.
5.5 Notice. Any notice required to be given under this Agreement or any statute, ordinance, or
regulation, shall be effective when given in writing and deposited in the United States mail, certified
mail, return receipt requested, or by hand-delivery, addressed to the respective parties as follows:
CITY
ASSOCIATION
City Manager
City of Denton
215 E. McKinney
Denton, TX 76201
Denton Main Street Association
A TTN: Christine Gossett
101 S. Locust, Ste. #500
Denton, Texas 76201
5.6 Inurement. This Agreement and each provision hereof, and each and every right, duty,
obligation, and liability set forth herein shall be binding upon and inure to the benefit and obligation
of CITY and ASSOCIATION and their respective successors and assigns.
5.7 Application of Laws. All tenns, conditions, and provisions of this Agreement are subject
to all applicable federal laws, state laws, the Charter of the City of Denton, all ordinances passed
pursuant thereto, and all judicial detenninations relative thereto.
5.8 Exclusive Agreement. This Agreement contains the entire understanding and constitutes
the entire agreement between the parties hereto concerning the subject matter contained herein.
There are no representations, agreements, arrangements, or understandings, oral or written, express
or implied, between or among the parties hereto, relating to the subject matter of this Agreement,
which are not fully expressed herein. The terms and conditions of this Agreement shall prevail,
notwithstanding any variance in this Agreement from the terms and conditions of any other
document relating to this transaction or these transactions.
5.9 Duplicate Originals. This Agreement is executed in duplicate originals.
5.10 Headings. The headings and subheadings of the various sections and paragraphs of this
Agreement are inserted merely for the purpose of convenience and do not express or imply any
limitation, definition, or extension of the specific terms of the section and paragraph so designated.
5.11 Severability. If any section, subsection, paragraph, sentence, clause, pluase or word in this
Agreement, or application thereof to any person or circumstance is held invalid by any court of
competent jurisdiction, such holding shall not ~ffect the validity of the remaining portions of this
Agreement, and the parties hereby declare they would have enacted such remaining portions despite
any such invalidity.
Main Street HOT Funding PY2006 - Page 7
5.12 Insurance. ASSOCIATION shall provide insurance as follows:
1. $500,000 Commercial General Liability, or $1,000,000 Event Insurance, covering
all events taking place on City-owned property
2. Statutory Workers' Compensation and Employers' Liability
($100,000/$500,000/$100,000)
3. $250,000 Liquor/Dram Shop Liability for any event occurring on City-owned
property where alcohol will be provided or served
CITY must be named as an additional insured on all policies (except Workers' Compensation), and
proof of coverage shall be submitted prior to any payment by the CITY.
EXECUTED this _ day of
, 2005.
THE CITY OF DENTON, TEXAS
By:
EULINE BROCK, MAYOR
ATTEST:
APPROVED ASTQ-l:;E(JA:I::;
----
By:
JENNIFER WALTERS,
CITY SECRETARY
DISTRICT
TEXAS, INC.
By:
ATTEST:
APPROVED AS TO LEGAL FORM:
By:
Secretary
By:
Main Street HOT Funding PY2006 - Page 8
Exhibit A
Denton Main Street Association
Dog Days of Summer
Arts Antiques & Autos
Retial Tourism
ADVERTISING
Brochures
Dog Days $ 800
AA&A 800
Walking Tour 600
Print Advertising
Dog Days $ 1,700
AA&A 2,400
Retail Tourism 1,500
Radio
Dog Days $ 300
AA&A 300
Visitor Guide $ 5,600
$ 14,000
TOTAL BUDGET $ 14,000
AGENDA INFORMATION SHEET
AGENDA DATE: September 20, 2005
DEPARTMENT: Tax
ACM:
Kathy DuBose
..
SUBJECT
Consider adoption of an ordinance authorizing the Mayor to execute an agreement between the
City of Denton and the North Texas State Fair Association for the payment and use of hotel tax
revenue; and providing an effective date.
BACKGROUND
This agency is recommended to receive funding from the Hotel Occupancy Tax funds. This
contract is for a one-year term beginning January 1, 2006, through midnight December 31, 2006.
Allocations are dependent upon requests for funding, as well as availability of revenues.
PRIOR ACTIONIREVIEW
The Hotel Occupancy Tax Committee reviewed all budget applications and recommended
allocations to Council during the Council Work Session on August 8, 2005.
FISCAL INFORMATION
The Hotel Occupancy Tax allocation for this agency is $60,000 for FY 2005-06 and has been
included in the Annual Program of Services.
Diana G. Ortiz
Director of Fiscal Operations
S:\Our Documents\Ordinances\05\H01\NTSF ord.doc
ORDINANCE NO.
AN ORDINANCE AUTHORIZING THE MAYOR TO EXECUTE AN AGREEMENT
BETWEEN THE CITY OF DENTON AND THE NORTH TEXAS STATE FAIR
ASSOCIATION FOR THE PAYMENT AND USE OF HOTEL TAX REVENUE; AND
PROVIDING AN EFFECTIVE DATE.
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. That the Mayor is hereby authorized to execute an agreement between the
City of Denton and the North Texas State Fair Association for the payment and use of hotel tax
revenue, under the terms and conditions contained in the agreement, a copy of which is attached
hereto and made a part hereof.
SECTION 2. That this ordinance shall become effective immediately upon its passage
and approval.
PASSED AND APPROVED this the
day
2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LE :
EDWIN ~~/s:NYDER:' CITY ATTORNE
,./'"
AGREEMENT BETWEEN THE CITY OF DENTON AND THE NORTH TEXAS
STATE FAIR ASSOCIATION (PY2006) PROVIDING FOR THE PAYMENT AND
USE OF HOTEL TAX REVENUE
THIS AGREEMENT made between the City of Denton, Texas, a municipal
corporation (the "CITY"), and the North Texas State Fair Association, a non-profit
corporation incorporated under the laws of the State of Texas (the "ASSOCIATION'):
WHEREAS, TEX. TAX CODE 9351.002 authorizes CITY to levy by ordinance a
municipal hotel occupancy tax ("hotel tax") not exceeding seven percent (7%) of the
consideration paid by a hotel occupant; and
WHEREAS, by ordinance, CITY has provided for the assessment and collection of
a municipal hotel occupancy tax in the City of Denton of seven percent (7%); and
WHEREAS, TEX. TAX CODE 9351.101(a) authorizes CITY to use revenue from its
municipal hotel occupancy tax to promote tourism and the convention and hotel industry by
advertising and conducting solicitations and promotional programs to attract tourists and
convention delegates or registrants to the municipality or its vicinity; and
WHEREAS, ASSOCIATION is well equipped to perform those activities; and
WHEREAS, TEX. TAX CODE 9351.101(c) authorizes CITY to delegate by contract
with AS SOCIA TION, as an independent entity, the management and supervision of
programs and activities of the type described hereinabove funded with revenue from the
municipal hotel occupancy tax;
NOW, THEREFORE, in consideration of the performance of the mutual covenants
and promises contained herein, CITY and ASSOCIATION agree and contract as follows:
I. HOTEL TAX REVENUE PAYMENT
1.1 Consideration. For and in consideration of the activities to be performed by
ASSOCIATION under this Agreement, CITY agrees to pay to ASSOCIATION a portion of
the hotel tax revenue collected by CITY at the rates and in the manner specified herein (such
payments by CITY to ASSOCIATION sometimes herein referred to as the "agreed
payments" or "hotel tax funds").
1.2 Amount of Payments.
(a) As used in this Agreement, the following terms shall have the following
specific meanings:
(i) The term "hotel tax revenue" shall mean the gross monies
collected and recei ved by CITY as municipal hotel occupancy tax at the rate of
seven percent (7%) of the price paid for a room in a hotel, pursuant to Texas Tax
North Texas State Fair PY2006 HOT Funds ~ Page 1
~
Code g351.002 and City Ordinance. Hotel tax revenue will include penalty and
interest related to the late payments of the tax revenue by the taxpayer.
(ii) The tenn "Collection period" will mean the collection period for
CITY's fiscal year. It will include hotel tax revenue due to CITY for the relevant
fiscal year and collected through the 22nd day of the month following the close of
the relevant fiscal year.
(iii) The term "base payment amount" shall mean a net amount of money
equal to the total hotel tax revenue collected by CITY during any relevant period of
time (i.e., fiscal year or fiscal quarter), less (1) attorney and auditing costs incurred
during such relevant period of time for costs of collection or auditing of hotel
taxpayers (attorney and auditing costs include fees paid to attorneys or agents not in
the regular employ of CITY for which attorneys or agents effect compliance or
collection of the hotel tax from taxpayers); and (2) court costs and other expenses
incurred in litigation against, or auditing of, such taxpayers.
(iv) The tenn "contract quarter" shall refer to any quarter of the calendar
year in which this Agreement is in force. Contract quarters will end on March 31 st,
June 30th, September 30th, and December 31 st of each contract year.
(b) In return for satisfactory performance of the activities set forth in this
Agreement and all attachments hereto, CITY shall pay to ASSOCIATION an amount of
money in each contract year equal to the lesser amount of Five and Fifty-Six One
Hundredths percent (5.56%) of the annual base payment amount, or the fixed contract
amount of Sixty Thousand Dollars ($60,000). This amount will be divided into quarterly
payments equal to 25% of the annual fixed contract amount, unless CITY can show with
reasonable certainty that the annual base payment amount will be less than originally
estimated for the fiscal year. The fourth quarterly payment will represent 25% of the
fixed contract amount or the unpaid rem~inder of 5.56% of the base payment amount,
whichever is less. Each quarterly payment is subject to receipt of unused funds from the
prior contract period and the receipt of the required quarterly reports.
1.3 Dates of Payments.
(a) The term "quarterly payments" shall mean payments by CITY to
ASSOCIATION of those amounts specified in ,,-r1.2, above, as determined by the hotel tax
revenue collected.
(b) Each quarterly payment shall be paid upon receipt of the required reports and
after the 25th day following the last day of the contract quarter. If the quarterly financial
report is not received within thirty (30) days of the end of the applicable contract quarter, the
recipient may be held in breach of this Agreement. CITY may withhold the quarterly
payment(s) until the appropriate reports are received and approved, which approval shall not
be unreasonably withheld.
North Texas State Fair PY2006 HOT Funds - Page 2
1.4 Other limitations regarding consideration.
(a) The funding of this project in no way commits CITY to future funding of this
program beyond the current contract period. Any future funding is solely the responsibility
of ASSOCIATION.
(b) It is expressly understood that this contract in no way obligates the General Fund
or any other monies or credits of CITY.
(c) CITY may withhold further allocations if CITY determines that
ASSOCIATION's expenditures deviate materially from their approved budget.
II. USE OF HOTEL TAX REVENUE
2.1 Use of Funds. For and in consideration of the payment by CITY to
ASSOCIATION of the agreed payments of hotel tax funds specified above,
ASSOCIATION agrees to use such hotel tax funds only for advertising and conducting
solicitations and promotional programs to attract tourists and convention delegates or
registrants to the municipality or its vicinity; as authorized by TEX. TAX CODE ~351.101(a).
Funds for any calendar year which are unused by midnight December 31 sl of that year shall
be refunded to CITY within sixty (60) days.
2.2 Specific Restrictions on Use of Funds.
(a) ASSOCIATION agrees to demonstrate strict compliance with the record
keeping and apportionment limitations imposed by TEX. TAX CODE ~351.101(t) and
9351.108 (c) and (d). ASSOCIATION shall not utilize hotel tax funds for any expenditure,
which has not been specifically documented to satisfy the purposes set forth in ml2.1 and 2.2
above.
(b) Hotel tax funds may not be spent for travel for a person to attend an event or
conduct an activity, the primary purpose of which is not directly related to the promotion of
local tourism and the convention and hotel industry and the performance of the person's job
in an efficient and professional manner.
ill. RECORDKEEPING AND REPORTING REQUIREMENTS
3.1 Budget.
(a) ASSOCIATION shall prepare and submit to the City Manager of CITY an
annual budget (see Exhibit "A") as approved by the City Council for each calendar year, for
such operations of ASSOCIATION in which the hotel tax funds shall be used by
ASSOCIATION. This budget shall specifically identify proposed expenditures of hotel tax
funds by ASSOCIATION. In other words, CITY should be able to audit specifically the
purpose of each individual expenditure of hotel tax funds from the separate account relating
to hotel tax funds. CITY shall not pay to ASSOCIA nON any hotel tax revenues as set
forth in Section I ofthis contract during any program year ofthis Agreement unless a budget
North Texas State Fair PY2006 HOT Funds - Page 3
for such respective program year has been approved in writing by the Denton City Council
authorizing the expenditure of funds. Failure to submit an annual budget may be considered
a breach of contract, and if not remedied is considered grounds for termination of this
Agreement as stated in paragraph 4.2.
(b) ASSOCIATION acknowledges that the approval of such budget by the
Denton City Council creates a fiduciary duty in ASSOCIATION with respect to the hotel
tax funds paid by CITY to ASSOCIATION under this Agreement. ASSOCIATION shall
expend hotel tax funds only in the manner and for the purposes specified in this Agreement,
TEX . TAX CODE 9351.101 ( a) and in the budget as approved by CITY.
3.2 Separate Accounts. ASSOCIATION shall maintain any hotel tax funds paid to
ASSOCIATION by CITY in a separate account or with segregated fund accounting, such
that any reasonable person can ascertain the revenue source of any given expenditure.
3.3 Financial Records. ASSOCIATION shall maintain complete and accurate
financial records of each expenditure of the hotel tax funds made by ASSOCIATION.
These funds are required to be classified as restricted funds for audited financial purposes,
and may not be used for contracted services, including, but not limited to, auditing fees or
attorney fees. Upon reasonably advance written request of the Denton City Council, the
City Manager or designate, or any other person, ASSOCIATION shall make such financial
records available for inspection and review by the party making the request.
ASSOCIATION understands and accepts. that all such financial records, and any other
records relating to this Agreement shall be subject to the Texas Public Information Act, TEX.
GOY'T CODE, ch. 552, as hereafter amended.
3.4 Quarterly Reports. After initial receipt of hotel tax fund, and within thirty days
after the end of every contract quarter, ASSOCIATION shall furnish to CITY: (1) a
completed financial report, (2) a list of the expenditures or copies of invoices or receipts
made with regard to hotel tax funds pursuant to TEX. TAX CODE ~351.101(c), and (3) a copy
of all financial records (e.g., copies of front and back cleared checks or bank statements, and
other relevant documentation). ASSOCIATION shall prepare and deliver all reports in a
form and manner approved by the City Manager or designate. ASSOCIATION shall
respond promptly to any request from the City Manager of CITY, or designate, for
additional information relating to the activities performed under this Agreement.
3.5 Notice of Meetings. ASSOCIATION shall give the City Manager of CITY, or his
designate, reasonable advance written no~ice of the time and place of all meetings of
ASSOCIA TION's Board of Directors, as well as any other meeting of any constituency of
ASSOCIA TION, at which this Agreement or any matter subject to this Agreement shall be
considered.
IV. TERM AND TERMINATION
4.1 Term. The term of this Agreement shall commence on January 1, 2006, and
terminate at midnight on January 31, 2007. However, the program period shall commence
on January I, 2006 and terminate at midnight on December 31, 2006. Only those
North Texas State Fair PY2006 HOT Funds - Page 4
expenditures authorized by Chapter 351 of the Texas Tax Code and the program guidelines,
which are actually incurred during the program period, for events and activities taking place
within the program period, are eligible for funding under this agreement, and any ineligible
expenditures or unspent funds shall be forfeited to CITY upon termination of the
Agreement.
4.2 Termination Without Cause.
(a) This Agreement may be terminated by either party, with or without cause, by
giving the other party sixty (60) days advance written notice.
(b) In the event this contract is terminated by either party pursuant to Section
4.2(a), CITY agrees to reimburse ASSOCIATION for any contractual obligations of
ASSOCIATION undertaken by ASSOCIATION in satisfactory performance of those
activities specified in ~~2.1 and 2.2 above, and that were approved by the Council
through the budget, as noted in ~3.1. This reimbursement is conditioned upon such
contractual obligations having been incurred and entered into in the good faith
performance of those services contemplated in ~'12.1 and 2.2 above, and further
conditioned upon such contractual obligations having a term not exceeding the full term
of this Agreement. Notwithstanding any provision hereof to the contrary, the obligation
of CITY to reimburse ASSOCIATION or to assume the performance of any contractual
obligations of ASSOCIATION, for or under any contract entered into by
ASSOCIATION as contemplated herein, shall not exceed 66 2/3% of the current
quarterly payment.
(c) Further, upon termination pursuant to ~4.2(a), ASSOCIATION will provide
CITY: 1) Within 10 business days from the termination notification, a short-term budget
of probable expenditures for the remaining 60 day period between termination
notification and contract termination. This budget will be presented to Council for
approval within 10 business days after receipt by CITY. If formal approval is not given
within 10 business days, and the budget does not contain any expenditures that would be
prohibited by the Texas Tax Code, and is within the current contractual period approved
budget; the budget will be considered approved; 2) Within 30 days, a full accounting of
all expenditures not previously audited by CITY; 3) Within 5 business days of a request
from CITY, a listing of expenditures that have occurred since the last required reporting
period; 4) a final accounting of all expenditures and tax funds on the day of termination.
ASSOCIATION will be obligated to return any unused funds, or funds determined to be
used improperly. Any use of remaining funds by ASSOCIATION after notification of
termination is conditioned upon such contractual obligations having been incurred and
entered into in the good faith performance of those services contemplated in 2.1 and 2.2
above, and further conditioned upon such contractual obligations having a term not
exceeding the full term of this Agreement.
4.3 Automatic Termination. This Agreement shall automatically terminate upon the
occurrence of any of the following events:
North Texas State Fair PY2006 HOT Funds - Page 5
(a) The termination of the legal existence of ASSOCIATION;
(b) The insolvency of ASSOCIATION, the filing ofa petition in bankruptcy, either
voluntarily or involuntarily, or an assignment by ASSOCIATION for the benefit of
creditors;
(c) The continuation of a breach of any of the terms or conditions of this Agreement
by either CITY or ASSOCIATION for more than thirty (30) days after written notice of
such breach is given to the breaching party by the other party; or
(d) The failure of ASSOCIA nON to submit a financial quarterly report which
complies with the reporting procedures required herein and generally accepted accounting
principles prior to the beginning of the next contract term, or quarterly as required by
Section 1.3 hereof.
4.4 Right to Immediate Termination Upon Litigation. Notwithstanding any other
provision of this Agreement, to mitigate damages and to preserve evidence and issues for
judicial determination, either party shall have the right to terminate this Agreement upon
immediate notice to the other party in the event that any person has instituted litigation
concerning the activities of the non-terminating party, and the terminating party reasonably
believes that such activities are required or prohibited under this Agreement.
4.5 In the event that this Agreement is terminated pursuant to ~'4.3 or 4.4,
ASSOCIA TION agrees to refund any and all unused funds, or funds determined by
CITY to have been used improperly, within 30 days after termination of this Agreement.
v. GENERAL PROVISIONS
5.1 Subcontract for Performance of Services. Nothing in this Agreement shall
prohibit, nor be construed to prohibit, the agreement by ASSOCIATION with another
private entity, person, or organization for the performance of those services described in
~2.1 above. In the event that ASSOCIATION enters into any arrangement, contractual or
otherwise, with such other entity, person or organization, ASSOCIATION shall cause such
other entity, person, or organization to adhere to, conform to, and be subject to all
provisions, terms, and conditions of this Agreement and to TEX. TAX CODE ch. 351,
including reporting requirements, separate funds maintenance, and limitations and
prohibitions pertaining to expenditure of the agreed payments and hotel tax funds.
5.2 Independent Contractor. ASSOCIATION shall operate as an independent
contractor as to all services to be performed under this Agreement and not as an officer,
agent, servant, or employee of CITY. ASSOCIATION shall have exclusive control of its
operations and performance of services hereunder, and such persons, entities, or
organizations performing the same, and ASSOCIA nON shall be solely responsible for the
acts and omissions of its directors, officers, employees, agents, and subcontractors.
ASSOCIA nON shall not be considered a partner or joint venturer with CITY, nor shall
ASSOCIATION be considered, nor in any manner hold itself out as, an agent or official
representative of CITY.
North Texas State Fair PY2006 HOT Funds - Page 6
5.3 Indemnification. ASSOCIATION AGREES TO INDEMNIFY, HOLD
HARMLESS, AND DEFEND CITY, ITS OFFICERS, AGENTS, AND EMPLOYEES
FROM AND AGAINST ANY AND ALL CLAIMS OR SUITS FOR INJURIES,
DAMAGE, LOSS, OR LIABILITY OF WHATEVER KIND OR CHARACTER,
ARISING OUT OF OR IN CONNECTION WITH THE PERFORMANCE BY
ASSOCIATION OF THOSE SERVICES CONTEMPLATED BY THIS
AGREEMENT, INCLUDING ALL SUCH CLAIMS OR CAUSES OF ACTION
BASED UPON COMMON, CONSTITUTIONAL OR STATUTORY LAW, OR
BASED, IN WHOLE OR IN PART, UPON ALLEGATIONS OF NEGLIGENT OR
INTENTIONAL ACTS OF ASSOCIATION, ITS OFFICERS, EMPLOYEES,
AGENTS, SUBCONTRACTORS, LICENSEES AND INVITEES.
5.4 Assignment. ASSOCIATION shall not assign this Agreement without first
obtaining the written consent of CITY.
5.5 Notice. Any notice required to be given under this Agreement or any statute,
ordinance, or regulation, shall be effective when given in writing and deposited in the
United States mail, certified mail, return receipt requested, or by hand-delivery, addressed to
the respective parties as follows:
CITY
ASSOCIA nON
City of Denton
215 E. McKinney
Denton, TX 76201
North Texas State Fair Association
Glenn Carlton
Executive Director
P.O. Box 1695
Denton, Texas 76202
5.6 Inurement. This Agreement and each provision hereof, and each and every right,
duty, obligation, and liability set forth herein shall be binding upon and inure to the benefit
and obligation of CITY and ASSOCIATION and their respective successors and assigns.
I
5.7 Application of Laws. All tenus, conditions, and provisions of this Agreement are
subject to all applicable federal laws, state laws, the Charter of the City of Denton, all
ordinances passed pursuant thereto, and all judicial detenninations relative thereto.
5.8 Exclusive Agreement. This Agreement contains the entire understanding and
constitutes the entire agreement between the parties hereto concerning the subject matter
contained herein. There are no representations, agreements, arrangements, or
understandings, oral or written, express or implied, between or among the parties hereto,
relating to the subject matter of this Agreement, which are not fully expressed herein. The
terms and conditions of this Agreement shall prevail, notwithstanding any variance in this
Agreement from the terms and conditions of any other document relating to this transaction
or these transactions.
North Texas State Fair PY2006 HOT Funds - Page 7
5.9 Duplicate Originals. This Agreement is executed in duplicate originals.
5.10 Headings. The headings and subheadings of the various sections and paragraphs of
this Agreement are inserted merely for the purpose of convenience and do not express or
imply any limitation, definition, or extension of the specific terms of the section and
paragraph so designated.
5.11 Severability. If any section, subsection, paragraph, sentence, clause, phrase or word
in this Agreement, or application thereof to any person or circumstance is held invalid by
any court of competent jurisdiction, such holding shall not affect the validity of the
remaining portions of this Agreement, and the parties hereby declare they would have
enacted such remaining portions despite any such invalidity.
5.12 Insurance. ASSOCIATION shall, at a nllnimum, provide insurance as follows:
1. $500,000 Commercial General Liability, or $1,000,000 Event Insurance,
covering all events taking place on City-owned property
2. Statutory Workers' Compensation and Employers' Liability
($100,000/$ 500,000/$1 00,000)
3. $250,000 LiquorlDram Shop Liability for any event occurring on City-
owned property where alcohol will be provided or served
CITY must be named as an additional insured on all policies (except Workers'
Compensation), and proof of coverage shall be submitted prior to any payment by the CITY.
EXECUTED this _ day of
,2005.
THE CITY OF DENTON, TEXAS
By:
EULINE BROCK, MAYOR
ATTEST:
By:
JENNIFER WALTERS,
CITY SECRETARY
North Texas State Fair PY2006 HOT Funds ~ Page 8
NORTH TEXAS STATE FAIR
ASSOCIA T
By:
ATTEST:
APPROVED AS TO LEGAL FORM:
By:
Secretary
By:
North Texas State Fair PY2006 HOT Funds - Page 9
North Texas State Fair & Rodeo Association
North Texas State Fair & Rodeo
Exhibit A
ADVERTISING
Internet
Radio
Newspaper/magazine
$ 7,200
30,000
22,800
$ 60,000
TOTAL REQUEST $ 60,000
AGENDA INFORMATION SHEET
AGENDA DATE: September 20, 2005
DEPARTMENT: Tax
ACM:
Kathy DuBose
..
SUBJECT
Consider adoption of an ordinance authorizing the Mayor to execute an agreement between the
City of Denton and the Tejas Storytelling Association, Inc. for the payment and use of hotel tax
revenue; and providing an effective date.
BACKGROUND
This agency is recommended to receive funding from the Hotel Occupancy Tax funds. This
contract is for a one-year term beginning January 1, 2006, through midnight December 31, 2006.
Allocations are dependent upon requests for funding, as well as availability of revenues.
PRIOR ACTIONIREVIEW
The Hotel Occupancy Tax Committee reviewed all budget applications and recommended
allocations to Council during the Council Work Session on August 8, 2005.
FISCAL INFORMATION
The Hotel Occupancy Tax allocation for this agency is $44,000 for FY 2005-06 and has been
included in the Annual Program of Services.
Diana G. Ortiz
Director of Fiscal Operations
S:\Our Documents\Ordinances\05\HOT\ TejasOrd.doc
ORDINANCE NO.
AN ORDINANCE AUTHORIZING THE MAYOR TO EXECUTE AN AGREEMENT
BETWEEN THE CITY OF DENTON AND THE TEJAS STORYTELLING ASSOCIATION,
INC. FOR THE PAYMENT AND USE OF HOTEL TAX REVENUE; AND PROVIDING AN
EFFECTIVE DATE.
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. That the Mayor is hereby authorized to execute an agreement between the
City of Denton and the Tejas Storytelling Association, Inc. for the payment and use of hotel tax
revenue, under the terms and conditions contained in the agreement, a copy of which is attached
hereto and made a part hereof.
SECTION 2. That this ordinance shall become effective immediately upon its passage
and approval.
PASSED AND APPROVED this the
day
2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWlN M. SNYD
..-----
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~'// -----.
"",.",,,"'--
. '-. ..-".~
AGREEMENT BETWEEN THE CITY OF DENTON AND
TEJAS STORYTELLING ASSOCIATION, INC. (pY2006),
PROVIDING FOR THE PAYMENT AND USE OF HOTEL TAX REVENUE
THIS AGREEMENT made between the City of Denton, Texas, a municipal corporation
(the "CITY"), and the Tejas Storytelling Association, Inc., a legal entity incorporated under the laws
of the State of Texas (the "ASSOCIATION"):
WHEREAS, TEX. TAX CODE 9351.002 authorizes CITY to levy by ordinance a municipal
hotel occupancy tax ("hotel tax") not exceeding seven percent (7%) of the consideration paid by a
hotel occupant; and
WHEREAS, by ordinance, CITY has provided for the assessment and collection of a
municipal hotel occupancy tax in the City of Denton of seven percent (7%); and
WHEREAS, TEX. TAX CODE 9351.101(a) authorizes CITY to use revenue from its
municipal hotel occupancy tax to promote tourism and the convention and hotel industry by
advertising and conducting solicitations and promotional programs to attract tourists and convention
delegates or registrants to the municipality or its vicinity; and
WHEREAS, ASSOCIATION is well equipped to perform those activities; and
WHEREAS, TEX. TAX CODe 9351.101(c) authorizes CITY to delegate by contract with
ASSOCIATION, as an independent entity, the management and supervision of programs and
activities of the type described hereinabove funded with revenue from the municipal hotel
occupancy tax;
NOW, THEREFORE, in consideration of the performance of the mutual covenants and
promises contained herein, CITY and ASSOCIATION agree and contract as follows:
I. HOTEL TAX REVENUE PAYMENT
1.1 Consideration. For and in consideration of the activities to be performed by
ASSOCIATION under this Agreement, CITY agrees to pay to ASSOCIATION a portion of the
hotel tax revenue collected by CITY at the rates and in the manner specified herein (such payments
by CITY to ASSOCIATION sometimes herein referred to as the "agreed payments" or "hotel tax
funds").
1.2 Amount of Payments.
(a) As used in this Agreement, the following terms shall have the following specific
meamngs:
(i) The term "hotel tax revenue" shall mean the gross monies collected and
received by CITY as municipal hotel occupancy tax at the rate of seven percent (7%) of
the price paid for a room in a hotel, pursuant to Texas Tax Code 351.002 and City
Tejas HOT Funding PY2006 - Page 1
Ordinance. Hotel tax revenue will include penalty and interest related to the late
payments of the tax revenue by the taxpayer.
(ii) The term "Collection period" will mean the collection period for CITY's
fiscal year. It will include hotel tax revenue due to CITY for the relevant fiscal year and
collected through the 22nd day ofthe month following the close of the relevant fiscal year.
(iii) The term "base payment amount" shall mean a net amount of money equal
to the total hotel tax revenue collected by CITY during any relevant period of time (i.e.,
fiscal year or fiscal quarter), less: (1) attorney and auditing costs incurred during such
relevant period of time for costs of collection or auditing of hotel taxpayers (attorney and
auditing costs include fees paid to attorneys or agents not in the regular employ of CITY for
which attorneys or agents effect compliance or collection ofthe hotel tax from taxpayers);
and (2) court costs and other expenses incurred in litigation against, or auditing of, such
taxpayers.
(iv) The term "contract quarter" shall refer to any quarter of the calendar year in
which this Agreement is in force. Contract quarters will end on March 31st, June 30th,
September 30th, and December 31 st of each contract year.
(b) In return for satisfactory performance of the activities set forth in this Agreement
and all attachments hereto, CITY shall pay to ASSOCIATION an amount of money in each
contract year equal to the lesser amount of: Four and Eight One Hundredths percent (4.08%) of
the annual base payment amount, or the fixed contract amount of Forty Four Thousand Dollars
($44,000). This amount will be divided into quarterly payments equal to 25% ofthe annual fixed
contract amount, unless CITY can show with reasonable certainty that the annual base payment
amount will be less than originally estimated for the fiscal year. The fourth quarterly payment
will represent 25% of the fixed contract amount or the unpaid remainder of 4.08% of the base
payment amount, whichever is less. Each quarterly payment is subject to receipt of unused funds
from the prior contract period and the receipt of the required quarterly reports.
1.3 Dates of Payments to ASSOCIATION.
(a) The term "quarterly payments" shall mean payments by CITY to ASSOCIATION of
those amounts specified in '1.2, above, as determined by the hotel tax revenue collected.
(b) Each quarterly payment shall be pai,d upon receipt ofthe required reports and after the
25th day following the last day of the contract quarter. If the quarterly financial report is not
received within thirty (30) days of the end of the applicable contract quarter, the recipient may be
held in breach of this Agreement. CITY may withhold the quarterly payment(s) until the
appropriate reports are received and approved, which approval shall not be unreasonably withheld.
Tejas HOT Funding PY2006 - Page 2
1.4 Other limitations regarding consideration.
(a) The funding of this project in no way commits CITY to future funding of this program
beyond the current contract period. Any future funding is solely the responsibility of
ASSOCIATION.
(b) It is expressly understood that this contract in no way obligates the General Fund or any
other monies or credits of CITY.
(c) CITY may withhold further allocations if CITY determines that ASSOCIATION's
expenditures deviate materially from their approved budget.
II. USE OF HOTEL TAX REVENUE
2.1 Use of Funds. For and in consideration of the payment by CITY to ASSOCIATION of the
agreed payments of hotel tax funds specified above, ASSOCIATION agrees to use such hotel tax
funds only for advertising and conducting solicitations and promotional programs to attract tourists
and convention delegates or registrants to the municipality or its vicinitys; as well as the
encouragement, promotion, improvement, and application of the arts including instrumental and
vocal music, dance, drama, folk art, creative writing, architecture, design and allied fields, painting,
sculpture, photography, graphic and craft arts, motion pictures, radio, television, tape and sound
recording, and other arts related to the presentation, performance, execution, and exhibition of these
maj or art forms as authorized by TEX . TAX CODE 9 3 51.1 01 (a). Funds for any calendar year which
are unused by midnight December 31 st of that year shall be refunded to CITY within sixty (60)
days.
2.2 Administrative Costs. The hotel tax funds received from CITY by ASSOCIATION may
be spent for day-to-day operations, office supplies, salaries, travel expenses, and other
administrative costs allowed by TEX. TAX CODE 351.101(f), only if each such expenditure is
directly attributable to work on programs, which promote tourism and the hotel and convention
industry, and promotes at least one ofthe six statutory purposes enumerated within TEX. TAX CODE
g351.101(a).
2.3 Specific Restrictions on Use of Funds.
(a) That portion of total administrative costs of ASSOCIATION for which hotel tax
funds may be used shall not exceed that portion of ASSOCIATION's administrative costs actually
incurred in conducting the activities specified in ';2.1 above.
(b) Hotel tax funds may not be spent for travel for a person to attend an event or conduct
an activity, the primary purpose of which is not directly related to the promotion of local tourism
and the convention and hotel industry and the performance ofthe person's job in an efficient and
professional manner.
Tejas HOT Funding PY2006 - Page 3
III. RECORDKEEPING AND REPORTING REQUIREMENTS
3.1 Budget.
(a) ASSOCIATION shall prepare and submit to the City Manager of CITY an annual
budget (see Exhibit "A") as approved by the City Council for each calendar year, for such
operations of ASSOCIATION in which the hotel tax funds shall be used by ASSOCIATION. This
budget shall specifically identify proposed expenditures of hotel tax funds by ASSOCIATION. In
other words, CITY should be able to audit specifically the purpose of each individual expenditure of
hotel tax funds from the separate account relating to hotel tax funds. CITY shall not pay to
ASSOCIATION any hotel tax revenues as set forth in Section I of this contract during any program
year of this Agreement unless a budget for such respective program year has been approved in
writing by the Denton City Council authorizing the expenditure of funds. Failure to submit an
annual budget may be considered a breach of contract, and if not remedied is considered grounds for
termination of this Agreement as stated in paragraph 4.2.
(b) ASSOCIATION acknowledges that the approval of such budget by the Denton City
Council creates a fiduciary duty in ASSOCIATION with respect to the hotel tax funds paid by
CITY to ASSOCIATION under this Agreement. ASSOCIATION shall expend hotel tax funds
only in the manner and for the purposes specified in this Agreement, TEX. TAX CODE ~351.101(a)
and in the budget as approved by CITY.
3.2 Separate Accounts. ASSOCIATION shall maintain any hotel tax funds paid to
ASSOCIATION by CITY in a separate account or with segregated fund accounting, such that any
reasonable person can ascertain the revenue source of any given expenditure.
3.3 Financial Records. ASSOCIATION shall maintain complete and accurate financial
records of each expenditure of the hotel tax funds made by ASSOCIATION. These funds are
required to be classified as restricted funds for audited financial purposes, and may not be used for
contracted services, including, but not limited to, auditing fees or attorney fees. Upon reasonable
advance written request of the Denton City Council, the City Manager or designate, or any other
person, ASSOCIATION shall make such financial records available for inspection and review by
the party making the request. ASSOCIATION understands and accepts that all such financial
records, and any other records relating to this Agreement shall be subject to the Public Information
Act, TEX. GOV'T CODE, ch. 552, as hereafter amended.
3.4 Quarterly Reports. After initial receipt of the hotel tax funds, and within thirty days after
the end of every contract quarter, ASSOCIATION shall furnish to CITY: (1) a completed financial
report, (2) a list of the expenditures or copies of the invoices or receipts made with regard to hotel
tax funds pursuant to TEX. TAX CODE ~351.1bl(c), and (3) a copy of all financial records (e.g.,
copies of front and back of cleared checks or bank statements, and other relevant documentation).
Both the financial and expenditure reports will be in a form either determined or approved by the
City Manager or designate .ASSOCIA TION shall respond promptly to any request from the City
Manager of CITY, or designate, for additional information relating to the activities performed under
this Agreement.
Tejas HOT Funding PY2006 - Page 4
3.5 Notice of Meetings. ASSOCIATION shall give the City Manager of CITY, or his
designate, reasonable advance written notice of the time and place of all meetings of
ASSOCIATION's Board of Directors, as well as any other meeting of any constituency of
ASSOCIATION, at which this Agreement or any matter subject to this Agreement shall be
considered.
IV. TERM AND TERMINATION
4.1 Term. The term of this Agreement shall commence on January 1, 2006 and terminate at
midnight on January 31, 2007. However, the program period shall commence on January 1, 2006
and terminate at midnight on December 31, 2006. Only those expenditures authorized by Chapter
351 of the Texas Tax Code and the program guidelines, which are actually incurred during the
program period, for events and activities taking place within the program period, are eligible for
funding under this agreement, and any ineligible expenditures or unspent funds shall be forfeited to
CITY upon termination of the Agreement.
4.2 Termination Without Cause.
I
(a) This Agreement may be terminated by either party, with or without cause, by giving
the other party sixty (60) days advance written notice.
(b) In the event this contract is terminated by either party pursuant to Section 4.2(a),
CITY agrees to reimburse ASSOCIATION for any contractual obligations of ASSOCIATION
undertaken by ASSOCIATION in satisfactory performance of those activities specified in ,-r,-r2.1
and 2.2 above, and that were approved by the Council through the budget, as noted in ,-r3.1. This
reimbursement is conditioned upon such contractual obligations having been incurred and
entered into in the good faith performance of those services contemplated in ,-r,-r2.1 and 2.2 above,
and further conditioned upon such contractual obligations having a term not exceeding the full
term of this Agreement. Notwithstanding any provision hereof to the contrary, the obligation of
CITY to reimburse ASSOCIATION, or to assume the performance of any contractual
obligations of ASSOCIATION, for or under any contract entered into by ASSOCIATION as
contemplated herein, shall not exceed 66 2/3% of the current quarterly payment.
(c) Further, upon termination pursuant to ,-r4.2(a), ASSOCIATION will provide CITY:
1) Within 10 business days from the termination notification, a short-term budget of probable
expenditures for the remaining 60 day period between termination notification and contract
termination. This budget will be presented to Council for approval within 10 business days after
receipt by CITY. If formal approval is not given within 10 business days, the budget does not
contain any expenditures that would be prohibited by the Texas Tax Code, and is within the
current contractual period approved budget, the budget will be considered approved; 2) Within
30 days, a full accounting of all expenditures not previously audited by CITY; 3) Within 5
business days of a request from CITY, a listing of expenditures that have occurred since the last
required reporting period; 4) a final accounting of all expenditures and tax funds on the day of
termination. ASSOCIATION will be obligated to return any unused funds, or funds determined
to be used improperly. Any use of remaining funds by ASSOCIATION after notification of
termination is conditioned upon such contractual obligations having been incurred and entered
Tejas HOT Funding PY2006 - Page 5
into in the good faith performance of those services contemplated in 2.1 and 2.2 above, and
further conditioned upon such contractual obligations having a term not exceeding the full term
of this Agreement.
4.3 Automatic Termination. This Agreement shall automatically terminate upon the
occurrence of any of the following events:
(a) The termination of the legal existence of ASSOCIATION;
(b) The insolvency of ASSOCIATION, the filing of a petition in bankruptcy, either
voluntarily or involuntarily, or an assignment by ASSOCIATION for the benefit of creditors;
(c) The continuation of a breach of any of the terms or conditions of this Agreement by
either CITY or ASSOCIATION for more than thirty (30) days after written notice of such breach is
given to the breaching party by the other party; or
(d) The failure of ASSOCIATION to submit a financial quarterly report which complies
with the reporting procedures required herein and generally accepted accounting principles prior to
the beginning of the next contract term, or quarterly as required by Section 1.3 hereof.
4.4 Right to Immediate Termination Upon Litigation. Notwithstanding any other provision
of this Agreement, to mitigate damages and to preserve evidence and issues for judicial
determination, either party shall have the right to terminate this Agreement upon immediate notice
to the other party in the event that any person has instituted litigation concerning the activities of the
non-terminating party, and the terminating party reasonably believes that such activities are required
or prohibited under this Agreement.
4.5 In the event that this Agreement is terminated pursuant to ~~4.3 or 4.4, ASSOCIATION
agrees to refund any and all unused funds, or funds determined by CITY to have been used
improperly, within 30 days after termination of this Agreement.
V. GENERAL PROVISIONS
5.1 Subcontract for Performance of Services. Nothing in this Agreement shall prohibit. nor
be construed to prohibit, the agreement by ASSOCIATION with another private entity, person, or
organization for the performance of those services described in ~2.1 above. In the event that
ASSOCIATION enters into any arrangement, contractual or otherwise, with such other entity,
person or organization, ASSOCIATION shall cause such other entity, person, or organization to
adhere to, conform to, and be subject to all provisions, terms, and conditions of this Agreement and
to TEX. TAX CODE ch. 351, including reporting requirements, separate funds maintenance, and
limitations and prohibitions pertaining to expenditure of the agreed payments and hotel tax funds.
5.2 Independent Contractor. ASSOCIATION shall operate as an independent contractor as to
all services to be performed under this Agreem4:?nt and not as an officer, agent, servant, or employee
of CITY . ASSOCIATION shall have exclusive control of its operations and performance of
services hereunder, and such persons, entitjes, or organizations performing the same, and
Tejas HOT Funding PY2006 - Page 6
ASSOCIATION shall be solely responsible for the acts and omissions of its directors, officers,
employees, agents, and subcontractors. ASSOCIATION shall not be considered a partner or joint
venturer with CITY, nor shall ASSOCIATION be considered, nor in any manner hold itself out as,
an agent or official representative of CITY.
5.3 Indemnification. ASSOCIATION AGREES TO INDEMNIFY, HOLD HARMLESS,
AND DEFEND CITY, ITS OFFICERS, :AGENTS, AND EMPLOYEES FROM AND
AGAINST ANY AND ALL CLAIMS OR SUITS FOR INJURIES, DAMAGE, LOSS, OR
LIABILITY OF WHATEVER KIND OR CHARACTER, ARISING OUT OF OR IN
CONNECTION WITH THE PERFORMANCE BY ASSOCIATION OF THOSE
SERVICES CONTEMPLATED BY TillS AGREEMENT, INCLUDING ALL SUCH
CLAIMS OR CAUSES OF ACTION BASED UPON COMMON, CONSTITUTIONAL OR
STATUTORY LAW, OR BASED, IN WHOLE OR IN PART, UPON ALLEGATIONS OF
NEGLIGENT OR INTENTIONAL ACTS OF ASSOCIATION, ITS OFFICERS,
EMPLOYEES, AGENTS, SUBCONTRACTORS, LICENSEES AND INVITEES.
5.4 Assignment. ASSOCIATION shall not assign this Agreement without fITst obtaining the
written consent of CITY.
5.5 Notice. Any notice required to be given under this Agreement or any statute, ordinance, or
regulation, shall be effective when given in writing and deposited in the United States mail, certified
mail, return receipt requested, or by hand-delivery, addressed to the respective parties as follows:
CITY
ASSOCIATION
City Manager
City of Denton
215 E. McKinney
Denton, TX 76201
Tejas Storytelling Association, Inc.
Cristin Thomas
P.O. Box 2806
Denton, Texas 76202-2806
5.6 Inurement. This Agreement and each provision hereof, and each and every right, duty,
obligation, and liability set forth herein shall be binding upon and inure to the benefit and obligation
of CITY and ASSOCIATION and their respective successors and assigns.
5.7 Application of Laws. All terms, conditions, and provisions of this Agreement are subject
to all applicable federal laws, state laws, the Charter of the City of Denton, all ordinances passed
pursuant thereto, and all judicial determinations relative thereto.
5.8 Exclusive Agreement. This Agreement contains the entire understanding and constitutes
the entire agreement between the parties hereto concerning the subject matter contained herein.
There are no representations, agreements, arrangements, or understandings, oral or written, express
or implied, between or among the parties hereto, relating to the subject matter of this Agreement,
which are not fully expressed herein. The terms and conditions of this Agreement shall prevail,
notwithstanding any variance in this Agreement from the terms and conditions of any other
document relating to this transaction or these transactions.
Tejas HOT Funding PY2006 - Page 7
5.9 Duplicate Originals. This Agreement is executed in duplicate originals.
5.10 Headings. The headings and subheadings of the various sections and paragraphs of this
Agreement are inserted merely for the purpose of convenience and do not express or imply any
limitation, definition, or extension of the specific terms ofthe section and paragraph so designated.
5.11 Severability. If any section, subsection, paragraph, sentence, clause, phrase or word in this
Agreement, or application thereof to any person or circumstance is held invalid by any court of
competent jurisdiction, such holding shall not affect the validity of the remaining portions of this
Agreement, and the parties hereby declare they would have enacted such remaining portions despite
any such invalidity.
5.12 Insurance. ASSOCIATION shall provide insurance as follows:
1. $500,000 Commercial General Liability, or $1,000,000 Event fusurance, covering
all events taking place on City-owned property
2. Statutory Workers' Compensation and Employers' Liability
($100,000/$500,000/$100,000)
3. $250,000 LiquorlDram Shop Liability for any event occumng on City-owned
property where alcohol will be provided or served
CITY must be named as an additional insured on all policies (except Workers' Compensation) and
proof of coverage shall be submitted prior to any payment by CITY.
EXECUTED this _ day of
,2005
THE CITY OF DENTON, TEXAS
By:
EULINE BROCK, MAYOR
ATTEST:
APPROVED AS TO LEgMJ~:)O!W. .:
_.~-'---
c.--'-.-
~.~...
.,.-".rr....~
/./'
By:
JENNIFER WALTERS,
CITY SECRETARY
,;,r'
Tejas HOT Funding PY2006 - Page 8
TEJAS STORYTELLING ASSOCIATION,
INC.
BY~~
rm rrector
ATTEST:
APPROVED AS TO LEGAL FORM:
By:
Secretary
By:
Tejas HOT Funding PY2006 - Page 9
Tejas Storytelling Association
Texas Storytelling Festival
ADVERTISING
Print Advertising
Marketing & Promotions
Direct Mail
Video & Photography
Website
Radio
$ 10,000
3,500
8,000
800
800
10,000
$ 33,100
ART
Performers
Site Operations
$ 5,900
5,000
$ 10,900
TOTAL BUDGET $ 44,000
Exhibit A
AGENDA INFORMATION SHEET
AGENDA DATE: September 20,2005
DEPARTMENT: Economic Development
CM: Mike Conduff_
SUBJECT
Consider adoption of an ordinance of the City of Denton authorizing an agreement between the
City of Denton, Texas and Opening Doors Immigration Services for provision of assistance to
victims of domestic violence; providing for the expenditure of funds therefore; and providing for
an effective date.
BACKGROUND
Council member Jack Thomson has requested provision of funding to Opening Doors
Immigration Services to provide assistance to victims of domestic violence.
ESTIMA TED PROJECT SCHEDULE
The funding agreement specifies that the expenditure of all funds should take place before
September 30,2005.
PRIOR ACTIONIREVIEW(Councils. Boards. Commissions)
There was no prior action regarding the allocation of funds to Opening Doors.
FISCAL INFORMATION
Funding of $500 to be expended under the agreement is from Council contingency funds.
EXHIBITS
1. Ordinance
2. Service Agreement
Linda Ratliff
Director of Economic Development
Prepared by:
Barbara Ross
Community Development Administrator
S:\Our Documents\Ordinances\05\Opening Doors ord.doc
ORDINANCE NO.
AN ORDINANCE OF THE CITY OF DENTON AUTHORIZING AN AGREEMENT BETWEEN
THE CITY OF DENTON, TEXAS AND OPENING DOORS IMMIGRATION SERVICES FOR
PROVISION OF ASSISTANCE TO VICTIMS OF DOMESTIC VIOLENCE; PROVIDING FOR
THE EXPENDITURE OF FUNDS; AND PROVIDING FOR AN EFFECTIVE DATE.
WHEREAS, the Opening Doors Immigration Services, a Texas non-profit corporation, (the
"Organization") provides assistance to immigrant households in the City of Denton where one or
more residents have been the victim(s) of domestic violence (the "Program"); and
WHEREAS, the Organization and the City of Denton desire to enter into an agreement to
provide for the continuance of the Program which agreement is substantially in the same form as the
agreement attached hereto and made a part hereof by reference (the "Agreement"); and
WHEREAS, the City Council ofthe City of Denton hereby finds that the Agreement between
the City and the Organization attached hereto and made a part hereofby reference serve a municipal
and public purpose and the Agreement is in the public interest; NOW, THEREFORE,
~
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. The findings set forth in the preamble of this ordinance are incorporated by
reference into the body ofthis ordinance as if fully set forth herein.
SECTION 2. The City Manager, or his designee, is hereby authorized to execute the
Agreement and to carry out the duties and responsibilities of the City under the Public Service
Agreement, including the expenditure of funds as provided in the Public Agreement.
SECTION 3. This ordinance shall become effective immediately upon its passage and
approval.
PASSED AND APPROVED this the
day of
,2005.
EULINE BROCK, MAYOR
S:\Our Documents\Ordinances\05\Opening Doors ord.doc
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
BY:
Page 2
S:\OUf Documents\Contracts\05\Opening Doors.doc
SERVICE AGREEMENT
BETWEEN THE CITY OF DENTON, TEXAS AND
OPENING DOORS IMMIGRATION SERVICES IMMIGRATION SERVICE
This Agreement is hereby entered into by and between the City of Denton, Texas, a Home Rule
Municipal Corporation, hereinafter referred to as "City", and Opening Doors hnmigration Services,
a Texas Non-Profit Corporation, hereinafter referred to as "Opening Doors Immigration Services";
WHEREAS, City has determined that the proposal for services merits assistance and can
provide needed services to citizens of City and has provided ftmds in its budget for the purpose of
paying for contractual services; and
WHEREAS, this Agreement serves a valid municipal and public purpose and is in the public
interest as it will promote tourism and economic development within the City, among other things;
NOW, THEREFORE, the parties hereto mutually agree as follows:
I. SCOPE OF SERVICES
Opening Doors Immigration Services shall in a satisfactory and proper manner perform the
following tasks, for which the monies provided by City may be used:
The funds being provided shall be used by Opening Doors Immigration Services to assist
immigrant households where one or more of the household members have been the victim(s) of
domestic violence. Use <?ffunds may include operating costs of the program and training.
II. OBLIGATIONS OF OPENING DOORS IMMIGRATION SERVICES
In. consideration ofthe receipt of funds from City, Opening Doors hnmigration Services agrees
to the following terms and conditions:
A. Five Hundred Dollars and no/l 00 ($500.00) shall be paid to Opening Doors Immigration
Services by City to be utilized for the purposes set forth in Article I.
B. Opening Doors Immigration Services will maintain adequate records to establish that the
City funds are used for the purposes authorized by this Agreement.
C. Opening Doors Immigration Services will permit authorized officials of City to review its
books at any time.
D. Upon request, Opening Doors Immigration Services will provide to City its By Laws and
any of its rules and regulations that may be relevant to this Agreement.
E. Opening Doors hnmigration Services will not enter into any contracts that would
encumber City funds for a period that would extend beyond the term of this Agreement.
F. Opening Doors hnmigration Services will appoint a representative who will be available
to meet with City officials when requested.
G. Opening Doors hnmigration Services will submit to City copies of year-end audited
financial statements.
m. TIME OF PERFORMANCE
The services funded by City shall be undertaken and completed by Organization within the
following time frame:
August 1,2005 through September 30,2005, unless the contract is sooner terminated under
Section VII 1tSuspension or Termination".
IV. PAYMENTS
A. PAYMENTS TO OPENING DOORS IMMIGRA nON SERVICES. City shall pay to Opening Doors
Immigration Services the sum specified in Article IT after the effective date of this Agreement.
B. EXCESS PAYMENT. Opening Doors hnmigration Services shall refund to City within ten
(10) working days of City's request, any sum of money which has been paid by City and which City
at any time thereafter determines:
1) has resulted in overpayment to Opening Doors Immigration Services; or
2) has not been spent strictly in accordance with the terms of this Agreement; or
3) is not supported by adequate documentation to fully justify the expenditure.
V. EVALUATION
Opening Doors Immigration Services agrees to participate in an implementation and
maintenance system whereby the services can be continuously monitored. Opening Doors
hnmigration Services agrees to make available its financial records for review by City at City's
discretion. In addition, Opening Doors hnmigration Services agrees to provide City the following
data and reports, or copies thereof:
A. All external or internal audits. Opening Doors hnmigration Services shall submit a copy of
the annual independent audit to City within ten (10) days of receipt.
B. All external or internal evaluation reports.
C. An explanation of any major changes in program services.
Page 2 of7
D. To comply with this section, Opening Doors Immigration Services agrees to maintain
records that will provide accurate, current, separate, and complete disclosure of the status of funds
received and the services performed under this Agreement. The record system of Opening Doors
Immigration Services shall contain sufficient documentation to provide in,detail full support and
justification for each expenditure. Opening Doors Immigration Services agrees to retain all books,
records, documents, reports, and written accounting procedures pertaining to the services provided
and expenditure of funds under this Agreement for five years.
E. Nothing in the above subsections shall be construed to relieve Opening Doors Immigration
Services of responsibility for retaining accurate and current records that clearly reflect the level and
benefit of services provided under this Agreement.
VI. DIRECTORS' MEETINGS
During the term of this Agreement, Opening Doors Immigration Services shall deliver to City
copies of all notices of meetings of its Board of Directors, setting forth the time and place thereof
wherein this program is a part ofthe subject matter of the meeting. Such notice shall be delivered to
City in a timely manner to give adequate notice, and shall include an agenda and a brief description
of the matters to be discussed. Opening Doors Immigration Services understands and agrees that
Citys representatives shall be afforded access to all meetings of its Board of Directors.
Minutes of all meetings of Opening Doors Immigration Services' governing body shall be
available to City within ten (10) working days of approval.
VIT. TERMINATION
The City may terminate this Agreement for cause if Opening Doors Immigration Services
violates any covenants, agreements, or guarantees of this Agreement, the Opening Doors
Immigration Services's insolvency or filing of ban1cruptcy, dissolution, or receivership, or the
Opening Doors Immigration Services' violation of any law or regulation to which it is bound under
the terms of this Agreement. The City may terminate this Agreement for other reasons not
specifically enumerated in this paragraph.
vm. EQUAL OPPORTUNITY AND COMPLIANCE WITH LAWS
A. Opening Doors Immigration Services shall comply with all applicable equal employment
opportunity and affirmative action laws or regulations.
B. Opening Doors Immigration Services will furnish all information and reports requested by
City, and will permit access to its books, records, and accounts for purposes of investigation to
ascertain compliance with local, State and Federal rules and regulations.
C. ill the event of non-compliance by Opening Doors Immigration Services with the
non-discrimination requirements, the Agreement may be canceled, terminated, or suspended in
whole or in part, and Opening Doors Immigration Services may be barred from further contracts with
City.
Page 3 of7
IX. WARRANTIES
Opening Doors Immigration Services represents and warrants that:
A. All information, reports and data heretofore or hereafter requested by City and
furnished to City, are complete and accurate as of the date shown on the information, data, orreport,
and, since that date, have not undergone any significant change without written notice to City.
B. Any supporting financial statements heretofore requested by City and furnished to
City, are complete, accurate and fairly reflect the financial conditions of Opening Doors Immigration
Services on the date shown on said report, and the results of the operation for the period covered by
the report, and that since said data, there has been no material change, adverse or otherwise, in the
financial condition of Opening Doors Immigration Services.
C. No litigation or legal proceedings are presently pending or threatened against Opening
Doors Immigration Services.
D. None of the provisions herein contravenes or is in conflict with the authority under
which Opening Doors Immigration Services is doing business or with the provisions of any existing
indenture or agreement of Opening Doors Immigration Services.
E. Opening Doors Immigration Services has the power to enter into this Agreement and
accept payments hereunder, and has taken all necessary action to authorize such acceptance under the
terms and conditions ofthis Agreement.
F. None of the assets of Opening Doors Immigration Services are subject to any lien or
encumbrance of any character, except for current taxes not delinquent, except as shown in the
financial statements furnished by Opening Doors Immigration Services to City.
Each ofthese representations and warranties shall be continuing and shall be deemed to
have been repeated by the submission of each request for payment.
X. CHANGES AND AMENDMENTS
A. Any alterations, additions, or deletions to the terms of this Agreement shall be by
written amendment executed by both parties, except when the terms of this Agreement expressly
provide that another method shall be used.
B. It is understood and agreed by the parties hereto that changes in the State, Federal or
local laws or regulations pursuant hereto may occur during the term of this Agreement. Any such
modifications are to be automatically incorporated into this Agreement without written amendment
hereto, and shall become a part of the Agreement on the effective date specified by the law or
regulation.
Page 4 of7
C. Opening Doors Immigration Services shall notifY City of any changes in personnel or
governing board composition.
XI. INDEMNlFICATION
To the extent authorized by law, the Opening Doors Immigration Services agrees to indemnify,
hold hannless, and defend the CITY, its officers, agents, and employees from and against any and all
claims or suits for injuries, damage, loss, or liability of whatever kind or character, arising out of or in
connection with the performance by the Opening Doors Immigration Services or those services
contemplated by this Agreement, including all such claims or causes of action based upon common,
constitutional or statutory law, or based, in whole or in part, upon allegations of negligent or intentional
acts of Opening Doors Immigration Services, its officers, employees, agents, subcontractors, licensees
and invitees.
XII. CONFLICT OF INTEREST
A. Opening Doors Immigration Services covenants that neither it nor any member of its
governing body presently has any interest, direct or indirect, which would conflict in any manner or
degree with the performance of services required to be performed under this Agreement. Opening
Doors Immigration Services further covenants that in the performance of this Agreement, no person
having such interest shall be employed or appointed as a member of its governing body.
B. Opening Doors Immigration Services further covenants that no member of its governing
body or its staff, subcontractors or employees shall possess any interest in or use his/her position for
a purpose that is or gives the appearance of being motivated by desire for private gain for
himselflherself, or others; particularly those with which he/she has family, business, or other ties.
C. No officer, member, or employee of City and no member of its governing body who
exercises any function or responsibilities in the review or approval of the undertaking or carrying out
of this Agreement shall participate in any decision relating to the Agreement which affects his
personal interest or the interest in any corporation, partnership, or association in which he has direct
or indirect interest.
XIII. NOTICE
Any notice or other written instrument required or permitted to be delivered under the terms of
this Agreement shall be deemed to have been delivered, whether actually received or not, when
deposited in the United States mail, postage prepaid, registered or certified, return receipt requested,
or via hand-delivery or facsimile, addressed to Opening Doors Immigration Services or City, as the
case may be, at the following addresses:
Page 5 of7
CITY
SERVICES
OPENING DOORS IM:MIGRATION
City of Denton, Texas
Attn: City Manager
215 E. McKinney
Denton, TX 76201
Fax No. 940.349.8591
Ann Starnes, Executive Director
Opening Doors hnmigration Services
2200 N. Bell Avenue
Denton, TX 76209
Fax No. 940.891.0466
Either party may change its mailing address by sending notice of change of address to the other
at the above address by certified mail, return receipt requested.
XN. MISCELLANEOUS
A. Opening Doors hnmigration Services shall not transfer, pledge or otherwise assign
this Agreement or any interest therein, or any claim arising thereunder to any party or parties, bank,
trust company or other financial institution without the prior written approval of City.
B. rf any provision of this Agreement is held to be invalid, illegal, or unenforceable, the
remaining provisions shall remain in full force and effect and continue to conform to the original
intent of both parties hereto.
C. In no event shall any payment to Opening Doors Immigration Services hereunder, or
any other act or failure of City to insist in anyone or more instances upon the terms and conditions
of this Agreement constitute or be construed in any way to be a waiver by City of any breach of
covenant or default which may then or subsequently be committed by Opening Doors hnmigration
Services. Neither shall such payment, act, or omission in any manner impair or prejudice any right,
power, privilege, or remedy available to City to enforce its rights hereunder, which rights, powers,
privileges, or remedies are always specifically preserved. No representative or agent of City may
waive the effect of this provision.
D. This Agreement, together with referenced exhibits and attachments, constitutes the
entire agreement between the parties hereto, and any prior agreement, assertion, statement,
understanding, or other commitment occuning during the term of this Agreement, or subsequent
thereto, have any legal force or effect whatsoever, unless properly executed in writing, and if
appropriate, recorded as an amendment ofthis Agreement.
E. This Agreement shall be interpreted in accordance with the laws of the State of Texas and
venue of any litigation concerning this Agreement shall be in a court of competent jurisdiction sitting
in Denton County, Texas.
Page 6 of7
IN WITNESS WHEREOF, the parties do hereby affix their signatures and enter into this
Agreement as oithe day of ,2005.
PASSED AND APPROVED this the
day of
, 2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
BY:
OPENING DOORS IMMIGRATION
SERVICES
By:a~ JIt- r-
ANN STARNES -"""'--
EXECUTIVE DIRECTOR
ATTEST:
BY:
BOARD SECRETARY
Page 7 of7
AGENDA INFORMATION SHEET
AGENDA DATE: September 20,2005
DEPARTMENT: City Manager's Office
CM/DCM/ACM: Michael A. Conduff, City Manager
SUBJECT:
Consider adoption of an ordinance authorizing the City Manager to execute a personal services
agreement with Barbara T. McCall Associates, Inc. to provide certain information and services
with regard to legislation of interest to the city.
BACKGROUND:
Since 1997, Denton has joined the cItIes of Austin and Dallas as part of the Texas Cities
Legislative Coalition that contracts for Washington representation by Barbara T. McCall
Associates, Inc. Ms. McCall provides representation assistance to local governments and their
agencies. As our Washington representative, Ms. McCall provides information about legislative
and executive action on issues of common interest, transmits the city's position on issues to the
Congressional delegation and to the Administration, and pursues defined projects or individual
legislative priorities for each city. This includes establishing and maintaining contact with the
Texas Senators and the city's Representatives. As our Washington representative, she maintains
communications with the White House and many federal agencies and departments.
The services of Barbara T. McCall Associates, Inc. have been beneficial to the City of Denton in
keeping elected officials and staff aware of federal grant deadlines and pending legislation that
could impact the city. During this last fiscal year, Ms. McCall's services have assisted with
HUD funding, airport improvements, homeland security and transportation issues.
The 2005-2006 contract provides thirty-six (36) hours of assured-usage hours, optional hours not
to exceed one hundred fifty (150), and expenses not to exceed $5,000. As funding for local
government initiatives has become more competitive, Ms. McCall's assistance in keeping
Denton's priorities before our Congressional delegation has become increasingly important.
RECOMMENDA TIONS:
Approve the ordinance allowing the City Manager to execute the contract.
PRIOR ACTIONIREVIEW (Council, Boards, Commission):
Previous contracts have been approved in 1998-2003 with the adoption of Ordinance No. 98-
348, Ordinance No. 99-380, Ordinance No. 2000-356, Ordinance No. 2001-321, Ordinance No.
2002- 290, Ordinance No. 2003-293 and Ordinance No. 2004-294.
FISCAL INFORMATION:
The contract for fiscal year 2006 is not to exceed $42,750 and reflects no increase in cost. The
funding for the contract has been included in the 2005-2006 fiscal year budget scheduled for
approval on September 20,2005.
Respectfully submitted:
Betty Williams
Director of Management & Public
Information
Attachments: Ordinance
Contract
s:\Our Documents\Ordinances\05\McCall Contract Ordinance 2005.doc
ORDINANCE NO.
AN ORDINANCE AUTHORIZING THE CITY MANAGER TO EXECUTE A PERSONAL
SERVICES AGREEMENT WITH BARBARA T. MCCALL ASSOCIATES, INC. TO
PROVIDE CERTAIN INFORMATION AND SERVICES WITH REGARD TO
LEGISLATION OF INTEREST TO THE CITY; AUTHORIZING THE EXPENDITURE OF
FUNDS THEREFORE; AND PROVIDING AN EFFECTNE DATE.
WHEREAS, the City of Denton wishes to employ Barbara T. McCall Associates, Inc. to
prov'ide personal services with regard to legislation which is of interest to the City; and
WHEREAS, the City of Denton will be participating with a number of other cities that
have entered into similar Personal Services Agreements with Barbara T. McCall Associates, Inc.;
and
WHEREAS, due to the concurrent participation of other Texas cities and that Barbara T.
McCall has unique qualifications and experience that no other person can offer the City during
this period of time as a Personal Services Contract, this Contract is exempt from competitive
bidding in accordance with Tex. Loc. Gov't Code 9252.002(a)(4); and
WHEREAS, the City Council deems it in the public interest to authorize the City
Manager to enter into a Personal Services Contract with Barbara T. McCall Associates, Inc. for
the above-mentioned legislative services; NOW, THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. The City Manager is hereby authorized to enter into a Personal Services
Agreement with Barbara T. McCall Associates, Inc., substantially in the form of the attached
Agreement, which is made a part of this ordinance for all purposes, to provide information about
legislation and other related personal services to the City.
SECTION 2. The City Manager is hereby authorized to make the expenditures as
outlined in the attached Agreement.
SECTION 3. This ordinance shall become effective immediately upon its passage and
approval.
PASSED AND APPROVED this the
day of
, 2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
::wm~ORNEY
Page 2
PERSONAL SERVICES AGREEMENT
Between the City of Denton, Texas
State of Texas, County of Denton
and
BARBARA T. McCALL ASSOCIATES, INC.
Washington, D.C.
VYHEREAS, the City of Denton, ("City"), in consultation with other major cities in
Texas, has determined that there is a need for jointly sponsored Washington representation; and
WHEREAS, this need is particularly pressing in relation to:
1. information about legislative and executive action on issues of common interest,
2. transmitting City positions on these issues to the Congressional delegation and to
the Administration, and
3. obtaining individual City servIce to pursue defined projects or individual
legislative priorities; and
VYHEREAS, Barbara McCall, due to the concurrent participation of other Texas cities has
unique qualifications and experience that no other person can offer the city during this period of
time; and
WHEREAS, Barbara T. McCall is known to the Cities and is capable of and willing to
undertake such representation in Washington as a personal services contract exempt from
competitive bidding in accordance with Section 252.022 (a) of the Texas Local Government
Code;
NOW, THEREFORE, the City of Denton, in association with and recognizing the
concurrent participation of the Cities of Austin and of Dallas (collectively, the "Cities"), enters
into this personal services agreement with Barbara T. McCall Associates, Inc. ("Consultanet).
1
1. OBLIGATIONS OF THE CONSULTANT
A. The Consultant will operate a unit to act as a Washington office for the Cities and
head this unit and as Washington Assistant to the Cities. The Consultant will
furnish requisite staff, office space, utilities, furnishings, and equipment,
secretarial services, common-use office supplies and services, and general
administrative support.
B. The Consultant will consult with the "Committeett (see Section lIE) to determine
issues of specific interest to the Cities and to determine policies and positions
which the Cities as a group hold and wish to be pursued. In cases in which the
City positions differ from or conflict with the Citiest group position, the
Consultant will consult with the City and the Committee to determine the proper
course of action.
C. Information.
1. The Consultant will provide regular information on Washington issues and
events of interest to the Cities. This will be done by:
a) a regular "Washington Report,"
b) written reports, bulletins, and memoranda on developments
regarding Texas-specific issues, and
c) direct phone contact.
2. The Consultant wil1present federal affairs briefmgs for
the Cities at times and places specified by the Committee.
D. Congressional Relations.
The Consultant will establish and maintain on a regular basis contact with the
Texas Senators and the Cities' delegation in the House of Representatives.
E. Administrative Relations.
The Consultant will advise and consult on behalf of the City with the White
House and the following federal agencies or departments: Commerce, SBA,
Treasury, HUD, Labor, HHS, DOT, EPA, Interior, Justice, DOE, and such other
agencies, departments and commissions as may be necessary to the performance
of Washington service to the City.
2
F. illdividual City Services.
1. The Consultant will initiate and pursue research, reports, meetings~
consultation and other activities on matters of interest to the City and will
respond to requests for similar actions from the City. She will inform the
Administration and Congress of the needs of the City. Such services and
activities will be provided at a cost of$105.00 per hour.
2. Should billable costs for the contract period appear to exceed the costs
specified in Sections n~ B or C. The consultant will notify the City,
together with her estimates of the extra amounts expected to be required,
the reasons therefore, and her recommendation to the City.
II. OBLIGATIONS OF THE CITY
A. The City will contract with the Consultant for specified services for a period of
one year, commencing October 1, 2005 and ending September 30,2006.
B. Service Costs
1. The service cost of this Contract is composed of three elements:
a) A retainer of eighteen thousand two hundred and twenty dollars
($18,220.00) per the one year period.
b) Thirty-six assured-usage hours of service at one hundred and five
dollars ($105.00) per hour, totaling three thousand seven hundred
eighty dollars ($3~780.00).
c) Optional use hours of service at the rate of one hundred five dollars
($105.00) per hour~ not to exceed fifteen thousand seven hundred
fifty dollars ($15,750.00).
C. Reimbursable Costs--Not to Exceed five thousand dollars ($5,000.00).
1. Costs incident to travel outside Washington~ D.C. for long-distance
telephone calls and for expedited communication services shall be
reimbursed to the Consultant upon submission of its invoice to the City. It
is understood that travel is to be pre-authorized by the City or the
Committee. ill the case of travel authorized by the Committee, the City
agrees to pay its pro-rata share of the costs.
2. Costs for the following items which exceed the allocation for such items in
the basic contract cost shall~ when authorized by the City and the
3
Committee, be reimbursed to the Consultant upon presentation of an
mVOlce:
a) Subscription and dues.
b) Printing and graphics.
c) Supplies.
d) Provision oflocal ground transportation in Washington.
e) Rental of meeting facilities and other meeting expenses.
3. If an expenditure under this section is authorized by the Committee, the
City agrees to pay its pro-rata share.
D. Contract costs are payable as follows:
1. The retainer and assured hourly costs of twenty two thousand dollars
($22,000) are payable, quarterly, in advance in these amounts:
October 1, 2005
$5,500.00
January 1, 2006
$5,500.00
April 1, 2006
$5,500.00
July 1, 2006
$5,500.00
2. The optional hourly costs above the first thirty-six hours of service are
payable upon billing by the Consultant, after the assured hours of service
have been exceeded. (Sec. II, B. 2)
E. The Committee.
1. The City will appoint a member to a Committee of the Cities associated in
this effort. The Committee will appoint its own chairperson and determine
the times and places of its meetings. The functions of the Committee are:
a) to determine common positions on federal issues which the
Consultant is to pursue on behalf of the Cities.
b) to discuss apparent conflicts or differences on issues or projects
which may arise among the Cities and to resolve them in terms of a
course of action for the Consultant.
4
c) to monitor the function and operation of the Washington office to
determine ifit is fulfilling the goals and objectives for which it was
designed.
d) to authorize travel and other reimbursable expenses to be incurred
for the common purposes ofthe Cities.
F. General.
1. The City will inform the Consultant of the person(s) authorized to request
services and to serve as the chief contact.
2. The City will supply the Consultant with a summary of the federal
programs in which the City is participating and other information
necessary to an understanding of the City's purposes in relation to the
federal government.
III. THE CITY AND THE CONSULTANT AGREE THAT CERTAIN EXCLUSIONS
SHALL APPLY.
The Consultant will not:
A. Directly or indirectly participate in or intervene in any political
campaign on behalf of or in opposition to any candidate for city office.
B. Will not represent the interests of local constituents in pursuit of
federal business.
C. By virtue of this agreement, represent other local agencies in the
City except those which are instrumentalities or agencies of the City.
D. Perform any legal, engineering, accounting, or other similar
professional services.
E. Expend more than two thousand five hundred dollars ($2,500.00)
provided by this contract in efforts to influence HUD directly, as specified in Sec
7 (d) and 13 (g) of the Department of Housing and Urban Development Act 42
USC 3535 (d) and 3537 beg) and 24 CFR Sec. 86.1.
IV. THE CITY AND THE CONSULTANT AGREE
A. Either party may terminate this agreement at any time by giving the other at least
thirty days' written notice.
5
B. This agreement shall take effect on October 1, 2005.
V. PROFESSIONAL COMPETENCY
A. The Consultant agrees that in the performance of these personal services,
Consultant shall be responsible to the level of competency and shall use the same
degree of skill and care presently maintained by other practicing professionals
performing the same or similar types of work. For the purpose of this Agreement,
the key person who will be performing most of the work hereunder shall be
Barbara T. McCalL However, nothing herein shall limit Consultant from using
other qualified and competent members of her firm to perform the services
required herein so long as they are working in a support role to Ms. McCall.
B. The City shall be able to make copies of any reports and documents prepared or
obtained under the terms of this Agreement. The City shall be able to use copies
of these reports and documents without restriction on their use and without further
compensation to Consultant.
VI. ESTABLISHMENT AND MAINTENANCE OF RECORDS
Full and accurate records shall be maintained by the Consultant at its place of business
with respect to all matters covered by this Agreement. Such records shall be maintained
for a period of at least three years after receipt of final payment under this Agreement.
VII. AUDITS AND INSPECTION
At any time during normal business hours and upon reasonable notice to the Consultant,
there shall be made available to the City all of the Consultant's records with respect to all
matters covered by this Agreement. The Consultant shall permit the City to audit,
examine, and make excerpts or transcripts from such records, and to make audits of
contracts, invoices, materials, and other data relating to all matters covered by this
Agreement.
VIII. INDEMNITY AND INDEPENDENT CONTRACTOR RELATIONSHIP
A. The Consultant shall perform all services as an independent contractor not under
the direct supervision and control of the City. Nothing herein shall be construed
as creating a relationship of employer and employee between the parties. The
City and Consultant agree to cooperate in the defense of claims, actions, suits, or
proceedings of any kind brought by a third party which may result from or
directly or indirectly arise from any negligence and/or errors or omissions on the
part of the Consultant or from any breach of the Consultant's obligations under
this Agreement. In the event of any litigation or claim under this Agreement in
which the City is joined as a party, Consultant shall provide suitable counsel to
defend City and Consultant against such claim, provided the Consultant shall have
6
the right to proceed with the competent counsel of its own choosing. The
Consultant agrees to defend, indemnify, and hold harmless the City and all of its
officers, agents, servants, and employees against any all such claims to the extent
of coverage by Consultant's commercial liability policy. The Consultant agrees
to pay all expenses, including, but not limited to attorney's fees, and satisfY all
judgments which may be incurred or rendered against the Consultant's
commercial liability insurance policy. Nothing herein constitutes a waiver of any
rights or remedies the City may have to pursue under either law or equity,
including, without limitation, a cause of action for specific performance or for
damages, a loss to the City resulting from Consultant's negligent errors or
omissions, or breach of contract, and all such rights and remedies are expressly
reserved.
B. Consultant shall maintain and shall be caused to be in force at all times during the
term of this Agreement, a legally binding policy of commercial liability
insurance, with a rating of at least A- with Best Rated Carriers. Such coverage
shall cover any claim hereunder occasioned by the Consultant's negligent
professional act and/or error or omission, in an amount not less than $500,000
combined single limit coverage occurrence. ill the event of change or
cancellation of the policy by the insurer, the Consultant hereby covenants to
forthwith advise the City thereof; and in such event, the consultant shall, prior to
the effective date of change or cancellation, serve substitute policies furnishing
the same coverage. The Consultant shall provide a copy of such policy or the
declarations page of the policy or a certificate of insurance, whichever is
reasonably satisfactory, to the City through its City Manager simultaneously with
the execution of this Agreement.
IX. COMPLIANCE WITH LAWS
The consultant shall comply with all applicable laws.
x. GOVERNING LAW
This agreement shall be governed by the laws of the State of Texas, venue and
jurisdiction of any suit or cause of action arising under this agreement shall lie
exclusively in a court of competent jurisdiction sitting in Denton County, Texas.
7
In witness hereof~ the City of Denton, Texas, has caused this agreement to be executed by its
duly authorized City Manager and Consultant has executed this agreement through its duly
authorized President, dated this _ day of2005.
FOR THE CITY OF DENTON, TEXAS
Michael A. Conduff
City Manager
Attest:
Jennifer Walters
City Secretary
~b~",j iJl/c(A
Barbara T. McCall, President
Barbara T. McCall Associates, Inc.
1212 New York Ave, NW
Washington, DC 20005
202-842-5430
Federal Employer ill #: 52-1906049
By:
Ed Snyder, City Attorney
8
AGENDA INFORMATION SHEET
AGENDA DATE: September 20, 2005 Questions concerning this
acquisition may be directed
DEPARTMENT: Materials Management to Sharon Mays 349-8487
ACM: Kathy DuBose ..
SUBJECT
Consider adoption of an Ordinance of the City of Denton, Texas authorizing the expenditure
of funds for payments by the City of Denton for electrical energy transmission fees to those
cities and utilities providing energy transmission services to the City of Denton; and
providing an effective date (File 3396-Electrical Energy Transmission Fees in the total
amount of $134,421). (The Public Utility Board approved this item by a vote of 4-0).
BID INFORMATION
This item is for an additional "true up" amount to be paid for transmission fees exceeding
$25,000 for the time period ending September 30, 2005. Council approved an estimated
amount of $268,836 on May 5, 2005. The purchase order is for payment of a fee imposed by
the Public Utility Commission of Texas (PUCT) for planned transmission services of energy
delivered to the City of Denton. The Public Utility Regulatory Act of 1995 (PURA 95)
required the development of a new, statewide mechanism for electric transmission service in
Texas. PURA 95 also placed municipal utilities under the jurisdiction of PUCT for matters
related to transmission. As a result, the Denton Municipal Electric Utility has been ordered
by the PUCT to pay specific amounts to various other electric utilities in the State. Purchase
orders provide the City of Denton the authority required by the City Charter to make those
payments and encumber funds estimated as costs for services. No funds are actually spent
until invoices are received, reviewed, and approved.
RECOMMENDA TION
Approve payment of electrical transmission fee to Lower Colorado River Authority in the
amount of $134,421.
PRIOR ACTIONNIEW (COUNCIL, BOARDS, COMMISSIONS)
The Public Utility Board approved this item at its September 12, 2005 meeting.
PRINCIPAL PLACE OF BUSINESS
Lower Colorado River Authority
Austin, TX
FISCAL INFORMATION
Funds to meet these regulatory fee obligations were budgeted in 2004-2005 budget account
600400.6072.
Agenda Information Sheet
September 20, 2005
Page 2
Respectfully submitted:
~~~
Tom Shaw, C.P.M., 349-7100
Purchasing Agent
I-AIS-File 3396
ORDINANCE NO.
AN ORDINANCE OF THE CITY OF DENTON, TEXAS AUTHORIZING THE EXPENDITURE
OF FUNDS FOR PAYMENTS BY THE CITY OF DENTON FOR ELECTRICAL ENERGY
TRANSMISSION FEES TO THOSE CITIES AND UTILITIES PROVIDING ENERGY
TRANSMISSION SERVICES TO THE CITY OF DENTON; AND PROVIDING AN EFFECTIVE
DATE (FILE 3396-ELECTRICAL ENERGY TRANSMISSION FEES IN THE TOTAL AMOUNT
OF $134,421).
WHEREAS, in order to comply with the legislative requirements contained in the Utility
Regulatory Act of 1995, for the payment for energy transmission services fees, the City of Denton is
required to pay such fees imposed by the Public Utilities Commission of Texas to one listed utility
set forth in Exhibit "A": and
WHEREAS, the City Manager has reviewed and recommended that the City Council
approve and authorize the payment of such; NOW, THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. The expenditure offunds in the amount of$134,421 to be paid to the listed
utility in the specified amount shown on Exhibit "A", which is attached to and made a part of this
ordinance for all purposes is hereby authorized.
SECTION 2. This ordinance shall become effective immediately upon its passage and
approval.
PASSED AND APPROVED this the
day of
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
BY. ~
3-0RD-FILE 3396
Lower Colorado River Authority
EXHIBIT A
$134,421
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CITY OF DENTON, TEXAS
PUBLIC UTILITIES BOARD MEETING AGENDA
FOR SEPTEMBER 12, 2005
9:00 A. M.
DRAFT
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After determining that a quorum of the Public Utilities Board of the City of Denton, Texas was
present, the Public Utilities Board convened into an Open Meeting on Monday, Sept 12, 2005 at
9:12 a.m. in the Service Center Training Room, City of Denton Service Center, 901-A Texas
Street, Denton, Texas.
Present:
Bob Bland, Bill Cheek, Charldean Newell, Dick Smith
John Baines arrived at approximately 11 :06 a.m.
EX OFFICIO MEMBERS
Michael Conduff, City Manager
Howard Martin, ACM. /Utilities
Excused:
Phil Gallivan
George Hopkins
CONSENT AGENDA:
Approval of the Consent Agenda authorizes the Assistant City Manager for Utilities or his
designee, to implement each item in accordance with the staff recommendations. The Public
Utilities Board has received background information, staff s recommendations, and has had an
opportunity to raise questions regarding these items prior to consideration.
Listed below are bids or purchase orders or other matters to be brought before the Public Utilities
Board to be considered and approved for payment under Consent Agenda Items 1 through 4.
Detailed information is attached to each Consent Agenda item. This listing is provided on the
Consent Agenda to allow Public Utilities Board Members to discuss or withdraw an item prior to
approval of the Consent Agenda. If the item is pulled from consideration for separate discussion,
prior to its consideration, such item will be considered as the first item(s) taken up under the
"Items For Individual Consideration" section of the agenda, set forth below. The remaining
Consent Agenda Items will be approved with one motion, a second, and by a majority vote of the
Public Utilities Board Members who are present.
Page 1 of 2
1
2 1) Consider recommending approval authorizing the expenditure of funds for payments by the
3 City of Denton for electrical energy transmission fees to those cities and utilities providing
4 energy transmission services to the City of Denton; and providing an effective date (File
5 3396-Electrical Energy Transmission Fees in the total amount of $134,421).
6
7 2) Consider recommending approval for the purchase and installation of replacement Caron
8 landfill compactor wheel tips for use on the Caterpillar Model 826 compactor at the City's
9 landfill from Caron Compactor Company, Escalon, CA., in the amount of $34,397.84.
10
11 3) Consider recommending approval of an ordinance authorizing the abandonment and release
12 of certain blanket electric utility easements owned by the City, to the extent that they
13 encumber certain real property owned by Holigan Land Development, Ltd. containing
14 approximately 160.023 acres and being located in the Gideon Walker Survey, Abstract No.
15 1330, Denton, Denton County, Texas.
16
17 4) Consider recommending approval of a Professional Services Agreement between the City of
18 Denton and Arthur Surveying Co., Inc for the delivery of routine surveying services on a
19 work order basis for fiscal year 2005-2006, in an amount not to exceed $200,000.00.
20
21 Board Member Dick Smith moved to approve Consent Agenda Items 1-4 with a second
22 from Board Member Bob Bland. The motion was approved by a vote of 4 to O.
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Page 2 of 2
AGENDA INFORMATION SHEET
AGENDA DATE: September 20, 2005
DEPARTMENT: Materials Management
Questions concerning this
acquisition may be directed
to Tom Shaw 349-7100
ACM:
Kathy DuBose
..
SUBJECT
Consider adoption of an Ordinance authorizing the City Manager to execute an Interlocal
Cooperative Purchasing Program Agreement with the Dallas Independent School District, Texas
under Section 271.102 of the Local Government Code, to authorize participation in various
Dallas Independent School District contracts for the purchase of various goods and services;
authorizing the expenditure of funds therefore; and declaring an effective date (File 3404-
Interlocal Agreement with the Dallas Independent School District).
INTERLOCALAGREEMENT INFORMATION
Chapter 271.102 of the Local Government Code, authorizes respective participating governments
to enter into j oint contracts and agreements for the purchase of necessary materials, supplies, and
services. Over the past several years, the City of Denton and other entities have entered into
cooperative purchasing agreements that have been highly beneficial to the taxpayers through
anticipated savings. The attached agreement is an authorization to participate in contracts
awarded by the Dallas Independent School District and will remain in effect until terminated by
either party. Any acquisition exceeding $25,000 will be presented to Council for approval, prior
to issuing a purchase order.
This Interlocal Agreement will allow the City of Denton to utilize contracts for supplies and
services competitively bid by the Dallas Independent School District. In the past, we have
purchased such items as police sedans, tires, corrugated metal pipe, lubricants, oils, road
materials, and other supplies from similar agreements. The bid process followed by the Dallas
Independent School District meets all State bidding requirements and bid opportunities are
extended to all local suppliers.
ESTIMA TED SCHEDULE OF PROJECT
This agreement is effective upon approval by the Dallas Independent School District and will
remain in effect until terminated by either party.
RECOMMENDA TION
Approve this Interlocal Agreement between the City of Denton and Dallas Independent School
District.
Agenda Information Sheet
September 20, 2005
Page 2
FISCAL INFORMATION
Each acquisition, based on this agreement, will follow the City of Denton fiscal verification
policy and be charged to the appropriate budget account.
Respectfully submitted:
~~
Tom Shaw, C.P.M., 349-7100
Purchasing Agent
l-AIS-File 3404
ORDINANCE NO.
AN ORDINANCE AUTHORIZING THE CITY MANAGER TO EXECUTE AN
INTERLOCAL COOPERATIVE PURCHASING PROGRAM AGREEMENT WITH THE
DALLAS INDEPENDENT SCHOOL DISTRICT, TEXAS UNDER SECTION 271.102 OF
THE LOCAL GOVERNMENT CODE, TO AUTHORIZE PARTICIPATION IN VARIOUS
DALLAS INDEPENDENT SCHOOL DISTRICT CONTRACTS FOR THE PURCHASE OF
VARIOUS GOODS AND SERVICES; AUTHORIZING THE EXPENDITURE OF FUNDS
THEREFORE; AND DECLARING AN EFFECTIVE DATE (FILE 3404-INTERLOCAL
AGREEMENT WITH THE DALLAS INDEPENDENT SCHOOL DISTRICT).
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. The City Manager, or his designee is hereby authorized to execute the
Interlocal Cooperative Purchasing Program Agreement with the Dallas Independent School
District under Section 271.102 of the Local Government Code, substantially the same as the
copy of which is attached hereto and incorporated by reference herein (the "Agreement").
SECTION 2. The City Manager, or his designee is authorized to expend funds pursuant
to the Agreement for the purchase of various goods and services.
SECTION 3. This ordinance shall become effective immediately upon its passage and
approval.
PASSED AND APPROVED this the
day of
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
BY:
2-0RD-Interlocal Agreement With all
INTERLOCAL COOPERATIVE PURCHASING AGREEMENT
BETWEEN DALLAS INDEPENDENT SCHOOL DISTRICT AND CITY OF
DENTON, TEXAS
STATE OF TEXAS
COUNTY OF DENTON
THIS AGREEMENT is made on the day of ,2005,
between the City of Denton, and Dallas Independent School District; each referred to
herein as participating governments.
WHEREAS, the respective partIcIpating governments are authorized by the
Interlocal Cooperation Act, v.T.C.A. Government Code, Chapter 791, to enter into joint
contracts and agreements for the performance of governmental functions and services
including administrative functions normally associated with the operation of government
such as purchasing of necessary materials and supplies;
WHEREAS, it is the desire of the aforesaid participating governments to comply
with and further the policies and purpose of the Interlocal Cooperation Act;
WHEREAS, the participating governments cannot normally obtain the best
possible purchase price for materials and supplies acting individually and without
cooperation; and
WHEREAS, it is deemed in the best interest of all participating governments that
said governments do enter into a mutually satisfactory agreement for the purchase of
certain materials and supplies;
WHEREAS, the parties, in performing governmental functions or in paying for
the performance of governmental functions hereunder shall make that performance or
those payments from current revenues legally available to that party;
NOW, THEREFORE, the parties hereto, in consideration of the mutual covenants
and conditions contained herein and pursuant to the authority permitted under the
Interlocal Cooperation Act, promise and agree as follows:
I.
Purpose
The purpose of this Agreement is to authorize participation of the City of Denton
in various contracts for the purchase of various goods and services. Participation in this
cooperative program will be highly beneficial to the taxpayers of the City of Denton
through anticipated savings to be realized.
II.
Duration of Agreement
This Agreement shall be in effect from the date of execution until terminated by
either party to the agreement.
III.
Relationship of Parties
It is agreed that the City of Denton, in receiving products and/or services specified
in this agreement, shall act as an independent purchaser and shall have control of its
needs and the manner in which they are acquired. Neither the City of Denton, its agents,
employees, volunteer help or any other person operating under this contract shall be
considered an agent or employee of Dallas Independent School District and shall not be
entitled to participate in any pension plans or other benefits that Dallas Independent
School District provides its employees.
Dallas Independent School District shall notify all participating entities of
available contracts to include terms of contract, commodity cost, contact names and
addresses. Dallas Independent School District shall keep participating governments
informed of all changes to the Cooperative Purchasing list of contracts.
Nothing in this agreement shall prevent any participating government from
accepting and awarding bids for commodities subject to this agreement individually and
in its own behalf.
Tom D. Shaw, C.P.M., Purchasing Agent is hereby designated as the official
representative to act for the City of Denton in all matters relating to this agreement.
IV.
Purchase of Goods and Services
All products and services shall be procured by Dallas Independent School District
in accordance with procedures governing competitive bids and competitive proposals.
The participating government will be able to purchase from those contracts
established by Dallas Independent School District where notice has been given in the
specifications and successful bidder has accepted terms for Cooperative Purchasing
Agreements for local governments.
The participating governments hereto agree that the ordering of products and
services through this agreement shall be their individual responsibility and that the
successful bidder or bidders shall bill each participating government directly, or as
deemed advantageous to both participating governments.
The participating governments agree to pay successful bidders or antIcIpating
governments directly for all products or services received from current revenues available
for such purchase. Each participating government shall be liable to the successful bidder
only for products and services ordered by and received by it, and shall not by the
execution of this agreement assume any additional liability.
Dallas Independent School District does not warrant and is not responsible for the
quality or delivery of products or services from successful bidder. The participating
government shall receive all warranties provided by successful bidder for the products or
services purchased.
In the event that any dispute arises between individual participating government
and a successful bidder, the same shall be handled by and between the participating
government body and the bidder.
IN WITNESS WHEREOF, the parties hereto have caused this agreement to be
executed by their authorized officers thereon the day and the year first above written.
(CONTRACTING ENTITY)
CITY OF DENTON
By:
By:
Michael A. Conduff
City Manager
AGENDA INFORMATION SHEET
AGENDA DATE: September 20, 2005
DEPARTMENT: Materials Management
Questions concerning this
acquisition may be directed
to Mike Ellis 349-8424
ACM:
Kathy DuBose
..
SUBJECT
Consider adoption of an Ordinance accepting competItIve bids by way of an Interlocal
Cooperative Purchasing Program Participation Agreement with the Dallas Independent School
District under Section 271.102 of the Local Government Code, for the purchase of products and
services for an onsite vehicle parts facility; providing for the expenditure of funds therefore; and
providing an effective date (File 3405-Interlocal Agreement for the Purchase of Products and
Services for an Onsite Vehicle Parts Facility with the Dallas Independent School District,
contract awarded to Genuine Parts Company in the estimated amount of $839,946).
INTERLOCAL AGREEMENT INFORMATION
On March 28, 2005, the Dallas Independent School District opened competitive bids for the
purchase of products and services for an onsite vehicle parts facility. Dallas Independent School
District's Board awarded the contract on August 25, 2005. The prices received are very
competitive and the products and services bid match our existing needs. Section 271.102 of the
Local Government Code of the Texas General Code provides that Local Governments may agree
to purchase goods and services through Interlocal Agreements.
This contract for automotive/vehicle parts facility operation is included in the budget process.
Justification for this onsite operation or outsourcing of the vehicle maintenance parts and service
is based upon the information shown on Attachment 1, which was submitted by Mike Ellis,
Superintendent of Fleet Services.
RECOMMENDA TION
Award this contract for products and services for an onsite vehicle parts facility based upon the
Interlocal Agreement with the Dallas Independent School District.
PRINCIPAL PLACE OF BUSINESS
Genuine Parts Company dba "NAP A"
Mesquite, TX
Agenda Information Sheet
September 20, 2005
Page 2
ESTIMA TED SCHEDULE OF PROJECT
Contract start up is estimated to be October 1, 2005 and run through September 30, 2008 for a
three-year term.
FISCAL INFORMATION
Funding for this item will be provided from Parts Inventory account 820100.7899.
Respectfully submitted:
~~
Tom Shaw, C.P.M., 349-7100
Purchasing Agent
Attachment 1: Fleet Services Budget Proposal
Attachment 2: Contract for Services from Dallas Independent School District
l-AIS-File 3405
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00000000
Attachment 2
MASTER AGREEMENT FOR PRODUCTS AND SERVICES
BETWEEN DALLAS INDEPENDENT SCHOOL DISTRICT
J>.ND
GENUINE PARTS COMPANY
This Ma~ter Agreement for Products and Services ("Agreement") is between Genuine Parts Company ("Contractor"
or "NAPA") and the Dallas Independent School District (hereinafter "DISD" or "District") and shall be effective
beg~g S~tember L 2005. This Agreement consists of the terms and conditions on pages I thr'lugh 33 and such
Customized Supplemental Services Agreements as may hereinafter be agreed between the parties. The parties agree
that the terms and conditions of this Agreement shall govern any Customized Supplemental Services Agreements,
mrl~ss specifically modified as provided herein. The parties further agree that the District shall have no obligation to
enter any CUstomized Supplemental Services Agreement nor to agree to any particular level of expenditure.
RECITALS
. WHEREAS, the Contractor has experience and expertise in providing products and services for an on-site
parts facility; and.
WHEREAS, DISD and the Contractor in response to DISD RFP RT202737 desire to enter into an
arrangep:1ent for providing an on~site vehicle and equipment maintenance parts facility; and
WHEREAS, Contractor represents itself able and, for consideration, willing to provide the services and
products at the price and terms set forth in the Management Summary/Scope of Services and perform the services
requireli by the DISD;
NOW, THEREFORE, for and in consideration of the promises hereinafter contained, the parties agree as
follows:
1. RELATIONSHIP AND AUTHORITY.
a. Contractual Relationship. The Board of Till.stees ("Board"), as the governing body of DISD, and
Contractor hereby agree that the Board is charged under state law with the duty to provide adequate public schools
and the authority to supervise all matters pertaining to the public schools, and that the Board will retain all such
authority under this Agreement. The Board, as IDe governing body of DISD, and Contractor further agree that
Contractor shall be subject to all policies, rules and regulations of the Board, the Texas Education Agency, and the
Texas State Board of Education to the extent as applicable to Contractor's performance under this Agreement or to
like contractors generally. Contractor also agrees that Contractor in the provision of goods or the administration of
services pursuant to any grant or contract awarded to toe DISD shall be considered a sub grantee or subcontractor of
the DISD subject to the same conditions, assurances, and approvals as the DISD pursuant to the applicable grant or
contract.
b. Authority. The laws of the State of Texas and any federal laws applicable to DISD govern L':1is
Agreement. Contractor specifically agrees to also be bJJnd by these laws and any court orders imposed upon DISD
in like manner as DISD insofar as those court orders apply~,~ DISD students and services provided by Contractor
pursuant to this Agreement. Contractor shall have the power and authority, consistent with the limitations herein, to
PAGE 10f33
take suc~ actions as may be necessary or desirable to properly and efficiently provide the goods and services
provided, for herem.
2. AVAILABILITY OF FUNDS AND BUDGET AND FISCAL PROVISION AND TERMINATION IN
THE EVENT OF NON-APPROPRIATION.
. .
ia. ,This Agreement is subject to the budget and fiscal policies, regulations and practices of the DISD.
Any fm~cial conmritment on the part ofDISD contained in this Agreement is subject to annual appropriation by the
Board afdthe parties agree that DISD has no financial obligations under this Agreement other tb<m for the current
fiscal year at anypbint during the Term and that the DISD has not irrevocably pledged and held for payment
I
sufficient cash re~erves for funding Contractor or for providing the services described herein for the entire Term of
this Agteement; 'provided however, that nothing in this section shall excuse DISD from payment for products
slllppedor services rendered prior to such termination for non-appropriation.
b. The amoWlt of the DISD's obligation hereunder shall not at any time exceed the amount herein
stated.
r c. DISD has no obligation to renew this Agreement after expiration of its term. If ftmds are
appropriated foca portion of a fiscal year, this Agreement will terminate, without penalty, at the end of the term for
which ftmds are appropriated.
d. This section controls against any and all other provisions of this Agreement.
3. TERMOFTHEAGREEMENT
The Agreement shall become effective, September 1. 2005, and shall continue for a period of three (3)
years; and, may be renewed at the option of the District with Contractor's mutual consent for two successive one-
year terms, provided that the District shall give written notice of its intention to renew not later than sixty (60) days
prior to the end of the then current contract year.
4, SCOPE OF SERVICES
The Contractor shall deliver services as described in Exlubit A - Management Summary/Scope of Services.
5. SOFTWARE LICENSES
Refer to Exhibit B.
6. CO:MPENSA TION
The Contractor shall be paid in accordance wi.th Exhibit C attached hereto. Requests for compensation
shall be invoiced, complete with a breakdown of charges and receipts as applicable. DISD shall make payments by
check within 30 days of receipt of invoice. The total amount of money to be paid to the Contractor annually under
this Agreement shall not exceed the total amount budgeted by DISD. DISD shall promptly notify Contractor when
aggregate purchases by DISD are approaching the total budgeted amount, and shall not place orders for goods after
that amount has been reached. Any goods delivered or work performed in excess of said amount sball not be
compensated unless authorized by the General Superintendent of DISD in writing. Interest, if any, to be paid on past
due sums shall be governed by and paid in accordance v..ith the Texas Education Code. DISD's tax exemption
certificate, attached as Exhibit D, shall apply to all ordels placed by and for the DISD pursuant to this Agreement.
7. REPRESENTATIONS AND wARRANTIES
PAGE 2 of33
Further warranty information regarding the goods is outlined in Exhibit A- Management Summary/Scope of
Services.
8. TERMINATION
a. ! Either party may terminate this Agreement without cause at any time by giving thirty (30) days written
n~tice <if such tennination. In such an instance, the Contractor shaH be entitled to compensation fOf goods delivered
or services performed up to the effective date of tennination.
b. i The District shall retain the continuing right to terminate this Agreement without penalty ..t the end of each
fiscal y~ar.
c. , Upon receipt of written notice that this Agreement is terminated, the Contractor will submit an invoice to
the DISD for an amount that represents the value of goods delivered and services actually performed up to the date
of termination for which the Contractor has not previously been compensated as per paragraph 6 above. For goods
or services for which the DISD agreed to pay on a payment schedule, invoices for payments due shall be submitted at
the agreed upon time. Upon approval and payment ofthis/these invoice(s) by DISD, DISD shall be under no further
obligation to the Contractor, monetarily or otherwise.
9. lNDEPENDENT CONTRACTOR
The Contractor shall be deemed at all times to be an independent contractor and shall be wholly responsible
for th~ manner .In which it performs the services required of it by the terms of this Agreement. The Contractor shall
be liable for any act or acts of its own, or its agents or employees, and nothing contained herein shall be construed as
creating the relationship of employer and employee between the DISD and the Contractor or its agents and
employees.
10. MODIFICATION OF AGREEMENT
The parties may amend this Agreement in writing by mutual consent. Changes, including any increase or
decrease in the amOl.Ult of the Contractor's compensation, shall only be effective upon the execution of a duly
authorized written amendment to this Agreement.
11. ASSIGN}.,fENT AND SUBCONTRACTING
The Contractor is prohibited from assigning this Agreement or any services provided pursuant to this
Agreement unless such assignment is agreed to in writing by DISD, at the sole discretion of the District, and
executed in the same manner as this Agreement. In the event Contractor elects to subcontract a portion of the
services provided under this Agreement, Contractor shall request approval of the subcontractor from the District and
the District shall approve or rej ect such request within sixty (60) days. If the District does not approve orrej eet such
request within sixty (60) days, Contractor's request to utilize the applicable subcontractor shall be deemed approved.
PAGE 3 of33
No party on the basis of this Agreement shall in any way contract on behalf of or in the name of the other party of
this Agreement, and violation of this provision shall confer no rights on any party and shall be void.
12. ADMINIS1RATlVE REMEDY FOR AGREEMENT INTERPRETATION
In consideration of this Agreement, Contractor agrees that, prior to pursuing any other remedy, it will fIrst
obtain a ~etermination by the General Superintendent as to the true meaning and intent of the Agreement.
13. ,BANKRUPTCY
In the event that either party shall cease conducting business in the normal course, becorn~ insolvent, make
a gener~l assignment for the benefit of creditors, suffer or pennit the appointment of a receiver for its business or
assets or shall avail itself of, or become subject to, any proceeding under the Federal Bankruptcy Act or any other
statute qf any sta~e relating to insolvency or the protection of rights of creditors, then at the option of the other party,
this. Agteement shall terminate and be of no further force and effect, and any property or rights of such other party,
tangibl~or intangible, shall forthwith be returned to it.
9. CONFLICT OF INTEREST AND COMMUNICATIONS
Contractor Wlderstands and certifies that it does not know of any facts relating to the award of this
Agree~ent that would constitute a violation of Texas Local Government Code Section 171.004.
In accordance with Board Policy eRE (Local) and any successor policy, Contractor also ::'.ereby certifIes to
the .best of its kIl,o~ledge and belief that no current Board member or employee of DISD, and no one who has been a
Board tmember iwithin the last five (5) years or an employee of the DISD within the last two (2) years, has
participated in bidding, selling or promoting this Agreement. Furthermore, Contractor certifies to the best of its
knowh~dge and belief that no such current or former Board member or employee will derive any pecuniary interest,
compepsation or services, directly or indirectly, from this Agreement. Contractor understands that notwithstanding
any provision ~f law to the contrary any violation of this provision of the Agreement shall make the Agreement
voidaqle by theDISD.
During the term of this Agreement Contractor shall not connnunicate with individual members of District's
Board with regard to this Agreement. Should Contractor deem it necessary to communicate with the Board, with
regard to this Agreement, such communication shall be in writing to all members of the Board, with a
contemporaneous copy to the General Superintendent.
15. INDEMNffiCATION
CONTRACTOR COVENANTS AND AGREES TO FULLY INDEMNIFY. DEFEND AND
HOLD HARMLESS THE DISD AND ITS TRUSTEES, MEMBERS, AGENTS, EMPLOYEES, OFFICERS,
DIRECTORS AND REPRESENTATIVES OF THE DISD, INDIVIDUALLY OR COLLECTIVELY, FROM
AND AGAINST Ac~ AND ALL COSTS, CL..uMS, LIENS, DAMAGES, LOSSES. EXPENSES, FEES,
FINES, PENAL TIES, PROCEEDINGS, ACTIONS, DEMM'DS, CAUSES OF ACTION, LIABILITY AND
SUITS OF ANY KIND AND NATURE, INCLUDING BUT NOT LIMITED TO, PERSONAL INJURY OR
DEATH AND PROPERTY DAMAGE, MADE UPON DlSD DIRECTLY ARISING OUT OF, RESULTING
FROM OR RELATED TO CONTRACTOR'S NEGLIGENT PERFORMANCE OF THIS AGREEMENT,
INCLUDING ANY NEGLIGENT ACTS OR OMISSIONS OF CONTRACTOR, ANY AGENT, OFFICER,
PAGE 4 of33
DIRECrOR, llliPRESENTATIVE, EMPLOYEE, CONTRACTOR OR SUBCONTRACTOR OF
CONTRACTOR AND THEIR RESPECTIVE OFFICERS, AGENTS, EMPLOYEES, DIRECTORS AND
REPRESENTATIVES WHILE IN THE EXERCISE OF PERFORMANCE OF THE RIGHTS OR DUTIES
UNDER, TIDS AGREEMENT. TIllS OBLIGATION SHALL NOT APPLY TO THE EXTENT SUCH
CLAIM,S, COSTS, DAMAGES OR LOSSES ARE CAUSED BY THE NEGLIGENCE OR INTENTIONAL
MISCONDUCT OF THE DISD OR ITS EMPLOYEES. CONTRACTOR SHALL PROMPTLY ADVISE
THE DISUIN ~TING OF ANY CLAIM OR DEMAND AGAINST THE DISD OR CONTRACTOR
KNOWN TO CONTRACTOR RELATED TO OR ARISING OUT OF CONTRACTOR'S NEGLIGENT
PERFORMANCE OF TIDS AGREEMENT AND SHALL SEE TO THE INVESTIGATION OF AND
DEFE~SE OF SUCH CLAIM OR DEMAND AT CONTRACTOR'S COST. THE DISD SHALL HAVE
rim RIGHT, AT ITS OPTION AND AT ITS OWN EXPENSE, TO PARTICIPATE IN SUCH DEFENSE
WITHOUT RELIEVING CONtRACTOR OF ANY OF ITS OBLIGATIONS UNDER THIS PARAGRAPH.
16. INSURANCE
Contractor will not be issued a Purchase Order and / or this Agreement shall not be in effect until evidence of the
required insurance is provided. All payments and certificates of insurance must be submitted with this Agreement.
16.1 CLASSES OF RISK
Class D - High limits '-service contracts above $100,000
Contract and insurance requirements:
. Hold Harmless Agreement
. Waiver of Subrogation
. District named as additional insured on general liability and automo')ile coverages
Workers' Compensation
Employer's Liability
Statutory Limits
$500,000 per accident/$500,000 per person
General Liability
Bodily injury & Property damage
$1,000,000 combined single limits / $2,000,000
aggregate
Automobile Liability
Bodily injury
Property damage
$250,000 per person/$500,000 per accident
$250,000
Umbrella Policy
$1,000,000 per occmence/$l,OOO,OOO aggregate
All insurance policies proposed or obtained in satisfaction of these requirements shall comply with
the following general specification, and shall be maintained in compliance with these general
specifications throughout the duration of the Contract, or longer, if so noted:
Each policy shall be issued by a company authorized to do business in the State of Texas with an
A.M. Best Company rating of at least B+.
PAGE 5 of33
Liability policies shall be endorsed to provide the following:
. Name as additional insured the District.
. That.such insurance is primary to any other insurance available to the additional insured.
. All policies shall be endorsed to provide thirty (30) days prior written notice or l.;ancellation, non-
renewal or reduction in coverage.
.. Should any of the required insurance be provided under a claims-made form, Contractor shall maintain
such coverage continuously throughout the term of this contract and without lapse. for a period of three
years beyond the contract expiration, such that occurrences arising during the contract term which give
rise ~o claims made after expiration of the contract shall be covered.
.16.2 iINDEPENDENTCONTRACTORSTATUS
Contrac~or recognizes that it is engaged as an independent contractor and acknowledges that the District will
: have no: responsibility to provide transportation, insurance or other. fringe benefits nonnally associated with
: employee status. Contractor. in accordance with its status as an independent contractor, covenants and agrees
that it shall conduct itself consistent with such status, that it will neither hold itself out as nor claim to be an
officer. ,partner, employee. or agent of the District by reason hereof, and that it will not by reason hereof make
any claim, demand or application to or for any right or privilege applicable to an officer, partner, employee or
agent of the District, including, but not limited to, unemployment insurance benefits, social security coverage,
or retirement benefits. Contractor hereby agrees to make its own arrangements for any of such benefits as it
may desire and agrees that it is responsible for all income taxes required by applicable law.
16.3 COMPLiANCE WIlli LAWS
In the;execution of the Agreement, the Contractor must comply with all applicable State and Federal laws,
including but not limited to laws concerned with. labor, environment, equlil employment opportunity, safety and
; . - ., .
mininiwn wages. The Contractor shall make itself familiar with and at all times shall observe and comply with
all Federal, State and Loca1laws, ordinances and regulations which in any manner affect the conduct of the
Work, and shall indenmify and save harmless the Dallas Independent School District and the Board and its
official andlor contractual representatives against any claim arising from violation of any such law, ordinance
or regulation by itself or by its subcontractors, or its employees. When requested, competent evidence of
compliance with applicable laws shall be furnished.
The Contractor shall cooperate with applicable city or other governmental officials at all times where their
jurisdiction prevails. The Contractor shall make application for any permits and pennanent utilities, which
are required for the execution of the Agreement.
16.4 RIGHT TO AUDIT
At any time during the term of this Agreement and for a period of four (4) years thereafter the District or a
duly authorized audit representative of the District, or the State of Texas, at its expense and at reasonable
times, reserves the right to audit Contractor's records and books directly relevant to all services provided
PAGE 60f33
?I1der this Contract. For any such records requested by the District that Contractor maintains electronically,
Contract,!r shall provide such records to the District, but shall not be required to grant direct access (i.e.,
. password protected access) to its proprietary computer systems to the District. In the event such an audit by
. .
th.e District reveals any errors/overpayments by the District, the Contractor shall refund the District the full
amount of such overpayments within thirty (30) days of such audit fmdings,or the District, at its option,
ireservesthe right to deduct such amounts owing the District from any payments due the Contractor.
16.5 ACCESS TO DOCUMENTS
:To the ~xtent applicable to this procurement, in accordance with applicable Public Law, Contractor agrees
, to allow, during and for a period of not less than four (4) years after the Agreement te:m, access to this
: Agreement and its books,. documents, and records; and contracts between Contractor and its subcontractors
or related organizations, including books, documents and records relating to same, by the Comptroller
General of the United States, other governmental investigative agency, or their duly authorized
represe~tative(s), legally authonzed to investigate alleged fraud, overcharge, or other diversion of funds
from a public school district receiving Federal and State public funds.
16.6 PROPOSAL GUARANTY BOND REOUIREMENTS
In submitting its Proposal, Contractor understands and agrees to be bound by the following tenns and
conditions:
A. Proposal Guaranty B()nd
. NOT REQUIRED
17. LIABILITY POLICIES
The form of all insurance policies required by Section 16 shall be subject to the approval of the District's
Risk Manager. Prior to the commencement date of this Agreement, Contractor shall deliver to DISD certificates
confmning the required insurance. Contractor shall make available to DISD complete copies of the policies for
DISD's review at Contractor's corporate offices. The Contractor, or its insurer, shall notify the DISD in writing at
least. thirty (30) days in advance of any cancellation, non-renewal or reduction of any of its insurance policies
required under this Agreement.
18. NON-DISCRIMINATION
Contractor shall at all times provide the services hereunder in compliance with all laws with respect to
discrimination. No person shall be subjected to discrimination on the grounds of race, color, religion, national
origin, sex, sexual orientation, age, marital status and/or mental disability, physical handicap, matriculation or
political affiliation. Contractor shall post notice of such non-discrimination in. a conspicuous place.
. 19. PROPRIETARY INFORMA nON OF DlSD
PAGE 7 of33
the Contractor understands and agrees that, in its performance under this Agreement or in contemplation
thereof, $e Contractor may have access to private or confidential information that may be owned or controlled by
the DISD and that such information may contain proprietary details, the disclosure of which to third parties will be
damaging to DISD, its employees or students. The Contractor also understands and agrees that the disclosure of
such infqnnation ~y violate state and/or federal1aw and may subject the Contractor to civil liability. Consequently,
Contractor agrees that an information disclosed by the District to the Contractor shall be held in confidence and used
only in performance of the Agreement. The Contractor shall exercise the same standard of care to protect such
information as is Used to protect its own proprietary data.
20. THIRD PARTY INTELLECTIJAL PROPERTY RIGHTS
DISD warrants that it will not present to Contractor orders which involve the reproduction of materials
protect~d under copyright, patent .and/or trademark law unless DISD owns such rights, is an authorized agent of the
owner of such rights or has permission to reproduce the materials. In addition, DISD represents and warrants that it
will not use the provision of services by Contractor to DISD to violate any law, infringe or violate any intellectual
property rights or other rights of third parties including, without limitation, committing. any fraud, violating any
rights Of publicity, rights of privacy,copyrights, trademarks, trade secrets and/or licenses, or patellts. DISD grants
Contractor permission allowing authorized representatives designated by DISD to reproduce DISD's copyright and
trade1J!lU"k~prote:cted materials without restriction for the term of this Agreement. Unless specified otherwise by
DISD dn writing, DISD designates all of its employees as DISD's authorized representatives for purposes of this
. provision.
21.. LIMITATION OF LIABILITY
In no event will either party be liable to the other for lost profits, special, incidental, punitive, consequential
or indirect damages (including lost profits) arising under this Agreement, whether based in contract, tort (including
negligence), intended conduct or otherwise, even if that party has been advised of the possibility of such damages.
the aggregate amount of any liability of Contractor for any claim(s) arising from or relating to th...s Agreement will
not exc eed, in. any event, the. amount paid to Contractor under this Agreement for the performance of services during
the twelve (12) months immediately preceding the date on which the claim arose.
22. MIWBE PLAN
Contractor agrees to allocate work to subcontractors and vendors, which are historically underutilized businesses
in accordance with the Minority and Women Owned Business Enterprise (MiWBE) forms and guidelines attached
hereto as Exhibit E. No changes to the Plan may be made unless approved in writing by the District. Contractor,
prior to the execution of this Agreement, shall report its MAVBE participation goal as a percent of the Contract Sum.
During the performance of all Work under this Agreement, Contractor and its agents shall comply with all MlWBE
policies of the District. The informatioo shall be identified per firm, discipline and participation. While this
Agreement is in effect and until the expiration of one year after final completion, the District may require
information from the Contractor, and may conduct audits, to assure that the Plan is being, and was, followed.
Contractor shall provide District with quarterly reporting of it.~ MIWBE utilization, or as requested by the J\1!WBE
PAGE 8 of33
Departm~nt. GeIJ-uine Parts Company shall have thirty (30) days to comply with any request outside the normal
quarterly reporting period.
Should Contractor propose the deletion of a W\VBE classified/certified subcontractor or vendor from its
employ, :the ContractOT shall substitute a subcontractor or vendor of like classification/certification, and if Contractor
is unable to substitute a subcontractor or vendor of like classification, Contractor shall provide District with
documep.tation of its best efforts to acquire the services of a M/WBE replacement firm. Changes to the list of
subcon~actors :rn,ust be reviewed and approved by the M/WBE Department prior to any changes. If the District does
not approve or reject such changewitbin sixty (60) days, Contractor's change shall be deemed approved.
23JFELONY CONVICTION AND CRIMINAL BACKGROUND CHECK
Contradtor must give advance notice to the District if the person or an owner or operator of the business
entity has been convicted of a felony. The notice must include a general description oftbe conduct resulting in the
conviction of a: felony. The District may terminate this Agreement if the District detennines that the person or
busineSs < entity failed to give notice as required by this paragraph or misrepresented the <:onduC't resulting in the
conviction. This paragraph requiring advance notice does not apply to a publicly held corporation.
Contractor will obtain criminal history record information that relates to an employee, applicant for
employment, or agent of the Contractor if the employee, applicant, or agent has or will have continuing duties related
to the, contract~d services; and the duties are or will be performed on school property or at another location where
studen.ts are regularly present. Contractor shall certify to the District before beginning work and at no less than an
annlllilbasisthereafter that criminal history record information has been obtained. Contractor shall assume all
e;xpeilses associated with the background checks, and shall immediately remove any employee or agent who was
convicted of a felony, or misdemeanor involving moral turpitude, as defmed by Texas law, from District property or
othe~ location where students are regularly present. District shall be the [mal decider of what constitutes a "location
where students are regularly present." Contractor's violation of this section shall constitute a material breach of the
Agreement.
If Contractor is the person or owner or operator of the business entity, that individual may not self-certify
regarding the criminal history record information and its review, and must submit original evidence acceptable to the
District with this Agreement showing compliance.
24. ENTIRE AGREEMENT~
The following attached instruments are hereby made a part of this Agreement by this reference: 1.) RFP
202737/Addendum, 2) Genuine Parts Company Response to RFP 202737 dated March 28, 2005, 5) Exhibits A, B,
C. D, E, F and G. These instruments together with this Agreement contain the entire Agreement between the parties
and no warranties, expressed or implied, representations, promises, or statements have been made by either party
unless endorsed herein in writing. T~ the extent there is any conflict the following order of precedence shall govern:
1.) This Agreement, 2.) Genuine Parts Company Response to RFP 202737, dated March 28, 2005, 3.) RFP
202737/Addendum, 4.) Provisions related to the DISD shall prevail over inconsistent general provisions, terms and
conditions, and S.) Exhibits A, B, C, D, E,F and G. No change or waiver of any provision hereof shall be valid
uhless made in \,;Tiring and executed in the same manner a.s this Agreement.
PAGE 9 of33
25. NO WAIVER OF IMMUNITIES
Neither the execution of this Agreement by the District nor any other conduct of any representative of the
District relating to: the Agreement shall be. considered a waiver of governmental imrrnmities available to the District.
26. CAPTIONS
The captions of paragraphs in this Agreement are for convenience only and shall not be considered or
referred to in resolving questions of interpretation or construction.
27. GOVERNING LAW
,This Agreement and all of the rights and obligations of the parties hereto and all of the terms and conditions
hereof shall be construed, interpreted and applied in accordance with and governed by and enforced under the laws
o{the State of Texas.
28. WAIVERS
No delay or omission by either of the parties hereto in exercising any right or power accruing upon the
non-compliance ,or failure of perfonnance by the other party hereto of any of the provisions of this Agreement shall
impair any such right or power or be construed to be a waiver thereof. A waiver by either oftbe parties hereto of any
of the covenants, conditions or agreements hereof to be performed by the other party hereto shall not be construed to
be a waiver of any subsequent breach thereof or of any other covenant, condition or agreement herein contained.
29. SEVERABILITY
In case any provision hereof shall, for any reason, be held invalid or unenforceable in any respect, such
invalidity or Ullenforceability shall not affect any other provision hereof, and this Agreement shall ae construed as if
such invalid or unenforceable provision had not been included herein.
3.0. FAMILY CODE CHILD SUPPORT CERTIFICATION
By signing this Agreement, the undersigned certifies as follows: "Under Section 231.006, Texas Family
Code, the vendor or applicant certifies that the individual or business entity named in this contract, bid, or
application is not ineligible to receive the specified grant, loan, or payment and acknowledges that this Agreement
may be terminated and payment may be withheld if this certification is inaccurate."
31. SALES TAX CERTIFICATION
By signing this Agreement, the undersigned certifies as follows: "Under Section 2155.004, Texas
Government Code, the ME Finn(s) certifies that the individual or business entity named in this bid or Agreement is
not ineligible to receive the specified Agreement and acknowledges that this Agreement may be terminated and
payment withheld if this certification is inaccurate."
32. USE OF DISTRICT'S MATERIALS
Contractor acknowledges and agrees that the District has an interest in maintaining and othenvise protecting
the image and reputation of the DISD official logo or emblem and any other trademarks, copyrighted or otherwise
protected materials of the District (hereinafter referred to as the "Owner's Protected Materials"), aLd that in order to
accomplish this purpose, the District must in all cases assure itself that the Owner's Protected Materials are at all
times used in a manner consistent with the DISD po:!.icies, administrative regulations, and this Agreement.
PAGE 10 of33
;
Contractor agrees that the District must, therefore, have the right to examine and to approve or disapprove
such use: in writing in advance of use, the contents, appearance and presentation of any and all advertising,
promotio~al or other similar materials proposed by Contractor to be used in connection with any advertising or
promotiop. utilizing Owner's Protected Materials.
9ontractor therefore agrees that it:
1. Will not produce, publish or in any manner use or distribute any such advertising
promotional or other materials prepared by or on behalf of the Contractor that have no~
been submitted to and approved in writing in advance by the District;
2. Will submit to the District for its examination and approval or disappro.al, in advance of
use, samples of such materials together with the script, text, coloring, storyboards and a
copy of any photograph proposed to be used.
3. The District agrees that it will promptly hereunder to Contractor examine and either
approve or disapprove each submission and promptly notify Contractor of its approval or
disapproval.
; The District, on behalf of its minor schoolchildren. reserves the absolute right in its sole discretion to rej ect
the content of any submission.
Contra\?tor agrees thatnotbing contained in this Agreement shall give to the Contractor any right, title or
inten:stin the Owner's Protected Materials and that the Owner's Protected Materials are,and areta be, the sole
properW of the District and that any and all use by the Contractor of the Owner's Protected Materials, and the
goodwill arising therefrom, shall inure to the benefit of the District.
33. AUDIT AND INSPECTION OF RECORDS
Records of Contractor's costs, reimbursable expenses pertaining to the work pursuant to the Agreement and
payments shal1be available to District or its authorized representative during business hours and shall be retained for
three years after final Payment or tennination of the Agreement, unless District otherwise instructs the Contractor in
writing.
At any time during the tenn of this Agreement and for a period of four (4) years thereafter the District or a
duly authorized audit representative of the District, or the State of Texas, at its expense and at reasonable times,
reserves the right to audit the Contractor's records and books directly relevant to all products and services provided
undt;r this Agreement. For any such records requested by the District that Contractor maintains electronically,
Contractor shall provide such records to the District, but shall not be required to grant direct access (Le., password
protected access) to its proprietary computer systems to the District. In the event such an audit by the District
reveals any errors!overpayments by the District, the Contractor shall refund the District the full amount of such
overpayments within thirty (30) days of such audit fIndings, or the District, at its option, reserves the right to deduct
such amounts owing the District from any payments due the Contractor.
To the extent applicable to this proc..rrement, in accordance with applicable Public Law, the Contractor
agrees to allow, during and for a period of not less than four (4) years after the Agreement term, access to this
PAGE 11 oB3
AgreeInent and its books, documents, and records; and contracts between Contractor and its subcontractors or
vendors 'or related organizations, including books,documents and records relating to same, by the Comptroller
General ,Of the Upited States, other governmental investigative agency, or their duly authorized representative(s),
legally allthorizeq.to investigate alleged fraud,~overcharge, or other diversion of funds from a public school district
receivinf Federal.and State public funds.
34.;. . DIS~UTE RESOLUTION
Anyclairil, dispute or other matter in question arising out of or related to this Agreement shall be subject to
nori.~bin~ingme~iation as a condition precedent to the institution of legal or equitable proceedings by either party.
Thepll.lti.es shall'share the mediator's fee arid any filing fees equally. The mediation shall be held in Dallas, Texas.
Venue for any litigation involving rights or arising under this Agreement shall be Dallas County, Texas.
35J NOTICES TO THE ;PARTIES
All notices to be given by the parties hereto shall be in writing and served by depositing same in the United
States' Post Office, postage prepaid and r~gistered as follows:
. . TO DisD: Dallas Independent School District
Michael Brown
3700 Ross Avenue, Box 22
Dallas, TX 75204
TO TIlE CONTRACTOR:
. Genuine Parts Company
Dean C. Rooks
3033 Military Parkway
Mesquite, Texas 7149
36. p'ERFORMANCE BOND
The Contractor, at its own expense, shall furnish the District a perfonnance bond and a payment bond as
required by Chapter 2253, Public Work Performance And Payment Bonds, Texas Government Code, or its successor
ordiriances covering the full performance of the Agreement and the payment of all obligations arising thereunder.
This Agreement shall not be in effect until such performance and payment bonds are furnished by the Contractor and
approved by the District.
36.1 A good and sufficient performance Bond in the amount of 100% of the total amount proposed,
guaranteeing the full and faithful execution of the Services and performance of the Agreement in
accordance with the RFP and the Contract documents.
36.2 A good and sufficient Payment Bond in the amount of 100% of the total amount proposed,
guaranteeing the full and proper protection of all claimants supplying labor and material in the
prosecution of the Services provided for under the Agreement and for the use of each such claimant.
36.3 Each of the above-described bonds shall be executed by the Contractor and one corporate Surety
authorized to do business in the State of Texas and acceptable to the District. The Surety shan
designate an agent resident in Dallas, Texas, to whom any requisite notices may be delivered and on
whom service of process may be had in matters arising out of such suretyship. The Contractor shall
be required to absorb any and all costs of said Bonds.
PAGE 12 of33
36.4 ~ach of the above-described bonds shall be executed by the Contractor and one corporate Surety
authorized to do business in the State of Texas and acceptable to the District. The Surety shall
designate an agent resident in Dallas, Texas, to whom any requisite notices may be delivered and on
:whom service of process may be bad in matters arising out of such suretyship. The Contractor shall be
required to absorb any and all costs of said Bonds.
37. INTERLOCAL AGREEMENT
: Contractor understands and certifies that governments are authorized by the Interlocal Cooperation Act,
V, t .C.A. Government Code, Chapter 791, to enter into j oint contracts and agreements for the performance of
goverDIPental n.u1ctions and services including administrative functions normally associated with the operation of
goyernment such as purchasing of necessary materials and supplies.
Contractor agrees a locar government that purchases goods and services under this agreem.:;nt satisfies the
requirement oftlte local governmentto seek competitive bids for the purchase of the goods and services. Contractor
agrees ~o provide the goods and services under this agreement to participating governments in accordance with the
lnterlocal Agreement Clause attached hereto as Attachment C.
PAGE 13 of33
INWI11'ffiSS WHEREOF the parnes hereto have executed this Agreement the year and date first above written.
DALLAS INDEPE~L>ENT SCHOOL DISTRICT
3700 :R~ss Avenue
Dallas, Texas 75204
GENIDNE PARTS COMPANY
3033 Military Parkway
Mesquite, Texas 75149
By:
Lois Parrott, Ph.D.
(pRINT N"wE OF DISTRICT REPRESENTATIVE)
By:
~ c. S""',~
(PRINT NAME OF PERSON SIGNiNG FOR CONTRACTOR)
. Signatllfeand Date:
~ .^ ';;;)~
-.'r~'.VL- ..-
(DIST/UI TREPRESENTATIVE SIGNATURE)
S1\ and. D'~_ .
~ A~..~ S~
(CONTRACTOR REPRESENTATIVE SIGNATURE)
Title:
Title:
BoatdPresident
~\'E'PI.G\~E"N\
By:
Nancy,Bingham.
(PRiNT IYAME OF BOARD SECRETARY)
APPROVED AS TO FORM:
PAGE 14 uf33
ORDINANCE NO.
AN ORDINANCE ACCEPTING COMPETITIVE BIDS BY WAY OF AN INTERLOCAL
COOPERATIVE PURCHASING PROGRAM PARTICIPATION AGREEMENT WITH THE
DALLAS INDEPENDENT SCHOOL DISTRICT UNDER SECTION 271.102 OF THE
LOCAL GOVERNMENT CODE, FOR THE PURCHASE OF PRODUCTS AND SERVICES
FOR AN ONSITE VEHICLE PARTS FACILITY; PROVIDING FOR THE EXPENDITURE
OF FUNDS THEREFORE; AND PROVIDING AN EFFECTIVE DATE (FILE 3405-
INTERLOCAL AGREEMENT FOR THE PURCHASE OF PRODUCTS AND SERVICES
FOR AN ONSITE VEHICLE PARTS FACILITY WITH THE DALLAS INDEPENDENT
SCHOOL DISTRICT, CONTRACT AWARDED TO GENUINE PARTS COMPANY IN THE
ESTIMATED AMOUNT OF $839,946).
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. The City Manager, or his designee is hereby authorized to purchase
products and services for an onsite vehicle parts facility in the estimated amount of $839,946
from Genuine Parts Company under competitive bids received by the Dallas Independent School
District in accordance with an Interlocal Cooperative Purchasing Program Participation
Agreement under Section 271.102 of the Local Government Code which is on file in the office
of the Purchasing Agent.
SECTION 2. The City Manager, or his designee is authorized to expend funds pursuant
to the agreement for the purchase of various goods and services.
SECTION 3. This Ordinance shall become effective immediately upon its passage and
approval.
PASSED AND APPROVED this the
day of
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
BY:
4-0RD-File 3405
~
AGENDA INFORMATION SHEET
AGENDA DATE: September 20, 2005
DEPARTMENT: Materials Management
Questions concerning this
acquisition may be directed
to Frank Payne 349-8946
ACM:
Kathy DuBose
..
SUBJECT
Consider adoption of an Ordinance authorizing the City Manager or his designee to execute a
professional services agreement with the firm of Arthur Surveying Co., Inc. to provide
professional surveying services in support of the City of Denton Engineering Department;
authorizing the expenditure of funds therefore and providing an effective date (PSA 3219-in an
amount not to exceed $200,000). (The Public Utility Board approved this item by a vote of 4-0).
PSA INFORMATION
The City of Denton Engineering Department desires to contract with a qualified surveying firm
for the delivery of routine surveying services on a work order basis during the 2005-06 fiscal
year. Surveying services will include, but not be limited to, providing construction staking, field
design surveys, topographic surveys, boundary surveys and analysis, preparation of easement or
right-of-way exhibits, GPS monument placement, and other professional surveying services as
required.
In October of 2003, eleven proposals for survey services were submitted for evaluation. A
selection committee consisting of representatives from Engineering, Water Utilities, Purchasing,
and Electric Utilities reviewed the proposals. The top five proposals were ranked according to
their response to criteria assessing demonstrated competence and qualifications to perform the
services required. The Committee ranked Arthur Surveying Co., Inc. the highest based on the
information submitted in their response. Subsequent to selection, negotiations with Arthur
Surveying resulted in rates for survey crews, registered professional land surveyors, and
administrative support that were at or below levels funded within the Engineering Department
budget for these services. This, coupled with the fact that the City will only be charged for
services when services are performed, will allow for cost effective, responsive survey services to
City departments.
The award of this agreement for 2005-06 will extend the same services with no change in price,
terms, or conditions. Section 252.022 of the Local Government Code provides that professional
services do not have to be bid.
PRIOR ACTIONNIEW (COUNCIL, BOARDS, COMMISSIONS)
The Public Utility Board approved this item at its September 12, 2005 meeting.
Agenda Information Sheet
September 20, 2005
Page 2
RECOMMENDA TION
We recommend award of PSA 3219 to Arthur Surveying Co., Inc. in an amount not to exceed
$200,000.
PRINCIPAL PLACE OF BUSINESS
Arthur Surveying Co., Inc.
Lewisville, TX
ESTIMA TED SCHEDULE OF PROJECT
This Professional Services Agreement will begin upon Council approval and be in effect for one
year with an estimated expenditure of $200,000.
FISCAL INFORMATION
Funding for this service will be provided from individual project accounts for each department.
All surveying for the Engineering department will be funded from account 351001.7875.
Respectfully submitted:
~~~
Tom Shaw, C.P.M., 349-7100
Purchasing Agent
Attachment 1: Letter from Arthur Surveying
1-AIS-RFP 3219
co 0 I2l
Attachment 1
Arthur Surveying CO.I' Inc.
Profes~ional L;md Surveyors
""'------0_._
220 Elm Street Suite #200
P.O. Box 54
LewisvifJe, Texas 75067
(972) 221-9439 Fax (972) 221-4675
July 25,2005
Frank Payne P.E.
City of Denton j Engineering
City Hall East
60 I K Hickon'. Suite B
~.
Denton, IX 76205
Reference: 2005 / 2006 Contract
Dear Frank,
It has been a pleasure serving the City of Denton for the pa....t year. T look forward to
continuing 01l1: successful business relationsbip. Please accept this letter as authorization
from Arthm Surveying Co., Inc. to continue our services for another year at the same fee
schedule as the contracted 2004/2005 year.
As always, please fed free to contact me with any questions of Comments.
llelY, vt
DOl'~~hur
President / R.P.LS.
Arthur Surveying Company, Inc.
~NIAa~ID1S HfiHLHV
SL9t 166 6L6 IVd 60:91 NOW SO/SZILO
ORDINANCE NO.
AN ORDINANCE AUTHORIZING THE CITY MANAGER OR HIS DESIGNEE TO
EXECUTE A PROFESSIONAL SERVICES AGREEMENT WITH THE FIRM OF
ARTHUR SURVEYING CO., INC. TO PROVIDE PROFESSIONAL SURVEYING
SERVICES IN SUPPORT OF THE CITY OF DENTON ENGINEERING
DEP ARTMENT; AUTHORIZING THE EXPENDITURE OF FUNDS THEREFORE
AND PROVIDING AN EFFECTIVE DATE (PSA 3219-IN AN AMOUNT NOT TO
EXCEED $200,000).
WHEREAS, The professional services provider (the "Provider) mentioned in this
ordinance is being selected as the most highly qualified on the basis of its demonstrated
competence and qualifications to perform the proposed professional services; and
WHEREAS, The fees under the proposed contract are fair and reasonable and are
consistent with and not higher than the recommended practices and fees published by the
professional associations applicable to the Provider's profession and such fees do not
exceed the maximum provided by law; NOW, THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. The City Manager is hereby authorized to enter into a professional
service contract with Arthur Surveying Co., Inc. to provide professional surveying services
for the City of Denton Engineering Department, a copy of which is on file in the office of
the Purchasing Agent and incorporated by reference herein.
SECTION 2. The City Manager is authorized to expend funds as required by the
attached contract.
SECTION 3. The findings in the preamble of this ordinance are incorporated
herein by reference.
SECTION 4. This ordinance shall become effective immediately upon its passage
and approval.
PASSED AND APPROVED this the
day of
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
BY. ~
3-0RD-PSA 3219 Renewal
1
2
3
4
5
CITY OF DENTON, TEXAS
PUBLIC UTILITIES BOARD MEETING AGENDA
FOR SEPTEMBER 12, 2005
9:00 A. M.
DRAFT
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After determining that a quorum of the Public Utilities Board of the City of Denton, Texas was
present, the Public Utilities Board convened into an Open Meeting on Monday, Sept 12, 2005 at
9:12 a.m. in the Service Center Training Room, City of Denton Service Center, 901-A Texas
Street, Denton, Texas.
Present:
Bob Bland, Bill Cheek, Charldean Newell, Dick Smith
John Baines arrived at approximately 11 :06 a.m.
EX OFFICIO MEMBERS
Michael Conduff, City Manager
Howard Martin, ACM. /Utilities
Excused:
Phil Gallivan
George Hopkins
CONSENT AGENDA:
Approval of the Consent Agenda authorizes the Assistant City Manager for Utilities or his
designee, to implement each item in accordance with the staff recommendations. The Public
Utilities Board has received background information, staff s recommendations, and has had an
opportunity to raise questions regarding these items prior to consideration.
Listed below are bids or purchase orders or other matters to be brought before the Public Utilities
Board to be considered and approved for payment under Consent Agenda Items 1 through 4.
Detailed information is attached to each Consent Agenda item. This listing is provided on the
Consent Agenda to allow Public Utilities Board Members to discuss or withdraw an item prior to
approval of the Consent Agenda. If the item is pulled from consideration for separate discussion,
prior to its consideration, such item will be considered as the first item(s) taken up under the
"Items For Individual Consideration" section of the agenda, set forth below. The remaining
Consent Agenda Items will be approved with one motion, a second, and by a majority vote of the
Public Utilities Board Members who are present.
Page 1 of 2
1
2 1) Consider recommending approval authorizing the expenditure of funds for payments by the
3 City of Denton for electrical energy transmission fees to those cities and utilities providing
4 energy transmission services to the City of Denton; and providing an effective date (File
5 3396-Electrical Energy Transmission Fees in the total amount of $134,421).
6
7 2) Consider recommending approval for the purchase and installation of replacement Caron
8 landfill compactor wheel tips for use on the Caterpillar Model 826 compactor at the City's
9 landfill from Caron Compactor Company, Escalon, CA., in the amount of $34,397.84.
10
11 3) Consider recommending approval of an ordinance authorizing the abandonment and release
12 of certain blanket electric utility easements owned by the City, to the extent that they
13 encumber certain real property owned by Holigan Land Development, Ltd. containing
14 approximately 160.023 acres and being located in the Gideon Walker Survey, Abstract No.
15 1330, Denton, Denton County, Texas.
16
17 4) Consider recommending approval of a Professional Services Agreement between the City of
18 Denton and Arthur Surveying Co., Inc for the delivery of routine surveying services on a
19 work order basis for fiscal year 2005-2006, in an amount not to exceed $200,000.00.
20
21 Board Member Dick Smith moved to approve Consent Agenda Items 1-4 with a second
22 from Board Member Bob Bland. The motion was approved by a vote of 4 to O.
23
Page 2 of 2
AGENDA INFORMATION SHEET
AGENDA DATE:
September 20, 2005
Questions concerning this
report may be directed to
Scott Payne, 349-7836
DEPARTMENT:
Fiscal Operations
ACM:
Kathy DuBose
..
SUBJECT
Consider adoption of an Ordinance accepting sealed proposals and awarding a two-year contract
for Benefit Consultant Services for the City of Denton; providing for the expenditure of funds
therefore and providing an effective date (RFP 3355-Benefit Consultant Services awarded to
McGriff, Seibels and Williams in the annual amount of $48,500).
BACKGROUND
The City of Denton has utilized the services of a consultant for our various employee and retiree
benefits since the early 1990's. These benefits include health, dental, vision, life, supplemental
life, accidental death and dismemberment (AD&D) as well as short and long term disability.
The City initially contracted with Foster Higgins Insurance, Actuary and Consulting Services
who later merged with Mercer in FY 97/98. Our cost with Mercer was $5.00 per employee per
month not to exceed $70,000 per year. We began working with our current consultant, McGriff,
Seibels and Williams in July of 2002 at an annual cost of $48,500.
As directed by Council, the City of Denton submitted RFSP #3355 to the market place on June
14, 2005, with a due date of July 15, 2005. The following firms provided responses to RFSP
#3355:
Grizzaffi Darby
Holmes Murphy
McGriff, Seibels and Williams
Rael & Letson - Disqualified (did not supply Addendum #1 Acknowledgement Form)
RWL Group
Segal- Disqualified (did not supply Addendum #1 Acknowledgement Form)
Smith & Associates
The attached report provides greater details regarding the respondents, the overall RFSP review
process, and staff s recommendation.
PRIOR ACTIONIREVIEW (Council, Boards, Commissions)
The Council received a report on this topic during the September 6, 2005 Work Session. The
Council stated they wanted an additional week to review the information and requested that the
topic be brought back during the September 13, 2005, meeting.
During the September 13, 2005, meeting, Council gave approval to contract with McGriff,
Seibels and Williams for Benefit Consulting Services.
Agenda Information Sheet
September 20, 2005
Page 2
FISCAL INFORMATION
Funds for the Benefits Consultant are budgeted in the FY 05/06 budget in 911001.7854.
EXHIBITS
Attachment 1 - Evaluation of Benefits Consultant RFSP #3355
Attachment 2 - Letter from Employee Insurance Committee (EIC)
Attachment 3 - Copy ofRFSP #3355
Attachment 4 - Evaluation Grid
Attachment 5 - Ordinance
Respectfull submitted:
· ';0: ~'J
~
Diana G. Ortiz
Director of Fiscal Operations
Attachment 1 - Evaluation of Benefits Consultant RFSP #3355
Review Team
The qualified responses were evaluated by a Review Team approved by the City
Manager. The Review Team consisted of:
. Amanda Green, Parks Program Area Manager and Chairperson of the Employee
Insurance Committee (EIC)
. Katherine Barnett, Utility Communications & Special Projects Coordinator and a
member of the EIC
. Tom Shaw, Purchasing Agent
. Carol Plant, Health Benefits Administrator
. Scott Payne, Risk Manager
. Diana Ortiz, Director of Fiscal Operations
Evaluation
The Evaluation Team evaluated the five responsive respondents and eliminated RWL
Group and Smith & Associates. The remaining three respondents were evaluated based
on the following weights, as set forth in the RFSP:
40% - Capability of Proposer to provide the services outlined in Section III
20% - Experience (Municipal Preferred and/or 1200+ Employees)
10% - References for Clients (Municipal Preferred)
20% - Cost of Services
10% - Response to Supplemental Questionnaire and Miscellaneous Provisions
Additionally, the Review Team conducted in-person interviews with the remaining three
respondents. The interview was limited to 30 minutes for each group.
The below table illustrates the total points and average points assigned by the Review
Team to each respondent based on their responses to the RFSP and their interview:
ResDondent Total Points A vera2:e Points
McGriff, Seibels & Williams 518 86.33
Holmes Murphy 474 79.00
Grizzaffi Darby 394 65.67
RWL Group NR NR
Smith & Assoc. NR NR
Rael & Letson DQ DQ
Segal DQ DQ
NR = Not Reviewed
DQ = Disqualified
1
Pros and Cons of Top Three
The below information details the pros and the cons of the top three respondents:
McGriff. Seibels and Williams (MSW)
Pros:
. As the incumbent, MSW has a proven track record of successful performance for
the City of Denton:
o For the plan year beginning January 2004, MSW successfully transitioned
the City's health plan from Cigna to United Healthcare, resulting in
greater benefits for employees, retirees and dependents and saving the
City approximately $700,000.
o For the plan year beginning January 2005, MSW successfully negotiated a
renewal with United Healthcare saving the City approximately $600,000.
o Worked with the City and the EIC to develop the plan design changes that
will go into effect January 2006. The plan design changes and MSW's
negotiations could save the City approximately $1,670,000 in 2006.
. MSW is the 6th largest consulting/brokerage firm in the US and the ih largest in
the world.
. 100 year history of insurance service as a company
. Approximately 18 public entity clients representing 32,000 employees, including
Bexar County, City of Garland, City of Grand Prairie, City of Harlingen, City of
Mesquite, City of San Marcos, City ofLewisville, and Collin County.
. Represent approximately 8,500 covered lives placed with United Healthcare, the
City's current health insurance company.
. Gold level status with United Healthcare.
. Currently participates in various professional organizations for public entItIes
including Texas Chapter Public Risk Management Association (PRIMA), State
and Local Government Benefits Association (SALGBA) and Texas Municipal
Human Resources Association (TMHRA).
. Account representative holds Life and Health Counselor License.
Cons:
. Current account team has only been involved with the City's account since March
of2005.
. Fee ($48,500) slightly higher than Grizzaffi Darby's proposed fee, but still not an
. .
Increase over prIor years.
. Less lives placed with United Healthcare than Holmes Murphy.
. Does not serve on the National Advisory Board of any insurance companies.
2
Holmes Murphv (HM)
Pros:
. One account executive (Preston Pomykal) was the City's account executive with
MSW prior to March of 2005.
. 70+ year history of insurance service as a company.
. Provides in-house actuarial, legal and benefit communication teams.
. Represents approximately 110,000 covered lives placed with United Healthcare.
. 80% of total annual revenue comes from clients with 500 or more employees.
. Currently participates in various professional organizations for public entities
including Texas Chapter Public Risk Management Association (PRIMA), State
and Local Government Benefits Association (SALGBA) and Texas Municipal
Human Resources Association (TMHRA) as well as the Society for Human
Resource Management (SHRM).
. Platinum Level status with United Healthcare.
. The President of the Dallas office was an inaugural member of and continues to
serve on the National Advisory Council for United Healthcare. Additionally, HM
personnel also serve on the National Advisory Councils for Aetna and Cigna.
. Aggressively growing their public entity book of business with current clients of
City of North Richland Hills, City of Round Rock, City of Waco, Jefferson
County, City of Pampa, and the City of Brenham.
Cons:
. No proven track record with proposed account team.
. Former MSW employee, Preston Pomykal, is prohibited from working with the
City of Denton until February of 2007 due to a non-compete clause.
. Proposed account team to be assigned to the City of Denton does not have as
much public entity experience as MSW team.
. HM is involved in a legal dispute with MSW over two former employees now
working with HM.
. Fee ($48,500) slightly higher than Grizzaffi Darby's proposed fee, but still not an
. .
Increase over prIor years.
GrizzatJi Darbv (GD)
Pros:
. Locally owned and operated company since 1996.
. Voted one of the Top 15 Places to Work in DFW.
. Named as one of the Top 100 Fastest Growing Businesses in DFW.
. Currently serves on the National Advisory Boards for BlueCross BlueShield of
Texas, GE (Genworth), Great West, Guardian, Humana, PacifiCare, United
Healthcare and UnumProvident.
. Lower annual fee ($45,000) than MSW and HM.
. Gold level status with United Healthcare.
. Represent approximately 8,300 covered lives placed with United Healthcare.
3
. Relationships and interaction with local healthcare providers.
. Account representatives hold Life and Health Counselor License.
Cons:
. No proven track record with the City of Denton.
. Limited public entity experience with only the City of Corinth (127 employees)
and Lamar County (185 employees) as public entity clients.
. Limited experience with large employer groups (500 or greater employees).
. Less lives placed with United Healthcare than Holmes Murphy or MSW.
. Does not participate in professional organizations for public entities such as
PRIMA, SALGBA or TMHRA.
. 9-year history of insurance service as a company.
Recommendation
Based on the evaluation of the Review Team, the proposal of McGriff, Seibels and
Williams ranked the highest in accordance with the criteria set forth in the RFSP.
4
Attachment 2
CITY OF DENTON. TEXAS
321 E. McKINNEY, DENTON. TEXAS 76201
Memorandum
To: Mike Conduff, City Manager
From: Amanda Green, Employee Insurance Committee Chair ~
Date: August 19, 2005
Re: Employee Insurance Committee (EIC) Recommendation for Benefit Consultant Services
The purpose of the City's RSFP was to select a firm that can provide the City with innovative options
and cost analysis as we further expand our efforts to reduce the ever increasing cost of insurance.
The City received five responses to RSFP 3355 - Benefit Consultant Services for the City's insurance
plan. The proposals were carefully evaluated by a City team that included representatives from the
following departments: Risk Management (2), Purchasing (1), Utilities AdministrationlElC member (1),
Finance (1), and Parks and RecreationlEIC Chair (1). The proposals were evaluated on the following
criterion and weighted percentages:
Capability of Proposer to provide services as outlined - 400,/0
Experience (Municipal Preferred and/or 1200+ Employees) - 20%
References from Clients (Municipal Preferred) - 10%
Cost of Services - 20%
Response to Supplemental Questionnaire and Miscellaneous Provisions - 10%
After an initial review of the proposals the top three candidates were asked to make a brief presentation
to the panel. Each candidate was given 25 minutes to discuss the following topics:
Why they should be selected (10 min)
Top two trends in insurance industry (10 min)
Questions and answers (5 min)
www.citvofdenton.com
ADA I EOE I ADEA TDD: (800) 735-2989
Based on this extensive screening process McGriff Seibels and Williams (MSW) was the unanimous
first ranked candidate. MSW has a proven track record of providing innovative options and cost
reduction analysis to the City of Denton. Their market presence and ability to negotiate insurance costs
far outweighed that of the other candidates. MSW brings a wider breadth of experience representing
large client groups and municipalities as compared to the other two candidates. They currently represent
13 municipalities in Texas and many more nationally; the other two candidates represent five
municipalities and one municipality, respectively.
During our last meeting, I shared the results of the screening process with the EIC and the Committee
asked that I make a formal recommendation to you. Changes in the insurance industry and the need for
significant changes in the employee health insurance program demand a partnership with a firm that is
capable of providing the best service. The Employee Insurance Committee recommends that the City of
Denton select McGriff Seibels and Williams as the City's Benefit Consultant.
If you have any questions please contact my office at 349-8382.
www.citvofdenton.com
ADA I EOE I ADEA TDD: (800) 735-2989
Attachment 3
CITY OF DENTON
Request for Sealed Proposal
RFSP # 3355
Benefit Consultant Services
RFP Opening Date: July 14, 2005
Prepared by: Risk Management
RFSP 3355
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Attachment 3
CITY OF DENTON
REQUEST FOR SEALED PROPOSAL FOR BENEFIT CONSULTANT SERVICES
TABLE OF CONTENTS
Background and General Information
Section I
Special Instructions
Section II
Proposal Guidelines
Section III
Supplemental Questionnaire
Section IV
Miscellaneous Provisions
Section V
City of Denton Schedule of Benefits
Section VI
RFSP 3355
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Attachment 3
Background & General Information
SECTION I
Background
The City of Denton (the City) is requesting your proposal to provide Benefit Consultant Services for the
City's total insurance plan. The effective date will be October 1, 2005
The City currently provides or offers employees the following insurance coverage: a fully insured PPO
medical plan, a PPO dental plan, a PPO vision plan, Life/ AD&D insurance, supplemental life insurance,
and short-term and long-term disability. The City currently pays the cost of PPO employee only
coverage on all eligible employees, basic Life/ AD&D, and long-term disability.
The City of Denton is a city of 90,167 (based on 2000 census data and assuming a 5% annual rate of
growth) residents and was incorporated in 1866. Denton is located approximately 40 miles north of
Dallas and Fort Worth. It sits at the apex of a triangle that encompasses the Dallas-Fort Worth
metropolitan area. Although it benefits from the forward thrust and continuous expansion of the largest
Consolidated Metropolitan Statistical Area in the state, Denton and its economy stand proudly
independent.
The City of Denton has a work force of approximately 1120 employees. The City has had an effective
safety and risk management program since 1970, an active Wellness Program since 1990, and an insured
employee assistance program (EAP) since 1998. Additionally, the City has an Employee Insurance
Committee (EIC) representing all departments, providing education and feedback as well as
recommendations to City Management and City Council.
In general, Denton is a full-service city that provides law enforcement, fire safety, paramedics/rescue,
refuse collection, sanitary landfill, electric distribution and transmission, water, wastewater, storm sewer,
animal control, parks/recreation, library and airport services. The City has two full-service, private
hospitals and several private rest homes.
Two major universities-University of North Texas and Texas Woman's University-along with a fully
accredited public school system, allow local citizens every educational advantage possible and a rich
blend of cultures.
The City runs its insurance program on a January 1 plan year. However, the City is in the process of
changing to an October 1 plan year to coincide with the City's fiscal year. This transition should be
complete October 1, 2006.
RFSP 3355
1
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Attachment 3
General Information
1. All proposals are required to be signed by an authorized representative of the entity
submitting the proposal. Proposals received unsigned will not be considered.
2. The proposer shall not sell, assign, transfer or convey any contract resulting from this proposal,
in whole or part, without the prior written consent from the City. Such consent shall not relieve
the assigned of liability in the event of default by the assignee.
3. Any ambiguity in the proposal as a result of omission, error, lack of clarity or non-compliance
by the proposer with specifications, instructions and all conditions shall be construed in the
favor of the city.
4. No oral statement of any person shall modify or otherwise change, or affect the terms,
conditions or specifications stated in the resulting contract. All change orders to the contract
will be made in writing and shall not be effective unless signed by an authorized representative
of the City.
5. The City shall have the right to modify this order subject to an adjustment in the price in
accordance with the applicable provisions of the purchase order, if any, or pursuant to mutual
agreements. No agreement or understanding to modify this order shall be binding on the City
unless it is in writing and signed by an authorized representative of the City.
6. The City reserves the right to require additional technical and pricing information and negotiate
all elements, which comprise the Vendor's proposal to ensure that the best possible
consideration is afforded to all concerned. The City reserves the right to accept all or part of
any proposal, to reject any or all proposals, and to re-solicit for proposals.
7. The City reserves the right to schedule interviews, as well as on-site visits, as deemed necessary
to make a final selection.
8. All prices quoted by the proposer will remain firm for a minimum of ninety (90) days from the
date of the proposal unless otherwise specified by the City or proposer.
9. Although every effort has been made to provide accurate and up-to-date information,
companies supplying quotations should contact the Purchasing Agent for any questions that you
might have.
RFSP 3355
2
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Special Instructions
SECTION II
Instructions: These instructions apply to all proposals and become a part of the terms and conditions
of any proposal submitted unless a vendor takes specific exception in writing when submitting
proposals.
The City shall mean the City of Denton, Texas.
Format: Proposals should be submitted in an easily understandable format with sections clearly
defined.
Proposal Returns: One original and three copies of proposals must be sealed in an envelope clearly
marked on the outside with RFSP 3355 and addressed to:
City of Denton
ATTN: Tom Shaw
Purchasing Department
901-B Texas Street
Denton, Texas 76209
Late Proposals: Proposals must be in the purchasing office prior to the closing date and time, which
is 2:00 p.m. on Thursday, July 14,2005. Proposals received after the specified time and date will
not be considered. The City is not responsible for unmarked or improperly marked proposals. The
City is not responsible for proposals delivered after the scheduled deadline due to the external or
internal mail system. The time and date recorded in the Purchasing Office shall be the official time
of recei pt.
Facsimile Proposals: The City will not accept fax proposals.
Acceptance: The right is reserved to accept or reject any or all of the proposals submitted, waive
minor technicalities, and accept the offer most advantageous to the City. The City accepts no
financial responsibility for any costs incurred by any proposer in the course of responding to these
specifications.
Authorized Signature: By signing and executing this proposal, the vendor certifies and represents to
the City that the vendor has not offered, conferred, or agreed to confer any pecuniary benefit or other
thing of value for the receipt of special treatment, advantage, information, recipient's decision,
opinion, recommendation, vote, or any other exercise of discretion concerning this proposal.
Proposals must show vendor name and address and be manually signed. Failure to do so will
disqualify proposal. The person signing the proposal must show title or authority to bind his firm in
a contract.
Negotiation: The City reserves the right to negotiate once proposals are received.
Taxes: The City is exempt from federal excise, state sales, and transportation taxes. Taxes must
RFSP 3355
3
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not be included in the proposal. Tax exemption certificates will be executed by the Purchasing
Agent upon request.
Proposal Evaluation: The proposals will be evaluated on the factors outlined below which shall be
applied to all eligible, responsive proposals in selecting the successful offeror. Award of such a
contract may be made without discussion with proposers after responses are received. Proposals
should, therefore, be submitted on the most favorable terms. The City reserves the right to void the
contract if the successful proposer cannot perform services specified by the proposer's response.
Proposal Evaluation Criteria will be grouped into percentage factors as follows:
. 40% - Capability of Proposer to provide services outlined in Section III
. 20% - Experience (Municipal Preferred and/or 1200 + Employees)
. 10% - References from Clients (Municipal Preferred)
. 20% - Cost of Services
. 10% - Response to Supplemental Questionnaire and Miscellaneous Provisions
A2ent of Record: No commissions or other forms of compensation of any type may be included
in your pricing. The City will not recognize or name any Agent of Record.
Length of Contract: All responses to this RFP shall be for a two-year (2) agreement between the
City and the provider. Please provide a two-year (2) initial rate guarantee, with the option to
renew for two successive twelve-month agreements. Any changes to the scope of services provided
under this contract that may result in changes to the terms, conditions, and fees can be redefined and
negotiated after the first year. In that event, any negotiated items must be placed in writing and
provided as an amendment to the contract. All proposers must agree to fully warrant and guarantee
all information in its response.
Termination For Default: The City of Denton reserves the right to enforce the performance of this
contract in any manner prescribed by law or deemed to be in the best interest of the City in the event
of breach or default of this contract. The City reserves the right to terminate the contract
immediately in the event the successful proposer fails to:
. provide services specified
. otherwise perform in accordance with the accepted proposal
Breach of contract or default authorizes the City to award to another proposer and charge the full
increase in cost to the defaulting proposer.
Confidentiality: All information contained in the proposal is available to the public, if requested.
Any information considered confidential by the propsoer should be submitted with the proposal in a
separate envelope clearly marked "Confidential." Note: Proposer should provide an explanation for
all items considered confidential, giving as much information as possible.
RFSP 3355
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Contact
Questions about this Request for Proposal and the selection process must be directed in writing to:
Carol L. Plant, PHR
City of Denton Risk Management
215 E. McKinney
Denton, TX 76201
Telephone: (940) 349-8388
Fax: (940) 349-7803
With copies to:
Tom D. Shaw, C.P.M.
Purchasing Department
901-B Texas Street
Denton, TX 76209
Telephone: (940) 349-7100
Fax: (940) 349-7302
All questions received and the corresponding answers will be distributed to all proposers. No
information will be given over the vhone.
Timetable
Release RFSP 3355
Receive and open proposals
Interview Finalists, if necessary
City Council Presentation
Effective Date
06/14/2005
07/14/2005
week of 08/01/2005
09/06/2005
10/01/2005
Deadline for Ouestions
The deadline for questions about this proposal will be 5:00 pm, Friday, July 1,2005.
The City will not respond to questions after this time and date. Responses to questions will be
mailed to all proposers no later than, Thursday, July 7, 2005.
Deadline
We must receive your responses to this Request for Sealed Proposal by 2:00 p.m. on Thursday, July
14,2005. Proposals received after this time and date will not be considered.
RFSP 3355
5
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Proposal Guidelines for Insurance Consultant Services
SECTION III
Outline of Expected Services
I. Evaluate the current programs and provide Written Analysis within 30 days of receipt of
necessary data.
A. Assist the City in creating and maintaining a competitive (cost & plan design) benefit
program, and in doing so, provide benchmark data from like entities
B. Review of Benefit Design
C. Review of Benefit Utilization
D. Claims analysis including review of large claims
E. Review of benefits cost for employees, retirees and the City
F. Provide funding analysis, financial underwriting, including renewal analysis and
negotiation, budget projections, and quarterly reporting of plan's financial performance
G. Evaluate plan design annually, or as required, in light of labor market conditions, cost
trends, delivery systems and legal requirements
H. Annually analyze, compare and review fully insured vs. self insured plans/ options
I. Develop a strategy to transition to a self-funded plan, if required
J. Review of current carriers' performance
K. Assist in developing long-term strategies and future or proposed benefit plans
L. Assist in developing long-term strategies and future for City's Retiree benefits
M. Obtain necessary monthly, quarterly and annual reports and data from carriers in a
timely manner
N. Assist in the monitoring of vendors' quality of service and institute quality standards
with penalties for poor performance
O. Provide information/ education/ training to City staff related to benefit implementation
and administration when requested
II. Develop Renewal Strategy
A. Conduct annual strategic planning meetings to establish goals, priorities, and identify
areas of concern.
B. Provide plan design recommendation, with estimated cost implications, for benefit
modifications
C. Develop a strategy and assist in the transition to an October 1 plan year
D. Projected Funding requirements and funding level analysis/ development
E. Negotiate with carriers to obtain favorable renewals
III. Coordinate Proposal Process
A. Collect and organize the information required to obtain competitive bids
B. Respond to questions, clarification and requests for additional information of the bid
specifications
C. Review, evaluate and summarize various benefit options of the competitive proposals
D. Review the policies to make sure they are consistent with the bid response
E. Meet with proposed carriers regarding contract negotiations, implementation, and other
bid requirements
IV.
RFSP 3355
Assist in the implementation of the Benefit Program
6
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A. Develop transition plan
B. Assist in establishing administrative procedures
C. Prepare communication plan and City Benefit Booklet
D. Work with carrier/administrators coordinating the enrollment process of all related
plans
E. Advise and make recommendations regarding on-line open enrollment and electronic
communication capabilities
V. Administration of Employee Benefits Program
A. Keep City advised on new developments involving employee benefit plans
B. Act as liaison between City and carriers
C. Assist in the timely resolution of claims problems
D. Assist in the timely resolution of billing issues
E. Assist City Staff in development of multi-media educational programs and
presentations, as well as provide support in the preparation of reports and presentations
to City Management and Council
F. Meet monthly with City Employee Insurance Committee (EIC) regarding current issues
G. Appear at City Council Meetings and other necessary meetings as required
H. Assist the City with compliance in the areas of COBRA/HIP AA and other benefits
related legislation and legal requirements, as well as act as a technical resource to include
timely periodic updates on legislative developments, emerging trends, and insurers'
status
1. Provide COBRA administration services and/or access to contractual services for
COBRA administration and/ or similar programs
J. Monitor the prospective markets and changes, which may affect the City of Denton
benefit plans.
K. Provide research materials on various topics, as requested
NOTE: By responding to this RFSP, the Proposer agrees to comply with the above Scope of
Services. If you are unable to provide/perform any service, please list that service and
provide and explanation. In section C (following), you will have the opportunity to
give details of your firm's performance of the Scope of Services.
The information submitted shall be divided into tabbed, marked sections and shall include, but
not limited to, information for each of the following:
A. FIRM OVERVIEW: Proposer is requested to define the overall structure of the Firm to
include the following:
1. A descriptive background of Proposer's history
2. State its principal business location and any other service locations, including the
primary office servicing the City
3. State its primary line of business
4. State how long it has been providing services as described herein
5. State how many states other than Texas, where services are in use
RFSP 3355
7
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B. PROPOSED PROJECT TEAM, STAFF QUALIFICATIONS, EXPERIENCE, AND
CREDENTIALS: Proposer is requested to address services offered by their company to
include, but not necessarily limited to, those required services as stated above.
1. Proposer is requested to state the organization's experience, experience of the
staff, and technical experience in providing these types of services
2. State level of organizational responsibility of key project staff members
3. Proposer is requested to include certifications held by Proposer's personnel
4. As the City assigns individual projects, successful Proposer shall identify
personnel assigned to each specific project requirement
5. Please describe what sets your company apart from other consulting firms
C. SCOPE OF SERVICES: As indicated above, please include a detailed explanation of
services offered, as they relate to the City's "Outline of Expected Services" provided herein,
and your recommended approach to addressing the City's needs. Please provide reasonable
estimates of the cost to the City on a monthly and/or annual basis. Please include any
services offered that may be above and beyond the Outline of Expected Services indicated
by the City.
D. REFERENCES: Proposer is requested to provide with the Request for Proposals a list of at
least five (5) references where like services or their firm has performed similar projects.
Include name of the client, address, telephone number and name of representative. In
addition, please include all municipalities or other public entities (and number of employees)
served by your firm.
E. FEE SCHEDULE: Proposer is requested to provide (1) the cost of services, (2) explain the
basis for the above fee and any subsequent annual fees, and (3) identify ad hoc services your
company provides and the cost for these services. The City will not recognize or name an
Agent of Record. No commissions or other forms of compensation of any type may be
included in your pricing. Pricing must be on a flat fee basis, with full disclosure of all
fees, including any which may deviate from the flat fee schedule.
F. SUPPORTING MATERIALS : Various questions included in this Request for Proposals will
be used in making a selection and should be addressed by section and number. Proposer is
requested to submit information requested, one (1) original and two (2) copies of descriptive
literature sufficient in detail to enable an intelligent comparison of services.
G. FINANCIAL STATEMENTS: Proposer is requested to submit recent financial statements
with this Request for Proposal. Audited financial statements are not mandatory. Unaudited
financial statements will be accepted. If Proposer's firm does, however, have audited
financial statements, please include a copy with the response to the RFP. Financial
statements must show the name and address of the firm preparing the financial statements
and the date thereof.
RFSP 3355
Supplemental Questionnaire
8
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SECTION IV
1. Describe how your firm establishes and monitors performance criteria for all vendors,
carriers and contracts.
2. Describe your firm's marketplace leverage in negotiating with carriers in regard to rates,
policy terms and plan design.
3. Provide information on litigation pertaining to your role as a benefit consultant over the
last three (3) years.
4. Provide information on client turnover for your firm's benefit consulting division over
the past three (3) years.
5. Provide information on any National, State or local associations to which your company
belongs.
6. Discuss your technological abilities to provide communication in various forms (i.e.,
web sites, printed materials, enrollment, etc.).
7. Are there any restrictions or pending reviews by Federal or State authorities for non-
compliance with Federal or State regulations? If yes, please explain.
8. Has any party brought legal action against the organization during the past three (3)
years? If yes, please explain.
9. Have you made any claims against the City in the past three (3) years? If yes, what was
the outcome/status?
RFSP 3355
Miscellaneous Provisions
9
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SECTION V
1. Contract Performance: Please confirm that no termination of engagements for
insurance consultant services have occurred due to the non-performance, poor
performance or other misfeasance in the last 10 years.
2. Conflict ofInterest Statement: Please provide a statement that there is no and will
be no conflict of interest in your serving as Benefits Consultant to the City of
Denton.
3. Ethics and Interest in a Public Contract: Please confirm that there is no
relationship of consanguinity between the principals of your firm and any City
Council Member or City official or employee that would result in that member or
employee having an interest in a public contract or otherwise violate the states
ethics or public contracting laws.
4. EEO Statement: Please provide a statement describing your firm's equal
employment opportunity policy.
RFSP 3355
10
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ORDINANCE NO.
AN ORDINANCE ACCEPTING SEALED PROPOSALS AND AWARDING A TWO YEAR
CONTRACT FOR BENEFIT CONSULTANT SERVICES FOR THE CITY OF DENTON;
PROVIDING FOR THE EXPENDITURE OF FUNDS THEREFOR AND PROVIDING AN
EFFECTIVE DATE (RFP 3355-BENEFIT CONSULTANT SERVICES AWARDED TO
MCGRIFF, SEIBELS AND WILLIAMS IN THE ANNUAL AMOUNT OF $48,500.
WHEREAS, the City has solicited, received and evaluated competitive sealed proposals for
the purchase of Benefit Consultant Services in accordance with the procedures of State law and City
ordinances; and
WHEREAS, the City Manager or a designated employee has received and reviewed and
recommended that the herein described proposals are the most advantageous to the City considering
the relative importance of price and the other evaluation factors included in the request for
proposals; and
WHEREAS, the City Council has provided in the City Budget for the appropriation offunds
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. The items in the following numbered request for proposal for materials,
equipment, supplies or services, shown in the "Request Proposals" on file in the office of the
Purchasing Agent, are hereby accepted and approved as being the most advantageous to the City
considering the relative importance of price and the other evaluation factors included in the request
for proposals.
RFSP
NUMBER
CONTRACTOR
AMOUNT
3355
McGriff, Seibels and Williams
$48,500
SECTION 2. By the acceptance and approval of the above numbered items of the
submitted proposals, the City accepts the offer of the persons submitting the proposals 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 Proposal Invitations,
Proposals, and related documents.
SECTION 3. Should the City and person submitting approved and accepted items and of the
submitted proposals wish to enter into a formal written agreement as a result of the acceptance,
approval, and awarding of the proposals, the City Manager or his designated representative is hereby
authorized to execute the written contract; provided that the written contract is in accordance with
the terms, conditions, specifications, standards, quantities and specified sums contained in the
Proposal and related documents herein approved and accepted.
SECTION 4. By acceptance and approval of the above numbered items of the submitted
proposals, the City Council hereby authorizes the expenditure offunds therefor in the amount and in
accordance with the approved proposals or pursuant to a written contract made pursuant thereto as
authorized herein.
SECTION 5. This ordinance shall become effective immediately upon its passage and
approval.
PASSED AND APPROVED this the
day of
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
BY. ~
4-0RD-RFP 3355
AGENDA INFORMATION SHEET
AGENDA DATE: September 20, 2005
DEPARTMENT: Materials Management
Questions concerning this
acquisition may be directed
to Vance Kemler 349-8044
ACM:
Kathy DuBose
..
SUBJECT
An Ordinance of the City Council of the City of Denton, Texas approving payment for the
purchase and installation of Caron compactor parts; and providing an effective date (File 3401-
Purchase of Wheels for Landfill Compactor awarded to Caron Compactor Company in the
amount of $34,397.84). (The Public Utility Board approved this item by a vote of 4-0).
BID INFORMATION
In December 2004, the City purchased a used 20011andfill compactor from the City of
Brownwood, Texas. This compactor was equipped with wheels manufactured by Caron
Compactor Company. The wheel tips on this compactor were worn sufficiently to warrant
replacement. The Solid Waste Department requested that a Caron Compactor Company field
representative come to our landfill to provide an estimate on the trade in value of a set of Caron
wheels on a 1995 compactor, which was scheduled to be sold. The intent was to explore the
possibility of using the trade in value for the 1995 compactor wheels as a credit against the cost
of furnishing and installing new tips on the 2001 compactor. The trade in of the wheels on the
1995 unit totaled $27,397 including installation. Without the trade, which was rejected, the cost
was $34,397.84. On May 2, 2005, the Solid Waste Department authorized Caron Compactor
Company to furnish and install the new tips. At the time, Solid Waste Department staff
considered Caron Compactor Company to be the sole source for these specialized replacement
tips. After installation was complete and invoices received, the Purchasing Office determined
that the tips could have been purchased from other heavy equipment dealers that could purchase
from Caron and resell to the City, thus making Caron Compactor Company not a sole source
provider.
PRIOR ACTIONIREVIEW (COUNCIL, BOARDS, COMMISSIONS)
The Public Utility Board approved this item at its September 12, 2005 meeting.
RECOMMENDA TION
Approve the purchase of replacement tips and authorize Fleet Services to issue a purchase order
for payment of invoices.
Agenda Information Sheet
September 20, 2005
Page 2
PRINCIPAL PLACE OF BUSINESS
Caron Compactor Company
Escalon, CA
ESTIMA TED SCHEDULE OF PROJECT
Installation was completed on or about July 15,2005.
FISCAL INFORMATION
The purchase and installation of the wheel tips will be funded from Motor Pool account
81001.8535.
Respectfully submitted:
~~~
Tom Shaw, C.P.M., 349-7100
Purchasing Agent
Attachment 1: Caron Compactor Co. Quote
Attachment 2: Caron Invoice 23108
Attachment 3: Caron Invoice 23139
l-AIS-3401
07/29/2005 07:15
2098381464
CARON COfypACTOR CO
PAGE 01/Ell
.
Attachment I
8
QUOTA nON TO: Denton City LandfiU
Denton, TX
QU01'All0N NUMBER: OSQ0206A.Blt
DATE OF QUOTATION! February 4, 200S
A'I'TEN'l10N: David Dugser
REGARDING: 8260 (gin 7LN07S7) Set ofBMAX PiD~On~ Caps and F"u:ld Service
PRONE NUMBEIl (940) 349-8001 FAX NU'MBER: (940) 349-7334
PART No. QUANTITY DESCRIPTION PlUCE
7119-BO 1 Set 8260 Set ofB-MAX Pin-On Caps 5 X 9 Pattern, $ 23.812.00
, Compatible witb Cat Cleanl!3' Bars (Set Consists of
180 BMAX Caps, Including Pms. Springs and
Dowels)
Surcharge 110ft. Steel Svcbargc S 2.1S7A4"
SutJ.Total BMAX Caps 5 16,669.44
LeIS Less Off for Four (4) Whee), from 826<: (sin
87XUl22) -$ 7.000.00 .
Total BMAX C.ps S 19,669.44'
Freight to Denton, TIC (1rdgllt cbarge IDdudes a 12% Fuel S 1,47&.40'
Surdlarge of 51 58.40)
FS-EC4-C Labor Remove and Rrpl.a~e BMAX Pin-On Caps - $ 6,250.00 .
COMMENTS
We at Caron Compactor Co. appnidate JOur business.
~
~
ESl'IMA'reD SHIP DATE: Parts -In Stock
QUOTATION VAUD FOR~ 30 Days
SHIPPED FOB: Escalon. CA
PA YMENr TERMS: Net. 30 Da)'J OAC
ALL PlUCES QUOTED AU SU8JICT TO ANY OR ALL j\WUCc\BLE TABS, TAlUfl'S. 1>\1'1118. OVERSEAS
PACKAGING.INSVItANCE ETC. j\ND IS TD rut.L RESPONSIBILITY OF TIIB I'VRCHASER,
1. Tenns are su~t to credit IpPfOval
2.. 1f payment is lIot reeeived within 30 days or aa:ording to te(mS, a late payment charge of 1,S % will
be added for each month the aCCoun . nnpaid. Should th!s account be refe(fc:d fur collection,
III coUection costs iDcluding reason e I be added to the unpaid balance.
3. Price and rerms OD quotations are no 'ec es er iolreem=ntS unless approved
in writing by an .anthorized C~ r
4. Delivery of orden based on. this
and. availabUity of material or other causes U
5. Data entry, clerical or computation erron are subject to
6. Conditiom DOt spedfied herein shall be governed. by established trade customs.
7. Terms inecm!li.steot with this quoWioD will not be binding on me seDer.
8. Orders will be prieed in areordant:e with quantities quoted anO teleased for shipment at one time
uless cuSlOID=r' is notified of a ~ariatiOD.
By: ~M.~ ~
Barbara Humpbrey
To place an order I please caD Toll-Free (800) 448-8236 or fax (209) 57&-2833
uc to strike$.accideDtII. fire
Title:
Assistant Sales Coordinator
cc:
RB. MS. ST, Distribution. Denton City LQQdfiU LFa618 (file) and QB
/
. ........
Attachment 2
'~CARQN@
INVOICE
INVOICE NO.: 23108
INVOICE DATE: 07/15/2005
COMPACTOR COMPANY, INC.
1204 Ullrey Ave.
Escalon, California 95320
(209) 838.2062
(800) 448-8236
_ (209) 838.1404 FAX
CARON NO.: 01413
MACHINE SERIAL NO.: 7LN07S7
195150
SOLD TO:
SHIP TO:
PECOS CREEK
1527 SOUTH MAY HILL ROAD
CITY OF DENTON
215 E MCKINNEY
JUL 2 8 2005
DENTON, TX 76201
DENTON, TX 76201
GOV 618
TX
OTY OTY OTY
ORDERED SHIPPED BIO ITEM NUMBER DESCRIPTION UNIT PRICE EXTENDED PRICE
~
7019-BO
~
o
826G SET OF BMAX pac's 5 x 9
PATTERN COMPATIBLE WITH CAT
CLEANER BARS
23,812.00
1
1
SURSTL
o
12% STEEL SURCHARGE
2,857.44
~ .... f \-
,,~(~\) .~: .
23,8~2.00
2,857.44
~USTOMER IS TAX EXEMPT: #75-6000514
=REIGHT INCLA 12% FUEL SC OF $158.40
.ABOR ON B1572
Please change our billing address to:
CARON COMPACTOR CO.
1204 ULLREY AVENUE
ESCALON CA 95320
IF PAYMENT IS NOT RECEIVED WITHIN 30 DAYS. A LATE PAYMENT CHARGE OF 1.5% Will BE ADDEO FOR EACH MONTH THE
ACCOUNT REMAINS UNPAID. SHOULD THIS ACCOUNT BE REFFERED FOR COLLECTION, ALL COLLECTION COSTS INCLUDING
REASON~E ATTDRNEY'S FEES SH}LL BE ADDEO TO THE UNPAID BALANCE.
~() 7~_/____
SUBTOTAL
SALES TAX
LABOR
FRT AND HANDLING
INSTALLATION
FRT, HNDL, INSTALL
TOTAL
$26',6'6'9.44
$0.00
$0.00
$1,478.40
$0.00
$0.00
$28,147.84
08/24/05 WED 12:44 FAX 209 838 1404
Caron Dist.
~
A.ttachment 3
INVOICE
INVOICE NO.: 23139
INVOICE DATE: 08/02/2005
CARQN@
COMPACTOR COMPANY,INC.
1204 Ullrey Ave.
Escalon, California 95320
(209) 838.2062
(800) 448-8236
(209) 838-1404 FAX
~
l4i 002
CARON NO.: 01413
MACHINE SERIAL NO.: 7LN0757
GOV 618
TX
195150
SOLD '1'0:
SHIP TO:
PECOS CREEK
1527 SOOTH MAY HILL ROAD
CITY OF DENTON
215 E MCKINNEY
DENTON, TX 76201
DENTON, TX 76201
OTY CTY OlY
ORL)[HED SHIPPED B 0 ITFM NUMBER DESCRIP I LUN UNIT PRICE EXTENDED PRICE
1
FS-EC4-C
6,250.00
6,250.00
1
o
LABOR EC4-CAPS
LINE ITEM NO 1: REMOVE AND REPLACE SDP'S
CUSTOMER IS TAX EXEMPT: #75-6000514
PARTS ON A4831 (INV 23108 7/15105)
. ,;
. ~
,
,
SUBTOTAL
SALES TAX
LABOR
FRT AND HANDLING
JNST ALI..A TION
FRT, HNDL, INSTALL
TOTAL
IF PAYMENT IS NOT RECEIVED WITHIN 30 DAYS. A \.ATE: PAYMENT CHARGE OF 1.5\1, WILL 8E ADDEO ~OR EACH MONTH THE
ACCOUNT REMALNS UNPAID. SHOULD THIS ACCOUNT BE RER'ERED FOR COLLECTION, AlL COLLECTION COSTS INCLUDING
REASONABLE ATTORNEY'S FEES SHALL ElE ADDEO TO THE. UNPAID ElAlANCE.
$6,250.00
$0.00
$0.00
$0.00
$0.00
$0.00
$6,250.00
ORDINANCE NO.
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF DENTON, TEXAS APPROVING
PAYMENT FOR THE PURCHASE AND INSTALLATION OF CARON COMPACTOR PARTS;
AND PROVIDING AN EFFECTIVE DATE.
WHEREAS, at the direction of City staff Caron Compactor Company, Inc. ("Caron" or
"Contractor") installed certain parts on a City landfill compactor for a total cost for parts and labor
of $34,397.84; and
WHEREAS, the Caron parts are the only parts compatible with the City's compactor; and
WHEREAS, at the time of installation, landfill staffbelieved that Caron was the sole source
for the purchase of the Caron parts; and
WHEREAS, subsequently it was discovered that compactor dealers also sell the Caron parts,
but usually at a higher price; and
WHEREAS, because there is a question of whether the parts are available from more than
one source, the purchase may not qualify as a sole source purchase; and
WHEREAS, notwithstanding the above, the City would be unjustly enriched at the expense
of the Contractor if such sum were not paid to the Contractor; and
WHEREAS, the City Council finds that the payment of such sum to the Contractor is in the
public interest; NOW THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. The findings contained in the preamble of this ordinance are incorporated
herein by reference.
SECTION 2. The payment of Caron invoice Nos. 23139 and 23108 in the total amount of
$34,397.84 for the purchase and installati on of the Caron compactor parts, together wi th any interest
and penalties, is hereby authorized and the City Purchasing Agent, or his designee is hereby
authorized to pay said sum to the Contractor.
SECTION 3. This ordinance shall become effective immediately upon its passage and
approval.
PASSED AND APPROVED this
day of
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
By:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
BY:
5-0RD-File 3401
~~~
1
2
3
4
5
CITY OF DENTON, TEXAS
PUBLIC UTILITIES BOARD MEETING AGENDA
FOR SEPTEMBER 12, 2005
9:00 A. M.
DRAFT
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14
15
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24
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39
After determining that a quorum of the Public Utilities Board of the City of Denton, Texas was
present, the Public Utilities Board convened into an Open Meeting on Monday, Sept 12, 2005 at
9:12 a.m. in the Service Center Training Room, City of Denton Service Center, 901-A Texas
Street, Denton, Texas.
Present:
Bob Bland, Bill Cheek, Charldean Newell, Dick Smith
John Baines arrived at approximately 11 :06 a.m.
EX OFFICIO MEMBERS
Michael Conduff, City Manager
Howard Martin, ACM. /Utilities
Excused:
Phil Gallivan
George Hopkins
CONSENT AGENDA:
Approval of the Consent Agenda authorizes the Assistant City Manager for Utilities or his
designee, to implement each item in accordance with the staff recommendations. The Public
Utilities Board has received background information, staff s recommendations, and has had an
opportunity to raise questions regarding these items prior to consideration.
Listed below are bids or purchase orders or other matters to be brought before the Public Utilities
Board to be considered and approved for payment under Consent Agenda Items 1 through 4.
Detailed information is attached to each Consent Agenda item. This listing is provided on the
Consent Agenda to allow Public Utilities Board Members to discuss or withdraw an item prior to
approval of the Consent Agenda. If the item is pulled from consideration for separate discussion,
prior to its consideration, such item will be considered as the first item(s) taken up under the
"Items For Individual Consideration" section of the agenda, set forth below. The remaining
Consent Agenda Items will be approved with one motion, a second, and by a majority vote of the
Public Utilities Board Members who are present.
Page 1 of 2
1
2 1) Consider recommending approval authorizing the expenditure of funds for payments by the
3 City of Denton for electrical energy transmission fees to those cities and utilities providing
4 energy transmission services to the City of Denton; and providing an effective date (File
5 3396-Electrical Energy Transmission Fees in the total amount of $134,421).
6
7 2) Consider recommending approval for the purchase and installation of replacement Caron
8 landfill compactor wheel tips for use on the Caterpillar Model 826 compactor at the City's
9 landfill from Caron Compactor Company, Escalon, CA., in the amount of $34,397.84.
10
11 3) Consider recommending approval of an ordinance authorizing the abandonment and release
12 of certain blanket electric utility easements owned by the City, to the extent that they
13 encumber certain real property owned by Holigan Land Development, Ltd. containing
14 approximately 160.023 acres and being located in the Gideon Walker Survey, Abstract No.
15 1330, Denton, Denton County, Texas.
16
17 4) Consider recommending approval of a Professional Services Agreement between the City of
18 Denton and Arthur Surveying Co., Inc for the delivery of routine surveying services on a
19 work order basis for fiscal year 2005-2006, in an amount not to exceed $200,000.00.
20
21 Board Member Dick Smith moved to approve Consent Agenda Items 1-4 with a second
22 from Board Member Bob Bland. The motion was approved by a vote of 4 to O.
23
Page 2 of 2
AGENDA INFORMATION SHEET
AGENDA DATE: September 20, 2005
DEPARTMENT: Police
ACM: Jon Fortune, Assistant City Manager.
SUBJECT:
Consider adoption of an ordinance of the City of Denton, Texas amending the provisions
of Chapter 6 relating to Animals by amending Sections 6-27 regarding the keeping of
livestock; providing for a severability clause; providing a repealer clause; providing a
savings clause; providing for a penalty not to exceed $500 for violations of this
ordinance; and providing for an effective date.
BACKGROUND:
On July 26, 2005 staff made a presentation to Council during work session regarding
proposed changes to Chapter 6 of the Code of Ordinances concerning livestock. Staff
recommended the elimination of the existing distance requirements for livestock, other
than swine, in order to clear up and consolidate the provisions for keeping and
maintaining livestock. Previously, there were separate and somewhat conflicting
provisions outlined in Chapter 6 of the Code of Ordinances and in the Development
Code. Further, recent court case rulings made the application of the distance requirements
significantly different from that which it was originally intended. At Council's direction,
staff included specific language to protect an existing property owner, in compliance with
these provisions, from being placed in jeopardy by any changes to adjacent property
either by a change in ownership or other changes made to the property.
During this presentation, staff also recommended the inclusion of a provision requiring
owners of livestock to register with the City their use of land for maintaining livestock.
This registration was recommended to be free of charge. However, the failure to register
with the city would be a violation under the new provision.
RECOMMENDA TION
Staff recommends approval of the ordinance.
PRIOR ACTIONIREVIEW:
This ordinance has been reviewed by the Legal Department and approved as to form and
content. The City Council reviewed a draft of the ordinance at a work session on July 20,
2005 and directed staff to finalize the ordinance for adoption.
FISCAL IMPACT:
The adoption of this ordinance will not have any projected or related costs to the City of
Denton.
Charles Wiley
Chief of Police
Prepared by:
Lt. Scott Fletcher
Operations Bureau
S:IOur DocumentslOrdinancesl051Chapter 6 Amended Animal Livestock Ord.doc
ORDINANCE NO.
AN ORDINANCE OF THE CITY OF DENTON, TEXAS AMENDING THE PROVISIONS
OF CHAPTER 6 RELATING TO ANIMALS BY AMENDING SECTIONS 6-27
REGARDING THE KEEPING OF LIVESTOCK; PROVIDING FOR A SEVERABILITY
CLAUSE; PROVIDING A REPEALER CLAUSE; PROVIDING A SAVINGS CLAUSE;
PROVIDING FOR A PENALTY NOT TO EXCEED $500 FOR VIOLATIONS OF THIS
ORDINANCE; AND PROVIDING FOR AN EFFECTIVE DATE.
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. That Chapter 6 of the Code of Ordinances of the City ("Animals") is
hereby amended by amending Section 6-27, which shall read as follows:
SECTION 6 - ANIMALS
ARTICLE I. IN GENERAL
Sec. 6-27. Livestock; sanitary conditions and registration requirements.
(a) It shall be unlawful for any person to keep or harbor any livestock within the
corporate limits of the city if the person does not have a parcel of land at least one
acre m sIze.
(b) It shall be unlawful for any person to keep or harbor more than two head of
livestock within the corporate limits of the city if the person has a parcel of land
less than three acres in size.
(c) For every parcel of land greater than three acres, a person may have one
additional head of livestock for every acre over three acres.
(d) In addition to the requirements in subsections (a) through (c), it shall be unlawful
for any person to feed or keep any species of swine in any lot, pen, building,
stable, or other enclosure in the city, any part of which lot, pen, building, stable or
other enclosure is nearer than one-thousand (1,000) feet to any building. If a
person is in compliance with this subsection, future changes to adjacent property
owned by another will be a defense to prosecution under this ordinance.
(e) It shall be unlawful for any person to keep or harbor any livestock within the
corporate limits of the city, where there is less than ten thousand (10,000) square
feet for each head of cattle or horse and three thousand (3,000) square feet for all
other types of livestock.
S:IOur DocumentslOrdinancesl051Chapter 6 Amended Animal Livestock Ord.doc
(f) It shall be unlawful for any owner or person in control of any livestock to
maintain yards, pens, stables, sheds, or other enclosures in which such animals are
confined in such a manner as to give off odors offensive to persons of ordinary
sensibilities residing in the vicinity, or to breed or attract flies, mosquitoes or
other noxious insects or rodents, or in any manner to endanger the public health,
safety or welfare, or to create a public nuisance.
(g) Manure and droppings shall be removed from pens, stables, yards, coops and
other enclosures weekly and handled or disposed of in such a manner as to keep
the premises free of any nuisance.
(h) Mound storage of droppings of manure between such removals shall be permitted,
only under such conditions as to protect against the breeding of flies, rodents, and
to prevent the migration of fly larvae (maggots) into the surrounding soil.
(i) The feeding of vegetables, meat scraps or garbage to livestock shall be done only
in impervious containers or on an impervious platform.
G) Watering troughs or tanks shall be provided, which shall be equipped with
adequate facilities for draining the overflow so as to prevent the breeding of flies,
mosquitoes or other insects.
(k) No putrescible material shall be allowed to accumulate on the premises; and all
such material used to feed, which is unconsumed, shall be removed and disposed
of by burial or other sanitary means.
(1) Registration requirements. Persons maintaining livestock within the city limits
shall annually register with the City of Denton Animal Services Department. The
registration shall include a designation by the owner of the use of the property for
livestock, proof of the acreage of the parcel of land, the distance requirements for
swine if applicable, and the number and type of livestock kept on the parcel.
There shall be no fee for this registration. It shall be unlawful for a person to add
additional heads of livestock without amending the registration within thirty days
of acquiring the additional livestock
SECTION 2. Any person found guilty of violating this ordinance by a court of
competent jurisdiction shall be fined a sum not to exceed five hundred dollars ($500) per day.
Each day that a provision ofthis ordinance is violated shall constitute a separate offense.
SECTION 3. If any section, subsection, paragraph, sentence, clause, phrase, or word in
this ordinance, or application thereof to any person or circumstance is held invalid by any court
of competent jurisdiction, such holding shall not affect the validity of the remaining portions of
this ordinance, the City Council of the City of Denton, Texas, hereby declares that they would
have enacted such remaining portions despite any such invalidity.
Page 20f3
S:IOur DocumentslOrdinancesl051Chapter 6 Amended Animal Livestock Ord.doc
SECTION 4. Save and except as amended hereby, all the proVIsIOns, sections,
subsections, paragraphs, sentences, clauses, and phrases of the Code of Ordinances shall remain
in full force and effect.
SECTION 5. This ordinance providing for a penalty shall become effective fourteen (14)
days from the date of its passage, and the City Secretary is hereby directed to cause the caption
of this ordinance to be published twice in the Denton Record-Chronicle, the official newspaper
ofthe City of Denton, Texas, within ten (10) days ofthe date of its passage.
PASSED AND APPROVED this the
day of
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER CITY ATTORNEY
BY:
Page 3 of3
AGENDA INFORMATION SHEET
AGENDA DATE:
September 20, 2005
DEPARTMENT:
City Manager's Office
CM/DCM/ACM:
Michael A. Conduff, City Manager
SUBJECT:
Consider adoption of an ordinance of the City of Denton authorizing an agreement between the
City of Denton, Texas and the Greater Denton Arts Council for the development and marketing
of exhibitions at the Fall Festival; providing for the expenditure of funds therefore; and providing
for an effective date.
BACKGROUND:
Mayor Pro Tern McNeill requests his contingency funds be expended to help pay for the
marketing and development associated with the Greater Denton Arts Council's Fall Festival.
The total amount requested is $100.00.
RECOMMENDATION
Staff recommends approval of this ordinance ratifying the agreement between the City and the
Greater Denton Arts Council for this project.
PRIOR ACTIONIREVIEW (Council. Boards. Commission)
None
FISCAL INFORMATION
The contingency fund expenditure request is for $100.00.
Betty Williams
Director of Management and Public Information
Prepared by:
~~i11~fJ.~QVn1
Michelle McCallum
Assistant to the City Council
s:\Our Documents\Ordinances\05\Denton Arts Council Ordinance.doc
ORDINANCE NO.
AN ORDINANCE OF THE CITY OF DENTON AUTHORIZING AN AGREEMENT
BETWEEN THE CITY OF DENTON, TEXAS AND THE GREATER DENTON ARTS
COUNCIL; PROVIDING FOR THE EXPENDITURE OF FUNDS THEREFORE; AND
PROVIDING AN EFFECTIVE DATE.
WHEREAS, the Greater Denton Arts Council has requested funding for the development
and marketing of exhibitions at the fall festival (the "Program")and the City of Denton desires to
enter into an agreement to provide for the continuance of the Program; and '
WHEREAS, the City Council of the City of Denton hereby finds that the Program and
the agreement between the City and the Greater Denton Arts CounciL attached hereto and made
a part hereof by reference (the "Agreement") will promote tourism and economic development
within the City, serve a mlUlicipal and public purpose, ahd is in the public interest; NOW,
THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. The findings set forth in the preamble of this ordinance are incorporated by
reference into the body of this ordinance as if fully set forth herein.
SECTION 2. The City Manager, or his designee, is hereby authorized to execute the
Agreement and to carry out the duties and responsibilities of the City under the Agreement,
including the expenditure of funds as provided, in the Agreement.
SECTION 3. This ordinance shall become effective immediately upon its passage and
approvaL
PASSED AND APPROVED this the
day of
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY,
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
BY:
Page 2
S:\OUT Documents\Contracts\05\Greater Denton Arts Council.doc
SERVICE AGREEMENT
BETWEEN THE CITY OF DENTON, TEXAS AND THE
GREATER DENTON THE ARTS COUNCIL
This Agreement is hereby entered into by and between the City of Denton, Texas, a Home Rule
Municipal Corporation, hereinafter referred to as "City", and the Greater Denton The Arts Council, a
Texas Non-Profit Corporation, hereinafter referred to as "The Arts Council":
WHEREAS, City has determined that the proposal for services merits assistance and can
provide needed services to citizens of City and has provided funds in its budget for the purpose of
paying for contractual services; and
WHEREAS, this Agreement serves a valid municipal and public purpose and is in the public
interest as it will promote tourism and economic development within the City, among other things;
NOW, THEREFORE, the parties hereto mutually agree as follows:
I. SCOPE OF SERVICES
The Arts Council shall in a satisfactory and proper manner perform the following tasks, for
which the monies provided by City may be used:
The funds being provided shall be used by The Arts Council for the development and
marketing of the following exhibitions at the fall festival, "Joseph Patrick," "Mexican Markets and
Gardens," and the "Denton Handweavers Guild".
n. OBLIGATIONS OF THE ARTS COUNCIL
In consideration of the receipt of funds from City, The Arts Council agrees to the followjng
terms and conditions:
A. One Hundred Dollars and no/l00 ($100.00) shall be paid to The Arts Council by City to
be utilized for the purposes set forth in Article I.
B. The Arts Council will establish, operate, and maintain an account system for this program
that will allow for a tracing of funds and a review of the financial status of the program.
C. The Arts Council will permit authorized officials of City to review its books at any time.
D. The Arts Council will reduce to writing all of its rules, regulations, and policies and file a
copy with the City along with any amendments, additions, or revisions whenever adopted.
E. The Arts Council will not enter into any contracts that would encumber City funds for a
period that would extend beyond the term of this Agreement.
F. The Arts Council will appoint a representative who will be available to meet with City
officials when requested.
G. The Arts Council will submit to City copies of year-end audited financial statements.
ID. TIME OF PERFORMANCE
The services funded by City shall be undertaken and completed by Organization within the
following time frame:
September 17, 2005 through October 26, 2005, unless the contract is sooner terminated under
Section VII "Suspension or Termination".
N. PAYMENTS
A. PAYMENTS TO THE ARTS COUNCIL. City shall pay to The Arts Council the sum specified in
Article II after the effective date of this Agreement.
B. EXCESS PAYMENT. The Arts Council shall refund to City within ten (10) working days of
City's request, any sum of money which has been paid by City and which City at any time thereafter
determines:
1) has resulted in overpayment to The Arts Council; or
2) has not been spent strictly in accordance with the terms of this Agreement; or
3) is not supported by adequate documentation to fully justify the expenditure.
V. EVALUATION
The Arts Council agrees to participate in an implementation and maintenance system whereby
the services can be continuously monitored. The Arts Council agrees to make available its financial
records for review by City at City's discretion. In addition, The Arts Council agrees to provide City
the following data and reports, or copies thereof:
A. All external or internal audits. The Arts Council shall submit a copy of the annual
independent audit to City within ten (10) days of receipt.
B. All external or internal evaluation reports.
C. An explanation of any major changes in program services.
D. To comply with this section, The Arts Council agrees to maintain records that will provide
accurate, current, separate, and complete disclosure of the status offunds received and the services
performed under this Agreement. The Arts' Council's record system shall contain sufficient
Page 2 of7
documentation to provide in detail full support and justification for each expenditure. The Arts
Council agrees to retain all books, records, documents, reports, and written accounting procedures
pertaining to the services provided and expenditure of funds under this Agreement for five years.
E. Nothing in the above subsections shall be construed to relieve The Arts Council of
responsibility for retaining accurate and current records that clearly reflect the level and benefit of
services provided under this Agreement.
VI. DIRECTORS' MEETINGS
During the term ofthis Agreement, The Arts Council shall deliver to City copies of all notices
of meetings of its Board of Directors, setting forth the time and place thereofwherein this program is
a part of the subj ect matter of the meeting. Such notice shall be delivered to City in a timely manner
to give adequate notice, and shall include an agenda and a brief description of the matters to be
discussed. The Arts Council understands and agrees that City's representatives shall be afforded
access to all meetings of its Board of Directors.
Minutes of all meetings of The Arts Council's governing body shall be available to City within
ten (10) working days of approval.
VII. TERMINA nON
The City may terminate this Agreement for cause if The Arts Council violates any covenants,
agreements, or guarantees ofthis Agreement, The Arts Council's insolvency or filing of bankruptcy,
dissolution, or receivership, or The Arts Council's violation of any law or regulation to which it is
bound under the terms of this Agreement. The City may terminate this Agreement for other reasons
not specifically enumerated in this paragraph.
Vill. EQUAL OPPORTUNITY AND COMPLIANCE WITH LAWS
A. The Arts Council shall comply with all applicable equal employment opportunity and
affirmative action laws or regulations.
B. The Arts Council will furnish all information and reports requested by City, and will
permit access to its books, records, and accounts for purposes of investigation to ascertain
compliance with local, State and Federal rules and regulations.
C. In the event of The Arts Council's non-compliance with the non-discrimination
requirements, the Agreement may be canceled, terminated, or suspended in whole or in part, and The
Arts Council may be barred from further contracts with City.
Page 3 of?
IX. WARRANTIES
The Arts Council represents and warrants that:
A. All information, reports and data heretofore or hereafter requested by City and
furnished to City, are complete and accurate as ofthe date shown on the information, data, or report,
and, since that date, have not undergone any significant change without written notice to City.
B. Any supporting financial statements heretofore requested by City and furnished to
City, are complete, accurate and fairly reflect the financial conditions of The Arts Council on the date
shown on said report, and the results of the operation for the period covered by the report, and that
since said data, there has been no material change, adverse or otherwise, in the financial condition of
The Arts Council.
C. No litigation or legal proceedings are presently pending or threatened against The Arts
Council.
D. None of the provisions herein contravenes or is in conflict with the authority under
which The Arts Council is doing business or with the provisions of any existing indenture or
agreement of The Arts Council.
E. The Arts Council has the power to enter into this Agreement and accept payments
hereunder, and has taken all necessary action to authorize such acceptance under the terms and
conditions of this Agreement.
F. None of the assets of The Arts Council are subject to any lien or encumbrance of any
character, except for current taxes not delinquent, except as shown in the financial statements
furnished by The Arts Council to City.
Each ofthese representations and warranties shall be continuing and shall be deemed to
have been repeated by the submission of each request for payment.
X. CHANGES AND AMENDMENTS
A. Any alterations, additions, or deletions to the terms of this Agreement shall be by
written amendment executed by both parties, except when the terms of this Agreement expressly
provide that another method shall be used.
B. It is understood and agreed by the parties hereto that changes in the State, Federal or
local laws or regulations pursuant hereto may occur during the term of this Agreement. Any such
modifications are to be automatically incorporated into this Agreement without written amendment
hereto, and shall become a part of the Agreement on the effective date specified by the law or
regulation.
Page 4 of7
C. The Arts Council shall notify City of any changes in personnel or governing board
composition.
XI. INDEMNIFICATION
To the extent authorized by law, The Arts Council agrees to indemnify, hold harmless, and
defend the CITY, its officers, agents, and employees from and against any and all claims or suits for
injuries, damage, loss, or liability of whatever kind or character, arising out of or in connection with the
performance by The Arts Councilor those services contemplated by this Agreement, including all such
claims or causes of action based upon common, constitutional or statutory law, or based, in whole or in
part, upon allegations of negligent or intentional acts of The Arts Council, its officers, employees,
agents, subcontractors, licensees and invitees.
Xll. CONFLICT OF INTEREST
A. The Arts Council covenants that neither it nor any member of its governing body presently
has any interest, direct or indirect, which would conflict in any manner or degree with the
performance of services required to be performed under this Agreement. The Arts Council further
covenants that in the performance of this Agreement, no person having such interest shall be
employed or appointed as a member of its governing body.
B. The Arts Council further covenants that no member of its governing body or its staff,
subcontractors or employees shall possess any interest in or use his/her position for a purpose that is
or gives the appearance of being motivated by desire for private gain for himself/herself, or others;
particularly those with which he/she has family, business, or other ties.
C. No officer, member, or employee of City and no member of its governing body who
exercises any function or responsibilities in the review or approval of the undertaking or carrying out
of this Agreement shall participate in any decision relating to the Agreement which affects his
personal interest or the interest in any corporation, partnership, or association in which he has direct
or indirect interest.
XIII. NOTICE
Any notice or other written instrument required or permitted to be delivered under the terms of
this Agreement shall be deemed to have been delivered, whether actually received or not, when
deposited in the United States mail, postage prepaid, registered or certified, return receipt requested,
or via hand-delivery or facsimile, addressed to The Arts Councilor City, as the case may be, at the
following addresses:
Page 5 of?
CITY
GREATER DENTON ARTS COUNCIL
C.ha.1~a.I\t~
Margaret C-ftMSCflt, Executive Director
Greater Denton Arts Council
207 South Bell
Denton, TX 76201
Fax: No. 940.566.1486
City of Denton, Texas
Attn: City Manager
215 E. McKinney
Denton, TX 76201
Fax: No. 940.349.8591
Either party may change its mailing address by sending notice of change of address to the other
at the above address by certified mail, return receipt requested.
XIV. MISCELLANEOUS
A. The Arts Council shall not transfer, pledge or otherwise assign this Agreement or any
interest therein, or any claim arising thereunder to any party or parties, bank, trust company or other
financial institution without the prior written approval of City.
B. If any provision ofthis Agreement is held to be invalid, illegal, or unenforceable, the
remaining provisions shall remain in full force and effect and continue to conform to the original
intent of both parties hereto.
C. In no event shall any payment to The Arts Council hereunder, or any other act or
failure of City to insist in anyone or more instances upon the terms and conditions of this Agreement
constitute or be construed in any way to be a waiver by City of any breach of covenant or default
which may then or subsequently be committed by The Arts Council. Neither shall such payment,
act, or omission in any manner impair or prejudice any right, power, privilege, or remedy available to
City to enforce its rights hereunder, which rights, powers, privileges, or remedies are always
specifically preserved. No representative or agent of City may waive the effect of this provision.
D. This Agreement, together with referenced exhibits and attachments, constitutes the
entire agreement between the parties hereto, and any prior agreement, assertion, statement,
understanding, or other commitment occurring during the term of this Agreement, or subsequent
thereto, have any legal force or effect whatsoever, unless properly executed in writing, and if
appropriate, recorded as an amendment of this Agreement.
E. This Agreement shall be interpreted in accordance with the laws ofthe State of Texas and
venue of any litigation concerning this Agreement shall be in a court of competent jurisdiction sitting
in Denton County, Texas.
Page 6 of7
IN WITNESS WHEREOF, the parties do hereby affix their signatures and enter into this
Agreement as ofthe day of , 2005.
CITY OF DENTON, TEXAS
BY:
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYD , CITY ATTORNEY
BY:
GREATER DENTON ARTS COUNCIL
~~~a~C2.J-
MARG T GR.'\l.~iNf
a-\AJ...F'" AN T
ATTEST:
BY:
SECRETARY
Page 7 of7
AGENDA INFORMATION SHEET
AGENDA DATE:
September 20, 2005
DEPARTMENT:
City Manager's Office
CMlDCM/ACM:
Michael A. Conduff, City Manager
SUBJECT:
Consider adoption of an ordinance of the City of Denton authorizing an agreement between the
City of Denton, Texas and the American Legion to assist in purchasing food, providing monetary
assistance to subsidize utility bill and rental payment for citizens and for subsidizing medical
costs for senior citizens; providing for the expenditure of funds therefore; and providing for an
effective date.
BACKGROUND:
Council Member Charlye Heggins requests her contingency funds be expended to help pay for
agency costs in assisting clients. The total amount requested is $600.00.
RECOMMENDATION
Staff recommends approval of this ordinance ratifying the agreement between the City and the
American Legion.
PRIOR ACTIONIREVIEW (Council. Boards. Commission)
None
FISCAL INFORMATION
The contingency fund expenditure request is for $600.00.
Respectfully submitted:
~L~~
Betty Williams
Director of Management and Public Information
Prepared by:
%Q~ 1MWJmn
Michelle McCallum
Assistant to the City Council
S:\OUf Documents\Ordinances\05\American Legion Ordillill1ce.doc
,y
ORDINANCE NO.
AN ORDINANCE OF THE CITY OF DENTON AUTHORIZING AN AGREEMENT BETWEEN
THE CITY OF DENTON, TEXAS AND THE AMERICAN LEGION TO ASSIST IN
PURCHASING FOOD, PROVIDING MONETARY ASSISTANCE TO SUBSIDIZE UTILITY
BILL AND RENTAL PAYMENTS FOR CITIZENS AND FOR SUBSIDIZING MEDICAL COSTS
FOR SENIOR CITIZENS; PROVIDING FOR THE EXPENDITURE OF FUNDS THEREFORE;
AND PROVIDING AN EFFECTNE DATE.
WHEREAS, the City Council of the City of Denton hereby finds that the Program and the
agreement between the City and the American Legion. attached hereto and made a part hereof by
reference (the "Agreement") serve a municipal and public purpose and is in the public interest;
NOW, THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. The findings set forth in the preamble of this ordinance are incorporated by
reference into the body of this ordinance as if fully set forth herein.
SECTION 2. The City Manager, or his designee, is hereby authorized to execute the
Agreement and to carry out the duties and responsibilities of the City under the Agreement, including
the expenditure of funds as provided in the Agreement.
SECTION 3. This ordinance shall become effective immediately upon its passage and
approval.
PASSED AND APPROVED this the
day of
,2005.
EULINE BROCK, MAYOR
I~'
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. S A TORNEY
BY:
S:\OUf Documents\Contracts\05\American Legion Agreemenldoc
SERVICE AGREEMENT
BETWEEN THE CITY OF DENTON, TEXAS AND THE
AMERICAN LEGION
This Agreement is hereby entered into by and between the City of Denton, Texas, a Home Rule
Municipal Corporation, hereinafter referred to as "City", and the American Legion, a Texas Non-
Profit Corporation, hereinafter referred to as "American Legion":
WHEREAS, City has determined that the proposal for services merits assistance and can
provide needed services to citizens of City and has provided funds in its budget for the purpose of
paying for contractual services; and
WHEREAS, this Agreement serves a valid municipal and public purpose and is in the public
interest;
NOW, THEREFORE, the parties hereto mutually agree as follows:
I. SCOPE OF SERVICES
American Legion shall in a satisfactory and proper manner perform the following tasks, for
which the monies provided by City may be used:
The funds being provided shall be used by the American Legion to provide financial assistance
for returning veterans and their widows, and to low income persons, which includes help with utility
bills, rental assistance, help with prescriptions for senior citizens, scholarship programs, food
baskets for the needy during holidays and other related financial assistance.
II. OBLIGATIONS OF AMERICAN LEGION
In consideration of the receipt of funds from City, American Legion agrees to the following
terms and conditions:
A. Six Hundred Dollars and no/l 00 ($600.00) shall be paid to American Legion by City to be
utilized for the purposes set forth in Article I.
B. American Legion will maintain adequate records to establish that the City funds are used
for the purposes authorized by this Agreement.
C. American Legion will permit authorized officials of City to review its books at any time.
D. Upon request, American Legion will provide to City its By Laws and any of its rules and
regulations that may be relevant to this Agreement.
E. American Legion will not enter into any contracts that would encumber City funds for a
period that would extend beyond the term of this Agreement.
F. American Legion will appoint a representative who will be available to meet with City
officials when requested.
G. American Legion will submit to City copies of year-end audited financial statements.
m. TIME OF PERFORMANCE
The services funded by City shall be undertaken and completed by Organization within the
following time frame:
September 6, 2005 through September 6, 2006, unless the contract is sooner terminated under
Section VIT "Suspension or Termination".
IV. PAYMENTS
A. PAYMENTS TO AMERICAN LEGION. City shall pay to American Legion the sum specified in
Article IT after the effective date of this Agreement.
B. EXCESS PAYMENT. American Legion shall refund to City within ten (10) working days of
City's request, any sum of money which has been paid by City and which City at any time thereafter
determines:
1) has resulted in overpayment to American Legion; or
2) has not been spent strictly in accordance with the terms of this Agreement; or
3) is not supported by adequate documentation to fully justify the expenditure.
V. EVALUATION
American Legion agrees to participate in an implementation and maintenance system whereby
the services can be continuously monitored. American Legion agrees to make available its financial
records for review by City at City's discretion. In addition, American Legion agrees to provide City
the following data and reports, or copies thereof:
A. All external or internal audits. American Legion shall submit a copy of the annual
independent audit to City within ten (10) days of receipt.
B. All external or internal evaluation reports.
C. An explanation of any major changes in program services.
D. To comply with this section, American Legion agrees to maintain records that will provide
accurate, current, separate, and complete disclosure of the status of funds received and the services
performed under this Agreement. American Legion's record system shall contain sufficient
Page 2 of7
documentation to provide in detail full support and justification for each expenditure. American
Legion agrees to retain all books, records, documents, reports, and written accounting procedures
pertaining to the services provided and expenditure of funds under this Agreement for five years.
E. Nothing in the above subsections shall be construed to relieve American Legion of
responsibility for retaining accurate and current records that clearly reflect the level and benefit of
services provided under this Agreement.
VI. DIRECTORS' MEETINGS
During the term ofthis Agreement, American Legion shall deliver to City copies of all notices
of meetings of its Board of Directors, setting forth the time and place thereof wherein this program is
a part of the subject matter ofthe meeting. Such notice shall be delivered to City in a timely manner
to give adequate notice, and shall include an agenda and a brief description of the matters to be
discussed. American Legion understands and agrees that City's representatives shall be afforded
access to all meetings of its Board of Directors.
Minutes of all meetings of American Legion's governing body shall be available to City within
ten (10) working days of approval.
VII. TERMINATION
The City may terminate this Agreement for cause if American Legion violates any covenants,
agreements, or guarantees of this Agreement, the American Legion's insolvency or filing of
bankruptcy, dissolution, or receivership, or the American Legion's violation of any law or regulation
to which it is bound under the terms of this Agreement. The City may terminate this Agreement for
other reasons not specifically enumerated in this paragraph.
Vill. EOUAL OPPORTUNITY AND COMPLIANCE WITH LAWS
A. American Legion shall comply with all applicable equal employment opportunity and
affirmative action laws or regulations.
B. American Legion will furnish all information and reports requested by City, and will
permit access to its books, records, and accounts for purposes of investigation to ascertain
compliance with local, State and Federal rules and regulations.
C. In the event of American Legion's non-compliance with the non-discrimination
requirements, the Agreement may be canceled, terminated, or suspended in whole or in part, and
American Legion may be barred from further contracts with City.
Page 3 of7
IX. WARRANTIES
American Legion represents and warrants that:
A. All information, reports and data heretofore or hereafter requested by City and
furnished to City, are complete and accurate as ofthe date shown on the information, data, or report,
and, since that date, have not undergone any significant change without written notice to City.
B. Any supporting financial statements heretofore requested by City and furnished to
City, are complete, accurate and fairly reflect the financial conditions of American Legion on the
date shown on said report, and the results of the operation for the period covered by the report, and
that since said data, there has been no material change, adverse or otherwise, in the financial
condition of American Legion.
C. No litigation or legal proceedings are presently pending or threatened against
American Legion.
D. None of the provisions herein contravenes or is in conflict with the authority under
which American Legion is doing business or with the provisions of any existing indenture or
agreement of American Legion.
E. American Legion has the power to enter into this Agreement and accept payments
hereunder, and has taken all necessary action to authorize such acceptance under the terms and
conditions of this Agreement.
F. None ofthe assets of American Legion are subj ect to any lien or encumbrance of any
character, except for current taxes not delinquent, except as shown in the financial statements
furnished by American Legion to City.
Each ofthese representations and warranties shall be continuing and shall be deemed to
have been repeated by the submission of each request for payment.
X. CHANGES AND AMENDMENTS
A. Any alterations, additions, or deletions to the terms of this Agreement shall be by
written amendment executed by both parties, except when the terms of this Agreement expressly
provide that another method shall be used.
B. It is understood and agreed by the parties hereto that changes in the State, Federal or
local laws or regulations pursuant hereto may occur during the term of this Agreement. Any such
modifications are to be automatically incorporated into this Agreement without written amendment
hereto, and shall become a part of the Agreement on the effective date specified by the law or
regulation.
Page 4 of7
C. American Legion shall notify City of any changes in personnel or governing board
composition.
XI. INDEMNIFICATION
To the extent authorized by law, the American Legion agrees to indemnify, hold harmless, and
defend the CITY, its officers, agents, and employees from and against any and all claims or suits for
injuries, damage, loss, or liability of whatever kind or character, arising out of or in connection with the
performance by the American Legion or those services contemplated by this Agreement, including all
such claims or causes of action based upon common, constitutional or statutory law, or based, in whole
or in part, upon allegations of negligent or intentional acts of American Legion, its officers, employees,
agents, subcontractors, licensees and invitees.
XU. CONFLICT OF INTEREST
A. American Legion covenants that neither it nor any member of its governing body presently
has any interest, direct or indirect, which would conflict in any manner or degree with the
performance of services required to be performed under this Agreement. American Legion further
covenants that in the performance of this Agreement, no person having such interest shall be
employed or appointed as a member of its governing body.
B. American Legion further covenants that no member of its governing body or its staff,
subcontractors or employees shall possess any interest in or use his/her position for a purpose that is
or gives the appearance of being motivated by desire for private gain for himselflherself, or others;
particularly those with which he/she has family, business, or other ties.
C. No officer, member, or employee of City and no member of its governing body who
exercises any function or responsibilities in the review or approval of the undertaking or carrying out
of this Agreement shall participate in any decision relating to the Agreement which affects his
personal interest or the interest in any corporation, partnership, or association in which he has direct
or indirect interest.
Xli. NOTICE
Any notice or other written instrument required or permitted to be delivered under the terms of
this Agreement shall be deemed to have been delivered, whether actually received or not, when
deposited in the United States mail, postage prepaid, registered or certified, return receipt requested,
or via hand-delivery or facsimile, addressed to American Legion or City, as the case may be, at the
following addresses:
Page 5 of7
CITY
AMERICAN LEGION
City of Denton, Texas
Attn: City Manager
215 E. McKinney
Denton, TX 76201
Fax No. 940.349.8591
Harold Williams, Post Commander
American Legion
629 Wilson Street
Denton, TX 76205
Fax No. 940.
Either party may change its mailing address by sending notice of change of address to the other
at the above address by certified mail, return receipt requested.
XN. MISCELLANEOUS
A. American Legion shall not transfer, pledge or otherwise assign this Agreement or any
interest therein, or any claim arising thereunder to any party or parties, bank, trust company or other
financial institution without the prior written approval of City.
B. If any provision ofthis Agreement is held to be invalid, illegal, or unenforceable, the
remaining provisions shall remain in full force and effect and continue to conform to the original
intent of both parties hereto.
C. In no event shall any payment to American Legion hereunder, or any other act or
failure of City to insist in anyone or more instances upon the terms and conditions ofthis Agreement
constitute or be construed in any way to be a waiver by City of any breach of covenant or default
which may then or subsequently be committed by American Legion. Neither shall such payment,
act, or omission in any manner impair or prejudice any right, power, privilege, or remedy available to
City to enforce its rights hereunder, which rights, powers, privileges, or remedies are always
specifically preserved. No representative or agent of City may waive the effect of this provision.
D. This Agreement, together with referenced exhibits and attachments, constitutes the
entire agreement between the parties hereto, and any prior agreement, assertion, statement,
understanding, or other commitment occurring during the term of this Agreement, or subsequent
thereto, have any legal force or effect whatsoever, unless properly executed in writing, and if
appropriate, recorded as an amendment of this Agreement.
E. This Agreement shall be interpreted in accordance with the laws ofthe State of Texas and
venue of any litigation concerning this Agreement shall be in a court of competent jurisdiction sitting
in Denton County, Texas.
Page 6 of?
IN WITNESS WHEREOF, the parties do hereby affix their signatures and enter into this
Agreement as of the day of , 2005.
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
BY:
ATTEST:
BY:
SECRETARY
Page 7 of7
CITY OF DENTON, TEXAS
BY:
EULINE BROCK, MAYOR
AMERICAN LEGION
BY: ,J.J ~ltJ uI~v I.
HAROLD WILLIAMS
POST COMMANDER
AGENDA INFORMATION SHEET
AGENDA DATE: September 20, 2005
DEPARTMENT: Legal Department
CM/DCM/ACM: Ed Snyder, City Attorney
SUBJECT: AN ORDINANCE OF THE CITY OF DENTON, TEXAS AUTHORIZING
SETTLEMENT OF AN EMINENT DOMAIN ACTION STYLED CITY OF DENTON, TEXAS
V DANA J BEA VERS AKA DANA J SMITH, ET AL, CAUSE NO. ED-2004-485, FILED IN
THE PROBATE COURT OF DENTON COUNTY; AUTHORIZING THE CITY MANAGER
AND THE CITY'S ATTORNEYS TO ACT ON THE CITY'S BEHALF IN EXECUTING
ANY AND ALL DOCUMENTS, AND TO TAKE OTHER ACTIONS NECESSARY TO
FINALIZE THE SETTLEMENT; AUTHORIZING THE EXPENDITURE OF FUNDS
THEREFOR; AND DECLARING AN EFFECTIVE DATE.
BACKGROUND: On February 22, 2005, the City Council passed Ordinance No. 2005-053,
authorizing the City to deposit the Special Commissioners' Award ($61,973.00) into the registry
of the court. The defendants appealed the Award thereby converting the eminent domain action
into a civil trial. Defendants have offered to settle this action for the sum of $71,973.00 which
$10,000.00 above the amount ofthe Award.
OPTIONS: Agree to the settlement or proceed to litigate the matter as a civil trial.
RECOMMENDATION: The Legal Department recommends that the settlement offer be
accepted.
PRIOR ACTION/REVIEW: Based on Ordinance No. 2005-053 the City deposited the
$61,973.00 Special Commissioners' Award into the registry ofthe court on April 5, 2005.
FISCAL INFORMATION: $71,973.00.
Respectfully submitted,
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AGENDA INFORMATION SHEET
AGENDA DATE:
September 20, 2005
DEPARTMENT:
Utility Administration
Howard Martin, Utilities 349-8232 ..
ACM:
SUBJECT
Consider adoption of an ordinance of the City of Denton, Texas approving an Interlocal
Agreement by and between the City of Denton, Texas and the Town of Copper Canyon,
Texas to provide Gas Well Inspection Services; and provding and effective date. (The
Public Utilities Board recommends approval 5-0.)
BACKGROUND
In April, 2005, the Town of Copper Canyon approved local Ordinance No. 05-203 to
enact regulation of natural gas well drilling. The regulatory provisions are similar to the
regulations currently enforced within the City of Denton.
In June, 2005, Mayor Sue Tejml and Town Administrator Paulette Hartman contacted the
City of Denton Staff to request consideration of an interlocal agreement for the Denton
Gas Well Inspector to provide inspection services at well sites to be located within the
Town of Copper Canyon. The City of Denton Legal Department and Environmental
Division reviewed the Copper Canyon regulations and determined that a similar
inspection process would be applicable. Consideration was given to the time and
resources available to extend inspection services to locations anticipated within Copper
Canyon. Due primarily to the fact that original proj ections of inspection activity in
Denton were based upon vertical drilling techniques that are largely replaced in the
Barnett Shale formation by horizontal drilling that requires fewer drilling sites, Staff
determined that sufficient personnel and material resources are available to accommodate
the Town of Copper Canyon request for interlocal inspection services. A cost schedule
for services has been determined to allow full recovery of out-of-pocket cost as well as
general overhead expenses associated with gas well inspection services provided to
Copper Canyon. No additional investment or budgeted operating cost will be required by
the City of Denton to provide these services; therefore, all revenue collected under a
proposed interlocal agreement will apply to funding the current fixed cost of gas well
inspection services.
An interlocal agreement that stipulates the charge for gas well inspection services and the
procedure for conducting and reporting services has been developed by the City of
Denton Staff and representatives from Copper Canyon.
RECOMMENDA TIONS
Staff recommendation is to present the agreement to provide gas well inspection services
for the Town of Copper Canyon to the City Council at the September 20, 2005 meeting.
PRIOR ACTIONIREVIEW (Council. Boards. Commissions)
1. Notice of pending agreement submitted to Council with weekly Legal Department
status report on July 15,2005.
2. PUB approval (5-0) on August 22,2005.
FISCAL INFORMATION
No additional investment or budgeted operating cost will be required by the City of
Denton to provide gas well inspection services for the Town of Copper Canyon;
therefore, all revenue collected under a proposed interlocal agreement will apply to
funding the current fixed cost of gas well inspection services.
EXHIBITS
1. Ordinance
2. Interlocal Cooperation Agreement Between The City of Denton And The Town of
Copper Canyon;
3. PUB Minutes
Respectfully submitted:
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Jim Coulter, Director
W ater/W astewater Utilities
Quentin Hix,
Gas Well Inspector
S:\Our Documents\Ordinances\05\Interlocal Agrmt-Copper Canyon.doc
ORDINANCE NO.
AN ORDINANCE OF THE CITY OF DENTON, TEXAS APPROVING AN INTERLOCAL
COOPERATION AGREEMENT BY AND BETWEEN THE CITY OF DENTON, TEXAS
AND THE TOWN OF COPPER CANYON, TEXAS TO PROVIDE GAS WELL INSPECTION
SERVICES; AND PROVIDING AN EFFECTIVE DATE.
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. The City Council hereby approves an Interlocal Cooperation Agreement
between the City of Denton, Texas and the Town. of Copper Canyon to provide gas well
inspection services substantially in accordance with the Interlocal Cooperation Agreement which
is attached hereto and incorporated herein by reference (the "Agreement"). The City Manager,
or his designee, is authorized to execute the Agreement on behalf of the City. The City Manager,
or his designee, is authorized to carry out the City's rights and duties under the Agreement. Any
prior actions of the City taken pursuant to the Agreement are hereby ratified.
SECTION 2. The City Council finds that the Agreement will benefit the City of Denton
and is in the public interest.
SECTION 3. This ordinance shall become effective immediately upon its passage and
approval.
PASSED AND APPROVED this the
day of
, 2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
By:
,By:
INTERLOCAL COOPERATION AGREEMENT BETWEEN THE CITY OF
DENTON AND THE TOWN OF COPPER CANYON
THIS AGREEMENT is made and entered into as of the Effective Date as hereinafter
defined, by and between the City of Denton, Texas, a home rule municipal corporation
organized and existing under the laws of the State of Texas, hereinafter referred to as "
Denton" and the Town of Copper Canyon, Texas, a Texas town generallaw municipality,
hereinafter referred to as "Copper Canyon".
WHEREAS, Copper Canyon is in need of gas well inspection services; and
WHEREAS, Denton and Copper Canyon desire to enter into this agreement under
the authority and subject to the provisions of Texas Government Code, Chapter 791, the
Interlocal Cooperation Act for the provision of gas well inspection services; and
WHEREAS, each party hereto is capable of performing the services provided for
herein, and each party paying for the performance of governmental functions or services
is making those payments from current revenues available to the paying party and all
payments are in an amount that fairly compensates the performing party for the services
or functions performed under this agreement;
NOW, THEREFORE, it is mutually agreed by the parties hereto as follows:
I.
The term of this Agreement shall commence as of the Effective Date and shall
expire on September 1,2010 unless terminated earlier as provided herein.
II.
Denton shall provide gas well inspection services as follows:
1. Inspection fee of $1 ,200 per well, unless otherwise agreed to in writing by both parties
to this Agreement, would include the following:
Two site inspections will be provided with the first inspection following installation of
the drilling rig to inspect for compliance with municipal drilling ordinance and the
second following completion of the drilling and installation of the operating facilities.
Each inspection will include two site visits, the first to inspect and identify any issues of
non-compliance to be noted on a Gas W ell Inspection Report and the second to determine
if compliance has been achieved in the specified time limit. The site visit following
completion of the well will include inspection for proper removal of the rig, remediation
of on-site reserve and frac pits, and set-up for operation oftank batteries.
EXHIBIT 2
Written Inspection Reports will be provided to Copper Canyon and a copy to the gas well
operator for each visit. The only items to be inspected by the Gas Well Inspector will be
those agreed upon by both parties and set forth on the Gas Well Inspection Report;
2. Each additional inspection in response to a specific request by the Town
Administrator will be performed at a cost of $200, unless otherwise agreed to in writing
by both parties to this Agreement, per site visit;
3. Complaints filed with other agencies (i.e. TRC; EP A; TCEQ; etc.) will be the
responsibility of Copper Canyon without direct participation by the Gas Well Inspector
unless requested as an additional service by Copper Canyon;
4. Enforcement of Copper Canyon gas well regulations will be the sole responsibility of
Copper Canyon. The Gas Well Inspector may identify violations and report them to the
Town Administrator or designee for enforcement action. The Gas Well Inspector may be
required, as an additional service, to testify in court regarding any noted violations of the
Copper Canyon gas well regulation ordinance;
5. The Gas Well Inspector may inspect for specific operating safety issues as identified
on an Inspection Checklist to be approved by both parties to this agreement as a part of
the first inspection (i.e. fire extinguisher installation; no smoking signs; etc.);
6. Site inspection includes collection of water samples from the Reserve Pit for content
analysis by a City of Denton Lab. The fee for City of Denton Lab analysis shall be as
identified in Exhibit A to this Agreement; additional analysis performed by a non-
municipal laboratory may be requested by Copper Canyon for a fee identified in Exhibit
A-
,
7. Site inspection does NOT include inspection of access route and road damage
remediation action; and,
8. Any Denton employee that performs services under this agreement will remain an
employee of Denton, but will perform gas well inspection services under the supervision
and control of the Copper Canyon Town Administrator. In addition to the fees specified
above, for the services of the Denton Gas Well Inspector, Copper Canyon will reimburse
Denton the sum of $50.00 per hour. In addition to the gas well inspection services
specified in this paragraph, the Town Administrator may request additional services from
Denton's Gas Well Inspector. Copper Canyon shall reimburse Denton the sum of $50.00
per hour for any additional services, as defined in this agreement and in addition to the
gas well inspection services specified above.
III.
This Agreement may be terminated in whole or in part, with or without cause, by Denton
or Copper Canyon upon forty-five (45) days' written notice to the other via certified mail,
return receipt requested, or facsimile at the address or fax numbers set forth below.
For Denton: Michael A. Conduff, City Manager
City of Denton
City Hall
215 E. McKinney Street
Denton, Texas 76201
Fax No. 940-349-8596
For Copper Canyon: Paulette Hartman
Town Administrator
Town of Copper Canyon
400 Woodland Drive
Copper Canyon, Texas 75077
Fax No. (940) 241-2727
In the event of termination Copper Canyon shall fully pay Denton for services completed
through the effective date of termination.
IV.
The covenants, conditions and terms hereof are to be construed under the laws of
the State of Texas and are performable by all parties in Denton County, Texas. The
parties mutually agree that venue for any obligation arising from this Agreement shall lie
in Denton County, Texas.
V.
This writing is intended by the parties as a [mal expression of their agreement and
as a complete and exclusive statement of the terms of their agreement. This Agreement
can be modified only in writing signed by both of the parties or their duly authorized
agents.
VI.
This Agreement is not intended to extend the liability of the parties beyond that
provided by law. Neither Denton nor Copper Canyon waives, nor shall be deemed
hereby to waive, any immunity or defense that would otherwise be available to it against
claims arising by third parties.
VII.
In the event that any portion of this Agreement shall be found to be contrary to
law, it is the intent of the parties hereto that the remaining portions shall remain valid and
in full force and effect to the extent possible.
VIII.
The undersigned officers and/or agents of the parties hereto are the properly
authorized officials and have the necessary authority to execute this Agreement on behalf
of the parties hereto and each party hereby certifies to the other that any and all necessary
resolutions extending said authority have been duly passed and are now in full force and
effect.
Signed to be effective the _ day of
Date").
, 2005 (the "Effective
CITY OF DENTON, TEXAS
BY:
Michael A. Conduff, City Manager
-4-
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
BY:
CITY OF COPPER CANYON
ATTEST:.. /)
~ P-~-<-
BY: - . r--o
., "lfz-xrkJl; HYJ/J}J
'Jbl.,D/JI~ eru.2ei}J:A~
BY: ~Mi::s-;).-:::, -
!iJ wAf /fAM/lvl6 fahr
'&v.lel/e Htiffmt'-A/
Exhibit A
City of Denton Oil and Gas Monitorint!
Laboratory Analvsis Price Schedule
General Water Quality Analysis Performed by City of Denton Lab:
(sample collection included as part of initial inspection fee)
Cost to be as shown unless otherwise agreed to in writing by both parties to this Agreement.
Analvsis
pH (Standard Units)
Conductivity (microsiemens)
Salinity (as Chloride I ppm)
Total Dissolved Solids
Cost
$15.00
$15.00
$15.00
$15.00
Chloride (ppm)
$25.00
TPH (ppm)
fiber optic method
immunoassay method
Combined Cost
$30.00
Total
$115.00
Note: IfTPH is greater than 15 ppm, site will be re-sampled with approval of Copper Canyon
and sample will be sent to independent lab for verification using Gas Chromatograph
Detection method. Sampling procedures shall be a minimum of one
hour by City of Denton Staff. Independent lab cost to be billed
directly to Town of Copper Canyon by lab.
1
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CITY OF DENTON, TEXAS
PUBLIC UTILITIES BOARD MEETING AGENDA
FOR AUGUST 22, 2005
9:00 A. M.
DRAFT
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After determining that a quorum of the Public Utilities Board of the City of Denton, Texas was
present, the Public Utilities Board convened into an Open Meeting on Monday, August 22,2005
at 9:00 a.m. in the Service Center Training Room, City of Denton Service Center, 901-A Texas
Street, Denton, Texas.
Present:
Bob Bland, John Baines, Bill Cheek, Phil Gallivan, Charldean Newell,
EX OFFICIO MEMBERS
Michael Conduff, City Manager
Howard Martin, ACM. /Utilities
Excused:
Dick Smith
George Hopkins
ITEMS FOR INDIVIDUL CONSIDERATION:
7) Consider recommending approval of an interlocal agreement to provide gas well inspection
services to the Town of Copper Canyon.
Quientin Hix, Gas Well Inspector, reported in June, 2005, Mayor Sue Tejml and Town
Administrator Paulette Hartman contacted the City of Denton Staff to request consideration of an
interlocal agreement for the Denton Gas Well Inspector to provide inspection services at well
sites to be located within the Town of Copper Canyon. The City of Denton Legal Department
and Environmental Division reviewed the Copper Canyon regulations and determined that a
similar inspection process would be applicable.
A cost schedule for services has been determined to allow full recovery of out-of-pocket cost as
well as general overhead expenses associated with gas well inspection services provided to
Copper Canyon. No additional investment or budgeted operating cost will be required by the
City of Denton to provide these services; therefore, all revenue collected under a proposed
interlocal agreement will apply to funding the current fixed cost of gas well inspection services.
Cheek moved to approve with a second from Bland. The motion was approved by a vote of
5 to o.
Page 1 of 1
EXHIBIT 3
AGENDA INFORMATION SHEET
AGENDA DATE: September 20,2005
DEPARTMENT:
Utility Administration
..
ACM:
Howard Martin, Utilities 349-8232
SUBJECT
Consider adoption of an ordinance of the City Council of the City of Denton, Texas authorizing
the City Manager to execute a First Amendment to Professional Services Agreement with
Kimley-Horn & Associates, Inc. for additional Professional Engineering Services related to the
Final Design of the Southwest Booster Pump Station and Storage Facilities; authorizing the
expenditure of funds therefor; and providing an effective date. (The Public Utilities Board
recommends approval 5-0.)
BACKGROUND
The Southwest Booster Pump Station (SWBPS) facilities will provide water service to the upper
pressure plane area on the southeast corner of the City's water CCN. The primary customer in
the near term will be Robson Ranch, although portions of the Country Lakes Development and
the majority of the Hunters Ranch (Peroit property) and portions of the Cole property will also
receive water service through this pump station. The preliminary design study for the project
was completed by Kimley-Horn and Associates, Inc. (KHA) in the spring of 2002 and a
Professional Services Agreement (PSA) was approved by the PUB and City Council on May 6
and May 21, 2002 respectfully (Exhibit 2).
The final design effort had reached the 85% level by January of 2003 when representatives from
the Robson Ranch Development requested the project to be delayed due to slower than
anticipated marketing for their development. Staff indicated a willingness to delay the project
until the number of meters installed for the Robson Ranch development achieved the target goals
anticipated in the development agreement. Staff continued to monitor the growth in water usage
and meters for the development and by the spring of 2005 made efforts to get the proj ect moving
forward again. The current schedule will be to finish the final design of the project and release it
for bidding in August or September of 2005 with construction completion scheduled for the
spring/early summer of 2007. It is projected that the total number of metered connections will be
between 950 and 1200 by the time the SWBPS project is completed and the Robson Ranch
development is converted from the temporary groundwater based system to the City's surface
water system.
The proposed amendment to the PSA directly relates to scope changes in the project that were
identified during the design phase. These include design for standby electrical power facilities
and hydro pneumatic tanks. Both of these items relate to regulatory requirements from the
TCEQ and the fact there will be an interim period of operation when the southwestern upper
pressure plane will operate without elevated storage in place. Staff had hoped to avoid the
construction of these interim improvements by seeking a variance from the TCEQ. This
variance request was denied and these facilities will need to be designed and included in the
project as a consequence of this decision by the TCEQ. The project delay of approximately two
and one half years has also resulted in a request for some additional compensation from KHA
that staff has negotiated and reduced to a level they are willing to support. One additional area
of scope change relates to the construction phase services portion of the contract. At the time the
PSA was negotiated, staff was not certain how the inspection of the project would be staffed and
administered. It has since been determined that the best approach will be to use the Construction
Projects Manager from the Water Administration Division to provide the day to day inspection
and resident representative services for the city. This employee was the city's inspector for the
Lake Ray Roberts Water Treatment Plant project and has received significant training from
Freese and Nichols on construction management and plant construction inspections and is
available to cover this project. Based upon prior experience, staff felt that the PSA with KHA
should be expanded to include additional engineering support during the construction phase. The
proposed amendment to the PSA includes an additional $25,000 in services to be billed on an
hourly basis if needed to cover this additional support from KHA. The revisions to the PSA
proposed by staff are discussed in greater detail in the letter from KHA dated July 20, 2005
(Exhibit 3).
OPTIONS
1. Approve the amendment to the Professional Services Agreement.
2. Suggest modifications to the amendment to the Professional Services Agreement.
RECOMMENDA TION
Staff recommends approval of the amendment to the Professional Services Agreement between
the City of Denton and Kimley-Horn and Associates, Inc. in the revised amount of $341,000
($52,000 increase) for additional engineering design and construction phase services for the
Southwest Booster Pump Station and Storage Facilities project.
PRIOR ACTIONIREVIEW (Council, Boards, Commissions)
May 6, 2002 - PUB approved the PSA with Kimley-Horn and Associates, Inc. for Final Design.
May 21,2002 - City Council approved the PSA with Kimley-Horn and Associates, Inc. for Final
Design.
August 8,2005 - PUB approved the $52,000 increase for additional engineering design and
construction services.
FISCAL INFORMATION
The current cost estimate from the engineer for the project is also included in the agenda
(Exhibit 4). The current cost estimate for the project has increased from the original cost
estimate prepared during the preliminary design report by approximately $600,000 (from 3.1 to
3.7 million dollars). The primary reasons for this are:
. Additional cost for installation of emergency stand by power ($350,000).
. Additional cost for installation of hydro pneumatic pressure storage tanks ($170,000).
. Additional cost due to inflation over a 30-month period ($80,000)
The key areas affecting the inflation costs related to structural steel, concrete and fuel costs.
The FY 2005-2006 CIP has budgeted $3,105,900 for construction and $60,900 for inspection on
the project. Staff will identify available funding to cover the shortfall after bids are received and
the bid is awarded. The estimated schedule for bid award is October or November of 2005. This
may result in a larger bond sale for the spring of 2006 or a schedule delay for another water CIP
proj ect.
BID INFORMATION
NA
EXHIBITS
1. Location Map
2. July 20, 2005 proposal for the PSA amendment from Kimley-Horn and Associates.
3. Original PSA with Kimley-Horn and Associates, Inc. for the design of the Southwest Booster
Pump Station and Storage Facilities.
4. Engineer's Final Construction Cost Estimate.
5. Ordinance
6. Agreement
Respectfully submitted:
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Jim Coulter
Director of Water Utilities
Prepared by
Tim Fisher, P.E.
Assistant Director of Water Utilities.
SOUTHWEST BOOSTER
PUMP LOCATION
ROBSON
RANCH
Proposed
24" Waterline
Robson Ranch Road
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ORDINANCE NO. ~ ()t!tl, -IS7
AN ORDll\TANCE OF THE CITY OF DENTON, TEXAS AUTHORIZING TIIE CIlY
~A:GQ,.,TO :eXBctJTB A PROFESSIONAL SERVICES AGREEMENT WITH
IOlMLEY-HOJ;N &. ASSOCIATES, INC. .FOR PROFESSIONAL ENGINEERING
SERV1CESIlELATED TO THE FINAL DESIGN OF THE SOU'fHWlEST BOOSTER
Pl:IMP ST:A.noN AND STOR,AGE FACILITIES; AUTHquzmG THE
~BNi:)I~ OF FUNDS THEREFOR; AND PR.OVIDING AN EFF1fCTIVE DATE.
. ~AS, the City Council deems that it is ill the public inferest to engage
~YM~~ As,Sooiates, Inc. 3: _ C~rporation . ("K-H"), to projle prof~sional
~.~e& .relate4 to the final design of the Southwest Booster Pump Station and
S~F~~and
~AS, the City staff has reported to the City Council that there is a.
..$Jid1stant:i3:l~fur tb,e. above-referenced professional engineering. services, and that
I~City~~ adequately perform the specialized services and tasks with its OWIl
. J~l;..~
~s,cna,ter 2254 of the Texas Government Code, known as the
~~S$Vices Procurement Act,"genem1lyprovides that a City may not select a
..~... .9f..~. ~ces on the. basis of competitive bids, but must select the .'
~QIl;"~ ofd~(}11Strated cotl:lfeteI1ce, knowledge, and qualUications, and fur
alml\$n_~lejtice; NOW 'THEREFORE,
'I'HB C~OF l'HE CITYOjF DENTON HEREBY ORDAINS:
... .. . .~.l,:n.t the City Manager is hereby authorized to. execute a
'~6mtJ,~ A~ with Kimley-Hom & Associates, Inc., a CorponWOIl, f'Or
~~. ~~~. serviQe& relating to the final..design of the Southwest Booster
~.i~'",,~~ Fa;ciJ5,~, in a ll.lRlp-sum f~ of $289,000; in SIlb$tantially the
'~.~~'~:(:)~ISmric.es Agreement attached h<<eto and incorporated herewith by
~.
.,~~~; .111atfb.e.awarcl of this Agreement by the City is on the basis of the
~~~; mowlelige, and qualifications of K-H and the demonstrated
~ ofK.-H~fl~.Fllll the services needed by the City for a fair and reasonable price.
. ....~~,l: '!'hat the expenditure. of funds as provided in the attached
~O$l~~U Agreement is hereby authorized.
. .
. 11'<;.,4: ~ this o:rdinance shall become effective immediately upon its
~~~'Val. . ot
PAS$!!) ~ Al'PltOVED this the; 1--- day of I1l. cur- . 2002.
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ORDINANCE NO.
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF DENTON, TEXAS
AUTHORIZING THE CITY MANAGER TO EXECUTE A FIRST AMENDMENT TO
PROFESSIONAL SERVICES AGREEMENT WITH KIMLEY-HORN & ASSOCIATES,
INC. FOR ADDITIONAL PROFESSIONAL ENGINEERING SERVICES RELATED
TO THE FINAL DESIGN OF THE SOUTHWEST BOOSTER PUMP STATION AND
STORAGE FACILITIES; AUTHORIZING THE EXPENDITURE OF FUNDS
THEREFOR; AND PROVIDING AN EFFECTIVE DATE.
WHEREAS, the City Council deems that it is in the public interest to continue to
engage Kimley-Horn & Associates, Inc. a Corporation ("K-H"), to provide further
professional engineering services related to the final design of the Southwest Booster
Pump Station and Storage Facilities; and
WHEREAS, the City Council passed and approved an Ordinance on the 21 st day of
May, 2002, being Ordinance No. 2002-157, which authorized that a Professional Services
Agreement between the parties hereto be entered into. On the 21st day of May 2002, the
City of Denton, Texas and Kimley-Horn and Associates, Inc. entered into a "Professional
Services Agreement For The design, Bidding and Construction Contract Notification
Associated With The Proposed Denton Southwest Pump Station and Ground Storage
Tank;" and
WHEREAS, the City staff has reported to the City Council that there is a
substantial need for the additional above-referenced professional engineering services, and
that limited City staff cannot adequately perform the specialized services and tasks with its
own personnel; and
WHEREAS, Chapter 2254 of the Texas Government Code, known as the
"Professional Services Procurement Act," generally provides that a City may not select a
provider of professional services on the basis of competitive bids, but must select the
provider on the basis of demonstrated competence, knowledge, and qualifications, and for
a fair and reasonable price; NOW THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1: That the City Manager is hereby authorized by the City Council to
execute a First Amendment to Professional Services Agreement with Kimley-Horn and
Associates, Inc., a Corporation, for further professional engineering services relating to the
final design of the Southwest Booster Pump Station and Storage Facilities, for an
additional lump-sum fee of $52,000; in substantially the form of the First Amendment to
Professional Services Agreement attached hereto and incorporated herewith by reference.
EXHIBIT 5
1
SECTION 2: That the award of this Agreement by the City is on the basis of the
continued demonstrated competence, knowledge, and qualifications of K-H and the
demonstrated ability of K-H to perform the services needed by the City for a fair and
reasonable price.
SECTION 3: That the expenditure of funds as provided in the attached First
Amendment to Professional Services Agreement is hereby authorized.
SECTION 4: That this ordinance shall become effective immediately upon its
passage and approval.
PASSED AND APPROVED this the
day of
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
By:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
By:
S:IOur DocumentslOrdinanceslOSIKimley-Horn & Associates-Final Design-SW Booster-PSA 200S.doc
2
THE STATE OF TEXAS ~
~
COUNTY OF DENTON ~
FIRST AMENDMENT TO PROFESSIONAL SERVICES AGREEMENT
THIS FIRST AMENDMENT to that certain "Professional Services Agreement
For The Design, Bidding and Construction Contract Notification Associated With The
Proposed Denton Southwest Pump Station and Ground Storage Tank" in the original not-
to-exceed amount of $289,000 (hereafter the "Agreement"), executed on May 21,2002;
and approved by Ordinance No. 2002-157 enacted by the Council on said date, was
heretofore entered into by and between the City of Denton, Texas, a Texas Municipal
Corporation with its offices at 215 East McKinney Street, Denton, Texas 76201
(hereafter referred to as "CITY''); and the firm ofKimley-Hom and Associates, Inc., with
its offices at 801 Cherry Street, Unit 11, Suite 1025, Fort Worth, Texas 76102, a North
Carolina Corporation (hereafter referred to as ''K-H''); acting herein by and through their
respective duly authorized signatories; and
WHEREAS, the work and projects contemplated by the Agreement have been
partially completed, but certain portions of projects remain pending or have changed by
the delay of the last three years; neither due to the fault of the CITY nor K-H; and
additional monetary authority of not to exceed $52,000 (a total amount of $341,000,
including the $289,000 amount of the Agreement) is requested by the CITY and K-H at
this time; both the CITY and K-H have a mutual desire to enter into the terms of this
"First Amendment to Professional Services Agreement" (hereafter the "First
Amendment'') in order to complete all of the services described and provided for in said
Agreement and in the First Amendment; and
NOW THEREFORE, the City of Denton, Texas and the firm of Kimley-Hom and
Associates, Inc. (hereafter collectively referred to as the "Parties"), in consideration of
their mutual promises and covenants, as well as for other good and valuable
considerations, do hereby AGREE to the following First Amendment, which amends the
terms and conditions of the said Agreement, to wit:
I.
That the provisions of the new Article II.B. shall be inserted immediately
following the enumeration of the three (3) sections of the Scope of Work and Fee
Proposal labeled Article IT.A. in the Agreement of May 21, 2002, to wit:
"B. To perform those professional services as are set forth in the First Amended
Scope of Work which is set out in that certain three (3) page letter from Glenn A.
Gary, P.E. of Kimley-Hom and Associates, Inc. to Tim Fisher, P.E., Assistant
Director of Water Utilities of the City of Denton, Texas, dated July 20, 2005;
1
EXHIBIT 6
which letter is hereby incorporated by reference.
(4) sections:
1.
2.
3.
4.
This letter is composed of four
Item 1 - Electrical Generator
Item 2 - Hydropneumatic Tank
Item 3 - Delay of Project
Item 4 - Construction Phase Services"
II.
That the provisions of old Article II.R. shall instead be labeled as Article
II.C. Article II.C. shall instead read:
"C. If there is any conflict, or if any conflict arises between the terms of this
First Amendment and the Exhibits attached to the Agreement and the First
Amendment, the terms and conditions of this First Amendment shall control over
the terms and conditions of the Exhibits:'
ill.
That the provisions of Article V.B.1., shall be deleted and the following
language is substituted for the same. The provision shall instead read:
"1. CONSULTANT shall perform its work on this Project in accordance with
the provisions of those tasks which are described and as set forth in the "Scope of
Services" of Exhibits "A" and "B" attached hereto and incorporated herewith by
reference. CONSULTANT shall bill from time sheets, on a once-monthly basis,
in minimum ~ hour or smaller time increments, at.the hourly billing rate, or as
otherwise provided in Article V. For and in consideration of the professional
services to be performed by the CONSULTANT herein, the OWNER agrees to
pay, at an hourly rate as determined by Exhibit "C" entitled "Compensation
Effective August 1,2005" which is incorporated herewith by reference, including
reimbursement for direct non-labor expenses and for its subcontractor expense.
CONSULTANT and OWNER agree that the fee for this First Amendment is not
to exceed $52,000. That amount consists of (1) a lump sum fee of $15,000
associated with adding the Electrical Generator, as contained in Item 1 of Exhibit
"B" hereto; (2) a lump sum fee of $8,500 associated with the addition of two
15,000 gallon pressure tanks ("Hydropneumatic Tank") as contained in Item 2 of
Exhibit "B" hereto; (3) a lump-sum fee of $3,500 associated with the project
delay of several years ("Delay of Project") as contained in Item 3 of Exhibit "B"
hereto; and (4) a not-to-exceed hourly fee in accordance with Exhibit "C"
attached hereto regarding additional construction phase services regarding Item 4
of Exhibit "B" hereto, in an amount not-to-exceed $25,000.
The original Agreement executed by CONSULTANT and OWNER on the 21st
day of May, 2002, provided for professional fees in the lump sum amount of
$289,000. This First Amendment authorizes the expenditure afnot-to-exceed an
2
additional $52,000 in professional fees. Therefore, this First Amendment
authorizes the total expenditure by OWNER of not- to-exceed $341,000."
IV.
That the following language shall be added to Article XXII.A of the Agreement:
"Exhibit "B" - First Amendment - Scope of Services - as contained in the
letter described hereinabove as Article II.B.
"Exhibit :C: - Compensation - attached hereto as Exhibit "c"
v.
The Parties hereto agree, that except as specifically provided for by this First
Amendment, that all of the terms, covenants, conditions, agreements, rights,
responsibilities, and obligations of the Parties, set forth in both the Agreement and the
First Amendment, shall remain in full force and effect.
IN WITNESS WHEREOF, the City of Denton, Texas and the firm of Kimley-
Horn and Associates, Inc. have each executed this First Amendment to Professional
Services Agreement, in (4) original counterparts, by and through their respective duly
authorized representatives and officers on this the _ day of , 2005.
"CITY'
CITY OF DENTON, TEXAS
A Texas Municipal Corporation
By:
MICHAEL A. CONDUFF, City Manager
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
By:
APPROVED AS TO LEGAL FORM:
3
M.
EDWIN 11. SNYDER, CITY ATTORNEY
By-I iWA ~~
HK - H"
KIMLEY-HORN AND ASSOCIATES, INC.
A North Carolina Corporation
By:
/Z~~
GLENN A. GARY, Vice President
ATTEST:
By:
S:\Our Documents\Contracts\05\Kimley-Hom First
4
Exhibit C
Kimley-Horn and Associates, Inc.
Rates Schedule
(Hourly Rate)
Senior Professional IT
Senior Professional
Professional
Designer
Technical Support
Clerical! Administrative Support
$150 - $190
$110 - $155
$60 - $110
$95 - $105
$45 - $90
$55 - $70
Effective JanU(lry 1, 2005
C:\Docurnenls and Settings\glenn.gary\My Docurnenls\FfW05 _Ma>ter.doc89
~-n Kimley-Hom
......: _ r__~ and Associates, Inc.
July 20, 2005
Mr. Tim Fisher, P.E.
Assistant Director of Water Utilities
City of Denton
901-A Texas Street
Denton, TX 76205
Re: Denton Southwest Pump Station and Ground Storage Tank
KHA No. 061024005
Dear Tim:
The following are items not included in the Scope of Services of our current
contract for the Southwest Pump Station project. We have provided a description
of each item and the fee increase associated with each item.
Item 1 - Electrical Generator - The current plan for the service area proposed to
be served by the Southwest Pump Station is to delay the construction of elevated
storage. The TCEQ requires emergency power for systems with greater than 250
connections and do not meet the elevated storage requirement of 100 gallon per
connection. Emergency backup generation is listed in the contract as an
additional service but was not included in the total agreement price of $289,000.
The additional fee associated with adding this item as stated in the contract is a
lump sum of $15,000.
The projected additional construction cost for electrical generation is $300,000.
Item 2 - Hydropneumatic Tank - If elevated storage is not constructed then the
TCEQ allows for up to 2,500 connections to be served by a 30,000 gallon
pressure tank. Kimley-Horn submitted a variance request to the TCEQ on behalf
of the City of Denton to have variable speed pumps to control pressure rather
than a pressure tanlc This request was denied by the TCEQ and a pressure tank
will have to be constructed for pressure maintenance unless elevated storage is
constructed. Because of the operating pressure at this station two (2) 15,000
gallon pressure tanks are anticipated to be constructed. As you know, pressure
tanks are typically used in rural areas where fire demand is not considered, so the
demand from the tank is fairly consistent. In this situation even though a
pressure tank is not a reliable method to provide fire protection, the design allows
the system to operate at fire demands which can be 5 to 10 times higher than the
normal anticipated demand. The control of a pressure tank. in this hydraulic
condition can become complex to meet the wide range of anticipated demand
.
TEL 817 3356511
FAX 817 3355070
.
Suite 1025
801 Cherry Street, Unit11
Fort Worth, Texas
76102-6803
~=~ :=~t~lnc.
Mr. Tim Fisher, P.E., July 20, 2005, Page 2
conditions. A good portion of the design deals with pump controls that allow the
pressure tank to operate through a wide range of demand conditions.
The projected fee for the addition of two 15,000 gallon pressure tanks is a lump
sum $8,500.
The projected additional construction costfor the two pressure tanks is
approximately $135,000.
Item -3 Delay of Project - The project has been delayed for nearly two years
now. We have to change a few contracts with some of our sub consultants to
account for the delay of the project. Some of it is related to starting up the
project again, some of it is things like having the surveyor verifY property
information and comers. The additional fee to cover subs is approximately
$3,500. I would like to request that we shift the cost of the reserved funds for
geotech to cover Kimley-Hom's cost to stop and start the contract. The geotech
information we received early in the project was sufficient to cover the majority
of our needs. We have only spent $600 of the budgeted $6,600 to have the
geotech sub consultant revise his report.
The total additional cost we are requesting for project delay is a lump sum of
$3,500.
Item 4 - Construction Phase Services - Our current Scope of Services includes
only shop drawing review and monthly site visits. You have indicated that there
may be a need for more detailed correspondence between your inspector and
Kimley-Hom during construction. It is very difficult to project the actual
additional fee for this; it is dependant upon contractors, vendors, developer's
contractors, and your staff. We propose that the construction phase service of the
contract be increased approximately $25,000 to cover these additional services.
This would allow an additional 2 to 5 hours per week of services as needed from
your staff. This time is not designated to cover errors and omissions by Kimley-
Horn, but to allow the staff the flexibility for additional services as needed
through the construction period.
Additional construction phase services are proposed to be hourly up to a
budgeted amount of $25, 000
1II"'1-1n11 Kimley-Hom
......,J _ ~~ and Associates, Inc.
Mr. Tim Fisher, P.E., July 20,2005, Page 3
Summary
Additional Services - Lump Sum
Electrical Generator
Hydro Pneumatic Tank
Delay Sub consultant Cost
Subtotal
$ 15,000
$ 8,500
$ 3,500
$ 27,000
Additional Services - Reimbursable
Construction Phase Services
$ 25,000
Total additional services
$ 52,000
Current Contract Amount
Proposed Contract Amount
$289,000
$34 I ,000
Please review this information and let me know your thoughts, then we can work
through how you would like to proceed.
Sincerely,
KIMLEY -HORN AND ASSOCIATES, INC.
/Z--- t:/' ~
Glenn A. Gary, P.E. .
GAG:jlp
P:\061024.005\LTR"""-ndment2.doc
AGENDA INFORMATION SHEET
AGENDA DATE:
September 20, 2005
DEPARTMENT:
Utilities
Howard Martin, Utilities 349-8232 ..
ACM:
SUBJECT
Consider approval of an ordinance authorizing the abandonment and release of certain blanket
electric utility easements owned by the City, to the extent that they encumber certain real
property owned by Holigan Land Development, Ltd. containing approximately 160.023 acres
and being located in the Gideon Walker Survey, Abstract No. 1330, Denton, Denton County,
Texas; and providing an effective date. (The Public Utilities Board recommends approval 4-0.)
BACKGROUND
Holigan Land Development, Ltd., is in the process of developing a tract of land consisting of
approximately 160.023 acres in the southeast area of Denton designated as the Villages of
Carmel. This item is to consider Holigan's request to abandon certain blanket easements on the
property. All the background information was presented during the closed session.
OPTIONS
1. Approve the abandonment
2. Propose an alternative alignment
3. Do not approve the abandonment and accept the risk of not being able to obtain the
needed easement to construct the required transmission line from Spencer to Pockrus
RECOMMENDA TION
DME recommends approval of the abandonment.
ESTIMA TED PROJECT SCHEDULE
The easement abandonment will be completed as soon as possible after Council approval.
PRIOR ACTIONIREVIEW (Council, Boards, Commissions)
The public Utilities Board unanimously recommended approval on September 12, 2005.
FISCAL INFORMATION
Not Applicable
BID INFORMATION
Not applicable
EXHIBITS
1. Ordinance
2. PUB Minutes
Respectfully submitted,
~ll:lII:
..................................................................
Sharon Mays
Director of Electric Utilities
Electric Administration
Prepared by:
~~
:1:1:
Chuck Sears
Engineering Administrator
Denton Municipal Electric
S:\Our Documents\Ordinances\05\Holigan-Electric Easement Abandonment.DOC
ORDINANCE NO.
AN ORDINANCE OF THE CITY OF DENTON, TEXAS AUTHORIZING THE
ABANDON1vfENT AND RELEASE OF CERTAIN BLANKET ELECTRIC UTILITY
EASEMENTS OWNED BY THE CITY THAT WERE PREVIOUSLY ASSIGNED TO
THE CITY FROM BRAZOS ELECTRIC POWER COOPERATNE, TO THE EXTENT
THEY ENCUMBER CERTAIN REAL PROPERTY OWNED BY HaUGAN LAND
DEVELOPMENT, LTD. CONTAINING APPROXIMATELY 160.023 ACRES AND
BEING LOCATED IN THE GIDEON WALKER SURVEY ABSTRACT NO. 1330.
DENTON COUNTY, TEXAS, AND PROVIDING AN EFFECTNE DATE THEREOF.
WHEREAS, Holigan Land Development, Ltd. (the "Owner") is the owner of
certain real property located in the City of Denton, Denton County, Texas and containing
approximately 160.023 acres of land. as more particularly described in Exhibit "A"
attached hereto by reference (the "Property"); and
WHEREAS, the Property is encumbered by certain electric easements that are
owned by the City through Denton Municipal Electric ('TIME") which easements are
more particularly described as follows; That certain easement from Roland Hill and wife,
Liffie Ilah Hill to Brazos River Transmission Electric Cooperative. Inc. dated June 3,
1947, recorded in volume 357, page 56 of the Deed Records of Denton County. Texas
and that certain easement from J.B. Schmitz to Brazos River Transmission Electric
Cooperative, Inc., dated June 4, 1947, recorded in Volume 354, page 394 of the Deed
Records of Denton County, Texas, both of which were assigned to the City of Denton,
Texas pursuant to that certain Assignment dated October 23, 1987, recorded in Volume
2736, page 825 of the Real Property Records of the Denton County, Texas (the "Existing
Easements"); and
WHEREAS, the Owner has petitioned the City to abandon the Existing Easement
to the extent they encumber the Property in exchange for the granting of a new easement
in substantially the same form as the easement entitled Electric Utility and Bik~ Trail
Easement attached hereto and made a part hereof by reference as Exhibit "B" (the ''New
Easement");
WHEREAS, the City Council finds that: (1) the value of the New Easement
exceeds the value of the Existing Easements as they affect the Property; (2) the property
interests being exchanged meet the requirements of Section 272.001(k) of the Texas
Local Government Code and this ordinance shall also constitute a resolution; (3) and this
exchange and abandonment is in the public interest and serves an important public
purpose by allowing DME to provide for future routing of electric transmission lines that
will better serve the City and its citizens; NOW, THEREFORE,
THE COUNCIL OF THE CITY OF DENTON, TEXAS, HEREBY ORDAINS:
Page 1
EXHIBIT 1
S:\Our Documents\Ordinances\05\Holigan-Electric Easement AbandonmenLDOC
SECTION 1. The recitations and findings contained in the preamhle of this
Ordinance are incorporated herein by reference.
SECTION 2. The City Council hereby authorizes the abandonment and release
of the Existing Easements to the extent they encwnber the Property (the "Abandoment
Area"), subject to the following conditions:
a. The City receives the fully executed and acknowledged New Easement
free and clear of all liens and encwnbrances, except for any encwnbrance
that may be deemed by the City Manager, or his designee, to not adversely
affect the City's use and enjoyment of the New Easement.
b. The City, at its own expense, removes the existing utility facilities from
the Abandonment Area.
Upon the completion of the above conditions the City Manager, or his designee is
authorized to execute a document in recordable form and deliver same to the Owner, that
evidences the abandonment and release of the Existing Easements from the
Abandonment Area.
SECTION 3. This Ordinance shall become effective immediately upon its
passage and approval.
PASSED AND APPROVED this the
day of
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. S ER, CITY ATTORNEY
BY:
Page 2
Exhibit A
ALL THAT CERTAIN TRACT OR PARCEL OF LAND LYING AND BEING SITUATED IN THE G.
WALKER SURVEY ABSTRACT NUMBER 1330, DENTON COUNTY, TEXAS, AND BEING
PART OF THE cALLE~ 91.921 ACRE TRACT DESCRIBED IN A DEED TO FLOWERS BAKING
co. OF DENTON, LLC, RECORDED IN COUNTY CLERK'S FILE NUMBER 03-R0159272, REAL
PROPERTY RECORDS, DENTON COUNTY, TEXAS, AND ALSO BEING DESCRIBED AS ALL
OF LOT 2, BLOCK A,FLOWERSFOOD ADDITION, AN ADDITION TO THE CITY OF DENTON,
ACCORDING TO THE PLAT THEREOF, RECORDED IN CABINET W. PAGES 333 AND 334,
PLAT RECORDS, DENTON COUNTY, TEXAS,AND ALL OF LOT 3, BLOCK A, FLOWERS
FOOD ADDITION, AN ADDITION TO THE CITY OF DENTON, ACCORDING TO THE PLAT
THEREOF, RECORDED IN CABINET W, PAGES 335 AND 336, PLAT RECORDS, DENTON
COUNTY, TEXAS AND BEING MORE PARTICULARLY DESCRIBED AS FOLLOWS:
BEGINNING AT A FOUND RAILROAD SPIKE AT A NORTHEAST CORNER OF THE FLOWERS
BAKING CO TRACT IN EDWARDS ROAD;
THENCE SOUTH 02 DEGREES 40 MINUTES 5.5 SECONDS WEST WITH A EAST LINE OF THE
FLOWERS BAKING CO. TRACT AND THE WEST LINE OF A CALLED 16.0 ACRE TRACT
DESCRIBED IN A DEED TO RICHARD BARIA. RECORDED IN VOLUME 1329, PAGE 202,
REAL PROPERTY RECORDS, DENTON COUNTY, TEXAS, A DISTANCE OF 698.28 FEET TO
A FOUND IRON PIN AT AN ANGLE POINT IN THE EAST L1.NE OF THE FLOWERS BAKING
CO, TRACT AT THE NORTHWEST CORNER OF A CALLED 0.968 ACRE TRACT DESCRiBED
IN A DEED TO HOLlGAN LAND DEVELOPMENT, LTD.,RECORoED IN DOCUMENT NUMBER
2~50040, OFFICIAL PUBLIC RECQRDS, DENTON COUNTY, TEXAS;
THENCE SOUTH 02 DEGREES 43 MINUTES 42 SECONDS WEST CONTINUING WITH A
EAST LINE OF THE FLOWERS BAKING co. TRACT AND THE WEST LINE OF SAID 6.968
ACRE TRACT, A DISTANCE OF 1249.03 FEET TO A FOUND IRON PIN AT A SOUTHEAST
CORNER OF THE FLOWERS BAKING CO TRA.CT ON THE NORTH LINE OF THE 20.057
ACRE TRACT TO HOUGAN LAND DEVELOPMENT, L TD.RECORDED IN COUNTY CLERK"S
FILE NUMBER 03.R0135346, REAL PROPERTY RECORDS, DENTON COUNTY, TEXAS;
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THENCE SOUTH 03 DEGREES 19 MINUTES 02 SECONDS WEST WITH A EAST LINE OF THE
FLOWERS BAKING co. TRACT AND A WEST LINE OF THE 2.846 ACRE TRACT A DISTANCE
OF 472.97 FEET TO A FOUND FENCE CORNER POST AT AN ANGLE POINT IN A EAST LINE
OF THE flOWERS BAKING CO. TRACT AND THE NORTHWEST CORNER OF THE CALLED
0..942 ACRE TRACT DESCRIBED IN THE DEED TO HOLlGAN LAND DEVELOPMENT, LTD.
RECORDED IN COUNTY CLERK"S DOCUMENT NUMBER 2004-0230, REAL PROPERTY
RECORDS, DENTON COUNTY, TEXAS;
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THENCE NORTH 87 DEGREES 33 MINUTES 17 SECONDS WEST WITH A SOUTH LINE OF
,THE FLOWERS BAKING CO. TRACT AND A NORTH UNE OF SAID 20.057 ACRE TRACT, A
DISTANCE OF 622.20 FEET TO A FOUND IRON PIN AT AN INNER ELL CORNER OF THE
FLOWERS BAKING CO. TRACT, AND THE NORTHWEST CORNER A CALLED 2.846 ACRE
TRACT DESCRIBED IN A DEED TO HOLiGAN LAND DEVELOPMENT, LTD. RECORDED IN
COUNTY CLERK.S DOCUMENT NUMBER 2004-0230, REAL PROPERTY RECORDS, DENTON
COUNTY, TEXASj
THENCE SOUTH 03 DEGREES 01 MINUTES 21 SECONDS WEST CONTINUING WITH A
EAST liNE OF THE FLOWERS BAKING CO. TRACT AND THE WEST LINE OF THE 0.942
ACRE TRACT A DISTANCE OF 224.75 FEET TO A FOUND STEEL PIPE AT A SOUTHEAST
CORNER OF THE FLOWERS BAKING CO. TRACT ON THE NORTH RIGHT -OF-WAY LINE OF
POCKRUSPAGE ROAD;
THENCE NORTH 87 DEGREES 56 MINUTES 40 SECONDS WEST WITH A SOUTH LINE OF
THE FLOWERS BAKING CO, TRACT AND THE NORTH RIGHT-OF.WAY LINE OF POCKRUS
PAGE ROAD, A DISTANCE OF 218.61 FEET TOA FOUND STEEL PIPE AT A SOUTHWEST
CORNER OF THE FLOWERS BAKING CO. TRACT AND THE SOUTHEAST CORNER OF THE
TRACT OF LAND DESCRIBED IN THE DEED TO BETTY JOHN ROBERTSON ~ConRDED IN
VOLUME 2423, PAGE 932 OF THE REAL PROPERTY RECORDS OF DENTON COUNTY, J ,
TEXAS;,_...l=
THENCE NORTH 01 DEGREES 47 MINUTES 13 SECONDS EAST WITH A WEST LINE OF
THE FLOWERS BAKING CO. TRACT AND THE EAST LINE OF THE ROBERTSON TRACT A
DISTANCE OF 683.38 FEET TO A FOUND IRON PIPE AT AN INNER ELL CORNER Of THE
FLOWERS BAKING CO. TRACT AND A NORTHEAST CORNER OF THE CALLED 3.980 ACRE
TRACT TO KENNETH D. OWEN RECORDED IN VOLUME 763, PAGE 137 OF THE DEED
RECORDS OF DENTON COUNTY, TEXAS;
THENCE NORTH 87 DEGREES 39 MINUTES 54 SECONDS WEST WITH A SOUTH LINE OF
THE FLOWERS BAKING CO. TRACT AND THE IIIORTH LINE OF THE OWEN TRACT A
DISTANCE OF 363.71 FEET TO A FOUND IRON PIN AT AN INNER ELL CORNER Of
FLOWERS BAKING CO. TRACT;
THENCE SOUTH 03 DEGREES 03 MINUTES 00 SECONDS WEST WITH AN EAST LINE OF
FLOWERS BAKING CO. TRACT AND THE WEST LINE Of THE OWEN TRACT A DISTANCE
Of 397.16 FEET TO A FOUND IRON PIN; i
THENCE SOUTH 39 DEGREES 11 MINUTES 49 SECONDS EAST WITH AN EAST LINE OF
FLOWERS BAKING CO. TRACT AND THE SOUTH LINE OF THE OWEN TRACT A DISTANCE
OF 362.08 FEET TO A 1/2 INCH IRON PIN SET WITH A YELLOW PLASTIC CAP STAMPED
METROPLEX 1849 AT THE SOUTHERNMOST SOUTHEAST CORNER OF SAID LOT 2,
BLOCK A, ON THE NORTH RIGHT-OF-WAY LINE OF POCKRUS PAGE ROAD;
THENCE NORTH 87 DEGREES 29 MINUTES 45 SECONDS WEST WITH A SOUTH LINE Of
SAID LOT 2, BLOCK A, AND THE NORTH RIGHT-Of-WAY LINE OF POCKRUS PAGE ROAD
A DISTANCE OF 26.69 fEET TO A 1f2 INCH IRON PIN SET WITH A YEllOW PLASTIC CAP
STAMPED METROPLEX 1849 AT THE SOUTHERN MOST SOUTHWEST CORNER OF SAID
LOT 2, BLOCK A, ON THE EAST RIGHT-Of-WAY LINE Of THE OLD M.K.T. RAILROAD;
THENCE NORTH 39 DEGREES 14 MINUTES 16 SECONDS WEST WITH A WEST LINE OF
FLOWERS BAKiNG CO. TRACT AND THE eAST RIGHT-Of-WAY LINE Of THE OLD M.K.T.
RAILROAD, A DISTANCE OF 391.25 FEET TO A FOUND IRON PIN AT THE BEGINNING Of A
CURVE TO THE RIGHT;
THENCE WITH THE EAST RIGHT-Of-WAY LINE OF THE OLD M.K.T. RAILROAD ALONG
SAID CURVE HAVING A DELTA OF 13 DEGREES 29 MINUTES 38 SECONDS, A RADIUS OF
2814.79 FEET, AN ARC LENGTH OF 662.92 FEET (CHORD Of NORTH 32 DEGREES 31
MINUTES 18 SECONDS WEST A DISTANCE OF 661.39 FEET) TO A 1 f2 INCH IRON PIN SET
WITH A YELLOW PLASTIC CAP STAMPED METROPLEX 1849;
THENCE SOUTH 87 DEGREES 33 MINUTES 17' SECONDS EAST, A DISTANCE OF 1302.08
FEET TO A 1/2 INCH IRON PIN SET WITH A YELLOW PLASTIC CAP STAMPED METROPLEX
1849;
THENCE NORTH 02 DEGREES 43 MINUTES 42 SECONDS EAST, A DISTANCE OF 1043.62
FEET TO A 1/2 INCH IRON PIN SET WITH A YELLOW PLASTIC CAP STAMPED METROPLEX
1849;
THENCE NORTH 60 DEGREES 11 MINUTES 50 SECONDS WEST, A DISTANCE OF 294.75
FEET TO A 1/2 INCH IRON PIN SET WITH A YELLOW PLASTIC CAP STAMPED METROPLEX
1849;
THENCE NORTH 03 DEGREES 08 MINUTES 54 SECONDS EAST, A DISTANCE Of 587.48
fEET TO A 1f21NCH IRON PIN SET WITH A YELLOW PLASTIC CAP STAMPED METROPLEX
1f'A9 0Ii. THE SOUTH RIGHT-QF-WAY UNE Of ~!)WARDS ROAD;
THENCE SOUTH 86 DEGREES 44 MINUTES 08 SECONDS EAST WITH THE SOUTH
RIGHT-Of-WAY LINE OF EDWARDS ROAD A DISTANCE OF 434.98 FEET TO A FOUND IRON
PIN;
THENCE NORTH 03 DEGREES 30 MINUTES 26 SECONDS EAST A DISTANCE OF 35.49
fEET TO A FOUND RAILROAD SPIKE IN EDWARDS ROAD ON THE NORTH LINE OF THE
FLOWERS BAKING co. TRACT;
THENCE SOUTH 88 DEGREES 03 MINUTES 58 SECONDS EAST WITH THE NORTH LINE OF
THE FLOWERS BAKING CO TRACT A DISTANCE OF 172.15 FEET TO THE POINT OF
BEGINNING AND CONTAINING IN ALL 29.530 ACRES Of LAND.
PROPERTY DESCRIPTION
BEING a tract of land situated in the Gideon Walker Survey, Abstract No. 1330, Den ton County, Texas,
and being off of those tracts conveyed to Holigan land Development, Ltd. by deeds recorded in
Instrument Numbers 03~135346, 04-9230, 03-207472, 03-166531, 03-207472 and 03-150512, and
a portion of that tract conveyed to soid Holigan land Development in Instrument Number 03-194979,
all in Denton County land Records, Texas, ond a portion of that tract conveyed to Richard A Baria in
Volume 1.329, Page 202, Denton County land Records, Texas, and being more particularfy described as
follows:
BEGINNING at Q 5/8" iron rod set for comer in Pockrus Page Road, said corner being southeast
corner of said tract conveyed to Holigan in Instrument No. 04-9230;
THENCE N 87'19'30" W, along the south line of said HoUgan tract, 0 distance of 482.63 feet to a
5/8~ iron rod set for corner in said Pockrus Page Road;
THENCE N 8T23'.30n W, continuing along the south line of said HaUgan tract, a distance of 1207.27
feet to a 1/2" iron rod found for corner in said Pockrus Page Road;
THENCE N 03'25'31" E, 0 distance of 21.29 feet to a 1/2" iron rod found for corner on the north
right of way line of said Pockrus Page Road;
THENCE N 87"24'50" W, along the south line of said Holigan tract, a distance of 50.17 feet to 0
fence corner post found for corner on the north right of way line of said Pockrus Page Rood;
THENCE N 86'57'30" W, a distance of 187.67 feet to a fence comer post found for corner at the
southeast carr &r of a tract conveyed to Flowers Baking Corporation by deed recorded in Instrument
No. 0.3-15927.?, Denton County Land Records, Texas;
THENCE N 03'13'37" E, along an east line of soid Flowers tract, a distance of 225.57 feet to 0 fence
corner post fo md for com er;
THENCE N 02'~;8'OJ" E, continuing along on east line of said Flowers tract, () distance of 472.47 feet
to a corner a( an ell corner of said Flowers tract;
THENCE S 87"17'02" E, olong 0 south line of said Flowers tract, paSSing at () distance of 7.5 feet 0
found 3/4" iron pipe and continuing for a total distance of 245.15 feet to a 5/8" iron rod found for
corner;
THENCE S 87'27'31" E, continuing arong a south line of said Flowers troct, a distance of 384.45 feet
to a 1/2" iron rod found for corner in a southeast corner of said Flowers tract;
THENCE N 02'55'12" E, along on eost line of said Flowers tract, a distance of 1359.35 feet to a 1/2"
iron rod found for comer at 0 fence corner;
THENCE S 86'..17'45" E, deporting said eost line and generally along a fence line, a distance of 819_38
feet to a copped iron rod found for corner on the east line of a tract conveyed to Janice L. Val/on
by deed recorded in Volume 5107, Page 720, Denton County Land Records, Texas;
THENCE N 02'10'32" E, olong the east line of said Vall on tract, a distance of 568.77 to a 5/8" Iron
rod set for comer in Edwards Road;
THENCE S 8T1T12~ E, a distance Of 219.23 to a 5/8" iron rod set for corner;
THENCE S 02.46'48" W, a distance of 140.00 to 0 5/B" iron rod set for corner;
THENCE S 8713'12" E, (J distance of 27.15 to 0 5/8" iron rod set for the point of curvature of 0
curve to the right;
THENCE in an easterly direction, along the ore of said curve to the right, through 0 centrar angle of
02.28 '09 N, having a radius of 2000.00 feet, a chord bearing of S 85.59'Or E, a chord distance of
86.18 feet and an arc length of 86.19 feet to a 5/8" iron rod set for a corner;
THENCE N 49'04'59" E, 0 distance of 13.83 to a 5/8" iron rod set for comer;
THENCE N 02".'e;'4g" E, 0 distGnc,~ of "i.32.30 to 0 5/8" iron rod set for corner in the aforementioned
Edwards Road;
THENCE 5 87"1.3'12" E, a distance of 657.40 feet to a 5/8" iron rod set for corner at the norfhwest
corner of a troct conveyed to the Mory L Mason Children's Trust, as recorded in Volume 4074, Page
1828, Denton ".:ounty Land Records, Texas;
THENCE S 02'41'24" W. arong the west line of said Mason trust tract, a distance of 1325.52 feet to Q
fence corner post found for corner ot the southwest corner of said tract and in the north line of a
tract conveyed to HoJigan Land Development by deed in Instrument No. 04-50045, Denton County
Land Records, Texas;
THENCE N 87"23'32" W, along soid north line, a distance of 556.47 to 0 5/8" iron rod set for corner
ot the northwest corner of said Holigan tract;;
THENCE S Q1"15'12n W, along a west line of said Holigan tract, a distance of 1.320.92 to the POINT OF
BEGINNING and containing 4,065199 square feet or 93..324 acres of land, more or less.
I, the undersigned, do hereby declare that this survey substantially
complies with the current Texas Society of Professional Surveyors
Standards and Specifications for a Category 1A Condition 11 Survey.
Cote of Survey 05-27-2004
fy: Brockette-Davis-Drake, Inc.
~~~~~JJ~~____________
"Mi2h;el B. Marx
Pegistered Professional Land Surveyor 5181
PROPERTY)$URVEY
93.324 ACRlES[CIR OSS)
rOCKRUS rAGIE & IE!D;WARDS ROAD
DENTON COUN1Yp TEXAS
[3 BROCKETTE . DAVlSi" DRAKE. inc.
I:::>r:::::> con su I tin 9 eng in eers
Civil & Structural Engineering' Surveying
4144 North Central Expressway, Suitel~lOO Dallas,Texas 75204
(214)824-3647, fox (21:4)824- 7064
CHECKED
DRAWN
SCALE
NOTES
~llE
DATE
MBM
JL
5/27/04 1 n=200'
BG
C03292BY
NO.
37.16 ACRES
FIElD NOTES anthat certain lot. iraCt or parcel oHand situated In 1he G.Welker Survey, Abstract Number' 1330, Denton County,
Texas end being .. .Ofe calledTrect A andTfIId B.tnicta of land deecrlbed In the Deedfo Murphy Family Partnerahlp, Ltd. .
recorded under COUnty CkM1(aFJIe.Number 96-ROO18035 of the .ReeJ Property Records of Denton County, Texasiandbelng.
more pei1k:ularty descr1bed:alfoBows:" .. '.
BEGINNING at 8 %- iron rod found for th8Southe8st:bomerof the tract being described hentln at lhe Southeat comer of:aald. .
Murphy Tract Aat th~ Sot.ithwe8t comer of a tract of lend de8a1b9d In the OeedtoJoy Powell recorded In Volume 1695, Page
972 of theOeed Records of o.nton .COU~,T8X88.arid In a road under apperentpubl~ U88 posted as Paige Road;
. . .
. THENCE North 86 Oegr1Ies 29 MInule8-25SeconclirWesttiliong aaklroadand wlthlhe South line ofaeld Tract A, adl8tll1ce Of
594.19 feet toa %clIl'On rod found for the Sot.ithwe8toomer Of UldMurphy Tract.Ajlndtf1e Southeast comer of_1d Murphy Tract
B In 88Id road;" . . . . .
. .
. . .
. '.
. .
. . . .
THENCE NOrth ee begl"eM 03 Minute8 03 SecOnds Westcontfnulng &long 881d roedandth8 South lne of said MurphY Tract B, a
dlsta.nceof 889.21" fMt to 1%- capPed Iron. rod Htfor the,Souihealt comei' oftl18tn1Ct befngdescrlbed han at the SouIhwast
comer of said Murphy Tract B, at the SOutheait COI'ijerot a tract of land. clescribeciln..the Deed to Allen P. Lubbers recorded .
under CourltyClerk"a FIle Number 960R.0089629 ofba Real Properly Recorda ofDentGri County. Texas; .
. . '- .
. . .
. - .: - . ....'.: . . ..' .
:THENCENorlh 02 Degrees3eMInUtea31~ EastWtththeWeattlne of said Mul'phy1raclB. 8 dlstanceOf1320~31 feetto .
B %- Iron rod found for the NortheeMcorrier Of I8Id~urphy TractS;
.~.
THENCE SOuth 87 Degrees 28 Mkllite$i49 ~ East wtth the North Dne of iaId Murphy "rect B,.. dl8t8nceof 620.84 feet to
'e%. Iron rod found for the Northeast said Murphy .ilac:t B. end the Northwest comer ofaaid Murphy Tiact A; '.,
. .... i' . '.' . ..' .
THENCE South 84. DegAHJ835.Mlnutes 41'.S8c0nc:f8Ee8t with theNorIh line of aid Murphy Tract A. a dlataooe.of 509.67 feet to .
a %- capped Iron rod set for the Northeast cornerOr' I1e of said Murphy TraCt A; . . , .
.' ..; I: .'.
. THENCE South 07 Degrees 47Mlnutes 05 ~ East along and neer 8 fence. a (llatance of 94.12 feet to 8 %" capped Iron
. rod set for comer; '. ". t .
. "J . . ,
THENCE. Sotith11 Degrees 25 MInuteS. 57.' 8eoQnd:is East along and near a fence. a d1atance of 107; 70 feet to a %- capped Iron
rod Set for comer: ., i .' .
· .r! . ;-
THENCE South 09 Degrees 11'MlnUtea 39 ,~ E8st along and nUf.. fence, a dlatance of 96.39 feet to a %" cappedlron.
rod set for comer; ,:,.
. . .. . '" "". . .
. '."
THENCE South'05 Degrees 33 Minutea60 S8C0ndaEaatatong and neIlr a fencei a distance of 148,90 feet to a %- eeppedlron
rod set for comer; . ..,
. -
THENCE South 01 Degrees 31 MII1ute833.aecon.E88t along and near.a fenCe. 8 distance Of 201.34 feet toa %-Iron rod found
foroomer; . . "':. .
THENCE South 03'Degrees 04 Mnut8s18 ~East a dIstanCe of 22.7 .38fMt to 1 %"lrOn rod found for comer; .
. - .. . .,. " .
THENCE South 02 DegreeS 27 Mlmlt.. .12 Sec6nda Welt alOng and near's fence, B .dIIt&nce of 300.92 feet to a %- IrOn rod
found for comer; . . '.
THENCE South 01 Oegreea41 Mlnut8a57.Sac:Onds East a distance of 154.71 feet to to .,.PLACE OF BEGINNING and
enclosing 37.16 8Ct88 of landrnora or lees. , '. . .
. . .
. . -.
This Slavey'Sketch rwpl888nt8the nuiulm Of anon..the-ground survey made under my dlf9ctlon and ~ on 11-03-00,
There are no visible or 8pperent ~Ion..~ or easement8 except as ihown hereon. .
I
!
. '- .. ,. - . ,. .
., . . --' . " '. .'
. ;'."-.. '. ...,. - ,," .... - . -, . . - ..
c_5'~'r' ."-. .
J.E. THOMPSON lI.fVl.Ls. No 4857 .
Job' 001369 . .
.. .
6S;~'S-'-~~~o;i" .
Date
.'_.......~,,- '-"'-..' .
FlOOD STATEMENT: I have examlnedthe.F.E.M,A..FIood.lnsurance Ret9Map Denton County. Texa. Comi'nunlty Number
480774. effective date 4-2-97 and that mao lridlcates that thla DrODertv fa wlthtn "Non-Shaded Zone X"deftned 88 · AraM
ELECTRIC UTILITY AND IDKE AND BIKE TRAIL EASEMENT
CITY OF DENTON
EXIDBIT B
THE STATE OF TEXAS ~
~ KNOWN ALL MEN BY THESE PRESENTS:
COUNTY OF DENTON ~
That, Holigan Land Development, Ltd., a Texas limited partnership, hereinafter called "Grantor"
whether one or more, for an in consideration of Ten Dollars ($10.00), and other good and valuable
consideration, to Grantor in hand paid by the City of Denton, a municipal corporation, which is located
in Denton County, Texas, and whose mailing address is 215 E. McKinney, Denton, Texas 76201,
hereinafter called "Grantee," has granted, sold and conveyed and by these presents does grant, sell and
convey unto Grantee an easement and right of way for the purpose of (i) erecting, operating,
maintaining and servicing thereon one or more electric power and/or conununication lines, each
consisting of a variable number of wires, cables, and all necessary or desirable appurtenances,
attachments and complete supporting strucmres, including foundations, guy wires and guy anchorages,
and structural components (the "Electric Use") and (ii) erecting, operating, maintaining and servicing a
hike and bike trail for recreational uses (the "Hike and Bike Use") in, on, over, under, and across that
real property situated in Denton County, Texas, and more particularly described by as follows (the
"Easement" or "Easement Property"):
Refer to metes & bounds field note description titled Exhibit "A",
and survey plat illustration titled Exhibit "B",
both attached herewith and made a part hereof.
Grantee shall have the right to construct, operate, improve, reconstruct, increase or reduce the
capability, repair, relocate, inspect, patrol, maintain or remove such lines and other improvements
within such easement as Grantee may from time to time find necessary, convenient or desirable to erect
thereon and all rights necessary or convenient for full use of the above grant, including reasonable
access over, across and upon the above referenced land to such easement to the extent such access does
not materially affect Grantor's operational usage of such land. Grantor shall have the right to use the
easement for any purpose not inconsistent with Grantee's full enjoyment of the rights herein granted,
except as otherwise specified herein.
Grantee shall have the right to trim or remove trees and shrubbery to the extent necessary, in the sole
judgment of Grantee, to prevent possible interference with the operation of such lines and other
improvements or to remove possible hazards thereto. Grantee shall remove from the Easement tree
limbs, and clean up other debris, resulting from Grantee's operations hereunder.
Grantee acknowledges that no currently existing buildings and/or structures will be affected by this
Easement. Grantee shall have the right to remove or prevent the construction of any or all buildings,
structures, signs and obstructions within this Easement. If any such buildings, structures, signs or
obstructions are hereafter constructed or permitted by Grantor to exist within the Easement without
Page 1
S:\Our Documents\Contracts\05\Holigan-City Electric-Trail Easement.doc
prior written consent of Grantee then Grantee shall have the right to remove the same and Grantor
agrees to pay to Grantee the reasonable cost of such removal.
Grantee shall have no right to fence or enclose the Easement or to use it for any purpose other than as
set out above. The right of the Grantor to use the Easement Property for all other purposes that will
not interfere with the exercise of the rights of Grantee is reserved to the Grantor; provided that all such
uses shall be subordinate to this Easement and all such facilities shall be properly grounded. and shall
be so constructed as to provide with respect to Grantee's lines and other facilities the minimum
clearance provided by law. and recognized as standard in the electrical industry. Grantor shall not have
the right to erect or maintain fences within the Easement Property.
Grantee shall not be liable for damage or loss to crops sustained in the future by Grantor resulting from
the Grantee t s construction. reconstruction, repair. replacement. or other use of this Easement.
..
TO HAVE AND TO HOLD the above Easement and right of way unto Grantee. its successors and
assigns, and Grantor hereby warrants and forever agrees to defend the above described Easement and
right of way unto Grantee, its successors and assigns. against every person whomsoever lawfully
claiming or to claim the same or any part thereof, by. through, or under Grantor, and not otherwise.
subject. however. to the rights of the owner or owners of any existing easements within the. Easement
Property .
.
Notwithstanding any provision herein to the contrary, the Easement, right-of-way and rights provided
herein for the Electric Use shall at all times and for all purposes be superior to the easemen~. right-of-
way and rights provided herein for the Hike and Bike Use.
Grantee acknowledges and agrees that Grantor has or intends to convey to the Flowers Baking Co. of
Denton, LLC, a Texas limited liability company ("Flowers") certain perpetual, non-exclusive
easements for the purpose of drainage and retention of storm and surface waters upon anp. through
certain property that includes the Easement Property (the "Flowers Easement"), which: Flowers
Easement was recorded in the Real Property Records of Denton County, Texas on June 23. 2005
under Document number 2005-75250. The easements and rights of Flowers provided for in the
Flowers Easement shall be subordinate to the easements, right-of way, and rights provided for herein.
Notwithstanding any provision herein, Grantor shall have the right to execute. deliver and record the
Flowers Easement and the Grantee hereby expressly acknowledges (i) that the easements in favor of
Flowers in paragraph 1 of the Flowers Easement are approved by the Grantee. (ii) that the portion of
the Easement Property burdened by the this instrument and the easements. right-of-way and rights
created hereunder. shall perpetually accept the Existing Discharge (as defmed in the Flowers Easement)
subject to the terms and provisions of paragraph 1 of the Flowers Easement either into the Drainage
Channels (as defmed in the Flowers Easement) or into the Alternate Drainage Facilities (asdefmed in
the Flowers Easement), as applicable, and (iii) that with the Grantee's written consent. which,shall not
be unreasonably conditioned, denied or delayed, Flowers shall have the right to enter.. upon the
Easement Property to complete any maintenance of the Drainage Channels, Retention Pond (as defined
in the Flowers Easement), or Alternate Drainage Facilities that Flowers may be entitled to perform
under paragraph 1 of the Flowers Easement. .
This easement. together with the other provisions of this grant. shall constitute a covenant running with
the land for the benefit of Grantee, it successors and assigns. The right hereby granted is severable and
may be assigned either in whole or in part.
Page 2
S:\OUf Documents\Contracts\05\Holigan.City Electric-Trail Easement.doc
EXECUTED this
day of
,2005.
HOLIGAN LAND DEVELOPMENT, LTD.
By:
Printed Name:
Title:
ACKNOWLEDGMENT
THE STATE OF
~
COUNTY OF
~
This instrument was acknowledged before me on this the _ day of , 2005
by , general partner of Holigan Land Development. Ltd., a Texas limited
partnership, on behalf of such limited partnership.
Notary Public - State of
My Commission Expires
Accepted this _ day of
(Resolution No. 91-073).
, 2005 for the City of Denton, Texas
By:
Paul Williamson
Real Estate Manager
After Recording, Return to:
Paul Williamson, City Hall East
City of Denton, 601 E. Hickory, Suite B
Denton, Texas 76205
Page 3
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T :!&;=
'i~.
~.
EXHlBIT' A'
PAGE 1 OF3
34102. '
05/02105
ALL THAT CERTAIN TRACT OR PARCEL OF LAND LYING AND BEJNG SITUATED IN TIIE G.
WALKER SURVEY ABSTRACT NUMBER 1330, DENTON COUNTY, TEXAS, AND BEING PART
OF THE CALLED 9].92] ACRE TRACT DESCRIBED IN A DEED TO FLOWERS BAKING CO. OF
DENTON, LLC, RECORDED IN COUNTY CLERK'S FILE NUMBER 03~f{O]59272. REAL
PROPERTY RECORDS DENTON COUNTY, TEXAS, AND BEING MORE PARTICULARLY
DESCRJBED AS FOLLOWS:
COMMENCING AT A 112 INCH IRON PIN FOUND AT THE SOUTHERN MOST SOUTHWEST
CORNER OF FLOWERS BAKING CO. TRACT AND THE NORTH RIGHT -oF~W A Y LINE OF
POCKRUS PAIGE ROAD. SAID PIN ALSO BEING ON THE EAST RIGHT -OF~W A Y LINE OF T'HE
OLD M.K. T. RAILROAD;
THENCE NORTH 39 DEGREES ]4 MINUTES 16 SECONDS WEST WlTII THE SOUTHWEST LINE
OF SAID FWWERS TRACT, A DIST ANeE OF 412.02 FEET TO A ]/2 INCH IRON PIN FOUND ON
THE SOUTHWEST LINE OF SAID FWWERS TRACT AND THE BEGINNING OF A CURVE TO
'I1IE; RIGHT;
. THENCE WI1llSAID CURVE TO THE RlGHT HAVING A CENTRAL ANGLE OF 02 DEGREES 03
MINUTES 43 SECONDS, A RADIUS OF 2814.79 FEET, AN ARC LENGTH OF 101.30 FEET, AND A
CHORD BEARING NORTH 38 DEGREES 14 MINUTES 15 SECONDS WEST. A DISTANCE OF
] 01.29 FEET TO A POINT ON THE SOUTHWEST LINE OF SAIl) FLOWERS TRACT AND BEING
THE POINT OF BEGINNING OF TIlE HEREIN DESCRIBED EASEMENT;
THENCE CONTINUING WITH SAID CURVE TO THE RIGHT, HAVING A CENTRAL ANGLE OF
01 DEGREES 25 MINUTES 33 SECONDS, A RADIUS OF 2814.79 FEET, AN ARC LENGTH OF 70.04
FEET, AND A CHORD BEARING NORTH 36 DEGREES 29 MINUTES 38 SECONDS WEST, A
DISTANCE OF 70.04 FEET TO A POINT ON THE SOUTHWEST LINE OF SAID FLOWERS TRACT;
THENCE NORTH 51 DEGREES 37 MINUTES 01 SECONDS EAST. A DISTANCE OF 117.28 FEET;
THENCE NORTIl 03 DEGREES 03 MINUTES 00 SECONDS EAST, A DISTANCE OF 334.05 FEET;
THENCE SOUTH 87 DEGREES 33 MINUTES 17 SECONDS EAST, A DISTANCE OF 940.82 FEET
TO A 1/2 INCH IRON PIN SET WITH A YELLOW PLASTIC CAP STAMPED "METROPLEX 1849";
THENCE NORTH 02 DEGREES 43 MINUTES 42 SECONDS EAST, A DISTANCE OF 1043.62 FEET
TO A 1/2 INCH IRON PIN SET WITH A YELLOW PLASTIC CAP STAMPED "METROPLEX 1849";
THENCE NORTH 60 DEGREES 11 MINUTES 50 SECONDS WEST, A DISTANCE OF 294.75 FEET
TO A 112 INCH IRON PIN SET wITH A YELLOW PLASTIC CAP STAMPED "METROPLEX 1849";
THENCE NORTH 03 DEGREES 08 MINUTES 54 SECONDS EAST, A DISTANCE OF 30.18 FEET;
THENCE NORTH 10 DEGREES 34 MINUTES 45 SECONDS EAST,A DISTANCE OF 555.31 FEET;
THENCE SOUTH 86 DEGREES 44 MINUTES 08 SECONDS EAST, A DISTANCE OF 380.18 FEET;
THENCE SOUTH 03 DEGREES 08 MINUTES 54 SECONDS wEST. A DISTANCE OF 70.00 FEET;
" ~,/!"
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PAGE20F3
THENCE NORTH 86 DEGREES 44 MINUTES 08 SECONDS WEST, A DISTANCE OF 318.73 FEET;
THEN~E SOUTH 10 DEGREES 34 MINUTES 45 SECONDS WEST, A DISTANCE OF 47257 FEET; .
THENCE SOUTH 60 DEGREES 11 MINUTES 50 SECONDS, EAST, A DIST ANCEOF 291.99 FEET;
THENCE SOUTH 02 DEGREES 43 MINUTES 42 SECONDS WEST, A DISTANCE OF llS6:.11FEET;
lHENCENORTH 87 DEGREES 33 MINUTES 17 SECONDS WEST, A DISTANCE OF 94~.2.1 FEET;
THENCE SOUTH 03 DEGREES 03 MINUTES 00 SECONDS WEST, A DISTANCE OF 96.51 FEET T'
TO A 112 INCH IRON PIN FOUND AT THE NORTHWEST CORNER OF A TRACT DES.cRIaED IN
A DEED. TO KENNETH D. OWEN. RECORDED IN VOLUME 763, PAGE 137, DEED RECORDS, .
DENTON COUNTY, TEXAS AND AN INNER ELL CORNER OF SAID FLOWERS TRACT;
TIlENCE SOUTH 03 DEGREES 03 MINUTES 00 SECONDS WEST WITH lHE EAST LINE OF SAID
FLOWERS TRACT AND THE WEST LINE OF SAID OWEN TRACT, A DISTANCE OF 199.86 FEET
TO A POINT ON THE WEST LINE OF SAID OWEN TRACT AND THE EAST LINE OF SAID
FLOWERS TRACT;
THENCE sourn 51 DEGREES 37 MINUTES 01 SECONDS WEST, A DISTANCE OF 151.17 FEET
TO THE POINT OF BEGINNING AND CONTAINING IN ALL 5.886 ACRES OF LAND. .
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L3 N03"Q3'OO"E
L4 58133'17 E
L5 NOT 43' 42"E
L6 N6D" 11'SO"W
L7' N03,"Oa 54 E
L8 Nl0"34'45"E
L9 ' 586"4408 E
Ll0 50JOS'S4*'W
L 11 N86'44'08'\Y
Ll2 510"34'45'W '
L 13560'11'50"[
L 14 SOT 43' 42"W
, L15 N8733'17"W
L 16 SOS03'OO"W
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412;02
117.28
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940.82
1 043.62
294.75
30.18
555.31
380~ 18
70.00
318.73
472.57
, 291.99
1 , 156. 11
941.21
96.51
199.86
151.17 '
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RADIUS:, 2,814.79 2814.79
DaTA: 2"03'43.... 1-25'3;:;"
LENGTH 101.30 70.04-
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CITY OF DENTON, TEXAS
PUBLIC UTILITIES BOARD MEETING AGENDA
FOR SEPTEMBER 12, 2005
9:00 A. M.
DRAFT
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After determining that a quorum of the Public Utilities Board of the City of Denton, Texas was
present, the Public Utilities Board convened into an Open Meeting on Monday, Sept 12, 2005 at
9:12 a.m. in the Service Center Training Room, City of Denton Service Center, 901-A Texas
Street, Denton, Texas.
Present:
Bob Bland, Bill Cheek, Charldean Newell, Dick Smith
John Baines arrived at approximately 11 :06 a.m.
EX OFFICIO MEMBERS
Michael Conduff, City Manager
Howard Martin, ACM. /Utilities
Excused:
Phil Gallivan
George Hopkins
CONSENT AGENDA:
Approval of the Consent Agenda authorizes the Assistant City Manager for Utilities or his
designee, to implement each item in accordance with the staff recommendations. The Public
Utilities Board has received background information, staff s recommendations, and has had an
opportunity to raise questions regarding these items prior to consideration.
Listed below are bids or purchase orders or other matters to be brought before the Public Utilities
Board to be considered and approved for payment under Consent Agenda Items 1 through 4.
Detailed information is attached to each Consent Agenda item. This listing is provided on the
Consent Agenda to allow Public Utilities Board Members to discuss or withdraw an item prior to
approval of the Consent Agenda. If the item is pulled from consideration for separate discussion,
prior to its consideration, such item will be considered as the first item(s) taken up under the
"Items For Individual Consideration" section of the agenda, set forth below. The remaining
Consent Agenda Items will be approved with one motion, a second, and by a majority vote of the
Public Utilities Board Members who are present.
Page 1 of 2
EXHIBIT 2
1
2 1) Consider recommending approval authorizing the expenditure of funds for payments by the
3 City of Denton for electrical energy transmission fees to those cities and utilities providing
4 energy transmission services to the City of Denton; and providing an effective date (File
5 3396-Electrical Energy Transmission Fees in the total amount of $134,421).
6
7 2) Consider recommending approval for the purchase and installation of replacement Caron
8 landfill compactor wheel tips for use on the Caterpillar Model 826 compactor at the City's
9 landfill from Caron Compactor Company, Escalon, CA., in the amount of $34,397.84.
10
11 3) Consider recommending approval of an ordinance authorizing the abandonment and release
12 of certain blanket electric utility easements owned by the City, to the extent that they
13 encumber certain real property owned by Holigan Land Development, Ltd. containing
14 approximately 160.023 acres and being located in the Gideon Walker Survey, Abstract No.
15 1330, Denton, Denton County, Texas.
16
17 4) Consider recommending approval of a Professional Services Agreement between the City of
18 Denton and Arthur Surveying Co., Inc for the delivery of routine surveying services on a
19 work order basis for fiscal year 2005-2006, in an amount not to exceed $200,000.00.
20
21 Board Member Dick Smith moved to approve Consent Agenda Items 1-4 with a second
22 from Board Member Bob Bland. The motion was approved by a vote of 4 to O.
23
Page 2 of 2
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AGENDA INFORMATION SHEET
AGENDA DATE: September 20, 2005
DEPARTMENT: Planning and Development Department
ACM: Jon Fortune rt
SUBJECT
CONSIDER A RESOLUTION OF THE CITY OF DENTON FINDING AND DETERMINING
THAT THE NUMBER OF INHABITANTS IN THE CITY OF DENTON IS IN EXCESS OF
100,000; AND PROVIDING AN EFFECTIVE DATE.
BACKGROUND
Chapter 42 of the Texas Local Government Code establishes the extraterritorial jurisdiction of a
municipality. Further, Chapter 42 of the Texas Local Government Code establishes the
extraterritorial jurisdiction (ETJ) of a municipality to be within five miles of those boundaries, in
the case of a municipality with 100,000 or more inhabitants. The Council has previously
discussed the importance of extending the city's ETJ when Denton's inhabitants reached
100,000.
The City of Denton has performed appropriate research concerning the number of inhabitants in
the City of Denton and has received a report from Dr. Margie Tieslau, a statistician at the
University of North Texas, that the number of inhabitants in the City of Denton exceeds 100,000.
OPTIONS
1. Approve the resolution.
2. Approve the resolution with amendments.
3. Deny the resolution.
4. Table the resolution for additional information.
FISCAL INFORMATION
This will extend the physical area of the City of Denton ETJ from the current 3.5 miles to five
miles. There is no direct fiscal impact expected.
EXHIBITS
Resolution
Respectfully submitted:
~~
Kelly Carpenter, AICP
Planning and Development Director
S:\OUf Documents\Resolutions\05\Jnhabitants Resolution.doc
RESOLUTION NO.
A RESOLUTION OF THE CITY OF DENTON FINDING AND DETERMINING THAT THE
NUMBER OF INHABITANTS IN THE CITY OF DENTON IS IN EXCESS OF 100,000; AND
PROVIDING AN EFFECTIVE DATE
WHEREAS, Chapter 42 of the Texas Local Government Code establishes the
extraterritorial jurisdiction of a municipality; and
WHEREAS, Section 42.021 of the Texas Local Government Code establishes the
extraterritorial jurisdiction of a municipality to be within five miles of its boundaries, in the case
of a municipality with 100,000 or more inhabitants; and
WHEREAS, the July 1, 2004 population of the City of Denton as estimated by the U.S.
Bureau of the Census was 98, 288 as set forth by the Bureau in its July 12, 2005 publication; and,
WHEREAS, based on City building permit, certificate of occupancy, and utility
connection records, other data available to the City, and reliable demographic and statistical
analysis, the number of Denton inhabitants exceeds 100,000; NOW, THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY RESOLVES:
SECTION 1. The findings and recitations contained in the preamble of this resolution
are incorporated herein by reference and are true and correct.
SECTION 2. The City Council hereby finds and determines that the number of
inhabitants in the City of Denton exceeds 100,000.
SECTION 3. This resolution shall become effective immediately upon its passage and
approval.
PASSED AND APPROVED this the _ day of
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
Page 1
AGENDA INFORMATION SHEET
AGENDA DATE: September 20, 2005
DEPARTMENT: Airport and Transportation Operations
ACM:
Jon Fortune, Assistant City Manager
If
SUBJECT
Consider adoption of an ordinance of the City of Denton, Texas approving and authorizing the
Mayor to execute an asset purchase agreement, bill of sale and other documents transferring all
buses, equipment and other assets from the city passenger motor carrier transit system known as
LINK to the Denton County Transportation Authority and authorizing the mayor to execute an
assignment of that certain agreement to provide the services for the passenger motor carrier
transit system known as LINK, with McDonald Transit Associates, Inc. dated April 16, 2002, as
amended, to the Denton County Transportation Authority; authorizing the extension of that
certain interlocal cooperation agreement with the Denton County Transportation Authority
effective October 1, 2004 and an extension of the McDonald Transit Associates, Inc. agreement,
if necessary, authorizing necessary actions and the expenditure of funds to complete the transfer;
and providing an effective date.
BACKGROUND
In September of 2003, voters approved a 1Iz cent increase in the City of Denton's sales and use
tax to provide funding for the Denton County Transportation Authority (DCTA). The purpose
of the DCTA is to implement a Service Plan that provides public transportation and
transportation related services in those cities in Denton County who have authorized sales and
use tax levy. Part of the DCTA Service Plan includes the operation of LINK's Fixed Route,
Demand Response services and the University of North Texas bus service.
On July 26, 2005 and on August 30, 2005 resolutions were adopted by the City of Denton
demonstrating the City's intent to sell or transfer the LINK Operation and related assets to the
DCT A. The attached Asset Purchase Agreement, Bill of Sale and related documents provides
for the transfer of all assets related to and necessary for the LINK Operations. It is important to
note the intent of the agreement is to ensure the sale is approved or otherwise agreed to in FY
2005, but is contingent upon approval of the Federal Transit Administration.
The proposed agreement also provides for the assignment of the LINK operating agreement
between the City of Denton and McDonald Transit Associates, Inc. to the DCT A. The
McDonald operating agreement provides for day-to-day management of operations, dispatching
and vehicle maintenance services. The contract has a two-year primary term, October 1, 2002
through September 30, 2004, and three one-year options to extend. In June 2004, the contract
was extended for one year, October 1, 2004 through September 30, 2005. Two one year-options
remain available for DCT A should they elect to extend the operations agreement with
McDonald.
A contingency has been included in the ordinance in the event the closing date of September 30,
2005 is not met. This contingency will provide the opportunity to extend current operating
agreements with McDonald Transit Associates and DCT A to reduce the potential of a gap in
public transportation services.
RECOMMENDATION:
Staff recommends approval.
PRIOR ACTIONIREVIEW:
The DCT A Staff and Legal Counsel have approved the agreement. The City Attorney and City
Staff have reviewed and approved the agreement.
FISCAL INFORMATION:
The City of Denton will receive $233,000, in FY 2005, for the sponsor's share of the LINK
System. FT A and TxDOT grants provide for 80 percent of public transportation capital costs.
The $233,000 is a negotiated price based on the undepreciated value of the City's 20 percent
investment in the system.
EXHIBITS
Ordinance
Asset Purchase Agreement
Escrow Agreement
Other Bus Transfer Instrument
Use Agreement
Assignment - McDonald Transit Associates
Respectfully submitted:
-nf~ &AA-
Mark Nelson
Director of Airport and Transportation
S:\Our Documents\Ordinances\05\Asset Transfer and Assignment of McDonald Agreement2.doc
ORDINANCE NO.
AN ORDINANCE APPROVING AND AUTHORIZING THE MAYOR TO EXECUTE AN
ASSET PURCHASE AGREEMENT, BILL OF SALE AND OTHER DOCUMENTS
TRANSFERRING ALL BUSES, EQUIPMENT AND OTHER RELATED ASSETS FROM
THE CITY PASSENGER MOTOR CARRIER TRANSIT SYSTEM KNOWN AS LINK TO
THE DENTON COUNTY TRANSPORT A TION AUTHORITY AND AUTHORIZING THE
MAYOR TO EXECUTE AN ASSIGNIv1ENT OF THAT CERTAIN AGREEMENT TO
PROVIDE THE SERVICES FOR THE PASSENGER MOTOR CARRIER TRANSIT SYSTEM
KNOWN AS LINK, WITH MCDONALD TRANSIT ASSOCIATES, INC. DATED APRIL 16,
2002, AS AMENDED, TO THE DENTON COUNTY TRANSPORTATION AUTHORITY;
AUTHORIZING THE EXTENSION OF THAT CERTAIN INTERLOCAL COOPERATION
AGREEMENT WITH THE DENTON COUNTY TRANSPORTATION AUTHORITY
EFFECTIVE OCTOBER 1, 2004 AND AN EXTENSION OF THE MCDONALD TRANSIT
ASSOCIATES, INe. AGREEMENT, IF NECESSARY; AUTHORIZING NECESSARY
ACTIONS AND THE EXPENDITURE OF FUNDS TO COMPLETE THE TRANSFER; AND
PROVIDING AN EFFECTIVE DATE.
WHEREAS, on the 26th day of July! 2005, the City Council passed Resolution No.
R2005-028 expressing its intent to sell and transfer all LINK public transportation service assets
to the Denton County Transportation Authority ("DCTA") and to agree to continue to provide,
pursuant to the existing Agreement between the parties dated September 7, 2004, fuel, facilities,
utilities and all other equipment and services necessary for the LINK public transportation and
UNT campus shuttle operations to the DCT A or its service contractor until the parties complete
negotiations on an Agreement with the DCT A to transfer the LINK assets and the parties have
executed the Agreement effectively selling and transferring all the LINK public transportation
assets to DCT A; and
WHEREAS, on the 30th day of August, 2005, the City Council passed Resolution No.
R2005-031 expressing its intent and notifying the Federal Transit Administration (FTA) of the
City of Denton's intent to transfer the federal capital interest and certain vehicles and equipment
in the City of Denton's possession currently used for public transportation services provided by
LINK to the DCTA and expressing the City's desire to assign the rights and responsibilities
under Section 5307 federal grant interests with an exception to the DCTA; and
WHEREAS, on July 28,2005, DCTA passed Resolution No. R59-05 expressing its intent
to purchase from the City all the City's assets that are necessary and appropriate for public
transportation service and thereafter passed a Resolution expressing its intent to purchase these
assets and to notify the FT A of this intent; and
WHEREAS, DCTA and the City have. negotiated an Asset Purchase Agreement, Bill of
Sale and other documents which will effectively transfer all assets currently known as the LINK
Public Transportation Service to DCT A; and
S:\Our Documents\Ordinances\05\Asset Transfer and Assignment of McDonald Agreement2.doc
WHEREAS, as a part of the transfer of the LINK assets to DCT A, the City staff
recommends that the City assign that certain Agreement to Provide Services for Passenger Motor
Carrier Transit System between the City and McDonald Transit Associates, Inc. dated April 16,
2002, as amended, to the DCT A; and
WHEREAS, the City Council deems it in the public interest to assign the current
agreement with McDonald Transit Associates, Inc. to the DCT A and approve the transfer of the
public transportation assets known as LINK and described in the Asset Purchase Agreement to
DCTA; NOW, THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. The fmdings set forth in the preamble of this Ordinance are incorporated
by reference into the body of this Ordinance as if fully set forth herein.
SECTION 2. That the City Council hereby approves and authorizes the Mayor, or in her
absence, the Mayor Pro Tern, to execute the Asset Purchase Agreement, the attached Bill of Sale
and other transfer documents necessary to affect the transfer of all the buses, equipment and
other assets known as the LINK Public Transportation Service to the DCT A in substantially the
form of the attached Asset Purchase Agreement, Bill of Sale and attached documents.
SECTION 3. That the City Council hereby approves and authorizes the Mayor, or in her
absence, the Mayor Pro Tern, to execute the attached Assignment of the City of Denton's interest
in that certain Agreement to Provide Services for Passenger Motor Carrier Transit System with
McDonald Transit Associates, Inc. dated April 16, 2002, as amended, to the DCT A in
substantially the form attached.
SECTION 4. That the City Manager, or his designee, is hereby authorized to make
expenditures of funds and take all other actions necessary to complete the transfer of the LINK
Public Transportation Service System to the DCTA.
SECTION 5. That in the event the closing date for the transfer of all the buses,
equipment and other assets known as the LINK Public Transportation Service to the DCTA is
extended beyond September 30,2005 the Mayor, or in her absence, the Mayor Pro Tern, and the
City Manager or his designee, are authorized to enter into an extension of the futerlocal
Cooperation Agreement with the Denton County Transportation Authority, effective October
2004 providing LINK operations ftmding and to extend the above-mentioned Agreement with
McDonald Transit Associates, Inc. until November 15, 2005 after said extension agreements
have been approved as to the form by the City Attorney.
SECTION 6. That a true and correct of an executed copy of this Ordinance will be
transmitted to the appropriate officials at the FTA by Mark Nelson, Director of Airport & Transit
Operations, immediately upon its passage and approval.
Page 2 of3
S:\OUT Documents\Ordinances\05\Asset Transfer and Assignment of McDonald Agreement2.doc
SECTION 7. This Ordinance shall become effective immediately upon its passage and
approval.
PASSED AND APPROVED this the
day of
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM::
EDWIN M. SNYDER, CITY ATTORNEY
BY: /M~
Page 3 of3
ASSET PURCHASE AGREEMENT
Between
DENTON COUNTY TRANSPORTATION AUTHORITY
Buyer
And
CITY OF DENTON, TEXAS
Seller,
For the Sale and Purchase
of Certain Assets of City of Denton, Texas
Dated as of September 30,2005
785236.28JSP3/13144JO 101/091605
ARTICLE I
1.1.
1.2.
1.3.
1.4.
1.5.
1.6.
1.7.
1.8.
1.9.
1.10.
1.11.
1.12.
1.13.
1.14.
1.15.
1.16.
1.17.
1.18.
1.19.
1.20.
1.21.
1.22.
1.23.
1.24.
1.25.
1.26.
1.27.
1.28.
1.29.
1.30.
1.31.
1.32.
1.33.
1.34.
1.35.
1.36.
1.37.
1.38.
1.39.
ARTICLE II
TABLE OF CONTENTS
Page
DE FIN ITI ONS ..... .... ........ ... . .. ......... .... . ... ... ..... ... ... .... ... ... .... ... ..... . .. ..... ...... 1
"A t" 1
greemen . . ... ..... ... ..... ....... ..... ... ... .. ... ... ..... . ..... ..... .. ... .... ... ..... .... .. ..... ....
"Assets" ................................................................................................... 1
"Assignment of McDonald Operating Agreement" ................................... 1
"Assignment of Service Marks"......... n..................................................... 1
"Bill Of Sale" . ............ ........... .................................................................... 1
"Buses" ........................... p....................................................................... 1
"B u siness" ............................................................................................... 2
"B' D" 2
uSlness ay........................................................................................
"Business Intellectual Property" ....... ......... ................................ ............... 2
"B u ye r" .. . .. .. . . .. .. . .. .. . .. . .. .. . .. . .. . .. .. . .. . .. . .. . . . .. . .. ... .. .. . .. . .. . .. . .. . .. . . . . .. . .. . .. . .. . .. . . .. .. . 2
"Buyer Documents"......................................................................... n....... 2
"CI . " 2
oSlng ...........................,......................................................................
"Closi ng Date".......................................................................................... 2
"Code" ..................................................................................................... 2
"Effective Time" ....................................................................................... 2
"E' t" 2
qUI pmen . ... ..... ....... ..... ... ..... . .. . ... .... . ... ... .. ...... ... . ... ... ... .... ... .. .... .. ..... .....
"Escrow Agent" .................,................... ...................................................2
"Escrow Agreement" ................................................................................ 2
"FT At! .................................,...................................................................... 2
"Governmental Body" .............................................................................. 3
"Knowledge of Buyer," "Buyer's Knowledge" ...........................................3
"Knowledge of Seller," "Seller's Knowledge" ...........................................3
"Liabilities" .... .......................................... ....................................... ..........3
"Lien" ......................................... P............................................................ 3
"Losses" ................................................................................................... 3
"Master Lease Agreement" ......................................................................3
"Other Buses" ................... ',' ..... ....... .... ....... .. ... ....... ... ... ...... ... ... ...... .. ... .... . 3
"Other Bus Transfer Instrument".............................................................. 3
"Person".........................,.. ....... .................. ............................................... 3
"Purchase Price"...................................................................................... 3
"Seller" ............ ..... .................................................................................... 3
"Seller Docu ments" .. ..... . ... ... . .... . ... ... . . ... ... ..... ... ... .... ... ... .... ... ..... .... .. ......... 4
"Shelters and Benches" .... ... ........ ........ ........ .............. ............ .................. 4
"T axes" .................................................................................................... 4
"Titles" .................................................................................................... 4
"TXDO T" .. . .. . .. .. . .. . . . .. . .. .. . .. . .. .. . .. . .. . .. .. . .. . .. . .. .. . .. . .. . .. .. . .. . .. . .. . .. . .. . ... .. . .. . . .. .. . . 4
"U . S. DOT" .. . .. . . . .. . .. . .. .. . .. . .. .. . .. .. . .. . .. . . . .. . .. . .. .. . .. . .. . .. .. . . .. . .. .. . .. . .. . . .. .. . . .. . .. .. . . 4
"Use Agreement" ................. ........ ........... ......... ....... ............... ...... ..... .......4
'Vehicles" ............................................................................................... 4
SALE AND PURCHASE OF CERTAIN ASSETS AND CONVEYANCE
OF OTHER ASSETS........... ...................................... ..............................4
785236.28/SP3/13144/0101/091605
2.1.
2.2.
2.3.
ARTICLE III
3.1.
3.2.
ARTICLE IV
4.1.
ARTICLE V
5.1.
5.2.
5.3.
5.4.
5.5.
5.6.
5.7.
5.8.
5.9.
5.10.
5.11.
5.12.
5.13.
ARTICLE VI
6.1.
6.2.
6.3.
6.4.
6.5.
ARTICLE VII
7.1.
7.2.
7.3.
7.4.
7.5.
ARTICLE VIII
8.1.
8.2.
8.3.
8.4.
8.5.
8.6.
Sale of Certain Assets. ................... ........... ........... .......... ......... .... ..... ....... 4
Transfer of Other Buses. ......................................................................... 5
"AS IS" Transfer....... ............. ................... .......................................... ...... 5
CL OS I NG ................................................................................................ 5
Closing Date. ........................................................................................... 5
Deliveries at the Closing. .........................................................................5
PURCHASE PRiCE...... .... ... ........ .... .... ............... .......... .... ........ ............... 8
Purchase Price. ....................................................................................... 8
REPRESENTATIONS AND WARRANTIES OF SELLER .......................8
Organ ization. ........................................................................................... 8
Authority; Consents and Approvals. ........................................................ 8
Title to Assets and Other Buses. .. ........................................................... 9
No I njunctions or Orders.......... ................ ............................ .................... 9
Compliance with Laws......... ........... ..... ............ ....... ........ ......... ................9
Contracts. ...................................................................................'............. 9
Brokers. ............................. .................................................. .-................ 9
Patent or Trademark Claims.................................................................... 9
Valid Representations and Warranties. .............. ..... ....... .........................9
No Taxes Due............................... ........... .............................................. 10
No Liens. .................. ......................................................................... .... 10
Prudent Business Operation.................................................................. 10
Litigation................................................................................................ 10
REPRESENTATIONS AND WARRANTIES OF BUYER.......................10
Organization. ....................;.................................................................... 1 0
Authority, Consents and Approvals. ...................................................... 10
No I njunctions or Orders........................................................................ 10
Litigation. ................. ........................................... ................... -......... ...... 11
Brokers. ................................................................... .................... .......... 11
FURTHER AGREEMENTS............... ......... ................... ........................ 11
Additional Actions by Seller and Buyer..... ........................................ ..... 11
Announcements............................... ...................................................... 11
Transaction Costs.... ............ ........ ........ ............... .... ...... ......... ........... .....11
Fire and Casualty. ................................................................................. 11
FT A ApprovaL................... ...................................................................... 12
MiSCELLANEOUS...."..................................................................."..... 12
Entire Understanding, Waiver, Etc......................................................... 12
Severability. ....... ............................ .................. ...................................... 13
Accou nting Terms.................................................................................. 13
Notices. ................................................................................................. 13
Successors and Assigns. ...................................................................... 14
Waivers. ................................................................................................ 14
785236.28/SP3I13144/0101/091605
H
8.7. Counterparts...... ......... ........................... ............. ................................... 14
8.8. Attorneys' Fees and Costs. ............. ........ ................................ .............. 14
8.9. Headings. _...... ........... ..... ................~..................... .... ............................. 14
8.10. Governing Law. .................... ................................................................. 14
iii
785236.28/SP3/13144/0 10 1/091605
EXHIBITS
Exhibit 1.4 - Assignment of Service Marks
Exhibit 1.5 - Bill Of Sale
iv
785236.28JSP3I13144JO 101 J091605
SCHEDULES
Schedule 1.9 - Business Intellectual Property
Schedule 1.16 - Equipment
Schedule 1.33 - Shelters and Benches
Schedule 1.39 (a) - Buses
Schedule 1.39 (b) - Other Buses
Schedule 5.6 - Contracts
v
785236.28/SP3/13144/01 01 /091605
ASSET PURCHASE AGREEMENT
This Asset Purchase Agreement (this "Agreement") is entered into as of the _ day
of September 2005, by and between CITY OF DENTON, Texas, a Texas municipal
corporation and home rule city ("Seller"), and DENTON COUNTY TRANSPORTATION
AUTHORITY, a political subdivision, and a coordinated county transportation authority
created pursuant to Chapter 460, Texas Transportation Code ("Buyer") (occasionally
collectively, the "Parties" and individually, a "Party").
WHEREAS, a portion of Seller's operation includes the operation of an intra-city bus line
under the name "LINK" (the "Business"); and
WHEREAS, Seller desires to sell to Buyer, on the terms and subject to the conditions of
this Agreement, the Assets (as defined below) used by Seller in the Business, and
Buyer desires to acquire the Assets, upon the terms set forth in this Agreement;
NOW, THEREFORE, intending to be legally bound, the Parties agree as follows:
ARTICLE I
DEFINITIONS
The terms defined in this Article shall have the following meanings:
1.1. "Agreement" shall have the meaning set forth in the opening paragraph of this
Agreement.
1.2. "Assets" shall have the meaning set forth in Article II of this Agreement.
1.3. "Assignment of McDonald Operating Agreement" means that certain
Assignment of McDonald Operating Agreement between McDonald Transit
Associates, Inc., a Texas corporation ("McDonald"), and Buyer, which shall be
completed, executed and delivered at Closing, and by the terms of which Seller
and McDonald assign to Buyer that certain Agreement to Provide Management
and Operation Services for Passenger Motor Carrier Transit System dated
April 16, 2002 (as amended) between Seller and McDonald.
1.4. "Assignment of Service Marks". means that certain Assignment of Service
Marks, in the form of Exhibit 1.4 attached to this Agreement and incorporated
herein by reference for all purposes, and which shall be completed, executed and
delivered by Seller at Closing.
1.5. "Bill Of Sale" means the bill of sale, in the form of Exhibit 1.5 attached to this
Agreement and incorporated herein by reference for all purposes, and which
shall be completed, executed and delivered by Seller at Closing.
1.6. "Buses" means as defined in the definition of "Vehicles" below.
ASSET PURCHASE AGREEMENT - Page 1
785236.28/SP3I1314410101/091605
1.7. "Business" shall have the meaning set forth in the second recital of this
Agreement.
1.8. "Business Day" means any day other than a Saturday, Sunday, or a national
holiday in the U.S.A.
1.9. "Business Intellectual Property" means all of the trade secrets, processes,
confidential business information, technical formulas, technology and know-how,
data, designs, drawings, specifications, supplier lists, pricing and cost
information, business and marketing plans and proposals, and all copies and
tangible embodiments thereof (in whatever form or medium) that are primarily
used in the conduct of the Business or are known by Seller to be necessary for
the continued conduct of the Business by Buyer after the Closing Date.
1.10. "Buyer" shall have the meaning set forth in the opening paragraph of this
Agreement.
1.11. "Buyer Documents" shall have the meaning set forth in Section 3.2 (b) of this
Agreement.
1.12. "Closing" shall have the meaning set forth in Section 3.1 of this Agreement.
1.13. "Closing Date" means the date on which the Closing actually occurs pursuant
to Section 3.1 of this Agreement.
1.14. "Code" means the I nternal Revenue Code of 1986, as amended, or any
successor statute thereto.
1.15. "Effective Time" means the effective time of the Closing specified in Section
3.1 (b) of this Agreement.
1.16. "Equipment" means, collectively, the computers, servers, printers, scanners,
fax machines, automobiles, office furniture, bus-related signs, cabinets, fixtures,
telephone system, tools and equipment utilized by Seller in the Business and
identified on Schedule 1.16 attached to this Agreement and incorporated herein
by reference for all purposes.
1.17. "Escrow Agent" means as defined in the definition of "Escrow Agreement"
below.
1.18. "Escrow Agreement" means that escrow agreement by the terms of which
Seller, Buyer and American Escrow Company ("Escrow Agent") agree that the
fully completed and endorsed negotiable Texas Certificates of Title to each of the
Vehicles will be deposited at Closing and in accordance with the terms and
conditions set forth therein will be released to the Seller or Buyer, as applicable.
1.19. "FTA" means the Federal Transit Administration of the United States
Department of Transportation.
ASSET PURCHASE AGREEMENT - Page 2
785236.28/SP3/13144/0101/091605
1.20. "Governmental Body" means any federal, state, local or other governmental
department, commission, board, bureau, agency, instrumentality or other
authority.
1.21. "Knowledge of Buyer," "Buyer's Knowledge" or any substantially similar
term means to the best of Buyer's knowledge.
1.22. "Knowledge of Seller," "Seller's Knowledge" or any substantially similar term
means to the best of Seller's knowledge.
1.23. "Liabilities" means any indebtedness, liability, loss, damage, deficiency or
obligation, known or unknown, fixed or unfixed, choate or inchoate, liquidated or
unliquidated, secured or unsecured, accrued, absolute, contingent or otherwise,
whether or not of the kind required by accounting principles generally accepted in
the United States to be set forth on a financial statement, including any liability
for Taxes.
1.24. "Lien" means any lien, pledge, mortgage, security interest, claim, lease, charge,
option, right of first refusal, easement, servitude, transfer restriction or any other
encumbrance, restriction or limitation whatsoever.
1.25. "Losses" means any and all losses, costs, expenses, obligations, liabilities or
damages, including, without limitation, court costs, reasonable attorneys' fees
and disbursements.
1.26. "Master Lease Agreement" means that written lease agreement between
Buyer and Seller, which is the owner of that real estate specifically described
therein and commonly known as 1100 Mayhill Road, City of Denton, County of
Denton, Texas (collectively, the "Real Property").
1.27. "Other Buses" means those vehicles referenced in the definition of "Vehicles"
below.
1.28. "Other Bus Transfer Instrument" means that document by the terms of which
Seller conveys and transfers to Seller all of its right, title and interest to the Other
Buses for the consideration therein stated.
1.29. "Person" means an individual, partnership, limited liability company,
corporation, trust, unincorporated organization, association or joint venture or
Governmental Body.
1.30. "Purchase Price" shall have the meaning set forth in Section 4.1 of this
Agreement.
1.31. "Seller" shall have the meaning set forth in the opening paragraph of this
Agreement.
ASSET PURCHASE AGREEMENT - Page 3
785236.28fSP3/13144f0101/091605
1.32. "Seller Documents" shall have the meaning set forth in Section 3.2 (a) and 3.2
(d) of this Agreement.
1.33. "Shelters and Benches" means each and every pedestrian bus shelter and
each pedestrian bench owned by the Seller and identified on Schedule 1.33,
attached hereto and incorporated herein by reference for all purposes, on the
Closing Date.
1.34. "Taxes" means any federal, state, local or foreign income, gross receipt,
license, payroll, employment, excise, severance, occupation, capital stock,
franchise, profits, withholding, social security (or similar), unemployment,
disability, real property, personal property, sales, use, transfer, registration,
estimated or other tax of any kind whatsoever, including any interest, penalty or
addition thereto, whether disputed or not.
1.35. "Titles" means, collectively, the negotiable Texas Certificates of Title issued for
each of the Vehicles as properly completed, executed and endorsed by Seller
(and any lienholder for the purpose of the lienholder releasing its lien).
1.36. "TXDOT" means the Texas Department of Transportation.
1.37. "U.S. DOT" means the United States Department of Transportation which
regulates the use of the Buses in the transportation of public passengers in the
U.S.A.
1.38. "Use Agreement" means that agreement by the terms of which Seller agrees
(among other things) that as to. any Business Intellectual Property owned,
licensed to or otherwise utilized by Seller in or related to the Business after
Closing, Seller shall provide Buyer unlimited access to and use of same for
purposes of operating the Business including, without limitation, the intra-city bus
line under the name "LINK" in the City of Denton, Texas to the extent Seller is
permitted by contract or law.
1.39. "Vehicles" means collectively all of those vehicles identified on Schedule 1 .39
(a) attached hereto and incorporated herein by reference for all purposes
(collectively, the "Buses") and each of those vehicles identified on Schedule
1.39 (b) attached hereto and incorporated herein by reference for all purposes
(collectively, the "Other Buses").
ARTICLE II
SALE AND PURCHASE OF CERTAIN ASSETS
AND CONVEYANCE OF OTHER ASSETS
2.1. Sale of Certain Assets. On the terms and subject to the conditions stated in
this Agreement, at the Closing, Seller shall sell, transfer, assign, convey and
deliver to Buyer, and Buyer shall purchase, acquire and accept from Seller all of
Seller's right, title and interest in and to certain of the assets of Seller used in the
ASSET PURCHASE AGREEMENT - Page 4
785236.28fSP3/13144/010 1/091605
conduct of the Business (collectively, the UAssets") including each of the
following:
(a) the Buses identified on Schedule 1.39 (a);
(b) the Equipment;
(c) the Shelters and Benches;
(d) any and all Governmental Body licenses, permits, certificates of authority,
certificates of occupancy, authorizations, approvals, registrations,
franchises and similar consents relating to the Business, to the extent
assignable;
(e) any Business Intellectual Property as identified on Schedule 1.9 attached
hereto and incorporated herein by reference for all purposes; and
(f) the Route Match Software.
2.2. Transfer of Other Buses. Further, subject to the terms and conditions of this
Agreement, at the Closing, Seller shall convey and transfer to Buyer all of
Seller's right, title and interest in and to each of those Other Buses listed on
Schedule 1.39 (b) in consideration of Buyer's agreement (as evidenced by this
Agreement) to establish, operate and maintain an intra-city bus system in the
City of Denton.
2.3. UAS IS" Transfer. Buyer agrees that all of the Assets are being conveyed and
transferred by Seller to Buyer in accordance herewith on an AS IS, WHERE IS
basis and that Seller is not making any warranties regarding the suitability of the
Vehicles or other Assets for any intended use other than those required by FTA.
Further, Buyer agrees that it has examined each of the Vehicles and other
Assets and accepts them in their present repaired condition.
ARTICLE III
CLOSING
3.1. ClosinQ Date.
(a) The Closing hereunder (the "Closing") shall take place on September 30,
2005 at _.m. (the "Closing Date").
(b) The effective time of the Closing hereunder will be deemed to have
occurred at 5:00 p.m. (Central time) on September 30, 2005 (the
"Effective Time"). '
3.2. Deliveries at the Closina.
(a) At the Closing, Seller will deliver to Buyer the following:
ASSET PURCHASE AGREEMENT - Page 5
785236.28/SP3!13144/01 01 /091605
i) the Bill Of Sale duly completed and executed by Seller and listing
therein, among other things, all Assets (including, without limitation,
all Vehicles and Equipment) being sold to Buyer and the Purchase
Price for same as determined in accordance with Section 4.1
below;
ii) the Other Bus Transfer Instrument duly completed and executed by
Seller and listing therein each of the Other Buses being conveyed
and transferred by Seller to Buyer in accordance with Section 2.2
above for the consideration therein stated;
iii) the Assignment of Service Marks duly executed by Seller;
iv) a Certificate of the City Secretary of Seller, certifying (among other
things) that attached thereto are true and correct copies of each
resolution or ordinance of the City Council of Seller authorizing the
execution, delivery and performance of this Agreement, the Master
Lease Agreement and the other related agreements and
documents referenced herein and executed pursuant to or related
to this Agreement;
v) all contracts, agreements, commitments and rights pertaining to the
Business and other. data relating to its assets, business and
operation including, without limitation, all Vehicles and Equipment,
except its books of account and supporting records; provided,
however, atter Closing, Seller shall provide Buyer with copies of
such portions of said 'books of account as Buyer may from time to
time require; and
vi) all applicable sales, transfer, documentary, use, filing and other
taxes and fees that may be due or payable as a result of the
conveyance, assignment, transfer, or delivery of the Other Buses
and the Assets, property or Business to be conveyed and
transferred as provided herein shall be borne by Buyer.
vii) Assignment of McDonald Operating Agreement as separately
consented to in writing by McDonald;
viii) the unrestricted possession of each Vehicle and the other tangible
Assets;
ix) The entirety of Seller's unused bus pass stock;
x) and:
(a) such other deeds, bills of sale, endorsements, assignments,
and other good and sufficient instruments of conveyance, to
vest title in the Buyer to the Other Buses, the Assets,
ASSET PURCHASE AGREEMENT - Page 6
785236.281SP3/1314410101/091605
property and Business being transferred to the Buyer from
the Seller, free and clear of all Liens (except as to that
Vehicle (Texas Vehicle Identification Number
1 FDXE45S43HA62794) which is subject to a Lien granted to
TXDOT), in accordance herewith, except the Titles for the
Vehicles will be deposited with the Escrow Agent in
accordance with Section 3.2(d) below);
(b) simultaneously with such delivery, the Seller will take all
such steps as may be required to put the Buyer in actual
possession, operation and control of the Other Buses, the
Assets, properties and Business to be transferred
hereunder;
xi) and such other instruments, documents or agreements that Buyer
may reasonably request to carry out the transactions contemplated
by this Agreement or comply with the terms of this Agreement.
(b) At the Closing, Buyer will deliver to Seller:
i) the Purchase Price in a form acceptable to Seller;
ii) a Certificate of the Secretary of Buyer, including resolutions of the
Board of Directors, authorizing the execution, delivery and
performance of this Agreement and the related agreements and
documents;
iii) such other instruments, documents or agreements as Seller may
reasonably request to carry out the transactions contemplated by
this Agreement and to comply with the terms of this Agreement.
(c) At the Closing, Seller and Buyer shall mutually complete, execute and
deliver to the other party each of the following:
i) the Master Lease Agr~ement;
ii) the Use Agreement; and
Hi) the Escrow Agreement;
(d) At the Closing, Seller shall deliver to the Escrow Agent:
i) the original negotiable Texas Certificates of Title for each of the
Vehicles, completed and properly executed and endorsed by the
Seller (and lienholder .for the purpose of releasing its lien) and free
and clear of any Liens, encumbrances or restrictions (except as to
that Vehicle (Texas Vehicle Identification Number
1 FDXE45S43HA62794), which is subject to a TXDOT Lien);
ASSET PURCHASE AGREEMENT - Page 7
785236. 28/SP3/13144/01 01/091605
(e) From time to time after the Closing, at the request of the Buyer, the Seller
will execute and deliver to the Buyer such other instruments of
conveyance and transfer or any other instruments, documents or
agreements and take such other action as the Buyer may reasonably
require to more effectively convey, transfer to, vest all of Seller's right, title
and interest in, and to put the Buyer in possession of, any of the
properties, the Other Buses or the Assets to be conveyed, transferred and
delivered to the Buyer hereunder or to carry out the transactions
contemplated by the Agreement or to comply with the terms of this
Agreement.
ARTICLE IV
PURCHASE PRICE
4.1. Purchase Price. The Purchase Price payable to Seller by Buyer as
consideration for the sale, transfer, conveyance and assignment of the Assets
(the "Purchase Price") shall be: (a) Two Hundred Thirty Three Thousand
Dollars ($233,000).
ARTICLE V
REPRESENTATIONS AND WARRANTIES OF SELLER
Seller hereby represents and warrants to Buyer as follows:
5.1. Oraanization. Seller is a Texas home rule municipal corporation duly
incorporated and chartered and validly existing under the laws of the State of
Texas and has all requisite right, power and authority to own, lease and operate
all of its properties and assets used in the Business and to carry out the Business
as it is presently conducted.
5.2. Authoritv: Consents and Approvals. Seller has all requisite right, power and
authority to execute, deliver and perform this Agreement and each other
document and agreement referenced in this Agreement or to be executed and
delivered by Seller pursuant to this Agreement (together, the "Seller
Documents"). The execution, delivery, and performance of the Seller
Documents by Seller has been duly and validly authorized and approved by all
necessary actions of its City Council. This Agreement constitutes a valid and
legally binding obligation of Seller, and the execution, delivery and performance
of the Seller Documents by Seller will not violate Seller's Charter or applicable
ordinances, as each is amended to the date of this Agreement, or (a) violate in
any material respect any applicable provision of law or any rule or regulation of
any Governmental Body or any order, writ, injunction, judgment or decree of any
court, administrative agency or Governmental Body, (b) require any consent
under or constitute a default under any material agreement, indenture, mortgage,
deed of trust, lease, or other instrument to which Seller is a party or by which it is
bound, or any license, permit or certificate held by it, or (c) result in the creation
of any Lien upon any of the Assets or the Other Buses.
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785236.28/SP3/13144/0101/091605
5.3. Title to Assets and Other Buses. At Closing, Seller will have the full right and
power to convey and will convey to Buyer, effective as of the Effective Time, all
of its right, title and interest to the Assets and the Other Buses, free and clear of
any and all Liens (except as to that Vehicle (Texas Vehicle Identification Number
1 FDXE45S43HA62794) which is subject to a TXDOT Lien) except that the Titles
will be deposited with the Escrow Agent in accordance with Section 3.2(d).
5.4. No Iniunctions or Orders. Except for the approval of the FTA as is required by
Article 8.5 below for the transfer of the Other Buses and the sale of the Buses,
there are no other necessary governmental consents, approvals or filings
necessary for the conveyance and transfer of the Other Buses or the sale of the
Assets by Seller. Seller is not subject to and, to Seller's Knowledge, has not
been threatened with any injunctions of any court or orders of any federal, state
or municipal court or Governmental Body, which would limit or otherwise
adversely affect Seller's ability to convey and transfer the Other Buses or sell the
Assets or to conduct the Business substantially as it is currently conducted by
Seller.
5.5. Compliance with Laws. Seller has complied in all material respects with all
federal, state and local laws and regulations applicable to the Other Buses and
the Assets and the Business.
5.6. Contracts. Seller represents that the contracts or agreements listed on
Schedule 5.6, attached hereto and incorporated herein by reference for all
purposes, are the only contracts or ,agreements Seller has entered into which are
in effect and may create a liability for Buyer.
5.7. Brokers. No agent, broker, investment banker or other Person acting on behalf
of Seller or under its authority is or will be entitled to any broker's or finder's fee
or any other commission or similar fee, directly or indirectly, in connection with
the transactions contemplated by this Agreement for which Buyer will be liable.
5.8. Patent or Trademark Claims. The Seller has no knowledge of any claim or
reason to believe that it is or may.be infringing or otherwise acting adversely to
the rights of any Person under or in respect of any patent, trademark, service
mark, trade name, copyright, license, franchise, or other similar intangible right.
The Seller is not obligated or under any liability whatever to make any payments
by way of royalties, fees or otherwise to any owner or licensee of or other
claimant to any patent, trademark, trade name, copyright, franchise, or other
intangible asset with respect to the use thereof or in connection with the conduct
of the Business or otherwise.
5.9. Valid Representations and Warranties. No representation or warranty by the
Seller in this Agreement or in any writing required hereunder or related hereto,
contains or will contain any untrue statements of material fact or omits or will omit
to state any material fact required to make the statements herein or therein
contained not misleading.
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785236.28/SP3/13144/0101/091605
5.10. No Taxes Due. The Seller has filed all federal and state withholding and
employment tax returns and paid all taxes that are now due and payable or will
be due and payable as of the date of the Closing.
5.11. No Liens. All of the Other Buses and the Assets are being transferred free and
clear of any indebtedness or Liens (except as to that Vehicle (Texas Vehicle
Identification Number 1 FDXE45S43HA62794) which is subject to a TXDOT
Lien), and there are no tax or judgment liens against Seller or the Business to be
transferred, except (a) for the approval of the FTA as is required by Article 7.5
below for the transfer of the Other Buses and the sale of the Buses, and (b) the
Titles to the Vehicles are being d~posited at Closing with the Escrow Agent in
accordance with Section 3.2(d).
5.12. Prudent Business Operation. Seller will continue until the Effective Time on
Closing Date to operate the Business in a reasonable and prudent manner.
5.13. Litiaation. Seller is not a party to, nor has any knowledge of any threat of, any
litigation in which any Asset of Seller being sold to Buyer hereunder or any Other
Bus being conveyed and transferred by Seller hereunder is the subject of any
such litigation or is affected by or could be affected by any such existing or
threatened litigation.
ARTICLE VI
REPRESENTATIONS AND WARRANTIES OF BUYER
Buyer hereby represents and warrants to Seller as follows:
6.1. Oraanization. Buyer is a political subdivision of the State of Texas and a
coordinated county transportation authority created pursuant to Chapter 460,
Texas Transportation Code, validly existing under the laws of the State of Texas
and has the full right, power and authority to own, lease and operate the Assets
and the Business in the State of Texas.
6.2. Authority. Consents and Approvals. Buyer has all requisite, necessary and
appropriate power and authority to execute, deliver and perform this Agreement
and each other document and agreement referenced in this Agreement or to be
executed and delivered by Buyer: pursuant to this Agreement (together, the
"Buyer Documents"). The execution, delivery and performance of the Buyer
Documents by Buyer have been duly and validly authorized and approved by the
governing body of the Buyer.
6.3. No Iniunctions or Orders. Buyer is not engaged in, nor is there pending or, to
Buyer's Knowledge, threatened, any action, dispute, claim, litigation, arbitration,
investigation or other proceeding at law or in equity or before any Governmental
Body or other administrative agency nor are there any injunctions of any court or
orders of any federal, state or municipal court or Governmental Body which could
adversely affect Buyer's ability to perform any of its obligations under this
Agreement or the transactions cont~mplated by this Agreement.
ASSET PURCHASE AGREEMENT - Page 10
785236.28/SP3/13144/0101/091605
6.4. Litiaation. There is no pending or, to Buyer's Knowledge, threatened litigation
against Buyer that would inhibit Buyer's ability to consummate the transactions
contemplated by this Agreement.
6.5. Brokers. No agent, broker, investment banker or other Person acting on behalf
of Buyer or under its authority is or will be entitled to any broker's or finder's fee
or any other commission or similar fee, directly or indirectly, in connection with
the transactions contemplated by this Agreement for which Seller will be liable.
ARTICLE VII
FURTHER AGREEMENTS
7.1. Additional Actions bY Seller and BuYer. After the Closing, Seller and Buyer
shall execute and deliver such documents and do and perform all such other acts
as may reasonably be required by the other in order to consummate the
transactions described in this Agreement.
7.2. Announcements. The Parties will mutually agree as to the time, form and
content before issuing any press releases or otherwise making any public
statements or statements to third parties with respect to transactions
contemplated by this Agreement, except as may be required by law.
7.3. Transaction Costs. Each of Seller and Buyer shall be responsible for the
payment of its own costs and expenses incurred in connection with this
Agreement (including, without limitation, any attorneys' fees incurred by its
counsel) and the transactions contemplated by this Agreement.
7.4. Fire and Casualty. Subject to the terms and conditions hereof, the Seller
assumes all risk of destruction, loss, or damage of any Asset and each of the
Other Buses being transferred hereunder due to fire or other casualty up to the
Effective Time. Upon said destruction, loss or damage due to fire or other
casualty of a substantial portion of the Assets or the Other Buses or the building
or buildings in which they are located, the Buyer shall have the option to
terminate this Agreement and, in the event of the exercise of such option, all
rights of the Buyer and the Seller shall terminate without liability to any party.
The Buyer shall notify the Seller within five (5) days after receiving written notice
of said destruction, loss or damagedue to fire or other casualty, of its decision to
terminate this Agreement. If the Buyer does not timely notify the Seller of
termination, this Agreement shaU remain in full force and effect, provided,
however, the Purchase Price shall be adjusted at Closing to reflect such
destruction, loss, or damage and ,.if the Buyer and Seller are unable to agree
upon the amount of adjustment; the dispute shall be determined by an
independent appraiser agreed to by Buyer and Seller and such determination
shall be binding upon both the Buy~r and the Seller herein: however, on or after
the Effective Time the Buyer assumes all risk of destruction, loss or damage of
the Assets and the Other Buses being transferred hereunder due to fire or other
casualty subject to Section 3.2 (a)(x).
ASSET PURCHASE AGREEMENT - Page 11
785236.28/SP3/13144/01 01 /091605 .
7.5. FTA Approval. As in accordance with Section 3.2(d) above, at Closing, the
Titles shall be deposited with the Escrow Agent to be held by and then released
by the Escrow Agent to the Buyer in accordance with the terms and conditions of
the Escrow Agreement upon Seller receiving FT A approval to transfer the
Vehicles to the Buyer and promptly executing and delivering to the Escrow Agent
the Statement of FTA Approval By the City of Denton, Texas (Exhibit B to the
Escrow Agreement) and upon Buyer receiving FTA approval to receive the
Vehicles from the Seller and promptly executing and delivering to the Escrow
Agent the Statement of FTA Approval By Denton County Transportation Authority
(Exhibit C to the Escrow Agreement), as contemplated herein. However, the
Seller and Buyer further agree if the FTA has not approved the sale of the Assets
by the Seller to the Buyer and the conveyance and transfer of the Other Buses
by the Seller to the Buyer as contemplated in this Agreement by close of
business on March 31, 2006, the Seller and Buyer shall immediately commence
the good faith negotiation of the terms and conditions of an operating lease of all
of the Vehicles by the Seller to Buyer for the purpose of the Buyer's unlimited use
of the Vehicles in the establishment, operation and maintenance of an intra-city
bus line in the City of Denton and such terms and conditions (among others) of
such operating lease shall include, without limitation, each of the following:
(a) the Purchase Price shall be deemed by Seller and Buyer to be the full and
complete rental to be paid by Buyer and Seller under such operating lease
and therefore Buyer shall not have any other or additional rental obligation
under the operating lease beyond the Purchase Price as paid at Closing;
and
(b) the term of the operating lease shall have a scheduled expiration date of
April 30,2010.
Further, Seller and Buyer agree th13t such operating lease shall be executed by
Seller and Buyer by no later than close of business on May 31, 2006 unless such
date shall be extended in writing by Seller and Buyer that shall provide for interim
operation by the Buyer.
ARTlClE VIII
MISCEL.lANEOUS
8.1. Entire Understandina. Waiver. Etc. This Agreement (including all schedules
and exhibits attached to this Agreement) and all other agreements executed and
delivered at the Closing set forth .the entire understanding of the Parties and
supersede any and all prior; or contemporaneous agreements and
understandings relating to the slJbject matter of this Agreement, and the
provisions hereof may not be changed, modified, waived or altered except by an
agreement in writing signed by the Parties to this Agreement. A waiver by any
Party of any of the terms or conditions of this Agreement, or of any breach
thereof, shall not be deemed a waiver of such term or condition for the future, or
ASSET PURCHASE AGREEMENT - Page 12
785236.28/SP3/13144/0101/091605
of any other term or condition of this Agreement, or of any subsequent breach
thereof.
8.2. Severabilitv. If any provision of this Agreement or the application of such
provision shall be held by a court of competent jurisdiction to be invalid or
unenforceable, the remaining provisions of this Agreement shall remain in full
force and effect.
8.3. Accountina Terms. All accounting terms not specifically defined in this
Agreement shall have the meanings given to them under accounting principles
generally accepted in the United States.
8.4. Notices. All notices, requests, demands and other communications that are
required or may be given under this Agre~ment shall be in writing. All notices
shall be deemed to have been duly given or made: if by hand, immediately upon
delivery; if by Federal Express, Express Mail or any other reputable overnight
delivery service, one Business Day. after being placed in the control of the courier
for overnight delivery; and if mailed by certified mail, return receipt requested,
five Business Days after mailing.. All notices are to be given or made to the
parties at the following addresses (or to such other address as either Party may
designate by notice in accordance with the provisions of this Section):
(a) If to Seller:
City of Denton
Jon Fortune
Assistant City Manager
215 E. McKinney
Denton, Texas 76201
Facsimile: (940) 349-8596
jon. fortune@cityofdenton.com
(b) If to Buyer:
Denton County Transportation Authority
John Hedrick, Executive Director
1660 South Stemmons, Suite 250
Lewisville, Texas 75067
Facsimile: (972) 221-4601
jhedrick@dcta.net
With a copy to:
Rider Scott, Esq.
Strasburger & Price, LLP
2801 Network Boulevard, Suite 600
Frisco, TX 75034
ASSET PURCHASE AGREEMENT - Page 13
785236.28JSP3f1314410 10 1/091605
I 8.5.
8.6.
8.7.
8.8.
8.9.
8.10.
Successors and Assians. Neither this Agreement nor any of the rights or
obligations arising under this Agreement shall be assignable without the prior
written consent of the Parties to this Agreement. Nothing in this Agreement,
express or implied, shall confer upon any Person, other than the Parties to this
Agreement, and their successors and permitted assigns, any rights or remedies
under or by reason of this Agreement.
Waivers. At any time prior to the Closing, any Party to this Agreement may (i)
extend the time for the performance of any of the obligations or other acts of the
other Party to this Agreement, (ii) waive any inaccuracies in the representations
and warranties of the other Party contained in this Agreement or in any document
delivered pursuant to this Agreement, and (iii) waive compliance with any of the
agreements or conditions contained in this Agreement subject to any specific
provisions governing the effect of such extensions or waivers. Any agreement on
the part of a Party to this Agreement to grant any such extension or waiver will be
valid only if set forth in a written instrument signed on behalf of such Party.
Counterparts. This Agreement may be executed in two or more
counterparts, each of which shall be deemed an original, but all of which,
together, shall constitute one and the same instrument.
Attorneys' Fees and Costs. Unless otherwise provided in this Agreement to
the contrary, in the event any action or proceeding is commenced by any party to
this Agreement to determine rights, duties or obligations under this Agreement,
determine a breach of this Agreement and obtain damages as a result of such
breach or otherwise enforce this Agreement, the prevailing party in such action or
proceeding shall be entitled to recover from the non-prevailing party all of the
prevailing party's out-of-pocket costs and expenses, including all reasonable
attorneys' fees, disbursements and related charges.
Headings. The headings contained in this Agreement are for the sole purpose
of convenience of reference, and will not in any way limit or affect the meaning or
interpretation of any of the terms or'provisions of this Agreement.
Governina Law. THIS AGREEMENT SHALL BE CONTROLLED,
CONSTRUED AND ENFORCED IN ACCORDANCE WITH THE LAWS OF THE
STATE OF TEXAS APPLICABLE TO AGREEMENTS MADE AND TO BE
PERFORMED IN THAT STATE WITHOUT APPLICATION OF CONFLICTS OF
LAW PROVISIONS AND IS IN ALL RESPECTS PERFORMABLE IN DENTON
COUNTY, TEXAS.
(Remainder of Page Intentionally Left Blank-.
Signatures Follow)
ASSET PURCHASE AGREEMENT - Page 14
785236.2BfSP3f13144fO 10 1f091605
IN WITNESS WHEREOF, this Agreement has been executed by duly authorized
officers of each of the Parties all as of the date first above written.
ATTEST:
JENNIFER WALTERS
CITY SECRETARY
SELLER:
CITY OF DENTON, TEXAS
By:
Name: Euline Brock
Title: Mayor
By:
ATTEST:
DENTON COUNTY
TRANSPORTATION AUTHORITY
BUYER:
DENTON COUNTY
TRANSPORTATION AUTHORITY
By:
Jason Pearce, Secretary
By:
Name: Charles Emery
Title: Chairman
ASSET PURCHASE AGREEMENT - Page 15
765236.28/SP3l1314410 10 1/091605
EXHIBIT 1.4 TO ASSET PURCHASE AGREEMENT
ASSIGNMENT OF SERVICE MARKS
For and in consideration of Ten Dollars ($10.00) and other good and valuable
consideration, of which receipt is acknowledged, the CITY OF DENTON, TEXAS, a
Texas municipal corporation and home rule city (" Assignor"), owner of the entire right,
title and interest in the service marks identified on Appendix A attached hereto and
incorporated herein for all purposes hereby sells and assigns to DENTON COUNTY
TRANSPORTATION AUTHORITY, a political subdivision, and a coordinated county
transportation authority created pursuant to Chapter 460, Tex. Transportation Code
("Assignee"), its entire right, title and interest in the service marks identified on Appendix
A along with all good will associated therewith, to be held and enjoyed by the Assignee,
its successors, and assigns, as fully and entirely as the same would have been held and
enjoyed by the Assignor had this assignment and sale not been made.
In testimony whereof, the Assignor has caused this Assignment of Service Marks
to be signed by its duly authorized officer( s) this day of , 2005.
ASSIGNOR:
CITY OF DENTON, TEXAS, a Texas municipal
corporation and home rule city
By:
HONORABLE EULlNE BROCK
MAYOR
ATTEST:
JENNIFER WAL TERS
CITY SECRETARY
By:
EXHIBIT 1A TO ASSET PURCHASE AGREEMENT-
Assianment of Service Marks
786028.21SP&'13144101011091805
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER
CITY ATTORNEY
,
By:
STATE OF TEXAS 9
9
COUNTY OF DENTON 9
This instrument was acknowledged before me on the day of
2005, by Euline Brock. Mayor of the City of Denton. Texas, known or proved to me on
satisfactory evidence to be the person and officer whose name is subscribed to the
foregoing instrument, and acknowledged to me that she executed the same for the
purposes and consideration therein expressed and in the capacity therein stated, on
behalf of such municipal corporation.
Notary Public, State of Texas
[SEAL]
My Commission Expires:
EXHIBIT 1.4 TO ASSET PURCHASE AGREEMENT-
Assianment of Service Marks
786028.2/SP3f13144101 011091605
ApDendlx A to Assianment of Service Marks
APPENDIX A TO ASSIGNMENT OF SERVICE MARKS
78602B.2ISP3I13144101 011091605
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EXHIBIT 1.5 TO ASSET PURCHASE AGREEMENT
BILL OF SALE
THIS BILL OF SALE is made as of September 30, 2005, by the CITY OF
DENTON, Texas, a Texas municipal corporation and home rule city("Seller").
WIT N E SSE T H:
WHEREAS, the DENTON COUNTY TRANSPORTATION AUTHORITY, a
political subdivision and coordinated county transportation authoritycreated pursuant to
Chapter 460, Tex. Transportation Code ("Buyer") and Seller entered into that certain
Asset Purchase Agreement dated as of September 30, 2005 (the "Purchase
Agreement") providing, among other things, for the sale bySeller to Buyer of the Assets
(as defined in the Purchase Agreement and
WHEREAS, in order to effectuate the sale and purchase of the Assets as
aforesaid, Seller is executing and delivering this Bill of Sale;
NOW THEREFORE, in consideration of the premises, the consideration paid
pursuant to the Purchase Agreement, the mutual covenants and agreements contained
in the Purchase Agreement and other good and valuable consideration, the receipt ad
sufficiency of which are hereby acknowledged, Seller hereby SELLS, ASSIGNS,
TRANSFERS, SETS OVER AND DELIVERS, and has hereby SOLD, ASSIGNED,
TRANSFERRED, SET OVER AND DELIVERED to Buyer, its successors and assigns,
all of its right, title, and interestin and to and under all of the Assets (as defined in the
Purchase Agreement) including, without limitation, each of the following(all capitalized
terms not herein defined shall have the meaning set forth in the Purchase Agreement~
(a) the Buses;
(b) the Equipment;
(c) the Shelters and Benches;
(d) the use and operation of the Business;
(e) the Business Intellectual Property identified on Schedule 1.9 of the
Purchase Agreement
(f) All of Seller's right, title and interest in and to the Route Match Softvare,
as further described in Exhibit A.
(g) Customer Data. All of the books, lists, and records of the Seller containing
data or information of any kind relating to (i) the customers of the Business as
conducted by the Seller with the Assets, and (ii) the Assets.
(h) Intangible Assets. All right, title and interest of Seller in, to and under the
name "L1 NK" and any derivatives of such nam~ any service marks, labels, logos,
copyrights, designs, rights to telephone numbers and all listings pertaining to Seller in
all telephone books and other directories pertaining to the Business, internet domain
names, web sites created by, licensed by and/or used bySeller in their operation of the
business, and any registrations or applications for registrations of theforegoing used in
the conduct of the Business, and any right to recovery for infringement thereof
(including past infringement) and any and all goodwill associated therewith or connected
with the use thereof and symbolized thereby.
(i) Goodwill. The. goodwill and going concern value of the Business
conducted by the Seller.
U) Licenses and Permits. Any and all Governmental Body licenses, permits,
certificates of authority, certificates of occupancy, authorizations, approvals,
registrations, franchises am similar consents, to the extent assignabl~ owned or used
EXHIBIT 1.5 TO ASSET PURCHASE AGREEMENT. Bill of Sale - Page 2
785876.10ISP3/13144101011091605
by Seller in the operation ofthe Business, whether issued by any Governmental Body or
any other Person. For purposes of this paragraph and this Bill of Sale generally, the
following terms have the following meanings:
"Applicable Law": All applicable provisions (domestic or foreign) of all (i)
constitutions, treaties, statutes, laws (including the common law), rules, regulations,
ordinances, codes and Orders of or with any Governmental Body and (ii) Governmental
Approvals.
"Consenf': Any consent, approval, authorization, action, waiver, permit, grant,
franchise, concession, agreement, license, exemption or Order of, registration,
certificate, declaration or filing with, or report or notice to, my Person (including foreign
Persons), including any Governmental Body.
"Governmental Approvaf': Any Consent of, from or with any Governmental Body.
"Governmental Body": Any court or any federal, state, municipal or other
governmental department, commisson, board, bureau, agency, authority or
instrumentality, domestic or foreign.
"Order": Any order, writ, injunction, directive, decree, judgment, award,
restriction, decision or determination of, or agreement with, any Governmental Body.
"Permits": All permits, authorizations, qualifications, certificates, consents,
approvals, registrations, variances, exemptions, rightsof~way, franchises, privileges,
immunities, grants, ordinances, licenses, waivers and other rights of every kind and
character (a) under any (i) Applicable Law, (ii) Order or (iii) contract with any
Governmental Body, or (b) granted by any Governmental Body.
"Person": An individual, partnership, joint venture, corporation, company, limited
liability company, bank, trust, unincorporated oganization, Governmental Body or other
entity or group.
(k) Claims. All of Seller' rights, claims and causes of action relating to the
Assets or the Business.
(I) Other Assets. Each of the other Assets listed on Exhibit A attached hereto
and incorporated herein by reference for all purposes.
Seller and its successors and assigns, further covenants and agrees that Seller
will do or cause to be done all such further acts and things and will execute,
EXHIBIT 1.5 TO ASSET PURCHASE AGREEMENT - Bill of Sale - Page 3
785876.10/SP3/13144/01011091605
acknowledge and deliver, or will cause to be executed, acklOwledged and delivered,
any and all such further transfers, conveyances, instruments, powers of attorney and
assurances as the Buyer may reasonably require for the better assuring, assigning,
transferring and conveying to the Buyer, its successors and assigns, on the terms
stated in the Purchase Agreement and herein, all and singular the Assets.
As between Seller and Buyer, this Bill of Sale and the Purchase Agreement and
any and all other instruments, documents or agreements executed or delivered in
accordance with the terms and conditions of the Purchase Agreementconstitute the
entire agreement, and supersede all other prior agreements or understandings, whether
written or oral, with respect to the subject matter hereof.
THIS AGREEMENT SHALL BE CONTRa.LED, CONSTRUED AND
ENFORCED IN ACCORDANCE WITH THE LAWS OF THE STATE OF TEXAS
APPLICABLE TO AGREEMENTS MADE AND TO BE PERFORMED IN THAT STATE
WITHOUT APPLICATION OF CONFLICTS OF LAW PROVISIONS AND IS IN ALL
RESPECTS PERFORMABLE IN DENTON COUNTY, TEXAS.
SELLER MAKES NO REPRESENTATIONS WITH REGARD TO THE ASSETS,
AND BUYER ACCEPTS THE ASSETS "AS IS, WHERE IS," WITH ALL FAULTS.
Nothing contained in this Bill of Sale, express or implied, is intended to confer
upon any Person not a party to the Purchase Agreemert any rights or remedies of any
nature whatsoever under or by reason of thisBiII of Sale or the Purchase Agreement or
any document, instrument, or Agreement referenced therein or executed and delivered
pursuant to the terms of the Purchase Agreement
EXHIBIT 1.5 TO ASSET PURCHASE AGREEMENT. Bill of Sale - Page 4
785876.1 o/sP3/131441010 11091605
IN WITNESS WHEREOF, Seller has executed this Bill of Sale as of the Effective
Date.
SELLER:
CITY OF DENTON, TEXAS, a Texas municipal
corporation and home rule city
By:
HONORABLE EULlNE BROCK
MAYOR
ATTEST:
JENNIFER WALTERS
CITY SECRETARY
By:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER
CITY ATTORNEY
By:
EXHIBIT 1.5 TO ASSET PURCHASE AGREEMENT - Bill of Sale - Page 5
765676.10/SP3/13144101011091605
Exhibit "A" to Bill of Sale
Route Match Software Description
RouteMatch Software
RouteMatch Software Version SR239C- 4 licensed users
Contract No. CITDEN 152
Windows 2003 for PowerEdge 1000 Server
Other Software
Software to remain on four Dell Computers:
Microsoft Windows XP, Microsoft Office 2000, Citrix Client and Real Player
EXHIBIT "A" to Bill of Sale
785876.10/SP3/1314410101/091605
I
I .
~hlbit 1.16 to Asset Purchase Agreement
i
J~m
Description
Vehicle Identification
Number
F rd Crown-Victory 2FALP71W4SX174474
F rei Crown-Victory 2FALP71W2VX158262
ncrete slabs for benches & shelters
ght Solar power light and Information Display Systems
s Shelters
B ie System and Inventory Module ~ Software
T Dell MFP 1600n PrInters
T Dell Computers -Small Minitower Pentium
T 0 Delllatilude Laptops
odel 5400 Shop Roor Scrubber
L NKS Bus Ufts (Hydraulic Repair Lifts)
T n Benches wfth Backrest
S gns ~ LINK buses
S gns - LINK buses logos & ~ping
S gns ~ LINK buses decals
T 0 Panasonlc Toughbook Computers
F ur Workstations
ne Dell Computer PowerEdge
N !Work Switch
R utematch Software
H Laser: Printer HPB150
H Color Laser Printer HP4550
H Scan Jet Scanner .
H Fax 1020
S n Coin Sorter
L ft Pedestal Desk
T File Cabinets
cretary.Desk
S cretary Desk
okcase
C air
R admaster Bec Utility Vehicle (Taylor Dunn)
~ ortel Ootion llC Phone System and Cisco Switch with 10 Phone Des'k Sets
Page: 1
SCHEDULE 1.9 TO ASSET PURCHASE AGREEMENT'
Business Intellectual Property
RouteMatch Software
RouteMatch Software Version SR239C - 4 licensed users
Contract No. CITDEN 152
Windows 2003 for PowerEdge 1800 SelVer
Other Software
Software to remain on four Dell Computers:
Microsoft Windows XP, Microsoft Office 2000, Citrix Client and Real Player
SCHEDULE 1.9 TO ASSET PURCHASE AGREEMENT
Business Intellectual Property
787545.1JSP3f13144101011ll91605
"
SCHEDULE 1.33 TO ASSET PURCHASE AGREEMENT'
.'
.'
...........
,
Shelters an.d Benches
Passauger .Amen:ftYLocationi'
Lqcation CityBenc1l City XDB Rench ~eatTeam UNT
Shelter . She1tm:
I.JNK Cemral XXXX :x:x
100 Block om .
Biakatv
Bmi1yPow~ ,
~.
Libraty X #
. ! to
500 Block of
Oakland
10JQ6 & . " ~
Gan'lenvciw X
, . !
. 3500 Block of
Joyce
. Odo1.e &Loop ..
288 ... X
'j- .
3600 :Block of .I...:
<'
orlole .
MRT1rAf: & Loop "
. ~~
288 . X
3800 Block of .
Mmbt Street I
Bell @Peaoh ~. X
1=- .
2400 Block of ' .;g,
:aWl .
Co1omdo @
Target -. X
2300 Bloo1c of II
CoIamdo .~'C!'
AVQDI1e 0 @I- ,
SSE (S1Co'D.-
Save) : X
1000 Block of
Avenne C
Teasley@.
PamilyDodoD . :x: .
1500 BlOck of - ,.
Teas1w i
,
:&v.in@ DaDia . "
R.=ma:fian Or. X
'1000 .Bloclc of
Parvin
Omrlotte @
I Avm:me G X
.2 500 Bloclt of
Cha:l:1otte --
SCHEDULE 1.33 TO ASSET PURCHASE AGREEMENT -
Shelters and Benches - Page 1
187316.11SP3J13144f01 0110911105
. -. '
.. .. .
.. ~
Locatlon City Bench City DB Bench Sweat Team 1JNT
Shelter Shelter
BmmiBBrae &
Charl.otte X
2400 Block: of
CfJ.arlotte
w. Bicikoty &
AvamJ8 C X
1700 Block of
w.
UNT Student
Union : X
400 Block of
Avenue A
W. Oak@ X
Cmroll
300 Block ofW.
Oak
Hicko1y@
Ra:i1road X
600 Block olE. I
WiJson@~ X
Recreldion Ctr.
1300 Block of
Wilson
Ruddell @B. X
BickoIy
300 Block of
,Ruddell
Botmia Brae @
Danton
eo. t1 I III {n:.-ffy
Hospital X
200BlockofS.
Bonnie Brae
Mingo @ Village
East.Apts. ! X
1700 J310ck of
M"mr,-n "RDad
Crescent @
Malane' X
1400 Block of
CrescmtRoad
:Elm @ Seccmd X
1200 Bloclt of
Elm Street I
SCHEDULE 1.33 TO ASSET PURCHASE AGREEMENT-
Shelters and Benches - Paae 2
787318. t1SP3I131441l11011091B05
,
~. " -'
.,.. .. t~
Loea:tiDn City Bendt" City KDB Bench Sweat Team UNT
Shelter Shelter
Dallas Drive @
Smith X
300 Block of
Dallas Drive
RuddeIl @
Phmmix Apts. X
300 Block of
Rndda1l
BeD. @ Sanior ,
Cem:er X
200 Block of
Be11AWDlle
Total: 30
. .
SCHEDULE 1.33 TO ASSET PURCHASE AGREEMENT -
Shelters and Benches - Paae 3
787316.1/SP3113144101011091805
SChe~Ule 1.39(a}to Asset Purchase Agreement
Br
I
~ D~
1 87 Flxible Diesel Bus
1 87 Flxible Diesel Bus
E CORT RE Propane 30ft Bus
E CORT RE Propane 30ft Bus
E CORT RE Propane 30ft Bus
E CORT RE Propane 30ft Bus
C JJ Propane 25ft Paratranslt Bus
C II Propane 25ft Paratranslt Bus
2 00 Goshen SENTRY Bus
2 00 Goshen SENTRY Bus
2 00 Goshen SENTRY Bus
2 00 Goshen SENTRY Bus
e following assets are not in working order:
1 87 Flxlble Diesel Bus
1 87 Flxlble DIesel Bus
1 87 Flxible Diesel Bus
1 87 Flxlble Diesel Bus
Page: 1
License
Number
845-952
845-954
828-019
851-184
851-185
851-186
851-182
853-172
806-442
806-211
806-441
806-443
845-953
845-955
845-956
845-957
Vehicle
Unit
Number
8701
8703
275
335
336
337
330
331
197
199
196
198
8702
8704
9001
9002
Vehicle Identification
Number
1 GF5CAFKXHD098862
1 GF5CAFKOHD098885
1 N9RBABG92C084143
1 N9EBABG63C084117
1 N9EBABG43C084116
1 N9EBABG33C084124
1 FDXE45S23HA62793
1 FDXE45S43HA62794
4UZAACBV81 CJ40370
4U~CBV41CJ25767
1 FDVVE35F21HB00441
1 FDVVE35F41HB00448
1 GF5CAFK4HD098890
1 GF5CAFK3HD098864
1 GF5CAFK6LD1 01 006
1GF5CAFK1HD101003
$chedule 1.39(b) to Asset Purchase Agreement
Other Buses
Description
License
Number'
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
879-212
879-213
879-214
879-215
879-216
879-217
879-218
879-219
879-220
879-221
879-222
879-223
879-224
879-225
879-226
Page: 1
Vehicle
Unit
Number
542
543
544
545
546
547
548
549
550
551
552
553
554
555
556
Vehicle Identification
Number
4UZAACBV21 CH72803
4UZAACBV91 CH72801
4UZAACBV31 CH72809
4UZAACBV81CH72806
4UZAACBV81 CH72823
4UZAACBV91CH72815
4UZAACBV91CH72832
4UZAACBVX1 CH72824
4UZAACBVX1CH72838
4UZAACBV91 CH72846
4UZMCBV01 CH72833
4UZMCBV91CH72829
4UZAACBV11CH72839
4UZAACBV81 CH72840
4UZAACBVX1 CH72841
SCHEDULE 5.6 TO ASSET PURCHASE AGREEMENT
Contracts
Agreement to Provide Management and Operation Services for Passenger Motor
Carrier Transit System dated April 16, 2002 (as amended) between City of Denton,
Texas and McDonald Transit Associates, Inc.
SCHEDULE 5.6 TO ASSET PURCHASE AGREEMENT
Contracts
787546.1ISP3I13144J01G11091505
ESCROW AGREEMENT
THIS AGREEMENT, made this 30th day of September, 2005, among the City'of"
Denton, Texas, a Texas municipal corporation and home rule city ("Seller"), the Denton
County Transportation Authority, a political subdivision and a coordinated county
transportation authority created pursuant to Chapter 469, Tex. Transportation Code
("Buyer), American Escrow Company, a Texas corporation, having its principal place of
business at 2626 Howell, 10th Floor, Dallas, Texas 75204, Attn: Carla Janousek, 214-
855-8879 (hereinafter referred to as "Escrow Agent"),
WITNESSETH THAT:
WHEREAS, the Seller and Buyer entered into that certain Asset Purchase
Agreement (the "Purchase Agreement") dated September 30, 2005, wherein Seller
agreed to sell the Buses (as defined in the Purchase Agreement) and certain other
assets and agreed to convey and transfer the Other Buses (as defined in the Purchase
Agreement), to Buyer described therein (collectively, the "Assets"); and
WHEREAS, Seller has deposited the Titles (as defined in the Purchase
Agreement) to the Vehicles with Escrow Agent.
NOW THEREFORE, the parties hereto agrees as follows:
Escrow Agent shall open and maintain an escrow account in the name of Buyer
and Seller and hold in such account each of the Titles to the Vehicles listed on Exhibit
NAn attached hereto and incorporated herein by reference for all purposes.
Upon receipt by the Escrow Agent of an executed copy of the Statement of FTA
Approval By the City of Denton, Texas, in the form of Exhibit "B" attached hereto and
incorporated herein by reference for all purposes, by close of business on March 31,
2006, and the Statement of FTA Approval By the Denton County Transportation
'Authority, in the form of Exhibit "c" attached hereto and incorporated herein by
reference for all purposes, Escrow Agent shall immediately deliver the Titles to the
Buyer and, upon doing so, shall not have any further obligation hereunder.
However, in the event the Escrow Agent does not receive an executed copy of
Exhibit 8 and Exhibit C by close of business on March 31, 2006. Escrow Agent shall
promptly deliver the Titles to the Seller and, upon doing so, shall not have any further
obligation. hereunder.
Buyer shall pay the full cost of the escrow established with Escrow Agent.
Escrow Agent is not a party to, or bound by any agreement which may be
deposited under, evidenced by, or which arises out of the foregoing instructions.
Escrow Agent acts hereunder as a depository only and is not responsible or
liable in any manner whatever for the sufficiency, correctness, genuineness or validity of
any instrument deposited with it hereunder, or with respect to the form or execution of
1
786880.71SPa113144101 011081605
same; or the identity, authority, or rights of any person executing or depositing the
same.
The parties hereto further agree that Escrow Agent assumes no liability for and is
expressly released from any claim or claims whatsoever in connection with the
receiving, retaining and delivering of the above Titles except to account for delivery
made thereof as required above. Deposit by Escrow Agent of the instruments
comprising this escrow in Court, shall relieve Escrow Agent of all further responsibility
and liability, and Escrow Agent is hereby expressly authorized to disregard in its soJe
discretion any and all notices or warnings given by any of the parties hereto, or by any
other person or corporation, but the said Escrow Agent is hereby expressly authorized
to regard and to comply with and obey any and all Orders, Judgments or Decrees
entered or issued by any Court with or without jurisdiction, and in case Escrow Agent
obeys or complies with any such Order, Judgment or Decree of any Court it shall not be
liable to any of the parties hereto or to any other person, firm or corporation by reason
of such compliance, notwithstanding any such Order, Judgment or Decree be entered
without jurisdiction or be subsequently reversed, modified, annulled, set aside or
vacated. In case of any suit or proceeding regarding this escrow to which Escrow Agent
is or may be at any time a party, it shall have a lien on the contents hereof for any and
all cost, attorneys' fees, whether such attorneys shall be regularly retained or specially
employed and other expenses which it may have incurred or become liable for on
account thereof, and it shall be entitled to reimburse itself therefore out of said deposit,
and the undersigned jointly and severally agree to indemnify and hold harmless Escrow
Agent from all loss, costs or damages incurred, including but not limited to attorneys'
fees, by reason of this Agreement or the subject matter hereof or any cause of action
which may be filed in connection therewith and to pay Escrow Agent, upon demand all
such costs, fees and expenses so incurred.
Escrow Agent shall not be liable for any error of judgment or for any act done or
step taken or omitted by it in good faith, or for any mistake of fact or law, or for anything
which it may do or refrain from doing in connection herewith, except its own gross
negligence or willful misconduct, and Escrow Agent shall have no duties to anyone
except those signing this instrument.
Escrow Agent may consult with legal counsel in the event of any dispute or
questions as to the construction of the foregoing instructions, or Escrow Agent's duties
hereunder, and Escrow Agent shall incur no liability and shall be fully protected in acting
in accordance with the opinion and instructions or such counsel.
Escrow Agent shall not have any liability due to any of the parties, other than
Escrow Agent, filing for bankruptcy or the consequences or effect of such a bankruptcy
on the documents deposited hereunder.
[Remainder of Page Intentionally Left Blank]
2
786880. 7/SP3I13144101 011091605
EXECUTED as of the day and year first above written:' .
Seller:
Buyer:
Denton County Transportation Authority
1660 South Stemmons, Suite 250
Lewisville, Texas 75067
The City of Denton
215 E. McKinney
Denton, Texas 76201
By:
Name: Euline Brock
Title: Mayor
By:
Name: Charles Emery
Title: Chairman
Escrow Agent
, Escrow Agent herein, hereby acknowledges receipt of
the aforementioned Titles and agrees to act as Escrow Agent herein pursuant to the
terms of this Agreement, dated this day of , 2005.
Escrow Agent:
BY:
NAME:
TITLE:
3
786880. 7/SP3l131<1410101 f091605
DescrIption
1 1 Flxlble Diesel Bus
1 87 Fbdble Diesel Bus
E CORT RE Propane 30ft Bus
E CORT RE propane 30ft Bus
E CORT RE propane 30ft Bus
E RT R.... r-ropane 30ft Bus
C II Propane 25ft Paratransit Bus
II Propane 25ft Paratranslt Bus
Goshen SENTRY Bus
Goshen SENTRY Bus
2 Go~~hen SENTRY Bus
2 00 Goshen SENTRY Bus
987 Flxible Diesel Bus
987 Flxible Diesel Bus
987 Fbdble Diesel Bus
987 FbdbIe Diesel Bus
EXHIBIT A to Escrow Agreement
Ucense
Number
~2
845-954
828-019
851-184
851.185
851-186
851-182
853--172
806442
806-211
806-441
806-443
845-953
845-955
845-956
845-957
Vehicle
Unit
Number
8701
8703
275
335
336
337
330
331
197
199
196
198
8702
8704
9001
9002
Vehicle IdentJftcation
,Number
1GF5CAFKXHOO98862
1 GF5CAFKOHD098885
1 N9RBA8G92C084143
1 N9EBABG63C084117
1N9EBABG43C084116
1 N9EBABG33C084124
1 FDXE45S23HA62793
1FDXE45S43HA62794
4UZAACBV81CJ40370
. 4UZAACBV41CJ25767
1 FDWE35F21 HB00447
1 FDWE35F41HBOO448
1GF5CAFK4HD098890
1 GF5CAFK3HD098864
1GF5CAFK6lD101006
1 GF5CAFK1 HD1 01 003
2001 Champion Bus CT300 879-212 542 4UZAACBV21CH72803
2001 Champion Bus CT300 879-213 543 4UZAACBV91 CH72801
2001 Champion Bus CT300 879-214 544 4UZAACBV31CH72809
2001 Champion Bus CT300 879-215 545 4UZAACBV81CH72806
2001 Champion Bus CT300 879-216 546 4UZAACBV81CH72823
2001 Champion Bus CT300 879-217 547 4UZAACBV91CH72815
2001 Champion Bus CT300 879-218 548 4UZAACBV91CH72832
2001 Champion Bus CT300 879-219 549 4UZAACBVX1 CH72824
2001 Champion Bus CT300 879-220 559 4UZAACBVX1CH12838
2001 Champion Bus CT300 879-221 551 4UZAACBV91 CH72846
2001 Champion Bus CT300 879-222 552 4UZAACBV01 CH72833
2001 Champion Bus CT300 879-223 553 4UZAACBV91CH72B29
2001 Champion Bus CT300 879-224 554 4UZAACBV11CH72B39
2001 Champion Bus CT300 879-225 555 4UZAACBV81CH12840
2001 Champion Bus CT300 879-226 556 4UZAACBVX1CH72841
ExhibitS to Escrow Aareement
STATEMENT OF FTA APPROVAL
BY CITY OF DENTON. TEXAS
I, , of the City of Denton, Texas do
hereby swear and affirm that the City of Denton, Texas has received the approval of the
FTA to transfer the Vehicles (as defined in the Asset Purchase Agreement between the
City of Denton, Texas and the Denton County Transportation Authority dated
September 30,2005) to the Denton County Transportation Authority.
THIS statement is made to (escrow agent) to complete the
transaction contemplated in the Asset Purchase Agreement, and does
hereby swear under the penalties of perjury that the foregoing information is true and
correct in all respects, and that is authorized to make this statement on
behalf of the City of Denton, Texas.
EXECUTED effective as of
,20_.
By:
Name:
Title:
STATE OF TEXAS
s
s
~
COUNTY OF DENTON
SWORN TO AND SUBSCRIBED BEFORE ME on
, in his capacity as
_' 2005. by
of the City of Denton,
Texas.
Notary Public, State of
Notary's printed name:
My commission expires:
786880. 7fSPWl3144101 011091505
Exhibit C to Escrow Aareement
STATEMENT OF FT A APPROVAL
BY DENTON COUNTY TRANSPORTATION AUTHORITY
I, , of the Denton County
Transportation Authority do hereby swear and affirm that the Denton County
Transportation Authority has received the approval of the FTA to transfer the Vehicles
(as defined in the Asset Purchase Agreement between the City of Denton, Texas and
the Denton County Transportation Authority dated September 30, 2005) to .the Denton
County Transportation Authority.
THIS statement is made to (escrow agent) to complete the
transaction contemplated in the Asset Purchase Agreement, and does
hereby swear under the penalties of pe~ury that the foregoing information is true and
correct in all respects, and that is authorized to make this statement On
behalf of the Denton County Transportation Authority.
EXECUTED effective as of
,20_.
By:
Name:
Title:
STATEOFT~S ~
S
COUNTY OF DENTON S
SWORN TO AND SUBSCRIBED BEFORE ME on
, in his capacity as
Transportation Authority.
_' 2005, by
of the Denton County
Notary Public, State of
Notary's printed name:
My commission expires:
786880.7/SP3I1314410101/091605
OTHER BUS TRANSFER INSTRUMENT
THIS OTHER BUS TRANSFER INSTRUMENT ("Instrument") is made as of
September 30,2005, by the CITY OF DENTON, Texas, a Texas municipal corporation
and home rule city ("Seller").
WITN ESSETH:
WHEREAS, the DENTON COUNTY TRANSPORTATION AUTHORITY, a
political subdivision and coordinated county transportation authority created pursuant to
Chapter 460, Tex. Transportation Code ("Buyer") and Seller entered into that certain
Asset Purchase Agreement dated as of September 30, 2005 (the 'Purchase
Agreement") providing, among other things, for the transfer of the Other Buses (as
defined in the Purchase Agreement) (as identified on Exhibit A attached hereto and
incorporated by reference for all purposes) by Seller to Buyer; and
WHEREAS, in order to effectuate the transfer of the Other Buses as aforesaid,
Seller is executing and delivering this Instrument;
NOW THEREFORE, in accordance with the mutual covenants and agreements
contained in the Purchase Agreement , Seller hereby CONVEYS AND TRANSFERS,
SETS OVER AND DELIVERS, and has hereby CONVEYED, ASSIGNED,
TRANSFERRED, SET OVER AND DELIVERED to Buyer, its successors and assigns,
all of its right, title, and interest in and to and under all of the Other Buses.
Seller and its successors and assigns, further covenants and agrees that Seller
will do or cause to be done all such further acts and things and will execute,
acknowledge and deliver, or will cause to be executed, acknowledged and delivered,
any and all such further transfers, conveyances, instruments, powers of attorney and
assurances as the Buyer may reasonably require for the better assuring, assigning,
Page 1
787225.21SP3/13144/0 1 011091405
transferring and conveying to the Buyer, its successors and assigns, on the terms
stated in the Purchase Agreement and herein, all and singular the Other Buses.
THIS AGREEMENT SHALL BE CONTROLLED, CONSTRUED AND
ENFORCED IN ACCORDANCE WITH THE LAWS OF THE STATE OF TEXAS
APPLICABLE TO AGREEMENTS MADE AND TO BE PERFORMED IN THAT STATE
WITHOUT APPLICATION OF CONFLICTS OF LAW PROVISIONS AND IS IN ALL
RESPECTS PERFORMABLE IN DENTON COUNTY, TEXAS.
SELLER MAKES NO REPRESENTATIONS WITH REGARD TO THE OTHER
BUSES, AND BUYER ACCEPTS THE OTHER BUSES 'AS IS, WHERE IS', WITH ALL
FAUL TS.
Nothing contained in this Instrument, express or implied, is intended to confer
upon any Person not a party to the Purchase Agreement any rights or remedies of any
nature whatsoever under or by reason of this Instrument or the Purchase Agreement or
any document, instrument, or Agreement referenced therein or executed and delivered
pursuant to the terms of the Purchase Agreement.
IN WITNESS WHEREOF, Seller has executed this Instrument as of the Effective
Date.
SELLER:
CITY OF DENTON, TEXAS
By:
Name: Euline Brock
Title: Mayor
Page 2
787225.21SP3/13144/0101/091405
Exhibit "An to Instrument
Other Buses
787225.2JSP3I13144!01 01 1091405
USE AGREEMENT
This Use Agreement ("Agreement") is entered into as of September 30, 2005, by and
between the CITY OF DENTON, Texas, a Texas municipal corporation and home rule
city ("Seller") and the DENTON COUNTY TRANSPORTATION AUTHORITY, a political
subdivision and coordinated county transportation authority created pursuant to Chapter
460, Tex. Transportation Code ("Buyer").
WIT N E SSE T H:
WHEREAS, Buyer and Seller entered into that certain Asset Purchase Agreement
dated as of September[30], 2005 (the "Purchase Agreement") providing, among other
things, for the sale by Seller to Buyer of the Assets (as defined in the Purchase
Agreement); and
WHEREAS, in order to effectuate the orderly transition of the Business (as defined in
the Purchase Agreement) and complete the transaction set forth in the Purchase
Agreement Buyer and Seller have agreed to execute this Agreement;
NOW THEREFORE, in consideration of the premises, the consideration paid pursuant
to the Purchase Agreement, the mutual covenants and agreements contained in the
Purchase Agreement and other good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, to the extent there is Business
Intellectual Property (as defined in the Purchase Agreement) owned, licensed to or
othelWise utilized by Seller, Seller grants Buyer unlimited access to and use of the
same for purposes of operating tl:Je Business, including without limitation the intra-city
bus line under the name "LINK" in the City of Denton, Texas to the extent Seller is
permitted to do so by contract or law.
SELLER:
CITY OF DENTON, Texas, a Texas municipal
corporation and home rule city
By:
Name: Euline Brock
Title: Mayor
STATE OF TEXAS S
S
1
786902.3/SP3J13144/0101l091405
COUNTY OF DENTON s
This instrument was acknowledged before me on the day of September, 2005,
by Euline Brock, Mayor of the City of Denton, Texas, known or proved to me on
satisfactory evidence to be the person and officer whose name is subscribed to the
foregoing instrument, and acknowledged to me that he/she executed the same for the
purposes and consideration therein expressed and in the capacity therein stated, on
behalf of such municipal corporation.
Notary Public, State of Texas
[SEAL]
2
786902.3/SP3/13144/0101/091405
s: \Our Documents\Contracts\05\McDonald Transit.doc
ASSIGNMENT OF THAT CERTAIN AGREEMENT
BETWEEN THE CITY OF DENTON, TEXAS AND
MCDONALD TRANSIT ASSOCIATES, INC.
DATED APRIL 16,2002, AS AMENDED
DATE:
September 20, 2005
ASSIGNOR: The City of Denton, Texas, a Tex~ Municipal Corporation and home rule city.
ASSIGNEE: The Denton County Transportation Authority, a political subdivision and a
coordinated county transportation authority created pursuant to Chapter 460, Tex.
Transportation Code.
CONSENTING CONTRACTOR: McDonald Transit Associates, Inc., a Texas Corporation
AGREEMENT:
Type: Agreement to provide services for the City of Denton's
passenger motor carrier transit system called LINK..
Date: April 16, 2002, amended on several occasions, the last
amendment being on June 15, 2004.
Parties: City of Denton, Texas and McDonald Transit Associates,
Inc.
Reference: The Agreement described herein shall hereinafter be
referred to as the Agreement.
1. Assignor assigns to Assignee all Assignor's rights, obligations and interest in the
Agreement.
2. Assignee Agrees to:
a. Assume Assignor's rights, obligations and interests under the Agreement.
b. Fully perform all Assignor's obligations under the Agreement's terms and
conditions.
IN WITNESS WHEREOF, the parties have executed this Assignment of that certain
Agreement between the City of Denton, Texas and McDonald Transit Associates, dated April 16,
2002, as amended, as of the _ day of September, 2005, which shall be the effective date.
PREVIOUS ASSIGNMENTS: None
For Assignor:
City of Denton, Texas
215 E. McKinney
Denton, Texas 76201
By:
Euline Brock, Mayor
S:\OUf Documents\Contrncts\05\McDonald Transit.doc
Attest:
Jennifer Walters, City Secretary
By:
Approved as to Legal Form:
:;4i14!~~meY
For Assignee:
Denton County Transportation Authority
1660 South Stemmons, Suite 250
Lewisville, Texas 75067
By:
Charles Emery, Chairman
Attest:
Denton County Transportation Authority
By:
Jason Pearce, Secretary
Approved as to Legal Form
By:
Rider Scott, General Counsel
For Consenting Contractor:
McDonald Transit Associates, Inc.
4500 Mercantile Plaza Drive, Suite 307
Fort Worth, Texas 76137
By:
Robert T. Babbitt, President
Page 2 of3
s:\Our Documents\Contracts\05\McDonald Transit.doc
STATE OF TEXAS
COUNTY OF DENTON
This instrument was aclmowledged before me on the _ day of ,
2005, by Euline Brock, Mayor of the City of Denton, Texas, a Texas municipal corporation, on
behalf of said Municipal Corporation.
[SEAL]
Notary Public, State of Texas
My Commission Expires
(or Notary Stamp)
STATE OF TEXAS
COUNTY OF DENTON
This instrument was aclmowledged before me on the _ day of
2005, by Charles Emery, Chairman of the Denton County Transportation Authority, a Texas
political subdivision and a coordinated County Transportation Authority created by Chapter 460,
Texas Transportation Code, on behalf of said Political Subdivision.
[SEAL]
Notary Public, State of Texas
My Commission Expires
(or Notary Stamp)
STATE OF TEXAS
COUNTY OF DENTON
This instrument was aclmowledged before me on the _ day of ,
2005, by Robert T. Babbitt, President of McDonald Transit Associates, Inc., a Texas corporation,
on behalf of said Corporation.
[SEAL]
Notary Public, State of Texas
My Commission Expires
(or Notary Stamp)
Page 3 of3
AGENDA INFORMATION SHEET
AGENDA DATE: September 20,2005
DEPARTMENT: Solid Waste
ACM:
Howard Martin, Utilities 349-8232
..
SUBJECT
CONSIDER ADOPTION OF AN ORDINANCE OF THE DENTON CITY COUNCIL
APPROVING AND AUTHORIZING THE MAYOR TO EXECUTE A MASTER LEASE
AGREEMENT PROVIDING FOR THE LEASE OF CERTAIN TRACTS OF REALTY AT
THE CITY OF DENTON LANDFILL, BY AND BETWEEN THE CITY OF DENTON,
TEXAS, AS LESSOR AND THE DENTON COUNTY TRANSPORTATION AUTHORITY,
AS LESSEE; AUTHORIZING THE EXPENDITURE OF FUNDS THEREFOR; AND
PROVIDING AN EFFECTIVE DATE.
BACKGROUND
This agenda item is related to and will be considered only if the City Council approves the
preceding agenda item involving the Council's approval of an ordinance regarding the execution
of an asset purchase agreement, bill of sale, and other documents transferring all buses,
equipment, and other assets from the city passenger motor carrier transit system known as
"LINK" to the Denton County Transit Authority (DCT A). If the Council takes no action or does
not approve such ordinance, then this matter will not be considered by the City Council on
September 20,2005.
The City's LINK transportation operation outgrew their office and vehicle operations space at
the City's Service Center at the time LINK began bus service to the University of North Texas,
and at that time began to maintain their own fleet of buses. The Solid Waste Department offered
to provide LINK with the use of temporary office space; vehicle maintenance and fueling
facilities; and vehicle parking at their City's Landfill (the Mayhill Road facility). The LINK
operation then moved to the City Landfill run by the Solid Waste Department in July of 2004
and has been paying rental to the Solid Waste Department since that time.
DCTA wishes to continue using Solid Waste Department at the City's Landfill until such time as
they can relocate, in the future, to their own facilities. DCT A desires to enter into a separate
Master Lease Agreement with the City in order to permit the LINK operation to continue
operating by DCTA, uninterrupted, at the City Landfill.
The Master Lease Agreement provides for an initial term of three (3) years from the effective
date of the lease. The parties have negotiated two (2) additional one-year renewal terms, which
would be available to DCT A, provided that they are not in default in their performance of the
lease. The two (2) extension terms permitted would be available to DCT A. These options to
extend mainly provide that if DCTA has not completed or made arrangements for its new
facility, they may continue in possession for the extension term or terms.
There are several paragraphs of the Master Lease Agreement that are still in the process of
negotiation between City legal counsel and the DCT A house counsel and outside legal counsel.
We expect to provide a final draft of the Master Lease Agreement to you in advance of the
September 20, 2005 meeting - as soon as the remaining provisions have been completely
negotiated and documented.
OPTIONS
The City Council may approve a Master Lease Agreement DCTA to use the City Landfill.
The City Council may wish not to approve the continued use of City facilities by DCTA.
The City Council may carry this agenda item forward to another of its meetings for further
consideration.
RECOMMENDA TION
Staff recommends that the City Council approve the Master Lease Agreement.
PRIOR ACTIONIREVIEW (Council, Boards, Commissions)
None.
FISCAL INFORMATION
Revenue of $339,048 to be received by the City in the initial three (3) year lease term.
Additional potential revenue of up to $127,200 would be received by the City if both additional
one (1) year renewal options to extend the term were exercised by DCT A.
EXHIBITS
1. Master Lease Agreement.
2. Proposed Ordinance
Respectfully submitted:
a-(-l~
A. Vance Kemler
Director of Solid Waste
THE STATE OF TEXAS ~
COUNTY OF DENTON S
MASTER LEASE AGREEMENT
AN AGREEMENT BY AND BETWEEN
THE CITY OF DENTON, TX. AND
THE DENTON COUNTY
TRANSPORTATION AUTHORITY
This Master Lease Agreement ("Lease") is entered into by and between the City
of Denton, Texas, a Texas municipal corporation and home rule city e'Lessor") and the
Denton County Transportation Authority, a political subdivision and a coordinated
county transportation authority created pursuantto Chapter 460, Tex. Transportation
Code ("Lessee") on this 30th day of September, 2005, in accordance with the terms
and conditions of that certain Asset Purchase Agreement of even date herewith
("Purchase Agreement") by and between Lessor and Lessee as Seller and Buyer,
respectively, which contemplated that the Lessor and Lessee would enter into this
Master Lease Agreement.
Subject to the terms and conditions of this Lease, and in consideration of mutual
covenants, obligations, and agreements contained in this Lease, and other good and
valuable consideration, the receipt and sufficiency of which is hereby acknowledged,
Lessor and Lessee each agree as follows (all capitalized terms herein shall be defined
herein as stated in the Purchase Agreement unless otherwise defined herein):
Article 1
LEASE PREM ISES
1.1 Lease Premises. Lessor does hereby lease, demise, and let to Lessee
and Lessee does hereby lease and take from Lessor certain premises situated within
the City of Denton, State of Texas, being more particularly described as follows:
(a) that .428 acres which is legally described on Exhibit "A," attached
hereto and incorporated herein by reference for all purposes, and
the improvements thereon ("Tract I") including, without limitation,
an approximately 3000 square foot building (commonly known
herein as the "Service Bay Building") which contains three (3)
vehicle maintenance and repair bays, and permanently attached to
the exterior of the Service Bay Building is a vehicle wash rack;
(b) that .519 acres which is legally described on Exhibit "B," attached
hereto and incorporated herein by reference for all purposes, and
the improvements thereon ("Tract II") (commonly known herein as
the "Bus Parking Area") on which Lessee's Vehicles (as defined
in the Agreement) are to be parked or stored;
(c) that .201 acres which is legally described on Exhibit "C," attached
hereto and incorporated herein by reference for all purposes, and
MASTER LEASE AGREEMENT - PAGE 1
784815.111SP3/13144/0100/091405
EXHIBIT 1
the improvements thereon ("Tract III") and on which is located (i) a
triple-wide modular building (Serial Numbers TXLAOK 998437,
TXLAOK 008290 and TXLAOK008281) (USus Admin Office"),
which Lessor now leases from General Electric Capital Modular
Space, a division of Transport International Pool, Inc. ("GECMS")
and shall continue to do same during the Term (as defined below)
of this Lease and which Lessor shall sublet to Lessee as is
provided hereinbelow, and (ii) a 10,000 gallon fuel tank owned by
Lessor and located adjacent to Service Bay Building, of which
Lessee shall have exclusive use to store fuel for Lessee's Vehicles
during the Term (with each of the foregoing tracts and the
improvements thereon being collectively called herein the
"Premises").
Together with all rights, privileges, easements, appurtenances, and amenities belonging
to, or in any way pertaining to, the said Premises, including full rights of ingress and
egress to said Premises.
1.2 Condition. Lessee hereby accepts the Premises and the other
improvements and fixtures thereon "AS IS, WHERE IS," and agrees that the Seller is
not making any warranties regarding the condition or suitability for intended use of the
Premises or the other improvements and fixtures thereon.
Article 2
TERM
2.1 Initial Term. The initial term of this Lease shall be for thirty-six (36)
months, beginning on October 1, 2005 ("Commencement Date") and ending on
September 30, 2008 ("Expiration Date") ("Initial Term").
2.2 Extensions. The Initial Term may be extended for up to two (2)
successive one (1) year periods (with each of such extension periods being called
herein an "Extension Period") upon Lessee providing written notice to Lessor in
accordance with Article 15 below not less than sixty (60) days prior to (i) the Expiration
Date, if applicable, or (ii) the last day of the applicable Extension Term.
During any Extension Period hereunder, the terms and conditions of this Lease
shall remain unchanged and continue to be effective and in full force, subject to the
change in monthly rental provided below or any written agreement otherwise entered
into between Lessor and Lessee (with the Initial Term and the applicable Extension
Periods being collectively known as the "Term").
Article 3
RENT
3.1 Rental in Initial Term. On or before the first day of each month during the
Initial Term (beginning on the Commencement Date), Lessee shall pay to Lessor the
sum of Nine Thousand Four Hundred Eighteen Dollars ($9,418) per month.
MASTER LEASE AGREEMENT - PAGE 2
784815.111SP3/13144/0100/091405
3.2 Rental in Extension Terms. If Lessee exercises its right to extend the
Initial Term of this Lease in accordance with Section 2.2 above, on or before the first
day of each month (beginning on or before the first day of the applicable Extension
Period (which shall be October 1, 2009 or October 1, 2010, respectively)), Lessee shall
pay to Lessor the sum of Five Thousand Three Hundred Dollars ($5,300) per month.
3.3 Place of Payment. Lessee shall pay all amounts due under this Lease to:
City of Denton
clo Director of Solid Waste
Solid Waste Fund
1527 South Mayhill Road
Denton, Texas 76208
or at such other address of which Lessor shall provide notice to Lessor in accordance
with Article 15 below.
3.4 Holding Over. The Term of this Lease (including the Initial Term and each
Extension Term if exercised as provided herein) shall expire no later than September
30, 2010. However, if the Lessee does not vacate the Premises upon the expiration of
the Term, the Lessee's occupancy of the Premises shall be a month-to-month tenancy,
subject to all of the terms of the Lease applicable to a month-to-month tenancy, except
that the monthly rental during such tenancy shall be Nine Thousand Five Hundred
Dollars ($9,500) per month and shall be due and payable beginning on October 1, 2010
and shall be due and payable thereafter on the first day of each month until such
tenancy terminates; however, if such tenancy ends on a day other than the last calendar
day of the month, the rental for any fractional calendar month of the tenancy shall be
prorated by days.
3.5 Early Termination. Should the Lease be terminated prior to the Expiration
Date of the Initial Term for any reason whatsoever, Lessee covenants to pay to Lessor
within sixty (60) days of such date of termination the sum of One Hundred Forty-Eight
Thousand Two Hundred Forty-Eight Dollars ($148,248.00) minus the sum obtained by
multiplying Four Thousand One Hundred Eighteen Dollars 4,118.00) times the number
of whole months which have expired since the Commencement Date. Such payment
shall be made in lieu of any other remedy under this Lease or in equity.
3.6 Late Fee. If at any time Lessee's rental payment due hereunder is past
due for thirty (30) or more days, Lessee shall pay Lessor a Late Fee of One Hundred
Fifty Dollars ($150.00).
Article 4
LESSOR'S TITLE
4.1 Lessor's Title. Lessor covenants and warrants that it has good and
marketable title to the Premises, plus all other real estate shown on Exhibit D, including,
without limitation, all means and ways of ingress and egress for the same. Lessor holds
the Premises and all other real estate shown on Exhibit D in fee-simple absolute, free
MASTER LEASE AGREEMENT - PAGE 3
784815.11/SP3/13144/0100/091405
and clear from any lien, claim or encumbrance that would affect the use and enjoyment
of the Premises by the Lessee.
4.2 Lessor's Authoritv. Lessor has full right, power and authority to enter into
this Lease and to grant to Lessee the leasehold estate contemplated herein and all
rights purported to be herein granted.
Article 5
USE AND ENJOYMENT
5.1 Permitted Use. Lessee shall use the Premises as follows:
(a) Tract I, including the (i) Service Bay Building and the three ([3])
vehicle maintenance repair bays contained therein, shall be utilized
by Lessee to repair and maintain the Vehicles and any vehicle that
Lessee may own, rent, lease or use in the future and Lessor and
Lessee shall share the operations and use of the vehicle washrack
permanently attached to the exterior of the Service Bay Building;
and (ii) a 10,000 gallon fuel tank which is owned free and clear of
any encumbrance, lien or restriction by Lessor and during the
entirety of the Term of this Lease shall be exclusively used by
Lessee to store fuel for Lessee's Vehicles (with the uses of Tracts I,
II and III of the Premises being collectively known herein as the
"Use~');
(b) Tract II, including the paved Bus Parking Area thereon shall be
utilized for the parking and storage of the Buses and any other
vehicle that Lessee may own, rent, lease or use in the future; and
(c) Tract III is the location of (i) the Bus Admin Office which is a triple-
wide modular building that shall be used by Lessee as the
administrative office for the operation of the intra-city bus line in the
City of Denton, Texas (commonly known as "LINK"); AND AS A
CONDITION TO LESSEE AGREEING TO ENTER INTO THE
PURCHASE AGREEMENT AND THIS LEASE, LESSOR
AGREES TO SEEK WRITTEN APPROVAL OF GECMS TO
ENTER INTO A SUBLET AGREEMENT SIMULTANEOUSLY
WITH LESSOR AND LESSEE EXECUTING AND DELIVERING
THIS LEASE, WHEREBY LESSEE SHALL SUBLET FROM
LESSOR THAT BUS ADMIN OFFICE DURING THE TERM OF
THIS LEASE ON THE SAME TERMS AND CONDITIONS AS
LESSOR SHALL CONTINUE TO LEASE THAT BUS ADMIN
OFFICE FROM GECMS, THE OWNER OF THE BUS ADMIN
OFFICE~ DURING THE ENTIRETY OF THE TERM AND SUCH'
SUBLET AGREEMENT SHALL BE COTERMINUS WITH THIS
LEASE; AND
MASTER LEASE AGREEMENT - PAGE 4
784815.11/SP3/13144/0100/091405
Lessor further covenants and warrants that there are no restrictive covenants,
zoning ordinances or other laws, regulations or ordinances (federal, state or local) which
will at any time prevent Lessee, or its officers, employees, customers, invitees,
contractors, guests or agents, from conducting the Use or otherwise conducting the full
and complete operation and functioning of the intra-city bus system commonly known
as "LINK" in the City of Denton, Texas, including, without limitation, conducting the
parking, operation, maintenance, repair and administration of Lessee's Vehicles within
the Premises in a manner reasonably determined by the Lessee. If at any time during
the term of this Lease, the Use of the Premises for such described purposes, including
the Use of the Bus Parking Area for vehicular driving or parking, should ever be
prohibited or prevented by any restriction, ordinance, law, regulation, decision, or
otherwise, Lessee shall have the right at any time thereafter to terminate this Lease by
giving thirty (30) days written notice to the Lessor in accordance with Article 15 below,
whereupon Lessee shall be immediately released from any further obligations of any
kind which would otherwise accrue hereunder upon Lessee=except as is provided in
Section 3.5 hereof.
In connection with the Use of and the related activities in, upon, and about the
Premises, Lessee shall materially comply with all federal, state or local laws, statutes,
ordinances, permits, regulations, applicable to the Use.
5.2 Peaceful Enioyment. Lessor covenants that Lessee shall and may
peacefully have, hold, and enjoy the Premises for the Initial Term and any applicable
Extension Period(s), including specifically, having an unrestricted ingress and egress
from Mayhill Road in the City of Denton, Texas, into and out of the Premises for the Use
herein specified.
5.3 Remedv. Lessor agrees that any use of the Premises by a third-party
inconsistent with the terms and conditions of this Lease, shall be prohibited by Lessor
upon notice being provided by Lessee to Lessor in accordance with Article 15 below. In
particular, an obstruction, improvement, fixture, vehicle, structure, or any other
impediment in or on the Premises, or in the ingress or egress access corridors, or
adjacent areas shown on Exhibit D, that impairs, disrupts or limits in any manner the
Use of the Premises, shall immediately be removed or cured by action of the Lessor
upon receipt of written notice from the Lessee in accordance with Article 15 below.
Lessor shall maintain whatever signage or notice is necessary to prevent said limitation
or impairment of the Use of the Premises by the Lessee and to enforce and effect the
removal of said limitation or impairment.
Article 6
MAINTENANCE
6.1 Lessor's Repairs. Lessor shall, at its expense, maintain at all times the
paved surface condition of the Bus Parking Area of the Premises, including the access
lanes for ingress and egress in and to the Premises and the other real estate shown on
Exhibit D, in good operable repair and condition. Upon receipt of written notice by
Lessee to Lessor provided in accordance with Article 15 below of any defect or need for
MASTER LEASE AGREEMENT - PAGE 5
784815.11fSP3f13144f0100f091405
repairs of items to be maintained hereunder by Lessor (including, without limitation,
repairing the surface of the Bus Parking Area) Lessor shall commence repair of same
within thirty (30) business days after receipt of such notice and diligently pursue such
repairs to timely completion.
However, if a condition for which Lessor is responsible, prevents Lessee from the
defined Use of the Premises, Lessee shall be released from any obligation under the
Lease, including the obligation to pay any rental from the day such condition
commenced until Use of the Premises is restored in the reasonable opinion of the
Lessee. Further, if such condition persists for more than thirty (30) days, then Lessee
may terminate this Lease in all respects by five (5) days written notice provided in
accordance with Article 15 below to Lessor and thereafter Lessee shall have no further
obligation of any kind or nature under this Lease, except as provided in Section 3.5
hereof.
6.2 Other Repairs of the Premises. Except as provided in Section 6.1 above
or otherwise herein, Lessee shall make, at Lessee's sole cost and expense, all
necessary repairs to the Premises as required to maintain the property in good working
order. At reasonable intervals during the hours of 8:00 A.M. to 5:00 P.M. of each
Business Day, Lessor shall have the right to conduct periodic maintenance inspections
for the purpose of confirming that Lessee's obligations under this provision are
performed.
6.3 Alterations and Improvements. Lessee, at Lessee's sole cost and
expense, may remodel, redecorate, and make additions, improvements and
replacements of, and to all or any part of the Premises except the Bus Admin Office
from time to time during the Term, as Lessee may deem desirable (including the right to
place and install personal property, trade fixtures, equipment and other temporary
installations in and upon the Premises including the Bus Admin Office), provided that
such is made or done in a workmanlike manner and that good quality materials are
used. All personal property, equipment, machinery, trade fixtures and temporary
installations placed or installed upon the Premises by Lessee during the Term shall
remain Lessee's property, free and clear of any claim by Lessor, and Lessee shall have
the right to remove the same at any time during the Term of this Lease; provided
however, that all damage to the Premises caused by any such removal shall be fully
repaired by Lessee, at Lessee's expense and shall be done to Lessor's reasonable
satisfaction.
Article 7
TAXES, INSURANCE, UTILITIES AND SIGNS
7.1 Property Taxes. Lessor covenants and warrants that the Premises is
exempt from general real estate taxes of any and all taxing authorities (federal, state or
local). Lessee shall be liable for, and solely responsible for, paying all personal property
taxes with respect to Lessee's personal property located on or stored at the Premises.
MASTER LEASE AGREEMENT - PAGE 6
784815.11/SP3/13144/01001091405
7.2 Insurance.
A. Lessor shall maintain "all perils" insurance coverage (including fire
and extended coverage insurance) for the Premises in such amounts as Lessor
shall deem reasonable in relation to the age, location, type of construction and
physical condition of the Premises. However, Lessee shall be responsible, at its
expense, for fire and extended coverage insurance on all of its personal property,
including removable trade fixtures, located in or at the Premises. Lessee
understands and agrees that Lessor shall in no way be liable respecting Lessee's
personal property located on the Premises unless the damage occurred from an
act or negligence of Lessor or any of Lessor's officials, officers, employees,
guests, agents or invitees.
B. Lessee and Lessor shall each, at its own expense, maintain a
policy or policies of comprehensive general liability insurance with respect to the
respective activities of each on the Premises or on the other real estate reflected
on Exhibit D, with the premiums thereon fully paid on or before their due date,
issued by and binding upon an insurance company licensed in the State of Texas
and rated "A-" or higher by A.M. Best Carriers. Each such policy shall be issued
for insurance coverage for an amount of not less than One Million Dollars
($1,000,000) combined single-limit coverage of bodily injury, property damage or
a combination thereof. Lessor or Lessee (as applicable) shall be listed as an
additional insured on the other party's policy or policies of comprehensive
general liability insurance and Lessor and Lessee (as applicable) shall provide
the other party with current certificates of insurance evidencing its compliance
with this Section. Lessee shall obtain the agreement of Lessee's insurers to
notify Lessor that the 'insurance policy required hereunder is due to expire at
least thirty (30) days prior to such expiration. Lessor shall assume no liability for
and shall not be required to maintain insurance against thefts within or upon the
Premises. The risk of loss for theft within or upon the Premises shall be borne
solely by Lessee.
7.3 Utilities. Lessor covenants and warrants that all solid waste, sewer water,
gas, potable water, electricity, telephone and all other necessary utilities are In all
respects available for, and are now fully and completely connected to, the Premises.
However, all applications and connections for necessary utility services on or to the
Premises shall be made in the name of Lessee only; and Lessee shall be solely liable
for, and shall maintain in current status, any and all utility charges as they become due,
including those charges for solid waste, sewer, water, gas, potable water, electricity,
telephone charges, and charges for any other utilities.
Lessor shall separately invoice Lessee on an annual basis for the use by Lessee
of the ADT fire alarm system monitoring service located in and on the Service Bay
Building and Lessee shall pay such invoice to Lessor no later than twenty-one (21) days
after the date of Lessor's invoice.
MASTER LEASE AGREEMENT - PAGE 7
784815.11/SP3/1314410100/091405
7.4 Signs. Lessee shall have the right to place on the Premises, at locations
selected by Lessee, any signs which are permitted by applicable zoning ordinances and
private restrictions which are subject to the prior written reasonable approval of Lessor,
which approval will not be unreasonably withheld. Lessor may refuse to consent to any
proposed signage that is, in Lessor's opinion, too large, or deceptive, or unattractive or
otherwise inconsistent with, or inappropriate to the Premises, but Lessor's consent to
Lessee's desired signage will not be unreasonably withheld.
Lessor shall assist and cooperate with Lessee in obtaining any necessary
permission from all governmental authorities or adjoining owners and occupants of the
Premises or the other real estate shown on Exhibit D, for Lessee to place or construct
the foregoing signs. Lessee shall repair all damage to the Premises resulting from the
removal of all signs installed by Lessee.
Article 8
PREMISES RETURN
8.1 Premises Return. Lessee agrees to return the Premises at the conclusion
of the Term or upon earlier termination, in a condition reasonably similar to that in which
Lessee received said Premises, save and except for ordinary wear and tear.
Article 9
ASSIGNMENT
9.1 Assignment. Lessor and Lessee each agree it will not to assign its
respective interest under this Lease; and Lessee agrees that it shall not sublet the
Premises (or any portion thereof), without the prior consent of the Lessor.
Article 10
RIGHT OF ACCESS
10.1 Grant of Right of Access. Lessor hereby grants to Lessee and its
successors and assigns (together with their respective officers, employees, customers,
visitors, guests, and invitees) a temporary non-exclusive right of access and use
("Right of Access") over and across all parts of the Premises and all other real
property shown on Exhibit D including, without limitation, a right of access to the
Premises from Foster Road (the "Access Area").
The Right of Access shall provide free, continuous and uninterrupted ingress,
egress and regress by all pedestrians or vehicles to and from the Premises.
The Lessor agrees not to interfere with or to construct, obstruct, place or permit
to be placed any fences, barriers or other obstacles or impediments which will obstruct,
hinder or limit in any respect passage of any pedestrian or vehicle to the Premises
through the Access Area, including, without limitation, Foster Road.
MASTER LEASE AGREEMENT - PAGE 8
784815.11/SP3/1314410100/091405
The Lessor agrees to keep the existing roadways and paths, including, without
limitation, Foster Road (as shown on Exhibit D) in good working order, at its sole cost
and expense.
Upon the default of the Lessor to perform its obligations under this Right of
Access, Lessee shall have the right to exercise any rights or remedies provided at law
or in equity, including a claim for all court costs and recovery of reasonable attorneys'
fees.
10.2 Covenants Runninq With the Land. The Access Area is an appurtenant.
The obligations, benefits and burdens contained in this Agreement are those of the
Lessees under this Lease, and shall run with the land, and shall be binding upon and
inure to the benefit of said owners, tenants and mortgagees and their respective heirs,
personal representatives, successors and assigns. If the Lessor or any future owner of
the Premises or the other real property reflected on Exhibit D shall hereafter convey title
to the Premises or the other real property reflected on Exhibit D, such party's liability
under this Lease for obligations performable after the date of such conveyance shall
cease and such obligations shall be those of the record owner of the Premises or the
other real property reflected on Exhibit D as of such time period.
10.3 Term. The term of the Right of Access shall coincide with the Term of the
Lease.
Article 11
DEFAULT AND REMEDY
11.1 Lessor. If Lessor fails to comply with any covenant or obligation of Lessor
under this Lease, then Lessee shall give Lessor written notice provided in accordance
with Article 15 below, specifying the nature of the default and Lessor shall then have 30
days in which to cure such default. (However, Lessor and Lessee agree that a default
under the Purchase Agreement shall not be a default under this Lease.) If after the 30-
day period of cure, the Lessor has not cured the default, then Lessee shall have the
option to declare this Lease terminated in all respects and without any further obligation
of any kind or nature, without prejudice to the right of Lessee to recover from Lessor
such damages as Lessee sustains as a result of said default.
11.2 Lessee. Should Lessee not comply with the payment of rent described
herein, or any other provision of this Lease of which default Lessee shall then have
thirty (30) days in which to cure such default after receipt of written notice provided in
accordance with Article 15 below, specifying the nature of the defect, it shall be deemed
a default under this Lease. (However. Lessor and Lessee aaree that a default under
the Purchase Aareement shall not be a default under this Lease.) Lessor shall have, in
addition to the remedies provided within this Lease Agreement, all remedies allowed it
by law and equity. Lessor shall use reasonable efforts to mitigate its damages. In the
event of a breach of this Lease by Lessee, Lessor shall recover from Lessee its
reasonable attorney fees and out-of-pocket costs.
MASTER LEASE AGREEMENT - PAGE 9
784815.11/SP3/13144/0100/091405
Article 12
ENVIRONMENTAL
12.1 Lessee's Environmental Liability. Lessee shall comply with all material
provisions of applicable environmental law, whether Federal, State, or local, respecting
the Use of the Premises. Lessee shall fully disclose and contact David Dugger, Landfill
Manager, City of Denton, Texas at (940) 349-8001, in the event that any hazardous
materials are brought onto the Premises by or for the benefit of Lessee. Additionally, a
material safety data sheet ("MSDS") shall be prepared by Lessee, and furnished to
Lessor on the next business day after any hazardous materials are brought by Lessee
or Lessee's agents onto the Premises. Lessee shall store all hazardous materials
within the Service Bay Building in a safe manner. Lessee shall be solely responsible for
the clean-up and remediation of any and all environmental liabilities which result from its
use of the Premises.
12.2 Lessor's Representations and Warranties. Lessor represents and
warrants to the best of Lessor's knowledge and belief that any handling, transportation,
storage, treatment or usage of Hazardous Material that has occurred on the Premises to
date has been in compliance with all applicable Federal, State, and local laws,
regulations and ordinances. Lessor further represents and warrants that no leak, spill,
release, discharge, emission or disposal of Hazardous Material has occurred on the
Premises to date and that the soil or groundwater on or under the Premises is free of
Hazardous Material as of the date that the term of this Lease commences unless
expressly disclosed by Lessor to Lessee in writing.
12.3 Definitions. For purposes of this Article 14, the term "Hazardous
Material" shall mean any pollutant, toxic substance, hazardous waste, hazardous
material, hazardous substance, or oil as defined in or pursuant to the Resource
Conservation and Recovery Act, as amended, the Comprehensive Environmental
Response, Compensation and Liability Act, as amended, the Federal Clean Water Act,
as amended, or any other federal, state or local; environmental law, regulation,
ordinance, rule, or bylaw, whether existing as of the date hereof, previously enforced or
subsequently enacted.
Article 13
VENUE
13.1 Venue. Venue for performance and enforcement of this Lease shall at all
times be in Denton County, Texas.
Article 14
NOTICE
14.1 Notice. Any notice required or permitted under this Lease shall be
deemed sufficiently given or served if sent by prepaid United States mail, certified,
return receipt requested, addressed as follows:
MASTER LEASE AGREEMENT - PAGE 10
78481S.111SP3/13144/0100/09140S
To Lessor:
To Lessee:
City of Denton, Texas
Attn: City Manager
215 East McKinney Street
Denton, Texas 76201
Denton County Transportation Authority
c/o John O. Hedrick, Executive Director
1660 South Stemmons
Lewisville, Texas 75057
Phone: (940) 349-8307
Fax: (940) 349-8596
Phone: (972) 221-4600
Fax: (972) 221 4601
And
With a copy to:
Strasburger & Price, LLP
Attn: Rider Scott, Esq.
2801 Network Boulevard
Suite 600
Frisco, Texas 75034
Vance Kemler, Director
City of Denton, Texas
Solid Waste Department
1527 South Mayhill Road
Denton, Texas 76208
Phone: (940)349-8044
Fax: (940) 349-8057
Phone: (469) 287 3906
Fax: (469) 227 6578
Lessor and Lessee shall each have the right from time to time to change the
place notice is to be given under this paragraph by written notice thereof to the other
party.
Article 15
WAIVER
15.1 Waiver. No failure of Lessor to enforce any term of this Lease shall be
deemed to be a waiver.
Article 16
HEADINGS
16.1 Headings. The headings and paragraph names used in this Lease are for
convenience of the parties only and shall not be considered in interpreting the meaning
of any provision of this Lease.
Article 17
SUCCESSORS
17.1 Successors. The terms and provisions ofthis Lease shall extend to and
be binding upon Lessor and Lessee and their respective legal representatives, officers,
directors, successors and assigns.
MASTER LEASE AGREEMENT - PAGE 11
784815.11/SP3113144/01001091405
Article 18
CONSENT
18.1 Consent. Lessor shall not unreasonably withhold its consent with respect
to any matter for which Lessor's consent is required under this Lease.
Article 19
COMPLIANCE WITH LAW
19.1 Compliance with Law. This Lease shall be governed by, interpreted and
enforced solely in accordance with the laws of the State of Texas. Venue of any cause
of action arising hereunder shall lie exclusively in the courts of Denton County, Texas.
Any provision hereof which is deemed or held legally void or unenforceable shall not
void this entire Lease, and all other provisions of this Lease shall remain in full force and
effect.
Article 20
FEDERAL TRANSIT ADMINISTRATION REQUIREMENTS
20.1 Federal Transit Administration ("FTAn) Requirements. Any federal, state
and local interest in the Premises will remain with Lessor and will not be altered by this
Lease. Both Lessor and Lessee agree to comply with the following Subsections of this
Section during the Initial Term, as well as for any applicable Extension Period:
A. Energy Conservation Requirements: Lessee agrees to comply with
applicable mandatory standards and policies relating to energy efficiency that are
contained in the state energy conservation plan issued in compliance with the
Federal Energy Policy and Conservation Act.
B. Federal Changes: Lessee shall at all times comply with all
applicable FTA regulations, policies, procedures and directives, including, without
limitation, those listed directly or by reference in the agreement between Lessor
and FTA, as they may be amended or promulgated from time to time during the
Lease. Lessee's failure to comply shall constitute a breach of this Lease.
C. Lessee acknowledges that the provisions of the Program Fraud
Civil Remedies Act of 1986, as amended, 31 USC 9~3801 et seq.; and U.S.
Department of Transportation Regulations entitled "Program Fraud Civil
Remedies," 49 CF Part 31, apply to its Use of the Premises.
D. All contractual provisions required by U.S. Department of
Transportation ("DOT~~) whether or not expressly set forth in this Lease, as set
forth in FTA Circular 4220.1 E, as amended, are hereby incorporated by
reference. Anything to the contrary herein notwithstanding, all FTA mandated
terms shall be deemed to control in the event of a conflict with other provisions
contained in this Lease. Lessee shall not perform any act, fail to perform any act,
or refuse to comply WIth any requests, which would cause Lessor to be in
violation of the FTA terms and conditions.
MASTER LEASE AGREEMENT - PAGE 12
784815.11/SP3/13144/0100J091405
Article 21
FINAL AGREEMENT
21.1 FINAL AGREEMENT. THIS LEASE SUPERSEDES ALL PRIOR
UNDERSTANDINGS OR AGREEMENTS (ORAL OR WRITTEN) ON THE SUBJECT
MATTER HEREOF. THIS LEASE CONTAINS THE ENTIRE AGREEMENT WITH
RESPECT TO THE SUBJECT MATTER HEREOF. THERE ARE NO ORAL
AGREEMENTS OF THE PARTIES RESPECTING THE SUBJECT MATTER OF THIS
LEASE. THIS LEASE MAY BE AMENDED OR MODIFIED ONLY BY A FURTHER
WRITTEN DOCUMENT THAT IS DULY EXECUTED AND DELIVERED BY BOTH
PARTIES.
Article 22
TIME OF ESSENCE
22.1 Time is of the essence with respect to this Lease.
Article 23
COUNTERPARTS
23.1 This Lease may be executed in any number of counterparts, each of
which when so executed and delivered shall be an original, but such counterparts shall
together constitute one and the same instrument.
[Remainder of Page Intentionally Left Blank--
Signatures Follow]
MASTER LEASE AGREEMENT - PAGE 13
784815.11/SP3/1314410100/091405
IN WITNESS WHEREOF, Lessor and Lessee, by and through their duly
authorized signatories, have executed and delivered this Lease Agreement in four (4)
original counterparts, as of the day and year first above written.
LESSOR:
LESSEE:
City of Denton, Texas
215 E. McKinney
Denton, Texas 76201
Denton County Transportation Authority
1660 South Stemmons, Suite 250
Lewisville, Texas 75067
By:
By:
HONORABLE EULlNE BROCK
MAYOR
CHARLES EMERY
CHAIRMAN
ATTEST:
ATTEST:
City of Denton. Texas
Denton County Transportation Authority
By:
By:
JENNIFER WALTERS
CITY SECRETARY
JASON PEARCE
SECRETARY
APPROVED AS TO LEGAL FORM
APPROVED AS TO LEGAL FORM:
By:
By:
RIDER SCOTT
GENERAL COUNSEL
ED SNYDER
CITY ATTORNEY
MASTER LEASE AGREEMENT - PAGE 14
784815.11/SP3/13144/0100/091405
ORDINANCE NO. 2005-
AN ORDINANCE OF THE DENTON CITY COUNCIL APPROVING AND
AUTHORIZING THE MAYOR TO EXECUTE A MASTER LEASE AGREEMENT
PROVIDING FOR THE LEASE OF CERTAIN TRACTS OF REALTY AT THE CITY OF
DENTON LANDFILL, BY AND BETWEEN THE CITY OF DENTON, TEXAS, AS
LESSOR AND THE DENTON COUNTY TRANSPORTATION AUTHORITY, AS LESSEE;
AUTHORIZING THE EXPENDITURE OF FUNDS THEREFOR; AND PROVIDING AN
EFFECTIVE DATE.
WHEREAS, the Denton City Council having previously considered and approved on
this date an Asset Purchase Agreement, Bill of Sale, and other related documents which
manifest the transfer of all assets currently known as the "LINK Public Transportation Service"
from the City of Denton, Texas to the Denton County Transportation Authority, a political
subdivision and a county transportation authority created pursuant to Chapter 460, Texas
Transportation Code; and
WHEREAS, the City of Denton, Texas and the Denton County Transportation
Authority ("DCT A") also desire to enter into a separate Master Lease Agreement (the "Lease")
regarding certain real property owned by the City of Denton, in Denton County, Texas, being
three tracts of land totaling approximately 1.148 acres, in the City of Denton Landfill; together
with access rights and certain leased facilities, so that DCT A may operate from a location
within the City of Denton, Texas; and
WHEREAS, the City Council deems it to be advantageous and in the public interest to
enter into that certain Master Lease Agreement with DCTA, as lessee, NOW, THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1 That the City Council hereby approves and authorizes the Mayor, or in
her absence, the Mayor Pro Tern, to execute the Master Lease Agreement by and between the
City of Denton, Texas, as Lessor and DCTA, as Lessee, in substantially the form of the Master
Lease Agreement attached hereto as "Exhibit "A" and incorporated herewith by reference.
SECTION 2. That the expenditure of funds, if any, as provided in the Master Lease
Agreement is hereby authorized.
SECTION 3. That a true and correct certified copy of this executed ordinance will be
sent to the appropriate officials at the Federal Transit Administration by Mark Nelson, Director
of Airport & Transit Operations ofthe City, immediately upon its passage and approval.
SECTION 4. That this ordinance shall become effective immediately upon its passage
and approval.
PASSED AND APPROVED this the
day of
, 2005.
1
EXHIBIT 2
EULINE BROCK, MAYOR
ATTEST:
JENNIFER W ALTERS, CITY SECRETARY
By:
APPROVED AS TO LEGAL FORM:
EDWINM. SNYDER, CITY ATTORNEY
By: r~LQQ 4 gJ
S:\OUT Documents\Ordinances\05\Master Lease Agreement-Realty-COD and DCTA 2005.doc
2
AGENDA INFORMATION SHEET
AGENDA DATE: September 20, 2005
DEPARTMENT: Planning and Development Departme~~
CM/DCM/ACM: Jon Fortune, Assistant City Manager
SUBJECT Z05-0017 (Robson Ranch)
Hold a public hearing and consider adoption of an ordinance approving an amendment to the
Detailed Plan for Planned Development 173 (PD-173) zoning district for approximately 33.65
acres. The subject property is generally located on the north side of Robson Ranch Road,
approximately 2,500 feet east of Florence Road. The Planning and Zoning Commission
recommends approval (7-0).
BACKGROUND
Applicant: Robson Ranch Development, LP Argyle, Texas
The applicant requests approval of a Detailed Plan Amendment for Planned Development 173
(PD-173). The applicant is requesting to add 11.37 acres ofland to the Detail Plan extending the
Golf Course. The applicant is also requesting some minor lot line changes within the remaining
22.28 acres of the subj ect site.
Public notification information is 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. Approved with conditions
3. Deny.
4. Postpone consideration.
5. Table item.
RECOMMENDA TION
Based the finding listed below staff recommends approval of the requested Detailed Plan
amendment for Planned Development 173:
1. The proposed amendment to the Detail Plan is minor in nature.
2. Outdoor Recreation uses are permitted within Planned Development 173 per Ordinance
2001-247.
ESTIMA TED PROJECT SCHEDULE
A Preliminary and a Final Plat has been submitted for the subject site. The amendment to the
Detailed Plan must be approved prior to the approval of the Preliminary and Final Plat.
1
PRIOR ACTIONIREVIEW
The following is a chronology of Planned Development 173, commonly known as Robson
Ranch:
Application Acreage Approval Date Ordinance
Concept Plan 2,725 August 3, 1999 99-265
Detailed Plan for Water Reclamation Plant 2.8 September 7, 1999 99- 319
Detailed Plan for Residential and Golf Course 1,361.3 February 15,2000 2000-059
uses
Amended Detail Plan for Robson Blvd. October 19,2000 Staff Level of
(Minor Amendment) Approval
Detailed Plan for Maintenance Yard 1.4 June 5, 2001 2001-215
Amended Concept Plan to allow gas well 2,275 July 17,2001 2001-247
operations and to amend landscaping
requirements
Amended Detail Plan for sidewalk setbacks. November 20,2001 Staff Level of
(Minor Amendment) Approval
Amended Detail Plan for reduction in lot April 16, 2002 Staff Level of
yield. (Minor Amendment) Approval
Amendment to the Concept Plan and approval 673.36 October 7,2003 2003-324
of a Detailed Plan
Amendment to the Detail Plan for Sec 8-1 35.7 September 30,2004 Staff Level of
(Minor Amendment) Approval
Amendment to the Detail Plan (Minor 30.25 August 8, 2005 Staff Level of
Amendment) Approval
Amendment to the Detail Plan (Minor 25.18 August 8, 2005 Staff Level of
Amendment) Approval
Amendment to the Detail Plan (Minor 17.64 August 8, 2005 Staff Level of
Amendment) Approval
ATTACHMENTS
1. Staff Analysis
2. Maps
3. Public Notification
4. Photos
5. Detailed Plan
6. August 24,2005 Planning and Zoning Commission Minutes
7. Ordinance
~bY
Supriya Chewle, Planner I
Respectfully submitted:
~~
Kelly Carpenter, AICP
Planning and Development Director
2
ATTACHMENT 1
Staff Analysis
Summary of Request
The Detail Plan encompasses approximately 1,361.3 acres for Planned Development 173 (PD-
173). This amendment will add 11.37 acres to the existing Detail Plat increasing it to a total of
1,372.67 acres. The acres around the subject site are used for Golf Course and Single Family
Residential uses. The subject site is shown as Open Space in the Concept Plan. The applicant is
also requesting some minor lot line changes within the remaining 22.28 acres of the subject site.
Existin2 Condition of Property
Property History. February 20, 2002 - The subject property retained the Planned Development
173 (PD-173) zoning status and land use classification by Ordinance 2002-040.
The subject property in question is vacant. The subject site is shown as Open Space in the
Concept Plan.
Adjacent zoning:
The subject site is centrally located within the Planned Development 173 and hence is
surrounded by PD-173 zoning district.
Comprehensive Plan Analysis
Proposed Golf Course is located within the "Neighborhood Centers" future land use area.
These areas may develop in conventional patterns or may be developed in a pattern of
'neighborhood centers'. Neighborhood centers are oriented inwardly, focusing on the center of
the neighborhood and containing facilities vital to the day-to-day activity of the neighborhood.
A neighborhood center might contain a convenience store, small restaurant, personal service
shops, church or synagogue, daycare, individual office space, a small park and perhaps an
elementary school.
Development Review Analysis
Per Section 35-181 of Chapter 35 of the Code of Ordinances, all planned development districts
shall be developed, used, and maintained in compliance with the approved Concept Plan for the
di stri ct.
Planned Development 173 has been designed to allow the co-existence of residential, non-
residential, outdoor recreation, and gas well operations. The proposed amendment to the Detail
Plan as submitted is compatible with The Denton Plan and surrounding land uses.
3
ATTACHMENT 2
location/Zoning Map
NORTH
Future land Use Map
4
ATTACHMENT 3
Public Notification
NORTH
Scale: None
Newspaper Notification Date:
August 14, 2005
200' Legal Notices* sent via Certified Mail: 2
- In Opposition: 0
- In Favor: 0
- Neutral: 0
Percent of land within 200' in opposition: 0%
*Property in the ET J is not notified
5
ATTACHMENT 4
Photos
6
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Page 3
1 PROCEEDINGS 1 COMMISSIONER STRANGE: push harder.
2 COMMISSIONER STRANGE: n's 6:30 and a 2 COMMISSIONER ROY: NOW, it's working.
3 quorum is present. So we will call the Wednesday, August 3 COMMISSIONER STRANGE: All right. The
4 24th, 2005 meeting of the Planning and Zoning COIrunission 4 approval of the Consent Agenda passes by a vote of 7-0.
5 to order. And ask that you would join us in the Pledge of 5
6 Allegience to the flag. 6
7 (Thereupon, the Pledges of Allegiance were 7
8 recited.) 8
9 COMMISSIONER STRANGE: Mrs. Carpenter has 9
10 one announcement regarding the Agenda tonight. 10
11 MS. CARPENTER: Thank: you, Mr. Chairman. 11
12 Item 5A, the ADP for an office building on Lillian Miller, 12
13 ADP 05-0004 has been withdrawn by the applicant so you 13
14 don't have to hear it. 14
15 COMMISSIONER STRANGE: okay. I will make a 15
16 comment. We do have several items tonight as public 16
17 hearings. We do have a procedure here that we'd ask 17
18 you-all to follow. 18
19 If you wish to speak on any item at the 19
20 public hearing, either for or against the item, you will 20
21 need to have filled out a yellow card and have turned it 21
22 in at the front. And at the appropriate time we will call 22
23 you down and you will have your opportunity again to speak 23
24 in favor or against any item on the public hearing agenda. 24
25 MS. CARPENTER: unless they're the 25
Page 2 Page 4
I applicant. 1 COMMISSIONER STRANGE: We will now move
2 COMMISSIONER STRANGE: well, unless you're 2 into our public hearings. The first hearing is consider
3 the applicant. Then you've already paid to talk. You 3 making a recommendation to City Council concerning
4 don't have to fill out the card. 4 amendment to the detailed plan for a planned development,
5 Okay. The first item on the Agenda tonight 5 PD.173 zoning district for approximately 11.37 acres.
6 is approval of the minutes of our August lOth meeting. 6 Ms. Chewle.
7 COMMISSIONER WATKINS: Move approval of the 7 MS. CHEWLE: Thank you, Chainnan. The
8 minutes for August the 10th, 2005. 8 applicant is Robison Ranch Development, Argyle, Texas.
9 COMMISSIONER HOLT: second. 9 The subject property is generally located to the north n
10 COMMISSIONER STRANGE: We have a motion by 10 north of Robison Ranch and approximately 2,500 feet east
11 Mr. Watkins and a second by Mrs. Holt. Please, vote. And 11 of Florence Road. The subject property is currently
12 the vote passes 7-0. 12 vacant and is shown as open space in the concept plan.
13 The next item is our Consent Agenda. 13 The applicant is requesting an approval of
14 Planning and Zoning Commission had an opportunity to meet 14 the detailed plan amendment for Planned Development 173.
IS with staff prior to tonight's meeting in a Work Session 15 The applicant is requesting to add 11.37 acres to the
16 which we had the opportunity to ask questions and explore ]6 detailed plan for an extension of golf course facilities
17 any items on the Consent Agenda. And so, therefore, we're 17 in the subject location.
18 looking for a -- well, I will ask for a motion for 18 The detailed plan was approved on February
19 approval of the Consent Agenda. 19 15th, 2000, which encompassed approximately 1,361.3 acres
20 COMMISSIONER HOLT: I move approval. 20 for Planned Development 173. This amendment will add
21 COMMISSIONER THIBODEAUX: second. 21 11.37 acres to the existing detailed plan increasing it to
22 COMMISSIONER STRANGB: I have a motion by 22 a total of 1,372.67 acres. The acres around the subject
23 Ms. Holt and a second by Dr. Thibodeaux. Any discussion? 23 site are used for golf course and single family
24 Please, vote. Mr. Roy, your button hasn't worked. 24 residential uses.
25 COMMISSIONER ROY: well, I'm pushing it. 25 The subject site is shown as open space in
PLANNING AND ZONING MINUTES AUGUST 24, 2005
Page 1 - Page 4
Page 5 j Page 7
I the concept plan. The applicant is also requesting some 1 it's going to be like an open space?
,
2 minor lot line changes -- some minor lot line changes 2 MS. CHEWLE: They already have this space
3 within the site. As you can see here, if you see ~ese . 3 -- okay. This is already golf course, these two, so they
4 dotted lines, this is where the original -- this is how 4 just want to extend these facilities over in this area.
5 the original detailed plan was approved. The portion here 5 That's what they want to do.
6 in this portion will be the amendment that has been added 6 COMMISSIONER ROY: okay. I guess I'm
7 .. is wanting to be added in the detailed plan that was 7 hanging up on the word facility, because the homes that
8 approved prior. 8 are there now are looking out over an open green area, and
9 They have made -- they're changing the lot 9 I just want to know if they're going to be looking out
10 lines -- lot lines in the detailed plan. And that is what 10 over a restroom facility or a building or something, that
11 their expectation is. Two legal notices were sent out and 11 it's going to be golf course type view.
12 staff did not receive any replies regarding this project. 12 MS. CHEWLE: From what we have been -- from
13 Per Section 35-181 of Chapter 35, Code of Ordinances, all 13 what staff bas been informed, it will be used for green
14 planned development shall be developed, used and 14 space as in golf course holes, whatever you call them.
15 maintained in compliance with the approved Concept Plan 15 COMMISSIONER ROY: okay. So it will
16 for the district. 16 continue to be an attractive thing --
17 Planned Development 173 bas been designed 17 MS. CHEWLE: Yes.
18 to allow co-existence of residential, nonresidential, 18 COMMISSIONER ROY: -- to look out at, out
19 outdoor recreation and gas well operations. The proposed 19 to your back door. Okay. Do you know if those homes are
20 amendment to the detailed plan as submitted is compatible 20 occupied now?
21 with the Denton Plan and surrounding land uses. 21 MS. CHEWLE: NO.
22 This and the above findings, staff 22 COMMISSIONER ROY: They're not occupied or
23 recommends approval of the requested Detailed Plan 23 you don't know?
24 Amendment for Planned Development 173. If you have any 24 MS. CHEWlE: Tbey don't have any addresses
25 questions, I'll take them now. 25 and that is why we did not have any 500 feet notification.
Page 6 Page 8
1 COMMISSIONER STRANGE: Anyone have any 1 COMMISSIONER ROY: Thank you.
2 questions of staff? 2 COMMISSIONER STRANGE: Anyone else have
3 Mr. Roy. 3 questions of staff? Okay. We'll open the public hearing.
4 COMMISSIONER ROY: I have a question or 4 Is the applicant here or do they wish to speak? Okay. We
5 two. Is the applicant going to speak? 5 have no cards on this item. Is there anyone bere who
6 MS. CHEWLE: I don't think he's -- they're 6 intended to speak on this item? We will close the public
7 here. 7 bearing. Do we have a motion on this item?
8 COMMISSIONER ROY: okay. Then I'll ask my 8 COMMISSIONER ROY: Move for approval.
9 question of staff. 9 COMMISSIONER HOLT: second.
10 COMMISSIONER STRANGE: okay. 10 COMMISSIONER STRANGE: I have a motion for
11 COMMISSIONER ROY: The current development 11 approval by Mr. Roy and a second by Ms. Holt. Any
12 calls for this to be open space as I understand? ]2 discussion? Please, vote. Okay. The next item -- hold
13 MS. CHEWlE: The Concept Plan calls it as 13 on a minute. The vote passes 7 to O.
14 open space. 14
15 COMMISSIONER ROY: open space, and they're 15
16 going to do something, they're going to put something in 16
I7 there? 17
18 MS. CHEWLE: They're going to put a golf 18
19 course. 19
20 COMMISSIONER ROY: Okay. Now, when you say 20
21 -- this says golf facilities. Are they going to put in, 21
22 like, buildings, golf-related buildings or is that going 22
23 to be greens and -- 23
24 MS. CHEWLE: It's going to be greens. 24
25 COMMISSIONER ROY: so it's going to be -- 25
CondenseIt TM
PLANNING AND ZONING MINUTES AUGUST 24,2005
Page 5 - Page 8
S:\Our Documents\Ordinances\05\Z05..QOI7.doc
ORDlNANCE NO.
AN ORDINANCE OF THE CITY OF DENTON, TEXAS, AMENDING ORDINANCE 2000-059
TO ADD 11.37 GOLF COURSE ACRES TO THE DETAILED PLAN FOR THE PLANNED
DEVELOPMENT 173 (PD-173) ZONING DISTRICT AND LAND USE CLASSIFICATION
INCREASING THE TOTAL ACRES IN THE DETAIL PLAN FROM 1361.3 ACRES TO 1,372.67
ACRES; SAID PD-173 CONTAINS APPROXIMATELY 1361 ACRES AND IS COMMONLY
KNOWN AS ROBSON RANCH; PROVIDING FOR A SAVING CLAUSE; PROVIDING FORA
PENALTY IN THE MAXIMUM: AMOUNT OF $2,000.00 FOR VIOLATIONS THEREOF;
PROVIDING A SEVERABILITY CLAUSE AND AN EFFECTWE DATE. (Z05-00 17)
WHEREAS, on August 3, 1999, by Ordinance 99-265 the City Council approved a change in
zoning for 2,725 acres of land to Planned Development 173 (PD-173) zoning district, as more
particularly described therein; and
\VHEREAS, on July 17, 2001, by Ordinance 2001-247 the City Council approved an
amendment to the Concept Plan of Planned Development 173 (PD-173) zoning district, as more
particularly described therein, and
WHEREAS, Devon Energy Operating Company, has applied for an amendment to the
concept plan for Planned Development 173 (PD-I73) and the approval for a detailed plan containing
673.4 acres of land; and
WHEREAS, on August 27,2003; the Planning and Zoning Commission concluded a public
hearing as required by law; and recommend approval of the requested amendment to the concept
plan and the approval of a detailed plan; and
WHEREAS, the City Council [mds that the amendment to the detail plan is consistent with
the Comprehensive Plan; NOW, THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS:
SECTION 1. Ordinance 2000-059, providing approval of the Detail PIan containing 1361.3
acres within the Concept Plan for Planned development 173 (PD-173) zoning district classification
and use designation, is amended by the approval of this amendment to the Detail PIan for
approximately 33 .65 acres attached hereto as Exhibit "B" and incorporated herein by reference, and
more particularly described in Exhibit "A", which is attached hereto and incorporated herein by
reference. The amendment adds 11.37 acres to the approved Detail Plan and makes some minor lot
line changes to the remaining 22.28 acres within the approved Detail Plan
SECTION 2. The provisions of this ordinance as they apply to the amendments herein
approved, shall govern and control over any conflicting provisions of Ordinance 2000-059, but all
the provisions of Ordinance 2000-059 as they apply to the regulations of the district not herein
amended, shall continue in force and effect and shall apply to the remainder of said district.
Page 1 of2
S:\OUf Documents\Ordinances\05\Z05-o0 17 .doc
SECTION 3. A copy of this ordinance shall be attached to Ordinance 2000-059 showing the
amendment herein approved.
SECTION 4. 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 5. 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 ofthis ordinance is violated shall
constitute a separate and distinct offense.
SECTION 6. 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 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
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWINM. SNYDE ITY ATTORNEY
BY:
Page 2 of2
EXHIBIT - A
All THAT CERTAIN LOT, TRACT, OR PARCEL OF LAND SITtJATED IN THE M. SCURLOCK SURVEY,
ABSTRACT NUMBER 1141, IN THE CITY OF DENTON. DENTON CQUNTY, TEXAS, AND BEING PART OF THAT
TRACT OF lAND DESCRlBED IN A WARRANTY DEED FROM GAl FARLEY BOYS RANCH TO ROBSON
DENTON DEVELOPMENT, L.P., AS RECORDED IN VOLUME 4373, PAGE 216 OF THE DEED RECORDS OF
DENTON COUNTY, TEXAS.
COMMENCING AT A 112." IRON ROO FOUND FOR THE APPARENT SOUTHEAST CORNER OF $AlD Iiil.
SCURLOCK SURVEY AND FOR THE MOST SOUTHERLY SOUTHWEST CORNER OF A TRACT OF LAND
DEEDED TO HILlWOODlMcCUTCHIN L TO. AS RECORDED IN VOLUME 24m, PAGE 676 OF SAID DEED
RECORDS, DENTON COUNTY TEXAS;
THENCE NORTH 64'29'51" WEST 8619.09 FEEfTO A 112" IRON ROD FOUND FOR CORNER SAID ROD BEING
THE MOST EASTERLY NORTHEAST CORNER OF PENDING ROBSON RANCH SECTION 8-2;
THENCE ALONG THE NORTH LINE OF PENDING ROBSON RANCH SECTION 8.2 AS FOLLOWS:
NORTH 64.47'40" 80.01 WEST 80,01 FEET;
NORTH 87'46'52" WEST 18.71 FEET;
NORTH 85"08'24. WEST 81.61 FEET;
THENCE NORTH 79'36'43" WEST 188.58 FEET TO A 112" IRON ROO FOUND FOR CORNER, SAID ROO BEING
THE MOST SOUTHERLY SOUTHEAST CORNER OF LOT 1, BLOCK A. ROBSON RANCH GOLF COORSE a,
PHASE 1 {IS RECORDED IN CABINET "U", PAGE 339, OF THE PLAT RECORDS OF DENTON COUNTY, TEXAS,
AND BEING lHE POINT OF BEGINNING OF THIS SURVEY;
THENCE SOUTH 63"33'37" WEST 84.99 FEET AlONG THE SOUTH LINE OF SAID LOT 1, BLOCKA, ROBSON
RANCH GOLF COURSE B, TO A 112" IRON ROD FOUND FOR CORNER;
THENCE NORTH 87"21'50" WEST 139.84 FEET TO A 112' IRON ROO FOUND FOR CORNER. SAID CORNER
BEING THE MOST wesTER!.. Y SOUTHWEST CORNER OF SAID lOT 1, BLOCK A, ROBSON RANCH GOLF
COURSE B;
THENCE, DEPARTING THE SOUTH UNE OF SAID LOT 1, BLOCK A. ROSSON RANCH GOLF COURSE e.
NORTH 01 '36'59. EAST 14.77 FEET TO A 1/2" IRON ROD SET FOR CORNER;
THENCE NORTH 41.48'39" WEST 617.36 FEET TO A 112' IRON ROD SET FOR CORNER;
THENCE NORTH 89'48'56. WEST 416.54 FEET TO A 1/2" IRON ROD SET FOR CQRNER;
THENCE NORTH 00.07'11' WEST 238.51 FEET TO A 1 i2" IRON ROO SET FOR CORNER;
THENCE NORTH 05'37'54" WEST 96,97 FEET TO A 112" IRON ROD SET FOR CORNER;
THENCE NORTH 25'17'58' WEST 101.25 FEET TO A 112' IRON ROD SET FOR CORNER;
THENCE NORTH 18'22'32' WEST 70]0 FEET TO A 112" IRON ROD SET FOR CORNER;
THENCE NORTH 07'07'41" EAST 70_00 FEET TO A 112" IRON ROD SET FOR CORNER;
THENCE NORTH 35"31'12. EAST 432.15 FEETTO A 112~ IRON ROD SET FOR CORNER;
THENCE NORTH 49.48'38' EAST 267.01 FEEl TO A 112'1RON ROO SET FOR CORNER;
THENCE NORTH 51'44'26" EAST 462.13 FEET TO A 112' IRON ROD SET FOR CORNER SAID CORNER BEING
THE MOST NORTHERLY NORTHWEST CORNER OF THIS TRACT;
mENCE SOUTH 39'23'26" EAST 365.50 FEET TO A 112c IRON ROO SET FOR CORNER;
THENCE SOUTH 39'1T10' EAST 460.52 FEET TO A 112" IRON ROD SET FOR CORNER;
ruENCE SOUTH 73'14'36" EAST 152.11 FEET TO A 112" IRON ROO SET FOR CORNER;
THENCE SOUTH 70'49'15" EAST 139.58 FEET TO A 112" IRON ROD SET FOR CORNER;
THENCE SOUTH 63.17'46" EAST 145.61 FEET TO A 1/2 ROO SET FOR CORNER AT BEGINNING OF A
NON-TANGENT CURVE TO THE LEFr:
THENCE IN A SOUTHWESTERLY DIRECTION, ALONG SAID NON-TANGENT CURVE TO THE LEFT, HAVING A
RADIUS OF 2945.00 FEET, A DELTA ANGLE OF 5"59'52". AND WHOSE LONG CHORD BEARS SOUTH 22"43'24"
WEST 308.14 FEET. AND HAVING AN ARC LENGTH OFJ08.26 FEET TO A 112" IRON ROD SET FOR CORNER;
THENCE NORTH 69'27'41" WEST 460.13 FEETTO A 112" IRON ROD SET FOR CORNER:
THENCE SOUTH 56"38'36" WEST 150.16 FEET TO A 112" IRON ROD SET FOR CORNER;
THENCE SOUTH 45.40'26" WEST 76.40 FEET TO A 112" IRON ROD SET FOR CORNER;
THENCE SOUTH 56"38'36" WEST 150.00 FEET TO A 112" IRON ROD SET FOR CORNER;
THENCE SOUTH 33"09'46" EAST 114.97 FEET TO A 112" IRON ROO SET FOR CORNER;
THENCE SOUTH 56"50'12' WEST 50.00 FEET TO A 112" IRON ROD SET FOR CORNER;
THENCE SOUTH 33"23'47" EAST 10.10 FEET TO A 112" IRON ROD SET FOR CORNER;
THENCE sollrn 56"50'12' WEST 142.61 FEET TO A 112" IRON ROD SET FOR CORNER;
THENCE SOUTH 33'O9'~" EAST :;46.12 FEET TO THE POINT OF BEG I NNl NG AND CONTAINING
33.65 ACRES OF LAND MORE OR LESS.
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AGENDA INFORMATION SHEET
AGENDA DATE: September 20, 2005
DEPARTMENT: Planning and Development Departmept
CM/DCM/ACM: Jon Fortune, Assistant City Manager
SUBJECT - Z05-0020: (Glenwood Meadows)
Hold a public hearing and consider adoption of an ordinance approving the zoning of
95.16 acres from Neighborhood Residential (NR-2) to Neighborhood Residential (NR-6)
with an overlay district. The property is located in Tract 4A of the William Roark Survey
and Tract 11 of the J Edmondson Survey and is generally located on the east side of
Bonnie Brae, 1,300 feet west of US 377, and 2,800 feet south of Roselawn Drive.
Planning and Zoning Commission recommends approval. (7-0)
BACKGROUND
Applicant: Wally Creel, Holigan Land Development
Dallas, TX
The applicant requests the rezoning of the property to NR-6 zoning with an overlay
district. The property abuts NR-2 single-family residential neighborhoods to the north,
NR-6 to the south and PD-139 to the west. To the east of the subject site is City of
Denton Extraterritorial Jurisdiction (ETJ). A chart showing the comparison between the
existing NR-2 and the proposed NR-6 is provided in the Staff Analysis section.
The requested overlay district includes the following
development standards:
. The development will consist of single-family
detached homes only.
. Density will be capped at 2.29 dwelling
units/acre for the 95.16 acres.
The applicant requested NR-6 in order to utilize the side
setbacks (four feet) of that zoning district.
Approximately 35 acres of the property are developable.
The balance of the acreage is located in the flood plain. An Environmental Alternative
Development Plan (EADP) ADP05-0004 is pending on this site that would allow an
additional 12 acres to be developed. The density and land use of this property are the
same in both the EADP request and the rezoning request.
Public notification information is provided in Attachment 3. As of this writing, staff has
no responses from property owners within 200 feet of the subject site
PRIOR ACTIONIREVIEW
Zoning Case Z04-0037 was heard before the Planning and Zoning Commission on
October 13, 2004. The Planning and Zoning Commission recommended approval of the
request to rezone the subject property from NR-2 to NR-3. The Council considered this
Case Z04-0037 on November 16, 2004 and tabled it. This new case Z05-0020 responds to
the issues raised by the Council.
OPTIONS
1. Approve as submitted.
2. Deny.
3. Postpone consideration.
4. Table item.
RECOMMENDA TION
The Planning and Zoning recommends approval of the request (7-0).
ATTACHMENTS
1. Staff Analysis
2. Maps
3. Publi c N otifi cati on (Property Owner N otifi cati on Map)
4. Site Photos
5. Letter of Intent
6. P&Z Minutes of August 24,2005
7. Ordinance
J>repar~(lby:
.~
... .................................................................................
Lori Shelton
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 rezoning of approximately 95.159 acres, currently zoned
NR-2 to a NR-6 zoning district with an overlay district. The property is generally located
on the east side of Bonnie Brae, 1,300 feet west of US 377, and 2,800 feet south of
Roselawn Drive.
Existing Condition of Property
The property is currently undeveloped.
Adiacent zoning and land uses.
North:
South:
East:
West:
NR-2 (Undeveloped)
NR-6 (Undeveloped)
ETJ (Undeveloped)
PD-139 (Developed Single Family - The Vintage)
Comprehensive Plan Analysis
The subject site is located within the "Neighborhood Centers" future land use area.
These areas may develop in conventional patterns or may be developed in a pattern of
'neighborhood centers'. Neighborhood centers are oriented inwardly, focusing on the
center of the neighborhood and containing facilities vital to the day-to-day activity of the
neighborhood. A neighborhood center might contain a convenience store, small
restaurant, personal service shops, church or synagogue, daycare, individual office space,
a small park and perhaps an elementary school.
The request to rezone the subject property is compatible with the Future Land Use Plan
and with the surrounding zoning designations. The proposed zoning change is in
compliance with the Denton Plan.
Development Review Analysis
Access and Capacity
A Traffic Impact Analysis (TIA) will be required at the time of platting. Because Bonnie
Brae is an unimproved roadway, all approved/currently proposed developments, north of
Vintage Blvd, with frontage on Bonnie Brae are servicing to the south to Vintage Blvd.
and therefore not being required to improve Bonnie Brae. Any access to Bonnie Brea by
this development will require construction of Bonnie Brea to a minimum of 25ft width of
pavement, ROW dedication and sidewalk from at least the most northerly access point to
Vintage Blvd. Therefore, it is recommended that this development access through the
development to the south on proposed roadways that access to Vintage Blvd.
3
Public Infrastructure
According to current GIS data, an eighteen (18) inch sewer line runs along a portion of
the northern border of the subject site. A twenty (20) inch water line runs along a portion
of the northern border and continues south along the western border of the site.
Development Code / Zoning Analysis
The NR-2 zoning district allows a maximum density of 2 dwelling unites per acre. The
NR-6 zoning district allows a maximum of 6 dwelling units per acre. However, the
proposed overlay district will limit the uses to detached single family and the density to
2.29 lots per acre. The chart below illustrates the differences between the two zoning
districts.
General Regulations I Existing Zoning I Proposed Zoning
NR-2 NR-6 with overlay
Maximum Density, dwelling units per 2 2.29*
acre
Minimum front yard setback 20 feet 10 feet
Minimum side yard setback for non- 10 feet 4 feet
attached buildings
Minimum rear yard setback 10 feet 10 feet
Maximum Lot Coverage 30% 60%
Minimum Landscaped Area 70% 40%
* indicates standard provided by overlay district
4
ATTACHMENT 2
Maps
NORTH
LOCATION AND ZONING MAP
FUTURE LAND USE MAP
5
ATTACHMENT 3
Public Notification
Scale: None
Newspaper Notification Date: August 14, 2005
Percent of land within 200' in opposition: 0%
200' Legal Notices* sent via Certified Mail: 25
500' Courtesy Notices* sent via 151 Class Mail: 34
In Favor: 0 Opposed: 0 Neutral: 0
ATTACHMENT 4
Site Photographs
Looking east from Bmmie
Brae
7
ATTACHMENT 5
Letter of Intent
IfaltJIllDEVELOI'IfENr. LTO.
August 23, 2005
Lori Sholton
City of Denton
Planning Departmmt
221 NmthBlm
Denton. TBUB 76201
Rc: Letter ofIntcnt for ZouiDg Chaoge
Dear Lori:
Holism Land Developma1t would like to Rc-Zonc from NR-2 to NR-6 (with an overlay
to restrict density at 2.291ots per acre). Glenwood Meadows (ZOS-0020).
Thaok you.
~
Project Analyst
HoJipu. Land Developma1t
15950 North o.nu Pldtway . SaItIi 750 . DaIas, 'lbas 75248 . 972-387.1999 Ezt.103O . !112-317-I6B5 &x
Page 65 Page 67
1 COMMISSIONER STRANGE: The next item is 1 MS. SHELTON: well, it's the PD-139, yes,
2 consider making a recommendation to the City Council 2 sir.
3 concerning the rezoning of 95.16 acres from Neighborhood 3 COMMISSIONER ROY: okay. But this will be
4 Residential 2 to Neighoborhood Residential 6, NR-6 with an 4 -- this will be new Code requirements?
5 overlay district. Ms. Shelton. 5 MS. SHELTON: Absolutely.
6 MS. SHELTON: There we go. Good evening. 6 COMMISSIONER ROY: okay. Thank you.
7 This slide shows the location of the subject property. 7 COMMISSIONER STRANGE: Any other questions?
8 You can see Rose Lawn is far to the north of the map. You 8 This is a public hearing. We will open the public
9 can see 1-35 and the Vintage Development there to the 9 hearing. Is the applicant here and do they wish to speak?
10 west. The zoning map shows the current zoning is NR-2 10 MS. THURMAN: Hi. My name is Elsie Thunnan
Il with NR-2 to the north, NR-6 to the south and the PD-139, Il and I'm here representing Holigan Land Development. And 1
12 which includes the Vintage Development to the west. 12 prepared a brief presentation, however .. and I'm happy to
13 The future land use map shows the subject 13 go through it, however, if you would just like to ask me
14 property and all surrounding property as being in the 14 questions, I'm happy to do that, too.
15 Neighborhood Center designation. This is the aerial of 15 COMMISSIONER STRANGE: Does anyone wish to
16 the subject property. You can see an existing gas well 16 see the presentation or would we like to just answer
17 there on the west side and the notification map shown here 17 questions? Mr. Roy.
18 -- we did not receive any response from property owners in 18 COMMISSIONER ROY: well, I would just like
19 the surrounding area. 19 you to explain the overlay, what your objectives are and
20 This paragraph is taken from the northern 20 what you're trying to accomplish. That would satisfy me,
21 border of Bonnie Brae looking south. And finally, we come 21 but I'd be happy for --
22 to the overlay district which is proposed as part of this 22 MS. THURMAN: I'm sorry. Sure. We went
23 zoning. The development standards of the proposed overlay 23 with the NR.6 with an overlay to cap density meaning that
24 district include the development will consist only of 24 we could only build so many lots.
25 single family detached homes. And the density will be 25 COMMISSIONER ROY: you're going to build
Page 66 Page 68
I capped at 2.29 lots per acre for the entire 95.16 acres. 1 less than what the NR-6 permits?
2 Now, as some of you may recall, the 2 MS. THURMAN: Yes, sir.
3 previous zoning request on this site was to rezone from 3 COMMISSIONER STRANGE: IS that primarily
4 NR-2 to NR-3 with an overlay district that allowed four 4 because of the flood plain?
5 foot side yards. The City Council had concerns about 5 MS. THURMAN: partly, yes.
6 allowing an overlay district which provided additional 6 COMMISSIONER STRANGE: And the gas well?
7 rights, which in this case would be the reduced side yard 7 MS. THURMAN: That part I'm not sure. Is
8 setbacks. And this is why the applicant has requested the 8 itn
9 NR-6 zoning which allows the four foot side yards and an 9 MS. BUSH: Yes.
10 overlay district that restricts the density. And I'll 10 MS. THURMAN: Yes.
11 answer any questions. 11 COMMISSIONER STRANGE: so if you look at
12 COMMISSIONER STRANGE: Anyone have any 12 the developable part of the -- if you look at the
I3 questions of staff? Mr. Roy. 13 developable portion of the property only not giving any
14 COMMISSIONER ROY: This is a new 14 credence to the gas well or the flood plain, you are at
15 development or is this an extension of the existing 15 the NR-6 density?
16 development in the area? 16 MS, BUSH: MY name is Mary Bush and I'm
17 MS. SHELTON: No. This is a new 17 also with HaUgan Land Development and 1 think I can
18 development. 18 answer your questions. The reason we are asking to cap
19 COMMISSIONER ROY: So everything thatfs 19 density is because of the significant amount of flood
20 going to be built there will be built according to our 20 plain on this property. So by all practical purposes,
21 Codes? 21 we're limited to the number of lots that we can build.
22 MS. SHELTON: Correct. 22 The density, if we build only on the flood
23 COMMISSIONER ROY: And the development 23 plain is still within the limits of NR-6, however, we are
24 thatfs across the street there was not built per Code, 24 not going to build six units per acre on the small amount
25 right? That was a PD of -- 25 of non flood plain acreage that we have. Does that answer
CondenseIt TM
PLANNING AND ZONING MINUTES AUGUST 24, 2005
Page 65 - Page 68
CondenseIt'I'M
Page 69 Page 71
1 the question? 1 COMMISSIONER WATKINS: okay. That brings
2 COMMISSIONER STRANGE: Maybe you ought to 2 up another question because I don't see Vintage Boulevard
3 restate that. I don't know that I understood that. 3 at either end. It's not started.
4 You're not -- you're not building NR-6 on the land that 4 MS. BUSH: And Kelly do you want to --
5 you have available? 5 COMMISSIONER WATKINS: And there's a gas
6 MS. BUSH: The only reason that we have 6 well across the street from the Vintage Housing
7 requested the NR-6 zoning category is so that we can have 7 Development.
8 the four foot side setbacks. 8 MS. BUSH: .. address the schedule of
9 COMMISSIONER STRANGE: side yards is it? 9 construction for that?
10 MS. BUSH: correct. That's the only 10 COMMISSIONER STRANGE: MS. Carpenter, can
11 reason. 11 you help us with that?
12 COMMISSIONER STRANGE: okay. And what 12 MS. CARPENTER: Mr. Chairman, the access
13 density are you developing to on the developable acreage? 13 issues will be resolved at the time of platting but there
14 MS. BUSH: The developable acreage right 14 is a plan to do the construction of Vintage that involves
15 now is approximately 35 acres. It's 34.72, I believe. We 15 the developer of the Vintage and the City of Denton. And
16 do have a pending request to try and reclaim an additional 16 the piece that runs in front of the fire station which is
17 12 acres. That is an ESA, an alternative development plan 17 east of this piece will be constructed by the fall of '06,
18 that is being reviewed by staff right now. 18 so the access to this project will also be in place by the
19 Even if that is approved, we will not build 19 fall of '06 on Vintage.
20 any more lots than we are requesting in this zoning 20 MS. BUSH: And I believe and I know this is
21 request. So on the 35 acres, I believe the density is 6.2 21 probably also a platting issue, but we have also agreed
22 lots per acre; is that correct, on the 35 acres. If we 22 that if we use Bonnie Brae as temporary access into our
23 reclaim the 12 acres to bring it to a total of 46 or 23 property, we will be required to construct the part from
24 approximately 46, then our density is 4.64 lots per acre. 24 Vintage Boulevard to Bonnie Brae, that little curve of the
25 COMMISSIONER STRANGE: okay. So then 25 road. Does that make sense?
Page 70 Page 72
1 again, you're back to the primary reason for your overlay 1 COMMISSIONER WATKINS: I hope you have
2 is to get the four foot side yards? 2 four-wheel drives.
3 MS. BUSH: Absolutely. And that was 3 MS. BUSH, We can probably look at--
4 suggested at the last Council meeting. 4 should we look at the concept plan or --
5 COMMISSIONER STRANGE: Mr. Watkins. 5 COMMISSIONER WATKINS: so presently to
6 COMMISSIONER WATKINS: Thank you, Mr. 6 access the site, you would come from the north down
7 Chairman. How do you get there? I went down 377 and 7 Hickory Creek and cross the bridge and approach it from
8 turned on to Bonnie Brae and it's all blocked off and it 8 the north?
9 says no through traffic. So I went on to Argyle and got 9 MS. BUSH: Yeah. Where's the little mouse?
10 on 35W and came back to the Ponder exit, the Vintage, and 10 COMMISSIONER WATKINS: And I have a truck
11 then I recalled that we closed the road at the end of the 11 so ..
12 Vintage, the one with the barrels that you could -- 12 MS. BUSH: Here we go. Right here is where
13 MS. BUSH: The plan for access -- 13 Vintage doesn't quite connect to Bonnie Brae. It turns
14 COMMISSIONER WATKINS: -- put in the holes. 14 into a dirt road at that point.
15 MS. BUSH: I'm sorry, sir. Go ahead. 15 COMMISSIONER WATKINS: Yes.
16 COMMISSIONER WATKINS, DO what? 16 MS. BUSH: And for n until Vintage goes on
17 MS. BUSH: The plan for access to the 17 across and we can connect at these points down to the
18 development is through eventually to the south where there 18 south, then we would do some minor improvenlents to Bonnie
19 are .- there's a planned subdivision to the south that has 19 Brae, which the City has told us what we need to do to
20 three entrances that our plan will connect to. It depends 20 allow access into the subdivision right here, but we will
21 upon the construction of Vintage Boulevard continuing on 21 not be accessing from the north.
22 to n is it to 377, Kelly? So we are depending on the 22 COMMISSIONER WATKINS: All right. Thank
23 construction of Vintage Boulevard to provide some access 23 you.
24 to our development. Bonnie Brae will not be the primary 24 COMMISSIONER STRANGE: Any other questions
25 access point to our development. 25 of the applicant? Okay. Thank you very much. The only
PLANNING AND ZONING MINUTES AUGUST 24,2005
Page 69 - Page 72
Page 73 Page 75
1 two cards we had speaking for this were the two speakers 1 Code.
2 we just had, Ms. Bush and Ms. Thurman. Is there anyone 2 MR. SNYDER: Mr. Chair, members of the
3 else who wishes to speak for or against this item? Seeing 3 Commission, before you is an amendment to Subchapter 16 of
4 none, we'll close the public hearing. Do we have a motion 4 the subdivision regulations and they address several
5 on this item? Mr. Roy. 5 amendments. One of them is -. change the predesigned
6 COMMISSIONER ROY: I wanted to ask a 6 conference to preapplication conference. The other is to
7 question of staff if I may. You indicate that there's no 7 provide for completeness of application provisions.
8 response from the legal notification and the 100 foot 8 Next is to deal with the expiration tenns
9 mark, there's residences there, but most of those are 9 of the preliminary plat and the general development plan,
10 empty. 10 and the final item deals with more explicit provisions
11 MS. SHELTON: we got a lot of letters back. 11 concerning the provision of water and waste water
12 COMMISSIONER ROY: so there's nobody there 12 services. These are before you tonight. These are
13 to comment. But if you go out to the 500 foot buffer, 13 amendments to the subdivision regulations and not the
14 there are people who are living there, and when you say 14 zoning regulations of the City.
15 there's no response, does that mean there's no response ]5 COMMISSIONER STRANGE: DO we have any
16 from anybody -- 16 discussion or any questions of either staff or legal?
17 MS. SHELTON: From anyone. 17 This is a public hearing. There are no cards. There is
18 COMMISSIONER ROY: n or is it just the 100 18 no one in the auditorium, so I'm assuming that no one
19 or 200 foot? 19 wants to speak on this. So we will open the public
20 MS. SHELTON: NO, I got nothing. 20 hearing and we'll close the public hearing. Any
21 COMMISSIONER ROY: okay. 21 discussion? Mr. Watkins.
22 MS. SHELTON: In fact, I had one phone call 22 COMMISSIONER WATK[NS: Move approval of
23 from the sign, and I described what was happening, and it 23 S[-050021.
24 was a concern over the access, and that was the only 24 COMMISSIONER STRANGE: We have a motion by
25 response I had at all. 25 Mr. Watkins. Do we have a second?
Page 74 Page 76
] COMMISSIONER ROY: okay. Thank you. I COMMISSIONER ROY: second.
2 COMMISSIONER STRANGE: AnY other discussion 2 COMMISSIONER STRANGE: okay. Mr. Roy, you
3 or do we bave a motion? 3 had your light on. Did you have a question, or I guess we
4 COMMISSIONER HOLT: I move approval. 4 can continue on. Do we have any discussion on this item?
5 COMMISSIONER STRANGE: we have a motion by 5 COMMISSIONER ROY: NO, I do not.
6 Mrs. Holt. Do we have a second? 6 COMMISSIONER STRANGE: The only comment I
7 COMMISSIONER ROY: second. 7 would like to make is a couple of comments. I know that
8 COMMISSIONER STRANGE: second with Mr. Roy. 8 we're entertaining these ordinances to bring our Code and
9 Any discussion? If not, please vote. Mr. Roy, you 9 ordinances up to standards. I do see that we are putting
10 haven't registered. There you go. Okay. Vote passes 10 some time frames and some constraints on applicants that
11 7-0. 11 we have not had before. I hope we have put the proper
12 This will be the final item tonight. If 12 time frames in there and the proper penalties for people
13 anybody's been here waiting for SA, I think we announced 13 who have not -- who do not conform to those. I think we
14 earlier, that's gone. So if you're still here, you can 14 have depended on outside counsel for that. So I hope
15 leave on that. 15 that's all com;ct.
16 We're here not to discuss Item E, which is 16 Also, I have a little concern about the
17 consider making a recommendation to the City Council 17 reading of some of this, the language in here. It does
18 concerning the adoption of the ordinance amending the 18 refer you on to other places that you have to read to get
19 City's Platting and Subdivision Regulations contained in 19 answers. I think there needs to be some clarification in
20 Subchapter 16 and Subchapter 21 of the Denton Development 20 here as it relates to some of those other things such as
21 Code, Chapter 34 of the Code of Ordinances and the 21 water and sewer and utility connections. Some of that
22 applicable criteria manuals. Ms. Carpenter. 22 language is not clear to me without referring to other
23 MS. CARPENTER: Mr. Chainnan, I would like 23 places.
24 to pass the baton here to Mr. Snyder to address the 24 And when I read there, sometimes that's not
25 amendments to Subchapter 16 of the Denton Development 25 very clear. This particular modification to our
CondenseIt 1M
PLANNING AND ZONING MINUTES AUGUST 24, 2005
Page 73 - Page 76
ATTACHMENT 7
Ordinance
S.'\Oor~..Q02O.doc
ORDINANCE NO.
AN ORDlNANCE OF THE CITY OF DENTON. TEXAS. PROVIDING FOR A ZONING
CHANGE OF APPROXIMATELY 95.16 ACRES FROM NHlGBORHOOD RESIDENTIAL 2
(NR-2) ZONING DISTRICf CLASSIFICATION AND USE DESIGNATION TO
NEIGHBORHOOD RESIDENTIAL 6 (NR-6) WITH AN OVERLAY DISTRICT
GENERALLY LOCATED ON THE EAST SIDE OF BONNIE BRAE. 1.300 FEET wEsT OF
us 377 AND 2.800 FEET SOUTH OF ROSELAWN DRIVE LOCATED IN TIm WILLIAM
ROARK SURVEY ABSTRACT NUMBER. 1087 AND TIlE 1 EDMONDSON SURVEY,
ABSTRACf NUMBER 4OO.IN TIlE CITY OF DENTON. DmITON COUNTY, TBXAS;
PROVIDlNG FOR A PENALTY IN TIlE MAXIMUM AMOUNT OF 52.000.00 FOR
VIOLATIONS THBREOF; PROVIDING A SEVERABILlTY CLAUSE AND AN EFFECTIVE
DATE. (ZOS-0020)
WHEREAS. Wally Creel, Holigan Land Dcvc10pmcnt ftlitilted . c1umge in zoning for
approximately 95.16 acres of land particularly descn"bcd in Exhibit "A" attaohed hereto and
made a part hereof as Exhibit "A" (the -propertyj from Neigbbozbood Residcntia12 (NR-2)
zoning district cll1l1l1ification and use designation to Neigbbozbood Residentia16 (NR-6). wi1h aD
overlay district; and
. WHEREAS. on August 24. 2005. ~ PImming and Zoning Cmnmiuitm concluded a
public heariDg as rcquiml by law. and ~mended approval of1he requested chanec in zoning;
and
WHEREAS. 1b City Council makes the following findings:
a. The ohange in zoning, including the overlay district, is comisteat with the
Comprehcmive Plan; and
b. The overlay district will protect and CDbancc the Property and Sl.II'lODIldiDg area.
which are distinct from laads 8Dd structures autBide of 1he overlay district and
the irnmMiate Dfighborhood; aod
c. The replatiom imposed in the overlay district serve important and substamial
public intm::sts by preserving, the integrity of the neigbboIbood. SUlJl'mmn.g the
overlay district while ofl'ering a different type of residential home to the public
and the ncighbmhood; NOW. THEREFORE,
TIlE COUNCIL OF THE CITY OF DENTON HBRBBY ORDAINS:
SECTION 1. The findingp. and recitations contained in the preamble of1his ordinaoce are
iJwmponted herein by reference.
SECTION 2. 'I'he zoning district classification and use rlMipons of the Property is
hereby changed :from Neigbborhood Residential 2 (NR-2) zoning distriot olassification and use
delrig,nmon to Neigbborhood Residential 6 (NR-6) zoning districts 8Dd use dP.lrigJllrtions. with
and overlay district (the "Overlay District") containing the following l'CgI11lJtiom:
a. Only single family detached land use is permitted.
b. The maximum density is 2.29 dwelling units per acre on the entire 95.16 acres.
The above regulations shall control within the Overlay District over any conflicting regu1ationA
for the NR-6 district contained in the Denton ~eve1opmeut Code.
SECTION 3. The City's official zoning map is amended to show the change in ZODing
district classi.fication.
SECTION 4. If any provision of this ordimmce or the application thereof to any person
or clrcumstance 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 S. Any person violating any provision of this ordinance sball, upon
oonviction, 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 6. That this ordirnmce sball become effective fourteen (14) days ftom the date
of its pass~ and the City Secretary is hereby directed to cause the caption oftbis ordinance to
be published twice in the Denton R.ecord-Chronic1e. a daily newspaper published in the City of
DentoD. Texas, within ten (10) days of the date of its passage.
,
PASSED AND APPROVED this the .
day of
. 2005.
BULINB BROCK, MAYOR
ATI'BST:
JENNIFER WALTERS. CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYD CITY ATTORNEY
BY:
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AGENDA INFORMATION SHEET
AGENDA DATE:
September 20, 2005
DEPARTMENT:
Parks and Recreation Department
..
ACM:
Howard Martin, Utilities 349-8232
SUBJECT
Hold a public hearing and receive citizen input on an ordinance of the City of Denton, Texas,
amending the Denton Comprehensive Plan to include the Open Space Concept Plan; and
providing for an effective date.
BACKGROUND
The Denton Plan frequently references open spaces to be used for recreational purposes, the
preservation of environmental resources, or to serve as a buffer between land uses. Community
support for the use of open space to preserve Denton's character was clearly indicated during
Denton Plan public meetings and hearings. The Open Space Concept Plan is intended to guide
implementation efforts regarding the location and use of open space in Denton and to develop an
open space acquisition strategy.
The plan defines existing open space in public and private ownership that provide both
environmental and social importance in areas of urban development including, local parks, state
and federal lands, golf courses, ranches, farms and other agricultural lands.
Existing floodplains and riparian areas are defined and designated as important open space areas,
including environmentally sensitive areas that are designated in the Denton Development Code.
Priorities:
The concept plan calls for a system of prioritization to identify lands to be protected. It
identifies land that has significant resource value and is most threatened, but does not call out
specific tracts of land or prioritize acquisition areas.
Key plan elements included the need for:
· pursuing a community trail network to link open space areas and other destinations
· development of regional parks that provide recreational areas and protect valuable open
space
· protecting and restoring ecosystem habitats
· preserving scenic corridors
The plan then identifies the levels of priority including:
· the acquisition or protection of environmentally sensitive areas that are under immediate
threat of development
· high priority areas that not under immediate threat
· high priority areas to be considered for long-range consideration
1
The plan also defines several land protection tools and techniques including:
. acquisition
. land exchange
. conservation easements
. environmental overlay zones
. density transfers
. development rights transfers
On November 10, 2004, the Planning and Zoning Commission held a public hearing to consider
adoption of the Open Space Plan. The sub-committee recommended approval of the plan with
the following conditions:
1. Remove specific sites listed in the "Priority Locations" section of the plan;
2. Clearly identify and distinguish between open space resources and areas that need to be
protected;
3. Consolidate departmental master plans to develop open spaces into use areas or multiple
use corridors for the sake of efficiency;
4. Re-title document as Open Space Concept Plan and Coordination Tool;
5. Parks and Recreation staff, in conjunction with other city departments, study the
feasibility of implementing an open space and trail dedication requirement for new
subdivisions to connect and provide access/linkages where appropriate and in areas
where there is a plan or proposed network in place, and identify incentives;
6. Reword "Implementation Techniques" section as Land Protection Tools and Techniques;
7. Establish a Five-Year Action/Implementation Plan; and
8. Hire a Master Plan Coordinator to achieve Open Space Master Plan.
The Planning and Zoning Commission recommended approval of the Open Space Plan by a vote
of 5-0.
At the January 31, 2005, meeting of the Environment Committee staff presented the Planning
and Zoning Commission recommendations for changes and the Committee moved to forward the
plan to City Council for adoption with those changes. In addition, The Environment Committee
asked for the following modifications:
1. A redline document of the plan showing all revisions from the original document.
2. In reference to the Planning and Zoning Commission recommendation to hire a
coordinator to achieve the plan, it was recommended that this should be accomplished
with existing staff.
On August 1, 2005, staff presented the Open Space Concept Plan to the City Council in
Work Session and received direction to proceed to a public hearing.
OPTIONS
The City Council may:
'" Hold a public hearing and receive citizen input on the Open Space Concept Plan
'" Provide alternative directives to staff.
RECOMMENDA TION
Staff recommends that the Open Space Concept Plan be placed on the October 4, 2005, City
Council agenda for final consideration.
2
ESTIMATED PROJECT SCHEDULE
City Council Regular Session
October 4, 2005
PRIOR ACTIONIREVIEW
Planning and Zoning Work Session
Parks, Recreation and Beautification Board
Planning and Zoning Commission
Environment Committee
City Council Work Session
March 10,2004 and April 14, 2004
April 5, 2004 and May 3, 2004
November 10,2004
January 31, 2005
August 1, 2005
EXHIBITS
1. Open Space Concept Plan
2. Proposed Ordinance
3. Parks, Recreation and Beautification Board minutes of April 5, 2004 and May 3, 2004
4. Planning and Zoning Commission minutes of November 10, 2004
(refer to pages 41-57)
5. Memorandum from the Open Space Master Plan Subcommittee of the Planning and Zoning
Commission dated November 10, 2004
6. Environment Committee minutes dated January 31, 2005
7. City Council Work Session minutes dated August 1,2005
8. Red-line copy of original document showing revisions recommended during review.
Respectfully submitted by:
Janet Fitzgerald, Director
Parks and Recreation Department
3
The Denton Comprehensive Plan stated that
"The City of Denton recognizes the need to value
it environmental resources appropriately. By
identifying, protecting and preserving those areas
with ecological value, further loss of our natural
heritage can be avoided." While Denton is a great
place to live and work, part of what defines the
quality of live in Denton is ready access to open
space, both in the City and in the many recreational
opportunities nearby. In addition to the quality of
life benefits, open space provides wildlife habitat,
assists in cooling the fierce heat of the Texas
summer, improves air quality, cleans and filters
water, and assists in flood mitigation.
The Importance of Parks
and Open Space:
. Natural areas provide opportunities for
passive recreational activities such as hiking
and nature studies, while trees provide shade
in parks for sitting areas.
. Quality natural environments and open
space amenities have become key decision
making factors in the location of employers,
as they try to attract workers.
. Access to parks and open spaces,
augmenting a place's quality oflife has been
shown to add to real estate values.
. Landscaping with trees, shrubs and
perennials minimizes the need for mowing
grass and conserves energy and money.
. Natural areas provide habitat for a diversity
of flora and fauna - conserving and
protecting species diversity.
. Plants play an important role in recycling of
carbon, oxygen, and nitrogen compounds in
the atmosphere.
. Trees and shrubs are essential to soil
development and protect streams and other
watercourses from erosion.
. Plants improve the quality and supply of
ground water slowly releasing moisture into
the water table from root systems.
. Trees improve air quality by removing
airborne pollutants through their leaves.
Because of the many critical roles open space can
plan in our lives, it has come to be referred to as
"Green Infrastructure". "Green Infrastructure
is our Nation's natural life support system - an
interconnected network of waterways, wetlands,
woodlands, wildlife habitats, and other natural
areas; greenways, parks and other conservation
lands; working farms, ranches, and forests; and
wilderness and other open spaces that support native
species, maintain natural ecological processes,
sustain air and water resources and contribute to the
health and quality oflife for America's communities
and people."
->
'. \:'Aci~Wae
,;,
The Purpose of the Denton
Open Space Plan
All the benefits of Open Spaces will not be realized
without a plan of action. This plan provides the
framework by which Denton may pursue more
specific actions to preserve environmentally
sensitive lands and open space. The residents of
Denton have clearly articulated their desire to retain
open space and the unique character of the region.
This plan is meant to build on the foundation laid
by the Denton Comprehensive Plan, and the Denton
Development Code.
Open Space in Denton Today
Currently, of the 40,950 acres of the Denton City
and ETJ, 3,030 acres are in public ownership of
which 1,400 acres are in parks or protected open
space. Another 18,000 are vacant, privately owned
lands that are undeveloped today. It is on these
lands that future development will occur, and where
opportunities for new open space exist.
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Public Ownership
The Denton Parks and Recreation Department
currently maintains 28 parks, open space and
hundreds of acres of yet to be developed land
designated for parks. This inventory ranges from
active, full-service facilities, such as North Lakes
to the public green surrounding the Courthouse.
Through the Greenbelt Trail, the City has also
realized huge successes with parkland that is
utilized in a natural state. In addition, the City has
developed an extensive system of bicycle trails and
has begun a more comprehensive pedestrian trails
system including rail trails, equestrian facilities and
greenway trails. Today this extensive inventory
includes 23 parks and 4 open space preserve areas,
totaling just over 1,200 acres ofland.
Parks
We all know that parks are important to people.
Not only do parks provide a respite from the noise
and bustle of traffic and crowds in cities and towns
but they also provide the stage for a whole range
of social activities. Parks, as a distinct type of open
space, are publicly owned recreational areas. They
may be a few acres of playing fields, or hundreds
of acres of natural areas for hiking, or passive
recreation, or a combination of both. However, they
are meant to be used by the public, and have open
access.
Open Space
Open Space is a more generic term that includes
parks, but also private areas that provide some of
the benefits of open space. Therefore golf courses
and cemeteries can be considered open space, as
are privately owned farms or ranches that have
been conserved through purchase of development
rights, or natural areas that are privately owned,
but similarly conserved. These latter, privately
owned open space areas provide many public
benefits, without the benefits of entry by the public,
but also without the tax burden of ownership and
maintenance.
One of the most important issues of urban
development in the coming years will be identifying
and managing areas that have environmental and
social importance. Historically, environmentally
sensitive areas have been destroyed, in the name of
'progress' to make way for development. Wetlands
have been filled, streams buried turned into culverts,
and lake shore areas filled and reclaimed. However,
in the last few decades, the people of Denton have
become increasingly aware of the value of a healthy
natural environment and open space.
Floodplains & Riparian Areas
"Riparian" refers to those areas that are adjacent
to streams and lakes; often, it is also used to refer
to floodplains, wetlands and natural habitat found
within those areas. Riparian areas are beneficial to
water quality when they are preserved and when the
streams are lined with natural vegetation. These
areas, especially when vegetated, provide stream
bank stabilization and filter and retain storm water
flowing across the stream buffer, thus helping to
retain channel location, reduce flood potential,
provide important wildlife habitat and help to keep
streams and surrounding areas cool. The Denton
Development Code classifies these as the areas
within 100 feet from streams that drains over a
square mile in size, and 50 feet from streams that
drain less than a square mile. These streams, and
the point at which the stream drains less than one
square mile are on the official Environmentally
Sensitive Areas map. The Denton Code also works
to protect these areas by providing property owners
and developers with significant incentives to
transfer development densities away from riparian
and floodplain areas.
However, some of the larger riparian areas and
floodplain have such large significance for open
space values, they should be considered for open
space acquisition, for drainage and flood control,
habitat preservation, air quality benefits, and passive
water quality treatment. Some of these areas would
also provide passive recreation opportunities such
as hiking, fishing, or canoeing.
Water related habitat lands are farther from the
stream, but occupy important floodplain areas and
contain generally undisturbed native ecosystems
and wetlands important to the stream health and the
community's air and water quality.
In Riparian and Water Related Habitat lands, Lands,
most development activities are prohibited. The
intention is to leave these areas in a natural state,
including most of their native vegetation. This
benefits many elements of Denton's environment,
most notably air and water quality and flood
mitigation.
Floods have been a problem in Denton's urban areas
for much of its history, as some of the best places
to build in town often are the floodplains of Pecan
Creek. In addition to preventing property damage,
restricting development in floodplains serves many
other important functions. These include water
recharge, protection of wildlife riparian habitat,
and floodwater storage. The Denton Development
Code has fairly strict development limitations on
development in floodplain. There are just over
3,000 taxlots that lie partially within the 100-year
floodplain, with roughly 600 of those parcels being
completely contained within one of Denton's
many, floodplains. As a result a significant number
of housing units and many businesses already
have located in the floodplain, including some
of Denton's most urbanized areas, such as the
downtown with Pecan Creek running right through it.
Cross Timbers Oak Land
Cross Timbers oak areas are unique upland habitats
to the Denton area. The ones considered significant
for open space values are generally larger than
10 acres or more and support a unique upland
ecosystem. Standards in the Denton Development
Code in these areas require that at least 50% of the
habitat in these large stands be conserved.
Approximately 75 percent of the Cross Timbers and
Prairie vegetation areas are utilized as range and
pasture. Maj or crops on the sandy Cross Timber
soils are peanuts, fruits, sorghum, wheat, oats, corn,
and forages. Dairy operations are common, but
beef cattle cow-calf operations are the predominant
livestock activities.
Agricultural Lands
Agricultural lands are valued in Denton for many
reasons - their beauty, their contribution to the
economy, and their value as open space and
buffering from other uses.
Agricultural lands protection often is controversial,
frequently because agricultural issues are poorly
understood. An important aspect to consider when
discussing agriculture is that it is a business and,
as with any business, profit is essential for its
continuance. Residents who move onto agricultural
land because of its pastoral nature often are
disturbed by the necessities of modern agriculture:
around-the-clock harvesting, manure spreading,
pesticide and herbicide spraying, and the presence
of strong odors and flies. Meanwhile, suburban
residents can disrupt the business of agriculture by
clogging roads with traffic, making the transport
of agricultural equipment difficult and hazardous,
owning animals that harass livestock, and filing
nuisance complaints against farmers.
In agriculture, it also is important to understand that
a farmer's land is his or her primary capital asset
after a lifetime of work. Urban residents value the
open space that agricultural land represents, but
zoning that restricts land use to agriculture only is
often resisted by the farmer if the land can be sold
for urban uses - as that will maximize the return to
the farmer.
In Texas, where county zoning is not permitted,
agricultural land protection can best be
accomplished by either transfer of development
rights or by the purchase of conservation easements,
or agreements in lieu of annexation. (See
Implementation Chapter for specifics)
Other Wildlife Habitat
Important wildlife habitats include prairies and
riparian areas as well as forested areas such as the
Cross Timbers lands. Many species' existence
depends on the continued health and connectivity
of these habitats. White-tailed deer, raccoon,
armadillo, squirrel, quail, and mourning dove are
just a few examples of the abundant wildlife in the
regIOn.
Setting Priorities
Threats to Open Space
With the hundreds of thousands of acres of open
space that are in and around Denton, a system of
prioritization must be established to identify those
lands that are best suited to protection. Utilizing the
power of Geographic Information Systems (GIS),
computer-mapping models have been created to
assess the threat and resource values of these lands
in and around Denton. This computer model is built
into two distinct parts. The first model analyzes
the resource potential of all the land, while the
second calculates potential threats to these resources
from development. Together, these components
are brought together to determine that land that
is both of most resource value, and that is most
threatened. The result is a mapping of areas with
the mathematical highest priority for protection,
preservation, or acquisition.
Vacant
Lands
Water
Modeled
Lands
Undeveloped Lands
Land areas that have yet to undergo significant
human alteration are more valuable as open space
for numerous reasons. Of utmost importance,
conversion to open space can be accomplished
without any displacement of human settlement,
helping to ensure that no individual resident is
forced to take on an undue burden for the good of
the rest of Denton's residents. Additionally these
lands will be both cheaper to acquire due to lack of
development and more likely to contain habitat and
natural areas that are considered valuable as open
space.
Environmentally Sensitive Lands
Many of the key habitat and open space resources
occur on lands identified in the Denton Code as
Environmentally Sensitive Areas. In determining
potential value of open space, Floodplains, Riparian
Habitat and Upland Habitat are key factors. These
areas contain not only areas that are likely to be
relatively undisturbed, but also areas that feature
prime habitat for a number of species. Preserving
these lands can playa crucial role in retaining
diversity of species. Residents will also reap
the rewards of protection through such issues as
flood control, lower temperatures in the summer,
better air quality, and access to both the natural
areas and potential trails that might be run through
these areas. These lands are not as valuable to
land owners, as the building potential is lower;
accordingly, as with undeveloped land above, these
areas will be less expensive than developed, or
easily developable areas.
Threats Leading to Loss
of Open Space
Proximity to roads and service
The Proximity of open space to infrastructure can
help to estimate how threatened a specific site may
be. If there is already infrastructure in place, such
as roads and sewer, then an area is likely more
susceptible to new development. By recognizing
these areas, and those where services will soon be
extended, a potential threat from development can
be identified.
Future Population or
Employment Concentrations
The zoning types in the Denton Code carry much
detail, ranging from landscaping to allowed
uses. Paramount to Open Space planning is the
land use, and subsequently the intensity of future
development. Further, while not proscribing zoning
for areas outside the city, but inside the ETJ, the
Denton Comprehensive Plan provides an estimation
of the expected future development density.
Densities were analyzed in a gradient fashion, with
highest densities having the most potential threat
to open space resources. This calculation of likely
future was used in conjunction with the proximity
of roads and services to determine the combined
potential threats from development.
Access to population
The current Denton parks system serves most of
the population with parks within 1J4 mile walking
distance. This is quite a high standard for the
provision of open space. New development,
however, will need to be served with additional
open space outside the existing City Limits. In
addition, completion of the system of trails within
the city should remain a high priority as this
contributes the interconnectivity of the overall
system of open space as well as to accessibility to a
wider population.
On February 27,2002, the City of Denton
sponsored an Open Space Workshop to help draft
a plan for the Denton region. The workshop was
designed to help develop both a priority list of sites
for the Open Space Network, plus recommendations
on methods necessary and a decision making
structure to help decide future questions of open
space need.
The workshop process enabled participants to
choose which areas they felt should be of the
highest priority and give valuable input about the
future of Denton's open space. Participants worked
in two small groups to create alternative plans, and
those plans were analyzed. The plans were then
synthesized into one final conceptual open space
plan that incorporated all the key themes and ideas
presented throughout the workshop.
The workshop resulted in an interconnected open
space system featuring continuous trail linkages
among the existing and proposed open space
acquisitions.
The workshop provided numerous specific ideas for
the enhancement of the open space system that will
form the kernel for its expansion. Most of the ideas
are applicable to the wider landscape and can be
interpreted
Open Space Plan - Introduction
Key Plan Elements
The plan includes the primary elements that are
described in the following discussion. As a plan,
the map should be interpreted, not as a parcel-
specific plan, but rather as a guide to a conceptual
open space master plan. There is considerable
flexibility among the component parts in terms of
implementation. Conservation sites may ultimately
be acquired or dedicated as open space through
the development process, and acquisition sites
may be partially developed in exchange for public
ownership of key areas, but it should be a guiding
document for the development of a comprehensive
open space system in Denton.
Trails or Trail Corridors
The Community Trail Network
Trails are to be both regional and local in scale and
should provide potential destination oriented trips
such as work or shopping while also providing
a recreational component. Trail networks are
identified that establish new, or that enhance
existing, regional and cross town routes, connecting
major centers of activity with non-motorized routes.
Additionally, enhancing the pedestrian connections
along local and regional transportation routes also is
important.
A variety of trail types allows for many different
uses. For example, a good trail system employs
both hard and soft surfaces. Hard surface trails are
generally for use by walkers, skaters, bicyclists, and
people with disabilities. These trails are the ones
which will serve both recreation and transportation
functions. Unlike the hard surface trails, which
might start off as natural and only later be paved
when funds are available, the soft surface trails
will serve the Denton's nature preserves and other
areas where the focus on natural resources takes
precedence over the need for mobility.
In addition to pedestrian-only trails through
sensitive natural areas and off-road bicycle trails
in less sensitive ones can provide both important
access to Denton's Open Space and important
transportation links. Denton currently has a trail
network that runs just under fifty miles in length.
The most notable of Denton's trails are the Ray
Roberts Greenbelt connecting the City from Lake
Lewisville all the way to lake Ray Roberts, and
the more recent Rail to Trial conversion extending
Southwest from Downtown Denton to beyond the
city limits. Many of the drainages within town,
such as Pecan Creek for example, have many
places where "Volunteer" trails have been created
to supplement the official trail network. These
"Volunteer" trails are a result of people walking
or biking over the open land, in essence showing
us where they would like the improvements.
Additional unofficial trails can be seen at North
Lakes Park.
Regional Parks
Regional Parks are places for recreation, education
and rejuvenation and provide for a vast array of
native fish and wildlife. Regional parks are unique
jewels featuring sensitive habitats, awesome
landscapes and views, trees, heritage buildings and
sites and basic facilities.
The North Lakes Park off of Bonnie Brae Road,
just North of University Drive is a shining example
of a Regional Park. It offers a range of recreation
alternatives and serving residents from all parts of
the city with its ball fields and courts, Community
Recreation Center, Trail and wildlife to name a
few attractions. North Lakes Park is also well
positioned to serve a future expansion of population
to the north, running up to and just past Loop 288.
Ecosystem Habitat
Many of the habitats in the Denton region have
been degraded over the past decades, and in some
cases permanently altered, by urban development
and sprawl. Protecting and restoring these habitats
requires an understanding of comprehensive
ecosystem function and all the interconnections
that combine to support the health of any particular
habitat.
An ecosystem approach to management habitat
recognizes the interrelated nature of air, land, water
and all living beings. Rather than geopolitical
boundaries and departmental divisions, this
approach calls for creative partnerships that look
at natural boundaries, such as watersheds, as the
unit of management. Participants at the workshop
identified several areas important for their quality
ecosystems and amount, or diversity of habitat.
One of the highest ecosystem priorities identified is
the Hickory Creek drainage, stretching from Lake
Lewisville up to at least I-35W. At just about the
same level of interest to the group were the Pecan
and Cooper Creek drainages. As these two streams
get closer to Lake Lewisville the amount and
diversity of habitat increases, while at the same time
there is less human alteration visible.
Scenic Corridors
Scenic Corridors are linear open spaces paralleling
major thoroughfares that provide a sense of
openness for the community by preserving the
natural setting, providing views of nearby hilltops,
linking vista corridors along major washes and
buffering adjacent land uses from traffic.
Access points along the corridor make it possible
for residents and visitors to experience these areas
through hiking, horseback riding, biking, nature
studies, bird watching, scenic viewing, picnicking,
and more.
Scenic corridors are generally described as "the
view from the road" and can best be defined as
the visible land area outside a road right-of-way.
They vary in width according to topography and
vegetative cover; flat open areas will have wider
corridors than steep, narrow canyons or densely
wooded areas.
Denton's most popular Scenic Corridor to date
is the Lake Ray Roberts Greenbelt, providing
access for hikers, bikers, horses and even canoe
and kayakers. Participants saw much value in
continuing this greenbelt South, to and along Lake
Lewisville with an eventual connection to the
existing Rail to Trail conversation leading Southeast
from town. Additionally much support was shown
for a new scenic corridor connecting the Greenbelt
to Sherman Drive along Clear Creek.
Criteria for Delineating Scenic
Corridors
Angle and Duration rif View
The angle at which the landscape features may be
seen from the roadway, in both directions of travel,
the foreground features framing them, and the
period of time they can be observed all bear on the
delineation of the corridor and must be taken into
consideration.
T opograpry
When landforms, such as the crest of a ridge bring
the range of vision from the roadway close to the
right-of-way, the entire visible area should be
included in the corridor.
Priority Locations
Urgent
Environmentally sensitive land that is under
immediate threat of development is the highest
priority for consideration. An evaluation of
potential codes that might protect the critical
resources is the first stage. This will establish the
basic core that can be protected under regulatory
processes. Secondly, the proposed development
design should be reviewed to evaluate the degree
to which it accommodates other resources that are
present on the site. There are often possibilities
for improving the sensitivity of the design in the
context of the existing resources.
Typical Urgent Sites
The following are general locations and represent
types of open space areas that indicate the highest
priorities for consideration. These locations
were identified because they are important open
space resources, such as flood plains, riparian
areas, historic and cultural locations, and/or
environmentally sensitive areas.
Lower Reaches of Hickory Creek
The Hickory Creek green-belt area flows southeast
toward its confluence with Lake Lewisville.
With much prime habitat and its close proximity
to residents in the southern portion of the city,
Hickory Creek is a valuable for habitat protection,
trail potential, and access to nature. Preservation
of this corridor is also vital for pollution control.
Much of this area is currently owned by the United
States Army Corps of Engineers. Land owned
by the Corps can often, and should in this case,
be protected through public easements. The use
of easements being much more economical than
outright purchase, and the unique ownership
situation both make this site a distinct short-term
possibility. The City has had success to date in
signing agreements where the city will agree not to
annex the property, if the owner declares that he or
she will not develop the property to urban levels.
Agricultural and Ranch Lands
These lands have cultural value as well as being fine
examples of quality prairie land. These lands would
be a valuable asset as a regional park combining a
fine natural environment with large areas that could
be developed as recreational facilities. It could also
support prairie restoration.
These lands could be considered prime for
development due to their size and location in
Denton. With a relative lack of environmentally
sensitive areas, properties such as this are
may prove to be very expensive to acquire.
Unfortunately, sites of this size are not very useful if
only small easements are purchased. Therefore this
type of land tract would likely have to be purchased
outright with public monies.
Historic and Cultural Locations
In addition to agricultural and ranch lands, there are
other land areas that hold significant cultural value
to the Denton community.
These locations may be unique land formations
and/or locations of historic events that have become
icons to the Denton area and should be protected or
preserved.
Clear Creek Natural Area
Just Northeast of the city limits Clear Creek flows
toward the East through some exceptionally well-
preserved lands. Acquisition of lands in this
area can provide a full array of benefits, ranging
from trail linkages and access to nature to habitat
protection. Sites such as this can also be excellent
locations for interpretive centers. The most urgent
targets should include areas most likely to be
affected by development first. Currently this is the
most eastern sections of Clear Creek. Preservation
of this entire corridor is also vital for pollution
control.
Pecan and Cooper Creek Drainages
These two roughly parallel drainage ways were
highly valued by the participants at the workshop.
Running from Loop 288 to Lake Lewisville, these
corridors provide key trail linkages, important
access to open space, and preservation of important
habitat. These areas are unlikely to be host to any
significant public facilities or destinations and
therefore are likely best candidates for protection
through easements, with outright acquisition as a
last resort for any gaps that occur.
Near Term
Sites that are zoned for high intensity development
should be carefully monitored for any indication
of imminent planning applications. Any available
information on the type of proposed development,
number of units and resource lands that might be
compromised should be ascertained as soon as
possible. Early negotiations with the landowner
should address the most valuable resources
on the property and potential for protecting or
conserving these. Potential acquisitions should
also be considered, if the developer is willing to
consider this as an option. Additionally for larger
developments easements or ownership may possibly
be obtained as either an exchange for park fees, or
to alleviate the property owner's liability on land
that he or she leaves undeveloped.
Near Term Sites Include:
Upper Reaches of Hickory Creek
Hickory Creek flows southeast toward its
confluence with Lake Lewisville. The lower
reaches of this stream corridor have been identified
in the "Urgent" section as a top priority. The upper
reaches would make an excellent addition to the
previous piece. Adding this stretch will allow the
City to build on the trail network, protect additional
habitat and provide more public access to open
space. This trail could rival the Ray Roberts
Greenbelt as an amenity for Denton's residents.
Unlike the lower reaches, the ownership patterns
in this stretch are more complex. While there
should be potential for utilizing easements to grant
public access there are likely to be situations where
outright purchase will be necessary. Also like the
lower reaches, agreements in lieu of annexation
may also be employed. As with the lower reaches,
pollution control is also an important motivator in
protecting this property.
Milam Creek Tributary
Roughly paralleling Locust at the northern edge of
town is a tributary of Milam Creek. Water from
this creek ultimately flows into Clear Creek. As
trail linkages are established along Clear Creek,
this site could be added to the inventory. A trail
in this location would provide access in a growing
portion of Denton, allowing many to access the
greater trail system, including the Ray Roberts
Greenbelt without needing to drive. Additionally
this site could provide additional access to nature
for the new residents that will be living in the area.
This is a smaller creek, draining less than one
square mile. As a result, the riparian and floodplain
protections are less comprehensive than on other
streams. Because of the lower level of protection,
the parcels along this stretch are more developable
than similar parcels along other, larger streams. The
higher degree of developability will by necessity
result in higher prices. While it may be possible to
obtain some of this land through donation, much
will need to be simply purchased, either outright,
or as easements. Small sites such as this, which
fit into more of a long-term vision, are often
elevated in priority to suggest purchase early, before
development pressure in an area begins to affect
land prices.
Fletcher Branch of Hickory Creek
The Fletcher branch of Hickory creek flows from
the southern end of town, due south until it reaches
the Creek. Roughly halfway long this branch sits
a large area of undeveloped land, roughly between
Ryan and Hickory Creek roads. This site has
much potential as an active park. Further, with the
completion of the Hickory Creek greenbelt, this
site could become a convenient access point to
Denton's trail network. The branch itself provides
potential as a trail linkage as well. While the trail
portion may be accessible via easement, the land
for the complex itself should be planned as outright
purchase.
Long Range
Larger tracts of land that are not zoned for
intensive use, but which might be developed over
longer periods of time should be considered for
environmental overlay zones. Using the tools
currently in the Denton development code relating
to transfer of development rights, some of the sites
available for rural density development could be
configured as conservation developments. This
style of development clusters rural housing while
maintaining conservation easements accessible
to all adjacent landowners. These areas could be
restored as prairie, maintained as riparian areas, or
set aside as wooded preserves in the context of the
overall development. An environmental overlay
could be inclusive of many separately owned tracts
of land, which could be addressed individually as
development occurs.
Complete Trail Network
The majority of the scenic or waterway corridors
listed in this report are intended to be accompanied
by trails. As these areas are protected the City
will find that it has a truly unique opportunity for a
connected trail system both throughout the city and
beyond to Denton's natural areas. Most of these
trail sites will be acquired through the sites listed in
this report. However, there will no doubt be areas
where gaps will occur. In many cases, the City
may have to purchase land or easements necessary
for completing this system. The City may also
choose to use nearby roadways to link trails that are
otherwise not linkable. These trails may also be
acquired through donation at times of development.
The trails, fundamental to this Open Space Plan are
shown in detail on the accompanying map.
Scenic Corridors
Much support was shown for a new scenic corridor
connecting the Ray Roberts Greenbelt to Sher-
man Drive along Clear Creek. Unlike many of the
targets in this plan this area is not intended for trails
or habitat preservation. This corridor is intended to
provide an elegant corridor for autos entering and
leaving Denton. Methods of protection will vary,
and the standard is not as high as in the waterways.
Not all development needs to be precluded; this area
could even be home to some clustered rural housing
without crossing the intent of the scenic corridor.
This roadway will function as a natural gateway for
travelers.
Much of this land is not currently within the City of
Denton's jurisdiction and would require extensive
partnerships with other government entities and
private landowners.
Far Northwest Neighborhood Parks
There are currently a number of large, undeveloped
tracts of land in the far northwest area of the city.
With their connections to Milam, and ultimately
Clear Creek, this area could provide an excellent
access point to Denton's network of trails. The
large size of the sites, along with their proximity to
expected future development give it much potential
as a location for one or more neighborhood parks.
This land would need to be obtained through
outright purchase, but may be aided by parkland
dedication, and fees in lieu of land for nearby
developments.
Northwest Urban Trail
Much future development is expected near the
intersection of Loop 288 and I-35W. Along with,
or prior to this development a trail system should be
put into place. The route could be roughly circular
connecting both sides of each major roadway to
each other and to the trail network located to the
east. The precise location should be determined
through a localized process. Unlike many of the
other trails mentioned, this trail does not follow any
significant waterway. This means that donations or
easements that may normally result from the need
to protect the waterway will not apply. There may
however be potential for donations of land during
time of development. Easements may also be
employed for this site.
Far Northeast Denton
North of Mingo road and east of Loop 288 there
sits a large area of relatively undisturbed land. This
area, while not containing any significant stream
related habitat, could be an important piece of open
space for nearby residents. Workshop participants
felt that this site would have to be purchased
outright, but would be a worthwhile investment.
Unique or Opportunity Sites
(dependent on availability)
Occasionally particularly desirable sites become
available for acquisition that would be of substantial
benefit to the entire community. There are several
examples of particularly fine sites that have the
potential of helping define the community. These
should be shepherded into public ownership using
any appropriate tools to assure their protection for
the community benefit. -
Key Unique or Opportunity Sites
Large Sites Containing Habitat
Intensely zoned parcels that contain either water
related or upland habitat should be examined for
potential protection.
Sites Containing Prairie or
Park Potential
There are several sites around Denton that while
they contain quality prairie lands, are not being
singled out in this analysis. This is partly because
there is little to distinguish these sites from one
another, and protecting all of them would mean
using up a large portion of Denton's buildable land
supply. However, these sites can play an important
role. The areas inside the city are well served
by neighborhood parks. As development occurs,
monitoring other suitable sites in developing areas
can help to ensure that the level of park service
remains high. There is no general rule in terms
of acquiring these properties, as each case may be
different.
Daylight Downtown Streams
Several portions of Pecan Creek and its various
branches have been placed underground. These
streams are often referred to as the WPA drainages,
as they were construction by the works progress
administration. Many urban areas have begun
experimenting with day lighting or bringing these
streams back to the surface and usually adding
trails. Sometimes this involves rerouting the
stream, but more often channels are simply opened
up and the banks reconstructed. These streams can
add beauty to an area as well as provide business
opportunities such as outdoor cafes that are oriented
toward the stream, and a trail along the side.
Culp Branch
This stream running near and ultimately into the
Elm Fork of the Trinity could be useful for pollution
control, access to nature, and simple preservation.
Multiple methods of protection could be employed,
but will likely involve either acquisition or
easements. This stream, especially just prior to
the confluence was highlighted by the workshop
participants. Many such similar situations may
arise as development or even further study brings
additional areas into the spotlight.
Land Protection Tools
and Techniques
Acquisition
Of all the implementation techniques, this is
the most flexible, and allows for the permanent
ownership of land, the full right of access by any
public member, and the full rights of management
of the land in the public interest. It is also the most
expensive, not only for the purchase price, but the
land is removed from the tax roles, no profitable
enterprise is conducted on the land, and it then
becomes a public burden for maintenance.
Since it involves direct expenditure of public
funds, this tool is one that should be used sparingly,
and only for sites that cannot be protected in any
other way. There are special sites that should be
protected, regardless of the cost, and this should be
used as a final resort to assure their preservation.
Therefore, this tool should be used selectively, in
areas where either public management is needed,
or public access is important for the purpose of the
park to be achieved.
City park funds - fee in lieu
of dedication
Money is placed in the general park fund through
fees on new development. Large developments will
usually be creating their own parks to address their
localized needs. Smaller development, and large
ones in certain instances provide money in lieu of
parkland dedication.
Bonds
Approved by voter referendum, General
Obligation Bonds may be used to finance
acquisition, easements, or construction. These
bonds are most often used when the proj ect will
not generate enough revenue to cover the cost
of the improvements. Revenue Bonds are also
useful as they can be used for proj ects that will
eventually produce enough income to cover their
debt. Regional parks are examples of sites where
Revenue Bonds can successfully be employed.
City drainage funds
The City has recently implemented a new surcharge
on property to enable compliance with the clean
water act, flooding, and other problems associated
with runoff.
The drainage charge is calculated for impervious
surfaces on properties. Impervious surfaces
represent surfaces that contribute runoff into the
storm water system including the basic building
structure, garages, roofs, patios, driveways, parking
lots, etc. Many of the improvements associated
with protection of stream corridors may fall under
the auspice of the purpose of the drainage fund
program.
Open Space Bonds Funded by
Property or Sales Tax
Agreements in Lieu of Annexation
The City of Denton has achieved some measure
of success in signing a contract with a landowner
where he or she will agree to not develop the
property to urban levels in exchange for the city
passing over the option to annex the property. In
cases where conservation, not access is the goal,
these agreements may be employed.
Land Exchange
Public entities occasionally have properties that are
of suitable size and location to make them attractive
to be traded for private lands desired for open space.
Land exchanges are done on the basis of appraised
value rather than size. Land trades can be time-
consuming and complex but can be beneficial to
both the seller (no tax for an equal exchange) and
the purchaser (no cash required).
Under federal and state tax laws a landowner
may exchange one tract of land for another. An
advantage of such transaction is that capital gains
taxes are deferred. For example, the swapping of
privately owned land with conservation value for
publicly or private nonprofit owned developable
land.
Acquisition of Development Rights
(Conservation Easement)
Transfer of specific interests in land (rights) from
a landowner to another party. For example, an
easement may specify that all or part of the land be
left in a natural state through the transfer of all or
limited mineral rights, timber rights, subdivision
rights, etc. It may allow restricted or unrestricted
public access. The landowner may retain ownership
and specified reserved uses, while the easement
holder has the right to enforce restrictive conditions
included in the easement. Appraised value and,
therefore, property taxes and estate taxes, are
routinely reduced in proportion to the reduction
in land value when an easement is donated
to a government agency or private nonprofit
organization. Easements must be in perpetuity to
qualify for federal and state income tax advantages.
Regulatory Protection
Density Transfer (already established
in Denton Code)
One of the most effective regulatory provisions
in mitigating reduced land values is a density
transfer system. With density transfers, a property
owner has the right to the same number of units
and allowable uses, but the units are transferred on
the same parcel from more sensitive land to less
sensitive land. With density transfers, the economic
effect of environmental protection may be almost
benign - especially in residential developments.
The focus of a density transfer system is more on
how to design with nature, rather than how much
to diminish the overall development intensity. We
recommend that density transfers be permitted as a
property owner's right and not subject to approval
through a discretionary decision-making planning
process.
No action is needed to implement this section,
however, developments that occur in areas that have
been identified, as key open space areas should be
encouraged to use the density transfer provisions
to their fullest extent in order to facilitate the
implementation of this plan.
Transfer of Development rights
One method that has been used to protect open
space lands is a Transfer of Development Rights
(TDR) system. Several states throughout the nation
have TDR programs that are two decades old or
older. In a TDR system, the area to be protected is
designated as a "sending zone," in which a certain
number of units per acre are credited to the sending
area. A "receiving zone" also is set up where the
development rights can be transferred. By buying
the development rights from a farmer, a developer
can achieve a higher density in the receiving zone
than otherwise would be permitted. The beauty of
a TDR system is that the compensation amount is
determined privately between the property owners
involved-and the result is permanent protection of
the farmland.
Accompanying this document is an appendix
that contains a Transfer of Development
Rights ordinance that can be added to Denton's
development code.
Summary
This list of strategies is not exhaustive as other
programs may be available that have not been
brought forward. Strategies noted may be modified
or used in combination. The overriding theme
is that no one strategy will be acceptable to all
property owners nor provide the right mechanisms
for achieving the goals of this plan. A number of
strategies are listed as it is recognized that it will
take a number of different ones working together
to be successful. While certain areas have been
targeted as examples for a particular strategy, this is
not intended to limit the tools that may be brought
to bear to achieve the goals of this plan.
Conclusion
This plan is intended to further this vision of the
plan, and lead to specific action that will lead to
a Denton that is as good as, or even better, than
the place we live today. One thing seems certain
to the people of Denton - if we build a successful
economy, an efficient transportation system, and a
good education system but neglect open space, we
will have failed.
The public benefits of open space, in its various
forms, may range from aesthetic appreciation
to food production and recreational uses. These
values contribute to the wealth of the region,
boosting its economic, social and natural capital,
and contributing to the long-term sustainability of
the community. Open space, in all its forms, is not
just a land use designation, but also a value in its
own right, as well as having added value that is
associated with other land uses such as agriculture
and outdoor recreation. Open space also benefits
public safety, preserves scenic resources, provides
a buffer and delineation between developments and
serves to protect wildlife and natural habitat. It is
these open space lands that serve as the heart of
Denton's "quality oflife."
S:\Our Documents\Ordinances\05\Open Space Concept Plan Ord.doc
ORDINANCE NO.
AN ORDINANCE OF THE CITY OF DENTON, TEXAS AMENDING THE DENTON
COMPREHENSIVE PLAN TO INCLUDE THE OPEN SPACE CONCEPT PLAN; AND
PROVIDING FOR AN EFFECTIVE DATE.
WHEREAS, on December 7, 1999 the City of Denton adopted the Denton Plan, 1999-
2020; and
WHEREAS, the City Council has been presented with an Open Space Concept PIan
amending the Denton Plan, a copy of which is attached hereto and made a part hereof by
reference; and
WHEREAS, the Planning and Zoning Commission, after conducting a public hearing,
recommended approval of the Open Space Concept Plan; and
WHEREAS, the City Council, after a public hearing, fmds that the Open Space Concept
Plan is in the public interest and will promote the health, safety and general welfare of the
citizens of Denton; 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 and are true and correct.
SECTION 2. The City Council hereby approves the Open Space Concept Plan.
SECTION 3. The City staff is directed to change the Denton Plan in conformity with the
Open Space Concept Plan.
SECTION 4. This ordinance shall become effective immediately upon its passage and
approval.
PASSED AND APPROVED this the
day of
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY.
BY:
APPROVED AS TO LEGAL ORM:
EDWINM. S , cn ATTORNEY
EXHIBIT 2
BY:
Parks, Recreation and Beautification Board
Minutes
American Legion Hall
May 3, 2004
Members present: Geri Aschenbrenner, Teresa Andress, Dale Yeatts, Jo Kuhn, and Chuck Smith.
Members absent: Ross Richardson and Reggie Heard. Staff present: Janet Simpson, Bob Tickner,
Janie McLeod, Emerson Vorel, and Ken Washington. Others present: Jane Malone, Anna
Broderick, Hal Evans, and Jim Avera.
Chairman Teresa Andress called the meeting to order at 6:00 p.m.
Awards and Recognition - The Park Operations staff was congratulated for their work on making
the Denton Arts Festival and Cinco de Mayo successful events in spite of the poor weather
conditions.
Approval of Minutes - The minutes stood as distributed.
Action Items
Consider a Recommendation to Endorse the Denton Open Space Master Plan. Janet reminded the
Board that the Open Space Plan had been brought before them at the March meeting and they
directed staff to bring the Plan as an action item before the Plan goes before Planning and Zoning
and finally to City Council.
Jo Kuhn made a motion to recommend the Denton Open Space Master Plan to the Planning and
Zoning Commission. Dale Yeatts seconded the motion and it passed unanimously.
Consider a Recommendation to Approve the Lake Forest Conceptual Master Plan. The Board
requested this item be brought back as an Action Item at the June meeting.
Consider a Recommendation for a Chapter 26 Use of Park land at the New Briercliff Park for
Purposes of a Public Street. Bob reviewed the plans and maps for the development of the
Briercliff Park. He said that the City Engineering Department has requested the use of 0.546
acres of park land for a new street right-of-way in order to construct a new roadway to avoid a
floodway. After the land was purchased for the street, detailed engineering determined the right
of way needed to shift to the North to avoid major modifications to a small pond and the stream
channel.
Geri Aschenbrenner made a motion to allow the construction of the new proposed Unicorn Lake
Boulevard onto a 0.546 acre strip of Briercliff Park. Dale Yeatts seconded the motion and it was
unanimously approved
DISCUSSION ITEMS
Receive a Report and Discuss the 2005 Capital Improvement Program. Janet reviewed the process
that the Parks and Recreation Department staff used to develop a preliminary list of park and
facilities needs, including the 2000 Denton Parks and Recreation Master Plan, individual park
EXHIBIT 3
master plans, service and program demand and citizen input. Janet stated that as the process
continues the board would have an opportunity to comment and offer suggestions for the future
bond program.
DIRECTOR'S REPORT
Staff Report on the Denton Youth Sports Association. Representatives from various sports
organizations gave reports on league participation and anticipated growth in their programs. Jane
Malone with the Denton Soccer Association reported a total of 1,545 participants with 147 teams.
Jane added that the number of participants could double in the nextlO years. She discussed the need
for an indoor soccer facility and that more outdoor practice fields are needed.
Anna Broderick with Denton Girls Softball Association reported 268 players with 65 select
players making a total of 23 teams and six select teams. Anna said within the next five years
there could be 40 or more teams.
Hal Evans and Jim Avera with Denton Boys Baseball, Inc. said that they had 960 players with 83
teams and that they play games every day of the week except for Wednesdays and Sundays.
They expected their numbers to double within the next 10 years. They stated that more practice
fields are needed.
Ken Washington, Athletic Coordinator gave a presentation of the responsibilities and duties of
the athletic manager position.
Customer Requests Bring Changes at Water Works Park for 2004 Season. Janet reviewed the
distributed press release regarding the new prices for Water Works Park.
CCA Update. Janet provided an update on the annual testing for arsenic levels in the wood at
Eureka playground. In addition to testing, staff has placed precautionary and informational signs
at the playground and on the department's web site.
Project Status Report. Janet commented that the contract for the renovation construction for the
Civic Center would be on the May 5th Council agenda.
Keep Denton Beautiful Report. There were no questions.
Items for Next Meeting. Lake Forest Conceptual Master Plan and the 2004-05 Budget.
There being no further discussion, the Vice Chair adjourned the meeting 7: 16 p.m.
Parks, Recreation and Beautification Board
Water Works Park
April 5, 2004
Members present: Jo Kuhn, Geri Aschenbrenner and Reginald Heard. Staff present: Janet
Simpson, Bob Tickner, Emerson Vorel, Janie McLeod, John Whitmore and Lancine Bentley.
Vice Chair Jo Kuhn called the meeting to order at 6:00 p.m.
Awards and Recognition - Janet announced that the department had been presented with three
awards from the state TRAPS conference.
Approval of Minutes - Minutes were approved as distributed with one correction. Under
Discussion Item - Civic Center Concept Plan - in the second paragraph first sentence read: "She
added" and should read "He added".
ACTION ITEMS
Open Space Master Plan. No action taken due to a lack of quorum.
Consider a Request from Metzler's Restaurant to Sell Alcohol Beverages at Cinco de Mayo. It
was the consensus of the Board members present to allow staff to conduct a poll of absent members
on this item. Janie McLeod polled the Board and received unanimous approval for the sell of
alcohol beverages at Cinco de Mayo.
DISCUSSION ITEM
Lake Forest Concept Plan. Bob reviewed the concept plan map and the comments from the public
meeting held on February 26th at Lake Forest. The long-range concept plan includes unlighted
athletic fields, recreation facilities, tennis courts, picnic and play ground facilities, a dog park, and
nature and jogging trails. He said there were about 50 citizens in attendance. Bob added that there
were no negative comments about the Dog Park being located in this park but that the residents did
say that they did not want lighted athletic fields in the park. There were concerns expressed about
the traffic flow on Ryan Road and the current entry location of the park might contribute to more
traffic problems. Bob told the residents that issue would be addressed.
Bob said the Concept Plan would be brought back to the Board at a later time for the Board's formal
approval.
DIRECTOR'S REPORT
Staff Presentation on Keep Denton Beautiful - Lancine Bentley gave an overview of the Keep
Denton Beautiful history, activities, the three main areas, and their committees.
Project Status Report. Bob said the skate park bids would be presented to City Council on Tuesday
and that the skate park should be operational by the end of June.
Keep Denton Beautiful Report - There were no questions on the distributed report.
Items for Next Meeting - Open Space Master Plan.
There being no further business, the meeting was adjourned at 6:50 p.m.
EXHIBIT 4
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PLANNING & DEVELOPMENT DEPARTMENT
MEMORANDUM
TO: PLANNING AND ZONING COMMISSIONERS
FROM: OPEN SPACE MASTER PLAN SUBCOMMITTEE
SUBJECT: OPEN SPACE SUBCOMMITTEE REPORT AND RECOMMENDATIONS
(SI04-00 15)
DATE: NOVEMBER 10, 2004
In January 2004, the Environmental Committee of the Denton City Council requested that Parks
and Recreation staff bring the Open Space Master Plan to the City Council for consideration.
The plan was presented to the Planning and Zoning Commission in work session on March 10,
2004 and April 14, 2004. The Planning and Zoning Commission held a public hearing on May
12, 2004, and at this time, the Commission formed an Open Space Subcommittee to review the
plan and make a recommendation to the full Commission.
The Open Space Subcommittee has met on June 11, July 8, and November 4 to consider the
Open Space Master Plan. At the July 8 meeting, the committee requested that the master plan
data be made available digitally and staff has been working on this request. Primary
considerations included whether or not open space in Denton is already protected through other
officially adopted documents, applicability of scenic corridors and time-frames for acquiring or
protecting the open spaces identified in the plan. The Subcommittee reviewed and discussed this
data at their last meeting and concluded that the digital mapping allows comparison of the master
plans of a variety of city departments and their effects of these on open space, and the ability to
coordinate open space in a more efficient and effective manner.
The Open Space Subcommittee recommends approval of the Open Space Master Plan with the
following conditions:
1. Remove specific sites listed in the "Priority Locations" section of the plan;
2. Clearly identify and distinguish between open space resources and areas that need to be
protected;
3. Consolidate departmental master plans to develop open spaces into use areas or multiple
use corridors for the sake of efficiency;
4. Re-title document as Open Space Concept Plan and Coordination Tool;
5. Parks and Recreation staff, in conjunction with other City Departments, study the
feasibility of implementing an open space and trail dedication requirement for new
subdivisions to connect and provide access/linkages where appropriate and in areas
where there is a plan or proposed network in place, and identify incentives;
6. Reword "Implementation Techniques" section as Land Protection Tools and Techniques;
7. Establish a Five-Year Action/Implementation Plan; and
8. Hire a Master Plan Coordinator to achieve Open Space Master Plan.
EXHIBIT 5
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DRAFT
CITY OF DENTON ENVIRONMENT COMMITTEE MEETING MINUTES
January 31, 2005
After determining that a quorum of the Environment Committee of the City of Denton,
Texas was present, the Environment Committee convened into an Open Meeting on
Monday, January 31, 2005, at 3:30 p.m. in the City Council Work Session Room, City of
Denton City Hall, 215 East McKinney Street, Denton, Texas.
PRESENT:
Mayor Pro- Tem Perry McNeill
Councilmember and Committee Chair Joe Mulroy
Councilmember Jack Thomson
EX OFFICIO MEMBERS
Howard Martin, ACM Utilities
Jim Coulter, Director of Water Utilities
Kenneth Banks, Water Resources Program Manager
Katherine Barnett, Utilities Special Project Coordinator
ALSO PRESENT: Kelly Carpenter, Director of Planning
Janet Simpson, Director Parks and Recreation
Dave Wachal, Water Utilities Coordinator
Gary Calmes, Utilities Finance Administrator
Kiersten Dieterle, Public Information Manager
Dedra Ragland, Comprehensive Planning and Research Manager
Larry Reichhart, Assistant Director Planning and Development
Dottie Palumbo, Sr. Assistant City Attorney
The Environment Committee convened its Open Session at 3:42 p.m. Committee Chair,
Joe Mulroy, informed the Committee that there were six agenda items for consideration.
ITEMS FOR INDIVIDUAL CONSIDERATION:
1) Consider approval of the Environment Committee meeting minutes of:
a. November 8,2004.
The minutes were approved as circulated.
2) Receive a report, hold a discussion and give staff direction regarding
information requested by the Environment Committee addressing gas well
development within the City of Denton as it relates to:
a. Location of gas pipelines to include gas well sizes and paths
b. Effects of tree preservation ordinance on gas well development/gas
transmission lines
c. Financial impact of gas well drilling
d. Mineral rights vs. surface rights
Martin stated that this item would have several presenters, Kenneth Banks, Larry
Reichart, Dottie Palumbo and Gary Calmes.
1
EXHIBIT 6
1 Kenneth started out talking about (2a) location of gas pipelines to include gas well sizes
2 and paths that was a request from the last meeting. We have used the data that was
3 provided by the Railroad Commission, Banks pointed out that there is a substantial time
4 lag. The information that we were able to get was released October 2004. Due to this,
5 there is a great possibility that the GIS does not reflect what is actually on the ground at
6 this time and should be considered as preliminary only. Banks pointed out on the
7 presentation that the pipelines are divided by sizes. There is a small pipeline proposed
8 that would be near Research Blvd. area. We have also received, since the creation of this
9 map, a preliminary proposal of a larger gas pipeline that would extend from the Hickory
10 Creek basin through the Rails to Trails all the way to TWU to capture from the well site
11 at that location. McNeill ask if this pipeline would be for a single well. Banks stated the
12 pipeline would be new, but it wouldn't be accurate to state that the pipeline would be for
13 a single well only. More wells will tie on to it. Mulroy stated that there would be at least
14 two wells on the TWU golf course. At this time, Banks asked for questions regarding
15 this item. Thomson asked why some are wells are plugged. Banks said there could be a
16 variety of reasons that a well could be plugged. The most common reason would be the
17 gas well is simply no longer viable and has been shut down. McNeill ask the difference
18 in a plugged well and a shut in gas well. Banks explained that a shut in gas well is one
19 that has been developed and will be available for future production. A plugged well is
20 one that was productive at one time and may no longer be economical to keep running.
21 Mulroy asked if we have contacted the major companies for their information. Banks
22 stated that the companies have been contacted however they are reluctant to provide the
23 information in a public forum. They have shared information on proposed pipelines but
24 have asked that we respect their privacy on this information. There are competitive
25 advantages associated with the pipeline distribution going in, in certain areas. Ifwe make
26 this information public, it could preclude any future information from these companies.
27 The existing pipeline information could be requested from them, however it would be
28 piecemeal. The advantage of getting this information from the Railroad is that it is
29 inclusive; the disadvantage is the time lag. The Railroad Commission data is not perfect;
30 there are pieces of information that are not included. There are options that we can
31 pursue on a local basis to try to obtain this information; it will require more work on the
32 part of the city. Mulroy stated that ultimately we want to be responsible for our own
33 map. Worst-case scenario, if an emergency happened with an explosion or catastrophe,
34 we would want to know where the pipelines are and how to tie them off. The fire
35 department will need a comprehensive map. From a revenue standpoint, Mulroy asked if
36 we have any compensation if the pipeline companies go through our right of ways. Do
37 we tax the pipelines on ad valorem basis for the value of the pipeline s stem? Dottie
38 Palumbo stated that we have several i eline a reements.
39
40 If they are actually in
41 our right of way, they pay $9 per linear foot. The process is that the companies have to
42 go through DRC and coordinate with all the cities various departments in their master
43 planning. One item of the agreements is if the cities need the pipeline relocated for any
44 reason, the companies have to relocate at their expense. The city tries to make sure they
45 bury their lines deep enough that they would never have to be relocated. Palumbo
46 believes the fee for collector streets is $1,500, for arterial street $1,000 and local street
47 $500. These agreements are based on a 10- ear a reement. The have to be renewed
48 eve 10 ears.
49 McNeill asked what other cities do.
50 Palumbo stated that the agreements vary from city to city. We have gotten Piano,
51 Carroll ton, Irving and Arlington's right-of-way use agreements and developed our
2
1 agreements from their agreements. McNeill asked if the fee is the same if there is a
2 natural gas pipeline like TXU. Palumbo stated that TXU is considered a gas utility so
3 they pay a franchise fee. Kamp asked how would we go about gathering all the data on
4 the map. Banks replied for pipelines, it would more than likely, be through the right-of-
5 way use agreements. We would have someone extract out everything that isn't included
6 in the railroad commission data and then entering that information. As far as getting the
7 information for gas wells, when the fire department issues a permit, it would trigger a
8 GPS location getting on the map with the associated information. McNeill stated that this
9 is a positive step in the right direction. We need the information when a company puts
10 any type of pipeline in. We have started to put in streets several times only to discover
11 there is a pipeline underneath. Thomson stated he believed there was an oil well.
12 Palumbo replied that she had called the company that was drilling the oil well and found
13 the following information. The oil well company had drilled into the water aquifer. This
14 well will not produce any oil because it was not completed properly to extract oil at this
15 point.
16
17 Action Items: Review permitting and taxing policies and look into the effort it
18 would take to provide more complete and accurate gas well and gas line
19 information.
20
21 Larry Reichhart (2b) discussed the effects of tree preservation ordinance on gas well
22 development/gas transmission lines. The intent was to have the gas well/gas transmission
23 line companies comply with the tree preservation ordinance. We complete a tree
24 inventory to see what trees need to be preserved. He explained that when the company
25 starts development of 100 acres, 25 acres of trees need to be preserved.
26 The only preservation right now for gas well mitigation is if they are in a flood plain.
27 That would be a one for one mitigation. Weare considering coming up with a formula
28 that if you take out a tree you will have to mitigate a tree. Maybe a one for one or 1.5 or
29 one for two. If we had a formula as such, we wouldn't need a tree inventory. As we get
30 going further with these transmission lines, it will become an issue trying to track all the
31 trees.
32 Martin stated that this discussion is very timely in that we will be dealing with this issue
33 very shortly; we have a company that wants to put a gas pipeline down our rails to trails
34 corridor. The plan is to put this gas line on the opposite side of the water line. When this
35 is accomplished, a large number of trees will have to be cleared. McNeill asked the name
36 of the company that would be doing this pipeline. Simpson stated that it would be
37 Crosstex.
38 Reichhart stated that we have just started talking to the fiber optic people providing
39 preliminary maps. Mulroy said that gas well development plat is just the overall
40 calculation of the property, nothing immediate needed right now as far as flood plain.
41 Reichhart replied, unless they are taking out more than the 25% of the trees, then there is
42 an issue. Typically, the companies aren't trying to take out trees; they do try to locate
43 around the trees. Mulroy said that if it is underneath the cap, Martin stressed when you
44 do that you put the burden on the property owner. The property owner understands the
45 effect of tree removal even though it isn't immediate in the resale potential of the
46 property. Martin asked if the committee was confident that would take place. McNeill
47 asked how that would be tracked. Martin said that would be a decision to be made, how
48 do you track it if you are tracking on a partial basis, and you are not getting any
49 mitigation upfront that puts the burden on the property owner when they come in to
50 develop. There is no guarantee that will happen. McNeill clarified "property owner has
51 the property, pipeline comes Ill, and is negotiated they take out 10 trees. How the
3
1 property owner wants to sell the property for housing projects, someone could come in
2 and say you have to mitigate 10 trees. Property owner could say they didn't know about
3 that. Martin suggested further, how do we know it was just 10 trees. Reichhart said it
4 shows on the development plats. If the plans come through Pre DRC, we know. We
5 aren't looking at private property easements. If someone sells a piece of property
6 through the middle of his or her property, we don't see that. Through Pre-DRC we can
7 ask for a tree inventory. McNeill asked how many potential spots are there we are
8 to have to keep track of this. Martin said look at all the properties that this is
9 going to traverse. Weare talking about mitigating each property at some future point and
10 time. Palumbo stated that gas well companies get easements going across property lines.
11 When they come to us, we make them follow the tracts of land as much as we can. Gas
12 wells go across several different properties, and when they file their development plat,
13 you could easily have 5 or 6 property owners, so it is hard to determine who would be
14 responsible. Palumbo also stated that you couldn't put houses on the gas transmission
15 lines. You have to go 20' to either side, and you can't put anything on the top of the line.
16 McNeill asked if it is our place as government to make that decision. He stated he
17 believes it is the property owners decision. Palumbo stated that we have an interest in
18 trying to maintain property values. McNeill disagreed. Reichhart said he didn't disagree
19 until that property owner comes in to complain. Mulroy said there is a burden of
20 diligence with any buyer or seller of property owner. Martin said the concern on the
21 other side is would you realistically ever expect any mitigation for any pipeline. Mulroy
22 said that it is ultimately up to the landowner. Martin asks how do we know what
23 mitigation responsibility for that landowner is. Mulroy said we wouldn't know until he
24 decides to develop the property, and then it works in the formula.
25 Reichhart stated what if the property is in the public right of way, rails to trails being a
26 perfect example. Simpson stated that it would be about 4,400 l/f, and they are asking for
27 a 20' permanent easement and a 25' temporary construction easement. You would have
28 to assume that you would loose 4,400 linear foot x 45' on the trail of trees. Thomson
29 clarified that you can't put trees or the trail on top of the pipeline. Simpson said that we
30 have been communicating with DCTA and they said the pipeline would have to be
31 pushed to the far southwestern section. There is also the question about whether anything
32 could be built if you were going to put a transit station on the rail trail, would the gas line
33 limit future plans. From a parks standpoint we are concerned about the character of the
34 trail and loosing the majority of those trees. Reichhart stated that from a mitigation
35 standpoint, what they would be removing would not equal 25% of the trees in the entire
36 rail trail corridor, which would mean no mitigation. Martin said that if you think about
37 the future use and if we do develop the rail system, there would probably be some
38 advantage to having trees on either side of the rail for ascetic purposes and noise
39 reduction; they would have an added value. Pete Kamp asked why there wouldn't be any
40 mitigation. Reichhart said that would be assuming that the majority of the rails to trails
41 corridor is tree lined. Simpson said that the 4,400 linear feet is just the section that has
42 the trees in it in this area. Reichhart said the remainder of the rails to trails has trees on it.
43 If you look at the entire property, even as the city, we could cut down trees as long as we
44 preserve 25% of the trees. You don't look at just the area being developed you look at
45 the entire property that we own. McNeill asked what is the entire length of the rails to
46 trails. Simpson said that it is 8 miles. McNeill said that would be less than the 25%,
47 Reichhart agreed. Simpson said the other thing related to mitigation and compensation
48 for parks, parkland is protected by state law. To allow this use the proposal has to go
49 though our city council for approval, council has seen the chapter 26 easements come
50 across parkland before. It also requires some kind of compensation for that use. On the
51 rail trail there are a couple of spots, depending on the route they decided to take. If they
4
1 take the southern route on Hickory Creek Rd, there is a section on Cross Timbers Park, if
2 they so the northern route it would cross Lake Forrest Park. Mulroy stated that this is a
3 proposition that is being brought to the city. Simpson agreed. Mulroy asked if Crosstex
4 is a utility. Simpson said it is not.
5 Mulroy asked what would be their choices if we do not strike a deal with them. In
6 Chapter 26, they have to prove out, that this is the only feasible option that they have.
7 Right now, this is the only alternative that they have shown us.
8 Reichhart said this is how hard it is going to be to calculate for the liner transmission
9 lines, how do we implement the tree preservation regulation as it is written. That is why
10 we talked about the 1.5 or something for mitigation. Mulroy said it has to be
11 proportionate. You can't be 1 to 1 or 1.5 to 1 because under the normal mitigation you
12 only have to replace 25% of the trees, which would be .25 to 1. Martin said that this
13 comes down to the methodology that you establish for that mitigation purpose. Even if
14 you want to use .25 depending on how you administer that, you could have some
15 mitigation vs. no mitigation. McNeill, from a practical standpoint that if we use a tree for
16 a tree or if they cut down four trees they have to replace one tree. Either they can pay for
17 that or they can plant the number of trees. Martin said you could either mitigate on that
18 property or you can pay. McNeill said the challenge with the pipeline coming down the
19 rails to trails is the aesthetics of loosing that many trees and noise barrier. Simpson said
20 that it would take out many trees which in some areas it is tremendously wooded.
21 Mulroy asked what size is the pipeline. Simpson didn't know. McNeill said that they
22 need 45' to get the digger down through there. He also said it also depends on the kind of
23 trees that are along the rails to trails. Mulroy said they ask for more footage than is
24 actually necessary. McNeill said we should start the negotiations with the reduction of
25 the easement width. Simpson said that at one point, the width was variable and we asked
26 for something more solid. The question was asked if the company has looked at what the
27 cost would be to go another route other than the rails to trails. Simpson said that is where
28 we are with them right now. They have only shown us this one route, and we said that
29 they would have to prove out other alternate routes. Mulroy said it would also depend on
30 your land configuration, how it is divided up.
31 McNeill said part of the challenge is knowing when something happens. What do the
32 companies have to do; they do not go through DRC with a pipeline. Reichhart said no,
33 not if it is a private easement. McNeill said is there any trigger on the lay in. Reichhart
34 said they are supposed to get a permit from the fire department. The fire department is to
35 inspect the installation of a pipeline. McNeill, when that occurs could something be
36 placed like a notice on the title for that property that is activity has occurred. In the
37 future, the deed could specify what has happened on this property. Mulroy said if you
38 mitigate now at .25 per tree, which may be an additional requirement above the existing
39 tree ordinance. The benefit of putting present day mitigation with that is that you will
40 change behavior. They will maybe locate their transmission lines where they don't go
41 through trees. Martin said that is what we want. Reichardt said that he would
42 recommend adding the .25 mitigation now to the gas transmission lines and fiber optic
43 lines.
44
45 Action Items: Recap, review and forward to
46
47 Martin stated the (2c) financial impact of gas well drilling is in the backup, and asked if
48 there were any questions. McNeill asked if this information was based on the 25-30
49 wells that are in the city right now, Banks agreed. McNeill asked where the 90%
50 depletion comes from. Calmes said that the appraisal district determines a production life
51 and volume for the gas well. They discount that 10-15 percent the first year. Calmes was
5
1 informed that the first year they lose about 90% of their production. After the first year,
2 the value of the well drops considerably. McNeill stated that there might be a huge sum
3 of money, but it won't last long. Calmes responded that the sum of money isn't that great
4 compared with the value of the wells. The tax rate isn't that great. Mulroy asked where
5 the revenue is going. Calmes responded that it goes into the general fund. McNeill said
6 that he doesn't think that money should be going into the general fund. It should be
7 earmarked and something should be done with it. The money will go away before too
8 long, it shouldn't just be dumped into the general fund to dissipate. Mulroy stated that
9 we aren't getting full compensation for the damage to our roads, so we should try to
10 make our streets whole first. Parks has collected about $54,000 in bonus money so far
11 and the money has been put in the general fund because there hadn't been any policy
12 discussions and council had not directed to put in a special fund. McNeill replied that
13 council has directed but the message didn't get across. McNeill said that he and
14 councilman Montgomery have been saying that the money needs to be set aside. There is
15 royalty money, ad valorem money and bonus money that has a finite resource and will go
16 away. All the money should go into a separate fund and then we should make decisions
17 on what to do with the money. Mulroy stated that the Mayor stated about three meetings
18 ago that the money should be treated as one time money and should not be dissipated
19 through out the general fund.
20
21 Action Items:
22 · Next meeting let us know what our choices are. Give us a recap of bonus,
23 royalty and ad valorem total dollars.
24
25 Martin talked about (2d) mineral rights vs. surface rights. He stated that Palumbo was
26 available for questions. Palumbo said that reasonable use fees would be decided by a
27 court. Is it reasonable? Can a well operator accommodate? Is it negligent? Weare
28 expecting this to change within the courts because of the entrance into urban areas. We
29 are monitoring legislation in Texas and in other states where they are trying to have a
30 state law for land use for gas wells. There is also the issue of road damage. We have
31 heard that within the last week that oil and gas well associations are going to the state to
32 try to repel any authority to collect money for damage to roads. McNeill stated that we
33 are familiar with this information but the public isn't familiar with this information. We
34 need to make sure that our citizens know that if they have mineral rights, they are in
35 charge. Banks asked for direction on how to progress with this information. McNeill
36 stated that he thought presentation to council and information on the webpage would be
37 sufficient. Reichhart suggested that we also have a place on DTV for this information.
38
39
40 3) Receive an update, hold a discussion, and give staff direction regarding Open
41 Space Master Plan.
42
43 Janet Simpson stated that after the meeting in October, there was a work session and a
44 public meeting on the open space master plan. The Planning and Zoning Commission
45 recommended approval of the plan. The subcommittee that worked on the open space
46 master plan had eight conditions they wanted to be considered.
47 The first one was to remove any specific sites that were listed under the priority locations.
48 Mulroy asked for Simpson's viewpoint on this recommendation. Simpson responded that
49 the description is broad in its description of planned areas and priority areas.
50 Second was to clearly identify and distinguish between open space resources and areas
51 that need to be protected. Open space resources are general terms and general areas like
6
1 flood plain and riparian areas. Again, the subcommittee would rather that instead of
2 talking about specific areas and protecting specific areas in the city, talk more in general
3 terms of riparian areas and natural habitats. Mulroy asked Simpson her thoughts on this
4 issue. Simpson said that if we deal with item number one that we have also dealt with
5 item number two.
6 Number 3 has already been accomplished. Dianna Sanchez and the planning department
7 have done a great j ob with consolidating master plans and putting a coordination tool
8 together.
9 Number 4 the committee had a concern with the term master plan, and preferred to go
10 with Open Space Concept Plan. Simpson stated think the content is more important.
11 Mulroy asked if the word "Master" was important for the sake of grants. Simpson said
12 that most grants are interested in an adopted plan.
13 Simpson read number 5, and responded we have a park land ordinance that requires
14 residential development to provide fees or land or fees in lieu ofland and the building
15 permit to state also per unit amount for residential development. Our ordinance is
16 specifically for neighborhood park development and nothing else. McNeill stated that he
17 would like to give the developments an option. They can dedicate it to the neighborhood
18 parks, trails etc., flexibility is very important. Mulroy stated that we agree to meet the
19 conditions on this plan and recommendations.
20 Number 6, the subcommittee wanted to reword the Implementation Techniques section to
21 Land Protection Tools and Techniques. Committee agreed that is not a problem.
22 Number 7, the five year action/implementation plan would be the next step after adoption
23 of this plan would be to move into the implementation phase. Committee agreed that this
24 is acceptable.
25 Number 8; hire a master plan coordinator to achieve Open Space Master Plan. McNeill
26 suggested that we take out the term hire, it could be someone that is already on staff
27 designated to be the coordinator.
28 Mulroy stated that we could accommodate the suggestions. Mulroy asked for a redline
29 document with the information. Mulroy said that we would recommend to council that
30 we were going to approve today as stated and then bring it forward for the council to
31 officially adopt. McNeill made a motion we forward the documents to council for
32 approval with the recommended changes that was recommended by P and Z and as
33 modified during the discussion.
34
35 Action Items:
36 · Generalize the specific sites on the open space master plan.
37
38 At this time, Mulroy had Dianna Sanchez to show her presentation for the Open Space
39 Master Plan on the GIS map. Sanchez showed aspects of the GIS map that they had
40 worked on for the master plan.
41
42 4) Receive a report and hold a discussion, and give staff direction regarding web
43 page development and 6 month environmental education campaign activities
44 that have occurred since the November 8, 2004 Environment Committee
45 meeting.
46
47 Martin stated that this is the time for the committee to let them know what they did like
48 and didn't like about the web site. Dieterle added that the site "went live" after the
49 holidays and had a good article from DRC on January 7. Since then, they have updated
50 the highlight section. The plan is for this section to be updated every two weeks. We
51 have updated the topic section and plan to update them at least once a month. Right now,
7
1 we are working on bio-solids and gas well information. Next step will be pretreatment
2 and the tree ordinance. Dieterle said that the topics will be covered on channel 42 and
3 include statements that will say for more information go to our environmental web site.
4 Denton magazine will also have the information.
5
6
7 5) Receive a report and hold a discussion regarding the process of information
8 exchange, staff review and municipal participation in state and federal
9 permitting process.
10
11 Banks asked for feedback from the committee related to municipal participation in the
12 state and federal permitting process. We have been involved in two major state and
13 federal permitting activities, one is for Safety Kleen and the other is for Acme Brick.
14 Banks believes we are at the point that we can evaluate. Banks would like to know what
15 was helpful to the committee, what improvements might be needed for future permits.
16 The air permit for Safety Kleen is not to far down the line. How did staff perform acting
17 as a liaison between the citizens, the City of Denton and the permit team themselves?
18 How much does the Environment Committee want to be involved in this process?
19 McNeill said that an executive summary would be the best. If the committee needs
20 further information, they can contact Banks. McNeill asked if Banks needs anything
21 from the committee as you go through these hearings. Banks said there are lots of
22 request from citizens for information. Banks would like to know if the committee would
23 like a summary of the questions being asked. Mulroy stated that a summary would again
24 be fine, if they have questions or need any information, they will ask. McNeill said it
25 would be helpful if council knew where these request were coming from. A standard
26 quarterly update would be great, unless there are specific issues as in Safety Kleen.
27
28 Action Items:
29 · Banks to e-mail updates quarterly
30
31 6) New business - This item provides an opportunity for Environment Committee
32 Members to suggest items for future agenda or to request information from the
33 Assistant City Manager of Utilities for future meetings.
34
35 Martin said this new business item is where we get input or instruction in where you want
36 to go for any new business that you want to add to the existing direction of this
37 committee.
38
39 McNeill asked how we were going to get rid of the "Goat Heads" in Skiles Park.
40 Simpson stated that when we put together the Integrated Pest Management program
41 together, we had two parks that we defined as totally organic. We were going to treat
42 pest with only organic methods. The parks were, Joe Skiles and Nettie Schultz. Because
43 of the soil conditions at Skiles it lends it selves to the stickers. If there are problems such
44 as poison oak, or fire ants we can treat them with chemicals and will be doing that at Joe
45 Skiles Park. We do post at the park the chemicals that are being used. McNeill asked if
46 we fertilize these parks. Simpson stated that IPM has been misunderstood. Some people
47 think that IPM means completely organic, and it does not. The best thing that we can do
48 at Skiles is to improve the soil condition. Parks plans to put down compost on the area to
49 try and improve the growing of grass. We typically only fertilize the athletic fields and
50 landscape beds.
51
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2
3
4
5
6
7
8
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There being no further business to come before the Committee, the meeting was
adjourned at 5:25 p.m.
Joe Mulroy, Chairman
Howard Martin, ACM/Utilities
Kim Mankin, Administrative Assistant
9
CITY OF DENTON CITY COUNCIL MINUTES
August 1,2005
After determining that a quorum was present, the City Council convened in a Special Called
Meeting on Monday, August 1, 2005 at 11 :30 a.m. in the Council Work Session Room.
PRESENT: Mayor Brock; Council Members Heggins, Kamp, Montgomery, Mulroy, and
Thomson.
ABSENT: Mayor Pro Tem McNeill
1. The Council received a report, held a discussion, and gave staff direction regarding
Emergency Medical Services (EMS) Billing and outsourcing opportunities.
Laura Behrens, Administrative Assistant-Fire Department, presented information regarding the
emergency medical services billing. She reviewed the EMS billing history and the method of
billing since 1992. Billing methods included a flat method that was a single flat charge for all
ambulance services, based on total operating expenses from the prior fiscal year and did not
account for allowable adjustments. The conventional method billed on set rates, mileage and
supplies, the amounts were based on Medicare rates or rates of neighboring agencies, was used
by most agencies and full cost recovery was difficult. Umbrella billing used pre-set or defined
targets considered reasonable and customary by insurance companies, differentiated billing
between insurance companies and patient direct allowed for more cost recovery and required
intense research and application of statistical methods to be successful. The current Denton
method of billing included a flat rate plus mileage plus supplies. Denton's EMS billing currently
had one of the highest collection rates compared to other agencies with in-house and outsourced
billing. She reviewed current EMS financial statistics dealing with operational costs,
administrative costs, and average cost of ambulance run and average cost of recovery per call.
Council discussion included:
. Philosophy of sending engines out on calls with ambulances.
. Consider having ambulances at each station so as not to send out engines with
EMS calls.
. Only dealing with cost of recovery of ambulance costs and not with cost of
engines provided.
. Number of times ambulance goes out with no services provided.
Behrens continued that all payers were billed the same and remaining balances after payment
were forwarded to secondary insurance or the patient. Staff currently worked with 10 major
insurance companies but also had 500 miscellaneous insurance companies on file. There
currently was a 3% denial rate on submitted insurance claims. After reviewing internal
procedures and surveying neighboring cities, it was determined that there were ways to improve
billing methods. Intermedics was a firm that was being considered for Denton's EMS billing.
Using that firm's billing methods, there would be a 22.8% impact on insurance billing, a greater
cost recovery, differentiated billing of insurance and private pay, the tracking of insurance
information through daily searches resulting in increased billing, statistical gathering, and
addressing identified needs within the department. Outsourcing would provide increased
revenue, would be more efficient with effective use of personnel, provide improved statistical
EXHIBIT 7
City of Denton City Council Minutes
August 1,2005
Page 2
information, maintain compliances and provide cost savings. Items to consider included closeout
of the current system, perceived loss of personal service, longevity of the outsourcing company,
rates that would be dependent on industry standards with possible fluctuations, and collections.
Council discussion included:
. If the service were outsourced, what would be the number of full-time employees
to reassign - one full-time employee would be maintained to work EMS
billing/liaison with outsourcing firm.
. Consider providing information on how savings would be realized.
. Why were the co-pays waived - city residents already paid taxes so the co-pay
was waived. This was a potential issue to consider, as there might be a substantial
increase in ambulance costs.
. Find out more information regarding the denial of insurance claims.
Consensus of the Council was that while there appeared to be a potential benefit to outsourcing,
more information was needed with proposals from several companies.
2. The Council received a report, held a discussion and gave staff direction regarding the
Denton Open Space Concept Plan.
Janet Fitzgerald, Director of Parks and Recreation, stated that the Denton Comprehensive Plan
envisioned an extensive system of open spaces for recreation, wildlife enhancement, and flood
control. She reviewed the amount of open space in Denton today and the definitions of parks,
open space, riparian and floodplains, Cross Timbers land, and agricultural lands.
Council Member Heggins left the meeting.
Fitzgerald continued with setting priorities. One was assessing the threat and resource values of
land in and around Denton. Threats included areas that were most likely to be developed and
potentially eliminate open space. Resources included areas that remain undeveloped and held
value as open space. Major recommendations included continue trails or trail corridors, continue
with regional park acquisition, protect and restore ecosystem habitats, and encourage scenic
corridors. Another priority was the urgent category that included environmentally sensitive land
that was under immediate threat of development. Near term priority categories were sites that
were zoned for high intensity development that should be monitored for any indication of
imminent planning applications. Near term general areas included Milam Creek Tributary, upper
reaches of Hickory Creek, BriarcliffPark area, Cross Timbers and Lake Forest Park area. Long-
term priority category included larger tracts of land that were not zoned for intensive use, but
which might be developed over longer periods of time and should be considered for
environmental overlay zones. These areas could be restored as prairie, maintained as riparian
areas, or set aside as wooded preserves in the context of the overall development. Unique or
opportunity priority areas included occasionally particularly desirable sites that would become
available for acquisition and would be of substantive interest. A summary of potential
implementation strategies included the transfer of development rights, conservation easement
City of Denton City Council Minutes
August 1,2005
Page 3
purchase, land trust donations, fee simple purchase, open space bonds funded by property tax or
dedicated sales tax.
Council questioned why priority locations were removed from the document.
Fitzgerald indicated that there was a concern that land values would be affected if specific sites
were pointed out causing the land to be used in that manner. She continued that the
recommendation was to develop a five year action/implementation plan after the adoption of the
Open Space Concept Plan to include review of the organization to allow for the coordination of
the plan rather than hiring of additional staff, evaluate the Park Land Dedication and
development ordinance to include trail funding, and provide a red-line document prior to any
public hearing at city council meetings.
With no further business, the meeting was adjourned at 1:20 p.m.
EULINE BROCK
MAYOR
CITY OF DENTON, TEXAS
JENNIFER WALTERS
CITY SECRETARY
CITY OF DENTON, TEXAS
City of Denton Open Space
Masterplan
The Denton Comprehensive Plan stated that
"The City of Denton recognizes the need to
value it environmental resources appropriately.
By identifying, protecting and preserving those
areas with ecological value, further loss of our
natural heritage can be avoided." While Denton
is a great place to live and work, part of what
defines the quality of tW€- life in Denton is
ready access to open space, both in the City and
in the many recreational opportunities nearby.
In addition to the quality of life benefits, open
space provides wildlife habitat, assists in
cooling the fierce heat of the Texas summer,
improves air quality, cleans and filters water,
and assists in flood mitigation.
DRAFT 10/2002
The Importance of Parks and Open Space:
Natural areas provide opportunities for
passive recreational activities such as
hiking and nature studies, while trees
provide shade in parks for sitting areas.
Quality natural environments and open
space amenities have become key decision
making factors in the location of
employers, as they try to attract workers.
Access to parks and open spaces,
augmenting a place's quality of life has
been shown to add to real estate values.
Landscaping with trees, shrubs and
perennials minimizes the need for
mowing grass and conserves energy and
money.
Natural areas provide habitat for a
diversity of flora and fauna - conserving
and protecting species diversity.
Plants play an important role in recycling
of carbon, oxygen, and nitrogen
compounds in the atmosphere.
Trees and shrubs are essential to soil
development and protect streams and other
watercourses from erosion.
Plants improve the quality and supply of
ground water slowly releasing moisture into
the water table from root systems~
Trees improve air quality by removing
airborne pollutants through their leaves
DRAFT 10/2002
Because of the many critical roles open space
can plan in our lives, it has come to be referred
lifr " "G
to as "Green n astructure. reen
Infrastructure is our Nation's natural life
support system - an interconnected network of
waterways, wetlands, woodlands, wildlife
habitats and other natural areas; greenways,
parks a~d other conservation lands; working
farms, ranches, and forests; and wilderness and
other open spaces that support native species,
maintain natural ecological processes, sustain
air and water resources and contribute to the
health and quality oflife for America's
communities and people."
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The Purpose of the Denton
Open Space Plan
All the benefits of Open Spaces will not be
realized without a plan of action. This plan
provides the framework by which Denton may
pursue more specific actions to preserve
environmentally sensitive lands and open space.
The residents of Denton have clearly articulated
their desire to retain open space and the unique
character of the region. This plan is meant to
build on the foundation laid by the Denton
Comprehensive Plan, and the newly adopted
Denton Development Code.
Open Space in Denton Today
Currently, of the 40,950 acres of the Denton City
and ETJ, 3,030 acres are in public ownership of
which 1,400 acres are in parks or protected open
space. Another 18,000 are vacant, privately owned
lands that are undeveloped today. It is on these
lands that future development will occur, and
where opportunities for new open space exist.
Land Use
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Public Ownership
The Denton Parks and Recreation Department
currently maintains 28 parks, open space and
hundreds of acres of yet to be developed land
designated for parks. This inventory ranges from
active, full-service facilities, such as North Lakes
to the public green surrounding the Courthouse.
Through the Greenbelt Trail, the City has also
realized huge successes with parkland that is
utilized in a natural state. In addition, the City
has developed an extensive system of bicycle
trails and has begun a more comprehensive
pedestrian trails system including rail trails,
equestrian facilities and greenway trails. Today
this extensive inventory includes 23 parks and 4
open space preserve areas, totaling just over
+GOO 1,200 acres of land.
Parks
We all know that parks are important to
people. Not only do parks provide a respite
from the noise and bustle of traffic and crowds
in cities and towns but they also provide the
stage for a whole range of social activities.
Parks, as a distinct type of open space, are
publicly owned recreational areas. They may be
a few acres of playing fields, or hundreds of
acres of natural areas for hiking, or passive
recreation, or a combination of both. However,
they are meant to be used by the public, and
have open access.
Open Space
DRAFT 1012002
Open Space is a more generic term that includes
parks, but also private areas that provide some
of the benefits of open space. Therefore golf
courses and cemeteries can be considered open
space, as are privately owned farms or ranches
that have been conserved through purchase of
development rights, or natural areas that are
privately owned, but similarly conserved. These
latter, privately owned open space areas provide
many public benefits, without the benefits of
entry by the public, but also without the tax
burden of ownership and maintenance.
One of the most important issues of urban
development in the coming years will be
identifying and managing areas that have
environmental and social importance.
Historically, environmentally sensitive areas
have been destroyed, in the name of 'progress' to
make way for development. Wetlands have been
filled, streams buried tumed into culverts, and
lakeshore areas filled and reclaimed. However, in
the last few decades, the people of Denton have
become increasingly aware of the value of a
healthy natural environment and open space.
DRAFT 10/2002
Floodplains & Riparian Areas
"Riparian' 'refers to those areas that are adjacent
to streams and lakes; often, it is also used to
refer to floodplains, wetlands and natural habitat
found within those areas. Riparian areas are
beneficial to water quality when they are
preserved and when the streams are lined with
natural vegetation. These areas, especially when
vegetated, provide stream bank stabilization and
filter and retain storm water flowing across the
stream buffer, thus helping to retain charmel
location, reduce flood potential, provide
important wildlife habitat and help to keep
streams and surrounding areas cool. The Denton
Development Code classifies these as the areas
within 100 feet from streams that drains over a
square mile in size, and 50 feet from streams
that drain less than a square mile. These
streams, and the point at which the stream
drains less than one square mile are on the
official Environmentally Sensitive Areas map.
The Denton Code also works to protect these
areas by providing property owners and
developers with significant incentives to transfer
development densities away from riparian and
floodplain areas.
However, some of the larger riparian areas and
floodplain have such large significance for open
space values, they should be considered for open
space acquisition, for drainage and flood control,
habitat preservation, air quality benefits, and
passive water quality treatment. Some of these
areas would also provide passive recreation
opportunities such as hiking, fishing, or
canoeing.
Water related habitat lands are farther from the
stream, but occupy important floodplain areas
and contain generally undisturbed native
ecosystems and wetlands important to the stream
health and the community's air and water
quality.
In Riparian and Water Related Habitat land&,
Lands, most development activities are
prohibited. The intention is to leave these areas
in a natural state, including most of their native
vegetation. This benefits many elements of
Denton's environment, most notably air and
water quality and flood mitigation.
F100ds have been a problem in Denton's urban
areas for much of its history, as some of the best
places to build in town often are the floodplains of
Pecan Creek. In addition to preventing property
damage, restricting development in floodplains
serves many other important functions. These
include water recharge, protection of wildlife
riparian habitat, and floodwater storage. The
Denton Development Code has fairly strict
development limitations on development in
floodplain. There are just over 3,000 tax lots that
he-lie partially within the 100-year floodplain,
with roughly 600 of those parcels being
completely contained within one of Denton's
many., floodplains. As a result a significant
number of housing units and many businesses
already have located in the floodplain, including
some of Denton's most urbanized areas, such as
the downtown with Pecan Creek running right
through it.
Cross Timbers 6.Qak l1,and
Cross Timber oak areas are unique upland
habitats to the Denton area. The ones
considered significant for open space values are
generally larger than 10 acres or more and
support a unique upland ecosystem. Standards
in the Denton Development Code in these areas
require that at least 50% of the habitat in these
large stands be conserved.
Approximately 75 percent of the Cross Timbers
and Prairie vegetation areas are utilized as
range and pasture. Major crops on the sandy
Cross Timber soils are peanuts, fruits, sorghum,
wheat, oats, com, and forages. Dairy operations
are common, but beef cattle cow-calf operations
are the predominant livestock activities.
Agricultural Lands
Agricultural lands are valued in Denton for many
reasons -Jheir beauty, their contribution to the
economy, and their value as open space and
buffering from other uses.
Agricultural lands protection often is controversial,
frequently because agricultural issues are poorly
understood. An important aspect to consider when
discussing agriculture is that it is a business and, as
with any business, profit is essential for its
continuance. Residents who move onto agricultural
land because of its pastoral nature often are disturbed
by the necessities of modem a-agriculture: around-
the-clock harvesting, manure spreading, pesticide and
herbicide spraying, and the presence of strong odors
and flies. Meanwhile, suburban residents can disrupt
the business of agriculture by clogging roads with
traffic, making the transport of agricultural equipment
difficult and hazardous, owning animals that harass
livestock, and filing nuisance complaints against
farmers.
In agriculture, it also is important to understand that a
farmer's land is his or her primary capital asset after a
lifetime of work. Urban residents value the open space
that agricultural land represents, but zoning that
restricts land use to agriculture only is often resisted
by the farmer if the land can be sold for urban uses -
as that will maximize the return to the farmer.
DRAFT 10/2002
In Texas, where county zoning is not permitted,
agricultural land protection can best be
accomplished by either transfer of development
rights or by the purchase of conservation
easements, or agreements in lieu of annexation.
(See Implementation Chapter for specifics)
Other wWildlife hHabitat
Important wildlife habitats include prairies and
riparian areas as well as forested areas such as the
Cross Timber lands. Many species' existence
depends on the continued health and connectivity
of these habitats. White-tailed deer, raccoon,
armadillo, squirrel, quail, and mm+rning dove are
just a few examples of the abundant wildlife in the
regIOn.
DRAFT 1012002
Setting Priorities
Threats to Open Space
With the hundreds of thousands of acres of
open space that are in and around Denton, a
system of prioritization must be established to
identify those lands that are best suited to
protection. Utilizing the power of Geographic
Information Systems (GIS), computer-mapping
models have been created to assess the threat
and resource values of these lands in and
around Denton. This computer model is built
into two distinct parts. The first model
analyzes the resource potential of all the land,
while the second calculates potential threats to
these resources from development. Together,
these components are brought together to
determine that land that is both of most
resource value, and that is most threatened.
The result is a mapping of areas with the
mathematical highest priority for protection,
preservation, or acquisition.
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DRAFT 10/2002
Value of Resources
Threat of Loss
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DRAFTt0l2002
Composite Map
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Undeveloped Lands
Land areas that have yet to undergo significant
human alteration are more valuable as open
space for numerous reasons. Of utmost
importance, conversion to open space can be
accomplished without any displacement of
human settlement, helping to ensure that no
individual resident is forced to take on an undue
burden for the good of the rest of Denton's
residents. Additionally these lands will be both
cheaper to acquire due to lack of development
and more likely to contain habitat and natural
areas that are considered valuable as open
"n::lrp
Environmentally Sensitive Lands
Many of the key habitat and open space
resources occur on lands identified in the
Denton Code as Environmentally Sensitive
Areas. In determining potential value of open
space, Floodplains, Riparian Habitat and
Upland Habitat are key factors. These areas
contain not only areas that are likely to be
relatively undisturbed, but also areas that
feature prime habitat for a number of species.
Preserving these lands can playa crucial role
in retaining diversity of species. Residents will
also reap the rewards of protection through
such issues as flood control, lower
temperatures in the summer, better air quality,
and access to both the natural areas and
potential trails that might be run through these
areas. These lands are not as valuable to land
owners, as the building potential is lower;
accordingly, as with undeveloped land above,
these areas will be less expensive than
developed, or easily developable areas.
Threats leadin2: to loss of open space
Proximity to roads and service
The Proximity of open space to infrastructure can
help to estimate how threatened a specific site may
be. If there is already infrastructure in place, such as
roads and sewer, then an area is likely more
susceptible to new development. By recognizing
these areas, and those where services will soon be
extended, a potential threat from development can be
identified.
Future Population or Employment
Concentrations
The zoning types in the Denton Code carry much
detail, ranging from landscaping to allowed uses.
Paramount to Open Space planning is the land use,
and subsequently the intensity of future
development. Further, while not proscribing zoning
for areas outside the city, but inside the ETJ, the
Denton Comprehensive Plan provides an
estimation of the expected future development
density. Densities were analyzed in a gradient
fashion, with highest densities having the most
potential threat to open space resources. This
calculation of likely future was used in conjunction
with the proximity of roads and services to
determine the combined potential threats from
development.
Access to population
The current Denton parks system serves most of
the population with parks within 'fa- y. mile walking
distance. This is quite a high standard for the
provision of open space. New development,
however, will need to be served with additional
open space outside the existing City Limits. In
addition, completion of the system of trails within
the city should remain a high priority as this
contributes the interconnectivity of the overall
system of open space as well as to accessibility to a
'cler population.
DRAFT 10/2002
Working toward
Consensus - The Denton
Open Space Workshop
On February 27, 2002, the City of Denton sponsored
an Open Space Workshop to help draft a plan for the
Denton region. The workshop was designed to help
develop both a priority list of sites for the Open
Space Network, plus recommendations on methods
necessary and a decision making structure to help
decide future questions of open space need.
The workshop process enabled participants to choose
which areas they felt should be of the highest priority
and give valuable input about the future of Denton's
open space. Participants worked in two small groups
to create alternative plans, and those plans were
analyzed. The plans were then synthesized into one
final conceptual open space plan that incorporated all
the key themes and ideas presented throughout the
workshop.
The workshop resulted in an interconnected open
space system featuring continuous trail linkages
among the existing and proposed open space
acquisitions.
The workshop provided numerous specific ideas for
the enhancement of the open space system that will
form the kernel for its expansion. Most of the ideas
are applicable to the wider landscape and can be
I interpreted~
Open Space Plan - Introduction
Key Plan Elements
The plan includes the primary elements that are
described in the following discussion. As a plan, the
map should be interpreted, not as a parcel-specific
plan, but rather as a guide to a conceptual open space
master plan. There is considerable flexibility among
the component parts in terms of implementation.
Conservation sites may ultimately be acquired or
dedicated as open space through the development
process, and acquisition sites may be partially
developed in exchange for public ownership of key
areas, but it should be a guiding document for the
development of a comprehensive open space system
in Denton.
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DRAFT 10/2002
Trails or Trail Corridors
The Community Trail Network
Trails are to be both regional and local in scale and
should provide potential destination oriented trips
such as work or shopping while also providing a
recreational component. Trail networks are
identified that establish new, or that enhance
existing, regional and cross town routes,
connecting major centers of activity with non-
motorized routes. Additionally, enhancing the
pedestrian connections along local and regional
transportation routes also is important.
A variety of trail types allows for many different
uses. For example, a good trail system employs
both hard and soft surfaces. Hard surface trails are
generally for use by walkers, skaters, bicyclists,
and people with disabilities. These trails are the
ones which will serve both recreation and
transportation functions. Unlike the hard surface
trails, which might start off as natural and only
later be paved when funds are available, the soft
surface trails will serve the Denton's nature
preserves and other areas where the focus on
natural resources takes precedence over the need
for mobility.
In addition to pedestrian-only trails through
sensitive natural areas and off road bicycle trails in
less sensitive ones can provide both important
access to Denton's Open Space and important
transportation links. Denton currently has a trail
network that runs just under fifty miles in length.
The most notable of Denton's trails are the Ray
Roberts Greenbelt connecting the City from Lake
Lewisville all the way to lake Ray Roberts, and the
more recent Rail to Trial conversion extending
Southwest from Downtown Denton to beyond the
city limits. Many of the drainages within town,
such as Pecan Creek for example, have many
places where 'Volunteer" trails have been created
to supplement the official trail network. These
'Volunteer" trails are a result of people walking or
biking over the open land, in essence showing us
where they would like the improvements.
Additional unofficial trails can be seen at North
Lakes Park.
Regional Parks
Regional Parks are places for recreation,
education and rejuvenation and provide for a
vast array of native fish and wildlife. Regional
parks are unique jewels featuring sensitive
habitats, awesome landscapes and views, trees,
heritage buildings and sites and basic facilities.
The North Lakes Park off of Bonnie Brae Road,
just North of University Drive is a shining
example of a Regional Park. lt offers a range of
recreation alternatives and serving residents
from all parts of the city with its ball fields and
courts, Community Recreation Center, Trail and
wildlife to name a few attractions. North Lakes
Park is also well positioned to serve a future
expansion of population to the north, running
up to and just past Loop 288.
Ecosystem Habitat
Many of the habitats in the Denton region have
been degraded over the past decades, and in
some cases permanently altered, by urban
development and sprawl. Protecting and
restoring these habitats requires an
understanding of comprehensive ecosystem
function and all the interconnections that
combine to support the health of any particular
habitat.
An ecosystem approach to management habitat
recognizes the interrelated nature of air, land,
water and all living beings. Rather than
geopolitical boundaries and departmental
divisions, this approach calls for creative
partnerships that look at natural boundaries,
such as watersheds, as the unit of management.
Participants at the workshop identified several
areas important for their quality ecosystems and
amount, or diversity of habitat. One of the
highest ecosystem priorities identified is the
Hickory Creek drainage, stretching from Lake
Lewisville up to at least 1-3 5W At just about
the same level of interest to the group were the
Pecan and Cooper Creek drainages. As these
two streams get closer to Lake Lewisville the
amount and diversity of habitat increases, while
at the same time there is less human alteration
visible.
DRAFT 10/2002
Scenic Corridors
Scenic Corridors are linear open spaces
paralleling major thoroughfares that provide a
sense of openness for the community by
preserving the natural setting, providing views of
nearby hilltops, linking vista corridors along
major washes and buffering adjacent land uses
from traffic.
Access points along the corridor make it possible
for residents and visitors to experience these areas
through hiking, horseback riding, biking, nature
studies, bird watching, scenic viewing, picnicking,
and more.
Scenic corridors are generally described as "the
view from the road" and can best be defined as the
visible land area outside a road right-of-way. They
vary in width according to topography and
vegetative cover; flat open areas will have wider
corridors than steep, narrow canyons or densely
wooded areas.
Denton's most popular Scenic Corridor to date is
the Lake Ray Roberts Greenbelt, providing access
for hikers, bikers, horses and even canoe and
kayakers. Participants saw much value in
continuing this greenbelt South, to and along Lake
Lewisville with an eventual connection to the
existing Rail to Trail conversation leading
Southeast from town. Additionally much support
was shown for a new scenic corridor connecting
the Greenbelt to Sherman Dive along Clear Creek.
Criteria for Delineating
Scenic Corridors
Angle and Duration of View
The angle at which the landscape features may be
seen from the roadway, in both directions of travel,
the foreground features framing them, and the
period of time they can be observed all bear on the
delineation of the corridor and must be taken into
consideration
Topography
When landforms, such as the crest of a ridge bring
the range of vision from the roadway close to the
right-of way, the entire visible area should be
included in the corridor.
DRAFT 10/2002
Priority Locations
Urgent
Environmentally sensitive land that is under
immediate threat of development is the highest
priority for consideration. An evaluation of potential
codes that might protect the critical resources is the
first stage. This will establish the basic core that can
be protected under regulatory processes. Secondly,
the proposed development design should be reviewed
to evaluate the degree to which it accommodates
other resources that are present on the site. There are
often possibilities for improving the sensitivity of the
design in the context of the existing resources.
~ Typical Urgent Sites
Lower Reach of Hickory Creek
Today the South East Denton Ranch Lands are host to
The following are general locations and represent
Beginning at Fort V'forth Drive, tIhe Hickory Creek
area Drainage flows southeast toward its confluence
with Lake Lewisville. With much prime habitat and
its close proximity to residents in the southern portion
of the city, Hickory Creek is a valuable for habitat
protection, trail potential, and access to nature.
Preservation of this efltH:e-corridor is also vital for
pollution control. Much of this area is currently
owned by the United States Army Corps of
Engineers. Land owned by the Corps can often, and
should in this case, be protected through public
easements. The use of easements being much more
economical than outright purchase, and the unique
ownership situation both make this site a distinct
short term possibility. The City has had success to
date in signing agreements where the city will agree
not to annex the property, if the owner declares that
he or she will not develop the property to urban
levels.
types of open space areas that indicate the highest
priorities for consideration. These locations were
identified because they are important open space
resources, such as flood plains, riparian areas, historic
and cultural locations, and/or environmental sensitive
areas. a ',vandering herd of Longhoms. This site has
cultural
~Agricultural and Ranch Lands
These lands have cultural value as well as being
a fine example of quality prairie land. These
lands would be a valuable asset as a regional
park combining a fine natural environment with
large areas that could be developed as
recreational facilities. It could also support
prairie restoration.
These lands could be considered prime for
development due to its size and its location in
Denton. With its relative lack of
environmentally sensitive areas properties such
as this are may prove to be very expensive to
acquire. Unfortunately, sites of this size are not
very useful if only small easements are
purchased. Therefore the South East Denton
Ranch Lands Therefore this type of land tract
would likely have to be purchased outright with
public monies.
~toDs South of Denton (Pilot Knob) Historic
an Cultural Locations
Pilot Knob is a 900 foot high protrusion located
southwest of Denton on the eastern edge of the
Grand Prairies, one of three major
physiographic regions in Denton County. The
knob, capped by dark bro,:," arenaceous
ironstone, consists mostly of sandstone.
Centuries of running vmter have formed three
cementlike sandstone ledges which, from a
highest points in north central Texas, Pilot
Knob "vas used as a lookout station or signal
point by members of the Caddo Indian
confederacy, by Spanish and American
pioneers, and later by Texas Rangers. Sam Bass
lookout or hiding spot. In the 1890s it became a
favorite picnic spot for family outings..J1!
addition to agricultural and rach lands, there are
other land areas that hold significant cultural
value to the Denton community.
These locations may be unique land formations
and/or locations of historic events that have
become icons to the Denton area and should be
protected or preserved.
DRAFT
Clear Creek Natural Area
Just Northeast of the city limits Clear Creek
flows toward the East through some
exceptionally well preserved lands. Acquisition
of lands in this area can provide a full array of
benefits, ranging from trail linkages and access
to nature to habitat protection. Sites such as this
can also be excellent locations for interpretive
centers. The most urgent target for this drainage
is tho land surrounding tho crossing at Shorman
Drive and continuing along to the east v/ith the
Eastern portion along Hardee ~ a prime
target site. Should include areas most likely to
be affected by development first. Currently this
is the most eastern sections of Clear Creek.
Preservation of this entire corridor is also vital
for pollution control.
Pecan and Cooper Creek Drainages
These two roughly parallel drainage ways
were highly valued by the participants at the
workshop. Running from Loop 288 to Lake
Lewisville, these corridors provide key trail
linkages, important access to open space,
and preservation of important habitat. These
areas are unlikely to be host to any
significant public facilities or destinations
and therefore are likely best candidates for
protection through easements, with outright
acquisition as a last resort for any gaps that
occur.
DRAFT 10/2002
Near Term
Sites that are zoned for high intensity
development should be carefully monitored for
any indication of imminent planning applications.
Any available information on the type of
proposed development, number of units and
resource lands that might be compromised should
be ascertained as soon as possible. Early
negotiations with the landowner should address
the most valuable resources on the property and
potential for protecting or conserving these.
Potential acquisitions should also be considered,
if the developer is willing to consider this as an
option. Additionally for larger developments
easements or ownership may possibly be obtained
as either an exchange for park fees, or to alleviate
the property owner's liability on land that he or
she leaves undeveloped.
Near Term Sites Include:
Upper Reaches of Hickorv Creek
From University Drive Hickory Creek flows
southeast toward its confluence with Lake
Lewisville. The portion lower reaches of this
stream corridor from Fort 'Horth Drive dO'v'm to
the lake itself has have been identified in the
"Urgent" section as a top priority. The ~
reaches section bet'v'.:een University Drive and
Fort 'Horth Drive would make an excellent
addition to the previous piece. Adding this stretch
will allow the City to build on the trail network,
protect additional habitat and provide more
public access to open space. With the entirety of
the corridor in public ownership, t-Ihis trail
could rival the Ray Roberts Greenbelt as an
amenity for Denton's residents. Unlike the lower
reaches, the ownership patterns in this stretch are
more complex. While there should be potential
for utilizing easements to grant public access
there are likely to be situations where outright
purchase will be necessary. Also like the lower
reaches, agreements in lieu of annexation may
also be employed. As with the lower reaches,
pollution control is also an important motivator in
protecting this property.
Roughly paralleling Locust at the northern edge
of town is a tributary of Milam Creek. Water
from this creek ultimately flows into Clear Creek.
Milam Creek Tributarv
As trail linkages are established along Clear
Creek this site could be added to the inventory.
A trail in this location would provide access in a
growing portion of Denton, allowing many to
access the greater trail system, including the Ray
Roberts Greenbelt without needing to drive.
Additionally this site could provide additional
access to nature for the new residents that will be
living in the area. This is a smaller creek,
draining less than one square mile. As a result,
the riparian and floodplain protections are less
comprehensive than on other streams. Because of
the lower level of protection, the parcels along
this stretch are more developable than similar
parcels along other, larger streams. The higher
degree of develop ability will by necessity result
in higher prices. While it may be possible to
obtain some of this land through donation, much
will need to be simply purchased, either outright,
or as easements. Small sites such as this, which
fit into more of a long-term vision, are often
elevated in priority to suggest purchase early,
before development pressure in an area begins to
affect land prices.
Fletcher Branch Athletic Complex of Hickory
Creek
The Fletcher branch of Hickory e.Greek flows
from the southern end of town, due south until it
reaches the Creek. Roughly halfway long this
branch sits a large area of undeveloped land,
roughly between Ryan and Hickory Creek roads.
This site has much potential as an athletic
complex activity park. Further, with the
completion of the Hickory Creek greenbelt, this
site could become a convenient access point to
Denton's trail network. The branch itself
provides potential as a trail linkage as well.
While the trail portion may be accessible via
easement, the land for the complex itself should
be planned as outright purchase.
southviest of I3 5E and "vest of State School
road lies an area ';/ith significant en'iironmental
value. Included on the site are sensitive
floodplains, riparian and habitat areas. This
land is not a key site for public access, howe'ier
it is important for protection of habitat, flood
control, and species diversity. Easement should
be employed to protect this land from future
impacts of development.
Long Range
Larger tracts of land that are not zoned for
intensive use, but which might be developed
over longer periods of time should be
considered for environmental overlay zones.
U sing the tools currently in the Denton
development code relating to transfer of
development rights, some of the sites available
for rural density development could be
configured as conservation developments. This
style of development clusters rural housing
while maintaining conservation easements
accessible to all adjacent landowners. These
areas could be restored as prairie, maintained as
riparian areas, or set aside as wooded preserves
in the context of the overall development. An
environmental overlay could be inclusive of
many separately owned tracts of land, which
could be addressed individually as development
DRAFT 10/2002
Complete Trail Network
occurs.
The majority of the scenic or waterway corridors
listed in this report are intended to be accompanied
by trails. As these areas are protected the City will
find that it has a truly unique opportunity for a
connected trail system both throughout the city and
beyond to Denton's natural areas. Most of these
trail sites will be acquired through the sites listed
in this report. However, there will no doubt be
areas where gaps will occur. In many cases, the
City may have to purchase land or easements
necessary for completing this system. The City
may also choose to use nearby roadways to link
trails that are otherwise not linkable. These trails
may also be acquired through donation at times of
development. The trails, fundamental to this Open
Space Plan are shown in detail on the
accompanymg map.
Sherman Drive Scenic Corridor
Sherman Drive, extending from Loop 288,
crossing Clear Creek, and on until just past the Ray
Roberts Greenbelt was identified in the workshop
as a Scenic Corridor. Much support was shown for
a new scenic corridor connecting the Ray Roberts
Greenbelt to Sherman Drive along Clear Creek.
Unlike many of the targets in this plan this area is
not intended for trails or habitat preservation. This
corridor is intended to provide an elegant corridor
for autos entering and leaving Denton. Methods of
protection will vary, and the standard is not as high
as in the waterways. Not all development needs to
be precluded; this area could even be home to
some clustered rural housing without crossing the
intent of the scenic corridor. This roadway will
function as a natural gateway for travelers.
Much of this land is not currently within the
Citv of Denton's iurisdiction and would require
extensive partnerships with other government
entities and private landowners.
DRAFT 10/2002
North Locust Nei2:hborhood parks
North of Loop 288 and '.vost of Locust sits a largo
area of undeveloped land. There are currently a
number of large, undeveloped tracts of land in the
With its connection
to Milam, and ultimately Clear Creek, this area
could provide an excellent access point to
Denton's network of trails. The large size of the
site, along with its proximity to expected future
development give it much potential as a location
for one or more neighborhood parks. This land
would need to be obtained through outright
purchase, but may be aided by parkland
donationsdedication, and even fees in lieu of land
for nearby developments.
Northwest Urban Trail
Much future development is expected near the
intersection of Loop 288 and I-35W Along with,
or prior to this development a trail system should
be put into place. The route could be roughly
circular connecting both sides of each major
roadway to each other and to the trail network
located to the east. The precise location should
be determined through a localized process.
Unlike many of the other trails mentioned, this
trail does not follow any significant waterway.
This means that donations or easements that may
normally result from the need to protect the
waterway will not apply. There may however be
potential for donations of land during time of
development. Easements may also be employed
for this site.
Stagecoach Road Area
ar Northeast Denton
North of Mingo Road and east of Loop 277 there
sits a large area of relatively undisturbed land.
This area, while not containing any significant
stream related habitat, could be an important piece
of open space for nearby residents. Workshop
participants felt htat this site would have to be
purchased outright, but would be a worthwhile
investment.
Unique or Opportunity Sites (dependant on
availability)
Occasionally particularly desirable sites become
available for acquisition that would be of substantial
benefit to the entire community. There are several
examples of particularly fine sites that have the
potential of helping define the community. These
should be shepherded into public ownership using any
appropriate tools to assure their protection for the
community benefit.
Key Unique or Opportunity Sites
Large Sites Containing Habitat
As a general rule all commercial, intensely zoned
parcels greater than 10 acres in size that contain
either water related or upland habitat should be
examined for potential protection, through either
acquisition or easements. Intensely zoned parcels
that contain either water related or upland habitat
should be examined for potential protection.
Sites Containing Prairie or Park Potential
There are several sites around Denton that while they
contain quality prairie lands, are not being singled
out in this analysis. This is partly because there is
little to distinguish these sites from one another, and
protecting all of them would mean using up a large
portion of Denton's buildable land supply However,
these sites can play an important role. The areas
inside the city are well served by neighborhood
parks. As development occurs, monitoring other
suitable sites in developing areas can help to ensure
that the level of park service remains high. There is
no general rule in terms of acquiring these properties,
as each case may be different.
DRAFT 10/2002
Daylight Downtown Streams
Several portions of Pecan Creek and its various
branches have been placed underground. These
streams are often referred to as the WP A drainages,
as they were construction by the works progress
administration. Many urban areas have begun
experimenting with day lighting or bringing these
streams back to the surface and usually adding trails.
Sometimes this involves rerouting the stream, but
more often channels are simply opened up and the
banks reconstructed. These streams can add beauty to
an area as well as provide business opportunities such
as outdoor cafes that are oriented toward the stream,
and a trail along the side.
Culp Branch
This stream running near and ultimately into the Elm
Fork of the Trinity could be useful for pollution
control, access to nature, and simple preservation.
Multiple methods of protection could be employed,
but will likely involve either acquisition or
easements. This stream, especially just prior to the
confluence was highlighted by the workshop
participants. Many such similar situations may arise
as development or even further study brings
additional areas into the spotlight.
DRAFT 1012002
Implementation Tech.'liques Land Protection
Tools and Techniques
Acquisition
Of all the implementation techniques, this is the most
flexible, and allows for the permanent ownership of
land, the full right of access by any public member,
and the full rights of management of the land in the
public interest. It is also the most expensive, not only for
the purchase price, but the land is removed from the tax
roles, no profitable enterprise is conducted on the land,
and it then becomes a public burden for maintenance.
Since it involves direct expenditure of public funds, this
tool is one that should be used sparingly, and only for
sites that cannot be protected in any other way. There are
special sites that should be protected, regardless of the
cost, and this should be used as a final resort to assure
their preservation. Therefore, this tool should be used
selectively, in areas where either public management is
needed, or public access is important for the purpose of
the park to be achieved.
City fl~ark tEunds - tEee iJn 11ieu of aDedication
Money is placed in the general park fund through fees
on new development. Large developments will usually
be creating their own parks to address their localized
needs. Smaller development, and large ones in certain
instances provide money in lieu of parkland dedication.
Bonds
Approved by voter referendum, General Obligation
Bonds may be used to finance acquisition, easements,
or construction. These bonds are most often used when
the proj ect will not generate enough revenue to cover
the cost of the improvements. Revenue Bonds are also
useful as they can be used for projects that will
eventually produce enough income to cover their debt.
Regional parks are examples of sites where Revenue
Bonds can successfully be employed.
City Drainage Funds
The City has recently implemented a new surcharge on
property to enable compliance with the clean water act,
flooding, and other problems associated with runoff.:... The
drainage charge is calculated for impervious surfaces on
properties. Impervious surfaces represent surfaces that
contribute runoff into the storm water system including
City drainage funds
the basic building structure, garages, roofs, patios,
driveways, parking lots, etc. Many of the
improvements associated with protection of stream
corridors may fall under the auspice of the purpose of
the drainage fund program.
Open Space bonds funded by Property or Sales Tax
Several places around the country have found
success in acquiring public funding for important
open spaces by going to the ballot box. Austin's
Proposition 2 "was a Smart Growth Initiative
designed to steer dense development away from
environmentally sensitive areas by using Gfity funds
to purchase, either in fee or through conservation
easements...." (Executive proposal
summarylRemarks of Mayor Kirk Watson
settlement agreement between Bradley Interests and
City of Austin). O(key importance in asking voters
to spend additional monies on open space acquisition
is to clearly identifY what the public will receive for
the money it spends. A balance must be made
however, in terms of how much detail is provided. If
individual parcels are listed the initiative can be
perceived as targeting some individuals over others,
and more importantly, can possibly create inverse
condemnation problems that may result when the
owner's property is suddenly less valuable to
developers as a result. Experience has shown the
most successful initiatives stress the overall goals of
the project, and simultaneously provide both target
amounts ofland and rough generalized locations
with a fair and equitable distribution.
Agreements in Lieu of Annexation
The City of Denton has achieved some measure of
success in signing a contract with a landowner where
he or she will agree to not develop the property to
urban levels in exchange for the city passing over the
option to annex the property. In cases where
conservation, not access is the goal, these
agreements may be employed.
Land Exchange
Public entities occasionally have properties that are
of suitable size and location to make them attractive
to be traded for private lands desired for open space.
Land exchanges are done on the basis of appraised
value rather than size. Land trades can be time-
consuming and complex but can be beneficial to both
the seller (no tax for an equal exchange) and the
purchaser (no cash required).
Under federal and state tax laws a landowner may
exchange one tract of land for another. An advantage
of such transaction is that capital gains taxes are
deferred. For example, the swapping of privately
owned land with conservation value for publicly or
private nonprofit owned developable land.
Acquisition of Development
Rights (Conservation Easement)
Transfer of specific interests in land (rights) from a
landowner to another party. For example, an easement
may specify that all or part of the land be left in a
natural state through the transfer of all or limited
mineral rights, timber rights, subdivision rights, etc. It
may allow restricted or unrestricted public access. The
landowner may retain ownership and specified
reserved uses, while the easement holder has the right
to enforce restrictive conditions included in the
easement. Appraised value and, therefore, property
taxes and estate taxes, are routinely reduced in
proportion to the reduction in land value when an
easement is donated to a government agency or
private nonprofit organization. Easements must be in
perpetuity to qualify for federal and state income tax
advantages.
Density Transfer (already established In
Denton Code)
DRAFT 10/2002
Regulatory Protection
Density Transfer (already established in
Denton Code)
One of the most effective regulatory provisions in
mitigating reduced land values is a density
transfer system. With density transfers, a property
owner has the right to the same number of units
and allowable uses, but the units are transferred
on the same parcel from more sensitive land to
less sensitive land. With density transfers, the
economic effect of environmental protection may
be almost benign - especially in residential
developments. The focus of a density transfer
system is more on how to design with nature,
rather than how much to diminish the overall
development intensity. We recommend that
density transfers be permitted as a property
owner's right and not subject to approval through
a discretionary decision-making planning
process.
No action is needed to implement this section,
however, developments that occur in areas that
have been identified, as key open space areas
should be encouraged to use the density transfer
provisions to their fullest extent in order to
facilitate the implementation of this plan.
Transfer of Development rights
One method that has been used to protect open space
lands is a Transfer of Development Rights (TDR)
system. Several states throughout the nation have
TDR programs that are two decades old or older. In a
TDR system, the area to be protected is designated as
a "sending zone," in which a certain number of units
per acre are credited to the sending area. A "receiving
zone" also is set up where the development rights can
be transferred. By buying the development rights from
a farmer, a developer can achieve a higher density in
the receiving zone than otherwise would be permitted.
The beauty of a TDR system is that the compensation
amount is determined privately between the property
owners involved - and the result is permanent
protection of the farmland.
Accompanying this document is an appendix that
contains a Transfer of Development Rights
ordinance that can be added to Denton's
o eve 1 onm ent coo e
DRAFT 10/2002
Summary
This list of strategies is not exhaustive as other
programs may be available that have not been
brought forward. Strategies noted may be modified
or used in combination. The overriding theme is that
no one strategy will be acceptable to all property
owners nor provide the right mechanisms for
achieving the goals of this plan. A number of
strategies are listed as it is recognized that it will
take a number of different ones working together to
be successful. While certain areas have been targeted
as examples for a particular strategy, this is not
intended to limit the tools that may be brought to
bear to achieve the goals of this plan.
Conclusion
This plan is intended to further this vision of the
plan, and lead to specific action that will lead to
a Denton that is as good as, or even better, that
the place we five today. One thing seems certain
to the people of Denton - if we build a successful
economy, an efficient transportation system, and
a good education system but neglect open space,
we will have failed.
The public benefits of open space, in its various
forms, may range from aesthetic appreciation to
food production and recreational uses. These
values contribute to the wealth of the region,
boosting its economic, social and natural capital,
and contributing to the long-term sustainability
of the community. Open space, in all its forms, is
not just a land use designation, but also a value in
its own right, as well as having added value that
is associated with other land uses such as
agriculture and outdoor recreation. Open space
also benefits public safety, preserves scenic
resources, provides a buffer and delineation
between developments and serves to protect
wildlife and natural habitat. It is these open space
lands that serve as the heart of Denton's "quality
of life."
AGENDA INFORMATION SHEET
AGENDA DATE: September 20,2005
DEPARTMENT: Economic Development
CM: Mike Conduff
SUBJECT
Consider adoption of an ordinance of the City of Denton, Texas authorizing the City
Manager to execute a grant agreement from the Texas Department of Housing and
Community Affairs for Emergency Shelter Grant Program and to take all other actions
necessary; and providing for an effective date.
BACKGROUND
The Texas Department of Housing and Community Affairs (TDHCA) awarded
Emergency Shelter Grant Programs (ESGP) funds to the City of Denton. The 2005-2006
ESGP award of one hundred fifty six thousand eight hundred and thirty-two dollars
($156,832.00) is a $95,717 or 157% increase over the 2004-2005 ESGP Award of
$61,115.00.
The 2005-2006 ESGP award will be used to support homeless and homelessness
prevention services provided by HOPE, Inc., The Salvation Army, Christian Community
Action (CCA), and Denton County Friends of the Family.
ESTIMA TED PROJECT SCHEDULE
The ESGP award must be expended from September 1, 2005 to August 31,2006.
PRIOR ACTIONIREVIEW (Councils. Boards. Commissions)
The Denton County Homeless Coalition, the designated lead organization for the local
Homeless Continuum of Care, reviewed the Emergency Shelter Grant Program
application and award.
FISCAL INFORMATION
The Emergency Shelter Grant Program requires a 100% match, the match will be
provided by HOPE, Inc, The Salvation Army, CCA, and Denton County Friends of the
Family.
EXHIBITS
1. Ordinance
2. Emergency Shelter Grant Program Contract
Respectfully submitted:
~
Linda Ratliff
Director of Economic Development
Prepared by:
~ /j/cd4
Wendy Nalls
Human Services Coordinator
s: \Our Documents\Ordinances\05\Emergency Shelter Grant Ordinance. doc
ORDINANCE NO.
AN ORDINANCE OF THE CITY OF DENTON, TEXAS AUTHORIZING THE CITY
MANAGER TO EXECUTE A GRANT AGREEMENT WITH THE TEXAS DEPARTMENT
OF HOUSING AND COMJ\.1UNTY AFFAIRS FOR EMERGENCY SHELTER GRANT
PROGRAM AND TO TAKE ALL OTHER ACTIONS NECESSARY; AND PROVIDING FOR
AN EFFECTIVE DATE.
WHEREAS, the City of Denton, Texas, is concerned with the provision of services to
residents who are homeless and with providing decent housing, a suitable living environment,
and assisting homeless households to achieve self sufficiency; and
WHEREAS, the City of Denton, Texas, has a developed and adopted a continuum of care
for homeless and potentially homeless households; and
WHEREAS, the City of Denton, Texas, wishes to accept a grant award of one hundred
fifty six thousand eight hundred and thirty two dollars ($156,832.00) through the Emergency
Shelter Grant Program, as authorized by the Stewart B. McKinney Homeless Assistance Act of
1987 as amended (42 U.S.C. Sec. 11371 et seq.), and as administered through the United States
Department of Housing and Urban Development; and
WHEREAS, the Texas Legislature has designated the Texas Department of Housing and
Community Affairs as the administering agency for the Emergency Shelter Grant Program
pursuant to Sec. 2306.094, Texas Government Code; and
WHEREAS, the City of Denton, Texas, intends to sub-contract with a local social service
agency to provide services through the emergency shelter grant program; and
WHEREAS, the Texas Department of Housing and Community Affairs requires the
appropriate certifications and the City Council deems it in the public interest to authorize the
City Manager to execute a grant agreement; 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 and are true and correct.
SECTION 2. The City Council of the City of Denton, Texas, authorizes the City
Manager to sign and submit to the Texas Department of Housing and Community Affairs and all
appropriate officials thereof, a grant agreement, together with all necessary certifications, and
other documents as well as appropriate resources for entitlement of funds under the Stewart B.
McKinney Homeless Assistance Act of 1987, as amended and Emergency Shelter Grant
Program pursuant to Sec. 2306.094 of the Texas Government Code., and all other applicable
laws, as necessary to obtain a grant under the Emergency Shelter Grant Program to provide
S:\Our DocumeW.1OrdinaDce~S\Emerg~cy Shelter-Grant OnIioancc.doc
services to homeless residents of Denton. The City Manager is authorized to take all other
actions necessary to execute an agreement and administer this grant.
SECTION 3. The Community Development Administrator is authorized, under the
supervision of the City Manager, to handle all fiscal and administrative matters relating to the
administration of the Emergency Shelter Grant Program, if it is funded and all other matters
connected therewith.
SECTION 4. The City Secretary is hereby authorized to furnish true, complete, and
correct copies ofthis ordinance to all interested parties. .
SECTION 5. This ordinance shall become effective immediately upon its passage and
approval.
PASSED AND APPROVED this the
day of
, 2005.
EULINE BROCK., MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. S , CI ATTORNEY
BY:
Page 2 of2
TEXAS DEPARTMENT OF HOUSING AND COMMUNITY AFFAIRS
CONTRACT NO. 425117 FOR THE
EMERGENCY SHELTER GRANTS PROGRAM
CFDA NO. 14.231
SECTION 1. THE PARTIES
This agreement is made by and between the Texas Department of Housing and
Community Affairs, an agency of the State of Texas (herein the "Department") and CITY
OF DENTON (herein the "State Subrecipient" or "Subrecipient").
SECTION 2. GRANT PERIOD
The period for performance of this agreement, unless earlier terminated, is September 1,
2005 through August 31,2006 (herein the "Grant Period").
SECTION 3. STATE SUB RECIPIENT PERFORMANCE
State Subrecipient shall conduct, in a satisfactory manner as determined by Department,
an Emergency Shelter Grants Program pursuant to the McKinney-Vento Homeless
Assistance Act, as amended (42 U.S.c. Sec. 11371 et. seq.) (herein the "Act").
Subrecipient shall perform all activities in accordance with the terms of the Budget
(herein "Exhibit A"); the Match (herein "Exhibit B"); the Applicable Laws and
Regulations (herein "Exhibit C"); the assurances, certifications, and other statements
made by Subrecipient in its Emergency Shelter Grants Program (herein "ESGP")
application, and with all other terms of this grant agreement.
SECTION 4. DEPARTMENT OBLIGATIONS
A. In consideration of Subrecipient's full and satisfactory performance of this agreement,
Department shall reimburse the actual allowable costs incurred by Subrecipient in an
amount up to: $156,832.00
B. Department's obligations under this agreement are contingent upon the actual receipt
of adequate ESGP funds from the U.S. Department of Housing and Urban
Development (herein "HUD"). If sufficient funds are not available to make payments
under this grant agreement, Department shall notify Subrecipient in writing within a
reasonable time after such fact is determined. Department shall then terminate this
agreement and will not be liable for the failure to make any payment to Subrecipient
under this agreement.
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C. Department shall not be liable to Subrecipient for any costs which:
(1) have been reimbursed to Subrecipient or are subject to reimbursement to
Subrecipient by any source other than Department;
(2) are not allowable costs, as set forth in the Act and Section 6(B) of this agreement;
(3) are not strictly in accordance with the terms ofthisagreement, including the
exhibits;
(4) have not been reported to Department within sixty (60) days following termination
of this agreement; or
(5) are not incurred during the Grant Period, exclusive of pre-award travel and/or per
diem expenses to attend the ESGP Implementation Workshop.
D. Subrecipient shall refund to Department any sum of money which has been paid to
Subrecipient by Department, which Department determines has resulted in an
overpayment, or which Department determines has not been spent strictly in
accordance with the terms of this agreement. Subrecipient shall make such refund
within fifteen (15) days after the Department's request.
SECTION 5. METHOD OF PAYMENT / CASH BALANCES
A. Each month Subrecipient may request an advance payment by submitting to
Department a properly completed Monthly Funding/Financial/Performance Report
(MFFPR) that may include a request for advance funds (Projected Expenses) in an
amount not to exceed Subrecipient's actual cash needs for the month for which such
advance is sought.
B. Subrecipient's requests for advance payments shall be limited to the mmlmum
amounts needed for the effective performance of this agreement, and shall be timed as
closely as possible with Subrecipient's actual immediate cash requirements.
Subrecipient shall establish procedures to minimize the time elapsing between the
transfer of funds from Department and the disbursal of such funds by Subrecipient.
C. Department may use a cost reimbursement method of payment if (1) in excess of
need; (2) Department identifies any deficiency in the cash controls or financial
management system used by Subrecipient; or (3) Subrecipient fails to comply with
any of the reporting requirements of Section 9.
D. All funds paid to Subrecipient under this contract are paid in trust for the exclusive
benefit of the eligible Subrecipients of ESGP services and for the payment of
allowable expenditures.
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SECTION 6. ADMINISTRATIVE REQUIREMENTS AND COST PRINCIPLES
A. Except as specifically modified by law or regulation, in performing this agreement,
Subrecipient shall comply with the administrative requirements set forth in OMB
Circular No. A-110 (nonprofit organizations) or the regulations codified at 24 c.F.R.
Part 85 (units of state or local government), whichever is applicable to Subrecipient.
B. Except as specifically modified by law or regulation, in performing this agreement,
Subrecipient shall comply with the cost principles set forth in OMB Circular No. A-
122 (nonprofit organizations) or OMB Circular No. A-87 (units of state or local
government), whichever is applicable to Subrecipient.
C. Notwithstanding any other provision of this grant agreement, Department shall only
be liable to Subrecipient for costs incurred or performances rendered for activities
specified in 24 c.F.R. Sec.576.21(a). Department shall not be liable to Subrecipient
for the costs of any other activities, including but not limited to:
(1) acquisition of an emergency shelter for the homeless;
(2) renting commercial transient accommodations for the homeless (such as hotel or
motel rooms) unless the conditions in Section 22(J) of this agreement have been
met;
(3) renovating, rehabilitating, or converting buildings owned by primarily religious
organizations or entities except as specifically authorized by 24 C.F.R. Sec.
576.23(b ).
D. Use of Alcoholic Beverages. None of the funds provided under this contract shall be
used for the payment of salaries to any employee who uses alcoholic beverages while
on active duty. No funds provided under this contract for travel expenses shall be
used for the purchase of alcoholic beverages.
SECTION 7. MATCH REQUIREMENT
A. Subrecipient shall provide an amount of funds equal to the amount of funds provided
by Department under this agreement (herein "Subrecipient's Match"). Subrecipient's
Match must be provided during the Grant Period from sources other than ESGP
funds. Funds used to match a previous ESGP award may not be used to match the
award made under this agreement. Subrecipient's Match may include resources
provided by any sub-Subrecipient to which Subrecipient provides funds under this
agreement.
B. Amounts may be counted towards Subrecipient's Match only if such amounts are
costs or resources of a type specified in Exhibit B, Match and only if such amounts
are computed in accordance with this Section. In calculating the amount of
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Subrecipient's Match, Subrecipient may include, but is not limited to, cash donations;
the value of any donated material or building; the value of any lease on a building;
any salary paid Subrecipient's staff (or that of its sub-Subrecipients) in carrying out
the activities required under this agreement; and the time and services contributed by
volunteers to carry out such activities, determined at the rate of Five Dollars ($5.00)
per hour. Subrecipient shall determine the value of any donated material or building
or any lease, using any method reasonably calculated to establish a fair market value.
SECTION 8. RETENTION AND ACCESSIBILITY OF RECORDS
A. Subrecipient shall maintain fiscal records and supporting documentation for all
expenditures of funds made under this agreement in a manner that conforms to OMB
Circular No. A-87 or A-122 and this agreement. Subrecipient shall comply with the
retention and custodial requirements for records as set forth in OMB Circular No. A-
110 or 24 C.F.R. Part 85.
B. Subrecipient shall give HUD, the Comptroller General of the United States, the
Auditor of the State of Texas, and any Department authorized representative, access
to and the right to reproduce all records belonging to or in use by Subrecipient
pertaining to this grant agreement. Such access shall continue as long as Subrecipient
retains the records. Subrecipient shall maintain such records in an accessible
location.
C. Subrecipient shall ensure that any sub subcontractors receiving funds provided under
this grant shall comply with the record retention and custodial requirements specified
in this Section.
SECTION 9. REPORTING REQUIREMENTS
A. Subrecipient shall submit to Department such reports on the performance of this grant
as may be required by Department including but not limited to the reports specified in
this Section.
B. Subrecipient shall electronically submit a Monthly Funding/Financial/Performance
Report (MFFPR) to the Department on or before the twentieth (20th) day of each
month following the reported month in the Grant Period, beginning no later than
October 20,2005, regardless of whether Subrecipient makes a fund request.
C. Subrecipient shall submit a final MFFPR to the Department within sixty (60) days
after the end of the Grant Period. The failure of Subrecipient to provide a full
accounting of all funds expended under this agreement within sixty (60) days shall be
sufficient reason for Department to deny or terminate any future agreements with
Subrecipient. If this contract provides assistance for renovation, rehabilitation, or
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conversion, in addition to the electronic final report, Subrecipient shall submit under
separate cover photographs ofthe finished construction work.
D. Subrecipient shall submit to Department within twenty (20 days) days after the
termination of this contract an IDIS Annual Performance Report prepared according
to ESGP Policy Issuance instructions.
E. Subrecipient shall submit to Department no later than sixty (60) days after the
termination of this contract a cumulative inventory report of all equipment having a
unit acquisition cost of$500 or more, acquired in whole or in part with funds received
under this or previous ESGP contracts. Upon the termination of this contract,
Department may transfer title to any such equipment having a unit acquisition cost of
$1000 or more to itself or to any other entity receiving ESGP funds from Department.
F. If Subrecipient fails to submit, in a timely and satisfactory manner, any audit, report or
response required by this agreement including responses to monitoring reports,
Department may withhold payments otherwise due to Subrecipient hereunder. If
Department withholds such payments, it shall notify Subrecipient in writing of its
decision and the reasons therefore. Department may withhold payments until such
time as the delinquent obligations for which funds are withheld are fulfilled by
Subrecipient. If the delinquent report or response is not received within forty-five
(45) days of its due date, Department may suspend or terminate this agreement.
Subrecipient receives ESGP funds from Department over two or more Grant Periods,
funds may be withheld or this agreement suspended or terminated for Subrecipient's
failure to submit a report or response (including a report of audit) past due under a
prior grant agreement.
SECTION 10. MONITORING AND TECHNICAL ASSISTANCE
Department or its designee may conduct periodic on-site monitoring and evaluation of the
efficiency, economy, and effectiveness of Subrecipient's performance of this agreement.
Department will advise Subrecipient in writing of any deficiencies noted during such
monitoring. Department will provide technical assistance to Subrecipient and will
require or suggest changes in Subrecipient's program implementation, accounting,
personnel, procurement, or management procedures in order to correct any deficiencies
noted. Department may conduct follow-up visits to review and assess the efforts
Subrecipient has made to correct previously noted deficiencies. Department may place
Subrecipient on a reimbursement method of payment, terminate this contract, or invoke
other remedies in the event monitoring or other reliable sources reveal material
deficiencies in Subrecipient's performance or if Subrecipient fails to correct any
deficiency within a reasonable period oftime.
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SECTION 11. INDEPENDENT CONTRACTOR
Department is contracting with Subrecipient as an independent contractor. To the extent
allowed by law, Subrecipient agrees to hold Department harmless and to indemnify
Department from and against any and all claims, demands, and causes of action of every
kind and character which may be asserted by any third party occurring or in any way
incident to, arising out of, or in connection with Subrecipient's performance of this
contract.
SECTION 12. PROCUREMENT
Subrecipient shall develop and implement procurement procedures that conform to the
administrative requirements referenced in Section 6 and with any procurement guidelines
issued by Department. If Subrecipient is a unit of local government, it shall also comply
with all applicable state and local laws relating to procurement. Subrecipient shall not
procure supplies, equipment, materials, or services except in
accordance with such procurement procedures.
SECTION 13. CONFLICT OF INTEREST I NEPOTISM
A. Subrecipient shall comply with the conflict of interest provisions at 24 c.F.R. Sec.
576.57(d).
B. Subrecipient represents that neither it nor any member of its governing body presently
has any interest or shall acquire any interest, direct or indirect, which would conflict
with the performance of this agreement and that no person having such interest shall
be employed by Subrecipient or serve as a member of its governing body.
C. Subrecipient shall ensure that no officer, employee, or member of the governing body
of Subrecipient shall vote for or confirm the employment of any person related within
the second degree by affinity or third degree by consanguinity to any member of
Subrecipient's governing body or to any officer or employee who would directly
supervise such person. This prohibition shall not prohibit the continued employment
of a person who has been continuously employed for a period of two years prior to
the election or appointment of the officer, employee, or governing body member
related to such person in the prohibited degree.
SECTION 14. LEGAL AUTHORITY
A. Subrecipient represents that it possesses the legal authority to enter into this agreement
and to perform the services Subrecipient as obligated itself to perform hereunder.
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B. The person signing this contract on behalf of Subrecipient hereby warrants that he/she
has been duly authorized by Subrecipient's governing board to execute this agreement
on behalf of Subrecipient and to bind Subrecipient to the terms herein set forth.
C. Department shall have the right to terminate this contract if there is a dispute as to the
legal authority of either Subrecipient or the person signing this contract to enter into
this contract or to render performances hereunder. Subrecipient is liable to
Department for any money it has received from Department for performance of the
provisions of this contract, if Department has terminated this contract for reasons
enumerated in this Section 14.
SECTION 15. LITIGATION AND CLAIMS
Subrecipient shall give Department immediate notice in writing of any action or claim,
including any proceeding before an administrative agency, filed against Subrecipient and
arising out of the performance of this agreement. Subrecipient shall promptly furnish
Department with copies of all pertinent papers received by Subrecipient with respect to
such action or claim.
SECTION 16. SECTARIAN ACTIVITY
The performance of this agreement shall not involve, and no portion ofthe funds received
by Subrecipient hereunder shall be used in support of, any sectarian or religious activity.
SECTION 17. CHANGES AND AMENDMENTS
A. Any change in the terms of this agreement, which is required by a change in state or
federal law or regulation is automatically incorporated herein and is effective on the
date designated by such law or regulation.
B. Except as otherwise expressly provided in this agreement, any change in the terms of
this agreement shall be reduced to writing and agreed upon by both parties. Any
change to the amount of this contract as shown in Section 4 A shall be by an
amendment hereto in writing and signed by both parties. Any change to the amount
specified per activity category shall be requested in writing by the contractor and
authorized by a letter signed by the director of the Community Affairs Division.
Pursuant to Department policy, no Subrecipient-initiated amendments will be
approved or processed during the first 90 days or the last 30 days ofthe Grant Period.
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SECTION 18. DEPARTMENT ISSUANCES
Performance of this grant agreement must be rendered in accordance with the Act, the
regulations promulgated under the Act, the assurances and certifications made to
Department by Subrecipient, and the assurances and certifications made to HUD by the
State of Texas with regard to the operation of the Texas ESGP. In order to ensure the
legal and effective performance of this contract, Department may issue policy directives,
which serve to establish, interpret, or clarify the requirements of this agreement. Such
directives shall be promulgated by Department in the form of ESGP Issuances and shall
be binding upon Subrecipient as if written herein. ESGP Issuances shall not alter the
terms of this agreement so as to release Department of any obligation specified in Section
4 to reimburse costs incurred by Subrecipient prior to the effective date of said Issuance.
SECTION 19. TERMINATION AND SUSPENSION
A. Department may terminate this agreement, in whole or in part, at any time
Department determines that Subrecipient has failed to comply with any term of this
agreement. Department shall notify Subrecipient of such determination in writing
prior to the thirtieth (30th) day preceding the date of termination to provide the
reasons for such termination, the effective date of such termination, and in the case of
partial termination, the portion ofthe agreement to be terminated.
B. Nothing in this Section shall be construed to limit Department's right to withhold
payment or immediately suspend Subrecipient's performance of this agreement if
Department identifies possible instances of fraud, abuse, waste, fiscal
mismanagement, or other serious deficiencies in Subrecipient's performance.
Suspension shall be a temporary measure pending either corrective action by
Subrecipient or a decision by Department to terminate this agreement.
C. Upon receipt of notice of suspension or termination, Subrecipient shall cancel,
withdraw, or otherwise terminate any outstanding orders or subcontracts related to the
performance of this agreement and shall cease to incur costs hereunder. Department
shall not be liable to Subrecipient for costs incurred after termination of this
agreement.
D. Notwithstanding any exercise by Department of its right of suspension or of early
termination, Subrecipient shall not be relieved of any liability to Department for
damages due to Department by virtue of any breach of this agreement. Department
may withhold payments to Subrecipient until such time as the exact amount of
damages due to Department by Subrecipient is agreed upon or is otherwise
determined and paid.
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SECTION 20. AUDIT
A. For any fiscal year included within the Grant Period during which the Subrecipient
expended $500,000 or more in total federal financial assistance, Subrecipient shall
arrange for the performance of an annual audit of the funds received and
performances rendered under this grant agreement. The audit shall be made in
accordance with the Single Audit Act Amendments of 1996, 31 U.S.c. ch. 75; and
OMB Circular No. A-133, "Audits of States, Local Governments, and Non-Profit
Organizations". The term "federal financial assistance" includes awards of federal
financial assistance received directly from federal agencies, or indirectly through
units of state and local government.
B. Subrecipient shall submit two (2) copies of the report of such audit to Department
within thirty (30) days after the completion of the audit, but no later than nine (9)
months after the end of the audit period. Subrecipient shall insure that the audit
report is made available for public inspection within thirty (30) days after completion
of the audit. Audits performed under this Section are subject to review and resolution
by Department or its authorized representative.
C. For each fiscal year ending within or immediately after the Grant Period, Subrecipient
must submit an "Audit Certification Form" (available from the Department) within
sixty (60) days after the Subrecipients fiscal year end.
D. Department reserves the right to conduct additional audits of the funds received and
performances rendered under this grant agreement. Subrecipient agrees to permit
Department or its authorized representative to audit Subrecipient's records and to
obtain any documents, materials, or information necessary to facilitate such audit.
E. Subrecipient shall be liable to Department for any costs disallowed pursuant to
audit(s) of funds received under this agreement. Subrecipient shall reimburse such
disallowed costs with funds that are not provided under this contract.
SECTION 21. TRAVEL
Allowable travel costs under this contract shall be determined in accordance with OMB
Circulars A-122 or A-87, as applicable, any Department Issuance on travel, and with
Contractor's written travel policy. Contractor's written travel policy shall delineate the
rates which Contractor shall use in computing the travel and per diem expenses of its
board members and employees. Prior to incurring any costs for travel, contractor must
provide Department with a copy of its travel policy and evidence that such policy has
been approved by Contractor's governing body. If Contractor has no established written
travel policy, the travel regulations applicable to Department employees shall apply.
9 of 14
SECTION 22. SPECIAL CONDITIONS
A. Department shall not release any funds under this agreement until Department has
determined that Subrecipient's fiscal control and fund accounting procedures are
adequate to assure the proper disbursal of and accounting for such funds.
B. Department shall not release any funds under this agreement until Department has
received a properly completed Depository/Authorized Signatory Form (Department
Form) from Subrecipient.
C. Subrecipient shall have obligated (as such term is defined in 24 C.F.R. Sec. 576.3) all
funds provided under this agreement on or before January 1,2006. Department may
recapture any funds not so obligated.
D. Subrecipient shall ensure that any building rehabilitated with funds provided under
this agreement is maintained as a shelter for the homeless for not less than a three-
year period, or for not less than a ten-year period if such funds are used for major
rehabilitation or conversion of the building. The applicable period shall be calculated
in accordance with 24 C.F.R. Sec.576.53(b).
E. If Subrecipient uses funds received under this agreement to provide essential services,
homeless prevention, or maintenance and operating costs, the activities must be
carried out until all of the funds made available under this agreement for such
activities are expended or for the Grant Period, whichever is shorter. Subrecipient
may use one or more sites or structures to carry out the activities but it must serve the
same general population. The "same general population" means the types of
homeless persons originally served with the funds or persons in the same
geographical area.
F. Subrecipient shall make known that use of the facilities and services funded under this
agreement are available to all on a nondiscriminatory basis. Subrecipient also must
adopt and implement procedures designed to make available to interested persons
information concerning the existence and location of services and facilities that are
accessible to persons with a disability.
G. Subrecipient shall administer, in good faith, a policy designed to ensure that its
homeless facility is free from the illegal use, possession, or distribution of drugs or
alcohol.
H. Subrecipient shall not expend ESGP funds for any activities that would result in the
displacement of persons or businesses.
I. Subrecipient shall, to the maximum extent practicable, involve, through employment,
volunteer services, or otherwise, homeless individuals and families in constructing,
renovation, maintaining, and operating facilities assisted under this agreement, in
10 ofl4
providing services assisted under this agreement, and m providing servIces for
occupants of facilities assisted under this agreement.
1. If Subrecipient intends to provide emergency shelter for homeless persons in hotels or
motels, or other commercial facilities providing transient housing, Subrecipient must
provide the Department with a certification that: (1) leases negotiated between
Subrecipient and providers of such housing provide or will provide that the living
space will be rented at substantially less that the daily room rate otherwise charged by
the facility; and (2) the Subrecipient has considered other facilities as emergency
shelter, and has determined that use of the facilities provides the most cost-effective
means of providing emergency shelter in its service area.
K. Subrecipient shall develop and implement procedures to ensure the confidentiality of
records pertaining to any individual provided family violence prevention or treatment
services under any project assisted under this agreement, and that the address or
location of any family violence shelter project assisted will, except with written
authorization of the person or persons responsible for the operation of such shelter,
not be made public.
L. Subrecipient shall ensure that any building for which ESGP amounts are used for
renovation, conversion, or major rehabilitation must meet local government safety
and sanitation standards.
M. None of the funds provided under this agreement may be used in connection with any
dwelling unit unless the unit is protected by a hard-wired or battery-operated smoke
detector installed in accordance with National Fire Protection Association Standard
74.
N. Subrecipient shall only subcontract for budget line items under this contract which are
not specified in Exhibit A after Subrecipient has submitted information concerning
each such proposed subcontract to Department and has obtained Department's prior
written approval of Subrecipient's intent to enter into such proposed contract.
Subrecipient, in subcontracting for any performances described in this contract,
expressly understands that in entering into such subcontracts, Department is in no
way liable to Subrecipient's subcontractor(s). In no event shall any provision of this
paragraph, specifically the requirement that Subrecipient obtain Department's prior
written approval of a subcontract, be construed as relieving Subrecipient of the
responsibility for ensuring that the performances rendered under all subcontracts are
rendered so as to comply with all of the terms of this contract, as if such
performances were rendered by Subrecipient. Department's approval under this
paragraph does not constitute adoption, ratification, or acceptance of Subrecipient's or
subcontractor's performance hereunder and Department maintains the right to insist
upon Subrecipient's full compliance with the terms ofthis contract.
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SECTION 23. POLITICAL ACTIVITY AND LOBBYING
A. None of the funds provided under this contract shall be used for influencing the
outcome of any election, or the passage or defeat f any legislative measure. This
prohibition shall not be construed to prevent any official or employee of Contractor
from furnishing to any member of its governing body upon request, or to any other
local or state official or employee or to any citizen information in the hands of the
employee or official not considered under law to be confidential information. Any
action taken against an employee or official for supplying such information shall
subject the person initiating the action to immediate dismissal from employment.
B. No funds provided under this contract may be used directly or indirectly to hire
employees or in any other way fund or support candidates for the legislative,
executive, or judicial branches of government of Contractor, the State of Texas, or the
government ofthe United States.
C. None of the funds provided under this contract shall be expended in payment of the
salary for full-time employment of any employee who is also the paid lobbyist of any
individual, firm, association, or corporation. None of the funds provided by this
contract shall be expended in payment of the partial salary of a part-time employee
who is required to register as a lobbyist by virtue of the employee's activities for
compensation by or on behalf of industry, a profession or association related to
operation of Contractor. A part-time employee may serve as a lobbyist on behalf of
industry, a profession, or association so long as such entity is not related to
Contractor. Except as authorized by law, no contract funds shall be expended in
payment of membership dues to an organization on behalf of Contractor or an
employee of Contractor if the organization pays all or part of the salary of a person
required to register under Chapter 305, Government Code.
D. None of the funds provided under this contract shall be paid to any official or
employee who violates any of the provisions of this section.
E. If any funds other than federally appropriated funds have been paid or will be paid to
any person for influencing or attempting to influence an officer or employee of any
agency, a Member of Congress, an officer or employee of Congress, or an employee
of a Member of Congress in connection with this federal contract, grant, loan, or
cooperative agreement, Subrecipient shall complete and submit Standard Form-LLL,
"Disclosure Form to Report Lobbying," in accordance with its instructions.
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SECTION 24. PREVENTION OF FRAUD AND ABUSE
A. Subrecipient shall establish, maintain, and utilize internal systems and procedures
sufficient to prevent, detect, and correct incidents of waste, fraud, and abuse in the
performance of this agreement and to provide for the proper and effective
management of all program and fiscal activities funded by this agreement.
Subrecipient's internal control systems and all transactions and other significant
events are to be clearly documented and the documentation shall be readily available
for monitoring by Department.
B. Subrecipient shall give Department complete access to all of its records, employees,
and agents for the purpose of monitoring or investigating the performance of this
agreement. Subrecipient shall fully cooperate with Department's efforts to detect,
investigate, and prevent waste, fraud, and abuse.
C. Subrecipient may not discriminate against any employee or other person who reports
a violation ofthe terms of this agreement or of any law or regulation to Department or
to any appropriate law enforcement authority, if the report is made in good faith.
SECTION 25. MAINTENANCE OF EFFORT
Funds provided to Subrecipient under this agreement may not be substituted for funds or
resources from any other source nor in any way serve to reduce the funds or resources
which would have been available to or provided through Subrecipient had this agreement
never been executed.
SECTION 26. NO WAIVER
No right or remedy given to Department by this contract shall preclude the existence of
any other right or remedy, nor shall any action taken in the exercise of any right or
remedy be deemed a waiver of any other right or remedy. The failure of Department to
exercise any right or remedy on any occasion shall not constitute a waiver of
Department's right to exercise that or any other right or remedy at a later time.
SECTION 27. SEVERABILITY
If any portion of this agreement is held to be invalid by a court of competent jurisdiction,
the remainder of it shall remain valid and binding.
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SECTION 28. PRIOR ORAL AND WRITTEN AGREEMENTS
All oral and written agreements between the parties to this contract relating to the subject
matter of this agreement that were made prior to the execution of this agreement have
been reduced to writing and are contained herein.
SECTION 29. EXHIBITS
The exhibits identified below are hereby made a part ofthis agreement:
1. Exhibit A, Budget
2. Exhibit B, Match
3. Exhibit C, Applicable Laws and Regulations
SIGNED this
day of
,2005.
CITY OF DENTON
TEXAS DEPARTMENT OF HOUSING
AND COMMUNITY AFFAIRS
By:
Michael A. Conduff
City Manager
By:
Edwina P. Carrington
Executive Director
This agreement is not effective unless signed by the Executive Director of Departmen or
her authorized designee
14 ofl4
EXHIBIT A
Contractor: CITY OF DENTON
Contract: 425117
Contract Period: 09/01/2005 - 08/31/2006
Activity
Category
Description of Activities
State Administration
(City and County Only)
Operation Administration
Christian Community Action (CCA) $8,000
Director of Family Services
HOPE, Inc. $2,000
TAP Case Manager
A
REHABILITATION
B
ESSENTIAL SERVICES
Salaries 30,000 .00
Salvation Army - Denton Corp
Transitional Shelter Coordinator
Other 8,000 .00
HOPE, Inc.
Childcare
C
MAINTENANCE, OPERATIONS, AND FURNISHINGS
Maintenance (contractual agreements only) .00
Operation (excluding staff but including) 32,400.00
City of Denton
Pre-award Travel Expenses 900.00
Denton County Friends of the Family Safe Shelter
Repairs (non-deferred) 5,496.00
Telephone 6,000.00
Utilities 10,004.00
Salvation Army - Denton Emergency Shelter
Food 7,000.00
HOPE, Inc.
Other ( specify)
Denton HMIS 3,000.00
15 of 4
Total
Funds
6,032.00
10,000.00
.00
38,000.00
32,400.00
Furnishings (list item(s))
D
HOMELESSNESS PREVENTION
Christian Community Action
Rent 13,500.00
Utilities 6,000.00
HOPE, Inc.
Rent 34,400
Utility Security Deposits 3,000.00
Other - Security Deposits 3,500.00
Salvation Army - Denton Corp
Rent 3,000.00
Utilities 2,000.00
Salvation Army - Lewisville
Rent 3,000.00
Utilities 2,000.00
TOTAL
16 of 4
.00
70,400.00
156,832.00
EXHIBIT B
Contractor: CITY OF DENTON
Contract: 425117
Contract Period: 09/01/2005 - 08/31/2006
Source
DONA nONS
Materials
.00
HOPE, Inc. $1,000
Clothing, toiletries, household supplies, gifts for
children from local church groups
Building
Funds
HOPE, Inc.
Emergency Food and Shelter Program
and CDBG awards
Salvation Army Denton
Donations
LEASE or RENT
Denton County Friends of the Family
Fair market rent value of safe shelter
$3000 FMR x 12 mos = $36,000
HOPE, Inc.
Rent paid from General Operating Funds
and United Way Funds $3,360
SALARIES
Christian Community Action $30,488
3 Caseworkers $101,628 x 30%
HOPE, Inc. $27,560
TAP Caseworker $19,860 x 90% $17,860
Intake Worker $19,400 x 50% = $9,700
Salvation Army Lewisville $7,249
Administrative Director $30,204 x 24%
Funds $3,360
17 of 4
Dollar Value
1000
.00
62,987.00
39,360.00
65,297.00
VOLUNTEERS (@ $5.00/hour)
OTHER
TOTAL
.00
1000.00
168,644.00
18 of 4
EXHIBIT C
APPLICABLE LAWS AND REGULATIONS
Grantee shall comply with the Act specified in Section 3 of this agreement; the OMB
Circulars and regulations specified in Section 6 of the grant agreement; and with all other
federal, state, and local laws and regulations applicable to the activities and performances
rendered by Grantee under this agreement including but not limited to the laws, and the
regulations promulgated thereunder specified in this Exhibit C.
I. NONDISCRIMINATION AND EQUAL OPPORTUNITY
Title VI of the Civil Rights Act of 1964, (42 U.S.c. Sec. 2000d et seq.); 24 c.P.R. Part
1, "Nondiscrimination in Pederally Assisted Programs of the Department of Housing and
Urban Development - Effectuation of Title VI ofthe Civil Rights Act of 1964";
Title VIII of the Civil Rights Act of 1968, "The Pair Housing Act of 1968" (42 U.S.c.
Sec. 3601 et seq.) and implementing regulations; Executive Order 11063, as amended by
Executive Order 12249, and 24 c.F.R. Part 107, "Nondiscrimination and Equal
Opportunity in Housing under Executive Order 11063". The failure or refusal of the
Contractor to comply with the requirements of Executive Order 11063 of 24 c.F.R. Part
107 shall be a proper basis for the imposition of sanctions specified in 24 C.PR Sec.
107.60.;
The prohibitions against discrimination on the basis of age under the Age Discrimination
Act of 1975 (42 U.S.c. Sec. 6101 et seq.) and implementing regulations at 24 c.F.R. Part
146;
The prohibitions against discrimination against otherwise qualified individuals with
disabilities under Section 504 of the Rehabilitation Act of 1973 (29 U.S.c. Sec. 794) and
implementing regulations at 24 c.F.R. Part 8. Por purposes of the Emergency Shelter
Grants Program, the term "dwelling units" in 24 c.P.R. Part 8 shall include sleeping
accommodations;
The affirmative action requirements of Executive Order 11246 and the regulations issued
under the Order at 41 C.PR Chapter 60; and Executive Orders 11625, 12432, and 12138.
Contractor shall make efforts to encourage the use of minority and women's business
enterprise in connection with activities funded under this contract.
II. EMPLOYMENT OPPORTUNITIES
Section 3 ofthe Housing and Urban Development Act of 1968 (12 U.S.c. Sec. l70lu).
1 of 4
III. UNIFORM FEDERAL ACCESSIBILITY STANDARDS
For major rehabilitation or conversion, the Uniform Federal Accessibility Standards at 24
c.F.R. Part 40, Appendix A.
IV. LEAD-BASED PAINT
The requirements, as applicable, of the Lead-Based Paint Poisoning Prevention Act (42
U.S.c. Sec. 4821-4846) and implementing regulations at 24 C.F.R. Part 35. In addition,
Contractor must also meet the following requirements relating to inspection and
abatement of defective lead-based paint surfaces:
(1) Treatment of defective paint surfaces must be performed before final inspection and
approval of the renovation, rehabilitation, or conversion activity under 24 c.F.R.
Part 576; and
(2) Appropriate action must be taken to protect shelter occupants from the hazards
associated with lead-based paint abatement procedures.
V. USE OF DEBARRED, SUSPENDED, OR INELIGIBLE CONTRACTORS
The provisions of 24 C.F.R. Part 24 relating to the employment engagement of services,
awarding of contracts, or funding of any Contractors or subcontractors during any period
of debarment, suspension, or placement in ineligibility status.
I. FLOOD INSURANCE
No site proposed on which renovation, major rehabilitation, or conversion of a building is
to be assisted under 24 c.F.R. Part 576, other than by grant amounts allocated to States
under Sec. 576.43, may be located in an area that has been identified by the Federal
Emergency Management Agency (FEMA) as having special flood hazards unless:
(1) The community in which the area is situated is participating in the National Flood
Insurance Program and the regulations thereunder (44 C.F.R. Parts 59 through 79)
or (ii) Less than a year has passed since FEMA notification regarding such hazards;
and
(2) Contractor will ensure that flood insurance on the structure is obtained in
compliance with section 102(a) of the Flood Disaster Protection Act of 1973 (42
U.S.c. Sec. 4001 et seq.).
20f4
VII. COASTAL BARRIERS
In accordance with the Coastal Barrier Resources Act, 16 U.S.c. 3501, no financial
assistance under the Act may be made available within the Coastal Barrier Resources
System. Contractor shall comply, where applicable, with the Coastal Zone Management
Act of 1972 (16 U.S.c. Sec. 1451 et seq.) as amended, particularly section 307(c) and (d)
(16 U.S.c. Sec. 1456(c) and (d) ).
VIII. ENVIRONMENTAL STANDARDS
If Grantee is a unit of local government, it shall assume the environmental responsibilities
specified in section 104(g)(1) of the Housing and Community Development Act of 1974
and 24 C.F.R. Part 58.
Grantee shall assist Department and HUD in their compliance with Section 106 of the
National Historic Preservation Act of 1966, as amended (16 U.S.c. Sec. 470 et seq.);
Executive Order 11593; and the Archaeological and Historical Preservation Act of 1966
(16 U.S.C Sec. 489a-l et seq.) by: (a) consulting with the State Historic Preservation
Officer on the conduct of investigations, as necessary, to identify properties listed in or
eligible for inclusion in the National Register of Historic Places that are subject to
adverse effects by activities funded under this contract and notifying Department and
HUD of the existence of any such properties, and (b) complying with all requirements
established by HUD to avoid or mitigate adverse effects upon such properties.
Grantee shall ensure, pursuant to Executive Order 11783, that the facilities under its
ownership, lease, or supervisions which shall be utilized in the accomplishment of this
grant agreement are not listed on the Environmental Protection Agency (EPA) list of
violating facilities and that it shall notify Department and HUD of the receipt of any
communication from the Director of the EPA Office of Federal Activities indicating that
a facility to be used in carrying out this agreement is under consideration for listing by
the EP A.
Grantee shall comply with the provisions of the National Environment Policy Act of
1969 (P.L. 91-190) and Executive Order 11514, as amended by Executive Order 11991,
which promote efforts to prevent or eliminate damage to the environment and biosphere
and require an Environmental Impact Statement when plans and programs may affect the
quality of the by Executive Order 11991, which promote efforts to prevent or eliminate
damage to the environment and biosphere and require an Environmental Impact
Statement when plans and programs may affect the quality of the environment. To the
extent applicable, Grantee shall comply with all of the requirements of Section 114 of the
Clean Air Act, as amended (42 U.S.c. Sec. 1857 et seq.), and Section 308 of the Federal
Water Pollution Control Act (33 U.S.c. Sec. 1251 et seq.), respectively, relating to
inspection, monitoring, entry, reports, and information, as well as other requirements
30f4
specified in Section 114 and Section 308 of the Air Act and the Water Act, respectively,
and all regulations and guidelines issued thereunder.
Grantee shall comply with the provisions of Executive Order 11296, relating to
evaluation of flood hazards, and Executive Order 11288, relating to prevention, control,
and abatement of water pollution. Grantee shall assist Department and HUD in their
compliance with Executive Order 11988, Flood Plain Management, which requires
avoidance, to the extent possible, of the long and short term impacts associated with the
occupancy and modification of floodplains and avoidance of the direct of indirect support
of floodplain development whenever there is a practicable alternative.
40f4
AGENDA INFORMATION SHEET
AGENDA DATE:
September 20, 2005
DEPARTMENT:
City Manager's Office
CM:
Mike Conduff, City Manager
SUBJECT
Consider appointing a voting delegate and an alternate voting delegate to the National League of
Cities Annual Congress of Cities.
BACKGROUND
The National League of Cities Annual Business Meeting will be held on Saturday, December 10,
2005 at the Congress of Cities in Charlotte, North Carolina. The City of Denton is entitled to
cast two votes at the Annual Business Meeting and the delegate(s) must be present to vote.
Consideration of the voting delegate and alternate voting delegate should include whether the
individual is able to remain a day longer at the conference to participate in the business meeting.
Respectfully submitted:
Jane Richardson
Assistant City Secretary
AGENDA INFORMATION SHEET
AGENDA DATE: September 20, 2005
DEPARTMENT: Finance
ACM: Kathy DuBose
SUBJECT
Consider approval of a Resolution appointing members to the Board of Directors of the North
Texas Higher Education Authority; and declaring an effective date.
BACKGROUND
The North Texas Higher Education Authority, Inc. (NTHEA) was established as a non-profit
corporation for the purpose of furthering educational opportunities of students by providing
funds for the acquisition of student loans. The cities of Arlington and Denton exercise the
powers enumerated under Section 53.47 of the Texas Education Code and the directors of the
Authority are appointed by the cities. Under Section 53.47 the Authority may issue revenue
bonds or borrow money to provide funds for the purchase of student loans guaranteed under
provisions of the Higher Education Act of 1965, as amended. The Authority issued its first
revenue bonds for such purpose in 1979.
PRIOR ACTIONIREVIEW
At its August 16, 2005 meeting NTHEA took action to nominate individuals to Places 6, and 9
on its board for the term October 1, 2005 through September 30, 2007. The incumbents, Dr.
Lindsay Keffer, Place 2, and Mr. Jim Brock, Place 9, have expressed a willingness to serve
another term. Therefore, the names of Dr. Keffer, and Mr. Jim Brock are respectfully
submitted for the Council's consideration for reappointment.
Mr. Jay Anderson, who served in Place 8 on the board, has submitted his resignation. NTHEA
submits the name of Mr. Jerry Falbo to serve in this place and respectfully asks the City
Council to approve the appointment ofMr. Falbo to the board. Mr. Falbo's resume is attached.
FISCAL INFORMATION
There is no fiscal impact to the City of Denton.
EXHIBITS
Letter from NTHEA
Jerry Falbo Resume
Respectfully submitted:
Kathy DuBose
Assistant City Manager
SEP-07-05 WED 03:41 PM HESC
FAX NO. 817 792 7879
p, 03/03
North Texas Higher Education Authority, Inc.
Higher Education Servicing Corporation
September 7, 2005
Honorable Euline Brock
Denton City Council
City of Denton
215 East McKinney
Denton, Texas 76201
Re: North Texas Higher Education Authority, Inc. (NTHEA)
Appointment for Places 6, 8 and 9
Dear Mayor Brock:
At its August 16, 2005 meeting, the NOlih Texas Higher Education Authority Board took
action to nominate individuals to Places 6 and 9 on its board for the term October 1, 2005
through September 30, 2007.
The incumbents Dr. Lindsay Keffer, Place 6 and Mr, Jim Brock, Place 9 have expressed
a willingness to serve another term. Therefore, the names of Dr. Keffer and Mr. Brock
are submitted for the City Council's consideration for re-appointment.
Mr. Jay Anderson, who served in Place 8 011 the board, has submitted his resignation,
NTHEA submits the name of Mr. Jerry Falbo to serve in this place and respectfully asks
the City Council to approve the appointment of Mr. Falbo to the North Texas Higher
Education Authority, Inc, board.
I will very much appreciate your notifying me of the action taken by the City Council on
the nominees. Please extend our contiIllled thanks to the individual Council members for
their support of the Authority and its activities.
Sincerely,
'i~4~
Kathryn Bryan
Executive Director
1250 E. Copeland Rd., Suite 200 · Arlington, Texas 76011-4921 . (817) 265-915H · www.nthca.com
JERRY FALBO
EDUCATION University of North Texas, Denton, Texas,
Master of Business Administration, 1977
Bachelor of Business Administration, 1972
Dallas Theological Seminary, Dallas, Texas
Master of Arts in Biblical Studies, 2005
EMPLOYMENT EXPERIENCE
2/98 - Present
Denton Bible Church
Church Administrator
01/69 - 01/98
First State Bank of Denton
Executive Vice President in Commercial Lending, but served in most every
position over a 29-year career.
PROFESSIONAL ASSOCIATIONS
American Institute of Banking,
Denton County Chapter, Past President, Director, Instructor for over 15 years
Bank Administration Institute,
Dallas Chapter, Past President, Secretary, Director; Implemented the Remote
site Seminar Program
COMMUNITY INVOLVEMENT
Or anizations
Texas Bank
Denton Re ional Medical Center
United Way of Denton County
Bo Scouts
Ann's Haven Hos ice
Denton Board of Realtors
Salvation Army, Denton County
Cha ter
Position Held
Advisory Director May 2000 - Present
Director for 13 ears
Lifetime Member of Board of Directors Held all
Chairs including Past President, Campaign Chair,
and Treasurer. Volunteer for over 25 years
Trustee, 1994-1997
Volunteer
Past President, Treasurer, Director
Chairman 1987 Sustaining Campaign, Director,
and Volunteer
Volunteer - Sustaining Campaign
Volunteer - Ca ital Cam ai n
Selected as the 1 st Affiliate Director to the Board
Past Chairman, Treasurer
PERSONAL: Married 34 years to Pat
Children - Cathy, Kristie, and Michael
Grandchildren - Haley 6, Ashton 6, Mackenzie 5, Madeleine 5
RESIDENCE: 2012 Vintage Circle, Corinth, Texas 76210
S:\Our Docutnen1.<i\&aolutions\05\Nonh Texas :tligber Ed1l:cation Authority.doc
RESOLUTION NO.
A RESOLUTION APPOINTING MEMBERS TO THE BOARD OF DIRECTORS OF THE
NORTH TEXAS HIGHER EDUCATION AUTHORITY; AND DECLARING AN
EFFECTIVE DATE.
WHEREAS, the term of office for Places 6, 8 and 9 on the Board of Directors of the
North Texas Higher Education Authority, Inc. have expired; and
WHEREAS, the Board has nominated Lindsay Keffer - Place 6, Jerry Falbo - Place 8,
and Jim Brock - Place 9 on the Board; NOW, THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY RESOLVES:
SECTION 1. That Lindsay Keffer is hereby appointed to Place 6 on the Board of
Directors of the North Texas Higher Education Authority, Inc. for a term commencing October
1, 2005 and continuing through September 30, 2007. .
SECTION 2. That Jerry Falbo is hereby appointed to Place 8 on the Board of Directors
of the North Texas Higher Education Authority, Inc. for a term commencing October 1, 2005
and continuing through September 30,2007,
SECTION 3. That Jim Brock is hereby appointed to Place 9 on the Board of Directors of
the North Texas Higher Education Authority, Inc. for a term commencing October 1,2005 and
continuing through September 30,2007,
SECTION 4. That this resolution shall become effective immediately upon its passage
and approval.
PASSED AND APPROVED this the
day of
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
BY:
<JU-MlLuJ
AGENDA INFORMATION SHEET
AGENDA DATE: September 20, 2005
DEPARTMENT: Fiscal Operations
ACM:
Kathy DuBose
..
SUBJECT
Consider approval of a resolution nominating members to the Board of Directors of the
Denton Central Appraisal District; and declaring an effective date.
BACKGROUND
The Denton Central Appraisal District (DCAD) has notified the City that the term for
members on the current DCAD Board of Directors expires December 31, 2005. Therefore,
DCAD is seeking nominations from taxing jurisdictions in the district. The attached
resolution is available for City Council to make a nomination(s) for members to the DCAD
Board of Directors. Once nominations from all taxing jurisdictions are received by DCAD, a
ballot will be sent to the City for City Council to cast their vote to elect a member at the
November 15, 2005, City Council meeting.
The number of votes a taxing unit has is determined by their proportional share of the total
levy in the district from the prior tax year. There are a total of 5,000 votes throughout the
district. One thousand votes are the maximum number needed to elect a local
representative/nominee to the Board of Directors. This year, the City has 163 votes and
DISD 692 votes. In 2003, the City and DISD collectively voted and elected Rick Woolfolk.
The current DCAD Board Members include Charles Stafford (Denton), Rick Woolfolk
(Denton), Lee Baker (Flower Mound), and Ben Harmon (Lewisville). Steve Mossman was
made a voting member in July 2005, due to the resignation of Richard Smith. Prior to this
appointment, Steve was a non-voting, ex-officio member of the Board as required in the
Texas Property Tax Code.
SCHEDULE
Applies only to every other year:
Prior to Oct. 1 -
DCAD notifies taxing entities of the number of votes they are entitled
to cast for appropriating board members.
Prior to Oct. 15 -
Nominations for DCAD Board of Directors are submitted to DCAD by
each jurisdiction (via resolution).
Prior to Oct. 30 -
DCAD compiles comprehensive list of nominees and forwards list to
each taxing unit in ballot forms.
Agenda Information Sheet
September 20, 2005
Page 2
Prior to Dec. 15th - Taxing units choose by written resolution a candidate(s). Name(s) of
candidate(s) are submitted to DCAD along with the number of votes
for each candidate.
Prior to Dec. 31 st - DCAD tabulates votes and forwards results to taxing units. The five
(5) candidates with the most votes become the Board of Directors as of
January 1.
Eligibility Guidelines:
. The selection process is set forth in Section 6.03 of the Property Tax Code.
. An appraisal district director must reside in the appraisal district for at least two (2) years
immediately preceding the date he or she takes office. Most residents are eligible to
serve as a director.
. An employee of a taxing unit served by the appraisal district is not eligible to serve as a
director. However, if the employee is an elected official, he or she is eligible to serve.
. A statute relevant to the Board selection process prohibits nepotism and conflict of
interest for appraisal district directors and chief appraisers. In summary, the law states
that:
...... ."a person may not serve as director of closely related to anyone in the appraisal
district or if related to anyone who represents owners in the district, or if the person has
an interest in a business that contracts with the district or a taxing unit. A chief appraiser
may not employ someone closely related to a member of the board of directors".
. EXPERIENCE - In considering individuals to serve as directors, taxing units should look
for expertise in such areas as accounting, finance, management, personnel administration,
contracts, computers, real estate or taxation. Historical involvement in local government
activities also indicates that someone should make an excellent Board member.
. FREQUENCY OF MEETINGS - The applicable statutes require the board of directors to
meet not less often than once each calendar quarter. The DCAD Board meets more often
than is required by law.
FISCAL INFORMATION
There is no fiscal impact to the City of Denton.
Agenda Information Sheet
September 20, 2005
Page 3
EXHIBITS
DCAD Board of Directors Nomination Information
Resolution
Re~pectfully submitted:
~A~-
: ~ ; --, ",
\:.'_.,- - ~ :"
. t '"0 ~ I ~
. _ -_ _ __ ;iII~. ,.,.
Diana G. Ortiz
Director of Fiscal Operations
DENTON CENTRAL ApPRAISAL DISTRICT
3911 Morse Street, P.O. Box 2816 '
Denton, TX 76202-2816
www.dentoncad.com
MEMO
TO: Denton County, All School Districts and All Cities That Levy A Tax
FROM: Joe Rogers
SUBJECT: Request for Nominations for Denton CAD Board of Directors
DATE: September 7, 2005
It is time again for the taxing jurisdictions to select five individuals to serve as the DCAD
Board of Directors. Each jurisdiction may nominate up to five people to be considered
for the Board of Directors. According to Section 6.03 of the Property Tax Code, it is the
chief appraiser's responsibility to initiate this process, which is the purpose of this
memo.
Please note that a chief appraiser does not have the authority, or the duty, to
investigate, or judge, the qualifications of the nominees. Further, a chief appraiser can
not extend the deadline for receiving nominations.
Attached is a nominee form. Please return a form for each nominee by October
15, 2005.
CALENDAR FOR APPOINTMENTS:
1. Prior to October 1 st - Each juriSdiction will be advised of the number of votes they
are entitled to cast for appointing the Board members. (See Attached)
2. Prior to October 15th - The governing body of each jurisdiction nominates candidates
to the DCAD Board of Directors. Each taxing jurisdiction can nominate up to five
candidates if they wish. The number of votes that each juriSdiction has is not relevant in
the initial nomination phase.
3. Prior to October 30th - A comprehensive list of the nominees will be compiled and
this information will be sent to the taxing juriSdictions in the form of a ballot.
4. Prior to December 15th - The taxing jurisdictions choose by written resolution the
candidate, or candidates, of their choice. The jurisdictions then submit the names of
their candidates and the votes they cast for each candidate prior to the December 15th
deadline.
5. Prior to December 31 st - A tabulation of the votes will be forwarded to the
jurisdictions. The five candidates that have received the most votes become the Board
of Directors as of January 1 st.
Phone: 940-349-3800
Metro: 972-434-2602
Fax: 940-349-3801
Memo, Appointing Board of Directors, September 7,2005
Page 2
SELECTING A NOMINEE
AUTHORITATIVE GUIDELINES - The selection process is set forth in Section 6.03 of
the Property Tax Code. This process is not an "election" governed by the Texas
Election Code. It is an independent procedure unique to the property tax system.
ELIGIBILITY - An appraisal district director must reside in the appraisal district for at
least two years immediately preceding the date he or she takes office. Most residents
are eligible to serve as a director. An individual that is serving on the governing body of
a city, county, or school district is eligible to serve as an appraisal district's director.
An employee of a taxing unit served by the appraisal district is not eligible to serve as a
director. However, if the employee is an elected official, he or she is eligible to serve.
A statute relevant to the Board selection process prohibits nepotism and conflict of
interest for appraisal district directors and chief appraisers. In summary, the law states
that:
.........."a person may not serve as director if closely related to anyone in the appraisal
district or if related to anyone who represents owners in the district, or if the person has
an interest in a business that contract with the district or a taxing unit. A chief appraiser
may not employ someone closely related to a member of the board of directors".
EXPERIENCE - In considering individuals to serve as directors, taxing units should look
for expertise in such areas as accounting, finance, management, personnel
administration, contracts, computers, real estate or taxation. Historical involvement in
local government activities also indicates that someone should make an excellent Board
member.
FREQUENCY OF MEETINGS - The applicable statutes require the board of directors to
meet not less often than once each calendar quarter.
DENTON CENTRAL APPRAISAL DISTRICT
2005 DISTRIBUTION OF VOTES
2004 %OF TOTAL NUMBER
JURISDICTIONS TAX LEVY LEVIES OF VOTES
SCHOOL DISTRICTS:
SOl ARGYLE ISD $11,628,671.44 1.441 % 72
S02 AUBREY ISD $5,234,948.34 0.649% 32
S05 DENTON ISD $111,690,985.68 13.837% 692
S07 KRUM ISD $8,110,622.80 1.005% 50
S08 LAKE DALLAS ISD $18,352,939.72 2.274% 114
S09 LEWISVILLE ISD $301,632,632.53 37.367% 1866
S10 LITTLE ELM ISD $16,689,505.80 2.068% 103
Sl1 NORTHWEST ISD $98,062,250.77 12.]48% 607
S12 PILOT POINT ISD $6,712,756.56 0.832% 42
S13 PONDER ISD $10,014,567.13 1.241 % 62 '
S14 SANGER ISD $9,769,569.31 1.210% 61
SCHOOL DISTRICTS TOTALS $597,899,450.08 74.070% 3701
GOl DENTON COUNTY $91,696,817.12 11.360% 568
CITIES:
C26 CITY OF ARGYLE $1,024,754.97 0.127% 6
COl CITY OF AUBREY $426,314.59 0.053% 3
C31 TOWN OF BARTONVILLE $269,016.14 0.033% 2
C42 TOWN OF CLARK $69,964.13 0.009% 1
C03 CITY OF THE COLONY $12,448,889.30 1.542% 77
C04 TOWN OF CORINTH $6,721,510.25 0.833% 42
C27 TOWN OF COPPER CANYON $202,671.84 0.025% 1
C05 CITY OF DENTON $26,353,489.67 3.265% 163
C30 CITY OF DOUBLE OAK $530,275.15 0.066% 3
C07 CITY OF FLOWER MOUND $22,885,144.91 2.S35% 142
C22 TOWN OF HACKBERRY $64,911.67 0.008% 1
C19 TOWN' OF HICKORY CREEK $824,349.40 0.102% 5
COS CITY OF HIGHLAND Vll.LAC $6,765,768.40 0.83S% 42
C09 CITY OF JUSTIN $607,039.50 0.075% 4
C]S CITY OF KRUGERVILLE $147,145.08 0.0]8% ]
C]O CITY OF KRUM $470,312.14 0.058% 3
Cll CITY OF LAKE DALLAS $1,683,819.18 0.209% 10
C25 TOWN OF LAKEWOOD VILL $105,236.27 0.013% 1
C12 CITY OF LEWISVILLE $23,591,446.06 2.923% 146
C13 CITY OF LITTLE ELM $2,843,439.99 0.352% IS
C23 CITY OF MARSHALL CREEK $43,941.59 0.005% 1
C33 CITY OF NORTHLAKE $224,144.30 0.02S% 1
C24 CITY OF OAK POINT $1,024,267.71 0.127% 6
CI4 CITY OF PILOT POINT $759,331.15 0.094% 5
C15 CITY OF PONDER $208,389.42 0.026% 1
C]7 CITY OF ROANOKE $2,617,892.26 0.324% 16
C16 CITY OF SANGER $1,718,167.24 0.213% 11
C34 TOWN OF SHADY SHORES $464,759.92 0.058% 3
C28 CITY OF TROPHY CLUB $2,517,962.23 0.312% 16
CITIES TOTALS $117,614,354.46 14.570% 730
GRAND TOTALS $807.210,621.66 100.000% 5000
KA THYW\SHEET\2005ALLOC.XLS
NOMINATION FORM
Please return this form to DCAD no later than October 15th. Reminder....your
jurisdiction may nominate up to five candidates to the Denton Central Appraisal District
Board of Directors.
Please include the address and phone number of your nominees.
Name of your jurisdiction:
Name of nominee:
Name
Address
City
Zip
Phone#~___-____
Please provide work or personal experience that would be applicable to an appointment
on the Denton Central Appraisal District Board of Directors
DENTON CENTRAL APPRAISAL DISTRICT
BOARD OF DIRECTORS
2004-2005
Terms ending December 2005
Lee Baker
616 Paisley Drive
Flower Mound, Texas 75028
Ben Harmon
917 Angela Ct.
Lewisville, Texas 75067
Steve Mossman
P. O. Box 1249
Denton, Texas 76202
Charles Stafford
1903 Williamsburg Row
Denton, Texas 76209
Rick Woolfolk
115 W. College St.
Denton, Texas 76201
"Dedicated to Quality Service"
www.cityofdenton.com
s:\Our Documents\ResoIutions\05\nominate central appraisal district2.doc
RESOLUTION NO.
A RESOLUTION NOMINATING MEMBERS TO THE BOARD OF DIRECTORS OF THE
DENTON CENTRAL APPRAISAL DISTRICT; AND DECLARING AN EFFECTIVE DATE.
WHEREAS, the term of office for the Board of Directors of the Denton Central
Appraisal District will expire on December 31,2005; and
WHEREAS, the City of Denton, Texas wishes to nominate members to said Board;
NOW, THEREFORE,
THE COUNCIL OF THE CITY OF DENTON HEREBY RESOLVES:
SECTION 1. That the City of Denton, Texas hereby nominates- and
as a members to the Board of Directors of the Denton Central Appraisal
District for two-year terms to commence January 1, 2006.
SECTION 2. That this resolution shall become effective immediately upon its passage
and approval.
PASSED AND APPROVED this the
day of
,2005.
EULINE BROCK, MAYOR
ATTEST:
JENNIFER WALTERS, CITY SECRETARY
BY:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
BY:
AGENDA INFORMATION SHEET
AGENDA DATE:
September 20, 2005
DEPARTMENT:
Economic Development
~
ACM:
Mike Conduff, City Manager
SUBJECT
Consider nominations/appointments to the City's Economic Development Partnership
Board.
BACKGROUND
The City Council appointed a nominating committee at the September 7,2004 meeting to
present a slate of nominees for the Economic Development Partnership Board for Council
consideration. The following Board positions will be vacant:
Euline Brock - City Council category
Jerry Mohelnitzky - Chamber of Commerce Board category
Harry Crumpacker - Top Twenty Taxpayer category
ESTIMATED SCHEDULE
EDP Board members will serve two-year terms. Board members may serve three
consecutive terms.
Respectfully submitted:
Linda Ratliff, Director
Economic Development Department
- 1 -
AGENDA INFORMATION SHEET
AGENDA DATE: September 20,2005
DEPARTMENT: City Manager's Office
CM: Mike Conduff, City Manager
SUBJECT
Consider nominations/appointments to the City's Boards and Commissions.
BACKGROUND
The following is a list of current board/commission vacancies:
Construction Advisory and Appeals Board - Council Member Montgomery has a nomination.
Zoning Board of Adjustment - There are two alternate "All" positions available for nominations.
If you require any further information, please let me know.
Respectfully submitted:
Jane Richardson
Assistant City Secretary
S :IAgenda ItemslBoard-Commission vacancies. doc
HANDOUT TO COUNCIL
ASSET PURCHASE AGREEMENT
Between
DENTON COUNTY TRANSPORTATION AUTHORITY
Buyer
And
CITY OF DENTON, TEXAS
Seller,
For the Sale and Purchase
of Certain Assets of City of Denton, Texas
Dated as of September 30, 2005
78523S.28/SP3/13144/0 1 0 1109 1 905
~ 11,0\06
:flt:Y'iI 5~
ARTICLE I
1.1.
1.2.
1.3.
1.4.
1.5.
1.6.
1.7.
1.8.
1.9.
1.10.
1.11.
1.12.
1.13.
1.14.
1.15.
1.16.
1.17.
1.18.
1.19.
1.20.
1.21.
1.22.
1.23.
1.24.
1.25.
1.26.
1.27.
1.28.
1.29.
1.30.
1.31.
1.32.
1.33.
1.34.
1.35.
1.36.
1.37.
1.38.
1.39.
ARTICLE II
TABLE OF CONTENTS
Page
DEFI N ITI ONS.......................................................................................... 1
"Agreement" ............................................................................................ 1
"Assets" ................................................................................................... 1
"Assignment of McDonald Operating Agreement" ...................................1
"Assignment of Service Marks"................................................................ 1
"Bill Of Sale" ....................................,.......................................................1
"Buses" .................................................................................................... 1
"Business" ............ ... ........ ... .................. ....................... .... ... ........ ............. 2
"Business Day" ........................................................................................ 2
"Business Intellectual Property" ............... ................................... ............. 2
"Buyer" ..................................................................................................... 2
"Buyer Documents"..... ................. ..... ................................. .... ........ .......... 2
"Closing" .................................................................................................. 2
"Closing Date".............. ...................... ......................................................2
"Code" .......................................................... ...........................................2
"Effective Time" .................. ............. .......................... ..... .... ....... .............. 2
"Equipment" ............................................................................................. 2
"Escrow Agent" ........................................................................................ 2
"Escrow Agreement" ................................................................................ 2
"FTA".......................................................................................................2
"Governmental Body" .............................................................................. 3
"Knowledge of Buyer," "Buyer's Knowledge" ...........................................3
"Knowledge of Seller," "Seller's Knowledge" ...........................................3
"Liabilities" ............................................................................................... 3
"Lien" .............................. ................................................. .........................3
uLosses"........................_.........._..................... ......... ......... .........._..... n....... 3
"Master Lease Agreement" ...........................................:.......................... 3
"Other Buses" .................................................................................... ...... 3
"Other Bus Transfer Instrument" ..............................................................3
"Person"................................................................................................... 3
"Purchase Price" .................................. ...................................... .... .......... 3
"Seller" ..................................................................................................... 3
"Seller Docu ments" ............................................ ......................................4
"Shelters and Benches" ...........................................................................4
liT axeslJ ....... _........... ............. ................................_..............._................... 4
"Titles" ....................................................................................................4
"TXDOT" ................................................ ................................................4
"U .S. DOT" ............................................................................................. 4
"Use Agreement" ..................................................................................... 4
"Vehicles" ............................................................................................... 4
SALE AND PURCHASE OF CERTAIN ASSETS AND CONVEYANCE
OF OTHER ASSETS...............................................................................4
785236.2B/{5P3/13144/01 01/091 905
2.1.
2.2.
2.3.
ARTICLE III
3.1.
3.2.
ARTICLE IV
4.1.
ARTICLE V
5.1.
5.2.
5.3.
5.4.
5.5.
5.6.
5.7.
5.B.
5.9.
5.10.
5.11.
5.12.
5.13.
ARTICLE VI
6.1.
6.2.
6.3.
6.4.
6.5.
ARTICLE VII
7.1.
7.2.
7.3.
7.4.
7.5.
ARTICLE VIII
B.1.
B.2.
B.3.
B.4.
B.5.
B.6.
Sale of Certain Assets. ............................................................................4
Transfer of Other Buses. ................................,........................................5
"AS IS" Transfer....... ... ............. .... ......................... ............... ........ ............ 5
CLOSI NG ..............................:................................................................. 5
Closing Date. ........ ........................ ............. ........... ......... ......... ..... ....... ..... 5
Deliveries at the Closing. ......................................................................... 5
PURCHASE PRI CE......... ........................................................................ B
Purchase Price. ....................................................................................... B
REPRESENTATIONS AND WARRANTIES OF SELLER ....................... B
Organization. ......,........................................ ............................................ B
Authority; Consents and Approvals. ........................................................B
Title to Assets and Other Buses. ............................................................. 9
No Injunctions or Orders..........................................................................9
Compliance with Laws. ...... ............................................... ...... .................9
Contracts. .. ............... ................................... ........... ........... ......................9
Brokers. ........ ........................ ............................. ....... .............................9
Patent or Trademark Claims. ....:.................................................. ... .........9
Valid Representations and Warranties. ...................................................9
No Taxes Due.................... ................... ............. ................ ...... .......... ....10
No Liens. ...................... ...................... .... ...............................................10
Prudent Business Operation. ............ ........ ........... ..... ................... ..........10
Litigation...... ............................... .............................. ............................. 10
REPRESENTATIONS AND WARRANTIES OF BUYER.......................1 0
Organization. ..... ................... ...... ........................... ................................ 1 0
Authority, Consents and Approvals. ......................................................10
No Injunctions or Orders........................................................................10
Litigation. .......... ........................................................ .... ......................... 11
Brokers. ....... .............................................. ............................................ 11
FURTHER AGREEMENTS ...................................................................11
Additional Actions by Seller and Buyer. .................................................11
Announcements..................................................................................... 11
Transaction Costs............... .................................. .................................11
Fire and Casualty. .................................................................................11
FT A Approval............................... .................. .......... ..............................12
MISCELLANEOUS... .......... ............................. ................................. ..... 12
Entire Understanding, Waiver, Etc.........................................................12
Severability. ..... ............ ....................... ... ............ ....................................13
Accounting Terms......................................... ..... ....................................13
Notices. ...... ............ .......... ................... :........ .........................................13
Successors and Assigns. ......................................................................14
Waivers. ...... .... ............ .....i..................... ........... .................... ............ .... 14
7B5236.2B/SP3I13144/01 01/091 905
ii
8.7. Counterparts. .................... ............................ ......... ......... ....................... 14
8.8. Attorneys' Fees and Costs. ................................................................... 14
8.9. Headings. ...... ....................... ...... .................... .............. .................... ..... 14
8.10. Governing Law. ..........................................:...::.....................................14
iii
7B5236.28/SP3f13144101 011091905
EXHIBITS
Exhibit 1.4 - Assignment of Service Marks
Exhibit 1.5 - Bill Of Sale
iv
785236.28fSP3J13144/0 1 01/091905
SCHEDULES
Schedule 1.9 - Business Intellectual Property
Schedule 1.16 - Equipment
Schedule 1.33 - Shelters and Benches
Schedule 1.39 (a) - Buses
Schedule 1.39 (b) - Other Buses
Schedule 5.6 - Contracts
v
785236.28fSP3/13144/01 01/091 905
ASSET PURCHASE AGREEMENT
This Asset Purchase Agreement (this "Agreement")is entered into as ofthe~ day
of September 2005, by and between CITY OF DENTON, Texas, a Texas municipal
corporation and home rule city ("Seller"), and DENTON COUNTY TRANSPORTATION
AUTHORITY, a political subdivision, and a coordinated county transportation authority
created pursuant to Chapter 460, Texas Transportation Code ("Buyer") (occasionally
collectively, the "Parties" and individually, a "Party").
WHEREAS, a portion of Seller's operation includes the operation of an intra-city bus line
under the name "LINK" (the "Business"); and
WHEREAS, Seller desires to sell to Buyer, on the terms and subject to the conditions of
this Agreement, the Assets (as defined below) used by Seller in the Business, and
Buyer desires to acquire the Assets, upon the terms set forth in this Agreement;
NOW, THEREFORE, intending to be legally bound, the Parties agree as follows:
ARTICLE I
DEFINITIONS
The terms defined in this Article shall have the following meanings:
1.1. "Agreement" shall have the meaning set forth in the opening paragraph of this
Agreement.
1.2. "Assets" shall have the meaning set forth in Article II of this Agreement.
1.3. "Assignment of McDonald Operating Agreement" means that certain
Assignment of McDonald Operating Agreement between McDonald Transit
Associates, Inc., a Texas corporation ("McDonald"), and Buyer, which shall be
completed, executed and delivered at Closing, and by the terms of which Seller
and McDonald assign to Buyer that certain Agreement to Provide Management
and Operation Services for Passenger Motor Carrier Transit System dated
April 16, 2002 (as amended) between Seller and McDonald.
1.4. "Assignment of Service Marks" means that certain Assignment of Service
Marks, in the form of Exhibit 1.4 attached to this Agreement and incorporated
herein by reference for all purposes, and which shall be completed, executed and
delivered by Seller at Closing. .
1.5. "Bill Of Sale" means the bill of sale, in the form of Exhibit 1.5 attached to this
Agreement and incorporated herein by reference for all purposes, and which
shall be completed, executed and delivered by Seller at Closing.
1.6. "Buses" means as defined in the definition of "Vehicles" below.
ASSET PURCHASE AGREEMENT - Page 1
785236.2B1SP3f13144101 01 1091905
.-
1.7. "Business" shall have the meaning set forth in the second recital of this
Agreement.
1.8. "Business Day" means any day other thana Saturday, Sunday; or a 'national
holiday in the U.S.A.
1.9. "Business Intellectual Property" means all of the trade secrets, processes,
confidential business information, technical formulas, technology and know-how,
data, designs, drawings, specifications, supplier lists, pricing and cost
information, business and marketing plans and proposals, and all copies and
tangible embodiments thereof (in whatever form or medium) that are primarily
used in the conduct of the Business or are known by Seller to be necessary for
the continued conduct of the Business by Buyer after the Closing Date.
1.10. "Buyer" shall have the meaning set forth in the opening paragraph of this
Agreement.
1.11. "Buyer Documents" shall have'the meaning set forth in Section 3.2 (b) of this
Agreement.
1.12. "Closing" shall have the meaning set forth in Section 3.1 of this Agreement.
1.13. "Closing Date" means the date on which the Closing actually occurs pursuant
to Section 3.1 of this Agreement.
1.14. "Code" means the Internal Revenue Code of, 1986, as amended, or any
successor statute thereto.
1.15. "Effective Time" means the effective time of the Closing specified in Section
3.1(b) of this Agreement.
1.16. "Equipment" means, collectively, the computers, servers, printers, scanners,
fax machines, automobiles, office furniture, bus-related signs, cabinets, fixtures,
telephone system, tools and equipment utilized by Seller in the Business and
identified on Schedule 1.16 attached to this Agreement and incorporated herein
by reference for all purposes.
1.17. "Escrow Agent" means as defined in the definition of "Escrow Agreement"
below.
1.18. "Escrow Agreement" means that escrow agreement by the terms of which
Seller, Buyer and American Escrow Company ("Escrow Agent") agree that the
fully completed and endorsed negotiable Texas Certificates of Title to each of the
Vehicles will be deposited at Closing and in accordance with the terms and
conditions set forth therein will be released to the Seller or Buyer, as applicable.
1.19. "FT A" means the Federal Transit Administration of the United States
Department of Transportation.
ASSET PURCHASE AGREEMENT - Page 2
785236.28/SP3/13144/0101/091905
-e"
1.20. "Governmental Body" means any federal, state, local or other governmental
department, commission, board, bureau, agency, instrumentality or other
authority.
1.21. "Knowledge of Buyer," "Buyer's Knowledge" or any substantially similar
term means to the best of Buyer's knowledge.
1.22. "Knowledge of Seller," "Seller's Knowledge" or any substantially similar term
means to the best of Seller's knowledge.
1.23. "Liabilities" means any indebtedness, liability, loss, damage, deficiency or
obligation, known or unknown, fixed or unfixed, choate or inchoate, liquidated or
unliquidated, secured or unsecured, accrued, absolute, contingent or otherwise,
whether or not of the kind required by accounting principles generally accepted in
the United States to be set forth on a financial statement, including any liability
for Taxes.
1.24. "Lien" means any lien, pledge, mortgage, security interest, claim, lease, charge,
option, right of first refusal, easement, servitude, transfer restriction or any other
encumbrance, restriction or limitation whatsoever.
1.25. "Losses" means any and all losses, costs, expenses, obligations, liabilities or
damages, inciuding, without limitation, court costs, reasonable attorneys' fees
and disbursements.
1.26. "Master Lease Agreement" means that written lease agreement between
Buyer and Seller, which is the owner of that real estate specifically described
therein and commonly known as 1100 Mayhill Road, City of Denton, County of
Denton, Texas (collectively, the "Real Property").
1.27. "Other Buses" means those vehicles referenced in the definition of "Vehicles"
below.
1.28. "Other Bus Transfer Instrument" means that document by the terms of which
Seller conveys and transfers to Seller all of its right, title and interest to the Other
Buses for the consideration therein stated.
1.29. "Person" means an individual, partnership, limited liability company,
corporation, trust, unincorporated organization, association or joint venture or
Governmental Body.
1.30. "Purchase Price" shall have the meaning set forth in Section 4.1 of this
Agreement.
1.31. "Seller" shall have the meaning set forth in the opening paragraph of this
Agreement.
ASSET PURCHASE AGREEMENT - Page 3
765236.26/5 P3/13144101 011091905
"
1.32. "Seller Documents" shall have the meaning set forth in Section 3.2 (a) and 3.2
(d) of this Agreement.
1.33. "Shelters and Benches" means each and every pedestrian bus shelter and
each pedestrian bench owned by the Seller and identified on Schedule 1.33,
attached hereto and incorporated herein by reference for all purposes, on the
Closing Date.
1.34. "Taxes" means any federal, state, local or foreign income, gross receipt,
license, payroll, employment, excise, severance, occupation, capital stDck,
franchise, profits, withhDlding, sDcial security (Dr similar), unemplDyment,
disability, real prDperty, persDnal prDperty, sales, use, transfer, registratiDn,
estimated or Dther tax Df any kind whatsDever, including any interest, penalty Dr
additiDn thereto, whether disputed Dr not.
1.35. "Titles" means, collectively, the negDtiable Texas Certificates Df Title issued fDr
each Df the Vehicles as properly completed, executed and endDrsed by Seller
(and any lienholderfor the purpose Df the lienhDlder releasing its lien).
1.36. "TXDOT" means the Texas Department of TranspDrtatiDn.
1.37. "U.S. DOT" means the United States Department Df TransportatiDn which
regulates the use Df the Buses in the transpDrtatiDn Df public passengers in the
U.S.A.
1.38. "Use Agreement" means that agreement by the terms Df which Seller agrees
(among other things) that as to any Business Intellectual Property Dwned,
licensed tD or Dtherwise utilized by Seller in Dr related tD the Business after
CIDSing, Seller shall prDvide Buyer unlimited access tD and use Df same fDr
purpDses Df Dperating the Business including, withDut IimitatiDn, the intra-city bus
line under the name "LINK" in the City Df DentDn, Texas tD the extent Seller is
permitted by contract or law.
1.39. "Vehicles" means cDllectively all Df thDse vehicles identified on Schedule 1.39
(a) attached heretD and incDrporated herein by reference for all purpDses
(collectively, the "Buses") and each Df thDse vehicles identified Dn Schedule
1.39 (b) attached heretD and incDrporated herein by reference fDr all purposes
(collectively, the "Other Buses").
ARTICLE II
SALE AND PURCHASE OF CERTAIN ASSETS
AND CONVEYANCE OF OTHER ASSETS
2.1. Sale of Certain Assets. On the terms and subject tD the conditiDns stated in
this Agreement, at the CIDsing, Seller shall sell, transfer, assign, cDnvey and
deliver to Buyer, and Buyer shall purchase, acquire and accept from Seller all of
Seller's right, title and interest in and tD certain Df the assets of Seller used in the
ASSET PURCHASE AGREEMENT - Page 4
785236.28/SP3/131441O 1 011091905
,.,0
cDnduct Df the Business (cDllectively, the "Assets"). including each Df the
following:
(a) the Buses identified on Schedule 1.39 (a);
(b) the Equipment;
(c) the Shelters and Benches;
(d) any and all Governmental Body licenses, permits, certificates of authority,
certificates Df Dccupancy, authorizations, approvals, registrations,
franchises and similar consents relating' to the Business, tD the extent
assignable;
(e) any Business Intellectual Property as identified Dn Schedule 1.9 attached
heretD and incorpDrated herein by reference for all purpDses; and
(f) the Route Match SDftware.
2.2. Transfer of other Buses. Further, subject tD the terms and cDnditions of this
Agreement, . at the Closing, Seller shall convey and transfer to Buyer all Df
Seller's right, title and interest in and to each of thDse Other Buses listed on
Schedule 1.39 (b) in cDnsideratiDn Df Buyer's agreement (as evidenced by this
Agreement) to establish, operate and maintain an intra-city bus system in the
City Df Denton.
2.3. "AS IS" Transfer. Buyer agrees that all of the Assets are being cDnveyed and
transferred by Seller to Buyer in accordance herewith on an AS IS, WHERE IS
basis and that Seller is not making any warranties regarding the suitability of the
Vehicles or other Assets for any intended use Dther than thDse required by FT A.
Further, Buyer agrees that it has examined each Df the Vehicles and other
Assets and accepts them in their present repaired cDndition.
ARTICLE III
CLOSING
3.1. ClosinQ Date.
(a) The Closing hereunder (the "Closing") shall take place on September 30,
2005 at 11 :00 a.m. (the "Closing Date").
(b) The effective time Df the Closing hereunder will be deemed tD have
Dccurred at 5:00 p.m. (Central time) Dn September 30, 2005 (the
"Effective Time").
3.2. Deliveries at the CIDsinQ.
(a) At the CIDsing, Seller will deliver tD Buyer the follDwing:
ASSET PURCHASE AGREEMENT - Page 5
785236.28fSP3/13144!01 01 1091 905
i) the Bill Of Sale duly completed and executed by Seller and listing
therein, among other things, all Assets (including, without limitation,
all Vehicles and Equipment) being sold to Buyer and the Purchase
Price for same as determined in accordance with Section 4.1
below;
ii) the Other Bus Transfer Instrument duly completed and executed by
Seller and listing therein each of the Other Buses being conveyed
and transferred by Seller to Buyer in accordance with Section 2.2
above for the consideration therein stated;
iii) the Assignment of Service Marks duly executed by Seller;
iv) a Certificate of the City Secretary of Seller, certifying (among other
things) that attached thereto are true and correct copies of each
resolution or ordinance of the City Council of Seller authorizing the
execution, delivery and performance of this Agreement, the Master
Lease Agreement and the other related agreements and
documents referenced herein and executed pursuant to or related
to this Agreement;
v) all contracts, agreements, commitments and rights pertaining to the
Business and other data relating to its assets, business and
operation including, without limitation, all Vehicles and Equipment,
except its books of account and supporting records; provided,
however, after Closing, Seller shall provide Buyer with copies of
such portions of said books of account as Buyer may from time to
time require; and
vi) all applicable sales, transfer, documentary, use, filing and other
taxes and fees that may be due or payable as a result of the
conveyance, assignment, transfer, or delivery of the Other Buses
and the Assets, p~operty or Business to be conveyed and
transferred as provided herein shall be borne by Buyer.
vii) Assignment of McDonald Operating Agreement as separately
consented to in writing by McDonald;
viii) the unrestricted possession of each Vehicle and the other tangible
Assets;
ix) The entirety of Seller's unused bus pass stock;
x) and:
(a) such other deeds, bills of sale, endorsements, assignments,
and other good and sufficient instruments of conveyance, to
vest all right, title, and interest of the Seller in the Buyer to
ASSET PURCHASE AGREEMENT - Page 6
7B5236.28/SP3J13144/0 1 01/091 905
property and Business being transferred to the Buyer from
the Seller, free and clear of all Liens (except as to that
Vehicle (Texas Vehicle Identification Number
1 FDXE45S43HA62794) which is subject to a Lien granted to
TXDOT), in accordance herewith, except the Titles for the
Vehicles will be deposited with the Escrow Agent in
accordance with Section 3.2(d) below);
(b) simultaneously with such delivery, the Seller will take all
such steps as may be required to put the Buyer in actual
possession, operation and control of the Other Buses, the
Assets, properties and Business to be transferred
hereunder;
xi) and such other instruments, documents or agreements that Buyer
may reasonably request to carry out the transactions contemplated
by this Agreement or comply with the terms of this Agreement.
(b) At the Closing, Buyer will deliver to Seller:
i) the Purchase Price in a form acceptable to Seller;
H) a Certificate of the Secretary of Buyer, including resolutions of the
Board of Directors, authorizing the execution, delivery and
performance of this Agreement and the related agreements and
documents;
iii) such other instruments, documents or agreements as Seller may
reasonably request to carry out the transactions contemplated by
this Agreement and to comply with the terms of this Agreement.
(c) At the Closing, Seller and Buyer shall mutually complete, execute and
deliver to the other party each of the following:
i) the Master Lease Agreement;
ii) the Use Agreement; and
Hi) the Escrow Agreement;
(d) At the Closing, Seller shall deliver to the Escrow Agent:
i) the original negotiable Texas Certificates of Title for each of the
Vehicles, completed and properly executed and endorsed by the
Seller (and lienholder for the purpose of releasing its lien) and free
and clear of any Liens, encumbrances or restrictions (except as to
that Vehicle (Texas Vehicle Identification Number
1 FDXE45S43HA62794), which is subject to a TXDOT Lien);
ASSET PURCHASE AGREEMENT - Page 7
785236.2B/SP3113144fO 1 0 1/091605
(e) From time to time after the Closing, at the request of the Buyer, the Seller.
will execute and deliver to the Buyer such other instruments of
conveyance and transfer or any other instruments, documents or
agreements and take such other action as the Buyer may reasonably
require to more effectively convey, transfer to, vest all of Seller's right, title
and interest in, and to put the Buyer in possession of, any of the
properties, the Other Buses or the Assets to be conveyed, transferred and
delivered to the Buyer hereunder or to carry out the transactions
contemplated by the Agreement or to comply with the terms of this
Agreement.
ARTICLE IV
PURCHASE PRICE
4.1. Purchase Price. The Purchase Price payable to Seller by Buyer as
consideration for the sale, transfer, conveyance and assignment of the Assets
(the "Purchase Price") shall be: (a) Two Hundred Thirty Three Thousand
Dollars ($233,000).
ARTICLE V
REPRESENTATIONS AND WARRANTIES OF SELLER
Seller hereby represents and warrants to Buyer as follows:
5.1. Orqanization. Seller is a Texas home rule municipal corporation duly
incorporated and chartered and validly existing under the laws of the State of
Texas and has a[1 requisite right, power and authority to own, lease and operate
all of its properties and assets used in the Business and to carry out the Business
as it is presently conducted.
5.2. Authoritv: Consents and Approvals. Seller has all requisite right, power and
authority to execute, deliver and perform this Agreement and each other
document and agreement referenced in this Agreement or to be executed and
delivered by Seller pursuant to this Agreement (together, the "Seller
Documents"). The execution, delivery, and performance of the Seller
Documents by Seller has been duly and validly authorized and approved by all
necessary actions of its City Council. This Agreement constitutes a valid and
legally binding obligation of Seller, and the execution, delivery and performance
of the Seller Documents by Seller will not violate Seller's Charter or applicable
ordinances, as each is amended to the date of this Agreement, or (a) violate in
any material respect any applicable provision of law or any rule or regulation of
any Governmental Body or any order, writ, injunction, judgment or decree of any
court, administrative agency or Governmental Body, (b) require any consent
under or constitute a default under any material agreement, indenture, mortgage,
deed of trust, lease, or other instrument to which Seller is a party or by which it is
bound, or any license, permit or certificate held by it, or (c) result in the creation
of any Lien upon any of the Assets or the Other Buses.
ASSET PURCHASE AGREEMENT - Page 8
7 85236.28/SP3f13144101 0 1/091905
5.3. Title to Assets and Other Buses. At Closing, Seller will have the full right and
power to convey and will convey to Buyer, effective as of the Effective Time, all
of its right, title and interest to the Assets and the Other Buses, free and clear of
any and all Liens (except as to that Vehicle (Texas Vehicle Identification Number
1 FDXE45S43HA62794) which is subject to a TXDOT Lien) except that the Titles
will be deposited with the Escrow Agent in accordance with Section 3.2(d).
5.4. No Iniunctions or Orders. Except for the approval of the FTA as is required by
Article 7.5 below for the transfer of the Other Buses and the sale of the Buses,
there are no other necessary governmental consents, approvals or filings
necessary for the conveyance and transfer of the Other Buses or the sale of the
Assets by Seller. Seller is not subject to and, to Seller's Knowledge, has not
been threatened with any injunctions of any court or orders of any federal, state
or municipal court or Governmental Body, which would limit or otherwise
adversely affect Seller's ability to convey and transfer the Other Buses or sell the
Assets or to conduct the Business substantially as it is currently conducted by
Seller.
5.5. Compliance with Laws. Seller has complied in all material respects with all
federal, state and local laws and regulations applicable to the Other Buses and
the Assets and the Business.
5.6. Contracts. Seller represents that the contracts or agreements listed on
Schedule 5.6, attached hereto and incorporated herein by reference for all
purposes, are the only contracts or agreements Seller has entered into which are
in effect and may create a liability for Buyer.
5.7. Brokers. No agent, broker, investment banker or other Person acting on behalf
of Seller or under its authority is or will be entitled to any broker's or finder's fee
or any other commission or similar fee, directly or indirectly, in connection with
the transactions contemplated by this Agreement for which Buyer will be liable.
5.8. Patent or Trademark Claims. The Seller has no knowledge of any claim or
reason to believe that it is or may be infringing or otherwise acting adversely to
the rights of any Person under or in respect of any patent, trademark, service
mark, trade name, copyright, license, franchise, or other similar intangible right.
The Seller is not obligated or under any liability whatever to make any payments
by way of royalties, fees or otherwise to any owner or licensee of or other
claimant to any patent, trademark, trade name, copyright, franchise, or other
intangible asset with respect to the use thereof or in connection with the conduct
of the Business or otherwise.
5.9. Valid Representations and Warranties. No representation or warranty by the
Seller in this Agreement or in any writing required hereunder or related hereto,
contains or will contain any untrue statements of material fact or omits or will omit
to state any material fact required to make the statements herein or therein
contained not misleading.
ASSET PURCHASE AGREEMENT - Page 9
785236,29/SP3/13144/0101/092005
5.10. No Taxes Due. The Seller has filed all federal and state withholding and
employment tax returns and paid all taxes that are now due and payable or will
be due and payable as of the date of the Closing.
5.11. No Liens. All of the Other Buses and the Assets are being transferred free and
clear of any indebtedness or Liens (except as to that Vehicle (Texas Vehicle
Identification Number 1 FDXE45S43HA62794) which is subject to a TXDOT
Lien), and there are no tax or judgment liens against Seller or the Business to be
transferred, except (a) for the approval of the FT A as is required by Article 7.5
below for the transfer of the Other Buses and the sale of the Buses, and (b) the
Titles to the Vehicles are being deposited at Closing with the Escrow Agent in
accordance with Section 3.2(d).
5.12. Prudent Business Operation. Seller will continue until the Effective Time on
Closing Date to operate the Business in a reasonable and prudent manner.
5.13. Litiqation. Seller is not a party to, nor has any knowledge of any threat of, any
litigation in which any Asset of Seller being sold to Buyer hereunder or any Other
Bus being conveyed and transferred by Seller hereunder is the subject of any
such litigation or is affected by or could be affected by any such existing or
threatened litigation.
ARTICLE VI
REPRESENTATIONS AND WARRANTIES OF BUYER
Buyer hereby represents and warrants to Seller as follows:
6.1. Orqanization. Buyer is a political subdivision of the State of Texas and a
coordinated county transportation authority created pursuant to Chapter 460,
Texas Transportation Code, validly existing under the laws of the State of Texas
and has the full right, power and authority to own, lease and operate the Assets
and the Business in the State of Texas.
6.2. Authoritv, Consents and Approvals. Buyer has all requisite, necessary and
appropriate power and authority to execute, deliver and. perform this Agreement
and each other document and agreement referenced in this Agreement or to be
executed and delivered by Buyer pursuant to this Agreement (together, the
"Buyer Documents"). The execution, delivery and performance of the Buyer
Documents by Buyer have been duly and validly authorized and approved by the
governing body of the Buyer.
6.3. No Iniunctions or Orders. Buyer is not engaged in, nor is there pending or, to
Buyer's Knowledge, threatened, any action, dispute, claim, litigation, arbitration,
investigation or other proceeding at law or in equity or before any Governmental
Body or other administrative agency nor are there any injunctions of any court or
orders of any federal, state or municipal court or Governmental Body which could
adversely affect Buyer's ability to perform any of its obligations under this
Agreement or the transactions contemplated by this Agreement.
ASSET PURCHASE AGREEMENT - Page 10
765236.28/S P3113144!O 1 0 1/091 905
6.4. LitiQation. There is no pending or, to Buyer's Knowledge, threatened litigation
against Buyer that would inhibit Buyer's ability to consummate the transactions
contemplated by this Agreement.
6.5. Brokers. No agent, broker, investment banker or other Person acting on behalf
of Buyer or under its authority is or will be entitled to any broker's or finder's fee
or any other commission or similar fee, directly or indirectly, in connection with
the transactions contemplated by this Agreement for which Seller will be liable.
ARTICLE VII
FURTHER AGREEMENTS
7.1. Additional Actions bv Seller and Buver. After the Closing, Seller and Buyer
shall execute and deliver such documents and do and perform all such other acts
as may reasonably be required by the other in order to consummate the
transactions described in this Agreement.
7.2. Announcements. The Parties will mutually agree as to the time, form and
content before issuing any press releases or otherwise making any public
statements or statements to third parties with respect to transactions
contemplated by this Agreement, except as may be required by law.
7.3. Transaction Costs. Each of Seller and Buyer shall be responsible for the
payment of its own costs and expenses incurred in connection with this
Agreement (including, without limitation, any attorneys' fees incurred by its
counsel) and the transactions contemplated by this Agreement.
7.4. Fire and Casualtv. Subject to the terms and conditions hereof. the Seller
assumes all risk of destruction, loss, or damage of any Asset and each of the
Other Buses being transferred hereunder due to fire or other casualty up to the
Effective Time. Upon said destruction, loss or damage due to fire or other
casualty of a substantial portion of the Assets or the Other Buses or the building
or buildings in which they are located, the Buyer shall have the option to
terminate this Agreement and, in the event of the exercise of such option, all
rights of the Buyer and the Seller shall terminate without liability to any party.
The Buyer shall notify the Seller within five (5) days after receiving written notice
of said destruction, loss or damage due to fire or other casualty, of its decision to
terminate this Agreement. If the Buyer does not timely notify the Seller of
termination, this Agreement shall remain in full force and effect, provided,
however, the Purchase Price shall be adjusted at Closing to reflect such
destruction, loss, or damage and if the Buyer and Seller are unable to agree
upon the amount of adjustment, the dispute shall be determined by an
independent appraiser agreed to by Buyer and Seller and such determination
shall be binding upon both the Buyer and the Seller herein; however, on or after
the Effective Time the Buyer assumes all risk of destruction, loss or damage of
the Assets and the Other Buses being transferred hereunder due to fire or other
casualty.
ASSET PURCHASE AGREEMENT - Page 11
785236.29/5 P3f 13144fO 1 0 1 1092005
7.5. FTA Approval. As in accordance with Section 3.2(d) above, at Closing, the
Titles shall be deposited with the Escrow Agent to be held by and then released
by the Escrow Agent to the Buyer in accordance with the terms and conditions of
the Escrow Agreement upon Seller receiving FT A approval to transfer the
Vehicles to the Buyer and promptly executing and delivering to the Escrow Agent
the Statement of FTA Approval By the City of Denton, Texas (Exhibit B to the
Escrow Agreement) and upon Buyer receiving FT A approval to receive the
Vehicles from the Seller and promptly executing and delivering to the Escrow
Agent the Statement of FT A Approval By Denton County Transportation Authority
(Exhibit C to the Escrow Agreement), as contemplated herein. However, the
Seller and Buyer further agree if the FT A has not approved the sale of the Assets
by the Seller to the Buyer and the conveyance and transfer of the Other Buses
by the Seller to the Buyer as contemplated in this Agreement by close of
business on March 31, 2006, the Seller and Buyer shall immediately commence
the good faith negotiation of the terms and conditions of an operating lease of all
of the Vehicles by the Seller to Buyer for the purpose of the Buyer's unlimited use
of the Vehicles in the establishment, operation and maintenance of an intra-city
bus line in the City of Denton and such terms and conditions (among others) of
such operating lease shall include, without limitation, each of the following:
(a) the Purchase Price shall be deemed by Seller and Buyer to be the full and
complete rental to be paid by Buyer and Seller under such operating lease
and therefore Buyer shall not have any other or additional rental obligation
under the operating lease beyond the Purchase Price as paid at Closing;
and
(b) the term of the operating lease shall have a scheduled expiration date of
April 30, 2010.
Further, Seller and Buyer agree that such operating lease shall be executed by
Seller and Buyer by no later than close of business on May 31, 2006 unless such
date shall be extended in writing by Seller and Buyer that shall provide for interim
operation by the Buyer.
ARTICLE VIII
MISCELLANEOUS
8.1. Entire UnderstandinQ.Waiver, Etc, This Agreement (including all schedules
and exhibits attached to this Agreement) and all other agreements executed and
delivered at the Closing set forth. the entire understanding of the Parties and
supersede any and all prior or contemporaneous agreements and
understandings relating to the subject matter of this Agreement, and the
provisions hereof may not be changed, modified, waived or altered except by an
agreement in writing signed by the Parties to this Agreement. A waiver by any
Party of any of the terms or conditions of this Agreement, or of any breach
thereof, shall not be deemed a waiver of such term or condition for the future, or
ASSET PURCHASE AGREEMENT - Page 12
7B5236.28/SP3113144/0 1 01/091905
of any other term or condition of this Agreement, or of any subsequent breach
th e reof.
8.2. Severability. If any provision of this Agreement or the application of such
provision shall be held by a court of competent jurisdiction to be invalid or
unenforceable, the remaining provisions of this Agreement shall remain in full
force and effect.
8.3. Accountinq Terms. All accounting terms not specifically defined in this
Agreement shall have the meanings given to them under accounting principles
generally accepted in the United States.
8.4. Notices. All notices, requests, demands and other communications that are
required or may be given under this Agreement shall be in writing. All notices
shall be deemed to have been duly given or made: if by hand, immediately upon
delivery; if by Federal Express, Express Mail or any other reputable overnight
delivery service, one Business Day after being placed in the control of the courier
for overnight delivery; and if mailed by certified mail, return receipt requested,
five Business Days after mailing. All notices are to be given or made to the
parties at the following addresses (or to such other address as either Party may
designate by notice in accordance with the provisions of this Section):
(a) If to Seller:
City of Denton
Jon Fortune
Assistant City Manager
215 E. McKinney
Denton, Texas 76201
Facsimile: (940) 349-8596
j 0 n. fortun e@cityofdenton.com
(b) If to Buyer:
Denton County Transportation Authority
John Hedrick, Executive Director
1660 South Stemmons, Suite 250
Lewisville, Texas 75067
Facsimile: (972) 221-4601
jhedrick@dcta.net
With a copy to:
Rider Scott, Esq.
Strasburger & Price, LLP
2801 Network Boulevard, Suite 600
Frisco, TX 75034
ASSET PURCHASE AGREEMENT - Page 13
7B5236.28/SP3/13 1 44JO 1 01 fQ91905
8.5. Successors and Assiqns. Neither this Agreement nor any of the rights or
obligations arising under this Agreement shall be assignable without the prior
written consent of the Parties to this Agreement. Nothing in this Agreement,
express or implied, shall confer upon any Person, other than the Parties tothi!>
Agreement, and their successors and permitted assigns, any rights or remedies
under or by reason of this Agreement.
8.6. Waivers. At any time prior to the Closing, any Party to this Agreement may (i)
extend the time for the performance of any of the obligations or other acts of the
other Party to this Agreement, (ii) waive any inaccuracies in the representations
and warranties of the other Party contained in this Agreement or in any document
delivered pursuant to this Agreement, and (iii) waive compliance with any of the
agreements or conditions contained in this Agreement subject to any specific
provisions governing the effect of such extensions or waivers. Any agreement on
the part of a Party to this Agreement to grant any such extension or waiver will be
valid only if set forth in a written instrument signed on behalf of such Party.
8.7. Counterparts. This Agreement may be executed in two or more
counterparts, each of which shall be deemed an original, but all of which,
together, shall constitute one and the same instrument.
8.8. Attorneys' Fees and Costs. Unless otherwise provided in this Agreement to
the contrary, in the event any action or proceeding is commenced by any party to
this Agreement to determine rights, duties or obligations under this Agreement,
determine a breach of this Agreement and obtain damages as a result of such
breach or otherwise enforce this Agreement, the prevailing party in such action or
proceeding shall be entitled to recover from the non-prevailing party all of the
prevailing party's out-of-pocket costs and expenses, including all reasonable
attorneys' fees, disbursements and related charges.
8.9. Headinqs. The headings contained in this Agreement are for the sole purpose
of convenience of reference, and will not in any way limit or affect the meaning or
interpretation of any of the terms or provisions of this Agreement.
8.10. Governinq Law. THIS AGREEMENT SHALL BE CONTROLLED,
CONSTRUED AND ENFORCED IN ACCORDANCE WITH THE LAWS OF THE
STATE OF TEXAS APPLICABLE TO AGREEMENTS MADE AND TO BE
PERFORMED IN THAT STATE WITHOUT APPLICATION OF CONFLICTS OF
LAW PROVISIONS AND IS IN ALL RESPECTS PERFORMABLE IN DENTON
COUNTY, TEXAS.
(Remainder of Page Intentionally Left Blank--
Signatures Follow)
ASSET PURCHASE AGREEMENT - Page 14
785236.28/SP3/13144/01 01/091 905
~
IN WITNESS WHEREOF, this Agreement has been executed by duly authorized
officers of each of the Parties all as of the date first above written.
ATTEST:
JENNIFER WALTERS
CITY SECRETARY
By:
ATTEST:
DENTON COUNTY
TRANSPORTATION AUTHORITY
By:
Jason Pearce, Secretary
APPROVED AS TO LEGAL FORM:
ASSET PURCHASE AGREEMENT - Page 15
7B5236.2B/SP3/13144/D1 01 JOS 1905
SELLER:
CITY OF DENTON, TEXAS
By:
Name:
Title:
Euline Brock
Mayor
BUYER:
DENTON COUNTY
TRANSPORTATION AUTHORITY
By:
Name: Charles Emery
Title: Chairman
APPROVED AS TO LEGAL FORM:
By:
RIDER SCOTT
GENERAL COUNSEL
,.
EXHIBIT 1.4 TO ASSET PURCHASE AGREEMENT
ASSIGNMENT OF SERVICE MARKS
For and in consideration of Ten Dollars ($10.00) and other good and valuable
consideration, of which receipt is acknowledged, the CITY OF DENTON, TEXAS, a
Texas municipal corporation and home rule city ("Assignor"), owner of the entire right,
title and interest in the service marks identified on Appendix A attached hereto and
incorporated herein for all purposes hereby sells and assigns to DENTON COUNTY
TRANSPORTATION AUTHORITY, a political subdivision, and a coordinated county
transportation authority created pursuant to Chapter 460, Tex. Transportation Code
("Assignee"), its entire right, title and interest in the service marks identified on Appendix
A along with all good will associated therewith, to be held and enjoyed by the Assignee,
Its successors, and assigns, as fully and entirely as the same would have been held and
enjoyed by the Assignor had this assignment and sale not been made.
In testimony whereof, the Assignor has caused this Assignment of Service Marks
to be signed by its duly authorized officer(s) this day of ,2005.
ASSIGNOR:
CITY OF DENTON, TEXAS, a Texas municipal
corporation and home rule city
By:
HONORABLE EULlNE BROCK
MAYOR
ATTEST:
JENNIFER WALTERS
CITY SECRETARY
By:
EXHIBIT 1.4 TO ASSET PURCHASE AGREEMENT - .
Assicmment of Service Marks
786028.21SP3I1314410101/091605
'-
APPROVED AS TO LEGAL FORM:
EDWIN M.SNYDER
CITY ATTORNEY
By:
---.-.
STATE OF TEXAS ~
~
COUNTY OF DENTON ~
This instrument was acknowledged before me on the day of
2005, by Euline Brock, Mayor of the City of Denton, Texas, known or proved to me on
satisfactory evidence to be the person and officer whose name is subscribed to the
foregoing instrument, and acknowledged to me that she executed the same for the
purposes and consideration therein expressed and in the capacity therein stated, on
behalf of such municipal corporation.
Notary Public, State of Texas
[SEAL]
My Commission Expires:
EXHIBIT 1.4 TO ASSET PURCHASE AGREEMENT-
Assianment of Service Marks
786028.21SP3J13144/0101l091605
Appendix A to Assiqnment of Service Marks
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APPENDIX A TO ASSIGNMENT OF SERVICE MARKS
786028.2/SP3113144/01011091605
EXHIBIT 1.5 TO ASSET PURCHASE AGREEMENT
BILL OF SALE
THIS BILL OF SALE is made as of September 30, 2005, by the CITY OF
DENTON, Texas, a Texas municipal corporation and home rule city ("Seller").
WIT N E SSE T H:
WHEREAS, the DENTON COUNTY TRANSPORTATION AUTHORITY, a
political subdivision and coordinated county transportation authority created pursuant to
Chapter 460, Tex. Transportation Code ("Buyer") and Seller entered into that certain
Asset Purchase Agreement dated as of September 30, 2005 (the "Purchase
Agreement") providing, among other things, for the sale by Seller to Buyer of the Assets
(as defined in the Purchase Agreement); and
WHEREAS, in order to effectuate the sale and purchase of the Assets as
aforesaid, Seller is executing and delivering this Bill of Sale;
NOW THEREFORE, in consideration of the premises, the consideration paid
pursuant to the Purchase Agreement, the mutual covenants and agreements contained
in the Purchase Agreement and other good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, Seller hereby SELLS, ASSIGNS,
TRANSFERS, SETS OVER AND DELIVERS, and has hereby SOLD, ASSIGNED,
TRANSFERRED, SET OVER AND DELIVERED to Buyer, its successors and assigns,
all of its right, title, and interest in and to and under all of the Assets (as defined in the
Purchase Agreement) including, without limitation, each of the following (all capitalized
terms not herein defined shall have the meaning set forth in the Purchase Agreement):
(a) the Buses;
EXHIBIT 1.5 TO ASSET PURCHASE AGREEMENT - Bill of Sale - Page 1
785875.1 O/SP3/13144!01 01/091 905
(b) the Equipment;
(c) the Shelters and Benches;
(d) the use and operation of the Business;
(e) the Business Intellectual Property identified on Schedule 1.9 of the
Purchase Agreement;
(f) All of Seller's right, title and interest in and to the Route Match Software,
as further described in Exhibit A.
(g) Customer Data. All of the books, lists, and records of the Seller containing
data or information of any kind relating to (i) the customers of the Business as
conducted by the Seller with the Assets, and (Ii) the Assets.
(h) Intanqible Assets. All right, title and interest of Seller in, to and under the
name "LINK" and any derivatives of such name, any service marks, labels, logos,
copyrights, designs, rights to telephone numbers and all listings pertaining to Seller in
all telephone books and other directories pertaining to the Business, internet domain
names, web sites created by, licensed by and/or used by Seller in their operation of the
business, arid any registrations or applications for registrations of the foregoing used in
the conduct of the Business, and any right to recovery for infringement thereof
(including past infringement) and any and all goodwill associated therewith or connected
with the use thereof and symbolized thereby.
(I) Goodwill. The goodwill and going concern value of the Business
conducted by the Seller.
U) Licenses and Permits. Any and all Governmental Body licenses, permits,
certificates of authority, certificates of occupancy, authorizations, approvals,
EXHIBIT 1.5 TO ASSET PURCHASE AGREEMENT - Bill of Sale - Page 2
785876,10/SP311314410101/091905
,.
registrations, franchises and similar consents, to the extent assignable, owned or used
by Seller in the operation of the Business, whether issued by any Governmental Body or
any other Person. For purposes of this paragraph and this Bill of Sale generally, the
following terms have the following meanings:
"Applicable Law": All applicable provisions (domestic or foreign) of all (i)
constitutions, treaties, statutes, laws (including the common law), rules, regulations,
ordinances, codes and Orders of or with any Governmental Body, and (ii) Governmental
Approvals.
"Consent": Any consent, approval, authorization, action, waiver, permit, grant,
franchise, concession, agreement, license, exemption or Order of, registration,
certificate, declaration or filing with, or report or notice to, any Person (including foreign
Persons), including any Governmental Body.
"Governmental Approval": Any Consent of, from or with any Governmental Body.
"Governmental Body": Any court or any federal, state, municipal or other
governmental department, commiSSion, board, bureau, agency, authority or
instrumentality, domestic or foreign.
"Order": Any order, writ, injunction, directive, decree, judgment, award,
restriction, decision or determination of, or agreement with, any Governrnental Body.
"Permits": All permits, authorizations, qualifications, certificates, consents,
approvals, registrations, variances, exemptions, rights-of-way, franchises, privileges,
immunities, grants, ordinances, licenses, waivers and other rights of every kind and
character (a) under any (i) Applicable Law, (ii) Order or (Iii) contract with any
Governmental Body, or (b) granted by any Governmental Body.
"Person": An individual, partnership, joint venture, corporation, company, limited
liability company, bank, trust, unincorporated organization, Governmental Body or other
entity or group.
(k) Claims. All of Seller' rights, claims and causes of action relating to the
Assets or the Business.
(I) Other Assets. Each of the other Assets listed on Exhibit A attached hereto
and incorporated herein by reference for all purposes.
EXHIBIT 1.5 TO ASSET PURCHASE AGREEMENT - Bill of Sale - Page 3
785876.1 O/SP3113144/0 1 0 1/091 G05
,.
Seller and its successors and assigns, further covenants and agrees that Seller.
will do or cause to be done all such further acts and things and will execute,
acknowledge and deliver, or will cause to be executed, acknowledged and delivered,
any and all such further transfers, conveyances, instruments, powers of attorney and
assurances as the Buyer may reasonably require for the better assuring, assigning,
transferring and conveying to the Buyer, its successors and assigns, on the terms
stated in the Purchase Agreement and herein, all and singular the Assets.
As between Seller and Buyer, this Bill of Sale and the Purchase Agreement and
any and all other instruments, documents or agreements executed or delivered in
accordance with the terms and conditions of the Purchase Agreement constitute the
entire agreement, and supersede all other prior agreements or understandings, whether
written or oral, with respect to the subject matter hereof.
THIS AGREEMENT SHALL BE CONTROLLED, CONSTRUED AND
ENFORCED IN ACCORDANCE WITH THE LAWS OF THE STATE OF TEXAS
APPLICABLE TO AGREEMENTS MADE AND TO BE PERFORMED IN THAT STATE
WITHOUT APPLICATION OF CONFLICTS OF LAW PROVISIONS AND IS IN ALL
RESPECTS PERFORMABLE IN DENTON COUNTY, TEXAS.
SELLER MAKES NO REPRESENTATIONS WITH REGARD TO THE ASSETS,
AND BUYER ACCEPTS THE ASSETS "AS IS, WHERE IS," WITH ALL FAULTS.
Nothing contained in this Bill of Sale, express or implied, is intended to confer
upon any Person not a party to the Purchase Agreement any rights or remedies of any
nature whatsoever under or by reason of this Bill of Sale or the Purchase Agreement or
EXHIBIT 1.5 TO ASSET PURCHASE AGREEMENT - Bill of Sale - Page 4
7BSB76.1OJSP3/13144/Q1 011091 905
any document, instrument, or Agreement referenced therein or executed and delivered
pursuant to the terms of the Purchase Agreement.
IN WITNESS WHEREOF, Seller has executed this Bill of Sale as of the Effective
Date.
SELLER:
CITY OF DENTON, TEXAS, a Texas municipal
corporation and home rule city
By:
HONORABLE EULlNE BROCK
MAYOR
ATTEST:
JENNIFER WALTERS
CITY SECRETARY
By:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER
CITY ATTORNEY
By:
EXHIBIT 1.5 TO ASSET PURCHASE AGREEMENT - Bill of Sale - Page 5
785B76.10/SP3/13144/0101/091905
Exhibit "A" to Bill of Sale
Route Match Software Description
RouteMatch Software.
RouteMatch Software Version SR239C - 4 licensed users
Contract No. CITDEN 152
Windows 2003 for PowerEdge 1800 Server
Other Software
Software to remain on four Dell Computers:
Microsoft Windows XP, Microsoft Office 2000, Citrix Client and Real Player
EXHIBIT "A" to Bill of Sale
785876.10/SP3/13144/0101/091905
,
SCHEDULE 1.9 TO ASSET PURCHASE AGREEMENT
Business Intellectual Property
RouteMatch Software
RouteMatch Software Version SR239C - 4 licensed users
Contract No. CITDEN 152
Windows 2003 for PowerEdge 1800 Server
Other Software
Software to remain on four Dell Computers:
Microsoft Windows XP, Microsoft Office 2000, Citrix Client and Real Player
SCHEDULE 1.9 TO ASSET PURCHASE AGREEMENT
Business Intellectual Property
787545.1/SP3/13144/0101/091605
'"
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Exhibit 1.16 to Asset Purchase Agreement
Equipment
Description
Vehicle Identification
Number
Ford Crown-Victory
Ford Crown-Victory
Concrete slabs for benches & shelters
Eight Solar power light and Information Display Systems
Bus Shellers
Basic System and Inventory Module - Software
Two Dell MFP 1600n Printers
Two Dell Computers -Small Minltower Pentium
Two Dell latitude Laptops
Model 5400 Shop Floor Scrubber
LINKS Bus Lifts (Hydraulic Repair Lifts)
Ten Benches with Backrest
Signs - LINK buses
Signs - LINK buses logos & striping
Signs - LINK buses decais
TWD Panasonic Toughbook Computers
Four Workstations
One Dell Computer PowerEdge
Network Switch
Routematch Software
HP Laser Printer HPB 150
HP Color Laser Printer HP4550
HP Scan Jet Scanner
HP Fax 1020
Scan Coin Sorter
Left Pedestal Desk
Two File Cabinets
Secretary Desk
Secretary Desk
Bookcase
Chair
Roadmaster Else Utility Vehicle (Taylor Dunn)
Nortel Option 11 C Phone System and Cisco Switch with 10 Phone Desk Sets
2FALP71W4SX174474
2FALP71 W2VX15B262
Page: 1
,
SCHEDULE 1.33 TO ASSET PURCHASE AGREEMENT'
Shelters and Benches
Passenger Am~ty LocationS'
Lqcation CityBenel> City KDB B.enel> Sweat Team TINT
Shelter Shelter
L1NK central XXXX x:x:
100 Block ofE.
ffickory
Emily Fowler .
.,:,..
Library. X It
.~ -
500 Block of -
Oakland
Joyce & .. ..
. G;rrdenveiw ! X
, 3500 Block of
Joyce
Oriole & Loop ;.\.
288 j:7:: X
3600 Block of .,
Onole
Market & Loop -n
288 X
3800 Block of i
Market Street
Bell @Peach "'~i;;:. X
2400 Blcck of #.
Bell
Colorado @
Target ~i'i X
2300 Block of . -.-:~
, Colorado
AvenueG@I-
35E (Sac-n-
Save) : X
1000 Block of
Avenue C
Teasley@.
Family DOWIE X
1500 Block of .'
Teaslev !
Irvin@Denia
ReDIeman Ctr. X
'1000 Block of
parvin
Charlotte @
, Avenue G X
2500 Block of
: Charlotte ..
SCHEDULE 1.33 TO ASSET PURCHASE AGREEMENT-
Shelters and Benches - Paqe 1
187316.1/SPJ/13144/01011091605
L
r. -. ~
,
Location City Bench City KDB Bench Sweat Team UNT
Shelter Shelter
Bomrie Brae &
Charlotte X
2400 Block of
Charlotte
W. Hiclrory &
Avenue C X
1700 Block of
W. Hickory
TINT Student
Union : X
400 Block of
AvcnueA
W. Oak@
Carroll X
300 Block ofW.
Oak
Hickory@
Railroad X
600 Block ofE. ,
Hickory
WIlson@MLK.
Recreation Ctr. X
1300 Block of
Wilson
Ruddell @ E.
Hickory X
300 Block of
Ruddell
Bomrie Brae @
Denton
Cormnuoity
Hospital X
200 Block of S.
Bomrie Brae
M]ngo @ Village
East Apts. , X
1700 Block of
M]ngo'Road
Crescent @
Malone X
1400 Block of
Crescent Road
Elm @ Second X
1200 Block of
Elm Street ,
,
SCHEDULE 1.33 TO ASSET PURCHASE AGREEMENT-
Shelters and Benches - Pace 2
787316.1/SP3/13144101011091605.
'.
" "
" ,.'.
Location City Bench City KDB Bench Sweat Tellll1 UNT
Shelter Shelter
DaIlaB Drive @
Smith X
300 Block of
Dallas Drive
Ruddell @
Phoenix Apts. X
300 Block of
Ruddell
Bell @ Senior ,
Center X
200 Block of
Bell Avenue
Total: 30
SCHEDULE 1.33 TO ASSET PURCHASE AGREEMENT-
Shelters and Benches - Paqe 3
787316.1/SP3113144101011091605
''-
Exhibit 1.39 (a) to Asset Purchase Agreement
Buses
Description
Vehicle
License Unit Vehicle. Identification
Number Number Number
845-952 8701 1 GF5CAFKXHD098862
845-954 8703 1GF5CAFKOHD098885
828-019 275 1N9RBABG92C084143
851-184 335 1N9EBABG63C084117
851-185 336 1N9EBABG43C084116
851-186 337 1 N9EBABG33C084124
851-182 330 1 FDXE45S23HA62793
853-172 331 1 FDXE45S43HA62794
806-442 197 4UZAACBV81CJ40370
806-211 199 4UZAACBV41CJ25767
806-441 196 1 FDWE35F21 HB00447
806-443 198 1 FDWE35F41 HB00448
1987 Flxible Diesel Bus
1987 Flxible Diesel Bus
ESCORT RE Propane 30ft Bus
ESCORT RE Propane 30ft Bus
ESCORT RE Propane 30ft Bus
ESCORT RE Propane 30ft Bus
CGII Propane 25ft Paralransit Bus
CGII Propane 25ft Paratranslt Bus
2000 Goshen SENTRY Bus
2000 Goshen SENTRY Bus
2000 Goshen SENTRY Bus
2000 Goshen SENTRY Bus
The following assets are not in working order:
1987 Flxible Diesel Bus
1987 Flxible Diesel Bus
1987 Flxible Diesel Bus
1987 Flxible Diesel Bus
845-953
845-955
845-956
845-957
8702
8704
9001
9002
1 GF5CAFK4HD098890
1 GF5CAFK3HD098864
1GF5CAFK6LD101006
1 GF5CAFK1 HD1 01 003
Page: 1
,~.
Exhibit 1.39 (b) to Asset Purchase Agreement
Other Buses
Description
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
License.
Number.
879-212
879-213
879-214
879-215
879-216
879-217
879-218
879-219
879-220
879-221
879-222
879-223
879-224
879-225
879-226
Page: 1
Vehicle
Unit
Number
542
543
544
545
546
547
548
549
550
551
552
553
554
555
556
Vehicle Identification
Number
4UZAACBV21 CH72803
4UZMCBV91 CH72801
4UZMCBV31 CH72809
4UZAACBV81 CH72806
4UZAACBV81CH72823
4UZAACBV91 CH72815
4UZAACBV91 CH72832
4UZAACBVX1 CH72824
4UZAACBVX1CH72838
4UZMCBV91CH72846
4UZAACBV01 CH72833
4UZAACBV91CH72829
4UZAACBV11 CH72839
4UZAACBV81CH72840
4UZAACBVX1CH72841
'-
SCHEDULE 5.6 TO ASSET PURCHASE AGREEMENT
Contracts
Agreement to Provide Management and Operation Services for Passenger Motor
Carrier Transit System dated April 16, 2002 (as amended) between City of Denton,
Texas and McDonald Transit Associates, Inc.
SCHEDULE 5.6 TO ASSET PURCHASE AGREEMENT
Contracts
787546.1/SP3!1314410101/091505
,
ESCROW AGREEMENT
THIS AGREEMENT, made this 30th day of September, 2()05, among the City of
Denton, Texas, a Texas municipal corporation and home rule city ("Seller"), the Denton
County Transportation Authority, a political subdivision and a coordinated county
transportation authority created pursuant to Chapter 469, Tex. Transportation Code
("Buyer), American Escrow Company, a Texas corporation, having its principal place of
business at 2626 Howell, 10th Floor, Dallas, Texas 75204, Attn: Carla Janousek, 214-
855-8879 (hereinafter referred to as "Escrow Agent"),
WITNESSETH THAT:
WHEREAS, the Seller and Buyer entered into that certain Asset Purchase
Agreement (the "Purchase Agreement") dated September 30, 2005, wherein Seller
agreed to sell the Buses (as defined in the Purchase Agreement) and certain other
assets and agreed to convey and transfer the Other Buses (as defined in the Purchase
Agreement), to Buyer described therein (collectively, the "Assets"); and
WHEREAS, Seller has deposited the Titles (as defined in the Purchase
Agreement) to the Vehicles with Escrow Agent.
NOW THEREFORE, the parties hereto agrees as follows:
Escrow Agent shall open and maintain an escrow account in the name of Buyer
and Seller and hold in such account each of the Titles to the Vehicles listed on Exhibit
"A" attached hereto and incorporated herein by reference for all purposes.
Upon receipt by the Escrow Agent of an executed copy of the Statement of FTA
Approval By the City of Denton, Texas, in the form of Exhibit "B" attached hereto and
incorporated herein by reference for all purposes, by close of business on March 31,
2006, and the Statement of FTA Approval By the Denton County Transportation
Authority, in the form of Exhibit "C" attached hereto and incorporated herein by
reference for all purposes, Escrow Agent shall immediately deliver the Titles to the
Buyer and, upon doing so, shall not have any further obligation hereunder.
However, in the event the Escrow Agent does not receive an executed copy of
Exhibit B and Exhibit C by close of business on March 31, 2006, Escrow Agent shall
promptly deliver the Titles to the Seller and, upon doing so, shall not have any further
obligation hereunder.
Buyer shall pay the full cost of the escrow established with Escrow Agent.
Escrow Agent is not a party to, or bound by any agreement which may be
deposited under, evidenced by, or which arises out of the foregoing instructions.
ESCROW AGREEMENT - Page 1
786BBO.7/SP3/13144/01 01/091905
".
Escrow Agent acts hereunder as a depository only and is not responsible or
liable in any manner whatever for the sufficiency, correctness, genuineness or validity of
any instrument deposited with it hereunder, or with respect to the form or execution of
same; or the identity, authority, or rights of any person executing or depositing the
same.
The parties hereto further agree that Escrow Agent assumes no liability for and is
expressly released from any claim or claims whatsoever in connection with the
receiving, retaining and delivering of the above Titles except to account for delivery
made thereof as required above. Deposit by Escrow Agent of the instruments
comprising this escrow in Court, shall relieve Escrow Agent of all further responsibility
and liability, and Escrow Agent is hereby expressly authorized to disregard in its sole
discretion any and all notices or warnings given by any of the parties hereto, or by any
other person or corporation, but the said Escrow Agent is hereby expressly authorized
to regard and to comply with and obey any and all Orders, Judgments or Decrees
entered or issued by any Court with or without jurisdiction, and in case Escrow Agent
obeys or complies with any such Order, Judgment or Decree of any Court it shall not be
liable to any of the parties hereto or to any other person, firm or corporation by reason
of such compliance, notwithstanding any such Order, Judgment or Decree be entered
without jurisdiction or be subsequently reversed, modified, annulled, set aside or
vacated. In case of any suit or proceeding regarding this escrow to which Escrow Agent
is or may be at any time a party, it shall have a lien on the contents hereof for any and
all cost, attorneys' fees, whether such attorneys shall be regularly retained or specially
employed and other expenses which it may have incurred or become liable for on
account thereof, and it shall be entitled to reimburse itself therefore out of said deposit,
and the undersigned jointly and severally agree to indemnify and hold harmless Escrow
Agent from all loss, costs or damages incurred, including but not limited to attorneys'
fees, by reason of this Agreement or the subject matter hereof or any cause of action
which may be filed in connection therewith and to pay Escrow Agent, upon demand all
such costs, fees and expenses so incurred.
Escrow Agent shall not be liable for any error of judgment or for any act done or
step taken or omitted by it in good faith, or for any mistake of fact or law, or for anything
which it may do or refrain from doing in connection herewith, except its own gross
negligence or willful misconduct, and Escrow Agent shall have no duties to anyone
except those signing this instrument.
Escrow Agent may consult with legal counsel in the event of any dispute or
questions as to the construction of the foregoing instructions, or Escrow Agent's duties
hereunder, and Escrow Agent shall incur no liability and shall be fully protected in acting
in accordance with the opinion and instructions or such counsel.
Escrow Agent shall not have any liability due to any of the parties, other than
Escrow Agent, filing for bankruptcy or the consequences or effect of such a bankruptcy
on the documents deposited hereunder.
ESCROW AGREEMENT - Page 2
7B68BO.7/SP3!13144/0 1 01 {D9i90S
o
EXECUTED as of the day and year first above written.
Seller:
Buyer:
The City of Denton
215 E. McKinney
Denton, Texas 76201
Denton County Transportation Authority
1660 South Stemmons, Suite 250
Lewisville, Texas 75067
By:
Name: Charles Emery
Title: Chairman
By:
Name: Euline Brock
Title: Mayor
ATTEST:
ATTEST:
JENNIFER WALTERS
CITY SECRETARY
DENTON COUNTY TRANSPORTATION
AUTHORITY
By:
By:
Jason Pearce, Secretary
APPROVED AS TO LEGAL FORM:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER
CITY ATTORNEY ~ ~/
B, ~~
By:
RIDER SCOTT,
GENERAL COUNSEL
Escrow Agent
, Escrow Agent herein, hereby acknowledges receipt of
the aforementioned Titles and agrees to act as Escrow Agent herein pursuant to the
terms of this Agreement, dated this day of , 2005.
Escrow Agent:
BY:
NAME:
TITLE:
ESCROW AGREEMENT - Page 3
7B5BBD. 7 /SP3/131441D1 01/091905
'.
Description
EXHIBIT A to Escrow Agreement
1987 Flxible Diesel Bus
1987 Flxible Diesel Bus
ESCORT RE Propane 30ft Bus
ESCORT RE Propane 30ft Bus
ESCORT RE P'opane 30ft Bus
ESCORT Rc, r.ropane 30ft Bus
CGII propane 25ft Paralransit Bus
CGII Propane 25ft Parelransit Bus
2000 Goshen SENTRY Bus
2000 Goshen SENTRY Bus
2000 Go:"hen SENTRY Bus
2000 Goshen SENTRY Bus
1987 Flxible Diesel Bus
1987 Flxible Diesel Bus
1987 Flxible Diesel Bus
1987 Flxible Diesel Bus
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
License
Number
845-952
845-954
828-019
851-184
851-185
851-188
851-182
853-172
806-442
806-211
806-441
806-443
845-953
845-955
845-956
845-957
879-212
879-213
879-214
879-215
879-216
879-217
879-218
879-219
879-220
879-221
879-222
879-223
879-224
879-225
879-226
Vehicle
Unit
Number
8701
8703
275
335
336
337
330
331
197
199
196
198
542
543
544
545
546
547
548
549
55p
551
552
553
554
555
556
Vehicle Identification
Number
1GF5CAFKXHD098862
1 GF5CAFKOHD098885
1 N9RBABG92C084143
1N9EBABG63C084117
1 N9EBABG43C084116
1 N9EBABG33C084124
1FDXE45S23HA62793
1FDXE45S43HA62794
4U2PJ\CBV81CJ40370
. 4U2PJ\CBV41 CJ25767
1 FDVVE35F21HB00447
1 FDVVE35F41 HB00448
8702
8704
9001
9002
1 GF5CAFK4HD098890
1 GF5CAFK3HD098864
1 GF5CAFK6LD1 01 006
1 GF5CAFK1 HD1 01 003
4U2PJ\CBV21CH72803
4U2PJ\CBV91 CH72801
4U2PJ\CBV31 CH72809
4UZAACBV81 CH72806
4UZAACBV81CH72823
4UZAACBV91CH72815
4UZAACBV91 CH72832
4UZAACBVX1 CH72824
4UZAACBVX1 CH72838
4UZAACBV91 CH72846
4UZAACBV01CH72833
4UZAACBV91 CH72829
4UZAACBV11 CH72839
4UZAACBV81 CH72840
4UZAACBVX1 CH72841
.,
Exhibit B to Escrow Aqreement
STATEMENT OF FTA APPROVAL
BY CITY OF DENTON. TEXAS
I, of the City of Denton, Texas do
hereby swear and affirm that the City of Denton, Texas has received the approval of the
FT A to transfer the Vehicles (as defined in the Asset Purchase Agreement between the
City of Denton, Texas and the Denton County Transportation Authority dated
September 3D, 2005) to the Denton County Transportation Authority.
THIS statement is made to (escrow agent) to complete the
transaction contemplated in the Asset Purchase Agreement, and does
hereby swear under the penalties of perjury that the foregoing information is true and
correct in all respects, and that is authorized to make this statement on
behalf of the City of Denton, Texas.
EXECUTED effective as of
_,20_.
By:
Name:
Title:
COUNTY OF DENTON
s
s
s
STATE OF TEXAS
SWORN TO AND SUBSCRIBED BEFORE ME on
, in his capacity as'
_, 2005, by
of the City of Denton,
Texas.
Notary Public, State of
Notary's printed name:
My commission expires:
786880. 7!SP3113144/01 0 1/091 905
'.
Exhibit C to Escrow AQreement
STATEMENT OF FT A APPROVAL
BY DENTON COUNTY TRANSPORTATION AUTHORITY
I, of the Denton County
Transportation Authority do hereby swear and affirm that the Denton County
Transportation Authority has received the approval of the FTA to transfer the Vehicles
(as defined in the Asset Purchase Agreement between the City of Denton, Texas and
the Denton County Transportation Authority dated September 30, 2005) to the Denton
County Transportation Authority.
THIS statement is made to (escrow agent) to complete the
transaction contemplated in the Asset Purchase Agreement, and does
hereby swear under the penalties of perjury that the foregoing information is true and
correct in all respects, and that is authorized to make this statement on
behalf of the Denton County Transportation Authority.
EXECUTED effective as of
,20_.
By:
Name:
Title:
COUNTY OF DENTON
s
s
s
STATE OF TEXAS
SWORN TO AND SUBSCRIBED BEFORE ME on
, in his capacity as
Transportation Authority.
_, 2005, by
of the Denton County
Notary Public, State of
Notary's printed name:
My commission expires:
786880. 7/SP3!13144101 011091 905
"
USE AGREEMENT.
This Use Agreement ("Agreement") is entered into as of September. 30, 2005, by and
between the CITY OF DENTON, TEXAS, a Texas municipal Corporation and home rule'
city ("Seller") and the DENTON COUNTY TRANSPORTATION AUTHORITY, a political
subdivision and coordinated county transportation authority created pursuant to Chapter
460, Tex. Transportation Code ("Buyer").
WIT N E SSE T H:
WHEREAS, Buyer and Seller entered into that certain Asset Purchase Agreement
dated as of September 30, 2005 (the "Purchase Agreement") providing, among other
things, for the sale by Seller to Buyer of the Assets (as defined in the Purchase
Agreement); and
WHEREAS, in order to effectuate the orderly transition of the Business (as defined in
the Purchase Agreement) and complete the transaction set forth in the Purchase
Agreement Buyer and Seller have agreed to execute this Agreement;
NOW THEREFORE, in consideration of the premises, the consideration paid pursuant
to the Purchase Agreement, the mutual covenants and agreements contained in the
Purchase Agreement and other good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, to the extent there is Business
Intellectual Property (as defined in the Purchase Agreement) owned, licensed to or
otherwise utilized by Seller, Seller grants Buyer unlimited access to and use of the
same for purposes of operating the Business, including without limitation the intra-city
bus line under the name "LINK" in the City of Denton, Texas to the extent Seller is
permitted to do so by contract or law.
SELLER:
CiTY OF DENTON, TEXAS, a Texas municipal-
corporation and home rule city
By:
HONORABLE EULlNE BROCK
MAYOR
USE AGREEMENT - Page 1
766902.3/SP3(13144/0 1 01/091905
1
ATTEST:
JENNIFER WALTERS
CITY SECRETARY
By:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER
CITY ATTORNEY
By:
STATE OF TEXAS ~
~
COUNTY OF DENTON ~
This instrument was acknowledged before me on the _ day of September, 2005,
by Euline Brock, Mayor of the City of Denton, Texas, known or proved to me on
satisfactory evidence to be the person and officer whose name is subscribed to the
foregoing instrument, and acknowledged to me that she executed the same for the
purposes and consideration therein expressed and in the capacity therein stated, on
behalf of such municipal corporation.
[SEAL]
Notary Public, State of Texas
My Commission Expires:
USE AGREEMENT - Page 2
7B6902.3/SP3/13144/01 01 f091905
2
c
OTHER BUS TRANSFER INSTRUMENT
THIS OTHER BUS TRANSFER INSTRUMENT ("Instrument") is made as of
September 30, 2005, by the CITY OF DENTON, TEXAS, a Texas municipal corporation
and home rule city ("Seller").
WIT N E SSE T H:
WHEREAS, the DENTON COUNTY TRANSPORTATION AUTHORITY, a
political subdivision and coordinated county transportation authority created pursuant to
Chapter 460, Tex. Transportation Code ("Buyer") and Seller entered into that certain
Asset Purchase Agreement dated as of September 30, 2005 (the "Purchase
Agreement") providing, among other things, for the transfer of the other Buses (as
defined in the Purchase Agreement) (as identified on Exhibit A attached hereto and
incorporated by reference for all purposes) by Seller to Buyer; and
WHEREAS, in order to effectuate the transfer of the other Buses as aforesaid,
Seller is executing and delivering this Instrument;
NOW THEREFORE, in accordance with the mutual covenants and agreements
contained in the Purchase Agreement, Seller hereby CONVEYS AND TRANSFERS,
SETS OVER AND DELIVERS, and has hereby CONVEYED, ASSIGNE;D,
TRANSFERRED, SET OYER AND DELIVERED to Buyer, its successors and assigns,
all of its right, title, and interest in and to and under all of the Other Buses.
Seller and its successors and assigns, further covenants and agrees that Seller
will do or cause to be done all such further acts and things and will execute,
acknowiedge and deliver, or will cause to be executed, acknowledged and delivered,
any and all such further transfers, conveyances, instruments, powers of attorney and
assurances as the Buyer may reasonably require for the better assuring, assigning,
OTHER BUS TRANSFER INSTRUMENT - Page 1
7 87225.2/SP3J13144/01 011091905
o
transferring and conveying to the Buyer, its successors and assigns, on the terms.
stated in the Purchase Agreement and herein, all and singular the Other Buses.
THIS AGREEMENT SHALL BE CONTROLLED, CONSTRUED AND
ENFORCED IN ACCORDANCE WITH THE LAWS OF THE STATE OF TEXAS
APPLICABLE TO AGREEMENTS MADE AND TO BE PERFORMED IN THAT STATE
WITHOUT APPLICATION OF CONFLICTS OF LAW PROVISIONS AND IS IN ALL
RESPECTS PERFORMABLE IN DENTON COUNTY, TEXAS.
SELLER MAKES NO REPRESENTATIONS WITH REGARD TO THE OTHER
BUSES, AND BUYER ACCEPTS THE OTHER BUSES "AS IS, WHERE IS," WITH ALL
FAULTS.
Nothing contained in this Instrument, express or implied, is intended to confer
upon any Person not a party to the Purchase Agreement any rights or remedies of any
nature whatsoever under or by reason of.this Instrument or the Purchase Agreement or
any document, instrument, or Agreement referenced therein or executed and delivered
pursuant to the tenms of the Purchase Agreement.
IN WITNESS WHEREOF, Seller has executed this Instrument as of the Effective
Date.
SELLER:
CITY OF DENTON, TEXAS, a Texas municipal
corporation and home rule city
By:
HONORABLE EULlNE BROCK
MAYOR
OTHER BUS TRANSFER INSTRUMENT - Page 2
787225.2JSP3/13144/0101/091905
ATTEST:
JENNIFER WALTERS
CITY SECRETARY
By:
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER
CITY ATTORNEY
By rdAl/q
OTHER BUS TRANSFER INSTRUMENT - Page 3
7B7225.21SP3/13144/01 01 fOg 1905
>,
Description
Exhibit "A" to other Bus Transfer Instrument
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
2001 Champion Bus CT300
other Buses >>
License
Number
679-212
679-213
679-214
679-215
679-216
679-217
679-216
679-219
679-220
879-221
679-222 >
679-223
679-224
879-225
679-228
Exhibit U AU to other Bus Transfer Instrument
787225.21SP3J13144/01 01/091 G05
Page: 1
Vehicle
Unit
Number
542
543
544
545
546
547
546
549
550
551
552
553
554
555
556
Vehicle Identification
Number
4UZAACBV21CH72803
4UZAACBV91CH72801
4UZAACBV31CH72809
4UZAACBV61 CH72806
4UZAACBV61CH72823
4UZAACBV91 CH72615
4UZAACBV91CH72832
4UZAACBVX1CH72624
4UZAACBVX1 CH72638
4UZAACBV91 CH72646
4UZAACBV01CH72833
4UZAACBV91 CH72629
4UZAACBV11 CH72839
4UZAACBV61 CH72640
4UZAACBVX1 CH72641
S:\Our Documents\Co11lracts\05\McDonald TransiLdoc
ASSIGNMENT OF THAT CERTAIN AGREEMENT
BETWEEN THE CITY OF DENTON, TEXAS AND
MCDONALD TRANSIT ASSOCIATES, INC.
DATED APRIL 16, 2002, AS AMENDED
DATE:
September 20, 2005
ASSIGNOR: The City of Denton, Texas, a Texas Municipal Corporation and home rule city.
ASSIGNEE: The Denton County Transportation Authority, a political subdivision and a
coordinated county transportation authority created pursuant to Chapter 460, Tex.
Transportation Code.
CONSENTING CONTRACTOR: McDonald Transit Associates, Inc., a Texas Corporation
Reference:
Agreement to provide services for the City of Denton's
passenger motor carrier transit system called LINK.
April 16, 2002, amended on several occasions, the last
amendment being on Jnne 15, 2004.
City of Denton, Texas and McDonald Transit Associates,
Inc.
The Agreement described herein shall hereinafter be
referred to as the Agreement.
AGREEMENT:
Type:
Date:
Parties:
1. Assignor assigns' to Assignee all Assignor's rights, obligations and interest ill the
Agreement.
2. Assignee Agrees to:
a. Assume Assignor's rights, obligations and interests under the Agreement.
b. Fully perform all Assignor's. obligations under the Agreement's terms and
conditions.
IN WITNESS WHEREOF, the parties have execnted this Assignment of that certain
Agreement between the City of Denton, Texas and McDonald Transit Associates, dated April 16,
2002, as amended, as of the _ day of September, 2005, which shall be the effective date.
PREVIOUS ASSIGNMENTS: None
For Assi gnor:
City of Denton, Texas
215 E. McKimley
Denton, Texas 76201
By:
Euline Brock, Mayor
S:\Our DoClImenlS\Contr:J.Cls\05\McDonnld Tr:J.nsit.doc
Attest:
Jennifer Walters, City Secretary
By:
Approved as to Legal Form:
:~;;;]IlJtA~mc'
For Assignee:
Denton County Transportation Authority
1660 South Stenmlons, Suite 250
Lewisville, Texas 75067
By:
Charles Emery, Chairman
Attest:
Denton County Transportation Authority
By:
Jason Pearce, Secretary
Approved as to Legal Form
By:
Rider Scott, General Counsel
For Consenting Contractor:
McDonald Transit Associates, Inc.
4500 Mercantile Plaza Drive, Suite 307
Fort WDlih, Texas 76137
By:
Robeli T. Babbitt, President
. S:\Our DOCllmE:nts\Contracts\05\McDonald Tnmsit.doc
STATE OF TEXAS
COUNTY OF DENTON
This instrument was acknowledged before me on the _ day of
2005, by Euline Brock, Mayor of the City of Denton, Texas, a Texas mllllicipal corporation, on
behalf of said Municipal Corporation.
[SEAL]
Notary Public, State of Texas
My Commission Expires
(or Notary Stamp)
STATE OF TEXAS
COUNTY OF DENTON
This instrument was acknowledged before me on the _ day of
2005, by Charles Emery, Chairman of the Denton County Transportation Authority, a Texas
political subdivision and a coordinated County Transportation Authority created by Chapter 460,
Texas Transportation Code, on behalf of said Political Subdivision.
[SEAL]
Notary Pnblic, State of Texas
My Commission Expires
(or Notary Stamp)
STATE OF TEXAS
COUNTY OF DENTON
This instrument was aclmowledged before me on the _ day of
2005, by Robert T. Babbitt, President of McDonald Transit Associates, Inc., a Texas corporation,
on behalf of said Corporation.
[SEAL]
Notary Public, State of Texas
My Commission Expires
(or Notary Stamp) .
n~~~') ~~")
HANDOUT TO COUNCIL
q \2--0\ 06'
:trim ~S"5
THE STATE OF TEXAS s
AN AGREEMENT BY AND BETWEEN
THE CITY OF DENTON, TX. AND
THE DENTON COUNTY
TRANSPORTATION AUTHORITY
COUNTY OF DENTON S
MASTER LEASE AGREEMENT
This Master Lease Agreement ("Lease") is entered into by and between the City
of Denton, Texas, a Texas municipal corporation and home rule city ("Lessor") and the
Denton County Transportation Authority, a political subdivision and a coordinated
county transportation authority created pursuant to Chapter 460, Tex. Transportation
Code ("Lessee") on this 30th day of September, 2005, in accordance with the terms
and conditions of that certain Asset Purchase Agreement of even date herewith
("Purchase Agreement") by and between Lessor and Lessee as Seller and Buyer,
respectively, which contemplated that the Lessor and Lessee would enter into this
Master Lease Agreement.
Subject to the terms and conditions of this Lease, and in consideration of mutual
covenants, obligations, and agreements contained in this Lease, and other good and
valuable consideration, the receipt and sufficiency of which is hereby acknowledged,
Lessor and Lessee each agree as follows (all capitalized terms herein shall be defined
herein as stated in the Purchase Agreement unless otherwise defined herein):
Article 1
LEASE PREMISES
1.1 Lease Premises. Lessor does hereby lease, demise, and let to Lessee
and Lessee does hereby lease and take from Lessor certain premises situated within
the City of Denton, State of Texas, being more particularly described as follows:
(a) that .428 acres which is legally described on Exhibit "A," attached
hereto and incorporated herein by reference for all purposes, and
the improvements thereon ("Tract I") including, without limitation,
an approximately 3000 square foot building (commonly known
herein as the "Service Bay Building") which contains three (3)
vehicle maintenance and repair bays, and permanently attached to
the exterior of the Service Bay Building is a vehicle washrack;
(b) 'that .519 acres which is legally described on Exhibit "B," attached
hereto and incorporated herein by reference for all purposes, and
the improvements thereon ("Tract II") (commonly known herein as
the "Bus Parking Area") on which Lessee's Vehicles (as defined
in the Agreement) are to be parked or stored;
(c) that .201 acres which is legally described on Exhibit "C," attached
hereto and incorporated herein by reference for all purposes, and
MASTER LEASE AGREEMENT - PAGE 1
784815.14/SP3/13144!0100/092005
the improvements thereon ("Tract I"") and on which is located (i) a
triple-wide modular building (Serial Numbers TXLAOK998437,
TXLAOK008290 and TXLAOK008281) ("Bus Admin Office"),
which Lessor now leases from General Electric Capital Modular
Space, a division of Transport International Pool, Inc. ("GECMS")
and shall continue to do same during the Term (as defined below)
of this Lease and which Lessor shall sublet to Lessee as is
provided hereinbelow, and (ii) a 10,000 gallon fuel tank owned by
Lessor and located adjacent to Service Bay Building, of which
Lessee shall have exclusive use to store fuel for Lessee's Vehicles
during the Term (with each of the foregoing tracts and the
improvements thereon being collectively called herein the
"Premises").
Together with all rights, privileges, easements, appurtenances, and amenities belonging
to, or in any way pertaining to, the said Premises, including full rights of ingress and
egress to said Premises.
1.2 Condition. Lessee hereby accepts the Premises and the other
improvements and fixtures thereon "AS IS, WHERE IS," and agrees that the Seller is
not making any warranties regarding the condition or suitability for intended use of the.
Premises or the other improvements and fixtures thereon.
Article 2
TERM
2.1 Initial Term. The initial term of this Lease shall be for thirty-six (36)
months, beginning on October 1, 2005 ("Commencement Date") and ending on
September 30, 2008 ("Expiration Date") ("Initial Term").
2.2 Extensions. The Initial Term may be extended for up to two (2)
successive one (1) year periods (with each of such extension periods being called
herein an "Extension Period") upon Lessee providing written notice to Lessor in
accordance with Article 13 below not less than sixty (60) days prior to (i) the Expiration
Date, if applicable, or (ii) the last day of the applicable Extension Term.
During any Extension Period hereunder, the terms and conditions of this Lease
shall remain unchanged and continue to be effective and in full force, subject to the
change in monthly rental provided below or any written agreement otherwise entered
into between Lessor and Lessee (with the Initial Term and the applicable Extension
Periods being collectively known as the "Term").
Article 3
RENT
3.1 Rental in Initial Term. On or before the first day of each month during the
Initial Term (beginning on the Commencement Date), Lessee shall pay to Lessor the
sum of Nine Thousand Four Hundred Eighteen Dollars ($9,418) per month.
MASTER LEASE AGREEMENT - PAGE 2
784815.14/SP3/13144f01001092005
3.2 Rental in Extension Terms. If Lessee exercises its right to extend the
Initial Term of this Lease in accordance with Section 2.2 above, on or before the first
day of each month (beginning on or before the first day of the applicable Extension
Period (which shall be October 1,2009 or October 1,2010, respectively)), Lessee shall
pay to Lessor the sum of Five Thousand Three Hundred Dollars ($5,300) per month.
3.3 Place of Pavment. Lessee shall pay all amounts due under this Lease to:
City of Denton
c/o Director of Solid Waste
Solid Waste Fund
1527 South Mayhill Road
Denton, Texas 76208
or at such other address of which Lessor shall provide notice to Lessor in accordance
with Article 13 below.
3.4 Holdinq Over. The Term of this Lease (including the Initial Term and each
Extension Term if exercised as provided herein) shall expire no later than
September 30,2010. However, if the Lessee does not vacate the Premises upon the
expiration of the Term, the Lessee's occupancy of the Premises shall be a month-to-
month tenancy, subject to all of the terms of the Lease applicable to a month-to-month
tenancy, except that the monthly rental during such tenancy shall be Nine Thousand
Five Hundred Dollars ($9,500) per month and shall be due and payable beginning on
October 1,2010 and shall be due and payable thereafter on the first day of each month
until such tenancy terminates; however, if such tenancy ends on a day other than the
last calendar day of the month, the rental for any fractional calendar month of the
tenancy shall be prorated by days.
3.5 Earlv Termination. Should the Lease be terminated prior to the Expiration
Date of the Initial Term for any reason whatsoever, Lessee covenants to pay to Lessor
within sixty (60) days of such date of termination the sum of One Hundred Forty-Eight
Thousand Two Hundred Forty-Eight Dollars ($148,248.00) minus the sum obtained by
multiplying Four Thousand One Hundred Eighteen Dollars ($4,118.00) times the
number of whole months which have expired since the Commencement Date. Such
payment shall be made in lieu of any other remedy under this Lease or in equity.
3.6 Late Fee. If at any time Lessee's rental payment due hereunder is past
due for thirty (30) or more days, Lessee shall pay Lessor a Late Fee of One Hundred
Fifty Dollars ($150.00).
Article 4
LESSOR'S TITLE
4.1 Lessor's Title. Lessor covenants and warrants that it has good and
marketable title to the Premises, plus all other real estate shown on Exhibit D, including,
without limitation, all means and ways of ingress and egress for the same. Lessor holds
the Premises and all other real estate shown on Exhibit D in fee-simple absolute, free
MASTER LEASE AGREEMENT - PAGE 3
7848 15.14/SP3/13144/0 1 00/09200 5
and clear from any lien, claim or encumbrance that would affect the use and enjoyment
of the Premises by the Lessee.
4.2 Lessor's Authoritv. Lessor has full right, power and authority to enter into
this Lease and to grant to Lessee the leasehold estate contemplated herein and all
rights purported to be herein granted.
Article 5
USE AND ENJOYMENT
5.1 Permitted Use. Lessee shall use the Premises as follows:
(a) Tract I, including the (i) Service Bay Building and the three (3)
vehicle maintenance repair bays contained therein, shall be utilized
by Lessee to repair and maintain the Vehicles and any vehicle that
Lessee may own, rent, lease or use in the future and Lessor and
Lessee shall share the operations and use of the vehicle wash rack
permanently attached to the exterior of the Service Bay Building;
and (ii) a 10,000 gallon fuel tank which is owned free and clear of
any encumbrance, lien or restriction by Lessor and during the
entirety of the Term of this Lease shall be exclusively used by
Lessee to store fuel for Lessee's Vehicles (with the uses of Tracts I,
II and III of the Premises being collectively known herein as the
"Use");
(b) Tract II, including the paved Bus Parking Area thereon shall be
utilized for the parking and storage of the Buses and any other
vehicle that Lessee may own, rent, lease or use in the future; and
(c) Tract III is the location of (i) the Bus Admin Office which is a triple-
wide modular building that shall be used by Lessee as the
administrative office for the operation of the intra-city bus line in the
City of Denton, Texas (commonly known as "LINK"); AND AS A
CONDITION TO LESSEE AGREEING TO ENTER INTO THE
PURCHASE AGREEMENT AND THIS LEASE, LESSOR
AGREES TO SEEK WRITTEN APPROVAL OF GECMS TO
ENTER INTO A SUBLET AGREEMENT SIMULTANEOUSLY
WITH LESSOR AND LESSEE EXECUTING AND DELIVERING
THIS LEASE, WHEREBY LESSEE SHALL SUBLET FROM
LESSOR THAT BUS ADMIN OFFICE DURING THE TERM OF
THIS LEASE ON THE SAME TERMS AND CONDITIONS AS
LESSOR SHALL CONTINUE TO LEASE THAT BUS ADMIN
I
OFFICE FROM GECMS, THE OWNER OF THE BUS ADMIN
OFFICE, DURING THE ENTIRETY OF THE TERM AND SUCH
SUBLET AGREEMENT SHALL BE COTERMINUS WITH THIS
LEASE; LESSOR SHALL SIGN AND DELIVER TO LESSEE A
MASTER LEASE AGREEMENT - PAGE 4
7848 15.14fSP3/13144/0 1 00/09200 5
SUBLET AGREEMENT AT CLOSING, CONSISTENT WITH THE
TERMS HEREIN; AND
Lessor further covenants and warrants that there are no restrictive covenants, '
zoning ordinances or other laws, regulations or ordinances (federal, state or local) which
will at any time prevent Lessee, or its officers, employees, customers, invitees,
contractors, guests or agents, from conducting the Use or otherwise conducting the full
and complete operation and functioning of the intra-city bus system commonly known
as "LINK" in the City of Denton, Texas, including, without limitation, conducting the
parking, operation, maintenance, repair and administration of Lessee's Vehicles within
the Premises in a manner reasonably determined by the Lessee. If at any time during
the term of this Lease, the Use of the Premises for such described purposes, including
the Use of the Bus Parking Area for vehicular driving or parking, should ever be
prohibited or prevented by any restriction, ordinance, law, regulation, decision, or
otherwise, Lessee shall have the right at any time thereafter to terminate this Lease by
giving thirty (30) days written notice to the Lessor in accordance with Article 13 below,
whereupon Lessee shall be immediately released from any further obligations of any
kind which would otherwise accrue hereunder upon Lessee except as is provided in
Section 3.5 hereof.
In connection with the Use of and the related activities in, upon, and about the
Premises, Lessee shall materially comply with all federal, state or local laws, statutes,
ordinances, permits, regulations, applicable to the Use.
5.2 Peaceful Enjovment. Lessor covenants that Lessee shall and may
peacefully have, hold, and enjoy the Premises for the Initial Term and any applicable
Extension Period(s), including specifically, having an unrestricted ingress and egress
from Mayhill Road in the City of Denton, Texas, into and out of the Premises for the Use
herein specified.
5.3 Remedy. Lessor agrees that any use of the Premises by a third-party
inconsistent with the terms and conditions of this Lease, shall be prohibited by Lessor
upon notice being provided by Lessee to Lessor in accordance with Article 13 below. In
particular, an obstruction, improvement, fixture, vehicle, structure, or any other
impediment in or on the Premises, or in the ingress or egress access corridors, or
adjacent areas shown on Exhibit D, that impairs, disrupts or limits in any manner the
Use of the Premises, shall immediately be removed or cured by action of the Lessor
upon receipt of written notice from the Lessee in accordance with Article 13 below.
Lessor shall maintain whatever signage or notice is necessary to prevent said limitation
or impairment of the Use of the Premises by the Lessee and to enforce and effect the
removal of said limitation or impairment.
Article 6
MAINTENANCE
6.1 Lessor's Repairs. Lessor shall, at its expense, maintain at all times the
paved surface condition of the Bus Parking Area of the Premises, including the access
MASTER LEASE AGREEMENT - PAGE 5
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lanes for ingress and egress in and to the Premises and the other real estate shown on
Exhibit D, in good operable repair and condition. Upon receipt of written notice by
Lessee to Lessor provided in accordance with Article 13 below of any defect or need for
repairs of items to be maintained hereunder by Lessor (including, without limitation,
repairing the surface of the Bus Parking Area) Lessor shall commence repair of same
within thirty (30) business days after receipt of such notice and diligently pursue such
repairs to timely completion.
However, if a condition for which Lessor is responsible, prevents Lessee from the
defined Use of the Premises, Lessee shall be released from any obligation under the
Lease, including the obligation to pay any rental from the day such condition
commenced until Use of the Premises is restored in the reasonable opinion of the
Lessee. Further, if such condition persists for more than thirty (30) days, then Lessee
may terminate this Lease in all respects by five (5) days written notice provided in
accordance with Article 13 below to Lessor and thereafter Lessee shall have no further
obligation of any kind or nature under this Lease, except as provided in Section 3.5
hereof.
6.2 Other Repairs of the Premises. Except as provided in Section 6.1 above
or otherwise herein, Lessee shall make, at Lessee's sole cost and expense, all
necessary repairs to the Premises as required to maintain the property in good working
order. At reasonable intervals during the hours of 8:00 A.M. to 5:00 P.M. of each
Business Day, Lessor shall have the right to conduct periodic maintenance inspections
for the purpose of confirming that Lessee's obligations under this provision are
performed.
6.3. Alterations and Improvements. Lessee, at Lessee's sole cost and
expense, may remodel, redecorate, and make additions, improvements and
replacements of, and to all or any part of the Premises except the Bus Admin Office
from time to time during the Term, as Lessee may deem desirable (including the right to
place and install personal property, trade fixtures, equipment and other temporary
installations in and upon the Premises including the Bus Admin Office), provided that
such is made or done in a workmanlike manner and that good quality materials are
used. All personal property, equipment, machinery, trade fixtures and temporary
installations placed or installed upon the Premises by Lessee during the Term shall
remain Lessee's property, free and clear of any claim by Lessor, and Lessee shall have
the right to remove the same at any time during the Term of this Lease; provided
however, that all damage to the Premises caused by any such removal shall be fully
repaired by Lessee, at Lessee's expense and shall be done to Lessor's reasonable
satisfaction.
Article 7
TAXES, INSURANCE, UTILITIES AND SIGNS
7.1 Propertv Taxes. Lessor covenants and warrants that the Premises is
exempt from general real estate taxes of any and all taxing authorities (federal, state or
MASTER LEASE AGREEMENT - PAGE 6
784815.14fSP3f13144/0100/092005
local). Lessee shall be liable for, and solely responsible for, paying all personal property
taxes with respect to Lessee's personal property located on or stored at the Premises.
7.2 Insurance.
A. Lessor shall maintain "all perils" insurance coverage (including fire
and extended coverage insurance) for the Premises in such amounts as Lessor
shall deem reasonable in relation to the age, location, type of construction and
physical condition of the Premises. However, Lessee shall be responsible, at its
expense, for fire and extended coverage insurance on all of its personal property,
including removable trade fixtures, located in or at the Premises. Lessee
understands and agrees that Lessor shall in no way be liable respecting Lessee's
personal property located on the Premises unless the damage occurred from an
act or negligence of Lessor or any of Lessor's officials, officers, employees,
guests, agents or invitees.
B. Lessee and Lessor shall each, at its own expense, maintain a
policy or policies of comprehensive general liability insurance with respect to the
respective activities of each on the Premises or on the other real estate reflected
on Exhibit D, with the premiums thereon fully paid on or before their due date,
issued by and binding upon an insurance company licensed in the State of Texas
and rated "A-" or higher by A.M. Best Carriers. Each such policy shall be issued
for insurance coverage for an amount of not less than One Million Dollars
($1,000,000) combined single-limit coverage of bodily injury, property damage or
a combination thereof. Lessor or Lessee (as applicable) shall be listed as an
additional insured on the other party's policy or policies of comprehensive
general liability insurance and Lessor and Lessee (as applicable) shall provide
the other party with current certificates of insurance evidencing its compliance
with this Section. Lessee shall obtain the agreement of Lessee's insurers to
notify Lessor that the insurance policy required hereunder is due to expire at
least thirty (30) days prior to such expiration. Lessor shall assume no liability for
and shall not be required to maintain insurance against thefts within or upon the
Premises. The risk of loss for theft within or upon the Premises shall be borne
solely by Lessee. .
7.3 Utilities. Lessor covenants and warrants that all solid waste, sewer water,
gas, potable water, electricity and all other necessary utilities are in all respects
available for, and are now fully and completely connected to, the Premises. However,
all applications and connections for necessary utility services on or to the Premises
shall be made in the name of Lessee only; and Lessee shall be solely liable for, and
shall maintain in current status, any and all utility charges as they become due,
including those charges for solid waste, sewer, water, gas, potable water, electricity and
charges for any other utilities.
Lessor acknowledges that telephone, data and internet services are necessary
utilities for Lessee, and therefore Lessor shall affirmatively act and cooperate, in all
aspects, to assure their timely connection to the Premises.
MASTER LEASE AGREEMENT - PAGE 7
784815.141SP3113144f0100/092005
Lessor shall separately invoice Lessee on an annual basis for the use by Lessee
of the ADT fire alarm system monitoring service located in and on the Service Bay
Building and Lessee shall pay such invoice to Lessor no later than twenty-one (21) days
after the date of Lessor's invoice.
7.4 Siqns. Lessee shall have the right to place on the Premises, at locations
selected by Lessee, any signs which are permitted by applicable zoning ordinances and
private restrictions which are subject to the prior written reasonable approval of Lessor,
which approval will not be unreasonably withheld. Lessor may refuse to consent to any
proposed signage that is, in Lessor's opinion, too large, or deceptive, or unattractive or
otherwise inconsistent with, or inappropriate to the Premises, but Lessor's consent to
Lessee's desired signage will not be unreasonably withheld.
Lessor shall assist and cooperate with Lessee in obtaining any necessary
permission from all governmental authorities or adjoining owners and occupants of the
Premises or the other real estate shown on Exhibit D, for Lessee to place or construct
the foregoing signs. Lessee shall repair all damage to the Premises resulting from the
removal of all signs installed by Lessee.
Article 8
PREMISES RETURN
8.1 Premises Return. Lessee agrees to return the Premises at the conclusion
of the Term or upon earlier termination, in a condition reasonably similar to that in which
Lessee received said Premises, save and except for ordinary wear and tear.
Article 9
ASSIGNMENT
9.1 Assiqnment. Lessor and Lessee each agree it will not to assign its
respective interest under this Lease; and Lessee agrees that it shall not sublet the
Premises (or any portion thereof), without the prior consent of the Lessor.
Article 10
RIGHT OF ACCESS
10.1 Grant of Riqht of Access. Lessor hereby grants to Lessee and its
successors and assigns (together with their respective officers, employees, customers,
visitors, guests, and invitees) a temporary non-exclusive right of access and use
("Right of Access") over and across all parts of the Premises and all other real
property shown on Exhibit D including, without limitation, a right of access to the
Premises from Foster Road (the "Access Area").
The Right of Access shall provide free, continuous and uninterrupted ingress,
egress and regress by all pedestrians or vehicles to and from the Premises.
The Lessor agrees not to interfere with or to construct, obstruct, place or permit
to be placed any fences, barriers or other obstacles or impediments which will obstruct,
MASTER LEASE AGREEMENT - PAGE 8
784815.14fSP3/13144/01001092005
hinder or limit in any respect passage of any pedestrian or vehicle to the Premises
through the Access Area, including, without limitation, Foster Road.
The Lessor agrees to keep the existing roadways and paths, including, without
limitation, Foster Road (as shown on Exhibit D) in good working order, at its sole cost
and expense.
Lessor agrees to provide all necessary permanent or temporary easements, and
rights of way, on, to, or through the Premises and the Lessor's property as depicted on
Exhibit "0" to permit and allow the connection to the Premises of telephone, data and
internet, or other utility services which are necessary for the use and enjoyment of the
Premises.
Upon the default of the Lessor to perform its obligations under this Right of
Access, Lessee shall have the right to exercise any rights or remedies provided at law
or in equity, including a claim for all court costs and recovery of reasonable attorneys'
fees.
10.2 Covenants Runninq With the Land. The Access Area is an appurtenant.
The obligations, benefits and burdens contained in this Agreement are those of the
Lessees under this Lease, and shall run with the land, and shall be binding upon and
inure to the benefit of said owners, tenants and mortgagees and their respective heirs,
personal representatives, successors and assigns. If the Lessor or any future owner of
the Premises or the other real property reflected on Exhibit 0 shall hereafter convey title
to the Premises or the other real property reflected on Exhibit 0, such party's liability
under this Lease for obligations performable after the date of such conveyance shall
cease and such obligations shall be those of the record owner of the Premises or the
other real property reflected on Exhibit 0 as of such time period.
10.3 Term. The term of the Right of Access shall coincide with the Term of the
Lease.
Article 11
DEFAULT AND REMEDY
11.1 Lessor. If Lessor fails to comply with any covenant or obligation of Lessor
under this Lease, then Lessee shall give Lessor written notice provided in accordance
with Article 13 below, specifying the nature of the default and Lessor shall then have 30
days in which to cure such default. (However, Lessor and Lessee agree that a default
under the Purchase Agreement shall not be a default under this Lease.) If after the 30-
day period of cure, the Lessor has not cured the default, then Lessee shall have the
option to declare this Lease terminated in all respects and except for the obligation
arising under Section 3.5, Lessee shall not have any other obligation of any kind or
nature arising hereunder, but, without prejudice to the right of Lessee to recover from
Lessor such damages as Lessee sustains as a result of said default including without
limitation its reasonable attorney's fees and out of pocket costs.
MASTER LEASE AGREEMENT - PAGE 9
784815.14/SP3f13144/0100/092005
11.2 Lessee. Should Lessee not comply with the payment of rent described
herein, or any other provision of this Lease of which default Lessee shall then have
thirty (30) days in which to cure such default after receipt of written notice provided in
accordance with Article 13 below, specifying the nature of the defect, it shall be deemed
a default under this Lease. (However, Lessor and Lessee agree that a default under
the Purchase Agreement shall not be a default under this Lease.) Lessor shall have, in
addition to the remedies provided within this Lease Agreement, all remedies allowed it
by law and equity. Lessor shall use reasonable efforts to mitigate its damages. In the
event of a breach of this Lease by Lessee, Lessor shall recover from Lessee its
reasonable attorney fees and out-of-pocket costs.
Article 12
ENVIRONMENTAL
12.1 Lessee's Environmental Liabilitv. Lessee shall comply with all material
provisions of applicable environmental law, whether Federal, State, or local, respecting
the Use of the Premises. Lessee shall fully disclose and contact David Dugger, Landfill
Manager, City of Denton, Texas at (940) 349-8001, in the event that any hazardous
materials are brought onto the Premises by or for the benefit of Lessee. Additionally, a
material safety data sheet ("MSDS") shall be prepared by Lessee, and furnished to
Lessor on the next business day after any hazardous materials are brought by Lessee
or Lessee's agents onto the Premises. Lessee shall store all hazardous materials
within the Service Bay Building in a safe manner. Lessee shall be solely responsible for
the clean-up and remediation of any and all environmental liabilities which result from its
use of the Premises.
12.2 Lessor's Representations and Warranties. Lessor represents and
warrants to the best of Lessor's knowledge and belief that any handling, transportation,
storage, treatment or usage of Hazardous Material that has occurred on the Premises to
date has been in compliance with all applicable Federal, State, and local laws,
regulations and ordinances. Except as disclosed on Schedule 12.2 attached hereto and
incorporated herein by reference for all purposes, Lessor further represents and
warrants to the best of Lessor's knowledge and belief that no leak, spill, release,
discharge, emission or disposal of Hazardous Material has occurred on the Premises to
date and that the soil or groundwater on or under the Premises is free of Hazardous
Material as of the date that the term of this Lease commences unless expressly
disclosed by Lessor to Lessee in writing.
12.3 Definitions. For purposes of this Article 12, the term "Hazardous
Material" shall mean any pollutant, toxic substance, hazardous waste, hazardous
material, hazardous substance, or oil as defined in or pursuant to the Resource
Conservation and Recovery Act, as amended, the Comprehensive Environmental
Response, Compensation and Liability Act, as amended, the Federal Clean Water Act,
as amended, or any other federal, state or local; environmental law, regulation,
ordinance, rule, or bylaw, whether existing as of the date hereof, previously enforced or
subsequently enacted.
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784815.14/SP3f13144f0100/092005
Article 13
NOTICE
13.1 Notice. Any notice required or permitted under this Lease shall be
deemed sufficiently given or served if sent by prepaid United States mail, certified,
return receipt requested, addressed as follows:
To Lessor:
To Lessee:
City of Denton, Texas
Attn: City Manager
215 East McKinney Street
Denton, Texas 76201
Denton County Transportation Authority
c/o John O. Hedrick, Executive Director
1660 South Stemmons
Lewisville, Texas 75057
Phone: (940) 349-8307
Fax: (940) 349-8596
And
Phone: (972) 221-4600
Fax: (972) 221 4601
Vance Kemler, Director
City of Denton, Texas
Solid Waste Department
1527 South Mayhill Road
Denton, Texas 76208
With a copy to:
Strasburger & Price, LLP
Attn: Rider Scott, Esq.
2801 Network Boulevard
Suite 600
Frisco, Texas 75034
Phone: (940) 349-8044
Fax: (940) 349-8057
Phone:
Fax:
(469) 287 3906
(469) 227 6578
Lessor and Lessee shall each have the right from time to time to change the
place notice is to be given under this paragraph by written notice thereof to the other
party.
Article 14
WAIVER
14.1 Waiver. No failure of Lessor to enforce any term of this Lease shall be
deemed to be a waiver.
Article 15
HEADINGS
15.1 Headinqs. The headings and paragraph names used in this Lease are for
convenience of the parties only and shall not be considered in interpreting the meaning
of any provision of this Lease.
MASTER LEASE AGREEMENT - PAGE 11
784815.14/SP3/13144f01001092005
Article 16
SUCCESSORS
16.1 Successors. The terms and provisions of this Lease shall extend to and
be binding upon Lessor and Lessee and their respective legal representatives, officers,
directors, successors and assigns.
Article 17
CONSENT
17.1 Consent. Lessor shall not unreasonably withhold its consent with respect
to any matter for which Lessor's consent is required under this Lease.
Article 18
COMPLIANCE WITH LAW
18.1 Compliance with Law. This Lease shall be governed by, interpreted and
enforced solely in accordance with the laws of the State of Texas. Venue of any cause
of action arising hereunder shall lie exclusively in the courts of Denton County, Texas.
Any provision hereof which is deemed or held legally void or unenforceable shall not
void this entire Lease, and all other provisions of this Lease shall remain in full force and
effect.
Article 19
FEDERAL TRANSIT ADMINISTRATION REQUIREMENTS
19.1 Federal Transit Administration ("FT A") Requirements. Any federal, state
and local interest in the Premises will remain with Lessor and will not be altered by this
Lease. Both Lessor and Lessee agree to comply with the following Subsections of this
Section during the Initial Term, as well as for any applicable Extension Period:
A. Energy Conservation Requirements: Lessee agrees to comply with
applicable mandatory standards and policies relating to energy efficiency that are
contained in the state energy conservation plan issued in compliance with the
Federal Energy Policy and Conservation Act.
B. Federal Changes: Lessee shall at all times comply with all
applicable FTA regulations, policies, procedures and directives, including, without
limitation, those listed directly or by reference in the agreement between Lessor
and FTA, as they may be amended or promulgated from time to time during the
Lease. Lessee's failure to comply shall constitute a breach of this Lease.
C. Lessee acknowledges that the provisions of the Program Fraud
Civil Remedies Act of 1986, as amended, 31 USC SS3801 et seq.; and U.S.
Department of Transportation Regulations entitled "Program Fraud Civil
Remedies," 49 CF Part 31, apply to its Use of the Premises.
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784815.14fSP3/13144/0 1 00/092005
D. All contractual provIsions required by U.S. Department of
Transportation ("DOT") whether or not expressly set forth in this Lease, as set
forth in FTA Circular 4220.1E, as amended, are hereby incorporated by
reference. Anything to the contrary herein notwithstanding, all FTA mandated
terms shall be deemed to control in the event of a conflict with other provisions
contained in this Lease. Lessee shall not perform any act, fail to perform any act,
or refuse to comply with any requests, which would cause Lessor to be in
violation of the FT A terms and conditions.
Article 20
FINAL AGREEMENT
20.1 FINAL AGREEMENT. THIS LEASE SUPERSEDES ALL PRIOR
UNDERSTANDINGS OR AGREEMENTS (ORAL OR WRITTEN) ON THE SUBJECT
MATTER HEREOF. THIS LEASE CONTAINS THE ENTIRE AGREEMENT WITH
RESPECT TO THE SUBJECT MATTER HEREOF. THERE ARE NO ORAL
AGREEMENTS OF THE PARTIES RESPECTING THE SUBJECT MATTER OF THIS
LEASE. THIS LEASE MAY BE AMENDED OR MODIFIED ONLY BY A FURTHER
WRITTEN DOCUMENT THAT IS DULY EXECUTED AND DELIVERED BY BOTH
PARTIES.
Article 21
TIME OF ESSENCE
21.1 Time is of the essence with respect to this Lease.
Article 22
COUNTERPARTS
22.1 This Lease may be executed in any number of counterparts, each of
which when so executed and delivered shall be an original, but such counterparts shall
together constitute one and the same instrument.
[Remainder of Page Intentionally Left Blank--
Signatures Follow]
MASTER LEASE AGREEMENT - PAGE 13
784815.14/$P3/13144/0100/092005
IN WITNESS WHEREOF, Lessor and Lessee, by and through their duly
authorized signatories, have executed and delivered this Lease Agreement in four (4)
original counterparts, as of the day and year first above written.
LESSOR:
LESSEE:
City of Denton, Texas
215 E. McKinney
Denton, Texas 76201
Denton County Transportation Authority
1660 South Stemmons, Suite 250
Lewisville, Texas 75067
By:
By:
HONORABLE EULlNE BROCK
MAYOR
CHARLES EMERY
CHAIRMAN
ATTEST:
ATTEST:
JENNIFER WALTERS
CITY SECRETARY
Denton County Transportation Authority
By:
By:
JASON PEARCE
SECRETARY
APPROVED AS TO LEGAL FORM
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER
CITY ATTORNEY
By:
RIDER SCOTT
GENERAL COUNSEL
By:
MASTER LEASE AGREEMENT - PAGE 14
784815.14/SP3/13144/0100/092005
Schedule 12.2
Hazardous Material Violations
MASTER LEASE AGREEMENT - PAGE 15
784815.14/SP3/13144/01001092005