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HomeMy WebLinkAbout09-12-1995 • - o • r ' CITY COUNCIL AGENDA PACKET 9-12-95 i 1 1 t • s • r • A • AGENDA kawko ` -3 CITY OF DENTON CITY COUNCIL September 12, 1995 Closed Meeting of the City of Denton City Council on Tuesday, September 12, 1995 at 5:15 p.m. in the Civil Defense Room of City Hall, 215 E. McKinney, Danton, Texas, at which the following Items will be considered: NOTE: THE CITY COUNCIL RESERVES THE RIGHT TO ADJOURN INTO CLOSED MEETING AT ANY TIME REGARDING ANY ITEM FOR WHICH IT IS LEGALLY PERMISSIBLE. 5:15 p.m. 1. Closed Meeting: A. Legal Matters Under TEX. GOV'T CODE Sec. 551.071 1. Discuss contemplated litigation concerning the request to rezone 3.753 acres from SF-7 to 0 zoning on the mouth aide of 135-E and Lindsey Street. B. Real Estate and Legal Matters Under TEX. GOVT CODE Secs. 551.072 and 551.075 1. Deliberate the purchase, exchange, leave or value of the property located south of McKinney between Loop 288 and Woodrow Lane and confer with employees of the City to receive information and to ask questions regarding this real property transaction. 2. Consider contemplated condemnation action against John Xarvouniarls for acquisition of right-of-way for a street in the vicinity of Loop 288 and Spencer Road and discuss purchase or value of this property. C. Personnel/Board Appointments Under TEX. GOV'T CODE Sec. 551.014 1. Hold a discussion regarding the duties and evaluation of the Municipal Judge. Work Session of the City of Denton City Council on Tuesday, September 12, 1995 at 6s0O p.m. in the ^.ity Council Chambers of City Hall, 215 B. McKinney, Denton, Texas at which the following items will be considered: NOTE: A Work Session is used to explore matters of interest to one or more City Council Members or the City Manager for the purpose of giving staff direction into whether or not such matters should be placed on a future regular or special meeting of the council for citizen input, City Council deliberation ■nd formal City action. At a work session, the City Council generally receives informal and preliminary reports and information from City staff, officials, members of City committees, and the individual or organization proposing council action, if invited by City Council or City Manager to participate in tho session. Participation by individuals and members of organisations invited to speak ceases when the Mayor announces the session Is being closed to public input. Although Work Sessions are public meetings, and citizens have a legal right to attend, they are not public hearings, so citizens are not allowed to participate In the session unless invited to do so by the Mayor. Any citizen may sup- ply to the City Council, prior to the beginning of the session, a written report • regarding the citizen's opinion on the matter being explored. Should the Council direct the matter be placed on a regular meeting agenda, the staff will generally prepare a final report defining the proposed action, which will be made available to all citizens prior to the regular meeting at which citizen input is sought. The purpose of this procedure is to allow citizens attending the regular meeting the opportunity to hear the views of their fellow citizens without having to attend two reetings. • 6:00 P.M. 1. Hold a discussion, receive a report and give staff direction regarding a proposed • • ordinance prohibiting concealed weapons on City property. 2. Receive a final report and hold a discussion with the '91 Committee. Regular Meeting of the City of Denton City Council on Tuesday, September 12, 1995 at 7:00 p.m. in the Council Chambers of City Hall, 215 E. McKinney, Denton, Texas at which the following items will be considered: • 0 p • " r City of Denton City Council Agenda ~enA September 12, 1995 Page 2 WF ~ / 'J 7:00 p.m. 1. Pledge of Allegiance 2. Consider approval of the minutes of the July 5 and July 11, 1995 meetings. 3. Citizen Reports A. Receive a citizen report from Joe Dodd re.•.rding three suggestions for Council. B. Receive a citizen report from Carl Williams regarding a Police Peview Board. 4. Citizen Requests A. Consider a request from the Lone Star Barrel Racing Association for an exception to the noise ordinance for the use of amplified sound system on Sunday, September 17, 1995 from I:00 p.m. - 7s00 p.m. 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 l has had an opportunity to raise questions regarding these items prior to consideration. Listed below are bids and purchase orders to be approved for payment under the ordinance section of the agenda. Detailed back-up information is attached to the ordinances (Agenda items 6.A, 6.B, 6.C, 6.D) . 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. Upon the receipt of a "request to speak' form from a citizen regarding an item on the Consent Aganda, the item shall be removed and bo considered before approval of the Consent Agenda. A. Bids and Purchase Orders 1. Bid 01772 - Property 6 Boiler Machinery Insurance 2. Bid 01786 - Distribution Transformers 3. Bid $1787 - Demolition and Clearing of 14 Unsafe Structure 4. Bid 01788 - Cooling Tower Structural Repair 5. P.O. 056698 - Volvo i GMC Trucks of Dallas 6. P.O. 052360 - Bobby V. Gray B. Contracts 1. Chamber of Commerce Convention and Tour'_sm Bureau • 2. Denton County Historical Foundation 3. Denton County Historical Museum 4. Greater Denton Arts Council 5. North Texas State Fair Association 6. Denton Black Chamber of Commerce 7. Denton County Amphitheater Association 8. Denton Festival Foundation 9. Denton Historic Landmark Commission 10. Denton Main Street Association • • 6. Consent Agenda Ordinances 1 A. Consider adoption of an ordinance accepting competitive bids and awarding a contract for purchase of materials, equipment, supplies or services. (S.A.1. - Bid 01772, 5.A.2. - Bid 01786) B. Consider adoption of an ordinance accepting competitive bids and providing for the award of contracts for public works or improvements. (S.A.3. - Bid 01787, 5.A.4. - Bid 01788) • o • ca • ' Benda No ' City of Denton City Council Agenda September 12, 1995 Page 3 oend2lienl f c. Consider adoption of an ordinance providing for the expenditure of funds for emergency purchases of materials, equipment, supplies or services in accordance with the provisions of state law exempting such purchases from requirements of competitive bids. (S.A,S. - P.O. #56698, P.O. 052360) D. Consider adoption of an ordinance authorising the Mayor to execute an agreement between the City of Denton and the following organizations for the payment and use of hotel tax revenues chamber of Commerce Convention and Tourism Bureau, Denton County Historical Foundation, Denton County Historical Museum, Greater Denton Arts Council, North Texas State Fair Association, Denton Black Chamber of Commerce, Denton County Amphitheater Association, Denton Festival Foundation, Denton Historic Landmark Commission, Denton Main Street Association (5.B. 1-10) , 7. Ordinances A. Consider adoption of an ordinance adopting the budget for the City of Denton, Texas, for the fiscal year beginning on October 1, 1995, and ending on September 20, 1996. B. Consider adoption of an ordinance levying the ad valorem tax of the City of Denton, Texas, for the year 1995, on all taxable property within the corporate limits of the City on January 1, 1995, 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; and providing for enforcement of collections. C. Consider adoption of an ordinance amending the schedule of electric rates contained in ordinances 94-162, 95-028, 95-241; deleting a Power Cost Adjustment (PCA) rate; deleting an Air Conditioning Recycling Rebate rate (ACR); revising the Industrial Development Rider rate (10R); revising the General Service Small Rate billing methodology to an Expandable Block (GSS); revising the General Service Large Billing Methodology from KW to KVA billing (GSL); amending the General Service Time of Use rats (TGS); and renaming the Experimental Weekend rate (6WK) as the Weekend rate (WK). D. Consider adoption of an ordinance amending the schedule of water rates contained in Ordinance 94-163 for water service; eliminating the installation charge in metered water from fire hydrant (HFH); and amending ` the Upper Trinity Regional Water District rate (WW1) per the contract. \F F. Consider adoption of an ordinance amending the schedule of wastewater rates contained in Ordinance 94-164 for wastewater service; and amending the wholesale wastewater treatment rate (SSC). F. Consider adoption of an ordinance amending the schedule of solid waste rates contained in Ordinances 94-165 and 95-027; amending solid waste rates for residential, commercial and recycling collection services as authorized by Chapter 24 of the Code of Ordinances of the City; amending the charges for the collection of grass, leaves, and brush] amending a charge for locks; amending a charge for special waste; adding a charge for inaccessible containers; adding a depcsit for temporary open top and • dumpeter containers; amending the charges for use of the landfill and • adding a 3.54 State surcharge to all solid waste delivered to the landfill. G. consider adoption of an ordinance amending Section 13-22 of Chapter 13 "Food and Food Establishments" of the Code of Ordinances providing for permit fees for restaurants, grocery stores, and day care centers. • a • Veoda No ,;2.. City of Denton City Council Agenda gQ90da1~ September 12, 1995 Page a Dale H. Consider adoption of an ordinance creating a Municipal Court Building Security fund and requiring that a defendant convicted in a trial for a misdemeanor offense in the City of Denton Municipal Court No. 1 and any other City of Denton Municipal Court which may heroafter be created, shall pay a three dollar security fee as a cost of Court. 1. Consider adoption of an ordinance amending Section 20-1 "Noise" of the Code of Ordinances by establishing hours for the erectic+n, excavation, demolition, alteration, or repair work on any buildingi and providing for a penalty of $500.00 for any violation hereof. J. Consider adoption of an ordinance approving a bond counsel contract between the City of Denton and McCall, Parkhurst and Horton, L.A.L. K. Consider adoption of an ordinance approving the city Manager to execute a financial advisory agreement between the City of Denton and First Southwest Company. L. Consider adoption of an ordinance amending Ordinance No. 88-189, ■s amended, which granted a franchise to Sammons Communications, Inc. to reconstruct, operate, and maintain a cable television system in the city of Denton, Texas; consenting to the assignment and transfer of that franchise from Sammons Communications, Inc. to Marcus Cable Associates, L. P. in accordance with the terms and conditions of this ordinances and approving an acceptance agreement. (First Reading) e. Resolutions A. Consider approval of a resolution approving the fiscal year 1996 budget of the following organizations for hotel occupancy funds, pursuant to Chapter 351 of the Texas Tax Coder Chamber of Commerce-Convention and Tourism Bureau, Denton County Historical Foundation, Denton County Historical Museum, Greater Denton Arts Council, North Texas State Fair Association, Denton Black Chamber of Commerce, Denton County Amphitheater Association, Denton Festival Foundation, Denton Historic Landmark Commission, and Denton Main Street Association. B. Consider approval of a resolution declaring a public necessity exists and finding that public welfare and conventence requires the taking and acquiring of a street right-of-way easement in the hereinafter describer land situated in the vicinity of Loop 288 and Spencer Roadt authorizing the city Manager or his designee to make an offer to the owners of the property and if the offer is refused, authorising the City Attorney to institute the necessary proceedls;s in condemnation in order to acquire • the property necessary for the public purpose of constructing a public street to intersect with State Highway 288. C. Consider approval a resolution adopting an investment policy for funds for the City of Denton. 9. Consider appointment of a chair and vice-Chair of the Zoning Board of Adjustment and the Sign Board of Appeals. B 10. Consider appointment of a voting delegate and alternate voting delegate to the , • • National League of Cities Annual Congress of cities. 11. Consider nominations/appointments to city of Dentin Boards and Commissions. 12. Consider appointments to the Blue Ribbon CIP Committee. 13. Consider nominations to the Economic Development Transition Committee. 10. Vision Update • • City of Denton City Council Agends September 12, 1995 Page 5 ~B1E 9_ /a.Z QS 15. M:ecellaneous matters from the City Manager. 16. Official Action on Closed Meeting Itemsr A. Legal Matters B. Roal Estate C. Personnel D. Board Appointments 17. New Business Thin item provides a section for Council Members to suggest items for future agendas. is. Possible Continuation of Closed Meetingi A. Legal Matters Under TEX. GOV'T CODE See. 551.071 B. Real Estate Under TEX. GOVT CODE Sec. 551.072 C. Personnel/Board Appointments Under TEX. GOVT CODE Sec. SS1.074 C E R T I F I C A T E 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 , 1995 at o'clock (a.m.) (P.m.) i CITY SECRETARY NOTEt THE CITY Of DENTON CITY COUNCIL CHAMBERS IS ACCESSIBLE IM ACCORDANCE WITH THE AMERICANS WITH DISABILITIES ACT. THE CITY WILL PROVIDE SIGN LANGUAGE INTERPRETERS FOR THE HEARING IMPAIRED If REQUESTED AT LEAST 48 HOURS IN ADVANCE Of THE SCHEDULED MEETING. PLEASE CALL THE CITY SECRETARY'S OFFICE AT 566-8109 OR USE TELECOMMUNICATIONS DEVICES FOR THE DEAF (TDD) dY CALLING 1-800-RELAY-TX SO THAT A SIGN LANGUAGE INTERPRETER CAN BE SCHEDULED THROUGH THE CITY SECRETARY'S OFFICE. ACCO0287 • r tt . s c• s DENTON O ppoOOaQpp40 000- ~ ~ ~O~ 000: o `~D D O O ~ 0 0 O ~ O OOO~ro Opp oooa N, 00000 oo~oaaa CITY COUNCIL • r o • a • CITY of DENTON, TEXAS MUNICIPAL BUILDING DENTON, TEXAS 76201 • TELEPHONE (817) 568.8307 Office of the City Manager MEMORANDUM TO: Lloyd V. Harrell, City Manager FROM: Rick Svehla, Deputy City Manager DATBi September 7, 1995 SUBJSCTr 191 Committee Recommendations Attached is the back up that we used for the 191 Committee meeting on Thursday at noon. The meeting was very successful as always. What we attempted to do is to bring to a close the duties of this '91 Committee. Council may recall that the duties of this committee were to monitor the projects and the bond funds, make sure that all of the projects were built, and that all of the bond funds were used appropriately. As you can see from the back up, the '91 Committee did an excellent job of doing that. We will plan to have the current Chairman, Me. Roberta Donsbach, at the meeting Tuesday night to give the final report. In that report, I am sure she will itemize the following major points: 1. 1985 Issue: All of the projects listed in the attached back up have been completed with the exception of two. Those are Locust and Elm • Street. These projects were not built since TXDOT rebuilt these two roads immediately after the 1985 election. Subsequent to that, Council made the decision to use this money as our match to the U.S. 77 project. As Council may recall, that project was submitted to uo by TXDOT in late 1987. council approved that in early 1988. • • • J 2. 1986 Issue All of these projects have been built with the exception of three items. The first of these is the Southridge Drainage. "Dedicared to Quality Senlcr" • ~a • ger~aNo ~ = D 3~~ aer,Qal,em S '91 Committee Recommendations September 7, 1995 Page 2 That project is currently underway and is expected to be finished within the next three to four months. Second, Council may recall that there was originally three rec centers in the bond issue. The first of those, MLX, was built. Before the second and third centers wers. built, the Parks & Recreation Board, as well as the Cciincil, held public hearings. The 191 committee subsequently recommended to council that the other two rec centers not be built. Instead, new parks should be acquired and more improvements should be made in the parks, and the rest of the bonds should rot be sold. Subsequently, South Lakes Park was acquired and is being developed. There is also a park in the northeast part of the community that will be acquired in the near future {money has been set aside?. Finally, $1.4 million worth of bonds have not been sold and were recommended not to be sold by the '91 Committee. The third area concerns the highway projects. Teasley Lane is being built and will be finished shortly. U.S. 77 (Fort Worth Drivel from I-35 to F.M. 1830 was dropped of TXDOT funded projects. However, we were able to solicit funds and to use our own bonds to rebuild Fort Worth Drive from Collins Street to I-35. TXDOT will also rebuild the two overpasses at I-35 to accommodate a six-lane structure. That is currently in the final stages of design. U.S. 380 is in the right-of-way acquisition stage. The scope of this project has expanded from a six-lane facility from Elm Street to Loop 288 to a six- lane facility from I-35 to U.S. 377 on the east side Lake Lewisville. The 191 Committee also recommenc~a that any unused funds from the 183 or 186 issue be used to 1j,, off debt when all of the right-of-way contracts and costs fo- U.S. 380 from TXDOT have been met. Finally, through the new legislation governing TXDOT, funding for Loop 288 is not available from TXDOT at this point. However, staff continues to work on this project and believes that it will be able to get it fitted into TXDOT's new funding structure within the next ten years. • All of the 1986 street bond money has been sold, allocated or spent with the exception of $750,0000. That money could be available if council authorized use of that in the future. However, the 191 lommittee has no recommendation at this point. • The last information included in your backup is a list of almost e • • $4.3 million worth of extra projects that the '91 Committee has recommended to Councils over the last ten years, and Council has subsequently approved. Those projects include projects that are still to be built either totally by local contractors or through TXDOT funding with local match scenarios. With this list, the 191 • a • s Benda No _9S- ~ ,3 aerdalterrn-& S '91 Committee Recommendations , f ~`5 September 7, 1995 Page 3 Committee has established an envious record for any subsequent groups that will be charged with these responsibilities. The Committee's final recommendations to Council include the following uses for the last remaining interest money or any money that will accrue after that: A. They recommended approximately $87,000 be used as our match to the Rails-to-Trails project. Currently, there is approximately $82,000 of unallocated interest in the park bonds. There will be sifficient funds to meet our needs since TXDOT's schedul,: requires the payments over time. B. They recommended allocating approximately $50,000 - $60,000 worth of engineering design cost to be charged for the CMAQ (Congestion Mitigation/Air Quality) projects. As you all know, these projects are connected with the non-attainment area that Dent in is in. They are match monies for State projects ann will allow our I Engineering Department to charge out their time to these projects. C. They recommended a $60,000 match for a drainage study to be done by the State for Pecan Creek through the downtown area. The Committee thought this was a good project and a good way to again use other State money to leverage our own. D. They also recommended $12,000 to be used as our match for a raised median to be built on Loop 288 from Colorado Boulevard to 1-35. Currently, these turn lanes are just painted on the pavement. TXDOT will channelize the traffic in better fashion with this raised median. E. They also suggested using interest money to help in the • incidental costs of right-cf-way acquisition along Loop 288 near the Walmart development. They thought it was appropriate to use money in this corridor to facilitate traffic movements along and across Loop 288 in this area. F. They also suggested that any other money that accrued from the park bonds be used for playground equipment or • other improvements in existing parks. G. They suggested that any other interest money that accrued J in the streets and drainage areas be used to help fund the U.S. 77 project. • O i , • • QeWaN0 ~en~alt S '91 Committee Recommendations September 7, 1995 Page 9 As mentioned earlier, Ms. Donsbach and I will be at the meeting on Tuesday night to answer any other questions that the Council might have. We look forward to congratulating this group of individuals for their long and successful tenure on the 191 Committee. Rick Svehla Deputy City Manager RS:bw AMM006C8 Attachments • L, • Q • 'eva nL, 4~15"mod Jd/ _AX: 5 F CITY of DENTON, TEXAS MUNICfPAL BUfLDfNG • DENTON TEXAS 76101 . TELEPHONE (8171 566.83C7 Office of the City Manager MEMORANDUM TO: Members of the '91 Committee FROM: Rick Svehla, Deputy City Manager DATE: September 5, 1995 SUBJECT: Update for Meeting Scheduled for Thursday, September 7, 1995, in the City Manager's Conference Room it 12 Noon We talked about being very close to the end of our task. What I would like to accomplish at this meeting is, in fact, to bring an end to your job. As you have probably seer., Council is beginning to appoint members for a new Blue Ribbon Committee to begin the process fc,r another bond election. What I would like to present to this Committee is some final leg work and paper work and to provide you with a basis for making that final report to the City Council. It has truly been a joy and a pleasure to with each of you, and it has been an exciting ten years (I c t believe it's ten years) rince the first election in 1985. What I have attempted to do is give you an attached list of the projects from the 1985 issue, and, of course, I am happy to report to you that all of those projects are completed. The only projects that were not. completed in the 1985 issue were Elm and Locust. The Committee may recall that right after we issued the $10 million in 1965, the State came in and rebuilt Elm and Locust. Consequently, the city began discussions about what to do with the Locust and Elm money that was scheduled for 1988 and 1989. Prior to that in late 1987, TXDOT approached us with anWAer project, U.S. 77 or the old • Sanger Highway from Sherm~.n Lurive all the way to I-35. They asked us if we would like to widen this road from the existing two lanes f to a four-lane divided facility. Council was very supportive of that action. When TXDOT gave us the conditions for this road, they included providing the right-of-way and $1 million for the construction of this facility. Council immediately began to think about the Locust and Elm money, and subsequently, agreed to set aside that money for its construction. At the same time, staff • began discussion with TI, and we were successful in getting tnem to • agree to participate with a cash donation as well as pledging 1J right-of-way donation. Since that time, we have also had numerous discussions with other land owners. Indications have been positive, especially with the large land owners, that right-of-way "Dedicated to Qualin, Service" • 0 i Lloyd V. Harrell September 5, 1995 Page 2 could be donated to help the project. We are still working on this project. The environmental assessment has been resubmitted several times by the TXDOT Area Office. We have verbal commitments by Mr. Bennett, the Director Engineer of TXDOT, that indicates that TXDOT will honor its commitment provided cities can meet specific deadlines. Those include environmental approval by September of 1996 and right-of-way acquisition to begin b7 September of 1997. We see no reason why both of those conditions cannot be met since the environmental has all ready been submitted by the Area Office, and we have money available for the right-of-way. Also, i have attached a list of the 1986 projects. Basically, all of those are completed with exceptions in two areas. Those being the highway projects in the street part of the 1986 issue and the rec centers in that sale 1986 issue. You all may recall that TXDOT changed all of the rules for highwa,• projects almost immediately after the 1986 issue was passed. Sinta that time, we have had two more revisions; the latest of which har just occurred this year. Since we finished all of the other projects .n the 1986 issue with the exception of these two areas, let me try and recap where we are on the 1986 highway projects. Basically, there were four of those projects. The first of those was Teasley Lane. There were two portions of that project; the portion from Dallas Drive to I-35 which the city built early in the process, and the second section which TXDOT is finally finishing now so that project is virtLally complete. Two of the other projects underway right now are U.S. 380 (University Drive) and U.S. 377 (Fort Vorth Drive). Let me recap T.S. 380 for you first. Originally, our project on U.S. 380 was to widen U.S. 380 from Locust Street east to Loop 288. We have been working on this project for a long ci• In fact, there is even some original 1983 bond money in this oject. What we have been able to do is to improve upon the lent of that project, but our completion dates have been stretched of such farther. Currently, the project is in a number of pieces, .d they start at U.S. 377 and U.S. 380 out at the Aubrey/Pilot Foint overpass approximately 1 112 to 2 miles east of the Denton cit- 'imits. his project starts there as a six-lane divided faciii,; ' - .ust east of Loop 288. We have all ready entered into rignc-of-way agreements with the State for this project and expect to have it under construction by the year 2000. We have also signed right-of-way agreements for U.S. 380 from Loop O O 2P6 to ju:t weFt of Locust Street. This project will be a six-lane facility and will include upgrading the signal poles at University Drive at Loop 288, old Norrh Road, Nottingham, Ruddell, Bell, Locust and Elm. Again, we expect this section to be finished by the year 2000, or very shortly thereafter. 0 0 • ii • '4QendaNo~d3d2 AgadaltemJAZS~~Z Lloyd V. Harrell Date September 5, 1995 iCJ Page 3 Finally, the section from Locust to I-35 will also be widened to six lanes. That right-of-way agreement, as we understand it, is pending right now, and we will continue to work on it. Besides all of that, we will be able to improve all of the median. In fact, we are just finishing another section of median from Malone to Hinkle with some Governor's Award money. Fort Worth Drive has a similar history. The Committee may recall that originally this project went from I-35E south to Country Club Road. As mentioned before, in the iteration of the TXDOT rules the ranking of this project dropped out of TXDOT's projects to build. what we have successfully negotiated is the rebuilding of Fort Worth Drive from just south of Carroll Boulevard to I-35E as a six- lane divided facility. We will use our approximately $1.1 million, plus interest, and the State will provide a half million dollars to accomplish this. Besides that, the State has scheduled the rebuilding of the overpasses at Fort Worth Drive and I-35E to six lanes. This would make Carroll Boulevard/Fort Worth Drive a six- lane facility from Sherman Drive all the way south to the freeway. This project is scheduled for the 1997 fiscal year. The last highway project that we had in the 1986 bond Issues was Loop 288. This project was also caught in the revision of :XDOT rules twice. Although we lost priority status, we were able to convince TXDOT to continue work on this project. The environmental assessment is complete now. We are working on trying to includ- environmental assessment on the "spur" that runs from Spencer sow to Mayhill Road. Currently, this project is not funded or in the first three years (Priority One) of TXDOT's new rules. However, as recently as this last month, we have had extensiv iiscussions with TXDOT and are workinc very diligently to try am met this project 1 into the Priority Two level in TXDOT's new fur ig scheme which [k would make it eligible f - r f unding anywhere from ee to ten years from now. We continue be optimistic about the ipproach. Both the District and the At office are wor" -1g very igently to tr, to build this facility. • The other thing that was led some nAt since the )85 issu- as passed are the rec center ii a. &now tl.e Committee remembers the public hearings that were held by the Council, the Parks Board and in the neighborhoods about the rec centers and what the city wanted to do. The consequent decision to not build the last two rec centers but to acquire South Lakes Park and the park site in e the northeast part of town. As you are well aware, South Lakes has f • been purchased, a new extensive playground (Eureka!) has been built, and the first phase of improvements in nearing completion in that park. Staff is at this moment looking at different sites for a park in the northeast part of town, and we expect to have that completed within the next year. • 0 • O • r gpg~aNo~ ~u~3c Agandaltert~~oZ Lloyd V. Harrell Date September 5, 1995 Page 4 Finally, the only other project that is not complete, as indicated on the attached lists, is the Southridge drainage. That is currently under contract. You may recall that we were waiting for Teasley to be complete. The drainage outfall system in Teasley is complete enough now for us to begin. We have just completed the water line that is being built in conjunction with this drainage project, and activities will commence within the next month on the drainage itself. So, all in all, we are very, very pleased with the two issuer, and the Committee should be very proud of having accomplished all of their objectives. I have attached a list of the projects from the 1985 issue, as well as the 1986 issue, for your review. I would also be remiss if I did not mention all of the other things that this committee has reviewed, recommended and has seen accomplished during its tenure. You have been able to do that through establishing policies early on about where interest should go and how it should be used. The staff has been able to present projects to you that you have recommended, and the Council has approved. I have listed all of those for you so that you have some kind of idea of how much extra work has been done under your guidance and direction. (See attached list of Extra Projects.) As you can see, this is a very long list and it totals some $4,234,000 worth of extra improvements that were recommended by the Committee and approved by the Council. This is just a super record and something you should be proud of. Finally, I would like to visit about the last issues that we have outstanding. We wou?Alike to talk about the use of the final interest money 39 it accrues. You may recall .rat the Council approved an application for an enhancement grant with TXDOT for the Rails-to-Traila project. We were successful in getting that project. However, once again, TXDOT changed the rules. We have finally been ab'- to get the • details, and we will need approximately $97,000 to pay TXDOT for plan desi?- ind/or review. We h-ve monies accrued from the parks bonds to :r this axa.ase, and we would ask that we be allowed to do that. Any other money that is accrued to the parks interest fund, we would nuggest using to make improvements in the parks either for playground equipment or other amenities to make the parks more user friendly, such as sidewalks, water fountains, etc. , The next issue would be the interest money that is still accruing in the street bonds. We would ask for permission to charge engineering fees for all of the CMAQ projects to this interest bearing account. There is s)me $400,000-$500,000 worth of projects 0 r age* No.- Lloyd V. Harrell September 5, 2995 Page 5 that we will do engineering and devote staff time to. We would expect the engineering fees to he about $50,000-$60,000 for these projects. we also have applied for a drainage grant that would study Pecan Creek through the downtown area and Cooper Creek for possible detention sites. It would require matching funds for the grant at a 50/50 split. We would expect the cost of this to be somewhere around $60,009 and think it is an appropriate sum of money to match with federal dollars and would recommend that project to you. TXDOT will also be looking at building a raised median on Loop 288 near the Mall to help channelize and move traffic more efficiently. They are asking us for $12,000 to be our match for this work, and we think that is a good project. Also, we are continuing to pursue Loop 288 funding through TXDOT. As you all know, we have three quarters of million dollars of unsold bonds. There has been some discussion about reauthorizing this in a new bond issue. In the interim, we have begun to see activities on Loop 288 in the Walmart Superstore area. We think that there might be some need for some extra money for right-of-way on Loop 288 or those associated developments, and we think it would be helpful to be able to use either some of that three quarters of a million after getting it authorized from Coui,cil or some interest money to be able to do that. We would suggest the same approach to the U.S. 77 project. I stated earlier th,t w have the money in the bank for constr•:'tion costs. we h some pl iges and TI's pledge, but uns(-.I', bonO3 would ! a . -e fall pack if we needed funds ri-l of-way to comb ete t projec . We woulc like to sugge thut any other inter 't mono that a .rues be pu into the U.S. { func is we cc-itinue , barte ind m, a forward .h TXDOT and I lane iwners to make _,~at pro) a ::ality. Once again, I would like to just offer my congratulations a• a heartfelt thank for all the tim- and effort that all of ,.1u have put in. Thi. a an excellent a ding to a "ten year story." We look forward tt- ifeing you on Th reday at lunch. If -ou have any questions prior to that, please call us youz ..Zence. Rick Sve a , Deputy City Manager RS:bw AMM006C2 Attachments • P • ,bowsgo O Apndalt `S CONSTRUCTION SCHEDULE FOR 1985 STREET BOND ISSUE ($10,000,000) OVERLAY 1985 Boundaries Street Name From To Cost Miles Avenue C Mulberry Oak 15,795 .20 Bolivar (81'w6S) Congress University 40,054 .80 Elm (811W) Prairie Highland 7,899 .10 Magnolia New Aspnalt Hinkle 14,445 .25 Elm Congress Oak 26,588 .30 Stuart Kings Row Coronado 34,667 .60 Elm (811W) Mulberry Prairie 15,798 .20 Hercules Picadilly S!,eraton 17,334 .30 Locust Hickory Oak 5,E28 .05 fitners (8"W) 0-kland Mingo 17,334 .10 tobinwood E son University 34,668 . Paisley W. cord Hettie 8,085 20 Locust Oai Mchinney 4,431 .05 Paisley Fra Ruddell 13,857 .40 First 601. icust 8,667 .15 Greenwood Laur _ Wood ,errywood 40,445 .70 Rings Row ,gar. rkshrre 23,118 .30 1 Mockingbi McKinnei role 100' 18,889 .50 Locust ;dcKinney Congress 15,798 .20 Emerson ."W) Freedor^ Wilsonwood 86,669 1.50 • Austin McKinnc, Mulberry 8,666 .15 Audra McKi oil End ,4vi ' 29,480 .30 Locust Mulberry Hickory 5,618 .05 McCormick Parvin Willowwood 17,334 .30 Hollyniil Ridgecrest Tennyson 63,557 1.10 Avenue D Highland IH-35 14,445 .25 • Total Overlay $599,282 9.85 • f • C • r AgWallft) DStf el-! =9s REPAVE 1985 oundaries , Street Name From B To Cost Miles Hillcre st Scripture Emery 47,018 .65 Carroll Northridge Ross 29,040 .50 Oak Austin Bolivar 17,424 .20 Hercules Redstone Stuart 26,400 .25 Stuart Hercules Kings Row 23,112 .40 Mingo (80W) Witners Mockingbird 116,160 2.20 01d North Road University Mill Pond 27,720 .35 Frame (8"W) RRX S. McKinney 17,424 .30 Nottingham University Windsor 57,569 .80 Greenwood Cherrywood Snerman 11,616 .20 Locust University Sherman Drive 5,662 .10 Elm (10"W) University Congress 55,440 .70 Paisley Hettle Ruddell 4,356 .10 Pertain Mingo Wayne 4,356 .10 Hobson Ln 060W) Teasley FM-1830 50,094 1.15 Congress (SOW) Oakland Ponder 55,176 .95 Locust (10"W) Eagle Mulberry 47,916 .53 Total Repave b96,783 9.45 I • • - a~ • F ~gend~No. - ~ ~enda!!em s .21X5 REBUILD 1985 Street Name From Boundaries To Cost Miles Stuart Selene Hercules 123,595 .30 Hickory Carroll Cedar 105,045 .10 Pershing Stuart Atlas 79,020 .20 Locust Sherman Orr 473,218 .55 Hickory Cedar Austin 116,950 .20 Teasley Dallas Dr. IH-35 170 000 30 $1.Db7"828 1 1986 Hickory Avenue C Bonnie Brae 372,419 70 Hickory Avenue C welch 200,547 ,40 Avenue C 1H-35 Mulberry 556,781 .7U Glenwood Windsor University 387,739 .70 Welch Mulberry Hickory 53 694 10 1987 Oak (24"W) Bolivar Jaggoe 461,440 1.00 • liagnolia New Asphalt Bolivar 176,991 .30 Bolivar (iJ"W) Nortnridge University 471,615 .70 Fry (8"W) Scripture Oak 113,740 .20 West Oak (24"W) Bonnie Brae Jagoe 312,295 .70 Teasley Ln(16", Dallas Drive Ryan Road 1,OOU.000 2.00 24"W) 2,536,081 4,90 • 0 • • F i ' igendaltar~,~s~ 1988 Bonnie 8rae(18"li) Windsor University 301,557 .70 Bonnie arse University Scripture 899,984 .75 Audra End of Divide Paisley 61,244 .10 Acme(8"W) Bernard Fort Worth Dr. 61,302 .25 Locust Congress University 682,095 70 2,0~ 6,TTl 2. 1989 Bonnie Brae (18"W) Riney Windsor 397,876 .65 Scripture 124"W) IH-36 Bonnie arse 347,907 .50 West Oak (36"W) IH-35 T 207,876 .30 1 Avenue A Hignland McCormick 210,028 .55 Elio (8"W) HI gnland Eagle 314,516 15 1 , T7" "J 703 2^75 2198M • • o► • enda NG 3 4Benda;to Vp STREETWAANSO►OTTA IONITRNo. I AFFIC CONTROL ry} worts onr.+.ew fUAe7 D,eYw10r 1 Now 41161007 rarAi Voles OWN Vw►wAy WOW" 1 MWe n. w 770 w,r tA7w V~tl10Tmft ~Iwryw Al cw kwwr ?MM PROPOSITION NO. 3 r..ulrrnwa0ewrw ire ANIMAL CONTROL CENTER EXPANSION! W"9L"oin11w Yas TitAw Mrlr 91 M, 41010 rep 1 M &""A 251M ' 4000 .1w,r Comm C~ farrw« 1 e.ooo 's MO TOTAL !,,309,001 1 gram imp Mo "Ir" no . FIRE STATION AND EQUIPMENT IM ft"Twftww Dom" 4rw"'W r men r*,Iw r y am 700 P" #0808! 1107 on Treflw30rwlr n.o on l10er10eae _x7777 now TOTAL 1 mean it u1.m0 r IL ro (Tom" LEM M 1A30w OW" 01100 PROPOWTION NO. S p 0"M Pill" WOWMrwft 10Mrt "'n r W" 30111010 ATHLETIC PI[LDEMEIOH9ORI4OOD AwMtbwr10,wwrw ifA1110rw 0"a Ip"" fto do an AND SENIOR CMUM CENTERS 10►11M / 300.0010 111611" 1A010 I0U Ir07fw'we rwrlw DM1d10 UJIM.Oq Aft A be Fw~Ow~wy !30200.000 30.10,30 Y R 708 MyOi 110 tk30w0110 VynrO 0 001 U.l MILS" hmewrnl10w Lbw Oww101 scam 1I M M rrew UAL T "ft" • 1Aq m Ow" U o Go "a ~ 1700 b MR"117y Mm 6. 1- mw POW" 13011.000 n10,OM Ar wlwrw 300 on n n0 O10 n,se am rrT!1103011 OrM10IY L lot ■ OT301 row L" now" 11A4080 0wenww 6 river 01st w r w 1608 AM M rr•r r an A 1,.00,00 rweerr0u10w M Grow Orr „7.001 7s+ro nnaaora0o. I-~ TOTAL 1r, ram 1110 i 4ueMM. , PROPOSITION NO.2 Arr"rw P. WOMAN `1'A1m DRAINADE I,,iO om rl6ntr TOTAL Mae e • r Mrr ` Men Mo►OSRaN No. • A pwoI 1`.r~10 Dw°oIegm 110.`01 UiRMr NAM 'EMlNTE 80.0010 TM ~ 80.0010 .001 IM// D.wrwp Ar•10r10 01 01` -r'10 t+0rwwq *4e101 IM"M 9.001 1 0.000 /I 08.008 ~Itw rMt.r~ A VIrOq tw01101w1 1 OA010 11r1sw II v"'311w101" 1 97.008 TOTAL I1mm AwAsorwomm" 1w" IM IY7 „MW PROPOSITION No. , • flow, I"DM%p 0.001 LAIN ENFORCEMENT CENTERMURT COMPLEX • ~ 1 win- 401410 rwn w tw trO/ 1 UL0 eM.w+ew0.r'{"t ~"oft 1 084008 VI11014II1ww t7rw'ewe no -mom lAr1a D10Y1010 1Aw LMMOeowROw4gMr10f10~~ 10 r 1 o00A08 D'MOrWIfR w rwn6 I~ rIM`MONr M01 An0 100 none CM930Mwr A 1w trhn7wr010`w10rC10Yr1(aMMS 11.100.001 $12n'080 TOTAL 11010.30 • 0 • • gendaNa 3 LIST OF EXTRA PROJECTS "ildalts PROJECT Sc /y2 -9 Extra Concrete Curb and Gutter on Malone Street 15,590.00 Pedestrian Islands on the Square 52,459.00 Pool Renovations 306,908.00 Archer Ttsil and Emerson Drainage Inlets 25,000.00 Teasley Lane Driveways 45,448.00 2499 Environmental Assessment 20,000.00 Locust Street Sidewalk 12,000.00 Sidewalks @ fire Station /3 6,000.00 Traffic Signal System @ the Square 351,594.00 Bell & McKinney Intersection 74,106.00 Sidewalks on Highland and Bernard Street 52,042.00 E Windsor Street Drainage Structure 20,000.00 Mayhill Bridge 42,000.00 I Signal Improvements @ U.S. 377 and 1-35 25,300.00 Signal Improvements @ 1.35 @ Mc', rick 55,200.00 Signal @ Collins and U.S 377 37,840.Uj Signal @ McKinney and Mayhill 34,500.00 Sidewalks along all the Street F, as in the Original 1 185,685.C0 Issu. Driveway @ Fire Station A2 14,572.C Mayhill @ Pecan Creek Bride, 21,605.00 Mayhill @ Cooper Creek Cr =rts 50,213.00 Hobson Lane Bridge 124,083.00 • F cement Paving 63,182.00 Aory Creek. Road As aft 105,740.00 South Bonnia Brae A• alt 96,450.0 Robinson Road 2" Overlay 18,219.00 O Azalea Street Paving and Curb and Gutter Replacement 75,000.00 • f Audra Lane Asphalt Overlay 21,500.00 James Street Overlay 37,500.00 AMMOOSC411 v • PROJECT age Lattimore Street Overlay ~te9~ .5y .00 Carroll @ Parkway Right Turn Lane 15,000.00 Carroll @ Eagle Left Turn Lane 20,000.00 U.S. 380 @ Bell Avenue Right Turn Lane 20,000.00 Mingo @ Ruddell and Nottingham Road Widening 15,000.00 Lillian Miller @ Southridge Village Turn Lane 15,000.00 Curb & Medians Denton Town Center 15,000.00 Shady Oaks and Woodrow Lane Signal 63,007.00 McKinney @ Mockingbird Signal 6,019.00 Southridge @ Lillian Miller Signal 60,380.00 Oak & Fry Pedestrian Signal 9,714.00 Avenue C @ Eagle Pedestrian Signal 12,000.00 Prairie @ Bell Avenue Pedestrian Signal 11,000.00 Willowood Bike & Sidewalk 112,000.00 Payne Drive Paving & Sidewalk 387,434.00 Opticom Signal System 42,590.00 South Bonnie Brea 10,000.00 Jim Christal 10,000.00 TLS III Signal Grant Oak & Hickory Participation 15,000.00 TLS III Signal Grant Welch Street Synchronization 15,000.00 Repaving on Coronado, Massey, Collier & Mmgo Road 117,000.00 Old North Road/Mingo Intersection 45,000.00 Campbell Street Drainage 90,000.00 Willowcrest Loop Drainage 50,000.00 • Alice & Panhandle Drainage Improvement 100,000.00 Channel Lining of Pecan Creek 15,000.00 Sidewalks on all 1988 Highway Projects/One Side 750,000.00 • College & Second Street Rebuilding 134,750.00 Archer Trail & Emerson Drainage 25,000.00 Metered Ramp Loop 2881U.S. 380 11,000.00 1-35/U.S. 380 Intersection West Side 20,000.00 ~MMlt08C1:7 ' • • 4gerleaNo_ PROJECT Agen U.S. 380 Intersections (enlarge turn lanes) Date- f -j4~'39E1~60~ Corridor Improvements (Controller Change Out) 20,000.00 TOTAL 4,291,230.00 I • AMMOOOC4'3 y a 'i' J t. f4 4 i ~ A Al ~--'"i_Z i T.- X L~`_,aVN 1 ;I j 3 i y 1 hNN 1 LIN- 1 G - 2 ~ - i • e DENTON o~og3 0000 qoo o oo°~ OF O ci a rz o C o 0 0 ppp 4p T ODO DUO O N, ~ ti0o~o D00N CITY COUNCIL • • ~ . • 0 • CITY OF DENTON CITY COUNCIL MINUTES July 5, 1995 The Council convened into a Closed Meeting on Wednesday, July 5, 1995 at 5:15 p.m. in the Civil Defense Room. PRESENT: Mayor Castleberry; Mayor Pro Tem Biles; Council Members Brock, Cott, Krueger, Miller and Young. ABS£NT: None 5:15 p.m. 1. Closed Meeting: A. Legal Matters Under TEX. GOVT CODE Sec. 551.071 1. Council received a report and discussed the status of litigation in GTE v. City of Denton and Denton's complaint against GTE pending before the Public Utilities Commission and considered litigation strategy as a result of recent court ruling in C1ty of Rusk. et, al. v. GTE. i 2. Cour^'1 discusse' )tentiai litigati-n concerning the request to rexv,ie 3.753 acres from SF-7 to C zoning on the south side of I35-E and Lindsey Street. B. Real Estate Under T%,X. GOVT CODE 551.072 C. Personnel/Board Appoi -ments Under 8X. GOV'T CODE Sec. 551.0'; The Council convened into a Regular Meeting on w esday, July 5, 1905 at 7:00 p.m. in the Council Chambers. PRESENT: ayor Castleberr: • Mayor Pro Tem Biles! ouncil Member rock, Cott, Kru Miller and Young. °4EV None 1. Pledge of Allegiance The Council and members of the audience recited the Pledge of Allegiance. 2. The Council considered approval of the minutes of May 23 and May 30, 1995. Miller motioned, Biles seconded to approve the minutes as , • presented. On roll vote, Miller "aye", Young "aye", Cott "aye", • Krueger "aye", Brock "aye", Biles "aye", and Mayor Castleberry "aye". Motion carried unanimously. 3. Presentation cf the Keep Texas Beautiful Awards and Yard of the Month Awards. • v • City of Denton City Council Minutes A9Bnd3N0 03-~J July 5, 1995 Agerd3ltem_lk S Q ~ Page 2 D3te_V~ A?- Bill Watson, Chair-Keep Denton Beautiful Board, presented the awards: Keep Texas Beautiful Proud Community Award to the City; Second Place Governor's Achievement Award to the City; First Place - 1995 Media Award to the Denton Record-Chronicle; Second Place - Ruth Jackson Youth Leadership Award ~o Community Leadership Team 8- 3 at Strickland Middle School; First Place - Small Business Award to Frenchy Rheault. a. Citizen Reports A. The Council received a citizen report from Bob Stermer regarding a rate increase in taxi fares. Mr. Stermer stated that 5 years ago rates were set up indicating what taxi companies could charge its customers. In the past five years prices of automobile parts had increased 10-15%; mechanics labor had increased $10-35 per hour, business taxes had almost dou' ed, an. .a nremiums increase I'. NE bor1j. cities were charging L.50 for a it. tial drop a, $1.50 per mile. He felt that Denton' rates sloul be increased to match the neighboring cities. - was hard to keep drivers as they could not nay them much due to t..e low fares. R, asked to that the rates be increased to $1. a for the init :1 6 from th current $1.30; increase to $1.! each addition £ mi from the current $1.30; increase ' 7.7, dditional r star ger. m the current $.50, nd increcsc a wa. ag time from ?1 rer he to $1' He felt i was time fo• chang in the taxi ra' s. Council bar Cott asked for a _^ikdown V costs on )jr mile ba• He asked f * the num L' of mile. an last yea And the num expected to a driven is year. they driviy<<, he same nu !r of miles o was ther an increast r last yea; nd still t.,a costs were ng up. Council v r ber Young asked if the company had any plans to up de their ca Would the increase help upgrade the cabs. Stermer replied yes that in the past year they had replaced a 1187 • and 1988 car. council Member Brock stated that at the end of the Councf' session she would be asking that this Jzem be laced on a f.ture agenda for discussion. B. The Council received a report fron Jerry Cobb regarding • recipient usage of hotel tax funds as pertaining to the North Texas • • State Fair Association. Mr. Cobb was not present at the meeting. 0 _ a 0 City of Denton City Council Minutes gpak0'!~ July 5, 1995 s-2- Page 3 Agenda; ter- ~-_9_ The Council considered item 4.E. E. The Council received a report from a representative of the Denton County Amphitheater Association regarding the distribution of Lalor funds. Melba Jean Ryan stated that she was a member of the Denton County Amphitheater Association and would be presenting the background of the Association. The Association was formed in 1989 with a vision of having an outdoor drama in Denton which would be family- oriented, historical, art-oriented, and would utilize the abundance of the area's artistic abilities. The current Board consisted of 17 members with a wide variety of expertise. By-laws were established in 1990 and a 501(c)3 status had been obtained. Many presentations had been made regarding the purpose, goals and progress of the Association. Long range planning included cc iideration of potential sites with a final recommendation on a sit- r--'-)^oming. The Council received a report from ianne Edmondson regards i the distribution of Lalor funds. Ms. Fw ondson state' that the Denton County Amphitheater , Assocl on was aski~ o be part of the team receiving Lalor fundr rhey did not t to compete with other groups but wanted to ' n the team. m .e Institure of outdoor Orama was premiere in field of outdc : drama. Functioning th the Paul Grien Foundation, their edibi' ty 'is unquesti• d. The Institite indicated that Dent st ngest, most isitive preliminary study which they ad eve., o) :ted. Tti. were three maior factors to conal r when yi to put tr `her a succee al outdoor drama - r Aunity sL i.,x site and t story. Commi ty support would b, given in I A site i led to be r ly Accessible and .ropriate fi. r` tory. Pau, teen's j.nal texas drama, Lone Star", been offe;eu oenton Association. Mayor Pro Tem Biic.., asked about a report with findings which she had mentioned. • F4mondson replied tha* it was a preliminary study. Mayor Pro Tem ales asked if Council could receive a copy of that report. Edmondson replied that it was preliminary to give that report out • at this point in time. • J D. The Council received a report from Warren Searle regarding the distribution of Lalor funds. • O • City of Denton City Council Minutes kj@~aNO •3z Jul 5 1995 Page 4 ~g8nd81vZ~ Mr. Searle stated that he would present the economic impact of an amphitheater. A 1,500 seat theater was proposed in the Denton area with an average paid attendance of 1,000 people for 60 performances. At $10 per ticket, $600,000 per season would be realized. If $70 per person was figured as the amount of money an individual would spend while attending the drama, the figure, with turnover, would be $14 million. He felt that Denton should be able to equal the money which was realized at Canyon, Texas with its outdoor drama. He felt that the Association could join with other outdoor dramas to promote the advertising of the dramas, etc. Other locations included Commerce, Waco, and Mineral Wells. He asked that the Association be considered for Lalor funds. Mayor Pro Tem Biles asked if the Association would be in compliance with the State statute. Searls stated that they had looked at the statute and felt that they would be in compliance. Council Member Young stated the project would make Denton look good. He felt that there was a lack of minority participation. Searle stated that he did not agree. There were minorities in the cast and an availability of jobs for all citizens of Denton. Council Member Young asked for the number of minorities on the Association's Board of Directors. Searls replied that there were no ethnic minorities. Council Member Young felt that that was the only thing he could see bad about the proposal. Searle replied that they would be happy to work with minorities. Edmondson stated that within the drama, there were parts for minorities. Also, minorities were working within the framework of the organization. The Association was trying to make this an all • inclusive organization. Mayor Castleberry stated that the economic impact would be for the area and not just for the City of Denton. Searle replied correct that they would like to keep all the economic impact in Denton but knew it would spread out in the • region. • • Mayor Castleberry stated that Searls indicated that the site would be within 30 minutes of Denton. He indicated that he would prefer that the site be in the area where dollars could be spent in Denton. He was not interested in promoting Decatur, Gainsville, • 0 f o City of Denton City Council Minutes geMaf~o W July 5, 1995 Q80C219R~.~- Page 5 etc. He wanted to promote Denton. Searls stated that the Association's Charter indicated that the site would be in Denton County. The part of Denton County suitable for this kind of drama would be north of Denton. The site needed to be remote so not to have overhead noise and outdoor lights. Mayor Castleberry stated he had attended several national meetings regarding this issue and learned that some dramas only lasted three years due to the fact that all the area residents had seen the production. i Council Member Brock felt that such a drama would have a large pool to draw from for attendance at the production. 5. Citizen Requests A. The Council considered a request from Julia LoSoya for an exception to the noise ordinance on Saturday, July 15 and 22, 1995 until 1:00 a.m. for the use of amplifiers and loudspeakers at the North Texas State Fairgrounds. Veronica Rolen, Administrative Assistant, stated that LoSoya had asked for two exceptions until 1:00 a.m. for July 15th and July 22nd. The Council had granted two prior exceptions with only one noise disturbance call. The organization had held other events at the Fairgrounds with no exceptions. The event on February 11th had two noise disturbance calls before 10:00 p.m. and three after 10:00 p.m. The May 19th and June 3rd events had no calls. Council Member Miller stated that the two prior exceptions were approved to midnight. He asked why the time limit had been increased. Julia LoSoya stated the time limit was increased to 1:00 a.m. as people worked late and were not getting to the event until approximately 10:00 p.m. They had not had any problems with noise since they faced the equipment to the south. • Council Member Cott felt when the Council issued a variance, it should be on that which the neighborhood felt was traditional. If the Council kept giving 1:00 a.m. there would be problems. Council Mer A r Krueger felt that LoSoya had shown good faith in turning the speakers and felt the time was not extraordinary for a ' • 1:00 a.m. tine frame. • • Council Member Young felt that the organization had shown good faith in tine past and a concern for the community. Mayor Pro Tem Biles asked if the speakers were outdoors or indoors. • 0 • - v • r D '99Rd3 City of Denton City Council Minutes {aBAdllf9i July 5, 1995 Page 6 LoSoya stated that they were indoors away from the neighborhood. Council Member Biles asked if the exception was granted would she continue with that approach. LoSoya replied correct. Council Member Brock asked what building was used. LoSoya replied the middle exhibit hall. Mayor Castleberry asked if alcoholic beverages were sold. LoSoya replied that the individuals brought their own. Extra security officers were available on Saturday. Cott motioned, Krueger seconded to approve the exceptions. Council Member Miller asked if LoSoya was present when the disturbance calls were made and the nature of the calls. LoSoya replied that the amplifiers were not faced south and that was when the calls were received. Council Member Miller felt that a commitment was needed that the noise level would remain low and not disturb the neighborhood. LoSoya stated that the officers helped with the noise level and indicated when the level was too loud. Council Member Cott called the question. Council Member Brock stated that in the past when the Council had requested an exception until midnight, she had supported that exception. It was not just a matter of the music or how much noise the program would generate. If the event ended at 1:00 a.m., people then started going home. That created a disturbance for a least a half an hour. • on roll vote, Miller "nay", Young "aye", Cott "aye", Krueger "aye", Brock "nay", Biles "aye", and Mayor Castleberry "aye". Motion carried with a 5-2 vote. 6. Public Hearings • A. The Council held a public hearing and considered adoption , • • of an ordinance to rezone 2.171 acres from the Agricultural (A) zoning district to the Two Family Conditioned (2F(c)) zoning district and the Single 10 Conditioned (SF-10(c)) zoning district on property located on the southwest corner of Haggard and Hinkle. (The Planning and Zoning Commission recommended approval 4-0.) S+ _ a • City of Denton City Council Minutes ~oerr7aNo Pale 7, 1995 ~08ra~2'lB Mayor Pro Tem Biles left the meeting. Frank Robbins, Director of Planning and Development, stated that this was one zoning ordinance with two districts in it. There would be SF-10 and 2F-conditioned zoning. The property would not have more than 13 units and was located it a low intensity area. The Mayor opened the public hearing. No one spoke in favor. No one spoke in opposition. The Mayor closed the public hearing. The following ordinance was considered: NO. 95-122 AN ORDINANCE OF THE CITY OF DENTON, TEXAS, PROV "SING FOR A CHANGE FROM THE AGRICULTURAL (A) ZONING DISTRICT CLASSIFICATION AND USE DESIGNATI)N TO THE SINGLE 'AMILY I ' CONDITIONED (SF-10(c)) AND THE Ti ~ FAMILY CONDITION ) (2f(c)) ZONING CLASSIFICATIONS AND USE DE LG..%TIONS FOR 2..' ACRES OF LAND LOCATED ON THE SOUTHWEST )RNrR OF HAGGARL 1ANE AND HINKLE DFIVE; PROVIDING FOR A PEN ',Tv IN THE MAXIMU MOUNT OF $2,000.00 FOR VIOLATIONS THER: r; AND PROVIDT FOR AN EFFECTIVE DATE. Brock motioned, Young seconaed to aftd the ordinanc On roll vote, Miller "aye", Young "aye", Cott "&;e", Krueger It", Brock "aye", and Mayor Castleberry "aye". !lotion carried n;mously. Mayor Pro Tem Biles returned to the meting, 7. Consent Agenda Miller motioned, Brock seconded to approve 'i ~.asent Agenda as • presented. On roll vote, Miller "aye", Young "aye", Cott "aye", Krueger "aye", Brock "aye", Biles "aye", and Mayor Castleberry "aye". Motion carried unanimously. A. Bids and Purchase orders: 1. Proposal :11780 - Public Official Liability ' O Insurance • 2. PC 056007 - Paradigm Traffic Systems 8. Consent Agenda Ordinances i • O ` s R • r City of Denton City Council Minutes g8rf5aN6 9S- D 3 L July 5, 1995 kganda'1ek4L-tt Page 8 Council considered Consent Agenda Ordinances 8.A. - B.B. Brock motioned, Young seconded to adopt the ordinances. On roll vote, Miller "aye", Young "aye", Cott "aye", Krueger "aye", Brock "aye", Biles "aye", and Mayor Castleberry "aye". Motion carried unanimously. A. NO. 95-123 AN ORDINANCE ACCEPTING COMPETITIVE PROPOSALS AND AWARDING A CONTRACT FOR THE PURCHASE OF MATERIALS, EQUIPMENT, SUPPLIES OR SERVICES; PROVIDING FOR THE EXPENDITURE OF FUNDS THEREFORE; AND PROVIDING FOR AN EFFECTIVE DATE. (6.A.1. - Proposal 01780) B. NO. 95-124 AN ORDINANCE PROVIDING FOR '~E EXPENDITURE OF FUt -nR PURCHASES OF MATERIALS OR 1UIPMENT WHICH A'. AVAIL)L ik FROM ONL" ONE SOURCE 17' AC ,DANCE WITH THE ";'!VISIONS G, STATE LAW EXEMPTING SUCH ' RCHASES FPOM Pi LREMENTS OP COMPETITIVE BIDS; AND PROVIDING AN EFFECTI) ;ATE.(6.A.2. ` - PC 156007) I` 9. ordinances I A. Council considers doption of an ordin vacat•' a cer• %in lic utility ease it shown on the Lot repl., of t Denton ,area Teac :s Credit Union Addition, _-Awd it Cab' at H, Age 279 of the p records of Denton County, Texas (T' Plan? ag and Zoning Com Sion recommended approval 6-0.) rank P• )ins, Director for anning and Development, stated Ir eaQ -art- 1, 3 been platte. a anticipation of a public sewp• .re y. It was d, .rmined that that was not r . f r the line so the improvemen• as moved and there was now „ jead far the utility easement. The following ordinance was considered: • NO. 95-125 AN ORDINANCE VACATING A CERTAIN PUBLIC UTILITY .,3EME.W SHOWN ON THE LOT 1R, BLOCK 1 REPLAT OF THE DENTON AREA TEACHERS CREDIT UNION ADDITION, FILED IN CABINET H, PAGE 279 OF THE PLAT RECORDS OF DENTON COUNTY, TEXAS; AND PROVIDING FOR AN • EFFECTIVE DATE. • • Biles motioned, Brock seconded to adopt the ordinance. On roll vote, Miller "aye", Young "aye", Cott "aye", Krueger "aye", Brock "aye", Biles "aye", and Mayor Castleberry "aye". Motion carried unanimously. • Q i. • a • ~gerdaNo 9S- d 3 Z City of Denton City Council Minutes July 5, 1995 ~93~02fB Page 9 Yi;e _ _ 222 B. The Council considered adoption of an ordinance pursuant to Section 20-1 (c) (2) of the Code of Ordinances of the City of Denton, Texas, an exception to the limitations imposed by that section with respect to hours of operation of an amplified loudspeaker system. (North Texas State Fair and Rodeo) Veronica Rolen, Administrative Assistant, stated that at the June 6, 1995 meeting, the Council approvee a resolution that adopted a policy to allow for three year exceptions to the noise ordinance for qualifying organizations and the North Texas State Fair had requested such an exception. To qualify for this exception, an organization had to demonstrate three consecutive years of responsible activity. Council had granted exceptions from 1992 - 1994 during which time two noise disturbance related calls were received in 1993. Each time the Fair had requested the exception there had been a great deal of discussion among the Council, neighborhood residents, and the Fair. In 1992 and 1993 Council approved an exception for the Fair for the following hours: Monday - Thursday until 11:00 p.m.; Friday and Saturday until 12 midnight; and one Sunday from 1:00 p.m. - 11:00 p.m. and one Sunday from 5:00 a.m. - 4:00 p.m. In 1994 the Fair requested the same hours and that request was denied. However, the Fair returned to Council the following meetir.3 with amended hours. Council then approved the hours of Monday - Thursday until 10:30 p.m.; Friday and Saturday until 12 midnight, and the first Sunday 1:00 p.m. - 11:00 p.m. with the second Sunday 1:00 p.m. - 4:00 p.m. During previous expressions regarding the ordinance format, Council had expressed an interest to prohibit the use of amplified speakers under any circumstances between the hours of 12 midnight and 7:00 a.m. Staf" had informed Mr. Roden of that concern and because of Council's direction, the hours requested by the Fair Association had been amended by staff in the ordinance to indicate a 12 midnight time or Friday and Saturday nights. If Council desires, the hours on Friday and Saturday could be modified prior to the adoption of the ordinance. Council Member Young asked about the two complaints in 1993. • Rolen stated that they were noise disturbances with the music being too loud. One complaint was received prior to 10:00 p.m. The second complaint indicated that the music was too loud but the responding officers felt that it was not too loud. Council Member Cott stated that he would like to see 30 police officers added at closing time until one or two hours after , • closing. • • James Roden, North Texas State Fair Association, stated that the Fair always hired all of the police reserves plus a number of uniformed officers were on duty until closing. f 0 • 0 • City of Denton City Council Minutes ~¢0'rG3N0 July 5, 1995 4yry L~o'1CI11~1 `S - Page 10 Council Member Cott stated that he had a problem with the open containers left at the retirement homes driveways and on cars. He asked that the Fair do something about that situation. Roden stated that the Fair had a clean-up crew which policed that area first thing at 7:00 a.m. Krueger motioned, Young seconded to approve the exception for the hours of 8:00 a.m. - 12 midnight Monday through Friday with an a,;1itional hour on Saturday. Sunday hours would be until 11:00 p.m. Council Member Miller stated that he had been a strong supporter of the Fair hours. The Fair schedule indicated that the live entertainment was over at 10:30 p.m. Roden replied that the rodeo was over at 10:00 p.m. One major problem last year was that the vendors needed more time after t:ie events were over. The Fair tried to run until 11:00 p.m. with no stage activities aid no amplified activities past 11:00 p.m. during the week. Council Member Miller stated that the ordinance did not indicate that the Fair would have to close the Fair at 11:00 p.m. The ordinance had to do with the amplification. The ordinance did not deal with the hours of operation of the Fair but the hours the Fair was given the authority to operate amplified equipment. Roden indicated that the Fair had to run black with the rodeo. Council Member Brock stated that the vendors could still sell to people after the rodeo activities. Roden stated that when the entertainment gone, the crowds began to leave. Council Member Krueger felt that asking for 12 midnight Monday through Friday was a way to help with the traffic noise. He felt • the request was reasonable. Council Member Miller stated that he understood the purpose of the three year ordinance was to allow Council to make these exceptions in order to not have to hear the requests each year. Except for last year, the two previous years had the hours of operation at Monday - Thursday until 11:00 p.m.; Friday and Saturday until 12 • midnight; and one Sunday until 11:00 p.m. and one until 4:00 p.m. • • In 1992 when these hours were first established, the question was asked if those were the operating hours of the Fair and the Council was told that that was correct. The Fair operation would not be hampered if the noise was regulated during those hours. The hours of the Fair would be regulated. He expressed a concern that the ~ o • City of Denton City Council Minutes ~endaNO July 5, 1995 ~g~ndb, 8 Page 12 / etc exception would be granted for three years as these were longer hours than approved before. It was not in keeping with the spirit of a three year period. Council Member Young Vilt that the Fair was a 75 year tradition which b:-aught in money to Denton. The Fair was only asking for another hour of operation. He felt that the Council should grant the exception as asked for. He had a concern for the neighbors but the Fair needed to do bu•.fness. This was for only one wee}. during the year. Council Member Miller stated that the August 4, 1992 minutes indicated that try :air had operated in good faith for 44 years an.: that the Fair ;._eviously had not known that they were in violation of the city ordinance regarding a noise exception. He felt that he supported the Fair but was concerned about the residents who lived within the neighborhood. With an exception until midnight, the noise could continue until midnight and not 11:00 p.m. which had worked in the past. Council Member Brock asked what had changed since last year. In the past the Fair had indicated that 11:00 p.m. was adequate during the week to shut off the amplifiers. The Fair did not have to close at a certain time but rather amplified sound would not continue after a certain time. Roden stated that the Fair had volunteered to cut back the hours in the past due to Council pressure. The Fair had operated for 60 years without a noise request. When the noise exception request was made, the Fair gave up time due to the way the Council felt. Council Member Krueger stated that the vendors were losing money on the earlier hours. Several community organizations were out at the Fair and attendance was down as the Fair closed too early. Council Member Brock asked what time the amplifiers ended in the past. • Roden stated that there was no certain time. The dance had always gone until 1 a.m. on Saturday night and 12 midnight on Friday night. Council Member Cott stated that one reason people did not come back to the Fair was due to the behavior of the people when they left the park.. It was not a family atmospher9 and might be one of the • reasons the City was losing b+.siness. • • Mayor Pro Tea Biles stated that the August 4, 1992 minutes indicated that the City Attorney stated that there had been discussion regarding the discovery and enforcement of the ordinance and it was her legal opinion that "it was not a violation to I • p • City of Denton City Council Minutes tiG "Ln:IBR7 July 5, 1995 p 1 _ ar Page 12 - Z_.TJ operate a loudspeaker during the pro:ibited hours". The ordinance did not prohibit operating a loudspeaker. The ordinance prohibited the operation of a loudspeaker in a manner, given the lateness of the hour, which would be offensive to some individuals. Quite often it was the conduct of persons leaving the grounds and their conduct off of the property going to their cars on the streets and on private property. Council Member Cott's suggestions were well taken and the Fair had already addressed those issues. It appeared that there was a sufficient number of officers to assist with people leaving the Fair and corning cleanup had been incorporated. The Council was dealing with the noise ordinance and not with other problems which might be associated with the Fair. Those problems should be addressed in proper context and not with the noise ordinance. This was a short period of time given the impact of the economic value to Denton. Council Member Young stated that the Fair brought in many people. The problems were social problems and not in control of the Fair officials. He understood the businesses had an understanding with the Fair Association. People attending the Fair used the area stores. The Fair cleaned up the lots early in the mornings and the cleanup procedure was improving each year. I Council Member Miller stated that the ordinance dealt with agreeing to ceasing the use of amplified loudspeakers between certain hours. The ordinance dealt with just the use of amplified loudspeakers. He motioned an amendment to the motion which would cease the use of amplified loudspeakers at 11:00 p.m. Sunday - Thursday and at 12 midnight on Fridays and Saturdays. Brock seconded that amendment. Council Member Krueger stated that the amendment would defeat the purpose of his motion. It would set time limits again and put constraints the Fair. It was not fair to the Association. Council Member Miller stated that the only restriction was on the j use of amplified loudspeakers. It was not on the operation of the Fair itself. He had talked with members of the Association and not everyone agreed that it would be harmful if the hours for • amplification were ended at 11:00 p.m. during the week and 12 midnight on weekends. Council Member Cott stated that it was Council's job to do this. I It was not Council's job to make everything easy for everyone. In the past he had voted in favor of the Fair. Council needed to understand that there were pieces to the situation which needed to • be better disciplined. • • Council Member Brock stated that the Fair Association had worked the last several years to clear up some the problems such as parking in the area. There were homes on Denison street with no air conditioning and on Sunday nights parents had to get children ready i ~ d • r ss 0 City of Denton City Council Minutes 4,~ q~3;t8rt1 July 5, 1995 Page 13 h r-1 to go to school. There were families living in area who needed consideration. The hours requested in the prat were responsible. On roll vote for the amendment, Miller "aye", Young "nay", Cott "nay", Krueger "nay", Brock "aye", Biles "nay", and Mayor Castleberry "nay". Motion failed with a 2-5 vote. The following ordinance was considered: NO. 95-126 AN ORDINANCE OF THE CITY OF DENTON, TEXAS, GRANTING, PURSUANT TO SECTION 20-1 (c) (2) OF THE CODE OF ORDINANCES OF THE CITY OF DENTON, TEXAS, AN EXCEPTION TO THE LIMITATIONS IMPOSED BY THAT SECTION WITH RESPECT TO HOURS OF OPERATION OF AN AMPLIFIED LOUDSPEAKER SYSTEM; AND SETTING AN EFFECTIVE DATE. On roll vote of main motion, Miller "nay", Young "aye", Cott "aye", Krueger "aye", Brock "nay", Biles "aye", and Mayor Castleberry "aye". Motion carried with a 5-2 vote. C. The Council considered adoption of an ordinance authorizing the Mayor to execute a contract for the collection of delinquent taxes. Mayor Pro Tem Hiles left the meeting. Herb Prouty, City Attorney, stated that a contract had been negotiated with the McCreary, Veselka, Bragg and Allen lawfirm. Prior to that negotiation, a contract had been written and signed by the previous lawfirm. There were some changes in that contract. One change was to the demand letter changing it to a notice of delinquency letter. There were changes in language used to require the McCreary firm, only or, the City's demand, to reduce delinquent accounts to judgement. The third non-material change removed a provision which allowed for compensation for the prior firm. Council Member Cott left the meeting. • Prouty stated that there were two substantive changes. The Blair firm had agreed to provide for $1 million in professional liability insurance for errors and omissions. This was a new provision which had never been in the tax contracts before. The McCreary firm would not agree to the professional liability insurance as there was a low risk of suits or professional liability for delinquent • taxes. • • Mayor Pro Tem Biles returned to the meeting. • 0 • a; ~a~ teal ~F~ City of Denton City Council Minutes k;;r July 5, 1995 Page 14 Prouty continued that the City did not waive its sovereign immunity on the assessment or collection of taxes. In most cases if that defense was alleged, there would be no liability on the City's part. Without the professional liability insurance there was a somewhat greater risk due to the fact that there was no solvent insurance company to stand behind a provision with regard to errors and omissions. Council Member Cott returned to the meeting. Prouty stated that the other material change was in the proposal from McCreary. They had agreed to pay the City $750 a month for the use of the City's computer terminal. They would not agree to this as the Blair firm was only paying $375 per month. The McCreary firm had also indicated that they would not use the computer terminal and could not justify paying $750 but would agree to $375. Council Member Miller asked if the liability policy was a part of the request for proposal. Prouty replied no that it was a provision added as a part of trying ' to improve the contract. Council Member Miller asked if it was in the first contract. Prouty stated that it was in the Blair contract and they had agreed to sign that contract. Council Member Miller stated that Blair had agreed to sign the contract along with the $375 per month charge for the computer terminal. This contract removed the liability policy and reduced the monthly fee to $375. Prouty replied that the proposal of the McCreary firm did offer 1 $750 a month for the computer terminal. Council Member Millet asked what brought about the change. Was • that a negotiated change. Jon Fortune, Chief Finance Officer, stated that it had been discussed. In the past they had used the computer terminal in the tax office. They were now on line via a modem and the need was not as great. • Council Member Miller asked why the dollar amount changed. , • • Gilbert T. Bragg stated that the process was a negotiated process. The first meeting was a give and tak3 discussion. The second meeting incorpora,ed the changes into the contract. • 0 f a City of Denton City Council Minutes AQ08daNa~~S~ s July 5, 1995 Ag8nda1 Page 15 Uate.-1.~7'~5 Council Member Miller stated that staff had negotiated to not require the liability policy. Bragg replied that that was his feeling. Council Member Miller stated that there was still some potential additional liability for the City. Bragg felt that this situation would be very remote. They had had a situation with other clients where a tax had not been collected. If his firm committed an error and an account was left out, they would write a check for the amount. Prouty stated that there was an indemnity clause still in the contract. This was a new requirement. Without that requirement, there was a slight risk. The risk to the City losing money was slight but still there. Bragg stated that the reason for having the computer terminal rental charge originally was that the firm came to the City offices and used the facility. As it now stood, they were on-line with the City. The $375 paid for the tapes supplied by the City. The City had a monthly cost and that was compensation for those tapes. Council Member Miller asked why the $750 was in the original proposal and not in the second contract. Bragg stated that Miller was asking for a rehashing of the negotiations which he did not have a problem doing. The contract submitted was identical to the contract that they were currently operating under which included the $750 per month and was a three page contract. The contract which the City Attorney prepared was a nine page contract. Prouty stated that even with the variations from the Blair firm there were additional conditions which were not in the current contract. I Council took a short recess. After the recess, Council Members Miller, Brock and Cott were not present. Mayor Pro Tem Elles stated that the primary changes were that there would be no requirement for liability insurance and a reduction in the rental for computer terminal. Bragg replied correct. , Council Member Miller returned to the meeting. The following or9inan::e was considered: 0 • • tgandaNo- ~ City of Denton City Council Minutes Dc July 5, 1995 Aopndal`Bf~ i Page 16 aalE_'-' 9`s NO, 95-127 AN ORDINANCE AUTHORIZING THE MAYOR TO EXECUTE A CONTRACT FOR THE COLLECTION OF DELINQUENT TAXES; PROVIDING FOR THE EXPENDITURE OF FUNDS THEREFOR; AND PROVIDING FOR AN EFFECTIVE DATE. Council Members Brock and Cott returned to the meeting. Biles motioned, Young seconded to adopt the ordinance. On roll vote, Miller "nay", Young "aye", Cott "aye", Krueger "aye", Brock "nay", Biles "aye", and Mayor Castleberry "aye". Motion carried with a 5-2 vote. 10. The Council considered approval to decrease the Electric Energy Cost Adjustment (ECA) rate. Bob Nelson, Executive Director for Utilities, stated that approval of this request would reduce the electric energy cost adjustment rate from $1.90 per KWH to $1.40 per KWH effective July 5, 1995. The Public Utility Board had approved the rate reduction. Natural gas prices had declined due to a warm wintex- and a mild summer which had held demand down. The months for the reduction would be July, August and September and would be reconsidered in October. Council Member Young stated it was always good to have a rate reduction. He asked for the number of people in his department. I Nelson replied that there were 131 people in the Electric Department and approximately 35 at the generating plant. Council Member Young asked for the [!?mbar of minorities at the generating plant. Nelson replied approximately 2-3 minorities. Council Member Young stated that there were no Blacks in the Electric Department. Something needed to be done about that and more minorities were needed all the way down the line. He was elected to bring that to his attention. Young wanted Nelson to hire minorities. Council Member Cott stated that the City just received a reduced position by Moody's. It was his recommendation to not reduce the prices but rather build up the net worth of the division. Mayor Pro Tem Biles stated that the City had a TMPA debt which would require servicing in the future and the Council had had discussions on how to address that debt. He asked if the cost reductions proposed were based on the Spencer Plant generation or out of TMPA. • 0 ~ ter.: ' , • • 1~3z- City of Denton City Council Minutes Ag0~d2tifl July 5, 1995 l1g^,tflSf8fT1 S^/ Page 17 M F i~ Nelson replied that the reduction had nothing to do with the TMPA cost of power as the TMPA cost of power had not changed. The effects of any change in reduction of costs had not been passed through yet nor had anything regarding the Powder River coal conversion process been passed on. This was strictly the other 353 of the energy. Sixty-five percent of the energy was from TMPA and 35% was from the City's local plant or from sister cities. Mayor Pro Tem Biles stated that if the Council approved the reduction, that half cent reduction only reflected the natural gas costs for the City's domestic production in Denton. Nelson replied correct. Mayor Pro Tem Biles asked if the half cent reduction would address the need for compliance with the existing ordinance to bring it within the $500,000 window on costs. Nelson replied that the energy cost adjustment ordinance expressed j that any time it appeared that the City would be collecting more than $500,000 than what the costs actually were, adjustments would be made in the next quarter to correct for that. Mayor Pro Tem Biles stated that reserves could be accumulated by various means. Nelson replied correct. Mayor Pro Tem Biles asked if there was anything like that now. Nelson replied that projections for net income at end of year would be over that amount. They would still be collecting approximately $400,000 over that amount Mayor Pro Tem Biles stated that the $400,00 was based on the natural gas costs and if any other savings were achieved, they could be used for a reserve for future debt service. • Nelson replied correct. Mayor Pro Tem Biles stated that the half cent would be a major break to customers and was based on natural gas not on TMPP. as was reported in the paper. Nelson replied correct. City Manager Harrell commented on the reference of action taken by Standard and Poors. The City of Denton did not receive any kind of downgrade in its current bond rating. The City's business outlook was changed from a positive to a stable but the basic bond rating was unchanged. When the City questioned the action taken by • a • ApWaroo yS d.3,'L City of Denton City Council Minutes Agird a!Ia July 5, 1995 Page 18 --f - - Standard and Poors, the answer was due to the situation with TMPA and the pricing structure coming out of that. The Agency went to great lengths to congratulate the City on its healthy reserve level and its pricing structure. There was no action which the Council could take other than the recommendation from the Public Utilities Board to not pass on this three month decrease. Council Member Cott asked if the half cent could be used for the TMPA bonds. ! City Manager Harrell stated that the City could not do that I independently. The TMPA Board needed to develop a plan on how to retire that debt early and try to drive down the spike in costs. Harrell stated that Council Member Young had requested a report regarding minority representation in all the work units in City. Staff was compiling that information and would be presented to all Council Members soon. As discussed during the planning session, the City had a very active and aggressive affirmative action program. The program tried to attract minority representation to all city departments. i Council Member Young stated that the City had 90 firemen with no Blacks and no females on staff. The Police Department had only one Black and there were no Blacks in the Electric Department. This had been going on for many years And he would like some results. i Mayor Pro Tem Biles requested the comments from Standard and Poors in some type of written format. City Manager Harrell stated that the Finance Department had furnished the additional write up regarding the City of Denton. Biles motioned, Young seconded to approve the rate decrease. Council Member Brock stated that she had attended a session at the APPA Conference relative to bond ratings. Standard and Poors answered questions regarding institutional analysis of investments. They indicated that no utility, public or private, would be given • a AAA bond rating in this climate. The gave the higher rating to those utilities which were in greatest position of flexibility. This was one of many situations the City had with TMPA which reduced the flexibility of the member cities. Council Member Cott asked that instead of a price decrease, could half be given to the economic development fund. , Mayor Castleberry stated that that was not part of the motion. Cott motioned, Young seconded to have half the funds be given to the economic development fund managed by the City and the Chamber. • 0 • iJ • S City of Denton City Council Minutes A03nda'IBrfif Jul 5 1995 c^ I p Page 19 Da:e_J_!o?- G_~S City Attorney Prouty questioned whether this was allowed per the ordinance. It appeared to him that it was discretionary whether to pass the rate decrease on to the customers. Council Member Krueger stated that he would like to help economic develop but was hesitant as the parameters of the economic development committee had not been established at th13 point in time. He felt this would be premature funding. The savings were for a three month period and would be more beneficial to the City's customer base to pass the reduction on to customers. On roll vote of Cott's motion, Miller "nay", Young "aye", Cott "aye", Krueger "nay", Brock "nay", Biles "nay", and Mayor Castleberry "nay". Motion failed with a 2-5 vote. On roll vote of original motion, Miller "aye", Young "aye", Cott "aye", Krueger "aye", Brock "aye", Hiles "aye", and Mayor Castleberry "aye". Motion carried unanimously. 11. The Council considered nominations/appointments to the City's boards and commissions. I Animal Shelter Advisory Hoard - Council voted on the nomination for Lynn Stuckey. On roll vote, Miller "aye", Young "aye", Cott "aye", Krueger "aye", Brock "aye", Biles "aye", and Mayor Castleberry "aye". Motion carried unanimously. Board of Adjustment - Council voted on the nomination for Bill Colville. On roll vote, Miller "aye", Young "aye", Cott "aye", Krueger "aye", Brock "aye", Biles "aye", and Mayor Castleberry "aye". Motion carried unanimously. Cable T. V. Advisory Board - Council voted on the nomination for John Kuiper. On roll vote, Miller "aye", Young "aye", Cott "aye", Krueger "aye", Brock "aye", Biles "aye", and Mayor Castleberry "aye". Motion carried unanimously. Council voted on the nomination for Candice Liepa. On roll vote, Miller "aye", Young "aye", Cott "aye", Krueger "aye", Brock "aye", Biles "aye", and • Mayor Castleberry "aye". Motion carried unanimously. Community Development Advisory Committee - Council voted on the nomination of Lisa Polack. On roll vote, Miller "aye", Young "aye", Cott "aye", Krueger "aye", Brock "aye", Biles "aye", and Mayor Castleberry "aye". Motion carried unanimously. Q Data Processing Advisory Board - Council vote' on the nomination of • • Don Edwards. On roll vote, Miller "aye", Young "aye", Cott "aye", Krueger "aye", Brock "aye", Biles "aye", and Mayor Castleberry "aye". Motion carried unanimously. Council voted on the nomination of Anthony Hudspeth. On roll vote, Miller "aye", Young "aye", Cott "aye", Krueger "aye", Brock "aye", Biles "aye", and • ~ a • City of Denton City Council Minutes A6arid aN0~ =z July 5, 1995 Aganda: S Page 20 C Mayor Castleberry "aye". Motion carried unanimously. Downtown Advisor Board - Council voted on the nomination of Bernice Wilson. on roll vote, Miller "aye", Young "aye", Cott "aye", Krueger "aye", Brock "aye", Biles "aye", and Mayor Castleberry Playe". Motion carried unanimously. Council voted on the nomination of Bill Thomas. On roll vote, Miller "aye", Young "aye", Cott "aye", Krueger "aye", Brock "aye", Biles "aye", and Mayor Castleberry "aye". Motion carried unanimously. Council Member Krueger withdrew his previous nomination to the Electrical Code Board. Human Services Committee - Council voted on the nomination of Roy Davenport. On roll vote, Miller "aye", Young "aye", Cott "aye", Krueger "aye", Brock "aye", Biles "aye", and Mayor Castleberry "aye". Motion carried unanimously. Council voted on the nomination of Mary Morimoto. On roll vote, Miller "aye", Young "aye", Cott "aye", Krueger "aye", Brock "aye", Biles "aye", and Mayor Castleberry "aye". Motion carried unanimously. Keep Denton Beautiful Board - Council voted on the nomination of Frenchy Rheault. On roll vote, Miller "aye", Young "aye", Cott "aye", Krueger "aye", Brock "aye", Biles "aye", and Mayor Castleberry "aye". Motion carried unanimously. council voted on the nomination of Cresah Sanford Beattie. On roll vote, Miller "aye", Young "aye", Cott "aye", Krueger "aye", Brock "aye", Biles "aye", and Mayor Castleberry "aye". Motion carried unanimously. Council Member Krueger withdrew his previous nomination of Martha Len Nelson. Library Board - Council voted on the nomination of LaKish Cravens. On roll vote, Miller "aye", Young "aye", Cott "aye", Krueger "aye", Brock "aye", Hiles "aye", and Mayor Castleberry "aye". Motion carried unanimously. Parks and Recreation Board - Council voted on the nomination of • Gwendolyn Carter. on roll vote, Miller "aye", Young "aye", Cott "aye", Krueger "aye", Brock "aye", Biles "aye", and Mayor Castleberry "aye". Motion carried unanimously. Planning and Zoning Commission - Council Member Young withdrew his nomination of Slick Smith. • sign Board of Appeals - Council Member Krueger withdrew his • • nomination of Bob Powell. Council voted on the nomination of Mark chew. On roll vote, Miller "aye", Young "aye", Cott "aye", Krueger "aye", Brock "aye", Biles "aye", and Mayor Castleberry "aye". Motion carried unanimously. • a • sr • City of Denton City Council Minutes July 5, 1995 Dael Page 21 Traffic Safety Commission - Council voted on the nomination of Carolyn Bacon. On roll vote, Miller 10aye", Young "aye", Cott "aye", Krueger "aye", Brock "aye", Biles "aye", and Mayor Castleberry "aye". Motion carried unanimously. Council made the following nominations: Animal Shelter Advisory Board Mayor Castleberry - Bob Rohr Council Member Young - Brenda Sherpell Downtown Advisory Board Council Member Miller - Dan Martin Kgep Denton Beautiful Board Council Member Krueger - Robert Gentile Planning and Zoning Commission Council Member Young renominated Bob Powell. Mayor Castleberry asked for a ruling from the City Attorney as Mr. Powell had been nominated and not approved by a Council vote. Council Member Young was renominating him for the sare position. Herb Prouty, City Attorney, stated that that would be a reconsideration issue and someone who voted against the nomination would have to make a motion to approve that nomination. Mayor Castleberry asked if any one of the four who voted against the original nomination for Bob Powell would make a motion for reconsideration. Hearing none, the Mayor stated that it could not be reconsidered. He asked Council Member Young if he had another nomination. • Council Member Young nominated Guy Jones. Mayor Castleberry indicated that Guy Jones had already been nominated and voted on. Council Member Krueger stated that he would like to withdraw his nomination of Guy Jones. ' • e Mayor Castleberry asked for a ruling on someone who had already been elected. City Attorney Prouty asked if Jones had been sworn in yet. He felt that t would be proper to withdraw the nomination but as the • sa • City of Denton City Council Minutes Q ~J July 5, 1955 Ag Page 22 Council voted to approve the nomination, it would need to vote on the withdrawal. Brock motioned, Biles seconded to approve the withdrawal of Guy Jones from the Planning and Zoning Commission. On roll vota, Miller "aye", Young "aye", Cott "aye", Krueger "ay-a", Brock "aye", Biles "aye", and Mayor Castleberry "aye". Motion carried unanimously. Council Member Krueger - Bob Powell Sian Board of Appeals Council Member Krueger - Eldon Seaton 12. The Council considered nominations/appointments to the Denton/Denton County Sesquicentennial Celebration Committee. Council Member Young nominated Effie Johnson and Sarah Parker. Council Member Krueger nominated Terry and Ellen Schertz, Tim Crouch and Camille Milner and Carol Ann Ganzer. , 13. Vision Update No report was given. la. Miscellaneous matters from the City Manager. A. The Council received a report concerning the latest honorees added to the Wall of Honor. City Manager Harrell stated that letters of appreciation and other comments from citizens regarding the performance of City employees were displayed in City Hall. These were rotated on a quarterly basis and the current letters were now in place on the Wall of Honor. • B. The Council received a draft copy of the hotel occupancy contract and gave staff direction. J Jon Fortune, Chief Finptnce Officer, stated that ttie draft contract ]1 incorporated the changes requested by Council during the Jure 20th work session. The contract incorporated the language to allow any excess funds over the budgeted amount to be distributed in the • subsequent year according to the contracted allocation percentages. • • It also allowed for a two year contract. Mayor Pro Tem Piles stated that paragraph 3.1 specifically referenced the excess funds. If a contract was not executed for a subsequent budget year, where would the excess revenue go. • O • a 0 City of Denton city council Minutes AAuntlaltenls~~. July 5, 1995 Page 23 Fortune replied that that would be up to the Cnuncil to decide. it could be held until an new contract was established with a new recipient. Biles stated that Council should send the contract to all the current recipients to allow for a time to review and a time to respond. I Mayor Castleberry stated that if that was a motion the contract r would be sent to the Denton Convention and Tourist Bureau, the Greater Denton Arts Council, the North Texas State Fair Association, the Denton County Historical Museum, and the Denton County Historical Foundation. Krueger seconded. Mayor Pro Tem Biles stated that his motion would be that contracts be prepared using the dollars figures reflected in Scenario A for the previously mentioned five entities. One change would be that the allocation rate of .111 for th± Denton County Historical Foundation would be reduced to .061 for the 1995-96 budget year. That .05% which had been taken from the Historical Foundation would Ae added to the Denton County Historical Museum so that their 1995- 96 tax rate allocation would tie .83% instead of .781. The present ' format of contract would be prepared and submitted for review by the five contractual recipients noted in Scenario A. The 1995-96 proposed budget number would be incorporated and the tax rate allocations except for the addition of .051 percent added to the Historical Museum. Young seconded the motion. Council Member Brock asked why Mayor Pro Tem Biles wanted to make such a modification for the Foundation. Mayor Pro Tem Hiles stated that it was his understanding that there was a working partnership between these two entities. The roundation had been the recipient of funds to take care of coi.tributing dollars for historical markers. With the reduction in operating revenue which was available, they could not do that. Those functions still needed to be done and thus the Historical museum would have to do that. The Museum had increased its scope • of services and would be receiving large donations and would need additional revenue for cataloging and preservation of those donations. The City needed to deal with the application of funds in the best and highest use of those particular funds. Fortune stated that if .051 were used for the Hist.)rical Museum, an equal amount would be reduced for alternate organizations. On roll vote, Miller "aye", Young "aye", Cott "aye", Krueger "aye", Brock "nay", Biles "aye", and Mayor Castleberry "aye". Motion carried with a 6-1 vote. 1 • ca • vaJaNo -63.21 City of Denton City Council Minutes Agaraa;lem~~~~J(~ July 5, 1995 Page 24 Fortune asked for direction on when Council would like to review other requests for allocation. Mayor Castleberry suggested that they be ready for the next meeting. He asked the City Attorney to review those who had requested funds to make sure they could meet the requirements. Mayor Pro Tem Biles stated that those alternate organizations would be the Black Chamber of Commerce, the Denton County Amphitheater, and the Main Street program. Fortune replied that those three had requested funding. There were a number of other requests which the Council subcommittee had received which Council could again review. Mayor Pro Tem Biles stated that Council had given some type of direction on limitation on how many extra organizations. Mayor Castleberry felt there was no number set. Mayor Pro Tem Biles felt that it was limited to those who had been discussed last year. ' City Attorney Prouty felt that there was some sort of time limit. Fortune replied that there was a time limit so as to get the information for the last meeting in June. Mayor Pro Ten Biles stated that only the Denton Main Street, the Black Chamber of Commerce, and the Amphitheater were being considered. Council Member Miller asked about those organization which had applied last year but who were not recommended by the Commi':tee. City Manager Harrell requested a clarifica.ion regarding the presentation. If Council wanted to hear presentations from each of the agencies, he requested that Council consider them on the 18th of July as opposed to the next meeting. The next meeting was reserved to the Major Budget Issues report. Mayor Pro Tem Hiles suggested that rather than have presentations, the Council could proceed on the basis of the written materials. Mayor Castleberry summarized that these be considered on the 18th ' • of July and to notify the other organization which had met the • deadline. The previous backup materials could be used for questions. i Consensus of the Council wr,s to proceed as noted by the Mayor. • O , • • ~9nGeNa jJ~,~~, City of Denton City Council Minutes July 5, 1995 Page 25 C. The Council received a report and held a discussion regarding the proposed 1996-2000 Capital Improvements Program and discussed the Blue Ribbon Committee. Kathy DuBose, Executive Director for Finance, state) that at the Council's request, the Planning and Zoning Commission met on June 14th to consider amending their recommendation of the 1996-2000 CIP program. The Commission passed a motion to recommend to the City Council to carry forward with the CIP as stated by staff with the specific addition of the input of all the Vision Committees prior to finalizing expenditure items and line item dollars. Council Meirber Young asked about the projects listed. DuBose replied that the Planning and Zoning Commission approved the CIP document as presented by staff and asked that once the recommendations were made by the individual Vision Committees that those be forwarded to Council for consideration. Council Member Younq wanted to make sure some projects in southeast j Denton were included such as the paving of Pecan Creek and Willow Creek. City Manager Harrell stated that if Council followed the procedure used in the past with bond issues, it would take the recommended CIP from the Planning and Zoning Commission to use as a starting point for a Blue Ribbon Committee to look at the projects and make changes, additions or recommendations to those projects. Those would be forwarded to Council for consideration prior to submission to the voters. There would be at least two opportunities for Council to look at the projects submitted to voters and make suggestions discussed. Council Member Young stated that he could not put projects for southeast Denton in at this time. City Manager Harrell stated that all the Council had now was a planning document. That document would not be submitted to the • voters. Council Member Young stated that he would like to see the paving of Pecan Creek which had been put off for 20 years as was W.i_low Creek. He wanted to be sure that they would be in the bond issue. He wanted tj make sure his projects would be in the bond issue. • Mayor Castleberry stated that the Council would appoint a number of , • • people to serve on the committee. City Manager Harrell stated that questions had been posed about the Blue Ribbon Committee and how it functioned in the past. The type of bonds which would be submitted to the voters would be general • O • 0 • City of Denton City Council Minutes ;PgQzNo .J Q,~ July 5, 1995 Page 26 17)"; Jam obligation bonds requiring a 50% voter majority before approved. In 1986 the proposition was divided into seven different propositions. Council Member Young and Mayor Pro Tem Biles left the meeting. Harrell stated that by dividing the propositions, the voters were given the ultimate authority to pick and choose the various projects which were appropriate. In 1986 a decision was made that the bond package would be presented as a no tax increase bond issue. That meant that the current tax levy generated for bonded indebtedness would be sufficient to generate enough revenue to pay off the new bonds which would be issued. To do that again, it would be necessary to have a bond package of approximately $27 million over a five year period of time. Portions of that $27 million would be sold in increments over those five years. In 1986 there were 51 members appointed by the Council to the committee. Each member appointed 7 members plus one chairperson. Great care k needed to be given to the members selected to the committee. In the past the committee shaped the recommendation but also took the leadership to present the issues to the citizens. The Council appointed a committee but would retain ultimate authority to make ' modifications to the Blue Ribbon Committee's recommendations before going to the voters. In regards to timing of the election, the City was currently out of bond authority to issue r,ew debt and continue the CIP. It was critical that the proposal go to :he voters in late winter or early spring of next year. There was a ..eed to leave about six months from the time the committee was named to the election. Council Member Miller stated that last time from the time the Blue Ribbon Committee was appointed to the election was ] months. He felt that the December time frame most the successful time frame. He questioned if the DISD would he doing any type of bond election. Council Member Krueger stated that Lewisville would be having a large bond election in October/November. The time period would effect Denton's election and the Council needed to work with the • County and the DISD. Council Member Young returned to the meeting. Council Member Brock asked if the County bond election would be in September. • Mayor Castleberry stated that it would be August 26th. , • • Council Member Krueger felt that a committee of 51 people was too large. Mayor Pro Tem Biles returned to the meeting. • 0 • • AgarWo City of Denton City Council Minutes tt July 5, 1995 Agrta4pem- - Page 27 Da.1 2_L.~ Council Member Cott left the meeting. Council Member Miller stated that last time there were a number of issues which were divided among the members of the committee. There were 8-9 subcommittee with 10-12 people for each issue. The whole committee then dealt with the recommendations of the subcommittees. Council Member Krueger felt that the number of appointments would be tied to the number of subcommittees. Council Member Miller stated that the appointees were given a choice of which committee to work with, based in the interests of those appointed. ' Council Member Cott returned to the meeting. Council Member Brock stated that Council needed to appoint people they had a great deal of confidence in. Mayor Pro Tem Biles stated that he was concerned about the large size of the committee but felt that there needed to be a large enough group to carry out a number of the other functions such as presenting the propositions to citizens. He felt Council should consider addressing a structural implementation to know how many subcommittees '-,here would be before proceeding so that Council could have an appointment to each subcommittee. Each Council Member would have representation on each subcommittee. Council Member Brock felt it would be harder to make appointments if Council had to assign individuals to specific committees. The committee represented the community and the point of having a committee was to reflect the broad spectrum of the community. If Council told an individual ahead of time what committee he would serve on it would diminish the role of the committee. 1 Mayor Castleberry state that Council needed to determine of number individuals to appoint. Council could pass a resolution at the • meeting of the 18th which would start the process. Council Member Krueger suggested a 50 member committee with each Council Member having 7 appointments. Consensus of the Council was to have a committee of 50 members with each Council Member appointing seven members each and all electing ' • a chair. • • Mayor Pro Tem Biles asked for a general grouping of topic matters to asstst him with his appointments. J • r Agene;a h~o ~,~-~O 3 ~ City of Denton City Council Minutes AQGA~"s118pRj~`~ _ _ July 5, 1995 Qald_L =~r2 / f Page 28 D. The Council received and discussed the results of the supplemental 1995-96 Budget Priorities Questionnaire. Jon Fortune, Chief Finance Officer, stated that each year during the budget process, staff submitted to Council a budget priorities questionnaire which was then used as a guide to prepare the subsequent budget for the City. Due to the fact that there were several new Council Members, a new questionnaire was submitted to council. There were three primary sections to the questionnaire. The first was the results ranked by average score. This included the comments of six of seven members. The second grouping was the results ranked by priority of response. That ranking reflected four of seven members. The last section was a comment section. Mayor Pro Tem Biles asked for the difference between ranked by average score and ranked by priority of response. Fortune stated that the rating indicated the direction each council Member would like give staff to follow. City Manager Harrell stated that originally only the first questionnaire was done which looked at the budget and indicated which city services to increase and which to decrease. It gave an idea of the allocation of funds during the process. The point was then made that an essential element was missing in that an individual might feel that service in a particular area was fine and not allocate extra dollars to that service. The idea was to not increase an area but that area was an important priority to that individual. That gave staff an extra dimension as the requests were ranked from the departments. Mayor Pro Tem Biles stated that ranked by average score was the direction to staff as to whether or not to move an item up or down in the budget. Ranked by priority of response indicated that the area was important even if not funding was not changed. 15. There was no official action taken on items discussed during the Work Session Closed Meeting. • 16. New Business i The following items of New Business were suggested by Cot ^.'1 Members for future agendas: A. Council Member Young requested a committee to look at a • full review of the City Charter and if needed, proceed with that • , I process. i B. Council Member Young requested a report on a possible voice mail system for those watching the meetings where they could state comments of the meeting. a , q • . a • City of Denton City Council Minutes 'b~0aNo - July 5, 1995 pL Page 29 ~dc C. Council Member Young requested to begin preparations for the performance review of the City Manager. D. Mayor Pro Tam Biles requested a matter for Executive Session dealing with the procedures presently being implemented and steps being taken in regards to the hiring a new fire chief. Mayor Castleberry stated that that was a function of the City { Manager and not of the Council. Mayor Pro Tam Biles stated that he would like to be informed of the procedures and steps being taken in the process. E. Council Member Bock requested that staff look at the request regarding the taxi rates. F. Council Member Young requested a review of the COPS program. 17. The Council did not meet in Closed Meeting during the Regular Session. With no further business, the meeting was adjourned 10:45 p.m. BOB CASTLEBERRY, MAYOR CITY OF DENTON, TEXAS JENNIFER WALTERS CITY SECRETARY CITY OF DENTON, TEXAS • ACC00296 j 1 • w • Ago Ma No -2K: CITY OF DENTON CITY COUNCIL MINUTES Ronda lom~~CC7_-.- July 11, 1995 The Ccuncil convened Into a Closed Meeting on Tuesday, July 11, 1995 at 5:15 p.m. in the Civil Defense Room. PRESENT: Mayor Castleberry; Mayor Pro Tem Biles; Council Members Brock, Cott, Krueger, Miller and Young. ABSENT: None 1. The Council considered the following in Closed Meeting: A. Legal Matters Under TEX. GOVT CODE Sec. 551.071 1. Discussed the potential litigation concerning the request to rezone 3.73 acres on the south side of I-35E and Lindsey Street from SF-7 to Commercial zoning. B. Real Estate Under TEX. GOVT CODE Sec. 551.072 1. Discussed the acquisition of property for expansion of the City's landfill. C. Personnel/Board Appointments Under TEX. GOVT CODE Sec. 551.074 The Council convened into a Special Call Meeting on Tuesday, July 11, 1995 at 6:00 p.m. in the Council Chambers. PRESENT: Mayor Castleberry; Council Members Brock, Cott, Krueger, and Miller. I ABSENT: Mayor Pro Tem Biles and Council Member Young. 1. The Council considered nominations/ appointments to City of Denton Boards/Commissions. Animal shelter Advisory Board - Council voted on the nomination of Bob Rohr. On roll vote, Miller "aye", Cott "aye", Krueger "aye", Brock "aye", and Mayor Castleberry "aye". Motion carried unanimously. Council voted on the nomination of Brenda Sherpell. On roll vote, Miller "aye", Cott "aye", Krueger "aye", Brock "aye", • and Mayor Castleberry "aye,'. Motion carried unanimously. Mayor Pro Tem Biles and Council Member Young joined the meeting. Downtown Advisory Board - Co':.icil voted on the nomination of Dan Martin. On roll vote, Miller "aye", dung "aye", Cott "aye", Krueger "aye", Brock "aye", Biles "aye", and Mayor Castleberry • "aye". Motion carried unanimously. • • Keep Denton Beautiful Board - Council voted on the nomination of Robert Gentile. On roll vote, Miller "aye", Young "aye", Cott "aye", Krueger "aye", Brock "aye", Biles "aye", and Mayor Castleberry "aye". Motion carried unanimously. • O • 0 City of Denton City Council Minutes QeaNO r July 11, 1995 Page 2 ~F~fl%i}BT17~ C' ' Planning and Zoning Commission - Council voted on the nomination of Guy Jones. On roll vote, Miller "aye", Young "aye", Cott "aye", Krueger "aye", Brock "aye", Biles "aye", and Mayor Castleberry "aye". Motion carried unanimously. Council voted on the nomination of Bob Powell. On roll vote, Miller "nay", Young "aye", Cott "aye", Krueger "aye", Brock "nay", Biles "aye", and Mayor Castleberry "nay". Motion carried with a 4-3 vote. Sign Board of Appeals - Council voted on the nomination of Eldon Seaton. on roll vote, Miller "aye", Young "aye", Cott "aye", Krueger "aye", Brock "aye", Hiles "aye", and Mayor Castleberry "aye". Motion carried unanimously. I Council made the following nominations: I Electrical Code Board Council Member Krueger nominated Doug Grantham Library Board f Council Member Krueger nominated Keith Swigger Sian Board of Aooeals Council Member Miller nominated Gene Gumfory 2. The Council considered and took action to suspend the Council Rules of Procedure and reconsidered a motion to request the City Planning and Zoning Ccmmission to initiate the rezoning of 3.753 acres on the south side of I-35E and Lindsey Street from SF-7 zoning to office zoning with the condition of no motel or hotel use and any other conditions which the Planning and Zoning Commission deems necessary. This item was not considered at this meeting and was deferred to the next meeting. • 3. The Council considered adoption of an ordinance authorizing the payment of actual damages, court costs, and attorneys' fees awarded against a councilmember, committee or board member, officer, or employee of the City of Denton, Texas resulting from an act or omission of that employee in the course or scope of his employment for the City which arises from a cause of action for negligence, in accordance with the terms and conditions of this , • ordinance. • • Herb Prouty, City Attorney, stated that this proposal would put into ordinance form a current policy of the City. That policy indicated that the City would indemnify its officers and employees if they were acting in the course and scope of their employment and • 0 • • t~9rK13N0 City of Denton City Council Minutes Q5 Z yZ July 11, 1995 A9 ndJNo X Page 3 were sued. It provided for the payment of damages in event that an officer or employee of the city was sued and assessed damages which were not covered by insurance. Limitations included that the provision would not apply to any willful act, gross negligence or official misconduct. There was a limit of $100,000 per person or $300,000 per occurrence for personal injury or $10,000 for property damages. It also provided defense through outside counsel in those cases where there might be a conflict between the City's position and the employee's position. It did not waive any defenses such as governmental immunity or individual immunity that officers or employees of the City might have. It did not create any rights for third persons and did not prevent the City from taking disciplinary action versus employees who were sued. It also did not create any obligation on behalf of the City to pay employees damages in the event they would be sued by the City. It required employees to give written notice within 50 days of the time from being served. In the ordinance, the definition of employee included all Council Members, members of City boards and committees, all officers and employees of the City and other persons including volunteers and former officers and employees. Council Member Cott stated that if the insurance were taken away ' which no one had had and if the City was not free to represent them, then the voice of people was taken away. This was a way to protect the City and keep the City Coi,ncil in charge. Council Member Miller stated that this ordinance covered a policy which was already done. It protected the actions of those working for the City in their role as employees. He asked if it covered former Council Members. City Attorney Prouty stated that it did cover former employees and volunteers. y The following ordinance was considered: ri NO. 95-128 • AN ORDINANCE AMENDING CHAPTER 2, ENTITLED "ADMINISTRATION", OF THE CODE OF ORDINANCES OF THE CITY OF DENTON BY ADDING A NEW ARTICLE VIII ENTITLED "LEGAL DEFENSE AND INDEMNIFICATION OF CITY OFFICERS AND EMPLOYEES"; AUTHORIZING THE PAYMENT OF ACTUAL DAMAGES, COURT COSTS, AND ATTORNEYS# FEES AWARDED AGAINST A COUNCILMEMBER, COMMITTEE OR BOARD MEMBER, OFFICER, OR EMPLOYEE OF THE CITY OF DENTON, TEXAS RESULTING FROM AN ACT • OR OMISSION OF THAT EMPLOYEE IN THE COURSE OR SCOPE OF HIS OR • HER EMPLOYMENT WHICH ARISES FROM A CAUSE OF ACTION FOR J NEGLIGENCE AND PROVIDING FOR THE LEGAL DEFENSE OF THAT OFFICER OR EMPLOYEE, IN ACCORDANCE WITH THE TERMS AND CONDITIONS OF THIS ORDINANCE; AND PROVIDING FOR AN EFFECTIVE DATE. • Q • ys~tlaNo ~S- O 3_2., City of Denton City Council Minutes la.d3,ten July 11, 1995 Page a_= Biles motioned, Cott seconded to adopt the ordinance. Council Member Brock asked if former employees would be included for actions while acting in their capacity. City Attorney Prouty replied yes only while acting in the scope and course of employment. There were statutes of limitations which might still be in effect but the individual was no longer an employee of the City. On roll vote, Miller "aye", Young "aye", Cott "aye", Krueger "aye", Brock "aye", Biles "aye", and Mayor Castleberry "aye". Motion carried unanimously. The Council convened into a Work Session on Tuesday, July 11, 1995 in the City Council Chambers. PRESENT: Mayor Castleberry; Mayor Pro Tem Biles; Council Members Brock, Cott, Krueger, Miller and Young. AJSENT: None 1. The Council received a report from the Historic Landmark commission concerning the Historic Resources Inventory. Jane Jenkins, Preservation Officer, stated that the Historic Landmark Commission had spent the last three months reviewing the final stages of the process which took two years in the making. f! Ralph Newlan, Historic Preservation Consultant, stated the survey involved the identification of historic properties within the City limits. The total inventory and process was to identify, assess, document and make recommendations on the findings. Denton had 2,409 individual properties. Of that number 766 were high or significant properties which was 324 of the total properties. Most cities had 18-224 high priority listing. Slides of homes and businesses included in the survey were shown. 3enefits of the survey included a complete inventory of all historic properties • ranked in high - low priority and the potential of recognition of Denton's historic properties. Council Member Brock stated that Newlan had mentioned during the preliminary survey a time when many residences were built and the Commission Members felt that the building of the inner urban was significant at that time. ' e • • Newlan replied that that time period of the infer urban was the 19201s. Universities were growing, the City was in a beautification movement, streets were paved, and hospitals built, all of which contributed to Denton's growth. The second phase of the survey would involve more research regarding individual people • O 4 • City of Denton City Council Minutes AgerzdaNa VJ-= 03r2 July 11, 1995 Ag2ndalfem~~S Page 5 Dale who built the homes and contributed to Denton's future. Council Member Young complimented the Historic Commission for including homes in southeast Denton. Many homes were moved to that area. Newlan stated that as they surveyed that part of the City, they noted that some of the homes probably came from Quaker Town and there could be more possibly identified. Council Member Miller asked if the data could be put into a computer data base. Newlan stated that as the GIS program was developed, the information could possibly be entered into that system. Frank Robbins, Director of Planning and Development, indicated that the information could be entered into that system. 2. The Council held a presentation and discussion of the 1995-96 major tudget issues report Lloyd Harrell, City Manager, stated that prior to the time when the official budget document was submitted, staff presented staff's judgement as to tho key policy issues contained within the budget which needed to be focused on. As department heads made presentations, Council possibly would add other major budget issues, working towards the final budget decision. He would La presenting 13 major policy issues as well as major utility issues. ~ Each issue was analyzed with various alternatives to deal with the issue plus a staff recommendation which was contained in the proposed budget. There were several attachments in the back of the major issue book. Appendix A war divided into two parts. The first part was a listing of those operation and maintenance budget packages which were included in the proposed budget. The second part was a listing of budget packages which were included in the proposed budget. Appendix B was a listing of those packages w:Ach were not recommended in the proposed budget for funding. Appendix • C was the Council's priority questionnaire results. Appendix D was the revenue summary of the general fund. Appendix E was the summary of the expenditures of the general fund. Appendix F was a summary of the fleet condition. This budget could be characterized as a modest budget compared to others. Major Budget Issues • s 1. General Fund Reserve Leve,, - Over the years, Coun-il had o followed a policy of maintaining a general fund unreserved balance for unforeseen emergencies that right arise. The adopted goal had been to maintain this balance between eight to ten percent of the General Fund expenditures. Council had had a strong preference for v s City of Denton City Council Minutes J540r n p July 11, 1995 Page 6 AdC ; a fund balance of approximately lot. The proposed budget recommended a 10t level. This gave the Council flexibility for some of the items projected in the budget. It was projected that the budget would end with a 15% reserve level. In order to get to the 101 level, the Council would have $1.7 million to allocate for other programs and still maintain a 103 level. One concern was what to do next year. If Council took all of dollars and allocated that entirely to operation and maintenance expenses, when the budget process was started next year for 1996-97, unless there was a similar situation, Council would have to find $1.7 million to continue those programs. Last year it was recommended that Council take a large amount of fund balance and allocate it for one time expenditure items as opposed to ongoing operation and maintenance items. In the proposed budget, staff was suggesting that that be divided 431 for one time expenditures and 57% for operation and maintenance. That would build in some protection for the Council. The 43% of one time expenditures were divided into two parts - one part for building improvements primarily for the renovation of City Hall and the second for the replacement to the fleet for vehicles and machinery. Alternatives were to allow the balance to stay at its current level and find an additional $1.7 million of revenue or decrease expenditures; use $1.7 million of the balance as a resource to help fund the 1995-96 budget; or reduce the fund balance below the ten percent level and utilize the additional funds to offset other revenues or fund additional expenditures. Staff was recommending utilizing the $1.4 million of the unreserved balance to help balance the 1995-96 budget with 431 of this amount being allocated for one time expenditures. 2. Revenues A. Sales Tax - kC to reduce property taxes - For the first time since the implementation, Council was able to reduce the I property tax by 251 because of the revenue generated by the new kC I sales tax. This year the State Comptroller's Office had estimated that the City would generate $3.6 million from the hC sales tax. This represented an increase over this's year generation of approximately $202,000 which would translate to another one cent f reduction in the City's property tax rate. Staff was recommending that the one cent additional property tax reduction be implemented because of the increase in sales tax. This would follow the pledge A made to the voters when the t.C was voted. Council Member Brock stated that she understood that the law allowing the hC sales tax election to reduce i1 valorem taxes ' ® reouired that the CSC sales tax be used to reduce property tax. City Manager Harrell stated that the alternative was worded that way because the tax rate being suggested was well below the effective and rollback rate of the City. The law did not require a reduction in the property tax. Staff was indicating this was the 0 0 • ~ a • City of Denton City Council Minutes AW3N° July 11, 1995 Aaeadal~em Page 7 way that this was sold to the voters and that any additional sales tax money generated over and above the amount generated last year should be earmarked for property tax reduction. Alternatives for the ~C sales tax were to utilize the projected $202,000 increase to reduce the property tax rate two percent of $.O1 per $100 valuation; not use the estimated increase to reduce the property rate. This would provide $202,000 for additional expenditures. Council Member Krueger stated that according to staff figures, there was going to be approximately 3+ percentage points which could be used to decrease taxes. He askeJ what it would generate in revenue. City Man&rar Harrell stated that staff was suggesting a 20 reduction in the property tax which was a 3.54 decrease in the property tax. Council Member Krueger asked what one percent would represent. City Manager Harrell stated that one cent repre:.ented $195,000. Council Member Krueger stated that 3.5% would be $390,000 in tax reduction. City manage--- Harrell replied correct. Mayor Pro Tem Biles left the meeting. B. Sales Tax - one percent general oVrpose tax. The only decision the Council needed to help make regarding the sales tar was what kind of growth the City would have next year. What kind of increase would that one percent sales tax generate. The budget proposed a three percent growth in overall receipts over the current year's estimate. Last year a four pvrcert growth was projected. The first few months of the budget year went well. However, the last three-four months were not doing as well and it was felt that the ending figure would be right at 4%. Each additional one percent growth in sales tax receipts generated an • additional $105,000 of revenues. Alternatives for the sales tax growth included projecting less than a 3% growth; projecting a 3% growth for 1995-96; or project greater than a three percent growth. For each one percent of growth, an additional $105,000 would be generated for new programs. Staff recommended a three percent sales tax growth rate be used to balance the 1995-96 budget. n Council Member Cott stated that the sales tax was coming from the • • retail stores. City Manager Harrell stated that tax was collected by the retail stores but was coming from the consumer. 0 0 • • City of Dento.i City Council Minutes A$83Q3N03~' July 11, 1995 s Page 8 AgenQallerR Council Member Cott felt the City should not use the economic sales tax to reduce ad valorsm taxes. City Manager Harrell replied that in the proposed budget there was nothing suggested for another ~O economic development tax. That might be another issue which the Council might want to debate. Council Member Krueger questioned if staff might not be underestimating the sales tax and could the City do 4% next year. City Manager Harrell stated that that would be a policy issue which the Council could debate to determine what they were comfortable with. He agreed that the 3% growth was on the conservative side. He felt that the figure was kept down sue, in part, to what had happened the last three-four months with tax receipts. The City had realized a substantial drop off in the last several months. The sales tax tended to be more volatile than the property tax. The property tax could be better estimated and what was collected would be close to what was projected. Sales tax was an estimate and could change during the year. Council Member Krueger felt that the Council's hands were tied ' because of what had already been printed in the newspaper due to a surplus. There was no surplus and the City would be spending reserve funds. It had been reported that there would be a surplus and that property taxes would be reduced. City Manager Harrell stated that the City Charter required a proposed budget be. presented to the Council 60 days prior to the start of the fiscal year. Council Member Krueger stated that the problem he had w«3 that if he went after any project he wanted, he would not be able to do so as taxes might not be reduced. Hs suggested that in the future a zero decrease be used and then Council could go from thera. Mayor Pro Tem Biles returned to the meeting. • Council Member Cott felt that the sales tax was more stable than it used to be. City Manager Harrell stated that in the macro picture it might be. { The way the timing was, if there was a drop in the property tax, there was time to react to that in establishing a budget. The sales tax did not have a forewarning of any problems. If there was a • problem midyear measures would have to be used to correct the problems. C. Property tax - At this point the property tax roll showed an increase of $82 million in assessed value. of that, 55% was new value and 45% was an increase in reappraisals. Two numbers were • City of Denton City Council Minutes AgarJaNo yJ::-60 3-2. July 11, 1995 Aae,~a;em S Page 9 "give" numbers in the budget. One "give" number was the property tax. The assessed value as it ultimately would be certified by the Appraisal District had been discounted by ~ percent. The final figures would not be known until July 25th. If there was a drop off on ~ percent, the budget was predicated on a reduction of the tax rate from $.5609 to $.5409. If the numbers on July 25th indicated a stay even rate or a slight increase, the Council might have some additional funds to work with and still keep a $.02 decrease. If there was a 21 drop in the assessed value, in order to keep a $.02 decrease, additional reductions would have to be done or some additional revenues found. Council Member Brock stated that last year some citizens had complained that the City should not have reduced the property tax so much as they were interested in increased expenditures for the Fire Department. Another problem was that some citizens did not care about what the property tax rate was, they cared about their tax bill. Because of the improvements in the housing market, some appraisals were going up and even though the tax rate would be lower, the taxes would be higher. Mayor Castleberry stated that when tax statements were received, the tax rate was very important. People might want to pay more taxes but when the tax statement came, they were not ready to pay more taxes. He was pleased to see that there was a proposal for a decrease in the property tax rate. City Manager Harrell stated that the alternatives for the property tax rate were to set the rate using the increase in sales tax formula and overall increase in taxable value which would set the rate at $.5409 per $100 valuation; set the rate at the effective rate and eliminate the reduction based on the increase in sales tax. Based on the adjusted preliminary rate, this would set the rate at $.5592 which would provide $202,000 for additional expenditures; or increase the rate over the $.5409. A rate of $.5792 could be set before a rollback would be possible. Every additional $.01 increase would generate an additional $195,000 in revenues that could ba reallocated. If the Council adopted a • budget below the effective rate, it would be the third straight year that the Council had adopted a tax rate below the effective rate and the sixth straight year either at or below the effective rate. No other taxing jurisdiction in Denton could make ttat statement. Mayor Pro Tem Biles stated that when the issue was put to the • citizc'is regarding sales tax to reduce the ad valorem tax, there was wide spread concern as to whether or not a subsequent Council would maintain that faith. He felt it was incumbent on this council to maintain that faith and he was in favor of keeping that good faith. • 0 • a • City of Denton City Council Minutes AgendaNa July 11, 1995 .Z Apendaterrir.~ Page 10 D. Cable Television - The 1994-95 budget included funding to start televising regular City Council meetings and work sessions. In the proposed 1995-96 budget, it was proposed to allocate an additional $23,133 for enhancements to the cable t.v. operation. It was proposed that t_e activities be expanded such as reruns of the Council meetings at other hours and producing shows about City Council functions and activities. In addition, many City departments had events or activities which they would like to have televised. Currentlv there was no allocation to allow that to be done. Staff was proposing to add a $.25 per month subscription fee to cable television bills to pay for this enhancement. Alternatives included adding $.35 per month which would generate money for the enhancements but also funds to cover the cost of the existing cable television operations. By doing so, almost $20,000 would be available for other expenditures. If the Council decided not to fund the proposed enhancements, the expenditures and revenues would be equal. Staff was recommending the $.25 per month increase. Council Member Young asked if the voice mail program discussed at a prior meeting was included in this funding. City Manager Harrell stated that as the proposed budget had br:en ' prepared before last week's meeting, that item was not included. Staff would be supplying a report to Council regarding the cost of such a system. Mayor Pro Tem Biles stated that the $.25 rate would only effect those individuals subscribing to cable television and would not impact the general population. He asked if there had been any input or consensus regarding the rate. City manager Harrell stated that they had not received any consensus. This was a method to expand the cable offerings and a way to not impact the general fund. This fee was recommended to begin six months into the budget cycle and would not start until April 1, 1996. Mayor Pro Tem Biles stated that he was not opposed to the • enhancement of the government channel but questioned if so much had to re done so fast. City Manager Harrell stated that an expansion of the cable television activities by the Public Information officer would take away too much of his time and he would loose his ability to do his other functions. It was felt that his performance was stretched as • far as possible and if Council wanted to expand televising, • • additional staff was required. E. Miscellaneous Fees - The only fee recommended for adjustment in this category was the fee charged by Consumer Health for annual permits for restaurants, grocery stores and day care • 0 r.('. • a • City of Denton City Council Minutes ~BRC3N0. ~3✓ 6)3_2, Julv 11, 1995 4gVda;tem~S Page 11 r e =1~ centers. A $10 per category increase would be reasonable which would generate approximately $3,660. Council Member Krueger asked if that included the City's day care centers. City Manager Harrell felt that the After School Action Sites did not pay that fee. 3. Pay Plan Adjustments - In 1989 the City adopted the new Mercer III pay plan. The proposed budget recommended essentially the same pay arrangement as last year. That would include an average increase for all non-civil service employees of 4.81 and for all civil a service employees a 4.81 increase effective January 1, 1996 plus any scheduled step increases. Those increases were not automatic but were performance based increases based on job performance by the employee. That was the system for all employees except for Civil Service where State law prescribed the pay structure. Alternatives for the compensation program were to fully implement the compensation program with a 51 market adjustment, a fully funded performance matrix for non-civil service employees, and a 7.751 increase for civil service employees plus scheduled step ' increases. This would require an additional $420,000 over the pay adjustment described above and the average employees increase would be 7.751; implement the 4.81; or delay any compensation which would provide $640,000 for other uses. Council Member Krueger left the meeting. 4. Her.efit Adjustments A. Health Insurance - This item was the second "give" number in the proposed budget. Staff was projecting a 51 increase in the health insurance costs but the figure would not be firm until a month from now. If the 51 increase held and if the City picked up the entire 5% increase which was proposed for the employees the total allocation would be $73,000. An alternative was to pass that cost on to the employees which was not recommended. • Council Member Krueger returned to the meeting. 8. Retirement - T.M.R.S. - Two years ago Council changed the T.M.R.S. policy from a 5% 2-1 match to a 61 2-1 match. At that time, the City was behind wha`. other cities were doing. In the survey of local cities, most cities in the area had now adopted the • maximum retirement rate of a 71 2-1 match. It was recommended that • • the current 61 2-1 match be maintained. 5. Positions - The proposed budget included several new positions. These positions were necessary to meet the workload demand increases on existing service levels. Included in the I • I p • aaCaho_ ~3 ~D3~ City of Denton City Council Minutes July 11, 1995 4a'^~3'tems Page 12 budget were a total of three and one-half positions to meet increasing demands. (1) A secretary in Facilities Management for a cost of $11,811 after some related expenses were eliminated; (2) an Accounts Payable Clerk in the Accounting Division for a cost of $20,610; (3) a half-time secretary in the Planning and Development Department; and (4) a Fire Department Communications Supervisor to be hired effective April 1, 1996 at an annual cost of $62,000. Mayor Pro Tem Hiles requested more information regarding what that particular position would be doing. f City Manager Harrell stated that the final position would be the cable television position as previously mentioned. The alternatives relative to the positions were to keep the current staffing levels which would allow $75,000 to be reallocated, fund all the positions, select various positions to fund; or not fund any of the positions. 6. Fire Department Staffing - The proposed budget contained six firefighers to be hired effective October 1 at a cost of $237,000 which included benefits, training and uniforms. There were several scenarios associated with this proposal. In looking at the constraints of the budget which included keeping a level or reduced property tax rate and gutting back all of the general fund personnel requests to a bare minimum, staff was able to identify resources which would be sufficient to hire six fire fighters. In Scenario A those six employees would be utilized and incorporated within the current staffing scheme. The minimum manning would increase from 22 to 24 fire fighters on duty each 24 hour shift. If that was adopted, the best return would be to assign a fourth fire fighter to the two busiest engine companies - Engine 2 and Engine 3. Those two engines would have four fire fighters as opposed to three fire fighters. There were two payoffs from that type of manning operation. The first payoff would be in the area of EMS as more and more the number of EMS calls were higher than fire fighting calls. Adding a fourth fire fighter to the two busiest engines enhanced the City's ability to guarantee the provision of quality EMS services to citizens. When the Department • received an EMS call, the engine in the area consisting of three people plus an ambulance with two people responded. If it was a serious emergency, two paramedics in the cab of the ambulance were needed. In that case, one of the fire fighters left the engine and went in the ambulance which put the engine company out of service. The engine followed the ambulance to the hospital and once the emergency passed, the fire fighters returned to the engine and it • would be back in service. That took the engine out of service and • • out of its district thus no longer being available for EMS responses. The staffing advantage with going with four men was that the fire fighter could leave the fire truck, g~ in the ambulance, the fire engine still had three people on the truck and could remain in the district and in service. As staffing was i • • S ' City of Dentor City Council Minutes AC gND yy -613.2-a July 110 1995 Ageoda;femSu?- Page 13 debated and in trying to make the system most effective, it was determined that this staffing arrangement was best. Costs associated with Scenario A would be $237,324. Scenario B would temporarily reactivate the Central Fire Station. A truck company from Station 3 would be transferred to Central and become an engine company. The six new employees would staff the ambulance currently being cross-staffed by the truck crew. There would not be a major drep off in ambulance capabilities by reactivating Central. However, there would not be the same impact which Scenario A as far as improvinc, the service. There were some additional costs associated with this Scenario over Scenario A. If Scenario B was implemented, it was recommended that a quint be leased-purchased in order to not lose the capability of a truck company. A quint was a combination engine company and ladder truck which carried additional tools to fire scenes and provided an elevated steam capability. This V,:ie of truck was more expensive than an ordinary truck. Tie secona leese-purchase suggested was for a squad. Additional costs included $50,000 for farnituro and minimal repairs to Central. The overall cost for Scenario B would be $394,000. A staff priority ranking of the scenarios would be Scenario A, Scenario B, Scenario C because of the long range impact to the City. The ideal coverage range for the location of the City's fire stations would be to locate a station somewhere in the vicinity of Carroll and Eagle rather than where it currently was located. If that were done, the next station built could be built at the Airport which was the next projected area of need. Then there would be good enough coverage area that Station 3 would not have to remain in operation and avoid the major manpower costs associated with a new station. If the Council made a firm commitment to Central and fully staffed Central and then had the next station at the Airport, funds would have to be spent to fully staff a new station. For the long range a plan which would avoid building a new station would be the most cost effective. Mayor Pro Ten Biles stated that if Scenario B were adopted in which Station 3 moved to the Airport and Central was temporarily reopened, the staffing would not be stressed at that point. • City Manager Harrell stated that that would provide for some major coverage gaps in the community. If coverage were tried with an Airport station and Central there would be tc;o much of a response gap. Council Member Young stated that the Civil Service rules had been changed for hiring fire fighters in which they could only be hired • if they had a fire fighting certificate. He asked if that was the • • current policy. City Manager Harrell replied correct. • 0 • City of Denton City Council Minutes A'0 C3~ip S D- July 11, 1955 ~ Page 14 Council Member Young stated that applicants had been told by Human Resources to not apply unless they had a fire fighter certificate. City Manager Harrell stated that that was the rule adopted by the Civil Service Commission. The reason that that policy was adopted by the Commission was to be able to have fire fighters on the job close to October 1st. If the rule had not been changed and anyone could have taken the test, the City would have had to hire off the eligibility list and the individuals would have had to be sent to fire fighting and EMS school before going on duty. Council Member Young asked that once those individuals were hired, would the policy remain in effect that applicants would have to have a certificate to be hired. City Manager Harrell repliel that that would be a decision by the civil Service Commission. Council Member Young felt that if a fire fighter certificate was required, the door was shut on minorities and the quality of applicants would be reduced. The City should raise its own and train its own. City Manager Harrell stated that the situation would be monitored. There were a number of cities which had adopted the local rule which had not experienced those types of problems. Council Member Krueger asked for a definition of a squad. City Manager Harrell stated that it was a combination of a pumper truck and an ambulance which could carry a minimal amount of water but could also transpcrt people. Mayor Castleberry asked staff look into the possibility of a fire fighters reserve volunteer force. City Manager Harrell stated that Scenario C would permanently reopen Central Fire Station with the same staffing arrangement as • Scenario B. However, if central were opened on a permanent basis there were some major structural and other major repair items which needed to be done in order to use it as a fire station on a long term basis. Cost for Scenario C would be $894,000. Alternatives for the Fire Department were to fund Scenario A by hiring an additional six fire fighters and staffing five fire stations; fund Scenario B by hiring an additional six fire fighters and , • temporarily reopening Central Fire Station until a new station was • • built which would require an additional $157,000 of revenue or expenditure reduction; fund Scenario C by hiring an additional six fire fighters and permanently reopening Central Fire Station which would require an additional $657,000 of revenue or expenditure reductions; do nothing which would provide $237,324 to be allocated • O • Q • City of Denton City Council Minutes 1 July 11, 1995 ^ ,c 3^;C Page 15 to `S for other purposes. Staff recommended Scenario A by hiring six additional fire fighters and staffing five fire stations. Mayor Castleberry stated that he would like the cost figures for a trained, at the expense of the City, volunteer fire fighters unit with uniforms, insurance, etc. 7. Combination Fire Sauad - This unit would replace a reserve ambulance and be assigned to a fire station without a permanently staffed ambulance. Alternatives for the combination fire squad were to not fund the squad and reallocate $13,848 for other purposes or fund the squad. 8. Fire Reserve Fund - Several years ago a Fire Reserve bund was established to help with staffing costs for new fire stations. Currently the fund balance was $193,000. The proposed budget increased the fund by $50,000 to bring the balance to $243,000. 9. gity Hall Renovations - A comprehensive space study was done several years ago with the first phase being a three building program. One project was the construction of the Denton Municipal Complex, the second was the remodeling of City Hall West which would then house the comm•inity development and engineering functions and the third project would be the renovation of City Hall. Currently there was $319,000 in bond and interest money designated for this project. For that amount of money only cosmetic changes could be done which would not bring the building up to safety codes. It was recommended that in addition to the $319,999, $402,000 of one time expenditures from the fund balance combined with $420,000 from the Utility Department for a total of approximately $1 million be used. The Utility Department's contribution reflected the amount of employees which worked in the building. 10. Other Agency Contributions - The Human Services Committee had received requests totaling $522,000. Of these requests, the Committee recommended Community Development Block Grant contributions of $166,000 and General Fund contributions of $155,100 for a total of $321,000. The proposed budget followed the Human Services Committee's recommendation to contribute the noted funds. Alternatives included funding at the agency requested level which would require an additional $201,522 to be funded from additional resources or expenditure reductions or fund at the Human Services Committee recommendation level. d il. Tax Exemption For Persons Over 65 - In the 1988-89 budget, the city council agreed to help individuals on fixed incomes absorb any additional potential property tax increases. At that time, council established a goal of raising the over 65 exemption from $16,000 to $25,000. Each year except for one year, council added on $1000 to the exemption. Currently the level was at $22,000 and wa3 proposed • O • - 4.3.E City of Denton City Council Minutes p&g{~3N0.~~. July 11, 1995 ,2 C Page 16 AA to increase to $23,000. Alternatives included doing nothing and leaving the exemption at the current amount of $22,000 which would allow $15,000 to be used for other purposes; increase the exemption to $25,000 immediately and eliminate $30,000 of expenditure from the budget or increase revenues; proceed with thf. goal of increasing the exemption by $1,000 per year for a total exemption of $23,000 in 1995-96. 12. Vehicles - It was recommended that 45 pieces of existing equipment be replaced. During a number of tight budget years, the City was unable to replace vehicles and equipment as often as needed. As a result the vehicle fleet was now loaded with many outdated vehicles which required many dollars in maintenance. Staff recommended utilizing $286,997 to replace these 45 pieces of equipment. Council Member Brock asked for a definition of "internal financing". City Manager Harrell stated that the City used to issue certificates of obligation for a lease-purchase for vehicles. Now there were enough funds in the motor pool to front end the costs and then the using department repaid the money internally. Council Member Young asked staff to explore the -)ssibility of purchasing vehicles which used natural gas, propane gas, etc. City Manager Harrell stated that there were three alternatives associated with the funding of these vehicles/ equipment. Those included not replacing or purchasing any vehicles or equipment which would enable $286,997 to be reallocated; replace the units as mentioned; fund all requested vehciles and equipment which would require an additional $613,300 in revenues or expenditure reductions. 13. Citizen Newsletter - The proposed budget included a direct mailing to the citizens four times a year. The General Fund cost would be $7,185 with the Utility Department funding $21,555 which • was the reminder of the cost. Major Issues - Utilities City Manager Harrell stated that the City Charter required the Public Utilities Board to deliver to the City Manager a proposed budget without amendment. Total revenue was estimated at $106 • million with expenditures of approximately $105 million. The budget was predicated on a zero percent electric rate adjustment • for the coming year. If the city was successful in changing the allocation among the four cities to net energy for load, sufficient revenue would be generated to reduce the electric rates for the small commercial customer. The small commercial customer was the • R 4a • City of Denton City Council Minutes A9 8'13N0 S- D3~- July 11, 1995 Page 17 a~c.c3;tam~ only area where the City was ahead of TU Electric rates. Council Member Cott indicated that a statement had been made about paying off TMPA bonds. City Manager Harrell stated that there had not been any discussion among the four cities or TMPA Board that there was any question that the outstanding aonds of the Agcncy would nct be paid off. The comment was merely to reiterate the fact that all four cities were committed to paying off the outstanding bonds. Electric rates would not be changed pending a decrease of 3.5% for mid-sized commercial customers. Water rates were proposed at a 2% increase, wastewater at a 2% increase and solid waste was proposed at $1 per month in residential, 9.95% in commercial and $1 per cubic yard in landfill disposal rates. With all of those proposed rates, the average residential customer's total monthly utility bill would increase $2.01 per month. There were two major decision packages Council would have to deal with. One was the Solid Waste Master Plan. The proposed budget incorporated moving ahead with the implementation of the Solid Waste Master Plan which was prepared by the Council appointed citizen group. There were several programs related to that plan - $45,00 for public education; $56,000 in ' acquisition costs; motor pool payments for $14,000; $56,000 for a new baler for the composting facility; an expanded woodwaste processing facility for $61,000; residential curbside recycling program for $146,000 with the first phase being newspapers; and the design of an intermediate processing center with a cost of $200,000 for the design of the facility. )economic Development Program - The Public Utilities Board recommended an increase in the economic support budget by $98,000 to the Chamber of Commerce. That would be divided into two parts. With the first, the existing City/Chamber partnership would be increased from $65,00 to $85,000 per year. An additional $28,000 would be set aside as a matching contribution if the other 1 utilities in the area would be wiling to allocate 1/8 of one percent of their gross revenues to the Chamber to support the economic development effort. • Council Member Young asked if the Black Chamber of Commerce was figured into the contribution which the Electric Department was making to the Chamber of Commerce. If not, why and could they be included. City Manger Harrell stated that tt.e Black Chamber of Commerce was • ! not included at this point in time. The Public Utilities Board was recommending that the traditional relationship with the existing • j chamber be continued. The Chamber had a staff member who worked / solely on economic development. The Chamber and City also put money into the program. If the Black Chamber had a proposal for a I staff person devoted to economic development and funds to i • to • City of Denton City Council Minutes ys- Ja-' July 11, 1995 o[/ Page 18 AgG;.u3~tam ~ - Date contribute, it could be considered. Council Member Brock asked for a listing of the five other utilities. City Manager Harrell replied they were GTE, Lone Star, TU Electric, Denton Electric Cooperative, and Sammons. Council Member Cott stated that the $85,000 would be for the entire year. City Manager Harrell replied correct. There was a second new program which had not previously been funded which was the marketing effort which the Chamber was proposing. The Public Utility Board had set aside $50,000 as a contribution to that marketing program contingent upon matching money from the Chamber. Council Member Krueger expressed a concerned that the Chamber would be held accountable to the Public Utilities Board rather than the City Council. He felt more research should be done or have a consensus of council to oversee the program rather than the Public Utilities Board. City Manager Harrell stated that ultiu,ately the Council would hold them accountable. The Pu51ic Utilities Board would be monitoring the program on behalf of the Council. 3. The Council received a report, held a discussion and gave staff direction concerning Chapter 143 of the Texas Local Government Code, the State Civil Service Law that applies to sworn City of Denton police officers and fire fighters. This item was not considered. 4. The Council received a report, held a discussion and gave staff direction concerning retaining a Health Insurance consultant to provide actuarial expertise and assistance in negotiations and rebidding of the City's Group Health Insurance Program covering • City employees and dependents. Betty McKean, Executive Director for municipal services and Economic Development, stated currently there were currently 900 full time employees and with dependents, approximately two thousand people were covered on the City's insurance program. Last year the City spent approximately $2.2 million for that insurance coverage. s • • Craig Maroney, Human Resource Generalist, presented the history of the City's insurance costs. In the late 1970's the cost per employee to the City for insurance was $25.00 and in 1986 it had risen to $76.36. The cost for the employee for family coverage also increased. There were four major reasons for this increase which • v • City of Denton City Council Minutes ~~N3 c zy o~J July 11, 1995 S ;gmG _ Page 19 included advances in medical technology, growth in the health insurance industry, federally mandated HMO coverage for employers and the reduction of Medicare/Medicaid payments. Staff was recommending that the Council authorize a health insurance and actuarial consulting contract with Foster Higgins, Inc. Foster Higgins was a nationally recognized firm specializing in employee benefits, specifically health insurance. The firm would provide health insurance consulting, actuarial, and negotiation services for the City to ensure an effective, cost effective group health insurance program would be maintained for employees and dependents. Miller motioned, Cott seconded to move ahead with the contract. On roll vote, Miller "aye", Young "aye", Cott "aye", Krueger "aye", Brock "aye", Biles "aye", and Mayor Castleberry "aye". Motion carried unanimously. I 5. The Council received a report regarding an update on actions taken during the 74th Legislative Session. I Joseph Portugal, Assistant to the City Manager, stated that 5,147 bills and amendments were introduced during the last session of the Legislature. Six of those bills had been highlighted. Senate Bill 212 exempted from child care licensing requirements certain recreation programs operated by cities. It included staffirg, staff qualifications, and health and safety standards for the recreation center and methods for maintaining the standards. House Bill 52 would allow the city's governing body to appoint an official to approve contract change orders of up to $25,000. House Bill 2459 amended Chapter 2256 of the Government Code and provided that a governing body had to adopt a written investment policy that must include a written strategy. The City had already adopted an investment policy which complied with this legislation. House Bill 1718 revised the open records law in significant areas. Among the changes was the definition of public records to include information maintained in another media, particularly electronic or magnetic and tht ability of cities to establish a fee schedule for :IS system information. An employee disclosure provision was also included to protect an employee's social security number and • whether he had family members. House Bill 632 amended Chapter 756 of the Health and Safety lode which prohibited the use of public funds for playground equipment after September 1, 1997. After that date, the equipment must meet the standards set forth in the 1994 Handbook for Public Playground Safety published by the Consumer Product Safety Commission. Senate Bill 60 authorized citizens to obtain a license to carry a concealed handgun following certain qualifications and training. Two of the provisions concerning this • • legislation were of interest to the City of Denton. The City could prohibit a licensee from carrying a handgun on the City's premises but not on a street, sidewalk or parking area. Also, a licensee could not carry a handgun at any meeting of a governmental entity. 0 0 • • City of Denton City Council Minutes AQflrWO July 11, 1995 AgC~~a;tBm Page 20 Da ,e _ Council Member Young asked if an individual could carry a handgun in a public park. Portugal replied that he did not find any mention in the legislation regarding carrying a handgun in a public park. He could do further research regarding that issue. Council Member Erock asked if H.B.305, which enabled a local government to purchase goods and services under state guidelines, was a way to avoid competitive bidding. Portugal replied correct that if state guidelines were met, the bid was considered competitive. City Manger Harrell stated that often times the State would have a contract and the City had the ability to hook on to that contract. 5. The Council received a report and gave staff direction regarding a citizen survey. Joseph Portugal, Assistant to the City Manager, stated that citizen surveys were used in a number of ways to support local government. The City conducted surveys in 1984, 1985, 1986 and in 1986 prior to the last bond election. The most recent survey was done in 1991. Considering the timing of the recommendations coming from the vision project and the CIP Blue Ribbon Committee, it was felt that a survey would provide valuable information and assist the Council in directing staff to prepare items for consideration by the voters. A draft request for proposal had been prepared which would solicit vendors to conduct a comprehensive survey of the City. Mayor Pro Tem Biles asked why it would necessary to use an outside firm when it could probably be done in-house. Portugal replied that the previous survey was done by the UNT Marketing Department. He knew that the Public Administration Department at UNT or UTA would be wiling to do this survey. It could be done in-house but would involve a great deal of staff • time. A telephone bank, mailing, call back, etc. was needed. Mayor Pro Tem Biles asked if a request for proposal was necessary. City Manager Harrell stated that this proposal had to be available to anyone who might want to submit a proposal. The University had always done the survey but the proposal still needed to be • available to all who were interested. • Council Member Krueger expressed a concern about using an o,itside firm and felt that it could be done in-house. • 0 • City of Denton City Council Minutes AQe~!daNo -D~ July 110 1995 A 9 C dal;err Page 21 ra ems- /~2 -96 Portugal stated that staff could perform the survey but that it was very involved and more than likely one staff person would have to be dedicated to preform those tasks. One advantage of an outside firm was that they could structure the survey. Council Member Miller stated that there might be the iss,te of confidentiality. A citizen might not be comfortable giving a response to a City employee while he might be with an outside firm. No matter what was the outcome of the data if done in-house, there would be !hose who would say the results were skewed. An independent consultant would not have those concerns. Brock motioned, Young seconded to follow the staff recommendation and proceed with the survey. On roll vote, Miller "aye", Young "aye", Cott "aye", Krueger "aye", Brock "aye", Biles mays", and Mayor Castleberry "aye". Motion carried unanimously. With no further business, the meeting was adjourned at 10:25 p.m. h 90B CASTLEBERRY, MAYOR ' CITY Ot DEITON, TEXAS JENNIFER WALTERS CITY SECRETARY CITY OF DENTON, TEXAS ACC0029C • 7 Syl . r • C+ • l DENTON pogo 0000 6?00 4 ~o OO d o 0 o h C o 0 0 r X000 Op0 4A 0000 O N ~ 0000 ~aaooaooo CITY COUNCIL ,k A". • 0 O or t AP*No - ~ , ~ CITY of DENTON, TEXAS MUNICIPAL BUILDING ~ DEN TON, TEXAS 76201 o TELEPHONE (817) 566`8307 Office of the City Manager MEMORANDUM TO: Mayor and Members of the City Council FROM: Lloyd V. Harrell, City Manager DATE: September 8, 1995 SUBJECT: Request For An Exception To The Noise Ordinance For The Lone Star Barrel Racing Association From 1 P.M. Until 7 P.M. On Sunday, September 17 BACKGROUND' E Ms. Janie Proffer, Vice-President of the Lone Star Barrel Racing Association has requested that the City Council grant an exception to the noise ordinance for use of a loudspeaker for the purpose of conducting a barrel racing event and their annual awards banquet (See Attachment 1). The noise ordinance declares loudspeakers, amplifiers, and musical instruments a noise nuisance, particularly after the hour of 10:00 p.m. and at any time on Sunday (See Attachment 2). However, the ordinance states that the City Council may make exceptions when the public interest is served. PROGRAMS. DEPARTMENTS. OR GROUPS AFFECTED: Area residents. FISCAL IMPACT' O None. Please advise if i can provide additional information. RESPECTFULLY SUBMITTED: L oy V. Harre City Manager "Dedicated to Quality Service" 5 b A' • • Ag ridaNo Prepared by: 4ovdal a Jos Portugal Assistant to the C Manager Attachments: 1. Letter from Janie Proffer 2. Noise Ordinance k • • ~ ca • AWa No 2 -a Agardc!te, S Chapter 20 NUISANCES' Art. 1. In General, it 20.1-20.30 Art. IT. Abandoned Property, if 2031-20.70 Div. 1. Generally, Of 2031-20.40 Div. 2. Motor Vehicles, If 20.41-2070 Art. 111. Grass and Weeds, 14 20.71-20.73 ARTICLE 1. IN GENERAL &c. 20.1. Noise. (al it shall be unlawful for any person to make or cause any unreasonably loud, dis• turbing, unnecessary noise which causes or may cause material distress, discomfort or injury to persons of ordinary sensibilities in the immediate vicinity thereof. (b) It shall be unlawful ror any person to make or cause any noise of such character, intensity and continued duration as to substantially interfere with the comfortable enjoyment or private homes by persona of ordinary sensibilities. (c) The following acts, among others, are declared to be noise nuisances in violation or this Code, but such enumeration shall not be deemed to be exclusive: l l1 The playing or any phonograph, television, radio or any musical instrument in such manner or with such volume, particularly between the hours of 10.00 p.m. and 7.00 a. m., as to annoy or disturb the quiet, comfort or repose or persons of ordinary sen• sibilities in any dwelling, hotel or other type or residence; (2) The use of any stationary loudspeaker, amplifier or musical instrument in such manner or with such volume as to annoy or disturb persona of ordinary sensibilities in the immediate vicinity thereof, particularly between the hours or 10:00 p.m. and TD0 a m., or the operation of such loudspeaker, amplifier or musical instrument at any time on Sunday; provided, however, that the city council may make exceptions upon application when the public interest will be served thereby; • (3) The blowing Pf any steam whistle attached to any stationary bolter or the blowing o any other loud or far-reaching steam whistle within the city limits, except to give notice of the time to begin or stop work or as a warning of danger, (4} The erection, e=vation, demolition, alteration or repair work on any building at any time other than between the hours of 7,00 a.m. and 8:30 p.m., Monday through • -Cross referent"-protected migratory bird roosts declared nuiwxe, 16-87; Inspection • • and abatement warrants. i 19.85 et seq.; insect and rodent control in mobile home and rec. reational vehicle parka, 132-91, i e,,pv No. 1 1389 • 0 s geridaNo. "Q 3'Z 'logdelfAli~~s _ -tea ~r~. ~ BanrcAQ. Qa~o.irrU hc,opo~. &%dowrnc uaL a-y-u ~,U, I~, prrv I .Q, tM . JW 'T:oO,p.im and a r~uq a.*Atha. 71&c ire Jartcw RojtL nds. a p,~,, ' er% qua md,mti *rvs., Pa+p%., rlr-u-P/1u~ uI& &wrr,-ta,m Cn Q,lq~, TC -76aa7 4 - Sr7 .365-x975 387 - la 1 • • n 1995 s LT Ll 1 0 • 120-1 DENTON CODE Saturday; provided, however, that the city council may issue special permits for such work at other hours in case of urgent necessity and in the interest ofpublic safety and convenience; (Si The creation of any loud and excessive noise in connection with the loading or un- loading of any vehicle or the opening or destruction of bales, boxes, crates or con. tamers; (6) The use of any drum, loudspeaker or other instrument or device for the purpose of attracting attention by the creation of noises to any performance, show, theatre, motion picture house, sale of merchandise or display which causes crowds or people to block or congregate upon the sidewalks or streets near or 4acent thereto (Code 1966, It 1420, 14.21) I Cross reference-Animal noise, 16.26. Sec. 20.9. Odors. j (a) It shall be unlawful for any person to create or cause any unreasonably noxious, unpleasant or strong odor which causes material distress, discomfort or injury to persons of ordinary sensibilities in the immediate vicinity thereof. (b) It shall be unlawful for any person to create or cause any odor, stench or smell of such character, strength or continued duration as to substantially interfere with the comfortable enjoyment of private homes by persons of ordinary sensibilities. (c) The following acts or conditions, among others, are declared to be odor nuisances in violation of this Code, but such enumeration shall not be deemed to be exclusive: (1) Offensive odors from cow Jots, bog pens, fowl coops and other similar places where animals are kept or fed which disturb the comfort and repose of persons of ordinary sensibilities; (2) Offensive odors from privies and other similar places; 0) Offensive odors from the use or possession of chemicals or from industrial processes or activities which disturb the comfort and repose of persons of ordinary sensibilities; (4( Offensive odors from smoke from the burning of trash, rubbish, rubber, chemirals or other things or substances; • (S) Offersivs odors from stagnant pools allowed to remain on any premises or from rotting garbage, muse, offal or dead animals on any promises. (Code 1966, it 1422, 1429) Sec. 20.2. Garbage, trub and rubbish nuisances-Generally. (a) Staring or ikeepiM garbage, hash and rubbisA. The storing or keeping of any and all • • • stacks, heaps or piles of old lumber, refuse, junk, old an or machinery or parts thereof, garbage, trash, rubbish, scrap material, ruins, demolished or partly demolished structures or buildings, piid of stones, bricks or broken rocks on any premises bordering any public street i 3upp No l 1990 i • c• • DENTON I om 0000 000 0~0; ~o OD ~ _ © o C] o c. o 0 a 00 a~ co O 000 ,y r o ~ X000 0000 N , 't ~op0 ~oa000G CITY COUNCIL r • • { • a e aQ111Qi Mo " AQlftOd ORDINANCE NO. AN ORDINANCE ACCEPTING COMPETITIVE BIDS AND AWARDING A CONTRACT FOR THE PURCHASE OF MATERIALS, EQUIPMENT, SUPPLIES OR SERVICES; PROVIDING FOR THE EXPENDITURE OF FUNDS THEREFORE; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the City has solicited, received and tabulated competitive bids for the purchase of necessary materials, equipment, supplies or services in accordance with the procedures of state law and City orainances; and WHEREAS, the City Manager or a designated employee has reviewed and recommended that the herein described bids are the lowest responsible bids for the materials, equipment, supplies or services as shown In the "Bid Proposals" submitted tt.erefore; and WHEREAS, the City Council has provided In the City Budget for the appropriation of funds to he 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 I. That the numbered items in the following numbered bids for materials, equipment, supplies, or services, shown in the "Bid Proposals" attached hereto, are hereby accepted and approved as being thfl lowest responsible bids for such Items: BID NUMBER VENDOR AMOUNT 1772 ARRWRIGHT1%JTUAL INSURANCE CO.$174,250.00 1786 PREFERRED SALES AGENCY INC. $ 28,194.00 S:CTIuN II. That by the acceptance and approval of the above numbered items of the submitted bids, the City accepts the offer of the persons submitting the bids for such items and agrk~#e.j to purchase the materials, equipment, supplies or services in • accordance with the terms, specifications, standards, quantities and for the specified sums contained in the Bid Invitations, Bid Proposals, and related documents. SECTION III. That should the City and persons submitting approved and accepted items and of the submitted bids wish to enter into a formal written agreement as a result of the acceptance, • approval, and awarding of the bids, the City Manager or his • • designated representative is hereby authorized to execute the writte:i contract which shall be attached hereto; provided that the written contract is in accordance wit's the terms, conditioi;s, specifications, standards, quantities a,.:specified sums contained in the Bid Proposal and related documents herein approved and accepted. • O • 9S-o3 Z. iondaNo SECTION IV. That by the acceptance and appmsa*Mpf the above numbered items of the submitted bids, the City Cod-n-M`Ti Dp authorizes the expenditure of funds therefor in the-amount-nd-In accordance with the approved bids or pursuant to a written contract made pursuant thereto as authorized herein. SECTION V. That this ordinance shall become effective immediately upon its passage and approval. PASSED AND APPROVED this day of , 1995. BOB CASTLEBERRY, MAYOR ATTEST: JENNIFER wALTERS, CITY SECRETARY BY: APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY BY: • i i i 1 • _ • lye ~r t s`~y ,r S • o • .,.,,_.........,,.....ro............m,..........,..,~.nsc.......a. .orG-._.., a..s..,.n...n....,..»...,....~.,..wr..,.~............~.~.,r~......r...w.,.e..................w.wr~sww..rat»~.i. l. M.wn lee !BI D# BID NAME DISTRIBUTION TRANSFORMERS NIX TEMPLE KSS SESCO TECHUNE POLELINE PRIESTER PREFERRED ELECTRIC SALES OPEN DATE AUGUST 1, 1096 f~4 f 1. 6 EA TRANSFORMER, 107 KVA, 120124OV, SINGLE PHASE, OVERHEAD $2472.73 $2.706.00 2.410.00 2.02 00 62 013.00 $1.934.00 $2,2110.00 $2,010.00 I 2. ' 6 EA FTRANSFORMER, 167 KVA, ~401400V, SINGLE PHASE, OVERHEAD $2,017.06 $2.689.. 0 430.00 $2.624.00 $1,074.00 $1,902.00 $2.324.00 $2.007.00 DELIVERY 10 WKS 11 WKS 20 WKS 00 DAYS 12-14 WKS "DAYS 160 DAYS 96 GAYS FG ERMCO COOPER S£SCO KUHLMAN COOPER CENTRAL MALONEY • t I . i~N • • ;T4 A p r { r 03-17- 4Pi`.s:20 KCVD enQaM ~4enda~te To: Denise Harpool, Senior Buyer 41f ` _ From: Don McLaughlin, Senior Engineer Electric Engineering Date: August 17, 1995 Subject: Evaluation of Quotes on bid # 1786 The transformers in bid 1786 are for backup of existing transformers on the system. The Utility staff recommends awarding the bid to the low bidder. The low bidder is Preferred Sales Agency, Inc.. Sincerely, Donald L. McLaughlin,"' Attachments: I. Exhibit I, Loss / Cost Evaluation II. Exhibit II, Total Cost I III ~ i 1 I 1 a AQendaNo - a,~ EXHIBIT I FOR BID 1786 Oba1e it ITEM I LOSSICOST EVALUATION OF EIGHT 167 KVA 120/240 CONVENTI~W.L OVERHEAD SINGLE PHASE TRANSFORMER I MADE NL I LL -TL BID CAL. DELIVERY RIDOER BY LOSSES LOSSES LOSSES COST _ COST DAYS f KB,3 _C_OOPER_ 239 1245 1464 _ $2410 515,324 140 Nip Electric Ermoo 30 R v 03 1399 1701 S2.473 $16,706 100 POLEUNE KUHLMAN 231 1659 1690 51934 15,373 56 PRIESTER COOPER.-_ 239 1245 _ 1464 $2,260 $11,617 50 SESCO SESCO _ a00~ 1500 19001.._ $2,623 576,446 _ 90 ` TECHUNE Howard 306 1206 15141 52,013 $14, 96 TEMPLE LGE 309'i 1097 -1406 - - $2706 _ _516,291 77 [LOW BID _ _ 513,966 ITEM 2: LOSS/COST EVALUATION OF SIX 167 KVA 240/460 CONVENTIONAL OVERHEAD SINGLE PHASE TRANSFORMER 1 MADE T NL LL TL BID CAL. DELIVERYI BIDDER BY LOSSES LOSSES LOSSES __-COST COST DAYS - f~ 'I KBS COOPER 266 915 1162 $2,430 $11246 140 NixElechlc Errnoo------ 429 1601 2230 $2017 517695____100 i' POLELINE KUHLMAN 277 1421 1696 $1,902 111657 56 Le_ 1 li iPRIESTER COOPER _ m 9118 116252,324 519667 SESCO SESCO _ 400, 1500 _..19001 S2,124 516,113. 90 - - TECHUNE HOWAAD 330 1005 1335 S1 974 $13,609 9B TEMPLE 309 1043 , 1352 $2.689 S16 009 77 vi Low BID $13.510 11-Aug-95 03:54 PM C:ITRAWgB1766S@I766 WlC • l:r r- p • IendaMo-~~-~... EXHIBIT II FOR BID 1786 3 ITEM DESCRIPTION OUANTITY DISTRIBUTOR MANUFACTURER -PRICE _ TOTAL ITEM 1 167 KVA 120/2400H 6 Prefkred _ Mnl _ $2f01sa 6~152 ITEM 2 167 KVA 240L60 OH 6 Proffered CerKrel - _ 32,007 __{12~W2 - TC`1AL COST -t26yWm C'1TRALIZd&13491R1?44_MILK_ 03__._ • a • 4a • t ~endaNo ~=~3~, ~pg S - CITY COUNCIL REPORT DA1>r TO: Mayor and Members of the City Council FROM: Lloyd V. Harrell, City Manager SUBJECT: BID # 1772 - PROPERTY AND BOILER MACHINERY INSURANCE RECOMMENDATION: We recommend this bid be awarded to the lowest bidder, Arkwrtght V Val Insurance Company, in the amount of $174,250.00 annual premium. SUMMARY: This bid is for insurance coverage for property a. d boiler machinery including vehicles and mobLe equipment physical damage. Tae contract term is for three years, renewable in October of 1996 and 1997. BACKGROUND: Tabulation Sheet, Memorandum to Council prepared by Max Blackburn, Risk Manager. PROGRAMS DEPARTMENTS OR GROUPS AFFECTED: Risk Management Division, City o Denton Operations. FISCAL TMT: The premium amount is comparable to our current contract and will be Minded from 1994-95 budget funds. 4R,es ully sub t Harrell ager Approved: Name: Tom D. Shaw, C. P.M. Title: Purchasing Agent R72.A6IfIW, I I • e) e BID NAME PROPERTY & BOILER ARKWRIGHT TML MACHINERY INSURANCE !OPEN DATE AUGUST 10, 1995 1. ~ROPERTY (INCLUDE BOILE $148,000.00 $194,282.00 & MACHINERY) 2. VEHICLE (FLOATER 11 - INC. ABOVE INCLUDED ABOVE CATASTROPHIC LOSS) 3. VEHICLES AND MOBILE $24,000.00 $28,000.00 EQUIPMENT PHYSICAL DAMAGE 4.. COMMERCIAL CRIME $2,250.00 $3,828.00 2 o I' Q • m • agcmdatio.~=-~ 3 . Ageoda Date CITY of DENTONr TEXAS MUNICIPAL SU& DINO.215 E McxINNEY • DENTON, TEXAS 76201 (817) 5666200 • DFW METRO 434.2529 MEMORANDUM TO: Mayor and Members of the City Council FROM: Lloyd V. Harrell, City Manager DATE: August 18, 1995 SUBJECT: PURCHASE OF PROPERTY/CASUALTY, BOILER/MACHINERY, COMMERCIAL CRIME AND VEHICLE COLLISION INSURANCE Recommendation: That the City Manager b- authorized to award an insurance contract to Arkwright Mutual Insurance Company for the subject insurance coverage for a period not to exceed three years, renewable on the first of October 1996 and 1997. New premiums are comparable to our current contract. Summary: Two quotes were received in response to our bid Specifications. Arkwright Mutual Insurance Company once again offered the lowest bid. Comparative informatior is outlined below: Comoanv Prove Vehicle Commercial Crime Totaf 1 Arkwright $148,000 $24,000 $2,260 $174,250 TMI. $194,282 $28,000 $3,828 $224,980 •I Discussion: Arkwright has an A.M. Best rating of A+X and has provided superior service to the City of Denton for several years. Their bid pi :e also includes approximately 200 hours of loss prevention services provided by one of the foremost fire prevention companies in the industry - Factory Mutal Engineering. / Lloyd V. Harrell City Manager "Dedicated ro Quality Service" dL 4 d f , :enCa,vo V7_zr- I-jU Page 2 9S Prepared by: Max Blackburn Risk Manager Approved by: Harlan Jefferson Director of Fisc erations AFFOOF2E i i I i 'c • r i ~gtiadaNo 9~ --Gt3_~ ~geada~tem~-~~9 DAA!FSW r /WSi~11-x•1996 CITY COUNCIL REPORT TO: Mayor and Members of the City Council FROM: Lloyd V. Harrell, City Manager SUBJECT: BID /1786 - DISTRIBUTION TRANSFORMERS RECONM(ENDATION: We recommend this bid be awarded to the lowest evaluated bidder, Preferred Sales Agency, Inc., in the total amount of $28,194.00. SUMMARY: This bid is for the purchase of conv:ntional overhead distribution ' transformers, which will be kept as back-up for transformers in use on 4 he electrical system at this time. Twenty-one bid packages were sen: to prospective vendors, and eight bid proposals were received in response. BACKGROUND: Tabulation Sheet, Memorandum from Don McLaughlin dated 8-17-95. PROGRAMS. DEPARTMENTS OR GROUPS AFFECTED: Electric Distribution Department, Electric Utilities, Electric Customers ot- the City of Denton. FISCAL IMPACT: Budgeted funds for Electric Distribution Account #610-103-5880- 8925-C536801A. Res y sub tt Llo . Harrell City Manager Approved: i Name: Tom D. Shaw, C.P.M. Title: Purchasing Agent 637.ACi11DA i s c, 0 s R r i I)ENTON oooo00000F0000 oo°~ o °o NG ~Q 0 0 p 4 co ~O OOO ti T o ~ X000 OQOO N , ~O°° ~oaaaoaoo CITY COUNCIL • ' a • AQN01No~'~ ,S~' APda1~ ORDINANCE NO. Do AN ORDINANCE ACCEPTING COMPETITIVE BIDS AND PROVIDING FOR THE AWARD OF C014TRACTS FOR PUBIIC WORKS OR IMPROVEMENTS; PROVIDING FOR THE EXPENDITURE OF FUNDS THEPEFOR; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the City has solicited, received and tabulated competitive bids for the construction of public works or improvements in accordance with the procedures of STATE law and City ordinances; and WHEREAS, the City Manager or a designated employee has received and recommended that the herein described bids are the } lowest responsible bids for the construction of the public works or improvements described in the bid invitation, bid proposals and plans and specifications therein; NOW, THEREFORE, THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: SECTION I. That the following competitive bids for the construction of public works or improvements, as described in the "Bid Invitations", "Bid Proposals" or plans and specifications on file in the Office of the City's Purchasing Agent filed according to the bid number assigned hereto, are hereby accepted and approved as being the lowest responsible bids: BID NUMBER CONTRACTOR AMOUNT 1787 MID-WEIT WRECKING $ 22,250.00 1788 MITCHELL TECHNICAL SALES, INC.;220,150.-40 SECTION II. That the acceptance and approval of the above competitive bids shall not constitute a contract between the City and the person submitting the old for construction of such public works or improvements herein accepted and approved, until such person shall comply with all requirements specified in the Notice \ to Bidders including the timely execution of a written contract and furnishing of performance and payment bonds, and in•.jrance certificate after notification of the award of the bid. SECTION III. That the City Manager is hereby authorized to execute all necessary written contracts for the performance of the construction of the public works or improvements in accordance with the bids accented and approved hernir, provided that such contracts are made in accordance with the Notice to Bidders and Bid • Propcsals, and documents relating thereto specifying the terms, conditions, plans and specifications, standards, quantities and specified sums contained therein. r~ A 0 bevdaNo`~S SECTION IV. That upon acceptance and ap*poft competitive bids and the execution of contreg s for works and improvements as authorized herein, ha -@t hereby authorizes the expenditure of funds in the manner and in the amount as specified in such approved bids and authorized contracts executed pursuant thereto. SECTION V. That this ordinance shall become effective immediately upon its passage and approval. PASSED AND APPROVED this the ` day Of ,1995. BOB CASTLEBERRY, MAYOR ATTESTi JENNIFVR WALTERS, CITY SECRETARY BY., APPROVED AS TJ LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY BYt .1 0 0 • • ApelWo 9J DA SM210 1 1065 CITY COUNCIL REPORT TO: Mayor and Members of the City Council FROM: Lloyd V. Harrell, City Manager SUBJECT: BID 11787 - DEMOLITION AND CLEARING OF FOURTEEN (14) UNSAFE STRUCTURES RECOidfENDATION: We recommend this bid be awarded to the lowest bidder, Mid- West Wrecking, In the total amount of $22,250.00. SUMMARY: This bid Is for the demolition and clearing of structures at fourteen (14) locations as listed on the attached tabulation sheet. The structures will be demolished and removed as directed, all lots are to be left suitable for mowing. BACKGROUND: Tabulation Sheet. PROGRAMS DEPARTMENTS OR GROUPS AFFECTED: CDBG Division, and various neighborhoods the City o Denton. FISCAL TRACT: Funds for this contract will come from CDBG Grant Funds; Account 219-059-CD97-8502. tespeafPully sub t Lloy . Harre City nager Approved: C Name: Tom D. Shaw, C.P.M. Title: Purchasing Agent 6]1.AG110A 1 j i • 0 f 4? • • 187 ID NAME DEMOLITION & CLEARING D &L WALTER C. BCNM ID-WEST CROSSROADS #24 CONST. BARRETI' EXCAVATION WRECKING EXCAVATION P TE AUGUST 10, 1995 ~l M EMOLfTION 6 CLEARING 1124 o, L 1 710 N. CRAWF'ORD STREET f2~50Q_00 $2.350.00 NO BID _ $1,460.00 $2,640_00 513 N. WOOD STREET $2.200-00 $1,725.00 NO BID $1 ,910.00 $2640.00 :1. IN f2~610_00 111 lp 1 515 AVE. S $2,800-00 $1,650.00 NO BID $1,810.00 4. 1 515 AVE. S (STRUCTURE BEHIND _ MAIN HOUSE- 31 200.00 $1,650.00 NO BID M160.00 $2,640.00 S l 319 E. MILL STREET '00.00 $1,950.00 NO BID $1.910.00 $2.640.00 6. 1 925 HILL ST (SHED J COOPS IN BACK ONLY)___ $1L000_00 $750.00 NO BID $3 460.00 $2640.00 7. 1 714 BAILEY STREET $1 300.00 $1.235.00 NO BID $1,110.00 $2,640.00 8. 1 102 MASSEY STREET ES4.200.010 i4 000.00 NO BIU $ 860.00 12,40.00 R STREET 800.00 $1 275.00 NO B17 $1460.00 $ 640.00 • 10. 1 _ 1W MORSE STREET 32,200.00 $1,950.00 NO BID $1,460.00 82 640.00 (2640.00 11. 1 1002 WILSON STREET $1500-00 $1.725.00 NO BID $1.460.00 _ 1 1005 E. OAK STREET $1,800.00 $1.237.50 NO BID $1,110.00 $2,60.00 13. 806 ALLEN STREET _ $1,500.00 - $1,235.00 NO BID $760.00 $2640.00 ^34. 1 629 E. PRAIRIE STREET $2 200.00 $1,980.00 NO BID $1,910.00 $2,640.00 0 TOTAL $28,200.00 $24,672.50 $22,540.00 $36,960.00 DELIVERY 90 DAYS 10 DAYS 2 DAYS • 0 r • I- p • r a111 e am~~ ~ 13 DATE: PMER Ills 196 CITY COUNCIL REPORT 9- IZ' /S TO: Mayor and Memberb of the City Council FROM: Lloyd V. Harrell, City Manager SL13JECT: BID f 1798 - COOLING TOWER STRUCTURAL REPAIR RECOMMENDATION: We recommend this bid be awarded to the low bidder, Mitchell Technical Sales, Inc., in the amount of $220,150.00 for Items 1, 4, i 5. SUMMARY: This bid 1s for material and services required for partial renovation of the Spencer Unit Five Cooling Tower. This tower has been In service for 23 years with no significant structural repairs. Renovation will include replacement of some wooden structural components, installation of an upgraded mist eliminator systems and installation of new hot water basins and related support structure. A complete renovation for this Unit Five Tower is estimated to be near one million dollars. This partial renovation is to repair only know damage at this point. As the interior of the tower is exposed additional structural deterioration may be discovered requiring additional expenditure. Change order exceeding $15,000, should they occur would be presented to Council for final approval. Included in the bid award --commendation is $10,000.00 for incidentals during the inspection process. Three bid proposals were received in response to eight bid packages mailed to vendors. BACKGROUND: Tabulation Sheet, Memorandum from Jim Thune dated August 21, 1995, PUB Minutes August 21, 1995 recommend approval. PROGRAMS DEPARTMENTS OR GROUPS AFFECTED: Electric Production, Electric Utilities, Electric Customers o the City o Denton. FISCAL IMPACT: Budgyeted funds for Electric Production Account Numbers 810- 101-1011-3140-9205 and 610-101-1011-5140-8339. • Res ull 0 tted: L!o V. Harrell City Manager Approved: Name: Tom D. Shaw, C.P.M. Title: Purchasing Agent sx1.A=KDA • • II J A. 44 • • r • Was ~ *DATE OOOLING TOWER SLACK MIDWEST MITCHELL STRUCTURAL REPAIR BUCKNER TOWERS TECHNICAL AUGUST 17, 1995 SYSTEMS INC. SALES COST PER CELL STRUCTURAL CONSTRUCTION WITH REDWOOD 592,432.00 5110289.00 $133759.00 01 2u CH COST PER CELL STRUCTURAL m' a CONSTRUCTION WITH DOUGLAS Q a FIR S8S 920.00 $93,750.00 5118 702.00 3. 1 EACH COST PER CELL DRIFT ELIMINATION REPAIR/REPLACE OEM CONSTRUCTION 1141 283.fO NO BID NO BID 4. S EACH COST PER CELL DRIFT A. $13,675.00 $9,454.00 ELIMINATION REPLACED WITH PVC TYPE CONSTRUCTION S2 861.00 B. 51 383.00 •39 5.00 S. 5 EACH ADDIT IONAL COST PER CELL A. $12.486.00 $6,136.00 TO REPLACE HOT WATER BASIN WITH OEM TYPE CONSTRUCTION $22.7$3.00 B. 510 156.00 • 013.20 A. 58.754.00 • DISCOUNTED PRICE FOR ALL B. Si,288 00 FIVE AT ONE TIME • A. REDWOOD B. DOUGLAS FIR DELIVERY 75 DAYS I5-20 DAYS 56 DAYS • - . _ 0 • 0 • "rida No ~S J 3 - 36 95 City of Denton Utilities 1701 A Spmer Kuad • Denton Tern 7t'05 • X8171 383 'S` 1 ru IBI383 7555 August 21, 1995 Tom Shaw Purchasing Agent City of Denton Subject City Council consent agenda items Bid 1788 Cooling tower renovation Dear Tom Please prepare a consent agenda item for the attached requisition a 165531 cooling tower renovation, Support documentation is provided as follows RECOMMENDATION The electric utility recommends executing a purchase order with Mitchell Technical Sales, Inc for material and services to renovate Spencer Unit Five cooling tower The Public Utility Board approved this recommendation during the August 21, 1995 meeting SUMMARY: Spencer Unit five cooling tower structure, hot water basin and mist eliminator systems have deteriorated and no longer provide reliable or efficient operation Specifications were prepared to allow bidding of material supply and construction services to perform the needed renovations. Low bid was received from Mitchell Technical Sales. Inc The electric utility recommends executing a purchase order for the specified renovations as described in detail below BACKGROUND. Unit Five cooling tower has been in service 23 years with no significant structural repairs or renovations. The tower is constructed of wood products which over time experience deterioration due to chemical, biological and physical conditions imposed by on line operation and off line conditions. Wooden cooling towers have an anticipated life expectancy of 20 to 25 years, This • tower has provided generally acceptable service however, failures of the hot water basins, excessive carryover and fan erosion have all resulted from degradation of the tower structure, basin support and mist eliminator systems. The corrective action should involve complete replacement of all structural components and replacement or upgrade of the mist eliminator system. fill, hot water basin, support and distribution svsteins Non-wood components 4rc bti.v utilized in tower construction more than ever before Material upgrades and technological • ad~arncer.tents could be applied to the renovation ofthls tosser however funding has not been budgeted in the amounts necessary to completely recondition th^ tower in this manner With • • limited funding available, bid specifications were prepared for pricing to rebuild individual cell sections of the tower. This tower is constructed in five cells The renovation work scope includes replacement of structural wooden components, Installation of upgraded mist eliminator systems, 0 • Ago0aNo -d3z D?lf ~1-- LZ~T Fort Shaw Page 2 AuAusr '2 I , 1445 and insta!.ation of new hot water basins and support structure In order to address the most significant problems in this tower with hnuted funding available, the following construction work scope is recommended: Mist eliminators- Remove the deteriorated wooden mist eliminators and install it state of the art mist eliminator system in all five cells, This will include a new wooden support system and PVC cellular drift eliminators. A 2% increase in tower el3i6ency is anticipated as a result of this work scope Total cost S 46,325. Hot water basin- Remove hot water basins and structure from all five cells. Replace u„sin supi. art structure, but water basin decking, curbs and partitions. Install rigid fiberglass distribution boxes, seal joints with mastic and install new polyproplene nozzles Total cost $30,066 Structure- Column, joist and girt structures exposed during the basin and mist eliminator renovation will be inspected and replaced as needed. The extent of these repairs is unkne wn Funding in the amount necessary to completel.• renovate one cell is recommended, a,,d should provide sufficient resources to accommodate necessary replacements exposed by the mist eliminator and hot water basin work scope Total cost $133,759 Miscellaneous- Fill maieritd and the wire 1jd,gmg system will be remw.ed to faciinate the scope of work Minor damage can be anticipated due to the age and deterioration of this material, Funding is recommended totaling $ 10,000 for incidental materials that will likely require replacement as a result of this work scope. Total cost 510,000. FISCAL IMPACT: Funding for this project is recommended at $220,150, This item was funded in the 1995 budget ! Please advise me if additional material or information would be helpful in preparation of this matter for Council approval j Thank you, ! Jim Thu e ' ger, Electric Production Division ! • cc Bob Nelson purchase file rq 165531 r 1 • p gondaNa ~oeadaflerr~.~.~ PUB M "YITS Excerpt IMAS 9. CONSIDER APPROVAL OF BID nM FOR Si ENCER PLANT COOLING TOWER RENOVATION FollowrM5 ezteaaive CIAMssion and amUmery/bw*Srouod information providod by Jim nune. Hgakim trade a motion to approve the coo[inB lower renovations as presented in the back-up material. gim seconded the motion. All ayes, no nay; motion passed unanimously. I I i PUG 30 '95 1456 CITY Cr DEMON M PAW.002 e 0 r i DENTON oo~zO0000ooooo F De ON , 0 00~~ a ~ ~ o o a 0 C 0 fl ~ 0 ~ ~ 0 D~OF.4v * O00 0000. o N °aaaoooaooo CITY COUNCIL 0 r • 0 s ' No Apea 'tom, ORDINANCE NO. AN ORDINANCE PROVIDING FOR THE EXPENDITURE OF FUNDS FOR EMERGENCY PURCHASES OF MATERIALS, EQUIPMENT, SUPPLIES OR SERVICES IN ACCORDANCE WITH THE PROVISIONS OF STATE LAW EXEMPTING SUCH PURCHASES FROM REQUIREMENTS OF COMPETITIVE BIDS; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, state law and ordinance require that certain contracts requiring an expenditure or payment by the City in an amount exceeding $15,000 be by competitive bids, except in the case of public calamity where it becomes necessary to act at once to appropriate money to relieve the necessity of the citizens, or to preserve the property of the city, or it is necessary to protect the public health or safety of the citizens of the city, or in case of unforeseen damage to public property, machinery or equipments and, WHEREAS, the City Manager has recommended to the City Council that It is necessary to purchase goods or services due to the following emergency conditions outlined in the memorandum attached hereto as Exhibit "A", incorporated herein by reference; NOW, THEREFORE, THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: SECTION 1. That the City Council hereby determines that there is a public calamity that makes it necessary to act at once to appropriate money to relieve the necessity of the citizens, or to f preserve the property of the city, or to protect the public health of the citizens of the city, or to provide for unforeseen damage to public property, machinery or equipment, and by reason thereof, the following emergency purchases of materials, equipment, supplies or services, as described in the "Purchase Orders" attached hereto, are hereby approved: PURCHASE • ORDER NUMBER VENDOR AMOUNT 52360 BOBBY V. GRAY 1201840.00 56648 VOLVO i GMC TRUCXS OF DALLAS $71,771.00 .j SECTION II. That because of such emergency, the City Manager or designated employee is hereby authorized to purchase the materials, equipment, supplies or services as described in the attached Purchase orders and to make payment therefore in the amounts therein stated, such emergency purchases being in accordance with the provisions of state law exempting such purchases by the City from the requirements of competitive bids. • a r bb-o apendal bL o~ - SECTION III. That this ordinance shall become effective immediately upon its passage and approval. PASSED AND APPROVED this the day of , 1995. BOB CASTLEBERRY, KAYOR ATTEST: , JENNIFER WALTERS, CITY SECRETARY BY: APPROVED AS TO LEGAL FORK: HERBERT L. PROUTY, CITY ATTORNEY BY: 1 1 ~ I AP* D/C!L'r6i~T 1 CITY COUNCIL REPORT TO: Mayor and Members of the City CounAl FROM: Lloyd V. Harrell, City Manager SUBJECT: PURCHASE ORDER # 56698 T'1 VOLVO i GMC TRUCKS OF DALLAS RECOMMENDATION: i'oe recommend this purchase order 056698 to Volvo E GMC Trucks of Dallas be approved in the amount of $71,771.00. SUMMARY: This purchase order is for the emergency purchase of a 1995 White-GMC Truck Cab/Chassis with extended warranty on engine and transmission. rho unit is intended to replace a 1993 model front load refuse truck destroyed by fire in July of this year. Normal lead time to bid and receive a truck meeting these 1 pecificatlons is from 180 to 240 days. We did solicit quotes for comparable trucks in dealer stock and found two units available; the White GMC for $71,771.00 and a Peterbilt for $82,569.00. The unit destroyed by fire was a front line truck forcing our 11 year old back up unit to front line duty. The Solid Waste Superintendent and Fleei Services Superintendent have Indicated that the old unit cannot serve in front line duty for an extended period of time. We currently have a total of three trucks to collect refuse from three commercial front load routes. The potential for major delays in refuse collection should one of these trucks fall is the main reason for requesting this emergency purchase be approved. The Texas Local Government Code exempts purchases necessary to preserve or protect the public health or safety of the municipalities citizens for the bid process. Chapter 252., section 022 (A) 2. BACKGROUND: Purchase Order 056698 to Volvo and GMC Trucks of Dallas, Quote from Volvo/GMC. PROGRAMS. DEPARTMENTS OR GROUPS AFFECTED: Fleet Services, Motor Pool, Commercial Solid Waste Collection. FISCAL IMPACT: This replacement cab/chassis will be funded from Motor Pool • replacement funds. We expect approximately $45,000.00 reimbursement from insurance and the using department will repay Motor Pool the balance ever a 36 month period. *1od lly sub led: / v • I arre •ger J Appproved: ~ Name: Tom Shaw, C.P.M. Title: Purchasing Agent 6l O.A~IIDA f • I a • • PURCHASE ORDER NO: 56698 THIS IS A XXX This n w er must roper MI CONFIRM ORDER ,mo amps. cases, Q (IF MARKED! Ctrs, , b, boreses, , pry ec Ainp slips and bibs. DD NOT DUPLICATE (V Bid No. Date: OB 29 95 Pepe No. 01 n CHASiNG DIVISION I901 9 TTEExXAS s~Nf TDEENTON, EXAS 76201-435. C PUP 817/381-7100 D/FW METRO 817!267-0042 FAX 8171383-7302 VE N VOLVO 4 GMC TRUCKS OF DALLAS NA EI g 0 BOX 560728 DELINTRY CONFIRKAT:09 ONLY C14 ;i ADDRESS FLEET SERVICES ALLAS TX 75356 804 TEXAS m DENTON, TX 76201 A .IC/ TV VENDOR NO, VOL49500 DELIVERY OWTED 09 15 95 FOB DESTINATION BUYER TS TERMS LIFE OJANTITY T 0601 001 1.00 EA VENDOR CAT. { M / A MFG NAME 68,921.000 68,921.00 CITY i 07054 EMERGENCY PURCHASE 1995 TRUCK CPS/CHASSIS REPLACEMENT FOR RIG !2029 002 1.00 LT VENDOR CAT. 0 N / A MFG NAME 2,850.000 2,650.Ou CITY 0 07054 EXTENDED WARitAN-'Y 60 MONTH ENGINE AND TF.ANSNISSION • i P GE TOTAL 4 91,771.00+ OR ND TOTAL d 71,771.00 • 01 720 025 0584 9104 71,771.t,U • iENDDR MISTRIXTIONS 3. Terms -Net 30 tur,,, ww-w I Send er,pwl invoice with duplicate con 1. SOippirp instruction: F.D,6. Destination pressed rtw...e«... 8d1 tc - Accvents Payable 5, No ledrrN or state Wet ties WWI N MtkWtd 215 E, IkKinney St cat prices h0list Purchawng Division Denton, T% 76201-4299 VENDOR-ORIGINALS' • 0 • d~Rte VOLVO and GMC Trucks of D' 2959 Irvin Blvd Dallas, Texas 75247 P.O. Box 660728 • Dallas, Texas 75356 FAX ThNSAWITI 1 DATE: TO: 1v S f OF: I FROM: Lei leis TOTAL NUMBER OF PAGES INCLUDING THIS COVER LETTER: MESSAGE: S- yA ~~v ~ ~ J l9~s~ Z✓~CG .9z~ j6xT gA-lja Gr/ y a sso e r"'IYs d- FAliG,1 o%} -7 • O `PLEASE CALL (21 4)906,9300 or 1400481.7617 IF YOU DID NOT RECENE"ALL OF THE PAGES, FAX; (214)6684483 SEP 1 195 11:56 PAGE. 001 • a • f 4QeWa No 4Qendal _ WIe°1-/Z-qS DATE: 3EPTE14$ER 12j IM CITY COUNCIL REPORT TO: Mayor and Members of the City C cinch FROM: Lloyd V. Harrell, City Manager SUBJECT: OURCHASE ORDER 252360 TO BOBBY V. GRAY RECOMMENDATION: We recommend that Purchase Order #52360 to Bobby V. Gray be appro,,ed the amount of $20,840.00. SUINARY: In January of 1995 purchase order #52360 was written to Bobby V. Gray in tl:e amount of $12,000.00. That order was the result of an attempt to out source or privatize the programming and performance of maintenance on the EIS Software/ Payroll System. This personnel services contract Is In effect from January 1995 through December 1995. The order was increased to $15,000.00 to cover additional hands-on services to enhance or upgrade the software in March of 1995. We are requesting approval of a second revision pushing the total contract amount to $20,840.00. This $5,840.00 increase is due to additional services and activities being required of Bobby V. Gray, due to the death of the individual on staff that normally preformed the large amount of tasks associated with the EIS Software. BACKGROUND: Purchase Order $52360 to Bobby V. Gray, and memorandum from Gary Collins, Director of Information Services. PROGRAMS DEPARTMENTS OR GROUPS AFFECTED: Information Services Division and Employees o the City of Denton. FISCAL DdPACT: Funds for this revision to the contract Mill come from 1994-95 budget funds; Account #100-044-0080-8502 Speci..l Services. , Respe ;dlly sub tt • - Llo d V. Harrell Cit Manager Approved: Nerve: Tom D. Shaw, C.P.M. ' • Title: Purchasing Agent • 6I9.ACEMDII j • • t ' • PURCHASE ORDER NO: 52360 TWS IS A XXXI TSis number rowel appear on all COWIRMING CRDER , b. ar aiipa, Casaa. Q OF MAAK nvoices, tns Doaesn, pack" slops and bills. DO NOT DUPLICATE (Y ~ Bid Nor Oatr. 08 10 95 Pay No. 01 o b , CITY OF DENTON TEXAS PURCMASR4 DIVLS40N if 901-8 TEXAS STREET I DENTOK TEXAS 76201-4354 8 1 71383-7 1 00 DIFW METRO 8171207-0042 FAX 817/383-7302 ifEh 11 OBEY V.GRA1 V14211f/ IS SUPPORT cs.RVICES DELIVERY CONFIRMATION ONLY C11 ALAF 1309 CHAMBERLAIN DR ADDRESS INFORMATION SERVICES LANO TX 75023 601 E HICKORY DENTON, TX 76205 VEF140R N0. GRA57005 DELIVERY OI30TED 08 10 95 FOS DESTINATION BUYER TS TERMS LoE : AMM 001 20840.00 55 VENDOR CAT. I N / A MFG NAME 1.000 20,840.00 CITY 1 93921 EIS MAINTENANCE PERIOD 1/95 - 12/95 F GE TOTAL s 20,840.00 GR ND TOTAL s 20,840.00 • J1 + 100 044 0080 6502 20,840.00 lENDOII gSTRUe om 3. Tern4 - Net 30 aar... •M^^1• w+"J 1. Sad Wipnrl WNMC• With puplxeN "1 4. SDippino ineVUttip~ F.04 Domination prepaid IJ.I....a..~w „«AM,1 I. Bill to - Aecatetis PansWe 5. No federal ar fund %elm to sea6 be bwk4o4 311 E AICKlew" St in prices billet Daman. Tx 11201-4291 PURCHASIN13 4~ la 1~y 41 • I A • r Ap"No ~s "d3z ~penoaktert Date CITY OF DENTON, TEXAS 2 f 5 E. McK1NNEY • DENT(NTEXAS 76201 • TELEPHONE f8l7) 566,8200 1Lz12-/ Q-r-' UrDurr k To: Tom Shaw, Purchasing Agent From: Gary A. Collins, Director of Information Services Date: August 9, 1995 Subject: REQUEST FOR INCREASE ON P.O. 52360/EIS SYSTEM As you knew, the person maintaining the EIS system was Gilford E. King which expired May 5, 1995. We had to hire Bobby Gray to come in extra hours to keep the Payroll system going, until we could hire and train someone to take over this very large task. Therefore, we have had to increase the P.O. to cover the extra charges incurred. If you have any questions, or I can be of further help, please call me at extension 8562. ' • I /700 Gary A. Collins, Director of Information Services I I Tedlcaled to O ua!!ty Service" • G• DENTON s~ 0000 00 40 OF D ooo; ~0 o0 0~ ~0 o 0 0 0 0 o 0 Gov 4o, ~ QQO 00~~ T o N , ~ ti QQO °aoaaaoaoo°° 1 CITY COUNCIL ~ . . o • P • /PONO AW" CITY 01 DENTON, TEXAS MUNICIPAL BUIL DING • 215 E WKINNEY • DENTON, TEXAS 76201 (817) 566.8200 • DFW METRO 431.2529 MEMORANDUM DATE: September 6, 1995 TO: Honorable Mayor & Members of the City Counci( FROM: Jon Fortune, Chief Finance Officer yi, SUBJECT: APPROVAL OF HOTEL OCCUPANCY TAX RECIPIENT CONTRACTS Attached find ordinances to approve contracts allocating hotel occupancy tax receipts to the following organizations: Lyear Cor;jacu (Oct. 1. 1995 • Sept. 30. 1997) Chamber of Commerce Convention & Visitor Bureau Denton County Historical Foundation Denton County Historical Museum Greater Denton Arts Council North Texas State Fair Association 1_ Year Contracts (Oct. 1. 1995 - Sept. 30. 1996) Denton Black Chamber of Commerce L, non County Amphitheater Association Denton Festival F-3undation Denton Historic Landmark Commission Denton Main Street Association The attached chart details the allocation percentages or payments established in respective contracts for each organiza ion per council direction. If you have any • • questions please advise. Thank you. i AFFOOFtE i I "Dedicated to Quality Service" • 4a • • 1/ ,r N Y. HOTEL OCCUPANCY TAX SUMMARY 1994-93 1994-43 1994-45 1993-96 1993-96 1995-96 19%-97 19%-97 19%-97 gg I Actual Percent of Taz Rate Tax Rate Percent of Proposed Tax Rate Percent of Proposed z4 !3U Budget Tax Revenue Allocation Allocation Tax Revenue Budget" Alloeatioa Tag Revesse Budget", oti and Toorisna Bureau 205,200 40.71% 2.85% 16400% 37.7143% 205,420 16100% %7.7,143% 210,038 rations) 72,000 14.29% 1.00% 0.9300% 13.2837% 72,510 0.9300% 1.1.2831% 73,990 a State Fair Association 68,100 13.57% 0.95% 0.8800% 125714% 69" 0.880096 125714% 701013 Denton County Historical Moscow 60,192 11.94% 0.84% 0.630096 112571% 64,710 013(0% 11.8311% 66A.13 Denton County Historical Foundation 8,206 IV% 0.11% 00600% 0.8571% 4,6801 U_,o" 0.8511% 4.774 414,000 82.14% 5.75% 5_140096 763857% 416,320 53100% 76.2837% 424,850 'Eligible City F.xpcaws 64,500 12.80% 0.90% 0.8958% 12.7976% 69,875 0.8938% 12.7976% 71,273 Reserve 25,500 3.06% 035% 0.4180% 3.9716% 3 0.4180% 5.97c6% 33,g7 Sob-Total 504,000 100.00% 7.0096 13138% 18.7692% 102,480 13139% ]8.7692% 1041510 Denton Main Street Association 15,000 Denton Ampithcater Association 31000 Denton Festival Foundation 1.000 Denton Black Cbambcr of Commerce 3.000 Denton Historic Landmark Commission 1 Sub-Total Altcroate Organizations 0_1462% 4.9451% 27,000 0.3462% 4.9451% 27,W Total Projected 7.0000% 100.0000% 546,000 7A000% 100.0000% 356,920 7.0000% 100.0000% 546,000 .7A M 100.000096 55020 • 21. M 1"'W q NN% WW ~Y,.ry.rrr.r d Pw".(rI h.A MayAVb.wn Moow%M%Md\ No dOr. G aW M OrarLLr a rlMM rlr.r. ' • !.N r r wls~dfM Q {IJ.'a•r 4a..r ew W Mr71~A-M Mrl.rR•r.1 r.sNl , • • M rd.a M Ir, W dr 1:~ I p,rr YeYr M M HM -M 1.yn C923R2P,TA•X9MM AXI 00/M95 1029:11 AM O i • a • e A \CIW0n NOT agenda No. ~ U Z agendaltem Uate - ORDINANCE NO. AN ORDINANCE AUTHORIZING THE MAYOR TO EXrCUTE AN AGREEMENT BETWEEN THE CITY OF DENTON AND THE DENTON CHAMBER OF COMMERCE FOR THE PAYMENT AND USF OF HOTEL TAX REVENUE; AND PROVIDING AN EFFECTIVE DATE. THE COUNCIL OF THE CITY OF DEN70N HEREBY ORDAINS: SECTION I. That the Mayor is hereby authorized to execute an agreement between the City of Denton and the Denton 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 mar?e a part hereof. SECTION II. That this ordinance shall become effective immed- iately upon its passage and approval. PASSED AND APPROVED this the day of 1995. BOB CASTLEBERRY, MAYOR ATTEST: JENNIFER ..4ALTERS, CITY SECRETARY . ~ BY: • APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY i 1 BY : ~Kc~ !L t c - 0 • +gend~Na. ~s- ~>3 Z ~Qendalte qtr IAL AGREEMP,IrjL BETWEEN THE CITY OF DENTON AND THE DENTON CHAFER OF COIMRCE (95-97) PROVIDING FOR TIM PAYMENT AND USX OF HOTEL TAX REVENUE THIS AGREEMENT made between the City of Denton, Texas, a muni- cipal corporation (the "City"), and the Denton Chamber of Commerce, a non-profit corporation incorporated under the laws of the State of Texas (the "Chamber"): WHEREAS, TEX. TAX CODE 5 351.002 authorizes the CITY to levy by ordinance a municipal hotel occupancy tax ("hotel tax") not exceeding seven percent (74) of the consideration paid by a hotel occupant; and WHEREAS, by Ordinance 86-67, 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 5351.101 (a) authorizes the CITY to use revenue from its municipal hotel occupancy tax to promote tourism and the convention and hotel industry by adver'ising and conducting solicitations and promotional programs to attract tourists and con- vention delegates or registrants to the municipality or its vicinity; and WHEREAS, the CHAMBER is well equipped to perform those activities through its Denton Convention and Visitors Bureau; and WHEREAS, TEX. TAX CODE 5351.101 (c) authorizes the CITY to delegate by contract with the CHAMBER as a private organization the management and supervision of programs and activities of the type described hereinabove funded with revenue from the municipal hotel occupancy tax; 1 NOW, THEREFORE, in consideration of the performance of the mutual covenants and promi6es contained herein, the CITY and the CHAMBER agree and contract as follows; • 1. HOTEL TAX REVENUE PAYMrNT TO CHAMBER I 1.1 Consideration. For and in consideration c: the activities to be performed by the CHAMBER under this Agreement, the CITY agrees to pay to the CHAMBER a portion of the hotel tax revenue collected by the CITY at the rates and in the manner specified herein (such ~ i 4 payment by the CITY to the CHAMBER sometimpo herein referred to as • "the ac:eed payments" or "hotel tax funds"). 1.2 Amo.mt of Payments to Chamber. (a) As used in this agreement, the following terms shall have the following specific meanings: • A • 4genua No AgenQ !(e l (Ate (i) The "hotel tax revenue" shall mean the monies col- lected and received by the CITY during any relevant period of time (i.e., fiscal year or fiscal quarter) as municipal hotel occupancy tax at the rate of seven percent (74) of the price paid for a room in a hotel, pursuant to TEX. TAX CODE 5351.002 and City Ordinance 86-87, together with and including any sums of money received by the CITY from taxpayers during any relevant fiscal quarter or calendar month as attorney's fees, court costs, or other expenses of collection of hotel tax, but excluding interest and penalties received by the CITY from taxpayers. (ii) The term "base payment amount" shall mean an 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) such amounts incurred during such relevant period of time for costs of collection of hotel taxes from taxpayers or auditing taxpayers for tax payment compli- ance, such collection and auditing costs to include fees paid to attorneyu or agents not in the regular employ of the CITY and wnich attorneys or agents effect collection of the hotel tax from taxpayer., or audit such taxpayers; and (2) court costs and expenses incurred in litigation against or auditing of such taxpayers. (b) The CITY shall pay to CHAMBER an amount of money equal to thirty-seven and eaventy-one one hundredths of a percent (37.714) of the base payment amount for the period of October 1, 1995, through September 30, 1996 or Two Hundred Five Thousand Nine Hundred Twenty Dollars ($205,920.00), whichever is less. (c) The CITY shall pay to CHAMBER an amount of money equal to thirty-seven and seventy-one one hundredths of a percent (37.714) of the base payment amount for the period of October 1. 1996, through September 30, 1997 or Two Hundred Ten Thousand Thirty-eight :;ollars ($210,036), whichever is less, plus such :mount, if any, collected over $105,920.00 in the 95-96 budget year based on 37.714 of the base payment amount for the period of October 1, 1995, • through September 30, 1996. (d) Should the CITY execute a new contract with CHAMBER to be effective for the 1997-1998 budget year, in addition to the pei- centage of the base payment amount authorized b;• the City Council to be paid to CHAMBER for the period from October 1., 1997, through September 30, 1998, the CHAMBER shall also receive such amount, if • any, cc'_lected over $210,038 in the 96-97 budget year based on • • 37.714 of the base payment amount for the period of October 1, 1996, through September 30, 1997, unless the parti,s to the new contract negotiate different payment terms. PAGE 2 • 0 • s~ • ~gendaNo b1.Z_ !kgendaI Ia 1.1 Dates of Payments to Chamber (a' The term "quarterly payments" shall mean payments by th^ CITY t,. the CHAMBER of those amounts specified in J1.2 above as determined by the hotel tax revenue collected by the CITY during any one fiscal quarter during the term of this Agreement. (b) CITY shall pay the CHAMBER the a red payments specified in 11.2 above by quarterly payments paying thirty-se.en and seventy-one one hundredths of a percent (37.71%) of %he base pay- ment amount (quarterly) for the first three quarters of ca-:1 fiscal year and the percentage of the base payment amount for the last quarter of each fiscal ,ear Shall be ac!justed so that the total of the quarterly base payment amounts shall not exceed Two Oundred Five Thousand Nine Hundred Twenty Dollars ($205,920.00) during the 1995.96 fiscal year and Two Hundred Ten Thousand Thirty-eight Dol- lars ($210,038) for the :996-97 fiscal year. Each such quarterly payment shall be paid to the CHAMBER on or before the forty-f.5th (45th) day after the last day of such respective fiscal quarter for which such payment is due. If quarterly financial and performance reports are not received within thirt- (30) days of the end of tItt applicable quarter, then CI:`! may withhold the quarterly payment (s) until the appropriate rerazt,3 are received and approved. (c) The funding of this proj,-ct in no way commits ! he CI•PY to faturP funding of this program beyond the current contract period. Any future funding is solely the responsibility of he CHAMBER. (d) It is expressly understood that this contract in no way obligates the General Fund or zny other monies or credits of the CITY. II, USE OF HOTEL TAR REVENUE BY CHAKBBR 2.1 Use of Funds. For and in consideration of the payment by the CITY .~o the CH_*ILER of the agreed payments of hotel tax funds opecified above, the CHAMBER agrees to use such hOCCl tax funds only for the following purposes: • (a) the fur,,ishing o° facilities, persoi,ael, and materials for the registration of convention delegates or registrants; (t' advertising and conducting solicitations and promotional programs to attract tourists and convention e..elegates or reg+.s- trants to the municipality or its vicinity; ' J (c) historical restoration and preservation projects or activities or advertisin3 and conducting solicitations and promo- +;ional programs to encourage tourists and convention delegates to visit preserved historic sites or museums; P;.GE 0 0 • 0 • tger►da No S 3 pen Iferr~ (i) at or in the immediate vicinity of convention center facilities or visitor information centers; or (ii) located elsewhere in the municipality or its vi^inity that would be frequented by tourists and convention aelegrtes. as authorized by TEX. TAX CODE S 351.101(a)42)-(5). 2.2 Administrative Coats. The hotel tax funds received from the CITY by the CHAMBER may be spent for ray-to-day operations, sup- plies, salaries, office rental, travel expenses, and other admini- strative costs t;iat are 'ncurred directly in the performance by the CHAMBER of those activities specified in 12.1 above and are allowed by TEX. TAX CODE 5 351.101J). 2.3 Specific Restrictions on Use of Funds. (a) That portion of total administrative costs of the CHAMBER f)r. which hotel tax funds may be used shall not exceed that portion of the CHAMBER'S administrative costs actually incurred in con- ducting the activities specified in 12.1 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 tourism and the convention and hotel industry or the pe-formance of the person's job in ..-n efficient and professional manner. III. RECORD KEEPING AND REPORTING REQUIREMENTS 3.1 Budget. (a) On or before August 15th of each calendar year during the term of thin Agreement, the CHAMBER shall prepare and submit to the City Manager of the CITY an annual budget for the next enduing fis- cal year of phis Agreement for the Denton Convention and Visitors Bureau and any other operation or function of the CHAMBER in which • the hotel taA funds shall be used by the CHAMBER. This budget shall specif::ally identify proposed expenditure of hotel tax funds 1~ the CHAMgFR. In other words, the CITY should be able to audit roecifically where the funds in the separate account relating to heel tax funds will be expended. The CITY shall not pay to the CHAMBER any hotel tax revenues as set forth in Section I. of this contract during any fiscal year of this Agreement unless a budget ' • for such respective fiscal year has been approved in writing by the • • Denton City Council authorizin(l the expenditure of funds in much section I. If excess funds under Section 1.2 (c) occur, the previously approved CHAMBER budget may need to be emended to conform with the funds allocated to CHAMBER in the CITY's budget if the CHAMBER budget previously approved by the CITY did not PAGE 4 I • 4a • 0 Agenda No _S__- (ate =1~2-.9.5_ specifically recognize the existence of such excess funds or the purposes for which such excess funds would be expended. (b) The CHAMBER acknowledges that the approval of such budget by the Denton City Council creates a fiduciary duty in the CHAMBER with respect to the hotel Lax fund, paid by the CITY to the CHAMBER under this Agreement. The CHAMB:R shall expend hotel tax funds only in the manner and for the purposes specified in S 351.101(a) TEX. TAX CODE and in the budget as approved by the CITY. 3.2 Separate Accounts. The CHAMBER shall maintain any hotel tax funds paid to the CHAMBER by the CITY in a separate account. 3.3 Financial Records. The CHAMBER shall maintain complete and accurate financial records of each expenditure of the hotel tax funds made by the CHAMBER and, upon reasonably advance written re- quest of the Denton City Council or the City's Executive Director of Finance or his designee, shall make such financial records available for inspection and review by the Denton City Council or the City's Executive Director of Finance or his designee. 3.4 Quarterly Reports. within thirty days after the end of every quarter, the CHAMBER shall furnish to the CITY (1) a performance report of the work performed under this Agreement, in the form determined by the City Manager describing the activities performed under this Agreement during that quarter, and (2) a list of the expenditures made with regard to hotel tax funds pursuant to the TEX.. TAX COVE ANN. S 351.101(c) (Vernon 1994). The CHAMBER shall promptly respond to any request from the City Manager of the CITY for additional information relating to the activities performed under this Agreement. 3.5 Notice of Meetings. The CHAMBER shall give the City Manager of the CITY reasonable advance written notice of the time and place of general meetings of the Denton Chamber of Commerce Board of Dir- ectors as well as any other meeting of any constituency of the CHAMBER at which this Agreement or any matter the subject of this Agreement shall be considered. This provision shall not be deemed • to require the CHAMBER to give notice of any executive session of the Executive Committee of the CHAMBER. IV. REIMBURSEMENT AND INDEMNIPICATION 4.1 Reimbursement of Chamber for Administrative Costs. In the event that this Agreement is terminated pursuant to Section 5.2(a), • the CITY agrees to reimburse the CHAMBER for any and all expenses and costs undertaken by the CHAMBER in performance of those activities specified in 2.1 above or expenses or costs incurred by the CHAMBER as described in 92.2 above. The CITY is obligated to reimburse the CHAMBER for expenses and costs as described in 92.2 above only for the period commencing upon the date notice of PAGE 5 { I { • O • 4~► • AordaNo Agvdaltem L -or termination is given and ending upon the date of termination. Further, this obligation shall be limited to the lesser of the actual expenses and costs incurred by the CHAMBER during the one hundred eighty day period preceding termination or the agreed payments otherwise due and payable to the CHAMBER for such period. 4.2 Reimbursement of Chamber for Contractual Obligations. In the evert that this Agreement is terminated pursuant to Section 5.2(a), the CITY agrees to reimburse the CHAMBER for any and all contractu- al obligations of the CHAMBER undertaken by the CHAMBER in perfor- mance of those services specified in 12.1 above, conditioned upon such contractual obligations having been incurred and entered into in the good faith performance of those services contemplated in 12.1 above, and further conditioned upon such contractual obliga- tions having a term not exceeding the full term of this Agreement. .notwithstanding any provision hereof to the contrary, the obliga- tion of the CITY to reimburse the CHAMBER or to assume the perfor- mance of any contractual obligations of the CHAMBER for or under any contract entered into by the CHAMBER as contemplated herein shall not exceed TEN THOUSAND DOLLARS ($10,000.00). Such monetary limitation is cumulative of all contractual obligations and shall not be construed as a monetary limitation on a per contract basis. 4.3 Payment of Reimbursement to Chamber. (a) with respect to expenses and costs incurred by the CHAMBER for which the CITY is obligated to reimburse the CHAMBER pursuant to 14.1 above, the CITY shall pay such reimbursement amount due, if any, to the CHAMBER on or before the forty-fifth (45th) day after the date of termination of this Agreement. (b) with respect to contractual obligations undertaken by the CHAMBER for which the CITY is obligated to reimburse the CHAMBER as provided in 14.2 above, the CITY shall reimburse the CHAMBER for such monetary obligations required in such contractual obligation in such amounts and at those times such contractual costs and expenses are due and payable according to the terms of such contract limitation set forth in 14.2 above. 4.4 indemnification. The CHAMBER 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 viability of whatever kind or character, arising out of or in connection with the performance by the CHAMBER or those services contemplated by this Agreement, including all such claims or causes 0 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 invitees. PAGE 6 1 • ~ p • Agondaltv~2. tote V1 Z~S 4.5 Insurance. The CHAMBER shall provide insurar:ce as follows: $500,000 Commercial General Liability Statutory Workers' Compensation and Employers' Liability ($250,000/$500,000/$250,000) $500,000 Business Automobile Liability The CITY must be named as an additional insured (except Workers' Compensation) and proof of coverage shall be submitted prior to any payment by the CITY. V. TERM AND TERMINATION 5.1 Term. The term of this Agreement shall commence on October 1, 1995 and terminate at midnight on September 30, 1997. This term shall be a period of two years. 5.2 Termination. (a) This Agreemen, ' may be terminated by either party by giving the other party one hundred eighty (180) days advance written notice. (b) This Agreement shall automatically terminate upon the occurrence of any of the following events (i) The termination of the corporate existence of the CHAMBER; (ii) The insolvency of the CHAMBER, the filing of a petition in bankruptcy, either voluntarily or involuntarily, or and assignment by the CHAMBER for the benefit of creditors; (iii) The continuation of a breach of any of the terms or conditions of this Agreement by either the CITY or the CHAMBER for more than thirty (30) days after written notice of such breach is given to the breaching party by the other • party; or (iv) The failure of the CHAMBER to submit a financial report which complies with the reporting procedures required herein and generally accepted accounting principles prior to the beginning of the next contract term. • VI. JENERAL PROVISIONS , 6.1 Subcontract for Performance of Services. Nothing in this Y • Agreement shall prohibit, nor he construed to prohibit, the agree- ment by the CHAMBER wi0i another privat<3 entity, person, or organi- zation for the performance of those services described in 12.1 above. In the event that the CHAMBER enters into any arrangement, PAGE 7 # 0 • Q • ApBndiNo S' ~ Aprdalter4~ contractual or otherwise, with such other ei.:ity, person or organi- zation, the CHAMBER shall cause such other entity, person, or orga- nization to adhere to, conform to, and be uubject to all provi- sions, terms, and conditions of this Agreemr.nt and to TEX. TAX CODE Chap. 351, including reporting requirements, separate `undo main- tenance, and limitations and prohibitions pertaining to expenditure of the agreed payments and hotel tax funds. 6.2 Acknowledgement of Denton Convention and Visitors Bureau. The CITY acknowledges that the services contemplated in this Agreement may be performed by the Denton Convention and Visitors Bureau, a j wholly-owned and managed entity within the CHAMBER. Any and all rights, bei,efita, obligations, and duties under this Agreement, including reporting requirements, separate funds maintenance, and limitations and prohibitions pertaining to the expenditure of the agreed payments and hotel tax funds, shall inure to the benefit and obligation of the Denton Convention and Visitors Bureau. The Bureau shall riot be construed to be a subcontractor or assignee under 16.1 or 16.4 of this Agreement. 6.3 Independent Contractor. The "iAMBER 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 the CITY. The CHAMBER shall have exclusive control of its operations and performance of services hereunder, and such persons, entities, or organizations performing the same and the CHAMBER shall be solely responsible for the acts and omissions of its directors, officers, employees, agents, and subcontractors. The CHAMBER shall not be considered a partner or joint venturer with the CITY, nor shall the CHAMBER be considered nor in any mariner hold itself out as an agent or official representative of the CITY. 6.4 Assignment. The CHAMBER shall not assign this Agreement without first obtaining the written consent of the CITY. 6.5 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 O MBEB If By Mail: City Manager PreAident City of Denton Denton Chamber of Commerce • • 215 E. McKinney Drawer P De,iton, TX 76201 Denton, TX 76202 J I PAGE 8 • 0 • r ~gerda No. ~ 4gen a+tem~..~ 6 Wet, if by hand-delivery: President Denton Chamber of Commerce 414 W. Parkway Denton, TX 76201 6.6 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 CHAMBER and their respective successors and assigns. 6.7 Application of Laws. All terms, conditions, and provisions of this Agreement are subject to all applicable federal laws, state laws, the Charter c~ the City of Denton, all ordinances passed pursuant thereto, and all judicial determinations relative thereto. 6.8 sxelusive 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 under- standings, oral or written, express or implied, between or among the parties hereto, relating to the subject matter of this agree- ment, which are not fully expressed herein. The terms and con- ditions of this Agreement shall prevail notwithstanding any variance in this Agreement frcm the terms and conditions of any other document relating to this transaction or these transactions. 6.9 Duplicate Originals. This Agreement is executed in duplicate originals. 6.10 Headings. The headings a,:d subheadings of the various sec- tions and paragraphs of this kcreement 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, • EXECU'T'ED this day of 1995, VIE CITY OF DENTON, TEXAS By: BOB CASTLEBERRY, MAYOR • , • PAGE 9 • o l.~ ,,,,a No 9 find I r. ATTEST: APPROVED AS TO LEGAL FORM: JENNIFER WALTERS, HERBERT L. PROUTY, CITY SECRETARY CITY ATTORNEY DENTON CHAMBER OF COMMERCE 1 By: _ resident ATTEST: APPROVED AS TO LEGAL FORM: By: By: Secretary e r \ c►mcf \x\owaec . c I i 1 PAnE 10 .1 f r +r ,r♦ nom,, My. l 1 y3Y • 41 • - A \FCCND, HOT ORDINANCE NO. AN ORDINANCE AUTHORI.ING THE MAYOR TO EXECUTE AN AGREEMENT BETWEEN THE CITY OF DENTON AND THE DENTON COUNTY HISTORICAL FOUNDATION FOR THE PAYMENT AND USE OF HOTEL TAX REVENUE; AND PROVIDING AN EFFECTIVE DATE. THE COUNCIL OF THE CITY OF OENTON HEREEY ORDAINS: SECTION 1. That the Mayor is hereby authorized to execute an agreement between the City of Denton and the Denton County Historical 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 immed- iately upon its passage and approval. PASSED %ND APPROVED this the day of 1995. BOB CASTLEBERRY, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY ♦ BY. _ • APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, PITY ATTORNEY r BY: ` a /i i it • 0 • ~ge~~a;tem ~ 6~ AGREEMENa BETWEEN THE CITY OF DENTON AND THE DENTON COUNTY HISTORICAL FOUNDATION (95-97) PROVIDING FOR THE PAYMENT AND USE OF HOTEL TAX REVENUE THIS AGREEMENT made between the City of Denton, Texas, a muni- cipal corporation (the "City"), and the Denton County Historical Foundation, a non-profit corporation incorporated under the laws of the State of Texas (the "Foundation"): WHEREAS, TEX. TAX CODE S 351.002 authorizes the CITY to levy by ordinance a municipal hotel occupancy tax ("hotel tax") not exceeding seven percent (7k) of the considerat'-on paid by a hotel occupant; and WHEREAS, by Ordinance 86-67, the CITY has provided for the assessment and collection of a municipal hotel occupancy tax in the City of Denton of seven percent (7i); and WHEREAS, TEX. TAX CODE 5351.101 (a) (5) authorizes the CITY to use revenue frorn its municipal hotel occupancy tax to promote tourism and the convention and hotel industry by performing historical restoration and preservation projects or activities or advertising and conducting solicitations and promotional programs to encourage tourists and convention delegates to visit preserved historic sites or museums at or in the immediate vicinity of convention center facilities, or located elsewhere in the munici- pality or its vicinity that would be frequented by tourists, convention delegates, or other visitors to the municipality; and WHEREAS, the FOUNDATION is well equipped to perform those activities; and WHEREAS, TEX. TAX CODE 5351.101 (c) authorizes the CITY to delegate by contract with the FOUNDATION as a private o,:ganization 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 covenanto and premises contained herein, the CITY and the FOUNDATION agree and contract as follows; 1. HOTEL TAX REVENUE PAYMENT TO FOUNDATION • 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"). I i genoaNo L' 0 1.9 Amount of Payments to Foundation. (a) As used in this agreement, the following terms shall have the following specific meanings: (i) The "hotel tax revenue" shall mean the monies col- lected and received by the CITY during any relevant period of time (i.e., fiscal year or fiscal quarter) as municipal hotel occupancy tax at the rate of seven percent (7!) of the price paid for a room in a hotel, pursuant to TEX. TAX CODE 5351.002 and City Ordinance 86-87, together with and including any sums of money received by the CITY from taxpayers during any relevant fiscal quarter or calendar month as attorney's fees, court costs, or other expenses of collection of hotel tax, but excluding interest and penalties received by the CITY from taxpayers. (ii) The term "base payment amount" shall mean an 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) such amounts incurred during such relevant period of time for costa of collection of hotel taxes from taxpayers or auditing taxpayers for tax payment compli- ance, such collection and auditing costs to include fees paid to attorneys or agents not in the regular employ of the CITY and which attorneys or agents effect collection of the hotel tax from taxpayers or audit such taxpayors; and (2) court costs and expenses incurred in litigation against or auditing of such taxpayers. (b) The CITY shall pay to FOUNDATION an amount of money equal to eighty-six one hundredths of a percent (.86%) of the base payment amount for the period of October 1, 1995, through September 30, 1996 or Four Thousand Six Hundred Eighty Dollars ($4,680.00), whichever is less. (c) The CITY shall pay to FOUNDATION an amount of money equal to eighty-six one hundredths of a percent (.86t) of the base payment amount for the period of October 1, 1996, through September 30, 1997 or Four Thousand Seven Hundred Seventy-four Dollars ($4,774), whichever is less, plus such amount, if any, collected over $4,680.00 in the 95-96 budget year based on .86% of the base payment amount for the period of October 1, 1995, through September 30, 1996. (d) Should the CITY execute a new contract with FOUNDATION to ' be effective for the 1997-1998 budget year, in addition to the per- centage of the base payment amount authorized by the City Council to be paid to FOUNDATION for the period from October 1, 1997, through September 30, 1998, the FOUNDATION shall also receive such PAGE 2 • 0 • ~Grda NOI S ' U 3Z. Lgenda1tem 4-/ LS amount, if any, collected over $4,774 in the 96-97 budget year based on .864 of the base payment amount for the period of October 1, 1996, through September 30, 1997, unless the parties to the new contract negotiate different payment terms. 1.3 Datem of Payments to Foundation. (a) The term "quarterly payments" shall mean pay►''ents by the CITY to the FOUNDATION of those amounts specified in 11.2 above as determined by the hotel tax revenue collected by the CITY during any one fiacal gpiarter during the term of this Agreement. (b) CITY shall pay the FOUNDATION the agreed payments speci- fied in 11.2 above by quarterly payments paying eighty-six one hundredths of a percent (.864) of the base payment amount (quar- terly) for the first three quarters of each fiscal year and the percentage of the base payment amount for the last quarter of each fiscal year shall be adjusted so that the total of the quarterly base payment amounts shall not exceed Four Thousand Six Hundred Eighty Dollars ($4,680.00) during the 1995-96 fiscal year and Four Thousand Seven Hundred Seventy-four Dollars ($4,774.00) for the 1996-97 fiscal year. Each such quarterly payment shall be paid to the FOUNDATION on or before the forty-fifth (45th) day after the last day of such respective fiscal quarter for which such payment is due. If quarterly financial and performance reports are not received within thirty (30) days of the end of the applicable quarter, then CITY may withhold the quarterly payment(s) until the appropriate reports are received and approved. (c) 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. (d) It is expressly understood that this contract in no way obligates the General Fund or any other monies or credits of the CITY. II. USE OF HOI, TAX REVENUE BY FOUNDATION 2.I Use of Funds. For and consideration of the payment by the CITI to the FOUNDATION cf the agreed payments of hotel tax funds specified above, the FOUNDATION agrees to use such hotel tax funds only for the following purposes; (a) advertising and conducting solicitations and promotional O programs to attract tourists and convention delegates or regis- trants to the municipality or its vicinity; and PAGE 3 • ca • Z Agenda No i~J ~-';'~}--~3 i Agenda! fed5 _ -l~ Dated r-Z - (b) historical restoration and preservation projects or activities or advertising and conducting solicitations and prcmo- tional programs to encourage tourists and convention delegates to visit preserved historic sites or museums; (i) at or in the immediate vicinity of convention center facilities or visitor information centers; or (ii) located elsewhere in the municipality or its vicinity that would be frequented by tourists and convention delegates. as authorized by TEX. TAX CODE 5 351.101(a)(2)-(5). 2.2 Administrative Costs. The hotel tax funds received from the CITY by the FOUNDATION may be spent for day-to-day operations, sup- plies, salaries, office rental, travel expenses, and other admini- strative costs that are incurred directly in the performance by the FOUNDATION of those activities specified in 12.1 above and are allowed by TEX. TAX CODE 5 351.101(f). 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 12.1 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 tourism and the convention and hotel industry or the performance of the person's job in an efficient and professional manner. III. RECORD KEEPING AND REPORTING REQUIRENENTs 3.1 Budget. • (a) On or before August 15th of each calendar year during th,:- term of this Agreement, the FOUNDATION shall prepare and submit to the City Manager of the CITY an annual budget for the next ensuing fiscal year of this Agreement for the FOUNDATION and any other operation or function of the FOUNDATION in which the hotel tax funds shall be used by the FOUNDATION. This budget ahnll specifi- cally identify proposed expenditure of hotel tax funds by the • FOUNDATION. In other words, thu CITY should be able to audit • • specifically where the funds in the separate account relating to hotel tax funds will be expended. The CITY shall not pay to the FOUNDATION any hotel tax re'enues as set forth in Section I. of this contract during any fiscal year of this Agreement unless a PAGE 4 • ca • ~S X12 geMaNo. f 1 , Ager~ tem~.R [~,eQ-L:2~ budget for such respective fiscal year has been approved in writing by the Denton City Council authorizing the expenditure of funds in such Section I. If excess funds under Section 1.2 (c) occur, the previously approved FOUNDATION budget may need to be amended to conform with the funds allocated to FOUNDATION in the CITY's budget if the FOUNDATION budget previously approved by the CITY did not specifically recognize the existence of such excess funds or the purposes for which such excess funds would be expended. (b) The FC'JNDATION acknowledges 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 S 351.101(a) TEX. TAY. CODE 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. 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 and, upon reasonably advance written request of the Denton City Council or the City's Executive Director of Finance or his designee, shall make such financial records available for inspection and review by the Denton Cicy Council or the City's Executive Director of Finance or hie designee. 3.4 Quarterly Reports. Within thirty days after the end of every quarter, the FOUNDATION shall furnish to the CITY (1) a performance report of the work performed under this Agreement, in the form deter^iined by the City Manager describing the activities performed under this Agreement during that quarter, and (2) a list of the expenditures made with regard to hotel tax funds pursuant to the TEX. TAX CODE ANN. S 351.101(c) (Vernon 1999). The FOUNDATION shall promptly respond to any request from the City Manager of the CITY for additional information relating to the activities • performed under this Agreement. 3.' Notice of Not tings. The FOUNDATION shall give the City Manager of the CITY reasonable advance written notice of the time and place of general meetings of the Denton County Historical Foundation Boar! 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. J PAGE 5 • _ w f Agenda H!~ Q S ' U _ Ager ahem Oa!e - IV. REIMBURSEMENT AND INDEMNIFICATION 4.1 Reimbursement of Foundation for Administrative Costa. In the event that this Agreement is terminated pursuant to Section 5.2(a), the CITY agrees to reimburse the FOUNDATION for any and all expenses and costs undertaken by the FOUNDATION in performance of those activities specified in 12.1 above or expenses or costs incurred by the FOUNDATIO14 as described in 12.2 above. The CITY is obligated to reimburse the FOUNDATION for expenses and costs as described in 12.2 above only for the period commencing upon the date notice of termination is given and ending upon the date of termination. Further, this obligation shall be limited to the lesser of the actual expenses and costs incurred by the FOUNDATION during the one hundred eighty day period preceding termination or the agreed payments otherwise due and payable to the FOUNDATION for such period. 4.2 Reimbursement of Foundation for Contractual Obligations. In the event that this Agreement is terminated pursuant to Section 5.2(a), the CITY agrees to reimburse the FOUNDATION for any and all contractual obligations of the FOUNDATION undertaken by the FOUNDATION in performance of those services specified in 12.1 above, conditioned upon such contractual obligations having been incurred and entered into in the good faith performance of those services contemplated in 12.1 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 FOUNDA- TION 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 FIVE HUNDRED DOLLARS ($500.00). Such monetary limitation is cumulative of all contractual obligations and shall not be construed as a monetary limitation on a per contract basis. 4.3 Payment of Reimbursement to Foundation. • (a) With respect to expenses and costs incurred by the FOUNDATION for which the CITY is obligated to reimburse the FOUNDATION pursuant to 14.1 above, the CITY shall pay such reimbursement amount due, if any, to the FOUNDATION on or before the forty-fifth (45th) day after the date of termination of this Agreement. (b) With respect to contractual obligations undertaken by the • ' FOUNDATION for which the CITY is obligated to reimburse the f FOUNDATION as provided in 14.2 above, the CITY shall reimburse the FOUNDATION for such lonetary obligations required in such contrac- tual obligation in such amounts and at those times such contractual PAGE 6 • 0 • uger)da No l - Agenda!totr LP (k)e.3__, costs and expenses are due and payable according to the terms of such contract limitation set forth in 14.2 above. 4.4 Indemnification. The FOUNDATION agrees to indemnify, hold harmless, and defend the CITY, its officers, agents, and employees from and against any a„~ all cl~i:.:a 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 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 FOUNDATION, its officers, employees, agents, subcontractors, licensees and invitees. V. TERN AND THRMINATION 5.1 Term. The term of this Agreement shall commence on October 1, 1995 and terminate at midnight on September 30, 1997. This term shall be a period of two years. 5.2 Termination. (a) This Agreement may be terminated by either party by giving the other party one hundred eighty (180) days advance written notice. (b) This Agreement shall automatically terminate upon the occurrence of any of the following events: (i) The termination of the corporate existence of the FOUNDATION; (ii) The insolvency of the FOUNDATION, the filing of a petition in bankruptcy, either voluntarily or involuntarily, or and assignment by the FOUNDATION for the benefit of creditors; • (iii) The continuation of a breach of any of the terms or conditions rf 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 breach`; party by the other party; or (iv) The failure of the FOUNDATION to submit a financial • report which complies with the reporting procedures required herein and generally accepted accounting principles prior to • • the beginning of the next contract term. i i PAGE 7 • ca • Agooda1te0_t_5-ice Date Z - VI. OZNZRAL PROVISIONS 6.1 subcontract for Performance of Services. Nothing in this Agreement shall prohibit, nor be construed to prohibit, the agree- ment by the FOUNDATION with another private entity, person, or organization for the performance of those services described in 12.1 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 Chap. 351, including reporting requirements, separate funds maintenance, and limitations and prohibitions pertaining to expenditure of the agreed payments and hotel tax funds. 6.2 Independer .:ontractor. The FOUNDATION shall operate as an independent cot.cractor as to all services to be performed under this Agreement and not as an officer, agent, servant, or employee of the CITY. The FOUNDATION shall have exclusive control of its operations and performance of services hereunder, and such persons, entities, or organizations performing the same 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 minner hold itself out as an agent or official representative of the Ci-rY. 6.3 Assignment. The FOUNDATION shall not assign this Agreement without first obtaining the written consent of the CITY. 6.4 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 1 the respective parties as follows: • CITY FOUNDATjQN J City Manager Chair, Board of Trustees City of Denton Denton County Historical Foundation 215 E. McKinney P. O. Box 2184 Demon, TX 76201 Denton, TX 76202 I 1 6.5 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 C?TY and the FOUNDATION and their respective successors and assigns. PAGE 8 • O I Nei y 'A ~ w•lS • tige~aNo ~.S' ~3Z. +gen Ite ~ Date 6.6 Application of Lava. 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 determin=lions relative thereto. 6.7 =xelumive 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 under- standings, oral or written, express or implied, between or among the parties hereto, relating to the subject matter of this agree- ment, which ar3 not fully expressed herein. The terms and con- ditions of tnis 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. 6.8 Duplicate Originals. This Agreement is executed in duplicate originals. 6.9 Heading. The headings and subheadings of the various sec- tions 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. EXECUTED this day of 1995. THE CITY OF DENTON, TEXAS By: BOB CASTLEBERRY, MAYOR ATTEST: APPROVED AS TO LEGAL FORM: • By: By: "/,o /..7 / I / JENNIFER WALTERS, HERBERT L. PROUTY, CITY SECRETARY CITY ATTORNEY • DENTON COUNTY HISTORICAL FO ATION • By: C r, Boar o Truste PAGE 9 I • T , C 4gend ate f ttat~ - 2- 9 ATTEST: APPROVED AS TO LEGAL FORM: By: By: Secretary 11 i l: \MPDXN\X%F0UWMTl0M.I PAGE 10 . • t .tr.,..r r ilk .irrJT w'~tl.~+ . Y, t • • A: \M166W . Har AnKda% Age WaI WLRZ.~~ oats - ORDINANCE NO. AN ORDINANCE AUTHORIZING THE MAYOR TO EXECUTE AN AGREEMENT BETWEEN THE CITY OF DENTON AND THE DENTON COUNTY HISTORICAL MUSEUM 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 Museum 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 immed- iately upon its passage and approval. PASSED AND APPROVED this the day of r , 1995. BOB CASTLEBERRY, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY BY: A"z~X''e_ / ~e~ • 0 0 Ar~ertOaNo..~~ Ageedaltem. AGREEIORNT BETWIEN THE CITY OF DENTON AND THE DENTON COUNTY HISTORICAL NUSEUN (95-97) PROVIDING FOR THE PAYNINT AND USE OF HOTEL TAI REVENUE THIS AGREEMENT made between the City of Denton, Texas, a muni- cipal corporation (the "City"), and the Denton County Historical museum, a non-profit corporation incorporated under the laws of the State of Texas (the "Museum"): WHEREAS, TEX. TAX CODE S 351.002 authorizes the CITY to levy by ordinance a municipal hotel occupancy tax ("hotel tax") not exceeding seven percent (7t) of the consideration paid by a hotel occupant; and WHEREAS, by Ordinance e6-67, the CITY has provided for the assessment and collection of a municipal hotel occupancy tax in the City of Denton of seven percent (M ; and WHEREAS, TEX. TAX CODE 5351.101 (a) (5) authorizes the CITY to use revenue from its municipal hotel occupancy tax to promote tourism and the convention and hotel industry performing historical restoration and preservation projects or activities or advertising and conducting solicitations and promotional programs to encourage tourists and convention delegates to visit preserved historic sites or museums at or in the immediate vicinity of convention center facilities, or located elsewhere in the municipality or its vicinity that would be frequented by tourists, convention dele- gates, or other visitors to the municipality; and WHEREAS, the MUSEUM is well equippt3 to perform those activities; and WHEREAS, TEX. TAX CODE 5351.301 (c) authorizes the CITY to 1 delegate by contract with the MUSEUM as a private organization 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 MUSEUM agree and contract as follows; 1. HOTEL TAX REVENUE PAYMENT TO MUSEUM 1.1 consideration. For and in consideration of the activities to • • be performed by the MUSEUM under this Agreement, the CITY agrees to pay to the MUSEUM 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 MUSEUM sometimes herein referred to as "the agreed payments" or "hotel tax funds"). • ca • QgerMaNo 9S - U Agon¢a!tem 1.2 Amount of Payments to Museum. (a) As used in this agreement, the following terms shall have the following specific meanings: (i) The "hotel tax revenue" shall mean the monies col- lected and received by the CITY during any relevant period of time (i.e., fiscal year or fiscal quarter) as municipal hotel occupancy tax at the rate of seven percent (7t) of the price paid for a room in a hotel, pursuant to TEX. TAX CODE 5351.002 and City Ordinance 86-87, together with and including any sums of money received by the CITY from taxpayers during any relevant fiscal quarter or calendar month as attorney's fees, court costs, or other expenses of collection of hotel tax, but excluding interest and penalties received by the CITY from taxpayers. (ii) The term "base payment amount" shall mean an 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) such amounts incurred during such relevant period of time for costs of collection of hotel taxes from taxpayers or auditing taxpayers for tax payment compli- ance, such collection and auditing costs to include fees paid to attorneys or agents not in the regular employ of the CITY and which attorneys or agents effect collection of the hotel tax from taxpayers or audit such taxpayers; and (2) court costs and expenses incurred in litigation against or auditing of such taxpayers. (b) The CITY shall pay to MUSEUM an amount of money equal to eleven and eighty-six one hundredths of a percent (11.86%) of the base payment amount for the period of October 1, 1995, through September 30, 1996 or Sixty-four Thousand Seven Hundred Forty Dollars ($64,740.00), whichever is less. (c) The CITY shall pay to MUSEUM an amount of money equal to • eleven and eighty-six one hundredths of a percent (11.861) of the base payment amount for the period of October 1, 1996, through September 30, 199' or Sixty-six Thousand Thirty-five Dollars ($66,035.00), whichever is less, plus such amount, if any, collected; over $64,740 in the 95-96 budget year based on 11.86t of the base payment amount for the period of October 1, 1995, through September 30, 1996. • (d) Should the CITY execute a new contract with MUSEUM to be ~ ~ • effective for the 1997-1998 budget year, in addition to the per- centage of the base payment amount authorized by the City Council to be paid to MUSEUM for the period from October 1, 1957, through September 30, 1998, the MUSEUM shall also receive such amount, if any, collected over $66,035 in the 96-97 budget year based on 11.861 of the base payment amount for the period of October 1, PAGE 2 • • .~32 Apaadalt ~%J1 . Date- - r 1996, through September 30, 1997, unless the parties to the new contract negotiate different payment terms. 1.3 Dates of Payments to Museum. (a) The term "quarterly payments" shall mean payments by the CITY t3 the MUSEUM of those amounts specified in 11.2 above as determined by the hotel tax revenue collected by the CITY during any one fiscal quarter during the term of this Agreement. (b) CITY shall pay the MUSEUM tbi agreed payments specified in 11.2 above by quarterly payments paying eleven and eighty-six one hundredths of a percent (11.86%) of the base payment amount (quarterly) for the first three quarters of each fiscal year and the percentage of the base payment amount for the last quarter of each fiscal year shall be adjusted so that the total of the quarterly base payment amounts shall not exceed Sixty-four Thousand Seven Hundred Forty Dollars ($64,740.00) during the 1995-96 fiscal year and Sixty-six Thousand Thirty-five Dollars ($66,035.00) for t'a 1996-97 fiscal year. Each such quarterly payment shall be paid to the MUSEUM on or before the forty-fifth (45th) day after the last day of such respective fiscal quarter for which such payment is due. If quarterly financial and performance reports are not received within thirty (30) days of the end of the applicable quarter, then CITY may withhold the quarterly payment (a) until the appropriate reports are received and approved. (c) The funding of this project in no way commits thn CITY to future funding of this program beyond the current contract period. Any future funding is Solely the responsibility of the MUSEUM. (d) It is expresialy understood that this contract in no way obligates the General Fund or any ether monies or credits of the CITY. II. USE OF HOTEL TAX REVENUE BY MUSEUM 2.1 Use of Puads. For and in consideration of the payment by the • CITY to the MUSEUM of the agreed payments of hotel tax funds ! specified above, the MUSEUM agrees to use such hotel tax funds only for the following purposes: (a) advertising and conducting solicitations and promotional programs to attract tourists and convention delegates or regis- • trants to the municipality or its vicinity; and , (b) historical restoration and preservation projects or activities or advertising and conducting solicitations and promo- tional programs to encourage tourists and convention delegates to visit preserved historic sites or museums; (i) at or in the immediate vicinity of convention center facilities or visitor information centers; or PAGE 3 O 0 • 0 • g nrda No Appdallow (ii) located elsewhere in the municipality or its vicinity that would be frequented by tourists and convention delegates. as authorized by TEX. TAX CODE S 351.101(a)(2)-(5). 2.2 Administrative Costs. The hotel tax funds received from the CITY by the MUSEUM may be spent for day-to-day operations, sup- plies, salaries, office rental, travel expenses, and other admini- strative costs that are incurred directly in the performance by the MUSEUM of those activities specified in 42.1 above and are allowed by TEX. TAX CODE S 351.101(f). 2.3 Specific Restrictions on Use of Ponds. (a) That portion of total administrative costs of the MUSEUM for which hotel tax funds may be used shall not exceed that portion of the MUSEUM'S administrative costs actually incurred in con- ducting the activities specified in 12.1 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 tourism and the convention and hotel industry or the performance of the person's job in an efficient and professional manner. III. RZCORD RZZPING AND RZPORTINQ RZQUIREMZNTS 3.1 Budget. (a) On or before August 15th of each calendar year during the term of this Agreement, the MUSEUM shall prepare and submit to the City Manager of the CITY an annual budget for the next ensuing fis- cal year _~L this Agreement for the MUSEUM and any other operation or function of the MUSEUM in which the hotel tax funds shall be used by the MUSEUM. This budget shall specifically identify proposed expenditure of hotel tax funds by the MUSEUM. In other words, the CITY should be able to audit specifically where the • funds in the separate account relating to hotel tax funds will be expended. The CITY shall not pay to the MUSEUM any hotel to revenues as set forth in Section I. of this contract during any fiscal year of this Agreement unless a budget for such respective fiscal year has been approved in writing by the Denton City Council authorizing the expenditure of funds in such Section I. If excess funds under Section 1.2 (c) occur, the previously approved MUSEUM • budget may need to be amended to conform with the funds allocated • to MUSEUM in the CITY's budget if the MUSEUM budget previously approved by the CITY did not specifically recognize the existence of such excess funds or the purposes for which such excess funds would be expended. PAGE 4 {I NOW 0 a 0 AMA 4gerroaNo _ o 3 4gand; !to (b) The MUSEUM acknowledges that the approval of such budget by the Denton City Council creates a fiduciary duty in the MUSEUM with respect to the hotel tax funds paid by the CITY to the MUSEUMI under this Agreement. The MUSEUM shall expend hotel tax funds only in the manner and for the purposes specified in 5 351.101(a) TEX. TAX CODE and in the budget as approved by the CITY. 3.2 Separate Accounts. The MUSEtN shall maintain any hotel tax funds paid to the MUSEUM by the CITY in a separate account. 3.3 Financial Records. The MUSEUM shall maintain complete and accurate financial records of each expenditure of the hotel tax funds made by the MUSEUM and, upon reasonably advance written re- quest of the Denton City Council or the City's Executive Director of Finance or his designee, shall make such financial records available for inspection and review by the Denton City Council or the City's Executive Director of Finance or his designee. 3.4 Quarterly Reports. within thirty days after the end of every quarter, the MUSEUM shall furnish to the CITY (1) a performance report of the work performed under this Agreement, in the form determined by the City Manager describing the activities performed under this Agreement during that quarter, and (2) a list of the expenditures made with regard to hotel tax funds pursuant to the TEX. TAX CODE ANN. S 351.101(c) (Vernon 1994). The MUSEUM shall promptly respond to any request from the City Manager of the CITY for addit;onal information rela-ing to the activities performed under this Agreement. 3.5 Notice of Meetings. The MUSEUM shall give the city Manager of the CITY reasonable advance written notice of the time and place of general meetings of the Denton County Historical Museum Board of Directors as well as any other meeting of any constituency of the MUSEUM at which this Agreement or any matter the subject of this Agreement shall be considered. This provision shall not be deemee to require the MUSEUM to give notice of any executive sessior of the Executive Committee of the MUSEUM. 0 IV. RRINBURSWENT AND INDEMNIFICATION 4.1 Reimbursement of Museum for Administrative Costs. In the event that this Agreement is terminated pursuant to Section 5.2(a), the CITY agrees to reimburse the MUSEUM for any and all expenses and costs undertaken by the MUSEUM in performance of those o activities specified in 12.1 above er expunses or costs incurred by the MUSEUM as described in 52.2 above. The CITY is obligated to i reimburse the MUSEUM for expenses and costs as described in 12.2 above only for the peric)d commencing upon the date notice of termination is given and ending upon the date of termination. Further, this obligation shall be limited to the lesser of the actual expenses and tests incurred by the MUSEUM during the one hundred eighty day period preceding termination or the agreed payments otherwise due and payable to the MUSEUM for such period. PAGE 5 • cs • ~S-U 3Z. AgaaCaNa. 7 ~ 4.2 Reimbursement of Museum for Contractual Obligations. In the event that thi9 Agreement is terminated pursuant to Section 5.2(a), the CITY agrees to reimburse the MUSEUM for any and all contractual obligations of the MUSEUM undertaken by the MUSEUM in performance of those services specified in 12.1 above, conditioned upon such contractual obligations having been incurred and entered into in the good faith performance of those services contemplated in 12.1 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 obliga- tion of the CITY to reimburse the MUSEUM or to assume the perfor- mance of any contractual obligations of the MUSEUM for or under any contract entered into by the MUSEUM as contemplated herein shall not exceed THREE THOUSAND DOLLARS ($3,000.00). Such monetary limitation is cumulative of all contractual obligations and shall not be construed as a monetary limitation on a per contract basis. 4.3 Payment of Reimbursement to Museum. (a) With respect to expenses and costs incurred by the MUSEUM for which the CITY is obligated to reimburse the MUSEUM pursuant to 14.1 above, the CITY shall pay such reimbursement amount due, if any, to the MUSEUM on or before the forty-fifth (45th) day after the date of termination of this Agreement. (b) With respect to :ontractual obligations undertaken by the MUSEUM for which the CI?Y is obligated to reimburse the MUSEUM as provided in 14.2 above, the CITY shall reimburse the M113EUM for such monetary obligations required in such contractual obligation in such amounts and at those times such contractual costs and expenses are due and payable according to the terms of such contract limitation set forth in 14.2 above. 4.4 Indemnification. The MUSEUM 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, less, or liability of whatever kind or character, arising out of or in connection with the performance by the MUSEUM or those services contemplated by this Agreement, including all such claims or causes of action based upin 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. 4.5 Insurance. The MUSEUM shall provide insurance as follows; $500,000 Commercial General Liability Statutory workers' Compensation and Employers' Liability ($250,000/$500,000/$250,000) $500,000 Business Automobile Liability PAGE b • 0 • a • n a~or~a ~e ~S ~ 3 ~ ~7 A~er.';em n~~..~p The CITY must be named as an additional insured (except Workers' Compensation) and proof of coverage shall be submitted prior to any payment by the CITY. V. TERM AND TERMINATION 5.1 Term. The term of thia Agreement shall commence on October 1, 1995 and terminate at midnight on September 30, 1997. This term shall be a period of two years. 5.2 Termination. (a) This Agreement may be terminated by either party by giving the other party one hundred eighty (160) days advance written notice. (b) This Agreement shall automatically terminate upon the occurrence of any of the following events: (i) The termination of the corporate existence of the MUSEUM; (ii) The insolvency of the MUSEUM, the filing of a petition in bankruptcy, either voluntarily or involuntarily, or and assignment by the MUSEUM for the benefit of creditors; (iii) The continuation of a breach of any of the terms or conditions of this Agreement by either the CITY or the MUSEUM for more than thirty (30) days after written notice of ?i:oh breach is given to the breaching party by the other party; or (iv) The failure of the MUSEUM to submit a financial report which complies with the reporting procedures required herein and generally accepted accounting principles prior to the beginning of the next contract term. • VI. GENERAL PROVISIONS 6.1 Subcontract for Performance of Servicae. Nothing in this Agreement shall. prohibit, nor be construed to prohibit, the agree- ment by the MUSEUM with another private entity, person, or organi- zation for the performance of those services described in 12.1 above. In the event that the MUSEUM enters into any arrangement, • contractual or otherwise, with such other entity, person or organi- zation, the MUSEUM shall cause such other entity, person, or orga- nization to adhere to, conform to, aid be subiect to all provi- sions, terms, and conditions of this Agreement and to TEX. TAX CODE Chap. 351, including reporting requirements, separate funds main- tenance, and limitations and pr,)hibitions pertaining to expenditure of the agreed payments and hotel tax funds. i PAGE 7 • 0 • A • Agenda No ~ Agor-ea'tenQ.S...M cite 9-! 3~~ 6.2 Independent Contractor. The MUSEUM 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 the CITY. The MUSEUM shall have exclusive control of its operations and performance of services hereurder, and such persons, entities, or organizations performing the same and the MUSEUM shall be solely responsible for the acts and omissions of its directors, officers, employees, agents, and subcontractors. The MUSEUM shall not be considered a partner or joint venturer with the CITY, nor shall the MUSEUM be considered nor in any manner hold itself out as an agent or official representative of the CITY. 6.3 Assignment. The MUSEUM shall not assign this Agreement without first obtaining the written consent of the CITY. 6.4 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 MUSE~ City Manager Chair, Board of Trustees City of Denton Denton County Historical Museum 215 E. McKinney P. O. Box 2800 Denton, TX 76201 Denton, TX 76202 6.5 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 MUSEUM and their respective successors and assigns. 6.6 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. • 6.7 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 under- standings, oral or written, ;xpress or implied, between or among • the parties hereto, relating to the s-sbject matter of this agree- ment, which are not fully expressed herein. The terms and con- ditions of this Agreement shall prevail notwithstanding any variarcd in this Agreement from the terms and conditions of any i o~.her document relating to this transaction or these transactions. 6.8 Duplicate originals. This Agreement is executed in duplicate originals. ii PAGE 8 JiJ d • 0 • p • 1 q ~3Z gondaNo. +gortdalie C.9 Headings. The headings and subheadings of the various sec- tions 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. EXECUTED this S day of 1995. THE CITY OF DENTON, TEXAS By: BOB CASTLEBERRY, MAYOR ATTEST: APPROVED %TO LEGAL FORM:. By: By: ✓F/ JENNIFER HALTERS, HERBERT L. PRO 1, CITY SECRETARY CITY ATTORNEY DENTON COUNTY HISTORICASEUM By: C r, Boar o Truees ATTEST: APPROVED AS TO LEGAL FORM: By: By: - Secretary t:\MFDOt/\RVOYfI?1, R • PAGE 9 1 i • A.. QDAC, NOT Ag"aNo. S- 03 T Ageq,;alt ,(7 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 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 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 II. That this ordinance shall become effective immed- iately upon its passage and approval. PASSED AND APPROVED this the _ day of , 1995. BOB CASTLEBERRY, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY BY : G^ c •~J 1 • a • 4gertdaNo u A dt~ ma, AGREEMENT BETWEEN THE CITY OF DENTON AND THE GREATER DENTON ARTS COUNCIL (9S-91) PROVIDING FOR THE PAYMENT AND USE OF HOTEL TAX REVENUE THIS AGREEMENT made between the City of Denton, 'T'exas, a muni- cipal 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 5 351.002 authorizes the CITY to levy by ordinance a municipal hotel occupancy tax ("hotel tax") not exceeding seven percent (7t) of the consideration paid by a hotel occupant; and WHEREAS, by ordinance 86-67, the CITY has provided for the assessment and collection of a municipal hotel occupancy tax in the City of Denton of seven percent (7t); and WHEREAS, TEX. TAX CODE 5351.101 (a) (4) authorizes the CITY to use revenue from its municipal hotel occupancy tax to promote tourism and the convention and hotel industry for the encourage- ment, 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 forme; and WHEREAS, the GDAC is well equipped to perform those activi- ties; and WHEREAS, TEX. TAX CODE 5351.101 (c) authorizes the CITY to delegate by contract with the GDAC as a private organization the management and supervision of programs and i.:tivities 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 GDAC agree and contract as follows; 1. HOTEL TAX REVENUE PAYMENT TO GDAC 0 1.1 Consideration. For and in consideration of the activities to • • be performed by the GDAC under this Agreement, the CITY agrees to pay to the GDAC 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 GDAC sometimes herein referred to as "the agreed payments" or "hotel tax funds"). 0 0 • a • I.2 Amount of Payments to ODAC. a) As lsed in -nia 39reement, the 1011Vwiny tetme shall have the following spectr_c neanrngw: The 'ncte_ tax revenue" anall meal the 11onlea col :.ected and reae.ved oy :'ne VY 3111iny 1Vy relevant per LOd It time ;i.e.. tistal yeas ....cal 4uattell <La ,unripe' hotel ccnipancy tax at tie tate It seven pairrnt l71? of the price Paid tor 3 roan in a .`rote' putsuant to 'I EX. '['A.\ CvU6 9351 . DO : and City 1dinance ie 3', t,-,q_etlLer 'with _rtd .noluding any swmd cf money received by ':'::e W ITY trom taxl>ayejk; ,9uriny any relevant t.3ta. ';ua:%sr It _31e11dar month 38 attolt:ay's fees, court _vocs, or :Chet expensea 'A volkaL inn of hotel tax, but excludlnq interest 3.711 paNal! _as cecci.ved by Che WIT atom taxpayerg, Cne '_LM °013e !`lymeant 40O01n1" shall 'Ileac 3n Amount. _t Toney equal *10 the tot;t. hvtoi tax revenue _ol.lecta:l by the CITY dur!ng any relevant peti d or time I.S. Kneal yeaL of t:scal ;,alter .e44 sUCh 1moUnty tncU1.10d 1111 my such rKavar.t cert.:d of time rei woaty :)t col'ection of hotel taxes tram taxpayers of suditrny 13xpayetd tot tax payment oomph a.^.Ce, 3UVh .W1le.t L..n and 3Udlt Lng Coaty to LnViUde twig pa Ld _ attorneys agents not in the tegUlaL employ of the CAY and which att_rneys of agents ette:t collection of the hoLoL tax from taxpayers at 3udll su 'h taxpayera; and (2) cuutt costs and expende3 LP.:utr'A in 1iti.7ation a9dinSt ox auditing at such taxpayers. b The CITY shall ;3y to 00A. an amount of money equal Lu thirteen and twenty-nine one hundte.ithe of a peroant (13.291) at the base payment amount for the petiot of October 1, 1995, thtouyh September 30, 1936 or Seventy two Thousand Five Y.urvjred Forty. Dollars ($'2,540.001, whichever is less. ;e, The CITY shall pay to GDAW an amount of matey equal to thirteen and twenty nine one hundredths of a percent (13.291) of • the base payment amount tot the period of October 1, 1996, through September 30, 1997 or ::evenly-three Thousand Nina Hundrad Ninety cne Dollars ($73.991). whichever is less, plua Such amount, it any, collected over $73,540.00 in the 95 96 budget year based on 13.291 of the base payment amount tot the perioi cat Octc+oi 1, 1995, through September 30, 1936. • ld) Should the CITY execute a new contract with WAC to be , • • effective for the 1997 1998 budget yeat, in Wil tion to the pet tentage of the base payment amount authotized by the City Council to be paid to CPAC for the. petiod ttum C? tnbei 1, 1997, tkcnyh September 30, 1998, the GWAC shall also receive such amowct, it any, collected over $73,991 in the 96 91 budget year based un 13.391 of the base payment amount tut the period ut ( tobet l'AG H: 2 • ~ a • ~omlaNo - (%3 ? 1996, through September 30, 1997, unless the parties to the new contract negotiate different payment terms. 1.3 Dates of Payments to GDAC. (a) The term "quarterly payments" shall mean payments by the CITY to the GDAC of those amounts specified in J1.2 above as determined by the hotel tax revenue collected by the CITY during any one fiscal quarter during the term of this Agreement. (b) CITY shall pay the GDAC the agreed payments specified in 11.2 above by quarterly payments paying thirteen and twenty-nine one hundredths of a percent (13.291) of the base payment amount (quarterly) for the first three quarters of each fiscal year and the percentage of the base payment amount for the last quarter of each fiscal year shall be adjusted so that the total of the quarterly base payment amounts shall not exceed Seventy-two Thousand Five Hundred Forty Dollars ($72,540.00) during the 1995-96 fiscal year and Seventy-three Thousand Nine Hundred Ninety-one Dollars ($73.991.00) for the 1996-97 fiscal year. Each such quarterly payment shall be paid to the GDAC on or before the forty- fifth (45th) day after the last day of such respective fiscal quarter for which such payment is due. If quarterly financial and performance reports are not received within thirty (30) days of the end of the applicable quarter, then CITY may withhold the quarterly payment (s) until the appropriate reports are received and approved. (c) 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 GDAC. (d) It is expressly understood that this contract in no way obligates the General Fund or any other monies or credits of the CITY. II. USE OF HOTEL TAX R1140M BY GDAC 2.1 Use of Funds. For and in consideration of the payment by the • CITY to the GDAC of the agreed payments of hotel tax funds specified above, the GDAC agrees to use such hotel tax funds only for the following purposes: (a) advertising and conducting solicitations and promotional programs to attract tourists and convention delegates or regis- trants to the municipality or its vicinity; (b) the encouragement, promotion, improvement, and applica- tion 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; and PAGE 3 • ~ a • Age"sNo. (c) historical restoration and preservation projects or activities or advertising and conducting solicitations and promo- tional programs to encourage tourists and convention delegates to visit preserved historic sites or museums; (i) at or in the immediate vicinity of convention center facilities or visitor information centers; or (ii) located elsewhere in the municipality or its vicinity that would be frequented by tourists and convention delegates. as authorized by TEX. TAX CODE 5 351.101(a)(2)-(5) 2.2 Administrative Costs. The hotel tax funds received from the CITY by the GDAC may be spent for day-to-day operations, supplies, salaries, office rental, travel expenses, and other administrative costs that are incurred directly in the performance by the GDAC of those activities specified in 12.1 above and are allowed by TEX. TAX CODE 5 351.101(f). 2.3 Specific Restrictions on Use of Funds. (a) That portion of total administrative costs of the GDAC for which hotel tax funds may be used shall not exceed that portion of the GDAC'S administrative costs actually incurred in conducting the activities specified in 12.1 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 tourism and the convention and hotel industry or the performance of the person's job in an efficient and professional manner. III. RECORD KEEPING AND REPORTING REQUIREMENTS 3.1 Budget. • (a) on or before August 15th of each calendar year during the term of this Agreement, the GDAC shall prepare and submit to the City Manager of the CITY an annual budget for the next ensuing fis- cal year of this Agreement for the GDAC and any other operation or function of the GDAC in which the hotel tax funds shall be used by the GDAC. This budget shall specifically identify proposed expenditure of hotel tax funds by the GDAC. In other words, the • CITY should be able to audit specifically where the funds in the • • separate account relating to hotel tax funds will be expended. The CITY shall not pay to the GDAC any hotel tax revenues as set forth in Section I. of this contract during any fiscal year of this Agreement unless a budget for such respective fiscal year has been approved in writing by the Denton City Council authorizing the expenditure of finds in such Section I. If excess funds under Section 1.2 (c) occur, the previously approved GDAC budget may need PAGE 4 • c. • Aa^raltem ' ch to be amended to conform with the funds allocated to GDAC in the CITY'S budget if the GDAC budget previously approved by the CITY did not specifically recognize the existence of such excess funds or the purposes for which such excess funds would be expended. (b) The GDAC acknowledges that the approval of such budget by the Denton City Council creates a fiduciary duty in the GDAC with respect to the hotel tax funds paid by the CITY to the GDAC under this Agreement. The GDAC shall expend hotel tax funds only in the manner and for the purposes specified in S 351.101(a) TEX. TAX CODE and in the budget as approved by the CITY. 3.2 Separate Accounts. The GDAC shall maintain any hotel tax funds paid to the GDAC by the CITY in a separate account. 3.3 Financial Records. The GDAC shall maintain complete and accurate financial records of each expenditure of the hotel tax funds made by the GDAC and, upon reasonably advance written request of the Denton City Council or the City's Executive Director of Finance or his designee, shall make such financial records available for inspection and review by the Denton City Council or the City's Executive Director of Finance or his designee. 3.4 Quarterly Reports. Within thirty days after the end of every quarter, the GDAC shall furijish to the CITY (1) a performance report of the work performed under this Agreement, in the form determined by the City Manager describing the activities performed under this Agreement during that quarter, and (2) a list of the expenditures made with regard to hotel tax funds pursuant to the TEX. TAX CODE ANN. S 351.101(c) (Vernon 1994). The GDAC shall promptly respond to any request from the City Manager of the CITY for additional information relating to the activities performed under this Agreement. 3.5 Notice of Meetings. The GDAC shall give the City Manager of the CITY reasonable advance written notice of the time and place of general meetings of Greater Denton Arts Council Board of Directors as well as any other meeting of any constituency of the GDAC at • which this Agreement or any matter the subject of this Agreement shall be considered. This provision shall not be deemed to require the GDAC to give notice of any executive session of the Executive Committee of the GDAC. IV. RSIMBURSZKM AND INDSMNIFICATION • 4.1 Reimbursement of GDAC for Administrative Coats. In the event ~ • • that this Agreement is terminated pursuant to Sectioa 5.2(a), the CITY agrees to reimburse the GDAC for any and all expenses and costs undertaken by the GDAC in performance of those activities specified in 12.1 above or expenses or costs incurred by the GDAC as described in 12.2 above. The CITY is obligated to reimburse the GDAC for expenses and costs as described in 12.2 above only for the period commencing upon the date notice of termination is given and PAGE 5 • _ r..w; y • a • ggert~JaNo ~ - ~ 4gcac„'tem ~G~ ending upon the date of termination. Further, this obligation shall be limited to the lesser of the actual expenses and costs incurred by the GDAC during the one hundred eighty day period preceding termination or the agreed payments otherwise due and payable to the GDAC for such period. 4.2 Reimbursement of GDAC for Contractual obligations. In the event that this Agreement is terminated pursuant to section 5.2(a), the CITY agrees to reimburse the GDAC for any and all contractual obligations of the GDAC undertaken by the GDAC in performance of those services specified in 12.1 above, conditioned upon such contractual obligations having been incurred and entered into in the good faith performance of those services contemplated in 12.1 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 obliga- tion of the CITY to reimburse the GDAC or to assume the performance of any contractual obligations of the GDAC for or under any contract entered into by the GDAC as contemplated herein shall rot exceed THREE THOUSAND FIVE HUNDRED DOLLARS ($3,500.00). Such monetary limitation is cumulative of all contractual obligations and shall not be construed as a monetary limitation on a per contract basis. 4.3 Payment of Reimbursement to GDAC. (a) With respect to expenses and costs incurred by the GDAC for which the CITY is obligated to reimburse the GDAC pursuant to 14.1 above, the CITY shall pay such reimbursement amount due, if any, to the GDAC on or before the forty-fifth (45th) day after the date of termination of this Agreement. (b) With respect to contractual obligations undertaken by the GDAC for which the CITY is obligated to reimburse the GDAC as provided in 14.2 above, the CITY shall reimburse the GDAC for such monetary obligations required in such contractual obligation in such amounts and at those times such contractual costs and expenses are due and payable according to the terms of such contract • limitation set forth in 14.2 above. 4.4 Indemnification. The GDAC 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 GDAC 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 GDAC, its officers, employees, agents, subcontractors, licensees and invitees. PAGE 6 • 0 _ • _ Q • ~ i r fioeWa No n o3ja1~1,5 4.5 Insurance. The GDAC shall provide insurance as follows: $500,000 Commercial General Liability Statutory Workers' Compensation and Employers' Liability ($250,000/$500,000/$250,000) $500,000 Business Automobile Liability The CITY must be named as an additional insured (except Wor)cers' Compensation) and proof of coverage sh:21 be submitted prior to any payment by the CITY. V. TERM AND TERMINATION 5.1 Term. The term of this Agreement shall commence on October 1, 1995 and terminate at midnight on September 30, 1997. This term shall be a perioi of two years. 5.2 Termination. (a) This Agreement may be terminated by either party by giving the other party one hundred eighty (180) days advance written notice. (b) Tnis Agreement shall automatically terminate upon the occurrence of any of the following events: (i) The termination of the corporate existence of the GDAC; (ii) The insolvency of the GDAC, the filing of a petition in bankruptcy, either voluntarily or involuntarily, or and assignment by the GDAC for the benefit of creditors; (iii) The continuation of a breach of any of the terms or conditions of this Agreement by either the CITY or the GDAC 1 for more than thirty (30) days after written notice of such 1 breach is given to the breaching party by the other party; or • (iv) The failure of the GDAC to submit a financial report which complies with the reporting procedures required herein and generally accepted accounting principles prior to the beginning of the next contract term. VI. GENERAL PROVIS'r)Ns • 6.1 subcontract for Performance of Services. Nothing '.n this • • Agreement shall prohibit, nor be construed to prohibit, the agree- ment by the GDAC with another private entity, person, or organi- zation for the performance of those services described in 12.1 above. In the event that the GDAC enters into any arrangement, contractual er otherwise, with such other entity, person or organi- zation, the GDAC shall cause such other entity, person, or orga- nization to adhere to, conform to, and be subject to all provi- PAGE 7 • a • r CRd1k0, 4gta~ lei sions, terms, and conditions of this Agreement and to TEX. TAX CODE Chap. 351, including reporting requirements, separate funds main- tenance, and limitations and prohibitions pertaining to expenditure of the agreed payments and hotel tax funds. 6.2 Independent Contractor. The 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 the CITY. The GDAC shall have exclusive control of ite operations and performance of services hereunder, and such persons, entities, or organizations performing the sane and the GDAC shall be solely responsible for the acts and omissions of its directors, officers, employees, agents, and subcontractors. The GDAC shall not be considered a partner or joint venturer with the CITY, nor shall the GDAC be considered nor in any manner hold itself out as an agent or official representative of the CITY. 6.3 Assignment. The GDAC shall not assign tFis Agreement without first obtaining the written consent of the ciry. 6.4 Notice. Any nutice required to Ae 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-ielivery, addressed to the respective parties as follows: sL 1 GDAC City Manager Executive Director City of Denton Greater Denton Arts Council 215 L. McKinney 207 S. Bell Denton, ':X 76201 Denton, TX 76201 6.5 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 GDAC and their respective successors and assigns. • 6.6 Application of Laws. All terms, conditions, and provisiora 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. 6.7 Exclusive Agreement. This Agreement contains the entire understanoling and constitutes the entire agreement between the 6 parties hereto concerning the subject matter contained herein. • • There are no representa,.ions, agre,ments, arrangements, or under- standings, oral or written, express or implied, between or among the parties hereto, relating to the subject matter of this agree- ment, wiich are not fully expressed herein. The terms and con- ditions of this Agreement shall prevail notwithstanding any variance in this Agreement from the ten.-.9 and conditions of any other document relating to this transaction or these trans,.ctions. PAGE 8 { • 0 • • e AgardaNa 'D AQvdalle r,t~~ 2 6.6 duplicate Originals. This Agreement is executed in duplicate originals. 6.9 Headings. The headings and subheadings of the various sec- tions 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. EXECUTED this day of 1995. THE CITY OF DENTON, TEXAS By: BOB CASTLEBERRY, MAYOR ATTEST: APPROVEjD~?AS TO LEGAL FORM: G By: By: i;-~( 4C. ~a ~C 11 JENNIFER WALTERS, HERBERT L. PRO , CITY SECRETARY CITY ATTORNEY GREA DENTON ARTS CO C By: President w ATTEST: APPROVED AS TO LEGAL FORM: By: ~I.Lk By: Secretary • ' 1 \rtP'X~('A\R\6MC.R PAGE 9 • . . • t. y '!t3 }ufu ~Sr1•V'yt~ +1i!;T~~,~'Y `/~T,MYI f I" A • r A r ` F/,IA, NUT ~gertddNolk1P 03Q2 Ageada.te i p- Lb'a 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. THti, 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 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 II. That this ordinance shall become effective immed- iately upon its passage and approval. PASSED AND APPROVED this the day of 1995. BOB CASTLEBERRY, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: • APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY BY: ,G/''` 1 Q E VsI • a • AgenCaNe ~ 0 AgenGa~te AGREEIZPP BETWEEN THE CITY OF DENTON AND THE NORTH TEXAS STATE FAIR ASSOCIATION (95-97) PROVIDING FOR THE PAYMENT AND USE OF HOTEL TAI RV,7ZNUS THIS AGREEMENT made between the City of Denton, Texas, a muni- cipal 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 S 351.002 authorizes the CITY to levy by ordinance a municipal hotel occupancy tax ("hotel tax") not exceeding seven percent (7k) of the consideration paid by a hotel occupant; and WHEREAS, by Ordinance 86-67, the CITY has provided for the assessment and collection of a municipal hotel occupancy tax in the City of Denton of seven percent (M; and WHEREAS, TEX. TAX CODE 5351.101 (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 con- vention de:igates or registrants to the municipality or its vicinity; an,2 WHEREAS, the ASSOCIATION is well equipped to perform those activities; and WHEREAS, TEX. TAX CODE $351.101 (c) authorizes the CITY to delegate by contract with the ASSOCIATION as a private organization the management and aupexvision 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 ASSOCIATION agree and contract as follows; • 1. HOTEL TAI REVENUE PAYMENT TO ASSOCIATION 1.1 Consideration. For and in consideration of the activities to be performed by the ASSOCIATION under this Agreement, the CITY agrees to pay to the ASSOCIATION 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 ASSOCIATION sometimes • • herein referred to as "the agreed payments" or "hotel tax funds") 1.2 Amount of Payments to Association. (a) As used in this agreement, the following terms shall have the following specific meanings: 0 • Q • . AgeadaNo..4, Ag~nda'lem (i) The "hotel tax revenue" shall mean the monies col- lected and received by the CITY during any relevant period of time (i.e., fiscal year or fiscal quarter) as municipal hotel occupancy tax at the rate of seven percent (7%) of the price paid for a room in a hotel, pursuant to TEX. TAX CODE 5351.002 and City Ordinance 86-87, together with and including any sums of money received by the CITY from taxpayers during any relevant fiscal quarter or calendar month as attoniey's fees, court costs, or other expenses of collection of hotel tax, but excluding interest and penalties received by the CITY from taxpayers. (ii) The term "base payment amount" shall mean an 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) such amounts incurred during such relevant period of time for costs of collection of hotel taxes from taxpayers or auditing taxpayers for tax payment compli- ance, such collection and auditing costs to include fees paid to attorneys or agents not in the regular employ of the CITY and which attorneys or agents effect collection of the hotel tax from taxpayers or audit such taxpayers; and (2) court costs and expenses incurred in litigation against or auditing of such taxpayers. (b) The CITY shall pay to ASSOCIATION an amount of money equal to twelve and fifty-seven one hundredths of a percent (12.57%) of the base payment amount for the period of October 1, 1995, through September 30, 1996 or S,xty-eight Thousand Six Hundred Forty Dollars ($68,640.00), whichever is less. (c) The CITY shall pay to ASSOCIATION an amount of money equal to twelve and fifty-seven one hundredths of a percent (12.57%) of the base payment amount for the period of October 1, 1996, through September 30, 1997 or Seventy Thousand Thirteen Dollars ($70,0]3), whichever is less, plus such amount, if any, collected over $68,640.00 in the 95-96 budget year based on 12.571k of the base payment amount for the period of October 1, 1995, • through September 30, 1996. (d) Should the CITY execute a new contract with ASSOCIATION to be effective for the 1997-1996 budget year, in addition to the percentage of the base payment amount ar.horized by the City Council to be paid to ASSOCIATION for the period from October 1, 1997, through September 30, 1998, the ASSOCIATION shall also • receive such amount, if any, collected rver $70,013 in the 96-97 • • budget year based on 12.57% of the base payment amount for the period of October 1, 1996, through September 30, 1997, unless the pa.ties to the new contract negotiate different payment terms. r PAGE 2 • W • AgenGa No U 3 Rte. -7 1.3 Dates of Payments to Association. (a) The term "quarterly payments" shall mean payments by the CITY to the ASSOCIATION of those amounts specified in 11.2 above as determined by the hotel tax revenue collected by the CITY during any one fiscal quarter durLig the term of this Agreement. (b) CITY shall pay the ASSOCIATION the agreed payments specified in 11.2 above by quarterly payments paying twelve and fifty-seven one hundredths of a percent (12.57%) of the base payment amount (quarterly) for the first three quarters of each fiscal year and the percentage of the base payment amount for the last quarter of each fiscal year shall be adjusted so that the total of the quarterly base payment amounts shall not exceed Sixty- eight Thousand Six Hundred Forty Dollars ($68,640.00) during the 1995-96 fiscal year and Seventy Thousand Thirteen Dollars ($70,013.00) for the 1996-97 fiscal year. Each such quarterly payment shall be paid to the ASSOCIATION on or before the forty- fifth (45th) day after the last day of such respective fiscal quarter for which such payment is due. If quarterly financial and performance reports are not received within thirty (30) days of the end of the applicable 'jsarter, then CITY may withhold the quarterly payment(s) until the appropriate reports are received and approved. (c) 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 ASSOCIATION. (d) It is expressly understood that this contract in no way obligates the General Fund or any other monies or credits of the CITY. Ii. USE OF HOTEL TAX REVMMZ BY ASSOCIATION 1 2.1 Use of Funds. For and 'n consideration of the payment by the CITY to the ASSOCIATION of the agreed payments of hotel tax funds specified above, the ASSOCIATION agrees to use such hotel tax funds only for the following purposes: • (a) advertising and conducting solicitations and promotional programs to attract tourists and convention delegates or regis- trants to the municipality or its vicinity; as authorized by TEX. TAX CODE § 351.101(a)(2)-(5). • 2.2 Administrative Costs. The hotel tax funds received from the • • CITY by the ASSOCIATION may be spent for day-to-day operations, supplies, salaries, office rental, travel expenses, and other ! administrative costs that are incurred directly in the performance by the ASSOCIATION of those activities specified in 12.1 above and are allowed by TEX. TAX CODE § 351.101(f) PAGE 3 • 0 • J SPCC a NO P-3 f d , 2.3 Specific Restrictions on Use of Funds. (a) That portion of total administrative costs of the ASSOCIATION for which hotel tax funds may be used shall not exceed that portion of the ASSOCIATION'S administrative costs actually incurred in conducting the activities specified in 12.1 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 tourism and the convention and hotel industry or the performance of the person's job in an efficient and professional manner. III. RECORD ICEEPINO AND REPORTING REQUIREMENTS 3.1 Buderat. (a) On -)z before August 15th of each calendar year during the term of this AS reement, the ASSOCIATION shall prepare and submit to the City Manager of the CITY an annual budget for the next ensuing fiscal year of this Agreement for the ASSOCIATION and any other operation or function of the ASSOCIATION in which the hotel tax funds shall be used by the ASSOCIATION. This budget shall specifically identify proposed expenditure of hotel tax funds by the ASSOCIATION. In other words, the CITY should be able to audit specifically where the funds in the separate account relating to hotel tax funds will be expended. The CITY shall not pay to the ASSOCIATION any hotel tax revenues as set forth in Section I. of this contract tiuring any fiscal year of this Agreement unless a budget for such respective fiscal year has been approved in writing by the Denton City Council authorizing the expenditure of funds in such Section I. If excess funds under Section 1.2 (c) occur, the previously approved ASSOCIATION budget may need to be amended to conform with the funds allocated to ASSOCIATION in the CITY's budget if the ASSOCIATION budget previously approved by the CITY did not specifically recognize the existence of such excess funds or the purposes for which such excess funds would be expended. • (b) The ASSOCIATION acknowledges that the approval of such budget by the Denton City Council creates a fiduciary duty in the ASSOCIATION with Yeopect to the hotel tax funds paid by the CITY to the ASSOCIATION under this Agreement. The ASSOCIATION shall expend hotel tax funds only in the manner and for the purposes specified in 5 351.101(a) TEX. TAX CODE and in the budget as approved by the • CITY. 3.7 Separate Accounts. The ASSOCIATION shall maintain any hotel tax funds paid to the ASSOCIATION by the CITY in a separate account. 3.3 Financial Records. The ASSOCIATION shall maintain complete ) and accurate financial records of each expenditure of the hotel tax funds made by the ASSOCIATION and, upon reasonably advance written PAGE 4 _ of . 0 • • -D3 er~ aNo.S request of the Denton City Council or the City's Executive Director of Finance or his designee, shall make such financial records available for inspection and review by the Denton City Council or the City's Executive Director of Finance or his designee. 3.4 Quarterly Reports. Within thirty days after the end of every quarter, the ASSOCIATION shall furnish to the CITY (1) a perfor- mance report of the work performed under this Agreement, in the form determined by the City manager describing the activities performed under this Agreement during that quarter, and (2) a list of the expenditures made with regard to hotel tax funds pursuant to the TEX. TAX CODE ANN. S 351.101(c) (Vernon 1994). The ASSOCIATION shall promptly respond to any request from the City Manager of the CITY for additional information relating to the activities performed under this Agreement. 3.5 Notice of Meetings. The ASSOCIATION shall give the City Manager of the CITY reasonable advance written notice of the time and place of general meetings of the North Texas Fair Association Board of Directors as well as any other meeting of any constituency of the PSSOCIATION at which this Agreement or any matter the subject of this Agreement shall be considered. This provision shall not be deemed to require the ASSOCIATION to give notice of any executive session of the Executive Committee of the ASSOCIA- TION. IV. RSINEURSZMZNT AND INDZWXFICATION 4.1 Reimbursement of Association for Administrative Costs. In the event that this Agreement is terminated pursuant to Section 5.2(a), the CITY agrees to reimburse the ASSOCIATION for any and all expenses and costa undertaken by the ASSOCIATION in performance of those activities specified in 12.1 above or expenses or costs incurred by the ASSOCIATION as described in 12.2 above. The CITY is obligated to reimburse the ASSOCIATION for expenses and costs as described in 12.2 above only for the period commencing upon the date notice of termination is given and ending upon the date of termination. Further, this obligation shall be limited to the lesser of the actual expenses and costs incurred by the ASSOCIATION during the one hundred eighty day period preceding termination or the agreed payments otherwise due and payable to the ASSOCIATION for such period. 4.2 Reimbursement of Association f.r Contractual Obligations. In the event that this Agreement is terminated pursuant to Section , • 5.2(a), the CITY agrees to reimburse the ASSOCIATION for any and • • all contractual obligations of the ASSOCIATIO1' undertaken by the ASSOCIATION in performance of those services specified in 12.1 above, conditioned upon such contractual obligations having been incurred and entered into in the good faith performance of those services contemplateu in 12.1 above, and further conditioned upon such contractual obligations having a term not exceeding the full tern. of thib Agreement. Notwithstanding any provision hereof to PAGE 5 i • a • AgerrdaNo. _ 429- the contrary: the obligation of the CITY to reimburse the ASSOCIA- TION or to assume the performance of any contractual obligations of the ASSOCIATION for or under any contract entered into by the ASSOCIATION as contemplated herein shall not exceed THREE THOUSAND FIVE HUNDRED DOLLARS ($3,500.00). Such monetary limitation is cumulative of all contractual obligations and shall not be construed as a monetary limitation on a per contract basis. 4.3 Payment of Reimbursement to Association. (a) With respect to expenses and costs incurred by the ASSOCIATION for which the CITY is obligated to reimburse the ASSOCIATION pursuant to 44.1 above, the CITY shall pay such reimbursement amount due, if any, to the ASSOCIATIOA' on or before the forty-fifth (45th) day after the date of termination of this Agreement. (b) With respect to contractual obligations undertaken by the ASSOCIATION for which the CITY is obligated to reimburse the ASSOCIATION as provided in 14.2 above, the CITY shall reimburse the ASSOCIATION for such monetary obligations required in such contractual obligation in such amounts and at those times such contractual costs and expenses are due and payable according to the terms of such contract limitation set forth in 44.2 above. 4.4 Indemnification. The ASSOCIATION 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 ASSOCIATION 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 ASSOCIATION, its officers, employees, agents, subcontractors, licensees and invitees. 4.5 Insurance. The ASSOCIATION shall provide insurance as follows: • $500,000 Commercial General Liability St+tutory Workers' Compensation and Employers' Liability ($250,000/$500,000/$250,000) $500,000 Business Automobile Liability The CITY must be named as an additional insured (except Workers' • Compensation) and proof of coverage shall be submitted prior to any • • payment by the CITY. V. TERM AND TERMINATION 5.1 Term. The term of this Agreement shall commence on October 1, 1995 and terminate at midnight on September 30, 1997. This term shall be a period of two years. i PAGE 6 • 0 • a • A6crd 'tem,____....... 5.2 Termination. (a) This Agreement may be terminated by either party by giving the other party one hundred eighty (180) days advance written notice. (b) This Agreement shall automatically terminate upon the occurrence of any of the following events: (i) The termination of the corporate existence of the ASSOCIATION; (ii) The insolvency of the ASSOCIATION, the filing of a petition in bankruptcy, either voluntarily or involuntarily, or and assignment by the ASSOCIATION for the benefit of creditors; (iii) The continuation of a breach of any of the terms or conditions of this Agreement by either the CITY or the ASSOCIATION for more than thirty (30) days after written notice of such breach is given to the breaching party by the other party; or (iv) The failure of the ASSOCIATION to submit a finan- cial report which complies with the reporting procedures required herein and generally accepted accounting principles prior to the beginning of the next contract term. VI. GKNERAL PROVISIONS 6.1 subcontract for Performance of Services. Nothing in this Agreement shall prohibit, nor be construed to prohibit, the agree- ment by the ASSOCIATION with another private entity, person, or organization for the performance of those services described in ` 12.1 above. In the event that the ASSOCIATION enters into any arrangement, contractual or otherwise, with such other entity, person or organization, the 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 Chap. 351, including reporting requirements, separate funds maintenance, and limitations and prohibitions pertaining to expenditure of the agreed payments and hotel tax funds. O 6.2 Independent Contractor. The ASSOCIATION shall operate as an independent contractor as to all services to be performed under • O this Agreement and not as an officer, agent, servant, or employee of the CITY. The ASSOCIATION shall have exclusive control of its operations and performance of services hereunder, and such persons, entities, or organizations performing the same and the ASSOCIATION shall be solely responsible for the acts and omissions of its directors, officers, employees, agents, and subcontractors. The ASSOCIAT:ON shall not be considered a partner or joint venturer PAGE 7 • 0 s 0 • with the CITY, nor shall the ASSOCIATION be considered nor in any manner hold itself out as an agent or official representative of the CITY. 6.3 Assignment. The ASSOCIATION shall not assign this Agreement without first obtaining the written consent of the CITY. i 6.4 Notice. Any notice required to be giver, 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 President City of Denton North Texas State Fair Association 215 E. McKinney P. O. Box 1695 Denton, TX 76201 Denton, TX 76202 6.5 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 ASSOCIATION and their respective successors and assigns. 6.6 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. 6.7 Exclusive Agreement. This Agreement contains the entire understanc:ing and constitutes the entire agreement between the parties hereto concerning the subject matter contained herein. There are no representations, agreements, arrangements, or under- standings, oral or written, expreba or implied, between or among • the parties hereto, relating to the subject matter of this agree- ment, which are not fully expressed herein. The terms and con- ditions of this Agreement shall pievail notwithstanding any variance in this Agreement from the terms and co:ditions of any other document relating to this transaction or these transactions. 6.8 duplicate Originals. This Agreement is exec,Ated in duplicate • originals. ' 6.9 Headings. The headings and subheadings of the various sec- tions 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. I PAGE 8 • f` a 4goad altem,~_-------• Ra;e EXECUTED this day of 1995. THE CITY OF DENTON, TEXAS By: BOB CASTLEBERRY, MAYOR ATTEST: APPROVED AS //TOO\ LEGAL FORM: By; f By: C JENNIFER WALTERS, HERBERT L. PRO , CITY SECRETARY CITY ATTORNEY NORTH TEXAS STATE FAIR SOCIATION By: Qtvvt4e, r s dent ATTEST: APPROVED AS TO LEGAL FORM: By: By: Secretary t:\MPDDC!\R\RftAIR.R • PAGE 9 .v 4M, a+ • 1- o • 6 \HPD0CS\0f.D\8LKCF" HOT l1 Yl IZ IY~..~~~~r•... Ag er.'a!tam_...__. ORDINANCE NO. All ORrINANCE AUTHORIZING THE MAYOR TO EXECUTE AN AGREEMLNT BEr#EEN THE CITY OF DENTON AND THE DENTON BLACK CHAMBrR OF COMMERCE FO't 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 .a ty of Denton and the Denton Black Chamber of Commerce for the payment and use of hoiel 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 immed- iately upon its passage and approval. PASSED AND APPROVED this the day of 1Q95. BOB CASTLEBERRY, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: . APPROVED AS TO LEGAL FORM: HERBERr L. PROUTY, CITY ATTOORNEf J • o • AGREEMENT BETWEEN THE CITY OF DENTON AND THE DENTON BLACK CHAMBER OF COMMERCE (95-96) PROVIDING FOR THE PAYMENT AND USE OF HOTEL TAX REVENUE THIS AGREEMENT made between the City of. Denton, Texas, a muni- cipal corporation (the "CITY"), and the Denton Black Chamber of Commer7e, a legal entity existing under the laws of the State of Texas (the "CHAMBER"): WHEREAS, TEX. TAX CODE 5 351 002 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 86-67, the CITY has provided for the assessment and collection of a municipal hotel occupancy tax in the City of Denton of seven percent •;71); and WHEREAS, TEX. TAX CODE §351.101 (a)(3) authorizes the CITY to use revenue from its municipal h.,tel 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 munici- pality or its vicirity; and WHEREAS, the CHAMBER is well equipped to perform those activities; and WHEREAS, TEX. TAX CODE 5351.101 (c) authorizes the CITY to delegate by contract with the 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 mutual covenants and promises contained herein, the CITY and the CHAMBER agree and contract as follows; 1. HOTEL TAX REVENUE PAYA:VNT TO CHAMBER 1.1 Consideration. For and in consideration of he activities to be performed by the CHAMBER under this Agreement, the CITY agrees to pay to the CHAMBER 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 CIIAMBFR sometimes herein referred to ~s • "the agreed payments" or "hotel tax funds"). i • a e r,or:lNo A, 1.2 Amount of Payments to Chamber. (a) As used in this agreement, eh~ following terms shall have the following specific meanings: {i) The "hotel tax revenue" shall mean the monies col- lected and received by the CITY during any relevant period of time (i.e., fiscal year or fiscal quarter) as municipal hotel occupai,-:y tax at the rate of seven percent M) of the price paid for a room in a hotel, pursuant to TEX. TAX CODE 5351.002 and City Ordinance 86-87, together with and including any sums of money received by the CITY from taxpayers during any relevant fiscal quarter or, calendar month as attorney's fees, court costs, or other expenses of collection of hotel tax, but excluding interest and penalties received by the CITY from taxpayers. {ii) The term "base payment amount" shall mean Five Thousand Dollars ($5,000). (b) The CI'Y shall pay to CHAMBER an amount of money equal to the base payment amount for the period of October 1, 1995, through September 30, 1996. 1.3 Dates of Payments to Chamber. (a) The term "quarterly payments" shall mean payments by the CITY to the CHAMBER of four (4) payments totalling the amount specified in 11.2. (b) CITY shall pay the CHAMBER quarterly payments of One Thousand Two Hundred Fifty Dollars ($1,250). Each such quarterly payment shall be paid to the C'ITAMBER on or before the forty-fifth (45th) day after the last day cf such respective fiscal quarter for which such payment is due. If quarterly financial and performance 1 reports are not received within thirty (30) days of the end of the 1 applicable quarter, then CITY may withhold the quarterly payment (s) until the appropriate reports are received and approved. • (c) The funding of this project in no way commits the CITY to future funding of this program 1,eyond the current contract period. Any future funding is solely t'.^ responsibility of the CHAMBER. (d) It is expressly understood that thi3 contract in no way obligates the General Fund or any other monies or credits of the • CITY. • s J PAGE 2 • 0 • • A~Ct~?io II. USE OF HOTEL TAX REVENUE BY CHAMBER 2.1 Use of Funds. For and in consideration of the payment by the CITY to the CHAMBER of the agreed payments of hotel tax funds specified above, the CHAMBER agrees to use such hotel tax funds only for advertising and conducting solicitations and promotional programs to attract tourists and convention delegates or regis- trants to the municipality, or its vicinity, as authorized by TEX. TAX CODE S 351.101(a)(3). 2.2 Administrative Costs. The hotel tax funds received from the CITY by the CHAMBER may be spent for day-to-day operations, sup- plies, salaries, office rental, travel expenses, and other admini- strative costs that are incurred directly in the performance by the CHAMBER of those activities specified in 92.1 above and are allowed by TEX. TAX CODE S 351.101(f). 2.3 Specific Restrictions on Use of Funds. (a) That portion of total administrative costs of the CHAMBER for which hotel tax funds may be used shall not exceed that portion of the CHAMBER'S administrative costs actually incurred in con- ducting the activities specified in 12.1 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 tourism and the convention and hotel industry or the performance of the person's job in an efficient and professional manner. III. RECORD KEEPING AND REPORTING REQUIREMENTS 3.1 Budget. (a) On or about September 1 and prior to the disbursement of any funds for the 1995-96 fiscal year, the CHAMBER shall prepare and submit to the City Manager of the CITY an annual budget for such fiscal year for the CHAMBER and any other operation or function of the CHAMBER in which the hotel tax funds shall be used by the CHAMBER. This budget shall specifically identify proposed expenditure of hotel tax funds by the CHAMBER. In other words, the CITY should be able to audit specifically where the funds in the separate account relating to hotel tax funds will be expended. The CITY shall not pay to the CHAMBER any hotel tax revenues as set O forth in Section I. of this contract during any fiscal year of this Agreement unless a budget for such respective fiscal year has been • • approves' in writing by the Denton City Council authorizing the expenditure of funds in such Section 1. PAGE 3 • 4a • (b) The CHAMBER acknowledges that the approval of such budget by the Denton City Council creates a fiduciary duty in the CHAMBER with respect to the hotel tax funds paid by the CITY to the CHAMBER under this Agreement. The CHAMBER shall expend hotel tax funds only in the manner and for the purposes specified in 5 351.101(a) TEX. TAX CODE and in the budget as approved by the CITY. 3.2 separate Accounts. The CHAMBER shall maintain any hotel tax funds paid to the CHAMBER by the CITY in a separate account. 3.3 Financial Records. The CHAMBER shall ma'n'.:ain complete and accurate financial records of each expenditure of the hotel tax funds made by the CHAMBER and, upon reasonably advance written re- quest of the Denton City council or the City's Executive Director of Finance or his designee, shall make synch financial records available for inspection and review by the Denton City Council or the City's Executive Director of Finance or his designee. 3.4 Quarterly Reports. within th?rty days after the end of every quarter, the CHAMBER shall furnish to the CITY (1) a performance report of the work performed under this Agreement, in the form determined by the City Manager describing the activities performed under this Agreement during that quarter, and (21 a list of the expenditures made with regard to hotel tax funds pursuant to the TEX. TAX CODE ANN. 5 351.101(c) (Vernon 1999) . The CHAMBER shall promptly respond to any request. from the City Manager of the CITY for additional information relating to the activities performed under this Agreement. 3.5 Notice of Meetings. The CHAMBER shall give the City Manager of the CITY reasonable advance written notice of the time ani place of general meetings of the Denton Black Chamber of Commerce Board of Directors, as well as any other meeting of any constituency of the CHAMBER at which this Agreement or any matter the subject of this Agreement shall be considered. This provision shall not be deemed to require the CHAMBER to give notice of any executive session of the Executive Committee of the CHAMBER. • IV. REIMBURSEMENT AND INDEMNIFICATION 4.1 Reimbursement of Chamber for Administrative Costs. In the event that this Agreement is terminated pursuant to Section 5.2(a), ti,e CITY agrees to reimburse the CHAMBER for any and all expenses and costs undertaken by the CHAMBER in performance of those activities specified in 12.1 above or e: pense s o. costs incurred by !f the CHAMBER as described in 92.2 above. Thy, CITY is obligated to reimburse the CHAP:BER for expenses and costs as described in 92.2 • • above only for the period commencing upon the date notice of termination is given and ending upon the date of termination. Further, this obligation shall be limited to the lesser of the PAGE 4 ( a • O I 4;1r'-03 No actual expenses and costs incurred by t'.-- CHAMBER during the one hundred eighty day period preceding termination. or the agreed payments otherwise due and payable t-- the CHAMBER (or such period. 4.2 Reimbursement of Chamber for Contrz,:tual Obligations. In the event that this Agreement is terminator. ~ Lrsuant to Section 5.2 (a) , the CITY agrees to reimburse the CliAMA~,,c for any and all contractu- al obligations of the CHAMBER undertaken Ly the CHAMBER in perfor- mance of those services specified in 92.1 above, conditioned upon such contractual obligations having h=en incurred and entered into in the good faith performance of those services contemplated in 12.1 above, and further conditioned upon such contractual obliga- tions having a term not exceeding the full term of this Agreement. Notwithstanding any provision hereof to the contrary, the obliga- tion of the CITY to reimburse the CHAMBER or to assume the perfor- mance of any contractual obligations of the CHAMBER for or under any contract entered into by the CHAMBER as contemplated herein shall not exceed FIVE HUNDRED DOLLARS ($500.00). Such monetary limitation is cumulative of all contractual obligations and shall not be construed as a monetary limitation on a per contract basis. 4.3 Payment of Reimbursement to Chamber. (a) With respect to expenses any costs incurred by the CHAMBER for which the CITY is obligated t-j reimburse the CHAMBER pursuant to 14.1 above, the CITY shall pay such reimbursement amount due, if any, to the CHAMBER on or before the forty-fifth (45th) day after the date of termination of this Agreement. (b) With respect to contractual obligations undertaken by the CHAMBER for which the CITY is obligated to reimburse the CHAMBER as provided in 14.2 above, the CITY shall reimburse the CHAMBER for such monetary obligations required in such contractual obligation in such amounts and at those times such contractual costs and expenses are due and payable according to the terms of such contract limitation set forth in 14.2 above. 4.4 Indemnification. The CHAMBER 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, lose, or liability of whatever kind or character, arising out of or in connection with the performance by the CHAMBER or those servic.-s contemplated by this Agreement, including all such claims or causes of action based upon common, constitutional or statutory law, or based, in whole ur in part, upon allegations of negligent or • intentional acts of CHAMBER, its officers, employees, agents, • • subcontractors, licensees and invitees. PAGE 5 I Cf f ' V. TERM AND TERMINATION 5.1 Term. The term of this Agreement shall commence on October 1, 1995 and terminate at midnight on September 30, 1996. This term shall be a period of one year. 5.2 Termination. (a) This Agreement may be terminated by either party by giving the other party one hundred Cighty (180) days advance written notice. (b) This Agreement shall. automatically terminate upon the occurrence of any of the following events: W The termination of the legal existence of the CHAMBER; (ii) The insolvency of the CHAMBER, the filing of a petition in bankruptcy, either voluntarily or involuntarily, or and assignment by the CHAMBER for the benefit of creditors; (iii) The continuation of a breach of -ny of the terms or conditions of this Agreement by either the CITY or the CHAMBER for more than thirty (30) days after written notice of such breach is given to the breaching party by the other party; or (iv) The failure of the CHAMBER to submit a financial report which complies with the reporting procedures req,A red herein and generally accepted accounting principles prior to the beginning of the next contract term. VI. GENERAL PROVISIONS 6.1 Subcontract for Performance of Services. Nothing it this Agreement shall prohibit, nor be ~',nsirued to prohibit, the agree- ment by the CHAMBER with another private entity, person, or organi- zation for the performance of those services described in 92.1 above. In the event that the CHAMBER enters into any arrangement, contractual or otherwise, with such other entity, person or organi- zation, the CHAMBER shall cause sueh other entity, person, or orga- nization to adhere to, conform to, and be subject to all provi- sion., terms, and conditions of this Agreement and to TEX. TAX CODE Chap. 351, including reporting requirements, separate funds main- f tenance, and limitations and prohibitions pertaining to expenditure of the agreed payments and hotel tax funds, f f 6.2 Independent Contractor. The CHAMBER shall operate as an independent contractor as to all services to be performed under PAGE 6 1 1 i s 1 ca • '1f, ♦ this Agreement and not as an officer, agent, servant, or employee of the CITY. The CHAMBER shall have exclusive control of its operations and performance of services hereunder, and such persons, entities, or organizations performing the same and the CHAMBER shall be solely responsible for the acts and omissions of its directors, officers, employees, agents, and subcontractors. The CHAMBER shall not be considered a partner or joint venturer with the CITY, nor shall the CHAMBER be considered nor in any manner hold itself out as an agent or official representative of the CITY. 6.3 Assignment. The CHAMBER shall not assign this Agreement without first obtaining the written consent of the CITY. 6.4 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 parries as follows: S_U_y_ CHAMBER City Maaager Chairman/Director City of Denton Denton Black Chamber of Commerce 215 E. McKinney 625 Dallas Drive Denton, TX 76201 Denton, TX 76205 6,5 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 CHAMBER and their respective successors and assigns. 6.6 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, 6.7 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 under- standings, oral or written, express or implied, between or among the parties hereto, relating to the subject matter of this agree- ment, which are not fully expressed hetein. The terms and con- ditiona of this Agreement shall prevail notwithstanding any variance in this Agreement from the terms and conditions of any • F other document relating to this transaction or these transactions. • • 6.8 Duplicate Originals. This Agreement is executed in duplicate originals. PAGE 7 • 0 • s 4;01$7?ia r,...~ 6.9 Headings. The headings and subheadings of the various sec- tions 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. EXECUTED this day of 1995. THE CITY OF DENTON, TEXAS B'/ BOB CASTLEBERRY, MAYOR ATTEST: APPROVED AS TO LEGAL FORM: By: By: VE y'/e" ' '0 a, ~ _ JENNIFER WALTERS, HERBERT L. PRO , CITY SECRETARY CITY ATTORNEY DENTON BLACK CHAMBER OF COMMEP,CE B ' Y 4z'_'a Chairman/Director ATTEST: APPROVED AS TO LEGAL FORM: By: By: Secretary • a:\xcnocs~z~cxu®ez.x PAGE 8 • o • 6.\YPDOCS\CRC\AMP1iI HOT A~GiLL,l~I r ORDINANCE NO. AN ORDINANCE AUTHORIZING THE MAYOR TO EXECUTE AN AGREEMENT BETWEEN THE CITY OF DENTON AND THE LENrON COUNTY AMPHITHEATRE 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 I. That the Mayor is hereby authorized to execute an agreement between the City of Denton and the Denton County Amphitheatre 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 II. That this ordinance shall become effective immed- iately upon its passage and approval. PASSED AND APPROVED this the day of 1995. BOB CASTLEBERRY, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: • APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY i BY: i • 0 ~E AGREEMENT BETWEEN THE CITY OF DENTON AND T4E DENTON COUNTY AMPHITHEATRE ASSOCIATION, INC. (95-95) f PROVIDING FOR THE PAYMENT AND USE OF HOTEL TAX REVENUE THIS AGREEMENT made between the City of Denton, Texas, a muni- cipal corporation (the "CITY"), and the Denton County Amphitheatre Association, Inr-., a legal entity existing under the laws of the State of Texas (the "ASSOCIATION"): WHEREAS, TEX. TAX CODE § 351.002 authorizes the CITY to levy by ordinance a municipal hotel occupancy tax ("hotel tax") not =xceeding seven percent (7t) of the consideration paid by a hotel occupant; and WHEREAS, by Ordinance 86-67, the CITY has provided for the assessment and collection of a municipal hotel occupancy tax in the City of Denton of seven percent (7t); and WHEREAS, TEX. TAX CODE §351.101 (a) (3) 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 munici- pality or its vicinity; and WHEREAS, the ASSOCIATION is well equipped to perform those activities; and WHEREAS, TEX. TAX CODE 5351.101 (c) authorizes the CITY to deiegate by contract with the 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, the CITY and the ASSOCIATION agree and contract as follows; 1. HOTEL TAX REVENUE PAYMENT TO ASSOCIATION 1.1 Consideration. For and in consideration of the activities to be performed by the ASSOCIATION under this Agreement, the CITY agrees to pay to the ASSOCIATION 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 ASSOCIATION sometimes • herein referred to as "the agreed payments" or "hotel tax funds"). 1 • A • 1.2 Amount of payments to Association. (a) As used in this agreement, the following terms shall have the following specific meanings-, (i) The "hotel tax revenue" shall meas. the monies col- lected and received by the CITY during any relevant period of time (i.e., fiscal year or fiscal quarter) as municipal hotel occupancy tax at the rate of seven percent (7t) of the price paid for a room in a hotel, pursuant to TEX. TAX COPE 5351.002 and City Ordirance 86-87, together with and including any sums of money received by the CITY from taxpayers during any relevant fiscal quarter or calendar month as attorney's fees, court costs, or other expenses of collection of hotel tax, but excluding interest and penalties received by the CITY from taxpayers. (ii) The term "Lase payment amount" shall mean Three Thousand Dollars ($3,000), (b) The CITY shall pay to ASSOCIATION an amount of money equal to the base payment amount for the period of October 3, 1945, through September 30, 1996. 1.3 Dates of Payments to Association. (a) The term "quarterly payments" shall mean payments by the r'ITY to the ASSOCIATION of four (4) payments totalling tie amount specified in 11.2. (b) CITY shall pay the ASSOCIATION quarterly payments of Seven Hundred Fifty Dollars ($750). Each such quarterly payment shall be paid to the ASSOCIATION on or beforr the iorty-fifth 145th) day after the last day of such respective fis al quarter for which such payment is due. If quarterly financial and performance reports are not received within thirty i30) Jays of the end of the applicable quarter, then CITY may withhold the quarterly payment(s) until the appropriate reports are received and approved. • (c) 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 ASSOCIATION. (d) It is expressly understood that this contract in no way obligates the General Fund or any other monies or credits of the • CITY. ~ • • PAGE 2 0 • II. USE OF HOTEL TAI[ REVENUE BY ASSOCIATION 2.1 Use of Funds. For and in ^-onsideration of the payme.t by the CITY Lo t}.e ASSOCIATION of the agreed "%,-onts of hotel tax funds specified above, the ASSOCIATION agrees to use such hotel tax funds only for advertising and conducting solicitations and promotional programs to e_tract tourists and convention delegates or regis- trants to the municipality or its vicinity, ac authorized by TEX. TAX CODE $ 351.101(a)(3). 2.2 Administrative Costs. The hotel tax funds received from the CITY by the ASSOCIATION may be event for day-to-day operations, supplies, salaries, office rental, travel expenses, and other administrative costs that are incurred directly in the performance by the ASSOCIATION of th)se activities specified in 12.1 above and are allowed by TEX. TAX CODE 5 351.101(f). 2.3 Specific Restrictions on Use of Funds. (a) That portion of total administrative costs of the ASSOCIATION for which hotel tax funds may be used shall not exceed that portion of the ASSOCIATION'S administrative costa actually incurred in conducting the activities specified in 12.1 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 tourism and the convention and hotel industry or the performance of the person's job in an efficient and professional manner. III. RECORD KEEPING AND REPORTING REQUIREMENTS 3.1 Budget. (a) On or about September 1 and prior Co the disbursement of any funds for the 1495-96 fiscal year, the ASSOCIATION shall prepare and submit to the City Manager of the CITY an annual budget • for such fiscal year for the ASSOCIATION and any other operation or function of the ASSOCIATION in which the hotel tax funds shall be I used by the ASSOCIATION. This budget shall specifically identify 1 proposed expenditure of hotel tax funds by the ASSOCIATION. In other words, the CITY should be able to audit apecific~ily w'iere the funds in the separate account relating tc, hotel tax fur-;s will be expendid. The CITY shall not pay to the ASS^rIATION any hotel tax revenues as set forth in Section 1. of this contract during any fiscal year of this Agreement unless a budget for such respective p fiscal year has been approved in writing by the Denton City Council auehorizing the expenditure of funds in such Section I. PAGE 3 • ca • (b? The ASSOCIATION acknowledges that the approval of such budget by the Denton City Council creates a fiduciary duty in the ASSOCIATION with respect to the hotel tax funds paid by the CITY Lo the ASSOCIATION under this Agreement. The ASSOCIATION shall expend hotel tax funds only in the manner and for the purposes specified in 5 351.101(a) TEX. TAX CODE and in the budget as approved by the CITY. 3.2 Separate Accounts. The ASSOCIATION shall maintain any hotel tax funds paid to the ASSOCIATION by the CITY in a separate account. 3.3 Finsnciel Recor.s. The ASSOCIATION shall maintain complete and accurate financial records of each expenditure of the hotel tax funds made by the ASSOCIATION and, upon reasonably advance written request of the Denton City Council or the City's Executive Director of Finance or his designee, shall make such financial records available for inspection and review by the Denton City Council or the City's Executive Director of Finance or his designee. 3.4 Quarterly Reports. within thirty days after the end of every quarter, the ASSOCIATION shall furnish to the CITY (1) a perfor- mance report of the work performed under this Agreement, in the form determined by the city manager describing the activities performed under this Agreement during that quarter, and (2) a list of the expenditures made with regard to hotel tax funds pursuant to the TES. TAX CCDE ANN. 5 351.101(c) (Vernon 1994). The ASSOCIATION shall promptly respond to any request from the City Manager of the CITY for additional information relating to the activities performed under this Agreement. 3.5 Notice of Meetings. The ASSOCIATION shall give the City Manager of the CITY reasonable advance written notice of the time and place of general meetings of the Denton County Amphitheatre Association, Inc. Board of Directors, as well as any other meeting of any constituency of the ASSOCIATION at which this Agreement or any matter the subject of this Agreement shall be considered. This provision shall not be deemed to require the ASSOCIATION to give notice of any executive session of the Executive Committee of the ASSOCIATION. IV. REIMBURSEMENT AND INDEMNIFICATION 4.1 Reimbursement of Association for Administrative Costs. in the event that this Agreement is terminated pursuant to Section 5.2(a), the CITY agrees to reimburse the ASSOCIATION for any and all • expenses and costs undertaken by the ASSOCIATION in performance of • • those activities specified in 12.1 above or expenses or costs incurred by the ASSOCIATION as described in 12.2 above. The CITY is obligated to reimburse the ASSCCIATION for expenses and costs as PAGE 4 • i O • described in 12.2 above only for the period commencing upon the date notice of termination is given and ending upon the date of termination. Further, this obligation shall be limited to the lesser cf the actual expenses and costs incurred by the ASSOCIATION during the one hundred eighty day period preceding termination or the agreed payments otherwise due and payable to the ASSOCIATION for such period. 4.2 Reimbursement of )Association for Contractual Obligations. In the event that this Agreement is terminated pursuant to Section 5.2(a). the CITY agrees to reimburse the ASSOCIATION for any and all contractual obligations of the ASSOCIATION undertaken by the ASSOCIATION in performance of those services specified in 12.1 above, conditioned upon such contractual obligations having been incurred and entered into in the good faith performance of those services contemplated in 12.1 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 ASSOCI- ATION or to assume the performance of any contractual obligations of the ASSOCIATION for or under any contract entered into by the ASSOCIATION as contemplated herein shall not exceed FIVE HUNDRED DOLLARS ($_~00.00). Such monetary limitation is cumulative of all contractual obligations and shall not be construed as a monetary limitation on a per contract basis. 4.3 Payment of Reimbursement to Asaociation. (a) With respect to expenses and costs inc:Lrred by the ASSOCIATION for which the CITY is obligated to reimburse the ASSOCIATION pursuant to 14.1 above, the CITY shall pay such reimbursement amount due, if any, to the ASSOCIATION on or before the forty-fifth (45th) day after the date of termination of this Agreement. (b) With respect to contractual obligations undertaken by the ASSOCIATION for which the CITY is obligated to reimburse the ASSOCIATION as provided in 14.2 abcve, the CITY shall reimburse the • ASSOCIATION for such monetary obligations required in such contrac- tual obligation in such amounts and at those times such contractual costs and expenses are due and payable according to the terms of such contract limitation set forth in 14.2 above. 4.4 Indemnification. The ASSOCIATION 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 performanne by the ASSOCIATION or those services contemplated by this Agreement, including all such claims or causes of action based upon common, constitutional or statutory PAGE 5 • 0 • 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. V. TERM AND TERMINATION 5.1 Term. The term of this Aqr•?ement shall commence on October 1, 1995 and terminate at midnight on September 30, 1996. This term shall be a period of one year. 5.1 Termination. (a) This Agreement may be terminated by either party by giving the other party one hundred eighty (180) days advance written notice. (b) This Agreement shall automatically terminate upon the occurrence of any of the following events: (i) The termination of l:he legal existence of the ASSOCIATION; (ii) The insolvency of the ASSOCIATION, the filing of a petition in bankruptcy, either voluntarily or involuntarily, or and assignment by the ASSOCIATION for the benefit of creditors; (iii) The continuation of a breach of any of the terms or conditions of this Agreement by either the CITY or the ASSOCIATION for more than thirty (30) days after written rotice of such breach is given to thc.• breaching party by the ocher party; or (iv) The failure of the ASSOCIATIGN to submit a finan- cial report which complies with the reporting procedures required herein and generalli accepted accounting principles prior to the beginning of the next contract term. VI. GENERAL PROVISIONS • 6.1 Subcontract for Performance of Services. Nothing in this Agreement shall prohibit, nor be construed to prohibit, the agree- ment by the ASSOCIATION with another private entity, person, or crganization for the performance of those services described in 12.1 above. In the event that the ASSOCIATION enters into any arrangement, contractual or otherwise, with such other entity, • person or organization, the ASSOCIATION shall cause such other • entity, person, or organization to adhere to, conform to, and be subject to all prcvisions, terms, and conditions of this Agreement and to TEX. TAX CODE Chap. :51, including re) +rtinq requirements, PAGE 6 I • I a • r separate funds maintenance, and limitations and prohibitions pertaining to e:.penditure of the agreed payments and hotel tax funds. 6.2 Independent Contractor. The 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 the CITY. The ASSOCIATION shall have exclusive control of its cpArations and performance of services hereunder, and such persons, =ntities, or organizations performing the same and the ASSOCIATION shall be solely responsible for the acts and omissions of its directors, officers, employees, agents, and subcontractors. The ASSOCIATION shall not be considered a partner or joint venturer with the CITY, nor shall the ASSOCIATION be considered nor in nny manner hold itself out as an agent or official representative of the CITY. 6.3 Ansignaent. The ASSOCIATION shall not assign this Agreement without first obtaining the written consent of the CITY. 6.4 Notice. Any notice required to be given under this Agreement or any statute, ordinance, or regulation, shall be effective when given in writing and depos'ted in the United States mail, certified mail, return receipt requeated, or by hand-delivery, addressed to the respective parties as follows: CITY ASSOCIATION City Manager Chairman/Director City of Denton Denton County Amphitheatre 215 E. McKinney Association, Inc. Denton, TX 76201 910 Whitney Ct. Denton, TX 76205 6.5 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 obligatior of the CITY and the ASSOCIATION and their respective successors and assigns. • 6.6 Application of Lawn. All terms, conditions, and provisions of this Agreeme : 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. 6.7 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 under- standings, oral or written, express or implied, between or among the parties hereto, relating to the subject matter of this agree- PAGE 7 • a • N2nda^:o_ ' Ag„r,s ~lism,~~. ment, which are not fully expressed herein. The terms and con- ditions 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 tLese transactions. 6.8 Duplicate Originals. Thia Agreement is executed in duplicate originals. 6.9 Headings. The headings and subheadings of the various sec- tions 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. EXECUTED this day of 1995. THE CITY OF DENTON, TEXAS By: BOB CASTLEBERRY, MAYOR ATTEST: APPROVED AS TO LEGAL FORM: i u GZtc By: Ely: JENNIFER WALTERS, HERBERT L. PROUTY, CITY SECRETARY CITY ATTORNEY DENTON COUNTY AMPHITHEATRE N, INC. ASSO (Z'i- By: Chalt-maRilbirectof • ATTEST: APPROVED AS TO LEGAL FO B 77P~ By:U Secretary • ' • • J E `,wyppCS\F \115SOLIATIdI. f PAGE a I o • r: ~WPDOCS SOW r'EST-vw. NOT ORDINANCE NO. AN ORDINANCE AUTHORIZING THE MAYOR TO EXECUTE AN AGREEMENT BETWEEN THE CITY OF DENTON AND THE DENTON FESTIVAL FOUNDATION, INC. FOR THE PAYMENT AND USE OF HOTEL TAR 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, 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 II. That this ordinance shall become effective immed- iately upon its passage and approval. PASSED AND APPROVED this the day of 1995. BOB CASTLEBERRY, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: - • APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CIT.- ATTORNEY BY: cllsrJa`~ • 0 • 0 • r;n,.:%0 AGREEMENT BETWEEN THE CITY OF DENTON AND THE DENTON FESTIVAL FOUNDATION, INC. (95-96) PROVIDING FOR THE PAYMENT AND USE OF HOTEL TAY REVENUE THIS AGREEMENT made between the City of Denton, Texas, a muni- cipal corporatic: (the "CITY"), and the Dentcn Festival Foundation, Inc., a legal entity existing under the laws of the State of Texas (the "FOUNDATION"): } WHEREAS, TEX. TAX CODE 5 351.002 authorizes the CITY to levy by ordinance a municipal hotel occupancy tax ("hotel tax") not exceeding seven percent (7t) of the consideration paid by a hotel occupant; and WHEREAS, by Ordinance 86-67, the CITY has provided for the assessmer.,nd collection of a municipal hotel occupancy tax in the City of ue in of seven percent (7t); and WHEREAS, TEX. TAX CODE 5351.101 (a)(3) 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 munici- pality or its vicinity; and WHEREAS, the FOUNDATION is well equipped to perform those activities; and WHEREAS, TEX. TAX CODE 5351.101 (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 deacribed 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; 1. HOTEL TAX REVENUE PAYMENT TO FOUNDATION 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"). • • • 4a • 1.2 Amount of Payments to Foundation. (a) As used in this agreement, the following terms shall have the following specific meanings: (i) The "hotel tax revenue" shall mean the monies col- '.ected and received by the CITY during any relevant period of time (i.e., fiscal year or fiscal quarter! as municipal hotel occupancy tax at the rate of seven percent (74) of the price paid for a room in a hotel, pursuant to TEX. 'rAX CODE 5351.002 and City Ordinance 86-87, together with and including any sum-] of money received by the CITY from taxpayers during any relevant fiscal quarter or calendar month as attorney's fees, court costa, or other expenses of collection of hotel tax, but excluding interest and penalties received by the CITY from taxpayers. (ii} The term "base payment amount" shall mean Three Thousand Dollars ($3,000). (b) The CITY shall pay to FOUNDATION an amount of money equal to the base payment amount for the period of October 1, 1995, through September 30, 1996. 1.3 Dates of Payments to Foundation. (a) The term "quarterly payments" shall mean payments by the CITY to the FOUNDATION of four (4) payments totalling the amount specified in 11.2. (bl CITY shall pay the FOUNDATION quarterly payments of Seven yundred Fifty Dollars ($750). Each such cuarterly payment shall be paid to the FOUNDATION on or before the forty-fifth (45th) day after the last day of such respective fiscal quarter for which such 1 payment is due. If quarterly financial and performance reports are not received within thirty W) days of the end of the applicable quarter, then CITY may withhold the quarterly payment (a) until the appropriate reports are received and approved. • (c) 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. (d) It is expressly understood that this contract in no way obligates the G_neral Fand or any other monies or credits of the • CITY. • • PAGE 2 • 0 NOW a 0 • II. USE OF HOTEL TAX REVENUE BY FOUNDATION 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 regis- trants to the municipality or its vicinity, as authorized by TEX. TAX CODE 5 351.101(a)(3). 1.2 Administrative Costs. The hotel tax funds received from the CITY by the FOUNDATION may be spent for day-to-day operations, sup- plies, salaries, office rental, travel expenses, and other admini- strative costs that are incurred directly in the performance by the FOUNDATION of those activities specified in 42.1 above and are allowed by TEX. TAX CODE 5 351.101(f). 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 42.1 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 tourism and the convention and hotel industry or the performance of the person's job in an efficient and professional manner. III. RRCORD KEEPING AND REPORTING REQUIREMENTS 3..1 Budget. l (a) On or about September 1 and prior to the disbursement of any funds for the 1995-96 fiscal year, the FOUNDATION shall prepare and submit to the City Manager of the CITY an annual budget for f such fiscal year for the FOUNDATION and any other operation or function of the FOUNDATION in which the hotel tax funds shall be used by the FOUNDATION. This budget shall specifically identify proposed expenditure of hotel tax funds by the FOUNDATION. In other words, the CITY should be able to audit specifically where the funds in the separate account relating to Iotel tax funds will be expended. The CITY shall not pay to the FOUNDATION any hotel e tax revenues as set forth in Section I. of this contract during any 4 O fiscal year of this Agreement unless a budget for such respective fiscal year has been appr~:ed in writing by the Denton City Council a,lthorizing the expenditure of funds in such Section I. PAGE 3 • (b) The FOUNDATION acknowledges 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 5 351.101(a) TEX. TAX CODE 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. 3.3 Financial Records. The FOUNDATION shall zaintain complete and ac.urate financial records of each expenditure ~f the hotel tax funds made by the FOUNDATION and, upon xeasonauly advance written request of the Denton City Council or the City's Executive Director of Finance or his designee, shall make such financial records available for inspection and review by the Denton City Council or the City's Executive Director of Finance or his designee. 3.4 Quarterly Reports. Within thirty days afte-- the end of every quarter, the FOUNDATION shall furnish to the CITY (1) a performance report of the work performed under this Agreement, in the form determined by the City Manager describing the activities performed under this Agreement during that quarter, and (2) a list of the expenditures made with regard to hotel tax funds pursuant to the TEX. TAX CODE ANN. 5 351.101(c) (Vernon 1994). The FOUNDATION ahall promptly respond to any request from the City Manager of the CITY for additional information relating to the activities performed under this Agreement. 3.5 Notice of Meetings. The FOUNDATION shall give the City Manager of the CITY reasonable advance written notice of the time and place of general meetings of the Denton Festival Foundation, Inc. Hoard 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. RBIMBURSEMENT AND INDEMNIFICATION 4.1 Reimbursement of Association for Administrative Costs. In the event that this Agreement is terminated pursuant to Section 5.2(a), the CITY agrees to reimburse the FOUNDATION for any and all expenses and costs undertaken by the FOUNDATION in performance of ' • those activities specified in 12.1 above or expenses or costs • • incurred by the FOUNDATION ,ns described in 12.2 above. The CITY is obligated to reimburse the FOUNDATION for expenses and costs as described in 12.2 above only for the period commencing upon the date notice of termination it given and ending upon the date of PAGE 4 i • a • termination. Further, this obligation shall be limited to *he lesser of the actual expenses and costs incurred by the FOUNDATION during the one hundred eighty day period preceding termination or the agreed payments otherwise due and payable to the FOUNDATION for such period. 4.2 Reimbursement of Foundation for Contractnal Obligations. In the event that this Agreement 'i -erminated pursuant to Section 5.2(a), the CITY agrees to reimburse the FOUNDATION for any and all contractual obligations of the FOUNDATION undertaken by the FOUNDATION in performance of those services specified in 12.1 above, conditioned upon such contractual obligations having been incurred and entered into in the good faith performance of those services contemplated in 12.1 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 FOUNDA- TION 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 FIVE HUNDRED DOLLARS ($500.00). Such monetary limitation is cumulative of all contractual obligations and shall not be construed as a monetary limitation on a per contract basis. 4.3 Payment of Reimbursement to Foundation. (a) With respect to expenses and costs incurred by the FOUNDATION for which the CITY is obligated to reimburse the FOUNDATION pursuant to 14.1 above, the CITY shall pay such reimbursement amount due, if any, to the FOUNDATION on or before the forty-fifth (45th) day after the date of termination of this Agreement. (b) With respect to contractual obligations undertaken by the FOUNDATION for which the CITY is obligated to reimburse the FOUNDATION as provided in 14.2 above, the CITY shall reimburse the FOUNDATION for such monetary obligations required in such contrac- tual obligation in such amounts and at those times such contractual costs and expenses are due and payable according to the terms of such contract limitation set forth in 14.2 above. 4.4 Indemnificat-on The FOUNDATION agrees to indemnify, hold harmless, and defena the CI'T'Y, its officers, agents, and employees from and against any and all claims or suits for injuries, damaS loss, or liabilitf of whatever kind or character, arising out of or ' • in connection with the performance by the FOUNDATION 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 PAGE 5 • 0 • ' w • or intentional acts of FOUNDATION, its officers, employees, agents, subcontractors, licensees and invitees. V. TERM AND TERMINATION 5.1 Term. The term of this Agreement shall commence on October 1, 1995 and terminate at midnight on September 30, 1996. This term shall be a period of one year. 5.2 Termination. (a) This Agreement may be terminated by either party by giving the other party one hundred eighty (180) days advance written notice. (b) This Agreement shall automatically terminate upon the occurrence of any of the following evnts: (i) The termination of the legal existence of the FOUNDATION; (ij.) The insolvency of the FOUNDATION, the filing of a petition in bankruptcy, either voluntarily or involuntarily, or and assignment by the FOUNDATION for the benefit of creditors; (iii) Tice 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; (~i (iv) The failure of the FOUNDATION to submit a financial report which complies with the reporting procedures required herein and generally accepted accounting principles prior to the beginning of the next contract term. VI. GENERAL PROVISIONS • 6.1 subcontract for Performance of Services. Nothing in this Agreement shall prohibit, nor be construed to prohibit, the agree- ment by the FOUNDATION with anc:ther private entity, person, or organizatic+•:or the performance >f those services described in 12.1 rbove. In the event that tho FOUNDATION enters into any arrangement, contractual or otherwise, with such other entity, • person or organization, the FOUNDATION shall cause a-ach other • • e%tity, person, or organization to adhere to, conform to, and be /J subject to all provisions, terms, and conditions of this Agreement and to TEX. TAX CODE Chap. 351, including reporting requirements, separate funds maintenance, and limitations and prohibitions PAGE 6 • 0 • ra • pertaining to expenditure of the agreed payments and hotel tax funds. 6.2 Independent Contractor. The FOL7.4DATION 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 the CITY. The FOUNDATION shall have exclusive control of its operations and performance of services hereunder, and such persons, entities, or organizations performing the same 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 consideree 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. 6.3 Assignment. The FOUNDATION shall not assign this Agreement without first obtaining the written consent of the CITY. 6.4 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 Chairman/Director City of Denton Denton Festival Foundation, Inc. 215 E. McKinney P. 0. Box 2104 Denton, TX 76201 Denton, TX 76201 6.5 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 1 assigns. 6.6 )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. 6.7 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 under- • • standings, oral or written, express or implied, between or among the parties hereto, relating to the subject matter of this agree- meet, which are not fully expressed herein. The terms and con- ditions of this Agreement shall prevail notwithstanding any PAGE 7 • 0 • _ o variance in this Agreement from the terms and conditions of any other document relating to this transaction or these transactions. 6.8 Duplicate Originals. This Agreement is executed in duplicate originals. 6.9 Headings. The headings and subheadings of the various se7:- tions 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. S EXECUTED this day of 1995. THE CITY Of DENTON, TEXAS By: LOB CASTLEBERRY, MAYOR ATTEST: APPROVED AS TO LEGAL FORM{: By: By: .~v '~'f C JENNIFER WALTERS, HERBERT L. PROUTY, CITY SECRETARY CITY ATTORNEY DENTON FESTIVAL FOUNDATION, INC. By: C~) 'tt4i C7/1G'!.- Cha rman D rector ATTEST: APPROVED AS TO LEGAL FORM: • By; By: Secretary • V\WPD0C9\F\FI9TIVAL.R • PACE 8 a • 0 • A • r i ~RPDOCS\ORDUR.C. NOT A° r~~!~- ORDINANCE NO. AN ORDINANCE AUTHORIZING THE MAYOR TO EXECUTE AN AGREEMENT BETWEEN THE CITY OF DENTON AND THE DENTON HISTORIC LANDMARK COMMISSION COR THE PAYMENT AND USE OF HOTEL TAX REVENUE; AND PROVIDING AN EFFECTIVE DATE. THF. 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 Historic Landmark Commission for tht 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 I_. That this ordinance shall become effective immed- iately upon its passage and approval. PASSED AND APPROVED this the day of 1995. BOB CASTLEBERRY, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: 1 • APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY BY: J J r • ~ Q • AGREEMENT BETWEEN THE CITY OF DENTON AND THE DENTON HISTORIC LANDMARK COMMISSION (95-96) PROVIDING FOR THE PAYMENT AND USE OF HOTEL TAX REVENUE THIS AGREEMENT made between the City of Denton, Texas, a muni- cipal corporation (the "CITY"), and the Denton Historic Landmark Commission, a legal entity existing under the laws of the State of Texas (the "COMMISSION"): WHEREAS, TEX. TAX CODF. 5 351.002 authorizes the CITY to levy by ordinance a municipal hotel occupancy tax ("hotel tax") not exceeding seven percent (7t) of the consideration paid by a hotel occupant; and WHEREAS, by Ordinance 86-67, the CITY has provided for the assessment and collection of s municipal hotel occupancy tax in the City of Denton of seven percent (7t); and WHEREAS, TEX. TAX CODE 5351.101 (a) (5) authorizes the CITY to use revenue from its municipal hotel occupancy tax to promote tourism and the convention and hotel industry by historical restoration and preservation projects or activities or advertising and conducting solicitations and promotional programs to encourage tourists and convention delegates to visit preserved historic sites or museums; and WHEREAS, the COMMISSION is well equipped to perform those activities; and WHEREAS, TEX. TAX CODE 5351.101 (c) authorizes the CITY to delegate by contract with the COMMISSION 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; 1 NOW, THEREFORE, in consideration of the performance of the mutual covenants and promises contained herein, the CITY and the • COMMISSION agree and contract as follows; I. HOTEL TAX REVENUE PAYMENT TO COMMISSION 1.1 Consideration. For and in consideration of the activities to be performed by the COMMISSION under this Agreement, the CITY { agrees to pay to the COMMISSION 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 COMMISSION sometimes - herein referred to as "the agreed payments" or "hotel tax funds") J • o c, • 1.2 Amount of llayment■ to Commission. (a) As used in this agreement, the followir:y terms shall have the following specific meanings: (i) The "hotel tax revenue" shall mean the monies col- lected and received by the CITY during any relevant period of time (i.e., fiscal year or fiscal quarter) as municipal hotel occupancy tax at the rate of seven percent (7k) of the price paid for a room in a hotel, pursuant to TEX. TAX CODE 5351.002 and City Ordinance 86-87, together with and including any sums of money received by the CITY from taxpayers during any relevant fiscal quarter or calendar month as attorney's fees, court costa, or other expenses of collection of hotel tax, but excluding interest and penalties received by the CITY from taxpayers. (ii) The term "base payment amount" shall mean one Thousand Dollars ($1,000) (b) The CITY shall pay to COMMISSION an amount of money equal to the base payment amount for the per'od of October 1, 1995, through September 30, 1996. 1.3 Dates of Payments to Commission. (a) The term "quarterly payments" shall mean payme is by the CITY to the COMMISSION of four (4) payments totalling the amount specified in 11.2. (b) CITY shall pay the COMMISSION quarterly payments of Two Hundred Fifty Dollars ($250). Each such quarterly payment shall be paid to the COMMISSION on or before the forty-fifth (45th) day after the last day of such respective fiscal quarter for which such payment is due. If quarterly financial and performance reports are not received within thirty (30) days of the end of the applicable quarter, then CITY may withhold the quarterly payment (s) until the . appropriate reports are received and approved. (c) 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 COMMISSION. (d) It is expressly understood that this contract in no way obi-gates the General Fund or any other monies or credits of the . CITY. • PAGE 2 1 1 • p • II. USE OF SOTfL TAX REVENUE BY COMMISSION 2.1 Use of Funds. For and in consideration of the payment by the CITY to the COMMISSION of the agreed payments of hotel tax funds specified above, the COMMISSION agrees to use such hotel tax funds only fQr advertising and conducting solicitations and promotional programs to attract tourists and convention delegates or regis- trant3 to the municipality or its vicinity, as authorized by TEX. TAX CODE S 351.101(a)(3). 2.2 L'ministrative Costs. The hotel tax funds received from the CITY by the COMMISSION may be spent for day-to-day operations, sup- plies, salaries, office rental, ravel expenses, and other admini- strative costs that are incurred directly in the performance by the COMMISSION of those activities specified in 12.1 above and ate allowed by TEX. TAX CODE S 351.101(f). 2.3 Specific Restrictions on Use of Funds. (a) That portion of total administrative costs of the COMMISSION for which hotel tax funds may be used shall not exceed that portion of the COMMISSION'S administrative coats actually incurred in conducting the activities specified in 12.1 above. (b) Hotel tax funds may not be spent for travel for a person zo attend an event or conduct an activity the primary purpose of which is not directly related to the promotion of tourism and the convention and hotel industry or the performance of the person's job in an efficient and professional manner. III. RECORD KEEPING AND REPORTING REQUIRMCWTS 3.1 Budget. (a) On or about September 1 and prior to the disbursement of any funds for the 1995-96 fiscal year, the COMMISSION shall prepare and submit to the City Manager of the CITY an annual budget for • such fiscal year for the COMMISSION and any other operation or function of the COMMISSION in which the hotel tax funds shall be used by the COMMISSION. This budget shall specifically identify proposed expenditure of hotel tax funds by the COMMISSION. In other words, the CITY should be able to audit specifically where the funds in the separate account relating to hotel tax funds will be expended. The CITY shall not pay to the COMMISSION any hotel • tax revenues as set forth in Section I. of this contract during any fiscal year of this Agreement unless a budget for such respective • • fiscal year has been approved in writing by the Denton City Council authorizing the expenditure of funds in such Se--cion I. PAGE 3 • 0 • 4i • ti (b) The COMMISSION acknowledges that the approval of such budget by the Denton City Council creates a fiduciary duty in the COMMISSION with respect to the hotel tax funds paid by the CITY to the COMMISSION under this Agreement. The COMMISSION shall expend hotel tax funds only in the manner and for the purposes specified in 5 351.101(x) TEX. TAX CODE and in the budget as approved by the CITY. 3.2 Separate Accounts. The COMMISSION shall maintain any hotel tax funds paid to the COMMISSION by the CITY in a separate account. 3.3 Financial Records. The COMMISSION shall maintain complete and accurate financial records of each expenditure of the hotel tax funds made by the COMMISSION and, upon reasonably advance written request of the Denton City Council or the City's Executive Director of Finance or his designee, shall make such financial records available for inspection and review by the Denton City Council or the City's Executive Director of Finance or his designee. 3.4 Quarterly Reports. Within thirty days after the end of every quarter, the COMMISSION shall furnish to the CITY (1) a performance report of the work performed under this Agreement, in the form determined by the City Manager describing the activities performed under this Agreement during that quarter, and (2) a list of the expenditures made with regard to hotel tax funds pursuant to the TEX. TAX CODE ANN. 5 351.101(c) (Vernon 1994). The COMMISSION shall promptly respond to any request from the City Manager of the CITY for additional information relating to the activities performed under this Agreement. 3.5 Notice of Meetings. The COMMISSION shall give the City Manager of the CITY reasonable advance written notice of the time and place of general meetings of the Denton Historic Landmark Commission Board of Directors, as well as any other meeting of any constituen- cy of the COMMISSION at which this Agreement or any matter the subject of this Agreement shall be considered. This provision shall not be deemed to require the COMMISSION Lo give notice of any • executive session of the Executive Committee of the COMMISSION. IV. RRINBURSRMRNT AND INDZKNIFICATION 4.1 Reimbursement of Commission for Administrative Costs. In the event that this Agreement is terminated pursuant to Section 5.2(a), the CITY agrees to reimburse the COMMISSION for any and all expenses and costs undertaken by the COMMISSION in performance of those activities specified in 12.1 above or expenses or costs • • incurred by the COMMISSION as described in 12.2 above. The CITY is obligated to reimburse the COMMISSION for expenses and costs as described in 12.2 above only for the period commencing upon the { date notice of termination is given and ending upon the date ,,f PAGE 4 • 4a termination. Further, this obligation shall be limited to the lesser of the actual expenses and costs incurred by the COMMISSION during the one hundred eighty day period preceding termination or the agreed payments otherwise due and payable to the COMMISSION for such period. 4.2 Reimbursement of Commission for Contractual Obligations. In the event that this Agreement is terminated pursuant to Section 5.2(a), the CITY agrees to reimburse the COMMISSION for any and all contractual obligations of the COMMISSION undertaken by the COMMISSION in performance of those services specified in J2.1 above, conditioned upc., such contractual obligations having been incurred and entered into in the good faith performance of those services ccntemplated in 12.1 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 COMMIS- SION or to assume the performance of any contractual obligations of the COMMISSION for or under any contract entered into by the COMMISSION as contemplated herein shall not exceed FIVE HUNDRED DOLLARS (5500.00). Such monetary limitation is cumulative of all contractual obligations and shall not be construed as a monetary limitation on a per contract basis. 4.3 Payment of Reimbursement to Commission. (a) With respect to expenses and costs incurred by the COMMISSION for which the CITY is obligated to reimburse the COMMISSION pursuant to 14.1 above, the CITY shall pay such reimbursement amount due, if any, to the COMMISSION on or before the forty-fifth (45th) day after the date of termination of this Agreement. (b) With respect to contractual obligations undertaken by the COMMISSION for which the CITY is obligated to reimburse the COMMISSION as provided in 14.2 above, the CITY shall reimburse the COMMISSION for such monetary obligations required in such contrac- tual obligation in such amounts and at those times such contractual costs and expenses are dlie and payable according to the terms of such contract limitation set firth in 14.2 above. 4^4 Indemnification. the COMMISSION 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 COMMISSION 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 I PAGE 5 • a • or intentional acts of COMMISSION, its officers, employees, agents, subcontractors, licensees and invitees. V. TERM AND TERMINATION 5.1 Term. The term of this Agreement shall commence on October 1, 1995 and terminate at midnight on September 30, 1996. This term shall be a period of one year. 5.2 Termination. (a) This Agreement may be terminated by either party by giving the other party one hundred eighty f180) days advance written notice. (b) This Agreement shall automatically terminate upon the occurrence of any of the following events: W The termination of the legal existence of the CCMMISSION; (ii) The insolvency of the COMMISSION, the filing of a petition in bankruptcy, either voluntarily or involuntarily, or and assignment by the COMMISSION for the benefit of creditors; (iii) The continuation of a breach of any of the terms or conditions of this Agreement by either the CITY or the COMMISSION for more than thirty (30) days after written notice of such breach is riven to the breaching party by the other party; or (iv) The failure of the COMMISSION to submit a financial report which complies with the reporting procedures required herein and generally accepted accounting principles prior to the beginning of the next contract term. VI. GENERAL PROVISIONS • 6.1 Subcontract for Performance of Services. Nothing in this Agreement shall prohibit, nor be construed to prohibit, the agree- ment by the COMMISSION with another private entity, person, or organization for the performance of those services described in 52.1 above. In the event that the COMMISSION enters into any arrangement, contractual or otherwise, with such other entity, • person or organization, the COMMISSION 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 J and to TEX. TAX CODE Chap. 351, including reporting requirements, separate funds maintenance, and limitations and prohibitions PAGE 6 4 0 • a • pertaining to expenditure of the agreed payments and hotel tax funds. 6.2 Independent Contractor. The COMMISSION 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 the CITY. The COMMISSION shall have exclusive control of its operations and performance of services hereunder, and such persons, entities, or organizations performing the same and the COMMISSION shall be solely responsible for the acts and omissions of its directors, officers, emplcyeea, agents, and subcontractors. The COMMISSION shall not be considered a partner or joint venturer with the CITY, nor shall the COMMISSION be considered nor in any manner hold itself out as an agent or official representative of the CITY. 6.3 Assignment. The COMMISSION shall not assign this Agreement without first obtaining the written consent of the CITY. 6.4 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 patties as follows: CITY COMMISSION City Manager Chairman/Director City of Denton Denton Historic Landmark Commission 215 E. McKinney 100 West Oak, Suite 204 Denton, TX 76201 Denton, TX 76201 6.5 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 COMMISSION and their respective successors and assigns. • 6.6 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. 6.7 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 under- • • standings, oral or written, express or implied, between or among the parties hereto, relating to the subject matter of this agree- ment, which are not fully expressed herein. The terms and con- ditions of this Agreement shall prevail notwithstanding any PAGE 7 • p • variance in this Agreement from the terms and conditions of any other document relating to this transaction or these transactions. 6.8 Duplicate Originals. This Agreement is executed in duplicate originals. 6.9 Headings. The headings and subheadings of the various sec- tions 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. EXECUTED this day of 1995. THE CITY OF DENTON, TEXAS By. BOB CASTLEBERRY, MAYOR ATTEST: APPROVED AS TO LEGAL FORM: c ^MT fi. By: By: JENNIFER WALTERS, HERBERT L. PRO , CITY SECRETARY CITY ATTORNEY DENTON HISTORIC !ANDMARK COMMISSION By. - Chairman/Director ATTEST: APPROVED AS TO LEGAL FORM: By: By: e reta f,\MPDCCS\W\COMRSSIOP,R PAGE 8 • _ O • r - B \w PDOCS\ORD\MJIIMST.HCT ORDINANCE NO. AN ORDINANCE AUTHORIZING THE MAYOR TO EXECUTE AN AGREEMENT BETWEEN THE CITY OF DENTON AND THE 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 I. That the Mayor is hereby authorized to execute are agreement between the City of Denton and the 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 Ii. That this ordinance shall become effective immed- iately upon its passage and approval. PASSED AND APPROVED this the day of 1995. BOB CASTLEBERRY, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: • AP?ROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY BY: { yV • P • r ~1J u~w111 .r AGREEMENT BETWEEN THE CITY OF DENTON AND THE DENTON MAIN STREET ASSOCIATION (95-96) PROVIDING FOR THE PAYMENT AND USE OF HOTEL TAX REVZNVZ THIS AGREEMENT made between the City of Denton, Texas, a muni- cipal corporation (the "CITY"), and the Dentin Main Street Association, a legal entity existing under the laws of tho State of Texas (the "ASSOCIATION"): WHEREAS, TEX. TAX CODE S 351.002 authorizes the CITY to levy by ordinance a municipal hotel occupancy tax ("hotel tax") not exceeding seven percent (7t) of the consideration paid by a hotel occupant; and WHEREAS, by Ordinance 86-67, the CITY has provided for the assessment and collection of a municipal hotel occupancy tax in the City of Denton of seven percent (7k); and WHEREAS, TEX. TAX CODE 5351.101 (a) (3) 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 munici- pality or its vicinity; and WHEREAS, the ASSOCIATION is well equipped to perform those activities; and WHEREAS, TEX. TAX CODE 3351.101 (c) authorizes the CITY to delegate by contract with the ASSOCIATION as an independent entity the manajement 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 ASSOCIATION agree and contract as follows; • I. HOTEL TAX REVENUE PAYMENT TO ASSOCIATION 1.1 Consideration. For and in consideration of the activities to be performed by the ASSOCIATION under this Agreement, the CITY agrees to pay to the ASSOCIATION a portion of the hotel tax revenue col.-cted by the CITY at the rates and in the manner specified herein (such payments by the CITY to the ASSOCIATION sometimes • herein referred to as "the agreed payments" or "hotel tax funds") . • • a • 1.2 Amount of Payments to Association. (a) As used in this agreement, the following terms shall have the following specific meanings: (i) The "hotel tax revenue" shall mean the monies col- lected and received by the CITY during any relevant period of time (i.e., fiscal year or fiscal quarter) as municipal hotel occupancy tax at the rate of seven percent (74) of the price paid for a room in a hotel, pursuant to TEX. TAX CODE 5351.002 and City Ordinance 86-87, together with and including any sums of money received by the CITY from taxpayers during any relevant fiscal quarter or calendar month as attorney's fees, court costs, or other expenses of collection of hotel tax, but excluding interest and penalties received by the CITY from taxpayers. (ii) The term "base payment amount" shall mean Fifteen Thousand Dollars ($15,000). (b) The CITY shall pay to ASSOCIATION an amount of money equal to the base payment amount for the period of October 1, 1995, through September 30, 1996. 1.3 Dates of Payments to Association. (a) The term "quarterly payments shall mean payments by the CITY to the ASSOCIATION of four (4) payments totalling the amount specified in 11.2. (b) CITY shall pay the ASSOCIATION quarterly payments of Three Thousand Seven Hundred Fifty Dollars ($3,750). Each such quarterly payment shall be paid to the ASSOCIATION on or before the forty-fifth (45th) day after the last day of such respective fiscal quarter for which such payment is due. If quarterly financial and performance reports are not received within thirty (30) days of the end of the applicable quarter, then CITY may withhold the quarterly payment (a) until the appropriate reports are received and approved. • (c) 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 ASSOCIATION. (d) It is expressly understood that this contract in no way obligates the General Fund or any othe: monies or credits of the • CITY. PAGE 2 • 0 s II. USE OF HOTEL TAX REVENUE BY ASSOCIATION 2.1 Use of Funds. For and in consideration of the payment by the CITY to the ASSOCIATION of the agree.! payments of hotel tax funds specified above, the ASSOCIATION agrees to use such hotel tax funds only for advertising and conducting solicitations and promotional programs to attract tourists and convention delegates or regis- trants to the municipality or its vicinity, as authorized by TEX. TAX CODE S 351.101(a)(3). 2.2 Administrative Costs. The hotel tax funds received from the CITY by the ASSOCIATION may be spent for day-to-day operations, supplies, salaries, offire rental, travel expenses, and other :'-iinistrative costs that are incurred directly in the performance by the ASSOCIATION of those activities specified in 12.1 above and are allowed by TEX. TAX CODE 5 351.101(f). 2.3 Specific Restrictions on Use of Funds. (a) That portion of total administrative costs of the ASSOCIATION for which hotel tax funds may be used shall not exceed that portion of the ASSOCIATION'S administrative costs actually incurred in conducting the activities specified in 12.1 above. (b) Hotel tax funds may not be spert for travel for a person to attend an event or conduct an activi,y the primary purpose of which is not directly related to the prc,)tion of tourism and the convention and hotel industry or the pe "ormance of the person's }ob in an efficient and professional mar !r. III. RECORD KEEPING AND REPORTING REQUIRENENTS 3.1 Budget. 1 (a) On or about September 1 and prior to the disbursement of any funds for the 1995-96 fiscal year, the ASSOCIATION shall prepare and submit to the City Manager of the CITY an annual budget • for such fiscal year for the ASSOCIATION and any other operation or function of the ASSOCIATION in which the hotel tax funds shall be used by the ASSOCIATION. This budget shall specifically identify proposed expenditure of hotel tax funds by the ASSOCIATION. In other words, the CITY should be able to audit specifically where the funds in the separate account relating to hotel tax funds will be expended. The CITY shall not pay to the ASSOCIATION any hotel • tax revenues as set forth in Section I. of this contract during any • • fiscal year of this Agreement unless a budget for such respective fiscal year has been approved it writing by the Denton City Council authorizing the expenditure of funds in such Section I. PAGE 3 • w • (b) The ASSOCIATION acknowledges that the approval of such budget by the Denton City Council creates a fiduciary duty in the ASSOCIATION with respect to the hotel tax funds paid by the CITY to the ASSOCIATION under this Agreement. The ASSOCIATION shall expend hotel tax funds only in the manner and for the purposes specified in 5 351.101(a) TEX. TAX CODE and in the budget as approved by the CITY. 3.2 Separate Accounts. The ASSOCIATION shall maintain any hotel tax funds paid to the ASSOCIATION by the CITY in a separate account. 3.3 Financial Records. The ASSOCIATION shall maintain complete and accurate financial records of each expenditure of the hotel tax funds made by the ASSOCIATION and, upon reasonably advance written request of the Denton City Council or the City's Executive Director of Finance or his designee, shall make such financial records available for inspection and review by the Denton City Council or the City's Executive Director of Finance or his designee. 3.4 Quarterly Reports. Within thirty days after the end of every quarter, the ASSOCIATION shall furnish to the CITY (1) a perfor- mance report of the work performed under this Agreement, in the form determined by the City Manager describing the activities performed under this Agreement during that quarter, and (2) a list. of the expenditures made with regard to hotel tax funds pursuant t,) the TEX. TAX CODE ANN. 5 351.101(c) (Vernon 1994). The ASSOCIATION shall promptly respond to any request from the City Manager of the CITY for additional information relating to the activities performed under this Agreement. 3.5 Notice of Meetings. The ASSOCIATION shall give the City Manager of the CITY reasonable advance written notice of the time and place of general meetings of the Denton Main Street Association Board of Directors, as well as any other meeting of any constituen- cy of the ASSOCIATION at which this Agreement or any matter the subject of this Agreement shall be considered. This provision 0 shall not be deemee to require the ASSOCIATION to give notice of any executive session of the Executive Committee of the ASSOCIA- TION. IV. REIMBURSEMENT AND INDEMNIFICATION 4.1 Reimbursement of Association for Administrative Costs. In the event that this Agreement is terminated pursuant to Section 5.2(a), • the CITY agrees to reimburse the ASSOCIATION for any and all • • expenses and costs undertaken by the ASSOCIATION in performance of those activities specified in 12.1 above or expenses or costs incurred by the ASSOCIATION as described in 12.2 above. The CITY is obligated to reimburse one ASSOCIATION for expenses and costs as PAGE 4 d I ) • ~ 4a • described in 12.2 above only for the period commencing upon the date notice of termination is given and ending upon the date of termination. Further, this obligation shall be limited to the lesser of the actual expenses and costs incurred by the ASSOCIATION during the one hundred eighty day period preceding termi.nation or the agreed payments otherwise due and payable to the ASSOCIATION for such period. 4.2 Reimbursement of Association for Contractual Obligations. In the event that this Agreement is terminated pursuant to Section 5.2(a), the CITY agrees to reimburse the ASSOCIATION for any and all contractual obligations of the ASSOCIATION undertaken by the ASSOCIATION in performance of those services specified in 12.1. above, conditioned upon such contractual obligations having been incurred and entered into in the good faith performance of those services contemplated in 12.1 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 ASSOCI- ATION or to assume the performance of any contractual obligations of the I.SSOCIATION for or under any contract entered into by the ASSOCIATION as contemplated herein shall not exceed FIVE HUNDRED DOLLARS ($500.00). Such monetary limitation is cumulative of all contractual obligations and shall not be construed as a monetary limitation on a per contract basis. 4.3 Payment of Reimbursement to Association. (a) With respect _o expenses and costs incurred by the ASSOCIATION for which the CITY is obligated to reimburse the ASSOCIATION pursuant to 14.1 above, the CITY shall pay such reimbursement amount due, if any, to the ASSOCIATION on or before the forty-fifth (45th) day after the date of termination of this Agreement. (b) With respect to contractual obligations undertaken by the ASSOCIATION for which the CITY is obligated to reimburse the • ASSOCIATION as provided in 14.2 above, the CITY shall reimburse the ASSOCIATION for such monetary obligations required in such contrac- tual obligation in such amounts and at those times such contractual costs and expenses are due and payable according to the terms of such contract limitation set forth in 14.2 above. 4.4 Indemnification. The ASSOCIATION 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 ASSOCIATION or those services contemplated by this Agreement, including all such claims or causes of action based upon common, constitutional or statutory i a PAGE 5 I JI ) • _ o • 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. V. TERM AND TERMINATION 5.1 Term. The term of this Agreement shall commence on October 1, 1995 and terminate at midnight on September 30, 1996. This term shall be a period of one year. 5.9 Termination. (a) This Agreement may be terminated by either party by giving the other party one hundred eighty (180) days advance written notice. (b) This Agreement shall automatically terminate upon the occurrence of any of the following events: (i) The termination of the legal existence of the ASSOCIATION; (ii) The insolvency of the ASSOCIATION, the filing of a peti•.ion in bankruptcy, either voluntarily or involuntarily, or and assignment by the ASSOCIATION for the benefit of creditors; (iii) The continuation of a breach of any of the terms or conditions of this Agreement by either the CITY or the ASSOCIATION for more than thirty (30) days after written notice of such breach is given to the breaching party by the other party; or (iv) The failure of the ASSOCIATION to submit a finan- cial report which complies with the reporting procedures required herein and generally accepted accounting principles prior to the beginning of the next contract term. • VI. GENERAL PROVISIONS 6.1 Subcontract for Performance of Services. Nothing in this Agreement shall prohibit, nor be construed to prohibit, the agree- ment by the ASSOCIATION with another private entity, person, or { organization for the performance of those services described in 12.1 above. In the event that the ASSOCIATION enters into any • arrangement, contractual or otherwise, with such other entity, • • person or organization, the 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 Chap. 351, including reporting requirements, PAGE 6 • i- p • Ai,. r separate funds maintenance, and limitations and prohibitions r pertaining to expenditure of the agreed payments and hotel tax funds. 6.2 Independent Contractor. The 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 the CITY. The ASSOCIATION shall have exclusive control of its operations and performance of services hereunder, and such persons, entities, or organizations performing the same and the ASSOCIATION shall be solely responsible for the acts and omissions of its direct-5re, officers, employees, agents, and subcontractors. The ASSOCIATION shall not be considered a partner or joint venturer with the CITY, nor shall the ASSOCIATION be considered nor in any manner hold itself out as an agent or official representative of the CITY. 6.3 Assignment. The ASSOCIATION shall not assign this Agreement without first obtaining the written consent of the CITY. 6.4 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 Chairman/Director City of Denton Denton Main Street Association 215 E. McKinney 100 West Oak, Suite 204 Denton, TX 76201 Denton, TX 76201 6.5 Inurement. This Agreement and each provision hereof, and each 1 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 ASSOCIATION and their respective successors and • assigns. 6.6 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. • 6.7 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 under- J standings, oral or written, express or implied, between or among the parties hereto, relating to the subject matter of this agree- j PAGE 7 • 1- a • Au, ment, which are not fully expressed herein. The terms and con- ditions 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. 6.8 Duplicate Originals. This Agreement is executed in duplicate originals. 6.9 Headings. The headings and subheadings of the various sec- tions 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. EXECUTED this day of 1995. THE CITY OF DENTON, TEXAS By: BOB CASTLEBERRY, MAYOR ATTEST: APPROVED AS TO LEGAL FORM: By: By: e" JENNIFER WALTERS, HERBERT L. PROUTY, CITY SECRETARY CITY ATTORNEY DENTON MAIN STREET ASSOCIATION By: 0 chairman/Director ATTEST:~~/~ APPROVED AS TO LEGAL FORM: By: By: Secretary E ,\RYDOCR\R\R$90GIAi70lL R PAGE 8 ~ 1 • c> • j C DENTON oo~~p0 OF Dp 000p0, % oo°` o °o 0 0 0 00 0 cz) oDO 0~ 000 r° N, ti~`o0° aoooo aooooo 000 • CITY COUNCIL • • I- p 0 ~a r CITY of DENTON# TEXAS MUNICIPAL BUILDING • 215 E MCKINNEY • DENTON, TEXAS 76201 (817) 566-8200.OFIN METRO 434.2529 MEMORANDUM DATE: September 8, 1995 TO: Tt,s Honorable Mayor and Members of the City Council FROM: Jon Fortune, Chief Finance Officer SUBJECT: COUNCIL BALANCING/BUDGET ORDINANCE Please find the attached summary of the City Council budget balancing meeting held on September 5, 1995, and an ordinance adopting the 1995-96 operating budget. Please note that General Fund revenues have increased to $32,418,718, and expenditures have increased to $34,063,203 as a result of Council balancing. Also, Motor Pool revenues have increased to $2,854,559, and expenditures have increased to $4,902,711 to reflect the purchase of a quint, two ambulances, and a Sr. Center van. Council approved lowering the ad valorem tax rate.020 from $.5609 to $.5409 per $100 valuation. 1 In addition, Council approved a 3.9% electric rate reduction for small commercial users and an energy cost adjustment of 1.70. All other electric rates remain the o same. Water and wastewater rates wera approved to increase by 2%. Further, Council approved increasing Solid Waste residential rates 8.35%, commercial rates an average 9.1%, and adding an additional $1.00 per cubic yard landfill charge, If you need further information, please advise. Thank you. • .1, so n nschm ,l AFFOOF54 "Dedicated to Quality Service" • 8h1 • A$CRdZ No_G~3.2 AQoa7dalteM_" ,,g 1993-% BUDGET SUMMARY OF SEPTEMBER 3,1995 COUNCIL BUDGET BALANCING r Gam! Fund Aloo"M Belanot Bella Bak= (433,698) Additional 1994.95 Revenue 293,000 (248,688) b="m ad valorem oollectioo we by 1.30% to 99.8% 141,964 (106,724) OTE Franchise payments 180,000 73,276 Sales tax estimate iocrem.23%to 3,25% 26,250 99,526 Omit abk TV peckale 0 99,326 Ambulance rather than squad (Miltera propmal) 4,348 103,874 Ambulam rather they squad (NOD 4,000 107,874 Omit cilium newsletter package 7,1d5 115,059 COPS (3 new ogcr:) (40,000) 75,039 Municipal)udge packages 0 75,059 Curtains for MILK (3,900) 71,139 Sr, cenler van 0 71,159 Fire Reserve (71,159) 0 • i ' i • Q 1 J $,.r 1x 1Y Ia • a • .:vioovT.n,c ry( I ORDINANCE NO. AN ORDINANCE ADOPTING THE RnYDGET FOR THE CITY OF DENTON, TEXAS, FOR THE FISCAL YEAR BEGINNING ON OCTOBER 1, 1995, AND ENDING ON SEPTEM- BER 30, 1996; AND DECLARING AN EFFECTIVE D%TE. WHEREAS, notice `.f a public hearing on the budget for the City of Denton, Texas, 'ir the fiscal year 1995-96 was heretofore pub- lished at least f_fteen (15) days in advance of said public hear- ing; and WHEREAS, a public hearing on the said budget was duly held on the 22nd day of August, 1995, and all Interested persons were given an opportunity to be hea d for or against any item thereof; NOW, THEREFORE, THE COUNCIL OF THE CITY OF DENTC., HEREBY ORDAINS: SECTION I. That the budget for the City of Denton, Texas for the fiscal year beginning on October 1, 1995, and ending on September 30, 1996 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 II. That the City Council hereby appropriates from available resources to the following funds: General Fund $34,063,203 Recreation Fund 656,800 Tourist i Convention Fund 546,000 General Debt Service Fund 5,153,357 Electric Fund 73,533,273 Water Fund 14,649,119 Wastewater Fund 10,395,881 Solid Waste Fund 6,638,776 Fleet Services Fund 2,412,839 Warehouse Fund 3,110,019 Motor Pool Fund 4,902,711 Total $156,061,977 SECTION III. That the City Manager is hereby authorized to p transfer the amounts of money for employee benefit and salary • • adjustments as contained in the 1995-96 budget to the various departments. SECTION IV. That the City Manager shall cause copies of the budget to be filed with the city Secretary and county Clerk of Denton County. . ~ rn s 4 C 6I SECTION V. That this ordinance shall become effective immed- iately upon its passage and approval. PASSED AND APPROVED this the day of 2995. BOB CASTLEBERRY, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY BY: PAGE 2 • a • DENTON ooooQOOOQOOOOO ooo: ~°°o d G ~ d ~ 0 ( a q o0O ,y r o ~ ~O~O 0000 N , ~ 0000 ~oaaaaaoo • IT'S' • COUNCIL 1 • f DD) Cf Y of DlNTON, TEXAS MUNICIPAL BUILDING • 215 E McKINNEY • DENTON, TEXAS 76201 (817) 566-8200 a DFW METRO 434.2529 MEMORANDUM DATE: September 8, 1995 TO: The Honorable Mayor and Members ~ofJthhee City Council FROM: Jon Fort+ine, Chief Finance Officer 'rC~ SUBJECT: ORDINANCE APPROVING AD VALOREM TAX RATE The attached ordinance will serve to adopt the ad valorem tax rate for the year 1995. Per Council's direction of September 5, 1995, a tax rate of 05409 per $100 of assessed value would be required to support the General Fund portion of the 1995-96 proposed budget as amended by Council. Once adopted, $.2273 of the rate will be used to fulfill the General Debt Service Fund requirements, and $.3138 will be used to provide for General Fund operations and maintenance. The $.6409 rate represents a $.02 reduction from the 1994-95 rate of $.6809 per $100 assessed valuation, and is less than the City's effective rate of $.5572 per assessed value. I have attached a copy of the tax rate worksheet illustrating tax rate calculations. If you need further information, please advise. Thank you. A at Anwhm@M - AFF"55 r - - _ ~ "Dedicated to Quality Service" • Q . F:~FD YFLpI£ A 11 ~ ORDINANCE NO. AN ORDINANCE LEVYING THE AD VALOREM TAX OF THE CITY OF DENTON, TEXAS, FOR THE YEAR 1995, ON ALL TAXABLE PROPERTY WITHIN THE COR- PORATE LIMITS OF THE CITY ON JANUARY 1, 1995, NOT EXEMPT BY LAW; PROVIDING LEVENUES FOR PAYMENT OF CURRENT MUNICIPAL EXPENSES, AND FOR INTEREST AND SINKING FUND ON OUTSTANDING CITY OF DENTON BONDS; PROVIDING FOR LIMITED EXEMPTIONS CF CERTAIN HOMESTEADS; PROVIDING FOR ENFORCEMENT OF COLLECTIONS; PROVIDING FOR A SEVERABILITY CLAUSE; AND PROVIDING AN EFFECTIVE DATE. THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: SECTION I. That 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 1995, on all taxable property situated within the corporate limits of the City of Denton on the first day of January 1, 1995, and not exempt by the Constitution and Laws of the State of Texas or by Sections IV, V, and VI of this ordinance, a tax of $0.5409 on each $100 assessed value of all taxable property. SECTION Ij, That of the total tax, $0.3136 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. SECTION III. That of the total tax, $0.2273 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 IV. That pursuant to Article VIII, Section 1-b of the Texas Constitution, $5,000 of the assessed value of resident home- steads shall be exempt from City ad valorem taxes. 1 SECTION V. That pursuant to Article VIII, Section 1-b of the 1 Texas Constitution, $23,000 of the assessed value of resident home- steads of persons sixty-five (65) years of aye or older shall be exempt from City ad valorem taxes. SECTION VI. That pursuant to Article VIII, 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. A SECTION VII. That for enforcement of the collection of taxes hereby levied, the City of Denton shall have available all rights and remedies provided by law. ACTION VIII. That if any section, subsection, paragraph, sen- tence, clause, phrase or word in this ordinance, or application thereof to any person or circumstance is held invalid by any court ` r 0 r • I- s+► 4(JG~ii8 S ~ 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. RF{CTIUN IX. That this ordinance shall become effective immed- i- upon its passage and approval. ED AND APPROVED this the day of 1995. BOB CASTLEBERRY, MAYOR ATTEST: JENNIFER HALTERS, CITY SECRETARY BY. APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY BY: • PAGE 2 1 JAI • • f,' 1:,' 4E'I ROw V\w C 1•~r4 ~Jk • 0 • 1495 PROPERTY TAX RATES IN CITY OF DENTO~Nm This notice concerns 19)5 property tax rates for the Catty lptpiR~~l1,~A east t ~'Qeo about three tax rates Lawt year's tax rate is the a. ua No, determine property taxes last yetr, This year's effectiv 'c ou m ea setA!x q~ taxes as last year if you compare properties taxed in c r;( •~acckk Ss the hly heat tax race the e taxing unit can set befV e, e , rasps s a It rthm tax procedures. In each use these rates ate found by dividr Case {the total value of taxable property) with ■djuatmects as req its by ■ a e w The rites are given per $100 of property value. Last year's tax rate: $ 6,{U9,{16 Last year's operating taxes $ 551,307 Lest year's debt taxes 6, 060,773 lust year's total tams $ $ 1,91 141 ,,959,907 Last year's tax base $ ,5609/$100 Last year's total tax rate This year's effMtlve tax rate: Last year's adju.ted taxes 11,016,077 latter ouhtiacting taxes on lout proper_y1 S Thla yeat's adjusted tax base 1,976,937,177 tatter subtracting value of new property) S g577/$100 This years effective tax rate x 1.03 . Maximum rate unless unit publiahes $ .5739/$100 notices and holds heatinc TLIs year's ro33Wck tats r& W Last year's adjusted operating taxes 9,790,57] Niter subtracting taxes on lost property) $ This year's adjusted tax Case S 1.976,917,117 This year'. of [active opetting rate S .4957/$100 x 1.08 . Th'a year's maximum operating rate $ 7766/$100 m This year's debt rate , $ .7617/$100 This year's rollback rate $ ,7687/$100 Sales tax adjustment rate $ ,5637/$100 Rollback tax rate SCHEDULE A: Unencumbered Fund Balances The following estimated balances will probably be left in the unit's property tax accounts at the end of the fiscal year. These balances are not encumbered by a corresponding debt obligation. ;yy~a[ Pro0crty Tex rand General Fund S 4 50 General Debt Service Fund $ 635,1 SCHEDULE B: 1995 Debt Service The unit plans to pay the following amounts for long-toir debts that are secured by property taxes. These mmo-~to will be paid from property tax revenues for additional males tax revenues, if applicable), Principal s interest Requirements for 1995 96 Principal Interest Total pescri0tion of-4341 3_BS-21" To pff pai FAY+B:u 1965 General obligation Refunding $167,750 $6,510 $1691760 198, General obligation 175,000 50,400 775,400 1917A Certificates of obligation 175,noo 15.675 14016711 1947 Certificates of Obligation 75,000 4,775 79,775 lose General obligation 175,000 36,137 713,117 1,469 general Obligation 115,000 69,300 744,300 1999 Certificates of Obligatiun 17,315 411J1 77,146 1969A Certificates of oblige Lion 179,913 77151 167,791 1991 Certificates of Obligation 3,390 703 3,593 1997 Gene raj obligation 55,000 191,505 746,505 1997 Certificates of Obligation 50,000 )7,543 87.541 1993 Certificates of Obligation 61,748 9,017 10,000 1993 General Obligation 1S0,000 150,015 $00,075 1993A General Ct.igation Refunding 1,614,800 521,451 71136,131 1993A Certificates of Obligation 54,600 53,889 108,489 • 1994 Certificates of obligation 344,960 105,177 4501067 1995 General Obligation 0 1511155 151,153 1996 General Obligation 11.5]1 lallu 116,PQ1 $3.578.049 $1.515.306 $2,2LL2u Total required for 1995 debt service $5,093,357 - Amount lit anyl paid from funds listed in Schedule A 511,556 Excess col1ectlona lent year a Total to be paid from taxes in 1995 $4,581,001 Mount added in anticipation that the unit will collect 100% of its taxes in 1995 S • Total Debt Service Levy $4.561,101 • • SCHEDULE V: Expected Revenue from Additional Sales Tax in calculating its effective and rollback tax rates, the unit estimated that it will receive $1,596,119 in additional sales and use tax rmvenupo This not cc contains a summary of actual effective and rollback tax rats calculations. You can inapnct a COPY of the full calculations at the Office of the City Secretary, 715 g. Mcrinney, Denton, Texam. .Name of person preparing this notice Jon Fortune Title: chief Finance officer Date prepared Auqusr 1, 1995 anm v 0 males, • • { DENTON p000 O~ap0 OOOQp D 4p oG ~o 0 0 0 t o 0 a o OHO T ~ ~O~O 0000 o N , z ~~°O ~aaDOW CITY COUNCIL 1 • ° • I c► Aoe 41fe C - ?f aen September 12, 1995 CITY COUNCIL AGENDA ITEM TO: MAYOR AND MEMBERS OF THE CITY COUNCI[ FROM: Lloyd V. Harrell. City Manager RE: CONSIDER ADOPTION OF ORDINANCES FOR FISCAL YEAR 19% ELECTRIC, WATER, WASTEWATER AND SOLID WASTE UTILITY RATES RECOMMENDATION: The Public Utility Board and Staff recommend City Council approve the proposed fiscal year 1996 Electric, Water, Wastewater, and Solid Waste rate ordinances. SUMMARY: I The Public Utility Board reviewed the proposed 1996 utility rates on August 21, 1995, and recommended City Council approve the overall rate changes as follows: Electric - No change to basic rates - 3.9% decrease for small commercial - 1.700/KWH ECA rate (first quarter) - Rescind Power Cost Adjustment (PCA) rate - Rescind Air Conditioner Cycling Rebate (ACR) rate Water - 2.00/a increase overall Wastewater - 2.00/6 increase overall • Solid Waste - 8.3% Residential ($12.00 to $13.00 per month) - 9.1% Commercial - 12,0% Dumpster (overall) 2.0% Open Top (overall) • . 4.1% Compactor (overall) , • • 16.7% Landfill ($6.00 to S7.00 per cubic yard delivered to landfill) I ~ I • 0 • CITY COUNCIL AGENDA ITEM September 12, 1995 BACKGROUND: The following is a summary of the rate changes proposed for each utility, including changes in rate schedule wording for clarification. Exhibits I through IV provide proposed rate ordinances for Electric, Water, Wastewater and Solid Waste. The average residential customer would see a $2.01 increase in the monthly utility bill, or 1.51,o. ELECTRIC General Service Small (GSS) rate decrease. A 3.9 percent rate decrease has been designed for the small commercial (GSS) rate schedule to improve Denton's competitive position, although further reductions may be required in the future to completely close the gap. In general, the rate has been designed to make Denton rates more competitive with T U Electric rates for customers with KW demand above 40 KW and with load factors (relation of energy use to demand) above 30 percent. Approximately 90 per cent of our 2,600 GSS customers have an average monthly KW' demand below 40 KW. Therefore, the rate design uses a KW demand and KWIi block structure that targets the remaining 10 percent of GSS customers with high load factors. Due to variances in customer demand and energy use levels, some customers will receive a larger rate reduction, while others could see no change or even a small increase. one proposed change in the GSS rate is to add a third energy rate block, set at a lower level (2.6501KWH) compared to the first (7.750/KWH) and second (3.0t/KW'H) rate blocks. A second change is to have a variable second block that rewards customers with good load factors. A third change is to raise the demand charge from $7.581KW to S8.00/KW to more accurately reflect fixed costs. • Energy Cost Adjustment (ECA) rate of 1.700/KWH. The ECA rate was originally budgeted at 1.9001MI for fiscal year 1996. However, actual energy costs have been low during the past several months and ECA revenue has exceeded costs during much of the fiscal year. A reduction in the ECA rate from 1,90t/KWH to 1.400lKW'14 was put into effect July 1, 1995 to rebate the difference in cost and revenue to customers over the July through September time • period. The current estimate of ECA costs for the first quarter of 1996 is at • • 1.70¢/KWH. The ECA rate is reviewed each quarter for required changes, but it 2 • 0 • CITY COUNCIL AGED DA ITEM September 12, 1995 is projected that the 1.700KWH rate should be in effect until April 1, 1996. Power Cost Adjustment (VA) rate rescinded. Due to uncertainty concerning TMPA fixed cost projectioi s, it is recommended to eliminate the PCA rate schedule. Air Conditioner Cycling Rebar. (4CR) rate ("Summer Sense") rescinded. The ACR rate is not cost !ffective and is therefore recommended to be eliminated. This item was discussed with the City Council on August 29. General Service Large (GSL) demand at KVA versus KW. The City Council previously reviewed and approved the change in demand billing using KVA versus KW. Industrial Development Rate (IDR) changed for flexibility and clarity. The [DR rate schedule is changed to provide more flexibility in administering this rate, as some customers can not separately meter the additional demand without significant cost. The rate schedule now allows for a formula for determining base and additional demand based on an agreement between the customer and the Director of Electric Utilities. Wording has also been changed to clarify qualification requirements for both new and existing customers. Minor word changes for clarification. The GSL, GSS, IDR and General Service Time of Use (TGS) rate scheiules have word changes to clarify minimum monthly billing charges and/or to identify the new KVA demand methodology where applicable. WATER A 2.0% across the board increase. Due to rounding, rate changes may not be 1 exactly at 2.0%. The average customer will see a 5.62 increase in the monthly water bill, or 2.01%. • WASTEWATER A 2.0% across the board increase. Due to rounding, rate changes may not be exactly at 2.00/9. The average customer will we a 5.39 increase in the monthly wastewater bill, or 1.94°/6. 3 0 • Q • CITY COUNCIL AGENDA ITEM r i September 12, 1995 SOLID WASTE Residential rate increase of SI.00 per month (8.33 to $13.00. A review of the state surcharge payments indicates the Residential surcharge rate should fall from 05/month to $.10'month. This would equate to a monthly charge of $12.90 plug a 5.10 surcharge fee. Charges for yard waste proposed at 54.00 per cubic yard above 4 cubic yards of yard waste. The allowed limit without charge equates to 24 bags of yard waste/brush/tree limbs at the curb. No charge is made for any volume of brush'tree limbs delivered to the landfill since this material is desirable for composting and for use with sludge treatment. Solid Waste commercial rates recommended to increase by 9.1%. The dumpster rate is proposed to increase by 12.0%, although increases range from 10.7% to 15.5%. Open top rates increase by 2.0% and range from 1.2% to 7.6%. Compactor rates increase by 4.1% and range from 2.1% to 12.3%. Landfill rates projected to increase from $6.00 to $7.00 a cubic yard, or 16.6%. The 3.5°10 surcharge would also apply to this customer group. Intentally, for Denton's own trucks, the landfill rate would increase from $4.00 to $5.00 per ~ cubic yard. i other recommended miscellaneous Solid Waste charges/policy changes. There arc other charges that Staff recommends be implemented to more acctfately recover or allocate the cost of operations. These items were presented to the City Council on August 29. They include the following: 1. Establish a commercial rate for the collection of special waste at 515.00 per cubic yard. 2. Establish an installation fee of 555.00 for new dumpster locks, i • 3. Establish "extra pickup" charge (as needed) of $6.00 for commercial equipment that is inaccessible. 4. Require deposit on open-top and temporary dumpsters, based on one-sixth of annual contract or estimated billing amount. • Require a minimum once per week service charge for putresible • (food) waste. 4 t • • r ' CITY COUNCIL AGENDA ITEM 7 L- Tic September 12, 1995 6. Discontinue uew 2 cubic yard dumpster service. rates adjusted to match market conditions and competition. The increasing Recycting ~ competition for recycling customers requires that Denton have flexible recycling rates. Rates have been developed that essentially provide. when possible, service at no cost as long as recycling revenues from that customer cover the costs of operation. When recycling revenues fall to levels that don't cover costs, customers should be charged for set ice or the service discontinued. A provision has been added to the recycling rate schedule that allows recycling service to be discontinued at the discretion of the Executive Director or his designee. The no-cost cardboard service is expect.u to generally apply to compactor service but charges will be required to cover dumpster recycling service. Since it is not economically feasible to provide no-cost open top service, it is proposed that open top recycling service be discontinued. Solid Waste Master Plan. The Solid Waste rates proposed for fiscal year 1996 provide the necessary budget support for the various Solid Waste Master Plan programs. Each of these programs or projects will be reviewed in detail by the Public Utility Board and presented to the City Council for approval prior to any new expenditures. Fleet Services The Garage labor rate is proposed to increase from $38.50/hour to $40.001hour. wnich is still appruximately 19% below industry rates. There are no proposed changes i„ the Machine Shop or Parts and Fuel areas. Since these rates represent internal charges between City departments. no ordinance is required. FISCAL SUMMARY: The proposed utility rates provide the basis for charges to each utility customer class PROGRAMS, DEPARTMENTS OR GROUPS AFFECTED: Citizens of Denton, Wholesale Water/Wastewater Customers, Denton Municipal • M Utilities. Legal Department. Finance Department, Public Utility Board. and City Council. 5 i 1 • p CITY COUNCIL AGENDA ITEM i., September 12, 1995 Respects ]ly submitted, Llo V. Harrell, City Manager Prepared by. R. E. Nelson, Executive Director of Utilities Exhibits: 1. Fiscal Year 1996 Proposed Electric Rate Ordinance [l. Fiscal Year 1996 Proposed Water Rate Ordinance Ill. Fiscal Year 1996 Proposed Wastewater Rate Ordinance 1V. Fiscal Year 1996 Proposed Solid Waste Rate Ordinance • 6 'Ij 4. 1 4,. V • w • DENTON 00 000 O~~Q O00 F De a o 0 0 0 0 ( o 0 D 00 0~ co p ~p0 T ~QQO 00~~ ON , is 00°° ~oQaooooo s ITY C COUNCIL ~ . 0 • p • 96ELECTR.0RD AQM101 h0 Apendal - L1ate - - ORDINANCE NO. AN ORDINANCE AMENDING THE SCHFDULE OF ELECTRIC RATES CONTAINED IN ORDINANCES 94-162 , 95-028, 95-141; DELETING A POWER COST ADJUST- MENT (PCA) RATE; DELETING AN AIR CONDITIONING RECYCLING REBATE RATE (ACR) ; REVISING THE INDUSTRIAL DEVELOPMENT RIDER RATE (IDR) ; REVISING THE GENERAL SERVICE SMALL RATE BILLING METHODOLOGY TO AN EXPANDABLE BLOCK (GSS) ; REVISING THE GENERAL SERVICE LARGE BILLING METHODOLOGY FROM KW TO KVA BILLING (GSL) ; AMENDING THE GENERAL SERVICE TIME OF USE RATE (TGS); RENAMING THE EXPERIMENTAL WEEKEND RATE (EWK) AS THE WEEKEND RATE (WX); PROVIDING FOR A SEVERABILITY CLAUSE; AND PROVIDING FOR AN EFFECTIVE DATE. THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: SECTION I. That the Schedule of Rates for electrical services as provided for in Chapter 26 of the Code of Ordinances, is amended to read as follows: ARTICLE I. ELECTRIC RATE SCHEDULES PAGE R1 Residential Service Rate 2 R2 Residential Service Rate 4 TR Residential Time of Use Rate 6 GSL General Service Large 8 GSS General Service Small 11 TGS General Service Time of Use Rate 14 WK Weekend Rate 18 G1 Local Government Lighting & Power Service Rate 21 (City, Countv, Independent School District) LS Street Lighting 23 LT Traffic Lighting 25 LO Other Lighting 26 DD Dusk-to-Dawn Lighting !Security Light) 27 DL Decorative Lighting 29 • TI Temporary Service Schedule 30 P1 Interruptible Primary Service 32 ES Standby, Supplementary & Maintenance Service 34 AF Athletic Field 38 IDR Industrial Development Rate 40 TS Thermal Storage Rate 41 APR Appliance Rebate 42 , • MTR Premium-Efficiency Motor Rebate 47 • • UPS Uninterruptible Power Supply 49 ECA Energy Cost Adjustment 51 Special Facilities Rider 52 • 0 r • ~ Q • SCHBDULa Rl RESIDENTIAL SERVICE (Effective 10/01/95) APPLICATION Applicable to all electric service used for residential pur- poses in a single family dwelling or an individually metered apart- ment; supplied at one point of delivery and measured through one meter where usage is not in excess of 700 RWH per 30-day month during the billing months of May through October. If usage in any such month exceeds 700 KWH, billing will be rendered that month under Rate Schedule R2 and thereafter for a period extending through the 12 billing months of the next year ending with the October billing. Annually, in November, the customer may again qualify for the R1 rate provided that consumption has not exceeded 700 KWH per 30-day month during the previous six summer months. Where individual dwelling units are being served through the same meter and the KWH in the billing months of May through October exceed 700 KWH times the number of dwelling units, the billing for that month and thereafter will be rendered under Rate Schedule R2. NET MONTHLY RATE (1) Facility Charge $6.70 / 30 days (2) Energy Charge 3.850 / KWH (3) Energy Cost Adjustment Schedule ECA MINIMUM BILLING Facility Charge TYPE OF SERVICE The City will supply single-phase service at any standard volt- ages available from the City's distribution nystem through one standard transformation. PAYMENT Bills are due when rendered, and become past due if not paid within 15 calendar days from date of issuance. ' • SPECIAL FACILITIES • • All services which require special facilities in order to meet customer's service requirements shall be provided subject to the special facilities rider. PAGE 2 - • • f . PRORATION OF UTILITY BILLS Billing for the Facility charge shall be based on 12 billings annually and prorated for longer or shorter billing periods using the following formula. Formula: Actual days in reading Derigd x customer facility charge 30 days ENERGY CHARGE Billing for the energy charge shall be based on actual KWH con- sumption during the billing period. Formula: KWH X KWH rate ENE$C,Y COSr ADJUSTMENT A charge per KWH of energy taken for fuel cost calculated in accordance with Schedule ECA. • PAG'3 3 • • OfiQ3'Ip Xj- --e 3~ An- SCSEDIILB A2 ggsiDENTIAL SERVICE (Effective 10/01/95) APPLICATION Applicable to any customer for all electric service used for residential purposes in an individual private dwelling or an indi- vidually metered apartment, supplied at one point of delivery and measured through cae meter. Also applicable to any customer heat- ing with electric energy, resistance or heat pump. Not applicable to resale service in any event, nor to temporary, standby, or supplementary service except in conjunction with the applicable rider. ET MONTHLY RATE WINTER SUMMER Dilling months of Billing months of NOV through APRIL MAY through OCT (1) Facility Charge Single Phase $ 7.73 / 30 days $ 7.73 / 30 days Three Phase $15.45 / 30 days $15.45 / 30 days (2) Energy Charge First 1,000 KWH 4.340 / KWH Additional KWH 3.940 / KWH First 3,000 KWH 5.611 / KWH Additional KWH 6.210 / KWH (3) Energy Cost Adjustment Schedule ECA Schedule ECA MINIMUM BILLING • Single Phase Facility Charge Three Phase Facility Charge PAGE 4 • i- w A~c49~PJ0 TYPE OF SERVICE The City will supply single-phase service (or three-phase ser- vice 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. Where service of the type desired by the customer is not already available at the point of service, special contract arrangements between the City and the customer may be required in advance. PAYME Bills are due when rend?red, and become past due if not paid within 15 calendar days from date of issuance. SPECIAL FACILITIES All services which require special facilities in order to meet customer's service requirements shall be provided subject to the special facilities rider. PRORATION OF UTILITY BILLS Billing for the Facility charge shall be based on 12 billings annually and prorated for longer or shorter billing periods using the following formula: Formula: Actual days in reading period x customer facility charge 30 days ENERGY CHARGE Billing for the energy charge shall be based on actual KWH con- sumption during the billing period. Formula: KWH in rate block x Rate per KWH in rate block • ENERGY COST ADJUST= A charge per KWH of energy taken for fuel cost calculated in accordance with Schedule ECA. • , • • PAGE 5 • O RESIDENTIAL TIME-01--M (Effective 10/01/95) APPLICATION Applicable to any customer for all electric service used for residential purposes in an individual private dwelling or an indi- vidually metered apartment, supplied at one point of delivery and measured through one meter. Customers applying for the TR rate must remain on this rate for twelve (12) continuous billing per- iods. Not applicable to resale service in any event, nor to tempo- rary, standby, or supplementary service except in conjunction with the applicable rider. N1uT MONTHLY RATE (1) Facility Charge Single Phase $15.45 / 30 days Three Phase $20.60 / 30 days (2) Energy Charge On-Peak Hours 25.550 / KWH Off-Peak Hours 1.410 / KWH 131 Energy Cost Adjustment Schedule ECA MINIMUM BILLING Facility Charge y-UZ OF SERVICE 1 Single-phase or three-phase at sixty (60) cycles at secondary distribution voltage. Where service of the type desired by the customer is not already available at the point of Service, special contract arrangements between the City and the customer may first be required. DEFINITION OF ON-PEAK HOURS The City's on-peak hours, for the purpose of this rate sched- ule, are designated a^ being from 2:00 P.M. to 7:00 P.M. each • Monday through Friday, starting on June i and continuing through • • September 30 each year. 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. PAGE 6 1 i► • 1 DEFINITION OF OFF-PEAK HOURS The City's off-peak hours, for the purpose of this rate sched- ule, shall be all hours not designated as on-peak hours. SPECI FACILITIES All services which require special facilities in order to meet customer's service requirements shall be provided subject to the special facilities rider. PRORATION OF UTILITY BILLS Billing for the Facility Charge shall be based on 12 billings annually and prorated for longer or shorter periods using the following formula: Actual days in reading period x customer facility charge 36 days ENERGY CHARGE Billing for the energy charge shall be based on actual KWH con- sumption during the billing period. Formula: KWH in rate block x Rate per KWH in rate block ENERGY COST A2sWTMENT A charge per KWH of energy taken for fuel cost calculated in accordance with Schedule ECA. MUM Bills are due when rendered, and become past due if not paid within 15 -alendar days from date of issuance. • PAGE 7 • 0 ~ h~ iy' ~ ~ tin Wy ~ • • SC6BDIIL8 49L J 122 GENERAL SERVICE LARGE (Effective 10/01/95) APPLIM IQ The GSL Rate is applicable to any customer having a minimum actual demand of 250 KVA or 225 KW for all electric service supplied at one point of delivery and measured through one neter. Customers with an average actual demand equal to or greater than 200 KVA or 180 KW during the previous twelve month period 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, nor to temporary, standby, or supplementary service except in conjunction with the applicable rider. NET MONTHLY RATE (1) Facility Charge $60.60 / 30 days (2) Demand Charge $ 8.64 / KVA (Minimum of 250 KVA billed) (3) Energy Charge (GLS) 1.411 / KWH {4) Energy Cost Adjustment Sche&le ECA MINIMUM BILLING An amount equal to the facility charge, plus a demand charge billed at the above KVA rate, where demand is determined by whichever of the following mathods yields the greatest result numerically: 1) the actual monthly KVA demand, 2) 250 KVA, or 3) seventy percent (70V) of the maximum monthly KW/KVA actual demand for any month during the previous billing months of May through • October in the twelve months ending with the current month. TYPE OF SERVICE Secondary or primary service available to commercial and indus- trial customers. Primary service is rendered at one point on the , • customer's premises at a nominal voltage of 13,200 volts. • 0 PAGE 8 11 p / • PRIMARY SERVICE DISCOUNT Customers who own, operate, and maintain all facilities neces- sary to receive three phase primary voltage service and all trans- formation facilities required for conversion to utilization voltage shall receive a discount of 0.3:/KWH (GL3). Primary service customers utilizing City owned and operated facility and transfor- mation equipment necessary to receive primary voltage service shall receive a discount of 0.1C/KWH (GL2). The City shall own, operate and maintain all metering facilities, either 2t primary or secondary voltage. PAYMENT Bills are due when rendered, and become past due if not paid within 15 calendar days from date of issuance. DETERMINATION OF DEMAND The demand shall be determined by the KVA supplied during the 15-minute period of maximum use during the current month as deter- mined by City's demand meter, but shall not be less than 709V of the highest monthly KW/KVA actual demand determined during the billing months of May through October in the 12 months immediately preceding the current month. If the current monthly demand is less than 250 KVA, and 701 of the actual demand determined during the previous months of May through October is less than either 250 KVA or 225 KW, a minimum of 250 KVA demand will be billed for the month. In all cases, 250 TVA is the minimum demand billable under rate GSL. SPECIAL FACIL?TIES All services which require special facilities in order to meet customer's service requirements shall be provided subject to the special facilities rider. PRORATION OF UTILITY BILLS Billing for the Facility charge shall be based on 12 bill- ings annually and prorated for longer or shorter billing • periods usin, the following formula: Formula: Actuate days in readlna oerJ2d x customer facility charge 30 days PAGE 9 ` - _ 0 e A ~n.. 1117 h A /I w~ a (b) Billing for demand shall be calculated ohs a 30 da 9s month basis and prorated for longer or shorterb3 J_ periods using the following formula: Formula: Actual days in reading period x KVA demand x Rate 30 days ENERGY CHARGE Billing for the energy charge shall be based on actual RWH con- su:nption during the billing period. Formula: RWH X RWH rate ENERGY COST ADJUSTMENT A charge per RWH of energy taken for fuel cost calculated in accordance with Schedule ECA. i . I • e , • e PAGE 10 • a • sCMWULB ass 57-A04-1 GENERAL SERVICE SI4ALL (Effective 10/01/95) BpPLICATZON The VSS rate is applicable to any commercial or industrial customer having a maximum demand less than 225 KW for all electric service supplied at one point of delivery and measured through one meter. Not applicable to resale service In any event, nor to temporary, standby, or supplementary service except in conjunction with the applicable rider. NET MONTHLY RATE (1) Facility Charge Single Phase $15.15 / 30 days Three Phase $20.20 / 30 days (2) Demand Charge $ 8.00 / KW (First 20 KW not Billed) Energy Charge (GS1) i Customer with 20 KW or below: ~ n1ock 1 - First 2,°_0G KWH 6.750 / KWH Bl.,cr 2 - All Additional KWH 3.000 / KWH Cust)mer sbove 20 KW: Block I - First 2,500 KWH 6.750 / KWH Bloc% 7 - Next 3,500 + B2T* KWH 3.000 / KWH Block ~ - All Additional M(H 2.650 / KWH * The Block 2 -eshold (B2T) establishes the upper *_hreshola for the Block 2 billing rate above 6,000 KWH as a function of demand, and is determined by the following formula: • B2T KWH - ((Actual KW demand - 20) x 190) No customev shall be billed for KWH not actually consumed. (4) Energy Cost Adjustment Current ECA Schedule PAGE 11 • a • MINIMUM BILLING An amount equal to the facility charge plus the greater of: 1) the actual monthly KW demand charge, or 2) seventy percent (701) of the maximum monthly actual demand charge for any month during the previous billing months of May through October in the twelve months ending with the curret,t month. TYPE OF SERVICE Secondary service available to commercial and industrial customers. The City will supply single-phase service (or three-phase ser- vice 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. Where service of the type desired by the customer is nut already available at the point of service, special contract arrangements between the City and the customer may first be required. PRIMARY SERVICE DISCOUNT Customers who own, operate, and maintain all facilities neces- sary to receive three phase primary voltage service and all trans- formation facilities required for conversion to utilization voltage shall receive a discount of 0- W KWH (G:3). Primary service customers utilizing City owned and operated facility and transfor- mation equipment necessary to receive primary voltage service shall receive a discount of O. W KWH (GS2). The City shall own, operate and maintain all metering facilities, either at primary or secondary voltage. PAYMENT Bills are due when rendered, and become past due if not paid within 15 calendar days from date of issuance, • DETERMINATION OF DEMAND The demand shall be determined by the KW supplied durit.g the 15-minute period of maximum use during the current month as deter- mined by City's demand meter, but shall not be less than 701 of the highest monthly actual demand determined during the billing months • of may through October in the 12 months immediately preceding the • • current month. Billing demand shall be based on an adjusted KW demand which is the highest of the actual monthly demand, less 20 V- . ^1 of the maxim- -1 demanc' -u ` oreceding ,onths of May through u.:tober, .,.&u 20 KW. at. no --dome, shall billed demand be less than 0 KW. PAGE 12 • • r In cases where the connected load is conatant, the City may, at its option, estimate the KW demand. For neon signs, one volt am- pere shall be considered the equivalent of 3/4 watt. SPECIAL FACILITIES All services which require special facilities in order to meet. customers service requirements shall be provided subject to the special facilities rider. PROPATION OF UTILITY BILLS (a) Billing for the Facility charge shall be based on 12 bill- ings annually and prorated for longer or shorter periods using the following formula: Formula: Actuc .11 days in reading period x customer facility charge 30 days (b) Billing for demand shall be calculated on a 30 day per month basis and prorated for longer or shorter billing periods using the following formula: Formula: Actual days in reading period x adjusted KW demand x Rate 30 days ENERGY CHARGE Billing for the energy charge shall be based on actual KWH con- sumption during the billing period. Fonau 1 a : KWH in rate block x Rate per KWH in rate block e IF.RGY Cm f{20sp%NT A charge per KWH of energy taken for fuel cost calculated in accordance with Schedule ECA. e , J PAGE 13 • a • SCHEDULE TGS GENERAL SERVICE TIME OF USE (Effective 10/01/95) APPLICATION Applicable to any customer having a minimum demand of 250 KVA 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. Supplementary ser- vice will b available subject to the applicable rider. Not appli- cable to resole or temporary service. Customers electing this rate must remain on this rate for a minimum of twelve (12) continuous billing months. NET MONTHLY RAIZ (1) Facility Charge $70.70 / 30 days (2) On-Peak Demand Charge $10.96 / KVA On-Peak Demand I (3) Off-Peak (System) Demand $ 2.16 / KVA System Demand Charge (4) Energy Charge 0.511 / KWH (5) Energy Cost Adjustment: Per Schedule ECA MINIMUM BILLING The minimum monti:ly bill shall be the sum of the Customer Facility Charge, the Off - Peak Demand Charge, and the On-Peak Demand Charge. The October through May demand charge shall be the measured system demand, plus not less than 3001 of the actual maximum monthly on-peak demand for any month during the months of June through September in the twelve (12) months immediately preceding the current month. • TYPE OF SERVICE Secondary or primary service available to commercial and indus- trial customers. Primary service is rendered at one point on the customer's premises at a nominal voltage of 13,200 volts. The City will supply siigle-phase service (or three-phase ser- • vice if available at the point of delivery) at sixty (60) cycles • • and at any standard voltages available from the City's distribution -item through one standard transformation. Where t of the Lype desired by the customer is not already available at c.,_ point of service, special contract arrangements between the City and the customer may be required. PAGE 14 0 0 • 0 0 e9 2 PRIMARY SERVICE DISCOUNT Customers who own, operate and maintain all facilities neces- sary to receive three phase primary voltage service and all trans- formation facilities required for conversion to utilization voltage shall receive a discount of 0.3t/RWH (TG5 and TG6). If primary service is provided and the City owns and operates all facilities and transformation equipment necessary to receive primary voltage service, a discount of 0.10/KWH will be applied to the customer's bill (TG3 and TG4). The City shall own, operate and maintain all metering facilities, either at primary or secondary voltage, at the city's option. DEFINITION OF ON-PEAR HOUR$ The City's on-peak hours, for the purpose of this rate sched- ule, 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. DEFINITIOI' OF OFF-PEAK HOURS The City's system (off-peak) hours, for the purpose of this rate schedule, shall be all hours not designated as on-peak hours. DETERMINATION OF ON-PEAK DEMAND The on-peak demand shall be determined by 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, but not less than one hundred percent (loot) 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. DETERMINATION OF OFF PEAR (SYSTEM) DEMAND The off-peak demand shall be determined by the maximum KVA actual 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 will be billed every month. DETERMINATION OF DEMAND BILLING FOR CUSTOMERS WITH NO PEAK DEMAND HISTORY DURING OFF 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 PAGE 15 • O • I a • off-peak demand during an on-peak month. At this time ~boCt~op ~S peak and off-peak demand will then begin billing at the TGS rate. 5UPPL2 E ML POWER RIDER customers requesting standby or supplementary power shall be allowed service under this rate schedule; however, the determina- tion of off-peak demand shall be adjusted to read: The off-peak demand shall be the sum of the maximum KVA demand supplied during the fifteen (15) minute period of maxi- mum use as recorded by the City's demand meter plus the KVA nameplate rating(s) of the customer's generator(s). In the event the customer's generator(s) is/are off-line at the time of the establishment of the maximum off-peak demand, the KVA nameplate rating of the generator(s) unavailable for service shall be removed from the determination of the off-peak demand. SPECIAL FACILITIES All services which require special facilities in order to meet the custorn:er's service requirements shall be provided subject to special facilities rider. PRORATION OF OT'1LI BILLS (a) Billing for the Facility Charge shall be based on 12 bill- ings annually and prorated for longer or shorter periods using the following formula: ~tual days in reading period x customer facility charge 30 days (b) Billing for demand shall be calculated on a 30-day-per- month basis and pro rated for longer or shorter billing periods using the following formula: Actual days in reading yeriod x KVA Billed Demand X Rate 30 days O ENERGY CHARGE Billing for the energy charge Shall be based on actual KWH con- sumption during the billing period. Formula: O KWH X KWH rate • • PAGE 16 • - o • ENERGY COST ADJUSTMENT - y- A charge per Rbfd of energy taken for fuel cost calculated in accordance with Schedule ECA. PAYtg~ Bills are due when rendered, and become past due if not paid within 15 calendar days from date of issuance. • PAGE 17 , ',r • 0 • SCHSDULN WEEKEND RATE (EFFECTIVE 10/01/95) APPLICATION Applicable to any commercial and industrial user whose _1aximum 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 mid- night that exceeds 801 of the maximum demand load. Customers who violate t%e 801 requirement more than four 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 rare for twelve (12) months. Not applicable to resale service in any event, nor to temporary, standby or supplementary service except in conjunction with applicable rider. NET MONTHLY RATE (1) Facility Charge Single Phase $22.00 / 30 days Three Phase $27.00 / 30 days (2) Demand Charge $ 6.06 / KW (First 20 KW not Billed) (3) Energy Charge First 2,500 KWH 6.77C / KWH All over 2,500 KWH 3.38G / KWH (4) Energy Cost Adjustment Per Schedule ECA MINIEUM, BILLING An amount equal to the demand charge as calculated below plus $22.00/month for single phase service or $27.00/month for three phase service, per 30 day billing. • TYPE OF SERVICE The City will supply single-phase service (or three-phase ser- vice 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. Where service of the type desired by the customer is not already av,41-~Ie at the point of service, special contract arrangements Y en City and the customer may be required. PAGE 18 • 0 • • "'0 Bills are due when rendered and become past due if not paid within 15 calendar days from date of issuance. DETERMINATION OF L The demand shall bi determined by the KW supplied during the fifteen (15) minute period of maximum use during the current month as determined by the City's demand meter. Billing shall be based on an adjusted KW demand, which is the actual demand less 20 KW. The adjusted KW demand will subsequently be used for billing the demand portion of the utility bill. in no case, shall billed demand be less than 0 KW. SPECIAL FACILITIES All services which require special facilities in order to meet customer's service requirements shall be provided subject to the special facilities rider. PRORATION OF UTILITY BILLS Billing for customer facility charge and demand shall be calcu- lated on a 30-day basis and prorated for longer or shorter billing periods using the following formula: (a) Billing for the Customer Facility Charge shall be based on 12 billings annually. Formula: Actual da.,•s in reading period x customer facility charge 30 days (b) Billing for the Demand Charge shall be based on 12 bill- ings annually. • Formula: Actual days in reading period x adjusted KW demand x Rate 30 days PAGE 19 • _ N • r ENERGY CHARGE Billing for the er.-rgy charge shall be based on actual KWH con- sumption during the billing period. Formula: KWH in rate block x Rate per KWI in rate block ENERGY COST ADJUSTMEN£ A charge per KWH of energy taken for fuel cost calculated in accordance with Schedule ECA. PAGE 20 • a • SCBEDVLS Ol 1 - 9v LOCAL GOVERNMENT (Effective 10/01/45) APPLICATION 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. nor to tempo- rary, standby or supplementary service except in conjunction with applicable rider. NET MONTHLY RATE (1) Facility Charge Single Phase $15.15 / 30 days Three Phase $20.20 / 30 days (2) Demand Charge $ 6.31 / KW (3) Energy Charge 3.031 / KWH (4) Energy Cost Adjustment Current ECA Schedule MINIMUM BILLING An amount equal to the demand charge as calculated below, but not less than fifty percent (50t) of the maximum monthly demand charge for any month during the pravict-s billing months of May through October in the twelve months ending with the current month, pl>>s the applicable facility charge per 30 day billing period. 1 TYPE OF SERVICE The City will supply single-phase service (or three-phase ner- • vice 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. Where service of the type desired by the customer is not already available at the point of service, special contract arrangements between the City and the customer may be required. • PAYMENT • Bills are due when rendered, and become past due if uct paid within 25 calendar days from date of issuance. PAGE 2' • p • r DETERMINATION OF DEMAND The demand shall be determined by the KW supplied during the 15-minute period of maximum use during the current month as deter- mined by City's demand meter, but not less than 50t of the highest monthly actual demand determined during the billing months of May through October in the twelve months immediately preceding the current month. SPECIAL FACILITIES All services which require bpecial facilities in order to meet customer's service requirements shall be provided subject to the special facilities rider. PRORATION OF LUILI'i'Y BILLS (a) Billing for the Facility charge shall be based on 12 bill- ings annually and prorated for longer or shorter billing periods using the following formula: Formula: Actual days in reading period x customer facility charge 30 days (b) Billinq for demand shall be calculated on a 30 day per month basis and prorated for longer or shorter billing periods using the following formula: Formula: Actual days in reading period x KW billed demand x Rate 30 days ENERGY CHARGE Billing for the energy charge shall be based on actual rWH con- sumption during the billing period. Formula: KWH X KWH rate • ENERGY COST ADJUSTME~ , • • J A charge per KWH of energy taken for fuel cost calculated in accordance with Schedule ECA. PAGE 22 RY • 0 • w • F _ SCSSDULB Ls STREET LIGHTING (Effective 10/01/95) APPLICATION Applicable to all street lighting owned and maintained by the City of Denton. NET MONTHLY PATE (1) Facility Charge See table (2) Energy Cost Adjustment Current ECA X Monthly Bulb Wattage Factor Facility! Charge Bulb Wattage Factor LSA 100 W Sodium Vapor $ 4.90 / 30 Days 48 KWH LSB 250 W Sodium Vapor $ 6.95 / 30 Days 105 KWH LSC 400 W Sodium Vapor $ 8.75 / 30 Days 159 KWH LN LMA 175 W Mercury Vapor $ 5.65 / 30 Days 70 1CAH LMB 250 W Mercury Vapor $ 6.70 / 30 Days 98 KWH LMC 400 W Mercury Vapor $ 8.50 / 30 Days 153 KWH LMD 1,000 W Mercury Vapor $15.45 / 30 Days 380 KWH TYPE OF SERVICE The City will supply single-phase service (or three-phase ser- vice if available at the point of delivery) at sixty (60) cycles and at any standard voltages available from the City, j distribution system through one standard transformation. Where service of the type desired by the customer is not already available at the poi t of service, special contract arrangements between the City and the • customer may first be required. PAYME~ Bills are due when rendered, and become past due if not paid within 15 calendar days from date of issuance. I PAGE 23 • - O • i C t 3~- My-I,Y PRORATION OF UTILITY BILLS a) Billing for the Facility charge shall be based on 12 bill- ings annually and prorated for longer or shorter periods using the following formula: Actual days in reading period x # of lights per type x 30 days customer facility charge ENERGY COST ADJUSTMENT A charge per RWH of energy taken for fuel cost calculated in accordance with Schedule ECA. I • PAGE 24 1 , . #a • 0 • - cr • A2?, __25?1:5~ SCHWULB LT TRAFFIC LIGHTING (Effective 10/01/95) APPLICATION Applicable to State and Local Government agencies that operate and maintain their own traffic signals. NET MONTHLY RATE All KWH 5.309 / KWH TYPE OF SERVICE At the City's available secondary voltage and phase. P8~ Bills are due when rendered, and become past due if not paid within 15 calendar days from date of issuance. MAINTENANCE CHARGE Maintenance expenses billed at cost. SPECIAL FACILITIES All services which require special facilities in ozder to meet customer's service requirements shall be provided subject to the special facilities rider. ENERGY CHARG$ Billing for the energy charge shall be b*3ed on actual KWH con- sumption during the billing period. Formula: • KWH X KWH rate ENERGY $_L ADJUSTMEM A charge per KWH of energy taken for fuel cost calculated in accordance with Schedule ECA. PAGE 25 • 0 • SCHIMULZ LO OTHER LIGHUM (Effective 10/01/95) L4& APPLICATION Applicable to State and Local Government agencies that install and maintain their own street lights, other than the City of Denton. BULB WATTAGE LiET MONTHLY RATE FACTOR LS1 250 W Sodium Vapor 5.300 / KWH 105 KWH LS2 400 W Sodium vapor 5.300 / KWH 159 KWH LM1 400 W Mercury Vapor 5.300 / KWH 153 KWH LM2 1,000 W Mercury Vapor 5.300 / KWH 380 KWH ICE APPLICATION Applicable to other unmetered lighting services. NET MONTHLY RATE Total Watts X Hours used per Month X KWH rate 1,000 TYPE OF SERVICE At the City's available secondary voltage and phase. PAYME Bills are due when rendered, and become past due if not paid within 15 calendar days from date of issuance. MAINTENANCE CHARGE • Maintenance expenses billed at cost. SPECIAL FACILITIES All services which require special facilities in order to meet customer's service requirements shall be provided subject to the , • special facilities rider. J • ENERGY COST ADNSUMpQ A charge per KWH of energy taken for fuel cost calculated in accordance with Schedule ECA. PAGE 26 • 0 • SCHEDULE DD _22~C~ DUSK TO DAWN LIGHT IM (Effective 10/01/95) APPLICATION 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 MONTHLY RATE (1) Facility Charge See table (2) Energy Cost Adjustment Current ECA Monthly Bulb Wattage Factor Facility Charge Bulb Wattage Factor DSA 100 W Sodium Vapor $ 7.75 / 30 Days 48 KWH DSB 250 W Sodium Vapor $10.05 / 30 Days 105 KWH DSC 400 W Sodium Vapor $12.35 / 30 Days 159 KWH DMA 175 W Mercury Vapor $ 6.45 / 30 Days 70 KWH DMB 250 W Mercury Vapor $ 7.50 / 30 Days 98 KWH DMC 400 W Mercury Vapor $ 6.35 / 30 Days 153 KWH TYPE OF SERVICE The City shall furnish, install, maintain and deliver electric service to automatically controlled, mercury or sodium vapor light- ing 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 inadegi:ate, the City will install or cause to be installed, one • (1) pole for each installed light, at a distance not to exceed eighty (801) feet from said existing lines, at no charge to the 4 customer. Each additional pole span shall not exceed a span spac- ing of one hundred (1001) feet. Additional poles required to in- 1 stall a light in a customer's specifically desired location, and not having a light installed on same, shall bear the cost. • PAYMENT Bills are due when rendered, and become past due if , • • not paid within 15 calendar days from date of issuance. PAGE 27 • 0 • 0 • { TERM OF CONTRACT -~~7_!!!!!!!~ 9,S A two (2) year contract shall be agreed to and signed by each customer desiring Dusk-to-Dawn 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 cus- tomer desired the removal of the unit or discontinuance of the ser- vice 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. SPECIAL FACILITIES All service which requires special facilities in order to meet the customer's service requirements shall be provided subject to special facilities rider. PRORATION OF UTILITY BILLS Billing for the Facility charge shall be based on 12 billings annually and prorated for longer or shorter billing periods using the following formula: Formula: Actual days in reading period x customer facility charge 30 days ENERGY COST ADJUSTMENT A charge per KWH of energy taken for fuel cost calculated in accordance with Schedule ECA. I • PAGE 28 c o%t ;yr 0 A • SCHSDULS DL DECORATIVE LIGHTING (Effective 10/01/95) APPLICATION Applicable to any customer on the perimeter of the square ser- ved 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 MONTHLY RATE (1) Facility Charge $3.85 / 30 Days (2) Energy Cost Adjustment Current ECA x Monthly Bulb Wattage Factor, based on 415 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 regula- tions. The service is provided bet..*een dusk and midnight. PAYMENT Bills are due when rendered, and become past due if not paid within 15 calendar days from date of issuance. SPECIAL FACILITIES Al service which requires special facilities in order to meet the customer's service requirements shall be provided subject to special facilities rider. 1 PRORATION OF UTILITY BILLS Billing for the Facility Charge shall be based on 12 billings • annually and prorated for longer or shorter billing periods using the following formula: Formula: i Actual days in reading period x Facility Charge 30 days ~ j O • ~ ENERGY COST ADJUSM A charge per KWH of energy taken for fuel cost calculated in accordance with Schedule ECA. PAGE 29 F t, • v • Q.le SCHSDO'LB TI TEMPORARY SERVICE (Effective 10/01/95) APPLICATION 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 has been issued. NET MONTHLY RATE (1) Facility Charge Single Phase $15.15 / 30 days Three Phase $20.20 / 30 days (2) Energy Charge 6.770 / KWH (3) Energy Cost Adjustment Current ECA Schedule MINIMUM BILLING Facility Charge TYPE OF SERVICE At the City's available secondary supply. i ADDITIONAL TEMPORARY SERVICE CHARS Labor (Regular Time) $60.00 minimum up to 1 hour. $60.00 for each additional hour (to be mea- sured to the nearest one-quarter hour). Labor (Overtime) $75.00 minimum up to 1 hour. $75.00 • for each additional hour (to be mea- sured to the nearest one-quarter hour). Premium time to be added where applica- ble. 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 Stores cost plus 25t and applicable sales tax. PAGE 30 • O ^~.1r Tom:: u • , M1R • 0 • Material At the time a temporary services+A moved 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 254 and sales tax. SPECIAL FACILITIES All services which require special facilities in order to meet the customer's service requirements shall be provided subject to special facilities rider. See Section 25-23(e) for standard re- quirements. PRORATION OF UTILITY BILLS Billing for the Facility charge shall be based on 12 billings annually and prorated for longer or shorter periods using the following formula: Formula: Actual days in reading period x customer facility harge 30 days ENERGY CHARGE Billing for the energy charge shall be based on act al KWH con- sumption during the billing period. Formula: RWH X KWH rate ENERGY COST ADJUSTMENT A charge per M of energy taken for fuel cost calculated in accordance with Schedule ECA. • 1 i i r PAGE 31 171' ~ T.,~t • a SCHEDULE Pl ' INTERRUPTIBLE PRIMARY SERVICE (Effective 10/01/95) APPLICATION Applicable to all customers taking primary service at a firm power load exceeding 1,000 KVA during the months of June, July, August and September and is, by contract, provided service subject to load interruptions. The City retains the right to limit the number of customers on this rate if the City's load reduction goals are met. NET MONTHLY CHARGE (Estimated Transmission Firm) (1) Facility Char-le $ 70.70 / 30 days (2) Energy Charge 0.201 / KWH (3) Demand Charge $ 3.78 / KVA (4) Energy Cost Adjustment Current ECA Schedule MINIMUM PILLING An amcunt equal to the demand charge as calculated below but not less than one hundred percent (100%) of the maximum monthly KVA similarly determined during the previous billing months of May through O:tober in the ~weive months ending with the current month, nor less than 1,000 KVA. i TYPE OF SERVICE Interruptible primary voltage service (transformation equipment owned by customer) s available to any customer with a 12-month minimum monthly demand :>f 1,000 KVA or greater. Interruptible pri- mary service render(ad at one point on the customer's premises at a • nominal voltage of 13,200 volts or 69,000 volts three-phase at the option of the util".ty. The primary voltage service customer shall own, operate, and maintain all facilities necessary to receive three phase primary voltage service and all transformation facilities req;a rer' for conversion to utilization voltage. The City shall own, operate and e • maintain all metering facilities, either at primary or secondary • • voltage, at the Utility's option. Where the City elects to meter at secondary voltage, two percent shall be added to the demand / charge, the energy charge and the energy cost adjustment charge to account for transformer losses. PAGE 32 • w r DETERMINATION OF DEMAND The demand shall be determined by the KVA supplied during the 15-minute period of maximum use during the current month as determined by City's demand meter, but not less than 100* of the maximum monthly KVA similarly determined during the billing months of May through October in the twelve months immediately preceding the current month, nor less than 1,000 KVA. SPECIAL FACILITIES All service which requires special facilities in order to meet the customer's service requirements shall be provided subject to Special facilities rider. PRORATION OF UTILITY BILLS (a) Billing for the Facility charge shall be based on 12 bill- ings annually and prorated for longer or shorter billing periods using the following forsnila: Formula: Actual days in reading DeriQ x customer facility charge 30 days (b) Billing for demand shall be calculated on a 30 day per month basis and prorated for longer or shorter billing periods using the following formula: Formula: = ual days in reading period > KVA Demand X KVA Rate 30 days ENERGY CHARG? Billing f,)r the energy charge shall be based on actual KWH consumption during the billing period. Formula: • KWH X KWH rate ENERGY COST ADJUSTMENT A charge per KWH of energy taken for fuel cost calculated in • accordance with Schedule ECA. • • i PAGE 33 i • 1- • SCHEDULE ES STANDBY, SUPPLEMENTARY AND MAINTENANCE SERVICE (Effective 10/01/95) APPLICATION Applicable in all areas served by the City to customers who: (1) own and/or operate an electric power generation facility mainly used for non-emergency uses and which has a total nameplate or effective capacity (whichever is lesser) of fifty (50) KVA or more in parallel with the City's electric system for the purpose of generating power for the customer's own consumption, and (2) employ equipment which is compatible with the City's elec- tric system at the customer's delivery point and which will cause no damage to the City's electric system or equipment or present undue hazards to City personnel, and (3) own and/or operate an electrical generating facility which has been certifie annually by a registered professional engineer practicing in the utility or Independent Power Production Industry to be a functioning and rel_..ule generating facility. (4) operate an electrical power generating system at least 6,500 hours annually. (5) execute an agreement for interconnection and parallel operation with the City. INTERCONNECTION COST$ The customer shall re- burse the City for any equipment or facilities required as a result of the installation by the customer of generation in parallel with the City's electric system. The customer shall pay all costs of the City to extend its • facilities or modify them at the time of interconnection, or at some future time in order to permit parallel operation of the customer's facility. TYPE OF SERVICE • The City shall supply alternating current at sixty (60) cycles • • and at the voltage and phase of the City's electric system most f available to the location of the customer. The primary voltage J customer shall own, operate and maintain all facilities necessary to receive three phase primary voltage service and all transforma- tion facilities required for conversion to utilization voltage. PAGE 34 • Q The City shall own, operate and maintain all metering facilities, either at primary or secondary voltage, at the City's option. where the City elects to meter at secondary voltage, the secondary energy and on-peak demand charges shall apply. NET MONTHLY RATE Primary Secondary Service Service (1) Facility Charge $60.60 / 30 days $25.25 / 30 days (2) Demand Charges: On-Peak Demand $10.30 / KVA $10.30 / KVA Off-Peak Demand $ 3.80 / KVA $ 3.80 / KVA (3) Energy Charges: Non-Emergency Energy 0.20C / KWH 0.510 / KWH Emergency Energy 5.250 / KWH 5.35C / KWH (5) Energy Cost Adjustment Current ECA Current ECA If the sum of the Customer Facility Charge, the On-Peak Demand Charge, and the Off-Peak Demand Charge is less than $1.00 per KVA of installed transformer capacity, $1.00 per KVA of instal.,ed transformer capacity will be the monthly charge. MINIMUM BILLING i The minimum monthly billing shall be the higher of the following: (1) The sum of the Customer Facility Charge, the On-Peak Demand Charge, and the Off-Peak Demand Charge; or (2) A charge of $1.00 per KVA of installed transformer capacity. • DETERMINATION OF ON-PEAK DEMAND The on-peak demand shall be determined by the KW demand supplied by the City during the fifteen (15) minute period of maximum use during the on-peak hours as recorded by the City's demand meter, but not less than one hundred percent (500%) of the maximum on-peak demand which occurred during the billing months of • June through September in the twelve (12) months immediately • • preceding the current month. PAGE 35 • O DETERMINATION OF ON-PEAR DEMAND COGENERATION UNITS N OPERATING AND CUSTOMER'S PEAK DID NOT CONTRIBUTE TO CITY'S ANNUAL SYSTEM PEAR If a customer's cogeneration unit(s) is/are off during peak hours, and the customer's peak did not contribute to the City's annual off-peak demand, and the cogeneration unit is one (1) MW or larger, then the nameplate rating of the customer's unit(e) shall be deducted from the peak demand. The customer shall be charged the appropriate on-peak demand charges for the KW supplied by the City for the succeeding twelve (12) months. DETERMINATION OF OFF-PEAK (SYSTEM) DEMAND The off-peak demand shall be determined by the sum of the KW demand supplied during the fifteen (15) minute period of maximum use as recorded by the City's demand meter, plus the KW nameplate rating(s) of the customers generator(s). In no event shall the off-peak demand be less than seventy percent (70t) of the ,naximum on-peak demand similarly determined during the billing months of June through September in the twelve (121 months immediately preceding the current month. DETERMINATION OF NON-EMERGENCY ENERGY All energy supplied to customers whose generating units are less than one (1) MW capacity. DETERMINATION OF EMERGENCY ENERGY Emergency energy is all energy supplied by the City during peak hours of operation to displace energy normally supplied by custom- er's one (1) MW or larger unit. I DEFINITION OF ON-PEAK HOURS The City ,s on-peak hours, for the purpose of this rate sched- ule, are designated as being from 2:00 P.M. to 7:00 P.M. each Monday through Friday. • DEFINITION OF OFF-PLAK HOURS The City's off-peak hours, for the purpose of this rate sched- ule, shall be all hours not designated as on-peak hours. SPECIAL FACILITIES ' • • All services which require special facilities in order to meet • customer's service requirements shall be provided subject to the special facilities rider. PAGE 36 • 0 • ~ O • PRORATION BILLS (a) Billing for demand shall be calculated on a 30 day per month basis and prorated for longer or shorter billing periods using the following formula: Actual days in reading period x customer facility charge 30 days (b) Billing for demand shall be calculated on a 30 day per month basis and prorated for longer or shorter billing periods using the following formula: Actual days in reading period x KW Billing Demand X Rate 30 days ENERGY CHARGE Billing for energy shall be based on actual KWH consumption during the billing period. Formula: KWH in rate block x Rate per KWH in rate block .CREDIT FOR ENERGY DELIVERED INTO CITY'S SYSTEM DURING ON-PEAK HOURS If Customer-produced energy is fed back into the City's system during on-peak hours, an amount equal to fuel cost calculated in Ecr-ordance with Schedule ECA, as applicable to such energy is cred- ited monthly, provided that Customer has paid the City for neces- sary added metering, protective and other equipment as determined by the City. CREDIT FOR ENERGY DELIVERED INTO CITY'S SYSTEM DURING OFF-P3AK HOURS If Customer-produced energy is fed back into the City's system during off-peak hours, an amount equal to 70% of the billed ECA charge per KWH (for each KWH delivered back into the City's system) f will be credited monthly, provided that Customer has paid the City for necessary added metering, protective and other equipment as determined by the City. ENERGY COST ADJUS'(Ej' • A charge per KWH of energy taken for fuel cost calculated in • accordance with Schedule ECA. PAGE 37 • a • r c- MJr~-s SCHEDULE AF ATHLETIC FIELD (Effective 10/01/95) APPLICATION Applicable to all electric service metered at one point for use to light specified areas for athletic events where such electrical use will not occur between the hours of 2:00 P.M. and 7:00 P.M. for the months of June through September. NET MONTHLY RATE (1) Facility Charge Single Phase $20.20 / 30 days Three Phase $30.30 / 30 days (2) Energy Charge Billing months of June through September: 2:00 PM to 7:00 PM (Peak) 7.580 / KWH All Other Hours (Off Peak) 3.790 / KWH Billing months of October through May: All hours 3.791 / KWH (3) Demand Charge Billing wonths of June through September: Peak (2:00 PM - 7:00 PM) .14.70 / KW All Other Hours (Off Peak) $1.11 / KW I Billing months of October through May: • All hours $1.11 / KW (4) Energy Cost Adjustment Current ECA Schedule MINIMUM BILLING Facility Charge , TYPE OF SERVICE At the City's available secondary voltage and available phase. For use only between the hours of 7:00 P.M. and 2:00 P.M. from June through September and all hours from October through May. PAGE 38 .n, y~ • • i ' SPECIAL FACILITIES All services which require special facilities in order to meet customer's service requirements shall be provided subject to the special facilities rider. PRORATION OF UTILITY BILLS (a) Billing for the Facility charge shall be based on 12 bill- ings annually and prorated for longer or shorter periods using the following formula: Formula: Actual days in reading peri x customer facility charge 30 days (b) Billing for demand shall be calculated on a 30 day per month basis and prorated for longer or shorter billing periods using the following formula: Formula: Actual dayp in reading perj x KW demand x Rate 30 days ENERGY CHARGE Billing for the energy charge shall be based ,n actual KWH con- sumption during the billing period. Formula: KWH in rate block x Rate per KWH in rate block ENERGY COST ADJUSTMENT A charge per KWH of energy taken for fuel cost calculated in accordance with Schedule ECA. • i 1 PAGE 39 e O ii 1y ~L{~k F+y~f~ .,Y 7 A, e • a SCHSDULB IDR INDUSTRIAL/ECONOMIC DEVELOPMENT RIDER (Effective 10/01/95) AVAILABILITY This rider is available to the customers who receive service from Rate Schedules GSS, GSL, or TGS. APPLICATION This rider is available to electric service supplied at any one location. It is for firm electric service applicable to new and existing customers as described below, over a five 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 12 months, where such metered demand will be in excess of 225 KVA 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 GSS, GSL or TGS who increase their prior existing metered demand by 225 KVA or 200 KW. This increase shall be verified by comparing a three month rolling avarage 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 MONTHLY RATE The customer shall be charged under the appropriate applicable rate schedules with the exception that the monthly billing demand (For GSS and GSL) or system demand and on-peak demand (For TGS) will be adjusted in accordance with the following table: • Reduction to Billing j Time Period Demand or item Demand J i First Year Sot Second Year 40t j Third Year 30t • Fourth Year 20% • Fifth Year 10t CONTRACT PERIOD The term of the contract will be for five years. PAGE 40 • 0 • a r SCMMULB TS THERMAL STORAGE INCENTIVE (Effective 10/01/95) APPLICATION Applicable to any customer who agrees to be on Time - of - Use rate for five (5) years and who has a thermal storage facility of a min- imum storage capacity of 500,000 BTU. THERMAL STORAGE INCENTIVE PAYMENTS First 500 KVA shifted $250 / KVA to off-peak hours Additional KVA shifted $125 / KVA to off-peak hours Thermal storage incentive payments shall be made to qualifying customers based on the following method: A design shall be submitted to the Director of Electric Utili- ties for approval. The thermal storage equipment shall be checked for input electric demand (KVA) and output capacity (BTU). The system shall be limited for incentive payment to a maximum of 12,000 BTU per 500 square feet for the conditioned area of the facility to be served, if such facility is used for office purposes. If the facility is used for other purposes, such as, for example, an industrial use, the customer may request an exception. from the City of Denton Electric Utility. The City Electric Utility will study the request for exception and make recommenda- tions to the Electric Utility Director and the Executive Director of Utilities as to whether a different formula should be used. The decision of the Executive Director of Utilities will be final. Upon completion, the input-output of the thermal storage units will be measured by the City of Denton. The customer may observe and verify all information and calculations for the actual size of • the facility. Auxiliary equipment used to circulate fluid or air handlers which would operate under normal peak periods will not be j included in calculating the KVA load for incentive payments. it PAGE 41 • 0 • • SCMMULB APR APPLIANCE REBATE (Effective 10/01/95) Application/Program summary The City of Denton Utility Department is offering cash payments to customers who purchase and install high efficiency air condi- tioners or hea* humps in new or existing residential or commercial facilities. The program's objective is to reduce energy demand and consump- tion, thereby saving customers dollars on their utility bills and reducing the peak load of the City of Denton's electric system. Program Guidelines 1. All installations must be for accounts served by the City of Denton Utility Department and must meet all applicable nati(ial, local, and manufacturers' codes and spec£fica- tionc, 2. To qualify for a rebate, equipment must be new when in- stalled. 3. All equipment must be purchased. No leased or lease/ purchased equipment will qualify for a cash rebate. 4. Installations must be made by licensed contractors and/or dealers. 5. No rebate will be paid on a partial replacement of an air conditioner. The compressor, condenser and the evaporator coil must be replaced to qualify for a rebate. 6. Payments for residential central cooling systems, which include apartments and mobile homes, will be limited to a capacity based on a minimum of 500 conditioned square feet per ton. • 7. The conditioned area in square feet is required on each residential central system request for payment. 8. The rebate will be paid to the purchaser of the qualifying equipment upon verification of compliance with program guidelines. e • • 9. Requests for payment must be received by the Director of Electric Utilities within 60 days of installation. PAGE 42 0 Ono on 0 • rv nil, t. ~p l .Pj.VJ, 1'f 10. Equipment and installation are subject to inspection by the City's Building Inspection Department before final approval for payment is issued. 11. The Appliance Rebate Program guidelines and payments are subject to change without notice. 12. The Appliance Rebate Program may be discontinued without prior notice at any time by the City of Denton. I. GENERAL PROCEDURES A. Application To determine who qualifies for a rebate, an appli- cation for rebate must be completed and sent to the Director of Electric utilities within 60 days _U installation of the equipment. Participating dealers have rebate 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 the Director of Electric Utilities. B. Inspections Installations of cent.-a1 systems will be inspected by the City's Buildii g Inspection Department and must be approved before rebates will be processed. C. Payments to Part4.cipants Cash payments will be made to the purchaser of the qualifying equipment. Participating retail equip- ment 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. Prc1ram participants are responsible for submitting the correct information. The Utili- ty Department will not issue any additional payment unless the payment was incorrect due to a mistake in processing by a City employee. j 1. 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 square footage or SEER/EER figures; installing equipment which is not PAGE 43 0 • • new; replacing part of d split system; or failure to fill out rebate forms properly. 2. Payments will be made to customers who pur- chase and install new qualifying equipment. If a tenant purchases and installs qualify- ing 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. If the purchaser of a mobile or custom home selects and pays for a qualifying unit, the purchas- er will receive the rebate. II. CENTRAL ELECTRIC AIR CONDITIONERS AND HEAT PUMPS A. A new condensing unit with an inside evaporator coil will qualify if matched, as specified, in the current issue of the ARI Directory of Certified. Air Condicforers and Air Source Heat Pumps and the unit meets the minimum ratings as specified in the 1992 Appliance Rebate Program. If the unit is not in the current ARI Directory, the manufacturer's latest data approved for publication will be ac- cepted. If the unit is not in the current ARI Directory or data approved for publication, the average of the high and low SEER/EER coil only, not including blower coil, will be accepted as listed in the current ARI Directory. B. Computer simulations may be used if ratings are not listed in the current ARI Directory, provided the following criteria are met: 1. Systems using mix-matched coils must meet all established program guidelines to quali- fy for a rebate. 2. The computer simulations must be signed, • certified, and dated by a registered profes- sional engineer and an officer of the compa- ny making the submittal. 3. The engineer who certifies a simulation must attest to the accuracy of the input data, the validity of the calculation procedure , • used, and that the results are in accordance • with D.O.E. approved methodology. 4. A complete set of the input data and an 1 indication of the source of the data must accompany the simulated ratings. PAGE 44 • 0 Y v1 7 ti' i yyy n..r•r'T 1~7 9~ 0 3 /p7 - i ~S J 5. The simulated ratings must be based on the condensing unit's tested combination as listed in the current ARI Directory or latest data approved for publication and identified by the correct model numbers of both the condensing unit and coil as listed in the current ARI Directory. 6. Simulated ratings must not exceed IM of the SEER rating of the tested system used as a base. 7. An open file of computer simulations will be maintained at the Energy Management Office. Supplying erroneous ratings or data can lead to disqualification of those irvolved from further program participation. C. Program Capacity and Payment Formula 1. The maximum allowable BTU per hour capacity eligible for a residential rebate is deter- mined by dividing the square footage of the conditioned area by 500 and multiplying by 12,000. Example: The Program Capacity for a 1,500 square foot house is: 15000 . 3.0 x 12,000 - 36,000 BTUH The City will pay a rebate on a unit that meets program efficiency standards and is sized at 36,000 BTUH or less. 2. Actual payment will be determined by dividing the BTUH of the installed unit (up to, and including the Program Capacity) by 12,000 and multiplying by the incentive. • The incentive amounts and SEER ratings are refer- enced on page 5 of the "1992 Appliance Rebate Program: Methods Used in Determining Equipment Efficiency and Eligibility," and are incorporated herein as if fully set forth at length: Example A: A person in a 1,500 square foot house , • installs a 30,000 BTUH central air conditioner with a SEER rating of 12.0. J 1s000 . 3 x 12,000 - 36,000 Program Capacity PAGE 45 • p • r s 3s 12, 000 - 2.5 x $100/ton - $250.00 Rebate Amount Example B: A person in a 2,000 square foot house installs a 60,000 BTUH central air conditioner with a SEER rating of 12.0. 2,000 - 4 x 12,000 - 48,000 Program Capacity 500 1248,000 - 4 x $100/ton . $400 Rebate Amount Example C: A person in a 2,000 square foot house installs a 60,000 BTUH central heat pump with a SEER rating of 12.0. 2,000 - 4 x 12,000 - 48,000 Program Capacity 500 48,000 - 4 x $100/ton - $4'U Rebate Amount Minimum SEER/EER Central Air Conditioning Rating Incentive Single Phase (SEER) 12.0 $100 / ton*t Three Phase (EER) 12.0 $100 / ton Central Heat Pumas Single Phase (SEER) 12.0 $100 / ton Three Phase (EER) 12.0 $100 / ton go -Air Conditioners LO.J $ 50 / unit Rcom Heat Pumps 10.0 $ 50 / unit Geothermal Heat Pumps 12.0 $500 / unit i • * Refer to "1992 Appliance Rebate Program: Methods Used in Determining Equinment Efficiency and Eligibility' t For calculation purposes, one ton equals 12,000 STUH • r PAGE 46 • 0 • p • d 1. ~'1 3 G sCIMULS KrR y"- l g PREMIUM-EFFICIENCY MOTOR REBATE (Effective 10/01/95) APPLICATION/PROGRAM SUMMARY The City of Denton Utility Department is offering cash payments to customers who purchase and install premium-efficiency motors and adjustable speed drives in facilities serviced by Denton Electric Utility. The program's objective is to reduce energy demand and consump- tion, thereby saving customers dollars on their utility bills and reducing the peak load of the City of Denton's electric system, thereby conserving energy and improving the power factor. PROGRAM GUIDELINES 1. All installations must be for accounts served by the City of Denton Electric Utility and must meet all applicable national, local, and manufacturers' codes and specifica- tions. 2. To qualify for a rebate, equipment must be new when in- stalled. All equipment must be purchased; no leased or lease/purchased equipment will qualify for a cash rebate. Removed motors must be properly disposed of after inspec- tion and not re-used with the Denton Electric Utility system. Method of disposal must be stated. 3. The City will pay the rebate to the purchaser of the qualifying equipment upon verification of compliance with program guidelines. 4. Equipment and installation are subject to inspection by the City's Electric Utility before final approval for payment is issued. 5. Replacement motors must be the same horsepower or lower • than the original motor. Exceptions must be approved in writing by the City's Electric Utility. Only motors 20 horsepower and above are eligible for the program. 6. All information must be complete on the Motor Rebate Application in order for a rebate to be issued (see Motor Rebate Application). ' • • e 7. The Premium-Efficiency Motor Rebate program guidelines and J payments are subject to change without notice. This program may be discontinued with prior notice, at any time by the City of Denton Electric Utility. PAGE 47 • 0 • • L REBATE METHODOLOGY ' Z' -yv Rebates for the Premium-Efficiency Motor Rebate Program will be based on the following methodology: REPLACEMENT MOTORS: 1. The Denton Electric Utility staff will visit the site to determine the existing motors efficiency. If the existing motor is non-operational, an estimate will be made. 2. The customer must provide all information on the rebate application concerning the proposed motor purchase. 3. A new motor must not exceed the horsepower of the existing motor without express written consent by the Denton Electric Utility, which consent shall be given only if the utility finds an increased efficiency. 4. The information concerning the existing and the proposed motors will be entered into the Motor Master software program to calculate the kilowatt (KW) or kilovolt amperes (KVA) savings yield. The calculation is based on horsepower, efficiency, RPM, and load information. S. The KW or KVA yield will be multiplied times the rebate incentive amount of $100/KW or $90/KVA: KW yield x $100 / KW or KVA yield x $ 90 / KVA 6. The Denton Electric Utility will to the site to verify installation, and following successful installation, a rebate check will be mailed to the customer. I NEW MOTORS: New motors will follow the procedure outlined above for replacement motors but the efficiency comparison will be made against a standard new motor, to be determines: by the Motor Master software program used by the City, Department of Eneray standards, • or the Denton Electric Utility. ADJUSTABLE SPEED DRIVES: The Denton Electric Utility will visit the customer site to determine KW/KVA savings from the proposed Adjustable/Variable Speed Drive. Those savings will be awarded on a $100/KW or $90/KVA basis. ' • A watt meter will be used before and after installation. • KW / KVA SAVINGS: Rebates in excess of $1,000.00 require advance approval of the Director of Electric Utilities. PAGE 48 • v • "ten n^~'-ti'o SCHWULN UPS UNINTERRUPTIBLE POWER SUPPLY (Effective 10/01/95) APPLICATION Applicable to any customer who, by written agreement, receives service for uninterruptibie power supply for a computer or other electrical equipment. Not applicable for resale service in any event, nor to tempo- rary or standby service except in conjunction with applicable rider. NET MONTHLY RATE (1) Facility Charge: 250 W Power Standby Unit $ 7.80 / 30 days 1,200 W Power Standby Unit $31.85 / 30 days (2) Installation Charge $25.75 For any W Power Standby Unit other than above, the monthly customer charge will be based on the following formula: (1) Monthly Charge: 5t of Annual Maintenance Cost PLUS 12 months 6% Annual Return of Investment PLUS 12 months St Interest on a 5 Year Life i TYPE OF SERVICE { 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. • PAYME NT Bills are due when rendered, and become past due if not paid within 15 calendar days from date of issuance. SPECIAL FACILITIES All services which require special facilities in order to meet customer's service requirements shall be provided subject to the special acilities rider. PAGE 49 ti rya 1` {;y, • a • r PRORATION OF UTILITY BILLS (a) Billings for the Facility charge shall be based on 12 billings annually and prorated for longer or shorter billing periods using the following formula: Formula: Actual days in reading period x customer facility charge 30 days I Ji i • J : PAGE 50 5 ~ • e • cr~anoY6r- 03 , Arc ~~~,cr -~,LG SCE=tTL: RCA ENERGY COST ADJUSTMENT (Effective 10/01/95) ENERGY COST APOS All monthly KWH charges shall be increased or decreased by an amount equal to "X" cents per KWH, to be known as the energy cost adjustment (ECA). The 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 coat adjustment more than once in any three (3) month period. The ECA shall be calculated using the following formula: ECA Projected energy cost 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 his designate shall recompute the Energy Cost Adjustment and may re-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. The above formula results in an October - December 1995 estimated ECA as follows: ECA 1.701 / KWH • l PAGE 51 Rr7~ r ,r f I 5 • p r G _S~zr -7 SPECIAL FACILITIES RIDER S1) All service shall be offered from available facilities. If a customer service characteristic requires facilities and devices which are not normally and readily available at the location which the customer requests service, then the City shall provide the service subject to paragraph of this rider. (2) The total cost of all facilities reburied to meet the customer's load characteristics which are incurred by the City shall 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 provi- ding service to the customer. i • ff i i PAGE 52 0 0 • • SECTION II. That t.ie Executive Director of Utilities is hereby authorized to expend funds to issue rebates to electric utility customers in the form and type set forth in Schedules APR, MTR and TS, as the use of more efficient compressors, motors and thermal storage is in the best interest of the City of Denton, as such will reduce the peak load and conserve energy, which are public purposes of the City. $RQION III. That if any section, subsection, paragraph, sen- tence, 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 valid- ity of the remaining portions of this ordinance, and the City Coun- cil of the City of Denton, Texas, hereby declares it would have enacted such remaining portions despite any such invalidity. SECTION IV. That the Schedule of Rates herein adopted shall be effective, charged and applied to all energy usage occurring on or after October 1, 1995. PASSED AND APPROVED this the day of 1995. BOB CASTLEBERRY, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: APPROVED AS TO LEGAL FORM: • HERBERT L. PROUTY, CITY ATTORNEY BY: PAGE 53 • 4 R dW,s7A9 • c• DENTON o~appoa aopp00 00 Aw oO o, o0 Q G ~ M ° 0 r O OOO ti T ~ pp0 00~~ o N ~ ti ~~p0 ~ooaaooooo CITY COUNCIL I~ • a • ve WATER ORD ,No Aplndal ORDINANCE NO. AN ORDINANCE AMENDING THE SCHEDULE OF WATER RATES CONTAINED IN ORDINANCE 94-163 FOR WATER SERVICE; ELIMINATING THE INSTALLATION CHARGE IN METERED WATER FROM FIRE HYDRANT (WFH); AMENDING THE UPPER TRINITY REGIONAL WATER DISTRICT RATE (WW1) PER THE CONTRACT; PRO- VIDING A SEVERAHILITY CLAUSE; AND PROVIDING FOR AN EFFECTIVE DATE. THE COUNCIL OF THE CITY OF DENTON HEREP.Y ORDAINS: SECTION I. That the Rate Schedules for water service as pro- vided for in Chapter 26 of the Code of Ordinances, are amended to read as follows: WATER RATS SCMMULSS Mu WR Residential Water Service 2 WRE Outside Corporation Limits Residential Water Service 4 WC Commercial/Industrial Water Service Rate 6 WCE Outside Corporation Limits Commercial & Industrial 8 Water Service WG Intra-Governmental Sales of Finished Water 30 WGI Local Government Sprinkler Irrigation Rate 12 WGA Local-Governmental Water Service for Adopt-a-Spot 14 WGU Intra-Governmental Sales of Untreated Water 16 WFH Metered Water from Fire Hydrant 17 WW1 Interim Treated Water/Raw Water Resale and Transmission 18 • Service to Upper Trinity Regional Water District Water Tap and Loop 20 Special Facilities Rider 22 • O !y ~,rti `o ' j 0 • Agarl]No Ada,, SCHRDULE WR RESIDENTIAL WATER SERVICE (Effective 10/01/95) APPLICATION Applicable for single family residential service, and individually metered apartments or mobile homes or multi-family facilities with less than four units. Also applicable where the metered water is not returned to the wastewater system for collection and treatment, i.e. lawn sprinkler or septic system. Not applicable to resale, temporary, standby, or supplementary ser- vice except in conjunction with applicable rider. NET MONTHLY RATE (1) Facility Charge Billing Per 30 Days 3/4" Meter $ 9.55 1" Meter $11.40 1-1/2" Meter $16.25 2" Meter $18.10 (2) Volume Charge Rata Per 1.000 Gallons RATE BLOCK PER 30 DAYS WINT$,$ sum Billing months of Billing months of NOV. through APRIL MAY through OCT. N 0-15,000 gals $2.60 $2.60 15,001-30,000 gals $2.60 $3.50 Over 30,000 gals $2.60 $4.35 • MINIMUM BILLING: Facility Charge RAM11L Bills are due when rendered, and become past due if not paid within 15 calendar dad:; from date of issuance. • , • • SPECIAL FACILITIES All services w/cich require special facilities in order to meet customer's service requirements shall be provided subject to the special facilities rider. PAGE 2 f ~ i 1 • ni" I I NO '1?f?~ft~,!f PRORATION OF FACILITY CHARGE Billing for the Facility Charge shall be based on 12 billings annually and prorated for longer or shorter billing periods using the following formula: Formula: Actual days in reading period x customer charge 30 days VOLUME CHARGE Billing for the water consumption shall be based on the gallon consumption during the billing period. Formula: Gal, in rate block x rate per 1,000 gal. in rate block 1000 gallons i j O PAGE 3 r L,: w t • ~ o • SCKWULR WRE OUTSIDE CORPORATE LIMITS RESIDENTIAL WATER SERVICE (Effective 10/01/95) APPLICATi0 Applicable for single family residential service, and '_:,dividually metered apartments or mobile homes or multi-family Lacilities with leis than four units outside the corporate limits of the City of Denton, with o:• without wastewater service. NET MONTHLY RATE (1) Facility Charge Billing Per 30 Days 3/4" Meter $11.00 1" Meter $13.10 1-1/2" Meter $18.65 2" Meter $20.80 (2) Volume Charge Rate Per 1,000 Gallons RATE BLOCK PER 30 W Xa WINTEg SUMME Billing months Billing months NOV through APRIL MAY through OCT 0-15,000 gals $3.00 $3.00 15,001-30,000 gals $3.00 $4.05 Over 30,000 gals $3.00 $5.00 MINIMUM BILLING: Facility Charge PAYNENT Bills are due when rendered, and become past due if not paid within 15 calendar days from date of issuance. SPECIAL FACILITIES All services which require special facilities in order to meet customer's service requirements shall be provided subject to the special facilities rider. , I PAGE 4 • 0 a • _ A • f ~v'7~i~1NO Aa~~ c~;tym PRORATION OF FACILITY CHARGE Billing for the Facility Charge shall be based on 12 billings annually and prorated for longer or shorter billing periods using the following formula: Formula: ASyal days in rflading period x customer charge 30 days VOLUME CHARGE Billing for the water consumption shall be based on the gallon consumption during the billing period. Formula: Gal, in Rate Block x Rate per 1,000 Gal. in Rate Block 1,000 gallons • • I PAGE 5 M ~ y 0 ,1 ' • ~ s+ • yn~ 8CH=ULS WC COMMERCIAL/INDUSTRIAL WATER SERVICE RATE (Effective 10/01/95) APPLICATION 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. 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 fl.cw is measured separately. Not applicable to resale service in any event, nor to temporary, standby, or supplementary service except in conjunction with applicable rider. NET MONTHLY RATE (1) Facility Charge Billing Per 30 Days 3/4" Meter $ 20.20 1" Meter $ 22.20 1-1/2" Meter $ 25.75 2" Meter $ 31.65 3" Meter $ 66.25 4" Meter $122.50 6" Meter $153.00 B" Meter $178.00 10" Meter $224.00 (2) Volume Charge $2.87 per 1000 gallons MINIMUM BILLING: Facility Charge • i PAYMENT Bills are due when rendered, and become past due if not paid within 15 calendar days from date of issuance. SPECIAL FACILITY, • • • All services which require special facilities in order to meet customers service requirements shall be provided subject to the special facilities rider. PAGE 6 • 0 • • q~p,rt3Np_ PRORATION OF FACILITY CHARGE Billing for the Facility Charge shall be based on 12 billings annually and prorated for longer or shorter billing periods using the following formula: Formula: Actual days in reading period x customer charge 30 days VOLUME 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 • _ i PAGE 7 tip? q a • P • r ~ Try Q~r;r:.: ti.Ti1 SCHEDULE NCB OUTSIDE CORPORATE LIMITS COMMERCIAL & INDUSTRIAL WATER SERVICE (Effective 10/01/95) APPLICATION Applicable for all commercial and industrial users or other users not otherwise classified under this ordinance outside of the cor- porate limits of the City of Denton for all water service provided at one point of delivery and measured through ona meter, with or without wastewater service. Not applicable to temporary, standby or supplementary service, except in conjunction with applicable rider. NET MONTHLY RATE (1) Facility Charge Billing Per 30 Days 3/4" Meter $ 21.50 1" Meter $ 23.50 1-1/2" Meter $ 29.60 2" Meter $ 34.50 3" Meter $ 75.00 4" Meter $141.00 6" Meter $176.00 an Meter $205.00 10" Meter $247.00 (2) Volume Charge $1.25 per 1,000 gallons I MINIMUM BILLING: Facility Charge i PAYMENT Bills are due when rendered, and become past due if not paid within 15 calendar days from date of issuance. SPECIAL FACILITIES All services which require special facilities in order to meet customer's service requirements shall be provided subject to the , p special facilities rider. • • PAGE 8 • O , • A • r , PRORATION OF FACILITY CHARGE Billing for the Facility Charge shall be based on 12 billings annually and prorated for longer or shorter billing periods using the following formula: Formula: Actual days in riding period x customer charge 30 days VOLUME CHARGE Billing for the water consumption shall be based on the gallon consumption during the billing period. Formula: Gallons Consumption x Rate per 1,000 gallons 1,000 • l PAGE 9 , 1. • A • J' SCHEDULE NG INTRA-GOVERNMENTAL SALES OF FINISHED WATER (Effective 10/01/95) APPLICATION Applicable to sales of finished water to all City of Denton Departments and accounts supplied at one point of delivery and measured through one meter. Not applicable to resale service in any event, nor to temporary, standby, or supplementary service except in conjunction with applicable rider. NET MONTHLY RAT$ (1) Facility Charge Billing Per 30 Days 3/4" Meter $ 14.85 1" Meter $ 16.60 1-1/2" Meter $ 20.55 2" Meter $ 27.65 3" Meter $ 57.15 4" Meter $ 95.00 6" Meter $127.00 8" Meter $149.00 10" Meter $214.00 (2) volume Charge $2.81 per 1,000 gallons MINIMUM BILLING: Facility Charge PAYMENT Bills are due when rendered, and become past due if not paid within 15 calendar days from date of issuance. SPECIAL FACILITIES All services which require special facilities in order to meet customer's service requirements shall be provided subject to the special facilities rider. i I PAGE 10 • • PRORATION OF FACILITY_CHARGU Billing for the Facility Charge shall be based on 12 billings annually and prorated for longer or shorter billing periods using the following formula: Formula: Actual days in reading period x Facility Charge 30 days VOLUME CHARGE Billing for the water consumption shall be based on the gallon consumption during the billing period. Formula: Gallons Ccnsumntion x Rate per 1,000 gallons 1,000 w PAGE 11 • • r SCHEDULE Mai LOCAL GOVERNMENT SPRINKLER IRRIGATION RATE (Effective 10/01/95) APPLICATION Applicable to sales of finished water for irrigation purposes to all local accounts supplied at one point of delivery and measured through one meter. Water will be provided on a non-interruptible basis or on an as available basis, interruptible as needed to meet peak t juirements. Not applicable to resale service in any event, nor to temporary, standby, or supplementary service except in conjunction with applicable rider. NET MONTHLY RATE (1) Facility Charge Billing Per 30 Days (A) Meter Charge 3/4" Meter $ 14.65 1" Meter $ 16.60 1-1/2" Meter $ 20.55 2" Meter $ 27.85 3" Meter $ 57.15 V Meter $ 95.00 6" Meter $127.00 8" Meter $149.00 (2) Volume Charge (WGN) Non-interruptible $2.81 per 1,000 gallons (WGI) Interruptible $2.40 per 1,000 gallons • MINIMUM BILLING: Facility Charge PAYMENT Bills are due when rendered, and become past due if not paid within 15 calendar days from date of issuance. • • • SPECIAL FACILITIES All services which re^uire special facilities in order to meet customer's service requirements shall be provided subject to the special facilities rider. PAGE 12 • 0 • PRORATION OF FACILITY CHARGE Billings for the Facility Charge shall be based on 12 billings annually and prorated for longer or shorter billing periods using the following formula: Formula: Actual days in reading period x Facility Charge 30 VOLUME CHAS Billing for the water consumption shall be based on the gallon consumption to be charged during the billing period. Formula: Gallons Consumvtion x Rate per 1,000 gallons 1,000 • PAGE 13 0 • r~:~.11P1o~ - SCIMVLE VGA LOCAL GOVERMENT WAFER SERVICE FOR "ADOPT-A-SPOT" (Effective 10/01/95) APPLICA73~1 Applicable to sales of finished water to all local government ac- counts supplied at one point of delivery and measured through a metar with a quick coupler and hose bib for the Keep Denton Beautiful Board's Adopt-A-Spot program. Not applicable to resale service in any event, nor to temporary, standby, or supplementary service except in conjunction with appli- cable rider. NF'T ANNUAL RATE (1) racility Charge Per Billing 3/4" Meter $ 9.55 1" Meter $11.40 1-112" Meter $16.25 2" Meter $18.10 (2) Volume Charge $2.81 per 1,000 Gallons MINIMUM BILLING: Facility Charge NT PAYME Bills are due when rendered, and become past due if not paid within 15 calendar days from date of issuance. SPECIAL FACILITIES All services which require special facilities in order to meet custom- er's service requirements shall be provided subject to the special facilities rider. i FACILITY HMG Billing for the Facility Charge shall be based on three billings annually in the months of October, April and July. PAGE 14 • 0 ~~'1 :tif:'~vSM.''}Sp1~'+Yittt~ry • • ~lnr I>~I VOLUME CHARGE Billing for the water consumption shall be based on the gallon consumption during the billing period. Formula: Gajlcns Consumption x Rate per 1,000 ga,lons 1,000 1 J PAGE 15 ' a. • a • r BC»'JLH Nag INTRA•GOVERNMESM SALES OF UNTREATED WATER (Effective 10/01/95) APPLICAT,10 Applicable to all City of Denton Departments and accounts for untreated water supplied at one point of delivery and measured through one meter. Not applicable for resale except in conjunction with applicable rider. NET MONTHLY RATE (1) Facility Charge $154.00 per 30 days (2) Volume Charge $1.50 per 1,000 gallons MINIMUM BILLING Facility Charge NT PAYME Bills arc due when rendered, and become past due if not paid within 15 calendar days from date of issuance. SPECIAL FACILITIFE All services which require special facilities in order to meet custom- er's service requirements shall be provided subject to the special facilities rider. pgORATION OF FACILITY CFinRGR Billing for the Facility Charge shall be based on 12 billings annually and prorated for longer or shorter billi:.g periods using the following formula: • Formula: i Actual days in reading oerig_d x customer charge 30 days VOLUME CHARGE • • I { Billing for the water consumption shall be based on the gallon J consumption during the billing period. Formula: Gallons Consumption x Rate 1,P00 per 1,000 gallons PAGE lb • 0 • A • SCH=4LB WYE METERED WATER FROM FIRE HYDRAIZT (Effective 10101195) APPLIC&TIO I 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. DEPOSIT $680.00 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: $2.87 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. FACILITY CHARGE $32.50 per 30 days PBYI-S Hills are due when rendered, and become past due if not paid within 15 calendar days from date of issuance. • j~ 3 6 PAGE 17 • O • SCHEDULE WWI INTERIM TREATED WATER/RAW WATER RESALE AND TRANSMISSION SERVICE TO UPPER TRINITY REGIONAL WATER pJ.STRICT (Effective 10.01-95) APPLICATION Applicable to all interim treated and raw water sales and transmis- sion service to the Upper Trinity Reg.:jnal Water District (UTRWD). Not applicable for temporary, standby, or supplemerta~y service except in conjunction with applicable rider. MONTHLY CHARGES The monthly charge for all service shall be expressed as a total unit price per thousand gallons based on the following cost components: (1) Water Treatment Fee $ .49 per 1,000 gallons (2) Transmission Service Fee $ .11 per 1,000 gallons (3) Variable Treatment Charge $ .24 per 1,000 gallons (4) Variable Transmission Charge $ .03 per 1,000 gallons (5) Raw Water Charge $ .41 per 1,000 gallons Total Unit Price $ 1.28 per 1,000 gallons CPI-U Formula • The water treatment and transmission service fees shall be adjusted annually on or about October 1 of each year to reflect increases or decreases in costs according to the CPI-U, using the last bimonthly index published prior to the adjustment. The adjustment shall be adjusted by multiplying the applicable fee times a fraction (the CPI Adjustment Formula), as follows: • , • O Current CPI-U Inde Water Treatment/ x x Transmission Previous CPI -U Index Service Fees i Variable treatment and transmission charges shall be based on PAGE 18 • 0 • _ o a the operating budget costs for the fiscal year for which the rates are applicable. Raw water costs for UTRwD shall be based on 85% of the rate charged by the City of Dallas to Denton for raw water purchases, as adjusted at the beginning of each fiscal year. PAYMENT Denton shall render bills on the tenth (10th) day of each month. Bills shall be due and payable when rendered. Bills are considered delinquent it not paid within 20 calendar days of the date a bill for service is rendered. There shall be a ten percent (10W) per annum interest charge on the amount due from the date when due until paid if not paid within 20 calendar days of the date a bill for service is rendered. i • PAGE 19 . t '<ry • 0 • NATSR TAP AND LOOP fSSB (Effective 10/01/95) APPLICATION Thin schedule applies to the installation, removal, or relocation of water taps and loops by the City of Denton Utility department at the request of a person, firm, association or corporation. TAP AND LOOP FEES Any person, association of persons, or corporation that requests that a water main tap, 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 LOOP Size of Tap and Meter Paved Street Unpaved Street 3/4 inch $ 900.00 $ 400.00 1 inch $1,000.00 $ 450.00 1/2 inch $1,200.00 $ 850.00 2 inch $1,400.00 $1,100.00 WATER TAPS WITHOUT LOOP Size of Tao and Meter Paved Street Unpaved Street 2 inch $1,200.00 $ 350.00 WATER LQQPS Size of Looo 3/4 inch $ 26'.00 1 inch $ 330.00 • 1/2 inch $ 400.00 2 inch $ 525.00 METER RELOCATIONS Size of Tap and Meter Relocation of 10 Feet or Leas, • 3/4 inch $ 120.00 1 inch $ 140.00 • • J 1 1/2 inch $ 175.00 2 inch $ 270.00 PAGE 20 • t FEES FOR INSTALLATION NCYT LISTED For installation cf a tap or loop for which a fee is not specified, the requestor shall pay in advance a deposit based upon the estima- ted cost of such installation, or similar work, plus an administra- tion charge of 20t. Upon completion of the installation or similar work requested, the applicant shall be billed at actual cost, as determined by the Utility Department, plus a 20t administrative charge. Any excess deposit shall be refunded to the applicant. The installation charges may be waived by the Utility department for a request to install taps exclusively dedicated to fire sprinkler systems. I • FAGS 2i • _ a 0 r ~bJ~:Ev EYV~_ _ SPECIAL FACILITIES RIPER All service shall be offered from available facilities. If a custo- mer service characteristic requires facilities and devices which are not normally and readily available at the location at which the cus- tomer requests service, then the City shall provide the service sub- ject to paragraph 2 of this schedule. The total cost of all facilities necessary to meet the customer's special requirements which are incurred by the City shall be subject to a special contract entered into between the City and the custom- sr. This contract shall be signed by both parties prior to the City providing service to the customer. I I • PAGE 22 11 , • . . • r~ a r;r ka.r, ::;~JJ~, Ptri4 ,fir f'~.y r e a SECTION II. That if any section, subsection, paragraph, sen- tence, 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 valid- ity of the remaining portions of this ordinance, and the City Coun- cil of the City of Denton, Texas, hereby declares it would have enacted such remaining portions despite any such invalidity. SECTION III. That the Schedule of Rates herein adopted shall be effective, charged and applied to all water consumption occurring on or after October 1, 1995. PASSED AND APPROVED this the day of , 1995. BOB CASTLEBERRY, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: APPROVED AS TO LEGAL FORM: HERBERT L. PROO'IY, CITY ATTORNEY BY: 0 e ~ • • 1 PAGE 23 e 1 0 r t a C °'S DENTON F ~F c s f i Qoa°o°F D0°°oo0 410. o ~ ~ oa 0 0 0 0 o n ° ° 0 ~p °co O Qo ~ 0000 OOO 000 o N ~t OQQQ ~aaaaoooo CITY COUNCIL r • a • 96% WATER ORD IIiiOeN0 ORDINANCE NO. AN ORDINANCE AMENDING THE SCHEDULE OF WASTEWATER RATES CONTAINED IN ORDINANCE 94-164 FOR WASTEWATER SERVICE; AMENDING THE WHOLESALE WASTEWATER TREATMENT RATE (SSC) ; AND PROVIDING FOR AN EFFECTIVE DATE. THE COUNCIL OF THE CITY OF DENTON HFREBY ORDAINS: SECTION 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: WASTEWATER RATE SCBBDULBS Mu SR Residential Wastewater Service 2 SRW Residential Wastewater Service to Users Outside 5 of Denton Corporate Limits without City of Denton Water Service SC Regular Commercial/Industrial Wastewater Service 7 SCD Commercial/Industrial Wastewater Service with 9 Dedicated Water Meters SCW Commercial/Industrial Wastewater Service Outside the 11 City of Denton Corporate Limits with City of Denton Water Service SEP Restaurants & Food Service Wastewater Service 13 SES Equipment Services Wastewater Service 16 SPT Commercial/Industrial Pretreatment Wastewater Services 19 • SM Metered Wastewater Inside/Outside Corporate Limits 21 SG Intragovernmental Wastewater Service 23 SGE Sale of Treated Wastewater Effluent to Municipal 25 Utility Customers • SSC Wholesale Wastewater Treatment Service for a 26 • • Governmental Agency, Division or Subdivision Wastewater Tap Fees 28 Special Facilities Rider 29 4 • 0 • SCMMULB SR RESIDENTIAL WASTEWATER SERVE (Effective 10/01/95) APPLICATION 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 water service. Not applicable for sub-billing or other utility billing by service user in any event. NET MONTHLY RATE - WITH CITY OF DENTON WATER SERVICE (1) Facility Charge $6.20 / 30 days (2) Volume Charge $2.37 / 1,000 gallons effluent Monthly billings for the months of December through February shall be based on 98t of actual water consumption up to a maximum of 30,000 gallons of water volume per 30 days. Monthly billings for the months of March through November shall be based on an average daily usage for the preceding months of December through February, or 984 of actual water consumption, whi,=hever is less. Any customer that was not billed at the current service address through the preceding months of December through February shall be billed at 98% of the customer's actual water consumption for the months March through November, or 98t of 6,500 gallons per 30 days, whichever is less. MINIMUM BILLING - WITH CITY OF DF•1`'TON WATER SERVICE Facility Charge VOLO&, ULUGE - WITH CITY OF DENTON WATER SERVICE • Billing for wastewater volume for the billing months of December through February shall be based on the wastewater volume calculated -)m actual water consumption. Formula- Actual water volume x .98 x Rate per 1,000 gallons • • 1000 Billing for wastewater volume for the billing months of March through November shall be based on the average wastewater volume calculated during the billing months of December through February, or 984 of actual water consumption, whichever is less. ! Page 2 • Q • Formula: Average wastewater VgL,mg x Rate per 1,000 gallons 1000 Or, Actual water volume x .98 x Rate per 1,000 gallons 1000 Whichever is less. If the customer did not have water service during the preceding December through February, billing for the period March through November will be based on 98% of actual water consumption, or 98k of 6,500 gallons, whichever is less. SRN NET MONTHLY RATE - WITHOUT CITY OF DENTON WATER SERVICE SRI SRO Inside Corporate Outside Corporate Limits Limits (1) Facility Charge $6.2u / 30 days $7.15 / 30 days (2) Volume Charge $2.37 / 1,000 gals $2.73 / 1,000 gals Customer shall pay a minimum volume charge on four -)usand (4,000) gallons per month. MINIMUM BILLING - WITHOUT CITY OF DENTON WATER SERVICE { Facility charge plus 4,000 gallons wastewater VOLUME CHMGE - WITHOUT CITY OF DENTON WATER SERVICE Billing for the wastewater volume shall be based on wastewater vol- ume calculated during the billing period. Formula: Minimum wastewater volume K Rate per 1,000 gallons ~ PAYMENT 1000 J • I Bills are due when rendered, and become past due if not paid within 15 calendar days from date of issuance. i Page 3 • f SPECIAL FACILITIES"` All services which require special facilities in order to meet cus- tomer's service requirements shall be provided subject to the special facilities rider. PRORATION OF FACILITY CHARGE Billing for the Facility Charge shall. be based or. 12 billings annually and shall be prorated based on the following formula: Actual days in reading en riod x customer charge 30 daye Page 9 n y ~ • a • SCnDULB SRN RESIDENTIAL WASTEWATER SERVICE TO USERS OUTSIDE CITY OF DENTON CORPORATE LIMITS WITH CITY OF DENTON WATER SERVICE (Effective 10/01/95) APPLICATION Applicable for single family residential sewer customers, individu- ally metered apartments or mobile homes or multi-family facilities with less than four (4) units outside of the corporate limits of the City of Denton and also receiving water from the City of Denton. NET MONTHLY RATfi (1) Facility Charge $7.15 / 30 days (2) Volume Charge $2.73 / 1,000 gallons Monthly billings for the months of December through February shall be based on 98t of actual water consumption up to a maximum of 30,000 gallons of water volume per 30 days. Monthly billings for thr, months of March through November shall be based on an average daily usage for the preceding months of December through February, or 98% of actual water consumption, whichever is less. Any customer that was not billed at the current service address through the preceding months of December through February shall be billed at 98t of the customer's actual water consumption for the months March through November, or 98% of 6,500 gallons per 30 days, whichever is less. MINIMUM BILLING 1 Facility Charge PAYMENT • Bills are due when rendered, and become past due if not paid within 15 calendar days from date of issuance. SPECIAL FACILITIES i All services which require special facilities in order to meet cus- tomer's service requirements shall be provided subject to the • special facilities rider. Page 5 • I- o PRORATION OF FACILITY CHARGE Billing for the Facility Charge shall be based on 12 billings an- nually and shall be prorated based on the following formula: Actual days in reading period x customer charge 30 days VOLUME CHARGE Billing for the wastewater volume for the consumption months of December through February shall be based on the wastewater volume calculated from actual water consumption. Formula: Actual water volume x .98 x Rate per 1,000 gallons 1000 Billing for the wastewater volume for the months of March through November shall be based on the average wastewater volume calculated during t?:3 consumption months of December through February, or 98% of actual water consumption, whichever is less. Formula: Average wastewater volume x Rate per 1,000 gallons 1000 Or, Actual water volume x_ . F; x Rate per 1,000 gallons 1000 I Whichever is less. If the customer did not have water service during the preceding December through March time period, billing for the period March through November will be based on 98% of actual water consumption • or 98V of 6,500 gallons, whichever is less. s Page 6 41 t 4r r 4; }~s 'r'~~l~.~i'✓'i..'~'s f r . SCHEDULE SC COMMERCIAL AND INDUSTRIAL WASTEWATER SERVICE (Effective 10/01/95) REGULAR COMMERCIAL APPLICATION Applicable to all commercial and industrial wastewater service users and to all wastewater service users not otherwise classified under SEP, SES, SPT, SCD, or SM listed herein. Also applicable to all commercial /industrial facilities not also receiving metered water service from the City of Denton, including sub-divisions, for apartments, mobile home parks, or other com- mercial/industrial users. The monthly charge for apartments and mobile home parks shall be based on the maximum number of units receiving wastewater service during the month. NET MONTHLY RATE - WITH CITY OF DENTON WATER SERVICE (1) Facility Charge $16.20 / 30 days (2) Volume Charge $3.08 / 1,000 gallons effluent 3illing based on eighty (80) percent of monthly water consumption. MINIMUM BILLING Facility Charge Billing for the wastewater volume shall be based on the wastewater volume calculated during the billing period. Form0 a : &-gter volume x .8 x Rate per 1,000 gallons 100tJ • SCN NET MONTHLY RATE - WITH OU': CITY OF DENTON WATER SERVICE SCI ScO Inside Corporate Outside Corporate • -3eimif:@_` _ Limits • • (1) Facility Charge $16.20 / 30 days $18.65 / 30 days (2) Volume Charge $3.08 / 1,000 gals $3.55 / 1,000 gals Minimum volume charge will be for four thousand (4,000) gallons per unit receiving wastewater service per month. Page 7 • 0 q „ {r t -0~r~ Pi".f v • • 1 MINIMUM BILLING z Facility charge plus 4,000 gallons wastewater per unit receiving wastewater service. VOLUME CHARGE Pilling 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 1000 SAMPLING/ANALYSIS CHARGE Sampling charge (each) $35.00 Analysis charge (per test) $15.00 PB:.~rTT Bills are due when rendered, and become past due if not paid within 15 calendar days from date of issuance. SPECIAL FACILITIES All services which require special facilities in order to meet cus- tomer's service requirements shall be provided subject to the special facilities rider. I PRORATION OF FACILITY CHARGE Billings for the Facility Charge shall be based on 12 billings annually and shall be prorated based on the following formula: Actual days in reading period x customer charge 30 days • • r Page 8 • a • SCHUULS SCn COMMERCIAL/INDUSTRIAL WASTEWATER SERVICE WITH DEDICATED WATER METERS (Effective 10/01/95) APPLICATION Applicable to all commercial and industrial wastewater service users and to all wastewater service users not otherwise classified under this Ordinance whose wastewater is measured by a meter dedicated to water which is returned into the wastewater collection and treatment system. Not applicable for sub-billing or other utility billing by service user in any event. NET MONTHLY RATS (1) Facility Charge Billing Per 30 Days 3/4" Meter $ 21.50 1" Meter $ 23.50 1-1/2" Meter $ 29.60 2" Meter $ 34.50 3" Meter $ 75.00 4" Meter $141.00 6" Meter $176.00 B" Meter $205.00 10" Meter $247.00 (2) Volume Charge $3.08 / 1,000 gallons effluent Billing based on ninety-eight (984) percent of actual water consumption. MINIMUM BILLING Facility Charge PAYMENT • Bills are due when rendered, and become past due if not paid within j 15 calendar days from date of issuance. SPECIAL FACILITIES i All services which require special facilities in order to meet • customer's service requirements shall be provided subject to the • special facilities rider. Page 9 • a r ' 3 No Arc ~1a;lem PRORATION OF FACILITY CHARGE Billing for the Facility Charge it be based on 12 billings annually and shall be prorated based on the following formula: Actual days in reading Veriod x customer charge 30 days VOLUME CHARGE 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 1000 i .l • J Page 10 yy • 0 • SCHEDULE SCK COMMERCIAL/INDUSTRIAL WASTEWATER SERVICE OUTSIDE CITY OF DENTON CORPORATE LIMITS WITH CITY OF DENTON WATER SERVICE (Effective 10/01/95) APPLICATION Applicable to all commercial, industrial users or any other userF of facility not otherwise covered under this ordinance outside the corporate limits of the City of Denton and receiving water an3 wastewater service from the City of Denton. NET MONTHLY RATE (1) Facility Charge $18.00 / 30 days (2) Volume Charge $3.55 / 1,000 gallons Billing based on eighty (80W) percent of monthly water consumption. SAMPLING/ANALYSIS Sampling charge (each) $35.00 Analysis charge (per test) $15.00 INDUSTRIAL SURC1iUGE In addition to the above charges for commercial and industrial ser- vices, there will be added to the net monthly rate an industrial surcharge based on the following formula: Surcharge Unit Cost Factor $0.00233/mg/l of Biochemical Oxygen Demand (ROD) $0.00200/mg/l of Total Suspended Solids (TSS) 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/1, 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 of TSS per 1,000 gallons. Page 11 • • 1 MINIMUM BILLING - Facility Charge PAYMENT Bills are due when rendered, and become past due if not paid within 15 calendar days from date of issuance. SPECIAL FACILITIES All services which require special facilities in order to meet customer's service requirements shall be provided subject to the special facilities rider. PRORATION OF FACILITY CHARGES Billing for the Facility Charge shall be based on 12 billings annually and shall be prorated based on the following formula: Actual days in reading period x customer charge 30 days VOLUME CHARGE Billing for the wastewater volume shall be based on the wastewater volume calculated duriro :ne billing period. Formula: jj 1 Water volume x .B K Rate per 1,000 gallons 1,000 • Page 12 • a • SCHEDULE SEP RESTAURANTS k FOOD SERVICE WASTEWATER SERVICE (Effective 10/01/95) APPLICATION Applicable to all restaurants and food service operations which prepare and serve food directly to customers and are categorized by Standard Industrial Code Numbers 5812 or 5813. NET MONTHLY RATE (1) Facility Charge $16.20 / 30 days (2) Volume Charge $4.25 / 1,000 gallons effluent Billing based on eighty (80t) percent of monthly water consumption. SAMPLING/ANALYSIS CHARGE Sampling charge (each) $35.00 Analysis charge (per test) $15.00 SEP EXEMPTIONS (1) Customers under the SEP rate shall be charged the SC rate if only prewrapped and preprocessed foods are served from their premises and no food processing is performed on the premises so that only minimal organic material is dis- charged to the sanitary sewer. The exemption for the SEP class shall bj determined by the City of Denton Environ- mental Health Services Food Inspection Division. (2) Customers under the SEP 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 for- mula, a surcharge on all wastewater discharged that is • in excess of 500 mg11 of BOD and 550 TSS as determined by the monitoring performed in Section 2(b). Page 13 • 0 • MINIMUM BILLING Facility Charge INDUSTRIAL SURCHARGE The industrial surcharge calculation that applies to restaurant and food services claiming the SEP exemption shall be based on the fol- lowing formula: Surcharge Unit Cost Factor $0.00233/mg/l of Biochemical Oxygen Demand (BOD) $0.00200/mg/l of Total Suspended Solids (TSS) Cu-Vu ([Bu-5001 B + [Su-550] 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 500 mg/l, whichever is greater. B is the unit cost factor for treating one unit of BOD per 1,000 gallons. Su is the tested TSS level for user X or 550 mg/l, whichever is greater. S is the unit cost factor for treating one unit of TSS per 1,000 gallons. PAX" ~f Bills are due when rendered, and become past due if not paid within 15 calendar days from date of issuance. SPECIAL FACILITIES 1 All services which require special facilities in order to meet customer's service requirements shall be provided subject to the special facilities rider. • PRORATION OF FACILITY CHARGE Billings for the Facility Charge shall be based on 12 billings annually and shall be prorated based on the following formula: Actual days in reading period x customer charge , • 30 days Page 14 • O,r, % ti., < • I 1. VOLUME CHARGE Billing for the wastewater volume shall be based on the wastewater volume calculated during the billing period. Formula: Water volume x .B x Rate per 1,000 gallons 1000 i I, • Page 15 w s' 3 • - c, • SCREDULB SES EOUIPMENT SERVICES WASTEWATER SERVICE (Effective 10/01/95) APPLICATION Applicable to establishments which perform washing, cleaning or servicing of automobiles, trucks, busses or similar equipment and are categorized by Standard Industrial Code Numbers 5541, 7549 or 7542. NET MONTHLY RATE (1) Facility Charge $16.20 / 30 days (2) Volume Charge $4.25 / 1,000 gallons effluent Billing based on eighty (80%) percent of monthly water consumption. (3) Pretreatment / Program Charge Categorical (30 days) $375.00 Noncategorical 00 days) $ 46.00 The appropriate Pretreatment/Program charge will be applied if the customer qualifies as either categorical or noncategorical. These charges are not to be applied if the customer is not designated as either a categorical or noncategorical customer. SSAMPhING/ANALYSIS CHARGE Sampling Charge (each) $35.00 Analysis Charge (per test) $15.00 $ES EXEMPTIONS Customers under the SES 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, quar- terly, the wastewater discharge for the following: Bio- chemical Oxygen Demand (BOD), Total Suspended Solids (TSS), and Fats, Oils and Gre;-se (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 600 TSS as determined by the monitoring performed in paragraph 2(b) of this section. I Page 16 • 0 • . MINIMUM BILLING Facility Charge, plus the appropriate Pretreatment / Program Charge if applicable. INDUSTRIAL SURCHARGE The industrial surcharge calculation that applies to equipment ser- vices claiming the SES exemption shall be based on the following formula: Surcharge Unit Cost Factor $0.00233/mg/1 of Biochemical Oxygen Demand (BOD) $0.00?00/mg/l of Total Suspended Solids (TSS) Cu-Vu ([Bu-5003 B + [Su-600; S]) Where: Cu is the surcharge for customer X. Vu is the billing volume per 1000 gallons for customer X. Bu is the tested BOO level for user X or 500 mg/l, whichever is greater. B is the unit cost factor for treating one unit of BOL per 1,000 gallons. Su is the tested TSS level for user X or 600 mg/1, whichever is greater. S is the unit cost factor for treating one unit of TSS per 1,000 gallons. NT PAYME Bills are due when rendered, and become past due if not paid within 15 calendar days from date of issuance. SPECIAL FACILITIES All services which require special facilities in order to meet customer's service requirements shall be provided subject to the special facilities rider. • PRORATION OF FACILITY CHARGE Billings for the Facility Charge shall be based on 12 billings annually and shall be prorated based on the following formula: Actual days in reading period x customer charge , • 30 days I Page 17 0 0 • - w • VOLUME CHARGE Billing for the wastewater volume shall be based on the wastewater volume calculated during the billing period. ?or=la.- Water volume x .8 x Rate per 1,000 gallons 1000 . I • • A ~ I Page 18 • - 1 1 YR;1 4 ,J/ • I_ w • r r. SCSBDULS SPT COMMERCIAL/INDUSTRIAL PRETREATMENT WASTEWATER SERVICES (Effective 10/01/95) APPLICATION Applicable to all major commercial and industrial customers subject to EPA Pretreatment criteria or such other commercial and industri- al customers that have the probability of discharging extra strength wastewater or which may have substances in their waste- water which are listed on EPA's categorical pollutant list. NET MONTHLY CHARGE (1) Facility Charge $16.20 / 30 days (2) Pretreatment/Program Charge a. Categorical $375.00 / 30 days b. Noncategorical $ 46.00 / 30 days (3) Volume Charge $ 3.08 / 1,000 gallons Billing shall be based on 804 of water consumption or 1004 of actual metered wastewater. SAMPLING/ANALYSIS CHARGE Sampling charge (each) $35.00 Analysis charge (per test) $15.00 INDUSTRIAI, SURCHARGE In addition to the above charges for commercial and industrial ser- vices, there will be added to the net monthly rate an industrial surcharge based on the following formula: Surcharge Unit Cost Factor $0.00233/mg/l of Biochemical Oxygen Demand (BOD) • $0.00200/mg/l of Total Suspended Solids (TSS) Cu-Vu ([Bu-2501 B + [Su-250) SJ) 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 of I BOD per 1,000 gallons. 1 Page 19 0 0 _ a • Su is the tested TSS level for user X or 250 mg/1, whichever is greater. S is the unit cost factor for treating one unit of TSS per 1,000 gallons. MINIMUM BILLING Facility Charge, plus the appropriate Pretreatment / Program Charge. PAYME NT Bills are due when rendered, and become past due if not paid within 15 calendar days from date of issuance. SPECIAL FACILITIES All services which require special facilities in order to meet customer's service requirements shall be provided subject to the special facilities rider. PRORATION OF FACILITY CHARGE & PRETREMMENT/PROGRAM CHARGE Billings for the Facility Charge and pretreatment/program charge shall be based on 12 billings annually and shall be prorated based on the following formula: Actual days in readiaa period x customer charge 30 days VOLUME CHARGE Billing for the wastewater volume shall be based on the wastewater volume calculated during the billing period. Formula: Water volume x .8 x Rate per 1,000 gallons 1000 or • Wastewater volume x Rate per 1,000 gallons 1,000 { j Page 20 • w • SCBSDULB SM METERED WASTEWATER INSIDE/OU'T'SIDE CORPORATE LIMITS (Effective 10/01/95) APPLICATION Applicable to any wastewater service customer desiring to meter all wastewater discharge from a single customer location and not other- wise classified under this ordinance. NET MOMMLY RATE SMI SMO Inside Corporate Outside Corporate Limits _ iutits (1) Facility Charge $200.00 / 30 days $230.00 / 30 days (2) Volume Charge $3.08 / 1,000 gals $3.55 / 1,000 gals (3) Pretreatment/Program Charge (A) Categorical (30 days) $375.00 (B) Noncategorical (30 days) $ 46.00 The appropriate Pretreatment/Program charge will be applied if the customer qualifies as either categorical or noncategorical classi- fication. The categorical and noncategorical 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 iun- categorical customer. SAMPLING/ANALYSIS CHARGE Sampling charge (each) $35.00 Analysis charge (per test) $15.00 INDUSTRIAL SURCHARGE In addition to the above charges, there will be added to the net monthly rate for commercial and industrial, an industrial surcharge based on the following formula: • Surcharge Unit Cost Factor $0.00233/mg/l of Biochemical Oxygen Demand (BOD) Surcharge Unit Cost Factor $0.00200/mg/lof Total Suspended Solids (TS:.) • Cu=Vu ((Bu-2501 B + (Su-2501 S)) • • Where: Cu is the surcharge for customer X. Vu is the billing volume per 1000 gallons for customer X. du is the tested BOD level for user X or 250 mg/l, whichever is greater. Page 21 • • f , i B is the unit cost factor for treating one unit of BOD per 1,000 gallons. Su is the tested TSS level for user X or 250 mg/1, whichever is greater. S is the unit cost factor for treating one unit of TSS per 1,000 gallons. MINIMUM BILLING Facility Charge, rlus the appropriate Pretreatment / Program Charge, if applicable. PAYMENT Bills are due when rendered, and become past due if not paid within 15 calendar days from date of issuance. SPECIAL FAC]LITIES All services which require special facilities in order to meet customer's service requirements shall be provided subject to the special facilities rider. PRORATION OF FACILITY CHARGE Billing for the Facility Charge shall be based on 12 billings annually and shall be prorated based on the following formula: Actual days in reading period x customer charge 30 days VOLUME CHARGE 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 1000 • i Page 22 • ~ tis41, nr+~ • a • SCHEDULE $0 TNTRA-GOVERNMEnAL WASTEWATER SERVICE (Effective 10/01/95) APPLICATION Applicable to all City of Denton Departments and agencies for all wastewater service. NET MONTHLY RATE (1) Facility Charge $16.20 / 30 days (2) Volume Charge $2.73 / 1,000 gallons Billing shall be based on eighty (801k) percent of water consump- tion. INDUSTRIAL SURCHARGE In addition to the above charges for commercial and industrial services, a wastewater surcharge may be added based on the fol- lowing formula: Surcharge Unit Cost Factor $0.00233/mg/1 of Biochemical Oxygen Demand (BOO) $0.00200/mg/l of Total Suspended Solids (TSS) Cu=Vu ([Bu-2501 B + [Su-2501 S1) 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/1, whichever is greater. B is the unit cost factor for treating one unit of BOO 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 of a TSS per 1,000 gallons. MINIMUM BILLING • Facility Charge • • j NT PAYME i Bills are due when rendered, and become past due if not paid within 15 calendar days from date of issuance. Page 23 • O • SPECIAL FACILITI All services which require special facilities in order to meet customer's service requirements shall be provided subject to the special facilities rider. PRORATION OF FACILITY CHARGE Billing for the Facility Charge shall be based on 12 billings annually and shall be prorated based on ti,e following formula: Actual days in reading period x customer charge 30 days VOLUME CHARGE Billing for the wastewater volume shall be based on the wastewater volume calculated during the billing period. Formula: Water volume x .8 x Rate per 1,000 gallons 1000 I I • Page 24 • . . 0 <y.i. • w • SCSBaGZB SGS SALE OF TREATED WASTEWATER EFFLUENT TO MUNICIPAL UTILITY CUSTOMERS (Effective 7.0/1/95) APPLZCAT30 Applicable on sales of treated wastewater effluent to any municipal utility. Not available for resale in any event. NET MONTHLY RATE (1) Facility Charge $110.00 / 30 days (2) Volume Charge $1.20 / 1,000 gallons MINIMUM BILLING Facility Charge PAYMENT Bills are due when rendered, and become past due if not paid within 15 calendar days from date of issuance. SPECIAL FACILITIES All services which require special facilities in order to meet customer's service requirements shall be provided subject to the special facilities rider. PRQQRATION OF FACILITY CHARGE 1 Billing for the Facility Charge shall be based on 12 billings annually and shall be prorated based on the following formula: • Actual days in reading period x customer charge 30 days VOLUME CHARGE Billing for the wastewater volume shall be based on the effluent volume calculated during the billing period. s • • Formula: Effluent volume x Rate per 1,000 gallons 1000 J Page 25 • • SCHEDULE SSC WHOLESALE WASTEWATER TREATMENT SERVICE FOR A GOVERNMENTAL AGENCY DIVISION OR SUBDIVISION (Effective 10/01/95) APPLICATION 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. NET MONTHLY RATE (1) Facility Charge $165.00 / 30 days (2) Pretreatment/Program Charge a. Categorical $375.00 / 30 days b. Noncategcrical $ 46.00 / 30 days (3) Volume Charge $1.94 / 1,000 gallons of effluent Billing shall be based on one-hundred (1001) percent of actual gallons measured. SAMPLING/ANALYSIS CHM9.E, Sampling Charge (each) $35.00 Analysis Charge (per test) $15.00 MINIMUM BILLING l Facility Charge INDUSTRIAL SURCHARGE • In addition to the above charges for commercial and industrial services, there will be added to the net monthly rate an industrial surcharge based on the following formula: Surcharge Unit Cost Factor $0.0023!/mg/l of Biochemical Oxygen Demand (BOD) • $0.00200/mg/l of Total • Suspended Solids (TSS) Cu.Vu ([Hu-2501 H + [Su•2501 S)} Where: Cu '.s the surcharge for customer X. Vu :a the billing volume per 1000 gallons for customer x. Page 26 • 0 • _ t r Bu is the tested BOD level for user X or 250 mg/1, whichever is greater. B is the unit cost faccor for treating onr. unit of BOD per 1,000 gallons. Su is the tested TSS level for user X or 250 mg/1, whichever is greater. S is the unit cost factor for treating one unit of :'SS per 1,000 gallons. ANT Bills are due when rendered, and become past due if not paid within 15 calendar days from date of issuance. U,RCIAL FACILITIES All services which require special facilities in order to meet customer's service requirements shall be provided subject to the special facilities rider. PRORATION OF FACILITY CHA3GE Billing for the Facility Charge shall be based on 12 billings annually and shall be prorated based on the following formula: Actual days in reading perioI x customer charge 30 days VOLUME CHARGE Billing for the wastewater volume shall be based on the wastewater volume calculated during the tilling period. Formula: Wastewater volume x Rate per 1,000 gallons 1000 EFFECTIVE DATE Tne charges stated herein shall be applie,l to all wastewater • services provided on or after October 1, 1995. 7 Page 27 y N 4 • - a • WASTEWATER TAP FEES _ , . (Effective 10/01/95) APPLICATION This schedule applies to the installation, removal, or relocation of wastewater taps by the City of Centon Utility Department at the request of a person, firm, associat:on or corporation. TAP FEES Any perso, association of persons, or corporation that requests a wastewater main tip be removed, installed, or relocated by the Utility Department shall pay in advance to the Utility Department the following applicable fo~va: WASTEWATER TAPS WITH CLEANOUT Size of Tao Paved Street gnpaved Street 4 inch $1,050.00 $440.00 6 inch 1,150.00 475.00 6 inch 1,250.00 500.00 10 inch 1,350.00 525.00 p7ASTEWATER SERVICE LINE REPAIR/REPLACEMENT aiAa of Tap Paved Street Unpaved Street 4 inch $2,200.00 $700.00 6 inch 2,400.00 800.00 8 inch 2,600.00 9011.00 FEES FOR INSTALLnTION~ NOT LISTED For installation of a tap for which a fee is not specified, the requestor shall .::-y in advance a deposit based upon the estimated cost of such installation, or similar work, plus an administration charge of 20%. Upon completion of the installation or similar work requested, the customer shall be billed at actual cost, as deter- mined by the Utility Department, plus a 20% administrative charge. Any excess deposit shall be refunded to the customer. I ?age 28 • 0 • SPECIAL FACILITZSS RID8it (1) All service shall be offered from available facilities. If a customer service characteristic requires facilities and devices which are not normally and readily available at the location which the customer requests service, then the City shall provide the service subject to paragraph 2 of this schedule. (2) The total cost of all facilities required to meet the cus- tomer's special requirements which are incurred by the City shall 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 the customer. SECTION II. That if any section, subsection, paragraph, sen- tence, 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 III. That the Schedule of Rates herein adopted shall be effective, charged and applied to all wastewater service accruing on or after October 1, 1995, and a copy of said rates shall be maintained on file in the Office of the City Secretary. PASSED AND APPROVED this the day of , 1995. BOB CASTLEBERRY, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY • I I BY: • APPROVED AS TO LEGAL FORM: { HERBERT L. PROUTY, CITY ATTORNEY • • BY: Page 29 • • r DENTON Ooooooooao~000 o 000 ; o ~o d~ ~a 0 0 C p O p~ ~ OOO ~ ~ ~ p~~0 o N , ti p00 ~oaaaoooo° • .IT'S COUNCIL • . r o e p e vases i DW.DRD ORDINANCE NO. AN ORDINANCE AMENDING THE SCHEDULE OF SOLID WASTE RATES CONTAINED IN ORDINANCES 94-165 AND 95-027 ; AMENDING SOLID WASTE RATES FOR RESIDENTIAL, COMMERCIAL AND RECYCLING COLLECTION SERVICES, AS AUTHORIZED BY CHAPTER 24 OF THE CODE OF ORDINANCES OF THE CITY OF DENT-ON, TEXAS; AMENDING THE CHARGES FOR THE COLLECTION OF GRASS, LEAVES, AND BRUSH; AMENDING A CHARGE FOR LOCKS; AMENDING A CHARGE FOR SPECIAL WASTE; ADDING A CHARGE FOR INACCESSIBLE CONTAINERS; ADDING A DEPOSIT FOR TEMPORARY OPEN TOP AND DUMPS^_ER CONTAINERS; AMENDING THE CHARGES FOR USE OF THE LANDFILL AND ADDING A 3.511 STATE SURCHARGE TO ALL SOLID WASTE DELIVERED TO THE LANDFILL; AND PROVIDING FOR AN EFFECTIVE DATE. THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: SECTION I. That the charges for solid waste collection ser- vices 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 of the Code of Ordinances are hereby established as follows: SOLID WASTS RATS SCMMULSS P~ SWR Residential Solid Waste Collection Service 2 SWC Commercial and Institutional Solid Waste Collection Ser.Tice 3 SWL Sanitary Landfill Use 7 SWY Commercial and Institutional Recycling Service 11 i i e i % GA SCHEDULE SWR RBSIDBNTIAL SOLID FUTE COLLECTION SERVICE (Effective 10/01/95) APPLICATION Applicable to individual family unit solid waste collection service. Individual family unit includes each side of a duplex, each living unit per subdivided lot, and any unit or living space in which a person or single family resides. MONTHLY RATE $12.90 per 30 days ,9URCHARGE (State of Texas statutory charge for landfill use) $0.10 per 30 days The surcharge referenced above is hereby authorized to be remitted to the State as required by law, and should the State Legislature increase this fee, such increase is hereby autho- rized to be charged and collected. MINIMUM BILLING $13.00 per 30 days OTHER CHARGES There will be no charge for the collection of bagged grass clippings and leaves, or brush and tree limbs which are cut and stacked in 41 lengths, if the combined grass/leaves/brush total volume is not over four cubic yards per week. Any combination of grass, leaves, and brush is appropriate. One cubic yard of grass or leaves equals 6 bags. • Bagged grass and leaves over 4 cubic yards 124 bags) is charged at 500 per additional bag. Brush and tree limbs over 4 cubic yards is charged at $4.00 per additional cubic yard. • The charge for the collection of appliances is $10.00 per appliance. • i { PAGE 2 • 0 • r . f SCXZDDL8 SWc COMMERCIAL/INSTITUTIQKAL SOLID WASTE COLLECTION (Effective 10/01/95) APPLICATION Arplicable for all commercial or institutional solid waste collection service. MONTHLY RATE A. DUMPSTERS (Regular Service) 1. 2 YARD DUMPSTER (Existing 2 Yd. customers only) Number of Times Cubic Yards Cubic Yards Rate Per Collected Per Week Per Week Per Month 30 Days 1 2 8 $ 25.00 2 4 16 42.35 3 6 24 63.25 4 B 32 81.80 5 10 40 1!2.15 6 12 48 171.60 7 14 56 142.70 2. 3 YARD DUMPSTER 1 Number of Times Cubic Yard Cubic Yards Rate Per Collected Per Week Per Week k= Month 30 Days 1 3 12 $ 3L60 2 6 24 57.20 3 9 27 84.40 4 12 48 110.40 • 5 25 60 138.00 6 18 72 167.00 7 21 84 141.90 _J PAGE 3 • 3. 4 YARD DUMPSTER Number of Times Cubic Yards Cubic Yards Rate Per Collected Per Week Per Week Per Morith 30 Days 1 4 16 $ 37.20 2 8 32 72.05 3 12 48 106.20 4 16 £ 4 338.95 5 20 80 172.75 6 24 96 210.00 7 28 112 244.00 4. 6 YARD DOMPSTER Number of Times Cubic Yards Cubic Yards Rate Per Coll, Per Week Per Week Per Month 10 Days 1 6 24 $ 52.60 2 12 48 98.45 3 18 72 145.95 4 24 96 193.40 5 30 120 240.20 6 36 144 295.00 7 42 168 343.00 5. 8 YARD DUMPSTER Number of Times Cubic Yards Cubic Yards Rate Per Collected Per Week Per Week Per Month 30 Days 1 8 32 $ 65.85 2 16 64 127.60 3 24 96 190.85 4 32 128 248.40 5 40 160 315.00 • 6 48 196 381.00 7 56 224 430.00 The 2 yard dumpster service is only available to existing 2 yard dumpster customers as of September 30, 1995. New 2 yard dumpster service will not be offeved • to any customer. Existing customers receiving 2 yarS • dumpster service that discontinue 2 yard service may not reinstate 2 yard dumpster service. PAGE 4 Y~ s,.;y'~yl Y a • 4a • B. DUMPSTER SERVICE (Temporary) Type of Rent Container Per 30 Days Service Charge 3 cubic yard dumpster $ 8.00 $30.00 per pickup 4 cubic yard dumpster. 11.00 40.00 per pickup 6 cubic yard dumpster 15.00 55.00 per pickup 8 cubic yard dumpster 18.00 65.00 per pickup C. DUMPSTER SERVICE (Refill and Extra Pickup) Type of Container Service Charge 2 cubic yard dumpster $12.00 per pickup 3 cubic yard dunpster 18.00 per pickup 4 cubic yard dumpster 25.00 per pickup 6 cubic yard dumpster 35.00 per pickup 8 cubic yard dumpster 45.00 per pickup D. OPEN TOP CONTAINERS Type of Rent Container Per 30 Days Service Charge 15 cubic yard open top $40.00 $100.00 per pickup 20 cubic yard open top 50.00 126.00 per pickup 30 cubic yard open top 60.00 172.00 per pickup 40 cubic yard open top 75.00 217.00 per pickup E. COMPACTORS Type of Rent Container Per 30 Days Service Charge • 6 cubic yard compactor $ 50.00 $ 45.00 per pickup 12 cubic yard compactor 95.00 95.00 per pickup 15 cubic yard compactor 105.00 110.00 per pickup 20 cubic yard compactor 125.00 135.00 per pickup 25 cubic yard compactor 150.00 150.00 per pickup 30 cubic yard compactor 185.00 172.00 per pickup , • 42 cubic yard compactor 240.00 225.00 per pickup • • PAGE 5 • a • r F. SPECIAL WASTE Rate Per Cubic Yard Disposal of "Special Waste" as $15.00 defined by the State of Texas Municipal Solid Waste Management Regulations. Acceptance of special waste is subject to Federal and State laws and regulations, and the City has the right to refuse to accept waste. SURCHARGE (SWC) An additional 3.54 charge will be assessed for each 30 clay period (excluding rental charge) to compensate for the State of Texas surcharge for solid waste received at landfills. The City staff is hereby authorized to remit such charge to the State, and should the State Legislature increase this fee, such increase is hereby authorized to be charged and collected. OTHER CHARGES A delivery fee of $35.00 per container will be charged to all customers for open top containers and compactors. A delivery fee of $25.00 per container will be charged to all customers for temporary dumpster service. A relocation fee of $20.00 will be charged for each open top or compactor container that is relocated at the customer's site. A $15.00 fee will be charged for each request for same day pickup service for open top and compactor customers who receive pickup se mice upon demand. A pickup charge of $6.00 for commercial containers that are inaccessible, at the time of scheduled service. • A $55.00 fee will be charged for container locks provided by the City of Denton. A deposit on Open Tops and Temporary Dumpsters will be charged based on 1/6 of the estimated annual billing amount or service contract. e • • A minimum of once per week pickup service is required for putresible (food) waste containers. The charge for the collection of appliances is $10.00 per item. PAGE 6 • 0 • SCHEDULE SNI. SANITARY LANDFILL USE (Effective 10/01/95) APPLICATION Applicable to individuals and commercial entities that use the City's sanitary landfill site, with solid waste originating inside the city limits of Denton, Texas. RATES AND CHARGES: A. INDIVIDUAL USERS Charge Per T•,De of Vehicle Vehicle Per Load 1. Automobiles and station wagons, $ 7.00 pickup trucks less than one-half ton. 2. Motor vehicles with a carrying $ 24.50 load capacity of 2 cubic yards but less than 5 cubic yards such as one-half ton pickups. 3. Pickup trucks with side boards $ 70.00 and all other vehicles with a carrying capacity in excess of 5 cubic yards but less than 10 cubic yards. 4. Vehicles with carrying capacity $105.00 in excess of 10 cubic yards but less than 15 cubic yards. 5. Vehicles with carrying capacity $140.00 O in excess of 15 cubic yards but less than 20 cubic yards. 6. Vehicles with carrying capacity $210.00 in excess of 20 cubic yards but less than 30 cubic yards • 7. Vehicles with carrying capacity $280.00 • • in excess of 30 cubic yards but less than 40 cubic yards. B. Vehicles with carrying capacity $350.00 of 40 cubic yards or more. PAGE 7 0 nJ7 ~JV APPLICATION Applicable to individuals and commercial entities who are not residents of the City of Denton or any customer with solid waste that does not originate from inside the city limits of Denton, Texas. RATES AND CHARGES: B. INDIVIDUAL USERS Charge Per Twe of Vehicle Vehicle Per Load 1. Automobiles and station wagons, $ 16.00 pickup trucks less than one-half ton. 2. Motor vehicles with a carrying $ 56.00 load capacity of 2 cubic yards but less than 5 cubic yards such as one-half ton pickups. 3. Pickup trucks with side boards $160.00 and all other vehicles with a carrying capacity in excess of 5 cubic yards but less than 10 cubic yards 4. Vehicles with carrying capacity $240.00 in excess of 10 cubic yards but less than 15 cubic yards. 5. Vehicles with carrying capacity $320.00 in excess of 15 cubic yards but less than 20 cubic yards. 6. Vehicles with carrying capacity $480.00 in excess of 20 cubic yards but less than 30 cubic yards I 7. Vehicles with carrying capacity $640.00 in excess of 30 cubic yards but less than 40 cubic yards. A 8. Vehicles with carrying capacity $800.00 of 40 cubic yards or more. PAGE 8 • i> • APPLICATION Applicable to customers who submit for deposit uncontaminated and unbagged leaves, grass clippings, and brush cut in less than 6' lengths shall pay the following rates: RATES AND CHARGES: C. INDIVIDUAL USERS Charge Per ~rpe of Vehicle Vehicle Per Load 1. Any type or size vehicle No Charge with uncontaminated loads. 2. Any type or size vehicle $ 1.00 CY with uncontaminated bagged loads or brush in greater than 6' lengths. 3. Any type or size vehicle $ 7.00 CY with contaminated bagged (Refer to SWL or unbagged loads or brush rates originating in greater than 6' lengths. within Denton per type of vehicle) D. rEGULAR COMMERCIAL USERS i The City Manager may enter into contracts with private commer- cial collection service companies operating outside the city limits for regular use of the sanitary landfill site at the following rates: Residential and commercial $ 16.00/cubic yard or garbage $ 80.00/ton • Rubbish (trash) $ 16.00/cubic yard or $ 80.00/con Noncompactable residential and $ 16.00/cubic yard or commercial garbage $ 80.00/ton • ' • • All such contracts may contain conditions of operation, dis- posal and delivery as the City Manager or his designee shall determine necessary for the efficient operation of the landfill site and the method of billing and collection for such use. PAGE 9 • 1 p • E. TIRE CHARGES ChaXge Per Tire 1. Automobile tires not shredded, $ 3.30 quartered or halved. 2. Truck tires not shredded, $ 5.60 quartered or halved. F. PPECIAL WASTE Rate Per Cubic Yard Disposal of "Special Waste" as $15.00 defined by the State of Texas Municipal Solid Waste Management Regulations. Ac^eptance of special waste is subject to Federal and State laws and regulations, and the Ci,y has the right to refuse to acc ipt waste. G. UNSECURED LOADS Rate Per Load Applies to solid waste load that $10.00 are not secured with a tarpaulin or other equipment that prevents material from spilling along and within the right-of-way of public acceso roads serving landfill site. SURCHARGE (SWL) Ar: additional 3.:t charge will be assessed to compensate for the State of Texas surcharge for all solid waste received at landfills. Ine City staff is hereby authorized to remit such charge to the State, and should the State Legislature increase this • fee, such increase is hereby authorized to be charged and collected. 3 PAGE 10 f • SCESDULE SNY COMMERCIAL lINSTITUTIONAL CARDBOARD RECYCLING (Effective 10/01/95) APPLICATION Applicable to commercial or institutional customers that receive separate recycling service in dedicated recycling containers. MONTH X RATE A. DUMPSTER RECYCLING SERVICE (6 S YARD DUMPSTERS) Number of Times Rate Per Collected Per Month 30 Days One or more pickups / month 6 CY $ 0.00 8 CY $ 0.00 Less than one pickup / month 6 CY $10.00 8 CY $15.00 B. OPEN TOP RECYCLING SERVICE - NOT AVAILABLE C. COMPACTOR RECYCLING SERVICE Type of Rent container Per 30 Days Serving Charge Two or more pickups / month • 30 CY $ 0.00 $0.00 42 CY $ 0.00 $0.00 { Less than two pickups / month 30 CY $50.00 $0.00 42 CY $70.00 $0.00 • o • Pickups will only be made when the containers are full and require servicing. Cardboard boxes are to be broken down and placed in the containers to lay as flat as possible. Recycling 1 services may be discontinued at the discretion of the Executive Director of Utilities, or his designee. PAGE 11 • m • LIMITATIONS Landfill permits issued by the .'ity of Denton prior to the effective date of this ordinance may be redeemed for their face value. The customer must pay the difference between the current rate and the face value of the permit. The customer is not entitled to a refund if the face value of the permit exceeds the current rate. SECTION 11, That the Superintendent of the Solid Waste Department of the City of Denton is authorized to deny the use of the landfill to customers for providing false information regarding the residency of the individual or origination of the solid waste. SECTION III. That this ordinance shall become effective for solid waste service rendered on or after October 1, 1995. PASSED AND APPROVED this the day of 1995. BOB CASTLEBERRY, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY s BY: APPROVED AS TO LEGAL FORK: HERBERT L. PROUTY, CITY ATTORNEY BY: PAGE 12 r . r Y C DENTON ooooo0aooooo000 . 0 0 0 0 0 0 4 o OD c~ co p 000 O N , ~ ~O°° ~aaooaaoo e CITY ~ COUNCIL . r a ~ a • App* No - ora CITY OF DENTON, TEXAS 300 WOODROW LANE DENTON, TEXAS 76205 TELEPHONE (817) 383.7593 ANIMAL CONTROL / CONSUMER HEALTH CITY COUNCIL REPORT FORMAT TO, Mayor and Members of the City Council FROM Lloyd V, Harrell, City Manager DATE: September 5, 1995 SUBJECT Ordinance Amending the Annual Permit Fee for Grocery Stores, Day Care Centers, and Restaurants RECOMMENDATION Staff recommends the adoption of the c~: dinance SUMMARY: This ordinance will increase the Consumer Health's annual permit fee for grocery stores, restaurants, and day care centers by ten dollars (510,00), An increase will cause our annual permit fees to be more in keeping with what other cities are currently charging. HACK .RO Ity'D: There has been one annual health inspection permit fee increase since 1988 This increase carne • about as pan of the fiscal year 1990-91 budget package PROGRAMS DEPARTMENTS OR OROUPS AFFECTED The Consumer Health Division k already performing these inspections. The owners of the grocery stores, day care centers, and restutirants will be responsible for the payment of these fees. 1 7Ndvared to QualityService" O 0 • • o , Aje%13 NO FISCAL IMPACT: 1" y It is anticipated that this fee will result in an additional three thousand six hundred sixty dollars (S3,650.00) in revenue annually. RESP Y SUBMITTED: Llo d . Harrell, City Manager Prepared by: Nonie Malo-Kull, MangVO Animal Control/Consurn& Health Approved by.- Nkke# Executive Director Municipal S o xmic Develop.-runt NMK/jj - I I • • 0 0 4Z • O • I,WPDOCS~ORD\PDDD.FER ORDINANCE NO. AN ORDINANCE OF THE CITY OF DENTON, TEXAS AMENDING SECTION 13-22 OF CHAPTER 13 "FOOD AND FOOD ESTABLISHMENTS" OF THE CODE OF ORDINANCES OF THE CITY OF DENTON; PROVIDING FOR PERMIT FEES FOR RESTAURANTS, GROCERY STORES, AND DAY CARE CENTERS; PROVIDING A PENALTY NOT TO EXCEED $2,000.00; PROVIDING A SEVERABILITY CLAUSE; PROVIDING A SAVINGS CLAUSE; PROVIDING FOR PUBLICATION; AND PROVIDING AN EFFECTIVE DATE. THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: SECTION I. That subsection (a) of Section 13-22 "Permit Issuance" of the Code of Ordinances of the City of Denton, Texas is hereby amended to read as follows: Sec. 13-97. Permit Issuance. (a) Upon receipt of an application and payment of the applicable fee, the health officer shall make an inspection of the pre- mises where the business is to be conducted. If the premises comply with the terms of this article and with all require- ments of the zoning ordinance, other ordinances and state law, a permit shall be issued to the applicant upon payment of the permit fee. An applicant shall submit the applicable permit fee as set fort`., in the following table before a permit will be issued: For a Restaurant: Number of Employees Amount 0-5 $ 75.00 6-10 95.00 11-15 115.00 16-20 135.00 • 21-25 170.00 26-30 190.00 31-35 210.00 36-40 230.00 41 or more 240.00 I For a Grocery Store: • Number of ' • • Employees Amount 0-5 $ 75.00 6-10 95.00 11-15 115.00 16-20 135.00 • 4a • i 1 f 21-25 170.00 26-30 190.00 31-35 210.00 36-50 230.00 41 or more 240.00 For each Day Care Center: Forty-five dollars ($45.00) plus one dollar ($1.00) per child of licensed capacity. For a seasonal establishment: Twenty-five dollars ($25.00). For a temporary establishment: Ten dollars ($10.00). A temporary food service establishment which oper.tes more than once during ary consecutive twelve-month period shall pay a permit fee for each separate period of operation. SECTION II. That if any section, subsection, paragraph, sen- tence, 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, and the City Council of the City of Denton, Texas hereby declares it would have enacted such remaining portions despite any such invalidity. SECTION III. That any person violating any provision of this ordinance shall, upon conviction, be fined a sum not exceeding $2,000.00. Each day that a provision of this ordinance is violated shall constitute a separate and distinct offense. SECTION IV. That save and except as amended hereby, all the sections, sentences, and clauses of Section 13-22 of the Code of Ordinances of the City of Denton, Texas shall remain in full force and effect. SECTION V. That this ordinance shall become effective four- teen (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 news- paper of the City of Denton, Texas, within ten (10) days of the date of its passage. PASSED AND APPROVED this the day of , 1995. BOB CASTLEBERRY, MAYOR PAGE 2 • O s r ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY BY: • I i' PAGE 3 i 0 n r i ~ • r+ • ti DENTON 0000000000000 00 oo~; Oo d an a o o 0 Q3 0 o OOO ,y ~ ~ pp0 N . 0000 oov 19002000 ® CITY COUNCIL • • A • f i ~pe~dai OFFICE OF THE'AUNIrIPAL JUDGE MEMORANDUM TO: LLOYD HARRELL, CITY MANAGER FROM: SANDRA H. WHITE, MUNICIPAL JUDGE SUBJECT: Ordinance Establishing a Municipal Court Building Security Fund DATE: September 1, 1995 Attached hereto please find an Ordinance to he considered by the City Council on September 12, 1995, eAablishing a Tbree Dollar ($3.00) Court Cost per conviction In the Municipal Court, to be collected by the Clerk of the Court and placed in a fund designated as the Municipal Court Building Security Fund. This Ordinance would allow for the purchase of security devices or for compensating security personnel for the Court, whkh is an anticipated need based upon the passage of the concealed weapons law. Sandra H. White SHW:aYu • I i j i 001AY *.AMA • 0 • ORDINANCE NO. AN ORDINANCE CREATING A MUNICIPAL COURT BUILDING SECURITY FUND AND REQUIRING THAT A DEFENDANT CONVICTED IN A TRIAL FOR A MISDEMEANOR OFFENSE IN THE CITY OF DENTON MUNICIPAL COURT NO. 1 AND ANY OTHER CITY OF DENTON MUNICIPAL COURT WHICH MAY HEREAFTER BE CREATED, SHALL PAY A THREE DOLLAR SECURITY FEE AS A COST OF COURT; PROVIDING A SEVERABILITY CLAUSE; AND PROVIDING FOR AN EFFECTIVE DATE. THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: SECTION I. That any person convicted in a trial in the City of Denton Municipal Court No. 1 or any other City of Denton Municipal Court which may hereafter be created, shall pay a three dollar security fee as a cost of court to be colle:,ted by the Clerk of the Court. JECTION II. For the purpose o): this ordinance, a person is considered convicted if! (1) a sentence is imposed on the person; (2) the person receives community supervision, including deferred adjudication; or (3) the court defers final disposition of the person's case. SECTION III. For the purpose of this ordinance, the Municipal Court Building Security Fund, may be used only to finance the following items, when used for the purpose of providing security services for the City of Denton Municipal Court No. 1 or any other City of Denton Municipal Court, which may hereafter be created: (1) the purchase or repair of x-ray machines and conveying systems; (2) handheld metal detectors; • (3) walkthrough metal detectors; (4) identification cards and systems; (5) electronic locking and surveillance equipment; (6) bailiffs, deputy sheriffs, deputy constables, or contract security personnel during times when they are providing appropriate security services; (7) signage; • (8) confiscated weapon inventory and tracking systems; • • (9) locks, chains, or other security hardware; or (10) or any other lawful item or service for which the said funds may be expended. SECTION IV. For the purpose of this ordinance, the Municipal Court Building Security Fund shall be administered by the i • - o governing body who shall receive recommendations for administering the fund from a committee comprised of the city Council Municipal Court Advisory Committee, the Municipal Judge and the Municipal Court Administrator. SECTION V. That 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 vr,lidity 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 VI. 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, the official newspaper of the City of Denton, Texas, within ten (10) days of the date of its passage. PASSED AND APPROVED this the _ day of , 1995. BOB CASTLEBERRY, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY • \ . BY: 6:~P- ~ : uroacc yam ~cau~t . s[c • a • DENTON OD~aQ0~O~Qppppp X00: ~o 0 0 o n 0 0 Ci 4 OOQ~n. QQp 00~~ o N ~ ti QQO °~aoaooooo°o • CITY COUNCIL N • 0 • - 3 a F71111 DATE: 09/12/55 C17Y COUNCIL REPORT FORMAT TO: Mayor and Members of the City Council FROM: Lloyd V. Harrell, City Manager SUBJECT: An ordinance amending section 20-1 related to "noise" and establishing hours for building construction RECOMMENDATION: Staff recommends adoption to the ordinance to allow construction: (1) from 6:00 A.M. to 8:30 P.M. Monday through Friday from June 1 to September 30; (2) from 7:00 A.M. to 8:30 P.M. Monday through Friday from October 1 to May 31; (3) from 8:00 A.M. to 8:30 P.M. Saturday; and (4) from 1:00 P.M. to 8:30 P.M. Sunday. SUMMARY: The current provision favnd in Chapter 20, Section 1, of the City of Denton Code of ordinances states in part that, "It shall be unlawful for any person to make or cause any noise of such charact..-r, intensity, and continued durations to suLstantially interfere with the comfortable enjoyment of private homes by persons of ordinary sensibilities." Specifically Sec. 20-1(c)(4) states that building may occur "between the hours of 7:00 AM. and 8:30 P.M., Monday through Saturday; provided, however, that the city council may issue special permits for such work at other hours in case of urgent necessity and in the interest of public safety and convenience." BACKGROUND: The city council discussed this item at their August 22, 1995 work session. The kcaff provided Council with information from other cities, a report on Police Department disturbance calls, and a summary of a survey of builders. PROGRAMS. DEPARTMENTS OR GROUPS AFFECTED: Builders an! sub-contractors, building inspection division, and police department FISCAL IMPACT: No impact to the City of Denton operating budget Respe ully sub t ed: • Prepared by: Ll V. Haire 1 f/1 City Manager Cecile Carson Community Improvement Coordinator • Approved: Frank o b ns Executive Director for Planning _ 1 • Q • f:WP000S\owa\NOI SEALa , ORDINANCE NO. A ORDINANCE OF THE CITY OF DENTON, TEXAS AMENDING SECTION 20-1 "NOISE" OF THE CODE OF ORDINANCES OF THE CITY OF DENTON BY ESTABLISHING HOURS FOR THE ERECTION, EXCAVATION, DEMOLITION, ALTERATION, OR REPAIR WORK ON AFY BUILDING; PROVIDING FOk A PENALTY OF $500.00 FOR ANY VIOLATION HEREOF; PROVIDING A SAVINGS CLAUSE; PROVIDING FOR PUBLICATION; AND PROVIDING AN EFFECTIVE DATE. THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: SECTION I. That Subsection (c)(4) of Section 20-1 "Noise" of the Code of Ordinances of the City of Denton is hereby amended to read as follows: Sao. 20-1(c)(4). The erection, excavation, demolition, alteration, or repair work on any building at any time other than between the hours of 6:00 a.m. and 8:30 p.m. Monday through Friday from June 1 to September 30; between 7:00 a.m. and 8:30 p.m. Monday through Friday from October 1 to May 31; between 8:00 a.m. 8:30 p.m. on Saturday; and between 1:00 p.m. and 8:30 p.m. on Sunday; provided, however that the City Council may issue special permits for such work at other hours in case of urgent necessity and in the interest of public safety and conve- nience. SECTION II. That any person violating any provision of this ordinance shall, upon conviction, be fined a sum not exceeding $500.00. Each day that a provision of this ordinance is violated shall constitute a separate and distinct offense. SECTION IIi. That save rnd except as amended hereby all the remaining sections, sentences, and paragraphs of Section 2:#-1 • "Noise" of the Code of Ordinance of the City of Denton shall remain in full force and effect. SECTION IV, 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, the official A newspaper of the City of Denton, Texas, within ten (10) days of the • • date of its passage. / PASSED AND APPROVED this the day of , 1995. BOB CASTLEBERRY, MAYOR • 0 • 1-is • rd dJ i~fS , _ ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: APPROVED AS TO LEGAL FORM: HERBERT L. PRO[TTY, CITY ATTORNEY BY: • I, Page 2 . ~i • • DENTON QD~pp~ao cQpp6700 00 A. o 00 0 0 o cl c, 0 0 4 D N ~610 000 o N , ~ OQQQ ~aoQOa~oo CITY • o COUNCIL ~ . • w • AAA DATE: Se CITY COUNCIL REPORT TO: Mayor and Members of the City Council FROM: Lloyd V. Harrell, City Manager SUBJECT: BOND COUNSEL CONTRACT RECOMMENDATION: Staff recommends approving the attached Bond Counsel Contract with McCall, Parkhurst & Horton, L.L.P. Staff has discussed this contract with the Investment Committee and it recommended approval. BACKGROUND: For more than 25 years, the City of Denton has utilized the services of McCall, Parkhurst and Horton, L.L.P. as Bond Counsel. In this capacity they performed all usual and necessary legal services in connection with the authorization, issuance, and delivery of our debt obligations. This includes the preparation of all resolutions and ordinances needed to authorize and issue debt obligations. In addition, they submit all bond transcripts to the Public Finance Division of the Attorney General's Office and obtain all necessary approvals. Generally speaking, the contract will require them to provide all legal services related to the issuance of debt obligations on our behalf. T he attached contract and fee schedule outlines the identical service we have received from McCall, Parkhurst & Horton, L.L.P. for the past several years. The only exception is on page 2 of the engagement letter in which they propose a hourly rate for any services provided related to disclosure requirements of the SEC's Rule 15c2- 12. Because this rule has been implemented this year, it is difficult to determine the level of service we will require from our Bond Counsel. However, we do not anticipate requiring a substantial amount of service from our Bond Counsel in order • to respond to this rule. PROGRAMS DEPARTMENTS OR GROUPS_AFFECTED: All departments that utilize bond proceeds will be affected by the approval of this contract. • 0 • Council Report Format Bond Counsel Contract September 12, 1995 Page 2 FISCAL IMPACT: There is no direct fiscal impact related to this contract. The fee schedule attached will only be applicable when we issue debt obligations. Respectfully submitted: C4- Lloyd V. Harrell Prepared by: City Manager ~j~~ UlL' Harlan Jefferso Director of FislEdl Operations Approved by: Keth Executive Director of Finance AFFOOF51 ,~A r n'r1 r. .~yM~'irr Y MTN.+ a r ~ o • E:%WP0M$%01MN"DC0N.0 7 ORDINANCE NO. AN ORDINANCE APPROVING A BOND COUNSEL CONTRACT BETWEEN THE CITY OF } DENTON AND MCCALL, PARKHURST i NORTON, L.L.P.; AUTHORIZING ThE MAYOR TO EXECUTE THE CONTRACT; APPROVING THE EXPENDITURE OF FUNDS THEREFOR, AND PROVIDING FOR AN EFFECTIVE DATE. THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: SECTION I. That the City Council hereby approves the Bond Ccuncil Contract, attached hereto, between the City and McCall, Parkhurst i Horton L.L.P., to provide all usual and necessary legal services as Bond Counsel in accordance with said agreement and the Mayor is hereby authorized to ixecute the agreement on behalf of the City. SECTION II. That the City council approves the expenditure of funds for said agreement as authorized in the attached agreement. SECTION III. That this ordinance shall become effective immediately upon its passage and approval. PASSED AND APPROVED this the day of , 1995. BOB CASTLEBERRY, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: • APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY BY: • 0 • a • STATE OF TEXAS 5 COUNTY OF DENTON § BOND COUNSEL CONTRACT THIS CONTRACT is made and entered into by and between the City of Denton, 215 E. McKinney, Denton, Texas 76201 ("CITY"), acting herein by and through its governing body, and McCall, Parkhurst Horton, L.L.P. ("FIRM"). 1. EMBLOINW47 OF FIRM CITY agrees to employ and dae3 hereby employ FIRM to perform the duties of Bond Counsel as described in Exhibit "A" attached hereto and incorporated herein ao if set forth at length, for the flees aet forth in Exhibit "A". Irovided, however, nothing herein shall require the CITY to pay for zervices which are not performed in compliance with the terms and conditions of this contract. II. TIRM The term of thie Contract shall begin on the date this Contract is executed and extend to September 30, 2000. CITY or FIRM may sooner terminate this contract by giving (30) thirty days written notice of said termination to the other party. In the event of termination by the CITY, the CITY shall pay FIRM for any services which it has performed ur to the date of delivery of the written notice to FIRM in accordance with the terms and conditions of this contract. Upon receipt of the notice of termination, FIRM shall cease all services hereunder. III. NOTICE Any notice or other written instrument required or permitted to be delivered pursuant to the terms of this contract 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, addressed to CITY or FIRM, as the case may be, at the following addresses: ~iTY EM • City of Denton McCall, Parkhurst a Horton L.L.P. ATTN: City manager 717 North 11arwood, 9th Floor • 215 E. McKinney Dallas, TX 75201-6587 Denton, TX 76201 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. e 0 • AdL, Y IV. VENUE The terms, obligations and requirements of this contract shall be construed in accordance with the laws of the State of Texas. The obligations and requirements of the parties hereto are performable in Denton County, Texas. Any litigation involvii,g this Contract shall be tried in a court of con•petent jurisdiction sitting in Denton, County, Texas. V. ACCEPTANCE OF EKPLOYMENT In consideration of the terms, covenants and mutual agreements hereinahove stated, FIRM hereby accepts the employment of CITY and undertakes the performance of this Contract as above stated. VI. AMENDMENT OF CONTRACT Any amendments to this Contract shall be in writing, signed by both parties. VII. ASSIGNMENT It is understood and agreed that this is a professional services contract and CITY is contracting for the unique services of FIRM. FIRM'S rights and resy•nsibilities under this Contract may = be assigned by FIRM to another law firm without prior written approval of the assignment by City. VIII. INDECENDENT CONTRACTOR The FIRM shall perform all services as an independent contrac- tor 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. Nothing herein creates any rights or remedies for persons who are not parties to this contract. 17. PROFESSIONAL LIABILITY INSURANCE • Dur'.ng the term of this contract, FIRM shall maintain in full force and effect a professional liability policy with an insurance company licensed to do business in the state of Texas in an amount not less than orie million dollars ($1,000,000.00). Said profes- sional liability insurance shall provide coverage for any and all claims, actions, suite or proceedings of any kind brought by a • third party which results directly or indirectly from errors or • • omissions of FIRM. ' e f o e I. INDEKNITY The FIRM agrees to hold harmless and indemnify the CITY from and against any and all suits, actions, legal or administrative pKoceedings, claims, demands, liability, monetary loss, and interest arising from any negligent acts, errara or omissions or wilful misconduct of FIRM in performing services or failing to perform services pursuant to this c,ntract. II. COMPLIANCE WITH LXWS Firm shall ccmply with all federal, state end local laws, rules, regulations, and ordinances applicable to the work covered hereunder as they may now read or hereinafter be amended, including without limitation, the Texas Disciplinary Rulr.s of Professional Conduct. ZII. PERSONNEL Firm represents that it has or will secure at their own expense all personnel required to perform all services required pursuant to this contract. All services required hereunder will be performed by FIRM or under its supervision. All personnel engaged in the performance of services pursuant to this contract.shall be qualified and shall be authorized by lav to perform such services. 1111. CAPTIONS The captions appearing at thq first of each numbered section are inserted and included solely tor convenience and shall never be considered or given any effect in construii.g this contract. This contract is executed on behalf of CITY by the presiding officer of its governing body who is authorized to execute this instrument by order heretofore parsed and duly recorded in its minutes and by a partner of FIRlr who, by execution of this Contract, represents and warr-its that he or she has the authority to execute this document on behalf of FIRM. e WITNESS the signature of all parties hereto in duplicate originals this the day of , 1995, Denton County, Texas. CITY OF DENTON, TEXAS BOB CASTLEBERRY, KNYOR i IaI 1 f Iri 'Y~ i ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY BY: L& ~ a w-Z ~a McCALL, PARKHURST ft HORTON, L.L.P. BY: E t\INDOCf U\~OIO.K ! f CT Y1 I • A • 5E`%T BY 214#7549250 8- 7-96 16:36 W-C,ILLP.AMRST- :r 2! 3 1 Aw Orlwfq j MCCALL. PARKHURST 9 HORTON L L.P. X100 qNE AMERICAN CENTER 717 NowiM MAPwocrl 12r5 ONE 1110 I MAI K PI ArC Au5TI4, Tr MS 70701]240 NINTH ROOF SAN ANTONIO, TEXAS 70205.3503 aye »u»• :y A,lr~oe DALLAS. TEg AS 79201.6507 ip,w GEC MAt SAK(q a».• aw.+w e+ T•»n». fa Noeroa r.ca»~• rw troto~. I I EXHIBIT "A" Mayor and Mombers of the City Council City of Deacon 213 F. McKinney Street Derti , Texan 76201 Rr Engsgetoatt is [food C"sd Dear Maya and Members of the City Couneil: This iclter is submitted to state our few and describe the legal services of McCall, Patldm" • ilatoe LL.P. in perfarnio; die ddin of Bad Camel for the City with refanm io the issuance of the City's bonds and other debt obiigalioos (the'Boods'). Generally, we will perform all areal and neoessay lesni services a, Hold Counsel in oomm-tiro with the suthaintion, issuance, and delivery ofthe Boor... `-pecdreally, we will prepare and dared "logd proosedinp and porfaso the other occeswy legal services with mieraw to the authari2a&M, isamence, and delivery of the Hods, inel dmg the follawng. 1. Prepare ail rtsohrdom, ordinances, and other nnstrwx its ptasusat to whreh the Bonds will be wthc•- irAd, issued, delivered and secured, including election procoodng+, if neceaary, in cooportlsort and upon oorisuhdw with the City Couricil, their consultants, and odwr legal and 5nsocial tdvison and ooruultarua of the Cety. 24 Attend awatinp of the City Council with refereare to the audwizatioo and isAmncc of Wo Bonds • to the extr_.: required or requested. 3. Cooperate with the City Council and all other intemled parties in the sale of the Bonds to the piirrliasus d. Submit tin Bond transcript to die Pub& Finance Division of the Attomey Gennxars of6ve and obtain • all necessary approvals. • 7 5. Supervise the execution of the Bonds and the delivery thereof to the purdwors. 6, When so delivoaod, give our approving opinion eoveains the validity of the Bonds and the ci ntpOw of mice st thaoon boot fodcral incamc taxes, it being undoriwod that the approvkO$ opisti0 t will be fully acceptable nationally in regular ootninorcial investment banking band marlrotins ahsnnols. DRAFT; AnI95 • a • r The fee coverias the legal services of this firm, a Bond Ceasel, for the issuance !f t'A in one a Toro inatallmmts, is a. follows $5,000 for the tint million dovan of Blinds; 9100 per $1,000 of Bonds thaea!lar. A* we would =poa to be rti &wvW for our actual outof-pocket expenses rcaeaably and D=ana* iocrarod in conmaiaa with the autharirat£ Issuance, and delivery of such Bonds i.a. trod, photocopies, eerier, Forty 10390 filing and (be Attorney Gerrtrai's filing fees Our Iles and orperuos will be payable within 30 days after the delivery of and psym of for sutL Bonds, but nor fees arc wholly contingent upon actual delivery of such Bonds. The sbragoing lepl services as Bond Cahnsel do sot include a" dked respomuGty for any triad or litigation However, if dkming the Wusnee of Bands srry litigation t bould develop regarding the isamoe or the Bonds or Ile provision made for dm* paymat or secs*. we w W owwlt, advise, and cooperate with the City and its attaosys conwuhrg any suck I for such services would be based upon the artomsy horrf hlH g rata of t e attorooys providing such additional services. The &m wig urdatolre upon the m"m of the City such sevioes a tray be nmovary to assist the City in salisf* j the cantisirg disdown r owkw acts of Rule I3c2-12 yromulgated by do Somrkies and Exdmp Comooission. ad a motive as to Beads wild on and alila hdy 3,1995. Our fees for snch services wm M be based upon the o stamary bouly br'lliog rates of the alsaosys providing suA services. Such rates are 5200 per her for piton and $123"bar ke associates. Should it be nmemy tar do firm to rtathda a written opution with raped to m;, =2aero miatiag to the moplirooe by the Cky with the ongoing disckme or other oompl saw requirem ruts of Rule 1502-12, such flee for legal stxvioa provided in 0000ection with the darbvwy of the opinion Mid be ad st an amount agreed upon by us and. the City. Our envious as Bond Counsel do not inchde any rapahs'b k for lovestigsting the finaadd oadaw and affair of the City. Our approving 4d gwnirn a Bond Carsel will contain a ptragrsph substantially to the cad fhst we have acted a Harrel C m rA for ate City for the solo purpose of rendering an opWm with respect to the legouty sal vnli* of the Bonds under the Cahstiurtioa and lays of the State of Task sod with moped In the acmV&e of Ibo inilomd an the Bonds from fcdeni irrcolne taxes, and for to otter remoo or purpose. The paragraph will ttbo dLciosa Ohst wa halve cot boo requested m invcWple or verity. and bare not investigstod or vedtlA soy rcOfds. data, of other malaisf rdatitg in the Anancid condition or capabilities othere city, end have rat assunwd am rwpesibi 4 with rapeel therotas. Respeafnily submitted, McCALL, PARKHURST dt HORTON LLP, L E. MO Brluo;ws, M • ACCEPTED THIS THE DAY OF 1995. City of Denton, Texas e O • • By Mayor 2 • 0 * c 1 .wv , LJS!r~~S}^~:~(,y.([r,~ ih'Jy~ jyp~~' • w • C DENTON oaog3 0000 OOO 00~~ ~o OD QO ~ ,y o 0 a 0 M ~ 0 0 00 ~ o e>lo <90 O N , ~ OppO °Qaaaoaoooo CITY COUNCIL ~ t_ i 6f • AQIfIQINO 7 Apbpdal DATE: Se , JU~U i_TT C OUNCIL. REPORT TO: Mayor and Members of the City Council FROM: Lloyd V. Harrell, City Manager SUBJECT: FINANCIAL ADVISORY AGREEMENT RECOMMENDATION: Staff recommends approving the attached Financial Advisory Agreement with First Southwest Company. Staff has discussed this agreement with the Investment Committee and it recommended approval. BACKGROUND: The attached Financial Advisory Agreement is designed to retain the services of First Southwest Company, in the capacity of Financial Advisor. For more than 25 years we have utilized First Southwest Company in this capacity. The services they will provide include, but are not limited to, the following: a) Survey the financial resources of the City to determine the extent of our capacity to authorize, issue, and service debt. b) Submit recommendations regarding the date of issue, interest payment dates, schedule of principal maturities, options of prior payment, and security provfslons. c) Advise the City of current bond market conditions. d) Recommend method of sale of the debt instruments. e) Coordinate and prepare the Notice of Sale and Bidding Instruments, Official Statement, Official Bid Form, etc. • f) Coordinate the receipt, tabulation and comparison of bids, at any advertised sale. g) Provide a recommendation regarding the advisability of obtaining a credit rating or ratings and make all appropriate arrangements. • The services and fee schedule contained in the agreement are identical to that of the , • ~ previous contract with one exception. Following the request of the Investment Committee, we included an indemnification clause in the agreement (see item F). This clause provides some protection for the City in the event we experience a loss directly i i r • I_ a • ApendaNa. A~3n~ait Council Report Format G i3 Financial Advisory Proposal September 12, 1995 Page 2 PROGRAMS. DEPARTMENTS OR GROUPS AFFECTED: All departments that utilize bond proceeds will be affected by the approval of this agreement. FISCAL IMPACT: There is no direct fiscal impact related to this agreement. The fee schedule attached will only be applicable when we issue debt obligations. Respectfully submitted: LI d V. Harrell City Manager Prepared by: Harlan Jefferson Director of Fisca Aerations Approved by: I l ~ • Kathy se Executive Director of Finance 11FF40f 50 ~ • A r f:%6900 SNOW\FI MAN.000 alo ORDINANCE NO. AN ORDINANCE APPROVING THE CITY MANAGER TO EXECUTE A FINANCIAL ADVISORY AGREEMENT BETWEEN THE CITY OF DENTON AND FIRST SOUTHWEST COMPANY; AUTHORIZING THE MAYOR TO EXECUTE THE CONTRACT; APPROVING THE EXPENDITURE OF FUNDS THEREFOR, AND PROVIDING FOR AN EFFECTIVE DATE. THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: SECTION i1 That the City Council hereby approves the Financial Advisory Agreement, attached hereto, between the City of j Denton and First Southwest Company, and the mayor is hereby authorized to execute the agreement on behalf of the City. SECTION II. That the City Council approves the expenditure of funds for said agreement as authorized in the attached agreement. SECTION III. That this ordinance shall become effective immediately upon its passage and approval. PASSED AND APPROVED this the day of , C 1995. BOB CASTLEBERRY, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY 1 • BY: APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY. CITY ATTORNEY BY: • I 'Pat ;T ~.Y q. • a • FINANCIAL ADVISORY AGREEMENT By and Brlwcen CITN' OF DENTON,1'E\AS (I Ierein referred to as the "Cily") and FIRST SOUTI (WEST COMPANY It is understood that the City will have under consideration from time to time the authorization and issuance of indebtedness in amounts and forms vvlkh conmd presently be dLiermined and that in connection with the authorization, sale, issuance and ddivcry of such indeblcdriss of the City, we have been teqursted to submit a proposal to provide professional services to the City in tax capacity of Financial Advisor. We are pleased to comply with this request and submit the following proposal for consideration. This proposal, if accepted by the City, shall become the agrecntcnl (the "Agreement") belvvicen tax City and First Southwest Company effective at the date of its acceptance as provided for herein below. A. This Agreement shall apply to any and all evidences of indebtedness or debt obligations that may be authorized and issued or olhen6se created or assumed by the City (hereinafter referred to collectively as the "Debt Instruments") from time to lime during the period in which this Agreement shall be effective. B. We agree to provide our professional services and our facilities as Financial Advisor and agree to direct and coordinate all programs of financing as may be considered and audtorized during the period in which this Agreement shall be clTeclive and to assume and pay those expenses set out in Appendix A, provided, however, that our obligations to pay expenses shall not include any costs incident to litigation, mandamus action, test case or other similar legal actions. C We agree to perform the following duties normally performed by such financial advisors and all other duties as, in ourjudgment, may be necessary or advisable: 1. We will conduct a survey of the financial resources of the City to determine the • extent of its capacity to authorize, issue and service debt. This survey will include an analysis of the existing debt structure as compared with the existir g and projected sources of revenues which may be pledged to secure payment of debt service and, where approprinte, will include a study of the trend of the assessed valuation, taxing power and tacscat and future taxied requirements of the City. In the event revenues of existing or projected fac;ditics operated by the Cily are to be pledged to repayment of the Debt • Instrurncnts then under consideration, the smrvcy will take into account any outstanding indebtedness • payable from the revenues thcreef, additional rvenues to be available from any proposed rate increases and additional revenues, as projected by consulting cnbinercrs employed by the City, resulting from improvements to be fnnanccd by the Debt Instruments under consideration. We will also take into account i future financing needs and operations as projected by the City's staff and consulting engineers or other experts, if any, employed by the City. • a • ~t 1 2. On the basis of the information developed by the survey described above, and other information and experience available to us, we will submit to the City our recommendations on the Debt Instruments under consideration including such elements as the date of issue, interest payment dales, schedule of principal maturities, options of prior payment, security provisions, and any other additional provisions designed to make the issue attractive to investors, All recommendations will be based upon our professional judgment and marketing experience with the goal of designing Debt Instruments which can be sold under terms most advantageous to the City and at die lowest interest cost consistent with all other considerations. 3. We will advise the City of current bond market conditions, forthcoming bond issues and other general information and economic data which might normally be expected to influence interest rates or bidding conditions so that the date of sale of the Debt Instruments may be set at a time which in our opinion, and you,s, will be favorable. 4. We understand the City has retained, or will retain, a firm of municipal bond attorneys ("Bond Counsel") whose fees will be paid by the City. In the event it is necessary to hold an election to authorize the Debt Instruments then under consideration, we will assist in coordinating the assembly and transmittal to Bond Counsel of such data as may be required for the preparation of necessary petitions, orders, resolutions, ordinances, notices and certificates in onnection with rt., election. S, We will recommend the method of sale of the Debt Instruments that, in our opinion, is in the best interest of the City and mill pr xmd, as directed by the City, with one of the following methods', a. tidvMiscd Sam We mill supervise the sale of the Debt I tstruments at a public sale in accordance with procedures set out hcrcin. We reserve the right, either acting alone or in conjunction with others, to submit a bid for any debt Instruments issued under this Agreement which the City advertises for competitive bids. b. [ft9tiaLcd $a , We will recommend one or more investment banking firms as managers of an underwriting syndicate for the purpose of negotiating the purchase of the Debt • Instruments and in no event will we participate either direct or indirectly in the underwriting of the Debt instruments. We mill collaborate with any managing undcrwrilcr selected and Counsel to the underwriters, in the preparation of the Official Statement or Offering Memorandum. We will cooperate with the underwriters in obtaining any Blue Sky Memorandum and Legal Investment Survey, preparation of the Bond Purchase Contract, Undenwriters Agreement and any other related documents. The costs thereof, including the printing of the documents, will be paid by the underwriters. 6. '%Vb.-n appropriate, we will advise financial publications of the forthcoming sale of i the Debt Instruments and provide them with all pertinent information. d 0 0 I • t, T We will coordinate the preparation of the Notice of Sale and Bidding Instructions, Official Statement, Official Bid Forth and such other documents as may be required. We will submit to the City all such documents for examination, approval and certification. After such examination, approval and s certification, we will provide the City with a supply of all such documents sufficient to its nerds and will distribute by trail sets of the same to prospective bidders and to banks, life, fire and casualty insurance companies, investment counselors and other prospective purchasers of the Debt Inslnunents. We will also provide sufficient copies of the final Official Statement to the purchaser of the Debt Instruments in accordar+ce with the Notice of Sale and Bidding Instructions. 9. We will, after consulting with the City, arrange for such reports and opinions of recognized independent consultants we deem necessary and required in the successful marketing of the Debt Instruments. 9. Subject to the approval of the City, we will organize and make arrangements for such investor information meetings as, in our judgment, m-ty be necessary. 10. We will make recommendations to the City as to the advisability of obtaining a credit rating, or ratings, for the Debt Instruments and, when directed by the Cit),, we will coordinate the preparation of such inronnation as, in our opinion, is required for submission to the rating agency, or agencies. In those cases where the advisability of personal presentation of information to the rating agency, or agencies, may be indicated, we will arrange for such personal presentations, including representatives from the City. 11. We will assist the staff of the City at any advertised sale of Debt Instruments in coordinating the receipt and tabulation and comparison of bids and we will advise the City as to the best bid. We will provide the City with our reconuncndation as to acceptance or rejection of such bid. 12. As soon as a bid for the Debt Instruments is accepted by the City, we will proceed 1 to coordinate the efforts of all concerned to the end that the Debt Instruments may be delivered and paid for as expeditiously as possible. We shall assist the City in the preparation or verification of final closing t# figures incident to the delivery of, and payment for, the Debt Instruments. 13. We will maintain liaison with Bond Counsel in the preparation of all legal documents pertaining to the authorization, sale and issuance of the Debt Instruments. Bond Counsel will provide an unqualified legal opinion as to the legality of the issuance of the Debt Instruments at the time of O delivery. J 14. If rcqucstcd, we will counsel with the City in the selection of a Trustee and Paying Agent/Registrar fur the Debt Instruments, and we will assist in the preparation of agreements pertinent to these scrvia;s and the fees incident thereto. s+ • O • r IS. In the rvent formal verification by an independent auditor"of any cu runs incident to the Debt Instruments is required, we will make arrangements for such services. 16. We agree to coordinate all work incident to printing and execution of the Del. Instruments. 17. After the closing of the sale and delivery of the Debt Instruments, we will deliver to the City a schedule of annual debt service requirements of the Debt Instruments. In coordination with Bond Counsel, we will assure that the Paying Agent/Regisirar has been provided with a copy of the authorizing ordinance, order or resolution. Is We wi!t attend any and all meetings of the governing body of the City, its staff, representatives or committees as requested at all times when we may be of assistance or service arrd the subject of financing is to be discussed. 19. In conch with Bond Counsel we will advise the City and its staff of changes, proposed or enacted, in Federal and State laws and regulations which would affect the municipal bond market. ` 20. We will work with the City, its staff and any consultants employed by the City in developing financial feasibility studies and analyzing alternative financing planq. D. In addition to the services set out above, we agree to provide the following services when so requested. I. We will provide our advice as to the investment of certain furls of the City. We will, when so directed, purchase those investments authorized to be purchased and, except for investment of the proceeds of Debt Instruments, we will charge a normal and customary commission, to be mutually 1 agreed upon, for each such transaction. • 2. We will provide our advice and assistance with regard to exercising call and/or refunding of any outstanding Debt Instruments. 3. We will provide our advice and assistance in the development of, and financing for, any capital improvements programs of the City. 4. We will provide our advice and assistance in the development of the long-range • r• • financing p.an of the City. 0 A, o 5. We will provide any nthcr financing planning services as may be request by the City. E. The fee due to First Southwest Company calcula on 0 accordance with Appendix A attached hereto, any other fees as may be mutually agreed upon and all ex1 woes for which First Southwest Company is entitled to reimbursement, shall `ecome due and payable concurrently with the delivery of the Debt Instruments to the purchaser. F. First Southwest Company agrees to hold harmless and indemnify the City from and against any and all suits, actions, legal or administrative ; roceediryt, claims, demands, liability, monetary loss, and interest arising from any negligent acts, errors or omissions or willful misconduct of First Southwest Company in performing services or failing to perform services pursuant to this Agreement. 0. This Agreement shall become effective at the date of acceptance by the City set out herein beknv and shall remain in effect therafh r for a period of five (S) years from the date of acceptance. This Agreement will be automatically renewed for successive one (1) year periods on each anniversary date unless otherwise terminated, in writing, by either party. This Agreement may be terminated without cause by the City or First Southwest upon thirty (30) days' written notice to .he othix party. In the event of such temtination, it is understood and agreed that only the amount due First Southwest for services provided and expenses incurred to the date of termination will be due and payable. No penalty will be assessed for termination c f this Agreement. This Agreement is submitted in dt,?Iicate originals. Whcn accepted by the City, it, together with Appendix A attached hereto, will aeutitute the entire Agreement bctwweccn the City and First Southwest Company for the purposes and considerations herein specified. Acceptance will be indicated by the signature of authorized officials of the City together with the date of acceptance on b-)th copies and the return of one executed copy to First Southwest Company Respectfully submtted, FIRST SOUTHWEST COMP • By Da ' Mcdanich Director By (4 Hill A. Feinberg President and Chief Executive Officer 0 0 r ACCEPTANCE CLAUSE ` The above am foregoing is hereby in all things ancepted and approved by the City of DENTON, Texas on this the _ day of , 19 by action of the By Title ATTEST: Secretary • O • • 4 ~ ' ~4r :'~"S. ~ ~ t s`r'tC~ yd,.7f :F~r r e'..'. • ea • APPENDIX A CITY OF DENTON, TEXAS r FEE SCHEDULE AND EXPENSE ITEMS In consideration for the services rendered by us, it is understood and agreed that our roe for each issue of Debt Instruments will be as follows I Base Fee - Any Issue S 5,000 Plus 57.50 Per $1,000 up to 500,000 Plv; 5.00 per 51,000 next 500,000 Plus 3.00 per 51,000 next 1,500,000 Plus 2 50 per S 1,000 next 2,300,000 Plus 1.75 per 51,000 next 5,000,000 Plus 1,00 per 51,000 next 10,000,000 t Plus 0.75 per 51,000 next 10,000,000 Plus 0.50 per $1,000 next 20,000,000 Plus 0.40 per $1,000 next 50,000,000 The above charges shall be increased by an additional charge, mutually agreeable to the City and the Company rot the issuance of rerunding bonds, rcriecting a lditionat services and expenses required. The City will be responsible rot 0t: payment of the expenses listed below. The payment of reimbursable expenses that the Company has asi~inned on behalf or dic City shall not be contingent upon the Delivery of the Debt Instruments • Bond counsel • Bond printing • Bond ratings • Credit enhancement • Official statement printing and postage • • Paying agent/regislrarArustce • Travel cxpcnses of City personnel • Travel expenses of Company's personnel, with prior approval • Miscellaneous, includ ng copy, delivery rmall alsociatcd with Reru dingB9rd Iuuc; • Computcrstrucluriug • • Underwriter and underwriters counsel • • 1 • 0 • a e DENTON oo1 Q3 0000 qoo0 000 ~ ~ ~ppp cd o 0 0 0 0 o 0 0 ~ o} o DO ~.r ~ p0 OpC ~ ~ DODO 0000 ~ N , ~ 0000 ~~ooooo00 IC TY COUNCIL i • • • Q • No ApMal oats Y, CITY o/DENTON, TEXAS MUNICIPAL BUILDING&DENTON, TEXAS 76201 TELEPHONE j817) 566.8307 Office of lhn City Manager CITY COUNCIL REPORT TO: Mayor and Members of the City Council FROM: Lloyd V. Harrell, City Manager DATE: September 6, 1995 SUBJECT: CONSIDER APPROVAL OF AN ORDINANCE TO TRANSFER THE CITY'S CABLE TELEVISION FRANCHISE FROM SAMMONS COMMUNICATIONS, INC. TO MARCUS CABLE ASSOCIATES, L.P. RECOMMENDATION: Staff recommends approval. SUMMARY: Sammons Communications, Inc. has agreed to sell its North Texas cable TV systems, Including the one that serves Denton, to Marcus Cable Associates, L.P. of Dallas. On May 5, 1995, the City received a copy of FCC Form 394 requesting transfer of the franchise from Sammons to Marcus. By federal law and City ordinance, the City has 120 days in which to rule on the request. If no action is taken, the transfer request automatically becomes effective at the end of the 120-day period. Marcus has agreed to extend the transfer deadline until October 1, or later if there is a waiting period before the ordinance would become effective. City Charter requires two readintts of the ordinance plus it 2 Way waiting period. The first reading of the ordinance will occur on September 12. The second reading will occur on September 19. The ordinance will be effective on, or about, October 10. BACKGROUND: • The current franchise agreement with Sammons became effective in November of 1988 tnd is a 15-year agreement. Sammons is selling their North Texas cable systems, including the one that serves Denton, to Marcus Cable of Dallas. Sammons has requested that the City transfer the existing i franchise to Marcus, and has submitted the required FCC form. The City has the right and the duty to evaluate the prospective franchisee on legal, technical and • financial ground.. To assist in this endeavor, the City has joined with approximately 17 other cities • • in North Texas which are currently served by Sammons and has retained the law firm of Varnum, Riddering, Schmidt, do Howlett. They, in turn, have asked the firm of KFA Services, Inc. to investigate the financial condition of Marcus. The financial consultant has expressed some concern that Marcus is rather highly leveraged in order to purchase the Sammons systems. However, they have sound investors and the consultant's overall outlook and recommendation are positive. "Dedicated to Quality Scnvice" • a • City Council Report CATV Franchise Page 2 The legal consultants have recommended transfer of the franchise contingent upon several conditions which are contained in the attached letter of agreement (attachment A). These conditions are: 1) that Marcus will promptly provide the capability for insertion of video programming and other video, voice and data messages into the cable system at the points in the City required under Section VI (b) (6) of the fi•anchise; 2) that Marcus will allocate one of the five access channels provided under Section XXII (a) of the franchise to the Denton Independent School District when the district is ready to use an access channel; 3) that Marcus agree to a pass-through charge to Denton cable subscribers, not to exceed SOC per month per subscriber, ana that Marcus would collect such revenue and transfer such to the City, should the City Council wish them to do so; 4) that Marcus agree to all terms and conditions contained in the existing Pole Lease Agreement which has been In force under Sammons' operation of the franchise. PROGRAMS, DEPARTMENTS OR CROUPS AFFECTED: City Council, Cable Television Advisory Board, Cable TV division, cable Tv subscribers. FISCAL IMPACT: None, Please advise if I can provide additional information. 4RESPECYbLLY SUBMITTED: rell Prepared by: City Manager c~ Richard Foster Public Information Officer Approved: • _ • • OE OE &41w11'rr4c'a-ec usep ortugal Assistant to the City Manag Attachments: A. Ordinance and Letter of Agreement B. KFA Services Financial Assessment C. Cable Ordinance J D. Franchise Agreement AAA03911 ; i ~ it t~ ~ iK.`• • w • E : \6V=$\ORD\WCUS. C T Y ATTACHMENT A ORDINANCE NO. AN ORDINANCE AMENDING ORDINANCE NO. 88-189, AS AMENDED, WHICH GRANTED A FRANCHISE TO SAMMONS COMMUNICATIONS, INC. TO RECONSI T, OPERATE, AND MAINTAIN A CABLE TELEVISION SYSTEM IN THE CIT% OF DENTON, TEXAS; CONSENTING TO THE ASSIGNMENT AND TRANSFER OF '1HAT FRANCHISE FROM SAMMONS COMMUNICATIONS, INC. TO rARCUTS CABLE j ASSOCIATES, L.P. IN ACCORDANCE WITH THE TERMS AND CONDITIONS OF THIS ORDINANCE; APPROVING AN ACCEPTANCE AGREEMENT; PROVIDING FOR A SAVINGS CLAUSE; PROVIDING FOR PUBLICATION; PROVIDING FOR T4E EFFECT OF THIS ORDINANCE UPON OTHER ORDINANCES AN' YESOLUTIONS; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, Sammons Communications, Inc. ("Sammons") currently holds a cable television franchise pursuant to Ordinance No. 88- 189, as amended, passed by the City Council on November 15, 1988 and duly accepted by Sammons which incorporates the provisions of Chapter 8 "Cable Television" of the Code of Ordinances of the City of Denton (collectively the "Franchise"); and WHEREAS, Sammons, as seller, on April 5, 1995 entered into an Asset Purchase Agreement to sell its assets and to assign and E transfer all its interest in the above-mentioned Franchise and its cable system in the City to Marcus Cable Associates, L.P. ("Marcus"); and WHEREAS, Marcus and Sammons submitted an Application for Franchise Authority Consent on FCC form 394 providing certain information with respect to the parties and the proposed transfer and submitted additional information and documents relating to the transaction and its effect on the provision of cable television service within the City in response to requests of the City; and WHEREAS, in accordance with Section 8-62 of the Code of Ordin"nce, Sammons has notified the City of the proposed sale and transfer of the franchise to Marcus, and the City has joined with a number of other cities in the Dallas/Fort Worth region served by Sammons to hire the law firm of Varnum, Ridderinq, Schmidt i • Howlett, L.L.P. to examine and evaluate the transfer and to represent the cities in negotiations with Marcus and Sammons regarding the transfer, and to perform other duties with regard thereto; and WHEREAS, the City Council, relying on the consultantfs recommendation, in accordance with Section 8-62 of the Code of • Ordinances and applicable Federal Communication Commission ("FCC") • • regulations, has examined Marcus, financial capability, legal qualifications, general character qualifications, and its ability to meet community needs for cable television services and to comply with all the provisions of the franchise, the current pole lease agreement, the conditions imposed by this ordinance, and with all applicable local, state, and federal laws and regulations; and • • WHEREAS, Marcus has agreed to certain amendments of the existing franchise and to cure various failures to perform certain portions of the franchise by Sammons and to alleviate any concerns x the City may have about Marcus' qualifications or its ability to comply with all the obligations of the existing franchise, the cable television ordinance, and other applicable laws; and WHEREAS, the City Council, upon recommendation of the city Manager and after reviewing the evaluation of Marcus by the consul- tant, feels that Marcus meets the financial capability and legal and general character qualification criteria established by the FCC and the Denton City Council; and WHEREAS, subject to Marcus' accept&nce of the terms and conditions set forth herein, the City Council believes that it is in the best interest and consistent with the public necessity and convenience of the City that the transfer and assignment of the cable television franchise from Sammons to Marcus be approved and that Ordinance No. 88-189 be amended; NOW, THEREFORE, THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: SECTION I. That the City Council hereby consents to and approves the transfer and assignment of the Franchise which is attached hereto and incorporated herein by reference as Exhibit "A" from Sammons to Marcus for the remaining term of such Franchise, subject to the following terms and conditions and the terms and conditions of the Franchise: A) Execution by Marcus of the Acceptance of the Terms and Conditions to Transfer the Denton Cable Television System and Franchise ("Acceptance Agreement"), which is attached as Exhibit "8" and incorporated by reference herein, including, without limitation, the following conditions: (1) Marcus will promptly, but no later than twelve months from the effective date of this ordinance, provide the capability for insertion of video programming and other • video, voice, and data messages into the cable system at the p,)ints in the City in accordance with the tr.rms required under Section IV(b)(6) of the franchise, and will comply completely with the above section of the franchise. (2) Marcus will allocate one of the five access channels , • provided under Section XXII(a) of the franchise to the • • Denton Independent School District when the District is ready to use and access the channel. (3) Upon request of tle City, Marcus will col'.%ct from subscribers and pay to the City a monthly amount of no more than fifty cents ($0.50) for each subscriber within PAGE 2 • a • the City limits to assist in financing local access activities. Such charge shall be set out as a separate line item on all subscriber bills and shall not be deemed a payment for basic service, but a piss-through of an access bi.i gcvernment programming fee. The charge will not be part of gross revenue for purposes of calculating the franchise fee. (4) Marcus shall a9tee to comply with all the terms and conditions of that certain CATV Pole Lease Agreement r; between the City and Golden Triangle Communications ("Pole Lease Agreement") dated the 7th day of May, 1979, which is attached to this ordinance as Exhibit "C" and made a part hereof for all purposes. B) Execution by Aarcus Cable Operating Company, L.P.; Marcus Cable Company, L.P.; and Marcus Cable Property, L.P. of an Accep- tance Agreement in the form attached as Exhibit "B" unconditionally guaranteeing Marcus' performance of the obligations of the Franchise and the Acceptance Agreement. SECTION II. Marcus may, at ,ny time and from time to time, assign or grant or otherwise convey one or more liens or security interests in its assets, including its rights, obligations and benefits in and to the cable television system and Franchise, to any lender providing financing to Marcus. Any assignment or transfer by a lender or as a result of a foreclosure will require the City's consent as provided in the Franchise. SECTION IIi. That the City Council hereby consents to and approves the transfer and assignment of all of Sammons' right, title, and interest in and to that certain Pole Lease Agreement, attached hereto and incorporated herein as Exhibit "C" to Marcus, for the remaining term of said agreement, subject to Marcus agreeing to comply with all the terms and conditions contained therein. SECTION IV, That there is no waiver by the City of any • breach, default, or violation of the terms, covenants, or condi- tions hereof to be performed, kept, and observe 1 by Sammons or Marcus. Nothing contained herein stall be construed to be or act as a waiver of any subsequent default on any such terns, covenants, and conditions of the franchise, the attached Acceptance Agreement, the attached Pole Lease Agreement, or the terms and conditions of this ordinance. ' • SECTION V. That to the extent that this ordinance or the attached Acceptance Agreement modifies any of the terms and J conditions of Ordinance No. 88-189, as amended, or Chapter 8 of the Code of Ordinances, Ordinance No. 88-189 and Chapter 8 of the Code of Ordinances are hereby amended. Save and except as amended hereby, the remaining sections, sentencos, and paragraphs of PAGE 3 • O 1 JY ~ • • • ordinance No. 88-189 and Chapter 8 of the code of ordinances shall remain in full force and effect. SECTION VI. That in accordance with Section 13.02 of the City Charter, this ordinance shall become effective twenty-one days after final approval, if, after that date, Marcus shall give its written acceptance of this ordinance by signing as provided below; and provided that, after final approval and before the expiration of twenty-one days, the full text of this ordinance shall be published once each week for two consecutive weeks in the official newspaper of the City, the entire expense of which shall be borne by Marcus. The City Secretary is hereby directed to publish the full text of this ordinance in such official newspaper of the City once each week for two consecutive weeks immediately following the passage of this ordinance on second reading. SECTION VII. That this ordinance shall be in Bull force and effect at the time provided by law from and after its passage and written acceptance by Marcus; provided however, that this ordinance shall expire on March 31, 1996, and shall be of no further force and effect it the transactions described in the Asset Purchase Agreement between Sammons and Marcus have not been closed by that date. SECTION VIII. Marcus and Marcus Cable Operating Company, L.P., Marcus Cable Company, L. P. and Marcus Cable Properties, L. P. for themselves, their successors and assigns, hereby accepts this ordinance including the attached exhibits and agrees to be bound by all of its terns and conditions. PASSED AND APPROVED at its fir at reading this the day of , 1995. PASSED AND APPROVED at its second reading this the day of , 1995. • BOB CASTLEBERRY, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY • BY: • • i i l PAGE 4 a • r APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY BY: ACCEPTANCE: By the signature hereunder, Marcus Cable Company, L.P., and Marcus Cable Properties, L.P., Marcus Cable Associates, L.P. and Marcus Cable Operating Company, L.P., the transferee and grantee, hereby represent that the officers signing below are fully authorized to bind Marcus and Marcus Cable Properties, Inc., and their signatures hereon constitutes an acceptance and Marcusf and Marcus Cable Properties, Incas agreement :o fully comply and abide by the terms and conditions of this ordinance, Ordinances No. 88-189 as amended hereby, the attached Acceptance Agreement an.t Pole Lease Agreement, the provisions of Chapter E of the Code of Ordinances of the City of Denton, and all other applicable laws and regulations. MARCUS CABLE ASSOCIATES, L.P. BY: Title: Date Of Execution: MARCUS CABLE OPERATING COMPANY, L.P. BY: Title: 1 • Date Of Execution: MARCUS CABLE COMPANY, L.P. • BY: Title: • • Date Of Execution. PAGE 5 x • MARCUS CABLE PROPERTIES, L.P. BY: Title: Date Of Execution: Y I . PAGE 6 f. t ~ A s • STATE OF TEXAS $ ;4 COUNTY OF DENTON ; ACCEPTANCE BY MARCUS OF TERMS AND CONDITIONS TO TRANSFER OF THE CITY OF DENTON, TEXAS CABLE TELEVISION SYSTEM AND FRANCHISE ("ACCEPTANCE AGREEMEN f t Marcus Cable Associates, L.P. ("Marcus") makes the following agreement for the purpose of accepting Ordinance No. 95- of the City of Denton, Texas ("City") consenting to the transfer of the franchise granted by Ordinance No. 8-189, as amended from Sammons Communications, Inc./Sammons of Fort Worth to Marcus Cable Associates, L.P. Manaus Cable Operating COLnpany, L.P., Marcus Cable Company, L.P., and Marcus Cable Properties, L. P. join this Agreement for the purpose of guaranteeing Marcus' performance of the Franchise and this Agreement. A. The promises, covenants, and conditions contained herein inure to the benefit of the City and are binding on Marcus. B. Marcus acknowledges that the transactions described in the Asset Purchase Agreement dated as of April S, 1993, between Marcus Cable Associates, L.P. as buyer and Sammons Communications, Inc., Sammons of Fort Worth, and other entities as seller (col- lectively "Saznmon0, and the transfer of the franchise granted by Ordinance No. 88-189 (the "Ordinance" or "Franchise") pursuant thereto are expressly subordinate to and will not affect the binding nature of the Franchise wO the obligations of the Grantee provided for therein, and that the consent of the City to the traasaction does not constitute a waiver or release of any rights of the City. Marcus assumes ;1.0 agrees to perform all of the obligations of the Franchise including any obligations to make refunds for periods prior to the transfer. 1 C. Marcus acknowledges that the City has consented to the transaction in reliance upon the representations, documents and information provided by Marius and Sammons, all of • which are incorporated herein by reference. i D. Customer Service. t , Marcus will comply with the customer service rules of the FCC as presently in effect, 47 CFR $ 76.309. Marcus's compliance shall be • measured and enforced as follows: • • it. For the purpose of such rules "normal business hours" therein are deemed to be 8:00 AM to 5:00 PM Mo.-Jay through Friday, and Saturday 9:00 AM to 1:00 PM. ca b. Transfer to or answering by a voice mail system (or oche, automated response %ystem) does not constitute answering "by a customer representative" under 4 76.309(c)(ii) or analogous provisions of such rules. C. Within 20 business days of the close of each calendar quarter (or monthly, if the City requests same), Manes will provide the City with a report in such form as the City and Marcus may reasonably agree, setting forth on a consistent basis, fairly applied, Marcus's perfurmance as compared to such standards, including in particular as compared to the standards for telephone answer time, busy signals, standard installations, service interruptions, appointment windows, refunds and credits. d. Such reports shall show and use the telephone Balls originating from within the City if that information is readily available from the system, and as to installations, service interruptions, appoint- ment windows, refunds, credits and the like shall show and use data only for subscribers in the City. C. Such reports shall show Marcus's p.rformance including and excluding any peri,)ds of abnormal operating conditions, and if Marcus contends that any such abncrmal conditions occurred during the reporting period in question, they shall also describe the nature and extent of such conditions. f. Marcus acknowledges that noncompliance with customer service standards will harm subscribers and the City and that the extent of harm will be difficult or impossible to measure. The City may therefore assess liquidated damages saainst Marcus for non- compliance with the preceding customer service standards as follows: The FCC Rules currently state as to ¢ 76.309(c)(IXH) and (iv); and 4 76.309(c)(2Hi), (ii), (iii) and (iv) (collectively "quarterly customer service standards") that the standards set forth therein "shall be met no less than ninety (90) percent of the time undo- normal operating conditions measured on a qum ierly basis." 0) Liquidated damages may be assessed if Marcus does not meet the ninety (90) percent standard for a given subsection • (for example, §76.309 (c)(2)(ii)) of the quarterly customer • • service standards in a given calendar quarter as follows. First Second Third and subsequent Noncompliance Noncompliance Noncompliance Page 2 • 0 • _ A • 0 $2.000 S 4,000 (ii) The City may collect liquidated damages from any bond, letter of credit, or security fund furnished under the Franchise. 2. In the event of a change in 47 CFR 4 76.309 that makes any of the Federal customer service standards therein less stringent than those in effect in July, 1995, the City may adopt customer service regulations as to the subject matter of the portion of the rule that is changed. City agrees to meet with Marcus on any proposed changes prior to taking action on them, and to provide Marcus with at least 60 days notice of such action. Marcus agrees to comply with any such provisions that arc no more stringent than those contained in 47 CFR 176.309 as in effect in July, 1995 and to such extent agrees that it is not entitled to recover the costs of such compliance through external cost treatment or otherwise. 3. Marcus acknowledges that under applicable law the City may unilaterally establish and enforce reasonable customer service regulations that exceed or are not addressed by the standards established by the FCC or the standards currently established by the Franchise. 4. Marcus will provide at minimum the same quality of cusiamer service that Sammons is currently providing, but in all events no less than the quality of service required by the Franchise, Chapter 8 "Cable Television" of the Code of Ordinances of the City of Denton, and any other applicable City ordinance and applicable FCC regulations. As evidence of and to assist in compliance with such commitment, Sammons and Marcus agree as follows: a. On an annual basis Marcus will provide the City with historical expenditure information and staffing levels on customer service • related matters; the customer service standards currently used; its materials, if any, on same as used by its customer service representatives; and its procedures and forms used to measure compliance with applicable customer service standards. b. Marcus will provide such other information as the City reasonably • requests relating to customer srrvice matters. • • E. 5kwl..Qlkgha, The following shall apply to Marcus' implementation of and compliance with the roles and regulations relating to .able television technical standards for Fage 3 i • • signal quality adopted by the FCC in MM Dockets 91-169 and 85-38 on February 13, 1992 and subsequent amendments thereto: 1. All testing for compliance with the FCC technical standards shall be dote by a person with the necessary expertise and substantial experience in cable television matters. 2. Upon request, Marcus shall provide the City with the written report of such testing. 3. Marcus shall establish the following procedure for resolving complaints from subscribers about the quality of the television signal delivered to them: All complaints shall go initially to the manager of Marcus' local office. Al matters not resolved by the manager shall at Marcus' or the subscriber's option be referred to City for attempted resolution. All matters not resolved at that step shall be referral to the FCC for it to resolve. 4. Marcus shall annually notify its subscribers of the preceding. 5. Upon request by the City, Marcus at its expense will test the system in areas or at subscriber locations specified by City where there are apparent problems and provide City with the written report of such testing. If the tc st shows a non-compliance with such standards, Markus will bring tha system into compliant with such standards within 180 days. F. Prior Defaults. Marcus agrees on behalf of itself and its affiliates that it will not contend directly or indirectly that any defaults or failures to comply with the frawhise or other matters set forth in 47 USC 4 546(c)(1)(A) (Communications Act of 1934, Section 626(cx 1)(A)) (collectively "defaults") by Sammons occurring prior to the transfer to Marcus are waived, including but not limited to the following: 1. The ability of the City to obtain redress for prior defaults, such as • recovery of any underpayment of franchise fees. 2. The ability of the City to enforce in the future any Franchise terms which may not have been enforced 6 the past. a Marcus reserves the right to contend that the transfer and the City's approval thereof ' • preclude the City from considering defaults that occurred prior to the transfer in connection with • • any renewal or non-renewal of the Franchise. The City reserves the right to oppose such contention. I 1 Page 4 • O • a • The Pity confirms that it has informed Marcus of all defaults or other instances of noncompliance with the Franchise of which the City Administrator primarily responsible for cable television matters is aware as of the date hereof (without, however, having conducted any financial or other audit of performance or compliance). G. validity of Franchise. Marcus accepts and agrees to be bound by the tans and conditions of the City Charter, Chapter 8 "Cable Television" of the Code of Ordinances, the Franchise and all other ordinances applicable to its operations after the transfer. Marcus does not contend that any provision of the Franchise is unlawful or unenforceable, nor is it aware of any other ordinance or any provision in the City Charter which it contends is unlawful or unenforceable. The City acknowledges that the Franchise is in full force and effect. H. Service mod Eauinment for Public Facilities. I. Marcus will continue to provide the same installation and service without charge to public facilities as Sammons is providing at the present time, but in all everts no less than is required by the Franchise, Chapter 8 "Cable Television" of the Code of Ordinances, or any other applicable city ordinance. 2. In addition, at the City's request Marcus will provide to the public; facilities identified in the Franchise or other applicable city ordinance the highest level of instillation and se.viee without charge as it provides to any other community in the Fort Worth am 3. If any service or equipment for public facilities provided pursuant to subsections (1) and (2) above exceeds the requirements of the Franchise, Chapter 8 "Cable Television" of the Code of Ordinances, or other applicable city ordinance, Marcus will not pass through the costs as so- called "external costs" or as new franchise requirements, except that Marcus may pass through the cost of ash services under subsection (b) above that exceeds the requirements of the franchise or other applicable city ordinance to the extent that " exceeds $5,000 per year in Fort • Worth, $2,500 per year in Denton or $500 per year in each other community. 1. EEO Matters, I. Marcus agrees to set goals for contracts to be entered with qualified O Denton minorities, women and other residents to provide goods, • • equipment and services to Marcus, 2. Marcus agrees to set goals for jobs (including supen:s .y and midman- j agement positions) to be made available by Marcus to qualified Denton Page 5 O 0 • 0 • 1 minorities, women and residents. To this end, Marcus agrees to faithful o adhere to all applicable federal, state and city laws, rules and regulations y pertaining to nondiscrimination, equal employment and affirmative action. 3. During the term hereof, Marcus agrees to share information developed in paragraphs (1) and (2) above upon request of the City. Marcus will furnish the City with the foregoing goals and its concept proposals for meeting them within 120 days after the transfer. Marcus agrees to faithfully adhere to all applicable federal, state and city laws, rules and regulations relating to nondiscrimination, equal employment and affirmative action. 1. Ito Records. The records and reports of the franchise grantee which are to be submitted to the City or otherwise made available for the City (such as for inspection by the City) pursuant to the Franchise or other ordinary or charter provisions of the City shall include records maintained by Manus Cable Operating Company, L.P., Marcus Cable Company, L.P., Marcus Cable Properties, L.P., and that affiliates to the extent necessary for the City to discharge its responsibilities under the Franchise, Chapter 8 "Cable Television" of the Code of Ordinances, FCC rules or state or local law, or to insure compliance with the Franchise or this Agreement. K. Franchise &Girement. 1. Marcus will give the City 60 days notice in writing prior to allowing any telecommunications entity other than Manus to use or lease its facilities (other than towers) in the City or capacity thereon or to amending any agreement with such an entity. No such arrangements or uses are presently in existence except as have been disclosed. "Telecommunica- tions entity" means any entity subject to the jurisdiction of or regulated by the Federal Communications Commission (such as under the Communica- dons Act of 1934 as amended) or the Texas Public Utility Commission or their successors, including telephone, alternative access and cable companies. Marcus will provide the City with such documents relating • to the foregoing as the City may reasonably request, inchbding cop),--s of the agreements. 2. Marcus will give the City 60 days notice in writing prior to providing t-lecommunications services within the City or making its facilities (other than towers) available to others for that purpose. "Telecommunications • services" means conventional telephone service, such as switched local • exchange service; and non-switched services, such as alternative access service which connect user locations and connect users to long distance companies. Provided, however, nothing herein shall abrogate or amend any existing franchise term or any section of Chapter 8 of the Code of Page 6 • P • Ordinances, or section of the City Charter limiting Marcus from engaging in telecommunications activities and, if allowable, all revenues from telecommunications activities shall be considered part of gross revenues on which franchise fees are calculated. 3. Nothing herein shall expand or modify any restrictions or limitations under the Franchise or applicable law on use for telecommunication purposes of the facilities being acquired by Marcus. L. TmnWtion Transoarenl to Rates. Marcus acknowledges that the transfer, the consent process, the City's action granting consent, and this Acceptance Agreement do not provide any basis for increasing the amounts paid by subscribers through cost pass-through as so-called "external costs" or as new franchise requirements and the consent process, action, and this agreement do not provide any basis for increasing the amounts paid by subscribers in any other manner, except as otherwise provided herein. M. Other Matters. 1. In the event of any conflict between the terms of this Acceptance Agreement and the Franchise, Chapter 8 of the Code of Ordinances the City Charter, or any City Ordinance, that provision which provides the greatest benefit to the City, in the opinion of the City Council, shall prevail. 2. Marcus will join the City in obtaining from the FCC any waivers from time to time necessary to effectuate the provisions of this Acceptance Agreement. 3. If the transfer of the Franchise to Marcus Cable Associates, L.P., is not completed on or before March 31, 1996, then at the City's option prior 1 to the transfer occurring, this agreement and the City's consent to transfer shall become null and void. Such option may be exercised prior to the transfer occurring by the City giving written notice to Marcus and • Sammons at the addresses designated in the Asset Purchase Agreement dated as of April S, 1995. 4. Marcus will cause the City to be reimbursed, by Sammons or vftr wise, for its reasonable expenses in condition with the consent process including publication costs and fees of consultan's and attorneys, including • the City Attorney. Such reimbursement shall not exceed the aggregate • • amount of $125,000 plus publication costs for the City and the other municipalities which have acted with the City in connection with the consent process. Page 7 • 0 • 0 • S, The term "affiliate" means any individual, partnership, association, joint stock company, trust, corporation, or other person or entity who owns or controls, or is owned or controlled by, or is under common ownership or control with the ent:w in question. 6. Venue of any suit under or arising out of this Agreement shall be exclusively in Denton County, Texas or in the United States District Court for the Northern District of Texas. This Agreement shall be construed in accordance with the laws of the State of Texas. r N. Section 8-62(i) of the Cable Television Ordin_nce, No. 188-182, provides that 'any negotiated sale value which the Council determines will cat se a significant affect on subscriber rates in order to finance the purchase may result in a devil of transfer." The City will not deny approval of the transfer on the basis of this provision, mot the r aties agree that the p. ovision may be interpreted to permit the City to deny future rate increases that are based upon sale price. Marcus reserves the right to contest the enforceability of the provision as so interpreted. 0. Other Provisions. A. Marcus will prorrpGy, but no later than twelve months from the effective date of the ordinance approving the transfer and assignment of the Franchise to Marcus, provide the capability for insertion of video program- ag and other video, voice and data messages into the cable system at the points in the City required under Section VI (bx6) of the Franchise (this has been done only at the Municipal Building thus far) and will comply in all respects with that section of the Franchise. b. Marcus will allocate one of the five access channels provided under Section XXII (a) of the Franchise to the Denton Independent School District when the District is ready to use an access channel. • c, Upon request of the City Marcus will collect from subscribers and pay to the City a monthly amount of no more than $30 for each subscriber within the City limits for the purpose of assisting in financing local access activities. Surf charge shall be set out as a separate line item on the subscriber's bill and shall not be deemed a payment for basic service but a pass-through of an access and government programming fee. The charge will not be pan of revenue for purposes of calculating the franchise • • fee. Marcus will remit the money to the City monthly. Page 8 O 0 • • J , . d. Marcus t.ccepts and agrees to perform the obligations of the CATV Pole Lease Agreement of 1979 between the City and Golden Triangle Communications. P. Marcus has informed the City's financial consultant, KFA Services, of the terms of commitments it has received from equity investors and lenders for financing its acquisition of the Simmons systems. KFA Services' report of August 4, 1995, is based ii part on this information. Marcus acknowledges that the City is relying on that report in acting on the application for approval of the transfer. Mama agrees to inform the City's financial consultant of any material differences between its final financing arrangements and those disclosed in the approval process. Marcus further agrees that the City nay withdraw its approval and reconsider the application if any such differences would have a material adverse effect on Marcus or the subscribers. Q. In accordance with the letter executed by Richard A. B, Gleimer and Peter Armstrong dated August 16, 1995, a copy of which is attached hereto and incorporated herein, by execution of this Acceptwt Agreement, Marcus extends the 120 day period to October 1, 1995 mW agrees to all the terms and conditions of the attached letter. Marcus Cable Associates, L.P. Dated: By: Mama Cable Operating Company, L.P., Marcus Cable Company, L.P., and Marcus Cable Properties, L.P., hereby unconditionally guarantee performance of the obligations of the Franchise and of this Acceptance Egreement by Marva Cable Associates, L.P. +I J • Mama Cable Operating Company, LP. Dated: By: Marcus Cable Company, L.P. • , • 0 Dated: By : Manus Cable Properties, L.P. Page 9 • ei • Dated: _ By: CITY OF DENTON, TEXAS By: BOB CASTLEBERRY, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY BY: • • , • • e ,wroocsuc,nw:sM rn Page 10 . • 0 :t':. , yr: "F'; ~~ri4,'~'-+►1~,f • J .,...f, ....,,...,,.w..,,,............-...,...~......«...,.....r..,....,......a.., w.u.r~.xvM ra~1[ww. rN 4i VH City of Fort Worth and Other Participating Communities Summary Financial Assessment In Connection With The Proposed Sammons Cable TV Systems Sale • August 4, 1995 • ® miv~ . _ i ♦ r ,+lt^.?Yd r+✓~rr7. `f7ts S?2~ Z.Y w ; . { .~..y^!'..' • O • • . r... , .<t\9 TraHiMFr>6Ya0N'4.W"iSU.^Wwi Y#yYNYVMaOIw!l'RM!N'AF*ffO+rrrYa1L'ry'^`Ill R1P`N ~nr.,.~ P. m";".•/ra^Y•. n' , ,i Table of Contents t Objective 1 Review Scope And Key Constraints 2 Tasks Performed 3 Background The Transaction 4 The Buyer 5 The Financing g • Marcus' Future Expectations to Overall Conclusions 14 • _ o • • 1..:. T~ ^ r.,:.~.,.-r.: at 41';+e,.1S ~:'r'Y'..:.'.0"W-.~. :Y' ~l ,i,'..i.. '1,'17+~~•y,Yti1N`:~wrlrwWR+t~'t:V'YIf~Nk~.llaVlft~AiVitf~G~YFlgrw.twanes..~ew.vs4+wx.w~aynwrbr+w.r~cla anM~'M~SAWRI7V M'JM1M Objective • The purpose of this review was to assist the City of Fort Worth and other participating Fort Worth area communities in determining whether Marcus Cable, i.e., Marcus Cable Company, L.P. (MCC) and its subsidiary Marcus Cable Associates, L.P. (MCA), the proposed buyer of certain Sammons' systems including its Texas systems, is financially qualified to receive control of the Fort Worth area system. franchises; in particular: • Does Marcus Cable have, or can it obtain, sufficient funds to complete the acquisition and meet all of its Fort Worth area system operating and financial commitments over the next five to ten years? • 1 I - 1 i • a • r ' • Review Scope and Key Constraints I • This work was based on a review of documents, financial statements, and responses to information requests provided by Marcus Cable and Sammons. • It was not intended to bean auditor verification of representations made by Marcus Cable or Sammons. • We did not conduct market surveys, develop economic forecasts, or prepare independent financial projections. • The work involved review of the p, oposed transaction and of Marcus Cable's expectations for the Sammons' systems being acquired by Marcus, and for the cable operations of MCC as a whole which wilI support the financing for both this transaction and two other transactions occurring this year. • Historical information was available for the City of Fort Worth, the Fort Worth/Tarrant County system and for the combined Sammons' systems being acquired by Marcus; it was not practical, however, to obtain or review historical information for other cable TV systems whose acquisition j and operation will be reflected in the proposed financing. • Marcus has indicated that the financing for thi, transaction is fully committed; however, final loan documents are not yet complete and funding of the equity and bank debt commitments has not yet occurred. e -2- • • Tasks Performed To comp?ete this work, a number of activities were conducted, including: I • Review of the franchise transfer application and Marcus/Sammons responses to requests for information by the cities, • Review of certain SEC filings for Marcus Cable, including audited financial statements for 1994 and 1993, and of certain publicly available information regardipg the financial strength of Marcus Cable, • Review of Sammons' sales prospectus for its systems, the purchase agreement between Marcus and Sammons, and the proposed financing plan for the transaction, • Review of historical financial and operating information for the Sammons cable operations in Fort Worth and Tarrant County as well as the other Sammons' systems being acquired by Marcus Cable, • Review of financial projections prepared by Marcus in connection with financing of this • transaction, • Discussions with Marcus and Sammons staff to understand the historical data provided and the assumptions and commitments underlying Marcus' financial projections. • -3- 0 Y , • A • Background The Transaction: l I • Marcus Cable Associates, L.P., with the support and guarantee of Marcus Cable Company, L.P., its primary parent company, has agreed to purchase the tangible and intangible assets of certain cable systems from Sammons Communications, Inc. and various subsidiaries for a price of approximately $962.5 million in cash. • The systems being acquired include approximately 650,000 subscribers, about 60% of Sammons total subscriber base, and include all of Sammons Texas systems and its remaining systems throughout the country, except for certain systems in Pennsylvania, New Jersey, and New York. • The price equates to approximately $1,500 per subscriber and 9.5 - 10.5 times projected 1995 operating cash flow (depending upon the amount of overall corporate overhead attributed to the Sammons' systems). This pricing is in the middle to lower end of the range of recent deals and well below peak prices paid in the late 1980s. • Since this is a sale of the assets of the systems, Marcus Cable is, in general, not assuming any liabilities or obligations of the systems incurred by Sammons prior to closing of the transaction. Thus, for example, any rate refunds which may have been ordered by the FCC or local franchising authorities for periods prior to the closing remain obligations of Sammons rather than Marcus, although Marcus could be made responsible for implementing such refunds a condition of the franchise transfer. e • -4- • • w V:.rw. urtw^.'-rKr...N.+!c+'.iT+F^Jrh...',Hl'FMI.':Y\'?T:.JM1YF'1'.'tt YM w.r..Rr, .y:.. Background ~he Buyer: Marcus Cr bie was created in 1990 to acquire and operate cable television systems. • Its first systems were in Wisconsin and served approximately 80,000 subscribers. • In 1992, it acquired systems with approximately 50,000 subscribers in Delaware, Maryland, and Texas. This was followed in 1994 with another acquisition of systems in Wisconsin so that by the end of 1994, Marcus Cable owned systems serving approximately 225,000 subscribers. In addition, Marcus was managing systems, owned by others, serving approximately 165,000 subscribers in Maryland and Alabama, • Early in 1995, Marcus acquired certain Crown Media systems in Wisconsin and Minnesota, serving approxim.mcly 195,000 subscribers. It also announced plans to acquire the Sammons' systems and certain Cencom systems in Alabama (CALP) it had previously man,iged and partially owned, while selling its current San Angelo, Texas system. .1 • If Marcus successfully completes all of these transactions, it will own systems serving r. approximately 1,120,000 subscribers and manage systems serving about 80,000 additional subscribers. At that size, Marcus Cable would become one of the fifteen largest cable system operator; in the country. s ~ -5- • Q • • s Background • Marcus Cable Company (MCC) is legally organized as a limited partnership. It owns and operates cable systems through Marcus Cable Operating Company (MCOC), also a limited partnership in which MCC is the general partner with mere than a 99% ownership interest. Marcus Cable Associates, L.P. (MCA) is a new subsidiary limited partnership, whose general partner is MCOC, again with more than a 99% ownership interest, established to acquire and operate the Sammons' systems. The general partner of MCC is Marcus Cable Properties, L.P. whose general partner is, in turn, a corporation wholly owner and controlled by Jeffrey Marcus, the founder and chief executive of Marcus Cable. ` • The limited partners of MCC are several investment firms or their affiliates as well as certain employees of Marcus Cable. If the acquisitions discussed earlier are completed with the financing as currently planned, affiliates of three firms, Goldman Sachs, Freeman Spogli, and Hicks Muse, will own approximately 70% of MCC, Jeffrey Marcus and Marcus employees will own approximately 15% of MCC, with the balance owne 1 by three other investment entities. • At the end of 1994, Marcus Cable had total assets of approximately $315 million (book value), long term debt of approximately $327 million, and other liabilities of approximately $9 million. At the end of March 1995, with the Crown Media acquisition, total book value of Marcus' assets grew to approximately $650 million, while debt and other liabilities grew to approximately $580 million. If the acquisitions discussed earlier are completed with the financing as currently planned, Marcus anticipates that the book value of its assets would grow to approximately $1,750 million by the end of 1995, with approximately $1,450 million in debt and other liabilities. • Marcus Cable had 1994 revenue of approximately $65 million, and a 1994 net loss of approximately $30 million. Cash flow before depreciation and interest (operating cash flow, which is available to make -6- 0 0 . • _ a • • , a:l •nri'°.ti ~ y^:y' ~ ,..,.~:r~. A9\'cf[l~tl~'.F1esAy~ffY~.~w/MiWM'~+w+...srM..+r._w...w...w,r+w.1M..www..w+w+sw+wwM ]l~..mF dHNI r. I ftl` i Background i capital expenditures, make interest and/or principal payments on outstanding debt, or distribute funds to owners) was approximately $31 million in 1994. As with its assets, Marcus' revenue and cash flow will increase dramatically in 1995 and subsequently as a result of the completed and planned acquisitions. If all the acquisitions were in place throughout 1995, Marcus estimates annualized 1995 revenue of approximately $396 million and operating cash flow of approximately $182 million. • Historically, Marcus has had a highly leveraged capital structure, i.e., has had substantial debt in relation to its equity capital. • Marcus' debt to cash flow ratio (debt outstanding divided by operating cash flow), a key measure in the cable TV industry of an operator's ability to service its debt, was approximately 7.5 - 8.5 during the past three years. Lower ratios indicate a greater safety margin and many financially stronger cable operators have ratios in the 5 - 7 range. • Primarily as a result of this high leverage, Marcus Cable's bond ratings (Caa or B3 from Moodys, single B from Standard & Poor's), which indicate perceptions of Marcus' ability to meet its debt service obligations, are below the "investment grade" range and indicate significant risk and perceived vulnerability should there be any deterioration in Marcus' business operations. • -7- ILI, e 0 • • Background f The Financing: • Marcus Cable is restructuring its financing during 1995 as follows: • $265 million in new equity funds will be invested by affiliates of six investment firms, the major three being Goldman Sachs, Freeman Spogli, and Hicks Muse. • $65.5 million in cash will be obtained from the sale of the San Angelo, Texas system. This sale apparently did close as expected at the end of June 1995. i • New publicly offered bonds, in the amount of $150 million, were issued in June 1995. These bonds pay no cash interest for five years, then interest only for five years, with d e full principal and first five years of accrued interest due at the end of the ten years. Marcus hac previously issued $215 million of such bonds in July 1994 as well as $100 million of interest c,nly bonds in October 1993. Both of these prior bond issues remain as outstanding debt of Marcus. 1 • $926 million will be borrowed through a credit facility provided by a consortium of six banks including such major banks as Chemical Bank and Citibank. The credit facility includes a term • loan alid revolving line of credit maturing in the year 2001 and another term loan maturing in 2004. In total, Marcus has i-idicated that the banks have committed $1,150 million, which leaves $224 millior, borrowing capacity available for future operating, capital expenditure, or acquisition uses. • • Marcus Cable will use the total $1,406.5 million of new funds indicated above to pay for the $962.5 • Sammons acquisition, the CALF acquisition, transaction costs related to both acquisitions, and to retire debt incurred early in 1995 to complete the Crown Media acquisition. -8- • _ a► • Background • Technically, MCOC will be the borrower of the bank funds while the new equity funds and new publicly issued bond funds will be passed down to MCOC from MCC. MCOC will in turn pass through sufficient funds to MCA to complete the Sammons acquisition. However, all bcrrowings will be guaranteed by MCC and, ultimately, it is all of Marcus' systems on a consolidated basis that ma-t provide the cash flow to pay interest and principal payments on all of the components of Marcus' debt. • As indicated earlier, if all the 1995 acquisitions and financings are completed as planned, MSC will have, at the end of 1995, assets with a book value of approximately $1,750 million, vath debt and other liabilities of approximately $1,450 million versus book equity of approximately 53100 million. :n short, Marcus Cable will continue to be a highly leveraged company. 1 I l~ I • -9- 4 1 • a • • . Background Marcus' Future Expectations: • The ten year financial projections prepared by Marcus Cable for the, combined Sammons' systems being acquired indicate that the systems will general:: sufficient cash to meet all obligations to unrelated parties, including franchise fees, other operating expenses, %nd expected capital construction and equipment expenditures. No debt service (interest and/or principal payments) is explicitly scheduled; however, all excess cash is assumed to be paid to the parent companies, MCOC and, as necessary, MCC, to help meet overall debt service and other cash requirements. • Marcus did not prepare separate projections for the Fort Worth franchise area or th; Fort Worth/Tarrant County area system. However, Marcus, in the information it nrn-, ►ded, did not indicate any specific planned changes to the operations of the local Fort Worth/Tart ant County system. Those operations nave been financially self-sufficient, with no specific debt service burl-- for at least the last five years. • The projections assume that the combined Sammons' systems' market penetration (subscribers as a perc:ntage of homes passed by cable) will grov ;rom approximately 63% currently to approximately 74% in ten vears. This is consistent with recent growth trends at Sammons, but more optimistic than • national penetration growth estimates. Note that the other Sammons' systems being sold to Marcus, apart from the Fort Worth area system, appear to be mostly in rural or smaller urban areas with historically much higher market pene:rations than Sammons has been able to achieve in the Fort Worth area. • -10- 0 ; • I O • • . ..,............--,...........+v,~n..s....:........n..y...roa»-.-..nen.,+,:..,.n.c'..aa.~'.v.:N•rP.^•..n.eM!.c., C.re-G Slt-0:.rr..2 Background I • Subscriber rates, and overall revenue per subscriber, are assumed to grow slightly faster than current inflation, around 4% to 6% per year. This is consistent with Marcus' exp.ctations for growth in programming costs and the current FCC rate regulation framework. • Certain other operating and capital cost assumptions underlying the projections appear optimistic, but not impossible to achieve. More importantly, even with more conservative assumptions, the combined Sammons' systems would not require ca.h infusions from its parent. • in general, the projections assume "business as usual"; addition of new types of services or revenue, such as telephony, is not assumed. • Nor have impacts of possible future competition or any major shift in the nature of the business been incorporated. • At the MCOC/MCC level, reflecting existing Marcus systems as well as the new Crown Media, Sammons, and CALP systems, Marcus has made similar "business as usual" assumptions in its 1 projections. • • As with the combined Sammons' systems' projections, Marcus Cable anticipates steadily increasing market penetration from about 651,16 currently to 75% over ten years. It, however, expects slightly slower overall growth in rates and re) - nue per subscriber, approximately 3% to 5% annually. r J -11- • as • • Background f • Overall operating margins (operating cash flow as a percentage of gross revenues) are projected to grow to the 50% t 2% range. These margins are similar to Marcus' current margins and, although N at the hif h end of normal cable TV operator margins and substantially above historical levels at the combined Sammons systems, do not appear impossible to achieve. Q' • Thus, :,iarcus ant:,:ipates that MCC will generate sufficient cash to meet operating and capital expenditure requirements Again, even with more conservative assumptions regarding operating margins -md capital expenditure req »rements, MCC would clearly gen-rate; enough cash to meet all of its non-debt service obligations. • Marcus' projections further imply that MCC will generate sufficient cash to meet all of its debt interest and principal payments in accordance with the terms of the various components of the debt. • In part, this is due to the assumption that interest rates will remain at approximately current levels. • However, a more significant reason for Marcus' potential -Nility to meet all its debt service requirements are the terms of two of its public bond issues. Those bonds require no interest or principal payments for the first five years. Deferral of those portions of debt service gives Marcus • time to grow, achieve greater opcrating marlins, and pay down some of the bank debt. • In fact, the projections provide for faster repayment of the bank debt than Marcus has indicated is required under the terms of the proposed credit facility. This F,ovides some safety margin should operating margins be lower than expected, capital expenditures be hie.er than expected, or interest rates • rise significantly. • -12- • O f i • `Y,:.n t!n- .".4.t:..;R?.r rce•n,~.r,ra:ra-,.JT:w:;ma+:larrar....: aVr:n0auM7xAfS~►~. ~fR!U►i!.M~ j Background • If Marcus completes the acquisitions and financhig and meets it projections as planned, its ]overage, mewured by the debt to operating cash flow ratio, would initially remain in the 7 - 8 range, but would drop to the financially sc,)nger range of 5 - 7 over the next five years. Of v urs-, additional acquisitions or refinancings could change, the situation before Marcus actually achieved such lower leverage. 'r r • e -13- • a • • + Overall Conclusions Does Marcus Cable have, or can it obtain, sufficlent funds to complete the acquisition and meet all of its Fort Worth area system operating and financial commitments over the next five to ten years? • Marcus Cable should be able to rbtain the financing to complete this purchase transaction. • In fact, Marcus has represented that some portions of the cash required have already been obtained (via the public bond issue and the sale of one system) and that commitments are in place from the equity investors and the banks for the remaining financing. • Marcus, however, citing confidentiality concerns, declined to provide letters or other written agreements documenting the commitments. Further, final loan documents are not yet complete and, thus, there could be some changes in the planned terms and conditions of the financing prior to closing the acquisition. • Essentially all of the new capital proposed to be invested in MCC will be needed to make purchase payments or pay uff existing debt. Thus, funds required to meet all future financial obligations must be generated from operating revenues or be obtained by additional funding from external sources. • • The limited partners have no obligation to invest additional funds in future years and may not be so inclined if the systems are not generating adequate cash flows and the prospects for a good return on investment are diminished. • The parent entities of MCC are management/holding companies that are unlikely to have • substantial assets apart from their interest in MCC and the owner of the ultimate general partner corporation has no obligation to make additional financial commitments. 14- 0 a~ r r • r • I 6 ai Overall Conclusions • The credit facility provided by the banks does, in theory, provide for additional borrowings at a later time. However, should th- need for the funds arise from inadequate operating cash flows, use of additional monies from tl,c credit facility may not be possible due to restrictions on leverage (the debt to cash flow ratio) which the banks are imposing as part of the loan agreements. • As discussed earlier, even with more conservative, but still "business as usual", assumptions regarding future operations, operating revenues should exceed amounts required for operating expenses, including franchise fees and other franchise commitments, and planned capital expenditures, • It should be noted that Marcus Cable has only been in existence for about five years and Is attempting to absorb a very large addition to its current operations in a very short period. This poses some risk that operating and financial results may not be as controlled and predictable as Marcus expects they will be in the next several years. • Longer term, there are risks that competition or dramatic chanstes in the nature of the cable TV business could significantly impair Marcus' operations and cash flows. However, the timing and specific impact on MCC of such possibilities cannot be estimated at this point. • -15- lirG` p v. hr' • • • Overall Conclusions 1 • Thus, the primary financial risk is that of difficulties in meeting debt service requirements. This could lead to attempts to reduce customer service levels or technical quality or to retreat from franchise obligations in order to make additional funds available. There are a number of considerations, however, that may mitigate future difficulties: • Marcus' projections include faster repayment of bank debt than is apparently incorporated in the terms of the credit facility. This provides some safety margin if operating or financial results are not as positive as Marcus anticipates. I • Since the debt service is the responsibility of MCC and all of its cable TV systems as a whole, it is possible that some of the systems will perform better than projected and, thereby, support other systems that may not meet Marcus' expectations. • Marcus Cable has access to public debt markets which could be used to raise funds and reduce bank debt. If such public debt is structured to defer interest and principal payments, as with two of its current bond issues, Marcus ct,,11d S ain time to correct or outgrow operational difficulties. I • • Marcus Cable could sell some of the cable TV systems now being acquired, or invite others to invest in partial ownership of the systems in order to raise equity funds and reduce debt burdens. • if Marcus is able to grow and be as profitable as Marcus anticipates for the next few years, its leverage would be reduced and its ability to refinance/defer bank debt principal repayments in later years would be greatly enhanced. • - 16- 0 0 • • a Overall Conclusions • In summary, while we believe Marcus has the capacity to successfully finance and operate the Sammons Fort Worth area system over the next five to ten year's, it will probably require the resources of, and a commitment by, the ultimate parent of the locol system, Marcus Cable Company, to ensure such success. • The franchising jurisdictions should, therefore, require a franchise performance guarantee from Marcus Cable Company, L.P., and, possibly, its parent entities, Marcus Cable Properties, L.P. and Marcus Cable Properties, Inc., as a condition to approval of the transfer. • Another condition of the approval of the transfer should be that the final financing arrangements will not be materially different than the financing plan described by Marcus during this proceeding or, if different, would not have a materially adverse affect on the company or its j subscribers. a Further conditions to transfer approval should protect desired levels of customer service and technical quality in as much specificity as is practical and appropriate to the jurisdictions' circumstances. • • r 17- 0 0 4 Gs • S ATTACHMENT C Chapter 8 CABLE TELEVISION' Jam"""'~ Art. I. In General. 8.1-8.30 Art. 11. Applicant bel-etion Process, if 8.31-8.65 Art. III. Length, Ilenewal and Transfer of Franchise, ff 8.68- 880 Art. IV. Standards and Specifications, 618.61-8.100 Art. V. Operations, ff 8.101-8.125 Art. VI. Local Regulatory Framework and Regafadona, if 8.136-8.160 Art. VII. Service Facilities, if 8.161-8.180 Art. VIII. Ertension of Service, Of 8.181-8.165 ARTICLE 1. IN GENERAL s Sec. 8.1. Short title. This chapter shall be known and may be cited as the Denton Cable Television Ordinance. Code 1966, f 6Yr10; Ord, No, 8&182, f 1, 111.88) Sec. 8.2. Deflaltlons. The following words, terms and phrases, when used in this chapter, shall have the mean- ings ascribed to them in this section, except when the context clearly indicates a different meaning: Access channel means a channel dedicated in whole or in part for local programming which is not originated by a grantee, Cablecasting, origination and access means programming exclusive of broadcast signals carried on a cable television system: 1) Origination cablecasting means programming, exclusive of broadcast signals, carried on a cable television system over one (l) or more channels and subject to the exclusive control of the cable operator. 2) Access cobtecasting means services provided by a cable television system on its public, education, local government or leased channels and defined as follows: a. Public access channel means a specially designated noncommercial public access channel available on a firat-come nondiscriminatory basis for which the system 'Charier reference-Franchises, art. )all. Cross references-Housing generally, Ch. 15; licenses, permits and business regulations , generally, Ch. 16; streets, sidewalks and public places, Ch. 25; utilities generally, Ch. 26; buildings and building regulations generally, Ch. 28; mobile homes, mobile home parks and recreational vehicles, Ch. 32. 563 • 0 • 18-2 DENTON CODE shall maintain and have available for public use at least the minimal equipment and fa,ilities necessary for the production of programming for such a channel, b. Education access channel means a specially designated channel for use by local educational authorLies. c. Local government access channel means a specially designated channel for local governmett uses. d. Leased access channel means portions of the system's nonbroadcar.t bandwidth, including unused portions of the specially designated channels for leased access services. r Cable services means the one-way transmission to subscribers of video programming and other programming services together with subscriber interaction, if any, which is required for the selection of such programming and programming services that the cable operator makes available to all subscribers generally. Examples of cable services include: video programming, payper•view, voter preferenee polls in the context of a video program, teletexts, one-way transmission of any computer software and one-way videotex services such as news services, stock market infon• rtion, etc. Noncable services Include: shop-at-home, bank-at-home ser• vices, electronic mail, one-way and two-way transmission of nonvideo data and information not offered to all subscribers, data processing, video conferencing and voice communication. Cable system means a facility consisting of a set of closed transmission paths and associ• ated signal generation, reception and control equipment that is designed to provide cable service which includes video programming and which is provided to multiple subscribers within a community. Such term does not include the following: fll A facility thptt serves only to retransmit the television signals of one (1) or more television broadcast stations, Z A facility that serves only subscribers In one (1) or more multiple-unit dwellings under common ownership, control or management, unless such facility uses any public right-of-way; 3) A facility of a common carrier which is subject, 'n whole or in part, to the provisions of Title 11 of the Communicatims Act of 1934, except that such facility shall be considered a cable system t•. the extent such facility is used in the transmission of video programming directly to subscribers; or 41 Any facilities of any electric utility used solely for operating its electric utility sys• • terns. Converter means an electronic device which converts signals to a frequency not susceptible to interference within the television receiver of a subscriber and, by an appropriate channel selector, also permits a subscriber to view all signals delivered at designated dial locations. District means the area within which the cable operator will provide servccv, • Federal Cable Communications Policy Act of 1984 refers to 47 U.S.C. 341 et seq., as the ~ * • same may be amended from time to time, and may hereafter be called the cable act. 664 • Q • t CABLE TELEVISION Franchise means the right granted through a contractual agreement between the city sad called a person, partnership or corporation by which the city authorizes such person to erect, construct, reconstruct, operate, dismantle, test, use and maintain a cable system in the city. Granite means a party, its lawful successors and assigns to which a franchise under the authority of this chapter is granted by the council. Gross revenues means all cash, credits, property of any kind or nature or other consider. ation derived directly or indirectly by the grantee, its affiliates, subsidiaries, parents and any other person or entity in which the grantee has a financial interest or which has a (uncial interest in the grantee arising from or attributable to operation of the cable system, including but not limited to the following. (1) Revenue from all charges for services provided to subscribers of entertainment and nonentertalnment services, Including leased access fees; 12) Revenue from all charges for the insertion of commercial advertisements upon the cable system; 13) Revenue from all charges for the leased use of studios, 141 Revenue from all charges for the installation, connection and reinstatement of equlp- ment necessary for the utilization of the cable system and the provision of subscriber and other services; and (5) The We of cablecasting or any programming developed for community use or insti- tutional users. Cross revenues shall include value at retail price levels, the value of any goods, services or other remuneration in nonmonetary form, received by the grantee or others described above in consideration for performance by the grantee or others described above of any advertising or other service in connection with the cable system. Grou revenues shall not include con- verter deposits, refunde to subscribers by the grantee, subscriber accounts which am in arrears and are deemed uncollectible by generally accepted accounting practices or itama excluded by the Federal Cable Communications Policy Act , 11984. Programmer means any person who producer or otherwise provides program material for transmission by video, audio, digital or other signals, either live or from recorded tapos, to subscribers by means of the cable communications system. • School means any institution of the Denton Independent School District, any nonprofit day care center and any other nonprofit educational institution. Service, basic and additional shall be defined as follows: 11 Basic service means any service which includes the transmission or local television- broadcast signals, and public, educational and governmental access channels. ' • 12) Additional services means any of the following-. Such video services as the tranamis• Q Q sion of all leased access channel signals not included in basic subscriber service, as 565 Q - a' 0 • ) A • 6 8.2 DENTON CODE J ' well as the transmission of cablecast video advertising messages and pay televislon signals. Street means the surface of and the space above and below any public street, avenue, r' highway, boulevard, . i, course, driveway, bridge, tunnol, park, alley, aidewalk, easement, all other public rights•ofwa, and public grounds, now or hereafter existing within the city. Subscriber means any person who legally receives one (1) or more of the services of a grantee. Tura-way communicotions means the transmission of telecommunication signals from subscriber locations or other points throughout the system back to the system's control center as well as transmission or signals from the control center to subscrfbe: locations. User denotes a pars( n or organisation utilising a system channel for purposes of produc• tion and/or transmission of material, as contested with receipt thero*4 in a subscriber ca- pacity. (Cade 1966, i 54s•10; Ord. No. 8&182,11, 11.1.88) Cross reference-Definitions and rules of construction generally, 1 1.2. See. 8.3. Scope of franchise. A franchise to be granted by the city pursuant to this chapter shall grant to the grantee the right, privilege and frmchLe to eteM, construct, operate and maintain in, upon, along, across, above, over and under the streets, alleys, public ways and public pla.ee now laid out or dedicated and all such extensions thereto and additions thereto in the city and poles, wires, cables underground, conduits, manholes and other television conductors and fixtures tneaa- sary for the maintenance and operation of a cable system foe the interception, sale, transmis- Rion and distribution of television programs and other audio-visual electrical signals and the right to transmit the same to the inhabitants of the city on the terms and conditions set forth in this chapter. The city expressly reserves the right to grant a similar use of streets, alleys, public ways and places to any person at any time during the period of this 0 anchise. It is further the intention of this chapter to limit the activity of it grantee solely to the operation of cable television systems within the city. iCode 1966, 154-1; Ord. No, 8&182, 1 i, .'.1.1 881 1 Sec. 8.1. Duration of franchise grant. • The term of any franchise granted by the city pursuant to this chapter shall be fut a period of fifteen !131 years from and alter the grant and acceptance data of the franchise to be ewarded, subject to the conditions and restrictions as provided in this chapter, and provided that the mayor and city council shall have the right to review such franchise periodically at } such times as the mayor and city council may from time to time elect to do and as provided in, this chapter. • Code 1966, 1516.2; Ord. No. 88.182, 11, 11.1.88) Slate law reference-Unauthorized use of cable, etc., V.T.CA., Penal Code 11 31.12, • • 31.13. 588 • m • CABLE TELEVISION f &30 Sec. 8.5. Franchise rights subject to pollee powers. In accepting a franchise pursuant to this chapter, the grantee acknowledges that its rights thereunder are subject to the police power of the city to adopt and enforce general ordinances necessary to the safety and welfare of the public, and it agrees to comply with all applicable general laws and ordinances enacted by the city pursuant to such power, provided that such additional ordinances shall not substantially or materially conflict with or alter in any manner the righ is granted In a franchise and shall not conflict with the laws of the state, the United States or the rules of the Federal Communications Commiasion. (Code 199, f br/2-3; Ord. No. 88.189, 11. 11.148) Sec. RJgbts reserved to city. (a) Nothing contained in this chapter shall be deemed or construed to impair or affect, in any way, to any extent, the right of the city to acquire the property of a grantee, either by purchase or through the exercise of the right of eminent domain, at a fair and just value, which shall not include any amount for the franchise itself, or for any of the rights or privileges granted, and nothing contained In this chapter shall be construed to contract away or to modify or abridge, either for a term or in perpetuity, the city's right of eminent domain. (b) There is hereby reserved to the city every right and power which Is required to be reserved by the provisions of this chapter or by local, state or federal law, and a grantee, by its acceptance of any franchise, agrees to be bound thereby and to comply with aey action or requirements of the city in its exercise of such rights or power heretofore or hereafter enacted or established. (c) Neither the granting of any franchise under the provisions of this chapter nor any provision of this chapter shall constitute a waiver or bar to the exercise of any governmental right or power or the city. (d) The city council may do all things which are necessary and convenient in the exercise of its Juriediction under the provisions of this chapter and may determine any question of fact which may arise during the existence of any franchise granted under the provisions of this chapter. The city manager Is hereby authorised and empowered to adjust, settle or compromise any controversy or charge arising from the operations or any grantee under the provisions of this chapter, either on behalf of the city, the grantee or any acbscriber, in the best interests of • the public, lel Insofar as it is not inconsistent with or otherwise preempted by federal or state r-g- uletions, the city council retains all authority to regulate noncable communications to the extent necessary to ensure the delivery of proposed noncable services, Vany, and that they are in compliance with all regulatory provisions of this chapter. Ord. No. 88.182, f 1164x•101), 11.1.88) O Seca. 8.7-8.30. Reserved, J 567 • 0 • e # 6.31 DENTON CODE ARTICLE II. APPLICANT SELECTION PROCESS Sec, 9-3 1. Written application required. i No license, franchise or renewal thereof for cable television shall be issued except upon written application to the city council on an application form prescribed by the city council. Such form shall contain such information as the city council may prescribe as to the c itisenship and character of the applicant and the finandal, technical and other qualifications of the applicant to operate the system; complete information as to its principals and ultimate bens ficial owners, including, in the sae of corporations, all stockholders, both nominal and bens ftcial, owning one (1) percent or more of the issued and outstanding stock anid, In the case of incorporated associations, all members and ultimate beneficial owners, however designated; complete information on the extent and the quality of the service, number of channels, hours of operation, variety of programs, local coverage, safety measures, installation gad subscrip• tion fees; and such other information as the city council may deem appropriate or necessary. Such application shall be signed by the applicant or by a duly authorised representative, evidence of whose authority shall be subvilded with the application. Each applicant shall make full disclosure of the true owner of the applicant and of the equipment to be employed and rendering service and of the source of funds for the purchase, Ism, rental and installation of such equipment. Each applicant shall set forth " completely " possible the equipment to be employed, the routes of the wires and cables, the areas to be served, the approximate starting and completion dates of construction of the system Lad the data service will actually be available to the are" named. Each applicant shall submit a nonrefundable application fee "may be established by the city council to cover the coati of review, issuance and enforcement of franchisee issued pursuant to this chapter. (Code 19138, 1543-80; Ord. No. 8&182, f I, 11.1.88) Sec. 8.32, Award procedure, !a) Not later than ninety (901 days after the nwJ date for (Hirt; applications, one (1) or more public hearings shall be held on the applications for a able television franchise. At the time set for the hearing or at any adjournment thereof, the city council shall proceed to hear all comments. Not later thin ninety (90) days after such public hearing, the city council shall make a determination based Loon an evaluation of the applications, the hearings, and other information that the grantor mcv deem relevant. 1 )b) No provision of this chapter shall be deemed or construed so as to require the granting • of a franchise when, in the opinion of the city council, it Is in the public interest to restrict the number of grantees to one (1) or more. Code 1988, # 542.82; Ord. No. 8&182, f Il5Yr811, 11.148) Sec, 6.93. Additional Information. The city council may at any time demand and applicants shall provide such supplsmen O tary, addoional or other information as the city council may deem reasonably nsoessary to determine whether the requested cable television franchise should be granted. ~ • Ord. No. 88.182, f 1)b~/x•821, 11.1881 588 • 0 • 0 • .~Y t r it ...~CABLE TELEVISION i Secs. 8.34-9.55. Reserved. ARTICLE 111. LENGTH, RENEWAL AND TRANSFER OF FRANCHISE Sec. 8.50. Franchise requlredt duration; exclusivity, fa) The city may grant a cable television franchise for the use of the streets within the city for the construction, operation and maintenance or a cable system. No system aball be allowed to occupy or use the streets of the city or be allowed to operate without a franchise. Any franchise awarded by an agreement in accordance with this chapter shall be a nonexclusive franchise. cbi The franchise may be granted for a term not to exceed fifteen 1151 years; thereafter, after full public hearings and according to the franchise renewal procedure in section 8.57, the franchise may be renewed for periods of reasonable duration, not to a=teed fifteen (15) yeas, as in the opinion of the city council will serve the public interest. (Code 1988, ! 5Y3•2001 , (2); Ord. No. 8&182, f Ii5Ys•201, 11.1.881 Sec. 8.57. Procedure to consider franchise renewal. (a1 A cable television franchise may be renewed by the city upon application of the grantee pursuant to the procedure established in this section and in accordance with the then appli• cable law. During the six-month period which begins with the thirty-sixth month before the expiration of the franchise agreement, the city may, on its own initiative, and shall, at the request of the grantee, conunenoe proceedings which afford the public appropriate notice and participation for the purpose of, 1; Identifying the future cable-related community needs and interests; and i !Z Reviewing the performance of the grantee under the franchise during the then cur. rent franchise term. bi Upon completion of a proceeding under subsection (so of this section, the grantee seelung renewal or a franchise may, on its own initiative or at the request of the city, submit a proposal for renewal. Any such proposal shall contain such material as the city may require, including proposals for an upgrb of the cable system. The city may establish a data by which such propooal shall be submitted c) Administrative p, aceeo'ings; heardnge. i 1 i Upon submittal by t' a grantee of a proposal to the city for the renewal of the fran- chise, the city shall provide public notice of such proposal and, during the four-month period which begins on the completion of wry proceedings under subsection W of this e section, renew the franchise or issue a preliminary assessment that the franchise • • should not be renewed and, at the request of the grantee or on its own initiative, the city manager shall select a hearing officer who shall commence an administrative 588 , • 0 s 0 • 4 8 57 DENTON CODE proceeding, after providing prompt public notice of such proceeding, in accordance with subsection (02) of this section, to consider whether a. The grantee has substantially complied with the material terms of the existing franchise and with applicable law; b. The quality of the grantee's service, including signal quality, response, to can. Sumer complaints and billing practices, but withjut regard to the miz, quality or level of cable services or other services provided over the system, has been rea- sonable in light of community needs; c. The grantee has the financial, legal and technical ability to provide the sorvioes, facilities and equipment as set forth in the grantee's proposal; and d. The grantee's proposal Is reasonable to meet the future cable-related community needs and interests, taking into account the cost of meeting such needs and interests. (2) In any such proceeding, the grantee shall be afforded notice, and the grantee and the city shall be afforded fair opportunity for full participation, including the right to introduce evidence, including evidence related to issues raise' in the proceeding under subsection (c)(1) of this secti,)n to require the production of evidence, and to question witnesses. A transcript shall be made of any such proceeding. (3) The administrative hearing officer will make the findings of fact required by subsec. tion (cX 1) of this section within sixty (60) days of the proceeding and promptly submit these findings to the city secretary. i4) Upon receipt of ~'.;e findings of fad, the city council shall issue a written decision granting or denying the proposal for renewal based upon the findings of fad and transmit a copy of such decision to the grantee. Such decision shall state the reasons thereof. (d) Any denial of a proposal for renewal shall be based on one (1) or more adverse findings made with req•iest to the rectors described in subsections fc)(1)a. tbrough WI)d. of this section, pursuant to the recn•d of the proceeding. The grounds of denial shall not constitute a violation of the provisic..s o'47 U.S.C, $48, as the same may be amended from time to time. 1 lei If the grantee's proposal for renewal ham been denied by a final decision of the city made pursuant to this settion or has been adversely affected by A failure of the city to ad in • accordance with the procedure] requirements of this section, the grantee may appeal inch final decision or failure pursuant to the provisions of 47 U.S.C. 648(e) and 47 U.S.C. 866. V Notwithstanding the provisions of subsections (a) through (e) of this section, the grantee may submit a proposal for the renewal of the franchise pursuant to this subsection. at anytime, and the city may, after affordinE I, • public adequate notice and opportunity for comment, grant or deny such proposal at any time, including after proceedings pursuant to tt?s wrtion • have Commenced. The provisions of subsections (a) through (e) of this section shall not apply to a decision to grant or deny a proposal under this subsection. The denial or & renewal pursuant 570 • • P CABLE TELEVISION K to t it, .bsection shall not affect action on a renewal proposal that is submitted in accordance with a L%ections (a) thraugh (e) of this sectiun. r (g) The grantee shall pay all costa incurred by the city considering and procsssing a proposal for renewal as described in subsections (a), (cMII, (cM3) and (f) of this section. iCode 196e, 4 5Ys•20(2)tla); Ord. No. 88.1$2, li I(5'lr21), 11.188) Sec. 6.68. Reevaluation. The city and the grantee may hold scheduled reevaluation sessioas commencing in the seventh year subsequent to the grantee's acceptance of a cable television franchise agree. ment in accordance with the terms of any franchise agreement. (Code 1968,; 5e/s•21; Ord. No. 88.182, 0 I(5ys•22), 114.88) Sec. 6.59. Forfeiture and termination. (a) The city reserves the right to forfeit and terminate a cable television franchise and all rights and privileges of the grantee for a material breach of its terms sad conditions. In itrterpreLing this chapter, material provisions shall include all labeled as such and all others which, under all the facts and circumstances indicated, are a 64Wcant provision of the franchise agreement. A material breach by the grantee sball include but shalt not be limited to the following: +1) Violation or any material provision of the franchise or any material rule, order, regulation or determination of the city made pursuant to the 14tanrblsr, (2) An attempt to evade any material provision of the fran01se or the grantee practices any fraud or deceit upon the city or its subsa:bere or cukomers; (3) Failure to begin or complete syetem construction, reconstruction or system extensign as provided by the franchise; W Failure to provide the types of services promised, subject to the recourse that is available vnder 47 U.S.C. 645; 5) Failure to restore service alter ninety-six (96) consecutive hours of intarruptod ser• vice, except when approval of such interruption is obtained from the city; or • 6k Material misrepresentation of fact in the application for or negotiation of the fran- chise. (b) The provision i of subsection (a) of this section shall not constitute a material breach if . the violation occurs but is without fault of the grantee or occurs u it result of circumstances beyond its reasonable control, The grantee shall not be excused by mere economic hardship nor • by misfeasance, malfeasance or nonfeasance of its shareholders, directors, oMeera or em• • • ployees. 571 • Q • $ 8'59 DENTON CODE !r C) If the city determines that the grantee has violated any provisions of the franchise, the city manager may make a written demand that the grantee comply with any such provision a and remedy such violation. If the violation by the grantee continues for a period of thirty (30) days following such written demand, without written proof that the correctivo action has been taken or is being actively and expeditiously pursued to the satisfaction of the city, the city manager may place the issue of termination of a franchise before the city council in a hearing, The city manager shall cause to be served upon the grantee, at least twenty (20) days prior to the date of much hearing, a written notice of intent to request such termination and the time and place of the hearing. A At such hearing, the city council shall hear and cotuider the issue and shall bear any person interested therein and shall determine in its discretion whether or not any violation by the grantee has occurred, fe) if the city council shall determine the violation by the grantee wam the fault of the grantee and within its reasonable control, the council may, by resolution, declare that the franchise of the grantee shall be forfeited and terminated unless there is compliance within such reasonable period as the city council may establish. 10 The issue of forfeiture and termination shall automatically be placed upon the agenda for the next regular council meeting at the expiration of the time set by the council for compliance. The city council then may terminate a franchise forthwith upon !lnding that the grantee has failed to achieve compliance or, in its discretion, may further extend the period allowed to achieve compliance. fg) Upon conclusion of the bearing, the city council shall adopt a decision which includes findings of fact and conclusions. (h) Nothing in this section shall be construed as a waiver of or limitation on any right of the grantee to seek relief in federal or state court. In the event of any determination by the city to revuke or terminate a franchise, to impose a forfeiture of a bond, letter of credit or other security fund or to impose a substantial financial penalty which would have a material ad- verse effect upon the grantee, such a determination shall be stayed during the pendency of any judicial review thereof. Code 1966, 4 542.22; Ord. No. 88.182, ¢ 116112-23), 11.1.88) • Sec. 8.80. Continuity of service. W It shall be the right of all cable television subscribers to continue receiving service insofar as their financial and other obligations to the grantee are honored. If the grantee elects to overbuild, rebuild, modify or sell the system or the city gives notice of intent to terminate or 'ails to renew a franchise, the grantee shill act so sa to etuure that all subscrfiers receive continuous, uninterrupted service regardless of the circumstances. If the grantee is changed or • if a new operator acquires the system, the grantee shall cooperate with the city, new grantee or operator in maintaining continuity of service to all subscribers. During such period, the 572 I 4a • CABLE TELEVISION 18-61 grantee shall be entitled to the revenues for any period during which it operates the system and shall be entitled to reasonable costs fur its services when it no longer operates the system, ibl If the grantee fails to cperate the system for ninety-six (96) consecutive hours without prior approval of the city or without just cause, the city may, at its option, operate the systeu or designate an operator until such time as the grantee restores service under conditions acceptable to the city or a permanent operator is selected. If the city is required to fulfill this obligation for the grantee, the grantee shall reimburse the city for all reasonable costs or damages in excess of rev nues from the system received by the city that are the result of the grantee's failure to perform. (Code 1966, f 5y2-23(1); Ord. No. 8&M, f I(Pv-24), 11.188) 3 r ` Sec. 8.61. Acquisition by city. (a) If a renewal of a cable television franchise held by the grantee Is denied and the city acquires ownership of the cable system or effects a transfer of ownership of the system to another person, any such acquisition or transfer shall be at fair market value, determined on the basis of the cable system valued as a going concern, but with no value allocated to the franchiae itself. (b) ire franchise Leld by the grantee is revoked for cause and the city squires ownership of the cable system or offects a transfer of ownership of the system to another 1xvwn, any such acquisition or transfer shall be at an equitable price. In the determination of an equitable price, such matters as the harm to the community resulting from the grantee's !reach of the franchise may be considered. (c) The value of a cable system, fair market value or equitable price, shall be determined by an appraisal committee consisting of three (3) persona to be appointed by a judge of a court of record of the city, The grantee or its successors or assigns and the city shall each recammead one (1) appointee to the court, however, the court shall not be bound by such recommendatlons, No payment shall be made by the city to the grantee by reason of the value of the franchise itself, 1 fdi It shall be understood that a condition of each contract entered into by the grantee with reference to operations under a franchise shall be that each contract shall be subject to • ! the exercise rf this authority by the city and that tho city may be substituted for the grantee as a party to any such contract and may succeed, at its direction, to all the privileges and the obligations thereof at its option. el Upon the termination of a franchise and the rights,- rated thereunder, whether by, expiration or forfeiture, the city council may direct and require the grantee, es provided in section 8.143, to remove its wires, cables, fixtures and accessories and appurtenances from the streets. • Code 1966, 9 51/a-23(21; Ord. No. 8&182, it 1(Pr-25), 11.188) 573 0 0 • Q • 1 $ 8.62 DENTON CODE Sec. 8.82. Transfers and assignments. gal A cable television franchise shall not be sold, assigned or transferred, either in whole or in part, or leased, sublet or mortgaged in any manner, nor shall title thereto, either legal or equitable, or any right, interest or property therein pass to or vest in any person without the prior written consent of the city. Such consent shall not be withheld unreasonably. No such consent shall be required for a transfer of the franchise or the system in trot, mortgage or other hypothecation as a whole or in part to secure an indebtedness. (b) The proposed assignee must show technical ability. financial capabflity, legal quali- fications and general character qualifications as determined by the city and must agree to comply with all provisione of the franchise and such conditions as may be prescribed by the city council and expressed by resolution. The city shall be deemed to have consented to a proposed transfer or aasignrient in the event its refusal to consent is not communicated in writing to the grantee within one hundred twenty (120) days following receipt of written notice of the pro. posed transfer or assignment. (c) The grantee shell promptly notify the city of any actual or proposed change in or transfer of or acquisition by any other party of control of the grantee. The word "control" as used in this ,section is not limited to major stockholders but includes actual working control in whatevi nanner exercised. Every change, transfer or acquisition of control of the grantee shall make the franchise subject to cancellation unless and until the city shall have consented thereto, which consent will not be unreasonably withheld. For the purpose of determining whether it shall consent to sc;c•h change, transfer or acquisition of control, the city m;y inquire into the qualifications of the prospective controlling party and the grantee shall assist the city in any such inquiry. (d) A rebuttable presumption that a transfer of control has occurred shall arise upon the acquisition or accumulation by any person or group of persons of ten (10) percent of the voting interest of the grantee, (e) The consent or approval of the city council to any transfer of the franchise shall not constitute a waiver or release of the rights of the city in and to the streets, and any transfer shall by its terms, be expressly subordinate to the terms and conditions of any applicable franchise. (0 In the absence of extraordinary circumstances, the city shall not approve srly transfer or assignment of a franchise prior to substantial completion of construction of the proposed • system or completion of a commitment to reconstruct, rebuild or upgrade an existing system. 'g) The city council reserves the right of first refusal to purchase a cable system at or above a bona fide offering price being made by a third party when the system is placed on the market fcr sale. The city shall exercise such right within ninety (90) days of notification by the. grantee of pending sale, or such right shall be forfeited. • hi In no event shall a transfer of ownership or control be approved without any successor • • in interest accepting in writing the terms and conditions of the franchise agreement as amended. 574 • _ o • CABLE TELEVISION i) The council reserves the right to review the purchase price of any transfer or assign- ment of the system and any potential assignee to this franchise expressly agrees and under- stands that any negotiated sale value which the council determines will cause a significant effect on subscriber rates in order to finance the purchase may result in a denial of transfer. (Code 1966, 6 5Y2-23(3); Ord. No. 88.182, 6 I(SY2-26), 11.1481 Seca. 8.83-680. Reserved. ARTICLE IV. STANDARDS AND SPECIFICATIONS Sea 861. Conatmodon, lnatatlation and maintenance of system. Methods of construction, installation and maintenance of the cable system shall comply with the most recent edition of the National Electrical Safety Code, the National Electriced Code adopted in chaptor 28, ardcle III, of this Code as the same may be amended from time to time, and all applicable laws and regulations to the extent that such codes are consistent with local law affecting the construction, installation and maintenance of electric supply and com- municatforu lines. To the ssfant clot such code is inconsistent with other provisions of this franchise or with local law, the latter shall govern. (Cade 1968, 6 SY2-50; Ord. No. 83182, 6 1, 11.1.88) Sea 889. System tower, (a) Any tower constructed for use in the cable system shall comply with the standards contained in Structural Standards for Steel Antenna Towers and Antenna Supporting 8tmc. tures, EIA Standards RS-222-A as published by the Engineering Deportment of the ! is Industries Association, 20011 Street, N. W. Washington, D. C. 20006. , (b) Installation t-td physical dimensions of any such tower shall comply with any appro. priate Federal Aviation Administration regulations. (c) Any antenna structure used in the cable system shall comply with Construction Marking, and Lighting of Antenna Structure, 47 C.F.R 17.1 et seq., and all applicable laws and regulations. • (Code 1966, 44 51/s-51-542-53; Ord. No. 88.182, 6 I1542-511, 11.1.88) Sec. 683. Safety. All working facilities and conditions used during construction, instaUion and mainte nance of the city's cable ttlevision system shall comply with the standards of the Occupational • Safety and Health Administration. • • Code 1966, 6 5Ys•54; Ord. Nn. 88.182, 6 I(5Yn-52), 11.1.88) 575 • 0 • ^P;o--- 18-84 DENTON CODE Sec. 8.84. Service standards. (al A cable television franchise grantee shall put, keep and maintain all parts of the system in good condition throughout the entire franchise period. (b) Upon termination of service to any subscriber, a grantee shall promptly remove all its facilities and equipment from the premises of such subscriber upon the subscriber's request. 1c) The grantee shall render efficient service, make repairs promptly sad interrupt service only for good cruse and for the shortest time possible. Such interruptions, Insofar as possible, shall be preceded by notices and shall occur during periods of minimum system use. (d) The grantee shall not allow it6 cable or other operations to inter" with television reception of persons not served by the grantee, nor sbali the r,71.em interfere with, obstruct or hinder in any manner the operation of the various utlll*ie, serving the residents of the city. (e) A grantee shall continue, through the lean of the franchise, to maintain the technical, operational and maintenance standards and quality of service set forth in this chapter and franchise agreement. Should the city find, by resolution, that a grantee has failed to mdntaia these standards and ouality of service and should the city, by resolution specifically enumerate corrections to be made to come into compliance, a grantee shall make such correction. Failure to make such corrections within three (3) months of such resolution will constitute a breach of condition for which the remedy set forth in section 8.128 V applicable. {Ord. No. 88.184, 4 1(54x63), 11.1.88) Sec. 8.86. Technical standards. The cable television franchise grantee shall construct, install, operate and maintain its system in a manner consistent with all laws, ordinances and construction standards of the city, the Federal CommuniaVons Commission, the NCTA Recommended Practices for Measure- ments on Cable Television Systems, published by the National Cable Television Association, and detailed standards submitted by the grantee as part of its application, which standards are to be incorporated by reference in the franchise agreement. In addition, sub grantee sb}all provide the city with a written report of the results of the grantee's annual proof of perfor- mance tests conducted pursuant to Federal Communication Commission standards and re- quirements. The grantee shall pay the meta incurred by the city for any technical assistance deemed necessary by the city for obtaining independent verification of technical compliance with all standards. (Ord. No, 8&182, f I(543•54), 11.148) • Secs. 888-8.100. Reserved. ARTICLE V. OPERATIONS Sec. 8101. Access programming facilities. • The cable television franchise granter must provide reasonable equipment to be used by • • access cablecasters with the aid of a technical and production staff to be provided by the 576 i, r • - 41a • CABLE TELEVISION as V operator. Equipment that can store programs for later showing shall be provided. In addition, 5 the grantee shall make available a centrally located studio to aD access users on a first come, first -erved basis, Any applicant to operate the system will be expected to demonstrate in its application how it plans to make available the equipment, the studio and production and technical staff. Applicants will be given preference in the selection process for plans that will most adequately meet these requirementa. A full schedule of rates for use of equipment, studio and technical and production staff must be submitted to and agreed to by the city. It separate rates are planned for mobile facilities, these must be also included Rate preference may be given to noncommercial users. (Code 1966, 6 SVt 40; Ord. No. 8&182, 11. 11.1.88) See. 8.102. Hub system. (a) The cable system design shall incorporate the use arm hub system with suffident hubs to ensure the quality of reception required by the Federal Communications Commission. (b) The grantee shall be required to maintain the capability for i.onvotoe return commu• nications. (Code 1968, 13 Y2-4 1: Ord, No. 8&182, 41. 14188) See. &103. Emergency override. The cable system shall include an "emergency alert" capability which will permit the mayor to override, by remote control, the audio 4.ndlor video of all channels involved in retransmission of television broadcast programming. The cable operator s5all desigsute ■ channel which will be used for emergency broadcast. ICode 1966, 4 642.42; Ord. No. 8&182, 11, 11.188) Sec. 8-104. Standby power, The cable system operator shall maintain equipment capable of providing standby pow• ering for headend transportation and trunk amplifiers for a minimum of two (2) hours. The equipment shall be constructed so as to automatically notify the able office when it is in operation and to automatically revert to the standby mods when the AC power returns. All utility safety regulations must be followed to prevent injury to linemen resulting from a • standby generator powering the dead utility line. 'Code 1966, 4 642.43; Ord. No. 88-182, 41, 11.188) Sec. 8-106. Privacy. Use of data obtained from cable television subscribers shall be authorised only in actor- dance with the provisions of 47 U.S.C. 651, as amended. • Code 1966, 4 542.44; Ord. No. 88-182, 41, 11.188) 577 • m • 4 &iD6 DENTON CODE Sec. 8.106. Antenna switch. The cable television franchise grantee shall install an RF swath for alternative use of off-air antennas upon request by a subscriber. ,Code 1866, 15112-45; Ord. No. 8&182, 11, 11.1.88) Seca. 9.107-8-125. Reserved. ' ARTICLE VI. LOCAL REGULATORY FRAMEWORK AND REGUI.ATIONS Sec, &126. Remedies to subscribers, (a) If cable television service to any subscriber Is interrupted for twenty-four (24) consec- utive hours, except for acts of God and except in circumstances for which the prior approval of the interruption L obtained from the city council, the grantee shall provide a ten-percent rebate of the monthly fees to the affected subscriber. (b) If its service to any subscriber is interrupted for forty-eight (46) consecutive hours, except for acts of God and except in circumstances for which the prior approval of the inter. ruption is obtained from the city council, the grantee shall provide a twenty-percent rebate of the monthly fees to affected subscribers, (c) If its service to any subscriber is interrupted for seventy-two (72) or more consecutive hours, except for acts of God and except in circumstances for which the prior approval of the interruption is obtained from the city council, the grantee shall provide a one-hundred-percent rebate of the monthly fens to the affected subscribers. (d) The time limits prescribed in subsections (a), (b) and (c) aball be measured from the time that the subscriber notifies the grantee. iCode 1966, 4 Pa-60; Ord. No. 88-182, 11, 11.1.881 Sec. &127. Security fund. (a) Within twenty (20) days after the effective date of a cable television franchise agree- ment, the grantee shall deposit with the city's executive director of finance and maintain on deposit through the term of any franchise the sum of sixty-five thousand dollars (165,000.00) in monies, as security for the faithful performance by it of all the provisions of this franchise agreement and compliance with all orders, permits and directions of any agency of the city • having jurisdiction over its acts or defaults under this contract and the payment by the grantee of any claims, liens and taxes due the city which arise by reason of the construction, rewn- struction, operation or maintenance of the system and the payment by the grantee of any penalties or liquidated damages due the city pursuant to this chapter or a franchise agre* ment. gib) The city manager may draw upon the security fund for any of the occurrences set forth • in this section and in section B-128, Within ten (10) days after notice to it that any amount has • been withdrawn from the security fund deposited pursuant to subsection (a) of this section in 578 • O o P a • { CABLE TELEVISION _48-128 accordance with section 8-128, the grantee shall pay to or deposit with the executive director of finance a sum of money sufficient to restore such security fund to the original amount of sixty-five thousand dollars (366,000.00). Failure to restore the security fund to the original S, amount shall constitute a material breach. ic) Examples of a basis for drawing upon the security Rind include but are not limited to the following: (11 Failure of the grantee to pay to the city any taxes after ten (10) days' written notice of delinquency; 12) Failure of the grantee to pay to the city, after ten (10) days' written notice, any r amounts due and owing the city by town of the indemnityprovialon of section 8-144; 13) Failure by the grantee to pay to the city any liquidated damages due and owing to the city pursuant to section 8-I28, f 4) Failure by the grantee to pay to the city any amounts due pursuant to section 8.67(g); (5) Failure by the grantee to pay, upon ten (10) days' written notice, any amounts owing as franchise fees pursuant to section 8.136. (d) The security fund deposited pursuant to this section shall become the property of the city if this contract is cancelled because of the default of the grantee. The grantee, however, shall be entitled to the return of such security flmd or portion thereof as remains on deposit with the executive director of finance at the expiration of the term of the franchise agreement, provided that there is then no outstanding default on the part of the grantee. (e) The rights reserved to the city with respect to the security fund are in addition to all other rights of the city, whether reserved by this contract or authorited by law, and no action, proceeding or exercise of a right with respect to such security fund shall affect any other right the city may have. Code 1966, f 5y2.61; Ord. No. 8&182, f I, 11.1881 Sec. 8- M. Liquidated damages. 1 (a) By acceptance of the cable television franchise granted by the city, the grantee un- derstands and shell agree that failure to comply with any time and performance requirements sa Kipu fated in this chapter and the franchise agreement will result in damage to the city, and • that it and will he impracticable to determine the actual anwunt of such damage for delay or nonperformance; tberefore, the franchise agreement shall include provisions for liquidated damages to be paid by the grantee, in amounts set forth in the franchise agreement and chargeable to the security fund for the following concerns: ill For failure to complete system construction or recoastruction in socordance wirh use of streets, erection of poles, undergrounding relocation, sections &181 and &143, unless the ; ity council epecMcally approves the delay, by motion or resolution, due to the occurrence of conditions beyond the grantee's control, the grantee sball pay five 579 • a • 4 B•12d DENTON CODE hundred dollars 13500.00) per day for each day or part thereof the deficiency con. tinues. 12! For failure to provide, upon written request by the city, data, documents, reports or k other information, the grantee shall pay fifty dollars ($50.00) per day or part thereof t that each violation occurs or continues. i f3) For failure to test, analyze and report on the performance of the system following a written request by the city pursuant to this chapter, the grantee shall pay to the city one hundred dollars (3100.00) per day for each day or part thereof that such noncom. pliance continues. (4) For failure to provide in a continuing manner the types of services proposed in the accepted application, unless the council specifically approves the grantee a delay or change or the grantee has obtained modification of its obligation undtrr aecdon 625 of the Cable Act, the grantee shall pay to the city five hundred dollar (3500.00) per day for each day or part thereof that each noncompliance continues. (5) Upon determining that there has been a failure to make improvements in accordance with section 8-84, the grantee shall pay to the city two hundred fifty dollars ($250.00) for each day or part thereof that such noncompliance continues. 161 Any od.er action or nonaction by the grantee shall be as agreed upon between the city and the grantee and set forth in the franchise agreement. Nothing in this section shall preclude further liquidated damages ss agreed upon by the parties in the. &anchise agreement, ib) Tf the city manager concludes that the grantee is liable for liquidated damages pur• suent to this section, he shall issue to the grantee by certified mail a notice of intention to assess liquidated damaoas. The notice shall set forth the basis for the assessment and shall inform the grantee that liquidated damages will be assessed from the date of the notice unless the assessment notice is a?pealed for hearing before the city council and the city council rules !il that the violation has been corrected, or (ii) that an extension of time or other relief should be granted. 7 he grantee desiring a hearing before the city council shall send a written notice of appeal by certified mail to the city manager within ten (10) days of the date on which the city sent the notice of intention to assess liquidated damages. The hearing on the grantee's appeal shall be within thirty (30) days of the date on which the city sent the notice of intention to assess liquidated damages. After the hearing, if the city council sustain in whole or in part • the city manager's assessment of liquidated damages, the city manger may at any tame therearter draw upon the letter of credit required by section 8-127. Unless the city courkil indicates to the contrary, the liquidated damages shall be assessed beginning with the date or; which the city sent the notice of the intention to assess liquidated damages and shall continue thereafter until such time as the violation ceases, as determined by the city manager. fc) Nothing in this section shall be construed as a waiver of or limitation on any right of , the grantee to seek relief in federal or state court. In -ny determination by the city to revoke • • or terminate a franchise, to impose a forfeiture of a bond, letter of credit or other security fund 680 • I a • CABLE TELEVISION ~-p- or to impose a substantial financial penalty which would have a material adverse effect upon the grantee, such a determination shall be flayed during the pendency of any judicial review thereof. t0rd. No. 88.182, 4 l(5V2-62), 11.188) ' r Sec. 8.128. Comtmetion bond. (a) Not less than thirty (30) days before the construction start date set forth in any cable television franchise agreement, the grantee shall obtain and maintain st its cost and expense y and file with the city secretary a corporatesurety bond in a company authorised to do business in the state and found acceptable by the city's risk manager, in an amount established in the franchise agreement to guarantee the timely construction anWor reconstruction and full ac- tivation of the cable system and the safeguarding of damage to private property and restore. tion of damages incurred with utilities. The boad Phall provide but sot be limited to the following condition: There shall be recoverable by the city, jointly and severally from the principal and surety, any and all damages, loss or costa suffered by the city resulting from the failure of the grantee to satisfactorily complete and fully activate the cable system throughout the franchise area pursued to the terms and conditions of this chapter and the franchise agreement. (b) Any extension to the prescribed construction or reconstruction time limit must be authorized by the city council. Such extension shall be authorised only when the city council finds that such extension is necessary and appropriate due to causes beyond the control of the grantee. Ic) The construction bond shall be terminated or'r after the council finds that the grantee has satisfactorily completed initial construction and activation or reconstruction of the able system pursuant to the terms and conditions of this chapter and the franchlse agreemsot. (d) The rights reserved to the city with raped to the construction bond at in addition to all other rights of the city, whether reserved by this chapter or authorised by lays, and no action, proceeding or exercise of a right with reaped to such construction bond shall affect any other rights the city may have. is) The construction bond shall contain the following endorsement: It is hereby understood and agreed that this bond may not be cancelled by the surety nor the intention not to renew be stated by the surety until sixty (60) days after receipt by ,'te • city, by registered mail, of written notice of such intent to cancel or not to renew. Ord. No. 88.282, 1 h5Vr63), 11.1.88) sec. s•13o. Authority; cable TV advisory board. ia) The city shall exercise continuing regulatory authority under the provisioaa of this chapter and applicable law. This authority shall be vested In the city council and administered , • through the city manager. This authority includos the adoption of reasonable rules and reg. • ulations necessary to enable the city to perform administration and enforcement activities. 581 • • 18-130 DENTON CODE ;b) A cable TV advisory board consisting of five (5) members who shall serve for three-year terms, with such terms to be staggered, is hereby establiahed. Each board member shall be appointed and shall serve at the pleasure of the council. The board shall advise the city council on its regulatory jurisdiction and shall have the following responsibilities and duties at the direction of the city council: D Resolving disputes or disagreements between subscribers sad the grantee after an investigation, should the subscriber and the grantee not first be able to resolve their view or disagreement. The decision or findings may be appealed to the city council; (2) Reviewing and auditing all reports and filings submitted to the city as required in this chapter and such other correspondence as may be submitted to the city con. corning the operation of the cable television network, and reviewing the rules and regulations set by the grantee; and 3) Assuring that all tariffs, rates and rules pertinent to the operation of the cable system in the city are made available for inspection by the public at reasonable hours and upon reasonable requests. (Code 1966, ; 511#-4; Ord. No. 88.182, 11. 11.188) Charter reference-Boards and commissions, 114.16. Cross reference-Boards, commissions and committees, 3 241 at seq. Sec. 8.131. Procedure for format acdom (a) Any formal inquiry, proceeding, investigation or other formal action to be taken or proposed to be taken by the city council in regard to the operation of a grantee's cable tele- vision system, including action if permitted by federal and state law in regard to an increase in subscription rates, shall be taken only after thirty (30) days' public notice of such action or proposed action is published in a local daily or weekly newspaper having general circulation in the city, a copy of such action or proposed action is served directly on the grantee and the grantee has been given an opportunity to respond in writing andlor a hearing as may be ' specified by the city council and general members of the public have been given an opportunity to respond or comment in writing on the action or proposed action. ~b) The public notice required by this section shall state clearly the action or proposed action to be taken, the time provided for response and the person and authority to whom such responses should be addressed and such other procedures as may be specified by the cable TV advisory board. If a hearing is to be held, public participation will be allowed. The grantee is • a necessary party to any bearing conducted in regard to this operation. iCode 1966, 15 S'2-65; Ord. No. S&182, 4 1, 11.1488) Sec. 8.132. Functions to be regulated (a) Each able television franchise grantee shall maintain an oflioe in the city, which' shall be open during all usual business hours, have a publicly listed telepbone and be so • • operated that complaints 9-id requests for repairs or adjustments maybe received on s twenty. four-hour basis. 582 • • CABLE TELEVISION § "3S__-- rb) Each grantee shall maintain a repair and troubleshooting force capable of responding to subscriber complaints or request for service within twenty-four (24) hours after receipt of the complaint or request. No direct charge shall be made to the subscriber for this service. Code 1966. § 61/2.66; Ord. No. 88.182, 11, 11.1$8) f Sec. 9.133. Subscriber complaint procedure. (a) Subscriber notice of complaint procedures. Each cable television franchise grantee shall establish procedures for receiving, acting upon and resolving subscn'ber complaints to the artisfection of the city manger. The grantee shat furnish a notice of such procedures to each subscriber at the time of initial subscription to the system and at least once a year thereafter. (b) Complaint records. The grantee shall maintain a written record or log listing dates and times of cn:atomer complaints, identifying the subscriber and describing the nature of the complaints and when and what action was taken by the grantee in response thereto. Such record shall be kept at the grantee's focal of 1co, reflecting the operations to date for a period of at least three (3) years, and shall be available for ivpection during regular business hours without further notice or demand by the city manager. (c) Repetition of similar complaints. When there have been similar complaints made or where there exists other evideacc which, in 4he judgment of the council, casts doubt on the reliability or quality of cable service, the council shall have the right and authority to compel the grantee to test, analyze and report on the performance of the system. Such test shall be made, and the reports of such teat shall be delivered to the city no later than fourteen (14) days after the city formally notifies the grantee. Such report shall include the following informa- tion: !1) The nature of the complaint which precipitated the special test,; (2) What system component was tested; (3) The equipment used and procedures employed in testing-, '4) The method in which such complaints were recorded; and (5) Any other information pertinent to the special teat. • The tests and analyses shall be supervised by a professional engineer, not on the permanent staff of the grantee. The engineer should sign all records of special tests and forward to the city such records with a report interpreting the results of tae testa iwd recommending actions to be taken by the city. The city's right under this provision shall be Limited to requiring teats, analyses and reports covering specific subjects and characteristies based on the complaints or other evidence when and under such circumstances as the city has reasonable grounds to • believe that the complaints or other evidence require that tests be performed to protect the • • public against substandard cable service. Code 1966, 3 6V2.67; Ord. No, 88.182, § 1. 583 • 0 • • r 3 8-134 DENTON CODE - - r i Sec. 8.134. Equal opportunity policy. (a) A cable television franchise grantee shall not deny service, deny aocees or otherwise discriminate against subscribers, channel users or general citizens on the basin of race, color, religion, national origin or sex. (b) A grantee shall strictly adhere to the equal employment opportunity requirements of the Federal Communication Commission, as expressed in sections 76.13(h) sad 76.311 of chapter t of title 47 of the Code of Federal Regulations and section 631 of the Cable Act. The grantee shall comply at all times with all other applicable federal, state, city and county laws and all executive and administrative orders relating to nondiscrimination. The grantee shall . make a positive effort to hire racial minorities, women and other protected groups as subcon- tractors if available and qualified. (Code 1966, 1 V 3-W O:d. No. 88.182, 111, 11.1.88) Sec. 8.135, Payment of franchise fee. o (a) For the reason that the streets to be used by the cable television franchise grantee in the operation of its system within the boundaries of the city are valuable public properties acquired and maintained by the city at great expense to its taxpayers and that the grant to the grantee to the use of such streets is a valuable property right without which a grantee would be required to invest eubets ntial capital in right'of=way costs and acquisitions and because the city wilt incur costa in regulating and administering the franchise, the grantee shall pay to the city, for the first ten (10) years from the date of acceptance from a franchise, an amount aqua: to five (5) percent of the grantee's gross annual revenue from all sources attributable to the operations of the grantee within the confines of the city. Should a franchise agreement excised ten (10) years in length, the grantee sball pay a franchise fee equal in amount to the maxiiaum permitted by law, provided that such amount shall not exceed seven (7) percent Ib) The franchise fee shall be payable quarterly to the city. The grantee shall file a complete and accurate : ified statement of all collected gross revenue including itemisation for each type of revenue received with;,% the city during the period for which the quarterly payment is made, and the payment shall be made to the city not later than forty-five (45) days after the expiration of the date for which payment L due. i c) The executive director of finance of the city may, from time to time during the term of a franchise, prescribe standards governing the nature, extent and type of accounting system • and accounting procedures utilized by the grantee and require changes in accounting stan- dards or procedures utilized by the grantee for the purpose of promoting the efficient admin- istration of the franchise fee requiroments of this chapter. Any such standrryb shall be in writing, shall be filed with the city secretary and shall be mailed to the grantee to whom directed. The grantee shall promptly comply with all such standards. (d) During the term of each franchise, the city may, not more frequently than once a year, • conduct an audit of the books, records and accounts of the grantee for the purpose of deter. , • • mining whether the grantee has paid franchise fees in the amounts prescribed by subsection 584 a o • ca • CABLE TFLEVISION (a) of this section. The audit may be conducted by the city staff or by an independent certified accounting firm retained by the city and shall be conducted at the sole expense of the city. The y' party conducting the audit shall prepare a written report containing its findings, and the report shall be filed with the city and mailed to the city and grantee. Any additional amount due the city as a result of the audit shall be paid within thirty (30) days following written notice to the grantee from the city. (e) If any franchise payment or recomputed amount, out or penalty is not made on or Y before the applicable dates apecifed in this section, interest shell be charged from such date, compounded daily, at the annual rate equivalent to the then existing prime rate, as estab- lished by NCNB Texas National Bank, Dallis, plus two (2) percent. (Code 1966, 0 BY;-69; Ord. No. 68-162, 01, 11.1-88) e: Sec. 8.136. Ratan. ;i (a) To the extent permitted by federal sod state law, the city may regulate the following f rates, fees and charges for cable television service: (1) Rates for the provision of basic cable service to subscribers, whether residential or commercial, including multiple tien of basic cable service; (2) Rates for the initial installation or the rental of one (1) set of the minimum equipment which is necessary for the subscribers' receipt of basic cable service; (3) Any other rates for any type of services delivered by the grantee that may become subject to local regulation. (bl The grantee may petition the council for a change in rates subject to regulation by filing a proposed rate schedule with the city secretary. The following p.^ocedure shall be followed: (1) The grantee may petition the coxiacil for a change in rates by filing a revised rate schedule including the justification for the proposed new schedule, (2) Within ten l I0) days of notification by the council of the place end time established for a hearing on the petition, the company aball notify its subscribers of the same day by announcement on at least two (2) channels of its system, between the hours of 7:00 p. m. and 9:00 p.m., for five (5) consecutive days. Following all proper notice, but in no • event later than ninety (90) days from the date of the petition, the council shall hold an appropriate public hearing to consider the proposed new rates, at which hearing all parties desiring to be heard, including the company, shall be heard on any matters relating to the performance of this franchise, the company's services and the proposed new rates. 13) Within ninety (90) days after the hearing, the council shall render a written decision ♦ on the company's petition, either accepting, rejecting or modifying the petition and ' • • reciting the basis of i,, decision. 566 ♦ O • 0 • 1 8.136 DENTON CODE 4 (4) The criteria for the council's decision in such matters ahall be the establishment of rates whic'i are rsir and reasonable to both the company and its subscribers and shall be genera'y' s the minimum rates necessary to meet all applicable coats of service, return on all invested capital, all assuming efficient and eco- nomical - r agtment. k5) In order for the council to determine whet'ier proposed rate changes comport with the criteria established in subsection (bX4) of this section, the comparkVs petition for a rate increase shall include the following financial reports, which shall reflect the operations of the city system only: a. Balance sheet; b. Income statement; c. Cash flow statement; j d. Statement of sources and applications of funds; e. Detailed supporting schedules of expenses, income, assets and other items as may be required; L Statement of current and projected subscribers and penetration. (c) The grantee's acco4:L, ing records applcable to the system shall b• available for in- spection by the city at all reasonable times. The city shall have access to records of financial transactions for the purpose of verifying burden rata or other indirect costa prorated to the city operation. The documents listed in subsection MW of this section shA include sufficient details and/or footnotes as may be necesmy to provide the city with the information needed to make accurate determinations as to the financial condition of the system. All financial statements shall be certified as emirate by an officer of the grantee. (Code 1966, 1 5V3-70; Ord. No. 8&181,; I, 11.1.88) Sec. 8.157. User classes and divisions. Subscribers of cable television services may be divided into mmmercial and residential classes. Nothing in this provision shall prohibit the reduction o. waiving of charges in eon- junction with promotional campaigns for the purpose of attracting subscribers. Rata for commercial and noncommercial users of access channels maybe established separately. Nothing in this section shall prohibit preferential rates for noncommercial users if approved by the city. (Code 1966, 1 5V241; Ord. No. 88-182, 11, 11.1.88) • Sec. 1.138. Advance charges and depoalts. A cable television franchise grantee may require subscribers to pay for each month of basic service in advance at the beginning of each month. No other advance payment or deposit of any kind shall be required by a grantee for basic subscriber service. No deposit or advance payment of any kind shall be charged for the provision of any converter without prior approval • of the city. Nothing in this section shall be construed to prohibit charges or the waiver of , charges for initial installation or reconnection. • Code 1966, 1 V2.72; Ord. No, 88-182, 11, 11.1-88) 586 o • CABLE TELEVISION Sec. 8-198. Installation and reconnection. - ° Except as otherwise provided elsewhere in this chapter, a cable television franchise grantee may make a charge to subscribers for the Installation of service outlets and for the reconnec- tion of service outlets. The rates for such connection or reconnection shall be authorised by the city v provided in this article. (Code 1966, 4 5N3-73; Ord. No. 8&182, 11, 11.1.88) i Sec. 8.140. Dlscorinmion. Thera shall be no charge for dimanectim of any able television installation or outlet If any subecriber fails to pay a properly due monthly subscriber fee or any other properly due fee or charge, the grantee may disconnect the subscriber's service outist; provided, however, that such disconnection shall not be effected until thirty (30) days after the due date of the delln. quest fee or charge and shall include ten (10) days' written notice of the Intent to disconnect delivered to the subscriber in question. If a subscriber per thirty (30) days after payment is due and after notice of disconnection has bean given, a grantee shall not disconnect After disconnection, upon payment in full of the delinquent fee or charge and the payment of reconnection charge, a grantee shell promptly reinstate a subscriber's able service. (Code 1966, ¢ byr74; Ord. No. 8&182, 1 1, 11•I.88) See. 8- 141. Records and reports. (a) Annual reports. No later than March 91 of each year, each able television franchise grantee shall submit a written report to the city, in a form directed by the city council, which shall include the following: (1) A summer,- of the previoas year's activities and development of this system, in- cluding but not limited to services begun or dropped, subscriber gain or loss; 12) Copies of the financial statements audited by a oertifled public accounting &in so- ceptable and approved by the city, including the grantee's balance sheet, income statement and working papers relating to subscriber accounts; (3) A current statement of costa of construction by component categories; 141 A summary of complaints, identifying the number and nature of complaints and their disposition; • (5) A list of officers and members of the board of the franchisee and the parent corpora- tion, if any; 16) A list of all stockholders holding three (3) percent or more of the voting stock of a grantee and the parent corporation, if any. • b) Filings with Federal Communication Commission, Copies of all petitions, filings, re- ports and correspondence filed with the Federal Communication Commission will be filed concurrently with the city. 587 3 • a • 4 8.141 DENTON CODE (cl Monthly reports required. The following monthly reports shall be required from the grantee: (11 During construction, upgrading or rebuilding of a system, a monthly progress report shall be filed by the grantee with the city describing projected construction activity for the project, work accomplished for the particular month and for the total project to date; (2) Summary of telephone call activity as to total calls received, answered, abandoned or delayed, with the average delay quantified; (3) Summary of service calls showing number resolved within twenty-four (24) hours and number of calls unresolved within the twenty-four-hour period. This summary shall be in a format that an describe the general nature of calls received as to the type of service, problem or grievance; (4) Summary of system outages for the month, including all outages affecting two (2) or more subscribers. This report ehall show the number of outages, number of gub• scribers affected, the number of hours In which the system waa down and the cause for the outages, i.e., power failure, storm, system ma)filnction, ate.; (b) Summary of subscriber statistics for the month, showing by category of service pro- vided (i.e. basic service, each pay TV option, etc.), the number of subscribers at be- ginning of month, plus connects, less disconnects, equaling the ending number of subscribers for the month. Changes in the number of homes passed by the cable system shall be shiwn in a similar manner. (d) Other records, The city may impose reasonable requests for additional information, records and documents. (Code 1966, 4 5'l2-75; Ord. No. 88.182, 41, 11.1.88) ~ Sec. 8.142, Insurance requirements. (a) A grantee seeking to operate under the authority of this chapter ahall, prior to the granting of a franchise for cable television operation by the city, submit to approval by the city's risk manager satisfactory evidence in the form of certificates of insurance or their equivalent, including but not limited to the following coverage and risk area: (1) Worker's compensation and employee's liability coverage on all employees of the • franchise as required by statute; 121 Comprehensive general liability coverage including a blanket contractual liability provision and a broad form damage endorsement covering but not limited to explo- sion, collapse or other underground activity; ~3) Comprehensive automobile liability coverage. • lb) The minimum limits of coverage an each of the above-described coverages, except • • subsection all) of this section shall in no event be lees than one million dollar ($1,000,000,M). b88 I p • CABLE TELEVISION _fE.B I13 rd All insurance policies required by this section shall be so endorsed as to make the city 7 a named insured under such policy. Further, each policy shall be so endorsed as to require the carrier to give not less than sixty (60) days' notice of cancellation or nonrenewal to the city. Such policies shall further carry an endorsement providing a waiver of any rights of aubro- " gation in the favor of and to the city. (Code 1966, f 5H2-76(1)-(4% Ord. No. 8&182, 11, 11.188) Sec. 8.145. Use of public property and conditions for use, i (a) A cable television franchise grantee shall not open or disturb the surface of any street, sidewalk, driveway or put lic place for any purpose without first having obtained a permit to do so in accordance with applicable city ordinances, including but not limited to chapter 25 of this Code, provided that a grantee shall not be required to post a bond prior to commencing such disturbance of such public place. (b) A grantee shall, at its expense, protect, support, temporarily disconnect, relocate in the same street or other public place or remove from the street or other public place any property of the grantee when required by the city by reason of traffic eoaditions, public safety, street vacation, street construction, change of establishment of street grade, installation of sewers, dWns, water pipes, city-owned power or signal lights and tracks or any other type of structure or improvement by a public agency. 4) The grantee's use of existing poles or conduits belonging to the city or the erection or construction of new poles or conduits shall be governed by a separate pole use agreement. (d) All wires, conduits, cables and other property and facilities of the grantee shall be so located, constructed, installed and maintained as Dot to endanger or unnecessarily interfere with the usual and customary trade, traffic and travel upon the streets or public places of the city. The grantee shall keep accurate maps and records as requested by the city. A grantee shall not place poles or other equipment where they will interfere with the rights or reasonable convenience of adjoining property owners or with any gas, electric or telephone fixtures or with any water hydrants or mains. All poles or other fixtures placed in a street shall be placed in the right-of-way between the roadway and the property, as specified by the city. (e) All wires, cables, wnpUers and other property shall be constructed and installed in an orderly and workmanlike manner, All cables and wires shall be installed parallel with ex- 0 isting telephone and electric wires whenever possible. Multiple cable configurations shall be arranged in parallel and bundled, with due respect for engineering and safety consideration. All installations shall be underground in those areas of the city whets public utilities pro- viding either telephone or electric service are underground, In areas when both telephone and electric utility facilities are above ground at the time of installation, the grantee may install its service above ground with the understanding that at such time as those facilities are • required to be placed underground by the city, the grantee shall likewise place its service • O underground without additional cost to the residents of the city other than a may be granted under the provisions of this chapter. 589 • 0 • 0 • 4 8.143 DENTON CODE " if) The city shall give the grantee reasonable notice ofplana for street improvement where paving or resurfacing of a permanent nature is involved. The notice shall give the grantee sufficient time to make any additions, alterations or repairs to its facilities as it deems nec- essary in advance of the actual commencement of the work, so as to permit the grantee to maintain continuity of service. (g) The grantee shall, on the request of any person holding a building moving permit, temporarily raise or lower its wires to permit the moving of the building. The expense of such temporary removal, raising or lowering of the wires abed be paid by the person requesting the ' same, and the grantee shall have the authority to require such payment in advance. (h) The grantee shall have the authority to trim trees overhanging upon streets, alleys, sidewalks and other public places of the city so as to prevent the branches of such trees from coming in contact with the wires and cables of the company. All trimming is to be done under r the supervision and direction of the city and at the expense of the grantee. The grantee shall t make every effort to p..eserve the aesthetic beauty and viability of any trees trimmed. The grantee may contract for such services. However, any firm or individual so retained shall receive city approval prior to commencing such activity. (i) Public buildings shall be connected to the cable system at no charge. Such roquests for service may be initiated by authorized local government officials. For planniw purposes, one (1) service drop per facility should be anticipated at the civic center, municipal building, service center, the county courthouse, police and faro facilities, public library and all public and parochial schools. If more than one (1) drop is required per facility, the charge should be based on the grantee's coats of time and materials. No monthly charges should be made for providing basic gubacriber services at chase public buildings. Failure of the grantee to com- plete connection of basic service drop within one hundred twenty (120) days of receipt of written request shall constitute a material breach, U) Upon the request of an authorized universityofficial, academic buildings and residence hails at the University of North Texas and Texas Woman's University should be connected to i the cable system at no charge. If more than one (1) service drop is required per building, the charge should be based on the company's cost of time and materials. No monthly charges should be made for ; roviding basic cable subscriber services at the academic buildings. (k) The grantee may be required to interconnect its system with all other broadband • communications facilities. Such interconnection shall be made within the time limit estab- lished by the city. The interconnection shall, at the city's discretion, be accomplished according to the method and technical standards determined by the city, in a manner consistent with applicable Federal Communication System standards. 11) At the expiration of the franchise term or upon its termination as provided for in this' chapter, the city shall have the right to require the grantee to remove at its own expense all • portions of the cable system from all streets within the city. , • • Code 1966, 1115 V2- 77, Ord. No. 88.182, $ 1, 11.188; 590 • ) 4a e 1 CABLE TELEVISION Sec. 8144. Indemnificatiom la) Each cable television franchise grantee shall, at its sole expense, fully indemnify, defend and hold harmless the city and, in their capacity as such, the ot[icen, agents and Y. employees of the city from and against any and all claims, suits, actions, liability and judg- ments for damages or otherwise as follows: k ti I) For actual or alleged injury to persons or property, including loss of use of property due to an occurrence, whether or not such property is physically damaged or des stroyed, in any way arising out of or through or alleged to arise out of or through the acts or omissions of the grantee or its oflloen, agents, employees or contractors or to which the grantee's or its officers, agents, employees or contracton acu or omissions in any way contribute; (2) Arising out of or alleged to arise out of any claim for damages for fnvasion of the right of privacy, defamation of any person, firm or corporation or the violation or infringes went of any copyright, trademark, trade name, service mark or patent or of any other right of any person, firm or corporation; and 131 Arising out of or alleged to arise out of the grantee's failure to oomply with the provisions of any statute, regulation or oroinance of the United States, elate or any local agency applicable to the grantee iL its business. (b) Nothing in this section shall be deemed to prevent the parties indernntAed and held harmless herein from participating in the defense of any litigation by their own counsel at the , grantee's sole expense. Such participation shall not under any circumstances relieve the grantee from its duty of defense against liability or of paying any judgment entered against such party. (Code 1966, 4 64x7&5); Ord. No. 8&182,; I(64x78), 11.1.88) Secs. 8146-8.160. Reserved. , ARTICLE VII. SERVICE FACELMES Sec, 8-161. Required services and facilities. 'a) A cable television franchise application or proposal for renewal dmu include a de- scription of the grantee's system design and a description of programming and services being offered, including optional premium services, a description of facilities being proposed for local origination programming and facilities being offered to various community institutions. The offer of programming and services contained within a grantee's application shall be deemed a binding offer of such grantee for and to the benefit of the city and the subscribers of the e grantee. if a program originator erases to provide a service or if the grantee determines that ~ e • other programming or cable services may be of greater benefit to subscribers, the grantee may, subject to subsections ib) and (c) of this section, substitute services. 591 O a i.r 0 • t;a • 9 8-161 DENTON CODE N The system, after the incorporation of such substitute services, shall satisfy the war- ranty made by the grantee to subscribers and potential subscribers in its application for a franchise. The city council, on behalf of system subscribers, shall have the right to review any substitution of service that the grantee has made and may order a change therein if it deter- mines, after due hearing on notice, that the warranty has been violated and that certain broad categories of video or other information programs that were committed by the grantee in its proposal are not being delivered. Any such order shall be issued only after a public hearing has been scheduled and held, and written notice of such bearing shall have been provided to the grantee and to the public at least fourteen (14) days prior to such bearing. Any such order may be enforced by a court of competent jurisdiction. A grantee shall not, in relation to this section, be deemed to have waived any right aocotded to a franchised cable televisfon operator aria;g under the First Amendment to the Constitution of the United States. (c) NoMthstanding subsections W and (b) of this section, a grantee ma., In accordance with the Cable Act of 1964, upon thirty (30) days' advance notice to the city, rearrange, replace or remove a particular cable service required by the franchise if: (1) Such service is no longer available to the grantee; or (2) Such service is available to the grantee only upon the payment of a royalty required under section 801(b)(2) of title 17, United States Code, which the grantee can docu- ment: a. Is substantially in excess of the amount of such payment required on the date of the grantee's offer to provide such service; and b. Has not been specifically compensated for through a rate increase or other ad- justment. (d) Notwithstanding subsections W Lad (b) of this section, a grantee may take such ac- (ions to rearrange a particular service from one (1) service tier to mother or otherwise offer the service, if the rates for all of the service tiers involved in such actions are not subject to regulation. (01 d. No. 88.182, 0 1(51l2-901, 11.1-88) See. 8.182. Access channels. (a) Each cable system franchised by the city shall provide the number of access channels agreed to in the franchise agreement. • Ib) If any governmental or educational access channel is being utilised more than tin (10) hours per day, five (5) days a week between the hours of 6:00 a.m. and 11:00 p.m. for twelve i (12) consecutive weeks or if any public access channel is being used eighty (80) percent of the time between 4:00 p.m. and 11:00 pm. for twelve (12) consecutive weeks, the grantee shall, upon receipt of written notice from the city, make new channels available for the same pur-' poses; provided, however, that nothing in this subsection shall require the grantee to construct • additional channel capacity to the cable syrom for the sole purpose of providing additional • • access channel car scity. Such requirement may be met by making available, on a part-time 592 • 0 • s~ • CABLE TELEVISION 4 8.180 basis, one (1) or more other underutilized channels or on a full- or part-time basis one (1) or x . more other unused access channels until such time as such underutilized or unused channels are needed for the uses to which they have been dedicated. li ic) Whenever any access channel, other than the basic access channels, required in e franchise agreement for governments], educational and public access, is utilised less than four (4) hours per day for five (5) days per week for a continuous period of not less than twelve (12) consecutive weeks, the city may permit different or additional interim uses for the channel. t The grantee may be permitted to utilize unused access channel capacity under rules and procedures a tablished by the city, however, no newse capacity shaL' be utilised by the grantee until all other channel capacity on the cable system has been programmed. y R (d) Access channels permitted by the city for interim use by a cable operator are to be restored to governmental, educational or public access use whenever the criteria in subsection (b) of this section are exceeded for any one (1) of the existing access channel urea or whenever the demand for use as demonstrated by records of each access channel indicate that an exces- sive number of people or programs are being turned away by lack of channel capacity avsil• i able. a (Ord. No. 88.182, f If5y3-91), 11.148) Sec. 8.183. New developments. (a) Subsequent to each reevaluation session, as set forth in section 8.58 and in any cable television franchise agreement, the city council shall have the authority to order a public hearing on the provision of additional channel capacity by ''te grantee or on the inclusion in the grantee's cable system of stat&of the-art technology or upgraded facilities. Notice of such hearing shall be provided to the grantee and the public not later than fourteen (14) days prior to such hearing. (b) If after such hearing, the cit;r council determines that (i) then exists a reasonable need and demand for additional channel capacity and/or state-of-the-art technology or upgraded facilities, anc fii) provision has been made or can be made for reasonable rates which will allow grantee a fair rate of return on its investment, including the investment required to provide the additional channels and/or the state-of-the-art technology or upgraded facilities, and (iW will not result in economic waste for the grantee, the city council may, order the grantee to provide a specified number of additional channels and/or specified state-of the-a technology • or upgraded facilities. In considering the economic feasibility of required system improve- ments, the city council may consider the extension of the term of the franchise to permit the recovery of the cost of the improvements. Any proposed extension of a franchise shall be treated procedurally in accordance with the procedure for franchise renewal. Without 1m• plying any limitations as to other provisions of this chapter, this section is deez2ad a material provision within the meaning of section 8.59, • (Ord. No. 88.182, 5 11542.93), 11.1-68) e Secs. 8.164-8180. W-served. 593 • 0 • 0 • i &181 DENTON CODE ARTICLE VIII. EXTENSION OF SERVICE Sec. 8.181. Construction and/or reconstruction-Map and schedule. la) The grantee shall submit a construction plan or reconstruction plan which shall be incorporated by reference and made a part of the cable television franchise agreement. The plan 11 include system design details, equipmenk specifications and design performance criteria- The plan shall also include a map of the end;e franchise area and shall clearly t delineate the following: (1) The areas within the franchise area where the cable system will be initially available to subscribers, including a schedule of construction for each year that construction or reconstruction is proposed; (2) Areas within the franchise area where the cable system cannot ressonably be ex- tended due to lack of present or planned development or other similar reasons, with the areas and the reasons for not serving them clearly identified on the map, (b) Nothing in this section shall prevent the grantee from constructing or reconstructing the system earlier than planned. However, any delay in the system construction beyond the times specified in the plan report timetable must be submitted to and approved by the city council. (c) Any delay beyond the terms of construction or reconstruction timet-ble, unleas ap- proved by the city council, will be considered a violation of this chapter for which the provi- sions of either section 8.128 or 8.69 shall apply, as determined by the city council. (Ord. No. 88.182, 6 I(5y2.30), 11.1.88) Sec. 8.182. Same-Extensions. (a) Construction or reconstruction of a cable television system in accordance with the plan submitted by a grantee shall commence as soon after the grant and acceptance of a franchise as is reasonably poeaib;. F afly:•e proceed expeditiously shall be grounds for revocation or a franchise. Failure to proceed < ^ wtiously shall be presumed if construction or reconstruction is not commenced within eig,..eeen (18) months of the grant and acceptance of a franchise. b) Extension of the cable yetem into any areas not specifically addressed in the plan shall nonetheless be req, , i,f if the terms of any of the following conditions are met: (1) Upon request of potential subscribers, a grantee shall extend the system to any contiguous area not designated for initial service In the plan when there extU a density of thirtyrive (35) homes per street mile for aerial cable or fifty (50) homes per street mile for underground able. Extension shall be at the grantee's cost. If under- ground installation is required by regulation, the grantee must make installation at the grantee's expense. Where aerial extension is allowed by regulation but under: ground installation is requested by benefited subscribers, the cat of undergrounding that exceeds estimated aerial extension coot may be charged to such benefited sub. • scribers. 594 s P • CABLE TELEVISION S 4 8184- 21 in areas not meeting the requirements for mandatory extension of service, a grantee shall provide, upon the request of live (5) or more potential subscribers desiring service, nu. estimate of the costs required to extend service to the subscribers. The grantee snall then extend cervix upon request of the potential subscribers according to the rate schedule. The grantee may require advance payment or assurance of payment satisfactory to the grantee. The amount paid by subscribers for early exten- sion shall be nonrefundable, and if the area subsequently reaches the density re- quired for mandatory extension, such payments shall be treated as consideration for early extension. (c) Nothing in th is section shall be construed to prevent a grantee from serving areas not covered under this section upon agreement with property earners. (Ord. No. 88-182, 1 II5Vr31), 11.1.88) Sec. &189. New development undergrounding. (a) In canes of new construction or property development where utilities are to be placed underground, the property darner shall give the cable television franchise grantee reasonable notice of such instruction or development and of the particular date on which open trenching will be available for the grantee's installation of conduit and/or cable. The grantee shall also provide specifications as needed for trenching. (b) Costa of trenching and t uiemento required to bring service to the development shall be borne by the property owns provided that if the granteu fail to Install its conduit and/or cable within rive 15) working u, ;,s of the date the trenches are available, as designated In the notice given by the developer, or then should the trenches be closed after the five-day period, the cost of new trenching shall be borne by the grantee. Except for the notice of the particular date on which trenching will be available to he grantee, n•y notice provided to the grantee by the r:, of a preliminary plat request shall satisfy the requirement of reasonable notice. The preliminary plat shall be made available to the grantee through the development reviM committee process. iOrd. No. 8&182, 11(542.32), 11.1.83) Sec. 8.184. Aerial and underground drops, !s1 When requests for connection requiring a cable television aerial drop line in excess of one hundred fifty (150) feet are made, the grantee must extend and make available cable television service to such residen6 at a connection fee not to exceed the actual installation costs incurred by the grantee for the distance exceeding one hundred 64 (150) feet. bl All areas required to be underground construction shall require all underground drop installations of no,, more than one hundred fifty (150) feet at the cost of the grantee. Connec- tions in excess of one hundred fifty ;:50) feet shall be at the expense of a subscriber, such A expense to equal the grantee's actual cost. • Ord NQ 88.182, 4 I+542.331, 11.1-88) 595 • _ (D • 4 &185 DENTOJ CODE w .iJ Sec. 9-188. Annexation. Upon the annexation of any new territory by the city, the portion of the cable system that may be located or .:*rated within such territory and the streets, alleys or public grounds thereof shall thereafter be subject to all the terms of any franchise as though it were an extension made thereunder. (Code 1968; 1 6404; Ord. No. 8&182, 41. 11.1.88) t 1 J • J [The next page is 6471 596 H p h r 364 CABLE TELEVISION FRANCHISE AGREEMENT BETWEEN THE CITY OF DFNTONs TEXAS AND SALMONS CONKUNICATIONSo INC. • • +o • 365 TABLE OF CONTENTS j4 SECTION I. TITLE ...........................................2 SECTION II. PREAMBLE ........................................2 SECTION ?II. DEFINITIONS .....................................2 SECTION IV. GRANT OF AUTHORITY ..............................2 SECTION V. POLICE POWER ....................................3 SECTION VI. SYSTEM UPGRADE AND TIMETABLE... .................3 SECTION VII. INDEMNIFICATION AND INSURANCE ...................5 SECTION VIII. COMPLAINT PROCEDURE .............................b SECTION IX. CONSTRUCTION AND MAINTENANCE ....................7 SECTION X. CONSTRUCTION AND EXTENSION ......................5 SECTION XI. CONSTRUCTION BOND REQUIRED ......................9 SECTION XII. GOVERNING LAW ..................................10 SECTION XIII. FRANCHISE TERM .................................10 SECTIGN XIV. RENEWAL PROCEDURE ..............................10 SECTION ?.V. PERFORMANCE REVIEW... ...........10 SECTION XVI. SECURITY FUND ..................................11 I SECTION XVII. LIQUIDATED DAMAGES .............................12 SECTION XVIII. FORFEITURE .....................................13 SECTION XIX. TRANSFERS........... ...........................13 • SECTION XX. FRANCHISE FEE... ....................14 SECTION XXI. RATES ..........................................14 SECTION XXII. ACCESS TO SERVICES AND FACILITIES ..............15 SECTION XXIII. EMERGENCY OVERRIDE .............................17 • , SECTION XXIY. PROGRAMMING MIX ................................17 • • i • t 366 Y SECTIO14 XXV. FORCE MAJEURE ..................................17 SECTION XXVI. NOTICES ........................................18 SECTION XXVII. SAVINGS CLAUSE .................................19 SECTION XXVIII. CONFLICTING ORDINANCES AND RESOLUTIONS 19 SECTION XXIX. FEES ...........................................19 SECTION XXX. PAYMENT OF TAXES ...............................19 SECTION XXXI. NON-LIABILITY ..................................20 SECTION XXXII. WAIVERS ........................................20 SECTION XXXIII. APPROVAL AND ACCEPTANCE ........................20 I I i • 11 • ii • 2518L 3 6 7 } NOTE: ORIGINAL EXHIBITS HAVE BEEN ATTACHED TO ORIGINAL ORDINANCE 88-189 t ,L ORDINANCE NO. AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF DENTON, TEXAS, GRANTING A FRANCHISE TO SAMMONS COMMUNICATIONS, INC., TO CON- STRUCT, RECONSTRUCT, OPERATE AND MAINTAIN A CABLE TELEVISION SYSTEM IN THE CITY OF DENTON, TEXAS AND SETTING FORTH CONDITIONS ACCOMPANYING THE GRANTING OF THIS FRANCHISE; PROVIDING FOR A PENALTY FOR THE VIOLATION OF PORTIONS OF THIS ORDINANCE; PRO- VIDING FOR A SAVINGS CLAUSE; PROVIDING FOR THE EFFECT OF THIS ORDINANCE UPON OTHER ORDINANCES AND RESOLUTIONS; AND PROVIDING AN EFFECTIVE DATE. THE CITY COUNCIL OF THE CITY OF DENTON, TEXAS HEREBY ORDAINS: WHEREAS, the City is authorized to grant, renew and deny franchises for the installation, operation and maintenance of cable television and other telecommunications systems, and otherwise to regulate cable television within the city's boundaries by virtue of (i) Federal and State statutes, (ii) the City's police powers, (iii) the City's authority over its public rights of way, and (iv) other City powers and authority; and WHEREAS, the City has undertaken an extensive review of cable television service in the City, including but not limited to a review of Sammons Communications, Inc., its respective records of service, its facilities, the cable television-related community needs of the City and its citizens for both the present and future, Sammons Communications, Inc.'s ability to carry out each of its commitments as set forth herein and in related documents, the experience and character of Sammons Communications, Inc. management teams and Sammons' financial, legal and technical qualifications to maintain and operate s cable television system franchise in the City in a manner which would serve the public interest of the citize.s of the City; and • WHEREAS, the City hereby finds that it would servq the public interest of the citizens of the City to grant s cable television franchise to Sammons Communications, Inc., subject to the terms and conditions hereinafter set forth, and Sammons Communications, Inc. voluntarily agrees to such terms and conditions; NOW THEREFORE, in consideration of the mutual covenants and O agreements contained herein, the parties hereby agree as follows: • 0 • ss • C 368 SECTION I. TITLE. This ordinance shall be known and may be cited as "Cable TV Franchise Ordinance." SECTION II. PREAMBLE. This ordinance was passed after a full, open and public 4 hearing upon prior notice and opportunity of all interested parties to be heard and upon careful consideration of SAMMONS COMMUNICATIONS, INC.'S qualifications, including its legal, financial and technical qualifications. SECTION III. DEFINITIONS. For the purpose of thi: ordinance, and when not inconsistent with context, words used herein in the present tense include the future, the word "shall" is always mandatory. The captions 1.jpplied herein for each section are for convenience only. Said ..actions have no force of law, are not part of the section, and are not to be used in construing the language of the section. The follo:+ing terms and phrases, as used herein, shall be given the meanings set forth below: (1) "City" is the CITY OF DENTON, TEXAS, a municipal corpo- ration under the laws of the State of Texas. (2) "Grantee" is SAMMONS COMMUNICATIONS, INC., a corporation organized and existing under the laws of the State of Delaware, duly qualified and authorized to do business in the State of Texas, and it is the grantee and franchisee of rights under this franchise. (3) "City Council" is the City Council of the CITY OF DENTON, TEXAS, or its designated representatives. As used in this document, a word shall have the meaning set forth in Chapter 5 1/2 of the City's Municipal Code of Ordinances (hereinafter, the "Cable ordinance") at Article II, unless it is apparent from the context that it has a different meaning, or unless such word is specifically defined herein. The term • "Grantee" shall refer to Sammons Communications, Inc. or a wholly-owned subsidiary of Sammons or a company under common control with or controlling Sammons (provided that the liability of Sammons and each affiliated entity acting as Grantee hereunder shall be joic,t and several), and its successors hereunder. SECTION IV. GRANT OF AUTHORITY. • There is hereby granted by the City to Grantee the right and • • privilege to construct, reconstruct, erect, operate and maintain, PAGE 2 • • 369 in, upon, along, across, above, over or under. the aLtB~[s'," alleys, easements, public ways and public places now laid oiLt _ or dedicated and all extensions thereof and additions thereto in the City, all poles, wires, cables, underground conduits, manholes x and other conductors and fixtures necessary for the maintenance and operation in the City of a cable television system for the transmission of television si pals and other signals, either separately or upon or in conjunction with any public utility maintaining the same in the City, with all of the necessary and desirable appliances and appurtenances pertaining thereto. Without limiting the generality of the foregoing, this franchise k and grant shall and does hereby include the right in, over, i under, and upon streets, sidewalks, alleys, easements, and public grounds and places in the City to install, erect, operate or in any way acquire the use of, as by leasing or licensing, all lines and equipment necessary to the Grantee a cable system and the right, to make connections to subscribers and the right to repair, replace, enlarge and extend said lines, equipment and connections. SECTION V. POLICE POWER. Grantee shall, at all times during the term of this franchise, be subject to all lawful exercise of the police power of the City. The right is hereby reserved to the City to adopt, in addition to the provisions herein contained and any other existing applicable ordinances, such additional applicable ordinances as it shall find necessary in the exercise of its police power; provided that such additional ordinances shall be reasonable, shall not substantially or materially conflict with or alter in any manner the rights granted herein, and shall not conflict with the laws of the State of Texas, the laws of the United States of America, or the rules of the Federal Communications Commission. All terms, conditions and provisions of the Cable Ordinance shall be deemed to be embodied In this Agreement and Grantee does hereby agree to comply with the terms of said Ordinance. SECTION VI. SYSTEM UPGRADE AND TIMETABLE, (a) Within the time period specified in (b) of this section, the Grantee shall have completely upgraded and initiated a Cable System which has the capability of delivering sixty (60) video • channels over 450 MHZ Cable bandwidth (the "Cable System Upgrade") and the Grantee shall use its beat efforts to maximize usage of such capacity with non-duplicated video channels. (b) The Grantee shall exercise its beat good faith efforts to expedite construction of the Cable System Upgrade as require4 in subsection above in a sound and economical manner. Subject to e the provisions of Section XRV. (Force Majeure) hereof, Grantee shall meet the following schedule: , • • PAGE 3 • v • 370 (1) Submission of all applications for authorizations - necessary to begin initial construction of the cable system upgrade on or before July 1, 1990. (2) Securing all authorizations necessary to begin initial construction of the Cable System Upgrade on or before September 1, 1990. (3) Completion of all of the construction of the Cable System Upgrade on or before November 1, 1993. (4) The Cable System Upgrade shall have the capability to transmit video, voice and data services in two directions simultaneously ("two way services"). Two-way services shall be instituted at such time as it is consistent with federal and state laws and regulations and it is economically and technically feasible; provided, however, it shall be Grantee's burden to demon- strate to the City's satisfaction, upon request of the City at any time, that it is not econo- mically or technically feasible to institute such two-way services. (5) Grantee shall have completed the installation of alternative (standby) power sources at the headend on or before May 1, 1989. Thereafter, Grantee shall maintain such power sources so that all Cable System and work lines and sub-stations ma be maintained at full power for at least two (2 hours beyond the time when normal power sources serving the Cable System have ceased. (6) Grantee shall provide the capability for inser- tion of video programming and other video, voice and data messages into the Cable System from the following points in the City: Municipal Building, 215 E. McKinney, Central Fire Station, 217 W. McKinney, Service Center, 901 Texas Street, Police Station, 221 N. Elm, Library, 502 Oakland and Civic Center, 321 E. McKinney. I Grantee shall complete construction of such cable lines not later than November 1, 1993. In addition to the above-designated points for. insertion of video programming and other video, , voice and data messa3as into the Cable System described above, Grantee shall provide a central • PAGE 4 • a • 3 71 . insertion point for the Cable System within the City, which shall be one of the points described above and which shall include siggnal awitching and processing equipment as is reasonably required to allow those utilizing the insertion points listed above to transmit to the other insertion points of the Cable System, or to transmit to all subscribers, at the City's option. Prior to designating the central insertion point for the Cable System within the City, Grantee shall obtain the prior written consent of the City Manager to such designation. (7) Grantee shall, not later than November 1, 1993, provide and maintain two access channe_s designated for the following uses: N (a) Local Government/Denton Independent School District (a shared channel) (b) Education Access (c) The Grantee shall submit its drawings and specifications for the Cable System Upgrade to the City not later than March 1, 1990, provided, however, that the City assumes no liability or responsibility whatsoever for the design or construction of the Cable System Upgrade by virtue of its receipt of such drawings and specifications, it bein understood that the City's approval j of such drawings and specig fications shall not be required. At the time the Grantee submits such drawings and specifications to the City, the Grantee shall also submit a detailed plan of action for the accomplishment of the Cable System Upgrade, including, without limitation, performance criteria which will permit the City to monitor the Grantee's progress toward completing the Cable System Upgrade in a timely fashion. SECTION VII. INDEMNIFICATION AND INSURANCE. Grantee shall hold the City harmless from all loss sustained by the City on account of any suit, judgment, execution, claim or • demand whatsoever against the City resulting from any negligent act or omission on the part of Grantee in the construction, operation or maintenance of its Cable System in the City in accordance with Section 5 1/2-76 of the Cable Ordinance. For this purpose, Grantee shall carry property damage and personal injury insurance with some responsible insurance company. or companies qualified to do business in the State of Texas. The • amounts of such insurance to be carried for liability shall be • • not less than those amounts set forth in the Cable Ordinance and as set forth in Exhibit 1 to this Ordinance. J PAGE 5 c y~.~rrr • 0 • ~ o ~r 372 SECTION VIII. COMPLAINT PROCEDURE. (a) Grantee shall maintain a business office in Denton for the purpose of receiving inquiries and complaints from its customers and the general public. (b) Grantee shall establish procedurea for receiving, acting upon, and resolving subscriber complaints and complaints by the City to the satisfaction of the City Manager and the proposed initial procedures shall be submitted to the City Manager upon Grantee's acceptance of this Agreement. Grantee shall provide written notice of such procedures to subscribers at least once a year. (c) The Grantee shall respond to complaints made by the City e or subscribers of the Cable System promptly and, if possible, shall resolve complaints made by the City or subscribers not more than twenty-four (24) hours following receipt of the complaint by Grantee. Grantee shall maintain complete, detailed records relating to its maintenance and operation of the Cable System which shall be available for inspection by representatives of the City at any time during normal business hours of the City. Upon the City's request, Grantee shall respond to City in writing within twenty-four (24) hours following receipt of such request by the Grantee regarding any complaint which takes longer than one week to resolve. (d) Grantee shall provide a local, toll-free telephone service for subscriber complaints to be answered twenty-four (24) hours each day in accordance with the schedule set forth in Exhibit 2. Such telephone number shall be prominently displayed on the first page of each customer bill and in the telephone directory of the City of Denton. (e) Grantee shall provide at least ten days (10) days written notice prior to discontinuance of service to any subscriber of the Cable System. If Grantee has improperly disconnected Cable System service to any subscriber, it shall provide free recon- nection to the Cable System to such subscriber. i • (f) All personnel, agents and representatives of Grantee, including subcontractors, shall wear photo-identification badges, prominently displayed, when acting on behalf of the Grantee in the City. (g) Grantee shall provide advance notice in writing to -the resident, of any private property within the City prior to entry • onto such property wherever the Grantee desires that any of its • • personnel, agents or representatives should enter such property. This requirement shall apply only when it is reasonable under the PAGE 6 • ra • - •373 k circumstances at the time and Grantee shall not be required to provide such notice in emergencies. (h) Grantee shall notify each subscriber of the Cable System in advance of the expected time of any service visit to such subscriber's premises. Such notification shall specify whether the anticipated service visit will be before or after noon. Grantee shall accommodate the subscriber with respect to the subscriber's expressed preference for a morning or afternoon service visit. (i) Grantee shall, not less than once a year, provide subscribers of the Cable System, and potential subscribers, with a complete list of service offerings, options, prices, and credit policies associated with the Cable System. (J) Grantee shall establish and maintain sufficient telephone lines and personnel so as to not delay unreasonably the answering of all telephone calls. The City, upon receipt of documented complaints from more than ten subscribers during a single business day between the hours of 8:30 a.m. and 6:00 p.m. regarding their inability to reach a live, personal representative of Grantee during non-emergency, non-system outage periods, may seek liquidated damages as provided in Section 5 1/2-62 of the Cable Ordinance. SECTION IX. CONSTRUCTION AND MAINTENANCE. (a) All structures, lines and equipment erected by Grantee within the City shall be so located as to cause minimum inter- ference with the proper use of streets, alleys, ea-4ements, and other public ways and places and to cause minimum interference with the rights or reasonable convenience of property owners, and Grantee shall comply with all reasonable, proper and lawful ordinances of the City now or hereafter in force. Existing poles, posts, conduits, and other such structures of any electric power system, telephone company, or other public utility located in the City shall, when possible, be made available to Grantee for leasing or licensing upon reasonable terms and rates and shall be used to the extent practicable in order to minimize interference with travel and avoid unnecessary duplication of facilities. Poles owned by City shall be made available to Grantee for its use under the terms, conditions and provisions of a separate Pole Rental Agreement to be negotiated between the parties. (b) Grantee shall not open ov disturb the surface of any • street, sidewalk, driveway or public place for any purpose without first having obtained r permit to do so in accordance • • with applicable ordinances, including, but not limited to, PAGE 7 • 1- p • 374 Chapter 21 of the Code of Ordinances, except that Grantee :1WA not be required to post a bond prior to commencing such disturbance. Grantee specifically agrees to pay any fees in connection herewith required by City Ordinances. In case any disturbance by the Grantee of pavements, sidewalk, driveway, or y other surfacing, Grantee shall, at its own cost and expense and in a canner approved by the City, replace and restore all paving, sidewalk, driveway or surface so disturbed in as good condition as before said work was commenced. (c) In the event that at any time during the period of this franchise the City shall elect to alter or change any street, alley, easement, or other public way requiring the relocati).. of Grantee's facilities, then in such event, Grantee, upon reasonable notice from the City, shall remove, relay, and relocate the same at its own expense. (d) Grantee shall, on the request of any person holding a building moving permit issued by the City, te_porarily raise or lower its lines to permit the movinf of the building. The expense of such temporary removal shall be paid by the person requesting the same, and Grantee shall have the u.ithority to requi*e such payment in advance. (e) All poles, lines, structure or other facilities owned by Grantee in, on, over and under the streets, sidewalks, alleys and easements and public grounds or places of the City shall be kept by Grantee at all times in a safe and substantial conditioa. SECTION X. CONSTRUCTION AND EXTENSION. (a) In conjunction with submittal of its proposal for renewal, Grantee has submitted a construction plan, a copy of which is hereby incorporated by reference and mode a part of the franchise agreement. The plan, attached hereto as Exhibit 2, includes system design details, equipment, specifications and design performance criteria, a map of the entire franchise area and clearly delineates the following: (1) The areas within the franchise area where the • cable system is currently available to subscribers, including a s:hedule of construction for each year that construction or reconstruction is proposed. (2) The areas within the franchise area where the cable system cannot reasonably be extended due to lack of present or planned development or other • similar reasons, with the areas and the reasons for not serving them clearly identified on the map. A 0 P.%GE 8 • • -J-17 5 (b) Nothing in this section shall prevent the Grantee from = constructing or reconstructilig the system earlier than planned. However, any delay in the system construction beyond the times 7. specified in the plan report timetable must be submitted to and approved by the City Council. (c) Extension of the Cable System into any areas not specifically addressed in the plan shall nonetheless be required if the terms of any of the following conditions are met: (1) Upon request of potential subscribers, a Grantee shall extend the system to any contiguous area not designated for initial service in the plan --hen there exists a density of 35 homes per street mile for aerial cable or 50 homes per street mile for underground cable. Extension shall be at Grantee's cost. If underground installation is required by regulation, Grantee must make installation at Grantee's expense. Where aerial extension is allowed by regulation but underground installation is requested by benefited subscribers, the cost of undergrounding that exceeds the estimated aerial extension cost mey be charged to such benefited subscribers. (2) In areas not meeting the requirements for mandatory extension of service, Grantee shall provide, upon the request of five (5) or more potential subscribers desiring service, an estimate of the costs required to extend service to said subscribers. Grantee shall then extend service upon request of said potential subscribers according to the rate schedule. Grantee may require advance payment or assurance of payment satisfactory to Grantee. The amount paid by sub- scribers for early extension shall be nonrefund- able, and in the event the area subsequently reaches the density required for mandatory extension, avch payments shall be treated as consideration for early extension. (d) Grantee shall construct, install, operate and maintain its system in a manner consistent .tth detailed construction standards submitted by Grantee as a prrt of its application. Grantee agrees to comply with the Codes, and any supplements or amendments thereto, referenced in its proposal. ell ~ • • J PAGE 9 I 1.r • a • 376 'i SECTION XI. CONSTRUCTION BOND REQUIRED. Pursuant to Section 5 1/2-63 of the Cable Ordinance, the Grantee shall file with the City a construction bond in the amount of $1,000,000 not later than August 11 1990. The construction " bond shall be terminated only after the City Council finds that the Grantee has satisfactorily completed reconstruction of the cable system pursuant to the terms of the Cable Ordinance and this franchise agreement. SECTION XII. GOVERNING LAW. r This franchise is governed by and subject to all applicable provisions cf the Communications Act of 1934, as amended in 1984, and regulations promulgated by the Federal Communications Commission pursuant thereto as well as the laws of the State of Texas, not inconsistent therewith. SECTION XIII. FRANCHISE TERM. This franchise shall take effect and be in full force from and after acceptance by Grantee as provided in Section XXXIII., and the same shall continue in full force and effect for a term of fifteen (15) years. SECTION XIV. RENEWAL PROCEDURE. This Franchise Agreement shall be subject to renewal in accordance with the terms and conditions of Section 626 of the Cable Communications Policy Act of 1984, 47 U.S.C. 546, as now in force and effect or hereafter as amended. SECTION XV. PERFORMANCE REVIRW. The parties agree that the City shall have the right to con- duct a performance evaluation with the Grantee and the citizens of the City relating to this Franchise Agreement, commencing in the seventh year subsequent to the date of Grantee's acceptance of this franchise. The Grantee agrees to incur the costa of the evaluation and the City's ascertainment of the current cable- related needs and interests of the City's residents; provided, however, that the total payment by the Grantee shall not exceed Twenty-Five Thousand ($25,000.00) Dollars. This sum shall be adjusted on the basis of the proportion that the then all Urban Consumer Price Index (CPI-U) for the Dallas/Fort Worth Standard Metropolitan Statistical Area bears to the February, 1988 index, which was 114.0. The City shall provide Grantee with t!ie names • of three nationally recognized independent cable television • • consulting firma and the Grantee, together with the City, shall PACE 10 • cr • _377 select one of the three consultants to perform the evaluation. Grantee agrees that such costs are in addition to and not to be deducted from the franchise fees due the City. q. SECTION XVI. SECURITY FUND (a) Within twenty (20) days after the effective date of a franchise agreement, the Grantee shall deposit with the City's Executive Director of Finance, and maintain on deposit through the term of the franchise, the sum of Sixty-Five Thousand (:65,000) Dollars in monies, as security for the faithful perfor- mance• by it of all the provisions of this franchise agreement, and compliance with all orders, permits and directions of any agency of the City having jurisdiction over its acts or defaults under this contract, and the payment by the Grantee of any claims, liens, and taxes due the City which arise by reason of the con- struction, reconstruction, operation or maintenance of the system t and the payment by the Grantee of any penalties or liquidated damages due the City pursuant to this franchise agreement. (b) The City Manager may draw upon the security fund in the event of any of the occurrences set forth in this Section and in Section 5 1/2-62 of the Cable Ordinance. Within ten (10) days after notice to it that any amount has been withdrawn from the security fund deposited pursuant tc subdivision (a) of this section in accordance with Section 5 1/2-62 (Liquidated Damages), the Grantee shell pay to or deposit with the Executive Director of :finance s sum of money sufficient to restore such securit fund to the original amount of Sixty-Five Thousand (=65,000 Dollars. Failure to restore said security fund to the original amount shall constitute a material breach. (c) Examples of a basis for drawing upon the security fund include, but are not limited to the following: (1) failure of the Grantee to pay to the City any taxes after ten (10) days written notice of delinquency; (2) failure of the Grantee to pay to the City after ten (10) days written notice, any amounts due and • owing the City by reason f the indemnity provision of Section 5 1/2-78 of the Cable Ordinance; (3) failure by the Grantee to pay to the City, any liquidated damages due and owing to the City pur- suant to Section 5 1/2-62 of the cable Ordinance; • (4) failure by the Grantee to pay to the City any amounts due pursuant o Section 5 1/2-21(g) of the • • Cable Ordinance; J PAGE 11 • c> • 378 - (5) failure by the Grantee to pay, upon ten (10) drys written notice, any amounts owing as franchise fees pursuant to Section 5 1/2-69 of the Cable Ordinance. (d) The security fund deposited pursuant to this Section shall become the property of the City in the event that this contract is cancelled by reason of the default of the Grantee. The Grantee, however, shall be entitled to the return of such security fund, or portion thereof, as remains on deposit with the Executive Director of Finance at the expiration of the term of the franchise agreement, provided that there is then no outstanding default on the part of the Grantee. r , (e) The rights reserved to the City with respect to the security fund are in addition to all other rights of the City whether reserved by this contract or authorized by law, and no action, proceeding or exercise of a right with respect to such security fund shall affect any other right the City may have. SECTION XVII. LIQUIDATED DAKWES. (a) The parties agree to the liquidated damages specified in Section 5 1,2-62 of the Cable Ordinance, as adopted on the 1st day of November, 1988, but without prejudice to any other s remedies availab to the parties hereto to the extent permitted by law. The pa -s agree that the liquidated damages set forth ' in the ordinanc. i be greater or less than the City's actual damages and such a ages represent the best estimate by the par- ties hereto as the likely extent of such damages. The liquidated damages are not intended to constitute a penalty, but rather, are designed to save the parties from having to engage in costly liti- gation with regard to the extent of such damages. In addition to ' the amounts set forth in the Cable Ordinance, the following liquidated damages shall apply: For breach of any service standards adopted pursuant to Section VIII., hereof; $200.00 per day • (b) If the City Manager determines that the Grantee is liable for liquidatel damages, he shall issue to the Grantee by certi- fied mail a notice of intention to assess liquidated damages. The notice shall set forth the basis for the assessment, and shall inform the Grantee that liquidated damages will be assessed from the date of the notice unless the assessment notice is appealed for hearinE before the City Council. If the Grantee • desires a hearing b,afore the City Council, it shall send a written notice of appeal by --rtified mail to the City Manager • • within ten (10) days of the date on which the City sent the PAGE 12 • a 379 i f~l notice of intention to assess liquidated damages. In the event the City Manager receives such a notice from the Grantee, the ' hearing on the Grantee's appeal shall be held within thirty (30) days of the date on which the City sent the notice of intention to assess liquidated damages unless mutvally extended by the City and the Grantee. After such hearing, and bfjed on the facts before it, if the City Council finds (a) that an extension of time or other relief should be granted, or (b) that there was never a violation, then it shall naive the City Manager's assessment of liquidated damages. If the City finds that the facts warrant the assessment of liquidated damages, or any ,l portion thereof, the City may at any time thereafter draw the amount of liquid damages from the security fund established pursuant to Section 5 1/2-61 of the Cable Ordinance up to the full amount of accrued liquidated damages to such date. In << considering whether or not to waive all or a portion of any liquidated damages assessable against the Grantee hereunder, the City shall consider, without limitation, the number, frequency and magnitude of any prior breaches of this Agreement by the ti Grantee and the speed with which the Grantee cured such breach or breaches. SECTION XVIII. FORFEITURE. If Grantee should violate any of the terms, conditions or provisions of this franchise or if Grantee should fail to comply with any reasonable provisions of any ordinance of the City regu- lating the use by Grantee of the streets, alleys, easements or public ways of the City, and should Grantee further continue to violate or fail to comply with the same for a period of thirty (30) days after Grantee shall have been notified in writing by the City to cease and desist from any such violation or failure to comply so specified, then Grantee may be deemed to have for- feited and annulled and shall thereby forfeit and annul all the rights and privileges granted by this franchise; provided that such forfeiture shall be declared only by written decision of the City Council after following the procedures set forth in Section 5 1/2-23 of the Cable Ordinance and an appropriate public pro- ceeding before the City Council affording Grantee due process and full opportunity to be heard and to respond to any such notice of • violation or failure to comply; and provided further that the City Council may, in its discretion and upon a finding of violation or failure to comply, impose a lesser penalty than forfeiture of this franchise or excuse the violation or failure to comply upon a showing by Grantee of mitigating circumstances. Grantee shall have the right to appeal any finding of violation or failure to comply and any resultant penalty to or seek relief in any court of O competent jurisdiction. In the event of any determination by the City to revoke this Franchise Agreement, such a determination • O shall be stayed during the pendency of any judicial review thereof. PAGE 13 0 0 • - v • 380 SECTION XIX. TRANSFERS. All of the rights and privileges and all of the obligations, duties, and liabilities created by this franchise shall pass to and be binding upon the successors of the City and the successors and assigns of Grantee; and the same shall not be assigned or transferred without the prior written approval of the City Council, which approval shall be sought and obtained in accordance with Section 5 1/2-26 of the Cable Television Ordinance. Grantee specifically agrees to comply with the provisions of said Section 5 1/226. SECTION XX. FRANCHISE FEE. In consideration of the terms of this franchise for the first ten years from the date of Grantee's acceptance of the terms of the franchise, Grantee a~ggrees to pay to the City a sum of money equal to five percent (5Z) of Grantees gross subscriber revenues per year pursuant to the provisions of Article I of the Cable Ordinance. Thereaftcr, for the remainder of the term of the agreement, Grantee shall pay to the City a sum of money equal to seven percent (7Z) of Grantee's gross subscriber revenues per year. If the law does not allow the City to charge Grantee a franchise fee in this amount, Grantee shall continue to pay five percent (5x). The Grantee shall pay to the Cit; in quarterly installments within forty-five (45) days after March 30, June 30, September 30 and December 31 of each year the franchise fee attributable to gross receipts of the Grantee during the preceding quarter. SECTION XXI. RATES. To the extent permitted by federal and state law, the `City may regulate the following rates, fees and charges: i (1) Rates for the provision of basic cable service to subscribers whether residential or commercial, including multiple tiers of basic cable service. • (2) Rates for the initial installation or the rental of one set of the minimum equipment which is necessary for the subscribers' receipt of basic cable service. (3) Any other rates for any type of services delivered by the Grantee that may become subject to local , regulation. s The Grantee may petition the Council for a change in rates • • subject to regulation by filing a proposed rate schedule with the City Clerk. The procedures outlined in Section 5 1/2-10 cf the Cable Ordinance shall then be followed. PAGE 14 • Q k 381 ~~...~-....mow. _ ,y. SECTION XXII. ACCESS TO SERVICES AND FACILITIES. Grantee shall provide the minimum range of services. required from time to time by the FCC as its regulations presently exist or may hereafter be amended including, without limiting the foregoing, public, educational and governmental use channels in accordance with the following conditions: ti (a) Grantee shall provide and maintain five channels for J public programming, educational programming and governmental programming, three initially and, in the event that tho conditions. of Section 5 1/2-91 of the Cable Ordinance are met, Grantee shall provide additional access channels. In any event, Grantee shall provide and maintain at least five channels not later then November 1, 1993. (b) The three initial channels, which are being maintained as of the date of Grantee's acceptance of this Agreement, shall be designated for the following use: (1! University of North Texas (2) Texas Woman's University (3) Public Access/Local Organization (c) The access channels described in subsection (a) above shall be made available for non-commercial use to qualifying applicants without charge when requested all in accordance with the rules hereinafter mentioned. (d) Rules shall be established by the cooperative effort of City and the Grantee regarding access programming, priority of ? use for the access channel, prohibition of lottery information, obscene or indecent matter, and permitting public inspection of the complete record of names ;nd addresses of all persons or ` groups requesting access time. (e) Should a dispute arise between the user of an access channel and the Grantee relative to the quality of the audio or visual signal, at the request of either, the dispute will be submitted to an independent engineer to be jointly selected by City and Grantee. The party requesting that such testing be performed shall be required to pay for the cost of testing and analysis performed by the engineer, unless the engineer shall find that there is a distortion of signal quality. If a distortion is found, the party responsible for causing the distortion shall pay the cost of testing. , • (f) The Grantee shall provide "A/B switches" and "lock • boxes," or similar parental control devices. at a reasonable price to any subscriber upon such subscriber's request. PAGE 15 e s> e 1 3 8 2 4 i (g) Subject to Section 5 1/2-40 of the Cable Ordinance, the Grantee agrees to provide reasonable equipment to be used by } access cable casters with the aid of a technical and production staff to be provided by the cable operator. Equipment that can store programs for later showing shall be provided. In addition, Grantee shall make available a centrally located studio to all access users on a first-come, first-serve basis. Grantee shall provide, at a minimum, the production equipment and facilities designated in Exhibit 3. All equipment shall be maintained in good working order by Grantee and shall be replaced as needed, , consistent with good operating practice. ' (h) Grantee agrees to continue to maintain a local programming studio containing the equipment specified in Exhibit v' 5, and shall provide adequate staffing for the local programming studio and for training of the public in the use of production equipment. Grantee shall keep a log of inquiries by citizens requesting such training and shall conduct free training sessions in use of cablecasting equipment and cablecasting techniques not less than once each three months during the term hereof. (i) Grantee also agrees to provide an instructor and the facilities to train, without charge, once per year, potential access users through sessions offered through the Denton Independent School District. (j) Grantee shall establish rules and rates if necessary, to ensure that the studio is available in an equitable manner provided that Grantee shall not, charge for use of the public and educational access channels unless City has approved the charging of the proposed fee. (k) The partiec hereby incorporate by reference the provisions of 47 U.S.C. 532, "hich provisions are hereby aaended to apply to the Grantee and the City, as appropriate. These provisions are incorporated herein to assure that the widest possible diversity of information sources are made available to the residents of the City from the Cable System in a manner consistent with the growth and development of the Cable System. • Grantee shall undertake any and all construction installation necessary to keep current with the latest technological and economically feasible developments in the state-of-the-art cable television, whether with res ect to increasing channel capacity, developing new services, andp instituting two-way service or -any other state-of-the-art technology. Further, Grantee specifically , • agrees to comply with Section 5 1/2-93 of the Cable Ordinance. e e PAGE 16 • a • 383 SECTION XXIII. EMERGENCY OVERRIDE. Grantee shall provide end maintain the equipment necessary for the City to maintain an emergency alert system to override, by remote control, the audio end/or video signal to transmit a message regarding a bona fide emergency over all cable video channels simultaneously. Grantee shall designate a channel which will be used for emergency broadcasts. Grantee shall provide a remote data terminal, telephone lines, modems, cables and any other items needed to adequately supply this service. Such equipment shall be maintained at a location designated by City. SECTION XXIV. PROGRAMMING MIX. (a) Grantee agrees to provide programming that maintains the mix of distinct and separate channels that is presently provided and listed in Exhibit 4. In accordance with the Cable Act, the Grantee shall, for the term of this Agreement, maintain the mix, quality and level of programming aet forth in Exhibit 4. (b) In addition to the programming mix indicated above, Grantee will use the upgraded system to provide a wide range and assortment of optional programming services. Grantee shall provide, at a minimum, the following additional services: (1) Provision of an additional full channel space for films and cultural entertainment programming (2) Provision of an additional full channel space for children's entertainment programming (3) Addition of a full channel space for documentary, public broadcasting programming (4) Addition of a full channel space devoted to weather information service (5) Addition -.t a Pay-Pr.'-view Channel • (c) Such services shall be provided not later than November 1, 1994. Grantee agrees to produce a minimum of 400 hours of local origination programming annually. One hundred (100 hours of such programming may be supplied from other Sammons local origination sources. SECTION XXV. FORCE MAJEURE. e • • In the event the Grantee's diligent performance of any of the terms, condition3, obligations or requirements of this Agreement is prevented or impaired due to any cause beyond its reasonable PAGE 17 f O 1 w _ i► • f 384 control which was not reasonably foreseeable to the parties hereto, such inability to perform shall be deemed to be excused for the period of such impairment, and no penalties or sanctions shall be imposed. Before invoking this Section, the Grantee must have exercised good faith in attempting to perform such terms, conditions, obligations or requirements. Causes beyond the Grantee's reasonable control and not reasonably foreseeable to the parties hereto shall include, without limitation, labor unrest and strikes. Upon its best good faith efforts to obtain all authorizations on an expedited basis, the Grantee shall also be excused for time delays in construction requirements in Section VI which are caused by unreasonable delays on the part of utility companies or the City in issuing licenses, permits or authorizations for poles and conduits or other authorizations necessary to continue construction. Where the Grantee cannot obtain access to any individual's property, after due diligence and a good faith effort by the Grantee to obtain access to such property, compliance with the terms of this Agreement shall be excused by the City as to that individual and the consequential effects thereof only, and only for such period as the property is inaccessible. Where the cause beyond the Grantee's control is either an act of God or civil emergency, an 'nobility to perform during such period shall not be an independent ground for termination of this Franchise Agreement. SECTION XXVI. NOTICES. All notices, statements, demands, requests, consents, approvals, authorizations, offers, agreements, appointments or designations hereunder by any party to another shall be in writing and shall be sufficiently given and served upon the other party, immediately if delivered personally or by telex or telecopy (provided with respect to telex and telecopy that such transmissions are received on a business day during normal business hours), on the second business day.after dispatch if sent by first class mail, registered or certified, return receipt requested, postage prepaid and addressed as follows: The City: City of Denton, Texas • 215 E. McKinney Street Denton Texas 76201 j Attention: City Manager 1 1 The Grantee: Sammons Communications, Inc. 500 South Ervay Street, Suite 200-A , • Dallas, Texas 75201 O O Attention: General Counsel PAGE 18 • 0 I • 1 ca • ' 3 8 5 SECTION XXVII. SAVINGS CLAUSE. r, If any section, subsection, sentence, clause, phrase or portion of this ordinance is for any reason held invalid or unconstitutional by a federal or state court or administrative or`;. governmental agency of competent jurisdiction, specifically including the Federal Communications Commission, such portion shall be deemed a separate, distinct and independent provision, and such holding shall not affect the validity of the remaining portions thereof. :r . SECTION XXVIII. CONFLICTING ORDINANCES AND RESOLUTIONS. All ordinances nr resolutions in conflict herewith are expressly repealed to the extent of such conflict, except that in the event of a conflict between the Cable Ordinance and the franchise agreement, the ordinance shall prevail. SECTION XXIX. FEES. This franchise ordinance renews and extends that Ordinance which has previously been granted for the operation of Cable television services in the City of Denton, Texas. Grantee agrees to pay to the City of Denton a lump sum fee of $91,027, $5,000 of which was paid by Grantee on July 8 1988, and the remainder of which will be paid u,,on acceptance of this franchise agreement b the Grantee. The sum of Sixty Thousand Dollars ($60,000 represents a voluntary contribution by Grantee in lief )f capital expenditures and Grantee agrees that such payment may not be deducted from the franchise fees provided for herein. Grantee specifically agrees, and to the extent permitted by law, waives any rights to claim to the contrary. The City agrees :o use such funds for the operation of the Local Government Cbanuel. Grantee agrees to pay the sum of $31,027 to reimburse Citj for the costs incurred in preparing, re-iewing and awarding this franchise. SECTION XXX. PAYMENT OF TAXES. The Grantee covenants and agrees that it will pay and • discharge, or ce,se to be paid and discharged, in timely fashion all payments in lieu of taxes, service charges, assessments, utility fees, user fees and otter governmental charges which may lawfully be imposed upon the Grantee with respect to the Grantee or the Cable System or any portion thereof or relating thereto, or upon the revenues and income theref:,)m and will pay all lawful claims for labor, material and supplies which, if unpaid, might O become a lie.. or charge upon any of said properties, revenues or • income ar which might impair the security interest granted by this Agreement or the value of the Cable System or the Grantee; provided that nothing it this Section shall require the Grantee PAGE 19 • 386 z:. ' i. { to make any such payment so long as the Grantee in good faith shall contest the validity thereof. F SECTION XXXI. NON-LIABILITY. a; The City shall not be liable to the Grantee or any other person or entity for death or personal injury or for loss, damage or destructior of property in, on or about the !able System or any part thereof by or from any cause whatsoever rther than the City a own negligence or willful misconduct, nor shall the City be liable in any way or regard to the Grantee or to any of the r: Grantce's affiliates, officers, directors, mem*-ers, agents or employees if any claim is asserted against the Grantee by any taxing authority or other entity as the result of any election or decision which the Grantee may make or may have made with respect to the Cable System for purposes of filing federal or state income or franchise tax returns or making any other type of filing what- soever; and the Grantee shall indemnify and save harmless the City. and its officers, ag.ants and employees from, and defend the same against, any and all claims, liens, liabilities, expenses (includ- ing attorneys' fees and disbursements), losses and judgments arising from death or personal injury or from the loss, damage or destruction of property of any person or entity resulting directly or indirectly from any acts, omissions or negligence of the Grantee, its officers, agents or employees with respect to the use of, occupancy of, or operation in, on, of, or about the Cable System or the Grantee. SECTION XXXII. WAIVERS. No waiver by City of any breach, default or violation of the terms, covenants or conditions hereof to be performed, kept and observed by Grantee shall be construed to be or act &4 a waiver of any sub,equent default of any of such terms, covenants and conditions. SECTION XXXIII. APPROVAL AND ACCEPTANCE. In accordance with Section 13.02 of the City Charter, this ordinance shall become effective twenty-one (21) days after final approval, if, before that date. Grantee shall give its written acceptance of this ordinance by signing as provided below; and provided that, after final approval and before the expiration of twenty-one (21) days, the full text of this ordinance shall be published once each week for two (2) consecutive weeks in the official newspaper of City, the ex;;ense of which shall be borne • by Grantee. ' Grantee for itself, its successors and assigns hereby accepts • • this ordinance and agrees to be bound by all of its terms and provisions. PAG°_ 70 • w • 387 PASSED AND APPROVED on first reading, this the _ day'. of ~`Zr.4kjj JA J 1988. PASSED AND APPROVED this the LTtA day of 1988. ATTEST: (Im WAY, FM APPROVED AS TO LEGAL FORM: DEBRA ADAMI DRAYOVITCH, CITY ATTORNEY BY: L(~l) G GRAATEE SAM ONS COMMUNICATIONS, INC. sa ~ics~•es,dl.,r PAGE 21 • 0 • 0 5 DENTON oo1 a3 0000 q ooo OF D 000- ~ ti ~~pp DOOM ~o pD dG ~ o 0 C. D d 0 °00 to o 000 ti ~ o ~ ~OOO Op~~ N , ~OpO aoaaaoa~o CITY COUNCIL o r • o • ~r ENO Ilk& " WL "e CITY of DENTON, TEXAS MUN)CIPAL BUILDING • 215 E WKINNEY• DENTON, TEXAS 76201 (81?) 566.8206 • DFW METRO 434.2529 MEMORANDUM r,. DATE: September 6, 1995 TO: Honorable Mayor and Members of the City Council FROM: Jon Fortune, Chief Finance Officer V(t~ SUBJECT: APPROVAL OF HOTEL OCCUPANCY TAX RECIPIENT 1995-96 PROPOSED BUDGETS Please find attached resolutions approving each hotel occupancy tax recipients' proposed 1995-96 budget. Each recipient budget was presented to Council on August 22, 1995. The purpose of the budget is to demonstrate how each recipient plans to use hotel occupancy funds to promote tourism and the convention and hotel industry for the forthcoming budget year. 9E-98 RECIPIENT BUDGET 1 Chamber of Commerce - Convention and Visitor Bureau $205,920 21 Denton County Historical Foundation s 4,680 3) Denton County Historical Museum $ 64,740 41 Greater Denton Arts Council $ 72,540 5) North Texas State Fe;. Association $ 68,640 6) Denton Black Chamber of Commerce $ 5,000 • 7) Denton County Amphitheater Association $ 3,000 E) Denton Festival Foundation $ 3,000 9) Denton Historic Landmark Commission s 1,000 10) Denton Main Street Association $ 15,000 1 hope this information is helpful. If I may answer any questions, please advise. S Thank you. , • • ,1F of AFFOOF40 'Dedicated to Quafiry Service" • 0 • i 1i\►ptbcalres\chr.ta~ RESOLUTION NO. A RESOLUTION APPROVING THE FISCAL YEAR 1996 BUDGET OF THE CHAMBER OF COMMERCE CONVENTION AND TOURISM BUREAU FOR HOTEL OCCUPANCY TAX FUNDS, PURSUANT TO CHAPTER 351 OF THE TEXAS TAX CODEo AND PROVIDING AN EFFECTIVE DATE. THE COUNCIL OF THE CITY OF DENTON HEREBY RESOLVES: SECTION i. That, in accordance with Tax. Tax Code Ann. S351.102(c), the City Council of the City of Denton hereby approves the budget of the chamber of Commerce Convention and Tourism Bureau for hotel occupancy tax funds, a copy of which is attached hereto, pursuant to the Agreement between the City and the Chamber of Commerce Convention and Tourism Bureau. SECTION Ii. That this resolution shall become effective immediately upon itu passage and approval. PASSED AND APPROVED this the _ day of , 1995. BOB CASTLEBERRY, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY BY: r• • • • • I DENTON CONVENTION & VISITOR BUREAU MARKETING PLAN 1995-96 • Prepared by Jo Ann ©allantine • Uireclor ~ ~ • - O • 3 DENTON CONVENTION & VISITOR BUREAU ADVISORY BOARD 1995-96 Chair: Carl Anderson Members: Janet Ilarreld Lucy Haverkamp Jane Jenkins Jack Miller Ex-Officio Martha Len Nelson Chamber of Commerce Representatives: Priscilla Sanders, Chair Richard Mayes, Past-Chair David Biles, Treasurer 1 Chuck Carpenter, President • Convention & Visitor Bureau Staff: Jo Ann Ballantine, Vice President Robin Myles, Administrative Asst. 0 Jan Smithers, Information Asst. • • 1- to • Marketing Pian j, 1995-96 1. Introduction s s The primary mission of a ;onvention & visitor bureau is to SELL cities. It may too simple but bureaus are charged with the ttisk of developing an image that p. 'ons their cities in the marketplace as a viable destination for meetings and visitors. directive includes working with the various constituents who make up the hospitality industry in the community and all the other constituents who have a part in its mission. ID. The Penton Convention & Visitor Bureau (DCVB) The DCVB was initiated in 1976 by the Denton Chamber of Commerce and remains as a division of this organization. There is no membership structure within the lX:VB so all funding comes from the occupancy tax disbursement by the City of Denton. This is unique in that all remaining occupancy tax recipients receive other monies. The occupancy tax rate in Denton is 13%. Six percent is sent to the State of Texas for the geacral fund. Only one-half crone percent of this six percent state occupancy tax is sent to the state's tourism department. The City of Denton collects the remaining occupancy tax which is 7%. The distribution is as follows: Donlon Chamber of Commerce (it) operate the I)CVB) 37.71 Greater Iknton Arts Council 1125 North Texas Fair Association 12.5' Iknton County Ilislorical Museum 11.86 Donlon County Historical Foundation .86 City of Denton 12.08 Nc%kiy funded Organitatiom do be doctinlned) 5.86 City of Iknton Reserve 5.06 The DK VH operates vin an agrecuunt between tI.! City of Denton and the Denton Chamber of Commerce. A two-y car contract will be signed soon which provides 37.71% of the locally-collected tax revenue to the WNPI (down from 40,71°4). This contract begins October I. 1995 and ends Scptembcr 30, 1997. r i f • • s III. NlWion Statement The Denton Convention & Visitor Bureau exists for the purpose of soliciting conventions, tout groups, visitors, and fihn/television projects to the City of Denton to increase occupancy in the hotellmotel properties and to brine added revenues to Denton in the form of gross profits and sales taxes. IV. Participants in Plan Development The DCVB operates under an Advisory Board which makes raommendations to the Chamber of Commerce Board of Directors. This board includes Chamber members, two community volunteers, and two city council representatives. Recently the DCVB initiated a survey on its program. This survey was sent to the DCVB's Advisory Board, the Chamber of Commerce Board of Directors, Mayor, City Council, City Manager, hotel/motel staffs, and other hospitality partners within the city. This marketing plan is a result of the prioritizing of items within the survey. V. Situation Analysis The following is a list of the potential markets. A. crt Yht Visitors (kwQ Corporate (companies such as Peterbilt, Victor, Turbo, etc.) SMLRF (sports, military, educational, religious, fraternal) Motor Coach Tour Inbound char' -r (youth groups, camps at the univetsities) Film and television crews B. Overnight Visitors: Individual CummPrcial not part of a group With reservations: typical business traveler Without reservations: walk-ins Government per diem; group is talc sensitive Leisure typical tourists/highway travelers • Visiting friends and relatives Special event C. Day Visitors Business Visiting friends and relatives Special event./attraction 0 Drive-by; drive-Through Short-term television/film projects (commercials) • ~ a • VL The Industry in Denton r There are many hospitality partners who make up the destination team. They are those units which create an effective organization able to carry out a comprehensive, unified marketing program for its community. r 1. hotels/meeting facilities 2. convention center 3. attractions/fours 4. retail/discount shopping 5. entertainment/arts events 6. food and beverage 7. information centers/visitors 8. transportation network in the list above, Denton has most of these components. The following will provide details on each of the categories. L Ilotewmeeting facilities 2. Convention center Denton has 1 full-service hotel. I l motels, and 2 bed breakfasts within the city. Together they provide 1013 rooms. There are also two bed & breakfast properties located on ranches outside th city. The Radisson l loccl has completed its renovations; the Holiday Inn is in the process of upgrading its furnishings; the LaQuinta will be tackling additional cosmetic changes, and, two properties are in the process of establishing new franchise agreements. Two new b&bs are slated to open in late 1995. The occupancy rates are consistently on the rise and many week-ends the DCVA has referred potential visitors to area cities for accommodations, Denton maintains a civic center which, at times, could be used to host convention groups. However, this facility is limited due to its distance from the hotels/motels, little available parking, lack ('actual exhibit space, and no available meeting rooms. Its use is • confined more to craft or gun shows and local events. The city desires to renovate this building and has completed a feasibility study on this structure. However, the cost is high and at this time the City management has not determined a funding mechanism. With two college campuses in Denton, die city is fortunate to have many facilities for convention and tourisn opportunities. I lowever, there are times when the universities book camps, seminars, and con Ri rcnccs which limit the availability of space. J • f- o 3. Attractions/tours The Denton general brochure lists a number of special sites to see. One of the sites, the Courthouse on the Square, celebrates its 100th birthday in 1996 and will incorporate that event with the Sesquicentennial of Denton County (150 years young). A county-wide committee has been formed to develop a year's worth of activities. Horse racing has not materialized in North Texas and, conAquently, h,is not impacted Denton County as anticipated. I lowever, in its place comes NASCAR racing. The Texas Motor Speedway has broken ground next to Alli-ince Airport and hopes to hold several major races each year. This attraction is owned by the same company that operates the Atlanta and Charlotte motor speedways. Although the track will be south of Denton, the visitor impact on Denton will be significant. The historic downtown square has developed into a lively mix of retail businesses, antique stores, gift shops, and fun restaurants. 7 his was, and continues, via the Main Street Program. Because of the Main Street initiatives, efforts, and tenacity, downtown Denton is attractive and thriving. This is the kind of city which gives so much substance to a tourism program. The DCVB and Main Street are active partners in the promotion of Denton and the downtown area to residents and visitors. The only disappointment is the recent relocation of Schoppaul Hill Winery do Tasting Room to Grapevine, a neighbor to the south. i 4. Retailldiscount shopping Denton has a variety of shopping areas. I he Golden Triangle Mall, heated on the south side, is an anchor in that area. Shopping centers surround the mall and offer a diverse selection of consumer products and services. The historic downtown district also scores as an anchor in its area of town and offers much to area residents and guests. Other shopping areas dot the city and provide easy access for all needs. A current trend to offer discount goods is part of Denton's shopping scene. Exposition Mills Denton Factory Stores is located on 1-35 on the north side of the city and serves Denton residents, highway travelers from everywhere. Oklahoma, and metrop[ex visitors. • S. Entertainment/acts events Denton has an abundance of ac•livilics for residents and visitors listed in the the calendars of events and the aimuai events listing, There are ,niversity events, community events, and events initiated from out of Denton. • a • ,r The Vision 2000 process is still underway. I lwever, the "PLAY" group is working towards establishing an entertainment'historical/cultural corridor. These ideas- and efforts would certainly improve the appearance and offerings of Denton. Another area that could be offered as an alternative leisure area is the Fry Street secticn of Denton near University of North "texas. Currently, the Main Street Program is working with the i7 merchants to develop this area. 6. Food and beverage Denton has over 135 restaurants. The list includes locally-owned establishments, fast-food places, and many chain eateries. New restaurants include'oe Mama's, the Cattle Company, a second Wendy's, I Iern's Pasta .frill, a newly-r-modeled Crnny's, and i an upcoming Outback Steak I louse. = Recently, two well-known eateries in the Denton area were featured in magazines. In April's 5outhem LivjDg. Ranchman's Cafe in ponder was part of an article on steak houses. Then this month Bon Anoctit showcased Clark's BBQ in Tioga. Denton is a dry area no package e'ores are in the city. Alcoholic beverages are available in restaurants and bars via a club membership. However, this arrangement requires a patron to possess a number of club cards (or a Unicard for some chains) at a cost of S 1-5 each. Another limitation is an earlier than usual closing time. These two laws could affect some groups' deci.:ioas to bcwk meetings in Denton. 7. Information centers The DC'VB opened a Visitor Information Center (VIC) in Drcembcr 1993 at Exposition Mi',s Denton Factory Stores to provide information and material to residents and visitor,, about Derton, the DPW Mciroplex. and the entire stare of texas, This facility was located an the interstate and north of the city to make it 1 accessible to visitors. I he I Lunt C'orpori0on, owner of the center, offered free space in a five-year lease. The center operates every day throughout the year except 2-3 holidays. It is run by a few volunteers and some paid slat f. A In 1995 the large exterior sign was finally, placed on the tower section. At the same time the southhound billboard near Sanger was changed to direct travelers to the VIC. Because of these two things, the bC'VB has increased its traffic count in the VIC from 344 • January 1995 to 688 in Junc. 8. Transportation nehvork • Denton is fortunate to l e located on one of the major interstates in the U.S. It runs from the tip of Crnada through the mid-west into 1'exas and down to Laredo. Access to Ucnton is easy via I-35F, I-35W, and Ilighway 380. i Another accrss is via the DF W I itemational Airport. It is located only 25 miles north of Denton and is connected by 1-35E and Highway 121. It is the second busiest airport in the world. Love Field in Dallas is also a major airport 35 mites south and connects to Denton via 1-35E. Rental cars, limousine service and taxis a,e available in the Denton area. Limitations include +he trolley service not extending beyond 7 p.m. and running only Monday through Saturday and not enough shuttle service between the airports to serve the hotel/motel indusby in Denton. Summary The DCVB is working diligently to incrcasc the convention and tourism business in Denton. Although the specific mission of the DCVB is to increase occupancy tax revenues, other monies are generated to Denson businesses through the program of the DCVB. Although the Bureau desires results that can be measured, the success of the total program cannot always be evaluated in dollars. wldminlm~iul • I p • Y' fr CONVENTION b VISITOR BUREAU PROPOSED BUDGET 1995 1996 - }RECEIPTS: ~94 95 budget 9598 Proposed Budget _ I - - - - _ 200 Income S 185 126 _3205,920 - - - - 1021103 Reserve Fund 80 950,924_ 202 Reserve Trensfer/Awareness !0 $50,000 203 Interest Income 13 700_ - 93,700 204 Misc Income $0 _ SO 205 Marquee Billboard 84.1100 9500 TOTAL RECEIPTS: 5193,626 9311,044 300 Salaries $77,250 981,121 305 Salaries !Temporary Services 11,500 _91,500 308 Salaries VIC $10.000 $13,500 309 Misc Expense !0 !0 31Q Retirement $2,004 _ !2,001 311 Car Allowance 94,200 $4,200 315 Payroll Taxes 15,000 $7,800 - - - 320 Health Insurance 57,236 19,205 - AVLAC - - 321 _ - Insurance -'10 10 322 Liability Insurance 1500 9500 323 Life Insurance _ 40 _ 80 325 Travel h Training $2,000 $2-000 330 Equrprnent - - 9300 $500 331 Copy Machine 9650 1700 332 Computer !4000 52,000 333 Renovation Expense 90 815,000 334 Other - --$0 - 80 4_01 _ Jt ice Supply _ 81 000 _ 11,400 406 Telephone Service $3,120 _ $4,600 407 Metro Line 91 380 S 1 380 415 Audit 11,000 1850 420 Printing 82,500 12,500 • 424 51FYV Awareness Campaign I 90 150,000 425 Postage / 1 750 43,500 426 Accounting SO 13,500 500 Convention iContract Salaries 88,000 /Q 502 SoticitationlTravet $13,000 113,000_ - -Ser- i 503 Convention vrce - _ _ $4,000 82,000 504 Convention Advertising 86 000 ~0 505 Convention Promotional Events 81 000 !1,000 • • 506 Convention Trade Show - - - - - 32 000_ $0 508 Membership/Subscriptmn l 81000 81,000 Tourism Salaries/Contract Service 810,000_ $0 512 Travel/Special Projects 84,000- ---112,500 Pnrge 1 • 0 • • 513 Tourism Service 6 ,000 7 , 514 Tourism Advertising - 626,000 -1147,600 426 Marques Billboard 616,000 _ 116,000 515 Tourism Promotioal Events _ 60 10 518 Tourism Trade Show t10,000 110,987 517 Tourism Promotional Materiel 415,000 112,000 518 MerrbershiptSubscription 12,500 61,800 520 Film Commission 14,500 _ 43,500 521 Brochures 40 10 622 Visitors Center 110,848 17,000 TOTAL DISBURSEMENTS: ~ 1278,038 6311,041 • Page 2 r. • _ O r • • I I , ~,a.;'.r::,r°:6RA~'~°.I(IF°1tM~Mli.M%'E:titst~:t:.RU'w•a•a•.~e•.:.n..nr,~•,.:••:..w:...,.:rr.,...r..ww.+.s.I•.wrv-:Tw.a~..~~aawn .1N1'~. 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"'v rude Mnwn A IV?(T • M1 awlw M,nan ^•a14 a.nu•nsll •Irarvna a.nr • i I ~ I a• Ylar I + ~ nnl. n1tKwT10V wTn1n~ ' I ~ I 41a TINN ►+w aaln•a~w ae•w•TWtiM Ran I IarIT f •TI'r'plw...lw.>'.•."+I•+` I'Glma•of II ~GNnnr al i CWndIrN CanIKrN • T.o lara•Casla Ml+. w ll~,w+fw..,,, ~,w.r.w [.mn tans I I t,ms I i 1•ms •ra swl•a~,rra Nwi •Can ~ • fi+• w aari wls nr w f•aenw, +J • TI a~ a~iaal TN ~Y. • TI,INnI M'J..N •1a1. ' ~rollen I[ ~ I I Iwnmrt d'f! + ~ II II ~ i l ,I 1 11, 1 • tp. , ~ ~t a H i}~d ~,yy;G ~~rS~ A'fR"•~yt~e`yf~f e ~g""33~~~4" • • I:%wpdonXres~hist.t@r RESOLUTION NO. A RESOLUTION APPROVING THE FISCAL YEAR 1996 BUDGET OF THE DENTON COUNTY HISTORICAL rouseATION FOR HOTEL OCCUPANCY TAX FUNDS, PURSUANT TO CHAPTER 351 OF THE TEXAS TAX CODE; AND PROVIDING AN EFFECTIVE DATE. THE COUNCIL OF THE CITY OF DENTON HEREBY RESOLVES: SECTION I. That, in accordance with Tex. Tax Code Ann. 5351.101(c), the City Council of the City of Denton hereby approves the budget of the Denton County Historical Foundation, Inc. for hotel occupancy tax funds, a copy of which is attached hereto, pursuant to the Agreement between the City and the Denton County Historical Foundation. SECTION Ii. ::at this resolution shall become effective immediately upon its passage and approval. PASS?) AND APPROVED this the day of , 1995. BOB CASTLEBERRY, MAYOR ATTEST: JENNIFER HALTERS, CITY SECRETARY BY: • APPROVED AS TO LEGAL FORM: i HERBERT L. PROUTY, CITY ATTORNEY ,7 ^~j v L° BY: 14~ ~4 • I • r r M DENTON COUNTY HISTORICAL FOUNDATION, INC, P. O. SOE 1184 4 + Demon. Texas 76202 i DENTON OWN" eWNTNom BMT +Ms August 15, 1995 John Fortune Finance Officer City of Denton Denton, Texas Dear Mr. Fortune: The board of directors of the Denton County Historical Foundation on this date approved the attached budget for the hotel occupancy tax for the city of Denton. The board is very pleased to be a recipient of funds for the historic preservation of the city of Denton. The assistance provided by you and the cityof Denton internal auditor to our staff is greatly appreciated. Please know we will continue to work with you and the : ity ra ncil to the betterment of the residents of Denton. truly, rvourene Matthews Ch/air~man, Sfe dens Secretary ~ cc enc • I- ~ • DENTON COUNTY HISTORICAL FOUNDATION, INC.----- P. O. Box 2184 Moron, Texss 76202 DEW70N 0"Iy 00ATH000E WAI \a ROM OCCUPANCY TAX - 1995 - 1996 ANNUAL 11UDMT (other Sources of Looms excluded)' HUDMT Hotel Occupancy Tax 4,680. City of Denton X70:111538 1.00► Slides/photographs 250. 2.002 Archives/Raference Library 100. 3.002 Publications 750. .013 Pab.raprints .022 Brochurea/Mps 4.002 Projection sgaip/cap 100. 5.003 Menberships,training/ subscriptions 1,000. 6.003 Heritage Projects 1,000. .012 Historical Markers .022 Cemetery Projects .039 Sesquicentennial/ j Centennial Projects 7.002 easiness Officelopes 10000. .012 Audit/IRS 501 a 3 reports 8.002 Historical sdacation 200. 9.003 Capital 1wrowtnsnts 100. 10.002 Contingency IUnd 180. • _ A • J: \+9docs\ res\na*. t u RESOLUTION NO. A RESOLUTION APPROVING THE FISCAL YE%A 1996 BUDGET OF THE DENTON COUNTY HISTORICAL MUSEUM FOR HOTEL OCCUPANCY TAX FUNDS, PURSUANT TG CHAPTER 351 OF THE TEXAS TAX CODE; AND PROVIDING AN 07TECTIVE DATE. THE COUNCIL OF THE CITY OF DENTON HEREBY RESOLVES: SECTION I. That, in accordance with Tex. Tax Code Ann. g351.101(c), the City Council of the City of Denton hereby approves the budget of the Denton County Historical Museum for hotel occupancy tax funds, a copy of which is attached hereto, pursuant to the Agreement between the City and the Denton County Historical museum. SECTION II. That this resolution shall become effective immediately upon its passage and approval. PASSED AND APPROVED this the _ day of , 1995. BOB CASTLEBERRY, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: • APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY BY: rC;"~~~ 11 , c a i 1 Denton County Historical Museum, Inc. August 16, 1995 John Fortune Financial Officer City of Denton Denton, Texas Dear Mr. Fortune: The Denton County Historical Museum is pleased to provide our hotel occupancy budget for 1995-96 to the City of Denton. Additional pictorials will be provided in packets for the city council. Thank you for your assistance in the preparation of the required reports. We look forward to a continued excellent relationship with the staff and city council of Denton. Sincerely, arn, a BMatthews T ynn m l e tor ~i cc • enc ~ • • P.O. Box 2800 Denton, Texes 76202 Courthouse-on-the-Square 501JC) (3) Non-Profit Telephone: (817) 565-8697 or 565-8693 • t-800446-3189 • FAX: (817)565-8693 0 0 • - p • i y Denton County Historical Museum, Inc. Hotil Oaoupanay Tax Fund Budget City of Denton, Texas 1995 - 1996 Approved Board of Trust Meeting July 24, 1995 (no other funds shown) REVENUE EXPENDITURES 1.01 Lalor Funds $ 64,700. 1.02 Bankone (Interest) 500. 1.10E Director Salary $31,700. 1.11E Collection Mgmt Salary 16,700. 1.12E Contract Labor 10000. 1.13E Security/Maintenance 1,000. 1.20E Volunteer Recruitment 100. 1.21E Volunteer Recognition 250. 1.22E Volunteer Training 100. 1.23E Trustee Projects 200. 1.30E Tourism Promotion/Training B, 000. 1.31E Museum Assn. Memberships 400. 1.32E Professional Journals 100. 1.40E Bookkeeping 11800. 1.41E Audit 10000. 1 1.42E Office Supplies 200. 1.60E Insurance _ 2,600. • SUB TOTAL 65,240. 65,240. J P.O. Box 28t3Q Denton, Texas 76202 Courthouse-on-the•Squve 501(0) (3) Non-Profit Telephone: (8: 7) 365.8697 or 565-8693 • 1.800.3463119 • FAX: (117) 5654693 4 h . • • • f : \wpd0c$ \rnoU r t tt a. rn RESOLUTION NO. A RESOLUTION APPROVING THE FISCAL YEAR 1996 BUDGE,r OF THE GREATER DENTON ARTS COUNCIL FOR HOTEL OCCUPANCY TAX FUNDS, PURSUANT TO CHAPTER 351 OF THE TEXAS TAX CODE; AND PROVIDING A% EFFECTIVE DATE. THE COUNCIL OF THE CITY OF DENTON HEREBY RESOLVES: SECTION--j- That, in accordance with TeX. Tax Code Ann. 5351.101(c), the City Council of the City of Dento.t hereby approves the budget of the Greater Denton Arts council for hotel occupancy tax funds, a copy of which is attached hereto, pursuant to the Agreement between the City and the Arts Council. SECTION TT. That this resolution shall :>ecome effective immediately upan its passage and approval. i PASSED AND APPROVED this the day of 1995. BOB CASTLE-BERRY, MAYOR ATTEST: JENNIFER WALTFRS; CITY SECRETARY BY: • APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY BY: A✓~ C W-Y~ • I~ • Greater Denton Arts Council Budget 1995 - 1996 Hotel/Motel Occupancy Tax; Cash Beginning 0 RECEIPTS Hotel/Motel Tax 72,540 Interest 257 72,797 DISBURSEMENTS Administrative Salaries: Full-Time 38,839 Part-'rime 7,458 Operating Office Supplies 1,200 Telephone ;,300 Copier Supply/Service 500 Postage 1,200 Office Equipment 400 Computer Expense 1,300 Public: Programs Meadows Gallery Public Exhibitions 13,500 East Gallery Public Exhibitions 800 Permanent Collection 500 Performing ArLs Event 2,000 On My Own Time Exhibit 1,500 Informational Newsletter 1,000 Other Publications 200 • Educational Workshop/Classes 11000 Other 100 72,797 Cash Ending 0 I- w • GREATER DENTON ARTS COUNCIL A SUMMARY OF PROGRAMS AND SERVICES FISCAL YEAR 1995 - 1996 Prepared for the Denton City Council Denton, Texas August 22, 1995 • HIGHLIGHTS OF THE YEAR Over 42,000 visitors and users at the Center for the Visual Arts. Completion of renovation of the Campus Theatre, the Greater Denton Arts Council now provides facilities for both our visual artists and performing artists Successful continuation of On My Own Time program. Eighth anniual Materials: Hurd 6 Soft. National juried contemporary crafts exhibition. This show has been recognized regionally and nationally. ' FINANCIAL HIGHLIGHTS Highest membership in numbers (over 500) and amounts (542,000) ever in history of the Council. $23,790 in grants to arts organizations and $23,500 more committed for coming year. Ongoing support from Union Pacific, The Arts Guild of Denton, and the Denton Benefit League. Awarded a Iotal of $9,247 from Texas Commission on the Arts, • • +L4 Y F ,ln 1 r • a • I ' CENTER FOR THE VISUAL ARTS Denton's Community Visual Arts Center HIGHLIGHTS: Successful schedule of classes and workshops Between 40,000 and 45,000 users during 1994.95 fiscal year. Over 2,000 out of town visitors io galleries t, Addition of bookshelves & ai books to resource room GDAC manages and operates the Center for the Visual Arts. During the past year, the Center has averaged between 3,000 and 4,000 users monthly. It is the site for a vast array of programs, events, meetings, classes, rehearsals, and occasional social events. A sampling of the types of events available at the CVA during the past year include: gallery tours for school children art classes for children and adults children's theater classes and performances fundraisers for non profit organizations City of Denton meetings and events art exhibitions workshops a~ theater performances lectures dance performances opera musicals orchestra concerts recitals public receptions children's concerts This hardly exhausts the list of programs and events held at the Center, h is used for rehearsals by eight dance organizations, and the Community Theatre held its season there. Any given arts medium may be 0 found at the CVA on any given day. The Center also houses the offices 0 the Denton Community Theatre (until 7195), Denton Festival Foundation, and the North Texas Area Art League, Many organizations use the Center for monthly meetings. There are usually 4 or 5 daily uses of the Center and it is not uncommon to have three functions going on simultaneously. A "typical" day at the Center would consist of 100 • 200 persons involved in any of four different arts or community related activities. • • • . ..w4f 12 0 a C'4 i~ ~r ,h.f: 0 r c>, • C~ y MEADOWS GALLERY AND EAST GALLERY Demon's Public Gallery HIGHLIGHTS: r ' Eighth anniversary of nationally recognized Materials: Hard and Soft contemporary crafts compeldion and exhibition (Entries from over 40 states). 'Y ' Gallery attracts hundreds of out of town visitors. The Meadows Gallery and the East Gallery are located in the Center for the Visual Arts. Pubk hours are 1 to 5pm, Sunday through Friday except Thursdays when they are 1 to Tom. There is no admission charge. During the past year over 10,000 persons attended our exhibitbns. Based upon our guest took entries, between 20 and 30 percent of our visitors are from outside Denton. The GDAC provides a year round schedule of exhibitions in the Meadows gallery Gallery lectures, special lours, and periodic evening hours have helped make the gallery even more available to the public. Although professionally managed, some of the gallery work is done by volunteers. The GDAC exhibition committee helps select shows and assists in their installation. Our docent program provides daily volunteers to monAOrlhe gallery and assist visilors. ;t The East Gallery is we flexible in scheduling exhibits and can be renled by individualartists to display their work. GDAC also mounts exhibits in this gallery tr THE CAMPUS THEATRE F Denton's Community Performing Arts Center HIGHLIGHTS: State of the art 1.7 million renovation completed ' Grand Opening July 6, 7, 8. ' Over 1,200 persons attended opening events 1 The Campus Theatre renovation was completed during fiscal year 1994-1995. $1.7 million was raised to finance this renovation. All out $450,000 of this money was raised locally. This state of the art peformance hall will provide a home for all of 60AC's member performing arts groups. The bu+idmo contains a performance hall (with theatrical slaging), dressing rooms, scene shop and offices. It is equipped with theatrical lighting, rigging and sound. By contract with GDAC, the Denton Community Theatre is the managing • resident company and is responsible for operating costs The City of Denton provides utilities and some • • maintenance costs • 0 • 0 • r GRANTS PROGRAM HIGHLIGHTS: During fiscal year 1994.95 GDAC paid $23,790 in grants to Denton ads-producing nonprofit organizations. GOAC also awarded an additional $23,500 to be paid out during the 1995-96 fiscal year. Grants program funds are provided by The Ads Guild (TAG). SUMMARY OF 1994.95 GRANTS PAYMENTS ORGANIZATION AMOUNT Dance*ess 5800 Denton Bach Society 2,500 Denton Civic Ballet 2,000 Denton Community Band 1500 Denton Community Chorus 1 100 Denton Community Theatre 7,875 Denton Festival Foundation 150 Denton to Opera Company 2 265 Denton Orchestra Association 1,000 North Texas Area Art League 1,700 TWU Department of Performing Arts 800 LINT School of Visual Arts 1,500 SERVICES GOAC provides services and assistance to the arts community of Denton. These include: ' 382-ARTS phone number for public information about the arts in Denton Computer and desktop publishing resources ' Computer mailing list ' Ticket sales outlet ' Promotion of arts events • ' Master calendar for arts events ' Newcomer and visitors assistance Video camera equipment loan Technical assistance ' Special informational and promotbnal brochures ' Advocacy activities on behalf of all the arts in Denior • ' Grants writing and funding source assistance • -4 ~ 0 • WHO IS GDAC? . Legal structure: The Greater Denton Arts Council is a 501 (c) 3 tax exempt corporation. Governing structurs GDAC is governed by a Board of Directors. The board has 24 regular members who serve fm-year terms as well as representatives from The Arts Guild and Denton PARD. The regular board members are elected by the general membership of GDAC. George Highfill is the president for 1995.96. Staff. The Arts Council is admnislered by the Executive Director, Herbert Hop. There are two other full-time positions, GallarylFacillies Manager, and Administra,ive Assistant. A part-time rental coordinator, Janitor and a Green Thumb Program-lunded receptionist round out the permanent staff. Volunteers A volunteer docent program provides some 30 individuals who work in the Meadows Gallery as attendants and guides. Addrtionat assistance for programs comes from volunteers who serve on GDAC committees such as: Exhibition, CARA, programs, grants review, membership, development, and others. TAG: The Arts Guild, with over 100 members, provides volunteers for Denton arts organizations and holds Ns Annual Auction for the Ads which has raised hundreds of thousands of dollars for the ads In Denton. Membershp: GDAC has 500 individual, business, and organizational members. The membership elects board members and approves any changes in the GDAC by-laws. Anyone can be a GDAC member for as low as $20. C+ty of Denforr. The City of Denton provides support in the way of annual HoleVMotef fund allocations for operating expenses. Utilities at the CVA and at the Campus Theatre are provided or underwritten by the city. CVA maintenance and repair service are also provided as budgeted by the city. Community partners GDAC maintains an alive role in Denton's civic Ida and is involved in partnerships with numerous entities, among them: The Chamber of Commerce Convention and Visitors Bureau Man Street Denton Demon Historical Museum Downtown Business Association Denton Festival Foundation • Texas Woman's University University of Nomh Texas North Texas Institute for Educators on the Visual Arts . ~ 71.~v: ~ ~ ,~,r ^ yr• • ~ r ,,~p# k,, My Jt Y ~ i i • _ a • GDAC 1995 ORGANIZATIONAL MEMBERS ' Adult Day Care of North Texas American Red Cross Denton County Chapter Ballet Folklorico de Denton e DancExpress Denton Area Art Education Association Denton Bach Society Denton Benefit League Denton Celtic Dancers Denton Crvic Ballet Denton Community Band Denton Community Chorus Denton Community Theatre, Inc. Denton County Arfhilheatre Association Denton County Historical Commission Denton County Historical Museum, Inc. Denton County Lulac Council 4366 Denton County Medicaf Society Alliance Denton Dance Theatre Denton Dickens Fellowship Denton Festival Foundation Denton Hapdheavers Guild Denton Light Opera Company Denton Orchestra Association Denton State School Festival Ballet of North Central Texas Friends of WRR Greater Denton Board of Realtors leit Nahar Mid-Eastem Dance Troupe Main Street Denton North Texas Area Art League North Texas Institute For Educators On The Visual Arts Sigma Alpha Iota • Denton Alumnae Chapter Soroptimist Intemalional j Texas Sloryteliing Association • Texas Silver-Haired Legislature The Arts Guild TWU - Department of Pedorming Ails TWU - Department of Visual Arts LINT - School of Visual Art UNT • Department of Dance & Drama ' • Watk/Run)Jump Company • • • I p • r , h \Wdocs\rn\i~ I n t o ~ RESOLUTION NO. f A RESOLUTION APPROVING THE FISCAL YEAR 1996 BUDGET OF THE NORTH TEXAS STATE FAIR ASSOCIATION FOR HOTEL OCCUPANCY TAR FUNDS, PURSUANT TO CHAPTER 351 OF THE TEXAS TAX CODE; AND PROVIDING AN EFFECTIVE DATE. THE COUNCIL OF THE CITY OF DENTON HEREBY RESOLVES: SECTION I. That, in accordance with Tex. Tax Code Ann. 5351.101(c), the City Council of the City of Denton hereby approves the budget of the North Texas State Fair Association for hotel occupancy tax funds, a copy of which is attached hereto, pursuant to the Agreement between the City and the North Texas State Fair Association. SECTION II. That this resolution shall become effective immediately upon its passage and approval. PASSED AND APPROVED this the day of _ , 1995. BOB CASTLEBERRY, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: • APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY BY: _ I? • NORTH TEXAS STATE FAIR ASSOCIATION - LALOR FUNDS PROPOSED BUDGET FOR THE FISCAL YEAR OCTOBER 1, 1995 THRU SEPTEMBER 30, 1996 Projected Cash, October 1, 1995 S 25,000 Receipts: Occupancy Tax 68,640 Disbursements: Salaries 45,000 Printing 10,000 Advertising 7,000 Travel 2,400 j Postage 2,000 Office Supplies and Expenses 1,500 Telephone Office Equipment Maintenance 4'SSoo Office Equipment 2,000 Audit 1.200 75,600 Projected Cash after Operating Receipts and Disbursements S 18.040 ~l N • • NORTH TEXA$ STATE FAIR ASSOCIATION • SUPPLEMENT TO PROPOSED BUDGET " FOR THE FISCAL YEAR OCTOBER 1, 1995 THRU SEPTEMBEft 30, 19W - SALARIES An Executive Director and assistant are employed. Based on time spent promoting tourism. PRIN71NG Catalogs, posters, brochures, etc. promoting Denton and the North Texas State Fairground facilities. items are distributed in Texas, Oklahoma, Arkansas, Louisiana, and New Mexico. ADVERTISING Road signs, newspapers, radio, monthly publications, etc. TRAVEL Attend meetings, shows, seminars and other activities to promote tourism in Denton. POSTAGE Mailing catalogs, posters, brochures, etc. as well as correspondence to follow up inquiries received at meetings, by phone and through the mail. OFFICE SUPPLIES General supplies to maintain an efficient office. TELEPHONE Necessary to maintain communication. OFFICE EQUIPMENT MAINTENANCE The office equipment includes a computer, typewriter, copy eachine and adding machines that must be maintained in good condition few efficient use. • OFFICE EQUIPMENT Purchase copier and fax machine r • • j:\tVcfoco\rn\bOw.tax _ i RESOLUTION NO. rY A RESOLUTION APPROVING THE FISCAL YEAR 1996 BUDGET OF THE DENTON BLACK CHAMBER OF COMMERCE FOR HOTEL OCCUPANCY TAX FUNDS, PURSUANT TO CHAPTER 351 OF THE TEXAS TAX CODE; AND PROVIDING AN EFFECTIVE DATE. THE COUNCIL OF THE CITY OF DENTON HEREBY RESOLVES: SECTION 1. That, in accordance with Tex. Tax Code Ann. S351.101(c), the City Council of the City of Denton hereby approves the budget of the Denton Black Chamber of Commerce for hotel occupancy tax funds, a copy of which is attached hereto, pursuant to the Agreement between the City and the Denton Black Chamber of Commerce. SECTION II. That this resolution shall become effective immediately upon its passage and approval. PASSED AND APPROVED this the _ day of , 1995. BOB CASTLEBERRY, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: • APPROVED AS TO LEGAL FORK: HERBERT L. PROUTY, CITY ATTORNEY BY: Y • • D E N T O N BUCK pGl~i d CNI~{CE _ I REPORT AND PROPOSED BUDGET FOR USAGE OF HOTEL OCCUPANCY TAX FUNDS August 1995 • • r • s t f f;.e _ V • • -ak 'Oewlvn, 9'4460e 14 August 1995 Members of the Denton City C9 ncil Municipal Building 215 E. McKinney Street Denton, Texas 78705 Dear Members: Greetings from the Denton Black Chamber of Commerce. The Chamber extends,gs appreciation to you for your thoughtful consideration In the disburse- ment of Hotel Occupancy Tax funds to our agency. Attached Is our proposed budget for the disbursement of these funds in connection with the First Annual African-American Arts and Music Festival. i Tne event itself is still Involved In some very delicate details involving much more Information than we are able to secure at this time, however, the proposed budget Is a reasonable expecta- tion of our working perimeters. We are more than happy to provide the Council with Intimate details associated with this festival as they become available. Sincerely, Herman E. Wesley III • Executive Director HEWIId DENTON BLACK CHAMBER OF COMMERCE Post Office Box 51155 • Denton, Texas 76206 - (817) 382-9261 FAX (817) 382.9898 t. r, x~.,."fix-•' • 0 • ~ o • DENTON BLACK CHAMBER OF COMMERCE PRELIMINARY BUDGET FOR USAGE OF HOTEL OCCUPANY TAXES August 14, 1995 ANNUAL RECEIPTS Contracted Funds Available 5,000.00 ANNUAL BUDGET Salaries Guest Groups For Arts and Music Festival 3,000.00 Printing Brochure Layout and Design 300.00 Postage Selected Mailings 50.00 Advertising Selected Radio and Newspaper 1,000.00 Building Usage Visual Arts and/or Civic Center 500.00 TOTAL 4,850.00 i ITEM EXPLANATIONS: Salaries: Funds will be used to compensate performers during the festival Additional funding will be available from outside sources and goneral chamber funds. Advertising: Promotional pieces for the festival will be placed in newspapers servicing minority communities in the DFW metroplex and Waco, along with radio stations KHVN and KKDA. • Building Usage: Estimates have been provided by the Civic Center, Civic Center Park and the Visual Arts Center, in light of membership with the GDAC. i e ~rpdor@\ru \axo. u■ RESOLUTION NO. A RESOLUTION APPROVING THE FISCAL YEAR 1996 BUDGET OF THE DENTON COUNTY AMPHITHEATRE ASSOCIATIOV FOR HOTEL OCCUPANCY TAX FUNDS, PURSUANT TO CHAPTER 351 OF THE TEXAS TAX CODE; AND PROVIDING AN EFFECTIVE DATE. THE COUNCIL OF THE CITY OF DENTON HEREBY RESOLVES: SECTION 1. That, in accordance with Tex. Tax Code Ann. 5351.101(c), the City Council of the City of Denton hereby approves the budget of the Denton County Amphitheatre Association for hotel occupancy tax funds, a copy of which is attached hereto, pursuant to the Agreement between the City and the Denton County Amphithe- ater Association. SECTION II. That this resolution shall become effective immediately upon its passage and approval. PASSED AND APPROVED this the day of , 1995. BOB CASTLEBERRY, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY 1 BY7 • APPROVED AS TO LEGAL FORM: HERBERT L. PROuTY, CITY ATTORNEY , • BY: "O. lA~ H~ C r' • • 4.' P • 0 • August 7, 1995 6 TO: Members of Denton City Council and City Staff FROM: Denton County Amphitheater Association i RE: Hotel/Motel Occupancy Tax Funds # i ♦♦r►fa►aia~~a~a~~~~irt~►,~i~~~**r~~►afrt*~trar*f*~*~ti~~aa we are most appreciative of your confidence in our project ' to produce "The Lone Star", an historic Texas drama, in an outdoor amphitheater near Denton in the near future. The $3000.00 in HOT funds allocated to our Association will be used '.o promote Tourism to Denton through pre-opening advertising of our outdoor drama, including designing and printing of brochures and letterhead stationary, and the mailing of same. While we estimate that the HOT monies will be depleted by these printing expenses, some of the funds may also be used to design cooperative advertising, such as billboards, with the other outdoor dramas in Texas. mf cific documentation of the expenditure,of these funds 1 be provided in our qquuarterly reports to the Council and the City Financial Office following the end of Eich calendar quarter in our fiscal year, which begins Oct. 1. Again, please accept our appreciation for the use of these HOT funds. Our Board of Directors is confident that using • HOT funds to promote the outdoor historic drama will provide an excellent return of out-of-town tourist dollars to Denton's hotels, restaurants and shopping establishments, thus making the DCAA's use of HOT funds one of the best investments that could be made with the HOT monies. Bob Montgomerl chairman • • 1; \~pdots\rn\fnt 1 n I ,tea RESOLUTION NO. A RESOLUTION APPROVING THE FISCAL YEAR 1996 BUDGET OF THE DENTON FESTIVAL FOUNDATION FOR HOTEL OCCUPANCY TAX FUNDS, PURSUANT TO CHAPTER 351 OF THE TEXAS TAX CODE; AND PROVIDING AN EFFECTIVE DATE. THE COUNCIL OF THE CITY OF DENTON HEREBY RESOLVES: AZCTION 1. That, in accordance with Tex. Tax Code Ann. S351.101(c), the City Council of the City of Denton hereby approves the budget of the Denton Festival Foundation for hotel occupancy tax funds, a copy of which is attached hereto, pursuant to the Agreement between the City and the Denton Festival Foundation. SECTION Ii. That this resolution shall become effective immediately upon its passage and approval. PASSED AND APPROVED this the _ day of 1995. BOB CASTLEBERRY, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY 1 APPROVED AS TO LEGAL FORK: BY HERBERT L. PROUTY, CITY ATTORNEY ii BY: s~~ r e ' J • 4i • DENTON FESTIVAL FOUNDATION, INC. 1995 HOTEL OCCUPANCY TAX BUDOBT 1st 2nd 3rd 4th ANNUAL QUARTER QUARTER OUAllTB6 QLl&R= AlIDGET (Oct-Dec '93) (Ian-Mar'96) (A -June Sept INCOME S 750.00 $750.00 $ 750.00 $750. 00 $3,000.00 RXPBgSPA Advertising $375.00 0.00 $ 750.00 0.00 i Tourism Promotion $ 375.00 $750. 00 0.00 0.00 Brochures 0.00 0.00 0.00 $750.00 TOTAL $750.00 $ 750.00 $750.00 $750.00 $3,000.00 4 l *our fiscal year is July 1 - June 30 and the 4th quarter will overlap the next ft" year in preparation for the 1997 Denton Arts and Jazz Festival. The festival is beld annually on the last full weekend of April. • s J • r . ,r rpbc.\rH ~1u,e.tu RESOLUTION NO. A RESOLUTION APPROVING THE FISCAL YEAR 1996 BUDGET OF THE DENTON HISTORIC LANDMARK COMMISSION FOR HOTEL OCCUPANCY TAX FUNDS, PURSUANT TO CHAPTER 351 OF THE TEXAS TAX CODE; AND PROVIDING AN EFFECTIVE DATE. THE COUNCIL OF THE CITY OF DENTON HEREBY RESOLVES: SECTION 1. That, in accordance with Tex. Tax Code Ann. 5351.101(c), the City Council of the City of Denton hereby approves the budget of the Denton Historic Landmark Commission for hotel occupancy tax funds, a copy of which is attached hereto, pursuant to the Agreement between the City and the Denton HictoLic Landmark Commission. SECTION II. That this resolution shall become effective immediately upon its passage and approval. PASSED AND APPROVED this the day of 1995. BOB CASTLEBERRY, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: • APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY r 0 , Aug-16-96 1Ot48A P.02 Denton Historb Landmark Com4sion Hotel Occupant Tax Mocation Budget Expenditures 96.96 Allocallon HWW tc Sulod Markers 1.000.00 TOW 1,000.00 • • C ~ V° < 7''~y~ lGll~dY' l. r is +/nY tlrnyC, S i x, 2• « Hr ilvool, t ~1~ti4 a - O • 1 ~lrpdon\rp\arln. tae c RESOLUTION NO. A RESOLUTION APPROVING THE FISCAL YEAR 1996 BUDGET OF THE DENTON MAIN STREET ASSOCIATION FOR HOTEL OCCUPANCY TAX FUNDS, PURSUANT TO CHAPTER 351 OF THE TEXAS TAX CODE; AND PROVIDING AN EFFECTIVE DATE. THE COUNCIL OF THE CITY OF DENTON HEREBY RESOLVES: SECTION I. That, in accordance with Tex. Tax code Ann. 5351.101(c), the City Council of the City of Denton hereby approves the budget of the Denton Main Street Association for hotel occupancy tax funds, a copy of which is attachad hereto, pursuant to the Agreement between the City and the Denton Main Street Association. SECTION II. That this resolution shall become effective immediately upon its passage and approval. PASSED AND APPROVED this the day of , 1995. BOB CASTLEBERRY, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: • APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY BY: • r J s r, a 1 . _ A • f 1 Aup-16-56 10:48A P.03 Denton Main Street Association HM91 Occupancy Tax Allocation YkAget Expenditures 95.96 Allocation Promotional Events: County Scat Saturday 9,000.00 Dog Days of Swmwr 800.00 Thursday Twtbght Tunes 250.00 Acoustic t awn Jam 250.00 Postage 700.00 AdvwUsing 4,000.00 Total Expenditures 15,000.00 • ce DENTON a:. Sa R 1 oo~°aoa°~ooo . OOO OF D~ oOOD ♦ n 0 0~ ~ o 0 0 C7 co c:j OOO ti r ~ ~ QQD 00~~ o N ~ ti QQQD ~aaflaaaooo CITY COUNCIL ~ • A • RESOLUTION NO. A RESOLUTION DECLARING A PUBLIC NECESSITY EY.3,rS AND FINDING THAT PUBLIC WELFARE AND CONVENIENCE REQUIRES THE TAKING AND ACQUIRING OF A STREET RIGHT-OF'-WAY EASEMENT IN THE HEREINAFTER DESCRIBED LAND SITUATED IN THE VICINITY OF SPENCER ROAD AND STATE HIGHWAY 26N; AUTHORIZING THE CITY MANAGER OR dIS DESIGNEE TO MAKE AN OFFER TO THE OWNERS OF THE PROPERTY AND IF THE OFFER IS REFUSED, AUTHORIZ,INu THE CITY ATTORNEY TO INSTITUTE THE NECESSARY PROCEEDINGS IN CONDEMNATION IN ORDER TO ACQUIRE THE PROPERTY NECESSARY FOR THE PUBLIC PURPOSE OF OONSTRUCTINt, A PUBLIC STREET TO 1NTERSECr WIIVH STATE HIGHWAY 288; AND DECLARING AN EFFECTIVE DATE. WHEREAS, it is hereby determined that a public necessity exists and that public welfare and convenience hereby requires the f acquisition of a Street right-of-way easement in the hereinafter described land for the. public purpose of constructing a public street to intersect with State Highway 288 and that the City of Dentoiishould acquire said easement necessary for said purpose; and WHEREAS, the hereinafter described property is owned by John Karvouniaris; NOW, THEREFORE, THE COUNCIL Oh' THE CITY OF DENTON HEREBY RESOLVES: "Cjj.~la -1, That public necessity exists and public welfare and co:rvenierice require the acquisition of a street right-of-way easement in the hereinafter described land for the public purpose mentioned below. T152~.1j~ That the City Manager or his designee is hereby authorized and directed to make an offer for the property to the owners of said hereinatter described property, baaed on just compensation recommended by an independent appraisal prepared at the City Manager's direction. a.QILs~NlI_ That in the event the offer as described in • Section 11 is refused by the owners of said property, the City Attorney is hereby authorized and directed to file the necessary condemnation proceedings or Euit and take whatever action that may be necessary against John K,arvouniaris to acquire a street right- of-way easement for the public purpose of constructing a public street intersecting with State Highway 2B8 upon the land more particularly described as follows: • All that certain portion of land lying and being situated in , • • the City of Denton, Denton County, Texas, described in Exhibit "A" attached hereto and made a part hereof for all purposes, to which reference is itz-e made for a more particular description. • • f SECTION IV. That if it should be subsequently deteruined that additional parties other than those named herein have an interest in said property, then in that event the City Attorney is authorized and directed to join said parties as Defendants in said condemnation. SECTION V. That this resolution shall become effective immediately upon its passage and approval. PASSED AND APPROVED this the ` day of , 1995. BOB CASTLEBERRY, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY% APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY BY: r /~fT.i r { • • • e. Page 2 • _.Y~ - 0 • 0 • 14 "EXHIBIT A" ALL that certain lot, tract or parcel of land lying and being situated in the City and County of Denton, State of Texas in the J. Taft Survey, Abstract Number 1256 and being part of a tract of land conveyed to John Karvouniaris by deed recorded in Volume 3405, Page 50 of the Real Property Records of Denton County, Texas and being more particularly described as follows: TRACT T BEGINNING at the northeast corner of said Karvouniaris tract, same being a point on the south line of State Highway Loop 288 and also being the northwest corner of a tract conveyed to Norman E. Brinker by deed recorded as 93-R0022415 in the R.P.R.D.C.T; THENCE South 000 231 00" East along th.s east line of said Karvouniaris tract and the west line of said Brinker tract a distance of 25 feet to a point for corner; THENCE North 240 061 051' West a distance of 21.95 feet to a point for corner, said point lying on the north line of said Karvouniaris tract and the south line of said Loop 288; THENCE North 600 32' 33" East along said lines a distance of 10.10 feet to the POINT OF BEGINNING and containing .0025 acre of land. TRACT II BEGINNING at the southeast corner of said Karvouniaris tract, same being the southwest corner of a tract conveyed to Norman E. Brinker by deed recorded as 93-ROO22415 in the R.P.R.D.C.T; THENCE North 890 191 51" West along the south line of said Karvouniaris tract a distance of 30 feet to a point for corner; THENCE North 000 23' 20" West a distance of 1260 feet to a point • for corner; THENCE North 050 191 52" East a distance of 100.31 feet to a point for corner, said point lying on the east line of said Karvouniaris tract and the west line of said Brinker tract; THENCE South 000 23' 20" ^ast along said lines a distance of 1360 , • feet to the POINT OF BEGINNING and containing .3007 acre of land. • • AEE005C6 09-08-95 • t q • C » ADENTON oooooaoaaoo0~o oo°Aw ''o °o O vZ a 0 0 c' o C:3 c:l ~ p d o ~ 0000 O N . ~ 0000 ooaaoaaoo • CITY COUNCIL . • A • REGULAR SESSION SEPTEMBER 12, 1995 CITY COUNCIL REPORT FORMAT i TO. Mayor and Members of the City Council y FROM: Lloyd V. Harrell, City Manager b~ SUBJECT: REVISED CITY'S INVESTMENT POLICY RECOMMENDATION: Staff recommends that the City Council approve the revised City's fnvest:Aent policy (Attachment A). These revisions would bring the policy in compliance with the amended Public Funds Investment Act (PFIA), and the recommendations of the Municipal Treasurer's Association of the United States and Canada (MTA USiC) for a model Investment policy. SUMMARY: The revisions that stafx has made to the City's investment policy would bring the policy in compliance with the amended PFIA adopted by the state legislature dLring the 74th legislative session. Only those changes which were not included In the changes precented to the City Council in May are highlighted or marked-up in the policy (Attachment A). Also, Included in staff's revision are chenges recommended by the MTA USiC. BACKGROUND: During the 1995 legislative session, the Texas legislature amended the Public Funds Investment Act to improve protection against loss of public funds due to Imprudent and risky investment activities. Following the initial approval of the amendments by the House and Senate committees, staff started to revise the City's investment policy to insure that it remains in compliance with the amended Act. • Since staff's initial presentation to the City Council in May, the Texas legislature has adopted the final amendment. The revisions shown in Attachment A constitute the final revision to thA City's investment policy resulting from the provisions of the Public Funds Investment Act as amended during the 1995 legislative session. Also, staff has made some additional revisions to incorporate • certain recommendations of the MTA USiC for a model investment policy. The changes resulting from MTA USiC's recommendations • O would further enhance our investment policy and enable the City to J meet the certification requirements of the MTA USiC. Attachment B outlines all the revisions, their sources, status and where they • O 1 ` • 1 a • f Investment Policy Revisions lleptember Ia, 1995 Page 2 of 2 can be located in the policy. Stiff has presented these changes to the investment Committee and it recommended approval. rAOQ?dMj, DEPARTMENTS OR GROUPS AFFECTED= The City's inveet:ment policy governs the investment of City funds. Any department with investable fund, will be affected by the recommended changes to the policy. psi. 1 MPAM There to no fiscal coat associated with the approval of these revisions. RZSP ~T1 VJWVMS Liopd V. Barrel City Manager Yt+ivtwi by, e3- mt.r.:t.~ of Fiscal .:.vraeio" r 3aL\ Nq"* 5►nvtlvv ;:v~i:r :t ltaam,-* J 0 • CITY OF DENTON PAGE OF_a__ POLICY/ADMINISTRATIVE PROCEDURE/ADMINISTRATIVE DIRECTIVE SECTION RfIFEREti CI'. Vl'MRLR FINANCE POLICIES 409.04 S1 9IFCT EFFLC FR 'F. DATE 'L INVESTMENTS as/21/90 1'ITl.E REPLACES INVESTMENT POLICY 403.05 1. Purpose This policy shall provide the guidelines by which the City of Denton will maintain 4 the minimum amount of cash in its bank accounts to meet daily needs, and to provide protection for its principal while receiving the highest yield possible from investing all temporary excess cash. This policy is being adopted pursua..t to the provisions of the Public Funds Investmert Act of 1997, as amended, Article 842a-2, Vernon's Texas Civil Statutes. 'a II. Scooa :Y A. This Investment Policy applies to the investment activities of the City of Denton, excluding the specific funds cited hereafter. B. This policy shall not govern funds which are managed under separate investment programs. Such funds currently include; Employees' Retirement Fund of the City of Denton; the Firemen's and Policemen's Pension Funds of the City of Denton; other funds established by the City for deferred employee compensation; revenue bond reserve funds; and certain private donations. The City shall and will maintain responsibility for these funds to the extert required by: Federal and State Law; the City Charter; and donor stipulations. C. The following funds, as well as other funds that may be created from time to time, shall be administered in accordance with the provisions of this policy: Cash equivalent assets of the General Fund, Community Development Block Grant Fund, Recreation Fund, Crime Prevention Fund, Airport Grant e'und, Airport Master Plan Fund, Emily Flower Library Fund, Debt Service Fund, Street Improvement Fund, General Project Fund, Electric Fund, Electric Bond Fund, water s Sewer Fund, water Bond Fund, Sanitation Fund, Landfill Construction Fund, Working Capital Fund, Defensive Driving Fund, Self-Insurance Fund, Employee Health Fund, and any other fund of the City not specifically excluded in these policy guidelines. • III. Sgreatslsnt ■trars~rv ~ ' A. The City maintains portfolios which utilize four specific investment strategy considerations designed Lo address the unique characteristics of the fund groups represented in the portfolios: 1. Investment strategies for operating vends and commingles pools containing operating funds have ac their primary objective to assure that anticipated ® cash flows are matched with adequate investment liquidity. The secondary • objective is to create a portfolio structure which will experience ainimal volatility during economic cycles. This may be accomplished by purchasing high quality, short-to medium-term securities which will tompiement each other in a laddered or barbell maturity structure. A dollar weighted average maturity of 365 days or less will be maintained and calculated by using the stated final maturity date of each ser"ur,lty. Do. /A FI-i MiF:A ~ Q r 0 ' pacB 2 OF~_ , i; POLICY/ADMINISTRATIVE PROCEDURE/ADMINISTRATIVE DIRECTIVE (Cobtiuved)- TITLE. REPERF140: NL!fNBrL INVESTMENT POLICY 408.04 2. Investment strategies for debt service funds shall have as the primary objective the assurance of investment liquidity adequate to cover the debt service obligation on the required pay Lent date. Securities purchased shall not bave a stated final maturity date which exceeds the debt service payment date. 3. Investment strategies for debt service reserve funds shall have as the objective the ability to ganerata a dapesdabls revenue stream to the degree of ls may be primt trolled E&t d of short vailable, the premium, 1us during o ayclas. a. Invastgent strategies for special projects or special purpose two portfolios will have as their primary objaotive to se "re that anticipated cash flows are matched with Adequate' iavestsamt liquidity. Phase ude at in hi tort flexibila ity and lunaati ipated SprO act Copt liquid ThA istiss to tated final maturity dater of securities held should dot exceed the estimated project completion date. C_ Iv. 44iective A. The overall strategy of the City's investment objective shall be to ensure a)the understanding of suitability of investment to the financial requirements of the City, b) preservation and safety of principal, c) liquidity, d) marketability of the investment, if the need arises to liquidate the investment before maturity, e) diversification of the investment portfolio; and f) yield. in terms of day-to-day investment purposes, the core objectives of the City's 3 investment policy shall be to first preserve the capital in the overall portfolio. Each investment transaction shall seek to first ensure that capital losses are avoided, whether they be from securities defaults or erosion of market value. The second objective shall be liquidity and the final objective shall be the yield of the investment. B. To prevent the possibility of loss of resources, the City will attempt to identify and limit exposure to market price risk, default risk, or not invest in a manner which is contrary to applicable federal and state regulations. C. To enable the City to meet operating requirements that might reasonably anticipated, the City's investment portfolio will remain sufficiently liquid. Liquidity shall be achieved by matching investment maturities with forecasted cash flow requirements and by investing in securities with active secondary S markets. D, tt= will be the eh re"ieri eI Mana3eatent of the invaat"at portfolio will strive to echiava a rate of return commensurate with that legal, safety said liquidity considerations. in any event, yield should exceed tFSe average rate of return of sscondsrily-traded ea three (31 months V.S. Treasury Bills, or the average Federal Reserve Discount rate, whichever is higher. The first measure of Dm #AFFQ)F2A f a f PAGE _3_OF-8- POLICY/ADMINISTRATIVE PROCEDURE/ADMINISTRATIVE DIRECTIVE (continued) ;f I TLF REFERENCF %L'SIB[ R INVESTMENT POLICY 408.04 success in this area will be the attainment of enough income to offset inflationary increases. Even though steps will be taken to obtain this goal, the City's staff shall constantly re cognizant of risk limitations pursuant to the provisions of the amended Public Funds Investment Act Sec. 2256.006(al. E. All participants in the investment process shall seek to act responsibly as stewards of public assets. Officers and employees involved in the investment process shall refrain from personal bu:._ness activity that could conflict with proper execution of the investment programs, or which could impair their ability to make impartial investment decisions. Anyone involved in investing City funds shall disclose to the Executive Director of Finance and the investment Committee any material financial interest in financial institutions that handle City investments. The Director of Fiscal operations, shall avoid any transactions that might impair public confidence in the City's ability to govern effectively. The governing body recognizes that in diversifying the portfolio, occasional measured losses due to market volatility are inevitable, and must be considered within the context of the overall portfolio's investment return, provided that adequate diversification has been imDlemented. V. Investment Committee There is hereby created an Investment Committee cons ng of the City Manager, Executive Director of Finance, Director of Fiscal Operations, Maycr, and one ` member of the City Courcil. The Investment Committee shall meet at least quarterly to determine ge..eral strategies and to monitor results. Included in its deliberations will be such topics as: economic outlook, portfolio diversification, maturity structure, potential risk to the city's funds, authorize brokers and dealers, and the target rate of return on the investment portfolio. The committee shall establish its own rules of procedures. VI. Resconmibility and standard A. The management responsibility for the investment program is hereby delegated to the Executive Director of Finance, who shall establish written procedures for the operation of the investment program, consistent with this investment policy. Such procedures shall include explicit delegation of authority to the individual (a) responsible for investment transactions. The primary individual who shall he involved in investment activities will be the Director of Fiscal Operations. Both the Executiva Director of Finance and Director of Fiscal operations are designated as investment officers. Accordingly, the investment • officers shall attend at least one training session relating to their regpoasbility under the Art within 12 months after assuming duties. No persons may engage in investment transactions except as provided under the terms of this policy and the procedures established by the Executive Director of Finance. The Executive Director of Finance shall be responsible for all transactions undertaken, and shall establish a system of control to regulate the activities of the Director of Fiscal Operations. The controls shall include a monthly process of independent review by the internal auditor, and f an annual review by an external auditor. The reviews will provide internal control by assuring compliance with policies and procedures. • f B, The Exi-cutive Director of Finance, Director of Fiscal Operations, Mayor, City counci. City Manager and other Finance employees shall be personally indemnified in the event of investment loss provided the Investment Policies and Guidelines are followed. [x w' kAPF'WE:A f O • O • PAGE A.- OIJ-4- -POLICY/ADNINISTRATIVE PROCEDURE/ADMINISTRATIVE DIRECTIVE (Continued) ,f T fl'LE. REFERENCE NLMBFR. INVESTMENT POLICY 408.04 C. The staedard of prudence to be used by the investment officials shall be the 'Prudent Investor Rula," and will be applied in the context of managing an overall portfolio: 'Invastmwts ahali be merle with judgemen: and cars under ciroumatenoes then prevailing which persons of prudence, discretion and intslligenae exercise is the management of their own stA trs, not for speculation, but for investment, considering the probable aat.~.ty of their capital as well as the probable income to be derived.@ Investment officials meeting this standard shall be relieved of personal responsibilities for an individual security's credit risk or market price change, provided deviations from expeetatiooa are reported in a timely fashion r arsd appropriate action is taken to ocotrol adverse developments. D. The Director of Fiscal Operations shall submit monthly an investment report, to the Investment Committee, that summarizes recent market conditions, economic developments and anticipated investment conditions. The report shall summarize the investment strategies employed, describe the portfolio in terms of investment securities, maturities, risk characteristics and other features. The report shall explain total investment return to date and compare the return with budgetary expectations or projections. E. The Director of Fiscal Operations shall prepare and present to the City Council and City Manager a written report on the City's investment transactions for the preceding reporting period. The report shall be provided quarterly, and shall 1) describe the investment position of the City as of the end of the reporting period, contain a summary statement of each pooled fund covering a) beginning market value, (b) additions and changes to the market %slue during the reporting period; and c) state the carrying value of each invested asset at the beginning and end of the reporting period by type of fund; 4; show the maturity date of each invested asset, 5) show the fund group for each individual investment; and 6) state the compliance of the investment portfolio of the City as it relates to the investment strategy of the City. Within sixty 160) days of the end of the Fiscal Year, the Director of Fiscal Operations shall present a comprehensive annual report to the City Council on the investment program and investment activity. The annual report shall provide a separate quarterly comparison of returns and suggestions for improvements that might be made in the investment program. The City Council shall review and approve the investment policy and investment strategies at least annually. F. The guidelines of retaining records for seven years, as recommended in the Texas State Library M=icipal Records Manual should be followed. The Director of Fiscal Operations shall oversee the filing and/or storing of investment • records. G. Wire transfer authorization forms shall be kept on file with banking institutions. The authorization form shall identify individuals authorized to make wire tranefers and the institutions designated to receive the wire transfer. The Director of Fiscal Operations or other authorized representative of the City should complete a transfer notice and give it to the proper Finance Department personnel. The transfer confirmatior received A • from the bank should be agreed with this notice and the appropriate journal entry made. A wire transfer in excess of $500,000 should not be executed • • without written confirmation from authorized city staff. H. in the event of the absence of the Director of Fiscal Operations, the authority to invest in maturities beyond six (6) months shall be regulated by the controls and procedures outlined by the Executive Director of Finance. D,r. 41AFFIgE2A • co • c~ • 1 PACE-5 CF -8 POLICY /ADMINISTRATIVE PROCEDURE/ADMINISTRATIVE DIRECTIVE (Continued) 4 Y 1 Il 111 Af.f F-RF \I'Y ~I ~I NI N , ,NVESTM.ENT POLICY aos.o4 VII. Invesrm=nt =Idle funds of the City cf Denton may be inv-seed in: seeu ~d #---F3-6--i'--t__-~- =-rt i»as ima ttiwy in less ti m-4tvc -(-5)- ea,s~r ~r r ~-r-mid: •z--ccr...~c° ••ti 1-t~}I_i(rR9--9 -.3-6--Fievets1PeRt agenekee 4Mdf1K-2 n- lesig thaf1 two ; 2-F-yea r a l - -r--iROafed-e-c~e~-let~z-.~'=r~_' F' ~ • -e--et° i t{aat eeMffl~FR R R I• ,Y dsw*eiled 4R Tt . e and hbire r~t secda' - see than--thirty--{36a--~a7s-Fr e- °k9i _ne .,eyw:tted by redeEal and State rva'w' and r 1. Obligations of the United States of America, its agencies and instrumentalities (maturing in lees than five (5) years); 2. Direct obligations of the State of 'texas and agencies thereof (maturing in less than two t2) years); 3. Other obligations, the principal of and interest on which are l unconditionally guaranteed or insured by the state of Texas or United States of America or its agencies and instrumentalities (maturing in leas than two 17) years); 4. Obligations of the States, agencies thereof, Counties, Cities, and other political euhdivisions of any state having been rated as investment quality by a nationally recognized investment rating firm, and having received a y rating of not less than mw or its equivalent (maturing in leas than two (2) yearn); 5. Certificates of Jeposit issued by state and national banks or savings and loans associations, domiciled in Texas, guaranteed or insured by the Federal Deposit insurance Corporation or ;sderal Savings and Loan Insurance Corporation or their successors or secured by obligations described in 1 through 4 above, and that have a market value of not leas than the principal amount of the certificate■ (maturing in leas than one (1) year); 6. Fully collateralized direct repurchase agreements with a defined termination date secured by obligations of the united States or its agencies and inatrumr,ntalitiea pledged with a third party, selected by the Director of Fiscal operations, other than an agency for the pledgor. P.epurchase agreame,c* must be purchased through a primary government securities dealer, as defined by the Federal Reserve, or a bank domiciled in Texas. Each issuer of repurchase agreements must siga a copy of the City's Master Repurchase Agreement (termination date must Le 30 days or O leas); • O 7. Joint pools of political subdivisions in the State of Texas which invest in instruments and follow practices aIlvwed by current low. (Maximum average dollar-weighted maturity must be 60 days or less). t?,. r1fFl~~t_A • v • POLICY/ADMINISTRATIVE PROCEDURE/ADMINISTRATIVE DIRECTIVE (Continued) 71 T1 L RFFLRF%CF NI MBI.R INVESTMENT POLICY 308.C4 B. The City's suthoiized investment options are more restrictive than those allowed by State law. Furthermore, this policy specifically prohibits q investment in the following investment securities. 1. N-ligations whose payment represents the coupon payments on the outstanding principal balance of the underlying mortgage-backed security collateral and pays no principal. 2. Obligations whose payment represents the principal stream of cweh floe from the underlying mortgage-backed security collateral and bears no interest. 3. Collateralized mortgage obligations that have a stated final maturity date of greater than 10 years. 4. Collateralized mortgage .31iligations the interest rate of which is determined by an index that adjusts opposite to the changes in a market index. C. It is the policy of the City of 9enton ro diversify its investment portfolios. The diversification will protect interest income from the volatility of interest rates and the avoidance of undue concentration of assets in a specific maturity sector; therefore, portfolio maturities shall be staggered. Securities shall also be selected which provide for stability of income and reasonable l.quidity. Diversification strategies shall be determined and revised periodically by the investment Committee. In establishing specifi, diversification strategies, the two (2) following general policies a-,d constraints hall apply: 1, Risk of market price volatility shall be controlled through maturity diversification such that aggregate price losses on instruments with maturities exceeding one (1) year shall not be greater than coupon interest and investment income received from the balance of the portfolio. The Investment Committee shall establish strategies and guidelines for the percentage of the total p~-rtfolio that may be in,eated in U.S. Treasury securities, federal agencies instrumentalities, repurchase agreements, insured/collateralized certificates of deposit and ether securities or obligations. The Investment Committee shall conduct a quarterly review of these guidelines, and shall evaluate the probability of market and default risk in various investment sectors as part of its considerations. Risk of principal lose in the portfolio as a whole shall be minimized by • diversifying investment types according to the following limitations. Investment Type W of Portfolio • U.S. Treasury Notes/Bonds/Bills 1001 • U.B. Agencies 501 • State of Texas obligations i Agencies 151 • Local Government Investment Pools 151 • Local Government Obligations 101 0 • Repurchase Agreements lot ' • O • Certificates of Deposit 101 D. Security swaps may be considered as an investment option for the City. A swap out of one instrument into another is acceptable to increase yield, realign for disbursement dates, extend or shorten maturity dates and improve narket I~. 0U IIKIF2A • I ~ • s PAGE 7 OF 6 POLICY/ADMINISTRATIVE PROCEDURE/ADMINISTRATIVE DIRECTIVE (Continued) T ITL F. RFFFRE%CE. Ni'673s1.k INVESTMENT POLICY 408.04 sector diversification. Swaps may be initiated by brokers/dealers who are on the City's approved list. E. Investments will be solicited on a competitive basis with at least three (3) institutions. The Investment Committee can approve exceptiona on a case by cash basis or on a general basis in the form of guidelines. These guidelines shall take into consideration the investment type maturity date, amount, and potential disruptiveness to the City's investment strategy. The investment will be made with the broker/dealer offering the best yield/quality to the - City. 5. viii. Selection of Banks and Dealers A. City Council shall, by ordinance, "select and designate one or more banking institutions as the depository for the monies and funds of the City." The bank shall be selected primarily on "solvency and stability" and secondly, on rate of interest available. B. The Director of Fiscal Operations shall conduct a comprehensive review of prospective depositories credit characteristics and financial history. C. The bank shall bo selected through a formalized bidding process in response to the City's request for proposal (RFP) outlining All services required. The Investment committee shall have the discretion to determine the time span for rebidding the banking services contract; however, a two year period will be E the maximum length of time between rebidding. D. Banks and savings and loans associations seeking to establish eligibility for the City's competitive certificate of deposit purchase program, shall submit financial statements, evidence of federal insurance and other information as required by the Director of Fiscal Operations. E. The Investment Committee shall be responoible for selecting brokers and dealers of government securities. Their selection shall be among only primary government securities dealers that report directly to the New York Federal Reserve Bank, unless a comprehensive credit and capitalization analysis reveals that other firms are adequately financed to conduct public business. The Investment Committee shell base its evaluation of security dealers and financial institutions upon' 1. Financial conditions, strength sad capability to fulfill commitments; • 2. Fverall reputation with other dealers and investmrns 3. Regulatory status of the dealers 4. Background and expertise of the individual representatives. Approved brokers and dealers must complete Exhibit A and return it to the • Director of Fiscal Operations. in the dealing with City funds, the Director of Fiscal Operations shall n" conduct business with a" securities dealers , • • approved by the Investment Committee or with ba As selected as outlined in virr, section C. To guard against default possibilities under these conditions, and to assure diversification of bidders, business with any one issuer, or invertment broker, should be limited to forty (40%) percent of the uw IAFFWFE A 0 0 • - a • fAOE~_Ol~ POLICY/AMINIBTRATIVE PROCEDURE/ADMINISTRATIVE DIRECTIVE (Continued) Tom: REFERENCE NUNGER INV85TM[6NT POLICY 408.04 total portfolio at any point in time. In this way, bankruptcy, receivership or legal action would not immobilize the City's ability to meet payroll or other expenses. Ix. Principal Protection and Safekeeping A. All bank and savings and loan associations deposits and investments of City funds shall be secured by yledged collateral with a market value equal to no leas than 107 percent of the principal plus accrued interest less an amount insured by FDIC or FSLIC. Evidence of proper collateral ization in the form of original safekeeping receipts held in institutions's trust department or at a third party institution not affiliated with the bank or bank holding company will be maintained in the office of the Director of Fiscal operations all time. The Executive Director of Finance, Director of Fiscal Operations or other authorized City Representative will approve and release all pledged collateral. Collateral will be reviewed monthly to assure the market value of the securities pledged exceeds investments and/or the related bank balances. The Committee shall request additional collateral in the event they deem that their deposits and investments are not sufficiently protected by the pledged collateral. B. Safekeeping procedures shall be established by the Investment Committee which clearly define steps for gaining access to the collateral should the City determine that the City's funds are in jeopardy. Collateral safekeeping and substitution agreements will be apart of the procedure. C C. only securities allowed by the Public Funds Collateral Act shall be eligible to be pledged as collateral. However, U.S. Treasury Securities shall be the J primary securities accepted as collateral. D. All tt""400ae will be acocapXisb" with antAprf,**A~ j*m*l,ty t#Ml~! wW tinabol4l ba itutiote oq del ft"" 1tA~u will be held t the Ctty~e sat*kiii► -1 '10 s eorpetittr~ ~ro~eat tom! ar thtt 4ga►t~e W Mt or i1R Wi acct at the 31rai 9446i'1Y 1c J Doc./AFFWM 1 ~ } • • EXHIBIT A Page 1 of 1 RFAMR/DZAUR CERTIFICATION FORM as required by Texas Government Code 2756.005(k) CITY OF DENfON, TEXAS (the "City") The City acknowledges that the only means the firm has to preclude imprudent investment activities arising out of transactions between the firm and the City is to confirm that all provisions of the City's investment policy are followed In investment transacts,3ns conducted 1%etween the firm and the City, and, the second paragraph below should be read accordingly. It as the register principal for tho firm, do hereby certify that I, and the -broker covering this account, , have received and both have reviewed the investment policy of the City. We acknowledge that this firm has implemented reasonable internal C procedures and controls in an effort to preclude imprudent investments between this firm and the City arising from transactions between the City and this firm. Signature Name: Title: Date: • sy",x;; t r r~ • • EXHIBIT B x. PAGE I OF 4 INVESTMENT GLOSSARY _ AGENCIES: Federal agency securities. DEALER: A dealer, as opposed to a d broker, acts as a principal in all transactions, ASKED: The price u which securities are buying and selling for his own account. offered. DEBENTURE: A bond secured only by the BANKERS' ACCEPTANCE (BA): A draft general credit of the issuer. or bill or exchange accepted by a bank or trust company. The accepting institution guarantees DELIVERY VERSUS PAYMENT: There payment of the bill, as well as the issuer. are two methods of delivery of securities: delivery versus payment and delivery versus BID: The price offered by a buyer of receipt. Delivery versus payment is delivery securities. (When you are selling securities, of securities with an exchange of money for you ask for a bid.) See Offer. the securities. Delivery versus receipt is delivery of securities with an exchange of a BROKER: A broker brings buyers and signed receipt for the securities, sellers together for a conunission. DISCx;TWr: The difference between the CERTIFICATE OF DEPOSIT (CD): A cost price of a security and its maturity when time deposit with a specific maturity evidenced quoted at lower than face value. A security by a certificate. Large denomination CD's arc selling below original offering price shortly typically negotiable. after sale also is considered to be at a discount. COLLATERAL: Securities, evidence of deposit or other property which a borrower DISCOUNT SECURITIES: Non-interest pledges to secure repayment of a loan. Also bearing money market instruments that are refers to securities pledged by a bank to secure issued a discount and redeemed at maturity deposits of public monies. for full face value, e.g. U.S. Treasury Bills. COMPREHENSIVE ANNUAL FINANCIAL DIVERSIFICATION: Dividingurvestment REPORT (CAFR): The official annual report funds among a variety of securities offering for the City of Demon, It includes five independent returns, combined statements for each individual fund • and account group prepared in conformity with FEDERAL CREDIT AGENCIES: GAAP, It also includes supporting schedules Agencies of the Federal government set up to necessary to demonstrate compliame with supply credit to various classes of institutions finance related legal and contractual provision, and individuals, e.g., S&L's small business extensive introductory material, and a detailed firsts, students, farmers, farm cooperatives, Statistical Section. and exporters. • COUPON: (a) The annual rate of interest FEDERAL DEPOSIT INSURANCE • • that a bond's issuer promises to pay the CORPORATION (FDIC): A federal bondholder on the bond's face value. (b) A agency that insures bank deposits, currently certificate attached to a bond evidencing up to $100,000 per deposit, interest due on a payment date, Swu Wn VW Trnvm' A=$Wk% d k Utld 5o rd Crr& • t~ • 0 • _ a. 4 EXIMIT e PAGE -2 of t ' FEDERAL FUNDS RATE: The rate of GOVERNMENT NATIONAL interest at which Fed funds are traded. This MORTGAGE. ASSOCIATION (GN'IIA or rate is currently pegged by the Federal Reserve Ginnie Mae): Securities influencing the through open-market operations. volume of bank credit guaranteed by GNMA and issued by mortgage bankers, commercial FEDERAL HOME LOAN BANKS (FHLB): banks, savings and loan associations, and The institutions that regulate and lend to savings other institutions. Security holder is and loan associations. The Federal home Loan protected by full faith and credit of the U.S. Banks play a role analogous to that played by Government. Ginnie Mae securities are the Federal Reserve Banks vis-a-vis member backed by the FHA, VA or FMHM commercial banks. mortgages, The term "pass throughs" is often used to describe Ginnie Maes. FEDERAL NATIONAL MORTGAGE ASSOCIATION (FNMA): FNMA, like LIQUIDITY: A liquid asset is one that can GNMA was chartered under the Federal be converted easily and rapidly into cash National Mortgage Association Act in 1938. without a substantial loss of value. In the FNMA is a federal corporation working under money market, a security is said to be liquid the auspices of the Department of Housing and if the spread between bid and asked prices is Urban Development (HUD). It is the largest narrow and reasonable sire can be done at single provider of residential mortgage funds in those quotes. t the United States. Fannie Mae, as the ,arporation is called, is a private stockholder- LOCAL GOVERNMENT IN"MTMENT owned corporation. The corporation's POOL (LG[P): The aggregate of all funds purchase include a variety of adjustable from political subdivisions that are placed in mortgages and second loans, in addition to the custody of the State Treasurer for fixed-rate mortgages. FNMA's securities are investment and reinvestment, also highly liquid and are widely accepted. FNMA assumes and guarantees that all security MARKET VALUE: The price at which a holders will receive timely payment of principal security is trading and could presumably be and interest, purchased or sold, II FEDERAL OPEN MARKET COMMITTEE MASTER REPURCHASE AGREEMENT: (FOMC): Consists of seven members of the A written contract covering all future Federal Reserve Board and rive of the twelve transactions between the parties to Federal Reserve Bank Presidents, The repurchase--reverse repurchase agreenrnts President of the New York Federal Reserve that establishes each party's rights in the Hank is a permanent member, while the other transactions. A muter agreement will often • Presidents serve on a rotating basis. The specify, among other things, the right of the Committee periodically meets to set Federal buyer-lender to liquidate eke underlying Resen'e guidelines regarding purchases and securities in the event of default by the seller- sales of Government Securities in the open borrower. market as a means of influencing the volume of bank credit and money. MATURITY: The date upon which the principal or stated value of an investment • FEDERAL RESERVE SYSTEM: The central becomes due and payable. • bank of the United States created by Congress and consisting of a seven member Board of MONEY MARKET: The market in which Governors in Washington, D.C., 12 regional short-term debt instruments (bills, banks and about 5,700 commercial banks that commercial paper, bankers' Acceptances, are members of the system. etc.) are issued and traded. %wa %f"vW Trw m' Ames ddr tr ml Says W Cpno& 0 • 0 • EXHIBIT B AXLE-3 OF7^.._ . r OFFER: The price asked by a seller of RATE OF RETURN: The yield f securities. (When you are buying securities, obtainable on a security based on its you ask for an offer.) See Asked and Bid. purchase price or its current t arket price. This may be the amortized yield to maturity OPEN MARKET OPERATIONS: Purchases on a bond the current income return. and sales of government and certain other securities in t'ue open market by the New York REPURCHASE AGREEMENT (RP OR Federal Reserve Bank as directed by the FOMC REPO): A holder of securities sells these in order to influence the volume of money and securities to an investor with an agreement credit in the economy. Purchases inject to repurchase them at a fixed price on a •eserves into the bank system and stimulate fixed date. The security "buyer" in effect growth of money and credit; sales have the lends the "seller" money for the period of opposite effect. Open market operations are the the agreement, and the terms of the Federal Reserve's most important and most agreement are structured to compensate him flexible monetary policy tool, for this. Dealers use RP extensively to Finance their positions. Exception: When PORTFOLIO: Collection of securities held by the Fed is said to be doing RP, it is lending an investor, money, that is, increasing bank reserves. PRIMARY DEALER: A group of government SAFEKEEPING: A service to customers securities dealers who submit daily reports of rendered by bantis for a fee whereby market activity and positions and monthly securities and valuables of all types and financial slaternents to the Federal Reserve Bank descriptions arc held in the bank's vaults of New York and are subject to its informal for protection. C oversight Primary dealers include Securities and Exchange Commission (SEC)-registered SECONDARY MARKET: A market securities broker-dealers, banks, and a few made for the purchase and sale of unregulated firms outstanding issues following the initial a distributitin. PRUDENT PERSON RULE: An investment standard. In some states the law rt.uuires that a SECURITIES dr EXCHANGE fiduciary, such as a trustee, may invest money COMMISSION: Agency created by only in a list of securities selected by the Congress to protect investors in securities custody state--the so-called legal list. In other transactions by administering securities states the trustee may invest in a security if it is legislation. one which would be bought by a prudent person of discretion and intelligence who is seeking a SEC RULE 1SC3-1: See Uniform Net reasonable income and preservation of capital. Capital Rule. • 7 QUALIFIED PUBLIC DEPOSITORIES: A TREASURY BILLS: A non-interest financial institution which does not claim bearing discount security issued by the U.S. exemption from the payment of any sales or Treasury to firtartce the national debt. Most compensating use or ad valorem taxes under the bills are issued to mature in three months, laws of this state, which has segregated for she six months, or one year. • benefit of the commission eligible collateral • • having a value of not less than its maximum TREASURY BOND: Long-term U.S. liability and which has been approved by the Treasury securities having initial maturities Public Deposit Protection Commission to hold of more than 10 years. t public deposits. Force 11vweN i,..w.m' AvThea A H IInrO ium N r.w. • • €xli~lz s____ PAIGF 4 OF TREASURY NOTES: A non-interest bearing discount security issued by the U.S. Treasury to finance the national debt. Most bills are issued to mature in three months, six months or one year. UNIFORM NET CAPITAL RULE: Securities and Exchange Commission requirement that member firms as well as nonmember brcker- dealers in securities maintain a maximum ratio of indebtedness to liquid capital of 15 to 1; also called nef capital rule and net capital ratio. Indebtedness covers all money owed to a firm, including margin loans and commitments to purchase securities, one reason new public issues are spread among members of underwriting syndicates. Liquid capital includes cash and assets easily converted into cash. YIELD: The rate of annual intone return on an investment, expressed as a percentage. (a) INCOME YIELD is obtained by dividing the C current dollar incite by the current market price for the security. (b) NET YIELD or YIELD TO MATURITY is the current income yield minus any premium above par or plus any discount from par in purchase price, with the adjustment spread over the period from the date of put'Aase to the date of maturity of the bond. { Il 4fTOrfl2 • 1 S.rrcr. Mat q+ Tmusai Aiwa d lr LN~ee !rb wl errr • • arrn .4d"tY'`~ ;"yj~,'ryVS.e r. i "d Y1' e • ATFACHMENT3 OUWE TO CHANM MADE Di THE FOUCTY _ . LOCA" sa~aa~( mimic s uenlS . r f . It Is recommended tbu the pdq be reeked to ,Soutar, PF1A• emptememed Its the emermor ID IN awe specs lerma tie kvatmeat arnica aomm" - new pok7 aatap Union br the myar Bud ramp re, tadve d tie Cko Wme amm pordolio 2. usompmat of be immomem mdow wis move to adticse PFN• rmplemewd Is 68 Objective fV-D a rate deeusn corrm omwe of the ksd, ukq and bM USW arm po/q Lgoidiry coo ddentior.• pnnnn to the provwm of the amaded Pablk Fula brvatm et Act Sm ?2 &Md(a)' 3. 'Bom me Faattow Dhactar or FWaca and macmc or Fkal Hue lockmegod letie RaaptsB®ryad VI-A Operstdon an da{pued r lorwas al omoem Amatd3 . we po" Standard die hrvesmen omom robes ,tread u lean one trading wain, rely m their mp=Mq under IM Act witllm U months after Snrtmbts dutwO 4. •lie stndard of pa cocc tD be mind by kwstmat omdek pm. lmpkmaeud r tr Rapnbftad Vi-C Ana be tit Yrdeat lavwm R mk,' and va be appBd Is MU US&C isrsvpAq stamdrd tie oomat or mayty am o>eras portsrso' heat, of tabus ' be code whh jadsemat ad com mader ebcatmtaco+r Am prevsdsty - - wha peaoos of pnodomm, dinetioa and isaw ipemoe eaereke in the amusement of tbeit on chin, not for apealmioa bat for fovntmeat, mmideriy Ne probable a dery satery of tkir capital n wdl as the pnSSbk donna m be derheV b. -M city Cauocdd sbaa review the kwtcoem pdky and PFIA• 10*menud Y tie Rmpabr4 ad WE bave"Mot mtntesiee at kas aouasy.' new psq standard 6. Tik motion is bdq revtaed to defim, wa da". the aorta of PF1A' lmpkmtuld is tea lnmmman VR-A (1-7) lrstrttmau in wbkl City funds ca be kteated mew poky 7. no maim has bins, added tospecisnasy identify PF1A• lmpkmeated is tin lmerm" VB-B(1-4) • investmm Wetrumocmk in ■bkb Cky Nadi oa new posq am be kMema. 8. Thw uaka is Mai nvked to mplam'US. Oovernman KTA USAC lmpkmicatmd In to Uveltmoselt VIZ-C(2) Alcocies' witl'eedenl W ocies imaUume muhtim' new posy • 9. I U maim k betty added so Specify the aunt YTA UW 1mp10araud In the loco MDW vp-e m to whirl the City am pumbater app zwA investment mew polq • • type, 10. It it reoomneoded that the pobq be mvkcd to muzostlea UTA USAC lspkmentsd Y alto Sdoctios dBada vm-l3 alts aiktk twd V eW tamiry Serariry deakn and Bnoolel new prig and Dedw Pepe f P;A "t • o • iowuuc.. Iuc, th ka parap api of tti mdo& m atnattt ww" pods" *taaftt d mcarkw deafen or f m M woontiotr from 4ma bwiotai wm th M. 11. -AA "m.mim wM be mo opMW wM N&OrW a mvlq Nu usae bVic e.w m an h%OW Fwocon De-n &akn and famadd mmitdota m a dffmv-~-P7mm ww po" ad sd"Bo" (DVP) hde. Swritim ra to eea as ik CO%eafetmO% #ScK wW uhf be wbgW Arm* • oomFtdd a WMN 0*7) or 60 apail mprmma to Is Net. Yod aq, ar in re mmod x ibe Faded ■atata emko •pd~ No& arma"i ht (MU) C.AL23R24VNVTOUCY.M[I • Pape 2 • _ o i AWPD0CfARL9A:rA= POL e 1ti R RESOLUTION NO. y A RESOLUTION ADOPTIN!' AN INVESTMENT POLICY FOR FUNDS FOR THE CITY OF DENTON; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the Director of Fiscal Operations for the City of Denton has presented a proposed policy regarding the investment of City funds and the policy's purpose is t~ provide the guidelines by which the City of Denton will maintain the minimum amount of cash in its bank accounts to meet daily needs, and to provide protection for its principal while receiving the highest yield possible from investing all temporary excess cash; and WHEREAS, the City Council desires to adopt such a policy as an official policy regarding investment of funds of the City; NOW, THEREFORE, THE COUNCIL OF THE CITY 0 DENTON HEREBY RESOLVES: SECTION I. That the foll., .i.g policy, attached hereto and made a part hereof, is hereby adopted as an official policy of the City of Denton, Texas pursuant to the provisions of the Public Funds Investment Act of 1987, as amended, Article 842a-2, Vernon's Texas Civil Statutes: Investment Policy (Reference No. 408.04) SECTION ii. That the foregoing policy is attached hereto and made a part hereof and shall be filed in the official records of the City of Denton with the City Secretary. SECTION III. The foregoing policy replaces the Investment Policy (Reference No. 408.04) which become effective August 21, 1990. SECTION IV. That this resolution shall became effective • immediately upon its passage and ayrr:.va1. PASSED AND APPROVSD this the day o! 1995. BOB CASTLEBERRY, MAYOR ATTEST: JENNIFER WALTERS, CITY SECPETARY BY: ♦ • f • p • APPROVED AS TO LEGAL FORM: HERBERT L. PROUTY, CITY ATTORNEY BY: 1wOA~=L..Y=~ • i • PAGE 2 ai ti+~ e rr~ 'i4 a a . . 0 a • s DENTON rvss v{S 0000 l1 000 ~ F D !OOO CS~ ti p O~ oci ~a a 0 © 0 o CD C:3 DOO ~ ~ ~p 000 r0N cti~Op~ °°~aooaoaoo°°° 1 CITY COUNCIL r • • o • a • 4p~IldoNo a . o - Xi-CITY of DENTON, TEXAS MUNICIPAL BUILDING • 215 E McK1NNEY • PENTON, TEXAS 76201 (817) 566-82CO • DFW METRO 434-2529 MEMORANDUM DATE: August 21, 19% TO: Jennifer Walters, City Secretary FROM: Donna Bateman, Planning Technician SUBJECT: CHAIR AND VICE CHAIRMAN APPOINTMENTS Based on Section 10,07(x) of the Charter, the Planning Department is requesting that the City Council appoint a Chairman and a Vice-Chairman for the Zoning Board of Adjustment and the Sign Board of Appeals. Following Is a list of the current members of the hoards a" with the current chairs and/or vice chairs: Sign Board of Anneals: Zoning Board of Adjustment: Mike Wiebe - Chairman Richel Mays - Chairwoman Spencer Washington Larry Collister - Vice Chairman Eldon Seaton - new member Rebecca King Mark Chew - new member Bill Colville John Weber - new member Ed Terry - new member • Gene Gumfory - Alternate Bob Hagemann - Alternate Ann Houston - Atemate Joe Bendzick - Alternate If you have any questions, please contact me at extension 8351. • ~ rnrc-Y ~ r `l Donna K. Bateman , B Planning Technician J "Dedicared to Quality Service" • a s y, DENTON oaaaD°°0°x000 opp0 o n F 4.1 00~~ 00 O ~ C1 ( Q O 4 n co D~ ~ ~ Op0 OOo r° 00 040 , z ~ opoo aoooaoaoo° CITY COUNCIL o i ► o • tYtlonsl 130f r«•*B Av.nu. N.W. g7PP o Ld ~ . D.C. ~ID - 1 1 - 1 1 _ 1 CMOs 002) M3000 FO` Far(202)8253613 nrLk.A.rae oMo°Y s LMIa August 18, 1995 la'w'CdnOi r 4m„ w Amon QW0 E Hmd MEMORANDUM ''`'W0,10. All rwM00r no Amurv rm she" J To: City Clerki of Direct Member Cities Mow Mew- N"J"" E.ow.nm DWWW ~J Savul From: Donald I. Borut, Executive Dire or Subject: Voting and Alternate Voting Delegates, Annual Congress of Cities, November 29 - December 2, 1995, Phoenix, Arizona DUE OCTOBER 6, 1945 The National League of Cities' Annual Business Meeting will be held Saturday, December 2, 1995 at the Congress of Cities in Phoenix, Arizona. Under the Bylaws of the National League of Cities. each direct member city is entitled to cast from one to 20 votes, depending upon the city's population, through its designated voting delegate at the Annual Business Meeting. The table on the reverse side of this memorandum shows the breakdown of votes by population categories, To be eligible to cast the city's vote(s), each voting delegate and alternate voting delegate must be designated by the city using Mhe attached form which will be forwarded to NLC's Credentials Committee. NI.C's B,iaµs expressly prohibit voting by proxy. Thus, the designated voting delegates must be present at the Annual Business Meeting to cast the city's vote or votes. To enable us to get your credentials in order and to provide your voting delegates with proposed National Municipal Policy amendments and proposed Resolutions prior to the Congress of Cities, we ask that you return the WOR1 copy of the completed form to NLC on or before October 6, 1995. A pre-addressed envelope is attached. Upon receipt of these names, NLC will send each voting and alternate voting delegate a set of instructions on registration and rules governing the conduct of the Annual Business Meeting. To assist your state municipal league in selecting delegates to cast votes on behalf of the state • municipal league, please forward the BIATE copy of the credential form to your state league office and keep the WHITE copy for your records. A list of the state leagues is enclosed. If you have any questions, please contact Lesley-Ann Rennie at (202) 626-3020. • Fmr P oodarho, Fore MrdY Mqw, Swl" Mod. koT C,nrr, • phony L N.oL Mete, Pbdo Famyt • Cesry Khoyrplle, Cv-'C% A Large D~ Covey • Dhrehon ~ • • Lwy T. A4n, Rya Lo". Mar Creru - Awm Arr6w k%yW. "M Wfty u Orr eeoM • Co ex* L An*", VAM $040 Bq Fknb • Arm Aert Meter. E,A Cteft CoweW, . LOd F. s.etnrn. sr, Corox~ To rp~ nvn. n F,.cAlw Ce,aa, teeter a [eeManr Cnee • lap ByM1/, CowKAnw•w, Mbeo.rA CeMrorne EMe L shonynM+ Cp C W'd FGUrt s.rnr40 • , w. 00% co.efi Onraw. ch a .Ae W" • CM Ch,ert Erg Ow New W Aeeoewwi 0 Mk/ooGAMo • LF" R Cwft Mt w Ames how • Me, DA , r Y * I W& KaMm • AMn k rJ/wl4 Mr w, Twwab. Ahab o • sWYS J. lb^ Mam, T we Ole. Jwrwe C. Not Cootrnrb,, ChoLAry w.K NEMW • lr.. w: M'S". E. D~ Vc ,nae LOOM 0 CMG r+t Towm • wow F. Town CAWO Pr,14, t Form, rOrM . sell, LivbormK, W yar. Lad" FMS , BHri L Lovely. [God, a DGtlw, KV60Y LGDu, al Cm: • rrywm rOMhor, CAq Cwmdl Mewl Mn 00,t k1dvow CnrhoaFlw X NcMamho, Er eGMv, O,ee ~ 0 Kurm WftWG, • T4ArAe K M cried, mew so,Mn WmedeMem • KEr D. WOO, Mryw M Ton, Om Adp. TOwreeeG DevM w. row., M rM ftae om T" • Theo, F. WerMm, Jr, Cow,*n slog A.V018 AMwo • rwy, Meter, 4n Wrcae Tome • [WKpn KecL. Meter, Pee,Own CoKOn, • JrnG F. Wk Marc. Foeho" Allorre • 1440 J. Q M E.KimG VvvcWv r4 m AGawGm d GMG rd T" M • Cw.IKn MM. CwwtA• .nOw. TvroD. CMMn.. • M Revell, Mater DtenArs Twwe,ee • A4ho K BneI twra Me Fop Ikrwi kW Q& • ANN IOKerrer, Mater. Lam One" onpon • LNWen smrlek wpr im TAn ftX& He Swr Cron,. Joeyn F. srthowke. Myer Levr ►rk rrW • jesep A. BOOK LW AW Dreaw. Tervw,e,e WnKpY LMDDM • E6ran s. 706M Cgndl wtin, FNeAew" Fw • Wu w. weft CouTOkrWMbK. DOW. Timm • T4Gm L KArst Mlryr, Rodmw, 10 1 • Dm arwrwm of EeemOve Drodw A"" MArrOipel LOVA ftc, Flow • 0 • _ o • NATIONAL LEAGUE OF CITIES ANNUAL CONGRESS OF CITIES Number of Votes - Direct Member Cities Article IV, Section 2 of NLC's Bylaws specifies as follows the number of votes which each member city of the National League of Cities is entitled to cast at the Annual Congress of Cities: CITY POPULATION (*per 1990 census) NUMBER OF VOTES Under 50,000 1 vote 50,000 - 99,999 2 votes 100,000 - 199,999 4 votes 200,000 - 299,999 6 votes 300,000 - 399,999 8 votes 400,000 - 499,999 10 votes 5:1,000 - 599,000 12 votes 600,000 - 699,000 14 votes 700,000 - 799.000 16 votes 800,000 - 899,000 18 votes 900,000 and above 20 votes . 1 1 Note: Member cities are required by the Bylaws to cast unanimous votes. • 1 d7 } • • a • t CONFERENCE SC EMLE TUESDAY, DORMER n f4oitg Committee • Workshops ;iP,tMt~t Hall LwKh •Genval AeAtratim l.d6p.m-SODpm _ .l$OQ/!R T~D]~r'., R dO0 a.m. - 90 pm 9OO am -1100 mm •Anolutlam CammUhe 1.90pm • •fteeonlaa"SmUnaes 4O0pm _ =ATURDAY, DECEMBER 2 mleeft 9O0 d ft - S.90pm First m AUUWk*s 1.O0p.m • 4O0 p.A • Gmaal ratlou • City of Pbomtx God 5.30 p m, . 6.30 pm •Nomloadq Cammtttee rt90 am • 1, 0.7p A Sedan 11:30 o dA 6Opeatng Rmpdw 4 - SOOpm • 990 a • 10:30 mAL ops x DORMBER 21 TMN3I0SpDnAtY, NOVEMBER SO FRIDAX DECEMBUon1 • )a-4w 4S &j& . J2.iW mar WUWM ' •8Ow0 it 3.O0 ap~ •dGenval AcgWndon 8.O0 &K - S90p,nL 0 Delegates Lu 1 S p m • General Seaton •NLC Boned of Dlrectm 90paft semw Session 990 a.m, • 1830 a.m *Annual Buda Ss ' m9 ei n - 5,90 p.m 9.$0 ant I1.d0 e m • Wwbbops 2.OOpAL MfttLns - SO0p.m • Expodtim Opm 1o-4S am -1zA7 rom • Counc0 •Host 11Oa.&-foop.m Imp -SOOpm Evm 390 am - SOOpm • Exhibit Hall k"pdm • Exposition Open 6. p m Ills a.m. -1.90pm 11.90 CAL - S,90pm i • • C► • r DENTON y_ 4. ~C. y 0000FOO pp0 OF D fi 000 0~0A, ~0 00 O . 0 0 o° C: Q Q 4 co O OOO r ~ ~ ~p0 000 o N , ~ ti pppp oo0 oMoo CITY COUNCIL • • r o 't • A • C17YOFDENTON TEXAS MUNICIPAL SUILDINQ DENTOk TEXAS 76201 TELEPHONE 817-5664309 Office of ft CKy Secretary MEMORANDUM DATE: September 7, 1995 TO: Mayor and Members of the City Council FROM: Jennifer Walters, City Secretary SUBJEtn: Board/Commission Appointments The following is a list of current Board/Commission vacancies: Electrical Code Board - Trenton Williams was not eligible for reappointment. This is a nomination for Council Member Brock. Keep Denton Beautiful Board - Candice Salomone has recently resigned. This is a nomination for Mayor Pro Tem Biles. Anita Creach has asked to be removed from the Downtown Advisory Board. This is a nomination for Council Member Cott. Mark Chew has indicated that he is unable to serve on the Sign Board of Appeals. This is a nomination for Council Member Brock. If you require any further information, please let me know. JAI • 7 f r ters y Sec tary ACCOOOF4 • r • i '&dicaed to Qtwfiry Servke" t Jr • G, • •'Ta; eJ4 e DENTON r oooooaooooo000 ooo~ 4oop O r p0~` o pD 00 .y a 0 0 0 a o u 0 r Q d OOpo r o N ~ X00 °aaocoo CITY COUNCIL ~ . . o • • J . '01 w~ CITY OF DENTON, TEXAS MUNICIPAL BUILDING DENTON, TEUS 76201 TELEPHONE 817•S66.m Office of the City Seaefery K E M 0 R A N D U M City unc 1 TO: Mayor and Members of th:scretar~~O FROM: Jennifer Walters, City DATE: September 7, 1995 RE: Council Appointments to the ',lue Ribbon CIP Committee The following appointments to the Blue Ribbon CIP Committee were made by Council at the August 15, 199' meeting: Council Member Cott Gail +nd Glenn Garcelon Lois and Byron Woods Frenchy Rheault Terry Schertz Dianne Edmondson Council Member Brock Rent Miller Ronnie Beasley j Jim Engelb:echt Charldean Newell Ruby Cole Fred Patterson Mark Burroughs Council Member Miller Jo Ann Ballantine • Roberta Donsbach Rudy Rodriguez Eric Billips Tom Judd Sandy Kristoferson Bennie Snider Mayor Castleberry Fred Connell Mark Hanna • Gene Gamble George Hopkins Margaret Smith Donna and Lawrence McClendon 'Dedicated to Qvallty &TvW* Y';•~,t bra' ~ ~~~~cT"° i Y~^t ~s~ r. - O • . ..y l b1~...~..._~.... Mayor Pro Tem Biles Carol Ann Ganzer Rick Woolfolk Art Sealy Betty Powell Rob Rayner Larry Collister Lew Taylor Council Member Young Rick Salazar Troy LaGrone Fred Hill Bullitt Lowry Human Wesley David Caswell Council Member Krueger Herb Schaake Spunky Adams Jerry Falbo Fran Miller Ken Moran Robert Gentile Council Member Krueger appointed Jesse Coffey at the Setpember 5, 1995 meeting and the Council voted Joe Mulroy as chair of the committee. Council Member Young will now have another appointment to make. • 97 VV, • • ;zft!! DENTON 4= ~f . N* ~~ppaaoopp00 0 pQAk OF D 4-- 0 00 ~ o ~ 0 0 ° o ( Q o \ 4 O G'OO ~ r ~ pp0 000 ~ N. ~ ~ooo° CIT3' CO UNCI • L • - w wpb - C/TYOFDENTON, TEMS MUNICIPAL BUILDING DENTON, TEXAS 76201 TELEPHONE 817-5664" MEMORANDUM Office of the City Sec re tary) DATE: September 7, 1995 TO: Mayor and Members of the City Council FROM: Jennifer Walters, City Secretar SUBJECT: Economic Development Transition ommittes The following nominations were made to the Economic Development Transition Committee at the September 5, 1995 meeting: Council Member Cott Ed Smith Dick Smith Harry Holl Council Member Brock Ed Smith Council Member Miller Troy LaGrone Bob Coplen Charles Stafford Mayor Castleberry Derrell Bulls Barbara Russell Mayor Pro Ten Biles Harry Holl Ed Smith Carl Anderson Council Member Young Carl Anderson Dick Smith Ed Smith • i Council Member Krueger Carl Anderson Dick Smith Harry Holl • If you require any further information, please le` me know. , • • ACCOOON 'LWicated to QualitySvv i' t • Q • M y MY O/OfNrOK TEX" MUNICIPAL BUILDING ~ 213 E AkK fNFY0 DFNfON. TEXAS 7620! (8 17) M-8200 @ DFW METRO 494.232 MEMORJ%N r' LJ14 DATE: September 12, 1995 TO., Ed Hodney, Director Parks A Recreation Department FROM: Janet Simpson, Superintendent Leisure Services RE: Joint Use Agreement with Denton Independent School District 4 The following is a list of PARD and DISD programs that Ut1112e each others agency's facilities under their joint. use agreement. Also, attached is a copy of the Joint Use Agreement, DISD's Facility Usage Policy and varied correspondence related to this issui. PARD USAGS OF DISD FACILITI a: 1. ASAS at Eight Elementary Schools This after school recreation program is operated in the gymnasiums and some cafeterias at no charge to the City j - Approxlmatwly 400 children participate 3 hours/day x 176 days x 8 schools - 40224 hours Lee Elementary Alternative calendar (intercessions) • 11 hours x 17 days - 197 hours 6 hours x 10 days - 60 hours Total: 4,471 hours 2. ASAS Summer School • - Offered at the two sites selected by DISD for summer • • school sessions. This Ls a continuation of the AM program. 6 hours/day x 20 days x 2 schools - 240 hours "Dedicated to Quality Service" • 0 • c, • ' - rvtiu,.lw 1ryE~.YWM.f~^J LA.*:VRCM.r:Pf~Yy.r..t- Joint Use Agreement with DISD Page 2 September 12, 1995 1. Summer Food Service Children's Programs contracts with DISD to proper* lunches for this federally funded grant program. In 1995, there bare 15,585 lunches served in low income areas. 4. Youth Basketball Program (DYB) This year (t94-095) practices are scheduled during the week at Fred Moore, Rivera and Lee Elementary Schools at no charge. Some games will be held at Strickland, Calhoun and Fred Moore. No charge during the weak. DYB will pay fees on weekends as required by DISD. K 5. PARR Ad in DISD Newsletter Two page advertisement of PARD programs are provided twice a year at no charge. 6. Tennis Court Use at Ryan Goldfield Tennis Center used six courts at Ryan Nigh School for Q= tournament last March for nine hours. DISD USAGE OF PARR FACILITIEa: 1. Girls Softball Program DISD holds all girls softball practices and all home games at Denis and North Lakes Parks. DISD holds an annual tournament in February that utilises the fields at Denis and North Lakes Park at no charge. • 2. Borman 8lementary/Denia Recreation Center All physical education classes are held at Denis in the gymnasium at no charge to DISD. 5 hours/day x 176 days - 880 hours • If charged rent at $20/hour - $17,600 annually or • C $100 par day value • 0 • Joint Use Agreement with DISD Page 3 September 12, 1995 3. Bronco Field Cisy purchased, installed, maintains and pays electric charges for lights at this DISD facility. Electricity costs average $2,500 per year. t. Swim Team at civic Center Pool DrD swim team uses the pool for practices for two weeks a ter the pool closes for the season at no charge. 21hours/day x 10 days - 20 hours if charged a rental fee of $20/hour - $400 value 5. Goldfield Tennis Center Spring 095 - All Denton Kest varsity and junior varsity tennis teams held practice at Goldfield on four to six Courts at no charge ! hours/day x 3 days/week - 6 hours/week 6 hours/week on 1 courts x $2.50/hour - $60/week value 6. Community Education Classes in PLAY Brochure Free, full-page ad in PARR brochure twice per year $600 for full page x 2 - $1,600 value 7. General Park Use - Cross Country team at North Lakes - Evers Park/Elementary usage - Elementary School Field days at Dania, Avondale and Evers Potential Future Use 1. Outdoor classroom at South Lakes Park • - Part of grant application, needs to be lormalised 2. Land acquisition and development 3. YMCA Pool - lease agreement City Open House • - DISD • s participation in attendance. Please let no know if you need sore information. 0 0 • • i i i i EE E) o " i IF i • • • • I 1 i