HomeMy WebLinkAbout11-30-82
1
AO'T'1CL Ui; WORK SESSION - kLUULAk - SPECIAL CALUW - EMERGENCY MEETING
O !'lil: City of Denton City Council OF THE
CITY OF DENTON, TEXAS.
Notice is hereby given that on the r 30th day of November
iy _22, the oFie
City of Denton, texas will hold a work session - regular - s ecia
called - emergency meeting at 3:00 o'clock, •%T• m., in
the Evil Defense Roon of the Municipal Building located at
21S Last McKinney, Denton, 'T'exas. The subjects to be considered are
listed on the Agenda which is attached hereto and make a part of this
notice.
If during the course of the meeting coverect by this notice the
board/Commission should determine that an executive meeting of the
Board/Commission, or a consultation with the City's attorney should
be held or is required, then such executive meeting or consultation
with the City's attorney as authorized by Article 6252-17 Revised
Civil Statutes of Texas will be held by the Board/Commission at the
date, hour, and place given in this notice or as soon after the
commencement of the meeting covered by this notice as the
Board/Commission may conveniently meet in such executive meeting, or
consult with the City's attorney concerning any and all subjects and
for any and all purposes permitted by Section 2(b) through Section
2(p), inclusive, of said Article 62$2-17, including, but not limited
to, Section 2(c), Section 2(e), Section 2(f), Section 2(g), and
Section 2(j) and as marked in the attached Agenda.
Should any final action, final decision, or final vote: be
required in the opinion of the Board/Commission with regard to any
matter considered in such executive meeting or consultation with the
City's attorney, then such final action, final decision, or final
vote shall be at either:
(a) the public meeting covered by this notice upon the
reconvening of this public meeting, or
(b) at a subsequent public met;zing of the lioa*d/Commission upon
notice thereof, as the Board/Commission shall determine.
Un this 211 clay of November , 1!1 42 the original of
this instrument was filed among the official records of the City of
Denton, Texas, and an original copy was posted on the bulletin board
in the main lobby of the Municipal Building of the City of Denton
at o'clock, ~,,1,___m• on Saiddato.
UIlM(LU TH ALLEN, CITY SECRETARY
CITY OF 1Jl:-N1'O,`9 TEXAS
0214C
+ CITY OF DENTON CITY COUNCIL it jay/ a
November 30, 1982 3 0o
3:00 P.M.
Special Called Meeting'ofvthe City of Denton City Council on Tuesday, November
30, at 3:00.
1. Public Hearings On Site
3:30 P.M. A. Public Vearing concerning annexation of approximately 24
acres of 'and located immediately east of the Denton Sewer
Treatment Pl-sat (Z-1550).
3:45 P.M. B. Public Hearing concerning annexation of approximately 122
acres of land beginning in the centerline of Edwards Road
approximately 1,800 feet east of Mayhill Road (Z-1549).
4:00 P.M. C. Public Hearing concerning the proposed annexation of
approximately 63.89 acres of land located along the east
side of Mayhill Road north of the Andrew Corporation
(Z-1541).
4:30 P.M. D. Public Hearing concerning the proposed annexation of
approximately 111.72 acres of land located along both sides
of FM 1830 beginning approximately 200 feet south of Hobson
Lane (Z-1542).
5:00 P.M.
Special Called Meeting of the City of Denton City Council on Tuesday, November
300 at 5:00 P.M. in the Civil Defense Room of the Municipal Building at which
the following items will be considered:
1. Executive Session:
A. Legal Matters Under Sec. 2(e), Art. 6252-17 V.A.T.S.
B. Real Estate Under Sec. 2(f), Art. 6252-17 V.A.T.S.
C. Personnel Under Sec. 2(g), Art 6252-17 V.A.T.S.
D. Board Appointments Under Sec. 2(g), Art 6252-17 V.A.T.S.
2. Approval of a Resolution approving an agreemeit by the City of Denton
Industrial Development Authority to issue bonds for Union Camp Corporation
Facility and the Resolution authorizing the issuance of such bonds and
approving doctuaents.
3. Approval of final payment to Floyd Glen Smith for CIP Sidewalks, 1982 in
the amount of $15,561.18.
4. Actions taken in Executive Session:
A. Legal Matters Under Sec. 2(e), Art. 6252-17 V.A.T.S.
B. Real Estate Under Sec. 2(f), Art. 6252-17 V.A.T.S.
C. Personnel Under Sec. 2(9)0 Art 6252-17 V.A.T.S.
D. Board Appointments Under Sec. 2(g), Art 6252-17 V.A.T.S.
5. New Business this item pro, ides the Council with an opportunity to
state new business to be discussed at future Council Meetings.
0732M
AGENDA
CITY OF DENTON CIT" COUNCIL
November 30, 182
3:00 P.M.
Special Called Meeting of the City of Denton City Council an Tuesday, November
3U, at 3:00.
1. Public Hearings On Site
3:30 P.M. A. Public Hearing concerning .annexation of approximately 24
acres of land located immediately east of the Denton Sewer
Treatment Plant (Z-1550).
3:45 P.M. B. Public Hearing concerning annexation of approximately 122
acres of land beginning in the centerline of Edwards Road
approximately 1,800 feet east of Mayhill Road (Z-1549).
4:00 P.M. C. Public Hearing concerning the proposed annexation of
approximately 63.89 acres of land located along the east
side of Mayhill Road north of the Andrew Corporation
(Z-1541).
4:3U P.N. D. Public Hearing concerning the proposed annexation of
approximately 111.72 acres of land located along both sides
of FM 1830 beginning approximately 200 feet south of Hobson
Lane (Z-1542).
5:00 P.M.
Special Called Meeting of the City of Denton City Council on Tu-'-sday, November
30, at 5:00 P.M. in the Civil Defense Room of the Municipal Building at which
the following items will be considered:
1. Executive Session:
A. Legal Matters Under Sec. 2(e), Art. 6252-17 V.A.T.S.
B. Real Estate Under Sec. 2(f), Art. 6252-17 V.A.T.S.
C. Personnel Under Sec. 2(g), Art 6252-17 V.A.T.S.
D. Board Appointments Under Sec. 2(g), Art 6252-17 V.A.T.S.
2. Approval of a Resoultion approving an agreement by the City of Denton
Industrial Development Authority to issue bonds for Union Camp Corporation
Facility and the Resolution authorizing the issuance of such bonds and
approving documents.
3. Approval of final payment to Floyd Glen Smith for CIP Sidewalks, 1982 in
the amount of $15,561.18.
4. Actions taken in Executive Session:
A. Legal Matters Under Sec. 2(e), Art. 6252-17 V.A.T.S.
B. Real Estate Under Sec. 2(f), Art. 6252-17 V.A.T.S.
C. Personnel Under Sec. 2(g), Art 6252-17 V.R.T.S.
0. Board Appointments Under Sec. 2(g), Art 6252-17 V.A.T.S.
5. New Business this item provides the Council with an opportunity to
state new business to be discussed at future Council Meetings.
0732M
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C~ ~d PA)
STAFF REPORT
To: Denton City Council
Case No. Z-1550 Date: November 30, 1962
GENERAL INFORMATION
Applicant: City of Denton
215 E. McKinney
Denton, Texas 76201
Status of Applicant: Owner
Requested Action: Annexation
Location: Immediatuly East of Sewer Treatment
Plant.
Approximately 24 acres
Size:
Existing Land Use: Vacant
Surrounding Land Use: North - Vacant
South - Vacant
East - Vacant
Best - Sewer Treatment Plant
SPECIAL INFORMATION
Physical Characteristics: Vegetation consists of pecan orchard,
grass, trees and weeds. Land lies
adjacent to city limit.
ANALYSIS
FThis recently acquired tract will be utilized for sludge
disposal. Annexation of this tract will move the City limit in
this area eastward to the centerline of Pecan Creek, which is a
natural boundary.
(Z-1550)
Page 2
RECOMMENDATION
The Planning and Community Development Department recommends
approval of annexation.
ATTACHMENTS
1. Map
2. Service Plan
3. Planning and Zoning Commission minutes of meeting of
November 3, 1982
• r PLAN OF SERVICE FOR ANNEXED AREA, CITY OF DENTON, TEXAS
{WHEREAS, Article 970a as amended requires that a plan of service
be adopted by the governing body of a city prior to passage of an ordinance
annexing an area; and
1WHEREAS, the City of Denton is contemplating annexation of an
area which is bounded as shown on a map of the proposed annexation,
NOW1 THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF DENTON, TEXAS:
Section 1. Pursuant to the provisions of Article 970a as
amended, Texas Code Annotated, there is hereby adopted for the proposed
annexation area the following plan of service:
I. Basic Service Plan
A. Police
(1) Patrolling, radio responses to calls, and other
routine police services, using present personnel
and equipment, will be provided on the effective
date of annexation;
(2) Traffic signals, traffic signs, street markings,
and other traffic control devices will be installed
as the need therefore is established by appropriate
study and traffic standards,
B. Fire
(1) Fire protection by the present personnel and equip-
ment of the fire fighting force, will be provided
on the effective date of annexation.
C. Water
(1) {Water for domestic, commercial and industrial use
will be provided at city rates, from existing city
lines on the effective date of annexation, and
thereafter from new lines as extended in accordance
with article 13.06 of appendix A of the code of the
City of Denton, Texas.
D. Sewer
(1) Properties in the annexed areas will be connected
to sewer lines in accordance with article 13.06 of
appendix A of the code of the City of Denton, Texas.
E. Refuse Collection
(1) The same regular refuse collection service now pro-
vided within the city will be extended to the
annexed area within one month after the effective
date of annexation,
Service Plan
Annexed Areas
Page two
F. Streets
(1) Emergency maintenance of streets (repair of hazardous
chuckholes, measures necessary for traffic flow, etc,)
will begin on the effective date of annexation,
(2) Routine maintenance on the same basis as in the
present city, will begin in the annexed area on
the effective date of annexation.
(3) Reconstruction and resurfacing of streets, installa-
tion of storm drainage facilities, construction of
curbs and gutters, and other such major improvements,
as the need therefore is determined by the governing
body, will be accomplished under the established
policies of the city.
0. Inspection Services
(1) Any inspection services now provided by the city
(building, electrical, plumbing, gas, housing,
sanitation, etc.) will begin in the annexation area
on the effective date of annexation.
H, Planning and Zoning
(1) The Planning and Zoning jurisdiction of the city
will extend to the annexed area on the effective
date of annexation. City planning will thereafter
encompass the annexed area.
1. Street Lighting
(1) Street lighting will be installed in the substan-
tially developed areas in accordance with the
established policies of the city,
J. Recreation
(1) Residents of the annexed area may use all existing
recreational facilities, parks, etc., on the effec-
tive date of annexation. The same standards and
policies now used in the present city will be fol-
lowed in expanding the recreational program and
facilities in the enlarged city.
K. Electric Distribution
(1) The city recommends the use of City of Denton for
electric power.
r
Service Plan
Annexed Areas
Page three
L. Miscellaneous
(1) Street name signs where needed will be installed
within approximately 6 months after the effective
date of annexation.
11. Capital Improvement Program (CIP)
The CIP of the City consists of a five year plan that is up-
dated yearly. The Plan is prioritized by such policy guide-
lines as:
(1) Demand for services as compared to other areas
based partly on density of population, magnitude
of problems compared to other areas, established
technical standards and professional studies, and
natural or technical restraints or opportunities.
(2) Impact on the balanced growth policy of the city.
(3) Impact on overall city economics.
The annexed area will be considered for CIP planning in the
upcoming CIP plan, which will be no longer than one year from
the date of annexation. In this new CIP planning year the
annexation area will be judged accordingly to the same
established criteria as all other areas of the city.
Minutes
Planning and Zoning Commission
November 3, 1982
Page 9
mit if area is annexed. He said that about 10 dwellings
exist on property at the present time. He said that
staff recommends annexation.
Mr. Juren moved to recommend annexation of 122 acres.
Seconded by Mr. Bscue and unanimously carried. (5-0)
FF. Z-1S50. Consider annexation'of approximately 24 acres
Nand located immediately east of the Denton Sewer
Treatment Plant.
Mr. Watkins explained that area proposed for annexation
was recently acquired by the city, that a pecan orchard
exists on it at the present time, that property is lo-
cated immediately east of the Denton Sewer Treatment
Plant and will probably be used for sludge disposal.
He said that staff recommends annexation.
Mr, bscue moved to recommend annexation of 24 acres.
I Seconded by Mr. Juren and unanimously carried. (5-0)
G. Consider conclusions of review of proposed Denton
Development Ordinance (subdivision and land develop-
ment regulations).
Air. Fanning summarized proposed changes as agreed on in
study session as follows:
1. keplat Procedure (Page 1S)
a) All replats of single family lots shall include
a courtesy notice to all adjacent property own-
ers within 200 feet if they were not notified as
provided in the state law notification provision.
b) All replats shall go to the City Council for
final action.
2. Annexation Policy (Page 17)
The current procedure requires only City Council
study prior to starting the formal annexation
proceedings. The Planning and Zoningg Commission
recommends including the Commission in this infor-
mal study procedure.
STAFF REPORT
To: Denton City Council
Case No. Z-1549 Date: November 30, 1982
GENERAL INFORMATION
Applicant: City of Denton
215 E. McKinney
Denton, Texas 16201
Status of Applicant: Owner
Requested Action: Annexation
Location: 8egins approximately 19800 feet east
of Mayh1ll Road
Size: Approximately 122 acres
Existing Land Use: Approximately ten (10) dwellings and
vacant land
Surrounding Land Use: North - Vacant
South - Vacant
East - Vacant
West - Housing and Vacant land
;PECIAL INFORMATION
s
Physical Characteristics: Vegetation consists of grass, trees
and weeds.
The site is currently served by
Edwards Road, which is an unimproved
road.
('Z-1549)
Page 2
ANALYSIS
This is the proposed landfill site located adjacent and south of
the city limit. There are approximately ten 10) residential
dwellings located on the property. The dwellings and accessory
buildingys will belong to the City of Denton. The landfill it-
self wiil be located south of the e~.isting dwellings, and the
plans call for access to the site by a road to the south from
the sewer plant road.
RECOMMENDATION
The Planning and Community Development Department recommends
approval of the proposed annexation.
ALTERNATIVES
Take no action to continue annexation.
2. Move to discontinue ai,~exation.
ATTACHMENTS
r_
1. Map E
2. Service Plan
3. Planning and Zoning Commission minutes of meeting of
November 3, 1982
PLAN OF SERVICE FOR ANNEXED AREA, CITY OF DENTON, TEXAS
WHEREAS, Article 970a as amended requires that a plan of service
be adopted by the governing body of a city prior to passage of an ordinance
annexing an area; and
WHEREAS, the City of Denton is contemplating annexation of an
area which is bounded as shown on a map of the proposed annexation.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF DENTON, TEXAS:
Section 1. Pursuant to the provisions of Article 970a as
amended, Texas Code Annotated, there is hereby adopted for the proposed
annexation area the following plan of service:
I. Basic Service Plan
A. Police
(1) Patrolling, radio responses to calls, and other
routine police services, using present personnel
and equipment, will be provided on the effective
date of annexation;
(2) Traffic signals, traffic signs, street markings,
and other traffic control devices will be installed
as the need therefore is established by appropriate
study and traffic standards.
B. Fire
(1) Fire protection by the present personnel and equip-
ment of the fire fighting force, will be provided
Pn the effective date of annexation.
C. Water
(1) Water for domestic, commercial and industrial use
will be provided at city rates, from existing city
lines on the effective date of annexation, and
thereafter from new lines as extended in accordance
with article 13.06 of appendix A of the code of the
City of Denton; Texas.
D. Sewer
(1) Properties in the annexed areas will be connected
to sewer lines in accordance with article 13.06 of
appendix A of the code of the City of Denton, Texas.
E. Refuse Collection
(1) The same regular refuse collection service now pro-
vided within the city will be extended to the
annexed area within one month after the effective
date of annexation,
Service Plan
Annexed Areas
Page two
F. Streets
(1) Emergency maintenance of streets (repair of hazardous
chuckholes, measures necessary for traffic flow, etc.)
will begin on the effective date of annexation.
(2) Routine maintenance on the same basis as in the
present city, will begin in the annexed area on
the effective date of annexation.
(3) Reconstruction and resurfacing of streets, installa-
tion of storm drainage facilities, construction of
curbs and gutters, and other such major improvements,
as the need therefore is determined by the governing
body, will be accomplished under the established
policies of the city.
G. Inspection Services
(1) Any inspection services now provided by the city
(building, electrical, plumbing, gas, housing,
sanitation, etc.) will begin in the annexation area
on the effective date of annexation.
11. Planning and Zoning
(1) The Planning and Zoning jurisdiction of the city
will extend to the annexed area on the effective
date of annexation. City planning will thereafter
encompass the annexed area.
I. Street Lighting
(1) Street lighting will be installed in the substan-
tially developed areas in accordance with the
established policies of the city.
J. Recreation
(1) Residents of the annexed area may use all existing
recreational facilities, parks, etc., on the effec-
tive date of annexation. The same standards and
policies now used in the present city will be fol-
lowed in expanding the recreational program and
facilities in the enlarged city.
K, Electric Distribution
(1) The city recommends the use of City of Denton for
electric power,
Service Plan
Annexed Aresis
Page three
L. Miscellaneous
(1) Street name signs inhere needed will be installed
within approximately 6 months after the effective
date of annexation.
II. Capital Improvement Program (CIP)
The CIP of the City consists of a five year plan that is up-
dated yearly. The Plan is prioritized by such policy guide-
lines as:
(1) Demand for services as compared to other areas
based partly on density of population, magnitude
of problems compared to other areas, established
technical standards and professional studies, and
natural or technical restraints or opportunities.
(2) Impact on the balanced growth policy of the city.
(3) Impact on overall city economics.
The annexed area will be considered for CIP planning in the
upcoming CIP plan, which will be no longer than one year from
the date of annexation. In this new CIP planning year the
annexation area will be judged accordingly to the same
established criteria as all other areas of the city.
Minutes
Planning and Zoning Commission
November 3, 1982
Page 8
Mr. Ellison agreed stating that there are a lot of ques-
tions that staff has not been able to answer. He said
that Ray McFarlane and Larry Luce of NTSU met with De-
velopment Review Committee to discuss request for quit
claim but no satisfactory answers were obtained about
proposed use of streets. He said that individual de-
partments voiced opposition with so many streets and
utilities involved; that Fire Chief was opposed due'to
inade uate access. He continued that the university has
agreed to give city easements but apparently in the past
the city has had to resort to legal recourse due to pav-
ing over streets and easements. He concluded that he
felt communication problems could be worked out, that
request was put on Planning and Zoning Commission agenda
as a consideration item to receive direction. He also
agreed that input from public in area was needed.
Ray McFarlane of NTSU stated that the university had
approached the city several months ago and had met with
Development Review Committee in July. He said that re-
quest for quit claim is to give flexibility in future
planning, that they have no design to close any of the
streets most of which are interior to campus. Highland
and Maple serve some persons outside campus. He said
that university would be willing to give easements for
utilities; that he had met with Fire Chief Gentry and
had worked out adequate or equal fire access to be pro-
vided in the event streets were closed. He continued
that he felt any action by Planning and Zoning Commis-
sion at this time would be premature and suggested that
if there are questions they should get with staff and
work them out.
Chairman agreed. Mr. Ellison asked for direction in
handling the issue and Chairman suggested that City
Manager and City Council be consulted about best way
to proceed.
Mr. Escue moved to table request for quitclaim.
Seconded by Mr. Juren and unanimously carried. (5-0)
E. Z-1549. Consider annexation of approximately 122 acres
o and beginning in the centerline of Edwards Road ap-
proximately 1800 feet east of Mayhill Road.
Mr. Watkins explained that area proposed for annexation
was acquired by the city as potential landfill site,
that city will come back and request a specific use per-
Minutes
Planning and Zoning Commission
November 3, 1982
Page 9
mit if area is annexed. He said that about 10 dwellings
exist on property at the present time. He said that
staff recommends annexation.
Mr. Juren moved to recommend annexation of 122 acres.
Seconded by Mr. Escue and unanimously carried. (5-0)
1
F. Z-1550. Consider annexation of approximately 24 acres
o and located immediately east of the Denton Sewer
Treatment Plant.
Mr. Watkins explained that area proposed for annexation
was recently acquired by the city-, that a pecan Orchard
exists on it at the present time, that property is lo-
cated immediately east of the Denton Sewer Treatment
Plant and will probably be used for sludge disposal.
Fie said that staff recommends annexation.
Mr. Escue moved to recommend annexation of 24 acres.
Seconded by Mr. Juren and unanimously carried. (S-0)
G. ConsUor conclusions of review of propoosed Denton
Development Ordinance (subdivision and land develop-
ment regulations).
Mr. Fanning summarized proposed changes as agreed on in
study session as follows;
1. Replat Procedure (Page 15)
a) All replats of single family lots shall include
a courtesy notice to all adjacent property own-
ers within 200 feet If they were not notified as
provided in the state law notificatlon provision,
b) All replats shall go to the City COUncil for
final action.
2. Annexation Policy (Page 17)
The current procedure requires only City Council
study prior to starting the formal annexation
proceedings. The Planning and Zoning Commission
recommends including the Commission fn this infor-
mal study procedure.
~y:oa Pµ)
PLANNING AND ZONING COMMISSION
RECOMMENDATION TO THE
CITY COUNCIL
To: Denton City Council
Case No. Z-1541 Date: November 30, 1982
GENERAL INFORMATION
Applicant: City of Denton
215 E. McKinney
Denton, Texas 16201
Requested Action: Annexation
Purpose: To insure development occurs in
accordance with City Standards.
Location: East side of Mayhill Road from Page
Road southward to existing city limit.
Size: Approximate 63.84 acres
Existing Land Use: Vacant, except for one (1) residential
dwelling
Surrounding Land Use: North - Vacant
South - Andrew Corporation
East - Vacant
West - Vacant
Master Plan: Low Intensity Area; Mayhill Roao pro-
posed as Major Arterial Street in this
area; Page Road as a secondary arter-
ial.
Applicable Regulations: If the property is annexed, the owner
will be required to seek appropriate
zoning to develop a mobile home park
and must develop in accordance with
the Mobile Home and Travel Trailer
Park Ordinance.
(z-1541) •
Page 2
SPECIAL INFORMATION
Public Utilities: Adequate water and sewer capacity is
available and the owner has received
City Council approval for extension of
water and sewer services. The water
line would be extended from its cur-
rent termination at the entrance to
the Andrew Corporation. Sewer service
would come from the 2411 line located
east of the site.
Public Services: Sanitation service is available.
Transportation: Should the mobile home development
occur, the ar►.,a will generate approx-
imai2ly 3,000-4,000 trips per day. It
is anticipated that this amount of
traffic will significantly impact "un-
improved perimeter streets" in the
area.
ANALYSIS
The property belonging to Mr. Allan Getz consists of approxi-
mately 39 acres on the east side of Mayhill Road. The balance of
the property included in this proposed annexation is land lying
between the current city limit and the Getz property. The City
Council recently approved extension of water and sewer facili-
ties to the site, which is proposed for mobile home park devel-
opment.
Should the proposed mobile home park site be annexed, then the
developers would have to seek appropriate zoning for a mobile
home park and develop the park in accordance with the mobile
home park ordinance.
The proposed development meets the Denton annexation policy
guidelines for determining when annexation should be considered,'
and as indicated by the City Council action with respect to
extension of water, sewer and electric services, there is ade-
quate capacity and ability to provide nurmal urtan services
equal to other comparable areas inside the city.
If subdivision of the parcel is required, there is no provision
for cost participation by the developer for roads around the
perimeter of the proposed development if the area is not annexed
into the city.
(Z-1541)
Page 3
ANALYSIS CONTINUED
Additionally, if the area is not annexed, the mobile home park
would not Piave to meet the development standards as set forth in
the mobile home park and travel trailer ordinance. Without ben-
efit of the standards in the mobile home park ordinance the city
has no means of controlling the quality of land use.
As many as 350-400 mobile homes could be located on the property
generating 3,500 to 4,000 vehicle trips per day. These figures,
which are based upon maximum utilization of the property, indi-
cate substantial traffic impact upon nearby unimproved city
streets. The section of Mayhill Road along the west side of
this tract is a planned major arterial street and the tract is
in a designated low intensity area, which is on the edge of a
high intensity node.
t
RECOMMENDATION
The Planning and Zoning Commission recommends approval of the
proposed annexation by a vote of 5-0.
ATTACHMENTS
1. Map
2. Annexation Policy
3. Plan of Service
4. Property owner list
5. Reply form totals
6. Planning and Zoning Commission minutes of meeting of October
~ 20, 1982 and November 3, 1982 i
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ANNEXATION POLICY:
It is the general policy of the City of Denton to assess on a case
by case basis the annexation of areas in the Extra Territorial
Jurisdiction (ETJ) when significant developments are proposed or
occurring.
The following are guidelines for determining when annexation should
be considered:'
1) Single family developments over five lots;
2) Multi-family industrial or commercial developments over
one acre;
3) Any area where the, density exceeds 500 units per square
mile,
4) 4ny development or area that might present a significant
impact upon.the_City in such ways as service cost, increased
----traffic; utility needs or utilization, safety or health
-hazards, substandard construction practices, detrimental
aesthetic quality or other similar community impacts.
When the above conditions exist, appropriate City staff shall review
the proposed development for the-purpose-of considering annexation.
The review shall also include consideration of the annexation of
logical planning areas around the area of initial concern.
In studying the question of whether or not an area should be annexed
the following criteria shall be considered as a minimum:
1) The ability of the City to furnish normal urban services
equal to other comparable areas inside the city limits.
(Dote: water and sewer system capabilities considered,
but lines for individual areas normally not City financing
responsibility.)
2) The reliability, capacity and future public cost (if any)
of current and planned provisions for community facilities
such as roads, utilities, etc. (Private facilities will
be considered).
Annexation Policy
3) The need and quality of land use and building controls.
(Private controls will be considered.)
4) Impact on the City both current and long range, including
as a minimum;
a) fiscal cost*and benefits
b) traffic
c) infrastructure of roads, utilities and other
community facilities
d) safety or health
e) building/development quality
f) aesthetic quality
g) community character '
5) Conformance with and/or need to insure conformance with
the Denton Development Guide.
If, after preliminary study, the above criteria indicates a need to
more seriously consider annexation in order to promote or protect
the public interest then the City will initiate formal annexation
proceedings to consider.., the..annexation_question in detail.
- If a property in the ETJ is contiguous to the City limits and the
owner of said property desires that it be annexed in order to be
qualified to receive City services when available, and to be afforded
zoning-protection, the owner may petition the City for annexation.
PLAN OF SERVICE FOR ANNEXED AREA, CITY OF DENTON, TEXAS
WHEREAS, Article 970a as amended requires that a plan of service
be adopted by the governing body of a city prior to passage of an ordinance
annexing an area; and
WHEREAS, the City of Denton is contemplating annexation of an
area which is bounded as shown on a map of the proposed annexation.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL, OF THE CITY
OF DENTON, TEXAS:
Sectio;,, 1. Pursuant to the provisions of Article 970a as
amended, Texas Code Annotated, there is hereby adopted for the proposed
annexation area the following plan of service:
1. Basic Service Plan
A. Police
(1) Patrolling, radio responses to calls, and other
routine police services, using present personnel
and equipment, will be provided on the effective
date of annexation;
(2) Traffic signals, traffic signs, street markings,
and other traffic control devices will be installed
as the need therefore is established by appropriate
study and traffic standards.
B. Fire
(1) Fire protection by the present personnel and equip-
ment of the fire fighting force, will be provided
on the effective date of annexation.
C. Water
(1) Water for domestic, commercial and industrial use
will be provided at city rates, from existing city
lines on the effective date of annexation, and
thereafter from new lines as extended in accordance
with article 13.06 of appendix A of the code of the
Cite of Denton, Texas.
D. !vv;cr
(1) Properties in the annexed areas will be connected
to sewer lines in accordance with article 13.06 of
appendix A of the code of the City of Denton, Texas.
E. Refuse Collection
(1) The same regular refuse collection service now pro-
vided within the city will be extended to the
annexed area within one month after the effective
date of annexation.
Service Plan
Annexed Areas
Page two
F. Streets
(1) Emergency maintenance of streets (repair of hazardous
chuckholes, measures necessary for traffic flow, etc.)
will begin on the effective date of annexation.
(2) Routine maintenance on the same basis as in the
present city, will begin in the annexed area on
the effective date of annexation,
(3) Reconstruction and resurfacing of streets, installa-
tion of storm drainage facilities, construction of
curbs and gutters, and other such major improvements,
as the need therefore is determined by the governing
body, will be accomplished under the established
policies of the city.
G. Inspection Services
(1) Any inspection services now provided by The city
(building, electrical, plumbing, gas, housing,
sanitation, etc.) will begin in the annexation area
on the effective date o° annexation.
H. Planning and Zoning
(1) The Planning and Zoning jurisdiction of the city
will extend to the annexed area on the effective
date of annexation. City planning will thereafter
encompass the annexed area.
I, Street Lighting
(1) Street lighting will be installed in the substan-
tially developed areas in accordance with the
established policies of the city.
J, Recreation
(1) Residents of the annexed area may use all existing
recreational facilities, parks, etc., on the effec-
tive date of annexation. The same standards and
policies now used in the present city vill be fol-
lowed in expanding the recreational program and
facilities in the enlarged city.
K. Electric Distribution
(1) The city recommends the use of City of Denton for
electric power.
0
Service Plan
Annexed Areas
Page three
L. Miscellaneous
(1) Street name signs •Yhere needed will be installed
within approximately G months after the effective
date of annexation.
II. Capital Improvement Program (CIP)
The CIP of the C?.ty consists of a five year plan that is up-
dated yearly. The Plan is prioritized by such policy guide-
lines as:
(1) Demand for services as compared to other areas
based partly on density of population, magnitude
of problems compared to other areas, established
technical standards and professional studies, and
natural or technical restraints or oppurtunities.
(2) Impact on the balanced growth policy of the city.
(3) Impact on overall city economics.
The annexed area will be considered for CIP planning in the
upcoming CIP plan, which will be no longer than one year from
the date of annexation. In this new CIP planning year the
annexation area will be judged accordingly to the same
established criteria as all other areas of the city.
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PROPERTY OWNER REPLY FORMS
CITY COUNCIL
2-1541
IN FAVOR IN OPPOSITION UNDECIDED
George Hopkins, rep. Allan Getz
Andrew Corporation Allan Mobile Home
First State Bank Bldg. P. 0, Box 1059
Denton, Texas 76201 Lewisville, Tx
382-6814 221-3702
r
• ►1i nutes
Planning and Zoning Commission
October 20, 1982
Page 1
reviewed by Development Review Committee and is accept-
able. He said it is fortunate that drive cut complies
with city and state requirements and that there were no
drainage requirements.
On question, Mr. Watkins said that since plat meets
requirements there is no basis for denying the plat.
Chairman asked that matter be brought to attention of
City Manager and suggested that City Manager urge other
departments to be aware of platting requirements before
issuing permits for taps, etc. He said he would like to
be informed of response.
Mr. Escue moved to recommend approval of final plat of
Jack Briscoe Addition. Seconded by Mr. Juren and unani-
mously carried. (5-0)
E. IZ-1541. Consider proposed annexation of approximately
63.89 acres located along the east side of Mayhill Road.
Mr. Watkins presented proposed annexation stating that
the owner of a 39 acre parcel had requested permission
of the City Council to extend utilities in order to
develop a mobile home park; City Council directed staff
to initiate annexation proceedings. Staff is recommend-
ing extending current city limits line north to include
property between Andrew Corporation and the Getz prop-
erty for a total of approximately 63 acres. He advised
that first public hearing before City Council is sched-
uled for November 9 and second public hearing on site is
scheduled for tovember 30, that proposal is brought to
Planning and Zoning Commission at this time for a formal
recommendation. On question, he said that Andrew Corpo-
ration has not been contacted, that notices will be sent
to property owners prior to public hearings. He further
explained that purpose of annexing Getz property is to
assure that mobile home park is developed in accordance
with mobile home ordinance.
Chairman asked about existing residence at southwest
corner of proposed area, questioning annexation without
providing benefits.
Mr. 51dor commented that it would not be in best
interest of city to offset that property.
Minutes
Planning and Zoning Commission
{ October 20, 1982
Page 8
Mr. Sidor moved to recommend annexation of 63.89 acres.
Seconded by Mr. Claiborne.
Mr. Juren amended motion to exclude private residential
area at southwest corner. Mr. Escue seconded the amend-
ment.
Vote was called on amendment:
Aye - Claiborne, Escue, Juren and LaForte
Nay - Sidor
Motion carried. (4-1)
Vote was called on motion to annex:
Aye - Claiborne, Escue, Juren, LaForte and Sidor
Nay - None
motion unanimously carried. (5-0)
Mr. Watkins.advised_that.total 63.89 acre3 would be
advertised for annexation, as smaller but not larger
area than-area advertised could be annexed by the city.
He said that City Council would be informed of Planning
Lnd Zoning Commission recommendation.
Mr. Claiborne left meeting.
F. -Z-1542... Consider proposed annexation of approximately
111.72 acres located along either side of F. M. 1830.
Mr. Watkins presented proposed annexation stating that
home owners on the west side of FM 1830 requested per-
mission of the City Council to extend wator and sewer
to their homes. When this was first brought to Planning
and Zoning Commission, it was their recommendation that
area be expanded to include property on east side of
road consisting of a total of approximately 111 acres.
He continued that condition of the southernmost portion
of the property on the west side was a consideration in
recommending annexation and pointed out that it has
since been learned that a contractor's shop exists along
with a residence which business use would be allowed to
continue but not expand without a zoning change. Vacant
land existing on the east side is beginning to develop
and annexation is recommended to ensure compatibility
with Forrestridge i and II.
c•
Mr. LaForte moved to recommend annexation of 111.72
acres on either side of FM 1830. Seconded by Mr. Juren
and unanimously carried. (4-0)
Minutes
Planning and Zoning Commission
November 3, 1982
Page 13
half streets; therefore property owners adjacent to
these roads have to either post bond or escrow funds
which presents a problem with interest money. He said
that if curb and gutter is added on an assessment paving
system funds are generally not recouped by city. He
said there is a problem of enforcing paving policy, and
staff would like to leave policy as written excluding
state and federal highways.
After further discussion, Mr. Claiborne moved to approve
the seven changes ppresented by staff, with the exception
of bb which is to be deleted. Seconded by Mr. Escue and
unanimously carried. (5-0)
Sidewalk issue was discussed. On question, Mr. Edwards
stated that cost for sidewalks would be $4 to $5 a
lineal foot in addition to cost of street. He said that
city has no funds budgeted for sidewalk repair the
present time. Mr. Panning quoted from propose regula-
tions which requires sidewalks on major thore.ghfares
` and collector streets.
It was consensus of Commission to leave wording as it
exists in the proposed subdivision regulations.
Minimum standards for roadway medians was discussed and
it was consensus to include proposed standards in the
new subdivision regulations.
Discussion continued on la of replat procedure. It was
agreed to reword la to state that an attempt would be
made to send a "courtesy notice" to residents (not prop-
erty owners) within 200 feet of replat.
ii. Now Business
Chairman asked for items of new business to consider.
None were offered.
l,yr. Watkins explained that at last meeting when Planning
and Zoning Commission considered annexation (Z-1541) of
area along ,Mayhill Road, recommendation was made to de-
lote the parcel where the single family residence was
located. Since that time staff has discovered that
Andrew Corporation owns that property, fie asked if
that would affect recommendation of Planning and Zor.' 3
Commission.
Minutes
Planning and Zoning Commission
November 3, 1982
Page 14
Chairman stated that he assumed a private citizen owned
that property and his decision would be affected.
Mr. luren suggested that staff take recommendation to
City Council to include parcel as Planning and Zoning
Commission didn't know that Andrew Corporation owned
the property when original motion was made.
Commission concurred.
Mr. Watkins said he would take amended recommendation to
City Council.
Meeting adjourned at 8:10 p.m.
P,)
PLANNING AND ZONING COMMISSION
RECOMMENDATION TO THE
CITY COUNCIL
To: Denton City Council
Case No. Z-1542 Date: November 301 1982
GENERA'6 INFORMATION
Applicant: City of Denton
215 E. McKinney
Denton, Texas 76201
Requested Action: Annexation
Purpose: Control existing and future development
Location: Both sides of FM 1830 beginning
approximately 200 feet south of Hobson
Lane.
Size: Approximately 111.72 acres
Existing Land Use: Two duplex, four single family and
four mobile dwellings
Surrounding Land Use '
and Zoning: North - Housing and Vacant
South - Housing and Vacant
East - Residential
West - Vacant; Commercial
Master Plan: Low Intensity Area
SPECIAL INFORMATION
Public Utilities: Adequate water and sewer capacity is
available. The City Council recently
approved utility extension to serve
the houses fronting on FM 1830.
Public Services: Sanitation services are available.
Transportation: Existing land uses have insignificant
traffic impact.
(z-1542)
Page 2
ANALYSIS
This parcel meets the first guideline in the annexation policy
for determining when annexation should be considered; single
family development over five lots. The property is located in
an area where the city has the ability to furnish normal urban
services. The condition of the structures on the two southern-
most lots indicates a need for code enforcement and building
controls because of the quality of the existing land use.
Because of the scale and location of the site it is anticipated
that fiscal benefits will exceed cost, and it is felt that traf-
fic infrastructure, safety, and health impacts are insignificant
at this time.
Since the Planning and Zoning Commission last considered annex-
ation of this area it has come to our attention that the parcel
owned by Mr. Stapler on the west side of FM 1830 is and has been
used as a residence and a contractors shop. If the property is
annexed no expansion to this business could occur without a zon-
ing change but Mr. Stapler does have the right to continue the
business use of the property as is.
it is felt that annexation of the property is required to con-
trol the expansion of mobile homes on the south side of this
land and to prevent the development of incompatible land uses
adjacent to Forrestridge I and Forrestridge 11.
RECOMMENDATION
The Planning and Zoning Commission recommends approval of the
proposed annexation by a vote of 4-0. j
ATTACHMENTS
1. Map
2. Annexation Policy
3. Service Plan
4. Property owner list
5. Reply form totals
u. Planning and Zoning Commission minutes of meeting of October
20, 1982
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ANNEXATION POLICY:
It is the general policy of the City of Denton to assess an a case
by case basis the annexation of areas in the Extra Territorial
Jurisdiction (ETJ) when significant developments are proposed or
occurring.
The following are guidelines for determining when annexation should
be considered:*
1) Single family developments over five lots;
2) Multi-family industrial or commercial developments over
one acre;
3) Any area where the. density exceeds 500 units per square
mile;
4) Any development or area that might present a significant
impact upon the City in such :rays as service cost, increased
~-traffic-, utility needs or utilization, safety or health
---hazards, substandard construction practices, detrimental
aesthetic quality or other similar community impacts.
When the above conditions exist, appropriate City staff shall review
th•e proposed development for the-purpose-of cons7.de ring annexation.
The review shall also include consideration of the annexation of
logical planning areas aro4nd the area of initial concern.
In studying the question of whether or not an area should be annexed
the following criteria shall be considered as a minimum:
1) The ability of the City to furnish normal urban services
equal to other comparable areas inside the city limits.
(Note: water and sewer system capabilities considered,
but lines for individual areas normally not City financing
responsibility.)
2) Thu reliability, capacity and future public cost (if any)
of cLtrrent and planned provisions for community facilities
such as roads, utilities, etc. (Privatre facilities will
be considered)$
Annexation Policy
3) The need and quality of land use and building controls.
(Private controls will be considered.)
4) Impact on the City both current and long range, including
as a minimum:
a) fiscal cost'and benefits
b) traffic
c) infrastructure of roads, utilities and other
community facilities
d) safety or health
e) building/development quality
f) aesthetic quality
g community character
5) Conformance with and/or need to insure conformance with
-the Denton Development Guide.
If, after prelimtnary study, the above criteria indicates a need to
more seriously consider annexation in order to promote or protect
the public interest then the Gicy will initiate formal annexation
proceedings to consider_ the._annexation.. question in detail.
If a property in the ETJ is contiguous to the City limits and the
owner of said property desires that it be annexed in order to be
qualified to receive City services when available, and to be afforded
zoning protection, the owner may petition the City for annexation.
r
1
PLAN OF SERVICE FOR ANNEXED AREA, CITY OF DENTON, TEXAS
WHEREAS, Article 970a as amended requires that a plan of service
be adopted by the governing body of a city prior to passage of an ordinance
annexing an area; and
WHEREAS, the City of Denton is contemplating annexation of an
area which is bounded as shown on a map of the proposed annexation,
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF DENTON, TEXAS:
Section 1. Pursuant to the provisions of Article 970a as
amended, Texas Code Annotated, there is hereby adopted for the proposed
annexation area the following plan of service:
1. Basic Service Plan
A. Police
(1) Patrolling, rad'.o responses to calls, and other
routine police services, using present personnel
and equipment, will be provided on the effective
date of annexcation;
(2) Traffic signals, traffic signs, street markings,
and other traffic control devices will be installed
as the need therefore is established by appropriate
study and traffic standards.
B, Fire
(1) Fire protection by the present personnel and equip-
ment of the fire fighting force, will be provided
on the effective date of annexation.
C. Water
(1) Water for domestic, commercial and industrial use
will be provided at city rates, from existing city
lines on the effective date of annexation, and
thereafter from new lines as extended in accordance
with article 13.06 of appendix A of the code of the
City of Denton, Texas.
D. Stwer
(1) Properties in the annexed area: will be connected
to sewer lines in accordance with article 13,06 of
appendix A of the code of the City of Denton, Texas.
E. Refuse Collection
(1) The same regular refuse collection service now pro-
vided within the city will be extended to the
annexed area within one month after the effective
date of annexation.
Service Plan
Annexed Areas
Page two
F. Streets
(1) Emergency maintenance of streets (repair of hazardous
chuckholes, measures necessary for traffic flow, etc.)
will begin on the effective date of annexation.
(2) Routine maintenance on the same basis as in the
present city, will begin in the annexed area on
the effective date of annexation.
(3) Reconstruction and resurfacing of streets, installa-
tion of storm drainage facilities, construction of
curbs and gutters, and other such major improvements,
as the need therefore is determined by the governing
body, will be accomplished under the established
policies of the city.
G. Inspection Services
(1) Any inspection services now provided by the city
(building, electrical, plumbing, gas, housing,
sanitation, etc.) will begin in the annexation area
on the effective date of annexation.
R. Planning and Zoning
(1) The Planning and Zoning jurisiiction of the city
will extend to the annexed area on the effective
date of annexation. City planning will thereafter
encompass the annexed area.
1. Street Lighting
(1) Street lighting will be installed in the substan-
tially developed areas in accordance with the
established policies of the city.
.1. Recreation
(1) Residents of the annexed area may use all existing
recreational facilities, parks, etc., on the effec-
tive date of annexation. The same standards and
policies now used in the present city uill be fol-
lowed in expanding the recreational program and
facilities in the enlai,god city.
K. Electric Distribution
(1) The city rec(,mmends the use of City of Denton for
electric power.
Service Plan
Annexed Areas
Page three
L. Miscellaneous
(1) Street name signs where needed will be installed
within approximately 6 months after the effective
date of annexation.
II. Capital Improvement Program (CIP)
The CIP of the City consists of a five year plan that is up-
dated yearly. The Plan is prioritized by such policy guide-
lines as:
(1) Demand for services as compared to other areas
based partly on density of population, magnitude
of problems compared to other areas, established
technical standards and professional studies, and
natural or technical restraints or opportunities.
(2) Impact on the balanced growth policy of the city.
(3) Impact on overall cite economics.
The annexed area will be considered for CIP planning in the
upcoming CIP plan, which will be no longer than one year from
the date of annexation. In this new CIP planning year Oche
annexation area will be judged accordingly to the same
established criteria as all other areas of the city.
Z~tSNI
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PROPERTY OWNER REPLY FORMS
CITY COUNCIL
Z-1542
IN FAVOR IN OPPOSITION UNDECIDED
Millard D. Heath R. 0. Woodson C. J. Bovell
3030 Country Club Road Hobson Lane Route 6, Box 178
383-1481 Denton, Texas 76201 Denton, Texas 7620
Denton, Texas 76201 387-2466 382-5586
Michael R. Woodson
Hobson Lane
Denton, Texas
387-237j
Larry E. Woodson
Corinth, Texas
497-4781
' I
J
Minutes
Planning and Zoning Commission
October 20, 1982
Page 8
Mr. Sidor moved to recommend annexation of 63.89 acres.
Seconded by Mr. Claiborne.
Mr. Juren amended motion to exclude private residential
area at southwest corner. Mr. Escue seconded the amend-
went.
Vote was called on amendment:
Aye - Claiborne, Escue, Juren and LaForte
Nay - Sidor
Motion carried. (4-1)
Vote was called on motion to annex:
Aye - Claiborne, Escue, Juren, LaForte and Sidor
Nay - None
Motion unanimously carried. (5-0)
Mr. Watkins advised that total 63.89 acres would be
advertised for annexation, as smaller but not larger
area than area advertised could be annexed by~the city.
He said that City Council would be informed of Planning
and Zoning Commission recommendation.
Fir. Claiborne left meeting.
F. -1542. Consider proposed annexation of approximately
111.72 acres located along either side of F. M. 1830.
Mr. Watkins.presented proposed annexation stat$ng that
home owners on the west side of FM 1830 requested per.
mission of the City Council to extend water and sewer
to their homes. When this was first brought to Planning
and Zoning Commission, it was their recommendation that
area be expanded to include property on east side of
road consisting of a total of approximately 111 acres.
lie continued that condition of the southernmost portion
of the property on the west side was a consideration in
recommending annexation and pointed out that it has
since been learned that a contractor's shop exists along
with a residence which business use would be allowed to
continue but not expand without a zoning change. Vacant
land existing on the east side is beginning to develop
and annexation is recommended to ensure compatibility
{ with Forrestridge I and II.
Mr. LaForte moved to recommend annexation of 111.72
acres on either side of F,~-i 1830. Seconded by Mr. Juren
and unanimously carried. (4-0)
CITY of DENTON, TEXAS MUNICIPAL BUILDING / DENTON, TEXAS 76201 / TELEPHONE (817) 566.8200
MEMORANDUM
TO: G. Chris Hartung, City Manager
FROM: William H. McNary, Director of Finance
DATE: November 23, 1982
SUBJECT: APPROVAL OF THE INDUSTRIAL DEVELOPMENT BOND ISSUE FOR
UNION CAMP
On the agenda for November 30, 1982 is a resolution approving
the issuance of tax exempt bonds previously authorized by the
Denton Industrial Development Corporation. State Law requires
City Council approval prior to the issuance of any bonds by
this corporation.
The Denton Industrial Development Corporation approved a
$3,000,000 bond issue on behalf of the Union Camp Corporation.
The repayment of these bonds is fully guaranteed by Union Camp
Corporation. There is no financial claim on the City of
Denton.
First Southwest Company is the corporation's financial
advisor. Attached is their letter of analysis. The letter
clearly outlines the financial stability of Union Camp
Corporation and its ability to fulfill the conditions of the
agreement. Legal interests of the Denton industrial
Development Corporation have been represented by McCall,
Parkhurst and Horton. They have prepared all the necessary
documents. A representative of First Southwest Company will he
present at the Council meeting to answer questions.
Will am H. chary
WHM:mr l
Attachment
FIRST COMPANY
INVESTMENT BAN'KERS
MERCANTILE DALLAS BUILDING
DALLAS, TEXAS 75201
C. RACER MCCULLEY 12141 742.6461
.6ES DENT November 11, 1982
President and Board of Directors
City of Denton Industrial
Development Authority
c/o Mr. William H. McNary
215 East McKinney
Denton, Texas 76201
Gentlemen:
You have advised us that you are giving consideration to the issuance of an amount not to
exceed $3,000,000 in industrial development revenue bonds (the "Bonds") with the
proceeds to be loaned to Union Camp Corporation ("Union Camp" or the "Company11), a
Virginia corporation. Union Camp is to guarantee unconditionally the full, complete and
prompt performance of each and every representation, covenant and agreement with
regard to the loan including, specifically, the agreement to make Installment loan
payments to a trustee bank (the "Trustee") as shall be necessary to enable the Trustee to
make full and prompt payments when due of the principal of, premium, if any, and
interest on all Bonds and all other amounts required to be paid by the Trustee. You have
requested that we undertake a review and analysis of Union Camp and provide you with
our opinion of the financial condition of the Company as related to this proposed loan. We
are pleased to comply with this request.
For the purpcr,e of this analysis, we have examined (i) the audited financial statements of
the Company for the years ended December 31, 1981 through December 31, 1977, (ii) the
unaudited statements for the nine months ended September 30, 1982 and September 30,
1981, (iii) the information available through various financial reporting services, including
Moody's Investors Service, Inc. and Standard do Poor's Corporation. While we have no
reason to believe otherwise, we have relied upon this Information to be complete and
factual and containing no misstatements or omissions of any material fact. We have not
conducted interviews with representatives of the management of Union Camp, nor have
we visited the facilities of the Company. The opinion expressed herein is based upon our
analysis of the financial condition of the Company on September 30, 1982, and on market,
economic and other conditions as they exist at the date of this letter.
Some of the major factors we have considered in our analysis are listed below:
(l) Union Camp, whose stock is listed on the New York Stock Exchange, Is
an integrated producer of various paper products, other timber related
products and chemicals. Principal business segments include the manu-
facture and sale of paper and paper board, accounting for 65.46 of 1981
sales, packaging products, building products, the production and
FIRST 6o,(d eve& aompANr
City of Denton Industrial /
Development Authority
November 11, 1982
Page 2
sale of chemicals, and through 49 Homecrafters Center Outlets, the
distribution of building materials and home improvement products.
Substantially all of the Company's sales are made east of the Rocky
Mountains.
Bond proceeds are to be used for the purchase of existing facilities
utilized in the manufacture of multlwall bags and will assist Union Camp
in expanding coverage of present markets.
(2) Net sales for the fiscal year ended December 31, 1981 were $1.7 billion,
an increase of $91.0 million from fiscal 1980, and refl:ctive of an annual
compounded growth rate of 11.4% for the years 1981 through 1977. Net
income for the 1981 fiscal year was $168.9 million, an increase of 2.3%
from the $165.1 million reported in 1980. As a result, the Company
recorded a 9.5% return on total assets in 1981.
(3) During 1982) both sales and net income have suffered declines as the
current economic recession has continued to adversely affect sales of
paper and paperboard products. Net sales for the nine months ended
September 30 1982 were $1.1 billion and net income was $94.7 million, a
decrease of 155.3 million and $38.6 million respectively for a similar
period ending September 30, 1981.
(4) The Company had a current ratio of 2.2x times and a quick ratio of 1.2x
times at December 31, 1981. Though recessionary pressures have forced
down sales and net income in 1982, the Company has maintained a stable
liquidity position. As of September 30, 1982, the current ratio was 2.5x
times and the quick ratio was 1.5x times. Capitalization at
September 30, 1982 was 24.9% long-term debt and 75.1% stockholders'
equity. With $374.0 million in long-term debt at September 30, 1982, the
issuance of some $3,000,000 in debt will increase long-term debt by less
than 1.0% and will have a minimal effect on the capital structure.
(5) As a result of a favorable capital structure, thb Company has experi-
enced ample coverage of earnings before interest and taxes. This ratio
has ranged from 13.4x times for the year ended December 310 1981 to '
55.4x times for the year ended December 31, 1979. With the addition of
some $3,000,000 in long-term debt, interest expense, at a rate of 10.0%,
by way of example, would increase the 1981 level of interest by $300,000
or 1.5% and produce on a pro forma basis an annual interest coverage of
10.1 x times before interest and taxes based on 1981 income figures.
(6) For informational purposes only, we have included the bond ratings on
the outstanding long-term debt of Union Camp as prescribed by the two
primary bond rating services. The corporate bonds are rated Aal by
Moody's Investors Service, Inc. and AA by Standard do Poor's Corporation
and are judged to be of high investment grade. These designated ratings
F1HST,6OilMWea' OOMPANy
City of Denton Industrial
Development Authority
November 11, 1982
Page 3
are an indication of historic operations, current financial position and
the appraisal of long-term risk as they relate to the investment quality
of the currently outstanding debt and are not a guarantee of the ratings
of future debt issues or the financial Integrity of the Company.
(7) We have been informed that the Bonds are to be marketed through an
underwriting prepared by Goldman Sachs Company of New York. The
Bonds are to be offered through a "best efforts" sale and will ultimately
be placed either with a sophisticated financial institution or marketed
publicly. The Bonds will be priced with fixed maturities and interest
rates prior to authorization by the City of Denton Industrial
Development Corporation. Union Camp has applied to Moody's Investors
Service, Inc. for a rating on the Bonds.
Therefore, it is our opinion, based on this review and analysis and our knowledge and
investigation, that Union Camp Corporation has the financial resources to provide
reasonable assurance that the proposed loan, including interest thereon, will be paid as
principal and interest payments become due.
Sincerely,
C. Rader McCulley
CRM:vrw
UNION CAMP CORPORATION
Cost Analysis
(Unaudited)
Nine Months Ended For the Years Ended
September 30 December 31
1982 1981 1981 1980 1979 1978 1977
Net Sales 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.'11%
Cost of Sales 67.5 64.7 65.4 65.9 66.0 65.4 66..1;
Gross Profit 32.5 35.3 34.6 34.1 34.0 34.6 33.
Selling, General and
Administrative Expenses 21.7 19.3 19.7 18.7 18.2 19.3 17. r
Operating Margin 10.8 16.0 14.9 15.4 15.8 15.3 15.
Other Income 1.3 1.1 1.5 1.5 1.1 1.4 1.
Interest Expense (0.7) (1.2) (1.2) (0.7) (0.3) (0.3)
Income Before Tax 11.4 15.9 15.2 16.2 16.6 15.9 16.
Income Tax 3.1 5.6 5.1 5.7 7.5 5.6 5.
NET PROFIT MARGIN 8.3% 10.3% 10.1% 10.5% 10.9% 10.3% 10. r%
UNION CAMP CORPORATION
Statistical Analysis
(Unaudited)
Nine Months Ended For the Years Ended
September 30 December 31
1982 1981 1980 1979 1978 1977
Liquidity
Current Ratio 2.5x 2.2X 2.1x 1.5x 2.5x 2.9x
Quick Ratio 1.5 1.2 1.3 0.8 1.7 1.8
Leverage
Capitalization:
Long-Term Debt 24.9'X, 22.7% 24.4% 19.7% 20.7% 21.7%
Stockholders' Equity 75.1 77.3 75.6 80.3 79.3 78.3
Total 100.0% 100.0% 100.0% 100.0% 100.0% 100.0%
Times Interest Earned
Before Tax 13.4x 25.5x 55.4x 21.4x 44.4x
After Tax 9.3 16.9 36.7 14.2 29.3
Profitability
Gross Profit Margin 32.5% 34.6% 34.1% 34.0% 34.6% 33.2%
Operating Margin 10.8 14.9 15.4 15.8 15.3 15.3
Net profit Margin 8.3 10.1 10.5 10.9 10.3 10.6
Return on Stockholders' Equity 15.5% 16.8% 17.0% 15.4% 15.9%
Return on Capitalization 12.0 12.7 13.7 12.3 12.4
Return on Total Assets 9.5 10.0 10.5 9.9 10.1
CERTIFICATE FOR
RESOLUTION APPROVING AN AGREEMENT BY
CITY OF DENTON INDUSTRIAL DEVELOPMENT AUTHORITY
TO ISSUE BONDS FOR
UNION CAMP CORPORATION
AND THE RESOLUTION AUTHORIZING ThE
ISSUANCE OF SUCH BONDS AND APPROVING DOCUMENTS
THE STATE OF TEXAS
CITY OF DENTON, TEXAS
We, the undersigned officers of the City Council of
said City, hereby certify as follows:
1. The City Council of said City convened in REGULAR
MEETING ON THE 23RD DAY OF NOVEMBER, 1982., at the designated
meeting place, and the roll was called of the duly con-
stituted offices and members of said City Council, to-wit:
Richard D. Stewart, Mayor
Charlotte Allen, Secretary
Mark Chew
Jack Barton
Charles Hopkins
Dr. A. Ray Stephens
jim Riddlesperger
Joe Alford
and all of said persons were present, except the following
absentees:
thu3 constituting a quoram. Whereuaon, among other
business, the following was transacted at said Meeting: a
written
RESOLUTION APPROVING AN AGREEMENT BY
CITY OF DENTON INDUSTRIAL DEVELOPMENT AUTHOkITY
TO ISSUE BONDS FOR
UNION CAMP CORPORATION FACILITY
AND THE RESOLUTION AUTHORIZING THE
ISSUANCE OF SUCH BONDS AND APPROVING DOCUDI£NTS
was dull, introduced for the consideration of said City
Council and read in full. It waa then duly moved and
seconded that said Resolution be adopted; and, after due
discussion, said motion, carrying with it the adoption of
said Resolution, prevailed and carried by the following
vote:
AYES: All members of said City Council shown
prese~.t above voted "Aye".
NOES:
ABSTENTIONS:
2. That a true, full, and correct copy of the afore-
said Resolution adopted ac the Meeting described in the
above and foregoing paragraph is attached to and follows
this Certificate; that said Resolution has been dull re-
corded in said City Council's minutes of said Neeting
pertaining to the adoption of said Resolution; that the
persons named in the above and foregoing paragraph arc: the
duly chosen, qualified, and acting officers and members of
said Board as indicated therein; and that each of the
officers and members of said City Council was duly and
sufficiently notified officially and personally, in advance,
of the time, place, and purpose of the aforesaid Meeting,
and that said Resolution would be introduced and considered
for adoption at said Meeting, and each of said officers and
members consented, in advance, to the holding of said
Meeting for such purposes and that said Meeting was open to
the public, and public notice of the time, place, and
purpose of said Meeting was given, all as required by
Vernon's Ann. Civ. Stat. Article 6252-17.
SIGNED AND SEALED the 23rd day of November, 1982.
City Secretary Yayor
(SE.%'~)
CERTIFICATE FOR
RESOLUTION APPROVING AN AGREEMENT B
CITY OF DENTON INDUSTRIAL DEVELuPMENT AUTHORITY
TO ISSUE BONDS FOR
UNION CAMP CORPORATION FACILITY
AND THE RESOLUTION AUTHORIZING THE
ISSUANCE OF SUCH BONDS AND APPROVING DOCUMENTS
THE STATE OF TEXAS
CITY OF DENTON
WHEREAS, the City of Denton Industrial Development
Authority was created under the auspices of the City of
Denton, Texas; and
WHEREAS, it is deemed necessary and advisable that this
Resolution be adopted.
ThEREFORE, BE IT RESOLVED BY THE CI'T'Y COUNCIL OF THE
CITY OF DENTON, TEXAS THAT:
Section 1. The Loan Agreement between City of Denton
Industrial Development Authority and Union Camp Corporation,
in substantially the form and substance as attached to this
Resolution and made a part hereof for all purposes, is
hereby approved, and Bonds in the principal amount of
$3,050,000, may be issued pursuant thereto for the purpose
of paying the cost of acquiring and constructing or causing
to be acquired and constructed the Project as defined and
described therein.
Section 2. The "Resolution of City of Denton Indus-
trial Development Authority Authorizing the Issuance of
Bonds and Approving Documents, in substantially the fora and
substance attached to this Resolution and made a part hereof
for all purposes, is hereby specifically approved, and the
Bonds may be issued as provided therein.
.
CITY OF DENTON
MEMORANDUM
DATE OF MEBTING: November 30 1982
CITY COUNCIL AGENDA WORMINAG AS IT
PLACED ON AGENDA)
Approve final payment to Floyd Glen Smith for CIP Sidewalks
1982.
SUM.'NARY :
Approve final payment of $15,561.18. Pro)ect is compplete with
appearance of work approved by an innovative design in certain
areas. No working days remain on the contract.
FISCAL SUMMARY:
Total payment is $47,776.92 which is a 11.51 cost savings on
the project from the estimated $53,714.54.
ACTION REQUIRED:
Council should approve the final payment.
ALTERNATIVES:
Not applicable.
S'T'AFF RECOMMENDATIONS:
Staff recommends approval of final payment.
EXHIBITS:
1. Memo to Stick Svehla
11. Invoice
ac 1-
err Cr "r-
-Senior C it Engineer
I
CITY OF DENTON
MEMORANDUM
TO: Rick Svehla
FROM: Jerry Clark
DATE: November 23, 1982
SUBJECT: Final Payment on GIP Sidewalks
Work on the CIP Sidewalks was completed November 19, 1982 with
no work days remaining. The work has been inspected and
accepted by Engineering crews. Final payment is in the amount
of $15,561.18. A cost savings of $5,937.62 is due to flexible
base material under one section of the sidewalk being deleted.
The Engineering staff recommendIs final payment be made on the
project.
i1
Terry arc Senior v Engineer
U P'Sidewalks 1982
Final Estimate
Sid #9014
Extension
Item Description Quantity Bid Price Total
242 Limestone Base Material 0 S.Y. 13.34/S.Y. $ 0
421 Class A Concrete 13 C.Y. 300.00/S.Y. 3,900.00
432 Class B, Concrete Riprap 268 S.Y. 30.55/S.Y. 89187.40
465-A 27" R.C.P. 37 L.F. 62.24/L.F. 29301.40
465-8 Safety Ends for 27" R.C.P. L.S. 1,300.00/L.F. 12300.00
524-8 Concrete Sidewalk 1908 S.Y. 15.34/S.Y. 29,268.72
SP-2 Sawcut Existing Concrete 60 L.F. 13.67/L.F. 820.20
SP-SA GF-77 Guard Rail 68 L.F. 29.40/L.F. 1,999.20
Total $47,776.92
Previous Payments 32,215.74
Less Retainage 0.00
Amount Owed X61.19
0 working days remaining
14
it r._ f`: + i; r•~, \ Ate.
Floyd Smith Jer y r
CERTIFICATE OF AUTHENTICITY
THIS IS TO CERTIFY that the rnicrophnlographs appeodnq on Ihls illm•Flle
• S+atfln~ with CITY COUNCIL AGENDA PACKET 11/30/82 and
Indlnp with CITY COUNCIL AGENDA PACKET an
occurnta and complete roproduellons of the records of (Company and Depl.) CITY OF DENTON
CITY SECRETARY as dolivsmd In the reoulor Course of
business for pholographlnp.
H Is furthor certlnod that the micrgpholographic processes were accomplished in
a manner and on film which ,noels with re9ulrements of Iho Neilonal ru u of Standards
1w pwmansnl microphotogrop;iic copy.
: Al"o; Bacgrds CoMP_appY _
ItawA T[CHMOLOCY AT( C..++Or.r.w►
PIACEL 61e,LaitlA(g B" State
Arlington, Tens 76010
CERTIFICATE OF AUTHENTICITY