The URL can be used to link to this page

Home My WebLink AboutSeptember 9, 2008 Agenda AGENDA CITY OF DENTON CITY COUNCIL September 9, 2008 After determining that a quorum is present, the City Council of the City of Denton, Texas will 4:30 p.m. convene in a Work Session on Tuesday, September 9, 2008 at in the Council Work Session Room at City Hall, 215 E. McKinney Street, Denton, Texas at which the following items will be considered: 1.Requests for clarification of agenda items listed on the agenda for September 9, 2008. 2.Receive a report, hold a discussion and give staff direction regarding the proposed Tax Increment Financing (TIF) Reinvestment Zone for Denton downtown redevelopment. 3.Receive a report, hold a discussion, and give staff direction regarding the 2008-09 Budget, Capital Improvement Program, and Five-Year Financial Forecast. Following the completion of the Work Session, the City Council will convene in a Closed Meeting to consider specific items when these items are listed below under the Closed Meeting section of this agenda. When items for consideration are not listed under the Closed Meeting section of the agenda, the City Council will not conduct a Closed Meeting and will convene at the time listed below for its regular or special called meeting. The City Council reserves the right to adjourn into a Closed Meeting on any item on its Open Meeting agenda consistent with Chapter 551 of the TEXAS GOVERNMENT CODE, as amended, as set forth below. 1.Closed Meeting: A. Consultation with Attorney – Under Texas Government Code Section 551.071. 1. Receive, consider and hold a discussion related to a briefing from City’s Attorneys, relating to claims, potential claims, and settlement thereof for matters pertaining to JNC Partners Denton, LLC v. City of Denton, including legal advice related to future annexation, zoning, subdivision controls, plat applications, annexation plans, development agreements, annexation agreements, service plans, utility service, water rights, permitting and other legal issues related to the future development of land, as proposed by JNC Partners Denton, LLC. B. Deliberations Regarding Certain Public Power Utilities: Competitive Matters – Under Texas Government Code Section 551.086; 1. Receive information from Staff, discuss, deliberate and consider approval of competitive public power information and financial matters from Staff regarding and including the proposed Interconnection Agreement and the Power Purchase Agreement by and between the City of Denton, Texas and Denton Power, LLC. C. Deliberations Regarding Certain Public Power Utilities: Competitive Matters – Under Texas Government Code Section 551.086. 1. Receive competitive public power information from staff in the form of a proposed operating budget for Denton Municipal Electric (“DME”) for the City of Denton City Council Agenda September 9, 2008 Page 2 upcoming fiscal year, including without limitation, revenues, expenses, commodity volumes, and commitments, and the direction of DME; and discuss, deliberate, consider adoption of the budget and other matters, and provide staff with direction regarding such matters. ANY FINAL ACTION, DECISION, OR VOTE ON A MATTER DELIBERATED IN A CLOSED MEETING WILL ONLY BE TAKEN IN AN OPEN MEETING THAT IS HELD IN COMPLIANCE WITH TEXAS GOVERNMENT CODE, CHAPTER 551, EXCEPT TO THE EXTENT SUCH FINAL ACTION, DECISION, OR VOTE IS TAKEN IN THE CLOSED MEETING IN ACCORDANCE WITH THE PROVISIONS OF §551.086 OF THE TEXAS GOVERNMENT CODE (THE ‘PUBLIC POWER EXCEPTION’). THE CITY COUNCIL RESERVES THE RIGHT TO ADJOURN INTO A CLOSED MEETING OR EXECUTIVE SESSION AS AUTHORIZED BY TEX. GOV’T. CODE, §551.001, ET SEQ. (THE TEXAS OPEN MEETINGS ACT) ON ANY ITEM ON ITS OPEN MEETING AGENDA OR TO RECONVENE IN A CONTINUATION OF THE CLOSED MEETING ON THE CLOSED MEETING ITEMS NOTED ABOVE, IN ACCORDANCE WITH THE TEXAS OPEN MEETINGS ACT, INCLUDING, WITHOUT LIMITATION §551.071-551.086 OF THE TEXAS OPEN MEETINGS ACT. Regular Meeting of the City of Denton City Council on Tuesday, September 9, 2008 at 6:30 p.m. in the Council Chambers at City Hall, 215 E. McKinney Street, Denton, Texas at which the following items will be considered: 1. PLEDGE OF ALLEGIANCE A. U.S. Flag/Texas Flag “Honor the Texas flag; I pledge allegiance to thee, Texas, one state under God, one and indivisible." 2.PROCLAMATIONS/PRESENTATIONS A.Proclamations/Awards 3. CONSENT AGENDA Each of these items is recommended by the Staff and approval thereof will be strictly on the basis of the Staff recommendations. Approval of the Consent Agenda authorizes the City Manager or his designee to implement each item in accordance with the Staff recommendations. The City Council has received background information and has had an opportunity to raise questions regarding these items prior to consideration. Citizens may speak on items listed on the Consent Agenda. A Request to Speak Card should be completed and returned to the City Secretary before Council considers the Consent Agenda. Citizen comments on Consent Agenda items are limited to three minutes. Listed below are bids, purchase orders, contracts, and other items to be approved under the Consent Agenda (Agenda Items A – F). This listing is provided on the Consent Agenda to allow Council Members to discuss or withdraw an item prior to approval of the Consent Agenda. If no items are pulled, Consent Agenda Items A – F below will be approved with one motion. If items are pulled for separate discussion, they may be considered as the first items following approval of the Consent Agenda. City of Denton City Council Agenda September 9, 2008 Page 3 A.Consider adoption of an ordinance accepting competitive bids and awarding an annual contract for the rental of heavy equipment for various City of Denton departments; providing for the expenditure of funds therefor; and providing an effective date (Bid 4121–Annual Contract for Rental of Heavy Equipment awarded to the lowest responsible bidder meeting specification for each item in the estimated annual amount of $750,000). B.Consider adoption of an ordinance authorizing the City Manager or his designee to execute a Professional Services Agreement with the firm of Chiang Patel and Yerby, Inc. to provide design services for the City of Denton Pecan Creek Water Reclamation Plant Peak Flow Storage Basin and Pump Station; authorizing the expenditure of funds therefore, and providing an effective date (File 4132 in an amount not to exceed $160,188). The Public Utilities Board recommends approval (5-0). C.Consider adoption of an ordinance of the City of Denton, Texas providing for, authorizing, and approving the expenditure of funds for the purchase of traffic controller and video equipment for the City of Denton Traffic Department, which is available from only one source in accordance with the pertinent provisions of Chapter 252 of the Texas Local Government Code exempting such purchases from the requirements of competitive bidding; and providing an effective date (File 4154–to Paradigm Traffic Systems, Inc. in the amount of $350,000). D.Consider adoption of an ordinance of the City of Denton, Texas providing for, authorizing, and approving the expenditure of funds for the rebanding upgrade of basic analog radios to digital comparable radios for the City of Denton Public Safety and Utility divisions, which is available from only one source in accordance with the pertinent provisions of Chapter 252 of the Texas Local Government Code exempting such purchases from the requirements of competitive bidding; and providing an effective date (File 4131–to Motorola, Inc. in the amount of $146,033.40). The Public Utilities Board recommends approval (5-0). E.Consider adoption of an ordinance of the City of Denton, Texas approving a third amendment to an Economic Development Program Grant Agreement dated November 27, 2001 between the City of Denton and Denton Crossing Partners Ltd, which was duly assigned to DCTIRZ, L.L.C.; and providing an effective date. F.Consider approval of the minutes of: July 15, 2008 August 4, 2008 August 5, 2008 August 7, 2008 August 12, 2008 August 19, 2008 City of Denton City Council Agenda September 9, 2008 Page 4 4. PUBLIC HEARINGS A.Hold a public hearing on a proposal to adopt a tax rate of $0.66652 per $100 valuation, which will exceed the lower of the rollback rate or the effective tax rate. B.Hold a public hearing and receive citizen input on the 2008-09 proposed budget. 5. ITEMS FOR INDIVIDUAL CONSIDERATION A.Consider approval of a resolution of the City Council of the City of Denton, Texas, announcing that it will vote on a tax rate that will result in a tax revenue increase at its meeting of September 23, 2008; providing for publication of a notice of tax revenue increase; providing a ratification clause; and providing an effective date. B.Consider approval of a resolution of the City Council of the City of Denton, Texas, announcing that it will vote on the Fiscal Year 2008-2009 Annual Program of Services (Budget) for the City of Denton at its meeting of September 23, 2008; providing a ratification clause; and providing an effective date. Tabled C. – Consider adoption of an ordinance regarding a development agreement related to the deferment of perimeter road improvements. The approximately 2.6- acre property is located at the southwest corner of West Collins Street and Locust Street. The subject site is located within a Downtown Commercial General Date tabled 8/19/08 (DC-G) zoning district. () Tabled – D.Consider adoption of an ordinance of the City of Denton, Texas prohibiting parking on school days from 7:30 a.m. to 3:30 p.m. on the south side of Emerson Lane from its intersection with Woodhaven Lane to its intersection ; with Brookfield Laneproviding a repealer clause; providing a savings clause; providing for a penalty not to exceed $500 for violations of this ordinance; and providing for an effective date. The Traffic Safety Commission recommends Date tabled 8/19/08 approval (9-0). () Tabled E. – Consider adoption of an ordinance of the City of Denton, Texas prohibiting parking on school days from 7:30 a.m. to 3:30 p.m. on the north side of Parvin Street from its intersection with Mercedes Road to its intersection with ; McCormick Streetproviding a repealer clause; providing a savings clause; providing for a penalty not to exceed $500 for violations of this ordinance; and providing for an effective date. The Traffic Safety Commission recommends Date tabled 8/19/08 approval (4-3). () Tabled F.– Consideration of adoption of an ordinance of the City of Denton, Texas, for a zoning change from a Agriculture (A), Industrial Center General (IC-G), Neighborhood Residential 2 (NR-2), Regional Center Residential 1 (RCR-1), Community Mixed Use Employment (CM-E), and Planned Development 138 (PD-138) zoning districts to the Inspiration Master Planned Community (MPC) City of Denton City Council Agenda September 9, 2008 Page 5 zoning district classification and use designation; the area for zoning change encompasses 3,331 acres of land located on both sides of I-35W between Robson Ranch Road and Vintage Boulevard and is legally described as certain tracts of land in the E. Pizono Survey, Abstract Number 1269, G. Pettingale Survey, Abstract Number 1041, J. Taft Survey, Abstract Number 1269, G. West Survey, Abstract Number 1393, B.B.B. & C. Railroad Company Survey, Abstract Number 158, S. Pritchett Survey, Abstract Number 1021 and the McCutchin Lands known as Pilot Knob Ranch in the City of Denton, Denton County, Texas, providing for a penalty in the maximum amount of $2,000.00 for violations thereof, severability and an effective date. (MPC07-0001, Inspiration) The Planning and Zoning (Date tabled 08/05/08) Commission recommends approval (7-0). G.Consider nominations/appointments to City boards and commissions: 1. Animal Shelter Advisory Committee 2. Parks, Recreation and Beautification Board 3. Public Art Committee H. Citizen Reports 1.Review of procedures for addressing the City Council. 2.Receive citizen reports from the following: A.Bob Clifton regarding the City budget. I. New Business and Announcements This item provides a section for Council Members to suggest items for future agendas, request information from the City Manager, and/or make announcements of public interest. J. City Manager’s Report K. Possible Continuation of Closed Meeting under Sections 551.071-551.086 of the Texas Open Meetings Act. L. Official Action on Closed Meeting Item(s) under Sections 551.071-551.086 of the Texas Open Meetings Act. 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 ___________________, 2008 at ________o'clock (a.m.) (p.m.) ____________________________________ CITY SECRETARY NOTE: THE CITY OF DENTON CITY COUNCIL CHAMBERS IS ACCESSIBLE IN ACCORDANCE WITH THE AMERICANS WITH DISABILITIES ACT. THE CITY WILL PROVIDE SIGN LANGUAGE INTERPRETERS FOR THE HEARING IMPAIRED IF REQUESTED AT LEAST 48 HOURS IN ADVANCE OF THE SCHEDULED MEETING. PLEASE CALL THE CITY SECRETARY'S OFFICE AT 349-8309 OR USE TELECOMMUNICATIONS DEVICES FOR THE DEAF (TDD) BY CALLING 1-800-RELAY-TX SO THAT A SIGN LANGUAGE INTERPRETER CAN BE SCHEDULED THROUGH THE CITY SECRETARY’S OFFICE. AGENDA INFORMATION SHEET AGENDA DATE: September 9, 2008 DEPARTMENT: Economic Development CM: George C. Campbell SUBJECT Receive a report, hold a discussion and give staff direction regarding the proposed Tax Increment Financing (TIF) Reinvestment Zone for Denton downtown redevelopment. BACKGROUND The following background is provided in response to City Council questions regarding the proposed TIF. Residential Percentage At the June 3, 2008 City Council work session meeting, the Council requested additional information on the composition and valuation of the residential properties in the proposed rd Downtown TIF district. Information presented at the June 3 meeting was based on the City’s 2005 Land Use map (attached). The staff has since calculated the residential acreage based on Denton County Central Appraisal District (DCCAD) tax rolls. Total Acres in District 439.30 Total Residential 42.04 Single Family Acres 8.60% Duplex Acres .96% Percent Total Residential Acres 9.60% 2007 Total Valuation in District $212,700,000 Residential Valuation in District 14,200,000 Percent Residential Valuation 6.67% According to Chapter 311 of the Texas Tax Code, “no more than 10% of the property within the reinvestment zone (excluding publically owned property) may be used for residential purposes.” The tax code does not stipulate whether this percentage is defined by acreage or valuation. The residential property of the proposed district falls within acceptable limits for both valuation and size of the property. Also at the June 3, 2008 City Council regular session, the City Council approved a resolution for a Notice of Intent to create the TIF district. Notices of Intent were delivered to the County and Denton ISD on June 6, 2008. Tax Rate Eligible for TIFs Previously, staff relayed information regarding the City’s ability to capture the debt service portion of the tax rate in a TIF. The information presented was not accurate. When discussing - 1 - the TIF, our financial advisors originally referred to our inability to transfer debt service funds as it relates to other funds. They have since confirmed that a TIF is actually one condition under which the full tax rate may be dedicated to another fund. Benefit of TIFs Council members asked if the City could fund the projects being proposed through the TIF with certificates of obligation instead of TIF funds; and if so, what would be the benefit of the TIF. The answer is yes, the City can choose to fund projects in downtown without a TIF. The benefit of forming the TIF is to capture funds from other taxing entities. The projected TIF funds from the City are approximately $35 million with an additional estimated $11 million from Denton County. ESTIMATED SCHEDULE OF PROJECT Since the June 3, 2008 City Council meeting, the following activities have occurred: Economic Development staff met with Judge Mary Horn and Commissioner Andy Eads about the possibility of Denton County participating in the Downtown TIF. Staff is scheduled to give a presentation before the Commissioner’s Court on September 16, 2008. Calculations were performed based on Denton County Central Appraisal District tax rolls and a new TIF map based on this data was created. A feasibility study, a financing plan, and a project plan have been drafted (attached). Should City Council direct staff to move forward with the establishment of the Downtown TIF, the following schedule will apply: Sept. 16, 2008 Present TIF Plan to County Commissioners Sept. 23, 2008 Conduct a public hearing to provide for public input regarding the TIF Oct. 7, 2008 Consider an ordinance establishing the TIF and creating the TIF Board. The City would appoint the Board with at least one member appointed by the County. The Board consists of at least five and not more than fifteen members. Nov. 4, 2008 TIF Board recommends first annual project and finance plans to City Council. Adopted by ordinance. Dec. 2, 2008 TIF Board presents final project and finance plans to Denton County. Adopted by ordinance. PRIOR ACTION/REVIEW The Downtown Task Force met several times in 2007 and 2008 to establish their recommendation to the Economic Development Partnership Board. The Board reviewed the task force recommendation at their May 12, 2008 meeting and recommends City Council approval. The City Council approved a resolution authorizing issuance of a Notice of Intent at the June 3, 2008 Council meeting. - 2 - FISCAL INFORMATION Depending upon the level of participation by the City and County, it is estimated that the TIF would generate approximately $42- $46 million over a 30 year period for infrastructure improvements. EXHIBITS TIF Land Use Map TIF Central Appraisal District Property Description Map Feasibility Analysis and Draft Financing Plan Draft Project Plan Respectfully submitted: _______________________________ Linda Ratliff, Director Economic Development Department - 3 - ¬½·®¬·Ü Ú×Ì ¼»±°±®Ð º± »Ë ¼²¿Ô ¬½·®¬·Ü Ú×Ì ¼»±°±®Ð º± ²±·¬°·®½»Ü §¬®»°±®Ð FINANCE PLAN DENTON TIF NO. 1 PRELIMINARY PRELIMINARY PRELIMINARY FINANCE PLAN AUGUST2008 Tax Increment Financing Reinvestment Zone No. 1 City of Denton, Texas George R. Schrader Larry D. Cline 4800 Broadway, Ste A Addison, TX 75001 972-661-1973 schcli@swbell.net 1 FINANCE PLAN DENTON TIF NO. 1 PRELIMINARY August 2008 The Financing Plan provides information on the projected monetary impact that the formation of the Tax Increment Financing Reinvestment Zone (TIF) could have on the property described in Finance Plan Exhibit: A and shown in Finance Plan Exhibit: B. It will also describe how that impact can be utilized to enhance the area and region through leveraging the resources of each entity that participates in the project. Below is a summary of the Financing Plan items required by law. 1. The proposed public improvements in the TIF may include: Capital costs, including the actual costs of the construction of public works, public improvements, new buildings, structures, and fixtures; and the actual costs of the acquisition of land and the clearing and grading of land; Financing costs, including all interest paid to holders of evidences of indebtedness or other obligations issued to pay for project costs and any premium paid over the principal amount of the obligations because of the redemption of the obligations before maturity; Any real property assembly costs; Professional service costs, including those incurred for architectural, planning, engineering, and legal advise and services; Any relocation costs; Organizational costs, including costs of conducting environmental impact studies or other studies, the cost of publicizing the creation of the TIF, and the cost of implementing the project plan for the TIF; Interest before and during construction and for one year after completion of construction, whether or not capitalized; The amount of any contributions made by the municipality from general revenue for the implementation of the project plan; Imputed administrative costs, including reasonable charges for the time spent by employees of the municipality in connection with the implementation of a project plan; The cost of operating the TIFand project facilities; and Payments made at the discretion of the governing body of the municipality that the municipality finds necessary or convenient to the creation of the TIF or to the implementation of the project plans for the TIF. 2 FINANCE PLAN DENTON TIF NO. 1 PRELIMINARY The specific capital improvement projects anticipated to be undertaken in the Denton TIF No. 1, are included in . Finance Plan Exhibit: C 2. Estimated Project Cost of TIF, including administrative expenses . Project costs are estimated at approximately $46.6 million dollars. Specific cost estimates are included in Finance Plan Exhibit: C. 3. Economic Feasibility Study. An economic feasibility analysis has been completed and is included as Finance Plan Exhibit: D. 4. The estimated amount of bonded indebtedness to be incurred. If initial project costs are not advanced by a Developer, the City of Denton would consider issuing bonds when tax increment funds exceed the amount necessary to support debt service. 5.The time when related costs or monetary obligations are to be incurred. Please refer to Finance Plan Exhibit: C for details regarding the type of improvement costs anticipated. The timing will be monitored by the TIF Board to insure adequate TIFfunds are available. 6.A description of the methods of financing all estimated project costs and the expected sources of revenue to finance or pay project costs including the percentage of tax increment to be derived from the property taxes of each taxing unit on real property in the TIF. Project costs will be financed through loans advanced by developers or by the use of tax increment funds received on a pay-as-you-go basis. No new debt is envisioned at this time, but bonds may be issued at a later date when adequate tax increment has been created to support debt service. The revenue sources will be the real property taxes captured by the TIF, which will account for 100% of revenues used to fund project costs or bond debt service. For the Financial Plan, the Citywill participate at varied tax rates for thirty (30) years and Denton County will participate at varied tax rates for thirty (30) years, all on the incremental taxable value and all as shown in Finance Plan Table 2. 7.The current total appraised value of taxable real property in the TIF. The current appraised base value of the taxable real property in the TIF using the 2007 certified values provided by the Appraisal District is $212.7 million. 8.The estimated appraised value of the improvements in the TIF during each year of its existence. The estimated appraised value of the improvements in the TIF per year is listed in the following FINANCE PLAN TABLE 1. 3 FINANCE PLAN DENTON TIF NO. 1 PRELIMINARY TABLE 1 Assessed Real Property Value Including Anticipated New Development Years 2008-2037 YEAR TOTAL ASSESSED VALUE, $M 2008 214.7 2009 222.0 2010 233.6 2011 245.3 2012 257.1 2013 269.6 2014 282.2 2015 296.5 2016 311.1 2017 325.7 2018 341.1 2019 356.6 2020 370.9 2021 385.3 2022 399.9 2023 415.3 2024 430.8 2025 446.1 2026 461.4 2027 477.5 2028 494.0 2029 510.7 2030 525.0 2031 539.4 2032 554.1 2033 569.5 2034 585.2 2035 599.8 2036 614.7 2037 629.8 4 FINANCE PLAN DENTON TIF NO. 1 PRELIMINARY The estimated annual incremental funds available from future development in the TIF are listed in the following table. TABLE 2 Annual Incremental Funds Provided for TIF No. 1 Years 2008-2038 TIF FUND CONTRIBUTION $K BASE ANNUAL ASSESSED DENTON Year ASSESSED CAPTURED CITY TIF FUND $K VALUE $M COUNTY VALUE $M VALUE $M 2008 214.7 212.7 2.0- - - 2009 222.0 212.7 9.313 5 18 2010 233.6 212.7 20.962 22 84 2011 245.3 212.7 32.6139 49 188 2012 257.1 212.7 44.4217 77 294 2013 269.6 212.7 56.9296 105 401 2014 285.2 212.7 69.5360 121 481 2015 296.5 212.7 83.8440 148 588 2016 311.1 212.7 98.4531 178 709 2017 325.7 212.7 113.0623 209 832 2018 341.1 212.7 128.4716 240 956 2019 356.6 212.7 143.9770 257 1,027 2020 370.9 212.7 158.2863 289 1,152 2021 385.3 212.7 172.6949 317 1,266 2022 399.9 212.7 187.21,035 346 1,381 2023 415.3 212.7 202.61,123 375 1,498 2024 430.8 212.7 218.11,215 406 1,621 2025 466.1 212.7 233.41,308 437 1,745 2026 461.4 212.7 248.71,400 468 1,868 2027 477.5 212.7 264.81,494 499 1,993 2028 494.0 212.7 281.31,588 531 2,119 2029 510.7 212.7 298.01,594 531 2,125 2030 525.0 212.7 312.31,688 562 2,250 2031 539.4 212.7 326.71,769 589 2,358 2032 554.1 212.7 341.41,851 617 2,468 2033 569.5 212.7 356.81,934 644 2,578 2034 585.2 212.7 372.52,021 673 2,694 2035 599.8 212.7 387.12,110 703 2,813 2036 614.7 212.7 402.02,193 731 2,924 2037 629.8 212.7 417.12,277 759 3,036 2038 - - -2,363 787 3,150 TOTAL 629.8 212.7 417.134,942 11,675 46,617 TIF CONTRIBUTION TAX RATE / $100 VALUATION Tax Rate / $100 Valuation YEARS 1 -5YEARS 6 - 10 YEARS 11 - 20 YEARS 21 - 30 City of Denton 0.66652 0.666520.663194 0.599868 0.566542 Denton County 0.23589 0.235890.212301 0.2005065 0.188712 TOTAL 0.90241 0.902410.875495 0.8003745 0.755254 9.The duration of the TIF: The TIF was created in 2008. It is proposed that the TIF exist for thirty (30) years with termination of the TIF set as 2037 or the date when all project costs are paid and any debt is retired, whichever comes first. 5 FINANCE PLAN DENTON TIF NO. 1 PRELIMINARY EXHIBIT A Boundary Description Beginning at the southwest corner of the ROW intersection of Congress and Carroll Blvd., the POINT OF BEGINNING; THENCE, west along the north property line of Carroll Park Addition, Block 3, Lot 8 to is northwest corner; THENCE, south along the west property lines of Carroll park Addition, Block 3, Lot 8 and Lot 16, continuing south across Parkway and south along the west property lines of Carroll Park Addition, Block 2, Lot 8 and Lot 1, continuing south across E. McKinney Street and south along the west property line of Carroll Park Addition, Block 1, Lot 1 to the north property line of Town Hill Addition Block 1, Lot 2; THENCE, west along the north property line of Town Hill Addition, Block 1, Lot 2 to its northwest corner; THENCE, south along the west property line of Town Hill Addition, Block 1, Lot 2 and Oak Carroll Addition Block A, Lot 1, continuing across W. Oak to the north property line of Saunders Addition, Lot 1A; THENCE, west along the north property line of Saunders Addition, Lot 1A to is northwest corner; THENCE, south along the west property lines of Saunders Addition, Lot 1A and Lot 1B, continuing across W. Hickory to the south ROW of W. Hickory; THENCE, east along the south ROW of W. Hickory to the northwest corner of William Neill, Tract 110; THENCE, south along the west property line of William Neill, Tract 110 to the north property line of William Loving, Tract 37; THENCE, west along the north property line of William Loving, Tract 37 to its northwest corner; THENCE, south along the west property line of William Loving, Tract 37, continuing across Mulberry to the south ROW of Mulberry; THENCE, east along the south ROW of Mulberry to the northwest corner of William Loving, Tract 68; 6 FINANCE PLAN DENTON TIF NO. 1 PRELIMINARY Boundary Description THENCE, south along the west property lines of William Loving, Tract 68, Tract 69 and Tract 70 to the southwest corner of Tract 70; THENCE, east along the south property line of William Loving, Tract 70 to the northwest corner of William Loving, Tract 72; THENCE, south along the west property line of William Loving, Tract 72, continuing south across Sycamore and south along the west property line of H. Cisco, Tract 139 thru 147 to the north property line of Carroll Blvd. Addition, Block A, Lot 1; THENCE, west along the north property line of Carroll Blvd. Addition, Block A, Lot 1 to its northwest corner; THENCE, south along the west property line of Carroll Blvd. Addition, Block A, Lot 1 to the north property line of William Loving, Tract 77; THENCE, west along the north property line of William Loving, Tract 77 and continuing along the north property line of Jester Addition, Lot A-1 to its northwest corner; THENCE, south along the west property line of Jester Addition, Lot A-1 to the north property line of William Loving, Tract 79; THENCE, west along the north property line of William Loving, Tract 79 to its northwest corner; THENCE, south along the west property line of William Loving, Tract 79 and continuing south along the west property line of William Loving, Tract 89 to the south ROW of Highland; THENCE, east along the south ROW of Highland to the west ROW of Carroll Blvd; THENCE, southeasterly along the west ROW of Carroll Blvd. to the south ROW of Eagle Drive and the northeast corner of A. Hill, Tract 216; THENCE, south along the west property line of A. Hill, Tract 216 and continuing south along the west property line of A. Hill, Tract 220 to its southwest corner and continuing across Collins to its south ROW; THENCE, east along the south ROW of Collins continuing across Fort Worth Drive to its east ROW; THENCE, northeasterly along the east ROW of Fort Worth Drive to the southwest corner of Sanger Brothers Addition, Block 1, Lot 1 (Part); 7 FINANCE PLAN DENTON TIF NO. 1 PRELIMINARY Boundary Description THENCE, east along the south property line of Sanger Brothers Addition, Block 1, Lot 1 (Part) continuing across North Locust Street to its east ROW; THENCE, north along the east ROW of North Locust Street to the southwest corner of A. Hill, Tract 192; THENCE, east along the south property line of A. Hill, Tract 192 to the west property line of A. Hill, Tract 190, 191; THENCE, south along the west property line of A. Hill, Tract 190, 191 to its southwest corner; THENCE, east along the south property lines of A. Hill, Tract 190, 191 and A. Hill, Tract 188 continuing east across North and South Locust Street to its east ROW; THENCE, north along the east ROW of North and South Locust Street to the south ROW of Eagle Drive; THENCE, east along the south ROW of Eagle Drive continuing across the Union Pacific rail line to its east ROW; THENCE, northeast along the east ROW of the Union Pacific rail line across the Union Pacific spur and continuing across Robertson to its north ROW and the southeast corner of H. Cisco, Tract 134; THENCE, northeasterly along the east property line of H. Cisco, Tract 134 to the south ROW of East Prairie; THENCE, east along the south ROW of East Prairie to a point directly south of the southeast corner of Jasper Addition, Block 1 Lot 1; THENCE, north across East Prairie to the southeast corner of Jasper Addition, Block 1, Lot 1; THENCE, north along the east property lines of Jasper Addition, Block 1, Lot 1, H. Cisco, Tract 139 thru 147 and William Loving, Tract 73 to the south ROW of Sycamore; THENCE, east along the south ROW of Sycamore to a point directly south of the southeast corner of H. Cisco, Tract 21; THENCE, north across Sycamore to the southeast corner of H. Cisco, Tract 21; THENCE, north along the east property lines of H. Cisco, Tract 21, H. Cisco, Tract 22, 23 and H. Cisco Tract, Tract 29 to the south property line of a Fred Hill Addition drainage and utility easement; 8 FINANCE PLAN DENTON TIF NO. 1 PRELIMINARY E Boundary Description THENCE, east and north along the south and east property line of a Fred Hill Addition drainage and utility easement to the southeast corner of Fred Hill Addition, Block A, Lot 1; THENCE, north and west along the east and north property line of Fred Hill Addition, Block A, Lot 1 to the southeast corner of H. Cisco, Tract 31; THENCE, north along the east property line of H. Cisco, Tract 31 and continuing north across East Hickory and north along the east ROW of Bradshaw and continuing north across East McKinney to the southeast corner of College View, Block 5, Lot 14; THENCE, north along the east property line of College View, Block 5, Lot 14 to its northeast corner; THENCE, west along the north property line of College View, Block 5, Lot 14 continuing across Bradshaw and along the north property line of College View, Block 7, Lot 1,2 (west part each) to the east property line of College View, Block 7, Lot 1,2; THENCE, north, west and south along the property line of College View, Block 7, Lot 1,2 to the northeast corner of BBB & CRR, Tract 238, 242, 245; THENCE, west and south along the north and west property line of BBB & CRR, Tract 238, 242, 245 to the north property line of BBB & CRR, Tract 239; THENCE, west, south, west, south west and south along the irregular property line of BBB & CRR, Tract 239 to a point directly opposite the northeast corner of BBB & CRR, Tract 280; THENCE, directly across Frame Street to the said northeast corner of BBB & CRR, Tract 280; THENCE, west along the north property line of BBB and CRR, Tract 280 to the west property line of Railroad Avenue Addition, Block 1, Lot 2; THENCE, north along the east property line of Railroad Avenue Addition, Block 1, Lot 2 to its intersection with the east ROW of Railroad Avenue; THENCE, northeasterly along the east ROW of Railroad Avenue to a point directly opposite the north ROW of Withers; THENCE, west across Railroad Avenue and continuing west along the north ROW of Withers to the west ROW of Oakland THENCE, south along the west ROW of Oakland to the north ROW of Congress; THENCE, west along the north ROW of Congress to the west ROW of Carroll Blvd.; 9 FINANCE PLAN DENTON TIF NO. 1 PRELIMINARY Boundary Description THENCE, south across Congress to the southwest corner of the ROW intersection of Congress and Carroll Blvd. and the POINT OF BEGINNING, and containing a total of approximately 443.86 acres. 10 »·®¿¼²«±Þ Ú×Ì ¼»±°±®Ð Þ ¬·¾·¸¨Û FINANCE PLAN: EXHIBIT D -- Feasibility Analysis PRELIMINARY EXHIBIT C PROJECT ESTIMATED COST, $M Parking / Transportation 13.0 Streetscape Projects 7.6 Support for Downtown Projects 13.0 Utility Improvements 13.0 TOTAL 46.6 12 FINANCE PLAN: EXHIBIT D -- Feasibility Analysis PRELIMINARY FEASIBILITY ANALYSIS (EXHIBIT D OF THE FINANCE PLAN) August 2008 Tax Increment Financing Reinvestment Zone No. 1 City of Denton, Texas George R. Schrader Larry D. Cline 4800 Broadway, Ste A Addison, TX 75001 972-661-1973 schcli@swbell.net 13 FINANCE PLAN: EXHIBIT D -- Feasibility Analysis PRELIMINARY INDEX Page Index 1 Forward 2 Section I: HISTORY 3 Section II: CURRENT CONDITION 4 Section III: TAX INCREMENT ANALYSIS 6 Section IV: TABLES 11 TABLE 1 -- General Value Increase, $M 12 TABLE 2 -- Catalyst Project Value Increase, $M 13 TABLE 3 -- Other Development/Redevelopment Value Increase, $M 14 TABLE 4 -- Cumulative Total Value Increase, $M 15 TABLE 5 -- City Contribution to TIF, $K 16 TABLE 6 -- County Contribution to TIF, $K 17 TABLE 7 -- City BPP Value Increase, $K 18 TABLE 8 -- County BPP Value Increase, $K 19 TABLE 9 -- Total Income to City, $K 20 TABLE 10 -- Total Income to County, $K 21 Section V: EXHIBITS 22 EXHIBIT I -- Catalyst Project Overview 23 EXHIBIT II -- Area A 24 EXHIBIT III -- Area B 25 EXHIBIT IV -- Area C 26 EXHIBIT V -- Area D 27 EXHIBIT VI -- Area E 28 14 FINANCE PLAN: EXHIBIT D -- Feasibility Analysis PRELIMINARY FORWARD Schrader & Cline, LLC was asked to prepare a Feasibility Analysis using tax increment Tax Increment financing to encourage accelerated development and redevelopment for Financing Reinvestment Zone (TIF) No. 1 in the City of Denton, Texas . The areas of the City within the boundary of the TIF need public infrastructure projects that will provide a stimulus for new development. Section I summarizes the history of Denton. Section II is a brief discussion of the current condition. Section III details the tax increment analysis. Section IV contains Tables. Section V contains Exhibits. The following projections of development, redevelopment and tax revenues are subject to change. As underlying conditions in the national and regional economy change, the pace and value of new development and redevelopment projected for the TIF area may shift. Future property tax rates are particularly difficult to predict given their dependence on changes in the policies. Thus, the projected tax increments are subject to change. The analysis of future tax increment funds is dependent on a series of projections, assumptions, and other inputs. As a result, the report should be reviewed in totality. Neither this report nor its conclusions may be referred to or included in any prospectus or part of any offering made in connection with private syndication of equity, sale of bonds, sale of securities or sale of participation interests to the public without express written approval. 15 FINANCE PLAN: EXHIBIT D -- Feasibility Analysis PRELIMINARY SECTION I: HISTORY Denton, the county seat of Denton County, is located on IH 35, less than forty miles north of Dallas and Fort Worth. Because of its proximity, Denton has become closely associated with the Dallas - Fort Worth metropolitan area. The City was founded in 1857 in order to become the county seat, because it was located near the center of the County. Although established in 1857, and with a courthouse built on the north side of the square, it was not until 1866 that Denton was incorporated. In its early years, Denton grew slowly, but that changed with completion of the Texas and Pacific Railway and the Missouri, Kansas and Texas Railway through Denton in 1881. With only north and south rail connections, however, the town did not develop as a manufacturing and opening of North Texas Normal College (now the University of North Texas) and in 1903 with the opening of the the City grew from a population of 1,194 in 1880 to 2,558 in 1890 and subsequently, over time, to a population of 26,844 in 1960 and to 48,063 in 1980. Proximity to Dallas and Fort Worth, with good interstate highway connections, played a major role in this growth. Steady and at times rapid growth of enrollment at the two universities was important also. Additionally, after 1974 the City added many new residents as a result of the opening of Dallas - Fort Worth International Airport, which is closer to Denton than to many parts of Dallas and Fort Worth. Many airline employees and executives who traveled for major companies took up residence in Denton. The City of Denton has also benefitted from the continued rapid growth of the metropolitan area and as this growth has moved northward, the City has grown in population from 66,270 in 1990 to 80,537 in 2000 to an estimated 100,950 in 2006. 16 FINANCE PLAN: EXHIBIT D -- Feasibility Analysis PRELIMINARY SECTION II: CURRENT CONDITION While Denton has grown to a population in excess of 100,000, the Denton downtown has not shared in the growth. One of the primary reasons for the lack of growth in the downtown area is the condition of the infrastructure. Many of the water and sewer lines serving downtown are 50 years old or older and are undersized to support new and more dense development and redevelopment. Drainage is poor. Many streets have fallen in need of repair or reconstruction, with unsafe sidewalks which do not meet ADA requirements. There also is a lack of parking to serve a higher level of development. The City of Denton has the potential, the need and the desire to undergo a successful revitalization of its downtown. To begin the effort, the City approved a Downtown Masterplan by Fregonese Calthorpe Associates and TIP Strategies in May/June 2003. This was followed by a Downtown Redevelopment Implementation Plan prepared by Leland Consulting Group and RTKL in 2005. The implementation plan suggested five catalyst projects which would -- Address underserved market niches Provide direction for targeting and leveraging public investment Advance market-tested vision over near-term and long-term Create a physically and economically sustainable plan As one of the potential implementation tools for this plan, Leland/RTKL recommended creation of a Tax Increment Financing (TIF) Reinvestment Zone to fund public improvements which would provide assistance and stimulus for private redevelopment and new development. Based on the Leland/RTKL recommendation, the City of Denton is proposing creation of ximately 444 acres was developed by city staff along with the Downtown Task Force and the Economic Development Partnership Board. New private development and redevelopment expected to occur as a result of public improvements funded by the TIF will increase downtown property values and tax income as well as bolster business personal property value and its related tax income for 17 FINANCE PLAN: EXHIBIT D -- Feasibility Analysis PRELIMINARY all taxing jurisdictions. TIF has been used in many other cities and is a proven method to stimulate private development and redevelopment growth sooner, rather than later, and in many cases will stimulate growth in value which might never occur without public improvements funded by the TIF. 18 FINANCE PLAN: EXHIBIT D -- Feasibility Analysis PRELIMINARY SECTION III: TAX INCREMENT ANALYSIS This section documents the detailed analysis and inputs used to generate the tax increment revenue estimates. Tax Increment Financing involves: Designating an eligible redevelopment area as a Tax Increment Financing Reinvestment Zone; Soliciting participation of other taxing jurisdictions; Setting the assessment base at the level of the most recent assessment; and Placing tax revenues generated by the increase in assessed value in a tax increment fund for funding public improvements. Thus, future tax increment revenues depend on four elements: The timing and added value of new development; Appreciation of existing land and improvements; The loss of value from any existing improvements demolished to make way for new development; and Future tax rates and the percentage of participation of each taxing jurisdiction. Assessment policies typically set building assessments at 100 percent of fair market value, which are generally comparable to construction costs for new construction. Assessed values are established as of January 1 of the tax year. Thus, development in 2008 goes on the tax rolls for the Tax Year 2009. In this analysis, to be conservative, no increase on redevelopment or new development after completion has been included. In addition, after the initial five years, only a portion of the taxes from increases in real property values for the City of Denton and Denton County are directed to the TIF Fund. Taxes from the remaining portion on real property values and 100% of all taxes from increases in business personal property values will flow to each taxing jurisdiction. Sales tax income generated from both existing values and new values will continue to flow to the City of Denton. The total year 2007 taxable value of the property within the TIF boundary is estimated to be $ 212.7 million. 19 FINANCE PLAN: EXHIBIT D -- Feasibility Analysis PRELIMINARY For the purposes of this tax increment analysis, the initial tax base for the Tax Increment Fund is assumed to be $212.7 million. This value will be revised when the 2008 tax values are certified. Taxes on the amount of base tax value will continue to flow to each taxing jurisdiction during the 30-year life of the TIF. The increase in value as a result of development and redevelopment within the TIF boundary is expected to be created in three different categories: 1. the general increase in values over time through normal Appraisal District revaluations and overall inflation; 2. the new values created by completion of the catalyst projects identified in the Downtown Redevelopment Implementation Plan; and 3. other general developmentand redevelopment expected to occur within the TIF boundary. Each of these will be discussed in more detail in the following sections. General Increase The annual general value increase within the TIF boundary over the last six years has averaged 8.7% per year. Since there was a substantial one year increase six years ago, the annual increase over the last five years was evaluated, and the average was 7.2% per year. However, to be conservative for this analysis, an average annual increase in value of only 2.5% per year was used (see Table 1). This average annual increase of only 2.5% per year still generated an increase in value within the TIF from $212.7 million to $435.3 million, an increase of $222.6 million. Catalyst Projects As mentioned previously, the city of Denton commissioned the team of Leland Consulting Group and RTKL Associates, Inc. to provide a Downtown Redevelopment Implementation Plan. This team evaluated five potential catalyst projects (see Exhibit I) which would-- Address underserved market niches in Denton, Promote density Provide direction for targeting and leveraging public investment, 20 FINANCE PLAN: EXHIBIT D -- Feasibility Analysis PRELIMINARY Advance market-tested vision over near-and long-term, and Create a physically and economically sustainable plan. These catalyst projects would focus on-- Strengthening the core, Transit, Infill development, Connecting the Civic Center to downtown, and Gateways into downtown. For this analysis, the project values developed by the team for each catalyst project were used. To be conservative, it was assumed that each project would develop over a ten-year time period and the ten-year development periods would be staggered. The location of each project is shown in Exhibits II, III, IV, V, and VI, and a summary is shown below. Area Description Value, $M Development Time Period A Mixed-use Residential/Retail 27 2010-2019 B Mixed-use Residential/Retail 14 2010-2019 C Residential Infill 16 2015-2024 D Mixed-use Office/Residential 27 2020-2029 E Residential Infill 13 2025-2034 The value created over the life of the TIF by these five catalyst projects is shown in Table 2. Other Development/Redevelopment New development and redevelopment value increases during 2003-2006 within the downtown area have averaged about $1.7 million per year. With the stimulus provided by the catalyst projects and with the potential aid of TIF funds, this analysis assumed that a higher level of development and redevelopment within the TIF are would occur as shown below. 21 FINANCE PLAN: EXHIBIT D -- Feasibility Analysis PRELIMINARY Development Annual Value Time Period Increase, $M 2008-2012 2.0 2013-2017 2.5 2018-2022 3.0 2023-2027 3.5 2028-2032 4.0 2033-2037 4.5 The value created over the life of the TIF by general development/redevelopment is shown in Table 3. The forecast of increased value created within the TIF boundary during the next 30 years from these three categories is shown in Table 4. Income to the TIF Fund based on the values shown in Table 4 and the City of Denton tax rate assumptions shown below is detailed in Table 5. The same information for the County is shown below and in Table 6. Jurisdiction Years Tax Rate% of $/$100 Value Tax Rate City of Denton 1-5 0.666520 100 6-10 0.633194 95 11-20 0.599868 90 21-30 0.566542 85 Denton County 1-5 0.235890 100 6-10 0.212301 90 11-20 0.2005065 85 21-30 0.188712 80 Tables 5 and 6 also show income which flows to the general fund of the City and County from the remaining tax rate not applied to the TIF. 22 FINANCE PLAN: EXHIBIT D -- Feasibility Analysis PRELIMINARY Business Personal Property tax income will also be generated from increased values within the TIF. Business Personal Property & Inventory (BPP) values for the last five years in the City of Denton have averaged 65% of real property values. For this analysis, a conservative forecast of BPP tax income to the City and County is based on BPP values being only 50% of real property values and 100% of each jurisdictions tax rate. This income from BPP is shown in Tables 7 and 8. Tables 9 and 10 show a forecast of total income to the City and County during the 30 year life of the TIF. This income is generated from the non-TIF portion of the real property tax rate and BPP income, both from new values generated within the TIF and also from real property and BPP base values. A summary of income to the TIF and each taxing jurisdiction over the 30-year life of the TIF is shown below. Jurisdiction TIF General Fund, $K Fund Income, $K City of Denton 34,942 133,695 Denton County 11,675 48,001 TOTAL 46,617 181,696 The public infrastructure projects planned to stimulate the higher values created by the TIF are shown in Project Plan Exhibit D. 23 FINANCE PLAN: EXHIBIT D -- Feasibility Analysis PRELIMINARY SECTION IV: TABLES 24 FINANCE PLAN: EXHIBIT D -- Feasibility Analysis PRELIMINARY TABLE 1 CITY OF DENTON TAX INCREMENT FINANCING REINVESTMENT ZONE NO. 1 GENERAL VALUE INCREASE, $M YEAR VALUE VALUE BASE VALUE INCREASE 2008 212.7212.7 - 2009 218.0212.7 5.3 2010 223.5212.7 10.8 2011 229.1212.7 16.4 2012 234.8212.7 22.1 2013 240.7212.7 28.0 2014 246.7212.7 34.0 2015 252.8212.7 40.1 2016 259.2212.7 46.5 2017 265.6212.7 52.9 2018 272.3212.7 59.6 2019 279.1212.7 66.4 2020 286.1212.7 73.4 2021 293.2212.7 80.5 2022 300.5212.7 87.8 2023 308.1212.7 95.4 2024 315.8212.7 103.1 2025 323.6212.7 110.9 2026 331.7212.7 119.0 2027 340.0212.7 127.3 2028 348.5212.7 135.8 2029 357.2212.7 144.5 2030 366.2212.7 153.5 2031 375.3212.7 162.6 2032 384.7212.7 172.0 2033 394.3212.7 181.6 2034 404.2212.7 191.5 2035 414.3212.7 201.6 2036 424.7212.7 212.0 2037 435.3212.7 222.6 TOTAL 435.3212.7 222.6 25 FINANCE PLAN: EXHIBIT D -- Feasibility Analysis PRELIMINARY TABLE 2 CITY OF DENTON TAX INCREMENT FINANCING REINVESTMENT ZONE NO. 1 CATALYST PROJECT VALUE INCREASE, $M YEAR A B C D E TOTAL CUM.TOTAL 2008 - - - - - - - 2009 - - - - - - - 2010 2.7 1.4 - - - 4.1 4.1 2011 2.7 1.4 - - - 4.1 8.2 2012 2.7 1.4 - - - 4.1 12.3 2013 2.7 1.4 - - - 4.1 16.4 2014 2.7 1.4 - - - 4.1 20.5 2015 2.7 1.4 1.6 - - 5.7 26.2 2016 2.7 1.4 1.6 - - 5.7 31.9 2017 2.7 1.4 1.6 - - 5.7 37.6 2018 2.7 1.4 1.6 - - 5.7 43.3 2019 2.7 1.4 1.6 - - 5.7 49.0 2020 - - 1.6 2.7 - 4.3 53.3 2021 - - 1.6 2.7 - 4.3 57.6 2022 - - 1.6 2.7 - 4.3 61.9 2023 - - 1.6 2.7 - 4.3 66.2 2024 - - 1.6 2.7 - 4.3 70.5 2025 - - - 2.7 1.3 4.0 74.5 2026 - - - 2.7 1.3 4.0 78.5 2027 - - - 2.7 1.3 4.0 82.5 2028 - - - 2.7 1.3 4.0 86.5 2029 - - - 2.7 1.3 4.0 90.5 2030 - - - - 1.3 1.3 91.8 2031 - - - - 1.3 1.3 93.1 2032 - - - - 1.3 1.3 94.4 2033 - - - - 1.3 1.3 95.7 2034 - - - - 1.3 1.3 97.0 2035 - - - - - - 97.0 2036 - - - - - - 97.0 2037 - - - - - - 97.0 TOTAL 27.0 14.0 16.0 27.0 13.0 97.0 97.0 26 FINANCE PLAN: EXHIBIT D -- Feasibility Analysis PRELIMINARY TABLE 3 CITY OF DENTON TAX INCREMENT FINANCING REINVESTMENT ZONE NO. 1 OTHER DEVELOPMENT/REDEVELOPMENT VALUE INCREASE, $M YEAR CUM. VALVE VALUE 2008 2.0 2.0 2009 2.0 4.0 2010 2.0 6.0 2011 2.0 8.0 2012 2.0 10.0 2013 2.5 12.5 2014 2.5 15.0 2015 2.5 17.5 2016 2.5 20.0 2017 2.5 22.5 2018 3.0 25.5 2019 3.0 28.5 2020 3.0 31.5 2021 3.0 34.5 2022 3.0 37.5 2023 3.5 41.0 2024 3.5 44.5 2025 3.5 48.0 2026 3.5 51.5 2027 3.5 55.0 2028 4.0 59.0 2029 4.0 63.0 2030 4.0 67.0 2031 4.0 71.0 2032 4.0 75.0 2033 4.5 79.5 2034 4.5 84.0 2035 4.5 88.5 2036 4.5 93.0 2037 4.5 97.5 TOTAL 97.5 97.5 27 FINANCE PLAN: EXHIBIT D -- Feasibility Analysis PRELIMINARY TABLE 4 CITY OF DENTON TAX INCREMENT FINANCING REINVESTMENT ZONE NO. 1 CUMULATIVE TOTAL VALUE INCREASE, $M YEAR GENERAL CATALYST OTHER TOTAL 2008 - - 2.0 2.0 2009 5.3 - 4.0 9.3 2010 10.8 4.1 6.0 20.9 2011 16.4 8.2 8.0 32.6 2012 22.1 12.3 10.0 44.4 2013 28.0 16.4 12.5 56.9 2014 34.0 20.5 15.0 69.5 2015 40.1 26.2 17.5 83.8 2016 46.5 31.9 20.0 98.4 2017 52.9 37.6 22.5 113.0 2018 59.6 43.3 25.5 128.4 2019 66.4 49.0 28.5 143.9 2020 73.4 53.3 31.5 158.2 2021 80.5 57.6 34.5 172.6 2022 87.8 61.9 37.5 187.2 2023 95.4 66.2 41.0 202.6 2024 103.1 70.5 44.5 218.1 2025 110.9 74.5 48.0 233.4 2026 119.0 78.2 51.5 248.7 2027 127.3 82.5 55.0 264.8 2028 135.8 86.5 59.0 281.3 2029 144.5 90.5 63.0 298.0 2030 153.5 91.8 67.0 312.3 2031 162.6 93.1 71.0 326.7 2032 172.0 94.4 75.0 341.4 2033 181.6 95.7 79.5 356.8 2034 191.5 97.0 84.0 372.5 2035 201.6 97.0 88.5 387.1 2036 212.0 97.0 93.0 402.0 2037 222.6 97.0 97.5 417.1 TOTAL 222.6 97.0 97.5 417.1 28 FINANCE PLAN: EXHIBIT D -- Feasibility Analysis PRELIMINARY TABLE 5 CITY OF DENTON TAX INCREMENT FINANCING REINVESTMENT ZONE NO. 1 CITY YEAR TOTAL REAL PROPERTY VALUE CONTRIBUTION INCOME TO INCREASE, $M TO TIF, $K* CITY, $K 2008 2.0- - 2009 9.313 - 2010 20.962 - 2011 32.6139 - 2012 44.4217 - 2013 56.9296 - 2014 69.5360 19 2015 83.8440 23 2016 98.4531 28 2017 113.0623 33 2018 128.4716 38 2019 143.9770 86 2020 158.2863 96 2021 172.6949 105 2022 187.21,035 115 2023 202.61,123 125 2024 218.11,215 135 2025 233.41,308 145 2026 249.01,400 156 2027 264.81,494 166 2028 281.31,588 176 2029 298.01,594 281 2030 312.31,688 298 2031 326.71,769 312 2032 341.41,851 327 2033 356.81,934 341 2034 372.52,021 357 2035 387.12,110 372 2036 402.02,193 387 2037 417.12,277 402 2038 -2,363 417 TOTAL 417.134,942 4,940 * Based on the tax rates of: Years 1 -5 $0.66652 / $100 valuation (100%) Years 6 -10 $0.663194 / $100 valuation (95%) 29 Years 11 - 20 $0.599868 / $100 valuation (90%) Years 21 - 30 $0.566542 / $100 valuation (85%) FINANCE PLAN: EXHIBIT D -- Feasibility Analysis PRELIMINARY TABLE 6 CITY OF DENTON TAX INCREMENT FINANCING REINVESTMENT ZONE NO. 1 COUNTY YEAR TOTAL REAL PROPERTY VALUE CONTRIBUTION INCOME TO INCREASE, $M TO TIF, $K* COUNTY, $K 2008 2.0- - 2009 9.35 - 2010 20.922 - 2011 32.649 - 2012 44.477 - 2013 56.9105 - 2014 69.5121 13 2015 83.8148 16 2016 98.4178 20 2017 113.0209 23 2018 128.4240 27 2019 143.9257 45 2020 158.2289 51 2021 172.6317 56 2022 187.2346 61 2023 202.6375 66 2024 218.1406 72 2025 233.4437 77 2026 249.0468 83 2027 264.8499 88 2028 281.3531 94 2029 298.0531 133 2030 312.3562 141 2031 326.7589 147 2032 341.4617 154 2033 356.8644 161 2034 372.5673 168 2035 387.1703 176 2036 402.0731 183 2037 417.1759 190 2038 -787 197 TOTAL 417.111,675 2,442 * Based on the tax rates of: Years 1 -5 $0.23589 / $100 valuation (100%) Years 6 -10 $0.212301 / $100 valuation (90%) Years 11 - 20 $0.2005065 / $100 valuation (85%) 30 Years 21 - 30 $0.188712 / $100 valuation (80%) FINANCE PLAN: EXHIBIT D -- Feasibility Analysis PRELIMINARY TABLE 7 CITY OF DENTON TAX INCREMENT FINANCING REINVESTMENT ZONE NO. 1 CITY YEAR TOTAL REAL BUSINESS PERSONAL PROPERTY VALUE PROPERTY VALUE INCOME TO INCREASE, $M INCREASE, $K* CITY, $K** 2008 2.01.00 - 2009 9.34.65 7 2010 20.910.45 31 2011 32.616.30 70 2012 44.422.20 109 2013 56.928.45 148 2014 69.534.75 190 2015 83.841.90 232 2016 98.449.20 279 2017 113.056.50 328 2018 128.464.20 377 2019 143.971.95 428 2020 158.279.10 480 2021 172.686.30 527 2022 187.293.60 575 2023 202.6101.30 624 2024 218.1109.05 675 2025 233.4116.70 727 2026 249.0124.50 778 2027 264.8132.40 830 2028 281.3140.65 882 2029 298.0149.00 937 2030 312.3156.15 993 2031 326.7163.35 1,041 2032 341.4170.70 1,089 2033 356.8178.40 1,138 2034 372.5186.25 1,189 2035 387.1193.55 1,241 2036 402.0201.00 1,290 2037 417.1208.55 1,340 2038 -- 1,390 TOTAL 417.1208.55 19,945 * Business Personal Property & Inventory value for last 5 years in the City of Denton 31 has averaged 65% of real property value. For this analysis, used only 50%. ** Based on tax rate of $0.66652 / $100 valuation applied to business personal property & inventory value increases. FINANCE PLAN: EXHIBIT D -- Feasibility Analysis PRELIMINARY TABLE 8 CITY OF DENTON TAX INCREMENT FINANCING REINVESTMENT ZONE NO. 1 COUNTY YEAR TOTAL REAL BUSINESS PERSONAL PROPERTY VALUE PROPERTY VALUE INCOME TO INCREASE, $M INCREASE, $M * COUNTY, $K** 2008 2.01.00 - 2009 9.34.65 2 2010 20.910.45 11 2011 32.616.30 25 2012 44.422.20 38 2013 56.928.45 52 2014 69.534.75 67 2015 83.841.90 82 2016 98.449.20 99 2017 113.056.50 116 2018 128.464.20 133 2019 143.971.95 151 2020 158.279.10 170 2021 172.686.30 187 2022 187.293.60 204 2023 202.6101.30 221 2024 218.1109.05 239 2025 233.4116.70 257 2026 249.0124.50 275 2027 264.8132.40 294 2028 281.3140.65 312 2029 298.0149.00 332 2030 312.3156.15 351 2031 326.7163.35 368 2032 341.4170.70 385 2033 356.8178.40 403 2034 372.5186.25 421 2035 387.1193.55 439 2036 402.0201.00 457 2037 417.1208.55 474 2038 -- 492 TOTAL 417.1208.55 7,057 * Business Personal Property & Inventory value for last 5 years in the City of Denton 32 has averaged 65% of real property value. For this analysis, used only 50%. ** Based on tax rate of $0.23589 / $100 valuation applied to business personal property & inventory value increases. FINANCE PLAN: EXHIBIT D -- Feasibility Analysis PRELIMINARY TABLE 9 CITY OF DENTON TAX INCREMENT FINANCING REINVESTMENT ZONE NO. 1 CITY YEAR SUBTOTAL INCOME TO CITY TOTAL INCOME FROM INCOME FROM INCOME FROM BASE INCOME TO REAL PROPERTY BUSINESS PERSONAL FROM NEW REAL AND BPP CITY, $K TAX , $K PROPERTY TAX, $K VALUES, $K VALUES, $K* 2008 - - - 2,100 2,100 2009 - 7 7 2,100 2,107 2010 - 31 31 2,100 2,131 2011 - 70 70 2,100 2,170 2012 - 109 109 2,100 2,209 2013 - 148 148 2,100 2,248 2014 19 190 209 2,100 2,309 2015 23 232 255 2,100 2,355 2016 28 279 307 2,100 2,407 2017 33 328 361 2,100 2,461 2018 38 377 415 2,100 2,515 2019 86 428 514 2,100 2,614 2020 96 480 576 2,100 2,676 2021 105 527 632 2,100 2,732 2022 115 575 690 2,100 2,790 2023 125 624 749 2,100 2,849 2024 135 675 810 2,100 2,910 2025 145 727 872 2,100 2,972 2026 156 778 934 2,100 3,034 2027 166 830 996 2,100 3,096 2028 176 882 1,058 2,100 3,158 2029 281 937 1,218 2,100 3,318 2030 298 993 1,291 2,100 3,391 2031 312 1,041 1,353 2,100 3,453 2032 327 1,089 1,416 2,100 3,516 2033 341 1,138 1,479 2,100 3,579 2034 357 1,189 1,546 2,100 3,646 2035 372 1,241 1,613 2,100 3,713 2036 387 1,290 1,677 2,100 3,777 2037 402 1,340 1,742 2,100 3,842 2038 417 1,390 1,807 2,100 3,907 TOTAL 4,940 19,945 24,885 87,900 112,785 * Based on existing real property value and business personal property & inventory assumed at 50% of real property value. 33 FINANCE PLAN: EXHIBIT D -- Feasibility Analysis PRELIMINARY TABLE 10 CITY OF DENTON TAX INCREMENT FINANCING REINVESTMENT ZONE NO. 1 COUNTY YEAR SUBTOTAL INCOME TO TOTAL INCOME FROM INCOME FROM INCOME COUNTY FROM INCOME TO REAL PROPERTY BUSINESS PERSONAL FROM NEW REAL AND BPP COUNTY, $K TAX, $K PROPERTY TAX, $K VALUES, $K BASE VALUE, $K* 2008 - - - 1,242 1,242 2009 - 2 2 1,242 1,244 2010 - 11 11 1,242 1,253 2011 - 25 25 1,242 1,267 2012 - 38 38 1,242 1,280 2013 - 52 52 1,242 1,294 2014 13 67 80 1,242 1,322 2015 16 82 98 1,242 1,340 2016 20 99 119 1,242 1,361 2017 23 116 139 1,242 1,381 2018 27 133 160 1,242 1,402 2019 45 151 196 1,242 1,438 2020 51 170 221 1,242 1,463 2021 56 187 243 1,242 1,485 2022 61 204 265 1,242 1,507 2023 66 221 287 1,242 1,529 2024 72 239 311 1,242 1,553 2025 77 257 334 1,242 1,576 2026 83 275 358 1,242 1,600 2027 88 294 382 1,242 1,624 2028 94 312 406 1,242 1,648 2029 133 332 465 1,242 1,707 2030 141 351 492 1,242 1,734 2031 147 368 515 1,242 1,757 2032 154 385 539 1,242 1,781 2033 161 403 564 1,242 1,806 2034 168 421 589 1,242 1,831 2035 176 439 615 1,242 1,857 2036 183 457 640 1,242 1,882 2037 190 474 664 1,242 1,906 2038 197 492 689 1,242 1,931 TOTAL 2,442 7,057 9,499 38,502 48,001 * Based on existing real property value and business personal property & inventory assumed at 50% of real property value. 34 FINANCE PLAN: EXHIBIT D -- Feasibility Analysis PRELIMINARY SECTION V: EXHIBITS 35 FINANCE PLAN: EXHIBIT D -- Feasibility Analysis PRELIMINARY EXHIBIT I 36 Locust Elm Carroll FINANCE PLAN: EXHIBIT D -- Feasibility Analysis PRELIMINARY EXHIBIT II 37 Locust Elm Carroll FINANCE PLAN: EXHIBIT D -- Feasibility Analysis PRELIMINARY EXHIBIT III 38 Locust Elm Carroll FINANCE PLAN: EXHIBIT D -- Feasibility Analysis PRELIMINARY EXHIBIT IV 39 Locust Elm Carroll FINANCE PLAN: EXHIBIT D -- Feasibility Analysis PRELIMINARY EXHIBIT V 40 Locust Elm Carroll FINANCE PLAN: EXHIBIT D -- Feasibility Analysis PRELIMINARY EXHIBIT VI Locust Elm Carroll PROJECT PLAN DENTON TIF NO. 1 PRELIMINARY PRELIMINARY PRELIMINARY PROJECT PLAN August 2008 Tax Increment Financing Reinvestment Zone No. 1 City of Denton, Texas George R. Schrader Larry D. Cline 4800 Broadway, Ste A Addison, TX 75001 972-661-1973 schcli@swbell.net PROJECT PLAN DENTON TIF NO. 1 PRELIMINARY August 2008 The City of Denton, Texas proposes to establish a Tax Increment Financing TIF within the TIF to provide funds for public infrastructure to encourage accelerated development and redevelopment in the downtown area of the City. The TIF consists of approximately 444 acres and is more fully described in Project Plan Exhibit A. The City is creating this TIF to encourage accelerated development and redevelopment in this area of the City in an effort to stimulate new higher value, higher density development which would benefit and be incentivized from the proposed public infrastructure improvements. It is expected that the TIF will exist for thirty (30) years or the date when all project costs are paid, whichever comes first. As set forth in Section 311.011 of the Tax Increment Financing Act of the Texas Tax Code Ann., the Project Plan for Tax Increment Financing Reinvestment Zone No. 1, Denton, Texas must and does include the following elements: 1.A map showing existing uses and conditions of real property in the TIF and a map showing proposed improvements to and proposed use of the property. The boundaries of the TIF are shown on the map labeled Project Plan Exhibit: B; Project Plan Exhibit: C shows existing land use within the TIF. Currently, the area is generally developed but contains less than ten percent residential. Project Plan Exhibit: D lists public improvements being proposed for the TIF; Project Plan Exhibit: E shows anticipated Future Land Use within the TIF. 1 PROJECT PLAN DENTON TIF NO. 1 PRELIMINARY 2.Proposed changes of zoning ordinances, the master plan of the municipality, building codes, and other municipal ordinances. Any changes to codes, ordinances, or master plan as a result of the creation of the TIF will be made through the standard process and procedures of the City. 3.A list of estimated non-project costs. Non-project costs within the TIF are those development costs not paid for by the TIF. These costs will include, but are not limited to, $ 194.5 million, which is comprised of new private development. 4.A statement of a method of relocating persons to be displaced as a result of implementing the plan. Although not anticipated, in the process of developing the TIF, any relocation will be made through the standard process and procedures of the City. 2 PROJECT PLAN DENTON TIF NO. 1 PRELIMINARY EXHIBIT A Boundary Description Beginning at the southwest corner of the ROW intersection of Congress and Carroll Blvd., the POINT OF BEGINNING; THENCE, west along the north property line of Carroll Park Addition, Block 3, Lot 8 to is northwest corner; THENCE, south along the west property lines of Carroll park Addition, Block 3, Lot 8 and Lot 16, continuing south across Parkway and south along the west property lines of Carroll Park Addition, Block 2, Lot 8 and Lot 1, continuing south across E. McKinney Street and south along the west property line of Carroll Park Addition, Block 1, Lot 1 to the north property line of Town Hill Addition Block 1, Lot 2; THENCE, west along the north property line of Town Hill Addition, Block 1, Lot 2 to its northwest corner; THENCE, south along the west property line of Town Hill Addition, Block 1, Lot 2 and Oak Carroll Addition Block A, Lot 1, continuing across W. Oak to the north property line of Saunders Addition, Lot 1A; THENCE, west along the north property line of Saunders Addition, Lot 1A to is northwest corner; THENCE, south along the west property lines of Saunders Addition, Lot 1A and Lot 1B, continuing across W. Hickory to the south ROW of W. Hickory; THENCE, east along the south ROW of W. Hickory to the northwest corner of William Neill, Tract 110; THENCE, south along the west property line of William Neill, Tract 110 to the north property line of William Loving, Tract 37; THENCE, west along the north property line of William Loving, Tract 37 to its northwest corner; THENCE, south along the west property line of William Loving, Tract 37, continuing across Mulberry to the south ROW of Mulberry; THENCE, east along the south ROW of Mulberry to the northwest corner of William Loving, Tract 68; 3 PROJECT PLAN DENTONTIF NO. 1 PRELIMINARY Boundary Description THENCE, south along the west property lines of William Loving, Tract 68, Tract 69 and Tract 70 to the southwest corner of Tract 70; THENCE, east along the south property line of William Loving, Tract 70 to the northwest corner of William Loving, Tract 72; THENCE, south along the west property line of William Loving, Tract 72, continuing south across Sycamore and south along the west property line of H. Cisco, Tract 139 thru 147 to the north property line of Carroll Blvd. Addition, Block A, Lot 1; THENCE, west along the north property line of Carroll Blvd. Addition, Block A, Lot 1 to its northwest corner; THENCE, south along the west property line of Carroll Blvd. Addition, Block A, Lot 1 to the north property line of William Loving, Tract 77; THENCE, west along the north property line of William Loving, Tract 77 and continuing along the north property line of Jester Addition, Lot A-1 to its northwest corner; THENCE, south along the west property line of Jester Addition, Lot A-1 to the north property line of William Loving, Tract 79; THENCE, west along the north property line of William Loving, Tract 79 to its northwest corner; THENCE, south along the west property line of William Loving, Tract 79 and continuing south along the west property line of William Loving, Tract 89 to the south ROW of Highland; THENCE, east along the south ROW of Highland to the west ROW of Carroll Blvd; THENCE, southeasterly along the west ROW of Carroll Blvd. to the south ROW of Eagle Drive and the northeast corner of A. Hill, Tract 216; THENCE, south along the west property line of A. Hill, Tract 216 and continuing south along the west property line of A. Hill, Tract 220 to its southwest corner and continuing across Collins to its south ROW; THENCE, east along the south ROW of Collins continuing across Fort Worth Drive to its east ROW; THENCE, northeasterly along the east ROW of Fort Worth Drive to the southwest corner of Sanger Brothers Addition, Block 1, Lot 1 (Part); 4 PROJECT PLAN DENTON TIF NO. 1 PRELIMINARY Boundary Description THENCE, east along the south property line of Sanger Brothers Addition, Block 1, Lot 1 (Part) continuing across North Locust Street to its east ROW; THENCE, north along the east ROW of North Locust Street to the southwest corner of A. Hill, Tract 192; THENCE, east along the south property line of A. Hill, Tract 192 to the west property line of A. Hill, Tract 190, 191; THENCE, south along the west property line of A. Hill, Tract 190, 191 to its southwest corner; THENCE, east along the south property lines of A. Hill, Tract 190, 191 and A. Hill, Tract 188 continuing east across North and South Locust Street to its east ROW; THENCE, north along the east ROW of North and South Locust Street to the south ROW of Eagle Drive; THENCE, east along the south ROW of Eagle Drive continuing across the Union Pacific rail line to its east ROW; THENCE, northeast along the east ROW of the Union Pacific rail line across the Union Pacific spur and continuing across Robertson to its north ROW and the southeast corner of H. Cisco, Tract 134; THENCE, northeasterly along the east property line of H. Cisco, Tract 134 to the south ROW of East Prairie; THENCE, east along the south ROW of East Prairie to a point directly south of the southeast corner of Jasper Addition, Block 1 Lot 1; THENCE, north across East Prairie to the southeast corner of Jasper Addition, Block 1, Lot 1; THENCE, north along the east property lines of Jasper Addition, Block 1, Lot 1, H. Cisco, Tract 139 thru 147 and William Loving, Tract 73 to the south ROW of Sycamore; THENCE, east along the south ROW of Sycamore to a point directly south of the southeast corner of H. Cisco, Tract 21; THENCE, north across Sycamore to the southeast corner of H. Cisco, Tract 21; THENCE, north along the east property lines of H. Cisco, Tract 21, H. Cisco, Tract 22, 23 and H. Cisco Tract, Tract 29 to the south property line of a Fred Hill Addition drainage and utility easement; 5 PROJECT PLAN DENTON TIF NO. 1 PRELIMINARY Boundary Description THENCE, east and north along the south and east property line of a Fred Hill Addition drainage and utility easement to the southeast corner of Fred Hill Addition, Block A, Lot 1; THENCE, north and west along the east and north property line of Fred Hill Addition, Block A, Lot 1 to the southeast corner of H. Cisco, Tract 31; THENCE, north along the east property line of H. Cisco, Tract 31 and continuing north across East Hickory and north along the east ROW of Bradshaw and continuing north across East McKinney to the southeast corner of College View, Block 5, Lot 14; THENCE, north along the east property line of College View, Block 5, Lot 14 to its northeast corner; THENCE, west along the north property line of College View, Block 5, Lot 14 continuing across Bradshaw and along the north property line of College View, Block 7, Lot 1,2 (west part each) to the east property line of College View, Block 7, Lot 1,2; THENCE, north, west and south along the property line of College View, Block 7, Lot 1,2 to the northeast corner of BBB & CRR, Tract 238, 242, 245; THENCE, west and south along the north and west property line of BBB & CRR, Tract 238, 242, 245 to the north property line of BBB & CRR, Tract 239; THENCE, west, south, west, south west and south along the irregular property line of BBB & CRR, Tract 239 to a point directly opposite the northeast corner of BBB & CRR, Tract 280; THENCE, directly across Frame Street to the said northeast corner of BBB & CRR, Tract 280; THENCE, west along the north property line of BBB and CRR, Tract 280 to the west property line of Railroad Avenue Addition, Block 1, Lot 2; THENCE, north along the east property line of Railroad Avenue Addition, Block 1, Lot 2 to its intersection with the east ROW of Railroad Avenue; THENCE, northeasterly along the east ROW of Railroad Avenue to a point directly opposite the north ROW of Withers; THENCE, west across Railroad Avenue and continuing west along the north ROW of Withers to the west ROW of Oakland THENCE, south along the west ROW of Oakland to the north ROW of Congress; THENCE, west along the north ROW of Congress to the west ROW of Carroll Blvd.; 6 PROJECT PLAN DENTON TIF NO. 1 PRELIMINARY Boundary Description THENCE, south across Congress to the southwest corner of the ROW intersection of Congress and Carroll Blvd. and the POINT OF BEGINNING, and containing a total of approximately 443.86 acres. 7 »·®¿¼²«±Þ Ú×Ì ¼»±°±®Ð Þ ¬·¾·¸¨Û PROJECT PLAN DENTON TIF NO. 1 PRELIMINARY EXHIBIT C Project Plan PROJECT ESTIMATED COST, $M Parking / Transportation 13.0 Streetscape Projects 7.6 Support for Downtown Projects 13.0 Utility Improvements 13.0 TOTAL 46.6 8 AGENDA INFORMATION SHEET AGENDA DATE: September 9, 2008 DEPARTMENT: Finance ACM: Jon Fortune ______________________________________________________________________________ SUBJECT Receive a report, hold a discussion, and give staff direction on the 2008-09 Budget, Capital Improvement Program, and Five-Year Financial Forecast. BACKGROUND This agenda item is being scheduled in order to allow Council Members to ask any follow-up questions regarding the Proposed Budget. Below is the schedule we will follow to adopt the 2008-09 Budget and Tax Rate: st September 9 Public Hearing on Budget and Tax Rate (1 Hearing) September 16 Second Public Hearing on Tax Rate September 23 City Council Adopts Budgets and Tax Rate The FY 2008-09 City and a workshop to present the preliminary details of the Budget was conducted on August 7, 2008. At the Budget Workshop, the City Council discussed various adjustments to the Proposed Budget. As a result of this discussion, the following items are being recommended for inclusion in the FY 2008-09 Proposed Budget. 1. $9,000 to $35,000. 2. Addition of two code enforcement officers in the General Fund ($117,899 for the General Fund portion - total cost is $151,885 including the addition of two vehicles). 3. Adjustment to salary and benefits in General Fund ($39,575). These changes are reflected in the attached Budget Resource and Expenditure Summary and Position Summary. th Following our Budget Workshop on August 7, the Public Utility Board (PUB) met and recommended various changes to the Utility Fund Budgets. In particular, the Utility Funds (Water, Wastewater, Solid Waste, Electric) have been adjusted for the impact of TMRS Agenda Information Sheet September 9, 2008 Page 2 contributions and GASB 45 liability contributions. The Utility Funds have also incorporated additional administrative transfers associated with the various positions added in other funds. The revised long-term financial plans that incorporate these changes are attached for your review. th On August 7, the City Council also requested more information regarding the recommended fee changes for Solid Waste customers. Attached for your review is the Solid Waste fee ordinance that has been recommended by the PUB. Since the proposed budget was presented, the PUB has recommended that the commercial dumpster proposed fee increase be reduced from a 4.5% to a 2.5% increase. Finally, we have include th Gas. This information was requested by the Council on August 7. EXHIBITS 1. Budget Resource and Expenditure Summary 2. Position Summary 3. Electric Fund Financial Forecast (provided under separate cover) Water Fund Financial Forecast Wastewater Fund Financial Forecast Drainage Financial Forecast (Component of Wastewater Fund) Solid Waste Fund Financial Forecast 4. Solid Waste Rate Change Ordinance 5. Compressed Natural Gas Memorandum If you have any questions or need additional information, please let me know. Respectfully submitted: Bryan Langley Director of Finance Ý×ÌÇ ÑÚ ÜÛÒÌÑÒô ÌÛÈßÍ ßÒÒËßÔ ÐÎÑÙÎßÓ ÑÚ ÍÛÎÊ×ÝÛÍ ÞËÜÙÛÌ ÎÛÍÑËÎÝÛ ú ÛÈÐÛÒÜ×ÌËÎÛ ÍËÓÓßÎÇ îððèóðç îððêóðéîððéóðèîððéóðèîððèóðç ÎÛÍÑËÎÝÛÍ ßÝÌËßÔÞËÜÙÛÌÛÍÌ×ÓßÌÛ ößÜÑÐÌÛÜ Ù»²»®¿´ Ú«²¼ ü èðôðëìôèèïü èîôéêêôéêìü èîôíéëôêðèü èçôïìîôîéî Ù»²»®¿´ Ü»¾¬ Í»®ª·½» Ú«²¼ ïìôèïîôìîç ïéôííïôéêí ïéôííïôéêí ïèôêíîôêìï Û´»½¬®·½ Ú«²¼ ïííôîëëôçíí ïèçôíïïôëîì ïëéôèèíôêïð îïçôììíôèìé É¿¬»® Ú«²¼ ííôèðïôððê ìîôëðìôêèì íèôëïëôììí ìïôëðîôîêè É¿¬»©¿¬»® Ú«²¼ îíôêïíôîïî îìôèðìôëíç îìôðçéôíðí îëôëèðôëíè Í±´·¼ É¿¬» Ú«²¼ ïêôêðçôèéç ïéôííçôëîë ïèôïçèôîêí îïôéìêôèðì Ì»½¸²±´±¹§ Í»®ª·½» Ú«²¼ ëôëçîôðîé éôðéðôïîì êôçêïôðèí éôìèçôèîí Ó¿¬»®·¿´ Ó¿²¿¹»³»²¬ Ú«²¼ ëôééîôïîð éôïëëôîèç éôïìéôêîë éôïêìôïìð Ú´»»¬ Ó¿²¿¹»³»²¬ Ú«²¼ ëôèèëôîìç éôêðëôíéç èôëðëôíéç ïïôîíïôìéï Î·µ Î»¬»²¬·±² Ú«²¼ îôéìëôéíð îôííéôëêè îôíïìôïçî îôëççôðêï Ø»¿´¬¸ ×²«®¿²½» Ú«²¼ øï÷ ó ïìôìííôððç ïíôêçìôêìð ïìôïêèôìêë Î»½®»¿¬·±² Ú«²¼ ïôîðèôïçð ïôîéêôèîì ïôîîèôéçì ïôëðçôëìï ß¯«¿¬·½ Ý»²¬»® Ú«²¼ øî÷ íôîìéôîîè ó ó ó Ì±«®·¬ ú Ý±²ª»²¬·±² Ú«²¼ ïôïíîôëðð ïôìïïôíëì ïôìïíôðîï ïôìðèôîïç Û³·´§ Ú±©´»® Ô·¾®¿®§ Ú«²¼ øí÷ ó ó ó ó Ð±´·½» Ý±²º·½¿¬·±² Ú«²¼ ïïèôêçè ïçèôîîð ïíîôçíé ïêèôêîî Ì®¿ºº·½ Í¿º»¬§ Ú«²¼ øì÷ ìêçôïïì ó îïêôððð íëèôððð Ò±²óß·®°±®¬ Ù¿ É»´´ Ú«²¼ øì÷ ëèèôêëè ó ïôíêîôêðè ïôíêèôìíï ß·®°±®¬ Ù¿ É»´´ Ú«²¼ øì÷ ïôíêéôëëè ó ççðôêíï ïôðððôçëð ü ííðôîéìôìïîü ìïëôëìêôëêêü íèîôíêèôçððü ìêìôëïëôðçí ÌÑÌßÔ ÎÛÍÑËÎÝÛÍ îððêóðéîððéóðèîððéóðèîððèóðç ÛÈÐÛÒÜ×ÌËÎÛÍßÝÌËßÔÞËÜÙÛÌÛÍÌ×ÓßÌÛ ößÜÑÐÌÛÜ Ù»²»®¿´ Ú«²¼ ü éìôðëðôéíïü èîôéêêôéêìü èïôçíçôðçëü èçôíîëôéìê Ù»²»®¿´ Ü»¾¬ Í»®ª·½» Ú«²¼ ïìôêííôïíð ïéôííïôéêí ïéôííïôéêí ïèôêíîôêìï Û´»½¬®·½ Ú«²¼ ïîéôîðìôèçî ïèçôíïïôëîì ïëéôèèíôêïð îïçôììíôèìé É¿¬»® Ú«²¼ íéôìêðôíðï ìîôîîêôêèì íèôíêèôëèî ìïôïìçôêìë É¿¬»©¿¬»® Ú«²¼ îïôðìêôíðí îìôììéôêðì îíôðïêôîëî îëôîëîôìðî Í±´·¼ É¿¬» Ú«²¼ ïëôèéêôéçé ïéôïíèôèèê ïèôïîèôðéð îïôìïíôíçï Ì»½¸²±´±¹§ Í»®ª·½» Ú«²¼ ëôëçîôðîé éôðéðôïîì êôêèëôéîï éôìèçôèîí Ó¿¬»®·¿´ Ó¿²¿¹»³»²¬ Ú«²¼ ëôëêíôíîé éôïëëôîèç êôçïìôêðî éôïêíôçðç Ú´»»¬ Ó¿²¿¹»³»²¬ Ú«²¼ ëôêëèôïéè éôêðëôíéç èôëðëôíéç ïïôîíïôìéï Î·µ Î»¬»²¬·±² Ú«²¼ îôíîêôêïï îôííéôëêè îôíïìôïçî îôîéçôèîî øï÷ Ø»¿´¬¸ ×²«®¿²½» Ú«²¼ ó ïìôìííôððç ïîôïéèôéèè ïìôïêèôìêë Î»½®»¿¬·±² Ú«²¼ ïôïçíôìíê ïôîéêôèîì ïôîïïôííê ïôëðçôëìï øî÷ ß¯«¿¬·½ Ý»²¬»® Ú«²¼ ïôêèéôèçé ó ó ó Ì±«®·¬ ú Ý±²ª»²¬·±² Ú«²¼ ïôîìîôëðí ïôìïïôíëì ïôìïíôðîï ïôìðèôîïç øí÷ Û³·´§ Ú±©´»® Ô·¾®¿®§ Ú«²¼ èïôçðë ó ó ó Ð±´·½» Ý±²º·½¿¬·±² Ú«²¼ ïïèôêçè ïçèôîîð ïíîôèíé ïêèôêîî øì÷ Ì®¿ºº·½ ¿²¼ Í¿º»¬§ Ú«²¼ íëèôìðð ó îèîôïðð íçìôððð øì÷ Ò±²óß·®°±®¬ Ù¿ É»´´ Ú«²¼ ëêî ó ó ó øì÷ ß·®°±®¬ Ù¿ É»´´ Ú«²¼ îçìôðêí ó îêîôìëí ììîôéçç ü íïìôíèçôéêïü ìïìôéïðôççîü íéêôëêéôèðïü ìêïôìéìôíìí ÌÑÌßÔ ÛÈÐÛÒÜ×ÌËÎÛÍ øï÷ Ì¸» Ø»¿´¬¸ ×²«®¿²½» Ú«²¼ · ¿ ²»© ¾«¼¹»¬»¼ º«²¼ ¬¿®¬·²¹ ·² îððéóðèò øî÷ Ì¸» ß¯«¿¬·½ Ú«²¼ ©¿ ½±³¾·²»¼ ©·¬¸ ¬¸» Ù»²»®¿´ Ú«²¼ ¬¿®¬·²¹ ·² îððéóðèò øí÷ Ì¸» Û³·´§ Ú±©´»® Ú«²¼ ©¿ ½±³¾·²»¼ ©·¬¸ ¬¸» Ù»²»®¿´ Ú«²¼ ·² îððêóðéò øì÷ Ì¸» Ì®¿ºº·½ Í¿º»¬§ Ú«²¼ô ¬¸» ß·®°±®¬ Ù¿ É»´´ Ú«²¼ô ¿²¼ ¬¸» Ò±²óß·®°±®¬ Ù¿ É»´´ Ú«²¼ ¿®» ²»©´§ ®»°±®¬»¼ º«²¼ ¾»¹·²²·²¹ ·² îððèóðçò ö Û¬·³¿¬» ¿ ±º Ó¿§ îððè Ý×ÌÇ ÑÚ ÜÛÒÌÑÒô ÌÛÈßÍ ßÒÒËßÔ ÐÎÑÙÎßÓ ÑÚ ÍÛÎÊ×ÝÛÍ ÐÑÍ×Ì×ÑÒ ÍËÓÓßÎÇ îððèóðç ÐÛÎÍÑÒÒÛÔ îððêóðéîððéóðèîððéóðèîððèóðç Ú«´´óÌ·³» Û¯«·ª¿´»²¬ øÚÌÛ÷ßÝÌËßÔÞËÜÙÛÌÛÍÌ×ÓßÌÛ ößÜÑÐÌÛÜ Ò»·¹¸¾±®¸±±¼ Í»®ª·½» ïèðòíë îîðòèï îîðòèï îíðòèï Ð«¾´·½ Í¿º»¬§ Ð®±¹®¿³ íçèòçè ìðìòîí ìðìòîí ìïðòîí Ì®¿²°±®¬¿¬·±² Ð®±¹®¿³ ìîòðð ìíòðð ìíòðð ìëòðð Ü±©²¬±©² Ð®±¹®¿³ ëòðð ëòðð ëòðð ëòðð ß¼³·²·¬®¿¬·ª» Ð®±¹®¿³ éïòëð éíòïí éíòïí éêòïí êçéòèí éìêòïé éìêòïé éêéòïé ÌÑÌßÔ ÙÛÒÛÎßÔ ÚËÒÜ ÐÛÎÍÑÒÒÛÔ îððêóðéîððéóðèîððéóðèîððèóðç Ú«´´óÌ·³» Û¯«·ª¿´»²¬ øÚÌÛ÷ßÝÌËßÔÞËÜÙÛÌÛÍÌ×ÓßÌÛ ößÜÑÐÌÛÜ Û´»½¬®·½ Ú«²¼ ïïîòðð ïîðòëð ïîðòëð ïîëòðð É¿¬»® Ú«²¼ ïêìòîë ïêíòëð ïêëòðð ïêðòëð É¿¬»©¿¬»® Ú«²¼ èîòèé èíòíé èíòíé èìòèé Í±´·¼ É¿¬» Ú«²¼ èèòëð èéòëð èèòðð çíòéë Ì»½¸²±´±¹§ Í»®ª·½» Ú«²¼ îìòëð îëòðð îëòðð îëòðð Ó¿¬»®·¿´ Ó¿²¿¹»³»²¬ Ú«²¼ ïîòëð ïîòëð ïîòëð ïíòëð Ú´»»¬ Ó¿²¿¹³»²¬ Ú«²¼ ïêòðð ïçòðð ïçòðð îïòðð Î·µ Î»¬»²¬·±² ëòðð ëòðð ëòðð ëòðð Î»½®»¿¬·±² Ú«²¼ îêòéç îïòèì îîòçí îïòèì øï÷ ß¯«¿¬·½ Ý»²¬»® Ú«²¼ ííòîç ó ó ó ëêëòéðëíèòîïëìïòíðëëðòìê ÌÑÌßÔ ÑÌØÛÎ ÚËÒÜÍ ïôîêíòëí ïôîèìòíè ïôîèéòìé ïôíïéòêí ÌÑÌßÔ ßÔÔ ÚËÒÜÍ ö Û¬·³¿¬» ¿ ±º Ó¿§ îððè øï÷ Ì¸» ß¯«¿¬·½ Ý»²¬»® Ú«²¼ ©¿ ½±³¾·²»¼ ©·¬¸ ¬¸» Ù»²»®¿´ Ú«²¼ ·² îððéóðèô ·²½´«¼·²¹ ¬¸» ¬®¿²º»® ±º íìòìê ÚÌÛò ORDINANCE NO. 2008-_________ AN ORDINANCE OF THE CITY OF DENTON, TEXAS AMENDING THE SCHEDULE OF 2007-211 RATES FOR SOLID WASTE SERVICE CONTAINED IN ORDINANCE NO. AS AUTHORIZED BY CHAPTER 24 OF THE CODE OF ORDINANCES OF THE CITY OF DENTON, TEXAS; PROVIDING THAT THE PROVISIONS OF SECTIONS 26-3, 26-4, 26-5, 26-7, 26-8(a), AND 26-9 OF THE CODE OF ORDINANCES OF THE CITY OF DENTON, TEXAS SHALL EXPRESSLY APPLY TO CITY OF DENTON SOLID WASTE SERVICE; PROVIDING FOR AN INCREASE IN THE MONTHLY RESIDENTIAL REFUSE CART RATES (SCHEDULE SWR); AN INCREASE IN THE MOBILIZATION CHARGE FOR THE COLLECTION OF RESIDENTIAL CONSTRUCTION & DEMOLITION WASTE (SCHEDULE SWR); THE ADDITION OF A CHARGE FOR THE COLLECTION, PROCESSING, AND DISPOSAL OF TELEVISIONS, MONITORS, VIDEO DISPLAYS, ELECTRONIC DEVICES, AND CERTAIN APPLIANCES CONTAINING CATHODE RAY TUBES, LCD DISPLAYS OR PLASMA DISPLAYS (SCHEDULES SWR, SWC, AND SWL); THE ESTABLISHMENT OF A MULTI-FAMILY REFUSE COLLECTION SERVICES RATE (SCHEDULE SWMFS); AN INCREASE IN THE MONTHLY RESIDENTIAL RECYCLING AND MINIMUM BILLING RATE (SCHEDULE SWRR); AN INCREASE IN COMMERCIAL SOLID WASTE COLLECTION SERVICES RATES FOR FRONT-END LOAD CONTAINER SERVICES; FOR COMMERCIAL CART SERVICE; FOR ROLL-OFF OPEN-TOP CONTAINER SERVICE; FOR ROLL-OFF COMPACTOR CONTAINER SERVICE; FOR SIX CUBIC YARD COMPACTOR SERVICE; AMENDING THE ROLL-OFF CONTAINER RATES TO APPLY LANDFILL CHARGES BASED ON THE WEIGHT OR VOLUME OF MATERIALS HAULEDTHE ; ADDITION OF A COLLECTION AND TRANSPORTATION SERVICE FEE FOR SCHEDULED HAULS AND FOR DEMAND RESPONSE HAULS; AND ADDITIONAL PROVISIONS FOR THE COLLECTION OF CONSTRUCTION AND DEMOLITION MATERIALS; AN INCREASE IN THE COMMERCIAL MINIMUM MONTHLY REFUSE CHARGE; AN INCREASE IN THE ROLL-OFF CONTAINER DELIVERY CHARGE; AN INCREASE IN THE RELOCATION OF ROLL-OFF CONTAINER CHARGE; AN INCREASE IN THE FEE FOR ROLL-OFF CONTAINERS THAT ARE INACCESSABLE AT THE TIME OF COLLECTION; AND MODIFICATIONS OF THE SERVICE REQUIREMENTS AND CHARGES; ADDING SERVICE REQUIREMENTS FOR EQUIPMENT USE AND EQUIPMENT LOCATION; ADDING INDEMNIFICATION AND HOLD HARMLESS PROVISIONS (SCHEDULE SWC); INCREASING SEVERAL OF THE COMMERCIAL RECYCLING SERVICES RATES (SCHEDULE SWCR); ADDING A CONSTRUCTION, DECONSTRUCTION, AND DEMOLITION MATERIALS SERVICES RATE SCHEDULE (SCHEDULE SWC&D); INCREASING THE COLLECTION AND TRANSPORTATION SERVICES PERMIT RATE; MODIFICATION OF SEVERAL SERVICE FEES AND CONTAINER CHARGES, TOGETHER WITH MODIFICATIONS TO THE SMALL OPERATORS SERVICE FEE, CONTAINER FEES AND RIGHT-OF-WAY FEES (SCHEDULE SWP); AN INCREASE IN THE LANDFILL VOLUME CHARGES PER CUBIC YARD FOR MUNICIPAL SOLID WASTE (MSW) AND CONSTRUCTION AND DEMOLITION (C&D) MATERIALS; INCREASING THE LANDFILL TIRE DISPOSAL CHARGES; INCREASING THE YARD WASTE RATES FOR MATERIALS DELIVERED TO THE LANDFILL; THE ESTABLISHMENT OF A RATE FOR LARGE VOLUME RATES FOR INERT MATERIALS DELIVERED TO THE LANDFILL; CONSOLIDATION OF THE RATES FOR THE SALE OF SAND, SELECT SOIL, AND ROCK (SCHEDULE SWL); PROVIDING FOR A REPEALER; PROVIDING FOR A SEVERABILITY CLAUSE; AND PROVIDING AN EFFECTIVE DATE. THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: SECTION 1. That the charges for Solid Waste collection services as authorized by Section 24-42(b) of Article II, Section 24-66 of Article III and Section 24-4 of Article I of Chapter 24; and by Section 32-90 of Article IV of Chapter 32 of the Code of Ordinances of the City of Denton, Texas, are hereby established as follows: SOLID WASTE RATE SCHEDULES PAGE SWR Residential Solid Waste Collection Services 3 SWMFS Multi-Family Refuse Collection Services 6 SWRR Residential Recycling 8 MFR Multi-Family Chemical Collection / Recycling 9 SWC Commercial Solid Waste Collection Services 10 SWCR Commercial Recycling Services 17 SWC&D Construction, Deconstruction, and Demolition Materials 20 Services SWP Collection and Transportation Services Permit 22 SWL Sanitary Landfill Services 28 SCHEDULE SWR RESIDENTIAL SOLID WASTE COLLECTION SERVICES (Effective 10/01/08) APPLICATION Applicable for residential family unit solid waste collection service. A family unit includes each unit of a duplex or triplex, each living unit of a residential lot, and any single unit or living space in which a person or single family resides. MONTHLY RATES Containerized Collection Service 1 pickup per week Size of Carts 1 Cart 2 Carts Large $17.75 $18.75/bill $33.50/bill Medium $16.60 $17.35/bill Small $15.00 $15.50/bill All refuse must be placed within the cart with the lid fully closed. Residents may contact Solid Waste Customer Service to request that the Solid Waste collection personnel reload their refuse cart with additional bagged refuse materials adjacent to the refuse cart at a price of $5.00 per additional cart reload and empty. The cart reload and extra empty services will be provided if the customer contacts the Customer Service Department and makes the request a minimum of one day prior to their scheduled collection day. Should any other fees and/or charges be established by any other authorized governmental entity, those fees and/or charges will be added to the monthly rate stated hereinabove in order that the city shall recover those additional costs from the customer. MINIMUM BILLING / BASE RATE SERVICE $15.00 per monthly bill applicable for residential solid waste service for an unoccupied residential family unit which remains vacant for a period greater than two months. This minimum billing rate shall only be effective after written application is made by the ratepayer with the Customer Service Department, and such minimum billing rate shall be limited to a maximum period of six months per calendar year. Should any other fees and/or charges be established by any other authorized governmental entity, those fees and/or charges will be added to the monthly rate stated hereinabove in order that the city shall recover those additional costs from the customer. BILLING Residential accounts will be billed either monthly or quarterly, depending upon the discretion of the General Manager, Solid Waste Services. OTHER CHARGES There is no additional charge for the collection of bagged grass clippings and leaves, or brush and tree limbs which are cut and stacked in less than four foot (4') lengths, if the combined grass/leaves/brush total volume is not over eight cubic yards per collection day. If over eight (8) cubic yards of combined bagged grass clippings, brush, or leaves are placed out for collection on a collection day, excess volume charges will be assessed at $5.00 per cubic yard or part of a cubic yard collected for all cubic yards in excess of eight (8) cubic yards. The Solid Waste Department staff will automatically collect and bill for excess volumes of yard waste if the additional charges are $25.00 or less. Residential customers may be provided metal containers and service at the published commercial rates. Residential customers shall contact Customer Service, a minimum of one day in advance of their scheduled collection day, to request the collection of up to four bulky items per year on their refuse collection day for no additional charge. Bulky items are residential household type items that are consistent with residential household use, such as furniture and selected appliances. Bulky items exclude those appliances manufactured to , and non-household type items, including but not limited to fencing, remodeling, and construction and demolition (C&D) waste. Residential construction and demolition (C&D) waste, including but not limited to lumber, brick, fencing, and drywall, will be collected at the scheduled rate of $60.00 $70.00 for mobilization plus $10.00 per cubic yard or any part of a cubic yard collected above one cubic yard. Materials must not business hours to request the collection of residential C&D waste. If the customer has over eight cubic yards of C&D waste for collection, the customer is required to have a city refuse storage container of adequate size to contain the waste, and maintain a collection service frequency of at least once per month. Appliances manufactured to contai disposal of each appliance and/or the associated materials. There is no charge for the collection of a certificate of documentation from an approved business qualified to remove these products their disposal. If the Solid Waste Department is not provided a certificate of removal, the $50.00 charge per item will be assessed if the customer requests collection services through the Solid Waste Department. Televisions, monitors, video displays, electronic devices and certain appliances containing cathode ray tubes, LCD displays or plasma displays will be charged $20.00 per device for the collection, processing and disposal of these devices. Other residential services may be provided at fees established by the department, and approved by the General Manager. The fees established will recoup the cost of service including the special and administrative services provided. When initiating new service, a residential Solid Waste service deposit may be charged. SCHEDULE SWMFS MULTI-FAMILY REFUSE COLLECTION SERVICES (Effective 10/01/08) APPLICATION Special Collection services will be provided to Multi-Family facilities upon request. These services are provided for the collection of residential appliances and household bulky items. Collection services will use commercial containers for bulky items and manual collection for appliances. Containerized bulky item collection collection route service. The customer shall contact Customer Service and request the bulky item container collection service (provided on a demand response basis) a minimum of one day prior to their regular refuse collection day. Items placed in the container may not extend beyond seven (7) feet high from the bottom of the container. The customer shall contact Customer Service and request manual appliance collection at least one day prior to the regularly scheduled residential collection day. Items which will not be collected include: refrigerators, freezers, air conditioners, or any other item (polychlorinated biphenyls). MONTHLY RATES A. Bulky Item Container Service Container Size Monthly Rental Collection Service Fee 4 CY SL container $21.00 $45.00 per pickup 8 CY FL container $26.00 $61.00 per pickup B. Appliance & Bulky Item Collection Services $2.00 per apartment unit per month, (minimum of 12 month subscription service required) for call-in service with once a week collection on the regular collection day. Televisions, monitors, video displays, electronic devices and certain appliances containing cathode ray tubes, LCD displays, or plasma displays will be charged $20.00 per device for the collection, processing and disposal of these devices. Should any other fees and/or charges be established by any other authorized governmental entity, those fees and/or charges will be added to the monthly rate stated hereinabove in order that the city shall recover those additional costs from the customer. SERVICE If the container is not serviced during the scheduled refuse collection route, and the customer desires a special collection service, services will be provided at the standard refuse service fees. If the bulky item container is contaminated with refuse, construction materials, or contains other non-bulky materials, the standard refuse service fees will apply. BILLING These accounts will either be billed monthly or bi-weekly, depending upon the discretion of the General Manager, Solid Waste Services. SCHEDULE SWRR RESIDENTIAL RECYCLING (Effective 10/01/08) APPLICATION Applicable for residential family unit recycling materials collection and processing services. A family unit includes each unit of a duplex or triplex, each living unit of a residential lot, and any single unit or living space in which a person or single family resides. MONTHLY RATE Containerized Collection Service 1 pickup per week $4.00 $4.30 per bill Single family Should any other fees be established by an authorized governmental entity, those fees will be added to the monthly rate to recover those costs. MINIMUM BILLING $4.00 $4.30 per monthly bill If any other fees are established by an authorized governmental entity, the minimum billing would adjust to include those costs. BILLING Residential accounts will either be billed monthly or quarterly, depending upon the discretion of the General Manager, Solid Waste Services. EXCEPTION TO IMPOSITION OF RATE The residential recycling and processing services rate will not be charged for an unoccupied residential family unit that applies for and is granted the Minimum Billing/Base Rate Service as described in Schedule SWR. This exception shall be effective so long as the Minimum Billing/Base Rate Service rate is applicable to the unoccupied residential family unit. SCHEDULE MFR MULTI-FAMILY CHEMICAL COLLECTION / RECYCLING (Effective 10/01/08) APPLICATION Applicable for multi- These residents receive, participate in, and benefit from various City of Denton recycling and processing services. A multi-family unit includes each separate living unit of a four-plex, apartment, condominium, or other such multi-family living facility with four or more residences. Facilities that are constructed as boardinghouses, or contain living facilities with separate bedrooms for lease by each tenant, but that contain one common kitchen and/or open living area, will qualify as one living unit, and one multi-family recycling and processing charge will apply. MONTHLY RATE $1.75 per bill per multi-family living unit. MINIMUM BILLING $1.75 per monthly bill per multi-family living unit. BILLING Multi-family accounts will either be billed monthly or quarterly, depending upon the discretion of the General Manager, Solid Waste Services. SCHEDULE SWC COMMERCIAL SOLID WASTE COLLECTION SERVICES (Effective 10/01/08) APPLICATION Every owner, occupant, tenant, or lessee of any business, commercial, or institutional property not entitled to receive residential refuse collection service shall be required to have commercial solid waste collection service provided by the City of Denton. New commercial business development and redevelopment will be provided solid waste commercial refuse and recycling services, as outlined in the Denton Development Code and the Site Plan Criteria Manual. MONTHLY RATE Commercial refuse collection services are provided through a volume-based rate system. Refuse will be collected in city approved or city provided containers only. All non-city owned containers shall have a container permit affixed to the outside of each container in a location that is clearly visible when viewed by Solid Waste Department employees, from the front of the collection site. Should any other fees and/or charges be established by any other authorized governmental entity, those fees and/or charges will be added to the monthly rate stated hereinabove in order that the city shall recover those additional costs from the customer. A. PERMANENT FRONT LOAD CONTAINER SERVICE (Long Term Scheduled Service) 1. 8 CUBIC YARD CONTAINER Front Load Pickups Cubic Yards Rate Per Per Week Per Week Bill 1 8 $114.00 $116.00 2 16 $228.00 $234.00 3 24 $346.00 $352.00 2. 6 CUBIC YARD CONTAINER Front Load Pickups Cubic Yards Rate Per Per Week Per Week Bill 1 6 $94.00 $ 95.00 2 12 $187.00 $192.00 3 18 $284.00 $289.00 3. 4 CUBIC YARD CONTAINER Front Load Side Load Pickups Cubic Yards Rate Per Rate Per Per Week Per Week Bill Bill 1 4 $73.00 $74.00 $86.00 $89.00 2 8 $144.00 $148.00 $168.00 $178.00 3 12 $218.00 $223.00 $254.00 $269.00 4. 2 & 3 CUBIC YARD CONTAINERS Front Load Side Load Pickups Cubic Yards Rate Per Rate Per Per Week Per Week Bill Bill 1 3 $59.00 $60.00 $71.00 $73.00 2 6 $118.00 $122.00 $139.00 $146.00 3 9 $180.00 $184.00 $210.00 $221.00 The Solid Waste Department will establish rates to recover the full cost of service for collection services at frequencies greater than three times per week. New two cubic yard containers and new side load container services are no longer available. Customers currently receiving two cubic yard or side load container services that discontinue these services may not reinstate this same service in the future. 5. CONTAINER EXTRA SERVICE (For a container reload and extra empty) Container Size Collection Service Fee 2 & 3 CY container $34.00 $35.00 per pickup 4 CY container $39.00 $40.00 per pickup 6 CY container $51.00 $52.00 per pickup 8 CY container $63.00 $65.00 per pickup These extra service fees apply if the truck, while on its scheduled route, remains on-site to provide the additional service and the driver waits while the customer reloads the container. On-site waiting time in excess of fifteen (15) minutes will be charged to the customer at the rate of $85.00 per hour. Waiting time will be billed in fifteen-minute increments. If the driver is called in from off-site to provide same day extra service, there is a $50.00 same day service charge, plus the applicable collection service fee. B. COMMERCIAL CART SERVICE Commercial cart service is not available city-wide. In those areas where commercial cart collection is available, small quantity waste generators, generating less than one cubic yard of refuse per week, may contract for once per week cart service. All waste must be contained in the cart, and the cart set out for collection no later than 7:00 AM on the scheduled collection day. Bulky item collection services are not provided for commercial cart service customers. One (1) pickup per week service: Cart Capacity 1 Cart 2 Carts Large $17.75 $18.75/bill $33.50 $35.50/bill A maximum of two carts is available. Service above this level will require the placement of a metal container. Extra empties performed while on-site will be provided at the one-cart rates listed above. Customers on commercial cart service where fully automated collection service cannot be provided will be charged an additional $2.00 per month per cart for providing semi- automated or manual collection service. C. TEMPORARY FRONT LOAD CONTAINER SERVICE (Short Term Service) Container Size Monthly Rental Collection Service Fee 4 CY container $40.00 $42.00 $70.00 $73.00 per pickup 8 CY container $64.00 $67.00 $95.00 $99.00 per pickup Temporary service accounts incur container delivery charges to initially place the containers. D. ROLL-OFF OPEN TOP CONTAINER SERVICE Container Size Monthly Rental 15 CY container $100.00 $107.00 20 CY container $110.00 $118.00 30 CY container $130.00 $139.00 Collection and Transportation Service Fees will be $230.00 for scheduled hauls and $250.00 (exclusive of disposal costs) for demand response hauls. Landfill Fees will be charged separately based on the weight or volume of the hauled materials times the appropriate landfill rate (See Schedule SWL). Customers that request the driver wait while they reload the container, in order for the City to provide an additional empty(s), will be charged the collection service fee and on- site waiting time in 15 minute increments at the rate of $85.00 per hour. Construction and demolition material (C&D) collections will be at the following rates provided with 30 cubic yard containers. a) Container Rental: $118.00 / month (30 CY container) b) Collection Service: $250.00 / haul (demand response) The Solid Waste Department will establish rates to recover the cost of service for unlisted container sizes. E. ROLL-OFF COMPACTOR CONTAINER SERVICE Container Size Monthly Rental 20 CY compactor - $333.00 30 CY compactor $355.00 $379.00 35 CY compactor $422.00 $451.00 42 CY compactor $515.00 $550.00 Collection and Transportation Service Fees will be $230.00 for scheduled hauls and $250.00 (exclusive of disposal costs) for demand response hauls. Landfill Fees will be charged separately based on the weight or volume of the hauled materials times the appropriate landfill rate (See Schedule SWL). The Solid Waste Department will establish rates to recover the cost of service for unlisted container sizes. F. 6 CUBIC YARD COMPACTOR SERVICE Pickups per week Monthly Rental Collection Service Fee 1 $120.00 $146.00 $147.00 per month 2 $120.00 $418.00 $420.00 per month 3 $120.00 $717.00 $700.00 per month G. SHARED COMMERCIAL CONTAINERS Shared commercial container customers must have at least one (1) cubic yard of service per customer per week. The use of shared commercial containers shall be determined by the Solid Waste Department staff. Rates will include the additional monitoring, billing, and administrative costs associated with this service. H. MINIMUM COMMERCIAL CHARGE A minimum charge of $17.75 $19.75 per monthly refuse bill will be charged to all non-cart commercial solid waste customers. Should any other fees and/or charges be established by any other authorized governmental entity, those fees and/or charges will be added to the monthly rate stated hereinabove in order that the city shall recover those additional costs. Shared accounts are subject to other applicable service fees. Customers on commercial cart service where fully automated collection service cannot be provided will be charged an additional $2.00 per month per cart for providing semi- automated or manual collection service. J. BILLING Commercial accounts will either be billed monthly or bi-weekly, depending upon the discretion of the General Manager, Solid Waste Services. K. SPECIAL WASTE Texas Municipal Solid Waste Management Regulations and is conditional upon the waste requested for disposal. Acceptance of special waste is subject to Federal and State laws andregulations, and the City of Denton has the right to refuse to accept or collect special waste at their discretion. Charges, approved by the General Manager, Solid Waste, for the collection and disposal of special waste, will be established based on the type of special waste, and the requirements for collection and disposal of the waste. L. SERVICE REQUIREMENTS AND CHARGES Equipment Use: The Equipment, whether one or more pieces, furnished by the City, shall at all times be considered the property of the City. Customer shall keep the Equipment free and clear of all levies, liens and encumbrances. Customer shall not modify the Equipment or use it for any purpose other than as set forth herein. The City shall repair, as necessary, the Equipment(s) furnished. The Customer, however, agrees to be solely responsible for any damages to or loss of Equipment resulting from any negligent acts or misuse by the Customer or Customer's agents or employees, or invitees. The City may temporarily replace the size and/or the type of Equipment contracted for with one or more pieces of Equipment(s) of equivalent capacity for the purposes of repairing the Equipment. Customer agrees that the Equipment is in the Customer's care, custody, and control at all times. Equipment Location: Customer shall provide an accessible location for the Equipment that is safe and provides adequate and legal clearance. This means that for a radius of at least five (5) feet around the Equipment there will be no objects or obstructions other than enclosures that meet City-required clearance standards. No container shall be set closer than two (2) feet to any structure (exception: a bollard in an enclosure). Additionally, the path twenty-five (25) feet is required for roll-off containers, and twenty (20) feet for front and side load containers. Failure to maintain or provide these minimum clearances will result in Customer will be solely responsible for providing access to the Equipment at all times, and agrees that Customer shall not be relieved of payment of any charges for Services continuous prescribed access to the Equipment. Outside of normal wear and tear, the maintenance required to place the Container at another location will be charged to the Customer. Indemnification and Hold Harmless. Customer agrees that the City will not be liable to Customer. Customer shall defend, indemnify and hold the City harmless from any and all all claims made by any other person having an interest in the property situated at the Service location, for any loss, damage or deterioration of the pavement, surface or subsurface that are used to Service the Equipment. Customer agrees to release, indemnify, defend and hold harmless the City of Denton, Texas from and against any and all claims for damages to enclosures or screening devices, from solid waste Equipment which do not have an access opening of at least twelve (12) feet inside diameter (ID) for front-load Equipment; and fifteen (15) feet (ID) for roll-off Equipment. Customer further agrees to release, indemnify, defend and hold harmless the City of Denton, Texas, from and against any and all claims of damages related to the furnishing of commercial solid waste service performed by the City. A delivery fee of $90.00 $95.00 per container will be charged to all customers for roll-off containers. A delivery fee of $75.00 per container will be charged to all customers for front load or side load containers. A relocation fee of $90.00 $95.00 will be charged for each roll-off container that is relocated at the customer's site, unless relocation occurs during a service. Front load and side load container relocations are charged $75.00 per service. A $50.00 fee will be charged for each request for same day service. The Solid Waste Department Customer service personnel must receive on-demand service requests prior to 11:00 A.M. on the day service is requested in order to provide same day collection service. An access fee will be charged for containers that present accessibility problems, and/or require additional services or time. Containers that are inaccessible at the time of collection will be charged an inaccessible fee of $90.00$95.00 for roll-off containers and $75.00 for all other containers. On-site waiting time will be charged in fifteen (15) minute increments at the rate of $85.00 per hour. container locks. Loaded side-load containers shall not exceed a total weight of one ton. Loaded front-load containers shall not exceed a total weight of two tons. Any container evaluated by the level determined by the collection manager prior to being serviced. Tickets and/or fines for overweight roll- customer, and shall be paid by the customer. Televisions, monitors, video displays, electronic devices and certain appliances containing cathode ray tubes, LCD displays or plasma displays will be charged $20.00 per device for the collection, processing and disposal of these devices. certified r collection and disposal of each appliance and/or the associated materials. There is no charge if the customer provides a certificate of documentation from an approved business qualified for disposal. If the Solid Waste Department is not provided a certificate of removal, the $50.00 charge per item will be assessed if the customer requests services through the Solid Waste Department. Other commercial services may be provided at fees established by the Solid Waste Department, and approved by the General Manager, Solid Waste Services. The fees established will recoup the costs and administration of the special services provided. For containers, a commercial solid waste service deposit is required. Customers shall be assessed a deposit of $150.00, for up to four containers. Deposits for additional containers are $50 per container. Payments to the City that are not received within the due date will increased during the next billing cycle. The deposit increase will be based upon the customers billing history. To continue receiving service, the customer is required to remit the previous service balance owed and the increased deposit charges. The General Manager, Solid Waste Services, or designee, may waive the deposit SCHEDULE SWCR COMMERCIAL RECYCLING SERVICES (Effective 10/01/08) APPLICATION Owners and managers of various multi-family living units, businesses, commercial and institutional businesses, and properties receiving commercial solid waste collection services are subject to receive a refuse audit to determine if they generate enough commercial recyclables to warrant receiving commercial recycling services. Commercial recycling services are available to specific commercial customers only. QUALIFICATION Commercial recycling is not available for all multi-family living units and commercial and institutional businesses operating within the City of Denton. The General Manager, Solid Waste Services or designee will evaluate interested and solicited commercial businesses and the projected volume of recyclable materials from these businesses to determine if commercial recycling services justify being provided. MONTHLY RATES Rates will recover the cost of service. Rates will vary by container size, frequency of collection service provided, and the commodity collected. be provided using either a fixed or demand response collection schedule. City of Denton Municipal Building Collections: Cart Curb collection $17.25 $18.25 per bill Cart Building collection $19.25 $20.25 per bill Recycling Container Delivery: Front Load $75.00 each Roll-Off $90.00 $95.00 each Commercial Collections: 8 CY 1 x week $99.00 $104.00 per bill 8 CY 1 x every two weeks or less $89.00 $94.00 per bill 8 CY Extra empty (per container) $99.00 $104.00 each 6 CY 1 x week $82.00 $86.00 per bill 6 CY 1 x every two weeks or less $72.00 $76.00 per bill 6 CY Extra empty (per container) $82.00 $86.00 each Small Business Curbside Recycling $4.00 $4.30 per bill Demand Response (Temporary) - 8 CY: Rental (Per month) $30.00 $32.00 per bill Service (While on route) $27.50 $29.00 each Roll-Off Recycling * 30 CY: Rental $100.00 $118.00 per bill Service (per collection) $250.00 per bill * Possible revenue sharing opportunity with commercial entity Special Events Recycling: Small Events 10 collapsible, portable receptacles $49.00 $52.00 per event Dumpster Package 1 x 8 CY dumpster service, plus 10 collapsible, portable receptacles $99.00 $104.00 per event Dumpster Package Extra 8 CY empty $99.00 $104.00 each The General Manager, Solid Waste Services may establish rates for additional sizes and levels of service. MINIMUM BILLING The minimum billing required is the amount of service provided and applicable for each billing period. Shared commercial container customers must have at least one (1) cubic yard of service per customer per week. The use of shared commercial containers shall be determined by the Solid Waste Department staff. Rates will include the additional monitoring, billing, and administrative costs associated with this service. BILLING Commercial accounts will either be billed monthly or bi-weekly, depending upon the discretion of the General Manager, Solid Waste Services. ACCEPTABLE RECYCLABLE MATERIALS Acceptable materials depend on local commodities markets and will be mutually agreed upon by the commercial recycling customer and the City. NON-ACCEPTABLE MATERIALS Only materials mutually agreed upon by the commercial recycling customer and the City are acceptable in the provided recycling container. The owner/manager of the commercial entity is the party responsible for notifying his/her personnel of proper recycling procedures. RIGHT OF LOAD REFUSAL The City reserves the right to refuse recycling loads containing any materials other than the contracted material. If a load is refused as recycling by the City, it will be handled as municipal solid waste (MSW) and incur both the contracted recycling charges as well as associated commercial solid waste disposal rates. OTHER CHARGES All other solid waste services performed will be charged at listed solid waste rates, or at fees established to recoup the costs and administration of the services provided. RECYCLABLE MATERIALS SALES Recyclable glass, plastic, metals, wood, and fiber materials may be sold at no less than forty-five percent of the current market index price. SCHEDULE SWC&D CONSTRUCTION, DECONSTRUCTION, AND DEMOLITION MATERIALS SERVICES (Effective 10/01/08) APPLICATION Applicable for construction, deconstruction, and demolition sites where the customer requests the City of Denton provide roll-off collection services for the recycling and reuse of the salvaged materials. ACCEPTABLE RECYCLABLE MATERIALS Acceptable materials depend on local commodities markets and will be mutually agreed upon by the commercial recycling customer and the City. RATES Rates are established for roll-off collection and transportation services of the listed materials and any other mutually agreed upon materials for which recyclable and reuse markets exist. Collection services for materials not provided for under this Schedule SWC&D may be provided by the City at fees established by the General Manager, Solid Waste Services. Such fees shall be established that will recover the operational costs, administrative costs, and any other direct or indirect costs incident to the services provided. a) Container Rental: $100.00 / month (20 CY for C&D materials) $118.00 / month (30 CY for C&D materials) Trash containers will be charged standard refuse rental rates. b) Collection Service: $250.00 / haul (Demand Response) c) Disposal, Processing, Transfer, Handling, Marketing Fees: i. Metal * (clean): ** ii. Wood * (clean): $20.00 / ton for recycling via composting; ** iii. Concrete / block / brick * (clean): $5.00 / CY; ** iv. Cardboard * (clean): ** v. Trash: $37.00 / ton d) C & D volume charges for uncontaminated loads of mixed or sorted recyclables *: Uncompacted $7.00 / CY * Contaminated loads will be charged a disposal rate of $37.00 / ton. ** Pricing for materials not provided for under this Schedule SWC&D may be provided by the City at fees established by the General Manager, Solid Waste Services. Such fees shall be established that will recover the operational costs, administrative costs, and any other direct or indirect costs incident to the services provided. MINIMUM BILLING The minimum billing required is the amount of service provided and applicable for each billing period. BILLING Customer accounts will either be billed monthly or bi-weekly, depending upon the discretion of the General Manager, Solid Waste Services. SCHEDULE SWP COLLECTION AND TRANSPORTATION SERVICES PERMIT (Effective 10/01/08) APPLICATION Any person, entity, or business engaged in the collection and transport of waste or recyclables, including but not limited to municipal solid waste, special wastes, hazardous wastes, liquid wastes, and those wastes or recyclables the city does not collect and transport, must possess a current permit issued from the city prior to providing collection and transportation services in the city limits of Denton. Permits for collection and transportation services are required for, but are not limited to, the following wastes and recyclables classifications: Special Waste Medical Waste Hazardous Waste Restaurant Oil and Grease Waste Grease & Grit Trap Waste Commercial and Industrial Recyclable Materials Residential Recyclable Materials Construction and Demolition (C&D) waste, recyclables, reusables, and discarded C&D materials Waste and recyclable collection service providers operating in newly annexed areas, or contract service providers for the city The person applying for a permit will make application through the City on forms provided for that purpose, and shall pay the required application fees at the time of permit application. Application, service, and container fees must be paid prior to the issuance of the permit. Fees calculated as a percentage of gross revenues will be paid to the City a minimum of quarterly. All permits are non-transferable and are granted as non-exclusive service permits. Granting permits will be at the discretion of the City to meet the needs of the community. The permit applicant must pay the required fees, and meet all permit requirements prior to the issuance of a permit. GRANTING OF PERMIT As a condition of granting a permit, permitee agree to execute and comply with all requirements of the service agreement, carry specific types and amounts of insurance, submit reports, and timely pay the necessary fees. Following the granting of a permit, permit stickers will be issued by the City and placed on all vehicles operating within the city limits of Denton and on all containers placed within the city limits of Denton. Collection and transportation vehicles operating in Denton, and containers set in Denton, are required to display a current and valid calendar year permit sticker. City staff, after reviewing the permit application and agreement, and after conducting any necessary research, may issue the permit, issue the permit with conditions, or deny the issuance of the permit. The City will establish the number of permits to be issued in each materials category. EXCLUSIONS Individuals living within the city limits of Denton, and hauling personal materials, wastes, or recyclables from their primary living residence are exempt from this requirement. Any person who transports applicable materials three or fewer times per year, shall register with the City on the forms provided for that purpose. No annual service fees are required, but registration and permitting through the City is required. FEES Application fees are payable at the time of application submittal and shall be submitted to the City upon submittal of the application. Application, service, and container fees are due and payable prior to the issuance of a permit. Application, service, and container fees are non-refundable. Service and container fees are non-transferable between vehicles and containers, and are unit specific. Service fees based on a percentage of gross revenues are due quarterly and require payment to the City within thirty (30) calendar days following the end of each calendar quarter. Interest charges, late charges, and other fees will accrue for delinquent quarterly payments. st Permits are issued annually and are effective from January 1 or the date of issuance, whichever is st later, through December 31 of the same calendar year. The permit application process should be initiated and fees should be paid as early as possible during the last quarter of each calendar year for the upcoming calendar year, so that adequate time is available for review and processing of the st application materials. Early submittal of applications, by December 1, will eliminate the possibility st of permits being issued after January 1. Container fees apply to each container placed by the permitee within the City limits of Denton, and non-city owned containers serviced by the city, but do not apply to residential refuse carts. Containers are defined as any refuse containment equipment, which can be lifted and emptied using a special vehicle designed for that use, i.e. which are not emptied manually. Container fees are established at $3.00 $4.00 for each cubic yard of container capacity, per container, per calendar year. Containers will not be placed in a street, alley, or city right-of-way (ROW). If an exception exists, and a container is placed in a street, alley, or city ROW, an additional ROW usage fee will be assessed of $3.00 $4.00 per cubic yard of container capacity per month (not prorated) for as long ers require a container permit fee regardless if the container is or is not placed on the ground. Fees applicable for wastes and recyclables are listed below. A. Special Waste Collection and Transportation Permit 1. Application Fee: $1,000 annually. 2. Service Fee: $1,000 per vehicle for vehicles manufactured after January 1, 2007 with 2007 Federal Emissions compliant diesel engines or CNG alternate fuel engines (for vehicles manufactured from January, 2003 through December, 2006 an additional per vehicle fee of $750 will be assessed; for vehicles manufactured before January, 2003 an additional per vehicle fee of $1,500 will be assessed) annually and 4% of Gross Revenue from services provided within the city limits [the 4% shall be paid quarterly.] B. Medical Waste Collection and Transportation Permit 1. Application Fee: $1,000 annually. 2. Service Fee: $1,000 per vehicle for vehicles manufactured after January 1, 2007 with 2007 Federal Emissions compliant diesel engines or CNG alternate fuel engines (for vehicles manufactured from January, 2003 through December, 2006 an additional per vehicle fee of $750 will be assessed; for vehicles manufactured before January, 2003 an additional per vehicle fee of $1,500 will be assessed) annually and 4% of Gross Revenue from services provided within the city limits [the 4% shall be paid quarterly.] C. Hazardous Waste Collection and Transportation Permit 1. Application Fee: $1,000 annually. 2. Service Fee: $1,000 per vehicle for vehicles manufactured after January 1, 2007 with 2007 Federal Emissions compliant diesel engines or CNG alternate fuel engines (for vehicles manufactured from January, 2003 through December, 2006 an additional per vehicle fee of $750 will be assessed; for vehicles manufactured before January, 2003 an additional per vehicle fee of $1,500 will be assessed) annually and 4% of Gross Revenue from services provided within the city limits [the 4% shall be paid quarterly.] D. Restaurant Oil and Grease Waste Collection and Transportation Permit Grease & Grit Trap Waste Collection and Transportation Permit 1. Application Fee: $500 annually. 2. Service Fee: $100 $1,000 per vehicle for vehicles manufactured after January 1, 2007 with 2007 Federal Emissions compliant diesel engines or CNG alternate fuel engines (for vehicles manufactured from January, 2003 through December, 2006 an additional per vehicle fee of $750 will be assessed; for vehicles manufactured before January, 2003 an additional per vehicle fee of $1,500 will be assessed) annually and 4% of Gross Revenue from services provided within the city limits [the 4% shall be paid quarterly.] E. Commercial Recycling Materials Collection and Transportation Permit 1. Application Fee: $500 annually. 2. Service Fee: $1,000 per vehicle for vehicles manufactured after January 1, 2007 with 2007 Federal Emissions compliant diesel engines or CNG alternate fuel engines (for vehicles manufactured from January, 2003 through December, 2006 an additional per vehicle fee of $750 will be assessed; for vehicles manufactured before January, 2003 an additional per vehicle fee of $1,500 will be assessed) annually and 4% of Gross Revenue of the market value of recycled materials or of services provided within the city limits [the 4% shall be paid quarterly.] 3. Container Fee of $3.00 $4.00 per cubic yard, per container, annually. 4. If applicable, a Right-of-Way Fee of $3.00 $4.00 per cubic yard, per container, per month. F. Residential Recycling Materials Collection and Transportation Permit 1. Application Fee: $500 annually. 2. Service Fee: 4% of Gross Revenue from services provided within the city limits [the 4% shall be paid no less than quarterly.] G. Construction and Demolition (C&D) Collection and Transportation Permit a. Large C&D Operators: 1. Application Fee: $500 annually. 2. Service Fee: $100 $1,000 per vehicle for vehicles manufactured after January 1, 2007 with 2007 Federal Emissions compliant diesel engines or CNG alternate fuel engines (for vehicles manufactured from January, 2003 through December, 2006 an additional per vehicle fee of $750 will be assessed; for vehicles manufactured before January, 2003 an additional per vehicle fee of $1,500 will be assessed) annually and 4% of Gross Revenue from services provided within the city limits [the 4% shall be paid quarterly.] 3. Container Fee of $3.00 $4.00 per cubic yard, per container, annually. 4. If applicable, a Right-of-Way Fee of $3.00 $4.00 per cubic yard, per container, per month. b. Small C&D Operators: Transporters with no more than three vehicles, including trailers, in which each vehicle does not have a Gross Vehicle Weight Rating (GVWR) of more than 14,000 pounds, and with less than five service locations, will be charged: 1. Application Fee: $100 annually. 2. Service Fee: $50 $100 per vehicle annually and 4% of Gross Revenue from services provided within the city limits [the 4% shall be paid quarterly.] 3. Container Fee of $3.00$4.00 per cubic yard, per container, annually. 4. If applicable, a Right-of-Way Fee of $3.00 $4.00 per cubic yard, per container, per month. H. Municipal Solid Waste (MSW) Collection and Transportation Permit Available only to companies that provide solid waste services in newly annexed areas for specific periods of time, or are contract service providers for the city. 1. Application Fee: $500 annually. 2. Service Fee: $1,000 per vehicle for vehicles manufactured after January 1, 2007 with 2007 Federal Emissions compliant diesel engines or CNG alternate fuel engines (for vehicles manufactured from January, 2003 through December, 2006 an additional per vehicle fee of $750 will be assessed; for vehicles manufactured before January, 2003 an additional per vehicle fee of $1,500 will be assessed) annually and 4% of Gross Revenue from services provided within the city limits [the 4% shall be paid no less than quarterly.] I. Non-City Owned Refuse Container Permit For non-city owned refuse containers serviced by the city, the container owner shall pay a container permit fee of $3.00 $4.00 per cubic yard, per container, annually, billed on the solid waste service bill. SMALL OPERATORS The following waste categories of applicants may additionally qualify as Small Operators for the purposes of this rate schedule, and shall be charged the Small Operator rates provided below: Special Waste Medical Waste Hazardous Waste Restaurant Oil and Grease Grease & Grit Trap Waste The above listed categories of applicants with less than five service locations within the City of Denton, and operating with a total fleet of less than three vehicles, including trailers, in which each vehicle does not have a Gross Vehicle Weight Rating (GVWR) of more than 14,000 pounds, will be subject to the following Small Operator rates: a. Application Fee: $200 annually. b. Service Fee: $100 $400 per vehicle annually. c. If applicable, container fees of $3.00 $4.00 per cubic yard, per container, annually. d. If applicable, a Right-of-Way fee of $3.00 $4.00 per cubic yard, per container, per month for containers in the public R-O-W. SERVICE FEE CALCULATIONS Any fee which requires a calculation of a percentage of revenue, or of materials sales, or of services provided requires that the calculation be provided, with complete financial detail, to the City along with the Service Fee payment to the City. This written financial disclosure shall provide a detailed explanation of how all calculated Service Fees were determined, and shall be provided to the City either quarterly or monthly, at each required Service Fee payment period. INTEREST CHARGES, LATE CHARGES the City will incur interest and late charges on all quarterly payment amounts not received by the City during the month following the end of the quarter. All quarterly payments are to be received by the City during the months listed below: Quarter Payment Received by City in Month January March April April June July July September October October December January Payments not received during the month in which they are due will begin incurring interest charges of 1½ % per month, or the maximum percentage allowed by law, whichever is lower, on the unpaid Service Department. Late payments past due beyond the month in which they are due, will PENALTIES / NO OPERATIONS DECLARATION A business which has not been permitted by the City to operate within the city limits of Denton; or has been suspended by the City from operating within the city limits of Denton, Texas shall be charged a sum of up to $500.00 per day by the City, for each day of violation of this ordinance, if Denton permit, or period is considered a separate violation and the service provider is subject to being charged a sum of up to $500.00 for each day of violat and prior to a service provider being reinstated to legally operate within the City limits of Denton, the service provider must meet with the City staff to update their application and agreement and make payment of all monies owed to the City. uses a container which has not been permitted, or operates any piece of equipment with an expired permit, or performs some other permit violation, or does not make payment of the appropriate fees assess all applicable permit violation fees. Once a service provi required to cease. Following a meeting with the City staff, and the payment of all monies owed the City, the status of the permit will be determined. REVOCATION OR NON-RENEWAL OF PERMITS If the City finds any requirement of the permit to have not been met, or violated, or observes thereby requiring the service provider to cease all operations within the city limits of Denton. RECLASSIFICATION OF RECYCLABLES Recyclables containing five-percent or more contamination, as determined by the City, will be considered refuse, and its collection may not be provided by service providers permitted under this ordinance. This material shall be reclassified as refuse and will be collected by the City of Denton. The General Manager, Solid Waste Services or his designee, will make the final determination on cause the reclassification of these materials to municipal solid waste (MSW), thereby negating the operating permit as per this ordinance. TERM AND RENEWAL All collection and transportation permits shall be valid for each calendar year, and for not more than one calendar year from the date of issuance. Permittees shall provide make a written application for renewal a minimum of thirty days prior to the permit expiration to prevent a possible lapse in permitted services. The renewal application will update the information provided in the initial application. Applications for renewal shall be processed in the same manner as an initial application. All renewal fees are required to be paid prior to reissuing the permit for the upcoming calendar year. SCHEDULE SWL SANITARY LANDFILL SERVICES (Effective 10/1/08) A. MUNICIPAL SOLID WASTE (MSW) DISPOSAL RATES: Gate Rate - MSW $41.00 / ton _____________________________________________ Wholesale Rate - MSW $23.00 / ton Wholesale customers of greater than 3,000 annual tons may receive discounts for guaranteed delivery volumes. Pricing for special waste streams will be established by the General Manager, Solid Waste Services at a rate to fully recover costs. acceptance criteria - $18.00 per ton Volume based rates may be charged based on the gross body volume capacity of a hydraulically dumped commercial vehicle(s). MSW C&D Uncompacted $7.30 $7.70 / cubic yard $6.90 $7.50 / cubic yard Compacted $8.10 / cubic yard - Uncontaminated Construction and Demolition (C&D) materials, meeting City of Denton screening criteria, will be accepted on a per ton or cubic yardage basis. Rates charged will be based on the quantity and quality of materials to be delivered. The current State of Texas landfill surcharge of (30 TAC 330.602) $1.25 per ton is included in the above disposal rates. Any additional assessment or fees established by a government entity will be added to the disposal rates and assessed on all waste delivered to the landfill. B. MINIMUM LANDFILL CHARGE There shall be a $15.00 $17.00 minimum charge per load for all materials delivered to the landfill. C. MIXED LOADS Customers bringing mixed loads of municipal solid waste, yard waste, and bulky items to the landfill will be charged the applicable rate, or rates to cover the cost to handle wastes of various types, characteristics, and amounts. D. TIRES Charge / Whole Tire Charges for tires not shredded or quartered: 1. Automobile and Pickup tires $5.00 $7.00 2. Commercial and Industrial truck tires $7.00 $9.00 3. Off-road tires with > $15.00 $18.00 E. YARD WASTE 1. Whole trees and stumps $48.75 $50.00 / ton 2. Clean bagged or un-bagged grass, leaves $16.25 $20.00 / ton 3. Clean bagged or un-bagged grass, leaves, $27.00 $30.00 / ton All contaminated yard waste in this category will be charged a MSW disposal rate. F. APPLIANCES AND CERTAIN ELECTRONICS F certified removal documentation is provided, there will be a $50.00 charge per appliance. Televisions, monitors, video displays, electronic devices and certain appliances containing cathode ray tubes, LCD displays or plasma displays will be charged $15.00 per device for the collection, processing and disposal of these devices. G. INERT MATERIALS Inert Materials (Clean) $10.00/ CY For large volume projects in excess of 100 cubic yards: $5.00 / CY Asphalt/Concrete: Inert materials include clean and uncontaminated loads of millings, concrete, asphalt, road-base, or similar materials, which may be recycled. The posted inert materials rate will be charged, or rates to cover the cost to handle various types, characteristics, and amounts of these and other acceptable inert materials. Periodically these Brick/Block: Clean and uncontaminated brick and block will be accepted at the landfill at no charge. H. SAND, SELECT SOIL, AND ROCK The Solid Waste Department may sell excess sand, select soil, and rock to the public. Rates per Cubic Yard (CY) Gross Volume City Loaded: Sand Select 1.0 50.0 Cubic Yards () $5.00 $7.00 51.0 Greater $3.00 $4.00 Customer Loaded Materials: 51.0 Greater $2.00 $3.00 Materials Delivery Fees (City Limits): $100.00 per load own vehicles, will be required liability insurance coverage. Large volume sales and the actual rates charged will require pre-approval by the General Manager, Solid Waste. The soils must be excess to the needs of the Solid Waste Department. Pricing for special soils will be established by the General Manager, Solid Waste at a rate to fully recover costs. If available, rocks will be sold on a weight basis, at $5.00 per hundred weight. I USED CONTAINER SALES The Solid Waste Department will sell used metal containers and used surplus carts from time to time, as they become available for sale. Used surplus large carts will be sold for $15.00 each, with an adjustment for condition, and their projected useful life. Other size carts will be sold based on a pro-rata adjustment for the plastic content. J. SPECIAL WASTE AND OTHER WASTE STREAMS The acceptance by the landfill of and the disposal of special waste or other waste is conditional. Acceptance of special waste or other waste is subject to Federal and State laws and regulations. The City of Denton has the right to refuse to accept or dispose of special waste or other waste at its discretion.Charges for the disposal of special waste or other waste will be established based on the type, characteristics, and amounts of waste, as well as the requirements for disposal of the waste. Such charges shall be established by the General Manager, Solid Waste, or designee. K. UNSECURED LOADS In compliance with State regulations, solid waste loads that are not adequately secured to prevent the material from spilling will be charged an Unsecured Load Charge of $20.00 for each load. L. OTHER CHARGES Other landfill services that are not otherwise listed under this Schedule SWL, may be provided by the City at fees established by the General Manager, Solid Waste. Such fees shall be established that will recover the operational costs, administrative costs, and any other direct or indirect costs incident to the non-listed landfill services. M. BILLING Landfill accounts will either be billed monthly or bi-weekly, upon the discretion of the General Manager, Solid Waste Services. SECTION 2: The General Manager of Solid Waste of the City of Denton is hereby authorized to deny the use of the City of Denton landfill to any customer who provides false information regarding the origin of, or the composition of the solid waste delivered for disposal to the landfill; or for safety violations committed by a customer within the landfill; or for non-compliance with verbal and written instructions provided to the customer by Solid Waste Department personnel at the landfill; or for nonpayment of delinquent funds owed by the customer to the City of Denton, Texas; or for any violation of the law committed by the customer within the landfill; or for any non- compliance by the customer with the Texas Commission on Environmental Quality regulations or policies; or for any non- or rules; or for any violation of the written landfill rules by the customer as posted by the Solid Waste Department at the entrances to the landfill, from time to time. SECTION 3: It is in the public interest that the provisions of Sections 26-3, 26-4, 26-5, 26-7, 26- 8(a), and 26-9 of Article I of Chapter 26 of the City of Denton Code of Ordinances shall expressly apply to City of Denton Solid Waste service. SECTION 4: All ordinances or parts of ordinances in force when the provisions of this ordinance became effective which are inconsistent, or in conflict with the terms or provisions contained in this ordinance are hereby repealed to the extent of any such conflict. SECTION 5: If any section, subsection, paragraph, sentence, clause, phrase, or word in this ordinance, or the application thereof to any person or under any circumstances is held invalid by any court of competent jurisdiction, such holding shall not affect the validity of the remaining portions of this ordinance, and the City Council of the City of Denton, Texas, hereby declares it would have enacted such remaining portions despite any such invalidity. SECTION 6: This ordinance shall become effective, charged, and applied to all solid waste services rendered by the City of Denton on and after October 1, 2008; and a copy of said rates, fees, and charges shall be maintained on file in the Office of the City Secretary of Denton, Texas. PASSED AND APPROVED this the _________ day of ______________________, 2008. __________________________________ MARK A. BURROUGHS, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY By: __________________________________ APPROVED AS TO LEGAL FORM: JOHN KNIGHT, INTERIM CITY ATTORNEY By: __________________________________ 804 Texas Street *Denton, Texas 76209* (940) 349-8424 * Fax (940) 349-8492 Fleet Services Department, Mike Ellis, Fleet Superintendent MEMORANDUM DATE: August 29, 2008 TO: Jon Fortune, Assistant City Manager FROM: Mike Ellis, Fleet Superintendent SUBJECT: Compressed Natural Gas During the August 7, 2008 City Council budget worksession, the Mayor inquired about the CCompressed Natural Gas (CNG) and wanted to know if the new fuel facility site would be CNG compatible. Over the past few years the City has looked at many alternative fuel and green technology options. As it relates to CNG specifically, the City has experienced some limitations in its implementation as a viable alternative fuel. For example, Honda is the only auto manufacture that offers CNG as a factory option. All other CNG vehicles are using aftermarket technology. This had led to the loss of warranties on some vehicles as a result of the installation of the after-market technology. The use of CNG also offers some challenges associated to the special equipment and facilities necessary to maintain the vehicles as well as finding dealers that will support the vehicles. As for other options, I feel that efforts and resources are better utilized in hybrid electric vehicles, hydraulic launch assist vehicles, vehicles that can use E85 (15% unleaded with 85% ethanol), and propane vehicles. The Citycurrently has thirty-one propane vehicles, nine hybrid electric vehicles, and two dedicated electric vehicles. Staff is also working with Peterbilt on medium and heavy duty hybrid technology. This will allow the City to use green technology in a large portion of our fleet operations from dump trucks down to small utility trucks. The hybrid electric vehicles will reduce fuel consumption by 30% on a dump and utility truck, and up to 80% on a bucket truck. In order to support state and local air quality goals, staff continues to request and purchase all City vehicles and equipment to meet the Clean Fleet Ordinance (Ordinance No. 2006-013) passed by City Council in 2006. AGENDA INFORMATION SHEET AGENDA DATE: September 9, 2008Questions concerning this acquisition may be directed DEPARTMENT: Materials Management to Tom Shaw 349-7133 ACM: Jon Fortune SUBJECT Consider adoption of an Ordinance accepting competitive bids and awarding an annual contract for the rental of heavy equipment for various City of Denton departments; providing for the expenditure of funds therefor; and providing an effective date (Bid 4121-Annual Contract for Rental of Heavy Equipment awarded to the lowest responsible bidder meeting specification for each item in the estimated annual amount of $750,000). BID INFORMATION This bid is for the annual contract to supply the rental of heavy equipment to all City departments. From time to time, the City of Denton has a need for heavy equipment to supplement our fleet. This annual agreement will allow us quick access to expensive equipment without the delay of the bid process. In addition, the annual agreement for multiple items lends itself to more competitive pricing than incidental usage. No guarantee of any minimal usage is part of this agreement and each rental will have an individual purchase order. The equipment list consists of the most commonly used sizes and types of heavy equipment. RECOMMENDATION We recommend award of this bid to the lowest responsible bidder meeting specification for each item as listed on Exhibit A of the ordinance for an estimated annual amount of $750,000. The award for each item will based upon monthly rate plus delivery and pickup rate. No bids were received for items 32,40,43,53,57 and 58; therefore they will not be awarded. The only bid received for item 5 did not meet specification; therefore item 5 will not be awarded. The lower price offered by various vendors for items 4,6,7,12,14,16,17,18,21,23,24,25,35,42,45,and 65 did not meet specifications for horse power and/or size requirements. The using department has determined that by not meeting specification, the lower offering would not perform the task required. PRINCIPAL PLACE OF BUSINESS B&R Equipment Co. Bane Machinery Equipment Support Services Keller, TX Keller, TX Euless, TX Agenda Information Sheet September 9, 2008 Page 2 PRINCIPAL PLACE OF BUSINESS Howard-McAnear Equipment Hertz Equipment Rental Landmark Equipment, Inc. Fort Worth, TX Frisco, TX Irving, TX Neff Rentals, Inc. Nichols Bobcat of Denton Romco Equipment Co. Saginaw, TX Denton, TX Dallas, TX United Rentals/Denton United Rentals/Fort Worth T-K-O Equipment Co. Denton, TX Fort Worth, TX Irving, TX ESTIMATED SCHEDULE OF PROJECT This price agreement will be in effect for a period of one year from the date of award and may be extended for additional one-year periods if agreed to by both parties with all pricing, terms and conditions remaining the same. FISCAL INFORMATION These items will be charged to the using departments as needed. EXHIBITS Exhibit 1: Bid Tabulation Respectfully submitted: Tom Shaw, C.P.M., 349-7100 Purchasing Agent 1-AIS-Bid 4121 ORDINANCE NO. __________ AN ORDINANCE ACCEPTING COMPETITIVE BIDS AND AWARDING AN ANNUAL CONTRACT FOR THE RENTAL OF HEAVY EQUIPMENT FOR VARIOUS CITY OF DENTON DEPARTMENTS; PROVIDING FOR THE EXPENDITURE OF FUNDS THEREFOR; AND PROVIDING AN EFFECTIVE DATE (BID 4121-ANNUAL CONTRACT FOR RENTAL OF HEAVY EQUIPMENT AWARDED TO THE LOWEST RESPONSIBLE BIDDER MEETING SPECIFICATION FOR EACH ITEM IN THE ESTIMATED ANNUAL AMOUNT OF $750,000). WHEREAS, the City has solicited, received and tabulated competitive bids for the purchase of necessary materials, equipment, supplies or services in accordance with the procedures of State law and City ordinances; and WHEREAS, the City Manager or a designated employee has reviewed and recommended that the herein described bids are the lowest responsible bids for the materials, equipment, supplies or services as shown in the "Bid Proposals" submitted therefor; and WHEREAS, the City Council has provided in the City Budget for the appropriation of funds to be used for the purchase of the materials, equipment, supplies or services approved and accepted herein; NOW, THEREFORE, THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: SECTION 1. The numbered items in the following numbered bids for materials, equipment, supplies, or services, shown in the "Bid Proposals" on file in the office of the City Purchasing Agent, are hereby accepted and approved as being the lowest responsible bids for such items: ITEM NUMBER VENDOR AMOUNT 16, 17, 18, 27 Bane Machinery Exhibit A 3, 4, 6, 7, 9, 11, 24, 25, 33, 36, B&R Equipment Co. Exhibit A 38, 39, 42, 44, 52 10, 12, 28, 49, 50, 63, 65 Hertz Equipment Rental Exhibit A 22, 46 Equipment Support Services Exhibit A 2 Howard-McAnear Equipment Exhibit A 20 Neff Rentals Inc. Exhibit A 60, 61, 62 Landmark Equipment, Inc. Exhibit A 21, 26, 29, 30, 35, 54, 55, 56, 59 Romco Equipment Co. Exhibit A 1, 8, 13, 14, 15, 23, 31, 37, 45, 48 T-K-O Equipment Co. Exhibit A 51 19, 64, 66 United Rentals/Denton Exhibit A 34, 41, 47 United Rentals/Fort Worth Exhibit A 67, 68, 69 Nichols Bobcat of Denton Exhibit A SECTION 2. By the acceptance and approval of the above numbered items of the submitted bids, the City accepts the offer of the persons submitting the bids for such items and agrees to pur- chase the materials, equipment, supplies or services in accordance with the terms, specifications, standards, quantities and for the specified sums contained in the Bid Invitations, Bid Proposals, and related documents. SECTION 3. Should the City and the winning bidder(s) 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 a written contract in accordance with the terms, conditions, specifications, standards, quantities and specified sums contained in the Bid Proposal and related documents and to extend that contract as determined to be advantageous to the City of Denton. SECTION 4. By the acceptance and approval of the above enumerated bids, the City Council hereby authorizes the expenditure of funds therefor in the amount and in accordance with the approved bids. SECTION 5. This ordinance shall become effective immediately upon its passage and approval. PASSED AND APPROVED this day of , 2008. ______________________________ MARK A. BURROUGHS, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: APPROVED AS TO LEGAL FORM: JOHN M. KNIGHT, INTERIM CITY ATTORNEY BY: _________________________________ 3-ORD-BID 4121 AGENDA INFORMATION SHEET AGENDA DATE: September 9, 2008Questions concerning this acquisition may be directed DEPARTMENT: Materials Management to Jim Coulter 349-7194 ACM: Jon Fortune SUBJECT Consider adoption of an Ordinance authorizing the City Manager or his designee to execute a Professional Services Agreement with the firm of Chiang Patel and Yerby, Inc. to provide design services for the City of Denton Pecan Creek Water Reclamation Plant Peak Flow Storage Basin and Pump Station; authorizing the expenditure of funds therefor, and providing an effective date (File 4132 in an amount not to exceed $160,188). (The Public Utilities Board approved this item by a vote of 5-0). FILE INFORMATION This item is for the design of the South Peak Flow Storage Basin and Lift Station at the Pecan Creek Water Reclamation Plant. A complete description of the project is included in the attached Public Utilities Board Agenda Information Sheet (Exhibit 1). PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS) The Public Utilities Board approved this item at its August 25, 2008 meeting. RECOMMENDATION Approve a Professional Service Agreement between the City of Denton and Chiang, Patel and Yerby, Inc. in the amount of $160,188. PRINCIPAL PLACE OF BUSINESS Chiang, Patel and Yerby, Inc. Dallas, TX ESTIMATED SCHEDULE OF PROJECT The design and construction of this project is estimated to be completed by the spring of 2010. Agenda Information Sheet September 9, 2008 Page 2 FISCAL INFORMATION This item will be funded from account 640132537.1360.21100. EXHIBITS Exhibit 1: Public Utilities Board Agenda Information Sheet without Exhibits. Respectfully submitted: Tom Shaw, C.P.M., 349-7100 Purchasing Agent 1-AIS-File 4132 Exhibit 1 PUBLIC UTILITIES BOARD AGENDA ITEM #1 AGENDA INFORMATION SHEET AGENDA DATE : August 25, 2008 DEPARTMENT : Utility Administration ACM: Howard Martin, 349-8232 SUBJECT Consider recommending approval of the engineering services proposal from the firm of Chiang, Patel & Yerby Inc., for design services for the South Peak Flow Storage Basin and Lift Station at the Pecan Creek Water Reclamation Plant in the amount of $160,188. BACKGROUND During dry weather conditions the wastewater flows are transported in the sewer lines without surcharging the collection system, and the Pecan Creek Water Reclamation Plant (PCWRP) influent pump station is able to pump these flows into the treatment process. However, during wet weather conditions greater infiltration of groundwater into sewer lines due to saturated ground conditions, and inflow of rain water into manholes, broken cleanouts etc., increases the flow in sewer lines stressing the wastewater collection system carrying capacity. Also, the pumping capacity of the PCWRP influent pump station cannot keep up with the influent flow during wet weather conditions. The wastewater collection system conveyance capacity for Denton is computed using a computer model. This conveyance capacity is determined for a 5-year storm event. Based on the modeling results the 5-year storm event peak wet weather flow for the Year 2008 condition is 54 mgd, and for the Year 2030 condition it is 105 mgd. Whereas the dry weather flow for 2008 is 14 mgd, and for 2030 it is 25.4 mgd. The existing PCWRP wastewater influent pump station can pump up to 44 million gallons per day (mgd), and the PCWRP can treat up to 46 mgd during the peak 2-hour wet weather flow. As noted above, the 5-year storm peak flow for Year 2008 is projected at 54 mgd. In the event of a storm of this magnitude the plant influent pump station cannot pump and the plant can not treat this magnitude of flow. To alleviate this infrequent storm induced peak flow condition, the accepted method is to temporarily store the excess flows in excess of the plant treatment capacity. This temporarily stored wastewater is then slowly brought back into the sewer system when the storm flows have subsided and the plant can handle the wastewater flows. To this end the wastewater collection system was modeled with a wet weather peak flow pump station in combination with a wet weather storage basin for the 5-year storm event. From this modeling the pump station capacity and the storage volume of the wet weather basin were determined. The wet weather peak flow pump station and the storage basin project is included in the 2008 impact fee update. The construction cost of the project as included in the impact fee study is $2,125,995. The engineering firm Chiang, Patel & Yerby, Inc. (CP&Y) is currently working on updating the permit for the landfill. The location of the proposed storage pond and pumping station is within the current landfill permit. Also, the discharge channel from the permitted detention pond for the landfill and a gas monitoring well will need to be relocated to AIS PUB Agenda Item #1 August 25, 2008 Page 2 of 2 accommodate the proposed wastewater facilities. So for better coordination of the landfill and the wastewater project, staff requested a proposal from CP&Y. The engineer has submitted a Scope of Work and Cost Proposal (Exhibit 2) for the design of the wet weather project. The engineering design estimated at $160,188. This amounts to 7.53 percent of the estimated construction cost and favorably compares to 11 percent as normally budgeted. Staff has reviewed the engineers proposal and finds it meets the requirements of the project and is cost efficient. RECOMMENDATION Staff recommends approval of the engineering services proposal from Chiang, Patel & Yerby Inc. PRIOR ACTION/REVIEW (Council, Boards, Commissions) None FISCAL INFORMATION $500,000 is included in bond funds in the current fiscal year for design, and excavation of the storage pond by city crews (Exhibit 3). DATE SCHEDULED FOR COUNCIL APPROVAL September 9, 2008 EXHIBITS 1. Map 2. 3. FY2008 & FY2009 CIP Detail Sheet Respectfully submitted: Jim Coulter Director of Water/Wastewater Utilities Prepared by: P. S. Arora, P.E. Assistant Director of Wastewater Utilities ORDINANCE NO._________________ AN ORDINANCE AUTHORIZING THE CITY MANAGER OR HIS DESIGNEE TO EXECUTE A PROFESSIONAL SERVICES AGREEMENT WITH THE FIRM OF CHIANG PATEL AND YERBY, INC. TO PROVIDE DESIGN SERVICES FOR THE CITY OF DENTON PECAN CREEK WATER RECLAMATION PLANT PEAK FLOW STORAGE BASIN AND PUMP STATION; AUTHORIZING THE EXPENDITURE OF FUNDS THEREFOR, AND PROVIDING AN EFFECTIVE DATE (FILE 4132 IN AN AMOUNT NOT TO EXCEED $160,188). WHEREAS, entioned in this ordinance is being selected as the most highly qualified on the basis of its demonstrated competence and qualifications to perform the proposed professional services; and WHEREAS, The fees under the proposed contract are fair and reasonable and are consistent with and not higher than the recommended practices and fees published by the professional provided by law; NOW, THEREFORE, THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: SECTION I. The City Manager is hereby authorized to enter into a professional service contract with Chiang Patel and Yerby, Inc., to provide professional design services for the South Peak Flow Storage Basin and Lift Station at the Pecan Creek Water Reclamation Plant, a copy of which is attached hereto and incorporated by reference herein. SECTION II. The City Manager is authorized to expend funds as required by the attached contract. SECTION III. The findings in the preamble of this ordinance are incorporated herein by reference. SECTION IV. This ordinance shall become effective immediately upon its passage and approval. PASSED AND APPROVED this the day of ,2008. ______________________________ MARK A. BURROUGHS, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY:_________________________________ APPROVED AS TO LEGAL FORM: JOHN M. KNIGHT, INTERIM CITY ATTORNEY BY: _________________________________ 3-ORD-File 4132 1 DRAFT MINUTES 2 PUBLIC UTILITIES BOARD 3 August 25, 2008 4 5 After determining that a quorum of the Public Utilities Board of the City of Denton, Texas was 6 present, and after convening an Open Meeting, the Chair of the Public Utilities Board convened 7 into an Closed Meeting on Monday, August 25, 2008 at 9:05 a.m. in the Service Center Training 8 Room, City of Denton Service Center, 901-A Texas Street, Denton, Texas. 9 Present: 10 Chair Charldean Newell, Dick Smith, Phil Gallivan, John Baines and Bill Grubbs 11 Absent 12 : Bill Cheek and Randy Robinson, both excused 13 14 Ex Officio Members: 15 George C. Campbell, excused 16 Howard Martin, ACM Utilities 17 OPEN MEETING: 18 19 CONSENT AGENDA: 20 21 22 has had an opportunity to raise questions regarding these items prior to consideration. 23 Board Member John Baines pulled Item 1 for individual consideration. 24 25 ITEMS FOR INDIVIDUAL CONSIDERATION 26 : 27 28 1) Consider recommending approval of the engineering services proposal from the firm of 29 Chiang, Patel & Yerby Inc., for design services for the South Peak Flow Storage Basin and 30 Lift Station at the Pecan Creek Water Reclamation Plant in the amount of $160,188. 31 32 Board Member John Baines asked if this was a new project and if it was not, what were the prior 33 year costs, who were the previous contractors, and how many times did this particular contractor 34 have this contract. P.S. Arora, Assistant Director of Wastewater Utilities, replied that this item 35 was not a repeat item. It was a new project; therefore there were no prior costs or contractor(s). 36 ACM Howard Martin replied that this vendor had been used in other areas of the organization 37 but there were no preexisting contracts with PC&Y in the Wastewater area. 38 Board Member Bill Grubbs moved to approve Item 1 with a second from Board Member 39 Phil Gallivan. The motion was approved by a 5-0 vote. 40 41 42 The meeting ended at 11:45 a.m. 43 AGENDA INFORMATION SHEET AGENDA DATE: September 9, 2008Questions concerning this acquisition may be directed DEPARTMENT: Materials Management to Jim Coulter 349-7194 ACM: Jon Fortune ______________________________________________________________________________ SUBJECT Consider adoption of an Ordinance of the City of Denton, Texas providing for, authorizing, and approving the expenditure of funds for the purchase of traffic controller and video equipment for the City of Denton Traffic Department, which is available from only one source in accordance with the pertinent provisions of Chapter 252 of the Texas Local Government Code exempting such purchases from the requirements of competitive bidding; and providing an effective date (File 4154-to Paradigm Traffic Systems, Inc. in the estimated amount of $350,000). FILE INFORMATION This item is for the purchase of traffic signal controllers and video equipment for the City of Denton Traffic Control Department to match existing cameras and controllers utilized to balance traffic flow through high volume intersections. Traffic Control currently uses only Econolite Solo Pro video cameras and Econolite controllers because of system compatibility. Other controller and video manufactured products are not able to link up and communicate with our master controller system and software packages. A list of the intersections that are scheduled for installation is included as Exhibit 1. Paradigm Traffic System, Inc. is the exclusive distributor of Econolite Control Products in the State of Texas; therefore, this is a sole source acquisition. Section 252.022 of the Local Government Code provides that procurement of items that are only available from one source, do not have to be competitively bid. RECOMMENDATION Award the purchase of traffic signal controllers and video equipment to Paradigm Traffic Systems, Inc. in the estimated amount of $350,000. Although quantities may vary, the unit pricing shown on the attached quote (Exhibit 3) is valid through May 31, 2009. PRINCIPAL PLACE OF BUSINESS Paradigm Traffic Systems, Inc. Fort Worth, Texas Agenda Information Sheet September 9, 2008 Page 2 ESTIMATED SCHEDULE OF PROJECT The equipment can be delivered and installed within 30-45 days of receipt of an order. FISCAL INFORMATION This item will be funded from individual project accounts as intersections are scheduled for installation. EXHIBIT 1 Exhibit 1: List of Proposed Intersections Exhibit 2: Sole Source Letter Exhibit 3: Price List from Paradigm Traffic Systems, Inc. Respectfully submitted: Tom Shaw, C.P.M., 349-7100 Purchasing Agent 1-AIS-File 4154 ZÆÃÃ?3 ÌÎßÚÚ×Ý ÝÑÒÌÎÑÔÔÛÎ ÎÛÐÔßÝÛÓÛÒÌñ×ÒÍÌßÔÔßÌ×ÑÒ ×ÒÌÛÎÍÛÝÌ×ÑÒÍ Ý×Ð ÚËÒÜÛÜ ??£±±ª£ªÐ? ??£±±ªÕ´ ??£±±ªôÃ´£?Y ÍÌßÌÛ ÎÛ×ÓÞËÎÍÛÓÛÒÌ ×ÒÌÛÎÍÛÝÌ×ÑÒÍ â££?2,,?ñ1/ â££?2,,?Ü±±ª??ª â££?2,,?£±£?£ â££?2,,?ª?£ª¼£_ª?£ÃªÐ â££?2,,??Ãª´? â££?2,,?Â?ª? â££?2,,?Ü£? â££?2,,?ÜäÃªªY ÜÛÊÛÔÑÐÛÎ ÚËÒÜÛÜ ×ÒÌÛÎÍÛÝÌ×ÑÒÍ ¸ªÃ`?Ã?Y?ÆYT£?ÆªÆ ª ¸ªÃ`?Ã?Y?ÆYT£?ÆªÆ¢2Ãª???Ã£ª¡ ¼±Y?ôÃ´£?Y?´ ¼±Y??Ãª´? ÂÆYÕ´??Ãª´? ?Õ?Æ?Ãª???Ã£ª«Y?ÆªªøkªÃªÐ???«ÃªÈ Exhibit 2 Exhibit 3 ORDINANCE NO. ____________ AN ORDINANCE OF THE CITY OF DENTON, TEXAS PROVIDING FOR, AUTHORIZING, AND APPROVING THE EXPENDITURE OF FUNDS FOR THE PURCHASE OF TRAFFIC CONTROLLER AND VIDEO EQUIPMENT FOR THE CITY OF DENTON TRAFFIC DEPARTMENT, WHICH IS AVAILABLE FROM ONLY ONE SOURCE IN ACCORDANCE WITH THE PERTINENT PROVISIONS OF CHAPTER 252 OF THE TEXAS LOCAL GOVERNMENT CODE EXEMPTING SUCH PURCHASES FROM THE REQUIREMENTS OF COMPETITIVE BIDDING; AND PROVIDING AN EFFECTIVE DATE (FILE 4154-TO PARADIGM TRAFFIC SYSTEMS, INC. IN THE ESTIMATED AMOUNT OF $350,000). WHEREAS, Section 252.022 of the Local Government Code provides that procurement of items that are only available from one source, including; items that are only available from one source because of patents, copyrights, secret processes or natural monopolies; films, manuscripts or books; electricity, gas, water and other utility purchases; captive replacement parts or components for equipment; and library materials for a public library that are available only from the persons holding exclusive distribution rights to the materials; need not be submitted to competitive bids; and WHEREAS, the City Council wishes to procure one or more of the items mentioned in the above paragraph; NOW, THEREFORE, THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: SECTION 1. The following purchase of materials, equipment or supplies, as in, and on file in the office of the Purchasing Agent, and the license terms attached are hereby approved: FILE NUMBER VENDOR AMOUNT 4154 Paradigm Traffic Systems, Inc. Exhibit A SECTION 2. The acceptance and approval of the above items shall not constitute a contract between the City and the person submitting the quotation for such items until such person shall comply with all requirements specified by the Purchasing Department. SECTION 3. The City Manager is hereby authorized to execute any contracts relating to the items specified in Section 1 and the expenditure of funds pursuant to said contracts is hereby authorized. SECTION 4. This ordinance shall become effective immediately upon its passage and approval. PASSED AND APPROVED this the _________ day of ____________, 2008. ______________________________ MARK A. BURROUGHS, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: ______________________________ APPROVED AS TO LEGAL FORM: JOHN M. KNIGHT, INTERIM CITY ATTORNEY BY: _________________________________ 3-ORD-File 4154 Exhibit A AGENDA INFORMATION SHEET AGENDA DATE: September 9, 2008Questions concerning this acquisition may be directed DEPARTMENT: Materials Management to Phil Williams 349-8487 ACM: Jon Fortune SUBJECT Consider adoption of an Ordinance of the City of Denton, Texas providing for, authorizing, and approving the expenditure of funds for the rebanding upgrade of basic analog radios to digital comparable radios for the City of Denton Public Safety and Utility divisions, which is available from only one source in accordance with the pertinent provisions of Chapter 252 of the Texas Local Government Code exempting such purchases from the requirements of competitive bidding; and providing an effective date (File 4131-to Motorola, Inc. in the amount of $146,033.40). (The Public Utilities Board approved this item by a vote of 5-0). FILE INFORMATION For several years all of the Public Safety 800MHz license holders across the United States, like the City of Denton, have been plagued with interference problems caused by some cell phone providers. The Federal Communications Commission (FCC) has determined that Sprint/Nextel has been the cause of a majority of those interference problems and has mandated that they correct the problem. On July 8, 2004 the FCC passed order # FCC 04-168 which detailed how Sprint/Nextel would correct the interference problems they are causing to the 800 MHz Public Safety systems. The FCC determined they would take the 800MHz channels from Sprint/Nextel and give those channels to Public Safety and then allow Sprint/Nextel to move to channels higher in frequency to eliminate any chance of interference. The FCC named this process ebanding and mandated that Sprint/Nextel pay for a majority of the rebanding process for all of the 800MHz radio systems across the United States. In the FCC order it states that the 800MHz license holders who have older analog radios, that could not be rebranded, would have those units replaced with comparable equipment. At present, the City of Denton has 689 of the older style analog radios that reside in the Public Safety and Utility Departments, and would be entitled to a newer analog comparable replacement radio. This replacement unit would be an analog radio at the lowest tiered Motorola replacement possible and will be provided at no cost to the City of Denton. The order also states that the rebanding process be broken into 4 implementation waves and would be moving from east to west with Texas being in wave 2. Agenda Information Sheet September 9, 2008 Page 2 FILE INFORMATION (CONTINUED) Spending an additional $146,033.40 will allow the City of Denton to upgrade those basic analog units to a digital capable radio, thereby minimizing the need to replace the units in a few years as the radio technology migrates to the newer digital platform. Additionally, Motorola will be requiring all customers to upgrade to the new digital format over the next few years as the radio systems change. This upgrade will also help standardize the radio fleet reducing the number of models therefore minimizing the number of batteries, software, and other parts needed to maintain these radios. Motorola, Inc. is the exclusive distributor of a proprietary software protocol called SmartNet Trunked Radio System; therefore this is a sole source acquisition. Section 252.022 of the Local Government Code provides that procurement of items that are only available from one source, do not have to be competitively bid. PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS) The Public Utilities Board approved this item at its August 25, 2008. RECOMMENDATION Approve the purchase of a portable and mobile digital rebanding upgrade from Motorola, Inc. in the amount of $146,033.40. PRINCIPAL PLACE OF BUSINESS Motorola, Inc. Schaumburg, IL ESTIMATED SCHEDULE OF PROJECT The rebanding upgrade is estimated to be completed by July 2010. FISCAL INFORMATION This item will be funded from account 6022174941.1350.3970. Requisition 88734 has been entered in the Purchasing software system. Agenda Information Sheet September 9, 2008 Page 3 EXHIBITS Exhibit 1: Quote from Motorola Exhibit 2: Sole Source Letter Respectfully submitted: Tom Shaw, C.P.M., 349-7100 Purchasing Agent 1-AIS-File 4131 Attachment 2 ORDINANCE NO. ____________ AN ORDINANCE OF THE CITY OF DENTON, TEXAS PROVIDING FOR, AUTHORIZING, AND APPROVING THE EXPENDITURE OF FUNDS FOR THE REBANDING UPGRADE OF BASIC ANALOG RADIOS TO DIGITAL COMPARABLE RADIOS FOR THE CITY OF DENTON PUBLIC SAFETY AND UTILITY DIVISIONS, WHICH IS AVAILABLE FROM ONLY ONE SOURCE IN ACCORDANCE WITH THE PERTINENT PROVISIONS OF CHAPTER 252 OF THE TEXAS LOCAL GOVERNMENT CODE EXEMPTING SUCH PURCHASES FROM THE REQUIREMENTS OF COMPETITIVE BIDDING; AND PROVIDING AN EFFECTIVE DATE (FILE 4131-TO MOTOROLA, INC. IN THE AMOUNT OF $146,033.40). WHEREAS, Section 252.022 of the Local Government Code provides that procurement of items that are only available from one source, including; items that are only available from one source because of patents, copyrights, secret processes or natural monopolies; films, manuscripts or books; electricity, gas, water and other utility purchases; captive replacement parts or components for equipment; and library materials for a public library that are available only from the persons holding exclusive distribution rights to the materials; need not be submitted to competitive bids; and WHEREAS, the City Council wishes to procure one or more of the items mentioned in the above paragraph; NOW, THEREFORE, THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS: SECTION 1. The following purchase of materials, equipment or supplies, as and the license terms attached are hereby approved: FILE NUMBER VENDOR AMOUNT 4131 Motorola $146,033.40 SECTION 2. The acceptance and approval of the above items shall not constitute a contract between the City and the person submitting the quotation for such items until such person shall comply with all requirements specified by the Purchasing Department. SECTION 3. The City Manager is hereby authorized to execute any contracts relating to the items specified in Section 1 and the expenditure of funds pursuant to said contracts is hereby authorized. SECTION 4. This ordinance shall become effective immediately upon its passage and approval. PASSED AND APPROVED this the _________ day of ____________, 2008. ______________________________ MARK A. BURROUGHS, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: ______________________________ APPROVED AS TO LEGAL FORM: JOHN M. KNIGHT, INTERIM CITY ATTORNEY BY: _________________________________ 3-ORD-File 4131 1 DRAFT MINUTES 2 PUBLIC UTILITIES BOARD 3 August 25, 2008 4 5 After determining that a quorum of the Public Utilities Board of the City of Denton, Texas was 6 present, the Chair of the Public Utilities Board convened into an Open Meeting on Monday, 7 August 25, 2008 at 9:05 a.m. in the Service Center Training Room, City of Denton Service 8 Center, 901-A Texas Street, Denton, Texas. 9 Present: 10 Chair Charldean Newell, Dick Smith, Phil Gallivan, John Baines and Bill Grubbs 11 Absent 12 : Bill Cheek and Randy Robinson, both excused 13 14 Ex Officio Members: 15 George C. Campbell, excused 16 Howard Martin, ACM Utilities 17 OPEN MEETING: 18 19 CONSENT AGENDA: 20 21 22 has had an opportunity to raise questions regarding these items prior to consideration. 23 Board Member John Baines pulled Item 2 for individual consideration. 24 25 ITEMS FOR INDIVIDUAL CONSIDERATION 26 : 27 28 2) Consider recommending approval for the purchase of the Portable and Mobile Digital 29 Rebanding Upgrade from Motorola in a not to exceed amount of $146,033.40. 30 31 Harry Hettinger, Communications Superintendent, stated that the Motorola upgrade would be a 32 one-time project. Because Sprint/Nextel had, for several years, caused interference problems, 33 the FCC required rebanding of channels and mandated that Sprint/Nextel pay for a majority of 34 the Rebanding process for all 800MHz radio systems. Hettinger stated that Nextel would pay the 35 City of Denton sixty-six percent of its cost for rebanding. Board Member John Baines asked if 36 this was for all DME employees. Hettinger replied that it was for DME and Utilities. Board 37 Member Bill Grubbs asked if this also affected Police and Fire. Hettinger replied that Police and 38 Fire had already upgraded a few year ago. 39 Board Member Bill Grubbs moved to approve Item 2 with a second from Board Member 40 Dick Smith. The motion was approved by a 5-0 vote. 41 42 43 The meeting ended at 11:45 a.m. 44 AGENDA INFORMATION SHEET AGENDA DATE: September 9, 2008 DEPARTMENT: Economic Development CM: George C. Campbell SUBJECT Consider adoption of an ordinance of the City of Denton, Texas, approving a Third Amendment to an Economic Development Program Grant Agreement dated November 27, 2001 between the City of Denton and Denton Crossing Partners Ltd., which was duly assigned to DCTIRZ, L.L.C.; and providing an effective date. BACKGROUND The City of Denton originally entered into a Chapter 380 Economic Development Program Grant Agreement with Hunt Properties, developer of the Denton Crossing retail center on Loop 288 in 2001. In return for the construction of public infrastructure, the developers of this 52 acre, $50 million project received a grant that equals one-half penny of the sales tax generated by the development for a period of 20 years or a total amount of $7.25 million plus interest, whichever comes first. The agreement provides that upon completion of the required public infrastructure and 350,000 square feet of retail space, the grantee may sell the property and/or the rights to the grant without consent of the City. Staff is requesting approval of the attached amendment to provide accurate documentation for future grant payments. The following transactions and amendments have occurred: November 2001 Original contract approved with Hunt Properties for Denton Crossing Chapter 380 Economic Development Grant Program Agreement January 2003 Hunt Properties assigned the grant agreement to ORIX/Hunt Denton Venture, an Illinois limited general partnership. (Amendment 1) October 2004 ORIX/Hunt sold the property to a retail management/development company, Inland Western Denton Crossing Limited Partnership. September 2006 A second amendment acknowledged the sale of the property to Inland Western, confirmed that the Grantee had met all required thresholds of the agreement and clarified certain definitions and conditions in the agreement. (Amendment 2) August 2008 ORIX/Hunt assigned all of its rights, title and interest to the grant to DCTIRZ, LLC, a Texas Limited Liability Company. FISCAL INFORMATION There will be no fiscal impact as a result of this amendment. The amendment merely changes the name and location of the recipient of the grant payments. - 1 - EXHIBITS Ordinance Chapter 380 Economic Development Grant Agreement Amendment 3 Respectfully submitted, _______________________________ Linda Ratliff, Director Economic Development Department - 2 - S:\Our Documents\Ordinances\08\Denton Crossing 380 3rd Amendment.doc ORDINANCE NO. ______________ AN ORDINANCE OF THE CITY OF DENTON, TEXAS, APPROVING A THIRD AMENDMENT TO AN ECONOMIC DEVELOPMENT PROGRAM GRANT AGREEMENT DATED NOVEMBER 27, 2001 BETWEEN THE CITY OF DENTON AND DENTON CROSSING PARTNERS LTD. WHICH WAS DULY ASSIGNED TO DCTIRZ, L.L.C.; AND PROVIDING AN EFFECTIVE DATE. THE COUNCIL OF THE CITY OF DENTON HERBY ORDAINS: SECTION 1. The City Manager, or his designee, is hereby authorized to execute a Third Amendment to the Economic Development Program Grant Agreement (the “Amendment”), in substantially the form of the Amendment which is attached hereto and made a part of this Ordinance for all purposes. SECTION 2. The City Manager, or his designee, is authorized to exercise the City of Denton’s rights and duties as set forth in the Amendment. SECTION 3. This Ordinance shall become effective immediately upon its passage and approval. PASSED AND APPROVED this the _________ day of ___________________, 2008. __________________________________ MARK A. BURROUGHS, MAYOR ATTEST: JENNIFER WALTERS, CITY SECRETARY BY: __________________________________ APPROVED AS TO LEGAL FORM: JOHN M. KNIGHT, INTERIM CITY ATTORNEY BY: _________________________________ CITY OF DENTON CITY COUNCIL MINUTES July 15, 2008 After determining that a quorum was present, the City Council convened in a Work Session on Tuesday, July 15, 2008 at 3:00 p.m.in the Council Work Session Room at City Hall. PRESENT: Mayor Burroughs; Mayor Pro Tem Kamp; Council Members Heggins, Moreno, Mulroy, Thomson, and Watts. ABSENT: None 1.Staff responded to requests for clarification of agenda items listed on the agenda for July 15, 2008. 2.The Council received a report, held a discussion and gave staff direction on amendments we to Subchapters 14 and 23 of the Denton Development Code. The amendmentsre regarding the following items: parking requirements for duplexes; revisions to the definitions of a structure and accessory structures; and provide definitions for flatwork and principal structure. The Planning and Zoning Commission recommended approval (6-0). Mark Cunningham, Director of Planning and Development, stated that staff had proposed several amendments to the Denton Development Code. The amendments included the following: 1. Parking requirements for duplexes – According to the Development Code, there were no restrictions on the number of bedrooms allowed in a duplex. Also, since a duplex was considered a single family structure, developers were required to provide only two off street parking spaces. The development of duplexes with four or more bedrooms would create parking and traffic problems. Staff recommended that one additional parking space be required for each additional bedroom over three bedrooms. 2. Definition of a structure – The City’s Code Enforcement Department had received numerous complaints regarding the use of shipping containers and other portable storage units such as PODs. These containers were not currently regulated by the Code. Staff recommended a revision to the Code to regulate the location, require screening, and place a time limit on these containers. Staff was proposing a revision to the definition of “structure” to include shipping containers and PODs. These containers would be regulated similar to an accessory structure and subject to the requirements of the DDC. In addition, a temporary use permit would be required prior to placement to administer a time limit. 3. Definition of accessory structures – Currently the Development Code listed perimeter fences and/or walls and swimming pools as examples of accessory structures. What this meant was that any proposed perimeter fences and/or walls could not be put up without a primary structure being on the property. Staff recommended that perimeter fences and/or walls and swimming pools should not be listed in the definition of accessory structures. Consensus of the Council was to proceed with approval of an ordinance. City of Denton City Council Minutes July 15, 2008 Page 2 3.The Council received a report, held a discussion and gave staff direction regarding nominations/appointments to the City’s boards and commissions. Betty Williams, Director of Administrative Services, briefed the Council on the board and commission nomination and appointment process and reviewed the timeline with them. Consensus of the Council was to proceed with the process. Following the completion of the Work Session, the City Council convened in a Closed Meeting at 3:31 p.m. to consider the items listed below under the Closed Meeting section of this agenda. 1.Closed Meeting: A. Consultation with Attorney – Under Texas Government Code Section 551.071; and Deliberations regarding Real Property – Under Texas Government Code Section 551.072. 1. Discussed, deliberated, considered, received information from Staff and provided Staff with direction pertaining to valuation of affected land tracts (U.S. Highway 380 Utility Relocations – Bonnie Brae to Elm Street). Consultation with the City’s attorneys regarding legal issues associated with the acquisition of the easement tracts necessary along U.S. Highway 380 (West University Drive), where a public discussion of these legal matters would conflict with the duty of the City’s attorneys to the Public Utilities Board under the Texas Rules of Disciplinary Conduct of the State Bar of Texas, or would jeopardize the City’s legal position in any administrative proceedings or potential litigation. 2. Deliberated the purchase and value of real property interests for Public Parks and Recreation purposes in the B.B.B. & C. Railroad Company Survey, Abstract Number 160, and being an approximate 196.467 acre portion of Tract II located at the North West Corner of the intersection of Allred Road and Bonnie Brae Street, Denton, Texas; which acquisition is for a public purpose. Received legal advice from the City Attorney or his staff concerning legal issues regarding the acquisition and/or condemnation of such real property interests. B. Deliberations regarding Certain Public Power Utilities: Competitive Matters – Under Texas Government Code Section 551.086. 1. Received a briefing and information pertaining to certain competitive electric matters including, without limitation: present and future maintenance issues, financial issues, operational issues, reliability issues, and any related issues concerning the City’s interest in, and its business relationship with the Texas Municipal Power Agency; and discussed, deliberated, considered, and provided Staff as well as the Denton City Council with direction regarding such matters. City of Denton City Council Minutes July 15, 2008 Page 3 C. Consultation with Attorney – Under Texas Government Code Section 551.071. 1. Considered and held a discussion related to a briefing from City’s Attorneys, relating to claims, potential claims, and settlement thereof for matters pertaining to JNC Partners Denton, LLC v. City of Denton, including legal advice related to future annexation, zoning, subdivision controls, plat applications, annexation plans, development agreements, annexation agreements, service plans, utility service, water rights, permitting and other legal issues related to the future development of land, as proposed by JNC Partners Denton, LLC. 2. Consultation with the City’s attorneys to provide an update regarding legal issues and remedies associated with the biodiesel program, and litigation styled City of Denton v. Biodiesel Industries, Inc., et al., Cause No. 4:08- cv-00173, currently pending in the U.S. District Court, Eastern District, Sherman Division. 3. Consultation with the City’s attorney regarding legal issues pertaining to the existing agreement between the City of Denton and Charter Communications regarding the Denton Television Network (DTV). A public discussion of these legal matters would conflict with the duty of the City’s attorneys to the City Council under the Texas Disciplinary Rules of Professional Conduct of the State Bar of Texas. 4. Consultation with the City’s attorneys regarding legal issues pertaining to the Meet & Confer Agreement with the Fire Department. A public discussion of these legal matters would conflict with the duty of the City’s attorneys to the City Council under the Texas Disciplinary Rules of Professional Conduct of the State Bar of Texas. Regular Meeting of the City of Denton City Council on Tuesday, July 15, 2008 at 6:30 p.m. in the Council Chambers at City Hall. 1.PLEDGE OF ALLEGIANCE The Council and members of the audience recited the pledge of allegiance to the U.S. and Texas flags. 2.PROCLAMATIONS/PRESENTATIONS A.Proclamations/Awards Charles Emery, Denton County Transportation Authority, presented a proclamation of appreciation to Mark Burroughs. B.July Yard of the Month Awards City of Denton City Council Minutes July 15, 2008 Page 4 Mayor Burroughs presented Yard-of-the-Month Awards to: Jeff Jeffus, 707 Cordell Pam and Randy Bleigh, 2119 Jacqueline Drive Jan Clountz, 212 Meadow Lane Greenhouse Restaurant, 600 N. Locust Dennis and Cathy Loccisano, 1018 Hopkins Drive Robbie & Lisa McCarty, 1901 Burning Tree Lane Ben & Catherine Whitlock, 1022 Wilson Street 3. CONSENT AGENDA Mayor Burroughs reviewed the items to be considered on the Consent Agenda. Thomson motioned, Heggins seconded to approve the Consent Agenda and accompanying ordinances and resolutions. On roll vote, Kamp “aye”, Heggins “aye”, Moreno “aye”, Mulroy “aye”, Thomson “aye”, Watts “aye”, and Mayor Burroughs “aye”. Motion carried unanimously. A.2008-141 – An ordinance directing the publication of Notice of Intention to issue Certificates of Obligation of the City of Denton totaling $10,685,000; and providing for an effective date. B.A request for an exception to the Noise Ordinance for amplified sound on Sunday, July 27, 2008, for the Texas Bicycle Racing Association’s event hosted by the Greater Denton Sports Commission. The event will be held from 8:00 a.m. until 7:00 p.m. and will cover several of the downtown streets. Public address system will be used to make announcements and conduct the races. The request is for an exception to the Noise Ordinance for amplified sound on Sunday. C.2008-142 – An ordinance authorizing the City Manager or his designee to execute a Real Estate Contract between the City of Denton and Larry & Maureen Meyer, and any other documents necessary to acquire approximately 1.944 acres situated in the E. Morris Survey, Abstract No. 160, said Tract being Lot 1, Block A, of the Tejas Testing Addition Final Plat, Filed June 29, 1994, in Cabinet K, Page 255 of the Real Property Records of Denton County, Texas; authorizing the expenditure of funds; and providing an effective date. D.2008-143 – An ordinance electing for the City of Denton, Texas, to make current service and prior service contributions to the City’s account in the municipal accumulation fund of the Texas Municipal Retirement System at the actuarially determined rate of total employee compensation; and providing an effective date. E.2008-144 – An ordinance of the City of Denton, Texas, approving and ratifying a Letter Agreement between the City of Denton and Texas Woman's University regarding the TWU Triathlon event; authorizing and ratifying the expenditure of funds in connection therewith; and providing an effective date. ($950) City of Denton City Council Minutes July 15, 2008 Page 5 F.2008-145 – An ordinance to the City of Denton, Texas authorizing the City Manager to execute a professional services agreement between the City of Denton and Weaver and Tidwell, L.L.P. for independent audits; authorizing the expenditure of funds; and providing an effective date (RFSP 4033–Audit Services awarded to Weaver and Tidwell, L.L.P. in the not to exceed amount of $141,000 for 2008, $145,500 for 2009 and $151,500 for 2010). The Audit/Finance Committee recommended approval (3-0). G.2008-146 – An ordinance accepting competitive bids and awarding a public works contract for the construction of the concrete pavement for the compost screening area and the large truck access and turnaround facility for the City of Denton Water/Waste Water Department; providing for the expenditure of funds therefor; and providing an effective date (Bid 3516–awarded to the lowest responsible bidder meeting specification, Floyd Smith Concrete, Inc. in the amount of $253,741). The Public Utilities Board recommended approval (4-0). H.2008-147 – An ordinance accepting sealed proposals and awarding a contract for the purchase of an Automatic Meter Reading Infrastructure System for Denton Municipal Electric; providing for the expenditure of funds therefor; and providing an effective date (RFSP 4000–Automatic Meter Reading Infrastructure System awarded to Trilliant Inc. in a five year amount not to exceed $1,598,284). The Public Utilities Board recommended approval (6-0). I.2008-148 – An ordinance accepting sealed proposals and awarding a contract for the purchase of an Interactive Voice Response System for Denton Municipal Electric; providing for the expenditure of funds therefor; and providing an effective date (RFSP 4008–Interactive Voice Response System for Denton Municipal Electric awarded to Milsoft Utility Solutions in the amount of $241,163.30). The Public Utilities Board recommended approval (6-0). J.2008-149 – An ordinance of the City Council repealing Ordinance No. 2008-128; awarding a three year contract for the purchase of temporary employment services for various City of Denton departments for the City of Denton; providing for the expenditure of funds therefor; and providing an effective date (Bid 4058–Three Year Contract for Temporary Employment Services awarded to Labor Finders in the annual estimated amount of $200,000 for an estimated three year total of $600,000). K.Approved tax refunds for the following property taxes: Tax Name Reason Amount Year 1. GE Capital Solutions DCAD Supplemental 2002 $ 1,932.80 Change 2. Sally Beauty Supply Company DCAD Supplemental 2006 $21,671.15 Change City of Denton City Council Minutes July 15, 2008 Page 6 L.2008-150 – An ordinance amending Chapter 26 entitled “Utilities” of the Code of Ordinances of the City of Denton, Texas, by the addition of Article X Entitled “Municipal Setting Designations”, regarding the local rules adopted by the City of Denton for Municipal Setting Designations; providing findings and definitions, providing for the prohibition of the use of designated groundwater in a municipal setting designation, providing for an application process for a municipal setting designation, providing for public meetings and hearings, providing for notice to persons within the affected community, providing for limitations on reapplication, providing for proof that response actions have been completed on a site, providing for a penalty not to exceed $2,000 for violations thereof; providing that a penalty shall be recoverable for each day a provision of this ordinance is violated, and each such violation shall be a separate offense; providing for a civil fine of not to exceed $1,000 per day for violations of this ordinance, together with other designated legal and equitable remedies that are available to the city; providing for a severability clause; providing for a savings clause, repealing all ordinances in conflict herewith; providing an open meetings clause; providing for city council approval thereof; providing for publication thereof; providing an effective date. The Public Utilities Board recommended approval (4-0). M.Approved the minutes of: June 2, 2008 June 3, 2008 June 10, 2008 June 17, 2008 N.2008-151 – An ordinance of the City of Denton, Texas to declare the intent to reimburse expenditures from the Unreserved Fund Balance of the Electric Fund with Utility System Revenue Bonds with an aggregate maximum principal amount equal to $5,000,000 so that Denton Municipal Electric can continue funding ongoing capital expenditures for expansion of the distribution and transmission electric facilities; and providing an effective date. O.2008-152 – An ordinance of the City of Denton, Texas to declare the intent to reimburse expenditures from the Unreserved Fund Balance of the General Fund with Certificates of Obligation with an aggregate maximum principal amount equal to $510,000 so that the Parks and Recreation Department can acquire land for a new regional park; and providing an effective date. P.2008-153 – An ordinance approving a Purchase and Sale Agreement between Petrus Investments, L.P. as Seller and the City of Denton, Texas as Purchaser for approximately 196.467 acres of land situated in the B.B.B. & C. Railroad Company Survey, Abstract No. 160, in the City of Denton, Denton County, Texas; authorizing the expenditure of funds; and providing an effective date. Q.2008-154 – An ordinance of the City of Denton, Texas to declare the intent to reimburse expenditures from the Unreserved Fund Balance of the General Fund with Certificates of Obligation with an aggregate maximum principal amount equal to $550,000 so that the Library Department can begin the South Branch Library Expansion; and providing an effective date. City of Denton City Council Minutes July 15, 2008 Page 7 R.2008-155 – An ordinance accepting competitive bids and awarding a public works contract for the renovation of the City of Denton South Branch Library; providing for the expenditure of funds therefor; and providing an effective date (Bid 4060–awarded to the lowest responsible bidder meeting specification, J.C. Commercial, Inc. in the amount of $1,792,777). 4.PUBLIC HEARINGS A. The Council continued a public hearing and considered adoption of an ordinance of the City of Denton, Texas updating Impact Fees by Amending Chapter 26, “Utilities,” Section 26-210 through Section 26-232 of the City of Denton Code of Ordinances; adopting revised Land Use Assumptions and Capital Improvements Plans for Water and Wastewater Impact Fees; establishing new service areas for water impact fees; establishing new maximum impact fees per service unit and impact fees to be collected; creating schedules for the assessment and collection of impact fees; repealing section 26-222 (d); amending section 26-226 regarding appeals; repealing conflicting ordinances and resolutions; providing for a severability clause; providing for a penalty not to exceed $2,000 for each violation thereof; and providing an effective date. Jim Coulter, General Manager of Water and Wastewater, stated that the City was required to do an update every five years on the impact fees. This was the second update. These fees were established in 1998. The Capital Improvements Advisory Committee approved the Land Use Assumptions and the 10-Year Capital Improvement Plan. The Public Utilities Board recommended that the wastewater impact fee in Zone 1 be lowered from $1,703 to $1,700. The PUB recommended that the wastewater impact fee in Zone 2 be lowered from $2,614 to $1,760. The current water impact fee was $3,155. The PUB recommended the use of two water impact fee zones: Zone 1 – $3,400 and Zone 2 – $4,000. The increase in the water impact fees in Zone 1 would help with Capital Improvement costs. The increase in fees in the Zone 2 area would help with starting to address some of the water issues that were in the southwestern part of the City. A lot of development was getting ready to begin but currently there was no infrastructure to provide water service. The Mayor reopened the public hearing. No one spoke during the public hearing. The Mayor closed the public hearing. The following ordinance was considered: 2008-156 AN ORDINANCE OF THE CITY OF DENTON, TEXAS UPDATING IMPACT FEES BY AMENDING CHAPTER 26, “UTILITIES,” SECTION 26-210 THROUGH SECTION 26-232 OF THE CITY OF DENTON CODE OF ORDINANCES; ADOPTING REVISED LAND USE ASSUMPTIONS AND CAPITAL IMPROVEMENTS PLANS FOR WATER AND WASTEWATER IMPACT FEES; City of Denton City Council Minutes July 15, 2008 Page 8 ESTABLISHING NEW SERVICE AREAS FOR WATER IMPACT FEES; ESTABLISHING NEW MAXIMUM IMPACT FEES PER SERVICE UNIT AND IMPACT FEES TO BE COLLECTED; CREATING SCHEDULES FOR THE ASSESSMENT AND COLLECTION OF IMPACT FEES; REPEALING SECTION 26- 222 (D); AMENDING SECTION 26-226 REGARDING APPEALS; REPEALING CONFLICTING ORDINANCES AND RESOLUTIONS; PROVIDING FOR A SEVERABILITY CLAUSE; PROVIDING FOR A PENALTY NOT TO EXCEED $2,000 FOR EACH VIOLATION THEREOF; AND PROVIDING AN EFFECTIVE DATE. Watts motioned, Heggins seconded to approve the ordinance. On roll vote, Kamp “aye”, Heggins “aye”, Moreno “aye”, Mulroy “aye”, Thomson “aye”, Watts “aye”, and Mayor Burroughs “aye”. Motion carried unanimously. B. The Council held a public hearing and considered adoption of an ordinance of the City of Denton, Texas regarding the rezoning of two tracts of land totaling approximately 38.445 acres of land from a Regional Center Residential 1 (RCR-1) zoning district to a Regional Center Commercial Downtown (RCC-D) zoning district. The property is located along the west side of I-35E, approximately 1,500 feet north of the intersection of Wind River Lane and Unicorn Lake Road and is legally described as a tract of land situated in the J. White Survey, Abstract Number 143 and the D. Lambert Survey, Abstract Number 784, Denton County, Texas; providing for a penalty in the maximum amount of $2,000.00 for violations, thereof, severability and an effective date. (Elk Springs, Z08-0006) The Planning and Zoning Commission recommended approval of the zoning change request (5-1) subject to an overlay district. Mark Cunningham, Planning and Development Director, stated that the applicant was requesting the rezoning to allow the property to be developed with a mix of land uses along the I-35 frontage. The uses would include a mix of commercial uses including office, retail and restaurant land use categories. The Planning and Zoning Commission recommended approval of the rezoning request subject to an overlay district with the following conditions - 1. 50-foot buffer of landscaping was required including the water features (existing pond), abutting the residential developments to the west (Southridge Estates) and to the south (Wind River Estates) with the right to install a walking trail and other complementary hardscape around the existing pond (including the area within the 50-foot buffer) in connection with a pedestrian easement; 2. No building within 100-feet of the residential developments to the west and to the south of the subject property should exceed a maximum building height of 40 feet; 3. The owner of the subject property would not remove the existing pond along the western boundary of the subject property abutting Southridge Estates; 4. The owner of the subject property (or its designee) would erect, at its expense, an 8 foot wrought iron fence with finials for the benefit of the homes to the west of the subject property which are directly across from and adjacent to the aforementioned pond. Cunningham stated that staff recommended denial based on the following: City of Denton City Council Minutes July 15, 2008 Page 9 1. There was no demonstrated need for the requested rezoning from RCC-D. The request was based on speculation. 2. Staff was concerned with the incompatibility with the existing adjoining residential development with regards to permitted uses and the scale of buildings. 3. Staff was concerned with unsustainable balance of uses should the rezoning take place. The Mayor opened the public hearing. The following individuals spoke during the public hearing. Jeremy Sain, 1102 Meadow Oaks, representing the applicant – support Steve McNeill, 2303 Bradwood Court, Arlington – support Larry Reichhart, 1608 E. Windsor – support Comment cards were received from the following individuals: Pam Grimes, 1829 Northlake Trail – support Virginia McNeill, 432 Fulton – support The Mayor closed the public hearing. Burroughs briefed the Council on how the current zoning was placed on the property. The following ordinance was considered: 2008-157 AN ORDINANCE OF THE CITY OF DENTON, TEXAS PROVIDING FOR A ZONING CHANGE OF TWO TRACTS OF LAND FROM A REGIONAL CENTER RESIDENTIAL 1 (RCR-1) ZONING DISTRICT CLASSIFICATION AND USE DESIGNATION TO REGIONAL CENTER COMMERCIAL DOWNTOWN (RCC-D) ZONING DISTRICT CLASSIFICATION AND USE DESIGNATION, SUBJECT TO AN OVERLAY DISTRICT; ENCOMPASSING 38.445 ACRES OF LAND LOCATED ALONG THE WEST SIDE OF I-35E, APPROXIMATELY 1,500 FEET NORTH OF THE INTERSECTION OF WIND RIVER LANE AND UNICORN LAKE ROAD, AND LEGALLY DESCRIBED AS ABSTRACT NUMBER 143 OF THE J. WHITE SURVEY AND ABSTRACT NUMBER 784 OF THE D. LAMBERT SURVEY, IN THE CITY OF DENTON, DENTON COUNTY, TEXAS; PROVIDING FOR A PENALTY IN THE MAXIMUM AMOUNT OF $2,000.00 FOR VIOLATIONS THEREOF, SEVERABILITY AND AN EFFECTIVE DATE. (Z08-0006) THE PLANNING AND ZONING COMMISSION RECOMMENDED APPROVAL OF THE ZONING CHANGE REQUEST (5-1) SUBJECT TO AN OVERLAY DISTRICT. Mulroy motioned, Watts seconded to approve the ordinance and incorporate the overlay district along with the conditions recommended by P&Z. On roll vote, Kamp “aye”, Heggins “aye”, Moreno “aye”, Mulroy “aye”, Thomson “aye”, Watts “aye”, and Mayor Burroughs “aye”. Motion carried unanimously. City of Denton City Council Minutes July 15, 2008 Page 10 C. The Council held a public hearing and considered adoption of an ordinance of the City of Denton, Texas, regarding amendments to Subchapters 14 and 23 of the Denton Development Code. The amendmentsare regarding the following items: parking requirements for duplexes; revisions to the definitions of a structure and accessory structures; and provide definitions for flatwork and principal structures; providing for a penalty in the maximum amount of $2,000.00 for violations thereof, severability and an effective date. The Planning and Zoning Commission recommended approval (6-0). (DCA08-0003, Development Code Amendments) Mark Cunningham, Director of Planning and Development, stated that staff had proposed several amendments to the Denton Development Code. The amendments included the following: parking requirements for duplexes, definition of a structure, and definition of accessory structures. The Mayor opened the public hearing. Bob Clifton, 730 Wainwright, spoke regarding accessory structures and asked staff to look at how artwork would be handled. The Mayor closed the public hearing. The following ordinance was considered: 2008-158 AN ORDINANCE OF THE CITY OF DENTON, TEXAS, AMENDING SUBCHAPTERS 14 AND 23 OF THE DENTON DEVELOPMENT CODE, REGARDING PARKING REQUIREMENTS FOR DUPLEXES; REVISIONS TO THE DEFINITIONS OF A STRUCTURE AND ACCESSORY STRUCTURES; PROVIDING DEFINITIONS FOR FLATWORK AND PRINCIPAL STRUCTURES; PROVIDING FOR A PENALTY IN THE MAXIMUM AMOUNT OF $2,000.00 FOR VIOLATIONS THEREOF, PROVIDING A SEVERABILITY CLAUSE; AND PROVIDING AN EFFECTIVE DATE. (DCA08-0003) THE PLANNING AND ZONING COMMISSION RECOMMENDS APPROVAL (6-0). Kamp motioned, Heggins seconded to approve the ordinance. On roll vote, Kamp “aye”, Heggins “aye”, Moreno “aye”, Mulroy “aye”, Thomson “aye”, Watts “aye”, and Mayor Burroughs “aye”. Motion carried unanimously. 5. ITEMS FOR INDIVIDUAL CONSIDERATION Tabled A. – Consideration of adoption of an ordinance of the City of Denton, Texas, for a zoning change from a Agriculture (A), Industrial Center General (IC-G), Neighborhood Residential 2 (NR-2), Regional Center Residential 1 (RCR-1), Community Mixed Use Employment (CM-E), and Planned Development 138 (PD-138) zoning districts to the Inspiration Master Planned Community (MPC) zoning district classification and use designation; the area for zoning change encompasses 3,331 acres of land located on both sides of I-35W between Robson Ranch Road and Vintage Boulevard and is legally described as certain tracts of land in the E. Pizono Survey, Abstract Number 1269, G. Pettingale Survey, Abstract Number 1041, J. City of Denton City Council Minutes July 15, 2008 Page 11 Taft Survey, Abstract Number 1269, G. West Survey, Abstract Number 1393, B.B.B. & C. Railroad Company Survey, Abstract Number 158, S. Pritchett Survey, Abstract Number 1021 and the McCutchin Lands known as Pilot Knob Ranch in the City of Denton, Denton County, Texas, providing for a penalty in the maximum amount of $2,000.00 for violations thereof, severability and an effective date. (MPC07-0001, Inspiration) The Planning and Zoning Commission recommended approval (7-0). The Mayor stated that this item was tabled to allow for commentary or negotiation as to several points with the developer and residents and to seek a response back to the Council. Thomson motioned, Kamp seconded to remove the item from the table. On roll vote, Kamp “aye”, Heggins “aye”, Moreno “aye”, Mulroy “aye”, Thomson “aye”, Watts “aye”, and Mayor Burroughs “aye”. Motion carried unanimously. Heggins motioned, Kamp seconded to allow limited discussion of ten minutes per side to address the issues. On roll vote, Kamp “aye”, Heggins “aye”, Moreno “aye”, Mulroy “aye”, Thomson “aye”, Watts “aye”, and Mayor Burroughs “aye”. Motion carried unanimously. Brian Lockley, Assistant Director of Planning and Development, stated that at the June 17 Council meeting, the Council directed the applicant to work with Robson Ranch and the developer to develop plans for a buffer between the proposed Inspiration MPC and the existing Robson Ranch community that was amenable to both parties. Representatives of the Inspiration MPC and Robson Ranch had met and agreed to the following conditions related to a proposed buffer between the two developments. Staff was not present during these negotiations but the information was provided to staff. The following should apply to the area along the common property line between the Inspiration MPC and Robson Ranch adjacent to the common open space identified as Lot 22X, Block F, Robson Ranch II, Phase I and Lot 16X. Also, included was the construction of an 8 foot high board on board wood fence using steel posts with masonry columns 32 foot on center to be maintained by the Inspiration HOA. The fence was not required to be constructed in the environmentally sensitive areas. The creation of a minimum 28 foot wide open space buffer to be maintained by the Inspiration HOA. Single family lots adjacent to the new 28 foot wide buffer should be a minimum of 62 foot wide and 100 foot deep. At least 25 percent of the single family houses constructed adjacent to the new 28 foot wide buffer should be single story. And the remaining75 percent of the houses might be either single story or two stories. Council Member Watts stated that he wanted clarification where part of the MPC document required that certain findings were found in order for the Planning and Zoning Commission or City Council to approve the MPC ordinance. Finding E stated that one of the findings that Council had to find was that the development was fiscally sound, as demonstrated in the Cost Impact Analysis, and was consistent with adopted policies, infrastructure plans and applicable Capital Improvement Programs (CIP) and that the Development Plan sets forth the phasing and the plan for paying for the infrastructure and responsibilities for payment. City of Denton City Council Minutes July 15, 2008 Page 12 Watts stated that the finding that was indicated stated that the applicant submitted a Fiscal Impact Analysis to demonstrate the project was fiscally sound. The Fiscal Impact Analysis was reviewed by the City of Denton Director of Finance. However, there seemed to be no finding for the second part of the finding relating to the Development Plan information. Watts asked if that information was available. Lockley stated that the information was not available.Typically with rezoning, the infrastructure information came at platting. Staff did review the water, wastewater and the City’s ability to serve a property for development at platting; they could not approve a plat without adequate infrastructure to serve the property. Gary Lane, 7835 E. Redfield Rd, Suite 100, Scottsdale, AZ, representing Aperion Communities, stated that he had met with Mr. Soriano, project manager of Robson Communities, to discuss the buffering between the existing and future land uses within Robson Ranch and the proposed land uses in the Inspiration MPC. They had not come up with a solution for the area to the north or the area to the south mainly because Mr. Soriano did not know what he was going to do with those areas. The Mayor asked Mr. Lane to answer the questions from Council Member Mulroy related to the financial information. Lane stated that they had presented a fiscal analysis and it had been approved by staff. They had included the infrastructure plans and they were based around the CIP. They had not identified responsibilities for payment. Watts restated that the finding necessary for approval had not been completed. The Development Plan sets forth the phasing and the plan for paying for the infrastructure and responsibilities for payment. Lane stated they would do whatever the Council required them to do to obtain approval. City Manager Campbell stated that staff would identify and define what the Code required in answer to Council Member Watt’s questions and provide the information to the applicant and to the Council within the next 24 hours. Fred Bolder, Hillwood Residential – spoke in support of the project. Watts motioned, Kamp seconded to return the item to the table until August 5. On roll vote, Kamp “aye”, Heggins “aye”, Moreno “aye”, Mulroy “aye”, Thomson “nay”, Watts “aye”, and Mayor Burroughs “aye”.Motion carried (6-1). B. The Council considered appointing a nominating committee to recommend appointees to serve on the Economic Development Partnership Board. Linda Ratliff, Director of Economic Development, stated that there were four EDP Board members’ places up for reappointment or replacement. The ordinance required that the City Council appoint three persons to serve as a nominating committee, to include two City Council City of Denton City Council Minutes July 15, 2008 Page 13 members and one person who was a Chamber of Commerce member. The nominating committee would solicit recommendations from the Chamber Board of Directors as to potential nominees from the Chamber and from the President of UNT and then make its final recommendation to the City Council for appointment to the EDP Board. Moreno recommended Jack Thomson, Pete Kamp and Stan Morton to serve as the nominating committee, Watts seconded. On roll vote, Kamp “aye”, Heggins “aye”, Moreno “aye”, Mulroy “aye”, Thomson “aye”, Watts “aye”, and Mayor Burroughs “aye”. Motion carried unanimously. C. The Council considered adoption of an ordinance repealing Ordinance No. 2006-175 and amending Section 2-29 of the City Code relating to rules of procedure for the City Council of the City of Denton, Texas; relating to the position of Deputy Mayor Pro Tem. The Mayor stated that he had asked for this item to be placed on the agenda. He stated that currently the agenda committee had three Council Members on it and he felt three members of the Council was too close to a majority as they considered all elements of an agenda every time. The following ordinance was considered: 2008-159 AN ORDINANCE REPEALING ORDINANCE NO. 2006-175 AND AMENDING SECTION 2-29 OF THE CITY CODE RELATING TO RULES OF PROCEDURE FOR THE CITY COUNCIL OF THE CITY OF DENTON, TEXAS; DELETING THE POSITION OF DEPUTY MAYOR PRO TEM; DELETING THE DEPUTY MAYOR PRO TEM AS A MEMBER OF THE AGENDA COMMITTEE; PROVIDING A SEVERABILITY CLAUSE; AND DECLARING AN EFFECTIVE DATE. Thomson motioned, Heggins seconded to adopt the ordinance (Option B). On roll vote, Kamp “aye”, Heggins “aye”, Moreno “aye”, Mulroy “aye”, Thomson “aye”, Watts “aye”, and Mayor Burroughs “aye”. Motion carried unanimously. D. The Council considered nominations/appointments to the TMPA Board of Directors. This item was not considered at this time. Tabled E. - Election of Mayor Pro Tempore. Mulroy motioned, Watts seconded to take Item 5E off the table. On roll vote, Kamp “aye”, Heggins “aye”, Moreno “aye”, Mulroy “aye”, Thomson “aye”, Watts “aye”, and Mayor Burroughs “aye”. Motion carried unanimously. Thomson motioned, Watts seconded to elect Pete Kamp as Mayor Pro Tem. On roll vote, Kamp “aye”, Heggins “aye”, Moreno “aye”, Mulroy “aye”, Thomson “aye”, Watts “aye”, and Mayor Burroughs “aye”. Motion carried unanimously. Tabled F. - Election of Deputy Mayor Pro Tempore. City of Denton City Council Minutes July 15, 2008 Page 14 This item was not considered at this time. G. Citizen Reports 1. Review of procedures for addressing the City Council. 2. Receive citizen reports from the following: A. Nell Yeldell regarding Direct TV and other companies and no protection against them. Ms. Yeldell was not at the meeting. B. Richard Carr regarding 2503 Shady Shores. Mr. Carr was not at the meeting. C. Bob Clifton regarding Legal Department Issues. Bob Clifton, 730 Wainwright, stated that the tax attorney contract needed to go out for bid. The City needed to get rid of the Legal Department. Currently there were eight lawsuits before the City and only two of the lawyers hired to work on these lawsuits were Denton County lawyers. D. Robert Donnelly regarding open government and the development code. Robert Donnelly, 3900 Quail Creek Road, stated that he had made a request to the Planning Department about the zoning at the landfill – did the zoning at the landfill cover the City selling mulch or was it covered by a Specific Use Permit. He had not received an answer. He stated that he also had some concerns about a development near his property and how the City was handling the process. The development had received a building permit on May 29. To this date, they did not have any offsite drainage plans. He was concerned because he had been through this before with a prior development. H. New Business and Announcements 1. Mayor Burroughs would like a work session to discuss under what circumstances boards/commissions roles had diminished over the years. Particularly with Traffic Safety, what prohibited items from coming before the Traffic Safety Commission. 2. Mayor Burroughs also requested feedback on the issues from the citizen reports, regarding retail sales at the landfill, and post drainage and landscape plans. 3. Council Member Thomson requested a work session regarding supporting legislation to give local municipalities more control over dangerous dogs. 4. Council Member Watts requested a work session to review growth management strategies for platting, and general development plans for infrastructure. City of Denton City Council Minutes July 15, 2008 Page 15 5. Council Member Mulroy reminded the City Manager of the extended discussion that staff had with the Traffic Safety Commission and that staff was to bring those comments back to the Council regarding the responsibilities of the Commission. I. City Manager’s Report City Manager Campbell did not have a report for Council. J. Possible Continuation of Closed Meeting under Sections 551.071-551.086 of the Texas Open Meetings Act. There was no continuation of the Closed Meeting. K. Official Action on Closed Meeting Item(s) under Sections 551.071-551.086 of the Texas Open Meetings Act. Watts motioned, Kamp seconded that the City Attorney be authorized to initiate litigation against Marcus Cable Associates LLC dba Charter Communications and seek the assistance of outside counsel. The following ordinance was considered: NO. 2008-160 AN ORDINANCE AUTHORIZING THE CITY’S ATTORNEYS TO INITIATE LITIGATION AGAINST MARCUS CABLE ASSOCIATES, L.L.C. DBA CHARTER COMMUNICATIONS AND IT’S AFFILIATES, SUCCESSORS AND ASSIGNS; AUTHORIZING THE CITY ATTORNEY TO SEEK THE ASSISTANCE OF OUTSIDE COUNSEL; AND PROVIDING AN EFFECTIVE DATE. On roll vote, Kamp “aye”, Heggins “aye”, Moreno “aye”, Mulroy “aye”, Thomson “aye”, Watts “aye”, and Mayor Burroughs “aye”. Motion carried unanimously. With no further business, the meeting was adjourned at 9:30 p.m. ____________________________________ MARK A. BURROUGHS MAYOR CITY OF DENTON, TEXAS ____________________________________ JANE RICHARDSON ASSISTANT CITY SECRETARY CITY SECRETARY CITY OF DENTON CITY COUNCIL MINUTES August 4, 2008 After determining that a quorum was present, the City Council of the City of Denton, Texas convened in a Special Called Session on Monday, August 4, 2008 at 11:30 a.m.in the Council Work Session Room at City Hall. PRESENT: Mayor Burroughs; Mayor Pro Tem Kamp; Council Members Heggins, Moreno, Mulroy, Thomson, and Watts. ABSENT: None 1.Closed Meeting: A. Deliberations regarding consultation with the City Attorney – Under Texas Government Code Section 551.071 and Section 551.087 – Deliberations regarding Economic Development Negotiations. 1. Discussed or deliberated regarding commercial or financial information that the City Council has received from business prospects that the City Council seeks to have locate, stay or expand in or near the territory of the City of Denton and with which the City Council is conducting economic development negotiations, relating to a conference center. B. Deliberation regarding personnel matters – Under Texas Government Code Section 551.074. 1. Deliberated and discussed the evaluation of candidates for the City Attorney position. With no further business, the meeting was adjourned. _____________________________ MARK A. BURROUGHS MAYOR CITY OF DENTON, TEXAS ______________________________ JENNIFER WALTERS CITY SECRETARY CITY OF DENTON, TEXAS CITY OF DENTON CITY COUNCIL MINUTES August 5, 2008 After determining that a quorum was present, the City Council of the City of Denton, Texas convened in a Work Session on Tuesday, August 5, 2008 at 4:00 p.m.in the Council Work Session Room at City Hall. PRESENT: Mayor Burroughs; Mayor Pro Tem Kamp; Council Members Heggins, Moreno, Mulroy, Thomson, and Watts. ABSENT: None 1.Staff responded to requests for clarification of agenda items listed on the agenda for August 5, 2008. Council Member Mulroy noted that the minutes of Item 4C did not reflect the consensus of the CIP Oversight Committee to support the nomination of Jerry Mohelnitzky to the committee. He supported that nomination and would be making the motion at the regular meeting. Council Member Watts indicated that he would be pulling Item R for separate consideration. Mayor Burroughs asked about the bidders for Item G on the Consent Agenda. Tom Shaw, Purchasing Agent, stated that the bid specifications detailed how manufacturers could get on the approved bidders list. City Manager Campbell stated that Item 4A regarding the Inspiration Master Planned Community was not ready for consideration and suggested that Council not remove it from the table. The developer did not have all of the requested information ready for Council. Council Member Watts indicated that he would be making a motion to reopen the public hearing for the Inspiration Master Planned Community. City Manager Campbell suggested making a motion to remove the proposal from the table. If that passed, then a motion would be needed to re-advertise the proposal as a public hearing. Once that motion was considered, the item should be tabled again. 2.The Council received a report, held a discussion and gave staff direction regarding nominations to the City’s Boards and Commissions. The Council may convene into Closed Session under Texas Government Code Section 551.074 to deliberate and discuss the appointment and duties of public officers to boards or commissions exercising discretionary or rule making power as opposed to purely advisory powers, which includes without limitation the Construction Advisory and Appeals Board, the Economic Development Partnership Board, the Historic Landmark Commission, the Planning and Zoning Commission, the Traffic Safety Commission, and the Zoning Board of Adjustment. Jennifer Walters, City Secretary, reviewed the nominations previously submitted by the Council. Council discussed the nominations and submitted new nominations for Council consideration. Under Section 551.074 of the Texas Government Code, the Council convened in a Closed Session at 4:30 p.m.to deliberate and discuss the appointment and duties of public officers to boards or commissions exercising discretionary or rule making power as opposed to purely City of Denton City Council Minutes August 5, 2008 Page 2 advisory powers, which includes without limitation the Construction Advisory and Appeals Board, the Economic Development Partnership Board, the Historic Landmark Commission, the Planning and Zoning Commission, the Traffic Safety Commission, and the Zoning Board of Adjustment. Council reconvened in Open Session at 4:40 p.m. Mayor Burroughs announced that the Council would be returning to Closed Session in order to allow the outside attorney to make his presentation. Closed Meeting: A.Deliberations regarding Real Property – Under Texas Government Code Sec. 551.072. Consultation with Attorney – Under Texas Government Code Sec. 551.071. 1.Discussed, deliberated, and received information from Staff, and provided staff with direction pertaining to updated issues regarding the Lease Agreement related to the Regional Recyclables Processing Agreement, both agreements being heretofore approved by the Denton City Council on October 2, 2007; which Lease Agreement is for a six acre tract of land situated within the City of Denton Landfill. Consultation with the City’s attorneys and outside legal counsel regarding legal issues and advice associated with the updated issues respecting the two above-referenced agreements, where having a public discussion of these legal matters, would conflict with the duty of the City’s attorneys to the City Council under the Texas Rules of Disciplinary Conduct of the State Bar of Texas. Council reconvened in Open Session at 5:03 p.m. 3.Council received a report, held a discussion and gave staff direction regarding appointments to Council committees. Jennifer Walters, City Secretary, reviewed the preferences that Council had submitted for Council Committees. After discussion, Council confirmed the revised list of Council Committees. 4.The Council received a report, held a discussion and gave staff direction regarding economic development incentives. Linda Ratliff, Director of Economic Development, reviewed various options available for economic development incentives. Those incentives included an economic development sales tax, a city/county venue project tax, tax increment financing options, public improvement districts, municipal management districts, Texas enterprise zones, Freeport exemptions, tax abatements, Denton tax abatement policy, and grants and loans. She also reviewed the incentive process used with prospects. City of Denton City Council Minutes August 5, 2008 Page 3 5.The Council received a report and held a discussion to consider authorizing the Mayor to sign and send a letter to officials of the Texas Commission on Environmental Quality ("TCEQ") requesting the Commission to limit the term of Permit 1360A to coincide with the State Implementation Plan Review, or if this term limit is not feasible due to statutory or similar requirements, formally requesting a special permit condition preventing the emission rates from receiving “grandfather” status during development and implementation of the State Implementation Plan. Howard Martin, Assistant City Manager, stated that on June 24, 2008, TXI Operations, LP applied to the Texas Commission on Environmental Quality for an Air Quality Renewal Permit. This permit was a renewal of an existing air quality permit, with no changes in operational conditions, to allow continued emissions for four cement manufacturing kilns owned by TXI and operated in Midlothian. The kilns controlled by this permit were “wet kilns”, which utilized a much more energy intensive manufacturing process and emitted substantially more contaminants into the air when compared to more modern “dry” kilns. The particular kilns that were regulated by permit 1360A also burned hazardous wastes, and thus had the potential to emit additional air quality contaminants in substantially greater quantities when compared to a comparable dry kiln. Because of the link between emissions from these plants and air quality, the citizens of Denton, as well as those of the Dallas/ Fort Worth Metroplex were potentially affected by this plant. Staff members from both Fort Worth and Dallas had indicated that Mayors of both cities would petition the TCEQ to grant the permit for a shortened year period only, as opposed to the “normal” period of 10 years. The intention was to ensure the next permit renewal cycle for Permit 1360A coincided with the development and implementation phase for the next State Implementation Plan, and would allow for discussion and development of strategies for reducing ozone and other air quality contaminants at that time. Denton staff recommended a similar approach, both to support the efforts of other Metroplex cities in dealing with the regional challenges of air quality improvement, as well as to provide a more unified position among member cities when petitioning the TCEQ for a reduction in the permit term. Consensus of Council was to proceed with the submission of the letter. Council returned to Closed Session to discuss the following: Deliberations regarding Certain Public Power Utilities: Competitive Matters – Under Texas Government Code Section 551.086. 1. Received information from staff, discussed, deliberated and considered approval of a competitive public power information and financial matter from staff regarding the proposed Interconnection Agreement by and between the City of Denton, Texas and Denton Power, LLC. Council continued with the Regular Meeting at 6:45 p.m. in the Council Chambers at City Hall. 1.PLEDGE OF ALLEGIANCE The Council and members of the audience recited the Pledge of Allegiance to the U. S. and Texas flags. City of Denton City Council Minutes August 5, 2008 Page 4 2.PROCLAMATIONS/PRESENTATIONS A.Proclamations/Awards There were no proclamations/awards for this meeting. 3. CONSENT AGENDA Council Member Heggins left the meeting. Mayor Burroughs stated that Item R had been pulled for separate consideration. He reviewed the items for consideration on the Consent Agenda. Watts motioned, Kamp seconded to approve the Consent Agenda and accompanying ordinances and resolutions with the exception of Item R. On roll vote, Kamp “aye”, Moreno “aye”, Mulroy “aye”, Thomson “aye”, Watts “aye”, and Mayor Burroughs “aye”. Motion carried unanimously. Item R was considered. Council Member Heggins returned to the meeting. Watts motioned, Kamp seconded to deny the ordinance. On roll vote, Heggins “aye”, Kamp “aye”, Moreno “aye”, Mulroy “aye”, Thomson “aye”, Watts “aye”, and Mayor Burroughs “aye”. Motion carried unanimously. A. 2008-161 - An ordinance of the City of Denton authorizing an agreement between the City of Denton, Texas and Retired and Senior Volunteer Program to assist with funding of postage; providing for the expenditure of funds; and providing for an effective date. ($300) B.2008-162 - An ordinance of the City of Denton authorizing an agreement between the City of Denton, Texas and HOPE, Inc. to assist with funding computer support equipment; providing for the expenditure of funds; and providing for an effective date. ($500) C.2008-163 - An ordinance of the City of Denton authorizing an agreement between the City of Denton, Texas and Court Appointed Special Advocates to assist with funding of phone cost, local travel for child visits and office supplies; providing for the expenditure of funds; and providing for an effective date. ($350) D.2008-164 - An ordinance of the City of Denton authorizing an agreement between the City of Denton, Texas and the Adult Day Stay Center to assist with funding for web site support, storage cabinet and/or office supplies; providing for the expenditure of funds; and providing for an effective date. ($300) E.2008-165 - An ordinance of the City of Denton authorizing an agreement between the City of Denton, Texas and Our Daily Bread to assist in providing food City of Denton City Council Minutes August 5, 2008 Page 5 supplies; providing for the expenditure of funds; and providing for an effective date. ($1,350) F.2008-166 - An ordinance accepting competitive bids and awarding a contract for the purchase of an electric transmission conductor for Denton Municipal Electric; providing for the expenditure of funds therefor; and providing an effective date (Bid 4065–Annual Contract for Electric Transmission Conductor awarded to the lowest responsible bidder meeting specification, Stuart C. Irby, in the annual estimated amount of $244,020 plus a refundable deposit of $41,000). The Public Utilities Board recommended approval (6-0). G.2008-167 - An ordinance accepting competitive bids and awarding an annual contract for the purchase of wood utility poles for Denton Municipal Electric; providing for the expenditure of funds therefor; and providing an effective date (Bid 4056–Annual Contract Agreement for Wood Utility Poles awarded to the lowest responsible bidder, Nationwide Utility Poles & Supply, Inc., in the annual estimated amount of $354,624.88). H.2008-168 - An ordinance providing for the expenditure of funds for the emergency purchase of sodium hydroxide in accordance with provisions of state law exempting such purchases from requirements of competitive bidding; and providing an effective date. The Public Utilities Board recommended approval (6-0). I.2008-169 - An ordinance approving Amendment No. 3 to the professional services agreement by and between the City of Denton, Texas and R. W. Beck, Inc. to provide additional professional design and engineering services at the City’s landfill site; authorizing the expenditure of funds therefor in the amount of an additional $82,000 (for a grand total of $782,500); and providing an effective date. The Public Utilities Board recommended approval (6-0). J.2008-170 - An ordinance of the City Council of the City of Denton, Texas authorizing the City Manager to execute a second amendment to a professional services agreement with R. J. Covington Consulting, LLC for further consulting services relating to Task Orders No. 07-D and 07-F, by approving further Task Order No. 08-A, providing for continuing regulatory and professional services at the Electric Reliability Council of Texas (“ERCOT”) and the Public Utilities Commission of Texas (“PUCT”) related to Nodal Market Transition and ever- changing developments that directly affect Denton Municipal Electric, and other relevant issues that arise in the various rule-makings and proceedings, and to keep DME staff informed of the status of these matters and to alert Denton Municipal Electric regarding any issues that may affect the ability of Denton Municipal Electric to serve its customers in a cost-effective and competitive manner, and other related professional services; authorizing the expenditure of funds therefor; and providing an effective date (Task Order No, 08-A–An additional sum of $40,000, and when totaled with the Task Orders 07-D and 07-F, which total $100,000–for a grand total of $140,000). The Public Utilities Board recommended approval (6-0). City of Denton City Council Minutes August 5, 2008 Page 6 K.2008-171 - An ordinance of the City Council of the City of Denton, Texas authorizing the City Manager to execute a first amendment to a professional services agreement with R. J. Covington Consulting, LLC for further consulting services relating to Task Orders No. 07-C, by approving further Task Order No. 08-B, providing for continuing regulatory and professional services at the Electric Reliability Council of Texas (“ERCOT”) and the Public Utilities Commission of Texas (“PUCT”) related to implementation of the Nodal Market Design, the development of additional transmission facilities, to deliver wind power to ERCOT markets, the inclusion of new service territories into ERCOT that might significantly affect transmission costs, and other related professional services; and to keep DME staff informed of the status of these matters and to alert Denton Municipal Electric regarding any issues that may affect the ability of Denton Municipal Electric to serve its customers in a cost-effective and competitive manner, and other related professional services; authorizing the expenditure of funds therefor; and providing an effective date (Task Order No. 08-B–An additional sum of not-to-exceed $40,000, and when totaled with related Task Order 07-C, totals $120,000). The Public Utilities Board recommended approval (6-0). L.2008-172 - An ordinance of the City of Denton, Texas providing for, authorizing, and approving the expenditure of funds for the purchase of Bioxide for the City of Denton Wastewater Department, which is available from only one source in accordance with the pertinent provisions of Chapter 252 of the Texas Local Government Code exempting such purchases from the requirements of competitive bidding; and providing an effective date (File 4102–to Siemens Water Technologies Corp. in the amount of $2.04/gallon for an annual estimated amount of $75,000). The Public Utilities Board recommended approval (6-0). M.2008-173 - An ordinance accepting competitive bids and awarding a contract for the purchase of galvanized steel transmission poles for Denton Municipal Electric; providing for the expenditure of funds therefor; and providing an effective date (Bid 4071–Purchase of Galvanized Steel Transmission Poles awarded to Valmont-Newmark in the amount of $3,061,079). The Public Utilities Board recommended approval (6-0). N.2008-174 - An ordinance accepting competitive bids and awarding a contract for the purchase of galvanized steel structures for RD Wells Interchange; providing for the expenditure of funds therefor; and providing an effective date (Bid 4078- Purchase of Galvanized Steel Structures awarded to Parks Metal Fabricators, Inc. in the amount of $267,523 and Dis-Tran Steel Fabrication, LLC in the amount of $67,260 for a total bid award of $334, 783). The Public Utilities Board recommended approval (6-0). O.2008-175 - An ordinance of the City of Denton, Texas amending the fiscal year 2007-08 Budget and Annual Program of Services of the City of Denton for the Fleet Services fund to allow for an adjustment of nine hundred thousand dollars ($900,000) to provide for the purchase of fuel and its associated costs for all internal departments as well as the Denton County Transportation Authority; for City of Denton City Council Minutes August 5, 2008 Page 7 the Solid Waste fund to allow for an adjustment of nine hundred eighty nine thousand one hundred eighty four dollars ($989,184) to provide for an increase in operational expenditures and for the purchase of fuel and its associated costs; and for the Police Department to allow for an adjustment of forty four thousand seven hundred and seventy dollars ($44,770) and to create a separate detailed special revenue fund for the photographic traffic signal enforcement program to provide for the purchase of operating equipment and its associated costs; declaring an emergency; providing a severability clause; providing for an open meetings clause and providing for an effective date. The Public Utilities Board recommended approval of the Solid Waste budget amendment. P.2008-176 - An ordinance of the City Council of the City of Denton, Texas, approving a grant application from ARG East Hickory Partners from the Downtown Incentive Grant Program not to exceed $15,000; and providing for an effective date. The Economic Development Partnership Board recommended approval (6-0). Q.2008-177 - An ordinance of the City Council of the City of Denton, Texas, approving a grant application from John Thorngren from the Downtown Incentive Grant Program not to exceed $2,360; and providing for an effective date. The Economic Development Partnership Board recommended approval (6-0). APPROVAL DENIED R. - An ordinance authorizing and approving the execution of a First Amendment to Regional Recyclables Processing Agreement and also authorizing and approving a First Amendment to lease agreement by and between the City of Denton, Texas and Visy Recycling, Inc., d/b/a Pratt Recycling, relating to the leasehold financing of lessee’s interest therein with a third-party financial institution; and providing for an effective date. S.R2008-026 - A resolution of the City Council of Denton, Texas authorizing the suspension of proposed rates and the intervention in the public utility commission proceeding involving the request to increase electric rates of Oncor Electric Delivery Company; authorizing participation in a coalition of municipalities known as the Alliance of TXU/Oncor customers ("ATOC"); providing for the retention of experts; finding that the meeting complies with the open meetings act; such other findings and provisions related to the subject; and declaring an effective date. T.2008-178 - An ordinance of the City of Denton, Texas, approving the donation of a windmill to the Denton County Historical Society, Denton, Texas, providing a severability clause and an effective date. 4. ITEMS FOR INDIVIDUAL CONSIDERATION Tabled A. – Consideration of adoption of an ordinance of the City of Denton, Texas, for a zoning change from a Agriculture (A), Industrial Center General (IC-G), Neighborhood Residential 2 (NR-2), Regional Center Residential 1 (RCR-1), Community Mixed Use Employment (CM-E), and Planned Development 138 (PD-138) zoning districts to the Inspiration City of Denton City Council Minutes August 5, 2008 Page 8 Master Planned Community (MPC) zoning district classification and use designation; the area for zoning change encompasses 3,331 acres of land located on both sides of I-35W between Robson Ranch Road and Vintage Boulevard and is legally described as certain tracts of land in the E. Pizono Survey, Abstract Number 1269, G. Pettingale Survey, Abstract Number 1041, J. Taft Survey, Abstract Number 1269, G. West Survey, Abstract Number 1393, B.B.B. & C. Railroad Company Survey, Abstract Number 158, S. Pritchett Survey, Abstract Number 1021 and the McCutchin Lands known as Pilot Knob Ranch in the City of Denton, Denton County, Texas, providing for a penalty in the maximum amount of $2,000.00 for violations thereof, severability and an effective date. (MPC07-0001, Inspiration) The Planning and Zoning Commission recommended approval (7-0). Watts motioned, Heggins seconded to remove the item from the table. On roll vote, Heggins “aye”, Kamp “aye”, Moreno “aye”, Mulroy “aye”, Thomson “aye”, Watts “aye”, and Mayor Burroughs “aye”. Motion carried unanimously. Watts motioned, Kamp seconded, that in light of new information, continued interest shown by citizens and the passage of time, to reopen the public hearing for this proposal and to re-advertise as such. The public hearing would be scheduled for the first council meeting in September if notices could be done in time. On roll vote, Heggins “aye”, Kamp “aye”, Moreno “aye”, Mulroy “aye”, Thomson “aye”, Watts “aye”, and Mayor McNeill “aye”. Motion carried unanimously. Kamp motioned, Heggins seconded to return the item to the table. On roll vote, Heggins “aye”, Kamp “aye”, Moreno “aye”, Mulroy “aye”, Thomson “aye”, Watts “aye”, and Mayor McNeill “aye”. Motion carried unanimously. B. The Council considered nominations/appointments to the City's Economic Development Partnership Board. Council Member Thomson stated that two members from the council and one member from the Denton Chamber of Commerce formed the nominating committee as directed in the enabling ordinance. Thomson motioned, Kamp seconded to appoint the following to the Economic Development Partnership Board: Mark Burroughs representing the City Council, Marty Rivers representing the Chamber of Commerce, Stan Morton representing the top twenty ad valorem or sales tax payers and Gretchen Bataille representing the University of North Texas. On roll vote, Heggins “aye”, Kamp “aye”, Moreno “aye”, Mulroy “aye”, Thomson “aye”, Watts “aye”, and Mayor McNeill “aye”. Motion carried unanimously. C. Council considered approval of a resolution amending Resolution No. R2005-015 by filling a vacancy of the Citizens Advisory Oversight Committee; and providing an effective date. The following resolution was considered: City of Denton City Council Minutes August 5, 2008 Page 9 NO. R2008-027 A RESOLUTION AMENDING RESOLUTION NO. R2005-015 BY FILLING A VACANCY OF THE CITIZENS ADVISORY OVERSIGHT COMMITTEE; AND PROVIDING AN EFFECTIVE DATE. Mulroy motioned, Heggins seconded to appoint Jerry Mohelnitzky and to approve the resolution. On roll vote, Heggins “aye”, Kamp “aye”, Moreno “aye”, Mulroy “aye”, Thomson “aye”, Watts “aye”, and Mayor McNeill “aye”. Motion carried unanimously. D.The Council considered approval of a resolution appointing one member to the Board of Directors of the Denton County Transportation Authority; providing a repealer; and providing an effective date. The Mobility Committee recommended approval (3-0). The following resolution was considered: NO. R2008-028 A RESOLUTION APPOINTING ONE MEMBER TO THE BOARD OF DIRECTORS OF THE DENTON COUNTY TRANSPORTATION AUTHORITY; PROVIDING A REPEALER; AND PROVIDING AN EFFECTIVE DATE. Moreno motioned, Kamp seconded to appoint Guy McElroy to the Denton County Transportation Authority Board of Directors. On roll vote, Heggins “aye”, Kamp “aye”, Moreno “aye”, Mulroy “aye”, Thomson “aye”, Watts “aye”, and Mayor McNeill “aye”. Motion carried unanimously. E. The Council considered appointments to the following boards and commissions: 1. Airport Advisory Board 2. Animal Shelter Advisory Committee 3. Community Development Advisory Committee 4. Construction Advisory and Appeals Board 5. Historic Landmark Commission 6. Human Services Advisory Committee 7. Library Board 8. Parks, Recreation and Beautification Board 9. Planning and Zoning Commission 10. Public Art Committee 11. Public Utilities Board 12. TMPA Board of Directors 13. Traffic Safety Commission 14. Zoning Board of Adjustment Mulroy motioned, Kamp seconded to approve the list of nominees as discussed during the Council Work Session and as displayed during the regular meeting pending confirmation of qualifications. On roll vote, Heggins “aye”, Kamp “aye”, Moreno “aye”, Mulroy “aye”, Thomson “aye”, Watts “aye”, and Mayor McNeill “aye”. Motion carried unanimously. City of Denton City Council Minutes August 5, 2008 Page 10 F. Citizen Reports 1.Review of procedures for addressing the City Council. 2.The Council received citizen reports from the following: A.Robert Donnelly regarding the Development Code and open government. Mr. Donnelly stated that he had previously expressed concerns about the selling of mulch at landfill. He had received information from staff indicating that the mulch was really sold at the wastewater treatment plant and not the landfill. He appreciated that information. He also was concerned about the issuing of building permits at Lowes with a related drainage issue. He tried to get an appointment with Freese and Nichols but was told that citizens could not meet with them without a city employee there. He was concerned about there not being any offsite drainage plan at the site. G. New Business and Announcements The following items of New Business were suggested by Council for future agendas or announcements were made: Council Member Watts requested research regarding various delivery trucks parking in the middle of the streets on the Square to make deliveries. He asked if there were any ordinances to regulate that situation and suggested time parameters to deliver goods. Council Member Heggins announced that there would be a back-to-school give-away at the Martin Luther King, Jr. Recreation Center on Saturday. H. City Manager’s Report City Manager Campbell reminded Council of the budget session on Thursday at 8:30 a.m. I. Possible Continuation of Closed Meeting under Sections 551.071-551.086 of the Texas Open Meetings Act. Mayor Burroughs announced that Council would be returning to the Closed Session. J. Official Action on Closed Meeting Item(s) under Sections 551.071-551.086 of the Texas Open Meetings Act. There was no official action on Closed Meeting Items. Council convened in Closed Session at 7:30 p.m. to consider the following: Deliberations regarding consultation with the City Attorney – Under Texas Government Code Section 551.071 and Section 551.087 – Deliberations regarding Economic Development Negotiations. 1. Discuss or deliberate regarding commercial or financial information that the City Council has received from business prospects that the City City of Denton City Council Minutes August 5, 2008 Page 11 Council seeks to have locate, stay or expand in or near the territory of the City of Denton and with which the City Council is conducting economic development negotiations, relating to a master plan business park. With no further business, the meeting was adjourned at 8:13 p.m. ________________________________ MARK A. BURROUGHS MAYOR CITY OF DENTON, TEXAS _________________________________ JENNIFER WALTERS CITY SECRETARY CITY OF DENTON, TEXAS CITY OF DENTON CITY COUNCIL MINUTES August 7, 2008 After determining that a quorum was present, the City Council of the City of Denton, Texas convened in a Special Called Work Session on Thursday, August 7, 2008 at 8:30 a.m. in the Council Work Session Room at City Hall. PRESENT: Mayor Burroughs; Council Members Heggins, Moreno, Mulroy, Thomson, and Watts. ABSENT: Mayor Pro Tem Kamp 1.The Council received a report, held a discussion and gave staff direction on the 2008-09 Budget, Capital Improvement Program, and Five-Year Financial Forecast. Bryan Langley, Director of Finance, presented the budget information to Council. Overview and Purpose – The purpose of the presentation was to discuss key changes to the assumptions for FY 2008-09 long-term plan compared to the FY 2007-08 plan; discuss supplemental packages recommended by the City Manager; review the FY 2008-09 City Manager’s proposed budget and long-term plan; discuss the 5 year CIP plan and future debt capacity; discuss the proposed budget for other key funds; and present the utility fund long term plans that were recommended by the Public Utilities Board. Mayor Burroughs asked if the projections of upcoming major developments had been incorporated into the budget forecast. Langley replied that they were not part of the overall assumptions. Staff was being conservative with the budget figures. Mayor Pro Tem Kamp arrived at the meeting. Key Assumption Changes – The FY2007-08 assumptions recently revised the following key assumptions: reduced property tax growth assumption from 9% to 3.3% in FY 2008-09; reduced sales tax growth assumption from 5% to 2% for FY 2008-09 and FY 2009-10; used a phase in of the TMRS rate of 14.27% for FY 2008-09 and increased the rate by 0.5% for the next 8 years; and considered a fund balance level in a range of 12-15% Langley reviewed the long-term assumption summary and fund balance reserve. The fund balance had a higher beginning balance than previously forecasted. This was due to the inclusion of the motor pool funds after the motor pool was discontinued. Council Member Moreno asked if the cost of health insurance and other benefits were figured into the budget for the proposed increased staffing. Langley indicated that the benefit costs were included in the base figure for the cost of new employees. FY 2009 Appraised Value – the previous forecast had $6.516 billion in certified value. The actual appraised values totaled $6.291 billion which was a 3.31% increase over the 2007 value of $6.089 billion. The difference between the forecast and the actual value was $225 million. This represented approximately $1 million less per year in ad valorem taxes for the general fund. City of Denton City Council Minutes August 7, 2008 Page 2 Recommended Supplemental Packages - the City Manager’s preliminary budget included approximately $1.7 million and 10FTEs in approved supplementary packages for the General Fund in FY 2008-09. The packages included the Planning Department, Code Enforcement, Building Inspection, Library, Parks, Police, Fire, Airport, Traffic, and Administrative Services. Other projects were recommended for approval using one-time funds from bond interest income, gas wells, police confiscated funds, traffic safety funds, and FY 2007-08 budget savings. Council Member Thomson questioned the Airport recommendation of a business plan as to why the figure was less than the recommendation of the City Manager. The original request was $20,000 and the City Manager’s request was $50,000. Langley indicated he would check on the amount. Council Member Thomson questioned the funding for additional police officers and fire fighters. He felt that if additional officers were needed, then Council should try to fund those positions. Police Chief Minter stated that six additional police officers had been requested with two additional officers in the proposed budget. Currently there were 76 officers on patrol. He felt a minimum staffing level was 70 officers on patrol. The critical level where there would be a need to hire additional officers or shut down non-critical services was 60 officers. The two additional officers would be an enhancement to the department. Some of other positions requested were in the professional standards section to assist with additional services they performed. Those functions were currently being done by volunteers. Fire Chief Chadwick stated that the biggest issue in the Fire Department was overtime. The proposed positions would not impact service at all. The difference was either to add people or do overtime. Staffing levels were adequate at this time. Council Member Heggins asked about the full-time manager position at the Martin Luther King, Jr. Recreation Center. City Manager Campbell indicated that the Center was not ready for a full-time manager at this point in time. If programming increased, staff would come back to Council for possible additional needs. Mayor Burroughs asked why the lightening prediction system was a recommendation from the City Manager as opposed to a recommendation from the Parks Department. Director of Parks and Recreation Vorel stated that the recommendation allowed for a different method for funding. Council Member Thomson noted that the public art master plan was not recommended for funding and indicated that he would like to move that along. Vorel stated that there might be other funding sources that would fund that plan. City of Denton City Council Minutes August 7, 2008 Page 3 Meet and Confer Agreement - this was the final year for the meet and confer agreement. Langley detailed the pay increases for the police and fire departments and noted that actual increases for employees would be based on tenure in current positions. There would also be an additional increase to the Fire pension fund. Gas Franchise Fees - the City received 4% of gross revenues per the current agreement. The fee could be increased from 4% to 5% of the gross revenues. That would generate about $260,000 more than the current rate which would be a pass through fee to customers. The proposed budget included a 5% gas fee. Such a change would require an August ordinance to be effective st October 1. Other franchise fee rates would be evaluated as the agreements expired. GASB Statement Number 45 - Beginning in FY 2007-08, the City would be required to disclose liability related to Other Post Employment Benefits (retiree health care costs). The FY 2008-09 long term plan included $100K per year in GASB 45 funding for the general fund. Once more complete retiree cost information was available; the funding mechanism would be formalized. Building Inspection Fees - an increase in building inspection fees by approximately $500,000 per year was proposed. The fee changes would more accurately match the cost of services with the fee received. All fees were last updated in 1998 with some commercial fees adjusted in 2001. The increases would include multi-family building permits, certificate of occupancy permits and an increase in the irrigation permit fee. Other costs included in FY 2008-09 were fuel cost increases, compensated absences and salary adjustments for the alternate municipal judges. Other costs included in the Five Year Plan included the expected operation of the Public Safety Training Center in 2009-2010 and asphalt materials for street repairs beginning in 2009-10 ($500,000 was included in the FY 2008-09 budget using bond interest earnings). 2% differential – the 2% differential was how actual expenditures compared to how they were budgeted and would provide flexibility for organizational needs. This amount was incorporated in the proposed five year plan for FY 2009-10 forward. A $0.025 tax increase was proposed beginning in year 2010-11. Additional Items for Consideration - two additional code enforcement officers which included two vehicles; an additional internal auditor; an increase in funding to the Child Advocacy Center were items for additional consideration. The total impact in FY 2008-09 would be $1.2 million. An additional consideration was an increase the franchise fee to the City owned utilities by 1% over a four year period starting in 2009-10. Council Member Watts questioned if Council would be going around the original process set in place with the Human Services Advisory Committee if additional funding were provided for the Child Advocacy Center. Would it be setting a precedent for other groups to seek additional funding? He asked if there were a way to fund this project through normal process rather than opening it up through the budget process. City Manager Campbell stated that funding for this organization could directly be tied into assistance to the Police Department. If the agency were not providing the services, there would City of Denton City Council Minutes August 7, 2008 Page 4 be a level of service that the City would have to provide. This service was different from other agencies and their services. Council Member Mulroy indicated that he would like to defer the additional internal auditor position for this year as he felt there wasn’t sufficient ground work at this time for consideration. Long Term Plan Assumptions – the FY 2008-09 tax rate was recommended to remain unchanged at $0.66652/$100 valuation. The fund balance would be reduced by approximately $3.9 million in FY 2008-09 and would continue to decline over the planning horizon. If all other assumptions materialized, the tax rate would likely need to be increased by $0.025 in FY 2010-11. This assumed an additional $500,000 per year in supplemental packages over the FY 2008-09 recommendations. Council Member Thomson asked if a graffiti remediation fund was included in the budget. Langley replied that it was not included as a separate line item. Council Member Thomson questioned the increasing cart fees for recycling and what impact there might be when the Materials Recovery Center was completed. Vance Kemler, Director of Solid Waste, stated that fees were being adjusted every six months for fuel costs. The facility was currently under construction and should be completed in October. The City would get revenue from the processing of the materials and staff would have to see how this might help with fees in the future. Council Member Thomson asked about the fiber optic installation for traffic lights Jim Coulter, Director of Water/Wastewater stated that the installation would provide a hub around the community and would control the timing of the lights. Council Member Thomson felt that funding for this project would be appropriate from the non- airport gas well funds. Mayor Burroughs asked about a potential grant funding for this item. Coulter replied that this was a $1.3 million grant project and this would be matching funds from the City. Council Member Thomson stated that Council had wanted to use gas well funds for projects that would bring other funds into the community. If this project were a matching grant, the use of non-airport gas well funds would be an appropriate use. He also asked about the street lights costs. If LED lights used much less energy and if those types of lights were installed, they could be paid off by energy savings in 5 years. The retrofitting of the lights would be an appropriate use of gas well non-airport revenue. Coulter replied that they had looked at the possibility of using those types of lights but that the technology for the same amount of lighting was not there yet. Using that type of light would have lower illumination than what the City currently had. City of Denton City Council Minutes August 7, 2008 Page 5 Council Member Watts urged staff and Council to be mindful of potential growth and the use of tax incentives. Debt Forecast (GO/CO) – 2008 would have a bond sale of approximately $17.9 million and a sale in 2009 of approximately $25.7 million. Changes to the 2007-08 CIP included the Public Safety Training Center, US Highway 377 widening, FM 1839 design, intersection signalization, Prairie/Robertson Rail bridge and land acquisition/parking at Fred Moore. Added projects for the 07-08 plan included downtown master plan, park property acquisition, animal shelter/land, public safety radio antenna. Projects included in 08-09 were a fixed asset implementation system and a fuel facility. Future debt capacity was discussed as well as proposed vehicle purchases and other key funds. Utility fund long term plans – the Public Utilities Board had reviewed the long term financial plans for all utility funds. The exact structure of any rate increases would be recommended during future meetings with the Public Utilities Board. Electric Fund – the proposed budget included a no base rate increase for electric utility customers and a net addition of 4.5 FTEs. Water Fund – an overall 3% increase in water rates was proposed for the budget with a net reduction of 3 FTEs. Wastewater Fund - no rate increase was proposed with a proposed net addition of 1.5 FTEs. Solid Waste Fund - various increases in rates for solid waste were being proposed plus the addition of seven positions. Truth in Taxation Information - As the proposed tax rate exceeded the effective tax rate, a vote from Council was needed to consider the tax increase and a public hearing on the tax rate. Next thth steps included the August 19 vote to consider the tax increase, September 9 public hearing on th the tax rate and proposed budget, September 16 public hearing on tax rate and adoption of budget on Sept. 23 City Manager Campbell stated that additional work sessions had been scheduled but if not needed, other items would be scheduled for the meetings. 2. Closed Session A. Deliberations Regarding Certain Public Power Utilities: Competitive Matters – Under Texas Government Code Section 551.086. 1. Receive competitive public power information from staff in the form of a proposed operating budget for Denton Municipal Electric (“DME”) for the upcoming fiscal year, including without limitation, revenues, expenses, commodity volumes, and commitments, and the direction of DME; and discuss, deliberate, consider adoption of the budget and other matters, and provide staff with direction regarding such matters. City of Denton City Council Minutes August 7, 2008 Page 6 Council did not meet in Closed Session. With no further business, the meeting was adjourned at 4:55 p.m. __________________________________ MARK A. BURROUGHS MAYOR CITY OF DENTON, TEXAS ___________________________________ JENNIFER WALTERS CITY SECRETARY CITY OF DENTON, TEXAS CITY OF DENTON CITY COUNCIL MINUTES August 12, 2008 After determining that a quorum was present, the City Council of the City of Denton, Texas nd convened in a 2 Tuesday Session on Tuesday, August 12, 2008 at 4:00 p.m. in the City Council Work Session Room at City Hall. PRESENT: Mayor Burroughs; Mayor Pro Tem Kamp; Council Members Heggins, Moreno, Mulroy, Thomson, and Watts. ABSENT: None 1. The Council received a report from Denton County Transportation Authority (DCTA) staff, held a discussion and gave direction regarding station design concepts for DCTA rail stations. Mark Nelson, Chief Transportation Officer, presented an overview of the project. He indicated that DCTA was working with staff to initiate design concepts for the rail stations. Scott Neeley, Executive VP of Rail Operations, presented the design concepts for the stations. The design consisted on consistent components, variable components and community components for each of the stations. Dee Leggett presented the DCTA Station Design Process. The initial design development included creating a clear distinction from DART, creating consistency with the DCTA brand throughout, clean lines and classic details that were still relevant to today and that were complementary to modern suburban communities. Station Design Process – components to consider with the design process included what elements must be consistent throughout to control the timeline and costs and reinforce the DCTA brand; what could be customized to create a unique identity at each station; what community funded elements could be incorporated and how to solicit feedback into the final design process. Consistent Design Elements - included canopy design and materials, destination signage and font, lighting, matching bollards, analog clocks, and DCTA branding and signage. Variable elements included station icon, metal fencing, column cladding and enhanced pavement design. Community funded elements, included murals, community art, detailed mosaics, advanced pavement design, and vertical landmarks. Station names and themes at this point were Hebron, Modern Prairie; Old Town, Old Town/Historical; Lewisville Lake, recreation/park/trails; MedPark, professional/medical; Downtown Denton, arts/music/court square. MedPark and downtown Denton were stations that would be in Denton. Council Member Thomson asked where tickets would be purchased. Leggett stated that ticket vending machines would be at each station. The Downtown Denton station would probably have a manned station. Council Member Moreno stated that the site plan for the downtown Denton station indicated that the parking lot was not in contract. City of Denton City Council Minutes August 12, 2008 Page 2 Neeley stated that per prior discussion by the Council, the downtown station would not be a park and ride station and would have limited parking. Park and Ride would be funneled to the MedPark Station. Council Member Moreno asked about the primary target for riders Neeley stated that commuters and students would be the primary target but secondary for destination place for arts events. Council Member Mulroy asked for documentation that Council did not want parking at the downtown station. Mayor Pro Tem Kamp stated that parking had been discussed with DCTA stakeholders and in the Mobility Committee. The Mobility Committee did not want lots of parking downtown and possibly taking up parking on the Square. Council Member Mulroy felt Council had not formalized the type of parking that would be available downtown for the rail station. Mayor Burroughs asked for a description of the intermodal station and the parking that would be provided. Nelson stated that the location for the site would be the current location of Facilities Management and would have roughly 100 parking spaces, some of which would be used for bus parking. Areas to the west and east of the site were also being looked at to acquire for additional parking. The Downtown center would have approximately 50-60 parking spaces depending on the streetscape design. Mayor Burroughs stated that DCTA would fund what it needed to function in mode and capacity as determined by them. Local entities could add on as long as it did not adversely affect the operations. He asked how many of other locations would look like Denton. Neeley stated that most of the stations would look similar such as platforms and canopy designs. Some variables were available. Mayor Pro Tem Kamp felt that the downtown station needed to be fluid for events that would be taking place there. The DCTA brand would be kept but the station would be special for downtown Denton. Council Member Heggins suggested separate trash containers for recycling elements. Council Member Thomson suggested adequate spaces dedicated for bicycles. Council Member Watts expressed a concern that the current bus stops were not user friendly as there were not adequate waiting areas for passengers. Neeley stated that a program was starting with local share of funding to start installation for better bus stop design. City of Denton City Council Minutes August 12, 2008 Page 3 Mayor Burroughs suggested a tram/trolley for the more concentrated areas as opposed to buses. Neeley stated that there had been discussion on how best to have on load/off load faster in high concentration areas. Mayor Pro Tem Kamp suggested using native Texas plants for the environment at the stations. She asked how definite the December 2010 completion date was. Neeley stated that it was very definite. Council Member Watts asked about ridership anticipation and the scheduling of trains. He felt that many students would use the downtown station. Neeley stated that they recognized that and were making provisions for bus service. They would wait until the students told DCTA which station they preferred. Service would be scheduled at 30 minute intervals for commute service, 80 minute intervals for midday and 20 minute intervals in the evening. City Manager Campbell requested copies of all the station designs. 2. The Council was to receive a report, hold a discussion and give staff direction on the 2008-09 Budget, Capital Improvement Program, and Five-Year Financial Forecast. As there were no questions from Council on the budget, this item was not considered. 3. Closed Session A. Deliberations Regarding Certain Public Power Utilities: Competitive Matters – Under Texas Government Code Section 551.086. 1. Receive competitive public power information from staff in the form of a proposed operating budget for Denton Municipal Electric (“DME”) for the upcoming fiscal year, including without limitation, revenues, expenses, commodity volumes, and commitments, and the direction of DME; and discuss, deliberate, consider adoption of the budget and other matters, and provide staff with direction regarding such matters. The Council did not convene in Closed Session. With no further business, the meeting was adjourned at 4:55 p.m. ______________________________ ______________________________ MARK A. BURROUGHS JENNIFER WALTERS MAYOR CITY SECRETARY CITY OF DENTON, TEXAS CITY OF DENTON, TEXAS CITY OF DENTON CITY COUNCIL MINUTES August 19, 2008 After determining that a quorum was present, the City Council of the City of Denton, Texas convened in a Work Session on Tuesday, August 19, 2008 at 4:30 p.m.in the Council Work Session Room at City Hall. PRESENT: Mayor Burroughs; Mayor Pro Tem Kamp; Council Members Heggins, Moreno, Mulroy, Thomson, and Watts. ABSENT: None 1.Staff responded to requests for clarification of agenda items listed on the agenda for August 19, 2008. Mayor Pro Tem Kamp indicated that she would be pulling Consent Agenda Item Q as she felt it needed more discussion. Mayor Burroughs felt that Consent Agenda Item P should also be pulled. Council Member Watts questioned Consent Agenda Item T. He asked if the paving agreement had been executed. Frank Payne, City Engineer, stated that it would be executed after Council approval. Council Member Watts asked about the trigger mechanism for the perimeter road improvements. The backup materials indicated that there would be no improvements until the property was subdivided or the square footage of the proposed development was expanded by 1,000 square feet or 25%, whichever was greater. Payne replied correct, that was the compromise worked out with the petitioner. Council Member Watts felt that one number for the trigger might be better than a range. He indicated that he would pull the item for separate consideration. He then asked about Consent Agenda Item H. He questioned the difference in the two prices for the project. Jim Coulter, Director of Water/Wastewater, stated that funds for this project were from two different funding sources – DCTA funding and Elap funding. A quick estimate was done for the project in order to begin during the summer months. Several issues came up during the construction including having to do cement stabilization rather than lime which resulted in the price difference. City Manager Campbell asked about the removal of parking on Parvin Street. The Traffic Safety Commission had a split vote for no parking. He asked for the rationale for removing the parking. Payne stated that staff had received a request from a citizen plus a petition from the neighborhood residents. The request was originally considered by the Commission at the April 7, 2008 meeting and approved 9-0. After that meeting staff was contacted by a volunteer at Borman Elementary who parked in this area and requested to speak at the Commission. The item was placed on the Commission’s July meeting. The original petitioner was also notified of the reconsideration and was present at the July meeting. Discussion at the July meeting involved City of Denton City Council Minutes August 19, 2008 Page 2 the fact that various school volunteers park on the north side of Parvin since it presented the shortest distance to the front door of the school which was the only door that was not locked when many of the volunteers arrived at the school. Staff rationale for the no parking dealt with safety issues as parents dropped off and picked up children on north side which created an unsafe situation. Also a nearby driveway was always blocked with cars waiting for children. Mayor Burroughs asked if a time restriction would work better than complete no parking in the area. Payne replied that it was discussed at Traffic Safety Commission and agreed to by all parties that it was not an agreeable situation due to an enforcement issue. Mayor Pro Tem Kamp asked about construction at the school. Payne indicated that DISD would begin renovation work at Borman starting this month. He did not know how long the renovations would take but did state that the portable classrooms would be relocated to the school’s parking lot, possibly until 2009. Council Member Mulroy stated that the city had a parking lot at the Denia Recreation Center and perhaps that could be used for some school parking. Mayor Pro Tem Kamp felt that there was a misunderstanding on the information presented. She suggested that the item be pulled and tabled for more information following any discussion during the regular session. Council Member Mulroy questioned Consent Agenda Item G regarding how many hours of work had been performed by the firm and why they were incurred. Howard Martin, Assistant City Manager, stated that this item was not associated with the gas collection system issue. It dealt with other projects outside that system, particularly the scale house and preparation of TCEQ documents. Council Member Mulroy asked about the pro rata agreement with Consent Agenda Item M and why the developer had to provide upfront oversize money. P S Arora, Assistant Director for Wastewater Utilities, stated that the developer did not request reimbursement for the oversizing of the line. Council Member Mulroy asked if Consent Agenda Item S was working on the correct time frame. Payne replied that the developer had indicated that they were on track. Mayor Burroughs indicated that Consent Agenda Item V would be pulled for separate consideration. City of Denton City Council Minutes August 19, 2008 Page 3 2.The Council received a report, held a discussion and gave staff direction regarding nominations to the City’s Boards and Commissions. The Council may convene into Closed Session under Texas Government Code Section 551.074 to deliberate and discuss the appointment and duties of public officers to boards or commissions exercising discretionary or rule making power as opposed to purely advisory powers, which includes without limitation the Construction Advisory and Appeals Board, the Economic Development Partnership Board, the Historic Landmark Commission, the Planning and Zoning Commission, the Traffic Safety Commission, and the Zoning Board of Adjustment. Jennifer Walters, City Secretary, presented the new nominations and asked Council for any additional nominations. Council Member Watts questioned the membership to the Economic Development Partnership Board. He felt that two at-large positions that were not associated with any particular entity might be helpful. That would provide an avenue for Council to retain former members on the board and still have two sitting council members on that board. City Manger Campbell stated that if alternate positions were created, council would have to determine how those positions would be filled. Mayor Burroughs stated that additional comments from the Board as it currently existed and from the Chamber Board would be helpful. 3.Council held a discussion regarding the Charter provisions on Council term limits and gave staff direction. Mayor Burroughs stated that he had asked for an item on agenda for open discussion on term limits. He felt a single proposition for term limits would be helpful for a future charter election. City Manager Campbell stated that technically Council could hold a charter election in November but there might not be time to have good discussions in that time frame. Council had the option to appoint a citizen committee to study any charter amendments or Council could serve as the committee. If Council wanted to focus on one issue it might want to do a council committee rather than a citizen committee. Also, a November election might not allow time to get information out to the public and fully discuss before the November election. Mayor Burroughs indicated that he had no pressure for a November election. He felt that doing so would be a time compressed situation. This was a difficult discussion as Council was directly affected by the outcome. His suggestion would be to not even consider this November. He would like to have a discussion on a clarification of the Charter language and felt that the discussion could be divided into two parts. One would be a staff recommended language to fix the current language and would include identifying the interpretations and Council discussion on those issues. A second part would be the length of terms. Council Member Watts stated that in May he had requested a Charter committee to address this issue. He felt it was important have public discussion on the issue as there was a large variety of City of Denton City Council Minutes August 19, 2008 Page 4 interpretations in the community. A process was needed to have the community consider the provisions. Mayor Burroughs felt that there could be outreach discussions/round table discussions in the community for input. City Manager Campbell felt that an understanding or explanation of the options was needed. A separate work session on options/alternatives should be scheduled and then have community discussions. Options on the direction to proceed should be presented and then have citizen groups involved for public input. Council might also want to include minor cleanup items. Mayor Burroughs asked each council member to identify what they would like to see for staff review for a charter election.Identify the issues and alternatives they would like to see. Council Member Mulroy felt that Council should not advocate a position when discussions were started but rely on the community to help resolve the issue. 4.Council received a report, held a discussion, and gave staff direction regarding the 2008- 09 Budget, Capital Improvement Program, and Five-Year Financial Forecast. Bryan Langley, Director of Finance, stated that a revised notice of public hearing on a tax increase had been provided to Council. The revision provided a clarification of figures based on an explanation from the Appraisal District. He indicated that a memo would be going out to th Council regarding the questions asked at the August 7 budget discussion. Two additional code enforcement officers would be included in the proposed budget, a recommendation for increased funding to the Children’s Advocacy Center, and the elimination of a proposed internal auditor position. Following the completion of the Work Session, the City Council was to convene in a Closed Meeting. 1.Closed Meeting: A. Deliberations Regarding Certain Public Power Utilities: Competitive Matters – Under Texas Government Code Section 551.086. 1. Receive competitive public power information from staff in the form of a proposed operating budget for Denton Municipal Electric (“DME”) for the upcoming fiscal year, including without limitation, revenues, expenses, commodity volumes, and commitments, and the direction of DME; and discuss, deliberate, consider adoption of the budget and other matters, and provide staff with direction regarding such matters. This item was not discussed as Council did not have any budget questions. B. Deliberation regarding personnel matters – Under Texas Government Code Section 551.074. City of Denton City Council Minutes August 19, 2008 Page 5 1. Deliberate and discuss the evaluation of candidates for the City Attorney position. This item was not discussed as Council did not have any questions relative to the candidate. Regular Meeting of the City of Denton City Council on Tuesday, August 19, 2008 at 6:30 p.m. in the Council Chambers at City Hall. 1.PLEDGE OF ALLEGIANCE The Council and members of the audience recited the Pledge of Allegiance to the U. S. and Texas flags. 2.PROCLAMATIONS/PRESENTATIONS Mayor Burroughs presented a proclamation for Sustainability Week. August Yard of the Month awards were not considered. 3. CONSENT AGENDA Mayor Burroughs indicated that Item P, Q, T and V would be pulled for separate consideration. Council Member Heggins requested Item K be pulled for a change in the date of the event. Kamp motioned, Mulroy seconded to approve the Consent Agenda and accompanying ordinances and resolutions with the exception of Items K, P, Q, T and V. On roll vote, Heggins “aye”, Kamp “aye”, Moreno “aye”, Mulroy “aye”, Thomson “aye”, Watts “aye”, and Mayor Burroughs “aye”. Motion carried unanimously. A.2008-170 - An ordinance amending the existing gas franchise between the City of Denton (“City”) and Atmos Energy Corporation to provide a one percent increase from four percent to five percent to the City’s gas franchise fee; providing for acceptance by Atmos Energy Corporation; and finding and determining that the meeting at which this ordinance is passed is open to the public as required by law; and providing for an effective date. B.R2008-029 - A resolution allowing the Black Chamber of Commerce to be the sole participant allowed to sell alcoholic beverages at the Blues Festival on September 20, 2008, upon certain conditions; authorizing the City Manager or his designee to execute an agreement in conformity with this resolution; and providing for an effective date. The Parks, Recreation and Beautification Board recommended approval (7–0). C.2008-180 - An ordinance authorizing the Mayor or his designee to enter into an interlocal agreement with Denton County for the County to provide property tax City of Denton City Council Minutes August 19, 2008 Page 6 billing and collection services for the City of Denton and to repeal subsection 10- 2(B) of the City Code and all ordinances to the extent of conflict therewith (the split-payment option for payment of taxes); providing a savings clause and providing an effective date. The Audit/Finance Committee recommended approval (3-0). D.2008-181 - An ordinance accepting competitive bids and awarding a contract for the purchase of traffic signal hardware for the City of Denton Traffic Division; providing for the expenditure of funds therefor; and providing an effective date (Bid 4098–Annual Contract for Traffic Signal Hardware awarded to the lowest responsible bidder meeting specification for related groups of items, as shown on Exhibit A in the annual estimated amount of $700,000). E.2008-182 - An ordinance approving the expenditure of funds for the purchase of a server software and hardware for Server replacements from Dell as approved by the State of Texas Building and Procurement Commission Department of Information Resources (DIR) under #DIR-SDD-192; providing for the expenditure of funds therefor; and providing an effective date (File 4113– Purchase of Software and Hardware Replacements awarded to Dell in the amount of $108,389.86). F.2008-183 - An ordinance approving Amendment No. 2 to the professional services agreement by and between the City of Denton, Texas and Arthur Surveying Co., Inc. to provide professional surveying services in support of the City of Denton Engineering Department; authorizing the expenditure of funds therefor in the amount of an additional $75,000 (for a total award of $400,000); and providing an effective date. G.2008-184 - An ordinance approving Amendment No. 1 to the professional services agreement by and between the City of Denton, Texas and Chiang, Patel & Yerby, Inc. to provide professional design, development, and construction related services for the City of Solid Waste Department; authorizing the expenditure of funds therefor in the amount of an additional $20,000 (for a total award of $110,000); and providing an effective date. The Public Utilities Board recommended approval (6-0). H.2008-185 - An ordinance authorizing the City Manager to execute Change Order Number One to the contract between the City of Denton and Jagoe-Public Company; providing for the expenditure of funds therefor; and providing an effective date (Bid 3994–West Oak Street Reconstruction Change Order Number One in the amount of $175,002.56 for a total bid award of $904,868.31). I.2008-186 - An ordinance accepting competitive bids and awarding a public works contract for Old North Road Drainage Improvements; providing for the expenditure of funds therefor; and providing an effective date (Bid 4083–awarded to the lowest responsible bidder meeting specification, J. T. Dersner, Inc. in the City of Denton City Council Minutes August 19, 2008 Page 7 amount of $437,158.50). The Public Utilities Board recommended approval (6- 0). J.2008-187 - An ordinance accepting competitive bids and awarding a public works contract for the reconstruction of Mingo Road; providing for the expenditure of funds therefor; and providing an effective date (Bid 4093–awarded to the lowest responsible bidder meeting specification, Jagoe-Public Company in the amount of $887,825.80). L.2008-188 - An ordinance authorizing the approval of a Gas line Easement between the City of Denton, as grantor and Enterprise Texas Pipeline LLC, a Texas limited liability corporation, as grantee, regarding a 0.04 acre tract of land located on Lot 1, Block 1 of the Robson Ranch Water Reclamation Plant, recorded in Cabinet R Page 365, Plat Records, Denton County, Texas and being in the T & P.R.R. Survey, Abstract No. 1301, City of Denton, Denton County, Texas; providing an effective date. The Public Utilities Board recommended approval (6-0). M.2008-189 - An ordinance of the City Council of Denton, Texas authorizing the City Manager to execute a Wastewater Main Pro-Rata Reimbursement agreement between the City of Denton, Texas and DBSI Lansdowne I, L.P. for reimbursement of the costs of building a wastewater main, through pro-rata charges paid to the City; authorizing the transfer of funds pursuant to the agreement; and providing an effective date. The Public Utilities Board recommended approval (5-0). N.2008-190 - An ordinance of the City of Denton, Texas prohibiting parking on the north and south Sides of Savannah Trail from its intersection with Pembrooke ; Place/Fairfax Trail to its intersection with Teasley Lane/FM 2181providing a repealer clause; providing a savings clause; providing for a penalty not to exceed $500 for violations of this ordinance; and providing for an effective date. The Traffic Safety Commission recommended approval (8-0). O.2008-191 - An ordinance of the City of Denton, Texas prohibiting parking on the east and west sides of Kimberly Drive from its intersection with Karina Street to ; its southerly terminusproviding a repealer clause; providing a savings clause; providing for a penalty not to exceed $500 for violations of this ordinance; and providing for an effective date. The Traffic Safety Commission recommended approval (7-0). R.R2008-030 - A resolution voting for a member to the Board of Managers of the Denco Area 9-1-1 District; and declaring an effective date. S.2008-192 – An ordinance of the City Council of the City of Denton, Texas authorizing the City Manager to execute a professional services agreement for architectural or engineering services by and between the City of Denton, Texas and Teague Nall and Perkins, Inc. for professional architectural and engineering City of Denton City Council Minutes August 19, 2008 Page 8 services for the construction management of the U.S. Highway 380 Project, Phase I; providing for the expenditure of funds therefor; and providing an effective date ($456,618 – professional engineering services). U.Approved a request for an exception to the Noise Ordinance for the purpose of the th 10 Annual Denton Blues Festival, sponsored by the Denton Black Chamber of Commerce. The event will be held in Quakertown Park on Saturday, September 20, 2008, from 11:00 a.m. to 11:30 p.m. The exception was specifically requested to increase hours of operation for amplified sound from 10:00 p.m. until 11:30 p.m. The amplified sound will not go above the allowable 70 decibels for an outdoor concert. Item V was considered. V.2008-193 - An ordinance appointing a City Attorney; approving an employment agreement; authorizing the Mayor to execute an agreement employing a City Attorney of the City of Denton, Texas; setting the compensation and terms of that employment; authorizing expenditures and actions; and providing an effective date. Kamp motioned, Thomson seconded to adopt the ordinance with the insertion of Anita Burgess as City Attorney. On roll vote, Heggins “aye”, Kamp “aye”, Moreno “aye”, Mulroy “aye”, Thomson “aye”, Watts “aye”, and Mayor Burroughs “aye”. Motion carried unanimously. Item K was considered. Heggins motioned, Kamp seconded to approve the request with a change in the date from September 13, 2008 to September 27, 2008. On roll vote, Heggins “aye”, Kamp “aye”, Moreno “aye”, Mulroy “aye”, Thomson “aye”, Watts “aye”, and Mayor Burroughs “aye”. Motion carried unanimously. K.Approved a request for an exception to the Noise Ordinance for the purpose of playing music and operating a public address system during the Stand Up and Vote Festival. The festival is sponsored by AV & The Trunk Pop Entertainment Family. The event will be located in the Fred Moore Park on Saturday, September 13, 2008 (date changed to September 27, 2008), with music beginning at 7:00 p.m. and concluding at 11:30 p.m. This request is for an exception to the noise ordinance with respect to hours of operation of an amplified loudspeaker system after 10:00 p.m. Item Q was considered Mayor Burroughs indicated that Speaker Cards had been submitted for this item. Alice Gore, 2215 Westwood Drive, Denton, 76205, spoke in favor of the no parking on Parvin. The neighbors felt the current situation was dangerous, especially at the corner of Westwood and Parvin as it was difficult to see traffic coming down Parvin. She suggested the school designate City of Denton City Council Minutes August 19, 2008 Page 9 reserve parking in the lots for volunteers and visitors which it currently did not have. Handicapped parking spaces were designated in the west parking lot while the handicapped entrance was on the east side of the building. The traffic flow needed to be revamped as there was double parking on the streets and major congestion in the area. She suggested the school work with the City’s Parks Department for use of parking spaces at the Denia Recreation Center during the day. Staff and faculty could park in the Denia lot. Mayor Burroughs asked the times of day when the double parking was occurring. Gore replied in the morning and especially in the afternoons. She suggested the school work with the City’s Traffic Engineer to help with better flow of traffic. Linda Morrow, 2408 Westwood Drive, Denton, 76205, stated that cars parked on Mercedes and Parvin and blocked the view of traffic making for a difficult traffic situation. Cars would double park in the street. She suggested relocating the handicapped entrance to the school. Ruben Molinar, principal at Borman Elementary School, indicated that the school would like to work with the City Engineer and City Manager to solve the problem with parking. It was hard for elderly volunteers to park and walk a distance to the entrance of the school. It would be a hardship on those types of volunteers if parking were eliminated on Parvin. Mayor Burroughs asked about changing the no parking to coincide with the hours of student pick up/drop off. Ruben stated that 7:30 -8:30 and 2:30 - 3:30 would be a compromise. Volunteers were in the school between 9:00 and 2:00. Mayor Pro Tem Kamp suggested tabling the item and sending it back to the Traffic Safety Commission for a compromise plan. City Manger Campbell stated that the Commission had made a recommendation to Council and it was not required that it go back to the Commission if Council chose to change the recommendation. Mayor Pro Tem Kamp motioned to table the item with direction to staff to get with DISD officials for a compromise. Council Member Mulroy felt that the Commission should have had testimony from all parties before making a recommendation. He did not want to circumvent the Commission but felt that further testimony was needed. Mayor Burroughs asked if there was a notification procedure for these types of items. Frank Payne, City Engineer, stated that there were no formal notification requirements. This had been a request from the neighborhood. City of Denton City Council Minutes August 19, 2008 Page 10 Mayor Burroughs felt that notice requirements were needed for future similar cases. The item could be sent back to the Commission to look at less restrictive alternatives plus the opportunity for the DISD and others to have input. Council Member Thomson agreed that it might be best to remand the item back to the Traffic Safety Commission with encouragement to include all parties to come to a compromise solution. Council Member Mulroy offered a friendly amendment to the motion to remand the item back to the Traffic Safety Commission with more inclusive discussion and look for a compromise solution. Mayor Pro Tem Kamp agreed to the friendly amendment. Council Member Thomson seconded the motion to table the item and remand back to the Traffic Safety Commission. On roll vote, Heggins “aye”, Kamp “aye”, Moreno “aye”, Mulroy “aye”, Thomson “aye”, Watts “aye”, and Mayor Burroughs “aye”. Motion carried unanimously. Tabled Q. - Consider adoption of an ordinance of the City of Denton, Texas prohibiting parking on school days from 7:30 a.m. to 3:30 p.m. on the north side of Parvin Street from its intersection with Mercedes Road to its intersection with ; McCormick Streetproviding a repealer clause; providing a savings clause; providing for a penalty not to exceed $500 for violations of this ordinance; and providing for an effective date. The Traffic Safety Commission recommends approval (4-3). Item P was considered. Kamp motioned, Heggins seconded to table the item and remand back to the Traffic Safety Commission with instructions to work out a compromise with all parties. Notice should also be provided to the DISD when the item will be considered. On roll vote, Heggins “aye”, Kamp “aye”, Moreno “aye”, Mulroy “aye”, Thomson “aye”, Watts “aye”, and Mayor Burroughs “aye”. Motion carried unanimously. Tabled P. - Consider adoption of an ordinance of the City of Denton, Texas prohibiting parking on school days from 7:30 a.m. to 3:30 p.m. on the south side of Emerson Lane from its intersection with Woodhaven Lane to its intersection ; with Brookfield Laneproviding a repealer clause; providing a savings clause; providing for a penalty not to exceed $500 for violations of this ordinance; and providing for an effective date. The Traffic Safety Commission recommends approval (9-0). Item T was considered. Council Member Watts questions the proportionality and 95% calculation. Mark Cunningham, Director of Planning and Development, stated that staff had completed the assessment of the proposed development and determined that the required perimeter street improvements were 95.82% to the proposed development. City of Denton City Council Minutes August 19, 2008 Page 11 Council Member Watts stated that another way of saying that was that the current streets and configuration were sufficient up to 95%. Frank Payne, City Engineer, stated that the 95% was the development’s share of the improvement to bring the streets up to code. That represented how much of a demand there was on the street in relationship to the required improvements. Council Member Watts stated that the development agreement indicated that perimeter street improvements would not have to be done until the property was subdivided or the square footage of the proposed development of the 6,905 building was expanded by 1,000 square feet or 25% whichever was greater. Payne replied that was a compromise with the developer. Council Member Watts suggested making an exact square footage requirement instead of the formula proposed. He also noted that there was no mention of the second building and questioned why the second building was excluded. Cunningham stated that there were vested rights with original building and that the improvements only applied to the expansion. Council Member Watts felt that improvements could be made to the original building and the perimeter paving would not have to be done. Cunningham stated that the trigger was the proposed structure and not the existing structure. Watts motioned, Moreno seconded to table the item to the next city council agenda in order to clear up the perimeter street paving issue. On roll vote, Heggins “aye”, Kamp “aye”, Moreno “aye”, Mulroy “aye”, Thomson “aye”, Watts “aye”, and Mayor Burroughs “aye”. Motion carried unanimously. Tabled T.- Consider adoption of an ordinance regarding a development agreement related to the deferment of perimeter road improvements. The approximately 2.6- acre property is located at the southwest corner of West Collins Street and Locust Street. The subject site is located within a Downtown Commercial General (DC-G) zoning district. 4. ITEMS FOR INDIVIDUAL CONSIDERATION A. The Council considered adoption of an ordinance considering all matters incident and related to the issuance, sale and delivery of the "City of Denton General Obligation Bonds ($7,300,000), Series 2008"; authorizing the issuance of the bonds for projects relating to streets and transportation, parks and beautification, and buildings and improvements; approving and authorizing instruments and procedures relating to said bonds; and enacting other provisions relating to the subject. City of Denton City Council Minutes August 19, 2008 Page 12 Bryan Langley, Director of Finance, presented the background information for Items A, B. and C. The General Obligation Bonds were to fund various capital improvement projects that were approved by the voters on February 5, 2005. He detailed the use of the funds for the various projects relating to streets and transportation, parks and beautification, and buildings and improvements. Certificates of Obligation were also scheduled for consideration for projects relative to building and equipment, vehicles, parks, economic development and solid waste equipment and construction. Utility System Revenue bonds were also being considered for electric and water system infrastructure. Laura Alexander, First Southwest Company, indicated that the bonds were sold through a competitive bid process and were accepted for issuance on August 19, 2008. There were four bids for the General Obligation Bonds with the lowest bid from Wachovia Securities. Of the four bids submitted for the Certificates of Obligation, UBS Securities submitted the lowest bid. Four bids were also received for the Utility Revenue Bonds with Robert W. Baird & Co. submitting the lowest bid. She recommended that Council accept the low bid for each of the bonds. Council considered the following ordinance: NO. 2008-194 AN ORDINANCE CONSIDERING ALL MATTERS INCIDENT AND RELATED TO THE ISSUANCE, SALE AND DELIVERY OF THE "CITY OF DENTON GENERAL OBLIGATION BONDS ($7,300,000), SERIES 2008"; AUTHORIZING THE ISSUANCE OF THE BONDS FOR PROJECTS RELATING TO STREETS AND TRANSPORTATION, PARKS AND BEAUTIFICATION, AND BUILDINGS AND IMPROVEMENTS; APPROVING AND AUTHORIZING INSTRUMENTS AND PROCEDURES RELATING TO SAID BONDS; AND ENACTING OTHER PROVISIONS RELATING TO THE SUBJECT. Kamp motioned, Mulroy seconded to adopt the ordinance. On roll vote, Heggins “aye”, Kamp “aye”, Moreno “aye”, Mulroy “aye”, Thomson “aye”, Watts “aye”, and Mayor Burroughs “aye”. Motion carried unanimously. B.The Council considered adoption of an ordinance considering all matters incident and related to the issuance, sale and delivery of the "City of Denton Certificates of Obligation ($10,685,000), Series 2008"; authorizing the issuance of the Certificates of Obligations for projects relating to buildings and equipment, vehicles, parks, economic development and solid waste equipment and construction; approving and authorizing instruments and procedures relating to said Certificates of Obligation; and enacting other provisions relating to the subject. The following ordinance was considered: NO. 2008-195 AN ORDINANCE CONSIDERING ALL MATTERS INCIDENT AND RELATED TO THE ISSUANCE, SALE AND DELIVERY OF THE "CITY OF DENTON City of Denton City Council Minutes August 19, 2008 Page 13 CERTIFICATES OF OBLIGATION ($10,685,000), SERIES 2008"; AUTHORIZING THE ISSUANCE OF THE CERTIFICATES OF OBLIGATIONS FOR PROJECTS RELATING TO BUILDINGS AND EQUIPMENT, VEHICLES, PARKS, ECONOMIC DEVELOPMENT AND SOLID WASTE EQUIPMENT AND CONSTRUCTION; APPROVING AND AUTHORIZING INSTRUMENTS AND PROCEDURES RELATING TO SAID CERTIFICATES OF OBLIGATION; AND ENACTING OTHER PROVISIONS RELATING TO THE SUBJECT. Thomson motioned, Heggins seconded to adopt the ordinance. On roll vote, Heggins “aye”, Kamp “aye”, Moreno “aye”, Mulroy “aye”, Thomson “aye”, Watts “aye”, and Mayor Burroughs “aye”. Motion carried unanimously. C.The Council considered adoption of an ordinance considering all matters incident and related to the issuance, sale and delivery of the "City of Denton Utility System Revenue Bonds ($15,290,000), Series 2008"; authorizing the issuance of the bonds for Electric and Water System infrastructure; approving and authorizing instruments and procedures relating to said bonds; and enacting other provisions relating to the subject. The following ordinance was considered: NO. 2008-196 AN ORDINANCE CONSIDERING ALL MATTERS INCIDENT AND RELATED TO THE ISSUANCE, SALE AND DELIVERY OF THE "CITY OF DENTON UTILITY SYSTEM REVENUE BONDS ($15,290,000), SERIES 2008"; AUTHORIZING THE ISSUANCE OF THE BONDS FOR ELECTRIC AND WATER SYSTEM INFRASTRUCTURE; APPROVING AND AUTHORIZING INSTRUMENTS AND PROCEDURES RELATING TO SAID BONDS; AND ENACTING OTHER PROVISIONS RELATING TO THE SUBJECT. Watts motioned, Mulroy seconded to adopt the ordinance. On roll vote, Heggins “aye”, Kamp “aye”, Moreno “aye”, Mulroy “aye”, Thomson “aye”, Watts “aye”, and Mayor Burroughs “aye”. Motion carried unanimously. D.The Council considered approval of a resolution of the City Council of the City of Denton, Texas placing a proposal on the September 23, 2008 City Council Public Meeting Agenda to adopt a 2008 Tax Rate that will exceed the lower of the Rollback Rate or the Effective Tax Rate; calling two Public Hearings on a tax increase to be held on September 9, 2008 and September 16, 2008 and calling a third public hearing on the fiscal year 2008-2009 annual Program of Services of the City of Denton to be held on September 9, 2008; requiring publication of a Notice of the Public Hearings in accordance with the law; requiring the posting of the Notice of the Public Hearings on a tax increase on the City's Internet Website; requiring the posting of the Notice on the Public Access Channel; and providing an effective date. Bryan Langley, Director of Finance, stated that the Texas Constitution and Texas Property Tax Code required taxing units to comply with specific guidelines in adopting tax rates. This City of Denton City Council Minutes August 19, 2008 Page 14 resolution would provide public notice of the various public hearings and notices that had to be completed before the adoption of a new budget. The following resolution was considered: NO. R2008-031 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DENTON, TEXAS PLACING A PROPOSAL ON THE SEPTEMBER 23, 2008 CITY COUNCIL PUBLIC MEETING AGENDA TO ADOPT A 2008 TAX RATE THAT WILL EXCEED THE LOWER OF THE ROLLBACK RATE OR THE EFFECTIVE TAX RATE; CALLING TWO PUBLIC HEARINGS ON A TAX INCREASE TO BE HELD ON SEPTEMBER 9, 2008 AND SEPTEMBER 16, 2008 AND CALLING A THIRD PUBLIC HEARING ON THE FISCAL YEAR 2008-2009 ANNUAL PROGRAM OF SERVICES OF THE CITY OF DENTON TO BE HELD ON SEPTEMBER 9, 2008; REQUIRING PUBLICATION OF A NOTICE OF THE PUBLIC HEARINGS IN ACCORDANCE WITH THE LAW; REQUIRING THE POSTING OF THE NOTICE OF THE PUBLIC HEARINGS ON A TAX INCREASE ON THE CITY'S INTERNET WEBSITE; REQUIRING THE POSTING OF THE NOTICE ON THE PUBLIC ACCESS CHANNEL; AND PROVIDING AN EFFECTIVE DATE. Mulroy motioned, Kamp seconded to approve the resolution. On roll vote, Heggins “aye”, Kamp “aye”, Moreno “aye”, Mulroy “aye”, Thomson “aye”, Watts “aye”, and Mayor Burroughs “aye”. Motion carried unanimously. Tabled E.– Consideration of adoption of an ordinance of the City of Denton, Texas, for a zoning change from a Agriculture (A), Industrial Center General (IC-G), Neighborhood Residential 2 (NR-2), Regional Center Residential 1 (RCR-1), Community Mixed Use Employment (CM-E), and Planned Development 138 (PD-138) zoning districts to the Inspiration Master Planned Community (MPC) zoning district classification and use designation; the area for zoning change encompasses 3,331 acres of land located on both sides of I-35W between Robson Ranch Road and Vintage Boulevard and is legally described as certain tracts of land in the E. Pizono Survey, Abstract Number 1269, G. Pettingale Survey, Abstract Number 1041, J. Taft Survey, Abstract Number 1269, G. West Survey, Abstract Number 1393, B.B.B. & C. Railroad Company Survey, Abstract Number 158, S. Pritchett Survey, Abstract Number 1021 and the McCutchin Lands known as Pilot Knob Ranch in the City of Denton, Denton County, Texas, providing for a penalty in the maximum amount of $2,000.00 for violations thereof, severability and an effective date. (MPC07-0001, Inspiration) The Planning and Zoning (Date tabled 08/05/08) Commission recommends approval (7-0). Item E remained on the table. F. The Council considered appointments to the following boards and commissions: 1. Animal Shelter Advisory Committee 2. Construction Advisory and Appeals Board 3. Human Services Advisory Committee City of Denton City Council Minutes August 19, 2008 Page 15 4. Parks, Recreation and Beautification Board 5. Public Art Committee 6. Zoning Board of Adjustment City Secretary Walters indicated that the three nominations for consideration were Alan Nelson- Construction Advisory and Appeals Board, Colleen Isaguirre-Construction Advisory and Appeals Board, and Alex Payne, Zoning Board of Adjustment. Mulroy motioned, Kamp seconded to approve the nominations subject to the City Secretary completing the qualification process. On roll vote, Heggins “aye”, Kamp “aye”, Moreno “aye”, Mulroy “aye”, Thomson “aye”, Watts “aye”, and Mayor Burroughs “aye”. Motion carried unanimously. G. Citizen Reports 1.Review of procedures for addressing the City Council. 2.Council received citizen reports from the following: A.Audrey Battle regarding an electric bill. Ms. Battle stated she had a concern about her utility bill. She presented bills showing her payments due and asked why her bill was so high. Her bill was made before the end of the month and she couldn’t see how that could be done. City Manager Campbell indicated he would have Customer Service talk with Ms. Battle about her bill. B.Bob Clifton regarding Council term limits. Mr. Clifton felt the City was spending too much for the budget. Denton was hiring new employees while other cities were laying employees off. He again stated his position that it was questionable whether two sitting members on the Council should be there. He also felt that four year term limits would not work in Denton. C.Steve Kniatt regarding the issuance of a certificate of occupancy. Mr. Kniatt stated that he was trying to get a Certificate of Occupancy for a temporary office space for his dispatchers. Offices were currently on the site and he did not understand why the issue had to go to the Zoning Board. He presented list of inspections that needed to be done prior to the issuance of a certificate of occupancy and questioned why it was taking so long. H. New Business and Announcements The following items were suggested by Council for future agendas or announcements made: City of Denton City Council Minutes August 19, 2008 Page 16 Council Member Mulroy asked the City Manager to follow up with Mr. Kniatt on his situation with his certificate of occupancy. Council Member Watts requested an update on the runoff drainage situation at Rayzor Ranch. Council Member Moreno requested information on a possible bike path on Nottingham Drive and ways to make Denton a more bike-friendly community. Council Member Moreno requested staff look into the possibility of extending Paisley Street as currently the children walking to Lee Elementary had to either walk through the woods with no sidewalk or walk on McKinney Street Mayor Burroughs announced that the city had received a letter from the TCEQ acknowledging the city’s concerns about the cement kilns. I. City Manager’s Report City Manger Campbell did not have any items for Council. J. Possible Continuation of Closed Meeting under Sections 551.071-551.086 of the Texas Open Meetings Act. There was no continuation of the Closed Meeting. K. Official Action on Closed Meeting Item(s) under Sections 551.071-551.086 of the Texas Open Meetings Act. There was no official action on Closed Meeting Items. With no further business, the meeting was adjourned at 8:25 p.m. _______________________________ MARK A. BURROUGHS MAYOR CITY OF DENTON, TEXAS ________________________________ JENNIFER WALTERS CITY SECRETARY CITY OF DENTON, TEXAS AGENDA INFORMATION SHEET AGENDA DATE: September 9, 2008 DEPARTMENT: Finance ACM: Jon Fortune ______________________________________________________________________________ SUBJECT Hold a public hearing on a proposal to adopt a tax rate of $0.66652 per $100 valuation, which will exceed the lower of the rollback rate or the effective rate. BACKGROUND The truth-in-taxation guidelines for 2008 require taxing entities to calculate and publish a variety of notices regarding their effective and rollback tax rates. Additionally, depending on the value of the proposed tax rate, further action is required for taxing entities that exceed the lower of the effective or rollback tax rate. The effective rate is the calculated rate that would provide the taxing unit approximately the same amount of revenue it received in the previous year on properties taxed in both years. This rate excludes taxes on properties no longer in the taxing unit and also excludes any growth due to new property values. The rollback rate divides the total property tax revenue into support for maintenance and operations (M&O) taxes and debt service taxes. It provides approximately the same amount to revenue it spent in the previous year for maintenance and operations expenses, plus an extra eight percent. If a taxing unit adopts a tax rate higher than the rollback rate, the voters have the option to petition for an election to limit the size of the tax increase. valuation and the rollback rate is $0.71409/$100 valuation. The proposed 2008 tax rate is $0.66652/$100 valuation, which exceeds unchanged. No tax rate increase is recommended for FY 2008-09. However, because the City of proposed tax rate exceeds the effective tax rate, two public hearings are required to take place prior to published. In compliance with state law, staff published the effective and rollback rate calculation in the rd Sunday, August 3 Denton Record Chronicle. The City Council was provided a copy of the notice on August 1, 2008. For advertisement of the two public hearings that are required, staff st published a quarter-page notice of the hearings in the Sunday, August 31 Denton Record th Chronicle. The City Council was provided a copy of this notice on August 19. The th attached will be published in the Friday, September 19 Agenda Information Sheet September 9, 2008 Page 2 Denton Record Chronicle. In addition to the media publications, all notices will be posted on the http://www.cityofdenton.com and the public access channel. ESTIMATED SCHEDULE August 19, 2008 Vote to place proposal on future agenda September 9, 2008 Hold first public hearing September 16, 2008 Hold second public hearing September 23, 2008 Adopt tax rate PRIOR ACTION/REVIEW On August 19, 2008, the City Council met and discussed placing a proposal on a future agenda to adopt a 2008 tax rate and called for two public hearings. FISCAL INFORMATION The proposed property tax rate is $0.66652/$100 valuation for the 2008-09 Proposed Budget. EXHIBITS Notice of Public Hearing on Tax Increase Notice of Tax Revenue Increase Respectfully submitted: Bryan Langley Director of Finance Ð«¾´·¸»¼ ·² ß«¹«¬ íïô îððè ª?£ªÆ£?Æ?£ªÃ± Û£?Ã£øÉk±Ãô?ÃªÐ£ª¼Zñª? Ì¸» Ý·¬§ ±º Ü»²¬±²ô Ì»¨¿ ©·´´ ¸±´¼ ¬©± °«¾´·½ ¸»¿®·²¹ ±² ¿ °®±°±¿´ ¬± ·²½®»¿» ¬±¬¿´ ¬¿¨ ®»ª»²«» º®±³ °®±°»®¬·» ±² ¬¸» ¬¿¨ ®±´´ ·² ¬¸» °®»½»¼·²¹ ¬¿¨ §»¿® ¾§ ðòîí °»®½»²¬ ø°»®½»²¬¿¹» ¾§ ©¸·½¸ °®±°±»¼ ¬¿¨ ®¿¬» »¨½»»¼ ´±©»® ±º ®±´´¾¿½µ ¬¿¨ ®¿¬» ±® »ºº»½¬·ª» ¬¿¨ ®¿¬» ½¿´½«´¿¬»¼ «²¼»® Ý¸¿°¬»® îêô Ì¿¨ Ý±¼»÷ò Ç±«® ·²¼·ª·¼«¿´ ¬¿¨» ³¿§ ·²½®»¿» ¿¬ ¿ ¹®»¿¬»® ±® ´»»® ®¿¬»ô ±® »ª»² ¼»½®»¿»ô ¼»°»²¼·²¹ ±² ¬¸» ½¸¿²¹» ·² ¬¸» ¬¿¨¿¾´» ª¿´«» ±º §±«® °®±°»®¬§ ·² ®»´¿¬·±² ¬± ¬¸» ½¸¿²¹» ·² ¬¿¨¿¾´» ª¿´«» ±º ¿´´ ±¬¸»® °®±°»®¬§ ¿²¼ ¬¸» ¬¿¨ ®¿¬» ¬¸¿¬ · ¿¼±°¬»¼ò Ì¸» º·®¬ °«¾´·½ ¸»¿®·²¹ ©·´´ ¾» ¸»´¼ ±² Í»°¬»³¾»® çô îððè ¿¬ êæíð °ò³ò ·² ¬¸» Ý·¬§ Ý±«²½·´ Ý¸¿³¾»® ¿¬ Ý·¬§ Ø¿´´ô îïë Ûò Ó½Õ·²²»§ Í¬®»»¬ô Ü»²¬±²ô Ì»¨¿ éêîðïò Ì¸» »½±²¼ °«¾´·½ ¸»¿®·²¹ ©·´´ ¾» ¸»´¼ ±² Í»°¬»³¾»® ïêô îððè ¿¬ êæíð °ò³ò ·² ¬¸» Ý·¬§ Ý±«²½·´ Ý¸¿³¾»® ¿¬ Ý·¬§ Ø¿´´ô îïë Ûò Ó½Õ·²²»§ Í¬®»»¬ô Ü»²¬±²ô Ì»¨¿ éêîðïò Ì¸» ³»³¾»® ±º ¬¸» ¹±ª»®²·²¹ ¾±¼§ ª±¬»¼ ±² ¬¸» °®±°±¿´ ¬± ½±²·¼»® ¬¸» ¬¿¨ ·²½®»¿» ¿ º±´´±©æ ÚÑÎæ Ó¿®µ ßò Þ«®®±«¹¸ô Ó¿§±®ô Ð»¬» Õ¿³°ô Ó¿§±® Ð®± Ì»³ô ß¬óÔ¿®¹» Ð´¿½» ëô Ý¸¿®´§» Ø»¹¹·²ô Ü·¬®·½¬ ïô Î«¼§ Ó±®»²±ô Ü·¬®·½¬ îô Ö¿½µ Ì¸±³±²ô Ü·¬®·½¬ íô Ý¸®· É¿¬¬ô Ü·¬®·½¬ ìô Ö±» Ó«´®±§ô ß¬óÔ¿®¹» Ð´¿½» êò ßÙß×ÒÍÌæ Ò±²» ÐÎÛÍÛÒÌ ¿²¼ ²±¬ ª±¬·²¹æ Ò±²» ßÞÍÛÒÌæ Ò±²» Ì¸» ¿ª»®¿¹» ¬¿¨¿¾´» ª¿´«» ±º ¿ ®»·¼»²½» ¸±³»¬»¿¼ ·² ¬¸» Ý·¬§ ±º Ü»²¬±²ô Ì»¨¿ ´¿¬ §»¿® ©¿ üïëîôêíê ø¿ª»®¿¹» ¬¿¨¿¾´» ª¿´«» ±º ¿ ®»·¼»²½» ¸±³»¬»¿¼ ·² ¬¸» ¬¿¨·²¹ «²·¬ º±® ¬¸» °®»½»¼·²¹ ¬¿¨ §»¿®ô ¼·®»¹¿®¼·²¹ ®»·¼»²½» ¸±³»¬»¿¼ »¨»³°¬·±² ¿ª¿·´¿¾´» ±²´§ ¬± ¼·¿¾´»¼ °»®±² ±® °»®±² êë §»¿® ±º ¿¹» ±® ±´¼»®÷ò Þ¿»¼ ±² ´¿¬ §» ¬¿¨ ®¿¬» ±º üðòêêêëî ø°®»½ °»® üïðð ±º ¬¿¨¿¾´» ª¿´«»ô ¬¸» ¿³±«²¬ ±º ¬¿¨» ·³°±»¼ ´¿¬ §»¿® ±² ¬¸» ¿ª»®¿¹» ¸±³» ©¿ üïôðïéòíë ø¬¿¨ ±² ¿ª»®¿¹» ¬¿¨¿¾´» ª¿´«» ±º ¿ ®»·¼»²½» ¸±³»¬»¿¼ ·² ¬¸» ¬¿¨·²¹ «²·¬ º±® ¬¸» °®»½»¼·²¹ ¬¿¨ §»¿®ô ¼·®»¹¿®¼·²¹ ®»·¼»²½» ¸±³»¬»¿¼ »¨»³°¬·±² ¿ª¿·´¿¾´» ±²´§ ¬± ¼·¿¾´»¼ °»®±² ±® °»®±² êë §»¿® ±º ¿¹» ±® ±´¼»®÷ò Ì¸» ¿ª»®¿¹» ¬¿¨¿¾´» ª¿´«» ±º ¿ ®»·¼»²½» ¸±³»¬»¿¼ ·² ¬¸» Ý·¬§ ±º Ü»²¬±²ô Ì»¨¿ ¬¸· §»¿® · üïëêôííç ø¿ª»®¿¹» ¬¿¨¿¾´» ª¿´«» ±º ¿ ®»·¼»²½» ¸±³»¬»¿¼ ·² ¬¸» ¬¿¨·²¹ «²·¬ º±® ¬¸» ½«®®»²¬ ¬¿¨ §»¿®ô ¼·®»¹¿®¼·²¹ ®»·¼»²½» ¸±³»¬»¿¼ »¨»³°¬·±² ¿ª¿·´¿¾´» ±²´§ ¬± ¼·¿¾´»¼ °»®±² ±® °»®±² êë §»¿® ±º ¿¹» ±® ±´¼»®÷ò ×º ¬¸» ¹±ª»®²·²¹ ¾±¼§ ¿¼±°¬ ¬¸» »ºº»½¬·ª» ¬¿¨ ®¿¬» º±® ¬¸· §»¿® ±º üðòêêëðî °»® üïðð ±º ¬¿¨¿¾´» ª¿´«»ô ¬¸» ¿³±«²¬ ±º ¬¿¨» ·³°±»¼ ¬¸· §»¿® ±² ¬¸» ¿ª»®¿¹» ¸±³» ©±«´¼ ¾» üïôðíçòêç ø¬¿¨ ±² ¿ª»®¿¹» ¬¿¨¿¾´» ª¿´«» ±º ¿ ®»·¼»²½» ¸±³»¬»¿¼ ·² ¬¸» ¬¿¨·²¹ «²·¬ º±® ¬¸» ½«®®»²¬ ¬¿¨ §»¿®ô ¼·®»¹¿®¼·²¹ ®»·¼»²½» ¸±³»¬»¿¼ »¨»³°¬·±² ¿ª¿·´¿¾´» ±²´§ ¬± ¼·¿¾´»¼ °»®±² ±® °»®±² êë §»¿® ±º ¿¹» ±® ±´¼»®÷ò ×º ¬¸» ¹±ª»®²·²¹ ¾±¼§ ¿¼±°¬ ¬¸» °®±°±»¼ ¬¿¨ ®¿¬» ±º üðòêêêëî °»® üïðð ±º ¬¿¨¿¾´» ª¿´«»ô ¬¸» ¿³±«²¬ ±º ¬¿¨» ·³°±»¼ ¬¸· §»¿® ±² ¬¸» ¿ª»®¿¹» ¸±³» ©±«´¼ ¾» üïôðìîòðí ø¬¿¨ ±² ¬¸» ¿ª»®¿¹» ¬¿¨¿¾´» ª¿´«» ±º ¿ ®»·¼»²½» ¸±³»¬»¿¼ ·² ¬¸» ¬¿¨·²¹ «²·¬ º±® ¬¸» ½«®®»²¬ ¬¿¨ §»¿®ô ¼·®»¹¿®¼·²¹ ®»·¼»²½» ¸±³»¬»¿¼ »¨»³°¬·±² ¿ª¿·´¿¾´» ±²´§ ¬± ¼·¿¾´»¼ °»®±² ±® °»®±² êë §»¿® ±º ¿¹» ±® ±´¼»®÷ò Ó»³¾»® ±º ¬¸» °«¾´·½ ¿®» »²½±«®¿¹»¼ ¬± ¿¬¬»²¼ ¬¸» ¸»¿®·²¹ ¿²¼ »¨°®» ¬¸»·® ª·»©ò Ék±ÃÆÃªÂ??«?3+Ë244,ª?£ªÆ£?Æ?£ªÃ± Û£?Ã £ø¼ZÆ`ªkñª? ¼ÆÃ?Y£øª?£ªË¼Z£ªk??k±ÃÆ?ÃªÐ£ª Â??«?+Ë244,ªÂ??«?3.Ë244,£ª??£?£±?£ Ãª??Æ?£?±?Z?`ªk£ø?ÆÃ?Y£øª?£ªË¼Z ø?£«??£???Ã£ª?Æ?Z?£±±Ãª?Æ??ÃªÐY?Y4È21 ??ª?È £øx4È.../2ø£?Æx344£ø?Z±`±k_x04Ë/,-Ë-10È ¼Æ?£?±?Z?`ªk??£?£?£?Ã?ÆÃY?? ?Æ??£?£?Z??£øx4È.../2ø£?Æx344£ø?Z± `±kËZ±kÃªÐ?Z?`ªk?£?Ãø?£«ª_??£???Y ?£?Æ?Z?£±±?ÆÃY?ËÃx04Ë-2,Ë./+È ¼Æ?£?±?Z?`ªk??£?£?£?Ã?ÆÃY?? ?Æ??£?£?Z??£øx4È.../2ø£?Æx344£ø?Z± `±kËÃª±kÃªÐ?Z?`ªk?£?Ãø?£«ª_??£???Y ?£?Æ?Z?£±±?ÆÃY?ËÃx03Ë+11Ë3.-È ¼ÆÃ?Y£kªÃ±£ø?ÆÃ?Y£øª?£ªË¼ZÃÆk± ?£`£?£ª?Æ?Z???Æ?_Ã±±?k±?Ãª?Æ??ZÃª?? ?k±Ã«?ÃªÐ?£Æ±£ªÂ??«?21Ë244,??ÆÃ?Y £kªÃ±Æ«?ÃªÃ?Yô±±Ë23/ÈÜäÃªªYÂ???Ëª?£ªË ¼Z-.243?.É14?È«È AGENDA INFORMATION SHEET AGENDA DATE: September 9, 2008 DEPARTMENT: Finance ACM: Jon Fortune ______________________________________________________________________________ SUBJECT Hold a public hearing and receive citizen input on the 2008-09 Proposed Budget. BACKGROUND City Charter and State Law require that prior to budget adoption, a public hearing be conducted to allow citizens the opportunity to provide input on the Proposed Budget. The required notice of the public hearing was published August 24, 2008 in the Denton Record Chronicle. The notice is http://www.cityofdenton.com and on the public access channel. PRIOR ACTION/REVIEW (Council, Boards, Commissions) The 2008-09 Proposed Budget was submitted to the City Council on July 31, 2008. A City Council Budget Workshop was held on August 7, 2008. Copies of the Proposed Budget are available to the public at any City of Denton library branch, and an electronic copy of the document is available on-http://www.cityofdenton.com. FISCAL INFORMATION The Proposed 2008-09 Budget totals $464,515,093 in estimated resources and $461,474,343 in estimated expenditures. Respectfully submitted: Bryan Langley Director of Finance AGENDA INFORMATION SHEET AGENDA DATE: September 9, 2008 DEPARTMENT: Finance ACM: Jon Fortune ______________________________________________________________________________ SUBJECT Consider approval of a resolution of the City Council of the City of Denton, Texas, announcing that it will vote on a tax rate that will result in a tax revenue increase at its meeting of September 23, 2008; providing for publication of a notice of tax revenue increase; providing a ratification clause; and providing an effective date. BACKGROUND The truth-in-taxation guidelines for 2008 require taxing entities to calculate and publish a variety of notices regarding their effective and rollback tax rates. Additionally, depending on the value of the proposed tax rate, further action is required for taxing entities that exceed the lower of the effective or rollback tax rate. The effective rate is the calculated rate that would provide the taxing unit approximately the same amount of revenue it received in the previous year on properties taxed in both years. This rate excludes taxes on properties no longer in the taxing unit and also excludes any growth due to new property values. The rollback rate divides the total property tax revenue into support for maintenance and operations (M&O) taxes and debt service taxes. It provides approximately the same amount to revenue it spent in the previous year for maintenance and operations expenses, plus an extra eight percent. If a taxing unit adopts a tax rate higher than the rollback rate, the voters have the option to petition for an election to limit the size of the tax increase. $0.71409/$100 valuation. The proposed 2008 tax rate is $0.66652/$100 valuation, which exceeds proposed tax rate remains unchanged. No tax rate increase is recommended for FY 2008-09. However, because the City of take place prior to the budget adoption a published. In compliance with state law, staff published the effective and rollback rate calculation in the rd Sunday, August 3 Denton Record Chronicle. The City Council was provided a copy of the notice on August 1, 2008. For advertisement of the two public hearings that are required, staff st published a quarter-page notice of the hearings in the Sunday, August 31 Denton Record th Chronicle. The City Council was provided a copy of this notice on August 19. The attached Agenda Information Sheet September 9, 2008 Page 2 th Denton Record Chronicle Web site, http://www.cityofdenton.com and the public access channel. Through the resolution, the City Council will take formal action for the intent to vote on the tax rate on September 23, 2008. ESTIMATED SCHEDULE August 19, 2008 Vote to place proposal on future agenda September 9, 2008 Hold first public hearing September 16, 2008 Hold second public hearing September 23, 2008 Adopt tax rate PRIOR ACTION/REVIEW On August 19, 2008, the City Council met and discussed placing a proposal on a future agenda to adopt a 2008 tax rate and called for two public hearings on the tax rate. EXHIBITS Notice of Public Hearing on Tax Increase Notice of Tax Revenue Increase Resolution Respectfully submitted: Bryan Langley Director of Finance Ð«¾´·¸»¼ ·² ß«¹«¬ íïô îððè ª?£ªÆ£?Æ?£ªÃ± Û£?Ã£øÉk±Ãô?ÃªÐ£ª¼Zñª? Ì¸» Ý·¬§ ±º Ü»²¬±²ô Ì»¨¿ ©·´´ ¸±´¼ ¬©± °«¾´·½ ¸»¿®·²¹ ±² ¿ °®±°±¿´ ¬± ·²½®»¿» ¬±¬¿´ ¬¿¨ ®»ª»²«» º®±³ °®±°»®¬·» ±² ¬¸» ¬¿¨ ®±´´ ·² ¬¸» °®»½»¼·²¹ ¬¿¨ §»¿® ¾§ ðòîí °»®½»²¬ ø°»®½»²¬¿¹» ¾§ ©¸·½¸ °®±°±»¼ ¬¿¨ ®¿¬» »¨½»»¼ ´±©»® ±º ®±´´¾¿½µ ¬¿¨ ®¿¬» ±® »ºº»½¬·ª» ¬¿¨ ®¿¬» ½¿´½«´¿¬»¼ «²¼»® Ý¸¿°¬»® îêô Ì¿¨ Ý±¼»÷ò Ç±«® ·²¼·ª·¼«¿´ ¬¿¨» ³¿§ ·²½®»¿» ¿¬ ¿ ¹®»¿¬»® ±® ´»»® ®¿¬»ô ±® »ª»² ¼»½®»¿»ô ¼»°»²¼·²¹ ±² ¬¸» ½¸¿²¹» ·² ¬¸» ¬¿¨¿¾´» ª¿´«» ±º §±«® °®±°»®¬§ ·² ®»´¿¬·±² ¬± ¬¸» ½¸¿²¹» ·² ¬¿¨¿¾´» ª¿´«» ±º ¿´´ ±¬¸»® °®±°»®¬§ ¿²¼ ¬¸» ¬¿¨ ®¿¬» ¬¸¿¬ · ¿¼±°¬»¼ò Ì¸» º·®¬ °«¾´·½ ¸»¿®·²¹ ©·´´ ¾» ¸»´¼ ±² Í»°¬»³¾»® çô îððè ¿¬ êæíð °ò³ò ·² ¬¸» Ý·¬§ Ý±«²½·´ Ý¸¿³¾»® ¿¬ Ý·¬§ Ø¿´´ô îïë Ûò Ó½Õ·²²»§ Í¬®»»¬ô Ü»²¬±²ô Ì»¨¿ éêîðïò Ì¸» »½±²¼ °«¾´·½ ¸»¿®·²¹ ©·´´ ¾» ¸»´¼ ±² Í»°¬»³¾»® ïêô îððè ¿¬ êæíð °ò³ò ·² ¬¸» Ý·¬§ Ý±«²½·´ Ý¸¿³¾»® ¿¬ Ý·¬§ Ø¿´´ô îïë Ûò Ó½Õ·²²»§ Í¬®»»¬ô Ü»²¬±²ô Ì»¨¿ éêîðïò Ì¸» ³»³¾»® ±º ¬¸» ¹±ª»®²·²¹ ¾±¼§ ª±¬»¼ ±² ¬¸» °®±°±¿´ ¬± ½±²·¼»® ¬¸» ¬¿¨ ·²½®»¿» ¿ º±´´±©æ ÚÑÎæ Ó¿®µ ßò Þ«®®±«¹¸ô Ó¿§±®ô Ð»¬» Õ¿³°ô Ó¿§±® Ð®± Ì»³ô ß¬óÔ¿®¹» Ð´¿½» ëô Ý¸¿®´§» Ø»¹¹·²ô Ü·¬®·½¬ ïô Î«¼§ Ó±®»²±ô Ü·¬®·½¬ îô Ö¿½µ Ì¸±³±²ô Ü·¬®·½¬ íô Ý¸®· É¿¬¬ô Ü·¬®·½¬ ìô Ö±» Ó«´®±§ô ß¬óÔ¿®¹» Ð´¿½» êò ßÙß×ÒÍÌæ Ò±²» ÐÎÛÍÛÒÌ ¿²¼ ²±¬ ª±¬·²¹æ Ò±²» ßÞÍÛÒÌæ Ò±²» Ì¸» ¿ª»®¿¹» ¬¿¨¿¾´» ª¿´«» ±º ¿ ®»·¼»²½» ¸±³»¬»¿¼ ·² ¬¸» Ý·¬§ ±º Ü»²¬±²ô Ì»¨¿ ´¿¬ §»¿® ©¿ üïëîôêíê ø¿ª»®¿¹» ¬¿¨¿¾´» ª¿´«» ±º ¿ ®»·¼»²½» ¸±³»¬»¿¼ ·² ¬¸» ¬¿¨·²¹ «²·¬ º±® ¬¸» °®»½»¼·²¹ ¬¿¨ §»¿®ô ¼·®»¹¿®¼·²¹ ®»·¼»²½» ¸±³»¬»¿¼ »¨»³°¬·±² ¿ª¿·´¿¾´» ±²´§ ¬± ¼·¿¾´»¼ °»®±² ±® °»®±² êë §»¿® ±º ¿¹» ±® ±´¼»®÷ò Þ¿»¼ ±² ´¿¬ §» ¬¿¨ ®¿¬» ±º üðòêêêëî ø°®»½ °»® üïðð ±º ¬¿¨¿¾´» ª¿´«»ô ¬¸» ¿³±«²¬ ±º ¬¿¨» ·³°±»¼ ´¿¬ §»¿® ±² ¬¸» ¿ª»®¿¹» ¸±³» ©¿ üïôðïéòíë ø¬¿¨ ±² ¿ª»®¿¹» ¬¿¨¿¾´» ª¿´«» ±º ¿ ®»·¼»²½» ¸±³»¬»¿¼ ·² ¬¸» ¬¿¨·²¹ «²·¬ º±® ¬¸» °®»½»¼·²¹ ¬¿¨ §»¿®ô ¼·®»¹¿®¼·²¹ ®»·¼»²½» ¸±³»¬»¿¼ »¨»³°¬·±² ¿ª¿·´¿¾´» ±²´§ ¬± ¼·¿¾´»¼ °»®±² ±® °»®±² êë §»¿® ±º ¿¹» ±® ±´¼»®÷ò Ì¸» ¿ª»®¿¹» ¬¿¨¿¾´» ª¿´«» ±º ¿ ®»·¼»²½» ¸±³»¬»¿¼ ·² ¬¸» Ý·¬§ ±º Ü»²¬±²ô Ì»¨¿ ¬¸· §»¿® · üïëêôííç ø¿ª»®¿¹» ¬¿¨¿¾´» ª¿´«» ±º ¿ ®»·¼»²½» ¸±³»¬»¿¼ ·² ¬¸» ¬¿¨·²¹ «²·¬ º±® ¬¸» ½«®®»²¬ ¬¿¨ §»¿®ô ¼·®»¹¿®¼·²¹ ®»·¼»²½» ¸±³»¬»¿¼ »¨»³°¬·±² ¿ª¿·´¿¾´» ±²´§ ¬± ¼·¿¾´»¼ °»®±² ±® °»®±² êë §»¿® ±º ¿¹» ±® ±´¼»®÷ò ×º ¬¸» ¹±ª»®²·²¹ ¾±¼§ ¿¼±°¬ ¬¸» »ºº»½¬·ª» ¬¿¨ ®¿¬» º±® ¬¸· §»¿® ±º üðòêêëðî °»® üïðð ±º ¬¿¨¿¾´» ª¿´«»ô ¬¸» ¿³±«²¬ ±º ¬¿¨» ·³°±»¼ ¬¸· §»¿® ±² ¬¸» ¿ª»®¿¹» ¸±³» ©±«´¼ ¾» üïôðíçòêç ø¬¿¨ ±² ¿ª»®¿¹» ¬¿¨¿¾´» ª¿´«» ±º ¿ ®»·¼»²½» ¸±³»¬»¿¼ ·² ¬¸» ¬¿¨·²¹ «²·¬ º±® ¬¸» ½«®®»²¬ ¬¿¨ §»¿®ô ¼·®»¹¿®¼·²¹ ®»·¼»²½» ¸±³»¬»¿¼ »¨»³°¬·±² ¿ª¿·´¿¾´» ±²´§ ¬± ¼·¿¾´»¼ °»®±² ±® °»®±² êë §»¿® ±º ¿¹» ±® ±´¼»®÷ò ×º ¬¸» ¹±ª»®²·²¹ ¾±¼§ ¿¼±°¬ ¬¸» °®±°±»¼ ¬¿¨ ®¿¬» ±º üðòêêêëî °»® üïðð ±º ¬¿¨¿¾´» ª¿´«»ô ¬¸» ¿³±«²¬ ±º ¬¿¨» ·³°±»¼ ¬¸· §»¿® ±² ¬¸» ¿ª»®¿¹» ¸±³» ©±«´¼ ¾» üïôðìîòðí ø¬¿¨ ±² ¬¸» ¿ª»®¿¹» ¬¿¨¿¾´» ª¿´«» ±º ¿ ®»·¼»²½» ¸±³»¬»¿¼ ·² ¬¸» ¬¿¨·²¹ «²·¬ º±® ¬¸» ½«®®»²¬ ¬¿¨ §»¿®ô ¼·®»¹¿®¼·²¹ ®»·¼»²½» ¸±³»¬»¿¼ »¨»³°¬·±² ¿ª¿·´¿¾´» ±²´§ ¬± ¼·¿¾´»¼ °»®±² ±® °»®±² êë §»¿® ±º ¿¹» ±® ±´¼»®÷ò Ó»³¾»® ±º ¬¸» °«¾´·½ ¿®» »²½±«®¿¹»¼ ¬± ¿¬¬»²¼ ¬¸» ¸»¿®·²¹ ¿²¼ »¨°®» ¬¸»·® ª·»©ò Ék±ÃÆÃªÂ??«?3+Ë244,ª?£ªÆ£?Æ?£ªÃ± Û£?Ã £ø¼ZÆ`ªkñª? ¼ÆÃ?Y£øª?£ªË¼Z£ªk??k±ÃÆ?ÃªÐ£ª Â??«?+Ë244,ªÂ??«?3.Ë244,£ª??£?£±?£ Ãª??Æ?£?±?Z?`ªk£ø?ÆÃ?Y£øª?£ªË¼Z ø?£«??£???Ã£ª?Æ?Z?£±±Ãª?Æ??ÃªÐY?Y4È21 ??ª?È £øx4È.../2ø£?Æx344£ø?Z±`±k_x04Ë/,-Ë-10È ¼Æ?£?±?Z?`ªk??£?£?£?Ã?ÆÃY?? ?Æ??£?£?Z??£øx4È.../2ø£?Æx344£ø?Z± `±kËZ±kÃªÐ?Z?`ªk?£?Ãø?£«ª_??£???Y ?£?Æ?Z?£±±?ÆÃY?ËÃx04Ë-2,Ë./+È ¼Æ?£?±?Z?`ªk??£?£?£?Ã?ÆÃY?? ?Æ??£?£?Z??£øx4È.../2ø£?Æx344£ø?Z± `±kËÃª±kÃªÐ?Z?`ªk?£?Ãø?£«ª_??£???Y ?£?Æ?Z?£±±?ÆÃY?ËÃx03Ë+11Ë3.-È ¼ÆÃ?Y£kªÃ±£ø?ÆÃ?Y£øª?£ªË¼ZÃÆk± ?£`£?£ª?Æ?Z???Æ?_Ã±±?k±?Ãª?Æ??ZÃª?? ?k±Ã«?ÃªÐ?£Æ±£ªÂ??«?21Ë244,??ÆÃ?Y £kªÃ±Æ«?ÃªÃ?Yô±±Ë23/ÈÜäÃªªYÂ???Ëª?£ªË ¼Z-.243?.É14?È«È AGENDA INFORMATION SHEET AGENDA DATE: September 9, 2008 DEPARTMENT: Finance ACM: Jon Fortune SUBJECT Consider approval of a resolution of the City Council of the City of Denton, Texas announcing that it will vote on the Fiscal Year 20082009 Annual Program of Services (Budget) for the City of Denton at its meeting of September 23, 2008; providing a ratification clause; and providing an effective date. BACKGROUND In compliance with the City Charter and Chapter 102 of the Texas Local Government Code (LGC), the City Council will hold a Public Hearing on the Fiscal Year 20082009 Annual Program of Services (Budget) at its meeting of September 9, 2008. After the Budget Public Hearing on September 9, 2008, the City Charter and Chapter 102 of the LGC require the City Council to take some action on the Budget. The Council can adopt the Budget at this time or pass a resolution to postpone the final vote on the adoption of the Budget until the meeting of September 23, 2008, at the same time the adoption of the tax rate and other Budget related items are considered. Staff recommends that after the Public Hearing on th September 9, the City Council pass this Resolution setting the adoption of the Budget on the September 23, 2008, City Council Meeting Agenda, which will postpone the actual vote on the Budget until that meeting. ESTIMATED SCHEDULE August 19, 2008 Vote to call Budget Public Hearing and to provide public notice August 24 & 29, 2008 Publish Notice of Budget Public Hearing September 9, 2008 Hold Budget Public Hearing and set date, time, and place for vote to adopt Budget September 23, 2008 Adopt Budget Agenda Information Sheet September 9, 2008 Page 2 PRIOR ACTION/REVIEW On Thursday, August 7, 2008, the City Council was provided information regarding the proposed Budget, including the proposed tax rate. On August 19, 2008, the City Council met and passed a Resolution calling the Public Hearing on the Budget for September 9, 2008. The required notice of the Public Hearing on the Budget was published in the August 24 and August 29 issues of the Denton Record-Chronicle and additional notices were posted as required by law. EXHIBITS Resolution Notice of Public Hearing on the Budget Respectfully Submitted: Bryan Langley Director of Finance Published in August 24 and 29, 2008 Denton Record Chronicle NOTICE OF PUBLIC HEARING ON BUDGET The City Council for the City of Denton, Texas, will hold a public hearing on the Fiscal Year 2008-2009 Annual Program of Services (Budget), on Tuesday, September 9, 2008 at 6:30 p.m. in the City Council Chambers at City Hall, located at 215 East McKinney Street in Denton, Texas, 76201. The meeting will be held for the purpose of receiving community input on the Budget. THIS BUDGET WILL RAISE MORE TOTAL PROPERTY TAXES THAN LAST YEARS BUDGET BY $1,345,433, OR 3.3%, AND OF THAT AMOUNT $1,204,508 IS TAX REVENUE TO BE RAISED FROM NEW PROPERTY ADDED TO THE TAX ROLL THIS YEAR. All interested citizens are encouraged to attend and express their views. AGENDA INFORMATION SHEET AGENDA DATE: September 9, 2008 DEPARTMENT: City Manager’s Office CM: George Campbell, City Manager SUBJECT Consider nominations/appointments to the City’s Boards and Commissions. BACKGROUND The following boards/commissions require nominations: Animal Shelter Advisory Committee- Council Member Mulroy has nominated Gerry Veeder. Qualifications have been confirmed for this nomination. Parks, Recreation and Beautification Board – Council Member Watts has a nomination to this board. Public Art Committee – Council Member Watts has a nomination to this board. If you require any further information, please let me know. Respectfully submitted: Jennifer Walters City Secretary S:\Boards & Comm\Agenda Info Sheet for Vacancies 09.09.08.docx