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Home My WebLink About26-0942City of Denton _____________________________________________________________________________________ AGENDA INFORMATION SHEET DEPARTMENT: Department of Development Services CM/DCM/ACM: Kenneth Hedges DATE: August 4, 2026 SUBJECT Consider adoption of an ordinance of the City of Denton, a Texas home-rule municipal corporation, authorizing the City Manager or designee to execute an Interlocal Cooperation Agreement with Denton County, Texas, a duly organized political subdivision of the State of Texas, to exempt Denton County from notifying or submitting a building permit for any new construction or renovation of a building or facility owned by Denton County to the City of Denton; and providing an effective date. BACKGROUND The City of Denton currently reviews and inspects permits for work completed by Denton County. There was a House Bill 3234 which went into effect on September 2025, lowering the population threshold where Cities can no longer require counties to permit from 3.3 to 1 million. This is based on census population and would be effective for Denton County after the 2030 census. The bill specifically states “a political subdivision may not require a county to notify the political subdivision or obtain a building permit for any new construction or renovation of a building or facility owned by the county if the construction or renovation work is supervised and inspected by an engineer or architect licensed in the State”. Denton County has requested to be exempt from notifying the City and/or obtaining a building permit for any new construction or renovation of a building or facility owned by the County as stated in TLGC Sec. 245.007 in advance of the statutory requirement. In keeping with the continued partnership with Denton County, this agreement exempts the County from obtaining building permits, they are required to continue complying with the building standards of the City during construction or renovation of a building/facility. The County must also continue to obtain permits or approvals for any city utility connections, work within public Rights-of-Way, or other approvals expressly required by applicable law that are independent of building permit requirements. While this would impact future revenue for the City in receiving permitting fees, the City’s fees are based on cost recovery, and there would not be staff time associated with the review and inspections of these future permits allowing staff to work on other projects/permits. RECOMMENDATION: Staff recommends approval of this request. PRIOR ACTION/REVIEW (Council, Boards, Commissions) None. FISCAL INFORMATION The City has received $114,968 in permitting revenue from the County since 2020 and estimates this would impact an estimated $200,000 in future revenue. City Hall 215 E. McKinney Street Denton, Texas www.cityofdenton.com EXHIBITS Exhibit 1 - Agenda Information Sheet Exhibit 2 - Ordinance Respectfully submitted: Charlie Rosendahl Director of Development Services Prepared by: Mitchell Stoltz Management Analyst THE STATE OF TEXAS § § COUNTY OF DENTON § INTERLOCAL COOPERATION AGREEMENT BETWEEN DENTON COUNTY AND THE CITY OF DENTON THIS AGREEMENT is made, entered into and executed by and between Denton County, a political subdivision of the State of Texas (the “County”), and the City of Denton, a Texas home rule municipal corporation (the “City”). The County and the City are individually referred to as a “Party” and collectively referred to herein as “the Parties.” WHEREAS, the County has requested the City enter into this Agreement to address County’s responsibility to obtain building permits for new construction or renovation of buildings owned by the County within the City; and WHEREAS, in acknowledgment of the below mentioned consideration, the City is willing to agree that it will not require the County to notify the City or obtain a building permit for any new construction or renovation of a building or facility owned by the County if the construction or renovation work is supervised and inspected by an engineer or architect licensed in this State; and WHEREAS, the City requires that the County continue complying with the building standards of the City during the construction or renovation of a building or facility; and WHEREAS, the Interlocal Cooperation Act, Texas Government Code Chapter 791, hereinafter “the Act,” provides authorization for a local government to contract with one or more local governments to perform governmental functions and services under the terms of the Act, and the County and the City hereby mutually agree to be subject to the provisions of the Act; and NOW, THEREFORE, this Agreement is hereby made and entered into by the County and the City upon the terms and conditions stated herein: WITNESSETH: I. Pursuant to Texas Government Code §791.011, the County and the City hereby enter into this Agreement in order to perform certain governmental functions and services in the area of administrative functions related to building permit issuance for construction or renovation of a building or facility owned by the County. The purpose of this Agreement is to provide a governmental function or service that each party is authorized to perform individually, and in accordance with Section 791.011(d)(3) of the Act, each Party is paying for the performance of governmental functions and services from current revenues available to the paying party. II. The City agrees not to require the County to notify the City or obtain building permits when the County is constructing or renovating a building or facility the County owns; however, nothing in this Agreement shall exempt the County or its contractors from obtaining permits or approvals for utility connections, work within public rights-of-way, or other approvals expressly required by applicable law that are independent of building permit requirements. III. The Parties acknowledge the mutual governmental functions, obligations, and commitments undertaken pursuant to this Agreement constitute adequate consideration under Chapter 791 of the Texas Government Code. IV. For purposes of this Agreement, the terms "building," "facility," and "renovation" include new construction, additions, alterations, restoration, rehabilitation, remodeling, maintenance improvements, historic preservation work, and associated site improvements undertaken by or on behalf of the County. Historic preservation, rehabilitation, restoration, stabilization, archaeological investigations, and preservation-related improvements performed on County-owned historic properties shall constitute construction or renovation activities covered by this Agreement. V. This Agreement represents the entire integrated agreement between the County and the City and supersedes all prior negotiations, representations, and agreements, either oral or written. This Agreement may be amended only by written instrument signed by both of the Parties. Notices shall be directed as follows: For City: Cassey Ogden, Interim City Manager City of Denton, Texas 215 E. McKinney Street Denton, Texas 76201 Copy To: Kristi Fogle, Interim City Secretary City of Denton, Texas 215 E. McKinney Street Denton, Texas 76201 Mack Reinwand, City Attorney City of Denton, Texas 215 E. McKinney Street Denton, Texas 76201 For County: Honorable Andy Eads, Denton County Judge 1 Courthouse Drive, Suite 3100 Denton, Texas 76208 andy.eads@dentoncounty.gov holly.sadlowski@dentoncounty.gov Copy To: Denton County District Attorney’s Office - Civil Division 1450 East McKinney Street, Suite 3100 Denton, Texas 76209 VI. In the event of a dispute concerning interpretation of this Agreement or whether a proposed project is subject to its provisions, the Parties shall first attempt to resolve the matter through discussions between the County Administrator or designee and the City Manager or designee before either Party pursues judicial or administrative remedies. VII. Nothing in this Agreement shall be construed to delay or prohibit emergency construction, repair, stabilization, or restoration activities undertaken by the County to protect public health, public safety, or governmental operations. VIII. The covenants, terms, and conditions herein are to be construed under the laws of the State of Texas and are performable by the Parties in Denton County, Texas. The Parties mutually agree that venue for any obligation arising from this Agreement shall be in Denton County, Texas. IX. Nothing contained in this Agreement shall be construed as an admission or acknowledgment by either Party regarding the scope of municipal regulatory authority over County-owned property or governmental functions. This Agreement is intended solely to memorialize the Parties' mutual agreement concerning permitting procedures and shall not constitute a waiver of any legal right, governmental immunity, or statutory authority possessed by either Party. X. The County agrees and understands that the County, its employees, servants, agents or representatives shall at no time represent themselves to be employees, servants, agents or representatives of the City. The City agrees and understands that the City, its employees, servants, agents or representatives shall at no time represent themselves to be employees, servants, agents or representatives of the County. XI. This Agreement is not intended to extend the liability of the Parties beyond that provided for by law. Neither the County nor the City waive, nor shall be deemed to have hereby waived, any immunity or defense that would otherwise be available to it against claims made by third parties. XII. In the event that any portion of this Agreement shall be found to be contrary to law, it is the intent of the Parties hereto that the remaining portions shall remain valid and in full force and effect to the fullest extent possible. COUNTY AUDITOR’S CERTIFICATE I hereby certify funds are available to accomplish and pay the obligation of Denton County, Texas, under this Agreement. _________________________________ Denton County Auditor APPROVAL OF INTERLOCAL COOPERATION AGREEMENT Denton County, Texas, acting by and through the Denton County Commissioners Court, hereby approves and authorizes this Interlocal Cooperation Agreement for the purpose memorializing City’s agreement with County that County is not required to obtain building permits for new construction activity or renovation of buildings owned by the County and located within the City; This Agreement establishes the respective understandings, responsibilities, and obligations of Denton County and the City of Denton as set forth herein By vote on the date below, the Denton County Commissioners Court has approved the agreement identified above and authorized execution of this document by the presiding officer of the Denton County Commissioners Court. Date: _______________________________ By: ________________________________ Presiding Officer of the Denton County Commissioners Court