HomeMy WebLinkAboutJune 9, 2009 Agenda
AGENDA
CITY OF DENTON CITY COUNCIL
June 9, 2009
After determining that a quorum is present, the City Council of the City of Denton, Texas will
convene in 2nd Tuesday Session on Tuesday, June 9, 2009 at 4:00 p.m. in the City Council Work
Session Room at City Hall, 215 E. McKinney Street, Denton, Texas at which the following item
will be considered:
NOTE: A 2nd Tuesday Session is used to explore matters of interest to one or more City Council
Members or the City Manager for the purpose of giving staff direction into whether or not such
matters should be placed on a future regular or special meeting of the Council for citizen input,
City Council deliberation and formal City action. At a 2nd Tuesday Session, the City Council
generally receives informal and preliminary reports and information from City staff, officials,
members of City committees, and the individual or organization proposing council action, if
invited by City Council or City Manager to participate in the session. Participation by
individuals and members of organizations invited to speak ceases when the Mayor announces the
session is being closed to public input. Although 2nd Tuesday Sessions are public meetings, and
citizens have a legal right to attend, they are not public hearings, so citizens are not allowed to
participate in the session unless invited to do so by the Mayor. Any citizen may supply to the
City Council, prior to the beginning of the session, a written report regarding the citizen's
opinion on the matter being explored. Should the Council direct the matter be placed on a
regular meeting agenda, the staff will generally prepare a final report defining the proposed
action, which will be made available to all citizens prior to the regular meeting at which citizen
input is sought. The purpose of this procedure is to allow citizens attending the regular meeting
the opportunity to hear the views of their fellow citizens without having to attend two meetings.
1. Receive a report, hold a discussion and provide staff direction regarding the Downtown
Denton Transit Center concept, planning process, and project schedule.
2. Receive a report, hold a discussion and give staff direction regarding the responses to the
recommendations made by Matrix Consulting Group on the Water/Wastewater/
Engineering Management Study.
Following the completion of the Work Session, the Council will convene in a Closed Session to
consider the following:
A. DELIBERATIONS REGARDING CERTAIN PUBLIC POWER UTILITIES:
COMPETITIVE MATTERS - Under Texas Government Code Section 551.086.
1. Receive a draft response and discuss the DME Management Study of Utility
recently performed by Navigant Consulting; and discuss, deliberate, consider, and
provide Staff with direction regarding such matters.
NOTE: 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,
including without limitation, Sections 551.071-551.086 of the Texas Open Meetings Act.
City of Denton City Council Agenda
June 9, 2009
Page 2
CERTIFICATE
I certify that the above notice of meeting was posted on the bulletin board at the City Hall of the
City of Denton, Texas, on the day of 2009 at o'clock
(a.m.) (p.m.)
CITY SECRETARY
NOTE: THE CITY OF DENTON CITY COUNCIL WORK SESSION ROOM 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: June 9, 2009
DEPARTMENT: Transportation Operations
ACM: Howard Martin, Utilities, 349-823M
SUBJECT
Receive a report, hold a discussion and provide staff direction regarding the Downtown Denton
Transit Center concept, planning process and project schedule.
BACKGROUND
The purpose of this Work Session item is to provide a status report on the Downtown Denton
Transit Center project. The project is currently at the 70-percent design stage with final design
targeted for August 2009 with the construction phase targeted to begin October 2009. This is a
grant funded project through the Federal Transit Administration (FTA) providing 80-percent of
the funding and the remaining local match of 20-percent provided by the Denton County
Transportation Authority (DCTA) through an interlocal agreement between DCTA and the City
of Denton.
On June 17th the City of Denton entered into a professional services agreement with Jacobs
Carter Burgess (JCB) in the amount of $337,590 to provide engineering and design services for
the proposed Downtown Denton Transit Center. A May 2008 interlocal agreement (ILA)
between DCTA and the City of Denton indicates the final design for the facility will be
completed prior to May 1, 2009 and that construction of the facility be completed by May 28,
2010. This schedule will allow DCTA staff to begin operation of the facility approximately six
months prior to the initiation of rail service to Downtown Denton currently scheduled for
December 2010. The interlocal agreement also spells out that DCTA provide 50-percent of the
local match, $388,712000, up front and the remaining $388,712 at the completion of the
construction phase. The final payment will allow transfer of the asset to DCTA. The $777,423
represents the 20-percent local match required to facilitate the $3.109 million FTA grant.
Core City of Denton staff, DCTA staff and JCB project team members met regularly beginning
in July 2008 to outline project scope, design criteria and critical path issues. In August 2008,
JCB planning team presented a number of transit center concepts to DCTA and City staff. On
August 26, 2008, the current design concept was presented to the Mobility Committee. The
concept is based on historical elements visually linking the proposed transit center to the
Courthouse on the Square and design features incorporating architectural components similar to
the original Denton passenger rail depot. The general design received favorable comment from
the Mobility Committee and City of Denton staff at this presentation. The concept was later
presented at a September 15, 2008 rail corridor public meeting hosted by DCTA and at the
November 15, 2008 Economic Development Partnership Board meeting. On December 8, 2008
the City of Denton and DCTA hosted a public meeting at the City of Denton Central Fire Station
to review the conceptual plans and receive input on the design elements and transit features.
Based on positive comments from each of these meetings, JCB advanced the 30-percent plans to
the current 70-percent plans. City of Denton staff and DCTA staff continue to work closely with
JCB to advance this project and identify value options to maintain budget while ensuring the
project will provide enhanced public transportation services to the community and serve as an
economic development catalyst for downtown Denton.
With this in mind, the attached PowerPoint presentation provides an overview of the Downtown
Denton Transit Center project including a City Hall East parking lot project to restore parking
inventory for City Hall East due to reduced capacity anticipated by the construction of the
proposed Transit Center. Discussion points of the presentation include:
FTA Grant
• Discretionary Grant Award
• Feasibility Study - Site Selection
• DCTA - Denton Interlocal Agreement
Station Design
• Schedule - Design and Construction
• Design, Architectural and Operational Elements
• Downtown Denton Implementation Plan
• Hickory Street Corridor Improvement
• Communications and Outreach
CHE Parking
• Proposed Lot
• Rail Road Street
• Schedule
SCHEDULE
Current schedule indicates that 100% plans will be delivered August 1, 2009 and construction
could begin as early as October 2009. JCB estimates a nine-month construction phase.
EXHIBITS
1. Ordinance 2008-098, Transit Center Interlocal Agreement
2. June 9, 2009 Downtown Denton Transit Center Power Point
Respectfully Submitted:
_)'V~ //6~
Mark Nelson
Transportation Director
EXHIBIT I
s:\our documents\ordinances108\dcta interlocal agreement downtown transit center.doc
ORDINANCE NO. Qqg
AN ORDINANCE OF THE CITY OF DENTON, TEXAS, APPROVING AN INTERLOCAL
AGREEMENT BETWEEN THE CITY OF DENTON AND THE DENTON COUNTY
TRANSPORTATION AUTHORITY (DCTA) FOR THE CONSTRUCTION AND PURCHASE OF
THE DOWNTOWN DENTON TRANSIT CENTER; AND DECLARING AN EFFECTIVE DATE.
WHEREAS, Denton was apportioned federal transportation dollars in the amount of $3,109,690
pursuant to a 5309 Grant number TX-03-0293-00 in 2004 for the development of a Downtown Denton
Transit Center; and
WHEREAS, Denton owns the real property and improvements located at 604 E. Hickory,
Denton, Texas 76205 and being further described in Exhibit "A" (the "Land") on which Denton intends to
construct the Downtown Denton Transit Center (hereinafter defined); and
WHEREAS, the development of the Downtown Denton Transit Center will enhance the DCTA
public transit system and provide a safe and secure place to make transit connections; and
WHEREAS, Denton desires to design and construct the Downtown Denton Transit Center for the
benefit of the DCTA and Denton and to transfer ownership thereof upon Completion of Construction
(hereinafter defined) thereof following the closing of the federal 5309 Grant; and
WHEREAS, DCTA intends to assist Denton with the management of the 5309 Grant submittal
including milestone updates and grant reimbursements through the TEAM and ECHO systems; and
WHEREAS, DCTA desires to purchase the Downtown Denton Transit Center pursuant to the
terms of this Agreement; and
WHEREAS, the estimated cost of the design and construction of the Downtown Denton Transit
Center is $3,887,113 with $3,109,690 of such costs expected to be paid by the federal funding 5309 Grant
with Denton advancing its local share in the amount of $777,423; and
WHEREAS, DCTA intends as consideration for the transfer of the Downtown Denton Transit
Center to reimburse Denton up to $777,423 of its local share expenditures upon Completion of
Construction and closing of the 5309 Grant as provided herein; and
WHEREAS, DCTA has agreed that it shall within five (5) business days after the Effective Date
deliver to Denton the sum of $388,712 (the "Earnest Money"); and
WHEREAS, Denton is authorized by Section 380.001 TEX. LOC. GOV'T CODE. to provide
economic development incentives to support the expansion of local business activity, employment, public
transportation and development; and
s:\our documents\ordinances\08\dcta interlocal agreement downtown transit center.doc
WHEREAS, public transportation is essential for the attraction of new business to Denton and
will promote economic development, stimulate commercial activity, generate additional sales tax and will
enhance the tax base and economic vitality of Denton; and
WHEREAS, Denton has adopted programs for promoting economic development and the
economic development grant as set forth herein is given and provided by Denton pursuant to and in
accordance with those programs; and
WHEREAS, Denton is authorized by Article 11, Section 52-a of the Texas Constitution and TEX.
LOC. Gov'T CODE §380.001 to provide economic development grants to promote local economic
development and to stimulate business and commercial activity in Denton; and
WHEREAS, the Act authorizes Denton and the DCTA to enter into this Agreement for the
purpose of achieving the governmental functions provided for herein by this collective, cooperative
undertaking;
THE COUNCIL OF THE CITY OF DENTON DEREBY ORDAINS:
SECTION 1. The City Council hereby approves an Interlocal Cooperation Agreement between
the City of Denton and DCTA for the construction and purchase of the Downtown Denton Transit Center,
a copy of which is attached hereto and incorporated by reference herein.
SECTION 2: This Ordinance shall become effective immediately upon its passage and approval.
PASSED AND APPROVED this the 1 day of 2008.
7
PERRY R. McNEILL, MAYOR
ATTEST:
JENNIFER WALTER, CITY SECRETARY
BY: oj&'4-~
APPROVED AS TO LEGAL FORM:
EDWIN M. SNYDER, CITY ATTORNEY
BY:
STATE OF TEXAS §
§ INTERLOCAL COOPERATION AGREEMENT
COUNTY OF DENTON §
This Interlocal Cooperation Agreement (the "Agreement") is made and entered into by
and between the City of Denton ("Denton") and the Denton County Transportation Authority,
("DCTA"), each organized and existing under the laws of the State of Texas, and acting by,
through and under the DCTA and their respective governing bodies and officials in accordance
with the "Interlocal Cooperation Act", Chapter 791 of the TEXAs GOVERNMENT CODE (the
"Act"); and
RECITALS
WHEREAS, Denton was apportioned federal transportation dollars in the amount of
$3,109,690 pursuant to a 5309 Grant number TX-03-0293-00 in 2004 for the development of a
downtown Denton transit center; and
WHEREAS, Denton owns the real property and improvements located at 604 E.
Hickory, Denton, Texas 76205 and being further described in Exhibit "A" (the "Land") on which
Denton intends to construct the Downtown Denton Transit Center (hereinafter defined); and
WHEREAS, the development of the Downtown Denton Transit Center will enhance the
DCTA public transit system and provide a safe and secure place to make transit connections; and
WHEREAS, Denton desires to design and construct the Downtown Denton Transit
Center for the benefit of the DCTA and Denton and to transfer ownership thereof upon
Completion of Construction (hereinafter defined) thereof following the closing of the federal
5309 Grant; and
WHEREAS, DCTA intends to assist Denton with the management of the 5309 Grant
submittal including milestone updates and grant reimbursements through the TEAM and ECHO
systems; and
WHEREAS, DCTA desires to purchase the Downtown Denton Transit Center pursuant
to the terms of this Agreement; and
WHEREAS, the estimated cost of the design and construction of the Downtown Denton
Transit Center is $3,887,113 with $3,109,690 of such costs expected to be paid by the federal
funding 5309 Grant with Denton advancing its local share in the amount of $777,423; and
WHEREAS, DCTA intends as consideration for the transfer of the Downtown Denton
Transit Center to reimburse Denton up to $777,423 of its local share expenditures upon
Completion of Construction and closing of the 5309 Grant as provided herein; and
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WHEREAS, Denton is authorized by Section 380.001 TEX. Loc. Gov'T CODE to provide
economic development incentives to support the expansion of local business activity,
employment, public transportation and development; and
WHEREAS, public transportation is essential for the attraction of new business to
Denton and will promote economic development, stimulate commercial activity, generate
additional sales tax and will enhance the tax base and economic vitality of Denton; and
WHEREAS, Denton has adopted programs for promoting economic development and
the economic development grant as set forth herein is given and provided by Denton pursuant to
and in accordance with those programs; and
WHEREAS, Denton is authorized by Article Il, Section 52-a of the Texas Constitution
and TEx. Loc. Gov'T CODE §380.001 to provide economic development grants to promote local
economic development and to stimulate business and commercial activity in Denton; and
WHEREAS, the Act authorizes Denton and the DCTA to enter into this Agreement for
the purpose of achieving the governmental functions provided for herein by this collective,
cooperative undertaking; and
NOW THEREFORE, for and in consideration of the premises and the mutual covenants
set forth in this Agreement, and other valuable consideration the receipt and sufficiency of which
are hereby acknowledged the parties agree as follows:
Article I
Definitions
For purposes of this Agreement, each of the following terms shall have the meaning set
forth herein unless the context clearly indicates otherwise.
"Approved Plans" mean the Plans as approved by the Parties.
"Assets" mean collectively the Land and the Downtown Denton Transit Center
improvements.
"Bill of Sale" means a bill of sale in a form reasonably acceptable to the DCTA
for the transfer of Downtown Denton Transit Center.
"Commencement of Construction" shall mean that (i) the Plans have been
prepared and all approvals thereof required by applicable governmental authorities have
been obtained for construction of the Downtown Denton Transit Center; (ii) all necessary
permits for the construction of the Downtown Denton Transit Center pursuant to the
Approved Plans therefore having been issued by all applicable governmental authorities;
and (iii) demolition and grading of the land for the construction of the Downtown Denton
Transit Center has commenced.
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"Completion of Construction" shall mean (i) the construction of the Downtown
Denton Transit Center has been substantially completed; (ii) a certificate of substantial
completion has been issued to the general contractor(s) and engineer(s)/architect(s) for
the Downtown Denton Transit Center, and a copy of such certificate has been delivered
to DCTA; (iii) Denton has issued a final inspection and certificate of occupancy for the
Downtown Denton Transit Center, as the case may be; and (iv) DCTA has accepted the
Downtown Denton Transit Center.
"Closing Date" means the later of. (i) Completion of Construction of the
Downtown Denton Transit Center; and (ii) FTA approval of the transfer of the Assets, or
other date mutually agreed to by the parties.
"DCTA" means the Denton County Transportation Authority acting by and
through its President.
"Denton" means the City of Denton, Texas acting by and through its City
Manager.
"Downtown Denton Transit Center" means a multi modal transit center to be
constructed as further described in Exhibit "B".
"Effective Date" shall mean the last date of execution hereof.
"Event of Force Majeure" shall mean any contingency or cause beyond the
reasonable control of a party including, without limitation, acts of God or the public enemy,
war, terrorist act, not, civil commotion, insurrection, government action or inaction (unless
caused by the intentionally wrongful acts or omissions of the party), fires, earthquake,
tornado, hurricane, explosions, floods, strikes, slowdowns or work stoppages.
"Expiration Date" shall mean the date the parties have fully satisfied their
respective obligations herein.
"Final Budget" means the budget for the costs of design and construction of the
Downtown Denton Transit Center approved by the parties.
"FTA" means the Federal Transit Administration of the United States Department
of Transportation.
"Grant" means an economic development grant in an amount equal to the
difference between the Appraisal and the sum of the Purchase Price and the Additional
Consideration, if any.
"Land" means the real property described in Exhibit "A".
"Permitted Exceptions" shall mean zoning, the lien for current taxes, the
environmental condition and any easements or restrictions of record.
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"Purchase Price" means the sum of $777,423 to be paid by DCTA to Denton at
Closing for the sale, transfer and conveyance of the Downtown Denton Transit Center as
set forth herein.
"Parties" means the DCTA and the City of Denton, Texas acting by and through
their authorized representatives.
"Plans" collectively mean the design and construction plans, building elevations,
architectural, landscaping, exterior and interior lighting plans, and exterior construction
materials for the Downtown Denton Transit Center to be approved by the parties as set
forth herein.
"Project" collectively means the Land, and the Downtown Denton Transit Center,
following construction thereof, together with parking and landscaping all as further
described in the submittals filed with Denton in order to obtain a building permit(s) from
time to time.
"Title Company" means a title company located within Denton County mutually
selected by the parties for the Closing of the transfer of the Assets.
Article II
Term
The term of this Agreement shall begin on the Effective Date and continue until the
Expiration Date, unless sooner terminated as provided herein.
Article III
Purpose
The purpose of this Agreement is to authorize Denton to design and construct the
Downtown Denton Transit Center and to transfer the same to DCTA upon the later of. (i)
Completion of Construction thereof, and (ii) FTA approval of the transfer of the Assets.
Article IV
Project Design and Construction
4.1 Plans. Denton agrees to solicit proposals for the necessary architectural and
engineering services for the design and construction of the Downtown Denton Transit Center on
or before April 1, 2008 and shall award contracts for such services to such firms as approved by
the DCTA on or before June 17, 2008. The solicitation for proposals for the architectural and
engineering services for the Downtown Denton Transit Center shall require the successful firms
to complete the respective design services on or before April 30, 2009. Denton agrees to cause
the necessary architectural and engineering design plans for the Downtown Denton Transit
Center to be complete on or before April 30, 2009.
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4.2 Construction. Denton shall solicit competitive bids for the construction of the
Downtown Denton Transit Center on or before May 29, 2009 and award a contract(s) to the
lowest responsible bidder for the construction of the Downtown Denton Transit Center on or
before June 30, 2009. The solicitation for proposals for the construction of the Downtown
Denton Transit Center shall require the successful firm(s) to complete construction thereof on or
before May 28, 2010. Denton shall, subject to events of Force Majeure, cause Commencement of
Construction of the Downtown Denton Transit Center to occur on or before July 31, 2009, and
subject to events of Force Majeure, cause Completion of Construction thereof on or before May
28, 2010. Denton shall deliver the Downtown Denton Transit Center to the DCTA for
operational occupancy on or before June 30, 2010.
4.3 Plan Approval. Parties shall have the right to approve the Plans prior to the
award of any contracts for the design and construction of the Downtown Denton Transit Center
(the "Approved Plans").
4.4 Project Costs. Unless otherwise agreed by the parties in writing any costs for
the Project in excess of $3,887,113 shall be the sole responsibility of Denton, it being the
intention that the sole financial commitment and responsibility of DCTA shall be the
reimbursement of the local share of Denton not to exceed $777,423 which shall be the Purchase
Price for the transfer of Assets and any Additional Consideration as defined herein.
4.5 General Requirements For Design and Construction.
(a) The Downtown Denton Transit center shall be constructed in accordance with the
Approved Plans.
(b) Denton shall comply with all federal, local and state laws and regulations regarding
the design and construction of the Downtown Denton Transit Center applicable to similar
facilities constructed by Denton, including but not limited to any applicable requirement relating
to payment, performance and maintenance bonds. Upon Completion of Construction Denton
shall provide the DCTA with a final cost summary of all costs associated with the design and
construction of the Downtown Denton Transit Center, and provide proof that all amounts owing
to contractors, subcontractors and suppliers have been paid in full evidenced by the customary
affidavits executed by the Denton and/or its contractors.
(c) Denton shall in connection with the construction of the Downtown Denton Transit
Center cause its contractors to provide such performance bonds, and payment bonds in forms
reasonably satisfactory to Denton for the construction of the Project to ensure Completion of
Construction of the Project.
(d) The design of the Downtown Denton Transit Center shall utilize the proposed rail
alignment as the anchor element of the design.
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Article V
Earnest Money
5.1 Earnest Money. The DCTA shall within five (5) business days after the
Effective Date deliver to Denton the sum of $388,712 (the "Earnest Money").
Article V1
Project Transfer
6.1 Sale of Assets. For the consideration and upon and subject to the terms,
provisions and conditions hereinafter set forth herein, Denton agrees to sell and convey unto
DCTA, and DCTA agrees to purchase from Denton the Downtown Denton Transit Center and
the plans, specifications and warranties related to the Downtown Denton Transit Center.
6.2 Title, Survey, and Environmental Reports.
(a) Within at least forty-five (45) calendar days prior to the Closing, Denton, shall
deliver to DCTA:
(i) a current commitment for an Owner's Policy of Title Insurance for the
Land, from the Title Company setting forth the state of title to the Land together with any
easements or restrictions (existing or created pursuant hereto) benefiting the Land, together with
all exceptions or conditions to such title;
(ii) legible copies of all documents referenced in the Title Commitment;
(iii) a current Survey certified to DCTA and Title Denton; and
(iv) tax statements for current and prior years.
(b) DCTA shall, within twenty (20) business days after DCTA's receipt of the last of
the Survey and Title Commitment, notify Denton and Title Company of any objections to the
Survey or Title Commitment. If there are objections by DCTA, Denton shall in good faith
attempt to satisfy them prior to Closing, but Denton shall not be required to incur any cost to do
so. If Denton delivers written notice to DCTA within ten (10) business days after Denton's
receipt of DCTA's objections that Denton is unable to satisfy such objections, the DCTA may
either waive such objections and accept title as Denton is able to convey or terminate this
Agreement by written notice to Denton and the Title Company. If DCTA terminates this
Agreement pursuant to this Section neither the DCTA nor Denton shall have any further rights or
obligations hereunder.
6.3 Closing.
(a) The closing of the sale of the Assets shall occur between 9:00 a.m. and 1:00 p.m.
on the Closing Date therefore at the Title Company.
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(b) At the Closing, the Denton shall deliver to the Title Company: (i) a Special
Warranty Deed, in form and substance reasonably acceptable to Denton and DCTA, conveying
good and indefeasible title to the Land free and clear of any and all encumbrances, except the
Permitted Exceptions; (ii) the Bill of Sale conveying title to all improvements and facilities
comprising the Downtown Denton Transit Center to DCTA; (iii) a Texas owner's policy of title
insurance (or equivalent) in the amount of the fair market value of the Downtown Denton Transit
Center, insuring such title to the DCTA; (iv) possession of the Project, free of parties in
possession, and (iv) an assignment to DCTA of all warranties from the Denton's contractors,
subcontractors and suppliers providing labor and/or materials in connection with the design and
construction of the Downtown Denton Transit Center; such warranties shall: (a) be at least
standard industry warranties from generally recognized contractors, subcontractors and suppliers
with respect to the Project; and (b) obligate the Denton's contractors, subcontractors and
suppliers to repair all defects for a period of two (2) years following Completion of Construction.
(c) At the Closing, the DCTA shall deliver to Denton through the Title Company: (i)
the Purchase Price, less the Earnest Money and the Grant (if any), in cash or immediately
available funds.
6.4 Taxes. Ad valorem taxes, assessments, and any other charges against the Project
shall be prorated as of the Closing Date and become the responsibility of the DCTA as of the
Closing Date.
6.5 Closing Costs.
(a) Denton hereby agrees to pay and be responsible for the following closing cost:
(i) the cost of all tax certificates relating to all taxes and other assessments
incurred or arising in relation to the Project;
(ii) one-half (`/2) of the Title Company's escrow fees;
(iii) all costs and expenses incurred by or on behalf of Denton, including
Denton's attorney's fees; and
(iv) all fees for the Basic Owner's Title Policy; and
(v) such other incidental costs and fees customarily paid by Sellers of real
property in Denton County, Texas, for transactions of a similar nature to the transaction
contemplated herein.
(b) DCTA hereby agrees to pay and be responsible for the following closing costs:
(i) all fees and premiums for any endorsements to the Basic Owner's Title
Policy;
(ii) all fees and premiums for the Survey;
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(iii) one-half of the Title Company's escrow fees;
(iv) all costs and expenses incurred by or on behalf of the DCTA; including
DCTA's attorneys' fees; and
(v) such other incidental costs and fees customarily paid by Purchasers -of real
property in Denton County, Texas, for transactions of a similar nature to
the transaction contemplated herein.
6.6 Project Sold As Is.
(a) DCTA represents that as of the Closing Date that it:
(i) will have fully inspected the Project; and
(ii) will have made all investigations as it deems necessary or appropriate and
will be relying solely upon its inspection and investigation of the Project
for all purposes whatsoever, including, but not limited to, the
determination of the condition of the structures, improvements, soils,
subsurface, drainage, surface and groundwater quality, and all other
physical characteristics; availability and adequacy of utilities; compliance
with governmental laws and regulations; access; encroachments; acreage
and other survey matters and the character and suitability of the Project.
(b) DCTA acknowledges and agrees that the Project is being purchased and will be
conveyed "AS IS" with all faults and defects, whether patent or latent, as of the Closing Date.
(c) There have been no representations, warranties, guarantees, statements or
information, express or implied, pertaining to the Project, its condition, or any other matters
whatsoever, made to or furnished to DCTA by Denton or any employee or agent of Denton,
except as specifically set forth in this Agreement.
6.7 Remedies. If DCTA defaults, Denton may terminate this Agreement, in which
event Denton may seek specific performance. If Denton defaults, the DCTA may terminate this
Agreement, in which event Denton shall return the Earnest Money to DCTA or DCTA may seek
specific performance.
6.8 Brokers. Denton and DCTA each represent and warrant that they have not
worked with any broker relative to this transaction and that no brokerage commission is due and
payable upon the Closing. Each party shall, to the extent allowed by law, indemnify each other
from any claim for brokers' commissions relative to the sale of the Property and alleged to be
due because of an agreement of such party.
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6.9 Conditions to Closing.
(a) The obligation of the parties to close the purchase of the Project shall be
conditioned upon satisfaction of the following conditions:
(i) FTA approval of the transfer of the Assets.
(ii) Completion of Construction of the Downtown Denton Transit Center.
6.10 Casualty. Risk of loss due to casualty shall be borne by Denton until Closing at
such time said risk of loss due to Casualty shall be borne by the DCTA. Denton shall carry or
cause to be carried insurance in amounts sufficient to restore any of the Project damaged by
Casualty to substantially the same condition they were in immediately prior to such Casualty.
6.11 Additional Consideration. Denton agrees to contract with an appraiser to
determine the fair market value of the Land and improvements thereon (the "Appraisal"). Upon
receipt of the Appraisal, Denton shall furnish a copy of the Appraisal and all supporting
documents to the DCTA for review. In the event the fair market value of the Land and
improvements thereon according to the Appraisal (the "Appraised Value") exceeds the Purchase
Price, the DCTA agrees to pay to Denton a sum equal to the lesser of: (i) fifty percent (50%) of
the difference between the Appraised Value and the Purchase Price; or (ii) $150,000.00, to be
paid at closing. For illustration purposes only, assume the Appraisal is $900,000, the Additional
Consideration would be calculated as follows: 50% of $ 122,577 ($900,000 - $777,423) not to
exceed $150,000, which results in Additional Consideration of $61,288.
Article VII
Miscellaneous
7.1 Entire Agreement. This Agreement constitutes the sole and only agreement
between the parties and supersedes any prior understandings written or oral agreements between
the parties with respect to this subject matter.
7.2 Assignment. This Agreement may not be assigned by either party without the
prior written consent of the other party.
7.3 Successors and Assigns. Subject to the provisions regarding assignment, this
Agreement shall be binding on and inure to the benefit of the parties to it and their respective
heirs, executors, administrators, legal representatives, successors and assigns.
7.4 Governing Law. The laws of the State of Texas shall govern this Agreement;
and venue for any action concerning this Agreement shall exclusively be in the State District
Court of Denton County, Texas. The parties agree to submit to the personal and subject matter
jurisdiction of said court.
7.5 - Amendments. This Agreement may be amended by the mutual written
agreement of the parties.
DCTA/Denton Asset Transfer Interlocal Cooperation Agreement Page 9 of 13
26814
7.6 Severabili . In the event any one or more of the provisions contained in this
Agreement shall for any reason be held to be invalid, illegal, or unenforceable in any respect,
such invalidity, illegality or unenforceability shall not effect any other provisions, and the
Agreement shall be construed as if such invalid, illegal, or unenforceable provision had never
been contained in it.
7.7 Notice. Any notice required or permitted to be delivered hereunder may be sent
by first class mail, overnight courier or by confirmed telefax or facsimile to the address specified
below, or to such other party or address as either party may designate in writing, and shall be
deemed received three (3) days after delivery set forth herein:
If intended for DCTA: With copy to:
Attention: John Hedrick Peter G. Smith
Denton County Transportation Authority Nichols, Jackson, Dillard,
1660 South Stemmons, Suite 250 Hager & Smith, L.L.P.
Lewisville, Texas 75067 1800 Lincoln Plaza
972-221-4600 Telephone 500 North Akard
972-221-4601 Facsimile Dallas, Texas 75201
If intended for Denton: With copy to:
George C. Campbell, City Manager City Attorney
215 E. McKinney City of Denton
Denton, TX 76201 215 E. McKinney
940-349-8307 Telephone Denton, Texas 76201
940-349-8596 Facsimile
7.8 Counterparts. This Agreement may be executed by the parties hereto in separate
counterparts, each of which when so executed and delivered shall be an original, but all such
counterparts shall together constitute one and the same instrument. Each counterpart may consist
of any number of copies hereof each signed by less than all, but together signed by all of the
parties hereto.
7.9 Exhibits. The Exhibits attached hereto are incorporated herein and made a part
hereof for all purposes.
7.10 Recitals. The recital to this Agreement are incorporated herein and made a part
hereof for all purposes.
7.11 Authorization. Each party represents that it has full capacity and authority to
grant all rights and assume all obligations that are granted and assumed under this Agreement.
7.12 Survival of Covenants. Any of the representations, warranties, covenants, and
obligations of the parties, as well as any rights and benefits of the parties, pertaining to a period
of time following the termination of this Agreement shall survive termination hereof.
DCTA/Denton Asset Transfer Interlocal Cooperation Agreement Page 10 of 13
26814
7.13 Approval of Parties. Whenever this Agreement requires or permits the approval or
consent to be given by a party, the parties agree that such approval or consent shall not be
unreasonably withheld, conditioned or delayed.
7.14 Further Assurances. Each party hereby agrees that it will take all actions and
execute all documents necessary to fully carry out the purposes and intent of this Agreement.
7.15 Time for Performance. Time is of the essence in the performance of each
party's obligations hereunder.
~G
EXECUTED this day of , 2008.
CITY OF DENTON
By:
George C. Campbell, City anager
ATTEST:
J IFER WALTERS, ITY SECRETARY
BY:
Approved as to Legal Form:
By:
dwin M. Snyder ity ` tto ey
EXECUTED this day of , 2008.
DENTON COUNTY TRANSPORTATION
By
Joh Hedrick, President
Approved as to Form:
By:
Pe er G. Smith, General Counsel
DCTA/Denton Asset Transfer Interlocal Cooperation Agreement Page I I of 13
26814
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DTAIDenton Asst Transfer Interlacal ~o~eration Agreement Page i ~ of 13
~~s~a ,
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Exhtbl# ;`B'~ r
Description of the Downtown Denton Transit Venter Improven~ent~
Downtown Denton Transportation Facility will consist of approximately 8,S8a sq. ft. facility
constructed to provide 1~~TA "Kiss and Ride" bus services. The facility will includc indoor
passenger waiting area, public restrooms, bus platform, passenger shelter and windbreakers. In
add1t10I], the facility W111 house the DATA ~perat~ons offices and provide approximately 4~
par i~1g Spaces.
D~TAIDenton Assat Transfer Interlacal ~aaperatto~ Agreerr~ent Page 13 of t3
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AGENDA INFORMATION SHEET
AGENDA DATE: June 9, 2009
DEPARTMENT: Water Utility
ACM: Howard Martin, 349-823
SUBJECT
Receive a report, hold a discussion, and give staff direction regarding the responses to the
recommendations made by Matrix Consulting Group on the Water/Wastewater/Engineering
Management Study.
BACKGROUND
Matrix Consulting Group completed a study of Water, and Wastewater, policies, and procedures
in February 2009, as required by the City Charter. Matrix also reviewed the support services
received from Engineering.
An executive summary of their findings and recommendations was presented to the Council on
February 17, 2009. Water, Wastewater and Engineering along with several of the City support
services have taken action or are planning actions on several of the Matrix recommendations.
PRIOR ACTION/REVIEW (Council, Boards, Commissions)
Public Utilities Board Review January 12, 2009
City Council presentation on February 17, 2009
EXHIBITS
1. Water, Wastewater, and Engineering Response to the Matrix Management Study
Respectfully submitted,
Jim Coulter, Director
Water Utilities
Prepared by:
Susan Croff
Utilities Process/Quality Control Auditor
EXHIBIT I
Water/Wastewater/Engineering Response to Matrix Management Study
Issue Recommendation Priority Comments Target
Number Comp
Date
1. Based upon a comparison to other regional agencies, DWU has some technically sophisticated
plant processes but otherwise functions similarly in regard to most internal operations.
1 Continue to cross-train Water Operations Low The Operation's Manager is continually On-
Production staff to operate at both plants. working on keeping enough qualified going
Operators for each of the two plants on a
24/7/365 basis. When this is the case, the
manager schedules Operators to train at the
other plant unt it such time the Operator has
proven that the, fully understand the different
operations of the specific plant. This is an
ongoing process clue to Operator turnover.
2 Use the present seasonal maintenance Low This is the primwu reason for these positions. Done
worker positions to provide landscape and
other support services, as necessary.
3 Link future Water Production Operations Low Staffing of tIic plants will be based on Done
staffing changes on future plant workloadl and security concerns but not
modifications. Develop future staffing necessarily on future plant modifications.
plans resulting from each "major' plant Adjusting tlhc staffing level based on future
upgrade/expansion. plant modifications would be directly related
to am increase workload.
4 Review current practices related to LoNv It is tlhc opinion of the Water Production Done
landscape maintenance arncl parts/tools Superintendent that the security of Denton's
inventory control and make appropriate drinking water could be compromised if the
work practice modifications. landscaping tasks were to be outsourced.
Normally, landscape contractors have keys to
the facilities they are maintaining to
accommodate their schedules. There is a high
risk that these keys could be compromised. A
cost benefit analysis will routinely be made to
determine if outsourcing the landscaping
activities is a viable option, assuming the
contractor can be supervised.
Parts and Tools Inventory control will be
added to the existing computerized
maintenance management system as a part of
the improvements being made to the system.
II. Based upon a comparison to best management practices, DWU has implemented several BMP's
with only moderate opportunities to implement other best practices.
5 Develop a comprehensive information Medium Technology Services has hired a consultant to Pending
technology strategic plan for DWU review the use of GIS, and to some extent current
Maintenance management software used in study
Water, Wastewater, Streets and other City results
divisions. In addition, Finance has a project
underwa to analyze and determine
May 2009 Page 1
EXHIBIT I
Water/Wastewater/Engineering Response to Matrix Management Study
capabilities for capturing and tracking fixed
assets that also involves a GIS element.
Therefore, any additional analysis specific to a
strategic plan or staffing that could be affected
by changes in these areas will be pending on
the outcome of the current analysis and
economic feasibility
6 DWU should seat an ad-hoc committee of Low Staff will review the need for the adhoc Pending
supervisory, line staff, and para- committee once the current consultant efforts current
professional support staff to help re- are concluded. study
engineer or reallocate administrative results
duties.
7 Re-visit Water Distribution crew Low Staff has cv aluated crew size on several Review
deployment practices to ensure the occasions and the current field crew size of during
appropriate number of staff is deployed three results in the most efficient use of annual
manpower and equipment. budget
thereby avoiding excessive crew sizes.
process
8 Implement annual commercial meter Medium We have accelerated our commercial water Done
testing. meter testing program to an annual testing Re -
program. We plan on comparing meter testing Analyze
data witli testing data for our two year program in FY
to see if this acceleration is beneficial and cost 2010
effective. Our current annual water audit
program would indicate that unaccounted for
water losses duc to large water metering
accuracies is not a concern at this time.
Additionall'. our two year large meter
calibration/repair program test data suggest
there will be minimal improvements to large
metering accuracies by accelerating our testing
interval from 2 year cycles down to one year
cycles.
9 The City should evaluate and consider Low The cost to implement the additional service is Done
enhancing the level of street sweeping estimated at $165,000/annually. The increased
service. If additional service is desired, service is not economically feasible at this
approve additional equipment operator time as it would require either an increase in
positions and vehicles based on a the drainage fee or a reduction of resources in
production level of 25-,o curb miles other drainage programs. This will be
swept per operator. reviewed periodically based on community
needs.
10 Re-visit Drainage Fee charges on a Medium Staff continues to monitor the drainage fees On-
regular basis and make recommendations charged by other cities and determines if rate going
for potential revision to the Public Utility increases should be considered each year
Board and City Council, as necessary. during the annual budget process.
Ideally, develop an escalating fee
schedule with moderate fee increases over
a longer planning horizon of five to seven
years.
May 2009 Page 2
Water/Wastewater/Engineering Response to Matrix Management Study
11 Use the American Society of Civil Low The use of generalized percentages for project In
Engineers and Association of Professional staffing derived from national statistics is not progress
Engineers and Geoscientists workload particularly useful. Staff can do abetter job
guidelines to develop engineering and through budgeting and resource scheduling
inspection staffing estimates for various and is currently taking steps to accomplish
CIP projects. these items for CIP projects.
12 Implement some additional project Med ium Constant improvement should be a goal within In
management best practices in to High any organization and making these practices progress
Engineering. mandatory across the Engineering organization
and more transparent will be a focus.
13 Implement the variety of Project Medium This issue ix as acknowledged on the previous Review
Management practices identified in this item, and staff is already taking steps to during
report and, upon such implementation, implement sa mc. Staffing levels for all annual
perform a new staffing assessment for divisions arc assessed continuously as a budget
Engineering. function of man wcmcnt.
process
14 Re-Visit and re-calculate the internal Low to Staff concurs. Review
Engineering "billing rate" composed of a Medium during
labor multiplier for both Engineering's annual
Project-based and General Services tasks. budget
process
15 Continue staffing the internal City High The Cite Council had authorized the formation Done
committee dedicated to review and of a separate Development Review
streamlining of the development review Engineering group consisting of two senior
process engineers and the Development Review
Engineering Administrator, along with the
Ombudsman position for coordinating staff
effort on addressing Applicant concerns. In
addition a Developer's Committee has been
formed with members of the development
community including consulting engineers that
volunteered to be on the committee. This
committee has met initially every two weeks
and now meets monthly. Along with the
committee members this meeting is attended
by Fred Greene, ACM, along with the
Planning and Development Review
Engineering staff. Recommendations from this
committee are ranked by the committee
members and are being implemented by city
staff.
III. As it relates to staffing, there are no opportunities to decrease currently filled positions, a few
opportunities to eliminate vacancies, and some opportunities for modest staff increases.
16 Undertake some moderate realignment of Low Staff routinely evaluates possibilities in this On-
the DWU organizational structure. area as we experience turnover, and as the going
needs of the Water Utility and the community
change.
May 2009 Page 3
Water/Wastewater/Engineering Response to Matrix Management Study
17 Link future DWU staffing changes to Low Staff feels the current organizational structure On-
future City growth and regulatory is adequate to match the current service levels going
changes. Develop future staffing plans and needs of the organization. These issues
resulting from major regulatory initiatives are considered and reviewed each year as a
and relevant population/development part of the annual O&M budget process.
changes in Denton.
18 Based upon various workload analyses, it Medium Staff originally proposed the addition of one Review
is recommended that the various water SFE within the Water Production Division at in the
divisions have a net increase of one (1) the time of the preliminary budget preparation 2010-11
additional staff position. process for FY 2010. Due to affordability Budget
issues, this staff addition is being delayed until Process
afuture date.
19 Authorize one (1) Manager and seven (7) Low Pending current Technology and Finance Pending
technician/mechanic positions in Water analysis (See,-' 5). current
Production Maintenance, one position studies
above current authorized levels, at an The Superintendent of Water Production will
estimated additional cost of $35,000 assess the need for any additional Maintenance
annually in salary and benefits. Use the staff after man hour workload requirements are
present seasonal maintenance worker better understood. Since the computerized
positions to provide landscape and other maintenance maiiagement system (CMMS)
support services, as necessary. was not being fully utilized, it is uncertain if
the workload requirements will support the
need for additional staff. After the CMMS is
operating at its full potential and the workload
slIONN s the need for an additional staff member,
a neNv full time employee will be added to the
proposed budget for approval.
20 Continue to authorize one (1) Manager Medium Water Production's goal is to have 16 Review
and authorize sixteen (16) Icad/operator Operators which will allow 2 Operators on during
positions-two above existing shift during nights and weekends and 1 annual
authorizations-in Water Production Operator when other staff members are present budget
Operations. Fill fifteen positions as soon at each of the 2 plants. Currently, Water process
as practical leaving the sixteenth position Production has 14 approved Operator positions.
as a budgeted "over-hire" position It is anticipated that once the downturn in the
designed to address future turnover. economy shows vast improvement an
additional Operator position, per budget year,
will be added to the proposed budget for
approval.
21 Authorize (2) Supervisors and scv emeen High We are currently managing this vacancy in this Done
(17) field positions in Watcr Distribution. manner.
Eliminate one (1) vacant Field Services
Worker I position. Leave the currently
vacant seventeenth position as a budgeted
"over-hire" position designed to address
future turnover.
22 Authorize (1) Supervisor and nine (9) High We are currently managing this vacancy in this Done
field positions in Water Metering. manner.
Temporarily suspend one (1) vacant
Water Meter Mechanic I position due to
minimal meter replacement work in the
next 24 months or, alternately, dedicate
May 2009 Page 4
Water/Wastewater/Engineering Response to Matrix Management Study
the position to more frequent commercial
meter testing
23 Continue to authorize one (1) Supervisor High Due to one Operations Tech serving in Iraq for Done
and add one (1) Water Reclamation extended duty, one position was created and
Technician II at an estimated cost of filled in FY2008 to continue to provide the
$45,000 annually to authorized staffing Operations group the manpower needed. When
levels resulting in seven (7) line staff in the Operations Tech returns from military duty,
Water Reclamation Operations. the Operations group will have 7 line staff as
recommended.
24 Authorize two (2) Supervisor positions, High One Supervisor position has been added in the Done
adding one Field Service Supervisor at FY2009 budget. Due to funding constraints this
Approximately $68,000 per annum, and position is being funded for 50 percent of the
authorize sixteen (16) field staff, adding budget car. Staff will continue to monitor the
an additional Field Services Worker I at workload and budget position accordingly.
an estimated cost of $30,000 per annum There are currently 19 positions funded in the
to Wastewater Collections. Fill fifteen Wastewater Collections. 3 of these positions
field positions as soon as practical leaving are administrative, and lO are field staff.
the sixteenth position as a budgeted
"over-hire" position designed to address
future turnover.
25 Maintain existing staffing and service High Basic i mplementation will be complete within In
levels in the Laboratory. Identify the six month period and improvements will be progress
impediments to LIMS implementation ongoing.
and develop a new project schedule, with
appropriate milestones, for full
implementation within six months.
26 Consider the organizational structure and Medium Item (1) and (2): The Span of the Director Review
reporting relationship refinements along with the combining of watershed and during
discussed in this chapter. drainage divisions has been analyzed. Changes the
1) The Span of Control for the Director are not economically or organizationally viable annual
at this time for the Drainage Operations. budget
is Too Broad. Environmental mandates and issues have process
2) Drainage and Watershed Protection increased and are currently a priority. This
have Common Goals and Funding, recommendation has been reviewed and staff
and Therefore, should be Centralized will be recommending that the Manager of
Under One Organizational Unit. Environmental Quality be changed to Director
3) Consider Organizing Water of Environmental Quality.
Production Operations and Watcr Item (3): This was analyzed during the current
Production Maintenance Super ision budget process and it is not considered feasible
Around Facilities as Opposccl to to fragment the maintenance groups to align
Functionalities. with only one facility at this time.
4) Re-Organizing Utility and CIP
Engineering in the Short-term Would Item (4): We agree that re-organization in this
not be Beneficial. area is not currently beneficial.
27 The following recommendations Medium We agree and have confirmed through the Done
suggested maintaining or continuing current budget process that these positions
staffing levels in various departments should be maintained and will continue to
based on the current environment. review and consider changes as needed during
1) Continue to authorize one (1)
May 2009 Page 5
Water/Wastewater/Engineering Response to Matrix Management Study
Manager and seven (7) the annual budget process.
electricians/technician positions in
Water Production Electric.
2) Environmental Services and
Utility/CIP Engineering should
maintain present staffing levels.
3) Continue to authorize (1) Supervisor
and eleven (11) field positions in
Drainage Field Services.
4) Maintain existing authorized line
staff levels in Water Reclamation
Field Services.
5) Maintain existing staffing and
operational practices in the Beneficial
Re-Use Division.
6) Maintain existing staffing and service
levels in Wastewater Pre-Treatment.
IV. One of the vital few improvement opportunities is related to further standardization and use of
computerized maintenance management systems.
28 In water and wastewater operations, Medium Technology Services is currently evaluating ending
whether a revision of existing cite wide acccls for addressing this issue. Staff current
computerized systems or a new Neill participate in this evaluation and determine study
consolidated technology product Nvlhat course of action is appropriate. Current results
implementation of a comprelicusk c buclget concerns suggests that implementation
Computerized Maintenance Nk naocment of these initiatives may be limited due to
System (CMMS), with the full suite of m ailability of resources in the short term.
capabilities, should be afforclcd tlhc
highest priority.
29 Devclop nick acl-hoc committee of Medium See response above. Pending
technical experts to include to dcN clop a current
comprehensive Information Technology study
Strategic Plan. Anticipate approximately results
18-24 months for development of a final
Plan.
May 2009 Page 6
1 DRAFT MINUTES
2 PUBLIC UTILITIES BOARD
3 June 8, 2009
4
5 After determining that a quorum of the Public Utilities Board of the City of Denton, Texas was
6 present, the Vice Chair of the Public Utilities Board thereafter convened into an Open Meeting
7 on Monday, June 8, 2009 at 9:00 a.m. in the Service Center Training Room, City of Denton
8 Service Center, 901-A Texas Street, Denton, Texas.
9
10, Present: Bill Cheek, Phil Gallivan, John Baines and Randy Robinson
11
12 Ex Officio Officers:
13 Howard Martin, ACM Utilities
14
15 Absent: Dick Smith and Bill Grubbs, both excused
16
17 OPEN MEETING:
18
19 ITEMS FOR INDIVIDUAL CONSIDERATION:
20
21 4) Receive a report and discuss the responses to the recommendations made by Matrix
22 Consulting Group on the Water/Wastewater/Engineering Management Study.
23
24 ACM Howard Martin stated that this presentation is a follow up to the Matrix Consultant
25 Group's Management Study for Water/Wastewater and Engineering. Martin then called on Jim
26 Coulter, Director of Water Utilities, to present this item. Coulter stated his presentation would
27 be limited to items that staff is currently working on as a result of this study. Coulter then
28 thanked Susan Croff for coordinating the study. Coulter stated that while the study has twenty-
29 nine recommendations, his response will be specific to several of the recommended tasks.
30
31 One recommendation made by the Consultant is that mowing be outsource for the Water Plant.
32 Coulter stated that staff disagrees with this recommendation due to Home Land Security issues
33 and because there are large quantities of chlorine gas present at the Plant staff would prefer that
34 outsiders not have access to the plant. Therefore, staff will not outsource ground maintenance.
35
36 Also recommended is that commercial meter testing being conducted annually. Staff has
37 implemented this recommendation and is performing annual testing of the commercial meters.
38 Staff will evaluate cost effectiveness in 2010.
39
40 The Study also recommended that the City evaluate and consider the addition of an additional
41 street sweeper. Coulter stated that the cost to implement the additional service is estimated at
42 $165,000 annually and that increased service is not economically feasible at this time as it would
.43 require either an increase in .drainage fee or a reduction of resources.in other drainage program.
44 Staff- will review periodically based on community needs.
45
46 It was also recommended that the City re-visit drainage fee charges on a regular basis and make
47 recommendations for potential revisions to the Public Utility Board and City Council, as
48 necessary. Ideally, develop an escalating fee schedule with moderate fee increases over a longer
49 planning horizon of five to seven years. Staff continues to monitor drainage fees to determine if
50 rate increases should be considered each year during the budget process. Again, staff believes
51 this is not the best time to increase drainage fees.
Draft Minutes of the Public Utilities Board meeting
June 8, 2009
Page 2 of 2
1 It was also recommended that staff review and identify impediments to the Laboratory LIMS
2 Implementation and to develop a project schedule. Basic implementation has been scheduled for
3 completion in a 6-month period and followed with on-going improvements.
4
5 Coulter stated that a number of suggestions were made concerning the Engineering area and that
6 staff is incorporating a number of those elements requested. One recommendation was to re-visit
7 and recalculate the internal Engineering "billing rate" composed of a labor multiplier for both
8 Engineering's project based and general services tasks. Staff concurs with this recommendation
9 and is currently reviewing the recalculation of the multiplier associated with the engineering
10 groups.
11
12 It is also recommended that staff consider the organizational structure and reporting relationship
13 of the Water Utilities organization. Coulter stated that the span of the Director along with the
14 combining of watershed and drainage divisions has been analyzed. Changes are not
15 economically or organizationally viable at this time for the Drainage Operations. Environmental
16 mandates and issues have increased and are currently a priority. This recommendation has been
17 reviewed and staff will be recommending that the Manager of Environmental Quality be changed
18 to Director of Environmentally Quality.
19
20 ACM Martin stated that currently the Environmental group does quite a bit of work outside of
21 the Utility organization. The Group's role in general fund activities, particularly with the
22 sustainability effort, will continue to expand and a lot of that expansion will be outside of the
23 Utility operations. Staff will look at receiving funding support from the General Fund for the
24 work that Group is doing outside of utilities.
25
26 Coulter stated that of concern across the Water Utility was the various and sundry operating
27 systems from a technology based standpoint. It is recommended that a coordinated effort be
28 undertaken to begin to streamline some of the different operating systems. It is recommended
.29 that an internal ad hoc committee be formed look at all of the different systems and to determine
30 see if those numbers could be reduced. Currently the Technology Services department is
31 evaluating operating systems across the organization and staff is proposing to allow that study to
32 conclude, to look at the results from that study and then determine where Utilities needs to go.
33
34 Board Member Baines asked how long it would take to implement the recommendations and if
35 there is a projected cost to implement those recommendations. Coulter replied some
36 recommendations had been implemented and some are in progress. Staff disagrees with some
37 and will not implement those. The IT Implementation will probably take the longest because a
38 review of the Technology Groups is currently being conducted. Once that review is completed,
39 it is hoped implementation will be in twelve to eighteen months. The IT component is going to
40 be very costly if systems currently in place. are replaced or modified.
41
42 Vice Chair Bill Cheek asked if staff had a deadline as to when the IT recommendation would be
43 brought to the PUB. Coulter replied that staff did not have a deadline because it is unknown how
44 long it will take Technology Services to complete its analysis. Staff will bring forward any cost
45 factors to the PUB and the City Council.
46