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Minutes January 10, 1989374 City of Denton City Council Minutes January 10, 1989 The Council convened into the Work Session at 5:30 p.m. in the Civil Defense Room. PRESENT: Mayo[ Stephens; Mayor Pro Tem Hopkins; Council Members Alexander, Ayer, Boyd, Gorton and McAdams. ABSENT: None 1. The Council held a discussion concerning the funding criteria to be utilized by the Human Resources Committee. Barbara Ross, Community Development Coordinator, presented the changes in the criteria for funding as suggested by Council. Council reviewed the criteria changes and suggested a joint meeting with the Human Resources Committee be scheduled for the next Council meeting. 2. The Council received a presentation of the results of the financial audit from Deloitte, Haskins & Sells. Wayne Stephens, Deloitte, Haskins & Sells stated that the firm had given the City a "clean opinion", everything was in order and the City had a good financial condition. He stated that the report to management indicated improvements from a management and fiscal standpoint. He stated that the audit operated on the "management by exception" principal which stated specifics that could be improved on and did not mention all of the good points. Council reviewed the comments by the firm and thanked Mr. Stephens for his presentation. 3. The Council considered legislation to create a Regional Water and Wastewater System and considered giving direction to the staff. Lloyd Harrell, City Manager, stated that there were now two main areas of suggestions needed from the Council (1) issues that could easily be incorporated into the legislation;, and (2) issues that represented substantial changes. He suggested that the Council look at the remaining issues and divide them into (1) critical issues that needed to be in the legislation before the Council could support the legislation or (2) strongly recommended issues to be placed in the legislation. He felt that the main concern of the Council was that the City of Denton be adequately represented in the body of the committee. He had worked with Tom Taylor and had changed the language of the legislation to read that the contributing members would be one city, one vote but the assessment would be limited to 50~/capita. City of Denton City Council Minutes January 10, 1989 Page 2 Mayor Pro Tem Hopkins asked that a contributing member regardless of what. was said or done, would still be limited to one vote. City Manager Harrell replied yes, but that there would be a limit on the funds to be spent and to change the per capita contribution would require a 75% vote from the members. Council Member Boyd expressed concern with smaller towns having equal vote in the planning issues. If a plan of the City of Denton went against a regional plan, there might be staff opposition. He could see a 49-51% vote regarding a plant and a possible problem. Tom Taylor stated that they had attempted to address that problem. All other agencies did not get a vote and this was a substantial way from other agencies. He may not be able to go any further on that issue. He stated that once the agency got into a project, there would be a weighted vote and that if there were no sponsors for a project, there would be no project. Council Member Ayer felt that if there were a conflict between what Denton wanted to do and neighboring communities, in the final analysis, it would be based on economics of the situation and the availability of the situation. Council Member McAdams stated that some kind of organizational effort would be preferable to doing nothing. Denton needed to do all it could to protect itself as a city. She suggested Paul Horton write a memo with further suggestions to insure Denton was well protected. Council Member Boyd stated that Denton needed to become a part of the agency to preserve its water rights to remain the same. If Denton did not participate, it might be conceivable that Denton would have to take others as customers and would then need to look for more raw water. There was a need for a regional authority and that could be Denton but there were many problems being the regional authority. Council reviewed the issues that required a substantial changes from the direction previously received from the Steering Committee. Consensus of the Council on those issues were as followed: Weighted vote for participating members - essential; removal of the prohibition on elected officials being appointed to the Board - strongly desired' at-large (rural) Board members - strongly desired; establish qualifications for Board members - strongly desired; prohibit compensation to Board members - essential. 375 376 City of Denton City Council Minutes January 10, 1989 Page 3 4. The Council did not meet in Executive Session during the Work Session. The Council then convened into the Regular Session at 7:00 p.m. in the Council Chambers. PRESENT: Mayor Stephens; Mayor Pro Tem Hopkins; Council Members Alexander, Ayer, Boyd, Gorton and McAdams. ABSENT: None 1. The Council considered approval of the minutes of the Regular Meetings of December 13 and 20, 1988. Alexander motioned, McAdams seconded to approve the minutes as presented. Motion carried unanimously. Consent Agenda Hopkins motioned, Gorton seconded to approve the Consent Agenda as presented. Motion carried unanimously. 1. Bid ~9893 - Change Order ~ 1 - Woodrow Lane/Burning Tree Lane 2. Bid ~9893 - Change Order ~2 - Woodrow Lane/Burning Tree Lane 3. Bid ~9912 - Padmounted Switchgear Bid 99920 - Denton Municipal Lab Expansion/ Building (The Public Utilities Board recommends approval) B. Tax Refunds Consider approval of a tax refund for First Quality Foods Inc. for $1,803.20. ~ 2. Consider approval of a tax refund for Selwyn School for $2,216.13. 3. Consider approval of a tax refund for Glen W. Justice for $1,549.80. 3. Ordinances A. The Council considered adoption of an ordinance accepting competitive bids and providing for the award of contracts for the purchase of materials, equipment, supplies or services. City of Denton City Council Minutes January 10, 1989 Page 4 The following ordinance was considered: NO. 89-002 AN ORDINANCE ACCEPTING COMPETITIVE BIDS AND AWARDING A CONTRACT FOR THE PURCHASE OF MATERIALS, EQUIPMENT, SUPPLIES OR SERVICES; PROVIDING FOR THE EXPENDITURE OF FUNDS THEREFORE; AND PROVIDING FOR AN EFFECTIVE DATE. McAdams motioned, Gorton seconded to adopt the ordinance. On roll vote, McAdams "aye," Alexander 'aye," Hopkins 'aye," Gorton "aye,' Ayer "aye,' Boyd 'aye,' and Mayor Stephens "aye." Motion carried unanimously. B. The Council considered adoption of an ordinance accepting competitive bids and providing for the award of contracts for public works or improvements. The following ordinance was considered: NO. 89-003 AN ORDINANCE ACCEPTING COMPETITIVE BIDS AND PROVIDING FOR THE AWARD OF CONTRACTS FOR PUBLIC WORKS OR IMPROVEMENTS; PROVIDING FOR THE EXPENDITURE OF FUNDS THEREFOR; AND PROVIDING FOR AN EFFECTIVE DATE. McAdams motioned, Ayer seconded to adopt the ordinance. On roll vote, McAdams "aye," Alexander "aye," Hopkins "aye," Gorton "aye," Ayer "aye," Boyd "aye," and Mayor Stephens 'aye." Motion carried unanimously. C. The Council considered adoption of an ordinance authorizing the execution of Change Order #1 to a contract between the City of Denton and Sunmount Corporation and providing for an increase in the contract price. The following ordinance was considered: NO. 89-004 AN ORDINANCE AUTHORIZING THE EXECUTION OF CHANGE ORDER NO. 1 TO A CONTRACT BETWEEN THE CITY OF DENTON AND SUNMOUNT CORPORATION; PROVIDING FOR AN INCREASE IN THE CONTRACT PRICE; AND PROVIDING AN EFFECTIVE DATE. 377 378 City of Denton City Council Minutes January 10, 1989 Page 5 Lloyd Harrell, City Manager, stated that items C. and D. implemented items that were on the Consent Agenda. Council Member Ayer noted that there was an incorrect amount in the first paragraph of the ordinance and requested a change, in the amount. Alexander motioned, Hopkins seconded to adopt the ordinance with the correction as noted. On roll vote, McAdams "aye," Alexander "aye," Hopkins "aye," Gorton "aye," Ayer "aye," Boyd "aye," and Mayor Stephens "aye." Motion carried unanimously. D. The Council considered adoption of an ordinance authorizing the execution of Change Order ~2 to a contract between the City of Denton and Sunmount Corporation and providing for an increase in the contract price. The following ordinance was considered: NO. 89-005 AN ORDINANCE AUTHORIZING THE EXECUTION OF CHANGE ORDER NO. 2 TO A CONTRACT BETWEEN THE CITY OF DENTON AND SUNMOUNT CORPORATION; PROVIDING FOR AN INCREASE IN THE CONTRACT PRICE; AND PROVIDING AN EFFECTIVE DATE. McAdams motioned, Hopkins seconded to adopt the ordinance with the correction noted. On roll vote, McAdams "aye," Alexander "aye," Hopkins "aye," Gorton "aye," Ayer "aye," Boyd "aye," and Mayor Stephens "aye." Motion carried unanimously. E. The Council considered adoption of an ordinance approving a lease between the City of Denton and Bert E. Mahon and Mary L. Mahon for property located at the City of Denton Municipal Airport, Denton, Texas. (The Airport Advisory Board recommended approval). The following ordinance was considered: ORDINANCE NO. 89-006 AN ORDINANCE APPROVING A LEASE BETWEEN THE CITY OF DENTON AND BERT E. MAHON AND MARY L. MAHON FOR PROPERTY LOCATED AT THE CITY OF DENTON MUNICIPAL AIRPORT, DENTON, TEXAS AND PROVIDING FOR AN EFFECTIVE DATE. Rick Svehla, Deputy City Manager, stated that Council had previously had three concerns regarding the lease (1) how the escalating clause would be calculated, (2) if the rate of 8C/foot was consistent with the Master Plan, (3) where the CIP improvements would be at the airport. City of Denton City Council Minutes January 10, 1989 Page 6 Council Member Ayer asked what was the proposed use for the land. Svehla stated that it was for personal use only, not for commercial use. Council Member McAdams stated that it would be helpful if there were indicators of what fell in the categories of improvements which were "none, some, minor, major" improvements. Council Member Ayer stated that his concern had not been addressed. The lease was a low price for an extended period of time. He was reluctant to enter a contract for that figure without the option for renegotiation.. City Manager Harrell stated that this 8~ rate would represent the highest rate at the Airport for a marginal edge. He stated that there was a small protection with the escalator clause. David Arno, Airport Board Chairman, stated that this lease was different because it was with a private individual without profit - no business opportunity. Council Member Boyd asked with the same conditions. all. if the lease was transferable but There would be no commercial use at Svehla replied that was correct. Council Member McAdams requested a work session dealing with information on the airport without the pressure of a proposed lease at hand. McAdams motioned, Boyd seconded to adopt the ordinance.~ On roll vote, McAdams "aye," Alexander "aye," Hopkins "aye," Gorton "nay," Ayer "nay," Boyd "aye," and Mayor Stephens "aye." Motion carried with a 5-2 vote. F. The Council considered adoption of an ordinance approving a contract with Freese and Nichols, Inc. for professional engineering services in connection with the development of a twenty year master plan for improvements to the Wastewater Treatment System. (The Public Utilities Board recommended approval.) 379 The following ordinance was considered: 380 City of Denton City Council Minutes January 10, 1989 Page 7 NO. 89-007 AN ORDINANCE APPROVING AN AGREEMENT BETWEEN THE CITY OF DENTON AND FREESE AND NICHOLS, INC. FOR PROFESSIONAL ENGINEERING SERVICES; AUTHORIZING THE MAYOR TO EXECUTE THE AGREEMENT; APPROVING THE EXPENDITURE OF FUNDS THEREFOR; AND PROVIDING FOR AN EFFECTIVE DATE. Bob Nelson, Executive Director for Utilities, stated that it had been 15 years since the previous Master Plan had been done at the wastewater treatment plant. State law required that once a plant reached a 75% leading capacity, plans needed to be initiated to determine what was to be done with the next phase of the plant. This year the plant reached a 77% loading, so it was time to update the Master Plan and determine what the needs were and how to need those needs. Hopkins motioned, Ayer seconded to adopt the ordinance. On roll vote, McAdams "aye," Alexander "aye," Hopkins "aye," Gorton "aye," Ayer "aye," Boyd "aye," and Mayor Stephens "aye." Motion carried unanimously. 4. Resolutions A. The Council considered approval of a resolution adopting the boundaries of moderate activity center ~40 as a part of Appendix A and amending the Intensity Planning Area Boundary Map. (The Planning and Zoning Commission recommended approval). The following resolution was considered: RESOLUTION NO. R89-001 A RESOLUTION ADOPTING THE BOUNDARIES OF MODERATE ACTIVITY CENTER NUMBER 40 AS PART OF APPENDIX A OF THE DENTON DEVELOPMENT PLAN; AMENDING THE INTENSITY PLANNING AREA BOUNDARY MAP; AND PROVIDING FOR AN EFFECTIVE DATE. Harry Persaud, Urban Planner, presented the background information on the Task Force considerations and the criteria used in defining the intensity area. Council Member Boyd felt that doubling the size of the proposed node would be creating problems. He asked if the land north of the moderate node was fully developed. Would it be likely that the Council would see a proposal in a short period of time, to expand the node north. City of Denton City Council Minutes January 10, 1989 Page 8 Persaud replied that he felt it was quite unlikely that the City would receive such a request in 5 years time. The north side had a good quality housing development. If there were pressure to expand the node, it would be in 10-20 years time. City Manager Harrell stated that the debate was to expend the node just slightly and take in the single family houses and square off the area. Persaud replied that if the 10 single family homes were excluded, then those people would have been in a situation. Were the land south of their area zoned industrial, they would be abutting a thoroughfare and in a low intensity area. Council Member McAdams stated that she had a great deal of concern with the size of the node. The node was too large. Alexander motioned, Gorton seconded to approve the resolution. On roll vote, McAdams "nay," Alexander "aye," Hopkins "aye," Gorton "aye," Ayer "aye," Boyd "aye," and Mayor Stephens "nay." Motion carried with a 5-2 vote. 5. The Council received a report from Gene Douglas and Mr. and Mrs. Tillman Uland regarding the City of Benton operating defensive driving classes in free competition with their programs. Gene Douglas presented additional reasons why the City of Denton should not operating defensive driving classes which included (1) there was a law against a city operating a school outside the city limits, (2) the city could not operate a school unless it had a school district for the purpose of a school, (3) the City was in violation of the Texas Constitution in mingling its own resources with that of another association, (4) if the city operated a school, it must be free, (5) the City was damaging the economy of its competitors. Council Member Gorton requested that the City Attorney address the matter as to whether to continue discussion as Mr. Dougles had been to an attorney. Joe Morris, Assistant City Attorney, stated that there were no significant legal problems with the City's defensive driving program. Tillman Uland felt that the ad placed in the phone book was unfair and improper. 381 Mayor Stephens felt that it could be a potential case for litigation and should not continue discussion. 382 City of Denton City Council Minutes January 10, 1989 Page 9 City Manager Harrell stated that this item would be looked at during the next budget process. Consensus of the council was to take up the item as budget time unless there was a legal opinion that the City was in violation of the law. 6. Miscellaneous matters from the City Manager. City Manager Harrell presented the following items: A. The formal dedication of the Texas Instruments plant would be February 25. B. The formal dedication of the Martin Luther King, Jr. Recreation Center was set for the same day, February 25 at 2:00 p.m. C. Harrell had distributed financial statements from the 911 Board for use by the Task Force. The Task Force represented people from the various municipalities within the County where staff had agreed to serve on an oversight committee to examine all aspects of the 911 plan and report back to the Board by March 1. John McGrane, Executive Director for Finance, had been asked to be temporary chairman of the group. There was no Executive Session during the Work Session. e 8. The following items of New Business were suggested by Council Members for future agendas: ae Council Member Alexander requested information on problems regarding the mowing of the right-of-ways within the City and the ability to accomplish that task. Council then returned to the Work Session item to continue discussion on Item 3. Minutes on that discussion are incorporated into the discussion found under Item 3. 9. The Council convened into the Executive Session to discuss legal matters (Ali A1-Khafaji vs. City of Denton, Flow Memorial Hospital bankruptcy), real estate, and personnel and board appointments (appointments to the Airport Board, Community Development Block Grant committee and the Low Income Housing Task Force). No official action was taken. With no further business, the meeting was adjourned at 9:21 p.m. City of Denton City Council Minutes January 10, 1989 Page 10 CITY O~ DENTON, TEXAS NNIF~ WALTERS TY SECRETARY CITY OF DENTONv TEXAS 383 3037C