Minutes September 12, 1989CITY OF DENTON CITY COUNCIL MINUTES
September 12, 1989
The City Council convened into Executive Session at 5:45 p.m.
The meeting adjourned at 6:09 p.m.
The City Council convened into the Work Session at 6:15 p.m. in
the Civil Defense Room.
PRESENT: Mayor Stephens, Mayor Pro Tem Ayer; Council
Members Alexander, Boyd, Gorton, Hopkins and
McAdams.
ABSENT: None
1. Hold a discussion with hotel-motel occupancy tax fund
recipients.
A. Denton Convention and Visitors Bureau
Bob Woodin
budget. The
Year 1989-90.
presented the Convention and Visitors Bureau
budget requested $143,313 in funding for Fiscal
Projected actual costs for 1988-89 were $127,111.
Council Member Gorton asked Mr. Woodin what impact freezing the
hotel-motel tax revenues in the budget at current levels for
the next three years would have on the Bureau.
Mr. Woodin responded that such a freeze would have a
substantial impact on Joanne Ballentine's ability to travel to
conventions to sell Denton as a site. The Bureau would be
negatively impacted by a freeze.
The Visitors and Convention Bureau's fiscal year was from
April 1 to March 31.
B. North Texas State Fair Association
Bob Powers presented the State Fair's budget. No major changes
from the 1988-89 budget.
Mayor Stephens asked about the responses the State Fair was
receiving from its mail out promotions.
Mr. P0wers stated that the response from people interested in
livestock shows was very good.
Council Member Gorton asked Mr. Powers what impact freezing the
hotel-motel tax revenues in the budget at current levels for
the next three years would have on the State Fair Association.
Mr. Powers responded that the Fair A~so¢iation could not take a
budget cut. Most of the money was spent following up on leads
for possible fairgrounds users.
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City of Denton City Council Minutes
September 12, 1989
Page 2
Council Member Hopkins asked
requirements of the legislation.
if the budgets met the
John McGrane, Executive Director for Finance, responded that
they were technically acceptable, but he would have to confer
with the City Attorney about the travel budgets.
Lloyd Harrell, City Manager, stated .that Council must approve
the budgets under the new legislation.
The North Texas State Fair Association's fiscal year was from
January 1, to December 31.
C. Denton County Historical Foundation
Glen Kerslake presented the Historical Foundation's budget.
The budget for fiscal year 1989-90 reflected a $12,000 decrease
from last year's budget. Of that $12,000, $9,000 could be
attributed to the fact the County was now paying salaries and
$3,000 was a part of some belt tightening done by the
foundation. Mr. Kerslake stated that a three-year freeze of
hotel-motel tax revenues would not be a problem for the
Foundation.
The Historical Foundation's budget year was from October 1 to
September 30. This reflected a recent change made by the
Foundation.
D. Denton County Historical Museum
Barbara Hall gave a slide presentation about the Museum's
activities.
Lloyd Harrell asked about the Museum's request for $48,000.
Ms. Hall responded that the $8,000 increase was a part of the
reduction made by the Historical Foundation.
Council Member McAdams asked what impact a three-year freeze on
the revenues from the hotel-motel tax funds would have on the
Museum.
Norma Gamble ~esponded the freeze would not have an impact
because of this year's $8,000 increase.
The Historical Foundation's budget was from October 1 to
September 30.
E. Greater Denton Arts Council
Herbert Holl presented the budget for the Arts Council. This
was the second straight year the Arts Council finished in the
City of Denton City Council Minutes
September 12, 1989
Page 3
black. The budget was a cautious one with regards to revenue.
Hotel-motel tax funds account for 25% of the Arts Council's
budget.
Council Member Gorton asked when the Performing Arts Center
might be open.
Mr. Holl responded that the Arts Council currently had $300,000
in hand, plus an additional $35,000 in commitments. The
remainder of the funds needed, approximately ~40,000, would be
targeted in a capital campaign in the spring.
Lloyd Harrell asked if the Arts Council had repaid the loan it
took from the funds for the Performing Arts'Center.
Mr. Holl replied that it had not been repaid, but the Arts
Council had every intention of repaying the $13,000.
The Arts Council's fiscal year was from July 1 to June 30.
Mayor Stephens stated that the contracts would be formally
considered at next week's Council Meeting (September 19), and
that discussion on the matter would take place at that time.
Council Member Alexander asked if it would be an improvement
over the present situation if the Council gave the hotel-motel
tax recipients a firm number to budget from with a contingency
fund in case the revenues fell off. He also asked if it was
legal.
John McGrane replied that to do so would require a revision of
the contracts since they allocate the money on a percentage
basis.
Council Member Gorton stated that the percentage basis now used
makes accountability difficult for the Council. If revenues
top projections, could Council assign the money at its
discretion. There were other needs that this money could be
used for.
Council Member Alexander stated that while he was pleased with
what he had heard, he did not find allocating by percentages an
acceptable way of budgeting.
Council Member Ayer stated a concern
ability to fulfill its obligation to the
the money by percentages.
about the Council's
law if it allocated
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~ 2. Discussion of Budget Issues.
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City of Denton City Council Minutes
September 12, 1989
Page 4
Lloyd Harrell presented an overview of the proposed budget.
John McGrane distributed a sheet containing technical
corrections to the budget. Mr. McGrane then informed Council
of his conversation with Mr. Edwards, Peterbilt Comptroller,
concerning the City's budget. While Mr. Edwards brought up a
number of solid points, Staff and Council had already
considered them and the impact they would have on operations.
Lloyd Harrell presented the pros and cons of the City's
involvement with the North Texas Commission. It was the
concensus of the Council to continue its membership.
Lloyd Harrell presented budget figures that showed the City's
contribution to economic development and economic development
related activities totaled $934,667 in this year's budget.
Library - the County's contribution was budgeted at $140,000,
but the County had informed the City that it would be paying
the City only $117,941 for fiscal year 1989-90. There was a
pledge to raise per capita funding by 25¢ next year.
Council Member Gorton asked what schedule was used by the
County in disbursing the funds. The answer was quarterly
payments. Council Member Gorton then suggested that the
Library keep track of the use of the Library by non-City
residents of Denton County.
Council Member Boyd asked if a charge would result in the end
of use of the Library by County residents.
Joella Orr, Director of the Library, responded that there might
be a drop-off, but she was not sure of the extent. Ms. Orr
added that County residents' account for about 24% of the
Library's users.
The recommendations of the Solid Waste Alternatives Committee
and their impact on the budget were then discussed.
Council Member B0yd asked if their action on the budget
presupposed the answer to the Committee's recommendation.
Lloyd Harrell responded that such action did not presuppose the
answer. The Council would still have the option of taking over
all services or charging a franchise fee on private haulers.
The elimination of an Urban Planner position and the savings to
the budget were then discussed.
Council Member McAdam$ expressed concern that if development
were to pick up again, the City would once again focus only on
development while long range plans were not made.
City of Denton City Council Minutes
September 12, 1989
Page 5
Mayor Stephens thanked staff for finding places to cut the
budget.
Council Member McAdams asked how the work would be done with
less staff.
Frank Robbins, Executive Director for Planning and Community
Development, responded that the Planning Department would be
using the team approach with regards to assignments.
The Human Services Committee's funding proposal was the next
item considered. Mayor Stephens brought the Veteran's of
Foreign Wars request for the funding of a van to the attention
of the Council. The van would be used to transport disabled
Veterans to and from VA hospitals in Dallas, Waco, and Bonham.
Council Member Boyd asked if the criteria used by the Human
Services Committee had applied to this request. In all
fairness, the VFW'S request should have gone through the
Committee.
Council Member McAdams stated that something would have to come
off the list before she could consider putting the van on the
list.
Council Member Alexander stated it would be unfair for the
Council to ask the Committee to look at a single request. If
it is to be considered, the Council should consider it.
Council Member McAdams stated that Handihop should not be cut
and that SPAN should be budgeted separately. It was not right
to have transportation competing with a prenatal clinic.
Council Member Ayer agreed that SPAN should become a separate
line item in the budget.
Mayor Stephens asked if separating SPAN from the Committee's
budget might have implications in the future as far as staffing
a transportation office was concerned.
Council Member Alexander stated that a transportation line item
was a good idea, but it might not be possible in this year's
budget. The Committee's budget should be cut by the amount
awarded to SPAN.
Mayor Stephens stated that SPAN was a social service and should
be funded through the Committee.
Council Member Boyd stated that SPAN had changed and the
Committee had changed and this should be recognized in the
budget. Mr. Boyd then asked what Handihop's funding should
be. The ~36,000 requested actually keeps Handihop even.
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City of Denton City Council Minutes
September 12, 1989
Page 6
Council Member Alexander suggested taking $1,000 from AIDenton
and Ann's Haven Hospice to bring Handihop to $36,000.
Council Member Gorton stated that Ann's Haven Hospice could
recoup its expenses through community support, Medicaid and
Medicare. It did not really need money from the City.
Council Member Hopkins stated that she personally supported
Ann's Haven, but she did not believe the City should.
Council Member McAdams stated that since tax dollars were being
used, the City should use them to do things for people that
could not do for themselves.
Council Member Ayer stated that the prenatal clinic was not
funded, in part, because it was supported by Medicaid.
Dorothy Damico, Chair of the Human Services Committee, stated
that the prenatal clinic was not funded, in part, because of
the Flow case. In the Committee,s opinion, Ann's Haven and
A1Denton were not health care.
The next item to be discussed was the automation of jail
arraignments. A committee would study the issue and return to
Council with recommendations.
Public safety was the next issue to
Member McAdams asked what District
responded that it was Southeast Denton.
be discussed. Council
102 was. Chief Jez
Dawn to dusk lighting was then discussed. Council Member
Hopkins stated that the change in rates from $6.20 a month to
$7.50 a month was not significant and that a person should pay
for the service he or she received.
The proposed pay plan adjustments were then discussed. Mayor
Stephens stated that the full 5% increases should not be so
easy to receive and that perhaps the City should look towards
revamping the system.
Council Member McAdams stated that performance increases were
always subjective regardless of the system. She stated that
her concern was that the insurance increase could end up
reducing a person's taKe-home pay.
Lloyd Harrell responded that the insurance situation had
changed somewhat and that it did not appear that anyone would
receive a cut in take-home pay unless they chose to take the
cut when they chose among the insurance coverages available.
Cooncil Member Alexander ~tated that every employee must have
the opportunity to receive a raise.
City of Denton City Council Minutes
September 12, 1989
Page 7
Health insurance options were then discussed. Council was
assured that this matter would be brought before them in
October .and that the start-up date would be December 1.
A tax rate comparison with the City of Lewisville was then
discussed. Over the past four years Denton's rate had risen
3 1/2~ while Lewisville had gone up 7¢.
Other items:
Council Member McAdams stated she would like to see the City
squeeze the budget a bit more. Specifically, she wanted to see
what would happen with a 1, 2, and 3 cent drop in the rate.
Council Member Ayer asked about the effects of cutting travel
by a specific percentage.
Council Member Hopkins stated that $100,000 should be cut from
the budget.
It was the concensus of the Council to reduce the Chamber's
economic development funding from $76,000 to $60,000 with the
North Texas Commission dues coming out of the $60,000.
There was some discussion concerning the use of utility funds
being used for the Chamber's economic development efforts.
Council Member McAdams requested a legal opinion on the use of
utility funds.
The City Council adjourned to Executive Session at 10:40 p.m.
No official action was taken.
With no further business, the meeting was adjourned.
PHE~S, MAYOR
F DENTON, TEXAS
ROGE~NELSON ..... ·
DEPUTY CITY SECRETARY
CITY OF DENTON, TEXAS
2707j
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