Minutes July 02, 1991180
CITY OF DENTON CITY COUNCIL MINUTES
JULY 2, 1991
The Council convened into the Work Session at 5:15 p.m. in the
Civil Defense Room.
PRESENT:
Mayor Castleberry; Mayor Pro Tem Hopkins; Council
Members Alexander, Chew, Perry, Smith and Trent.
ABSENT: None
1. The Council convened into the Executive Session to
discuss legal matters (considered claim of Michael Wilson and
considered action in Patel v. City), real estate, and
personnel/board appointments (considered appointments to all
City of Denton Boards, Commissions and Task Forces.)
2. The Council held a discussion and considered the Major
Budget Issues Report.
Lloyd Harrell, City Manager, stated that the purpose of the
report was to highlight the major issues affecting the
presentation of the 1991-92 budget that would be submitted
Council by the end of July. It also divided the budget into
two parts - the macro and micro items. The major budget items
represented the macro budget items. The macro budget items
were those major issues that made a difference in the direction
for the community for the next few years. The micro budget
items were the details of the budget which included wise use of
funds in the department's budgets. The Council was faced with
difficult financial impacts because of flat assessed property
valuation, limited sales tax revenue growth and other revenue
sources not keeping pace with current service level
expenditures. In addition, the 1991-92 budget would be the
first year to experience the impact of the Freeport Amendment
which decreased the amount of available assessed property. The
draft proposed budget was established with the continuing
philosophy of retaining the City's fiscal integrity, while
keeping current levels of services.
Detailed back-up information was included in the agenda
materials and can be found in the agenda packet information.
The following represents a summary of that information.
Major Issues - General Fund
1. General Fund Reserve - the adopted goal of Council had
been to maintain this balance between 8% - 10% of General Fund
expenditures. Staff was recommending utilizing $550,000 of the
unreserved balance in order to help balance the 1991-92
budget. This would reduce the projected unreserved balance to
10.88% of the total expenditures.
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July 2, 1991
Page 2
181
2. Fire Station #6 - It was anticipated that the opening
of the station would be in October 1992. New employees would
be hired by April 1992 to allow for adequate training prior to
the opening of the station. Staff was recommending the option
to allocate $190,000 for 1991-92 which allowed for the hiring
of eight fir,fighters in April. In addition, staff would
recommend the appointment of a citizen committee to work with
Council to decide which station (#1 of #3) would be closed when
Station #6 was opened, what location was appropriate for the
relocation station, and what future use should be made of
Stations #1 and #3.
Due to a time constraint, this item was continued during
"Miscellaneous Matters from the City Manager".
3. Presentation and discussion of the Capital Improvement
Program.
This item was considered during the Regular Session.
The Council convened into the Regular Session at 7:00 p.m. in
the Council Chambers.
PRESENT:
Mayor Castleberry; Council Members Perry, Smith
and Trent.
ABSENT:
Mayor Pro Tem Hopkins: Council Members Alexander
and Chew
Pledge of Allegiance
The Council and members of the audience recited the Pledge of
Allegiance.
Consent Agenda
Mayor Pro Hopkins joined the meeting.
Perry motioned, Smith seconded to approve the Consent Agenda as
presented.
Council Member Trent stated that the base price of the unit was
$39,140. The final price of the unit was $88,000. He asked
what caused the increase in the price.
Council Members Alexander and Chew joined the meeting.
Bob Nelson, Executive Director for Ut{lltles, stated that the
unit was used to determine metals in wast,water. The added
features would assist in automatic testing which would reduce
labor costs.
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July 2, 1991
Page 3
Howard Martin, Director - Environmental Operations and
Financial Administration, stated that the basic unit would not
detect levels of metals in water. The basic unit would work
for sludge but the levels were harder to analyze in water.
Other improvements to the basic unit would reduce set-up time
and allow a degree of automation which would release the lab
technician to do other types of testing.
Council Member Trent asked if this unit could be used with
other agencies.
Martin replied that prior Council response was that the City
testing samples for other cities in the area would be in direct
competition with private laboratories and Council did not want
that done. It could be done if the Council so desired.
On roll vote, Trent "aye," Alexander "aye," Hopkins "aye,"
Smith "aye," Chew "aye," Perry "aye," and Mayor Castleberry
"aye." Motion carried unanimously.
A. Bids and Purchase Orders:
1. Bid ~1256 - Atomic Absorption
Spectrophotometer
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. (2.A.1. - Bid ~1256)
The following ordinance was considered:
NO. 91-095
AN ORDINANCE ACCEPTING A COMPETITIVE SEALED PROPOSAL
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.
Hopkins motioned, Trent seconded to adopt the ordinance. On
roll vote, Trent "aye," Alexander "aye," Hopkins "aye," Smith
"aye," Chew "aye," Perry "aye," and Mayor Castleberry "aye."
Motion carried unanimously.
B. The Council considered adoption of an ordinance
prohibiting the parking of vehicles on both sides of West Oak
Street, from Bonnie Brae Street to Interstate Highway 35;
providing a severability clause; and providing a penalty not to
exceed two hundred dollars. (The Citizens Traffic Safety
Support Commission recommended approval.)
City of Denton City Council Minutes
July 2, 1991
Page 4
Rick Svehla, Deputy City Manager, stated that West Oak had
recently been redone into a four lane divided facility.
Parking had been occurring in the multi-family areas. There
had been a request from one of the owners of the multi-family
units to remove the parking. The other owners had been
contacted and there was no one in opposition.
The following ordinance was considered:
NO. 91-096
AN ORDINANCE OF THE CITY OF DENTON, TEXAS, PROHIBITING
THE PARKING OF VEHICLES ON BOTH SIDES OF WEST OAK
STREET, FROM BONNIE BRAE STREET TO INTERSTATE HIGHWAY
35: PROVIDING A SEVERABILITY CLAUSE: PROVIDING A
PENALTY NOT TO EXCEED TWO HUNDRED DOLLARS; AND
DECLARING AN EFFECTIVE DATE.
Chew motioned, Alexander seconded to adopt the ordinance. On
roll vote, Trent "aye," Alexander "aye," Hopkins "aye," Smith
"aye," Chew "aye," Perry "aye," and Mayor Castleberry "aye."
Motion carried unanimously.
C. The Council considered adoption of an ordinance
amending the interim wastewater disposal contract between the
City of Denton and the City of Argyle extending the contract
term to January 1, 1992. (The Public Utilities Board
recommended approval.)
Bob Nelson, Executive Director for Utilities, stated that this
was the second extension of the original contract which was
approved by Council in 1989. The contract 'provided wastewater
treatment services, for the Argyle Independent School District
while the Argyle wastewater source main project was being
constructed. Argyle was unable to complete the wastewater
force main as originally scheduled because of project delays.
The second extension expired on June 30, 1991 and the proposed
extension would expire on January 1, 1992.
The following ordinance was considered:
NO. 91-097
AN ORDINANCE APPROVING AN AGREEMENT BETWEEN THE CITY
OF DENTON AND THE CITY OF ARGYLE PROVIDING FOR INTERIM
WASTEWATER DISPOSAL SERVICES; AND PROVIDING AN
EFFECTIVE DATE.
Chew motioned, Trent seconded to adopt the ordinance. On roll
vote. Trent "aye," Alexander "aye," Hopkins "aye," Smith "aye,"
Chew "aye," Perry "aye," and Mayor Castleberry "aye." MotioB
carried unanimously.
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Page 5
D. The Council considered adoption of an ordinance
authorizing the Mayor to execute a contract with Carl G. Mycoff
and Associates for executive search consulting services for
recruitment and placement of a Director of Electric Utilities.
Bob Nelson, Executive Director for Utilities, stated that staff
was recommending retaining the firm because of its expertise
and understanding of national utility operations, knowledge of
the City,s electric utility operations, and a proven track
record with the City.
Council Member Trent asked if there was anyone in-house who
could be considered for the position.
Nelson replied that there was no in-house candidate with the
expertise needed to fill the position.
The following ordinance was considered:
NO. 91-098
AN ORDINANCE AUTHORIZING THE MAYOR TO EXECUTE AN
AGREEMENT BETWEEN THE CITY OF DENTON AND MYCOFF AND
ASSOCIATES, INC. RELATING TO EMPLOYMENT SEARCH
SERVICES; AUTHORIZING THE EXPENDITURE OF FUNDS
THEREFOR: AND PROVIDING AN EFFECTIVE DATE.
Chew motioned, Perry seconded to adopt the ordinance. On roll
vote, Trent "aye," Alexander "aye," Hopkins "aye," Smith "aye,"
Chew "aye," Perry "aye," and Mayor Castleberry "aye." Motion
carried unanimously.
E. The council considered adoption of an ordinance
prohibiting parking in certain public cemeteries except for
cemetery related purposes: and providing for a maximum penalty
of $200 for violations thereof.
Rick Svehla, Deputy City Manager, stated that the ordinance had
been as a result of a request from Council Member Chew. There
had been problems in the Oakwood Cemetery with parking during
athletic events. Currently there was no ordinance which
restricted parking in the cemeteries and the proposed ordinance
would give police officers the ability to control the parking.
The following ordinance was considered:
City of Denton City Council Minutes
July 2, 1991
Page 6
NO. 91-099
AN ORDINANCE OF THE CITY OF DENTON, TEXAS, PROHIBITING
PARKING IN CERTAIN PUBLIC CEMETERIES EXCEPT FOR
CEMETERY RELATED PURPOSES; PROVIDING FOR A MAXIMUM
PENALTY OF $200.00 FOR VIOLATIONS THEREOF: AND
PROVIDING FOR AN EFFECTIVE DATE.
Chew motioned, Perry seconded to adopt the ordinance. On roll
vote, Trent "aye," Alexander "aye," Hopkins "aye," Smith "aye,"
Chew "aye," Perry "aye," and Mayor Castleberry "aye." Motion
carried unanimously.
4. Resolutions
A. The Council considered approval of a resolution
approving the Capital Improvement Plan proposed by the Planning
and Zoning Commission. (The Planning and Zoning Commission and
the Public Utilities Board recommended approval.)
City Manager Harrell stated that the City Charter required the
Planning and Zoning Commission to submit to the City Manager, a
proposed capital improvements program which was then filed with
the City Council. The plan did not commit the City to any
specific capital projects as the necessary funding mechanisms
must be adopted each year to pay for the improvements.
Detailed information concerning the plan was submitted for
agenda back-up and can be located in the agenda packet
materials,
Bob Nelson, Executive Director for Utilities, presented the
Water Utility projects. Major projects would include an
addition of a ten million gallon per day water treatment plant
and water transmission line, one booster station and 3 million
gallon capacity ground storage, one two million gallon elevated
storage tank, upgrade of miscellaneous water lines and
development plan water lines.
Ernie Tullos, Director Electric Utilities, presented the
Electric Department projects. Major projects included a
booster substation, central dispatch facility, gas pipe line,
over to under conversion, and a gas turbine generating unit.
Howard Martin, Director - Environmental Operations and
Financial Administration, presented the Wastewater Utility
projects which included improvements to the wastewater
treatment plant, collection system upgrade, sewer line
replacements, development plan lines and mobile eguipment.
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Page 7
Bill Angelo, Director-Community Services, stated major projects
for Community Services included communications equipment,
computer equipment, office support equipment, mobile equipment
and bond issues.
John McGrane, Executive Director for Finance, presented the
General Government projects which included engineering,
planning, drainage and airport projects for the years 1991-1996.
Mayor Pro Tem Hopkins expressed a concern with the language of
the resolution. She wanted to make sure it did not limit
Council or require Council to make the recommended expenditures.
City Manager Harrell stated that there were two steps required
to initiate the projects. First, the projects needed to be in
an adopted budget or a voter approved bond project and second,
the Council would have to approve the bids in order to do the
project.
The following resolution was considered:
NO. R91-039
A RESOLUTION ADOPTING THE CAPITAL IMPROVEMENT PLAN
PROPOSED BY THE PLANNING AND ZONING COMMISSION: AND
PROVIDING FOR AN EFFECTIVE DATE.
Perry motioned, Alexander seconded to approve the resolution.
On roll vote, Trent "aye," Alexander "aye," Hopkins "aye,"
Smith "aye," Chew "aye," Perry "aye," and Mayor Castleberry
"aye." Motion carried unanimously.
B. The Council considered approval of a resolution
adopting a personnel policy relating to Substance Abuse and
Rehabilitation.
City Manager Harrell stated that the most important portion of
the policy dealt with the testing element. Testing would be
done for finalists for all City positions, reasonable suspicion
of employees, and safety sensitive promotions.
Tom Klinck, Director of Personnel, stated that this policy
would provide the tool for a dru~-free work place.
Mayor Pro Tem Hopkins stated that she would like to see a
change in a portion of the policy prohibiting literature
supportive of, instructive or, or advocating illegal drug or
substance use. It was felt that deletion of that phrase would
strengthen the City's legal position of the policy.
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July 2, 1991
Page 8
187
The following resolution was considered:
NO. R91-040
A RESOLUTION ADOPTING A PERSONNEL POLICY RELATING TO
SUBSTANCE ABUSE AND REHABILITATION: AND PROVIDING AN
EFFECTIVE DATE.
Hopkins motioned, Chew seconded approving the resolution with a
deletion of I.A.3. "and literature supportive of, instructive
or, or advocating illegal drug or substance use" on page 2 of
12. On roll vote, Trent "aye," Alexander "aye." Hopkins "aye,"
Smith "aye," Chew "aye," Perry "aye," and Mayor Castleberry
"aye." Motion carried unanimously.
C. The Council considered approval of a resolution
adopting an Investigation and Inspection Policy.
Tom Klinck, Director of Personnel. stated that this was a
companion policy with the previous policy. It assisted
managers and supervisors in searches of City property,
facilities, and equipment when employee misconduct was
suspected. It also provided for the normal gathering of
information in City facilities.
The following resolution was considered:
NO. R91-041
A RESOLUTION OF THE CITY OF DENTON, TEXAS ADOPTING AN
INVESTIGATION AND INSPECTION POLICY; AND PROVIDING FOR
AN EFFECTIVE DATE.
Alexander motioned, Trent seconded to approve the resolution.
On roll vote, Trent "aye," Alexander "aye," Hopkins "aye,"
Smith "aye," Chew "aye," Perry "aye," and Mayor Castleberry
"aye." Motion carried unanimously.
D. The Council considered approval of a resolution
adopting a personnel policy relating to a Drug and Alcohol Free
Workplace
Tom Klinck, Director of Personnel, stated that this resolution
would change the Drug Free Workplace Policy to the Drug and
Alcohol Free Workplace policy to include the prohibition of
alcohol use in the work environment as required by recent
legislative changes.
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Page 9
The following resolution was considered:
NO. R91-042
A RESOLUTION ADOPTING A PERSONNEL POLICY RELATING TO A
DRUG AND ALCOHOL FREE WORKPLACE; AND PROVIDING AN
EFFECTIVE DATE.
Perry motioned, Trent seconded to approve the resolution. On
roll vote, Trent "aye," Alexander "aye," Hopkins "aye," Smith
"aye," Chew "aye," Perry "aye," and Mayor Castleberry "aye."
Motion carried unanimously.
E. The Council was to consider approval of a
resolution authorizing Amendment No. 2 to the Airport
Commercial Operator Lease Agreement between the City of Denton
and Fox-51 Limited. (The Airport Advisory Board recommended
approval.)
This item was removed from the agenda.
5. Miscellaneous matters from the City Manager.
City Manager Harrell continued with the Major Budget Issues
Report.
3. Ambulance placement at fire stations - the current
budget allocated $42,804 to upgrade all of the reserve
ambulances to front line ambulances and to purchase one
additional ambulance. Staff was recommending that the
ambulance upgrade and purchase be approved so that this
important community service could be enhanced.
4. Demolition of substandard structures - the City's
current program for demolition was funded primarily from
Community Development Block Grant funds. The $15,000 allocated
would demolish between 15 and 20 structures depending on size
and construction of the structures. The proposed budget
allocated $15,000 from the General Fund to allow for the
demolition of another 15 to 20 structures.
5. Pay plan implementation - in 1989 the City hired the
consulting firm of Mercer Meidinger Hansen, Inc. to review and
make recommendations regarding its compensation plan. The
recommended philosophy from the study would be to manage a
compensation plan around the mid-point or "market" range.
Staff was recommending that a phased program be established to
fully implement the plan and that all positions falling below
the minimum level be brought up to that level in the 1991-92
budget effective January 1, 1992.
City of Denton City Council Mihutes
JUlY 2, 1991
Page 10
6. Salary adjustments the Mercer study also recommended
that the City revise its formal pay plan by eliminating step
increases and across the board market adjustment increases. In
place of these two increases, City employees would receive an
annual increase based on performance. Staff was recommending
to give a 3% salary adjustment effective no later than January
1, 1992. Any employee who received a compensation increase of
more than 3% because of a reclassification would not be
eligible for this group performance payment. The individual
pay for performance plan would be fully implemented in 1992-93.
Council Member Alexander stated that he was not sure he was in
favor of not allowing a reclassified person to receive the 3%
general adjustment.
City Manager Harrell replied that some employees who were
reclassified would receive a large increase and staff was
trying to give everyone at least a 3% increase.
7. Benefits adjustments - the benefits adjustment that
was in the proposed 1992 budget was for health insurance
increases. Staff was recommending that the health insurance
increase for the employee be funded.
8. Revenues
A. Property Tax due to the granting of the
Freeport Amendment and the minimal growth in the preliminary
tax roll assessed valuation, staff was recommending an increase
of either $.03 or $.04 per $100 valuation. A $.03 increase
would result in a tax rate of $.6851 per $100 valuation and
would allow for the replacement of lost Freeport Exemption
revenues and help fund a minimal increase to help offset the
marginal assessed valuation growth and fund a minimal building
repair program. A $.04 increase ($.6951) would allow
flexibility to improve operations in the critical areas cited
above.
B. Sales Tax - until a trend could be established to
determine if the local economy was accelerating its growth
rate, staff was recommending a 2% growth projection.
C. Other Revenues - staff was recommending a variety
of increases in fines and fees as noted in the back-up.
9. Positions - the only new positions recommended for the
1991-92 budget were eight firefighters associated with the
opening of Station Six. In addition, three positions were
recommended for elimination - Quest Coordinator, Engineering
Technician I and Engineering Technician II.
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10.
Other agency contributions
A. Human Services - staff's recommendation was that
because of the extremely tight budget, funding should be at the
current year level of $115,600. Per the request of the Human
Services Committee, that Committee should be asked to
reallocate these funds among the various agencies. The
Committee should be requested to follow Council policy and not
recommend funding for health related agencies.
B. Transportation - the proposed budget provided
funding for SPAN and HandiHop at the same funding level as the
current budget of $46,000. SPAN had requested that funding be
increased for 1991-92 by $16~000.
11. Tax exemptions for persons over 65 - since the 1988-89
budget, the Council had agreed to establish a goal of raising
the exemption to $25,000. The current exemption was $19,000
and staff was recommending a $1,000 increase in the. exemption
for the 1991-92 fiscal year.
12. Split tax payments - staff was recommending the
elimination of the split tax payment option as elderly
homeowners now had the option of making quarterly payment and
the majority of users of the option were businesses and not
homeowners as originally designed.
13. Street Improvements - Council budget questionnaire
indicated that street maintenance and street construction was a
top priority of the Council. Staff recommended maintaining the
current budget allocation and to seriously investigate calling
a street bond election by January 1, 1992.
14. Building improvements _ because of the critical
building improvement needs and in recognition of limited
resources, staff recommended that 1/4 of $.01 tax increase be
allocated for debt service on Certificates of Obligation.
15. Take Home Vehicle Program - staff was recommending
that this program be continued as the maintenance costs of this
program were essentially the same as a fleet system and any
other costs savings were minimal when compared with the other
benefits that the City received.
16. Recreation program funding - a review of the
recreation program fund was included in the back-up materials
per a request from Council.
17. Internal auditor - as no new positions were being
recommended in the 1991-92 budget other than the required fire
fighters for Station Six, staff was committed to alternative
ways of accomplishing internal audit services. A proposed plan
would be brought to Council at a future meeting.
City of Denton City Council Minutes
July 2, 1991
Page 12
Major Issues - Utilities
The proposed Utility Operations Budget for 1991-92 allocated
total revenues of $86,132,000 and expenditures of $84,911,832.
The revenues were based on a 3% reduction in electric rates, a
10% increase in water rates and a 15% increase in wastewater
rates. The net amount of these rate changes would increase an
average residential customer's monthly utility bill by slightly
more than $4. In the Wastewater Department two Pretreatment
Program Inspector positions were being proposed to assist with
new industrial pretreatment regulatory requirements. Major
changes in the Sanitation budget involved the City becoming the
sole provider of solid waste services. That would require the
purchase of 2 additional trucks, 37 compactors, 734 dumpsters,
and 2 commercial driver positions. All of that was included in
the proposed budget. There was no rate increase proposed in
the 1991-92 budget for residential or commercial services but a
15% rate increase was proposed at the landfill. A supplemental
package dealing with curbside recycling was proposed. The
Public Utilities Board felt that curbside recycling was a
policy decision that should be determined by the Council. The
baseline budget included funds to continue a pilot curbside
recycling project. In addition to the two commercial driver
positions, two additional laborer positions in residential
solid waste were being proposed.
6. There was no official action taken on Executive
Session items discussed during the Work Session Executive
Session.
7. New Business
The following item of New Business was suggested by Council for
future agendas:
A. Council Member Trent asked for an update on the
collection rate for ambulance services.
8. The Council convened into the Executive Session to
discuss legal matters (considered claim of Michael Wilson and
considered action in Patel v. City), real estate, and
personnel/board appointments (considered appointments to all
City of Denton Boards, Commissions and Task Forces.)
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July 2, 1991
Page 13
No official action was taken.
With no further business, the meeting was adjourned.
CIT~ SEORETARY
CITY OF DENTON, TEXAS
BOB CASTLEBERRY, MAYOR/
CITY OF DENTON, TEXAS/
/
3410C