Minutes July 2, 1996455
CITY OF DENTON CITY COUNCIL MINUTES
July 2, 1996
The council convened into a Closed Meeting on Tuesday, July 2, 1996
at 5:45 p.m. in the Civil Defense Room of City Hall.
PRESENT: Mayor Miller; Mayor Pro Tem BroCk, Council Members
Beasley, Biles, Cott, Krueger, and Young.
ABSENT: None
1. The Council discussed the following in Closed Meeting:
A. Legal Matters -~ Under TEX. GOV'T CODE Sec. 551.071
1. Considered acceptance of a possible assignment on
behalf of a 4B non-profit economic development corporation to be
formed by the City from Bill Methenitis, Trustee; the possible
lease of the assigned property and discussion regarding terms of
the lease relative to the Texas Instruments Addition, Lot 1, Block
1.
2. Considered selection of five individuals from a list
of seven nominees recommended by the Steering Committee of Cities
to serve on committee involved in a mediation effort in GTE v. City
of Denton. et al., and determine the City's representative in the
franchise fee dispute litigation.
3. Deliberated and considered the appointments to and
to resolve conflict of interest questions in regard to the Board of
Directors of the Economic Development Corporation of Denton, Inc.
4. Cohaaen. et al v. City.
settlement negotiations with Plaintiff's
authority on this case.
Considered further
and final settlement
B. Real Estate -- Under TEX. GOV'T CODE Sec. 551.072
1. Considered acceptance of a possible assignment on
behalf of a 4B non-profit economic development corporation to be
formed by the City from Bill Methenitis, Trustee; the possible
lease of the assigned property and discussion regarding terms of
the lease relative to the Texas Instruments Addition, Lot 1, Block
1.
Co
Personnel/Board Appointments -- Under TEX. GOV'T CODE
Sec. 551.074
1. Deliberated and considered the appointments to and
to resolve conflict of interest questions with regard to the Board
of Directors of the Economic Development Corporation of Denton,
Inc.
The Council convened into a Regular Meeting on Tuesday, July 2,
1996 at 7:00 p.m. in the Council Chambers of City Hall.
PRESENT: Mayor Miller; Mayor Pro Tem Brock, Council Members
Beasley, Biles, Cott, Krue~er, and Young.
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City of Denton City Council Minutes
July 2, 1996
Page 2
ABSENT: None
1. Pledge of Allegiance
The Council and members of the audience recited the Pledge of
Allegiance to the U.S. and Texas flags.
o
Considered approval of the minutes of June 4 and June 11,
1996.
Young motioned, Beasley seconded to approve the minutes as
presented. On roll vote, Beasley "aye", Brock "aye", Cott "aye",
Krueger "aye", Young "aye", Biles "aye", and Mayor Miller "aye".
Motion carried unanimously.
Mayor Miller presented Yard of the Month awards to:
Safety Kleen Corp.
Good Samaritan Village
Mike & Janelle Harding
Jean & Alex Finley
First State Bank
3. Citizen Reports
A. The Council received a citizen report from Greg SawkO
regarding the Kiwanis Fire Works Display.
Greg Sawko, 1100 Pennsylvania Drive, stated he was speaking on
behalf of the Kiwanis Annual Fourth of July Fireworks show
benefitting the Kiwanis Children's Clinic. The Clinic, in
cooperation with local doctors, dentists, and pharmacists provides
needed medical services for children in Denton who could not
otherwise afford such care. Funds raised from the Fourth of July
Fireworks show pay for the services. He stated that the annual
display was scheduled for July 4th at 7:30 p.m. at UNT Fours Field
and was partially sponsored by Ben E. Keith. Mr. Sawko encouraged
all citizens of Denton to attend.
Council Member Young questioned if any arrangements had been made
to provide tickets to those unable to pay the admission price.
Mr. Sawko stated that many citizens enjoyed the annual display from
the grounds surrounding Fours Field and knew hundreds of tickets
had been given away. Sawko stated further efforts would be
considered for next year.
Council Member Brock questioned if the Kiwanis would solicit
donations from those enjoying the fireworks from the surrounding
grounds.
Sawko stated the bucket brigade would be done for donations for
those enjoying the program from the surrounding grounds.
City of Denton City Councit~ Minutes
July 2, 1996
Page 3
457
B. The Council received a citizen report from Mary Horn
regarding tax collection for the City of Denton.
Mary Horn, Denton County Tax Assessor/Collector and resident of
Denton, stated that she was speaking on behalf of the possibility
of County taking over tax collection for city. Ms. Horn provided
a thumbnail sketch of the contract which called for a 55 cent per
statement charge for statements mailed in October; a January
reminder notice sent at no charge; State Law required delinquent
notices be sent in May at an additional 55 cent charge; and an
optional March notice which would cost the price of first class
postage. The contract specifically allowed the city to contract
with whatever delinquent tax attorney the city desired. Ms. Horn
stated that in the past three years the County Tax Office had taken
over collection for 30 entities in Denton County. All had realized
a tax dollar savings in the first year. The City of Flower Mound
saved about $14,000 the first year and the City of The Colony
realized the same savings. Denton and Lewisville Independent
School Districts realized savings of about $30,000 a piece the
first year and every year thereafter. With the exception of about
three entities, all of the entities enjoyed an increase in their
collection rate. Ms. Horn attributed the increased collection rate
not only to better economic times, but also the consolidated tax
statements. Consolidated statements provided all costs to be
itemized out and the requirement to send one chedk to one place.
The 55 cent charge for the service had been at that level for years
and no increase in fees was seen in the foreseeable future. State
law stipulated that the rate could not increase unless costs
increased which Ms. Horn did not anticipate happening. The printed
tax statement was printed according to State law which dictated how
it should be printed. Each entity was listed, all exemptions for
the entity were itemized out; tax rates for the entities and the
total for each entity were listed with a grand total at the bottom.
Ms. Horn provided a list of all of the 38 jurisdictions that Denton
County provided service to at the present time. Ms. Horn stated
that by State law any jurisdiction which had a sales tax that was
designated to reduce the ad valorem taxes was required to print on
each individual statement a line which indicated how much the
individual taxpayer was saving because of the sales tax. To comply
with the law, the consolidated tax statement currently used by
Denton County would need a slight modification which could be done
but not for the 1996 tax year. Because of the needed tax
statement modification, Ms. Horn requested the City Council to
further study the proposal and make a decision by the end of 1996.
During a six month period of prime tax collection time, the City
would have daily deposits to their primary depository.
Council' Member Young asked how many people worked in Ms. Horn's
office.
Ms. Horn stated that the Denton office was one of four throughout
the County in which she had approximately twenty-five employees,
but only seven were dedicated to tax.
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City of Denton City Council Minutes
July 2, 1996
Page 4
Council Member Young stated that he had pushed for minority
participation since he had become a member of Council and was sad
to see that there were no Afro Americans on her staff.
Ms. Horn stated that she had one Afro American staff member.
Council Member Young stated that Ms Horn needed more diversity in
her department.
Ms. Horn stated she would take the request back to the County and
stated she had one Hispanic and one Afro American employee in the
County Tax Office.
Mayor Miller stated that Council would have staff review the
proposal and get back with her.
Ce
regarding
Mr. Jones
regarding
Mr. Hight
The Council received a citizen report from Cecil Jones
overhanging tree limbs on his property.
was not present at the meeting.
The Council received a citizen report from R. L. Hight
overhanging tree limbs on his property.
was not present at the meeting.
E. The Council received a citizen report from Jeff Smith
regarding amending City ordinances dealing with types of animals
allowed within the City limits.
Mr. Smith was not present at the meeting.
4. Public Hearings
A. The Codncil held a public hearing and considered adoption
of an ordinance rezoning .58 acres of land from the Agricultural
(A) zoning district to the Single Family 7 (SF-7) zoning district.
The property is located on the northeast corner of Westgate and
Windsor. (The Planning and Zoning Commission recommended approval
7-0.)
Harry Persaud, Senior Planner, stated that the city mailed 23
notices to property owners within 200 feet of the property and
received four replies in favor and one opposed. Mr. Persaud stated
that in 1979 the tract of land was zoned SFT. In 1995 while
reviewing zoning maps to input in the GIS system, staff discovered
a triangle between the corner of Windsor and Westgate which had
been left out and showed as zoned agriculture. The zoning case was
to rezone that tract of land so it would be consistent with zoning
in the area.
The Mayor opened the public hearing.
No one spoke during the public hearing.
City of Denton City Council Minutes
July 2, 1996
Page 5
459
The Mayor closed the public hearing.
The following ordinance was considered:
NO. 96-144
AN ORDINANCE OF THE CITY OF DENTON, TEXAS, PROVIDING FOR A
CHANGE FROM THE AGRICULTURAL (A) ZONING DISTRICT
CLASSIFICATION ANDUSE DESIGNATION TO THE SINGLE FAMILY 7 (SF-
7) ZONING DISTRICT CLASSIFICATION ANDUSE DESIGNATION FOR 0.58
ACRES OF LAND' LOCATED AT THE NORTHEASTERN CORNER OF THE
INTERSECTION OF WINDSOR ANDWESTGATE STREETS; PROVIDING FOR A
PENALTY IN THE MAXIMUM AMOUNT OF $2,000.00 FOR VIOLATION
THEREOF; AND PROVIDING FOR AN EFFECTIVE DATE.
Brock motioned, Krueger seconded to adopt the ordinance. On roll
vote, Beasley "aye", Brock "aye", Cott "aye", Krueger "aye", Young
"aye", Biles "aye", and Mayor Miller "aye" Motion carried
unanimously.
B.' The Council held a public hearing and considered adoption-
of an ordinance to rezone 52.9693 acres from Planned Development
117 (PD-117) to the Single Family 7 Conditioned (SF-7[c~). The
property is located on the north side of Robinson Road,
approximately 400 feet west of State School Road. (The Planning
and Zoning Commission recommended approval 5-0.)
Harry Persaud, Senior Planner, stated that six notices were mailed
to property owners within 200 feet of the property and three were
returned in favor. Mr. Persaud stated that in 1986 PD-117 zoned
the tract of land for cluster housing, patio homes, and general
retail. The proposal was to rezone the property to SFT. By
rezoning the property, 160 units would be in the City reduced from
469 units and the commercial and general retail zoning in the
original PD. Some discussion by the property owners in regard to
some land swapping between the City of Denton and the City of
Corinth had occurred, but the Council was only being asked to zone
the property SF? which was consistent with the Denton Development
Plan.
Wayne Cooper, Planning Manager for USA Engineering, 8700 Stamens
#400, Dallas, Texas, which represented Mr. & Mrs. Mitchell the
petitioner stated he was available for any qUestions.
Council Member Young asked what size and price were the proposed
homes.
Mr. Cooper stated that they were still working with some
homebuilders on the actual sizes of the homes but anticipated they
would cost approximately $120,000.
The Mayor opened the public hearing.
No one spoke at the public hearing.
460.
City of Denton City Council Minutes
July 2, 1996
Page 6
The Mayor closed the public hearing.
The following ordinance was considered:
NO. 96-145
AN ORDINANCE OF THE CITY OF DENTON, TEXAS, PROVIDING FOR A
CHANGE FROM PLANNING DEVELOPMENT 117 (PD-117) ZONING DISTRICT
CLASSIFICATION AND USE DESIGNATION TO THE SINGLE FAMILY 7
CONDITIONED (SF-7[C]) ZONING DISTRICT CLASSIFICATION AND USE
DESIGNATION FOR 52.9693 ACRES OF LAND LOCATED ON THE NORTH
SIDE OF ROBINSON ROAD, APPROXIMATELY 400 FEET WEST OF STATE
SCHOOL ROAD; PROVIDING FOR A PENALTY INTHEMAXIMUMAMOUNT OF
$2,000.00 FOR VIOLATIONS THEREOF; AND PROVIDING FOR AN
EFFECTIVE DATE.
Biles motioned, Young seconded to adopt the ordinance. On roll
vote, Beasley "aye", Brock "aye", Cott "aye", K~ueger "aye", Young
"aye", Biles "aye", and Mayor Miller "aye". Motion carried
unanimously.
C. The Council held a public hearing and considered adoption
of an ordinance making a minor amendment to PD155. The 4.91 acre
tract is located on the north side of Teasley Lane, west of Lillian
Miller Parkway. (The Planning and Zoning Commission recommended
approval 7-0.)
Harry Persaud, Senior Planner, stated that thirty-three notices
were mailed to property owners within 200 feet of the property and
two were received in favor; two opposed; and two undecided. Mr.
Persaud stated that when PD155 was approved in 1995 the developer
showed detailed building footprints on the site plan. At the time
of development, the developer was restricted as to the flexibility
in te~,,Ls of where the building footprints were, even though the
development standards had set out the setbacks, size of lots,
etcetera. The amendment proposal was reviewed, and Mr. Persaud
stated that the development standards were not changed. The site
plan would be changed so that it would not show the specific
building footprints, but instead an area which would be buildable.
The amendment would give the developer the flexibility to build
within the available area. The second change on the site plan
addressed the perimeter fence around the property which stated it
was a wrought iron fence. The developer changed that to a six foot
wood fence. The third change addressed the provision that the
fence would be two feet from the property line. In light of work
done in the area by GTE, the developer was requesting a change to
a minimum of two feet to allow flexibility to move the fence to
three or four feet depending on obstructions.
The petitioner did not speak
The Mayor opened the public hearing.
City of Denton City Council Minutes
July 2, 1996
Page 7
461
No one spoke at the public hearing.
The Mayor closed the public hearing.
The following ordinance was considered:
NO. 96-146
AN ORDINANCE OF THE CITY OF DENTON, TEXAS, AMENDING ORDINANCE
95-018 BY APPROVING A REVISED DETAIL PLAN FOR THE PLANNED
DEVELOPMENT 155 (PD 155) ZONING DISTRICT CLASSIFICATION AND
USE DESIGNATION, A 4.91 ACRE TRACT LOCATED ON THE NORTH SIDE
OF TEASLEYLANE, ACROSS FROM SAM HOUSTON SCHOOL; PROVIDING FOR
A PENALTY IN THEMAXIMUMAMOUNT OF $2,000.00 FOR VIOLATIONS OF
THIS ORDINANCE; AND PROVIDING FOR AN EFFECTIVE DATE.
Brock motioned, Biles seconded to adopt the ordinance. On roll
vote, Beasley "aye", Brock "aye", Cott "aye", Krueger "aye", Young
"aye", Biles "aye", and Mayor Miller "aye". Motion carried
unanimously.
5. Consent Agenda
Biles motioned, Brock seconded to approve the Consent Agenda as
presented. On roll vote, Beasley "aye", Brock "aye", Cott "aye",
Krueger "aye", Young "aye", Biles "aye", and Mayor Miller "aye".
Motion carried unanimously.
ao
Bids and Purchase Orders:
2.
3.
4.
5.
Bid #1898 Diesel Generator - 20KW
RFSP #1903 - I.E.D. Electric Meters
Bid #1905 Power Transformer
Bid #1913 - Automatic Transfer Switchgear
Bid #1912 - Annual Contract for sale of
electric wire and scrap metal
scrap
P.O. #65795 - IBM Corporation - GIS hardware
upgrade
Change Order - PO #64553 - Scripture Street 20" and
8" water line
Tax Refunds
1. Durwood B. Bradshaw, Jr.
$1,320.46
6. Consent Agenda Ordinances
Beasley motioned, Biles seconded to adopt the Consent Agenda
ordinances 6.A., 6.B., and 6.C. On roll vote, Beasley "aye", Brock
"aye", Cott "aye", Krueger "aye", Young "aye", Biles "aye", and
Mayor Miller "aye". Motion carried unanimously.
462
City of Denton City Council Minutes
July 2, 1996
Page 8
A. NO. 96-147
AN ORDINANCE ACCEPTING COMPETITIVE BIDS AND AWARDING A
CONTRACT FOR THE PURCHASE OF MATERIALS, EQUIPMENT, SUPPLIES OR
SERVICES; PROVIDING FOR THE EXPENDITURE OF FUNDS THEREFOR; AND
PROVIDING FOR AN EFFECTIVE DATE. (5.A.1. Bid #1898, 5.A.2.
- RFSP #1903, 5.A.3. Bid 1905, 5.A.4. Bid #1913, 5.A.5. -
Bid 1912)
B. NO. 96-148
AN ORDINANCE AUTHORIZING THE EXECUTION OF A CHANGE ORDER TO A
CONTRACT BETWEEN THE CITY OF DENTON AND DICKERSON
CONSTRUCTION; PROVIDING FOR ANINCREASE IN THE CONTRACT PRICE;
AND PROVIDING AN EFFECTIVE DATE. (5.A.7. - P.O. #64553)
C. NO. 96-149
AN ORDINANCE PROVIDING FOR THE EXPENDITURE OF FUNDS FOR
PURCHASES OF MATERIALS OR EQUIPMENT WHICHARE AVAILABLE FROM
ONE SOURCE IN ACCORDANCE WITH THE PROVISIONS OF STATE LAW
EXEMPTING SUCH PURCHASES FROM REQUIREMENTS OF COMPETITIVE
BIDS; AND PROVIDINGAN EFFECTIVE DATE. (5.A.6. - P.O. #65795)
7. Ordinances
A. The Council considered adoption of an ordinance
authorizing the City Manager to execute an agreement between the
City of Denton and the Texas Department of Transportation for the
furnishing and installing of traffic signals by a municipality.
Rick Svehla, Deputy City Manager, reported that the contract
authorized the City Manager to enter into an agreement with TXDOT
for the purchase of controllers and the cards which go in
controllers. The contract allowed the City to buy the controllers
and specify that the controller be compatible with the City's
system. TXDOT would reimburse the City 54%. The City could enter
into the contract under the Congestion Mitigation/Air Quality
funding program with TXDOT.
Council Member Beasley stated that the backup showed total
expenditure of $17,200 and questioned whether that was the City's
46% or the total cost.
Mr. Svehla stated that $17,200 was the total amount and TXDOT would
fund 54% of that expenditure.
The following ordinance was considered:
City of Denton City Council Minutes
July 2, 1996
463
NO. 96-150
AN ORDINANCE OF THE CITY OF DENTON, TEXAS AUTHORIZING THE CITY
MANAGER TO EXECUTE ANAGREEMENTBETWEEN THE CITY OF DENTON AND
THE TEXAS DEPARTMENT OF TRANSPORTATION FOR THE FURNISHING AND
INSTALLING OF TRAFFIC SIGNALS BY A MUNICIPALITY; AUTHORIZING
THE EXPENDITURE OF FUNDS THEREFOR; AND PROVIDING AN EFFECTIVE
DATE.
Beasley motioned, Biles seconded to adopt the ordinance. On roll
vote, Beasley "aye", Brock "aye", Cott "aye", Krueger "aye", Young
"aye", Biles "aye", and Mayor Miller "aye". Motion carried
unanimously.
B. The Council considered adoption of an ordinance
authorizing the City Manager to execute an easement on behalf of
Lone Star Gas Company to provide natural gas distribution lines at
the Denton Municipal Airport.
Joseph Portugal, Assistant to the City Manager, stated that the
ordinance authorized the City Manager to execute an easement with
Lone Star Gas to provide gas distribution lines and service to
interested tenants at the airport. Mr. Portugal stated the
agreement was important for the economic viability of the airport
and what the airport meant to the City and would serve as a
catalyst for economic development at the airport.
The following ordinance was considered:
NO. 96-151
AN ORDINANCE AUTHORIZING THE CITY MANAGER TO EXECUTE AN
EASEMENT ON BEHALF OF LONE STAR GAS COMPANY TO PROVIDE NATURAL
GAS DISTRIBUTION LINES AT THE DENTON MUNICIPAL AIRPORT; AND
PROVIDING AN EFFECTIVE DATE.
Biles motioned, Young seconded to adopt the ordinance. On roll
vote, Beasley "aye", Brock "aye", Cott "aye", Krueger "aye", Young
"aye", Biles "aye", and Mayor Miller "aye" Motion carried
unanimously.
C. The Council considered adoption of an ordinance
authorizing the City Manager to execute a contract between the City
and Red Development, LLC for the purchase of real property for
landfill expansion.
Bob Nelson, Executive Director for Utilities, stated that the piece
of property had been presented to Council last week and staff asked
pezmission to secure the property by process of eminent domain.
Since last week negotiations had taken place between RED
Development and Mr. Brockie. RED purchased the property and came
to the city and expressed interest in selling the property to the
city at the price offered to Mr. Brocki~ of $100,000.
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City of Denton City Council Minutes
July 2, 1996
Page 10
The following ordinance was considered:
NO. 96-152
AN ORDINANCE OF THE CITY OF DENTON, TEXAS, AUTHORIZING THE
CITY MANAGER TO EXECUTE A CONTRACT BETWEEN THE CITY AND RED
DEVELOPMENT, LLC FOR THE PURCF~SE OF REAL PROPERTY FOR
LANDFILL EXPANSION; AUTHORIZING THE EXPENDITURE' OF FUNDS; AND
PROVIDING FOR AN EFFECTIVE DATE.
Biles motioned, Young seconded to adopt the ordinance. On roll
vote, Beasley "aye", Brock "aye", Cott "aye", Krueger "aye", Young
"aye", Biles "aye", and Mayor Miller "aye". Motion carried
unanimously.
D. The Council considered adoption of an ordinance
authorizing the City Manager to execute an engineering services
contract between the City of Denton and Tea~ue, Nall, and Perkins,
Inc. for Pecan Creek Drainage Study and South Lakes Park
Detention/Recreation Pond.
Rick Svehla, Deputy City Manager, stated that the contract with
Tea~ue, Nall, and Perkins provided a drainage study for the
downtown area as part of CIP program for the first year as
recommended by the Oversight Committee and also added on to the
contract to have Tea~ue, Nall, and Perkins look at second detention
pond in South Lakes Park. The second detention bond project was a
couple years out in CIP plan but the City would garner an economy
of scale since Teague, Nall, and Perkins bid the original analysis
for the first detention pond. The Oversight Committee also
reviewed the proposal to add the second detention pond at South
Lakes Park and recommended approval.
Council Member Young questioned where Pecan Creek started and ended
for the drainage project for downtown.
Svehla stated that the project ended at about Fred Moore Park and
started by Crescent and Carroll.
The following ordinance was considered:
NO. 96-153
AN ORDINANCE AUTHORIZING THE CITY MANAGER TO EXECUTE AN
ENGINEERING SERVICES CONTRACT BETWEEN THE CITY OF DENTON AND
TEAGUE, NALL, AND PERKINS, INC. FOR PECAN CREEK DRAINAGE STUDY
AND SOUTH LAKES PARK DETENTION/RECREATION POND; AUTHORIZING
THE EXPENDITURE OF FUNDS THEREFOR; AND PROVIDING AN EFFECTIVE
DATE.
Young motioned, Biles seconded to adopt the ordinance. On roll
vote, Beasley "aye", Brock "aye", Cott "aye", Krueger "aye", Young
"aye", Biles "aye", and Mayor Miller "aye". Motion carried
unanimously.
City of Denton City Council Minutes
July 2, 1996
Page 11
465
8. Resolutions
A. The Council considered approval of a resolution
establishing maximum rates that Marcus Cable Associates, L.L.P. may
charge its Denton cable television subscribers for the basic
service tier and associated equipment; establishing a maximum
hourly service charge; and ordering refunds.
Richard Foster, Public Information Officer, stated that the
resolution approved the rates for the basic level of programming
services, the associated equipment, and the hourly service charge
for Marcus Cable through May of 1997.
The following resolution was considered:
R96-027
A RESOLUTION ESTABLISHING MAXIMUM RATES THAT MARCUS CABLE
ASSOCIATES, L.L.P. MAY CHARGE ITS DENTON CABLE TELEVISION
SUBSCRIBERS FOR THE BASIC SERVICE TIER AND ASSOCIATED
EQUIPMENT; ESTABLISHING A MAXIMUM HOURLY SERVICE CHARGE;
ORDERING REFUNDS; PROVIDING A SEVERABILITY CLAUSE; AND
PROVIDING ANEFFECTIVE DATE.
Krueger motioned, Biles seconded to approve the resolution. On
roll vote, Beasley "aye", Brock "aye", Cott "aye", Krueger "aye",
Young "aye", Biles "aye", and Mayor Miller "aye". Motion carried
unanimously.
9. The Council considered approval of an annexation schedule with
regard to the proposed annexation of a 96.85 acre tract located
north of Mingo Road and west of Cooper Creek Road and a 29.115 acre
tract located north of Blagg Road and east of Geesling Road.
Harry Persaud, Senior Planner, stated that following Council
direction from June 25th, Staff prepared the following annexation
schedule which set out the dates of the public hearings for both of
the annexations. Mr. Persaud stated that at a Special Call Meeting
on September 10th when Council initiated annexation proceedings and
on October 15th when Council would adopt the ordinances six out of
seven votes would be needed to approve the annexations.
Krueger motioned, Brock seconded to approve the annexation schedule
for public hearings as proposed. On roll vote, Beasley "aye",
Brock "aye", Cott "aye", Krueger "aye", Young "aye", Biles "aye",
and Mayor Miller "aye". Motion carried unanimously.
10. The Council considered and took action regarding a resolution
of potential conflict of interest questions regarding appointments
to the Board of Directors of the Economic Development Corporation
of Denton, Inc.
Jerry Co=~ l~£t thu m~ing at 7:55 p.m.
City of Denton City Council Minutes
July 2, 1996
Page 12
Herb Prouty, City Attorney, stated that shortly after appointments
were made to the Board of Directors of the Economic Development
Corporation, Mr. Prouty raised an issue that several members of the
Board whose firms were engaged in various business transactions
with the City might have conflict of interest either under Section
14.04 of the City Charter or Section 2-62 of the City Code. The
Sections prohibited officers and employees, and in the case of the
City Code Board and Commission members, from being financially
interested in contracts with the city and purchases or sales of
goods and services with the City. Mr. Prouty stated that the issue
was very complex and a number of hours were spent researching the
issue.
Mr. Prouty stated that the Charter provision which spoke only to
employees and officers of the City was, in Mr. Prouty's opinion,
that Board Members did not have a conflict of interest because they
were neither officers or employees under 14.04 of the City Charter.
The Board Members were not employees of the City and were not paid
a salary. Mr. Prouty's research focused on whether or not the
Board Members were considered officers by researching Attorney
General Opinions and case law. Mr. Prouty stated that based on a
number of tests which he looked at and based his decision which was
that the Board Members were not officers and did not have a
conflict.
7:58 Jerry Cott returned to the meeting.
Mr. Prouty explained the two most important tests used in
detezmining the answer to the question. The first test was the
Aldine Independent School District test which was the basic test
utilized to determine whether a person serving on a board,
commission or other governmental entity was an officer. The test
determined whether the board or board member exercised any
sovereign function of municipal government not subject to the
control of the governing body. Mr. Prouty found that the EDC
Board does not exercise any sovereign function of municipal
government; hence, Section 22 of the Development Corporation
prohibited the City from delegating any sovereign functions of
municipal government to them. The second item that Mr. Prouty
looked at closely was that officers under the various tests in the
law must have a fixed term and could only be removed for cause as
set forth in their statute or some other piece of legislation. The
EDC Board members have terms but the Attorney General ruled that
the Board Members were not fixed because the EDC Board served at
the pleasure or will of the City Council. Mr. Prouty stated that
under that test the EDC Board Members were not officers. Based on
the two tests, Mr. Prouty ruled that the EDC Board Members were not
officers or employees and therefore not subject to the conflict of
interest provision.
Mr. Prouty stated the other section to be reviewed was Section 2-62
of the City Code. Section 2-62 had much broader language because
the section does not talk about officers or employees but talked of
board and commission members, and instead of talking about a board
City of Denton City Council Minutes
July 2, 1996
Page 13
467
exercising some sovereign function of municipal government, it
discussed a board with final decisionmaking authority. The scope
was much 'broader than that found in the City Charter and
potentially applied to the EDC Board Members. Mr. Prouty
recommended that the City Council amend Section 2-62 of the City
Code to change the test in there now for final decision making
authority to the test used by the Aldine Independent School
District to a board that exercises any sovereign function of
municipal government independently of the control of the City
Council. That traditionally had been the test used to decide if a
board was a decisionmaking board. Mr. Prouty also suggested that
City Council list the boards that were determined by law to
exercise sovereign municipal powers, such as the Planning
Commission, the Board of Adjustment and the Civil Service
Commission. Mr. Prouty also suggested that since there was a great
deal of vagueness in the law as to what a financial interest in a
.contract was, the City Council should define what a financial
interest was and recommended using the substantial interest in a
business entity test which was defined very definitely in Section
171.002 of the Local Government Code.
Biles motioned, Young seconded that Council direct the City
Attorney to make appropriate ordinance revisions to be brought back
to Council to adopt the sovereign function test, to list the
relevant boards and to further define financial interest as defined
in Section 171.002 of the Local Government Code.
Council Member Cott questioned if any case law on 171.002
concerning a financial interest definition existed.
Prouty stated there was a very specific definition in 171.002 and
there was some case law. Section 171.002 had three tests: does the
person own more than 10% of the business, was the business interest
worth more than $5,000 , or in the previous year does that person
as an employee receive more than 10% of their income from the
business entity involved.
Cott questioned that now that Council had the definition was there
any test in court which tested Section 171.002.
Prouty stated that the courts had interpreted Section 171.002 and
had accepted the test where Section 171.002 applied.
On roll vote, Beasley "aye", Brock "aye", Cott "aye",
"aye", Young "aye", Biles "aye", and Mayor Miller "aye".
carried unanimously.
Krueger
Motion
The Mayor directed the City Attorney to bring back ordinance with
changes set forth in the motion.
11. The Council considered nominations/appointments to the City's
Boards and Commissions.
468
City of Denton City Council Minutes
July 2, 1996
Page 14
Mayor Miller summarized changes the Council proposed to the
membership on city boards and commissions as a result of discussion
at the Annual Planning Session. For the boards which had less than
seven members which were not provided for in the City Charter but
by ordinance or other City Council action in the past, the Council
decided to increase the membership from five members to seven. The
three boards affected were the Animal Shelter Advisory Board, Data
Processing Board and Cable TV Board. Council agreed to have an
ordinance drafted to increase the named board or commission to
seven members and the Council Members that did not currently have
nominations to the named boards would then have nominations. Two
boards or commission had less than seven members but were provided
for by the Charter and were not subject to membership change by
City Council. The two boards were the Parks and Recreation Board
and the Public Utilities Board. Council agreed that current
nominations would be based on the system in use but in 1997
nominations to the Parks and Recreation Board and Public Utilities
Board would be made by the Council as a whole.
Council Member Beasley stated that Council had agreed to those
membership increases and nomination changes but she stated Council
also agreed to reduce the term on the Cable TV Board from three
years to two years.
Mayor Miller stated that starting next year the te~ms would be
reduced to two years and develop staggered te~ms.
Biles motioned, Beasley seconded to have staff work on ordinances
or Council policies in order to institute the discussed changes.
On roll vote, Beasley "aye", Brock "aye", Cott "aye", Krueger
"aye", Young "aye", Biles "aye", and Mayor Miller "aye". Motion
carried unanimously.
Mayor Miller stated that the annual Board and Commission Reception
was rescheduled to Tuesday, August 13, at 7:00 p.m. at the Center
for the Visual Arts.
Mayor Miller also stated that Council would consider a resolution
to recommend to the Texas Municipal League that a technical
correction to Open Meetings Law which would allow discussion of
board and commission m~mber~ appointm~nt~ in ~x~¢utiv¢ ~ion.
Council was able to consider board and commission appointments in
executive session until three or four years ago when the Attorney
General issued an opinion that stated that Council could only
consider in executive session the board and commissions that had
sovereign rights of the Council but could not consider other board
and commission appointments.
Council made nominations to boards and commissions. See attachment
A.
12. Vision Update
Council Member Brock stated that each individual areas were putting
City of Denton City Council Minutes
July 2, 1996
Page 15
469
initiatives in place. The City's CIP covered seventeen of the
recommendations by the Action Teams. Cabinet planned to meet on
July 30th to review status of the Vision project.
13. Miscellaneous matters from the City Manager.
City Manager Benavides stated that staff would keep the August 13th
agenda very light because of the Board & Commission reception.
14. Official Action on Closed'Meeting Items:
A. Legal Matters
2. Considered selection of five individuals from a list of
seven nominees recommended by the Steering Committee of Cities to
serve on committee involved in a mediation effort
Denton. et al,, and determine the City's representative in the
franchise fee dispute litigation.
Biles motioned, Brock seconded that Council appoin~ Mike Bucek, Bob
Horton, William J. McGowan II, Roger Nylan, and Francis Parks to.
represent the City of Denton in the mediation for the GTE dispute.
Council Member Cott asked if all of them would represent the city
or just the first one.
Council Member Biles stated that the Council was asked to consider
five.
On roll vote, Beasley "aye", Brock "aye", Cott "aye", Krueger
"aye", Young "aye", Biles "aye", and Mayor Miller "aye". Motion
carried unanimously.
Real Estate
Personnel
Board Appointments
No further action was taken.
15. New Business
This item provides a section for Council Members to suggest
items for future agendas.
Council Member Young stated that he had received a number of calls
cQncerning discontinuing contracts for payout on overdue utility
bills. Mr. Young requested a discussion concerning the policy.
Council Member Young also stated that since the City required
citizens to mow and keep their property neat the City should
require the same of the railroad. Mr. Young stated that the
railroad needed to be more respectful of the citizens of Denton.
He would particularly like the area between Sycamore and Prairie
Street cleaned up.
470
City of Denton City Council Minutes
July 2, 1996
Page 16
16. Council did not convene into Closed Meeting:
A. Legal Matters -- Under TEX. GOV'T CODE Sec. 551.071
B. Real Estate -- Under TEX. GOV'T CODE Sec. 551.072
C. Personnel/Board Appointments -- Under TEX. GOV'T CODE
Sec. 551.074
With no further business, the meeting was adjourned at 8:35 p.m.
BET;~ WI~Lt~ ....
DEPUTY CITY SECRETARY
CITY OF DENTON, TEXAS
CITY OF DENTON, TEXAS
AMM00857