Minutes August 25, 1998
CITY OF DENTON CITY COUNCIL MINUTES
AUGUST 25, 1998
After determining that a quorum was present and convening in an open meeting, the City Council
convened in a closed meeting on Tuesday, August 25, 1998 at 5: 15 p.m. in the Council Work Session
Room at City Hall.
PRESENT:
Mayor Miller; Mayor Pro T em Beasley; Council Members Burroughs, Cochran, Durrance,
Kristoferson, and Young.
ABSENT:
None
1.
Closed Meeting:
A.
Conference with Employees - Under TEX GOV'T. CODE Sec. 551.075. The
Council received information from employees during a staff conference or briefing,
but did not deliberate during the conference.
Work Session of the City of Denton City Council on Tuesday, August 25, 1998 at 6:00 p.m. in the
Council Work Session Room at City Hall.
PRESENT:
Mayor Miller; Mayor Pro T em Beasley; Council Members Burroughs, Cochran, Durrance,
Kristoferson, and Young.
ABSENT:
None
1. The Council received a report, held a discussion and gave staff direction regarding a
resolution amending and replacing the current tax abatement policy of the City of Denton to establish
guidelines and criteria governing tax abatement agreements; and declaring an effective date.
Linda Ratliff, Economic Development Director, stated that in February the Council readopted the
current tax abatement policy and at that time Council asked staff to work with the joint Committee on
Tax Abatement to amend the policy. Input had been received from the DISD, the County, and staff.
It allowed for flexibility in the amount of abatement that could be given. There were five factors for
receiving credit for an additional 5% abatement as detailed in the agenda materials. The amendment
allowed the DISD to participate at a different rate and addressed the fact that the County had its own
abatement policy. The City had the right to require a project to purchase power from the City of
Denton. Portions where application questions were listed were removed and placed in a formal
application form.
Council Member Cochran asked about the DISD wanting to use a different percentage rate from the
City.
Ratliff stated that a portion of the City's ETJ was in the reinvestment zone and that allowed the DISD
to use a different rate. Adoption of these amendments would require a super majority vote by
Council.
Council Member Young stated that the old policy used $5 million for a project to receive the
abatement. He felt the figure should go down to $3 million instead of going up to $10 million. There
had only been one project at $5 million and felt there would be no projects at the $10 million level.
He felt the policy was killing abatements as no one could reach that level.
City of Denton City Council Minutes
August 25, 1998
Page 2
Mayor Miller stated that while there was only one tax abatement given over the last eight years, there
had been a number of companies in Denton with smaller investments. The purpose of abatements was
to be competitive.
Council Member Young stated that at the higher rate there would not be any companies that would
apply and that it eliminated smaller companies coming to Denton. Other cities would have a better
abatement policy.
Council Member Burroughs asked if there was a consideration of putting in a factor that the
investment was going to be made in an economically distressed area or in an area that had a material
advantage in the City.
Council Member Durrance stated that that was discussed in light of the State's enterprise zones. The
abatement had to apply to the individual business and not to a particular location.
Mayor Miller felt that if Council wanted to make changes to the policy, it should be returned to the
Committee for a joint decision.
Mayor Pro Tem Beasley asked if the County voted to bring the amendment forward as it had its own
policy.
Ratliff stated that the County looked at its own policy and what would qualify and then took it
forward to Commissioners Court. All the entities did not have to agree to participate on a project for
it to be considered.
Mayor Pro Tem Beasley stated that the original policy was done ten years ago and with economic
conditions then that did not allow for an abatement. She felt that an abatement should not be done
with every company that came to Denton. It should be done for selective companies that made
significant contributions to the community.
Council discussed the pros and cons of the abatement policy with specific questions regarding
portions of the policy.
Council Member Cochran suggested receiving a list of benefits that the City hoped to get from the
entities as part of the application process. He also suggested an estimation of property taxes that
would be lowered by every abatement that was granted. He felt that information would help remove
negative reaction to tax abatements. He felt that the Tax Abatement Committee should provide back-
up materials for Council review.
Kristoferson motioned, Beasley seconded to move forward with the resolution as presented. It would
be in effect for only 1-1/2 years before Council would need to look at a new policy. On roll vote,
Beasley "aye", Burroughs "aye", Cochran "aye", Durrance "aye", Kristoferson "aye", Young "nay",
and Mayor Miller "aye". Motion carried with a 6-1 vote.
2. The Council received a report, held a discussion, and gave staff direction regarding resolutions
for the 1998 Texas Municipal League Annual Conference.
City of Denton City Council Minutes
August 25, 1998
Page 3
Betty Williams, Assistant to the City Manager, stated that the City of Denton had representatives on
the TML Committees of Community and Economic Development, Finance and Administration, and
Personnel. There were eight resolutions that the City was proposing before TML. Those eight
resolutions were detailed in the agenda back-up materials.
Mayor Pro Tem Beasley suggested moving forward with all of the proposed resolutions.
Council Member Durrance suggested a new resolution supporting proposed changes in the
annexation policies in anticipation of development during the next legislative session. Such a
resolution would supplement the approach by TML and would be a more affirmative statement.
Mayor Miller stated that a resolution would have to be prepared for TML consideration along with a
presentation to the Legislative Committee.
Council Member Durrance felt that it should be a separate considered area and wanted a more
positive statement in favor of what the legislature was doing,
Consensus of the Council was to proceed as proposed.
3. The Council received a report, held a discussion and gave staff direction regarding Code
Enforcement inspection and notification procedures.
Dave Hill, Director of Planning and Development, stated that the Council had received a report
indicating that improvements could be made in the Department. He presented a process that would
begin immediately and that would allow for more contact with violators of the Code and allowed for
reduced costs. The agenda materials detailed short term and long term provisions suggested for
changes in the department.
Council Member Durrance suggested putting this information on the City's web site.
Consensus of the Council was to proceed with the suggested procedures.
4. The Council received a report held a discussion and gave staff direction regarding possible
revisions to the Landscape Ordinance.
Dave Hill, Director of Planning and Development, stated that this was a staff generated request for
Council information on six items. It was felt that the landscape ordinance was performing in the spirit
of the intent. One major problem was monarch trees that caused a misunderstanding of the definition
and whether the staff was carrying out the intent of the ordinance. Another issue was grandfathering.
The clearing and grading permit review process was not an issue with the proposed changes but staff
wanted Council to know that there were certain factors that were being evaluated. Tree preservation
credits, alternative landscape plans, exemptions for municipal landfill were also issues to be
considered. The Council had also received additional information from the Chamber regarding their
comments on the landscape ordinance.
Council Member Durrance asked for an explanation of option #3 for monarch trees.
Hill stated that when monarch trees were discussed, Council seemed to indicate to staff that trees
City of Denton City Council Minutes
August 25, 1998
Page 4
should be examined by someone who would see if the tree could be saved instead of clearing that
tree. There was also a discussion as to why the Planning Director had so much discretion in deciding
the issue and why anyone should have the ability to nominate a monarch tree. For every development
site, someone would want monarch trees nominated. The thought was that monarch trees were only
unique trees and not on every site. It was felt that the size threshold for monarch trees needed to be
addressed. Some thought that developers could be told to move a building if a monarch tree was in
the building site.
Council Member Durrance felt that a developer should not have to build a building around monarch
trees. If it caused undo economic hardship to protect such a tree, a developer should have other
means to mitigate. Even monarch trees had a life span and what would happen when such a tree died.
Mayor Pro Tem Beasley stated that she would like to see flexibility and mitigation with extenuating
circumstances. There needed to be some way to deal with those types of situations.
Hill suggested that Options # 1 and #3 could be combined.
Council discussed the various options that were listed in the agenda materials.
Consensus of Council was to work on combining Options # 1 and #3.
5. The Council received a report, held a discussion, and gave staff direction regarding Growth
Management Strategy issues and priorities.
Mark Bowers, HOK, stated that they were under contract with RUST to determine a preferred
growth scenario for the City of Denton. They were to identify growth management strategy issues
that would be used to construct a community survey and set the preliminary scope of work for the
draft Growth Management Strategy.
Renee Jaynes stated that she had had interviews with department heads and asked for information on
issues that would affect growth of their departments. She also asked for larger issues relating to
Denton's growth. Those responses provided the growth management strategy issues that were
detailed in the agenda materials. She reviewed the major issues under each category as shown in the
agenda materials. There were four central themes - controlling the quantity of growth; quality of
growth; controlling the location of growth; and controlling the timing of growth/phasing of growth.
Council Member Cochran asked about the procedure to arrive at a consensus in the community.
Bowers stated that it would involve more neighborhood meetings and getting a feeling of
neighborhoods concerns. Council would provide individual input into the process by changing
wording on the issue questions. They felt that the survey needed to be constructed in such a manner
to ensure the purpose of the information needed.
Mayor Pro Tem Beasley felt that it was necessary to focus regionally, as issues in other areas of the
country might not apply to Texas.
City of Denton City Council Minutes
August 25, 1998
Page 5
6. Council received a report, held a discussion and gave staff direction regarding possible
affordable housing exemptions to the water/wastewater treatment impact fees.
Dave Hill, Director of Planning and Development, stated that there was a way for existing staff to
handle a more detailed standards program for exemptions that would get at the linkage between what
exemptions were meant to do and who they were meant to benefit. This would be a program with
limited exemptions using a community development type of approach to this issue.
Council Member Cochran suggested simplifying the process by making grants from the general fund
to handle this. There were not that many not-for-profit organizations.
Hill stated that staff was still looking at the differentiation between not-for-profits and profits.
Council Member Young stated that to make the process simple, a set value on a home should be used
such as $90,000 and under. That would settle the issue of not- for-profit and profit and the issue of
possible lawsuits.
Council Member Cochran stated that such an impact on a smaller house would be less than on a
larger house. They would be paying a smaller amount than others would.
Mayor Pro T em Beasley stated that she was not in favor of giving exemption to homes sold for profit.
She was concerned that with any house $90,000 and under receiving an exemption, there would be
too many exemptions and the point of the entire process would be missed. She felt that exemptions
should only be given by Council and a request should be by a non-profit organization.
Beasley motioned, Miller seconded that there would be no exemptions unless given by Council and
had to be a non-profit organization requesting the exemption.
City Manager Benavides stated that the economic development statute allowed a city to pay the
impact fees from the general fund and then could differentiate from non-profit and for-profit.
Mayor Miller stated that he would like to start in that direction using the general fund for non-profits.
Mayor Pro Tem Beasley asked about limiting the number of exemptions given in a year.
City Manager Benavides suggested finding the money to do the program for one year and see how
many requests were received and then evaluate the program.
Mayor Miller stated that the proposal was to exempt non-profit organizations and re-pay the utilities
through the general fund.
Council Member Burroughs stated that setting a cap on the number of grants available was not a
means he could support. He did not feel it would be fair to those falling under the cap. He felt a pilot
program should be done with only non-profit organizations and no cap.
Council Member Kristoferson suggested 20 grants as a cap for the number of grants for the pilot
program.
Council Member Young felt that the impact fees would hurt low income people. He felt that if the
City of Denton City Council Minutes
August 25, 1998
Page 6
program were done any other way other than with a set dollar amount for the cost of the home, it
would hurt the lower income people.
Mayor Pro Tem Beasley withdrew her original motion.
Burroughs motioned, Cochran seconded to set exemption standards to the impact fees as new owner-
occupied single family housing for low income households and low-income elderly or disabled
households. Not-for-profit developers who met the exemption standards would be eligible to receive
impact fee exemptions in the form of pre-construction waivers. Any property subject to City of
Denton W ater/W astewater Treatment Impact fees would be eligible for the exemption. The price cap
of the unit would be tied to the annual requirements of the City of Denton Homebuyer's Assistance
Program administered by the Community Development Division of the Planning and Development
Department. The grants would come from the General Fund with a cap of 50 applications. On roll
vote, Beasley "aye", Burroughs "aye", Cochran "aye", Durrance "nay", Kristoferson "aye", Young
"aye", and Mayor Miller "aye". Motion carried with a 6-1 vote.
7. The Council received a report, held a discussion and gave staff direction regarding a proposed
amendment to the Solid Waste Ordinance relating to unauthorized use of solid waste containers,
disposition of bulky household items, adequacy of solid waste service, contamination of recycling
sites, and provision of penalties for non-compliance.
Howard Martin, Assistant City Manager for Utilities, stated that this report would be addressing
several issues impacting his department's ability to deliver commercial service and included theft of
service, collection of bulky items and collection of recycle containers.
Officer Greg Hedges, Denton Police Department, stated that the Department had taken several
different roles in recent years in dealing with this problem. Part of that role was to work towards
improving people's perceptions on where they lived. A problem in Owsley Addition was that there
were 300 families living in a 10-block area. Dumpsters were a problem in that they often were
overflowing with items. There was a need to look at various means to improve this condition.
Charlie Watkins, Superintendent of Solid Waste, reviewed the major issues ofthis problem as detailed
in the agenda materials. Part of the solution was to revise the current ordinance to include a provision
of theft of service for improper disposal, review collection services to determine if an area was
receiving inadequate service and address the problem of contamination of the collection sites. The
proposed ordinance added a theft of service provision that would make it illegal to place items in
someone else's dumpster. The proposal also included the continuance of picking up bulky items but
included a charge of $10 per item.
Council Member Burroughs asked if a neighbor dumped bulky items at someone else's container,
would the other person have to pay to have those items removed.
Watkins stated that if the dumpster customer knew who was illegally dumping at his dumpster, he
could follow up on that with the Police Department. Enforcement of theft of service was very
difficult unless it was seen in progress by an officer.
City of Denton City Council Minutes
August 25, 1998
Page 7
Council Member Kristoferson felt that the enforcement capabilities of the police department would be
very limited and that the program would work better if apartment managers made residents aware of
the regulations.
Watkins stated that staff was planning on contacting all apartment owners and managers.
Mayor Pro Tem Beasley asked how the program would be enforced and would the burden ofproof
be on the owners of apartments.
Council Member Cochran felt it was unfair to city operations to have to take the burden of removing
these items.
Council Member Young did not like the idea of the police department having to guard garbage cans.
He felt it was a good idea to clean up the area but the proposal needed more research.
Mike Bucek, Assistant City Attorney, stated that one legal problem was absentee landlords. He
suggested having the violators change to a larger dumpster after three violations.
Kristoferson motioned, Cochran seconded to move forward with the ordinance with the removal of
the bulky item provisions.
Mayor Miller suggested keeping those provisions in the ordinance and review the ordinance in a year
to see how effective it was.
Kristoferson agreed to reinstate the fee in the ordinance. Cochran withdrew his second. Durrance
seconded the motion.
Council Member Durrance called the question. On roll vote, Beasley "nay", Burroughs "aye",
Cochran "nay", Durrance "aye", Kristoferson "aye", Young "nay", and Mayor Miller "aye". Motion
carried with a 4-3 vote.
8. The Council received a report, held a discussion and gave staff direction regarding the 1998-
99 proposed budget.
Kathy DuBose, Assistant City Manager for Finance, stated that the proposal in the budget was to
reduce the grocery store fees as would the other fees as stated in her memo in the agenda materials.
The net effect on the building inspection fee would be zero.
Consensus of the Council was to proceed as proposed.
DuBose stated that the CIP program would move up several projects in the plan.
Consensus of the Council was to proceed as proposed.
DuBose stated that the recommendation from the Hotel Occupancy Tax Committee provided two
scenarios. Both scenarios included funding all applicants except the Main Street Association and
City of Denton City Council Minutes
August 25, 1998
Page 8
Parks and Recreation Department's Civic Center renovation project. The Committee suggested that
Council consider other sources of funding for these projects. She reviewed the funding scenarios as
indicated in the agenda materials.
Mayor Miller stated that after this year there would no longer be any carry-over funding.
DuBose replied correct.
With no further business, the meeting was adjourned at 11 :30 p.m.
JACK MILLER, MAYOR
CITY OF DENTON, TEXAS
JENNIFER WALTERS
CITY SECRETARY
CITY OF DENTON, TEXAS