Minutes January 25, 2005
CITY OF DENTON CITY COUNCIL MINUTES
January 25,2005
After determining that a quorum was present, the City Council convened in a Special Called
Work: Session of the City of Denton City Council on Tuesday, January 25,2005 at 4:00 p.m. in
the City Council Work: Session Room.
PRESENT:
ABSENT:
Mayor Pro Tem McNeill; Council Members Kamp, Montgomery, and Mulroy.
Mayor Brock:; Council Member Redmon and Thomson
1. The Council received a report, held a discussion, and gave staff direction regarding the
drainage department transfers to General Fund.
Howard Martin, Assistant City Manager, reviewed the back:up materials included in the agenda.
Council discussed the various aspects of the drainage department transfer to the General Fund.
Council Member Redmon arrived at the meeting.
Council discussion included:
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Bond charges from 1999 until the implementation of the drainage fee should be
charged to the General Fund as that was how it was represented in the bond issue.
Whether the Engineering transfer would continue even with the change in the
department.
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Mayor Brock: arrived at the meeting.
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When did the cost for stormwater requirements become effective?
What was the estimated cost of drainage proj ects needed but not funded - at one
time was $50 million.
How had the exemption of state agencies from paying drainage fees affected
budgets?
New street proj ects should have some drainage improvement components that
could be used as credits to offset some of the General Obligation bond expenses.
Possibly waiving the franchise fee and ROI for drainage - was this a utility and
did the Charter allow this?
Explore how credit for street projects and General Obligation bond charges
compared.
Discussion on when and how it was determined that runways at the Airport would
be treated as streets and not charged as a transportation corridor.
Revisit the policy of not charging runways a drainage fee.
Look: at the analogy between streets and runways - service is provided for
economic development similar to streets.
Look: at the capital monies and perform an analysis on general government credit,
the money available from the bond election if approved and how the offsets line
up.
If the ROI franchise fee were waived, how would it be covered in General
Government?
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January 25,2005
Page 2
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If ROI and franchise fees were waived and the changes associated with the
Engineering Department were considered, develop a 20- year schedule of how to
accomplish drainage capital proj ects that would currently have to be put on hold
at budget time.
2. The Council received a report, held a discussion, and gave staff direction regarding
impact fee administration as it related to residential and nonresidential infill projects.
Howard Martin, Assistant City Manager, reviewed an outline of impact fees and prior decisions
regarding the implementation of the impact fees.
Council discussion:
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The structure of the policy currently protected the city legally in the
implementation of the programs.
What was the philosophy of impact fees in other cities as compared to Denton's
philosophy?
Was affordable housing the only desirable use for infill?
Infill policies would be important to increase/enhance the vitality of the inner city.
A better definition of infill development was needed-current definition did not
address size of lot, size of structure- nowhere to locate-mak:e the definition
accurate and applicable to what trying to do.
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Consensus of the Council was to pursue Option 2 and to re-examine the entire policy at some
point in the near future so as to address it in the next budget year - had the time passed for such a
program. Bring a proposed ordinance forward soon with two or three alternatives.
3. The Council received a report, held a discussion, and gave staff direction regarding the
City of Denton's employee health benefits program.
Scott Payne, Risk: Manager, presented details on the City's health program and reviewed a
summary of the City's health plan design. Approximately 95% of the employees were enrolled
in the City's health care plan.
Council discussion:
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Retiree options and health care costs.
Budget decisions in August were based on figures that were different than
presented at this meeting - information in the supplemental budget did not
provide adequate information to mak:e a decision.
Develop a chart comparing the health insurance costs as a percentage of the total
budget over period of the last 4-5 years.
What was the policy for pick:ing up a percentage of dependent care costs?
Consider a cap on the dependent side going forward.
Discussion on why there was no deductible level for the plan and a response that
it was an option being look:ed at for the next term.
Discussion on how the policy was determined that the City paid for the employee
only insurance.
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January 25,2005
Page 3
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A suggestion to align the insurance year with the budget year instead of staggered
terms and put actual figures in the budget.
Consensus of the Council was that well in advance of the budget, staff would bring back: a range
of alternatives both traditional and out-of-the-box ideas with more employee responsibility
included. A 90-day update to the Council with choices was recommended.
4. The Council received a report, held a discussion, and gave staff direction regarding the
City of Denton's work:ers' compensation program.
Scott Payne, Risk: Manager, reviewed the City's work:ers' compensation program. He stated that
the City was required to provide work:er's compensation. For Civil Service employees, the City
had to pay full salary for up to one year if injured in the line of duty. Non-Civil Service
employees were provided 120 days of coverage at full salary.
Council discussion included:
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Why was the City paying 100% for non-civil service employee work:ers'
compensation when the norm for the private section was at 70%?
Were the benefits taxable or non-taxable and was the difference paid based on the
net or gross amount?
Develop a matrix of these benefits showing the mark:et competition and was this a
competitive benefit.
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The consensus of the Council was that the underlying concern was whether providing 100%
coverage for non-civil service employees was out of sync with the private sector, what was the
competition doing and whether or not the benefits were taxable.
5.
The Council held a discussion and gave staff direction regarding the 2004-2005 budget.
Discussion points by Council included:
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Provide information on how the shortfall was handled regarding employee pay
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Increases.
Total benefits for employees appeared to be approximately 45% that was higher
than the private sector.
Develop a matrix of the City's full time employees with salary totals including
positions, salaries, and benefits for the past ten years.
Provide an update on the gas well revenues including actual revenue and where it
was being allocated.
What was the current and proj ected operation and maintenance costs for the bond
program?
Provide an update on the six police officers on long-term disability.
Provide a cost for the school resource officers.
Do not defer insurance payments to the following year as was done this past year.
Discussion on the 9% budgeted for sales tax.
Two upcoming scheduled topics of discussion included the police vehicle study
and the 2006 preview of the budget.
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January 25,2005
Page 4
6. Suggestions for Agenda Committee on future agenda items and/or placement of items for
upcoming agendas.
Council Member Montgomery requested an update on Animal Services. That discussion was
scheduled for February 22nd.
With no further business, the meeting was adjourned at 7 :00 p.m.
EULINE BROCK
MAYOR
CITY OF DENTON, TEXAS
JENNIFER W ALTERS
CITY SECRETARY
CITY OF DENTON, TEXAS