Loading...
May 16, 2006 Minutes CITY OF DENTON CITY COUNCIL MINUTES May 16, 2006 After determining that a quorum was present, the City Council convened in a Work Session on Tuesday, May 16,2006 at 4:00 p.m. in the Council Work Session Room at City Hall. PRESENT: Mayor Brock; Mayor Pro Tem McNeill; Council Members Heggins, Kamp, Montgomery, Mulroy, and Thomson. ABSENT: None 1. The Council received an update from the Chair of the Citizens Capital Improvement Program (CIP) Oversight Committee on the progress of the Five Year Capital Improvements program. Mark Burroughs, Chair-Oversight Committee, indicated that the Committee would like to know how the Council would like reports from the Committee. He stated that there currently were significant building challenges not anticipated at the time of the election and when the committee was formed. Hurricanes Katrina and Rita and escalating fuel process had increased the cost of projects approximately 15-30%. Construction materials were depleted and moved to the coast. This was creating a pinching of resources dealing with construction services. A vast majority of the CIP was for construction projects. These factors could potentially produce overruns of projects and higher projected costs for future projects. The initial projections for projects would probably be inadequate. Options to consider included delaying the start of some of the projects for several years or dropping off some projects. Because of rising costs, the leveraging of matching funds from the state and federal governments WlS also shifting. On the positive side, sustainable development funds were available and Denton ranked high in that area. The Committee would be meeting quarterly or on an as- needed basis. Council Discussion - . Continue providing Council with updates on the situation. . Consider ranking the approved projects - The Committee felt that if additional funds were found, it could determine what projects would fit in those categories. . General direction for staff would be to look at the outer years that were not as dependent on construction costs and consider moving those up now to make best use of the funds and hope that construction costs would come down in the future. . There was a need to realign thinking at this time in order to have best use of funds. . Consider delaying projects for a year and see where the market would be at that time. 2. The Council received a report, held a discussion, and gave staff direction regarding the Animal Shelter Cost Recovery Assessment. Lt. Scott Fletcher, Denton Police Department, stated that staff had reviewed the shelter conditions and options for the shelter with the Council in December of 2005. The current population of the animals at the shelter consisted of 2/3' s from the City of Denton and 1/3 from the agencies contracting with the shelter. Fifty-one percent of the revenue from the shelter came from the contracts with the outside agencies. Services included holding, adoption, euthanasia, cremation, reclaims and transfers. The holding time of the animals was on an average of 7.68 days. State law required a holding time of 3 days and city ordinance required 4 days. The actual holding cost for the city was $7.30 per day. It was recommended to increase the daily holding City of Denton City Council Minutes May 16, 2006 Page 2 fee from $5 to $8 and increase maximum billing time from 4 to 8 days. The recommendation for adoption was to not make any changes in the process at this time, as the one-stop adoption, which started in November 2005, was competitive with area shelters. The euthanasia revenue and expenses were reviewed. Staff was recommending no changes for euthanasia fees, as the changes in the holding fees would cover the costs. Cremation expenses and revenue were reviewed. Recommendations were to increase the fee for mass cremation to $15 and eliminate the private cremation option. Reclaims revenue and expenses were detailed with no recommended changes as the current fees covered the costs. Transfer revenues and expenses were detailed with no changes as benefits of transfers outweighed the cost of recovery. Fletcher detailed a proposed policy change regarding the intake of animals during off hours. Currently the inter local agencies could access the shelter in off hours and deposit animals. The proposed policy change would require shelter staff to be present to take in inter local animals and then bill interlocal agencies for after hour response to the shelter. Benefits to this change were better control of the facility, the ability to monitor the health of the animals and ensure accurate billing. A capital expenditure proposal was to have interlocal agencies pay a percentage of how much they used the shelter. This would be an annual percent of the capital expenditure plus per animal fees for total annual costs. Council direction was needed on the proposed fee increases, the policy change for after- hours intake and for the capital expenditure plan for a new shelter. Council discussion- . The County wanted the city to continue services for the county - two county individuals were proposing for the County to be involved in funding help for a new shelter. . Appoint a study group from the County, City and animal support groups to look at the issues. . Start a dialog for long term commitments for contracts Consensus of Council was to proceed with the recommendations as presented. 3. The Council received a report, held a discussion, and gave direction on the City Manager search process, to include authorization of the CAPR committee to use Ron Holifield, Owner and CEO of Government Resources, Inc. for assistance with the search process. Mayor Pro Tem McNeill stated that there were two items to discuss relating to this topic. One was an update on the characteristics added to the information sheet for the city manager search and the second was the desire of the Committee to have outside help with the filter process for the applications. The Committee was proposing to use Ron Holifield from Government Resources, Inc. to assist with that process. Mr. Holifield would meet with Council on June 6th to further discuss the process. The notice of vacancy would be released after that meeting with a deadline of "until filled" in the notice. Consensus of the Council was to move forward with the proposals. 4. The Council received a report, held a discussion and gave staff direction regarding the submittal of an application to designate a portion of the industrially zone area of Denton as a Foreign Trade Zone. City of Denton City Council Minutes May 16, 2006 Page 3 Linda Ratliff, Director of Economic Development, stated that over the years, the City has had several requests from prospects for industrial sites that were located in a Foreign Trade Zone. Lately, the requests for such sites had increased, and several existing businesses had also expressed an interest. If Council approved, staff would prepare a resolution of support for the establishment of a Foreign Trade Zone. The County and DISD would also have to indicate support in order for the application to be submitted. Avionics International Supply would like to participate in a Foreign Trade Zone. They would apply for a temporary zone that would only involve their operation and would expire in two years. At the same time the City would head a project to establish a general-purpose zone. The City would engage in cost sharing with the surrounding airport property owners and businesses to cover the $50,000 cost for the zone. The general-purpose zone took approximately two years to receive designation. Thus at the time when the temporary zone from Avionics expired, the general-purpose zone would be in place. Council discussion - . The City, as well as the DISD and County, could lose money with this trade zone. Ratliff stated only if all of the inventory for the business were involved. . What did the County and DISD feel about these? Ratliff stated that the process had to start with the City and then proceed to the County and DISD. Letters of support were needed from all three entities in order to proceed. . Work up a ten-year program showing the statistics of a foreign trade zone. . After the initial cost for the application, individual businesses must spend @$40,000 for activation of the zone. . There would be a cost for the Airport to be a part of the zone. With other entities included in the process, the cost would be @$14,000 fir the Airport to be included. Consensus of the Council was to come back with another work session with more information on the process. If approved, the item could then be placed on a consent agenda. 5. The Council received a report, held a discussion and gave staff direction regarding the retention period for candidate/officeholder contribution/expenditure reports. This item was not considered. 6. Staff responded to requests for clarification of consent agenda items listed on the consent agenda for May 16, 2006. Following the completion of the Work Session, the City Council convened in a Closed Meeting at 5 :25 p.m. to consider the specific items listed below under the Closed Meeting section of this agenda. City of Denton City Council Minutes May 16, 2006 Page 4 1. Closed Meeting: A. Consultation with Attorney - Under Texas Government Code Section 551.071. 1. Consulted with the City's attorneys regarding legal issues, including defense of pending litigation filed by JNC Denton Partners, LLC, associated with annexation of real property in the City's northern ETJ, under Annexation Case No. A05-0002, along with other legal issues related to the annexation, including zoning, land use and subdivision controls, plat applications, annexation plans, development agreements, annexation agreements, service plans, utility service, and legal issues implicated by alternative proposals advanced by individuals owning property within the proposed annexation area. A public discussion of these legal matters would conflict with the duty of the City's attorneys to the City Council under the Texas Disciplinary Rules of Professional Conduct of the State Bar of Texas or would jeopardize the City's legal position in any administrative proceedings or potential litigation. 2. Considered and discussed status of litigation styled Tower v. City of Denton, Cause No. 4:05cv302, currently pending in the U.S. District Court, Eastern District, Sherman Division B. Deliberations regarding certain Public Power Utilities: Competitive Matters - Under Texas Government Code Section 551.086. Consultation with Attorneys - Under Texas Government Code S551.071. 1. Received a presentation and information from Denton Municipal Electric staff regarding public power and business matters respecting the pending request for proposals by DME; receive information and analysis regarding power purchase agreements and the power supply needs of the city; and discuss, deliberate, consider, provide staff with direction, consider a vote and take final action regarding the proposed Power Purchase Agreement by and between the City of Denton, Texas and Constellation Energy Commodities Group, Inc., a Delaware corporation, in order to provide a portion of the city's power supply needs. Receive a consultation with the city's attorneys concerning the above-referenced issues, where to discuss such issues and matters in a public meeting would conflict with the attorneys' duties and professional responsibilities to their client under the Texas Disciplinary Rules of Professional Conduct. Regular Meeting of the City of Denton City Council on Tuesday, May 16, 2006 at 6:30 p.m. in the Council Chambers at City Hall. 1. PLEDGE OF ALLEGIANCE The Council and members of the audience recited the Pledge of Allegiance to the U. S. and Texas flags. City of Denton City Council Minutes May 16, 2006 Page 5 2. PROCLAMA TIONS/PRESENT A TIONS A. Proclamations/Awards B. May Yard-of-the-Month Awards Mayor Brock presented the Yard of the Month awards to: Reder McAdams and Novell McClure Brenda McCutcheon Wallace and Bonnie Duvall Jim and Jennifer Specht Sam Sealana and Sharon Turcotte Melony and Kent Maloy - W atersmart Award Quatum Family Care PA - Business Award 3. CONSENT AGENDA Mayor Brock indicated that Speaker Cards had been received on several Consent Agenda Items. Bob Clifton, 730 Wainwright, Denton, 76201, spoke on Items 3C, 3D and 3J. He indicated that citizens should be made aware of the costs of these items. Stan Eberhart, 1824 Parkside, Denton, 76201 spoke on Item 3F. He was concerned about the requirement for a rollback wrecker in order to stay on the rotation list for the Police Department. Lloyd Odle, 209 W. Collins, Denton, 76201 spoke on Item 3F. He also expressed aconcern about the requirement for a rollback wrecker in order to stay on the rotation list for the Police Department. Mulroy motioned, Thomson seconded to pull Item 3F for more information. On roll vote, Heggins "aye", Kamp "aye", McNeill "aye", MontgoITEry "aye", Mulroy "aye", Thomson "aye" and Mayor Brock "aye". Motion carried unanimously. Kamp motioned, Heggins seconded to approve the Consent Agenda and accompanying ordinances with the exception of Item 3F. On roll vote, Heggins "aye", Kamp "aye", McNeill "aye", Montgomery "aye", Mulroy "aye", Thomson "aye" and Mayor Brock "aye". Motion carried unanimously. A. 2006-129 - An ordinance of the City of Denton approving a License Agreement between the Texas Municipal Power Agency ("TMP A"), and the City of Denton relating to the encroachment of city utilities, a portion of right-of-way and a storm drain across an existing TMP A Easement as part of the Wheeler Ridge Phase 4 improvements, located in the B. Merchant Survey Abstract Number 900, City of Denton, Thnton County, Texas and being a portion of a certain called 253.926 acre tract of land described in the deed to Centex Homes, a Nevada general partnership, recorded in Volume 5105 Page 3753 of the Deed Records of Denton County, Texas. The Public Utilities Board recommended approval (6-0). City of Denton City Council Minutes May 16, 2006 Page 6 B. 2006-130 - An ordinance of the City of Denton approving a License Agreement between TXU Electric Delivery Company ("TXU"), and the City of Denton relating to the encroachment of City utilities, a portion of right-of-way and storm drain across an existing TXU easement as part of the Wheeler Ridge Phase 4 improvements, located in the B. Merchant Survey Abstract Number 900, City of Denton, Denton County, Texas and being a portion of a certain called 253.926 acre tract of land described in the deed to Centex Homes, a Nevada General Partnership, recorded in Volume 5105 Page 3753 of the Deed Records of Denton County, Texas; and providing an effective date. (The Public Utilities Board recommended approval (6-0). C. 2006-131 - An ordinance approving a Professional Services Agreement between the City of Denton and R.W. Beck, Inc. to provide professional design and engineering services at the City's landfill; authorizing the expenditure of funds; and providing an effective date. The Public Utilities Board recommended approval (6-0). D. 2006-132 - An ordinance accepting competitive bids and awarding a public works contract for the installation of playground equipment and other renovations at Avondale and Civic Center Park; providing for the expenditure of funds therefor; and providing an effective date (Bid 3493 - Avondale and Civic Center Park Playground Renovations awarded to Texas Environmental Management S.A., Inc. in the amount of $41,624.41). E. 2006-133 - An ordinance authorizing tre partial abandonment of a 0.0275-acre public utility easement tract recorded in Volume 1018, Page 867 of the Real Property Records of Denton County, Texas situated in the S. Brewster Survey, Abstract No. 56. The Public Utilities Board recommended approval (6-0). F. This item was pulled from consideration. G. Approved tax refunds for the following property taxes: Name Reason Tax Amount Year 6. Countrywide/Fritsch, Hilton Duplicate Payment 2004 $ 539.43 H. 2006-134 - An ordinance of the City of Denton, Texas, amending Chapter 18 of the Code of Ordinances by adding Section 18- 73; altering the prima facie speed limits established for vehicles under the provision of Transportation Code, Section 545.356, upon the following roadways or parts thereof, within the incorporated limits of the City of Denton; providing a penalty not to exceed $200.00 unless the violation occurs in a work zone and then the penalty shall not exceed $400.00; providing a severability clause; providing a repealing clause; City of Denton City Council Minutes May 16, 2006 Page 7 providing for publication; and declaring an effective date. The Traffic Safety Commission recommended approval (6-0). I. 2006-135 - An ordinance amending Chapter 18 of the Code of Ordinances to revise the school safety speed zones and times for various schools; providing a penalty of a fine not to exceed two hundred dollars ($200.00); providing a severability clause; providing for publication; and declaring an effective date. The Traffic Safety Commission recommended approval. J. 2006-136 - An ordinance of the City Council of the City of Denton, Texas authorizing the Interim City Manager to execute a Second Amendment to an Agreement with Terry D. Morgan & Associates, P.C. for professional legal services relating to pending litigation styled JNC Partners Denton, LLC v. City of Denton, Cause No. 2006-10032-16, currently pending in the 16th District Court of Denton County, Texas; authorizing the expenditure of funds therefor; and providing an effective date. K. 2006-137 - An ordinance of the City of Denton, Texas, Nunc Pro Tunc, correcting an inadvertent mistake in Ordinance No. 2005-024 providing for approval of a detailed plan for 24.8 acres located within Planned Development 132 (Pd-132) zoning district; the subject property is generally located on the south side of Pockrus Page Road, on the east side of Lakeview Boulevard in the City of Denton, Denton County, Texas; providing for a penalty in the maximum amount of $2,000.00 for violations thereof, a severability clause and an effective date. (204-0024) 4. PUBLIC HEARINGS A. The Council held a public hearing and considered adoption of an ordinance regarding an Alternative Development Plan (ADP) for an Environmentally Sensitivity Area (ESA). The 71.01-acre ESA was located within the Unicorn Lake development, a 133.5-acre site located south of Interstate 35 East along both sides of Wind River Lane. The Unicorn Lake development was zoned Neighborhood Residential 2 (NR-2), Neighborhood Residential Mixed- Use (NRMU-12), and Regional Center Commercial Downtown (RCC-D) zoning districts. The Planning and Zoning Commission forwarded this item without reaching a consensus on a recommendation (3-3). (ADP06-0005, Unicorn Lake) Brian Lockley, Interim Director of Planning, presented information concerning both Item 4A and 4B. The Planning and Zoning Commission could not reach a consensus on the items. The original concept plan approved for Unicorn Lake showed an ESA area that was comprised of 1.18 acres of Upland Habitat and the creation of 10.16 acres of Upland Habitat. A 20' buffer would be provided along the rear lot setbacks on those lots adjacent to Sundown Ranch. Every rear lot abutting the Sundown Ranch Subdivision would have at least one healthy tree with a 6- 8" caliper. Council Member Mulroy stated that this was the plan presented to the Planning and Zoning Commission but a different plan was presented at the neighborhood meeting. City of Denton City Council Minutes May 16, 2006 Page 8 Lockley stated that the current plan was to leave a 50' buffer along the back of the lots adjacent to Sundown Ranch. The Mayor opened the public hearing for 4A and 4B. The following individuals spoke during the public hearing: Bob Shelton - proposal was for 50' buffer zone - with changes not do 10 acres Daniel McCoulsky, 2601 Hollow Ridge, Denton 7621- - favor Kathy Edman, 2100 Spur Court, Denton, 76210 - favor Jennifer Larson- Hall, 3513 Paint Drive, Denton, 76210 - favor Joel Blixt, 2200 Lakeside Court, Denton, 76210 - favor of modified proposal Josh Whit, 3609 Paint Drive, Denton, 76210 - favor Mary McSorley, 3725 Ranchman Blvd., Denton, 76210 - favor Richard Stephens, 2709 Clubhouse Drive, Denton, 76210 - favor of proposal Comment cards were received from the following: Mona White, 3609 Paint, Denton, 76210 - support Trina Stephens, 2709 Clubhouse Drive, Denton, 76210 - support Louis Dagenais, 2113 Spur Court, Denton, 76210 - support James and Sunny Emery, 2712 Clubhouse Drive, Denton, 76210 - favor George Rye, 2612 Hollow Ridge Denton, 76210 - favor Phil Gallivan, 6 Timbergreen Circle, Denton, 76205 - support Esther Williams, 2717 Clubhouse Drive, Denton, 76210 - support Brad Powell, 2209 Lakeside Court, Denton, 76210 - support Patricia Cukor-Avila, 2645 Cumberland Court, Denton, 76210 - favor Chad Kan, 3441 Lake Country, Denton, 76201 - support Jennifer Nicmlson, 2200 Palamino Court, Denton, 76210 - support Shobhana Chelliah, 422 Magnolia Street, Denton, 767201 - support Mark Chadwick, 3612 Cattail, Denton, 76208 - support Andrew Hall, 3513 Paint Drive, Denton, 76210 - support Kevin Sanders, 3617 Point Drive, Denton, 76210 - support Jenny McCoulsky, 2601 Hollow Ridge, Denton, 76210 - support Additional speakers included: Peggy LaPointe, 1900 Highland Park Circle, Denton - opposed Bob Clifton, 730 Wainwright, Denton, 76201 - opposed Kreg Rutherford, 2817 Hollow Ridge Drive, Denton, 76210 - favor The Mayor closed the public hearing. The following ordinance was considered: City of Denton City Council Minutes May 16, 2006 Page 9 NO. 2006-138 AN ORDINANCE OF THE CITY OF DENTON, TEXAS, APPROVING AN AL TERNA TIVE ENVIRONMENT ALL Y SENSITIVE AREA PLAN FOR AN APPROXIMATEL Y 47-ACRE TRACT OF LAND GENERALLY LOCATED ON THE SOUTH SIDE OF 1-35 EAST, SOUTH OF WIND RIVER BOULEVARD AND WEST OF UNICORN LAKE BOULEVARD, AND LEGALLY DESCRIBED AS WITHIN THE M.E.P. & P.R.R. SURVEY, ABSTRACT 950, AND MORE PARTICULARLY DESCRIBED BY METES AND BOUNDS IN EXHIBIT A ATTACHED HERETO; PROVIDING FOR A SEVERABILITY CLAUSE; PROVIDING FOR A PENALTY IN THE MAXIMUM AMOUNT OF $2,000.00 FOR VIOLATIONS THEREOF; AND PROVIDING A SEVERABILITY CLAUSE AND AN EFFECTIVE DATE. Mulroy motioned, Kamp seconded to adopt the ordinance with the amended Option 2. On roll vote, Heggins "aye", Kamp "aye", McNeill "aye", Montgomery "aye", Mulroy "aye", Thomson "aye" and Mayor Brock "aye". Motion carried unanimously. B. The Council held a public hearing and considered adoption of an ordinance concerning an Overlay District for approximately 47.4 acres of land in Unicorn Lake currently zoned NR-2 and NRMU-12 and generally located south of Windriver Drive, west of I-35E and east of Sundown Ranch. The Planning & Zoning Commission recommended approval of the Overlay Zoning District (6-0). (Z06-0010/DCA06-0002) The public hearing for this item was held in conjunction with Item 4A. The following ordinance was considered: NO. 2006-139 AN ORDINANCE OF THE CITY OF DENTON, TEXAS, PROVIDING FOR A ZONING CHANGE TO CREATE AN OVERLAY DISTRICT CONSISTING OF AN APPROXIMATEL Y 47-ACRE TRACT OF LAND GENERALLY LOCATED ON THE SOUTH SIDE OF 1-35 EAST, SOUTH OF WIND RIVER BOULEVARD AND WEST OF UNICORN LAKE BOULEVARD, AND MORE PARTICULARLY DESCRIBED BY METES AND BOUNDS IN EXHIBIT A ATTACHED HERETO AND DEPICTED ON EXHIBIT B ATTACHED HERETO TO BE KNOWN AS THE "UNICORN LAKE OVERLAY DISTRICT"; AMENDING CHAPTER 35, SUBCHAPTER 7 OF THE CITY OF DENTON CODE OF ORDINANCES, "DENTON DEVELOPMENT CODE," "SPECIAL PURPOSE AND OVERLAY DISTRICTS" TO ADD SECTION 35.7.8 "UNICORN LAKE OVERLAY DISTRICT"; PROVIDING FOR THE REGULATION OF LAND USES AND DEVELOPMENT STANDARDS FOR THE UNICORN LAKE OVERLAY DISTRICT; PROVIDING FOR A SEVERABILITY CLAUSE; PROVIDING FOR A PENALTY IN THE MAXIMUM AMOUNT OF $2,000.00 FOR VIOLATIONS THEREOF; AND PROVIDING A SEVERABILITY CLAUSE AND AN EFFECTIVE DATE. City of Denton City Council Minutes May 16, 2006 Page 1 0 Kamp motioned, McNeill seconded to adopt the ordinance. On roll vote, Heggins "aye", Kamp "aye", McNeill "aye", Montgomery "aye", Mulroy "aye", Thomson "aye" and Mayor Brock "aye". Motion carried unanimously. 5. ITEMS FOR INDIVIDUAL CONSIDERATION A. The Council considered approval of a resolution by the City of Denton, Texas, authorizing the City Manager to sign and submit to the Department of Housing and Urban Development a 2006 Action Plan For Housing and Community Development with appropriate certifications, as authorized and required by the Housing and Community Development Act of 1974, as amended and the National Affordable Housing Act of 1990, as amended; and providing for an effective date. Council Member Montgomery left the meeting with conflict of interest. Barbara Ross, Community Development Administrator, stated that approval of this resolution would allow the City to submit an application for community development block grant and home investment program funding. The application included recommendations for human services/social service funding, funding for housing CIP projects and public social services improvement projects. No additional comments had been received during the 30-day comment period. The following resolution was considered: NO. R2006-018 A RESOLUTION BY THE CITY OF DENTON, TEXAS, AUTHORIZING THE CITY MANAGER TO SIGN AND SUBMIT TO THE DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT A 2006 ACTION PLAN FOR HOUSING AND COMMUNITY DEVELOPMENT WITH APPROPRIATE CERTIFICATIONS, AS AUTHORIZED AND REQUIRED BY THE HOUSING AND COMMUNITY DEVELOPMENT ACT OF 1974, AS AMENDED AND THE NATIONAL AFFORDABLE HOUSING ACT OF 1990, AS AMENDED; AND PROVIDING FOR AN EFFECTIVE DATE. Mulroy motioned, Thomson seconded to approve the resolution. On roll vote, Heggins "aye", Kamp "aye", McNeill "aye", Mulroy "aye", Thomson "aye" and Mayor Brock "aye". Motion carried unanimously. Council Member Montgomery returned to the meeting. B. The Council considered adoption of an ordinance amending Chapter 2, Article I of the of the Code of Ordinances of the City of Denton by adding Section 2-30 "Improper Disclosure of Confidential Information"; providing a penalty of a fine not to exceed five hundred dollars ($500.00); providing a severability clause; providing for publication; and declaring an effective date. City of Denton City Council Minutes May 16, 2006 Page 11 City Attorney Snyder stated that this ordinance was drafted at the request of the Ethics Committee and dealt with improper disclosure of confidential information. The following ordinance was considered: NO. 2006-140 AN ORDINANCE AMENDING CHAPTER 2, ARTICLE I OF THE OF THE CODE OF ORDINANCES OF THE CITY OF DENTON BY ADDING SECTION 2-30 "IMPROPER DISCLOSURE OF CONFIDENTIAL INFORMATION"; PROVIDING A PENAL TY OF A FINE NOT TO EXCEED FIVE HUNDRED DOLLARS ($500.00); PROVIDING A SEVERABILITY CLAUSE; PROVIDING FOR PUBLICATION; AND DECLARING AN EFFECTIVE DATE. Kamp motioned, Mulroy seconded to adopt the ordinance. On roll vote, Heggins "aye", Kamp "aye", McNeill "aye", Montgomery "aye", Mulroy "aye", Thomson "aye" and Mayor Brock "aye". Motion carried unanimously. C. The Council considered adoption of an ordinance of the City of Denton, Texas amending the fiscal year 2005-06 Budget and Annual Program of Services of the City of Denton for the Fleet Services Fund to allow for an adjustment of six hundred seventy five thousand dollars ($675,000) to provide for the purchase of fuel and its associated cost, declaring an emergency; and providing an effective date. The following ordinance was considered: NO. 2006-141 AN ORDINANCE OF THE CITY OF DENTON, TEXAS AMENDING THE FISCAL YEAR 2005-06 BUDGET AND ANNUAL PROGRAM OF SERVICES OF THE CITY OF DENTON FOR THE FLEET SERVICES FUND TO ALLOW FOR AN ADJUSTMENT OF SIX HUNDRED SEVENTY FIVE THOUSAND DOLLARS ($675,000) TO PROVIDE FOR THE PURCHASE OF FUEL AND ITS ASSOCIATED COST, DECLARING AN EMERGENCY; AND PROVIDING AN EFFECTIVE DATE. Thomson motioned, Kamp seconded to adopt the ordinance. On roll vote, Heggins "aye", Kamp "aye", McNeill "aye", Montgomery "aye", Mulroy "aye", Thomson "aye" and Mayor Brock "aye". Motion carried unanimously. D. The Council considered adoption of an ordinance of the City of Denton, Texas amending the fiscal year 2005-06 Budget and Annual Program of Services of the City of Denton for the General Fund to allow for an adjustment of five hundred thousand dollars ($500,000) to provide for the expenditure of funds to cover the increased cost of electricity, declaring an emergency; and providing an effective date. The following ordinance was considered: City of Denton City Council Minutes May 16, 2006 Page 12 NO. 2006-142 AN ORDINANCE OF THE CITY OF DENTON, TEXAS AMENDING THE FISCAL YEAR 2005-06 BUDGET AND ANNUAL PROGRAM OF SERVICES OF THE CITY OF DENTON FOR THE GENERAL FUND TO ALLOW FOR AN ADJUSTMENT OF FIVE HUNDRED THOUSAND DOLLARS ($500,000) TO PROVIDE FOR THE EXPENDITURE OF FUNDS TO COVER THE INCREASED COST OF ELECTRICITY, DECLARING AN EMERGENCY; AND PROVIDING AN EFFECTIVE DATE. Heggins nntioned, Thomson seconded to adopt the ordinance. On roll vote, Heggins "aye", Kamp "aye", McNeill "aye", Montgomery "aye", Mulroy "aye", Thomson "aye" and Mayor Brock "aye". Motion carried unanimously. E. The Council considered adoption of an ordinance of the City of Denton, Texas to declare the intent to reimburse expenditures from the Unreserved Fund Balance of the General Fund with Certificates of Obligation to initiate the acquisition of land for transit facilities located in the Downtown area, and in the south part of the city of Denton; declaring an emergency to allow the funding for said project; and providing an effective date. (Land Purchase and Related costs-$1,400,000) Robert Donnelly, 3900 Quail Creek Road, Denton, 76208, submitted a comment card. The following ordinance was considered: NO. 2006-143 AN ORDINANCE OF THE CITY OF DENTON, TEXAS TO DECLARE THE INTENT TO REIMBURSE EXPENDITURES FROM THE UNRESERVED FUND BALANCE OF THE GENERAL FUND WITH CERTIFICATES OF OBLIGATION TO INITIATE THE ACQUISITION OF LAND FOR TRANSIT FACILITIES LOCATED IN THE DOWNTOWN AREA, AND IN THE SOUTH PART OF THE CITY OF DENTON; DECLARING AN EMERGENCY TO ALLOW THE FUNDING FOR SAID PROJECT; AND PROVIDING AN EFFECTIVE DATE. Mulroy motioned, Kamp seconded to adopt the ordinance. On roll vote, Heggins "aye", Kamp "aye", McNeill "aye", Montgomery "aye", Mulroy "aye", Thomson "aye" and Mayor Brock "aye". Motion carried unanimously. F. The Council considered adoption of an ordinance of the City of Denton, Texas, to declare the intent to reimburse expenditures from the Solid Waste Rate Stabilization Reserve funds with the Solid Waste Certifications of Obligation to make capital expenditures to fund solid waste capital projects approved in the 2005-2006 Capital Improvement budget; and declaring an effective date. The Public Utilities Board recommended approval (6-0). The following ordinance was considered: City of Denton City Council Minutes May 16, 2006 Page 13 NO. 2006-144 AN ORDINANCE OF THE CITY OF DENTON, TEXAS, TO DECLARE THE INTENT TO REIMBURSE EXPENDITURES FROM THE SOLID WASTE RATE STABILIZATION RESERVE FUNDS WITH THE SOLID WASTE CERTIFICATIONS OF OBLIGATION TO MAKE CAPITAL EXPENDITURES TO FUND SOLID WASTE CAPITAL PROJECTS APPROVED IN THE 2005-2006 CAPITAL IMPROVEMENT BUDGET; AND DECLARING AN EFFECTIVE DATE. McNeill motioned, Mulroy seconded to adopt the ordinance. On roll vote, Heggins "aye", Kamp "aye", McNeill "aye", Montgomery "aye", Mulroy "aye", Thomson "aye" and Mayor Brock "aye". Motion carried unanimously. G. The Council cornidered adoption of an ordinance approving a public at- grade railroad crossing agreement between the City of Denton and the Union Pacific Railroad Company (UPRR) covering the construction, maintenance, and use of a new Vintage Parkway at-grade public road crossing at railroad mile post 723.02-Choctaw Subdivision; providing for the permanent closure of certain railroad crossings and providing an effective date. The following ordinance was considered: NO. 2006-145 AN ORDINANCE APPROVING A PUBLIC AT-GRADE RAILROAD CROSSING AGREEMENT BETWEEN THE CITY OF DENTON AND THE UNION PACIFIC RAILROAD COMPANY (UPRR) COVERING THE CONSTRUCTION, MAINTENANCE, AND USE OF A NEW VINTAGE PARKWAY AT-GRADE PUBLIC ROAD CROSSING AT RAILROAD MILE POST 723.02-CHOCTA W SUBDIVISION; PROVIDING FOR THE PERMANENT CLOSURE OF CERTAIN RAILROAD CROSSINGS AND PROVIDING AN EFFECTIVE DATE Mulroy motioned, Kamp seconded to adopt the ordinance. On roll vote, Heggins "aye", Kamp "aye", McNeill "aye", Montgomery "aye", Mulroy "aye", Thomson "aye" and Mayor Brock "aye". Motion carried unanimously. H. The Council considered adoption of an ordinance of the City Council of the City of Denton, Texas concerning the consent to the creation of a municipal utility district, a fresh water utility district, and/or a water control and improvement district on an approximate 219 acre tract of land located in the city's extraterritorial jurisdiction requested by JNC Partners Denton, LLC; and providing an effective date. The following ordinance was considered: NO. 2006-146 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF DENTON, TEXAS CONCERNING THE CONSENT TO THE CREATION OF A MUNICIPAL UTILITY DISTRICT, A FRESH WATER UTILITY DISTRICT, AND/OR A WATER CONTROL City of Denton City Council Minutes May 16, 2006 Page 14 AND IMPROVEMENT DISTRICT ON AN APPROXIMATE 219 ACRE TRACT OF LAND LOCATED IN THE CITY'S EXTRATERRITORIAL JURISDICTION REQUESTED BY JNC PARTNERS DENTON, LLC; AND PROVIDING AN EFFECTIVE DATE. Mulroy motioned, Kamp seconded to deny. On roll vote, Heggins "nay", Kamp "aye", McNeill "aye", Montgomery "aye", Mulroy "aye", Thomson "aye" and Mayor Brock "aye". Motion carried with a 6-1 vote. I. The Council considered adoption of an ordinance of the City Council of the City of Denton, Texas concerning the consent to the creation of a municipal utility district, a fresh water utility district, and/or a water cortrol and improvement district on an approximate 623 acre tract of land located in the city's extraterritorial jurisdiction requested by White Cake Denton, L.P.; and providing an effective date. The following ordinance was considered: NO. 2006-147 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF DENTON, TEXAS CONCERNING THE CONSENT TO THE CREATION OF A MUNICIPAL UTILITY DISTRICT, A FRESH WATER UTILITY DISTRICT, AND/OR A WATER CONTROL AND IMPROVEMENT DISTRICT ON AN APPROXIMATE 623 ACRE TRACT OF LAND LOCATED IN THE CITY'S EXTRATERRITORIAL JURISDICTION REQUESTED BY WHITE CAKE DENTON, L.P.; AND PROVIDING AN EFFECTIVE DATE. Mulroy motioned, Kamp seconded to deny. On roll vote, Heggins nay", Kamp "aye", McNeill "aye", Montgomery "aye", Mulroy "aye", Thomson "aye" and Mayor Brock "aye". Motion carried with a 6-1 vote. J. The Council considered adoption of an ordinance of the City Council of the City of Denton, Texas providing for, authorizing, and approving the execution by the Interim City Manager of a Power Purchase Agreement by and between City of Denton, Texas and Constellation Energy Commodities Group, Inc., a Delaware Corporation; approving and authorizing the acceptance and approval by the Interim City Manager and City Attorney of a guarantee issued by Constellation Energy Group, Inc., a Delaware Corporation; authorizing and approving the execution of such other related documents, including, without limitation, certificates, assignments, licenses, directions, instruments, and statements by the Interim City Manager or his designee, which are incident or related thereto, as shall be reasonably determined by the City Attorney or his designee; confirming and ratifying that the City of Denton, Texas, its Mayor, its City Council members, its Interim City Manager, am its City Attorney or his designee shall be authorized and empowered to perform such acts and obligations as are reasonably required to consummate this transaction; ratifying all prior actions taken by the City Council in furtherance of the foregoing trarnactions; and determining that several of said agreements pertain to a "Competitive Electric Matter" as set forth under the City of Denton City Council Minutes May 16, 2006 Page 15 proVISIons of SS551.086 and 552.133 of the Texas Government Code, as amended; finding and determining that Texas Government Code S252.022(a)(15) applies; adopting significant recitations, findings and conclusions, as are set forth in the preamble of this ordinance; that the purchase of capacity and energy, and other related arrangements made by the City under the terms of this Purchase Power Agreement are in the public welfare; authorizing the expenditure of funds therefor; providing an effective date. Sharon Mays, Director of Electric Utilities, stated that the proposed agreement replaced the existing agreement set to expire in June. Bob Clifton, 730 Wainwright, Denton, 76201 submitted a Comment Card. The following ordinance was considered: No. 2006-148 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF DENTON, TEXAS PROVIDING FOR, AUTHORIZING, AND APPROVING THE EXECUTION BY THE INTERIM CITY MANAGER OF A POWER PURCHASE AGREEMENT BY AND BETWEEN CITY OF DENTON, TEXAS AND CONSTELLATION ENERGY COMMODITIES GROUP, INC., A DELAWARE CORPORATION; APPROVING AND AUTHORIZING THE ACCEPTANCE AND APPROVAL BY THE INTERIM CITY MANAGER AND CITY ATTORNEY OF A GUARANTEE ISSUED BY CONSTELLATION ENERGY GROUP, INC., A DELAWARE CORPORATION; AUTHORIZING AND APPROVING THE EXECUTION OF SUCH OTHER RELATED DOCUMENTS, INCLUDING, WITHOUT LIMITATION, CERTIFICATES, ASSIGNMENTS, LICENSES, DIRECTIONS, INSTRUMENTS, AND STATEMENTS BY THE INTERIM CITY MANAGER OR HIS DESIGNEE, WHICH ARE INCIDENT OR RELATED THERETO, AS SHALL BE REASONABLY DETERMINED BY THE CITY ATTORNEY OR HIS DESIGNEE; CONFIRMING AND RATIFYING THAT THE CITY OF DENTON, TEXAS, ITS MAYOR, ITS CITY COUNCIL MEMBERS, ITS INTERIM CITY MANAGER, AND ITS CITY ATTORNEY OR HIS DESIGNEE SHALL BE AUTHORIZED AND EMPOWERED TO PERFORM SUCH ACTS AND OBLIGATIONS AS ARE REASONABLY REQUIRED TO CONSUMMATE THIS TRANSACTION; RATIFYING ALL PRIOR ACTIONS TAKEN BY THE CITY COUNCIL IN FURTHERANCE OF THE FOREGOING TRANSACTIONS; AND DETERMINING THAT SEVERAL OF SAID AGREEMENTS PERTAIN TO A "COMPETITIVE ELECTRIC MATTER" AS SET FORTH UNDER THE PROVISIONS OF SS551.086 AND 552.133 OF THE TEXAS GOVERNMENT CODE, AS AMENDED; FINDING AND DETERMINING THAT TEXAS GOVERNMENT CODE S252.022(A)(15) APPLIES; ADOPTING SIGNIFICANT RECITATIONS, FINDINGS AND CONCLUSIONS, AS ARE SET FORTH IN THE PREAMBLE OF THIS ORDINANCE; THAT THE PURCHASE OF CAPACITY AND ENERGY, AND OTHER RELATED ARRANGEMENTS MADE BY THE CITY rnDER THE TERMS OF THIS PURCHASE POWER AGREEMENT ARE IN THE PUBLIC WELF ARE; AUTHORIZING THE EXPENDITURE OF FUNDS THEREFOR; PROVIDING AN EFFECTIVE DATE. City of Denton City Council Minutes May 16, 2006 Page 16 Mulroy motioned, Thomson seconded to adopt the ordinance. On roll vote, Heggins "aye", Kamp "aye", McNeill "aye", Montgomery "aye", Mulroy "aye", Thomson "aye" and Mayor Brock "aye". Motion carried unanimously. K. Citizen Reports 1. Review of procedures for addressing the City Council. 2. The Council received citizen reports from the following: A. Bob Clifton regarding city business. Mr. Clifton indicated that he wanted what was best for the city. He indicated that he would continue to look into the electric system and how the city was financed. B. John Paul Eddy regarding volunteer work for the City. Dr. Eddy stated that he would like a web site for bird flu and emergency evacuation plans. Other areas of concern dealt with Fry Street as a historical site and West Nile virus that could be aired on Channel 26. C. Mike Martinez regarding solicitor permit regulations. Mr. Martinez stated that he had a problem with the 30-day waiting period for a solicitor's permit as it hurt his business. D. Jordan Hudspeth regarding concerns of Southeast Denton. Ms. Hudspeth was not present at the meeting. E. Lanisha Hudspeth regarding concerns of Southeast Denton. Ms. Hudspeth was not present at the meeting. F. Hagar Hudspeth regarding concerns of Southeast Denton. Ms. Hudspeth was not present at the meeting. G. Willie Hudspeth regarding neighborhood concerns in Southeast Denton. Mr. Hudspeth expressed his concern about the recent elections and the message it sent to citizens. He again stated his concern for the consent agenda, an African- American firefighter in Denton, trees lost in development, a street crossing at Woodrow and McKinney, and the inability of Hispanics to play soccer in park due to negative payback practices of the City. L. New Business The following item of New Business was suggested by Council for future agendas: City of Denton City Council Minutes May 16, 2006 Page 1 7 1. Council Member Thomson requested information from the City Manager relative to the new African-American recruit in the Fire Department. M. Items from the City Manager 1. Notification of upcoming meetings and/or conferences 2. Clarification of items on the agenda Interim City Manager Martin did not have any items for Council. N. Possible Continuation of Closed Meeting under Sections 551.071-551.086 of the Texas Open Meetings Act. There was no continuation of the Closed Meeting. O. Official Action on Closed Meeting Item(s) under Sections 551.071-551.086 of the Texas Open Meetings Act. There was no official action on Closed Meeting items. With no further business, the meeting was adjourned at 8:36 p.m. EULINE BROCK MAYOR CITY OF DENTON, TEXAS JENNIFER W ALTERS CITY SECRETARY CITY OF DENTON, TEXAS