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HomeMy WebLinkAboutAgenda Packet City Council - 02/24/2015Corpus Christi Meeting Agenda - Final City Council 1201 Leopard Street Corpus Christi, TX 78401 cctexas.com Tuesday, February 24, 2015 11:30 AM Council Chambers Public Notice - - THE USE OF CELLULAR PHONES AND SOUND ACTIVATED PAGERS ARE PROHIBITED IN THE CITY COUNCIL CHAMBERS DURING MEETINGS OF THE CITY COUNCIL. Members of the audience will be provided an opportunity to address the Council at approximately 12:00 p.m., or the end of the Council Meeting, whichever is earlier. Please speak into the microphone located at the podium and state your name and address. Your presentation will be limited to three minutes. If you have a petition or other information pertaining to your subject, please present it to the City Secretary. Si Usted desea dirigirse al Concilio y cree que su ingles es limitado, habra un interprete ingles-espanol en todas las juntas del Concilio para ayudarle. Persons with disabilities who plan to attend this meeting and who may need auxiliary aids or services are requested to contact the City Secretary's office (at 361-826-3105) at least 48 hours in advance so that appropriate arrangements can be made. A. Mayor Nelda Martinez to call the meeting to order. B. Invocation to be given by Elder Jimmy Perez, The Summit Church. C. Pledge of Allegiance to the Flag of the United States to be led by Wes Pierson, Assistant City Manager. D. City Secretary Rebecca Huerta to call the roll of the required Charter Officers. E. Proclamations / Commendations 1. 15-0183 Proclamation declaring March 2015, "American Red Cross Month". F. PUBLIC COMMENT FROM THE AUDIENCE ON MATTERS NOT SCHEDULED ON THE AGENDA WILL BE HEARD AT APPROXIMATELY 12:00 P.M. PLEASE LIMIT PRESENTATIONS TO THREE MINUTES. A recording is made of the meeting; therefore, please speak into the microphone located at the podium and state your name and address. If you have a petition or other information pertaining to your subject, please present it to the City Secretary. Corpus Christi Page 1 Printed on 2/20/2015 City Council Meeting Agenda - Final February 24, 2015 PLEASE BE ADVISED THAT THE OPEN MEETINGS ACT PROHIBITS THE CITY COUNCIL FROM RESPONDING AND DISCUSSING YOUR COMMENTS AT LENGTH. THE LAW ONLY AUTHORIZES THEM TO DO THE FOLLOWING: 1. MAKE A STATEMENT OF FACTUAL INFORMATION. 2. RECITE AN EXISTING POLICY IN RESPONSE TO THE INQUIRY. 3. ADVISE THE CITIZEN THAT THIS SUBJECT WILL BE PLACED ON AN AGENDA AT A LATER DATE. PER CITY COUNCIL POLICY, NO COUNCIL MEMBER, STAFF PERSON, OR MEMBERS OF THE AUDIENCE SHALL BERATE, EMBARRASS, ACCUSE, OR SHOW ANY PERSONAL DISRESPECT FOR ANY MEMBER OF THE STAFF, COUNCIL MEMBERS, OR THE PUBLIC AT ANY COUNCIL MEETING. THIS POLICY IS NOT MEANT TO RESTRAIN A CITIZEN'S FIRST AMENDMENT RIGHTS. G. CITY MANAGER'S COMMENTS / UPDATE ON CITY OPERATIONS: a. OTHER H. EXECUTIVE SESSION: (ITEM 2) PUBLIC NOTICE is given that the City Council may elect to go into executive session at any time during the meeting in order to discuss any matters listed on the agenda, when authorized by the provisions of the Open Meeting Act, Chapter 551 of the Texas Government Code, and that the City Council specifically expects to go into executive session on the following matters. In the event the Council elects to go into executive session regarding an agenda item, the section or sections of the Open Meetings Act authorizing the executive session will be publicly announced by the presiding officer. 2. 15-0186 Executive session pursuant to Section 551.071 of the Texas Government Code for consultation with attorneys regarding fire collective bargaining negotiations and the Agreement between the City of Corpus Christi and the Corpus Christi Firefighters Association and term(s) thereof with possible discussion, resolution(s), and other actions in open session concerning any matters related thereto. I. MINUTES: 3. 15-0184 Regular Meeting of February 17, 2015 Attachments: Minutes - February 17, 2015 J. BOARD & COMMITTEE APPOINTMENTS: 4. 15-0185 Crime Control and Prevention District Mayor's Fitness Council Mechanical/Plumbing Advisory Board Reinvestment Zone No. Three Board Tree Advisory Committee Corpus Christi Page 2 Printed on 2/20/2015 City Council Meeting Agenda - Final February 24, 2015 Attachments: 02-24-15 final K. EXPLANATION OF COUNCIL ACTION: For administrative convenience, certain of the agenda items are listed as motions, resolutions, or ordinances. If deemed appropriate, the City Council will use a different method of adoption from the one listed; may finally pass an ordinance by adopting it as an emergency measure rather than a two reading ordinance; or may modify the action specified. A motion to reconsider may be made at this meeting of a vote at the last regular, or a subsequent special meeting; such agendas are incorporated herein for reconsideration and action on any reconsidered item. L. CONSENT AGENDA: (ITEMS 5-7) NOTICE TO THE PUBLIC: The following items are consent motions, resolutions, and ordinances of a routine or administrative nature. The Council has been furnished with background and support material on each item, and/or it has been discussed at a previous meeting. All items will be acted upon by one vote without being discussed separately unless requested by a Council Member or a citizen, in which event the item or items will immediately be withdrawn for individual consideration in its normal sequence after the items not requiring separate discussion have been acted upon. The remaining items will be adopted by one vote. 5. 15-0115 Purchase and installation of an alerting system Motion approving the purchase and installation of an Alerting System from Daily -Wells Communications, San Antonio, Texas based on sole source for a total amount of $117,584. Funds have been budgeted by the Fire Department in FY 2014-2015. Attachments: Agenda Memo - Purchase and Installation of an Alerting System Price Sheet - Purchase and Installation of an Alerting System 6. 15-0101 Second Reading Ordinance - Appropriating grant funds for the Local Emergency Planning Committee (LEPC) grant (1st Reading 2/17/15) Ordinance appropriating $27,674.58 from the Texas Department of Public Safety, Governor's Division of Emergency Management, in the No. 1062 Fire Grants Fund for FY 2015 Hazardous Materials Emergency Preparedness grant program, phase II & III, to conduct a detailed hazardous materials vulnerability assessment to increase effectiveness in safety and efficiently handling hazardous materials accidents and incidents and to further enhance implementation of the Emergency Planning and Community Right -to -Know Act of 1986, with a hard match of $6,918.64. Attachments: Agenda Memo - LEPC Grant Ordinance - LEPC grant Award Letter - LEPC grant Contract - LEPC grant Corpus Christi Page 3 Printed on 2/20/2015 City Council Meeting Agenda - Final February 24, 2015 7. 15-0098 Second Reading Ordinance - Purchase and installation of replacement boat crane at the Marina (1st Reading 2/17/15) Ordinance appropriating $260,000 from the unreserved fund balance of the No. 4700 Marina Fund for the replacement of a boat crane; changing the FY2014-2015 Operating Budget adopted by Ordinance No. 030294 by increasing appropriations by $260,000; approving the purchase and installation of a boat crane from 1st On -Site Services, LLC, based on sole source, for a total amount of $252,150; and providing for severance. Attachments: Agenda Memo - Purchase and Installation of Boat Crane Ordinance Marina Crane Tranfer Marina Fund Final 20150211 Price Sheet - Purchase and Installation of Boat Crane Service Agreement - Purchase and Installation of Boat Crane M. PUBLIC HEARINGS: (ITEM 8) 8. 15-0111 Public Hearing and First Reading Ordinance - Rezoning from commercial with a special permit to light industrial at 10328 Interstate Highway 37 access road Case No. 0115-05 Hayden Partners LLC: A change of zoning from the "CG-2/SP" General Commercial District with a Special Permit for a warehouse use to the "IL" Light Industrial District, resulting in a change to the Future Land Use Plan from commercial to industrial uses. The property is described as Lot 2, Block 3, River Square Unit 1, located along the north side of Interstate Highway 37 Access Road at the southeast corner of Turtle Creek Boulevard and River Run Boulevard. Planning Commission and Staff Recommendation (January 28, 2015): Denial of the change of zoning to the "IL" Light Industrial District and, in lieu thereof, approval of the "CG-2/SP" General Commercial District with a Special Permit subject to a site plan and ten conditions. Ordinance: Ordinance amending the Unified Development Code ("UDC"), upon application by Hayden Partners LLC ("Owner"), by changing the UDC Zoning Map in reference to Lot 2, Block 3, River Square Unit 1, from the "CG-2/SP" General Commercial District with a Special Permit for a warehouse use to the "CG-2/SP" General Commercial District with a Modified Special Permit for a warehouse use; amending the Comprehensive Plan to account for any deviations; and providing for a repealer clause and publication. Corpus Christi Page 4 Printed on 2/20/2015 City Council Meeting Agenda - Final February 24, 2015 Attachments: Agenda Memo - Hayden Partners LLC Ordinance - Hayden Partners LLC SP Ordinance - Hayden Partners LLC Presentation - Aerial Map Hayden Partners LLC Zoning Report -Hayden Partners LLC N. REGULAR AGENDA: (ITEMS 9-11) The following items are motions, resolutions and ordinances that will be considered and voted on individually. 9. 15-0087 Second Reading Ordinance - Rezoning from single-family to multifamily at 5409 Lipes Boulevard (1st Reading 2/10/15) (Requires 3/4 vote) Case No. 0115-01 The Convent Academy of the Incarnate Word: A change of zoning from the "RS -6" Single -Family 6 District to the "RM -1" Multifamily 1 District, resulting in a change to the Future Land Use Plan from low density residential to medium density residential uses. The property is described as being 26.32 acres out of Lots 6 and 7, Section 6, Flour Bluff and Encinal Farm and Garden Tracts, located along the south side of Lipes Boulevard approximately 650 feet west of South Staples Street. Planning Commission and Staff Recommendation (January 14, 2015): Approval of the change of zoning from the "RS -6" Single -Family 6 District to the "RM -1" Multifamily 1 District. Ordinance: Ordinance amending the Unified Development Code ("UDC"), upon application by The Convent Academy of the Incarnate Word ("Owner"), by changing the UDC Zoning Map in reference to 26.32 acres out of Lots 6 and 7, Section 6, Flour Bluff and Encinal Farm and Garden Tracts, from the "RS -6" Single -Family 6 District to the "RM -1" Multifamily 1 District; amending the Comprehensive Plan to account for any deviations; and providing for a repealer clause and publication. Attachments: Agenda Memo - The Convent Academy of the Incarnate Word Ordinance - The Covent Academy of Incarnate the Word Presentation - The Convent Academy of the Incarnate Word Zoning Report - The Convent Academy of the Incarnate Word 10. 14-001428 Second Reading Ordinance - Authorizing issuance of solid waste certificates of obligation (1st Reading 2/17/15) Ordinance authorizing the issuance of "City of Corpus Christi, Texas Combination Tax and Limited Pledge Revenue Certificates of Obligation, Taxable Series 2015" in an amount not to exceed Corpus Christi Page 5 Printed on 2/20/2015 City Council Meeting Agenda - Final February 24, 2015 $14,500,000 for the purpose of financing costs associated with making permanent public improvements to the City's Solid Waste System; providing for the payment of said Certificates by the levy of an ad valorem tax upon all taxable property within the City and further securing said Certificates by a lien on and pledge of the pledged revenues of the Solid Waste System; providing the terms and conditions of said Certificates and resolving other matters incident and relating to the issuance, payment, security, sale, and delivery of said Certificates, including the approval and distribution of an Official Statement; authorizing the execution of a paying agent/registrar agreement and a purchase contract; complying with the requirements of the letter of representations with the depository trust company; delegating the authority to certain members of the City staff to execute certain documents relating to the sale of the Certificates; enacting other provisions incident and related to the subject and purpose of this ordinance; and providing an effective date. Attachments: Agenda Memo - Solid Waste CO's Ordinance - Solid Waste CO's 11. 15-0004 Second Reading Ordinance - Modifying and clarifying parade and special event permit ordinance (1st Reading 2/17/15) Ordinance repealing Chapter 49, Article 1, Division 2. "Temporary Closure of Streets"; amending Chapter 53, Article VII "Parades and Marches" in its entirety to modify and clarify parades, marches, and street events permit procedures and requirements; providing an effective date; providing for severance; providing for penalty; and providing for publication. Attachments: Agenda Memo - Special Event Permit and Parade Ordinance 02.17.2015 Ordinance - Special Event Permit -Revised w 1st reading amendments (redlinec Ordinance - Special Event Permit -Revised w 1st reading amedments (Clean) O. ONE READING ACTION ITEM: (ITEM 12) 12. 15-0154 Authorizing issuance of tax notes related to Texas Military Preparedness Commission Ordinance by the City of Council of the City of Corpus Christi, Texas authorizing the issuance of "City of Corpus Christi, Texas Tax Notes, Series 2015" in an amount not to exceed $5,090,000, levying an annual ad valorem tax, within the limitations prescribed by law, for the payment of the obligations; prescribing the form, terms, conditions, and resolving other matters incident and related to the issuance, sale, and delivery of the obligations; authorizing the execution of paying agent/registrar agreement and a loan agreement; complying with the provisions of the depository trust company' s letter of representations; and providing an effective date. Corpus Christi Page 6 Printed on 2/20/2015 City Council Meeting Agenda - Final February 24, 2015 Attachments: Agenda Memo - TMPL Tax Notes Ordinance - TMPL P. FIRST READING ORDINANCES: (ITEMS 13-15) 13. 15-0160 First Reading Ordinance - Approving termination of RecycleRewards agreement and non -allocation of funds for budget fiscal year 2015-2016 (Tabled on 2/17/15) Ordinance approving a termination of the agreement with RecycleRewards and non -allocation of funds due to the necessity to fund improvements to solid waste services in the operating budget for fiscal year 2015-2016; finding that the termination and issuance of certificates of obligation for solid waste services capital improvements are both necessary and prudent; directing that a copy of this ordinance be included with the adopted FY2015-2016 Operating Budget; and providing for severance. Attachments: RecycleRewards Termination Ordinance v2b 20150212 two readings (2).pdf RecycleBank Termination Agenda Memo - Two Readings (2).pdf 14. 14-001440 First Reading Ordinance - Engineering contract for City of Corpus Christi Regional Water Supply Strategic Sustainability Plan (Tabled on 1/13/15) Ordinance amending the FY 2015 Capital Improvement Program Budget adopted by Ordinance No. 030303 to add Project No. E14001 City of Corpus Christi Regional Water Supply Strategic Sustainability Plan; transferring and appropriating $572,365 from the Unreserved Fund Balance in No. 4041 Raw Water Supply Development Fund to and appropriating in the No. 4080 Water CIP Fund for the City of Corpus Christi Regional Water Supply Strategic Sustainability Plan; and authorizing the City Manager or designee to execute a Professional Services Agreement in the amount of $539,967 with CH2M Hill Engineers, Inc., a Delaware Corporation with a branch office in Corpus Christi, Texas for the City of Corpus Christi Regional Water Supply Strategic Sustainability Plan for technical, public outreach, strategic planning and associated services. Attachments: Agenda Memo - Water Supply Ordinance - Water Supply Prosect Budget - Water Supply Location Map - Water Supply Contract - Water Supply Presentation - Water Supply 15. 15-0104 First Reading Ordinance - Appropriating reimbursement from Texas State Library and Archives Commission Corpus Christi Page 7 Printed on 2/20/2015 City Council Meeting Agenda - Final February 24, 2015 Ordinance appropriating reimbursement received from the Texas State Library and Archives Commission for participation in Interlibrary Loan Program in the amount of $21,898.50 into the General Fund No. 1020, La Retama Central Library Organization No. 12800, to be used for library technology services; and Changing the FY14-15 Operating Budget adopted by Ordinance No. 030294 by increasing revenue and expenditures by $21,898.50 each. Attachments: Agenda Memo - Appropriating Reimbursement Ordinance - Appropriating Reimbursement COF appropriating reimbursement 21,898.50 Q. FUTURE AGENDA ITEMS: (ITEMS 16-17) The following items are for Council's informational purposes only. No action will be taken and no public comment will be solicited. 16. 15-0128 Authorizing State of Texas, Criminal Justice Division grant application Resolution authorizing the submission of a grant application in the amount of $46,194.48 to the State of Texas, Criminal Justice Division, for funding available under the Violence Against Women Act (VAWA) fund for the Police Department's Family Violence Unit with a city match of $19,354.48, an in-kind match of $5,520, for a total project cost of $71,068.96; and authorizing the City Manager or the City Manager's designee to apply for, accept, reject, alter or terminate the grant. Attachments: Agenda Memo - VAWA Grant Resolution - VAWA Grant COF VAWA grant 02.24.2015 17. 15-0136 Authorizing Texas Parks & Wildlife Department grant application for improvements at West Guth Park Resolution authorizing the City Manager or designee to apply for a Texas Parks & Wildlife Local Grant Program for West Guth Park in amount of $400,000 with City matching funds of $400,000. Attachments: Agenda Memo - TPWD Grant for West Guth Park2015 Resolution -TPWD Outdoor grant for West Guth Park Attachment - LocalParksResolutionAuthorizingApplication Attachment - LocalParksApplicant'sCertification&ProgramAssurances R. BRIEFINGS : (ITEMS 18-20) Briefing information will be provided to the City Council during the Council meeting. Briefings are for Council information only. Council may give direction to the City Manager, but no other action will be taken and no public comment will be solicited. Corpus Christi Page 8 Printed on 2/20/2015 City Council Meeting Agenda - Final February 24, 2015 18. 15-0144 Drought Update Attachments: Agenda Memo - Drought Update Drought Update 2-24-15 19. 15-0164 Water Rate - Operations & Maintenance Attachments: Agenda Memo - Water Rate - Operations & Maintenance Presentation - Water Rate - Operations & Maintenance 20. 15-0176 Debt Presentation Attachments: Agenda Memo - Presentation on Debt.pdf Debt Presentation S. LEGISLATIVE UPDATE: (NONE) This item is for Council's informational purposes only. Council may give direction to the City Manager, but no other action will be taken and no public comment will be solicited. T. ADJOURNMENT Corpus Christi Page 9 Printed on 2/20/2015 Corpus Christi Meeting Minutes City Council 1201 Leopard Street Corpus Christi, TX 78401 cctexas.com Tuesday, February 17, 2015 11:30 AM Council Chambers Public Notice - - THE USE OF CELLULAR PHONES AND SOUND ACTIVATED PAGERS ARE PROHIBITED IN THE CITY COUNCIL CHAMBERS DURING MEETINGS OF THE CITY COUNCIL. A. Mayor Nelda Martinez to call the meeting to order. Mayor Martinez called the meeting to order. B. Invocation to be given by Deacon Michael Mantz, Diocese of Corpus Christi. Deacon Michael Mantz gave the invocation. C. Pledge of Allegiance to the Flag of the United States to be led by Susan K. Thorpe, Assistant City Manager. Assistant City Manager Susan K. Thorpe led the Pledge of Allegiance. D. City Secretary Rebecca Huerta to call the roll of the required Charter Officers. City Secretary Rebecca Huerta called the roll and stated that a quorum of the Council and the required Charter Officers were present to conduct the meeting. Charter Officers: City Manager Ron Olson, City Attorney Miles K. Risley, and City Secretary Rebecca Huerta. Present: 8 - Mayor Nelda Martinez,Council Member Rudy Garza,Council Member Chad Magill,Council Member Colleen Mclntyre,Council Member Lucy Rubio,Council Member Brian Rosas,Council Member Mark Scott, and Council Member Carolyn Vaughn Absent: 1 - Council Member Lillian Riojas E. Proclamations / Commendations 1. Proclamation declaring February 15-21, 2015, "National LULAC Week" Proclamation declaring February 22-28, 2015, "National Engineers' Week" Proclamation declaring February 20, 2015, The 73rd Session Graduation Ceremony of the Corpus Christi Police Academy Big Check Presentation for the 2015 Arts Grants Recipient Organization (Arts and Cultural Commission) Corpus Christi Page 1 Printed on 2/19/2015 City Council Meeting Minutes February 17, 2015 Certificate of Commendation Presented to Frank Brogan Swearing-in Ceremony for Newly Appointed Board, Commission and Committee Members Mayor Martinez presented the proclamations. F. PUBLIC COMMENT FROM THE AUDIENCE ON MATTERS NOT SCHEDULED ON THE AGENDA WILL BE HEARD AT APPROXIMATELY 12:00 P.M. PLEASE LIMIT PRESENTATIONS TO THREE MINUTES. A recording is made of the meeting; therefore, please speak into the microphone located at the podium and state your name and address. If you have a petition or other information pertaining to your subject, please present it to the City Secretary. Mayor Martinez referred to comments from the audience. Carrie Robertson Meyer, on behalf of the North Beach Community Association, requested that the City consider developing a funding mechanism for infrastructure improvements for North Beach. Jerry Garcia spoke regarding improvements needed on the westside. Benjamin Graham spoke regarding issues with Code Enforcement violations and asked the Council to develop a board to review Code Enforcement, the municipal codes, and Municipal Court. Kevin Hill spoke regarding the Shoreline Realignment shutting down northbound traffic on Shoreline Drive. I. MINUTES: 3. Regular Meeting of February 10, 2015 Mayor Martinez referred to approval of the minutes. Council Member McIntyre made a motion to approve the minutes, seconded by Council Member Garza and passed unanimously. J. BOARD & COMMITTEE APPOINTMENTS: 4. Committee for Persons with Disabilities Electrical Advisory Board Leadership Committee for Senior Services Marina Advisory Committee Mayor Martinez referred to board and committee appointments. The following appointments were made: Committee for Persons with Disabilities Council Member McIntyre made a motion to reappoint Mary Bustos, Alana Manrow, Richard BaIli, Abel Alonzo and Diana Ortega-Feerick, seconded by Council Member Scott and passed unanimously. Electrical Advisory Board Council Member McIntyre made a motion to reappoint Kevin L. Martinez (Master Electrician), Robert Aguilar (Master Electrician), Alfred J. Tristan (Utility Power Distribution), Mary Lou Herrera (Not connected), Jesse Gatewood Corpus Christi Page 2 Printed on 2/19/2015 City Council Meeting Minutes February 17, 2015 (Journeyman Electrician), William K. Pitchford (Home Builder), and Steven Deases (Electrical Engineer), seconded by Council Member Magill and passed unanimously. Council Member Magill made a motion to appoint Michael Douglas (Commercial Builder), seconded by Council Member Rosas and passed unanimously. Leadership Committee for Senior Services Council Member Magill made a motion to reappoint Theresa J. Garcia (Direct Service Agency), Henry Edward Savoy (Community Rep.), Willie R. Hardeman, Sr. (Community Rep.), Ginger Bryant (Senior Ctr.), Maria Elena Flores (Community Rep.), Robert Irwin (Community Rep.) and Denise S. Villagram (Community Rep.) and appoint Gloria Gooding (Direct Service Agency) and Christina Canales (Community Rep.), seconded by Council Member Scott and passed unanimously. Marina Advisory Committee Council Member Scott made a motion to reappoint Sharon Emerson, Robert "Bob Paulison and Clare Lee (Scientist), seconded by Council Member McIntyre and passed unanimously. Council Member Scott made a motion to appoint Greg Turman (Restaurant), seconded by Council Member McIntyre and passed unanimously. G. CITY MANAGER'S COMMENTS / UPDATE ON CITY OPERATIONS: Mayor Martinez deviated from the agenda and referred to City Manager's Comments. City Manager Olson stated during the City Council retreat, the City Council set as their number one priority, to deal with residential roads. City Manager Olson said the discussion on the street program will include the work performed up to this point to bring streets to a respectable standard. City Manager Olson presented information on the number of streets in the City and the four issues dealing with streets: 1) Policy 2) Maintenance 3) Arterial & Collector Street and 4) Local & Residential Streets. City Manager Olson also presented information on the life cycle plan for new construction, estimated costs and funding mechanisms. a. OTHER None. K. EXPLANATION OF COUNCIL ACTION: L. CONSENT AGENDA: (ITEMS 5-20) Mayor Martinez referred to the Consent Agenda. Council Member McIntyre requested that Item 14 be pulled for individual consideration. City Secretary Huerta stated that staff is requesting that Item 14 be pulled for individual consideration since the Council considered the item on first reading on February 10th, the 20% rule is in effect and requires a 3/4 affirmative vote of the City Council to pass. City Secretary Huerta stated that the applicant has requested postponing the item until February 24, 2015. Council Member Magill made a motion to table Item 14, seconded by Council Member McIntyre and passed unanimously. Corpus Christi Page 3 Printed on 2/19/2015 City Council Meeting Minutes February 17, 2015 14. Second Reading Ordinance - Rezoning from single-family to multifamily at 5409 Lipes Boulevard (1st Reading 2/10/15) (Requires 3/4 vote) Case No. 0115-01 The Convent Academy of the Incarnate Word: A change of zoning from the "RS -6" Single -Family 6 District to the "RM -1" Multifamily 1 District, resulting in a change to the Future Land Use Plan from low density residential to medium density residential uses. The property is described as being 26.32 acres out of Lots 6 and 7, Section 6, Flour Bluff and Encinal Farm and Garden Tracts, located along the south side of Lipes Boulevard approximately 650 feet west of South Staples Street. Planning Commission and Staff Recommendation (January 14, 2015): Approval of the change of zoning from the "RS -6" Single -Family 6 District to the "RM -1" Multifamily 1 District. Ordinance: Ordinance amending the Unified Development Code ("UDC"), upon application by The Convent Academy of the Incarnate Word ("Owner"), by changing the UDC Zoning Map in reference to 26.32 acres out of Lots 6 and 7, Section 6, Flour Bluff and Encinal Farm and Garden Tracts, from the "RS -6" Single -Family 6 District to the "RM -1" Multifamily 1 District; amending the Comprehensive Plan to account for any deviations; and providing for a repealer clause and publication. This Second Reading Ordinance was tabled to February 24, 2015. Approval of the Consent Agenda Mayor Martinez referred to the remaining consent agenda items. Council Member Vaughn requested that Items 6, 7 and 8 be pulled for individual consideration. Mayor Martinez called for comments from the public. Carrie Robertson Meyer referred to Item 10 and provided background information on the Nueces Bay Causeway Bait Stand. Council Member McIntyre made a motion to approve the remaining consent agenda items, seconded by Council Member Scott. The consent agenda was passed with the following vote: Aye: 8 - Mayor Martinez, Council Member Garza, Council Member Magill, Council Member McIntyre, Council Member Rubio, Council Member Rosas, Council Member Scott and Council Member Vaughn Absent: 1 - Council Member Riojas Abstained: 0 5. Interlocal Agreement for Staples Street Center street improvements (Mestina/Artesian Street Project) (Bond 2012) Resolution authorizing the City Manager or designee to execute an Interlocal Agreement with the Corpus Christi Regional Transportation Corpus Christi Page 4 Printed on 2/19/2015 City Council Meeting Minutes February 17, 2015 9. 10. Authority to construct the Mestina/Artesian Street Project in conjunction with the City's project, Staples Street from Morgan Avenue to IH 37 (Bond 2012). This Resolution was passed on the Consent Agenda. Enactment No: 030417 Termination of the Multiple Use Agreements for Heliport Parking Facility and Public Parking Facility located on State Highway 9/BS 44-D Resolution authorizing the City Manager or designee to execute two agreements to terminate two previously executed Multiple Use Agreements between the State of Texas and the City of Corpus Christi for the Heliport Parking Facility and the Public Parking Facility located on State Highway 9/BS 44-D. This Resolution was passed on the Consent Agenda. Enactment No: 030418 Termination of the Multiple Use Agreement for the Nueces Bay Causeway Bait Stand located within State ROW on US Highway 181 Resolution authorizing the City Manager or designee to execute an agreement to terminate a previously executed Multiple Use Agreement between the State of Texas and the City of Corpus Christi for the Nueces Bay Causeway Bait Stand located within State right-of-way on US Highway 181. This Resolution was passed on the Consent Agenda. Enactment No: 030419 11. Lease -purchase of rescue pumper Motion approving the lease -purchase of one (1) rescue pumper from Siddons-Martin Emergency Group, Houston, Texas for a total amount of $599,750.00, of which $10,607.00 is required for the remainder of FY 2014-2015. The award is based on the cooperative purchasing agreement with the Texas Local Government Purchasing Cooperative (TLGPC). Financing for the lease -purchase will be provided through the City's lease -purchase financing contractor. This Motion was passed on the Consent Agenda. Enactment No: M2015-021 12. Flour Bluff Revitalization Plan Corpus Christi Page 5 Printed on 2/19/2015 City Council Meeting Minutes February 17, 2015 13. Resolution of the City Council of the City of Corpus Christi, Texas adopting a Revitalization Plan for the Flour Bluff area which is bordered by the King Ranch to the South, and by water on three sides, the Laguna Madre to the East, Oso Creek and Bay to the West, and Corpus Christi Bay to the North; and providing an effective date. This Resolution was passed on the Consent Agenda. Enactment No: 030420 Resolutions in support of five Affordable Housing developments to satisfy the requirement set forth by the Texas Department of Housing and Community Affairs (TDHCA). Discussion and possible action on resolutions in support of five Affordable Housing developments which will be applicants for 9% Housing Tax Credits administered by the Texas Department of Housing and Community Affairs (TDHCA): Liberty Shores Apartments, Callicoatte Cove Homes, River View at Calallen, Stonehenge Place and 911 Glenoak Apartments, each proposed project is located within the City of Corpus Christi, Texas. These Resolutions were passed on the Consent Agenda. Enactment No: 030421 030422 030423 030424 030425 15. Second Reading Ordinance - Rezoning from residential estate to single-family at 8410 S. Staples Street (1st Reading 2/10/15) Case No. 0115-03 MPM Development LP: A change of zoning from the "RS -22" Single -Family 22 District to the "RS -15" Single -Family 15 District, not resulting in a change to the Future Land Use Plan. The property is described as Lots 1 through 7, Block 1 and Lots 1 through 28, Block 2, King Estates Unit 4, located near the southeast corner of South Staples Street (FM 2444) and South Oso Parkway. Planning Commission and Staff Recommendation (January 14, 2015): Denial of the change of zoning from the "RS -22" Single -Family 22 District to the "RS -15" Single -Family 15 District and, in lieu thereof, approval of a change of zoning to the "RS-22/SP" Single -Family 22 District with a Special Permit subject to three conditions. Ordinance: Ordinance amending the Unified Development Code ("UDC"), upon application by MPM Development LP and Miguel Pro ("Owners"), by changing the UDC Zoning Map in reference to Lots 1 through 7, Block 1 and Lots 1 through 28, Block 2, King Estates Unit 4 from the "RS -22" Single -Family 22 District to the "RS-22/SP" Single -Family 22 District with a Special Permit; amending the Comprehensive Plan to account Corpus Christi Page 6 Printed on 2/19/2015 City Council Meeting Minutes February 17, 2015 16. 17. for any deviations; and providing for a repealer clause and publication. This Ordinance was passed on second reading on the Consent Agenda. Enactment No: 030426 Second Reading Ordinance - Rezoning from commercial, office and single-family 6 to single-family 4.5, located north of Saratoga Boulevard (SH 357) and west of Norchester Drive (1st Reading 2/10/15) Case No. 0115-02 Superior H & H Development LLC: A change of zoning from the "CG -2" General Commercial District, "ON" Office District and "RS -6" Single -Family 6 District to the "RS -4.5" Single -Family 4.5 District, resulting in a change to the Future Land Use Plan. The property is described as being a 10 -acre tract of land out of Lot 2, Block 1, Saratoga Medical Center Subdivision and out of Lots 5 and 6, Section 9, Bohemian Colony Lands, located north of Saratoga Boulevard (SH 357) and west of Norchester Drive. Planning Commission and Staff Recommendation (January 14, 2015): Approval of the change of zoning from the "CG -2" General Commercial District, "ON" Office District and "RS -6" Single -Family 6 District to the "RS -4.5" Single -Family 4.5 District. Ordinance: Ordinance amending the Unified Development Code ("UDC"), upon application by Superior H & H Development LLC ("Owner"), by changing the UDC Zoning Map in reference to 10 -acre tract of land out of Lot 2, Block 1, Saratoga Medical Center Subdivision and out of Lots 5 and 6, Section 9, Bohemian Colony Lands, from the "CG -2" General Commercial District, "ON" Office District and "RS -6" Single -Family 6 District to the "RS -4.5" Single -Family 4.5 District; amending the Comprehensive Plan to account for any deviations; and providing for a repealer clause and publication. This Ordinance was passed on second reading on the Consent Agenda. Enactment No: 030427 Second Reading Ordinance - Accepting and appropriating a grant from the Coastal Bend Regional Advisory Council (RAC) for the WebEOC (1st Reading 2/10/15) Ordinance authorizing the City Manager or designee to accept a grant from the Coastal Bend Regional Advisory Council in the amount of $10,000 for the benefit of the City's WebEOC operations; and appropriating $10,000 from the Coastal Bend Regional Advisory Council into the No. 1062 Fire Grant Fund to purchase equipment, Corpus Christi Page 7 Printed on 2/19/2015 City Council Meeting Minutes February 17, 2015 18. 19. services, technical support, training and travel for the Corpus Christi Fire Department's WebEOC. This Ordinance was passed on second reading on the Consent Agenda. Enactment No: 030428 Second Reading Ordinance - Amending the Arts and Cultural Commission duties and the Permanent Art Trust Fund (1st Reading 2/10/15) Ordinance amending the Code of Ordinances, City of Corpus Christi, Chapter 2 regarding Arts and Cultural Commission duties and the permanent art trust fund. This Ordinance was passed on second reading on the Consent Agenda. Enactment No: 030429 Second Reading Ordinance - First amendments to the lease agreements for Southwest Airlines and American Airlines (1st Reading 2/10/15) Ordinance ratifying and authorizing the City Manager to execute first amendments to the lease agreements with Southwest Airlines and Envoy Air (formerly known as American Eagle Airlines) to extend the term of the leases; authorizing and accepting an assignment of the lease from Envoy Air to American Airlines; providing for an effective date; providing for severance; and providing for publication. This Ordinance was passed on second reading on the Consent Agenda. Enactment No: 030430 20. Second Reading Ordinance - Amending Chapter 2 of the City Code of Ordinances, regarding membership of the Water Resources Advisory Committee (1st Reading 2/10/15) 6. Ordinance to amend Chapter 2 of the City Code of Ordinances, regarding membership of the Water Resources Advisory Committee; to make minor revisions to the language of a member description; and to increase membership by one additional representative. This Ordinance was passed on second reading on the Consent Agenda. Enactment No: 030431 Approving four (4) Job Order Contract Master Agreements for the minor construction, repair, rehabilitation and alteration of facilities Motion authorizing the City Manager or designee to execute a Master Corpus Christi Page 8 Printed on 2/19/2015 City Council Meeting Minutes February 17, 2015 Agreement for Job Order Contracting (JOC) for a two-year term with option to renew administratively for up to three one-year periods, with no guaranteed minimum and a maximum aggregate of $2,000,000.00 in any one year; authorizing the City Manager or designee to execute all Job Order Contracts thereunder not exceeding $500,000.00 with the following: • Alpha Building Corporation • Cruz Maintenance & Construction, Inc. • Haeber Roofing Company • JE Construction Services Mayor Martinez referred to Items 6, 7 and 8. In response to Council Member Vaughn, Acting Director of Capital Programs Jerry Shoemaker provided an explanation on the Job Order Contract agreements and the professional services agreements for capital projects. This Motion was passed with the following vote: Aye: 8 - Mayor Martinez, Council Member Garza, Council Member Magill, Council Member McIntyre, Council Member Rubio, Council Member Rosas, Council Member Scott and Council Member Vaughn Absent: 1 - Council Member Riojas Abstained: 0 Enactment No: M2015-018 7. Amendment No. 2 to the engineering support services contract for Wastewater Permit Assistance Motion authorizing the City Manager or designee to execute Amendment No. 2 to the engineering support services contract with RPS of Austin, Texas in the amount of $100,000 for a total restated fee not to exceed $218,500 for Wastewater Permit Assistance. This item was discussed during Item 6. This Motion was passed and approved with the following vote: Aye: 8 - Mayor Martinez, Council Member Garza, Council Member Magill, Council Member McIntyre, Council Member Rubio, Council Member Rosas, Council Member Scott and Council Member Vaughn Absent: 1 - Council Member Riojas Abstained: 0 Enactment No: M2015-019 8. Engineering Design Contract Amendment No. 1 for the La Voila Creek Drainage Channel Excavation Project Motion authorizing the City Manager, or designee, to execute Amendment No. 1 in the amount of $197,646.00 with Urban Corpus Christi Page 9 Printed on 2/19/2015 City Council Meeting Minutes February 17, 2015 Engineering for the La Volla Creek Drainage Channel Excavation Project. This item was discussed during Item 6. This Motion was passed and approved with the following vote: Aye: 8 - Mayor Martinez, Council Member Garza, Council Member Magill, Council Member McIntyre, Council Member Rubio, Council Member Rosas, Council Member Scott and Council Member Vaughn Absent: 1 - Council Member Riojas Abstained: 0 Enactment No: M2015-020 H. EXECUTIVE SESSION: (ITEM 2) Mayor Martinez referred to the day's executive session. The Council went into executive session. 2. Executive session pursuant to Section 551.071 of the Texas Government Code for consultation with attorneys regarding fire collective bargaining negotiations and the Agreement between the City of Corpus Christi and the Corpus Christi Firefighters Association and term(s) thereof with possible discussion, resolution(s), and other actions in open session concerning any matters related thereto. This E -Session Item was discussed in executive session. M. PUBLIC HEARINGS: (NONE) N. REGULAR AGENDA: (NONE) O. FIRST READING ORDINANCES: (ITEMS 21-25) 21. First Reading Ordinance - Approving termination of RecycleRewards agreement and non -allocation of funds for budget fiscal year 2015-2016 (Tabled on 2/17/15) Ordinance approving a termination of the agreement with RecycleRewards and non -allocation of funds due to the necessity to fund improvements to solid waste services in the operating budget for fiscal year 2015-2016; finding that the termination and issuance of certificates of obligation for solid waste services capital improvements are both necessary and prudent; directing that a copy of this ordinance be included with the adopted FY2015-2016 Operating Budget; and providing for severance. Mayor Martinez referred to Item 21. Executive Director of Public Works Valerie Gray stated that the purpose of this item is to approve the termination of the agreement with RecycleRewards and non -allocation of funds due to the Corpus Christi Page 10 Printed on 2/19/2015 City Council Meeting Minutes February 17, 2015 necessity to fund improvements to solid waste services in the Operating Budget for Fy2015-2016. This contract will terminate effective September 30, 2015. Mayor Martinez called for comments from the public. Vanessa Santos -Garza, local representative for RecycleBank, requested that the City Council table this issue for one week to allow RecycleBank an opportunity to provide information about the program, subscription, participation and the things RecycleBank is doing in Corpus Christi. A council member requested that the presentation include the five-year pro forma of cost savings that was presented at the last meeting. Council Member McIntyre made a motion to table Item 21 to February 24, 2015, seconded by Council Member Garza and passed unanimously. This Ordinance was tabled to February 24, 2015. 22. First Reading Ordinance - Authorizing issuance of solid waste certificates of obligation Ordinance authorizing the issuance of "City of Corpus Christi, Texas Combination Tax and Limited Pledge Revenue Certificates of Obligation, Taxable Series 2015" in an amount not to exceed $14,500,000 for the purpose of financing costs associated with making permanent public improvements to the City's Solid Waste System; providing for the payment of said Certificates by the levy of an ad valorem tax upon all taxable property within the City and further securing said Certificates by a lien on and pledge of the pledged revenues of the Solid Waste System; providing the terms and conditions of said Certificates and resolving other matters incident and relating to the issuance, payment, security, sale, and delivery of said Certificates, including the approval and distribution of an Official Statement; authorizing the execution of a paying agent/registrar agreement and a purchase contract; complying with the requirements of the letter of representations with the depository trust company; delegating the authority to certain members of the City staff to execute certain documents relating to the sale of the Certificates; enacting other provisions incident and related to the subject and purpose of this ordinance; and providing an effective date. Mayor Martinez referred to Item 22. Director of Financial Services Constance Sanchez stated that the purpose of this item is to authorize the issuance of $14,500,000 of Solid Waste Certificates of Obligation. Ms. Sanchez said the item was tabled on January 13th, 2015 and staff came back with information on the potential impact. There were no comments from the public. Council Members asked questions regarding the purpose for replacing the J.C. Elliott building, the size of the building, the number of employees at the building; publication and interest rate concerns should the item be tabled; and an explanation on the issuance of certificates of obligation. Council Member Magill made a motion to table Item 22 to February 24th, seconded by Council Member Vaughn. In response to a council member, Ms. Gray stated that the City Council is only voting on the funding mechanism and the individual projects will be presented to the Council for approval. Council Member Magill rescinded his motion and Council Member Vaughn rescinded her second. Ms. Gray stated that staff would provide the project description and scope for each of the projects. Council Member McIntyre made a motion to approve the ordinance, seconded by Council Member Garza. This Ordinance was passed Corpus Christi Page 11 Printed on 2/19/2015 City Council Meeting Minutes February 17, 2015 on first reading and approved with the following vote: Aye: 8 - Mayor Martinez, Council Member Garza, Council Member Magill, Council Member McIntyre, Council Member Rubio, Council Member Rosas, Council Member Scott and Council Member Vaughn Absent: 1 - Council Member Riojas Abstained: 0 23. First Reading Ordinance - Modifying and clarifying parade and special event permit ordinance Ordinance repealing Chapter 49, Article 1, Division 2. "Temporary Closure of Streets"; amending Chapter 53, Article VII "Parades and Marches" in its entirety to modify and clarify parades, marches, and street events permit procedures and requirements; providing an effective date; providing for severance; providing for penalty; and providing for publication. Mayor Martinez referred to Item 23. Police Chief Floyd Simpson stated that the purpose of this item is to modify and clarify the Parade and Special Event Permit. The ordinance will repeal Chapter 49 "Temporary Closure of Streets; and amend Chapter 53, "Parades and Marches" in its entirety to modify and clarify parades, marches, and street event permit procedures and requirements. Chief Simpson provided an overview of the modifications to the ordinance and an example of how the changes will impact various events. There were no comments from the public. Council members spoke regarding the following topics: reducing the number of days required for submitting event applications to 60 days; how staff handled event applications during the current three-day submittal requirements; creation of a document that would allow individuals to navigate through the process and provide an application checklist of requirements; clarification on the cost for the traffic control plan; including health and education as a city -supported event; events that have free attendance; the number of days for approving park permits; the 20% deposit requirement; collection procedures to hold organizers accountable for expenses; how use of prohibited items will be monitored; and outreach to established recurring events regarding these changes. Council Member Magill made a motion to amend the event application requirement to 60 days, change Section 53-206(c)(6) to read "be of cultural, health, education or historical significance"; and clarify Section 53-205(c) regarding the street fee for recurring events, seconded by Council Member McIntyre and passed unanimously. There were no comments from the public. Council Member McIntyre made a motion to approve the ordinance as amended, seconded by Council Member Rubio. This Ordinance was passed on first reading as amended and approved with the following vote: Aye: 8 - Mayor Martinez, Council Member Garza, Council Member Magill, Council Member McIntyre, Council Member Rubio, Council Member Rosas, Council Member Scott and Council Member Vaughn Absent: 1 - Council Member Riojas Corpus Christi Page 12 Printed on 2/19/2015 City Council Meeting Minutes February 17, 2015 Abstained: 0 24. First Reading Ordinance - Appropriating grant funds for the Local Emergency Planning Committee (LEPC) grant Ordinance appropriating $27,674.58 from the Texas Department of Public Safety, Governor's Division of Emergency Management, in the No. 1062 Fire Grants Fund for FY 2015 Hazardous Materials Emergency Preparedness grant program, phase II & III, to conduct a detailed hazardous materials vulnerability assessment to increase effectiveness in safety and efficiently handling hazardous materials accidents and incidents and to further enhance implementation of the Emergency Planning and Community Right -to -Know Act of 1986, with a hard match of $6,918.64. Mayor Martinez referred to Item 24. Fire Chief Robert Rocha stated that the purpose of this item is to accept and appropriate a grant from the Texas Department of Public Safety to continue a feasbility study to determine hazards in the community. There were no comments from the Council or the public. Council Member Rubio made a motion to approve the ordinance, seconded by Council Member Garza. This Ordinance was passed on first reading and approved with the following vote: Aye: 6 - Mayor Martinez, Council Member Garza, Council Member Magill, Council Member Rubio, Council Member Rosas and Council Member Vaughn Absent: 3 - Council Member McIntyre, Council Member Riojas and Council Member Scott Abstained: 0 25. First Reading Ordinance - Purchase and installation of replacement boat crane at the Marina Ordinance appropriating $260,000 from the unreserved fund balance of the No. 4700 Marina Fund for the replacement of a boat crane; changing the FY2014-2015 Operating Budget adopted by Ordinance No. 030294 by increasing appropriations by $260,000; approving the purchase and installation of a boat crane from 1st On -Site Services, LLC, based on sole source, for a total amount of $252,150; and providing for severance. Mayor Martinez referred to Item 25. Marina Superintendent Peter Davidson stated that the purpose of this item is to appropriate $260,000 from the Marina Unreserved Balance for the replacement of a boat crane and approving the purchase and installation of a boat crane from 1st On -Site Services, LLC. There no comments from the public. In response to council members, Mr. Davidson stated that the funding will come from Marina funds and the reamining balance of the fund will be $545,000. This Ordinance was passed on first reading and approved with the following vote: Corpus Christi Page 13 Printed on 2/19/2015 City Council Meeting Minutes February 17, 2015 Aye: 7 - Mayor Martinez, Council Member Garza, Council Member Magill, Council Member Rubio, Council Member Rosas, Council Member Scott and Council Member Vaughn Absent: 2 - Council Member McIntyre and Council Member Riojas Abstained: 0 P. RECESS COUNCIL MEETING Q. Mayor Martinez recessed the regular Council meeting to hold a meeting of the Corpus Christi Housing Finance Corporation. CORPORATION MEETING R. RECONVENE COUNCIL MEETING Mayor Martinez reconvened the regular Council meeting. 26. Special Board Meeting of the Corpus Christi Housing Finance Corporation Special Board Meeting of the Corpus Christi Housing Finance Corporation This Corporation Meeting was held. S. FUTURE AGENDA ITEMS: (ITEM 27) Mayor Martinez referred to Item 27. City Manager Olson stated that staff had a planned presentation on Item 27. 27. Purchase and installation of an alerting system Motion approving the purchase and installation of an Alerting System from Daily -Wells Communications, San Antonio, Texas based on sole source for a total amount of $117,584. Funds have been budgeted by the Fire Department in FY 2014-2015. This Motion was recommended to consent agenda. T. BRIEFINGS: (ITEMS 28-32) 28. Mary Rhodes Pipeline Phase 2, Construction Status Update Mayor Martinez referred to Item 28. Executive Director of Utilities Mark Van Vleck stated that the purpose of this item is to provide a brief history and current status of the Mary Rhodes Pipeline Phase 2. Mr. Van Vleck provided information on the project scope, a project map; the pipeline contracts; the layout of the pump station and sedimentation basin and contract; the overall schedule; and the construction change orders. Corpus Christi Page 14 Printed on 2/19/2015 City Council Meeting Minutes February 17, 2015 Council members spoke regarding the following topics: changes to the intake at the Colorado River; whether a separate ramp was built to the Colorado River; rain days built into the contract; built in cost to run water; capacity to deliver water by July 1st; whether the proposed budget included contingency; the construction change order due to road crossing permits; the status of the reservoir system and future discussions on the combined water system. 29. Bond 2012 Update to Council Mayor Martinez referred to Item 29. Executive Director of Public Works Valerie Gray stated that the purpose of this item is to provide a follow-up to the City Council discussion on January 27, 2015 and provide an update on the requested information. Ms. Gray presented information on the cost associated with the utility program; the Bond 2012 cost saving modifications; the streets recommended to be converted from concrete to HMAC (hot mix asphalt cement) and design factors; the equivalent 30 -year design sections for concrete and asphalt; a comparison for equivalent single axle loads; chart showing the average daily traffic counts for the recommended projects to remain with concrete; the bike lane modification recommendation and endorsement by the Transportation Advisory Committee; bond 2012 project option worksheet; and future actions. Council members spoke regarding the following topics: utility program current estimates; the Bond 2012 Project option worksheet; recommended for deferral project South Staples Street (Brawner Parkway to Kostoryz Road); width of the sidewalks on both side of Staples Street (Brawner to Kostoryz); the Transportation Advisory Committee (TAC) recommendation for bike lane modifications for Greenwood Drive; the timeframe to keep concrete on South Staples Street. (Brawner to Kostoryz) if the project was not deferred; the factors considered for determining HMAC vs. concrete; changing Leopard Street (Crosstown to Palm Drive) to a deferred project and moving S. Staples Street back on list; the challenges from moving bond propositions from four (4) years to two (2) years; how to fund the additional funding required for Staples Street; removal of bike lanes and moving bike lanes off the road; the need for a master plan for bike lanes; consideration for bidding bike lanes as an alternative; the number of miles Staples was built with bike lanes; staff not providing information from the CC Mobility Plan, presenting the information to the Bicycle Subcommittee, or providing background information from TAC discussions; sidewalk design; the possibility of creation a bike barrier between cars and bikes; constructability; specific costs on all projects; identifying a series of roads for bike lanes; conservative management of Bond 2014 projects; survey of bike riders; whether there is a cost benefit to bid multiple projects at one time; bidding projects with both concrete and asphalt; discussion on the elimination of the Bicycle and Pedestrian Subcommittee; the 30 -year life cyle; vehicle types as a determining factor for concrete versus asphalt; and a work order for the 4900 block of Prescott Street. Council Member Magill made a motion to direct the City Manager to move South Staples Street (Brawner Parkway to Kostoryz Road) back on the list in lieu of Leopard Street (Crosstown Freeway to Palm Drive), which remains on hold, and request information from staff identifying funds to keep the bike lanes and the discussion between concrete and asphalt to be bid at the time of construction, seconded by Council Member Rosas and passed unanimously. Corpus Christi Page 15 Printed on 2/19/2015 City Council Meeting Minutes February 17, 2015 Council Member McIntyre made a motion directing the City Manager to not use any staff resources to design a sidewalk bike path, seconded by Council Member Scott and passed unanimously. Council Member Magill made a motion directing the City Manager to include in the Bond 2012 scope a base bid for concrete and asphalt as an additive alternative, seconded by Council Member Rubio. A brief discussion ensued regarding bidding an additive alternative. Council Member Magill amended his motion to include in the Bond 2012 scope a base bid for concrete and a base bid for asphalt, accepted and seconded by Council Member Rubio and passed unanimously. 30. Capital Programs Department Organizational Assessment Mayor Martinez referred to Item 30. Executive Director of Public Works Valerie Gray stated that the purpose of this item is to provide an update on the assessment performed on the Capital Programs Department and the steps taken to improve performance. Vicki Marsden, Quality Assurance Manager, presented information on the mission of the assessment; observations; the methodology; the characteristics of the development model maturity levels; the data gathering and analysis; findings from the audit; actions taken; and future actions. Council Members spoke regarding the following topics: the number of departments that have proper documented processes and procedures; proper management expertise; improving the maturity levels; intangible risks; Capital Programs not having the proper tools to be successful; the value of this assessment and having it crossover to other departments; and the timing to incorporate the process and best practices to determine the attrition rate. 31. Request for Qualifications - Financial Advisory Services Mayor Martinez referred to Item 31. Assistant City Manager Wes Pierson stated that the purpose of this item is to provide an update on the Request for Qualifications issued for Financial Advisory Services. Mr. Pierson provided a brief overview of the request for qualifications (RFQ); RFQ responses; the four finalists; the selection criteria; the selection results; and next steps. Council members spoke regarding the following topics: issuing the RFQ after the review of the competitive assessment of Financial Services; the members of the evaluation team; whether bond counsel participated in the evaluation process and their input; comments from Director of Financial Services Constance Sanchez; concern with termination of a successful relationship because it is a long-term relationship; the scoring matrix; how Procurement Manager Christela Morales rated Estrada-Hinojosa when she didn't complete her analysis; the four (4) criteria; the firms that have local offices in Corpus Christi; the concerns with FirstSouthwest because of a potential merger; the two (2) firms that had inquiries; next steps; best practice to see what the market offers; support to have a contract for financial advisory services; how often the City would issue an RFQ; the reason for issuing an RFQ versus an RFP; and whether there has been a complexity/size issue that the current financial firm has had to deal with. Council Member McIntyre made a motion directing the City Manager to issue an Request for Proposal (RFP) for the Financial Advisory Services, with a recommendation on term; and if possible getting the proposal from the four (4) Corpus Christi Page 16 Printed on 2/19/2015 City Council Meeting Minutes February 17, 2015 finalists, seconded by Council Member Scott and passed unanimously. Mayor Martinez called for a 10 -minute break. 32. Property Insurance Procurement Options Mayor Martinez referred to Item 32. Risk Manager Donna James -Spruce stated that the purpose of this item is to discuss the current property coverage insurance. Ms. James -Spruce provided information on the current property insurance coverage; the RFP advertise for proposal process and current timeline; the three options under consideration are: Option 1: Advertise for Proposals, Option 2: RFP Assignment of Markets, and Option 3: RFP Broker/Agent of Record; the positive results the City has had with utilizing Option 1; and the paths forward. Council members spoke regarding the following topics: how often the City issues the RFP; options to lock in with brokers; the number of brokers in the first tier; the possibility of extending the current coverage; other communities that use Option 3; Option 3 providing a better opportunity for local brokers; the Port of Corpus Christi Authority saving money by going to Option 3; and the reason Option 3 would take eight (8) months. There was a general consensus of the Council to support Option 3. U. LEGISLATIVE UPDATE: V. ADJOURNMENT None. The meeting was adjourned at 7:41 p.m. Corpus Christi Page 17 Printed on 2/19/2015 a. CRIME CONTROL AND PREVENTION DISTRICT — Confirmation of appointment by City Council as per Texas Local Government Code §363.1015. DUTIES: The creation of the Corpus Christi Crime Control and Prevention District is dedicated to crime reduction programs and the adoption of a proposed sales and use tax at a rate of one-eighth of one percent. COMPOSITION: The District will consist of the same number of members as the City Council. One member of the Board of Directors shall be appointed by each member of the City Council to serve at the pleasure of that member of the City Council for a term that is concurrent with the term of the member of the City Council, subject to confirmation by the governing body. DIRECTOR Judy Loverde *Bradly Tindall Jesse Olivares Joan Veith Zelner Houchin Susie Luna Saldana Randall Hicks R. Scott Leeton Raymond Lara APPOINTED BY Mayor Nelda Martinez Council Member Mark Scott Council Member Chad Magill Council Member Lillian Riojas Council Member Carolyn Vaughn Council Member Brian Rosas Council Member Lucy Rubio Council Member Colleen McIntyre Council Member Rudy Garza TERM Concurrent/Council Term Concurrent/Council Term Concurrent/Council Term Concurrent/Council Term Concurrent/Council Term Concurrent/Council Term Concurrent/Council Term Concurrent/Council Term Concurrent/Council Term b. MAYOR'S FITNESS COUNCIL — One (1) vacancy with term to 5-11-16 representing the following category: 1 — Community Outreach. (Appointed by the Mayor with approval of the City Council.) DUTIES: To advise the City Council, City Manager, Parks Department and Health District regarding promotion of healthy living, including but not limited to the following activities: Encourage, promote and enhance healthy living through organized sports, events, diet and everyday activity, all with a strong emphasis on using natural resources. In addition, to collaborate with community leaders in all sectors to develop and implement policy and environmental improvement strategies that will help combat chronic disease such as diabetes, cardio pulmonary disease, and cancer. COMPOSITION: The committee shall consist of nine (9) members appointed by the Mayor with approval of the City Council. The committee shall consist of individuals representing the following categories: 1 - Health Care/Medical Professionals, 1 - Worksite Wellness, 1 - Disability Networks, 1 - Senior Initiatives, 1 - Youth Initiatives, 1 - Community Outreach and 3 — At Large members. Staggered terms are as follows: Five terms shall end in even numbered years: Health Care/Medical Professionals, Senior Initiatives, Youth Initiatives, Community Outreach and one (1) At Large member. Four terms shall end in odd numbered years: Worksite Wellness, Disability Networks, and two (2) At Large members. Thereafter, all terms shall be two years. Ex -officio members will include Director of Parks and Recreation and the Director of the City County Public Health District. MEMBERS David Keith (Senior Initiatives) Wade Spenst (At Large), Chair Rick Hayley (At Large), Vice -Chair Rodney Brown (At Large) Kimberly Cook (Disability Networks) ***Raquel Richardson (Comm. Outreach) Dr. Roland Hernandez (Youth Initiatives) Dr. Ana Maria Paez (Health/Med Prof.) Dr. Misty Kesterson (Worksite Wellness) Director of Parks and Recreation Director of City/Co. Public Health District TERM 5-11-16 5-11-15 5-11-16 5-11-15 5-11-15 5-11-16 5-11-16 5-11-16 5-11-15 Ex -Officio, Ex -Officio, Legend: *Seeking reappointment **Not seeking reappointment ***Resigned ****Exceeded number of absences allowed by ordinance *****Has met six-year service limitation INDIVIDUALS EXPRESSING INTEREST ORIGINAL APPTD. DATE 9-30-14 5-11-10 5-11-10 2-21-12 5-08-12 5-08-12 5-14-13 8-12-14 9-30-14 Nonvoting Nonvoting Jeremy Coleman 1525 Ocean Dr., Apt. A, 78404 Chairman/CEO, Brooks Chapel Development Center, Inc. Past President and Chief Executive Angelina Garcia 11141 Annaville Rd., 78410 Officer, J. L. Liberty Services. Currently pursuing a B.A. in Business Administration from Del Mar College. Community Activities include: Brooks Chapel Early Childhood Center Board (Chairman), Former Youth Council and Foundation of Corpus Christi (President), National Board Member of Camp Fire U.S.A., State of Texas Student Council Association, and Ignite Political Action Committee (President). (12/8/14) (Community Outreach) Program Coordinator for Project MEND, Catholic Charities of Corpus Christi, Inc. Formerly Community Outreach Coordinator for CHRISTUS Spohn Health System. Received B.A.S. in University Studies from Texas A&M University - Corpus Christi. Community Activities include: Children's Ministry at Church of Hope. (1/26/15) (Community Outreach) c. MECHANICAL/PLUMBING ADVISORY BOARD — Eleven (11) vacancies with terms to 1-2-16 and 1-2-17 representing the following categories: 1 — Plumber, 2 — Master Plumbers, 1 — Mechanical Engineer, 1 — Home Building Industry, 1 — Commercial Building Industry, 3 — Persons with Heating, Ventilation, Air Conditioning and Refrigeration Contracting Business, 1 — Person Not Connected with the Building Industry and 1 — Irrigator. (Staff is recommending the postponement of the irrigator category. The City Secretary's Office and Development Services are diligently working on recruiting applicants for this vacancy.) DUTIES: To advise the City Manager regarding any matter in the mechanical, plumbing, and irrigation fields that it considers should be brought to the attention of the City Council. Furthermore, the mechanical/plumbing advisory board shall have the power, after having obtained public comment, to recommend to the City Council changes to the City Fuel Gas, Mechanical, and Plumbing Codes. COMPOSITION: Eleven (11) persons appointed by the City Council: 3 - persons with at least five years active experience as a plumber licensed in the State of Texas, at least three years of which shall have been in Corpus Christi, and currently active in the plumbing trade; at least 2 of whom shall hold Master Plumbers licenses; 1- person with at least five years of active experience as a mechanical engineer, who is registered as a professional engineer in the State of Texas; 1- person with at least five years of experience in the home building industry; 1- person with at least five years of experience in the commercial building industry; 3 - persons with at least five years active experience in heating, ventilation, air conditioning and refrigeration contracting business and licensed in the State of Texas; 1 - person not connected with the building industry; and 1 - person who shall have at least 5 years of active experience in landscape irrigation and is licensed as an Irrigator by the State of Texas. Six members constitute a quorum, and the concurring vote of not less than 6 members of the Board is necessary to constitute an official action of the Board. Terms are staggered for two years. ORIGINAL MEMBERS TERM APPTD. DATE *James E. Mokry, Jr. (Master Plumber) 1-02-14 2-09-10 ***Vacant (Not Conn. Bldg. Ind.) 1-02-15 *****David Mathews (Air Conditioning), Co -Chair 1-02-15 7-21-09 ***Vacant (Mechanical Eng.) 1-02-14 *****Billy Largin (Commercial Builder) 1-02-15 7-21-09 *Clinton Bailey (Master Plumber) 1-02-15 2-08-11 *Gilbert G. Canales, Jr. (Plumber) 1-02-14 1-24-12 *Ronald Klepac (Air Conditioning) 1-02-14 1-24-12 *****Julio Sanchez (Air Conditioning) 1-02-15 7-21-09 *Stacy Gallagher (Home Builder) 1-02-14 2-09-10 *****Karim I. Salighedar (Irrigator) 1-02-15 7-21-09 Legend: *Seeking reappointment **Not seeking reappointment ***Vacant ****Exceeded number of absences allowed by ordinance *****Has met six-year service limitation ATTENDANCE RECORD OF MEMBERS SEEKING REAPPOINTMENT NO. OF MTGS. NAME THIS TERM James E. Mokry, Jr. (Master Plumber) 3 Clinton Bailey (Master Plumber) 3 Gilbert G. Canales, Jr. (Plumber) 3 Ronald Klepac (Air Conditioning) 3 Stacy Gallagher (Home Builder) 3 NO. PRESENT 3 3 3 3 3 OTHER INDIVIDUALS EXPRESSING INTEREST Bob Forbes 4613 Wilma, 78412 Jared Merdes, P.E., MBA, Leed AP 9871 Daisy Dr., 78410 Maverick C. Volesky, Jr. 4814 Olympia Dr., 78413 Theunis "Tim" Voorkamp 7614 Loire Blvd, 78414 % OF ATTENDANCE LAST TERM YEAR 100% 100% 100% 100% 100% Retired Air Conditioning Mechanic Foreman, Weathertrol, Inc. Served in the United States Air Force. Attended College. Community Activities include: Little Theater and Walk to Emmaus. (Air Conditioning) (1/8/15) Self -Employed Engineer, Diverse Design Solutions, PLLC and Vice -President, South Texas Restaurant Equipment and South Texas Laundry. Received a Bachelor of Science in Mechanical Engineering from Texas A&M University — Kingsville and Master of Business Administration from Texas A&M University -Corpus Christi. Registered Professional Engineer. Formerly Served on the Electrical Advisory Board. Activities include: American Society of Heating, Refrigeration, and Air Conditioning Engineers, United States Green Builders Council, Leadership Energy and Environmental Design AP, and Building Committee for Corpus Christi Metro Ministries. (Mechanical Engineer) (2/17/15) Owner, Maverick Plumbing. (Master Plumber) (11/7/14) Broker/Managing Partner/Owner, Corpus Christi Excel Properties Inc. /Nueces Tax Relief/TAVCO Construction. General Contractor, Commercial Builder and Homebuilder. Retired Merchant Marine Captain, graduate of the U.S. Merchant Marine Academy. Licensed Real Estate Broker, Licensed Property Tax Consultant, and Registered Arbitrator with State of Texas. Activities include: Texas Assn. David Wallace 5309 Williams Dr., 78411 Mike Wanzer 3445 Monterey, 78411 Tommy E. Watson, Jr. 660 Cantwell, 78408 of Property Tax Professionals, National Association of Realtors, and Texas Real Estate Commission. (Commercial Builder) (Home Builder) (1/28/15) Real Estate Broker/Owner, Selncc, Inc. dba Windward Properties. Received a BA in Photojournalism from Stephen F. Austin University. Licensed Real Estate Broker in Corpus Christi for past 30 years. (Commercial Builder) (Home Builder) (1/8/15) Owner, Mike Wanzer A/C. Past President of the Coastal Bend Air Conditioning Contractors of America. Previously served as Chairman of the Mechanical/Plumbing Advisory Board. (Air Conditioning) (1/22/15) Owner, Southern Cycles. Attended former Texas A&I University (now TAMUK). Activities include: Rotary West Club -Corpus Christi, Barrows Club, and Northwest Business Association. Formerly served on the Transportation Advisory Committee. (Not Connected to the Building Industry) (1/7/15) d. REINVESTMENT ZONE NO. THREE BOARD - Six (6) vacancies with terms to 2- 28-17 appointed by the City Council. (Historically, Council Members have been appointed to serve on this board.) DUTIES: The Board shall make recommendations to the City Council concerning the administration of the Zone. (The Zone area includes approximately 856 acres encompassing the city' s Downtown area along the Bayfront from the SEA -Town complex at the north end, south to Morgan Avenue adjacent to the CHRISTUS Spohn Shoreline Hospital, and west to Tancahua Street.) The Board shall prepare and adopt a project plan and reinvestment zone financing plan for the Zone and submit such plans to the City Council for its approval in accordance with Section 311.011, Texas Tax Code. The Board shall exercise other powers and responsibilities with respect to the Zone only to the extent expressly granted by the City Council by ordinance or resolution. COMPOSITION: The Board shall consist of twelve (12) members. The members shall be appointed as follows: Pursuant to Sec. 311.009(a), Tax Code, the respective governing bodies of each taxing unit other than the City that levies taxes on real property in the zone, if the taxing unit has approved the payment of all or part of the tax increment produced by the unit into the tax increment fund for the zone, may appoint one (1) member of the Board. These entities include: Del Mar College and Nueces County. Each governing body may waive its right to appoint a Director. The remaining members of the board are appointed by the City Council. The City Council shall have the right to appoint at least ten (10) members, and the board may exceed twelve (12) members if necessary for the City Council to make said ten (10) appointments. To be eligible for appointment an individual must be a qualified voter of the City; or be at least 18 years of age or older and own real property in the zone. Terms of Board members are for two years. Terms must be staggered with half of the Board members appointed every year. Officers must be appointed as provided in the Act. Each year the governing body of the municipality or county that created the zone shall appoint one member of the board to serve as Chairman for a term of one-year that begins January 1 of the following year. The board of directors may elect a Vice - Chairman to preside in the absence of the Chairman or when there is a vacancy in the office of the Chairman. The board may elect other officers as it considers appropriate. ORIGINAL MEMBERS TERM APPTD. DATE *Nelda Martinez (City) 2-28-15 2-28-12 *Mark Scott (City) 2-28-15 2-28-12 Brian Rosas (City) 2-28-16 2-28-12 *Carolyn Vaughn (City), Chair 2-28-15 2-28-12 Chad Magill (City) 2-28-16 2-28-12 *Lucy Rubio (City) 2-28-15 2-28-12 *Colleen McIntyre (City) 2-28-15 2-28-12 *Rudy Garza (City) 2-28-15 2-28-12 Lillian Riojas (City) 2-28-16 2-28-12 Stefany Schade (DMD) 2-28-16 9-30-14 Mike Pusley (County), Vice -Chair 2-28-16 Claudia Jackson (Del Mar) 2-28-16 Legend: *Terms expired e. TREE ADVISORY COMMITTEE — Two (2) vacancies with terms to 2-18-17 representing the following categories: 1 — At Large and 1 — AEP Texas Representative. DUTIES: To review and recommend a formal written plan to the City Council for the care, preservation, pruning, planting, replanting, removal or disposition of Public Trees. A Public Tree is defined as trees, shrubs, bushes and other woody vegetation planted in land owned by the City. They shall also provide recommendations to the Planning Commission on any proposed amendments to the Unified Development Code pertaining to planting and landscaping requirements. Working with the Parks and Recreation Department, the plan shall not conflict with the Parks and Recreation Master Plan, and the committee shall also develop a recommended list of tree species for Public Trees to be planted on lands owned by the City. It may also recommend to the Parks Director the removal of any Public Tree or part thereof which is damaged by disease, storm or which is in an unsafe condition. COMPOSITION: The committee shall consist of five (5) members to be approved by the City Council. Membership shall consist of one (1) Landscape Architect, one (1) Certified Arborist or Urban Forester, one (1) representative from electric utility provider AEP, Texas, and two (2) At -Large community members. Initially, two (2) members shall serve an initial term of one (1) year and three (3) members an initial term of two (2) years, determined by drawing at the initial committee meeting. Thereafter, terms of office shall be two years. ORIGINAL MEMBERS TERMS APPTD. DATES Viviana Rodriguez (Landscape Architect) 02-18-16 02-18-14 Phillip Christian (Arborist or Urban Forester) 02-18-16 02-18-14 *Grant S. Ehlen (AEP Texas Representative) 02-18-15 02-18-14 *Sylvia Campos (At Large) 02-18-15 02-18-14 Margareta Fratila (At Large) 02-18-16 02-18-14 Legend: *Seeking reappointment **Not seeking reappointment ***Resigned ****Exceeded number of absences allowed by ordinance *****Has met six-year service limitation ATTENDANCE RECORD OF MEMBERS SEEKING REAPPOINTMENT NO. OF MTGS. NO. % OF ATTENDANCE NAME THIS TERM PRESENT LAST TERM YEAR Grant S. Ehlen (AEP Tx Rep.) 7 7 100% Sylvia Campos (At Large) 7 6 86% INDIVIDUALS EXPRESSING INTEREST Jeremy Coleman 1525 Ocean Dr., Apt. A, 78404 Chairman/CEO, Brooks Chapel Development Center, Inc. Past President and Chief Executive Officer, J. L. Liberty Services. Currently pursuing a B.A. in Business Administration from Del Mar College. Community Activities include: Brooks Chapel Early Childhood Center Board (Chairman), Former Youth Council and Foundation of Corpus Christi (President), National Board Member of Camp Fire U.S.A., State of Texas Student Council Association, and Ignite Political Action Committee (President). (12/8/14) (At Large) AGENDA MEMORANDUM Future Item for the City Council Meeting of February 17, 2015 Action Item for the City Council Meeting of February 24, 2015 DATE: February 17, 2015 TO: Ronald L. Olson, City Manager FROM: Gabriel Maldonado, Interim Procurement Manager gabrielm@cctexas.com (361) 826-3169 Robert Rocha, Fire Chief rrocha@cctexas.com (361) 826-3932 Purchase and Installation of an Alerting System CAPTION: Motion approving the purchase and installation of an Alerting System from Daily -Wells Communications, San Antonio, Texas based on sole source for a total amount of $117,584. Funds have been budgeted by the Fire Department in FY 2014-2015. PURPOSE: The Alerting System will replace an existing system which has been in place for the past twenty-five years (25) years and which currently operates by radio frequency. The new system will operate through internet protocol, which will make messaging near instantaneous, reducing response times. Multiple stations will also be able to be alerted at the same time. The System can support up to 255 stations and up to 24 dispatch positions. Converting to internet protocol between the central site and the fire stations broadens connectivity options. The server allows dispatchers at remote locations to interact with the system over the internet protocol connection. Voice dispatcher announcements can be made over an internet protocol or radio. The radio mode is useful when a dispatcher's announcement must be sent simultaneously to mobile units and fire stations. The fire station unit can be configured to activate the PA system automatically, play unique tones, display apparatus status, open bay doors or control station lights. BACKGROUND AND FINDINGS: Dailey -Wells Communications is the only authorized Harris Corporation Network Solutions Provider to provide system sales and service support to this system and all agencies operating on this communication system. ALTERNATIVES: None. OTHER CONSIDERATIONS: Not applicable. CONFORMITY TO CITY POLICY: This purchase conforms to the City's purchasing policies and procedures and State statutes regulating procurement. EMERGENCY / NON -EMERGENCY: Non -emergency. DEPARTMENTAL CLEARANCES: Fire Department FINANCIAL IMPACT: x Operating ❑ Revenue ❑ Capital ❑ Not applicable Fiscal Year: 2014- 2015 Project to Date Expenditures (CIP only) Current Year Future Years TOTALS Line Item Budget $176,784.03 $176,784.03 Encumbered / Expended Amount $26,024.53 $26,024.53 This item $117,584.00 $117,584.00 BALANCE $33,175.50 $33,175.50 Fund(s): General Fund Comments: RECOMMENDATION: Staff recommends approval of the motion as presented. LIST OF SUPPORTING DOCUMENTS: Price Sheet CITY OF CORPUS CHRISTI PURCHASING DIVISION BUYER: GABRIEL MALDONADO ITEM DESCRIPTION PRICE SHEET SOLE SOURCE PURCHASE AND INSTALLATION OF AN ALERTING SYSTEM QTY. UNIT DAILEY-WELLS COMMUNICATIONS HOUSTON, TEXAS UNIT PRICE EXTENDED PRICE Zetron IP Fire Station Alerting System 1 Lot $117,584.00 $117,584.00 TOTAL: $117,584.00 AGENDA MEMORANDUM Future Item for the City Council Meeting of Feb. 17, 2015 Action Item for the City Council Meeting of Feb. 24, 2015 DATE: January 30, 2015 TO: Ronald L. Olson, City Manager FROM: Robert Rocha, Fire Chief rrocha@cctexas.com (361) 826-3932 Appropriating funds from the Hazardous Materials Emergency Preparedness Planning Grant for the City of Corpus Christi/Nueces County LEPC Program year 2014-2015 CAPTION: Ordinance appropriating $27,674.58 from the Texas Department of Public Safety, Governor's Division of Emergency Management, in the No. 1062 Fire Grants Fund for FY 2015 Hazardous Materials Emergency Preparedness grant program, phase II & III, to conduct a detailed hazardous materials vulnerability assessment to increase effectiveness in safety and efficiently handling hazardous materials accidents and incidents and to further enhance implementation of the Emergency Planning and Community Right -to -Know Act of 1986, with a hard match of $6,918.64. PURPOSE: The data and analysis will be used to enhance emergency plans and response procedures for emergencies involving transportation of hazardous materials and fixed site storage. BACKGROUND AND FINDINGS: The Corpus Christi/Nueces County LEPC recently completed a Commodity Flow Study to assess hazardous materials transported throughout the County including our three hazardous materials highways (IH37, US77 and US181), major rail carriers and hundreds of miles of pipelines. The study yielded 400 facilities with approximately 2,500 stored chemical substances. The proposed study will use the comprehensive commodity flow and facility data to complete a detailed risk analysis of at -risk transportation activities and industrial facilities throughout Nueces County and neighboring jurisdictions that may have an adverse impact on the public safety/health of Nueces County residents, visitors and its workforce. Phase 1 of the assessment is funded in totality in the 2014-15 LEPC budget and is nearing completion. ALTERNATIVES: If we do not accept and appropriate funds from the grant, we will have limited information to prepare plans and train for hazardous material incidents. OTHER CONSIDERATIONS: None CONFORMITY TO CITY POLICY: Council approval of Ordinance to appropriate grant funds. EMERGENCY / NON -EMERGENCY: This is a Non -Emergency, non -controversial item. DEPARTMENTAL CLEARANCES: Legal Finance — Federal Grants and Office of Management and Budget FINANCIAL IMPACT: X Operating ❑ Revenue ❑ Capital ❑ Not applicable Fiscal Year: 2013- 2014 Project to Date Expenditures (CIP only) Current Year Future Years TOTALS Line Item Budget 0 Encumbered / Expended Amount 0 This item 0 $6,918.64 0 $6,918.64 BALANCE 0 $6,918.64 0 $6,918.64 Fund(s): Comments: The FY 2014-2015 LEPC Budget can absorb the 20% match of $6,918.64. The City of Corpus Christi/Nueces County LEPC has approved a motion to accept this grant. RECOMMENDATION: Staff recommends appropriating a grant in the amount of $27,674.58 received from the Texas Department of Public Safety Division of Emergency Management for Hazardous Materials Preparedness Planning. LIST OF SUPPORTING DOCUMENTS: Ordinance Award Letter Contract Ordinance appropriating $27,674.58 from the Texas Department of Public Safety, Governor's Division of Emergency Management, in the No. 1062 Fire Grants Fund for FY 2015 Hazardous Materials Emergency Preparedness grant program, phase II & III, to conduct a detailed hazardous materials vulnerability assessment to increase effectiveness in safety and efficiently handling hazardous materials accidents and incidents and to further enhance implementation of the Emergency Planning and Community Right - to Know Act of 1986, with a hard match of $6,918.64; BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS: SECTION 1. That $27,674.58 grant from the Texas Department of Public Safety, Governor's Division of Emergency Management is appropriated in the No. 1062 Fire Grants Fund to conduct a detailed hazardous materials vulnerability assessment to increase effectiveness in safety and efficiently handling hazardous materials accidents and incidents and to further enhance implementation of the Emergency Planning and Community Right -to Know Act of 1986 for FY 2015 Hazardous Materials Emergency Preparedness grant program, with a hard match of $6,918.64. That the foregoing ordinance was read for the first time and passed to its second reading on this the day of , by the following vote: Nelda Martinez Brian Rosas Rudy Garza Lucy Rubio Chad Magill Mark Scott Colleen McIntyre Carolyn Vaughn Lillian Riojas That the foregoing ordinance was read for the second time and passed finally on this the day of , by the following vote: Nelda Martinez Brian Rosas Rudy Garza Lucy Rubio Chad Magill Mark Scott Colleen McIntyre Carolyn Vaughn Lillian Riojas PASSED AND APPROVED, this the th day of ATTEST: Rebecca Huerta City Secretary Nelda Martinez Mayor STEVEN C. McCRAW DIRECTOR DAVID G. BAKER ROBERT J, BODISCH, SR. DEPUTY DIRECTORS TEXAS DEPARTMENT OF PUBLIC SAFETY 5805 N LAMAR BLVD • BOX 4087 . AUSTEN, TEXAS 78773-0001 5121424-2000 www.dps.texas._ov October 22, 2014 Ms. Joanne Salge City of Corpus Christi, Nueces County LEPC 2406 Leopard St., Suite 300 Corpus Christi, TX 78408 Dear Ms. Salge, COMMISSION A. CYNTHIA LEON, CHAIR MANNY FLORES FAITH JOHNSON STEVEN P. MACH RANDY WATSON The State Emergency Response Commission (SERC) Planning Committee has met and allocated FY15 Hazardous Material Emergency Preparedness (HMEP) funds for your Local Emergency Planning Committee. After careful consideration and review of the City of Corpus Christi, Nueces County LEPC HMEP Planning Grant, the SERC has decided that your application meets all of the eligibility criteria and the goals of the HMEP Planning Grant Program. Here are the results for your LEPC: LEPC Award Match Total City of Corpus Christi, Nueces County LEPC $27,674.58 $6,918.64 $34,593.22 Please contact Gabriela Stermolle, the Technological Hazards Unit Supervisor, with any questions you may have at 512-424-5989 or by email at Gabriela.Stermolle@dps.texas.gov. We appreciate your interest in the HMEP Planning Grant and hope that your participation in this coming year will be rewardin fo, your community. Respefully, W. Nim Kidd, CEM + Assistant Director Texas Department of Public Safety Chief Texas Division of Emergency Management EQUAL OPPORTUNITY EMPLOYER COURTESY • SERVICE • PROTECTION City of Corpus Christi, Nueces County LEPC Agreement TXDPS Contract No. 405 -EMD -15-P001912 AGREEMENT FOR HAZARDOUS MATERIALS EMERGENCY PREPAREDNESS PLANNING GRANT STATE OF TEXAS § City of Corpus Christi, Nueces County LEPC § PARTIES Pursuant to the authority of Texas Government Code §§ 418.043 and 418.044 and/or § 791.011, this Agreement for a Hazardous Materials Emergency Preparedness (HMEP) Planning Grant is made by and between the State of Texas, acting by and through the Texas Department of Public Safety (TXDPS), Texas Division of Emergency Management (TDEM), hereinafter called the "TXDPS," and City of Corpus Christi, Nueces County Local Emergency Planning Committee (LEPC) hereinafter referred to as the "Grantee," serving as a fiscal agent for the City of Corpus Christi, Nueces County LEPC, serving as an authorized representatives of the Grantee. WITNESS Whereas, TXDPS has no programmed resources to implement United States Department of Transportation (USDOT) 49 CFR 110; and WHEREAS, TXDPS shall receive funds from the USDOT to accomplish the tasks detailed in this Agreement. AGREEMENT NOW, THEREFORE, TXDPS and the Grantee, in consideration of the mutual covenants and agreements contained herein, do mutually agree as follows: The Grantee shall assist with and provide the local match for hazardous materials emergency preparedness planning activities in connection with the project as stated in the Articles to follow and outlined hereafter. All services performed under this Agreement shall be performed under the supervision of the Assistant Director for TXDPS, TDEM, represented by the Hazardous Materials Preparedness Officer as TXDPS Project Officer. 1. AGREEMENT PERIOD This Agreement shall become effective upon the date of final execution by TXDPS and shall be completed by September 30, 2015, unless terminated in a manner defined herein. By mutual written agreement between TXDPS and the Grantee, this Agreement may be renewed for up to three (3) years in one (1) year terms. 2. SERVICES TO BE PROVIDED BY THE GRANTEE The Grantee shall: Page 1 of 31 City of Corpus Christi, Nueces County LEPC Agreement TXDPS Contract No. 405 -EMD -15-P001912 A. Complete a hazardous materials vulnerability assessment and provide the required local match to increase effectiveness in safely and efficiently handling hazardous materials transportation incidents. B. Provide Progress Reports and Financial Reports as outlined in Section 6: Inspection of Work and Progress Reports. 3. SERVICES TO BE PROVIDED BY TXDPS TXDPS shall provide planning assistance to the Grantee in the form of guidance to ensure that the Grantee shall complete the deliverables listed above on a timely manner. 4. COMPENSATION A. The estimated total approved cost of the project which is the subject of this agreement is: Thirty -Four Thousand Five Hundred Ninety -Three Dollars and Twenty -Two Cents ($34,593.22) B. The maximum amount payable by TXDPS under this agreement is: Twenty -Seven Thousand Six Hundred Seventy -Four Dollars and Fifty -Eight Cents ($27,674.58) C. The Grantee shall provide a match that equals or exceeds: Six Thousand Nine Hundred Eighteen Dollars and Sixty -Four Cents ($6,918.64) D. TXDPS shall pay Grantee within thirty (30) days from receipt of the Grantee's documentation for reimbursable expenses, provided the request for payment is properly prepared, executed, and documented, and payment has been approved by the Pipeline and Hazardous Material Safety Administration (PHMSA). E. TXDPS and/or Grantee paying for the performance of governmental functions or services shall make those payments from current revenues available to TXDPS and/or Grantee in accordance with Texas Government Code Section 791.011, Interlocal Cooperation Act. F. The Grantee agrees that the aggregate of funds of the LEPC shall be maintained at a level that does not fall below the average level of such expenditures for the two (2) federal fiscal years prior to this grant project, exclusive of federal funds and twenty percent (20%) cost match for this grant, for developing, improving, and implementing emergency plans under Emergency Preparedness and Community Right -to -Know Act (EPCRA) (42 U.S.C. Chapter 116). G. To receive reimbursement for allowable costs, the Grantee shall: 1) Submit quarterly financial reports with the following: (a) Invoices or receipts Page 2 of 31 City of Corpus Christi, Nueces County LEPC Agreement TXDPS Contract No. 405 -EMD -15-P001912 (b) Canceled checks or other proof of payment for each expense 2) Provide proof of the LEPC match for the quarter: (a) Match shall be used directly in connection with the approved activities. (b) Match shall be from non-federal funds or in-kind as outlined in (d) below (c) If match is from soft funds, such as those included in (d) below, either the LEPC Chair or Vice Chair shall sign certifying the soft funds match once funds are expended. (d) The soft funds match shall include any of the following expenses that are reasonable, allowable, and allocable to the project: i. Salaries, fringe benefits, per diem, housing, or travel expenses incurred by any person other than government employee while attending training classes or involved in program activities related to this project. ii. Private contributions, such as corporate contributions of facilities or services such as free classroom space, utilized for this project. iii. Voluntary contributions related to this project, such as firefighter support, emergency personnel support, and the staff time of any LEPC member. iv. Equipment or facilities used for program related exercises, whether public or private. v. Facility space necessary to conduct activities for the project. vi. University students volunteering time to aid in collection of data related to the project. (e) Non-federal match funds shall not be utilized for match on other programs or grants. H. Final payment shall be withheld until all deliverables paid for under this Agreement have been received by State. I. The Grantee shall furnish all equipment, materials, and supplies required to perform the project. 5. INITIATION OF PROJECT WORK The Grantee shall not begin the work outlined herein until final execution of this Agreement by TXDPS. 6. INSPECTION OF WORK AND PROGRESS REPORTING A. The Grantee shall, from time to time during progress of the work defined herein, confer with TXDPS. TXDPS's Project Officer has the right to inspect work being performed pursuant to this Agreement in a manner that shall not unduly delay the work. The Grantee shall prepare and present such information and data as may be pertinent and necessary or as may be requested by TXDPS in order to evaluate the progress of the work being performed by the Grantee. Page 3 of 31 City of Corpus Christi, Nueces County LEPC Agreement TXDPS Contract No. 405 -EMD -15-P001912 B. The Grantee's Project Officer shall render required reports to TXDPS's Project Officer, including: 1) Progress reports according to the schedule in C below, and in the format outlined in Attachment 3. 2) Financial reports according to the schedule in C below and in the format outlined in Attachment 4, with all required supporting documentation. 3) A final project report, which shall summarize the work performed and accomplishments. 4) A final financial report and all remaining invoices for reimbursement, supported by appropriate documentation of expenses, including any remaining LEPC match. 5) A copy of all deliverables derived from this Agreement. C. Progress/Financial/Final Report Schedule: 1) First Report (October — December) Due to TXDPS by January 8, 2015 2) Second Report (January — March) Due to TXDPS by April 8, 2015 3) Third Report (April— June) Due to TXDPS by July 8, 2015 4) Final Report due October 8, 2015 (See Section 6 B3 and B4 above) Progress reports and the final project report shall be submitted by mail, facsimile, or e-mail. Financial reports, with original signature, along with all supporting documentation, shall be sent by mail or courier. 7. TERMINATION A. This Agreement may be terminated by any of the following conditions: 1) By mutual agreement and written consent of both parties. 2) By TXDPS upon written notice to the Grantee as consequence of the Grantee's failure to perform the services herein in a satisfactory manner and within the limits provided, with proper allowances being made for circumstances beyond the control of the Grantee, as determined in good faith and reasonable business judgment by TXDPS. 3) For convenience of TXDPS upon not less than ten (10) days' written notice to the Grantee. 4) By satisfactory completion of all services and obligations described herein. B. Should TXDPS terminate this Agreement as herein provided, no expenses, except those due and payable at the time of termination, shall thereafter be paid to the Grantee. Payment for the work at the time of termination shall be based upon work completed at that time. C. The termination of this Agreement and payment of any amount in the settlement as prescribed herein shall extinguish all rights, duties, obligations, and liabilities of TXDPS and the Grantee under this Agreement. 8. DISPUTES The Grantee shall be responsible for the settlement of all contractual and administrative issues arising out of procurement made by the Grantee in support of this grant program. Any disputes concerning Page 4 of 31 City of Corpus Christi, Nueces County LEPC Agreement TXDPS Contract No. 405 -EMD -15-P001912 the work or obligations defined herein or additional costs, or any non -procurement issues shall be settled at the sole discretion of TXDPS. 9. INDEMNIFICATION To the extent authorized by the Constitution and laws of TXDPS of Texas, the Grantee shall indemnify and hold harmless TXDPS, its officers and employees from all third party claims for injury to, or death of, persons and damage to, or loss of, physical property directly due to activities of itself, its agents, contractors, officers, or employees, performed under this Agreement and which result from the negligence or willful misconduct of the Grantee or of any person employed by the Grantee. The Grantee shall also indemnify and hold harmless TXDPS, its officers and employees from any and all expenses, including attorney fees, which might be incurred by TXDPS, its officers and employees as a result of such activities by the Grantee, its agents, contractors, officers, and employees. 10. COMPLIANCE WITH LAWS The Grantee shall comply with all Federal, State and local laws, statutes, ordinances, rules, regulations, and the orders and decrees of any court, or administrative bodies or tribunals in any manner affecting the performance of this Agreement. 11. ASSURANCES The Grantee assures that no person shall, on the grounds of race, creed, color, handicap, national origin, gender, political affiliation, or belief be excluded from, be denied benefit of, or be subjected to discrimination under any program or activity funded in whole or in part under this Agreement. Incorporated by reference the same as if specifically written herein are rules, regulations, and all other requirements imposed by law, including but not limited to compliance with those pertinent rules and regulations of TXDPS of Texas and those of United States agencies providing funds to the State of Texas. To the extent it applies, Grantee shall comply with Texas Government Code, Chapter 783, 1 TAC 5.141 et seq., and the Uniform Grant Management Standards, State Uniform Administrative Requirements for Grants and Cooperative Agreements, Section III, Subpart B, § 14 (Attached as "Attachment 2"). 12. AUDIT REQUIREMENTS The Grantee hereby agrees to comply with the requirements specified in the Single Audit Act, 31 U.S.C. §§ 7500 et seq. (Supp.1999) (Public Law 104-156), as applicable. 13. WRITTEN MODIFICATION No modification or amendment to this Agreement shall become valid unless in writing and signed by both parties. 14. FALSE OR FRADULENT STATEMENT OF CLAIMS The Program Fraud Civil Remedies found in 49 C.F.R. Part 31 apply to this program. The Grantee acknowledges that if it makes a false, fictitious, or fraudulent claim, statement, submission, or certification to U.S. Department of Transportation (USDOT) in connection with this program, USDOT Page 5 of 31 City of Corpus Christi, Nueces County LEPC Agreement TXDPS Contract No. 405 -EMD -15-P001912 has the right to pursue and impose on the Grantee civil and criminal penalties. 15. PROVISIONS AND AMENDMENTS The Grantee and its contractors, subcontractors, employees, and representatives shall comply with all applicable provisions of 49 CFR 18, 49 CFR 110, and any amendment to this Agreement. 16. OTHER The Grantee certifies it is in compliance with Sections 301 and 303 of Emergency Preparedness and Community Right -to -Know Act (EPCRA). The Grantee agrees to: A. Have a current chemical emergency response plan. 1) The plan is reviewed and updated (if needed) at least annually, and 2) The plan includes the following: a. Affected facilities and transportation routes; b. Emergency notification and response procedures; c. Community and facility emergency coordinators; d. Methods to determine the occurrence and extent of a release; e. Available response equipment and personnel; f. Evacuation plans; g. Training and practice programs and schedules; and h. Methods and schedules for exercising the plan. B. Have an active LEPC whose membership includes (at a minimum): 1) Elected State and local officials; 2) Police, fire, civil defense, and public health professionals; 3) Environment, transportation, and hospital officials; 4) Facility representatives; or 5) Representatives from community groups and the media. 17. PROJECT OFFICERS The Project Officers for this Agreement are: A. For TXDPS: Name: Gabriela Stermolle Technological Hazards Unit Supervisor Texas Division of Emergency Management Texas Department of Public Safety Address: PO Box 4087 Austin, Texas 78773-0220 Telephone: (512) 424-5989 Fax: (512) 424-5354 E-mail: Gabriela.Stermolle@dps.texas.gov Page 6 of 31 City of Corpus Christi, Nueces County LEPC Agreement TXDPS Contract No. 405 -EMD -15-P001912 B. For the Grantee: Name: Joanne Salge LEPC Administrator Address: 2406 Leopard Street, Suite 300 Corpus Christi, Texas, 78408 Telephone: 361-826-3960 Fax: 361-826-4417 E-mail: JoanneS@cctexas.com 18. SIGNATORY AUTHORITY The undersigned signatory for the Grantee hereby represents and warrants that he/she is an officer of the organization for which he/she has executed this Agreement, and that he/she has executed this Agreement, and that he/she has full and complete authority to enter into this Agreement on behalf of the Grantee. IN TESTIMONY WHEREOF, the parties hereto have caused this Agreement to be executed in duplicate effective the date of the last signature to this Agreement. FOR TXDPS FOR THE GRANTEE Texas Department of Public Safety City of Corpus Christi, Nueces County Texas Division of Emergency Management LEPC Name of Agency Name of Jurisdiction BY: BY: Authorized Signature Authorized Signature Robert J. Bodisch Ronald R. Olson Printed Name Printed Name Deputy Director Homeland Security and Services Corpus Christi City Manager Title Title Date Date Page 7 of 31 City of Corpus Christi, Nueces County LEPC Agreement TXDPS Contract No. 405 -EMD -15-P001912 APPENDIX A COMBINED ASSURANCES The Grantee shall refer to the regulations cited below to determine the certification to which it is required to attest. Signatures on this form provide for compliance with federal certification requirements, including those under 34 CFR Part 84, "New Restrictions for Drug -Free Workplace (Grants)." The certifications shall be treated as material representation of fact upon which reliance shall be placed when the Agency determines to award the covered transaction, grant, or cooperative agreement. 1. RESTRICTIONS ON LOBBYING The Grantee shall not conduct political lobbying, as defined in the statutes, regulations and 2 CFR 225 — "Lobbying," within the federally -supported project. The Grantee shall not use federal funds for lobbying specifically to obtain grants and cooperative agreements. The Grantee shall comply with 49 CFR 20, U.S. Department of Transportation "New Restrictions on Lobbying." 49 CFR 20 is incorporated by reference into this Agreement. 49 CFR 20 is available at: www.dot.qov/ost/m60/grant/regs.htm. 2. GOVERNMENTWIDE DEBARMENT AND SUSPENSION (Non -procurement) The Grantee shall comply with the provisions of Executive Order 12549, "Debarment and Suspension," which generally prohibits entities that have been debarred, suspended, or voluntarily excluded from participating in federal non -procurement transactions either through primary or lower -tier covered transactions. The Grantee shall comply with 2 CFR Part 1200, Department of Transportation Non -procurement Suspension Debarment. The Grantee is encouraged to subscribe to and utilize the Monthly Lists of Parties Excluded from Federal Procurement or Non -procurement Programs published by GSA and found at: www.epls.qov. 2 CFR 1200 is incorporated by reference into this Agreement. 2 CFR 1200 is available at www.gpoaccess by clicking on 2 CFR Part 1200. 3. DRUG-FREE WORKPLACE The Grantee shall comply with the provisions of Public Law 100-690, Title V, Subtitle D, "Drug - Free Workplace Act of 1988," which requires the Grantee to take steps to provide a drug-free workplace. The Grantee shall comply with 49 CFR 32, "Government -wide Requirements for Drug Free Workplace (Financial Assistance)." 49 CFR 32 is incorporated by reference into this Agreement. 49 CFR 32 is available at: www.dot.qov/ost/m60/grant/ord4600.htm. Page 8 of 31 City of Corpus Christi, Nueces County LEPC Agreement TXDPS Contract No. 405 -EMD -15-P001912 The Grantee may insert in the space provided below the site(s) for the performance of work done in connection with the specific grant: PLACE OF PERFORMANCE (Street Address, City, County, State, Zip Code) 0(o _iL.o MAW-, -, 300 CBv , i exao- 17 tt o 8 (Street Address) (City, County, State, Zip Code) As the duly authorized representative of the Grantee, I hereby certify that the Grantee shall comply with the above certifications. City of Corpus Christi, Nueces County LEPC Rona I R. Lsc)n Conus Choy+, C R - (Name Grantee) (Printed Name and Title of Authorized Official) (Signature of Authorized Official) (Date) Page 9 of 31 City of Corpus Christi, Nueces County LEPC Agreement TXDPS Contract No. 405 -EMD -15-P001912 APPENDIX B ASSURANCE OF COMPLIANCE WITH TITLE VI OF THE CIVIL RIGHTS ACT OF 1964 DEPARTMENT OF TRANSPORTATION City of Corpus Christi, Nueces County LEPC, hereinafter referred to as Grantee, hereby agrees that as a condition to receiving any Federal financial assistance from the Department of Transportation through the State it shall comply with Title VI of the Civil Rights Act of 1964, 78 Stat. 252, 42 U.S.C. 2000d-42 U.S.C. 2000d-4 (hereinafter referred to as the Act) and all requirements imposed by or pursuant to Title 49, Code of Federal Regulations, Department of Transportation, Subtitle A, Office of the Secretary, Part 21, Nondiscrimination in Federally - assisted Programs of the Department of Transportation -Effectuation of Title VI of the Civil Rights Act of 1964 (hereinafter referred to as the Regulations) and other pertinent directives, to the end that in accordance with the Act, Regulations, and other pertinent directives, no person in the United States shall, on the grounds of race, color, sex or national origin, be excluded from participation in, be denied the benefits of, or be otherwise subjected to discrimination under any program or activity for which the Grantee receives Federal financial assistance from the Department of Transportation through TXDPS, and hereby gives assurance that it will promptly take any measures necessary to effectuate this Agreement. This assurance is required by subsection 21.7(a) (1) of the Regulations. More specifically and without limiting the above general assurance, the Grantee hereby gives the following specific assurance with respect to the project: 1. That the Grantee shall operate each "program" and each "facility" as defined in subsections 21.23(e) and 21.23(b) of the Regulations, in compliance with all requirements imposed by, or pursuant to, the Regulations. 2. That the Grantee shall insert the following notification in all solicitations for bids for work or material subject to the Regulations and, in adapted form in all proposals for negotiated agreements: The Grantee, in accordance with Title VI of the Civil Rights Act of 1964, 78 Stat. 252, 42 U.S.C. 2000d-4 and Title 49 Code of Federal Regulations, Department of Transportation, Subtitle A, Office of the Secretary, Part 21, Nondiscrimination in Federally -assisted programs of the Department of Transportation issued pursuant to such Act, hereby notifies all bidders that it shall affirmatively insure that in regard to any contract entered into pursuant to this advertisement, minority business enterprises shall be afforded full opportunity to submit bids in response to this invitation and shall not be discriminated against on the grounds of race, color, sex, or national origin in consideration for an award. 3. That the Grantee shall insert the clauses of Appendix C of this Agreement in every contract subject to the Act and the Regulations. 4. That this assurance obligates the Grantee for the period during which federal financial assistance is extended to the project. 5. The Grantee shall provide for such methods of administration for the program as are found by the Secretary of Transportation or the official to whom he delegates specific authority to give reasonable guarantee that it, other recipients, subgrantees, contractors, transferees, successors in interest, and other participants of Federal financial assistance under such Page 10 of 31 City of Corpus Christi, Nueces County LEPC Agreement TXDPS Contract No. 405 -EMD -15-P001912 program shall comply with all requirements imposed or pursuant to the Act, the Regulations and this assurance. 6. The Grantee agrees to comply with all provisions of Executive Order No. 11246 (September 24, 1965), the rules, regulations, and relevant Orders of the Secretary of Labor, Appendix A — E and Attachments 1 and 2. 7. The Grantee agrees that the United States has a right to seek judicial enforcement with regard to any matter arising under the Act, and Regulations, and this assurance. This assurance is given in consideration of and for the purpose of obtaining any and all Federal grants, loans, contracts, property, discounts or other Federal financial assistance extended after the date hereof to the Grantee by the Department of Transportation and is binding on it, other recipients, subgrantees, contractors, subcontractors, transferees, successors in interest and other participants in the Department of Transportation Program. The person or persons whose signatures appear below are authorized to sign this assurance on behalf of the Grantee. City of Corpus Christi, Nueces County LEPC P-,onct,ld, P. O1S°n, corpv, 17kri4i ci ki vviczntjet2. (Name Grantee) (Printed Name and Title of Authorized Official) (Signature of Authorized Official) (Date) Page 11 of 31 City of Corpus Christi, Nueces County LEPC Agreement TXDPS Contract No. 405 -EMD -15-P001912 APPENDIX C ASSURANCE OF COMPLIANCE WITH TITLE VI OF THE CIVIL RIGHTS ACT OF 1964 DEPARTMENT OF TRANSPORTATION During the performance of this Agreement, the Contractor, for itself, its assignees and successors in interest (hereinafter referred to as the "Contractor") agrees: 1. Compliance with Regulations: The Contractor shall comply with the Regulations relative to nondiscrimination in federally assisted programs of the Department of Transportation (hereinafter, "USDOT") Title 49, Code of Federal Regulations, Part 21, as they may be amended from time to time, (hereinafter referred to as the Regulations), which are herein incorporated by reference and made a part of this Agreement. 2. Nondiscrimination: The Contractor, with regard to the work performed by it during the Grantee, shall not discriminate on the grounds of race, color, sex, or national origin in the selection and retention of subcontractors, including procurements of materials and leases of equipment. The Contractor shall not participate either directly or indirectly in the discrimination prohibited by Section 21.5 of the Regulations, including employment practices when the contract covers a program set forth in Appendix B of the Regulations. 3. Solicitation for Subcontractors, Including Procurements of Materials and Equipment: In all solicitations either by competitive bidding or negotiation made by the Contractor for work to be performed under a subcontract, including procurements of materials or leases of equipment, each potential subcontractor or supplier shall be notified by the Contractor of the Contractor's obligations under this Agreement and the Regulations relative to nondiscrimination on the grounds of race, color, sex, or national origin. 4. Information and Reports: The Contractor shall provide all information and reports required by the Regulations or directives issued pursuant thereto, and shall permit access to its books, records, accounts, other sources of information, and its facilities as may be determined by TXDPS or the Pipeline and Hazardous Materials Safety Administration (PHMSA) to be pertinent to ascertain compliance with such regulations, orders and instructions. Where any information required of a Contractor is in the exclusive possession of another who fails or refuses to furnish this information the Contractor shall so certify to the Grantee, State or PHMSA and shall set forth what efforts it has made to obtain the information. 5. Sanctions for Noncompliance: In the event of the Contractor's noncompliance with nondiscrimination provisions of this Agreement, the Grantee shall impose contract sanctions as it, TXDPS or PHMSA may determine to be appropriate, including, but not limited to: (a) Withholding of payments to the Contractor under the contract until the Contractor complies; and/or (b) Cancellation, termination, or suspension of the contract, in whole or in part. 6. Incorporation of Provisions: The Contractor include the provisions of paragraphs (1) through (6) in every subcontract, including procurements of materials and leases of equipment, unless exempt by the Regulations, or directives issued pursuant thereto. The Contractor shall take such action with respect to any subcontract or procurements as TXDPS or PHMSA may direct as a means of enforcing such provisions including Page 12 of 31 City of Corpus Christi, Nueces County LEPC Agreement TXDPS Contract No. 405 -EMD -15-P001912 sanctions for noncompliance: provided, however, that in the event a Contractor becomes involved in, or is threatened with, litigation with a subcontract or supplier as a result of such direction, the Contractor may request TXDPS to enter into such litigation to protect the interests of the Grantee and, in addition the Contractor may request the United States to enter into such litigation to protect the interest of the United States. City of Corpus Christi, Nueces County LEPC Pont P. Olson (Name Grantee) (Printed Name and Title of Authorized Official) (Signature of Authorized Official) (Date) Page 13 of 31 City of Corpus Christi, Nueces County LEPC Agreement TXDPS Contract No. 405 -EMD -15-P001912 APPENDIX D ASSURANCE OF COMPLIANCE WITH TITLE VI OF THE CIVIL RIGHTS ACT OF 1964 DEPARTMENT OF TRANSPORTATION The following clauses shall be included in all deeds, licenses, leases, permits, or similar instruments entered into by the Grantee. The Grantee as a part of the consideration hereof, does hereby covenant and agree that in the event facilities are constructed, maintained, or otherwise operated on the said property described in this [deed, license, lease permit] for a purpose for which a Department of Transportation program or activity is extended or for another purpose involving the provision of similar services or benefits, the Grantee shall maintain and operate such facilities and services in compliance with all other requirements imposed pursuant to Title 49, Code of Federal Regulations, Department of Transportation, Subtitle A, Office of the Secretary, Part 21, Nondiscrimination of Federally - Assisted Programs of the Department of Transportation - Effectuation of Title VI of the Civil Rights Act of 1964, and as said Regulations may be amended. That in the event of breach of the above nondiscrimination covenants, the Grantee shall have the right to terminate [license lease, permit] and to re-enter and repossess said land and the facilities thereon, and hold the same as if said [license, lease permit] had never been made or issued. That in the event of breach of any of the above nondiscrimination covenants, the Grantee shall have the right to re-enter said lands and facilities thereon, and the above described lands and facilities shall thereupon revert to and vest in and become the absolute property of Grantee and its assigns. The following shall be included in all deeds, licenses, leases, permits, or similar agreements entered into by the Grantee. The Grantee, does hereby covenant and agree that (1) no person on the grounds of race, color, sex, or national origin shall be excluded from participation in, be denied the benefits of, or be otherwise subjected to discrimination in the use of said facilities, (2) that in the construction of any improvements on, over or under such land and the furnishing services thereon, no person on the grounds of race color, sex, or national origin shall be excluded from the participation in, be denied the benefits of, or be otherwise subjected to discrimination, and (3) that the Grantee shall use the premises in compliance with all other requirements imposed by or pursuant to Title 49, Code of Federal Regulations, Department of Transportation, Subtitle A, Office of the Secretary, Part 21, Nondiscrimination in Federally - Assisted Programs of the Department of Transportation - Effectuation of Title VI of the Civil Rights Act of 1964, and as said Regulations may be amended. That in the event of breach of any of the above nondiscrimination covenants, the Grantee shall have the right to terminate the [license, lease permit] and to re-enter and repossess said land and the facilities thereon, and hold the same as if said [license, lease permit] had never been made or issued. Page 14 of 31 City of Corpus Christi, Nueces County LEPC Agreement TXDPS Contract No. 405 -EMD -15-P001912 That in the event of breach of any of the above nondiscrimination covenants, Grantee has the right to re-enter said land and facilities thereon, and the above described lands and facilities shall thereupon revert to and vest in and become the absolute property of Grantee. Reverted clause and related language to be used only when it is determined that such a clause is necessary in order to effectuate the purpose of Title VI of the Civil Rights Act of 1964. City of Corpus Christi, Nueces County LEPC pDnald 11.0150n, COrpos CHnSEi C1-) blan 2r'' (Name Grantee) (Printed Name and Title of Authorized Official) (Signature of Authorized Official) (Date) Page 15 of 31 City of Corpus Christi, Nueces County LEPC Agreement TXDPS Contract No. 405 -EMD -15-P001912 APPENDIX E ASSURANCES - NON -CONSTRUCTION PROGRAMS NOTE: Certain of these assurances may not be applicable to your project or program. If you have questions contact TXDPS Project Officer listed within this Agreement. As the duly authorized representative of the Grantee, I certify that the Grantee: 1. Has the legal authority to apply for Federal assistance and the institutional, managerial and financial capability (including funds sufficient to pay the non-federal share of project cost) to ensure proper planning, management and completion of the project described in this application. 2. Shall give the awarding agency, the Comptroller General of the United States and, if appropriate, TXDPS, through any authorized representative, access to and the right to examine all records, books, papers, or documents related to the award; and shall establish a proper accounting system in accordance with generally accepted accounting standards or agency directives. 3. Shall establish safeguards to prohibit employees from using their positions for a purpose that constitutes or presents the appearance of personal or organizational conflict of interest, or personal gain. 4. Shall initiate and complete the work within the applicable time frame after receipt of approval of the awarding agency. 5. Shall comply with the Intergovernmental Personnel Act of 1970 (42 U.S.C. §§ 4728-4763) relating to prescribed standards for merit systems for programs funded under one of the 19 statutes or regulations specified in Appendix A of OPM's Standards for a Merit System of Personnel Administration (5 C.F.R. 900, Subpart F). 6. Shall comply with all Federal statutes relating to nondiscrimination. These include but are not limited to: (a) Title VI of the Civil Rights Act of 1964 (P.L. 88-352) which prohibits discrimination on the basis of race, color or national origin; (b) Title IX of the Education Amendments of 1972, as amended (20 U.S.C. §§ 1681-1683, and 1685-1686), which prohibits discrimination on the basis of sex; (c) Section 504 of the Rehabilitation Act of 1973, as amended (29 U.S.C. § 794), which prohibits discrimination on the basis of handicaps; (d) the Age Discrimination Act of 1975, as amended (42 U.S.C. §§ 6101- 6107), which prohibits discrimination on the basis of age; (e) the Drug Abuse Office and Treatment Act of 1972 (P.L. 92-255), as amended, relating to nondiscrimination on the basis of drug abuse; (f) the Comprehensive Alcohol Abuse and Alcoholism Prevention, Treatment and Rehabilitation Act of 1970 (P.L. 91-616), as amended, relating to nondiscrimination on the basis of alcohol abuse or alcoholism; (g) §§ 523 and 527 of the Public Health Service Act of 1912 (42 U.S.C. §§ 290 dd-3 and 290 ee- 3), as amended, relating to confidentiality of alcohol and drug abuse patient records; (h) Title VII of the Civil Rights Act of 1968 (42 U.S.C. §§ 3601 et seq.), as amended, relating to nondiscrimination in the sale, rental or financing of housing; (i) any other nondiscrimination provisions in the specific statute(s) under which application for Federal assistance is being made; and, (j) the requirements of any other nondiscrimination statute(s) which may apply to the application. Page 16 of 31 City of Corpus Christi, Nueces County LEPC Agreement TXDPS Contract No. 405 -EMD -15-P001912 7. Shall comply, or has already complied, with the requirements of Titles II and III of the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 (P.L. 91-646) which provide for fair and equitable treatment of persons displaced or whose property is acquired as a result of Federal or Federally -assisted programs. These requirements apply to all interests in real property acquired for project purposes regardless of Federal participation in purchases. 8. Shall comply, as applicable, with provisions of the Hatch Act (5 U.S.C. §§ 1501-1508 and 7324-7328) which limit the political activities of employees whose principal employment activities are funded in whole or in part with Federal funds. 9. Shall comply, as applicable, with the provisions of the Davis -Bacon Act (40 U.S.C. §§ 276a to 276a-7), the Copeland Act (40 U.S.C. § 276c and 18 U.S.C. § 874), and the Contract Work Hours and Safety Standards Act (40 U.S.C. §§ 327-333), regarding labor standards for Federally -assisted construction sub -agreements. 10. Shall comply, if applicable, with flood insurance purchase requirements of Section 102(a) of the Flood Disaster Protection Act of 1973 (P.L. 93-234) which requires recipients in a special flood hazard area to participate in the program and to purchase flood insurance if the total cost of insurable construction and acquisition is ten thousand dollars ($10,000.00) or more. 11. Shall comply with environmental standards which may be prescribed pursuant to the following: (a) institution of environmental quality control measures under the National Environmental Policy Act of 1969 (P.L. 91-190) and Executive Order 11514; (b) notification of violating facilities pursuant to Executive Order 11738; (c) protection of wetlands pursuant to Executive Order 11990; (d) evaluation of flood hazards in floodplains in accordance with Executive Order 11988; (e) assurance of project consistency with the approved State management program developed under the Coastal Zone Management Act of 1972 (16 U.S.C. §§ 1451 et seq.); (f) conformity of Federal actions to State (Clean Air) Implementation Plans under Section 176(c) of the Clean Air Act of 1955, as amended (42 U.S.C. §§ 7401 et seq.); (g) protection of underground sources of drinking water under the Safe Drinking Water Act of 1974, as amended (P.L. 93-523); and, (h) protection of endangered species under the Endangered Species Act of 1973, as amended (P.L. 93-205). 12. Shall comply with the Wild and Scenic Rivers Act of 1968 (16 U.S.C. §§ 1271 et seq.) related to protecting components or potential components of the national wild and scenic rivers system. 13. Shall assist the awarding agency in assuring compliance with Section 106 of the National Historic Preservation Act of 1966, as amended (16 U.S.C. § 470), Executive Order 11593 (identification and protection of historic properties), and the Archaeological and Historic Preservation Act of 1974 (16 U.S.C. §§ 469a-1 et seq.). 14. Shall comply with P.L. 93-348 regarding the protection of human subjects involved in research, development, and related activities supported by this award of assistance. 15. Shall comply with the Laboratory Animal Welfare Act of 1966 (P.L. 89-544, as amended, 7 U.S.C. §§ 2131 et seq.) pertaining to the care, handling, and treatment of warm blooded animals held for research, teaching, or other activities supported by this award of assistance. Page 17 of 31 City of Corpus Christi, Nueces County LEPC Agreement TXDPS Contract No. 405 -EMD -15-P001912 16. Shall comply with the Lead -Based Paint Poisoning Prevention Act (42 U.S.C. §§ 4801 et seq.) which prohibits the use of lead-based paint in construction or rehabilitation of residence structures. 17. Shall cause to be performed the required financial and compliance audits in accordance with the Single Audit Act Amendments of 1996 and OMB Circular No. A-133, "Audits of States, Local Governments, and Non -Profit Organizations." 18. Shall comply with all applicable requirements of all other federal laws, executive orders, regulations, and policies governing this program. City of Corpus Christi, Nueces County LEPC ,00aki, i, 015m, Coy u (c rts1:, 410-rtele- (Name Grantee) (Printed Name and Title of Authorized Official) (Signature of Authorized Official) (Date) Page 18 of 31 City of Corpus Christi, Nueces County LEPC Agreement TXDPS Contract No. 405 -EMD -15-P001912 ATTACHMENT 1 GENERAL TERMS AND CONDITIONS The Grantee shall comply with the conditions applicable to this Agreement as set forth in this document. 1 ACCOMPLISHMENT OF THE AGREEMENT. 1.1 General Requirements. The Grantee shall commence, carry out, and complete the Agreement with all practicable dispatch, in a sound, economical, and efficient manner, and in accordance with the terms of this document and all applicable laws, regulations, project or program schedules, and applicable U.S. Department of Transportation (USDOT) or Receiving Agency published policies. The terms of 49 CFR Part 18, "Uniform Administrative Requirements for Grants and Cooperative Agreements to State and Local Governments," apply to this Agreement. 1.2 Compliance with Federal, State, and Local Law. In performing its obligations under this Agreement, the Grantee shall comply with all applicable provisions of Federal, State, and local laws, regulations, and USDOT directives. The Grantee understands and agrees that Federal laws, regulations, policies, and related administrative practices in force and made applicable to this Agreement on the date of execution may be modified, and that the most recent of such provisions shall govern administration of this Agreement, except if there is sufficient evidence in the Agreement of a contrary intent. Likewise, new Federal laws, regulations, policies and administrative practices that are established after the date of execution may be applied to this Agreement. All limits or standards set forth in this Agreement are minimum requirements. If there is a conflict between federal and state or local requirements, the Grantee shall inform State in order that an appropriate resolution may be arranged. 1.3 Cost Principles. A Grantee shall use program funds only for expenditures incurred for approved activities in accordance with the Agreement Instructions, and the cost principles of OMB Circular A-87, Revised, which are incorporated by reference in 49 CFR Part 18. 2 DELIVERABLES. 2.1 Published Materials. If the Grantee publishes materials that have been prepared with grant funds, the Grantee shall provide State and USDOT reprints of the publication at no cost to State and USDOT. The Grantee shall acknowledge any publication based on work supported by this Agreement essentially as follows: "Publication of material was supported by the U.S. Department of Transportation, Pipeline and Hazardous Materials Safety Administration, Grant No. HMETX7014150. " 3 COPYRIGHTABLE WORK. If the Agreement results in a book or other copyrightable work, the Grantee or author may copyright the work, provided that the Grantee or author provides State and USDOT a royalty -free, nonexclusive and irrevocable license to reproduce, publish, or otherwise use the work, and to authorized others to do so, as set forth in Section 8 below. 4 CHANGED CONDITIONS OF PERFORMANCE (Including Litigation). The Grantee shall immediately notify TXDPS and USDOT of any change in local law, conditions, or any other event, including any litigation challenging the validity of or seeking interpretation of any Federal law or regulation applicable to the Federal Hazardous Materials Transportation Program, which Page 19 of 31 City of Corpus Christi, Nueces County LEPC Agreement TXDPS Contract No. 405 -EMD -15-P001912 may significantly affect the Grantee's ability to perform the program in accordance with the terms of this Agreement. In addition, the Grantee shall immediately notify TXDPS of any decision pertaining to the Grantee's conduct of litigation that may affect State interests in the program or State administration or enforcement of applicable federal laws or regulations. Before the Grantee joins (as a third party) in litigation that affects State or USDOT interests in the program, or State or USDOT Administration or enforcement of applicable federal laws or regulations, the Grantee shall first inform State and USDOT. 5 ACCOUNTING RECORDS. 5.1 Funds Received or Made Available for the Agreement 5.1.1 Allowable Costs. State shall reimburse as allowable costs expenditures made by the Grantee to the extent that they meet all of the following requirements. Expenditures shall: 5.1.1.1 Be made in conformance with the program budget and all other provisions of this Agreement; 5.1.1.2 Be necessary to accomplish the program objectives; 5.1.1.3 Be reasonable in amount for the goods or services purchased; 5.1.1.4 Be actual net costs to the Grantee (i.e., price paid minus any refunds, rebates, or other value received by the Grantee that have the effect of reducing the cost actually incurred, excluding program income as defined in OMB Circular A-87, Revised); 5.1.1.5 Be incurred (and be for work performed) after the date of this Agreement, unless specific authorization from State to the contrary is received; 5.1.1.6 Be in conformance with the standards for allowability of costs set forth in OMB Circular A-87, Revised; 5.1.1.7 Be satisfactorily documented; and 5.1.1.8 Be treated uniformly and consistently under accounting principles and procedures approved or prescribed by TXDPS. 5.2 Audit and Inspection. 5.2.1 The Grantee shall permit TXDPS, State Auditor's Officer, Secretary and the Comptroller General of the United States, PHMSA or any of their duly authorized representatives to inspect all work, materials, payrolls, and other data and records that pertain to the program, and to audit the books, records, and accounts of the Grantee that pertain to the Agreement. 5.2.2 The Grantee is responsible for meeting the audit requirements of OMB Page 20 of 31 City of Corpus Christi, Nueces County LEPC Agreement TXDPS Contract No. 405 -EMD -15-P001912 Circular A-133, or any revision or supplement to the circular. 5.2.3 Closeout of the Agreement shall not alter the Grantee's audit responsibilities. 6 EQUAL EMPLOYMENT OPPORTUNITY 6.1 The Grantee shall take steps to ensure that applicants are employed, and that employees are treated during employment, without regard to their race, color, age, creed, sex, or national origin. There shall be no discrimination in actions such as employment, upgrading, demotion, or transfer; recruitment or recruitment advertising; layoff or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship. 6.2 The Grantee shall post in conspicuous places, available to employees, applications for employment, names of students, fellows and recipients of scholarships, fellowships and assistantships, and notices setting forth the provisions of this Equal Opportunity clause. 6.3 The Grantee shall send to each labor union or representative of workers with which it has a collective bargaining or other agreement or understanding, a notice, advising the labor union or workers' representative of the Grantee's commitments under this Equal Opportunity clause and shall post copies of the notice in conspicuous places available to employees and applicants for employment. 7 PATENT RIGHTS. 7.1 The patent rights clause of Attachment A of OMB Circular No. A-124, (implementing the Patent and Trademark Amendments of 1980, 35 D.S.C. § 200 et. seq.) and any subsequent amendments shall apply, when the purpose is to perform experimental, development, or research work. 7.2 The Grantee shall notify TXDPS promptly if any patentable invention(s) (i.e., processes, compositions of matter, or items thought to be new) is produced in the course of work done under this Agreement. Except as stated in 37 CFR 401.3(a), the Grantee is given the right to retain title to any patents issued for work performed under this Agreement. 8 COPYRIGHTS. 8.1 Except as otherwise provided in the terms and conditions of this Agreement, the author or the Grantee shall copyright any books, publications, or other copyrightable materials developed in the course of or under this Agreement. However, TXDPS and USDOT reserve a royalty -free, nonexclusive and irrevocable license to reproduce, publish or otherwise use and to authorize others to use the work for State or Federal Government purposes. 9 The Grantee shall not incorporate material copyrighted by others into any work product delivered under this Agreement unless it has acquired for TXDPS and USDOT a royalty - free, nonexclusive and irrevocable license to reproduce, publish or otherwise use and to authorize others to use the work for Government purposes. 9.1 The Grantee shall arrange for publication of initial reports of original research, supported in whole or in part by Agreement funds, in primary scientific journals and copyright by the journal unless the journal's copyright policy would preclude individuals from making or having Page 21 of 31 City of Corpus Christi, Nueces County LEPC Agreement TXDPS Contract No. 405 -EMD -15-P001912 made by any means available to them, without regard to the copyright of the journal and without royalty, a single copy of any such article for their own use. 10 RIGHTS IN DATA. 10.1 The term "subject data" as used in this Agreement means recorded information, whether or not copyrighted, that is delivered or specified to be delivered under this Agreement. The term includes graphic or pictorial delineations in media such as drawings or photographs; audio-visual recordings such as films and videotapes; text in specifications or related performance or design -type documents; machine forms such as punched cards, magnetic tape, or computer memory printouts; and information retained in computer memory. 10.1.1 Examples of "subject data" include, but are not limited to: engineering drawings and associated lists; specifications; standards; process sheets; manuals; technical reports; catalog item identifications; and related information. 10.1.2 The term does not include financial reports, costs analyses, and similar information incidental to program administration. 10.2 With respect to all subject data first produced in the performance of this Agreement, State and USDOT reserve a royalty -free, nonexclusive and irrevocable license to reproduce, publish or otherwise use, and to authorize others to use, for State and federal government purposes: 10.2.1 Any work developed under this Agreement, irrespective of whether or not a copyright has been obtained; and 10.2.2 Any rights of copyright to which the Grantee purchases ownership with USDOT assistance. 10.3 When USDOT provides assistance to TXDPS for a program involving emergency planning and training, it is USDOT's intent to increase the body of transportation knowledge, rather than to limit the benefit of the program to the parties to the Agreement. Therefore, TXDPS and the Grantee that have received assistance to support research, financed under the Federal Hazardous Material Transportation Law (49 U. S. C. Section 5101 et. seq.), understand and agree that, in addition to the rights set forth in Subsection 10.2 of this Agreement, USDOT may make available to any USDOT Grantee, subgrantee, subrecipient, third -party Contractor, or third -party subcontractor, either USDOT's license in the copyright to the "subject data" derived under this Agreement or a copy of the "subject data" first produced under this Agreement. 10.4 Nothing contained in this clause implies a license to USDOT under any patent or can be construed as affecting the scope of any license or other right otherwise granted to USDOT under any patent. 10.5 Subsections 10.2 through 10.3 of this document are not applicable to material furnished to the Grantee, via TXDPS, by USDOT and incorporated in the work furnished under the Agreement, provided that the Grantee identifies the incorporated material when the work is delivered. Page 22 of 31 City of Corpus Christi, Nueces County LEPC Agreement TXDPS Contract No. 405 -EMD -15-P001912 10.6 If the program, which is the subject of this Agreement, is not completed, for any reason whatsoever, all data developed under that program becomes subject data as defined in Subsection 10.1 of this Agreement and shall be delivered as State or USDOT may direct. 10.7 The requirements of Subsections 10.1 through 10.6 of this document shall be included in all sub -contracts, third party contracts of the Grantee under this program. 10.8 Collection of Data. The Grantee shall not represent that information is being collected for, or in association with, the Federal government unless the HMEP Program Manager for TXDPS and the Authorizing Official from the U.S. USDOT have given prior approval and OMB clearance procedures contained in 5 CFR 1320 have been followed where required. 10.9 Rights in Technical Data to intangible property under this Agreement are governed in accordance with 49 CFR 18.34, "Copyrights.' 11 PRIVACY. Should TXDPS, or the Grantee, or their employees administer any system of records on behalf of USDOT, the Privacy Act of 1974, 5 U.S.C. § 552a (the Act), imposes information requirements on the party administering the system of records. 11.1 When the Agreement involves the operation of a system of records on individuals to accomplish a USDOT function, TXDPS and the Grantee, and their employees involved in the function are considered, for purposes of the Privacy Act, to be USDOT employees with respect to the USDOT function. The requirements of the Act, including the civil and criminal penalties for violations of the Act, apply to those individuals involved. Failure to comply with the Privacy Act or this Section 11 subjects this Agreement to termination. 11.2 Definitions. As used in Section 11: 11.2.1 "Operation of a system of records" means performance of any of the activities associated with maintaining the system of records on behalf of USDOT including the collection, use and dissemination of records. 11.3 "Records" means any item, collection, or grouping of information about an individual that is maintained by the Grantee or State on behalf of USDOT including, but not limited to, his or her education, financial transactions, medical history, and criminal or employment history and that contains his or her name, or the identifying number, symbol, or other identifying particular assigned to the individual, such as a finger or voice print or a photograph. 11.3.1 "System of records" on individuals means a group of any records under the control of TXDPS or the Grantee on behalf of USDOT from which information is retrieved by the name of the individual or by some identifying number, symbol or other identifying particular assigned to the individual. 11.4 The Grantee shall: 11.4.1 Comply with the provisions of the Privacy Act of 1974, 5 U.S.C. § 552a and, implement regulations when performance under the program involves the design, development, or operation of any system of records on individuals to be operated by the Grantee, its subcontractors, or their employees to accomplish a USDOT function; 11.4.2 Notify USDOT when the Grantee, its subcontractors, or their employees anticipate operating a system of records on behalf of USDOT in order to Page 23 of 31 City of Corpus Christi, Nueces County LEPC Agreement TXDPS Contract No. 405 -EMD -15-P001912 implement the program, if such system contains information about an individual's name or other identifier assigned to the individual. The Grantee may not use a system of records subject to the Act in performing this Agreement until the necessary and applicable approval and publication requirements have been met. The Grantee, its subcontractors, and their employees agree to correct, maintain, disseminate, and use such records in accordance with the terms of the Act, and to comply with all applicable terms of the Act; 11.4.3 Include in every solicitation and in every third -party Agreement, when the performance of work under that proposed third -party Agreement may involve the design, development, or operation of a system of records on individuals to be operated under that third -party Agreement or to accomplish a USDOT function, a Privacy Act notification informing the third -party subcontractors that it shall be required to design, develop, or operate a system of records on individuals to accomplish a USDOT function subject to the Privacy Act of 1974, 5 U.S.C. § 552a, and applicable DOT regulations, and that a violation of the Act may involve the imposition of criminal penalties; and 11.4.4 Include the text of Subsections 11.4.1 through 11.4.3 in all third -party contracts, which work for this Agreement is performed or which is awarded pursuant to this Agreement or which may involve the design, development, or operation of such a system of records on behalf of USDOT. 12 RECORDS. 12.1 The Grantee shall maintain records for this Agreement to comply with 49 CFR § 18.42. Section 18.42 provides that the Grantee shall retain financial records, supporting documents, statistical records, records for non -expendable property, and all other records pertinent to this Agreement for three (3) years from the date of completion of this Agreement. 12.2 Records associated with any litigation, claim or audit started before the expiration of the 3 -year period, shall be retained until all litigation, claims or audit findings involving the records have been resolved. 13 Travel. Any travel necessary to carry out the objectives of this Agreement shall use the most economical form of transportation available. All travel is to be scheduled sufficiently in advance, to the extent practicable, to take advantage of offered discount rates. Travel and per diem authorized under this Agreement shall be incurred in accordance with the Government Travel Regulations currently in effect. Current per diem rates are listed at: http://www.gsa.gov/perdiem. 14 Title to Equipment. Title to equipment purchased or fabricated under this grant vests in the Grantee , respectively, except USDOT reserves the right to require the Grantee to transfer title to item of equipment to the federal government or a third party named by USDOT, when such a third party is otherwise eligible under existing statutes. Such transfers are subject to the standards contained in 49 CFR 18.32. 15 Site Visits. PHMSA, through its authorized representatives, may make site visits, at reasonable times; to review project accomplishments, management control systems and provide Page 24 of 31 City of Corpus Christi, Nueces County LEPC Agreement TXDPS Contract No. 405 -EMD -15-P001912 guidance as may be requested or required. If a site visit is made on the premises of the Grantee, subcontractor or third party under this Grant, the Grantee shall provide and require all subrecipients, subcontractors or other third parties to provide reasonable facilities and assistance to PHMSA representatives in the performance of their duties. All site visits and evaluations shall be performed in a manner to not unduly delay work activity under the Grant. Page 25 of 31 City of Corpus Christi, Nueces County LEPC Agreement TXDPS Contract No. 405 -EMD -15-P001912 ATTACHMENT 2 State of Texas Assurances Scope. In addition to Federal requirements, State law requires a number of assurances from applicants for Federal pass-through or other State -appropriated funds. The following is an attempt to list the major state assurances. Generally not all of these assurances shall be required for any one (1) grant. However, it is the Grantee's responsibility to ensure that all assurances required by the awarding agency are submitted. The legal instrument for awarding State funds shall be consistent with the standards prescribed herein; however, these standard conditions or assurances may be incorporated into contracts or grant agreements by reference rather than by being reproduced in their entirety. (1) RELATIVES. A Grantee shall comply with Texas Government Code, Chapter 573, by ensuring that no officer, employee, or member of the applicant's governing body or of the applicant's Contractor shall vote or confirm the employment of any person related within the second (2"d) degree of affinity or the third (3`d) degree of consanguinity to any member of the governing body or to any other officer or employee authorized to employ or supervise such person. This prohibition shall not prohibit the employment of a person, who shall have been continuously employed for a period of two (2) years, or such other period stipulated by local law, prior to the election or appointment of the officer, employee, or governing body member related to such person in the prohibited degree. (2) PUBLIC INFORMATION. A Grantee shall insure that all information collected, assembled, or maintained by the applicant relative to a project shall be available to the public during normal business hours in compliance with Texas Government Code, Chapter 552, unless otherwise expressly prohibited by law. (3) OPEN MEETINGS. A Grantee shall comply with Texas Government Code, Chapter 551, which requires all regular, special, or called meetings of governmental bodies to be open to the public, except as otherwise provided by law or specifically permitted in the Texas Constitution. (4) CHILD SUPPORT PAYMENTS. A Grantee shall comply with Section 231.006, Texas Family Code, which prohibits payments to a person who is in arrears on child support payments. (5) HEALTH, HUMAN SERVICES, PUBLIC SAFETY OR LAW ENFORCEMENT AGENCY. If the Grantee is a health, human services, public safety, or law enforcement agency, it shall not contract with or issue a license, certificate, or permit to the owner, operator, or administrator of a facility if the license, permit, or certificate has been revoked by another health and human services agency or public safety or law enforcement agency. (6) LAW ENFORCEMENT AGENCY. If the Grantee is a law enforcement agency regulated by Texas Occupations Code, Chapter 1701, it shall be in compliance with all rules adopted by the Texas Commission on Law Enforcement Officer Standards and Education pursuant to Chapter 1701, Texas Occupations Code or shall provide the grantor agency with a certification from the Texas Commission on Law Enforcement Officer Standards and Education that the agency is in the process of achieving compliance with such rules. (7) ADMINISTRATION. When incorporated into a grant award or contract, standard assurances contained in the application package become terms or conditions for receipt of grant funds. Administering state agencies and local subrecipients shall maintain an appropriate contract administration system to insure that all terms, conditions, and specifications are met. (See Page 26 of 31 City of Corpus Christi, Nueces County LEPC Agreement TXDPS Contract No. 405 -EMD -15-P001912 Uniform Grant Management Standards, Part III, Subpart C, Post Award Requirements -Financial Administration, Procurement_ 36 for additional guidance on contract provisions). (8) SUSPECTED CHILD ABUSE. A Grantee shall comply with the Texas Family Code, Section 261.101, which requires reporting of all suspected cases of child abuse to local law enforcement authorities and to the Texas Department of Child Protective and Regulatory Services. Grantees shall also ensure that all program personnel are properly trained and aware of this requirement. (9) LABOR STANDARDS. Grantees shall comply, as applicable, with the provisions of the Davis -Bacon Act (40 U.S.C. §§ 276a to 276a-7), the Copeland Act (40 U.S.C. § 276c and 18 U.S.C. § 874), and the Contract Work Hours and Safety Standards Act (40 U.S.C. §§ 327-333), regarding labor standards for federally assisted construction sub agreements. (10) DISPLACED PERSONS. Grantees shall comply with requirements of the provisions of the Uniform Relocation Assistance and Real Property Acquisitions Act of 1970 (P.L. 91-646), which provide for fair and equitable treatment of persons displaced or whose property is acquired as a result of federal or federally assisted programs. These requirements apply to all interests in real property acquired for project purposes regardless of federal participation in purchases. (11) LABOR FAIR STANDARDS ACT. Grantees shall comply with the minimum wage and maximum hour's provisions of the Federal Fair Labor Standards Act and the Intergovernmental Personnel Act of 1970, as applicable. (12) SMOKING PROHIBITION. Grantees shall comply with Public Law 103-277, also known as the Pro -Children Act of 1994 (Act), which prohibits smoking within any portion of any indoor facility used for the provision of services for children as defined by the Act. (13) TAXES. Grantees shall comply with all Federal tax laws and are solely responsible for filing all required State and Federal tax forms. (14) COMPLIANCE WITH REQUIREMENTS. Grantees shall comply with all applicable requirements of all other Federal and State laws, executive orders, regulations, and policies governing this program. (15) INELIGIBLE APPLICANTS. The applicant certifies that is and its principals are eligible to participate and have not been subjected to suspension, debarment, or similar ineligibility determined by any Federal, State, or local governmental entity and it is not listed on a State or Federal government's terrorism watch list as described in Executive Order 13224. Entities ineligible for federal procurement are listed at http://www.epls.gov. (16) HIV/AIDS. Grantees shall adopt and implement applicable provisions of the model HIV/AIDS work place guidelines of the Texas Department of Health as required by the Texas Health and Safety Code, Ann., Sec. 85.001, et seq. II /� (� qq City of Corpus Christi, Nueces County LEPC ROT\GL�O R. OIEtn, CS Or LhYISi'i l,i hoanaj02_ (Name Grantee) (Printed Name and Title of Authorized Official) (Signature of Authorized Official) (Date) Page 27 of 31 City of Corpus Christi, Nueces County LEPC Agreement TXDPS Contract No. 405 -EMD -15-P001912 ATTACHMENT 3 Quarterly Performance Report FY 15 Hazardous Materials Emergency Preparedness Grant Subgrantee name: Performance Period (check one): O October -December 2014 O January -March 2015 O April -June 2015 O July -September 2015 Mailing and Emailing Instructions: Complete the performance report and return it to: Texas Department of Public Safety Division of Emergency Management Attn: Gabriela Stermolle 1033 La Posada Dr. Suite 250 Austin, TX 78752 or electronically to: Gabriela.Stermolle@dps.texas.gov Questions regarding completion of this performance report should be directed to the Hazards Unit Supervisor, Gabriela Stermolle at 512-424-5989 or Gabriela.Stermolle@dps.texas.gov. The payment process cannot be completed until TDEM receives a signed Quarterly Performance Report, Reimbursement Request Form and include total expenditures (the total amount of eligible claims for the quarter), if applicable. Also include total match information for the quarter. Attach supporting documentation as required. Part I — Authorized Agent Information Identify any changes to the Authorized Agents for this grant. Identify any changes to your mailing address, if applicable. Part II — Project Narrative, Activities, and Completion Date Is the Project Narrative, as described in your agency's original grant application, still accurate? O Yes O No If no, explain: Page 28 of 31 City of Corpus Christi, Nueces County LEPC Agreement TXDPS Contract No. 405 -EMD -15-P001912 Are the Project Activities, Tasks and Deliverables, as described in your agency's original grant application, still accurate? O Yes O No If no, explain: List/describe the Project Activities, Tasks and Deliverables that were completed during this Performance Period. List/describe the number of people and total person hours spent on the Project Activities, Tasks and Deliverables that were completed during this Performance Period. What is the anticipated completion date for the project? List/describe the Outputs of the Project Activities, Tasks and Deliverables that were completed during this Performance Period. (Outputs: Services, products and activities that your organization offers to its users) List/describe the Outcomes (Changes you are looking to achieve =the differences you aim to make with your services of the Project Activities, Tasks and Deliverables completed during this Performance Period. If the approved project will not be completed by September 30, 2015, explain: Page 29 of 31 City of Corpus Christi, Nueces County LEPC Agreement TXDPS Contract No. 405 -EMD -15-P001912 Part III — Financial Summary Total Amount Awarded to Local Government (grant): Total funds received by the Local Government to -date: Total Expenditures requested to -date: $ $ $ Has your entity requested reimbursement for all grant expenditures to -date? O Yes If no, explain: O No Total Match Amount required for grant: $ What is the value of in-kind activity or funding allocation toward the grant match during the Performance Period? $ What is the total value of in-kind activity or funding allocation toward the grant match to -date? $ Summarize any in-kind activity or funding allocation toward the grant match during the Performance Period: Has your entity documented all in-kind activity or funding allocation toward the grant match during the Performance Period? 0 Yes 0 No If no, explain: Summarize planned in-kind activity or funding allocation toward the grant match during the next Performance Period (if applicable): NOTE: Local Governments must fill out a Reimbursement Request form to request grant payments. Refer to the Planning Grant Guide for a Copy of the Reimbursement Request Form and instructions. TDEM recommends that subgrantees request reimbursement once a month, but it must be done at least quarterly. A Reimbursement Request form may be submitted with this Performance Report. The payment process cannot be completed until TDEM receives an original and signed Quarterly Performance Report, Reimbursement Request Form and any additional supporting documents. Page 30 of 31 City of Corpus Christi, Nueces County LEPC Agreement TXDPS Contract No. 405 -EMD -15-P001912 ATTACHMENT 4 TDEM - Hazardous Materials Emergency Preparedness Grant Number (FY 15): Reimbursement Request Form: MUST INCLUDE ORIGINAL SIGNATURE ON THIS FORM, AND A COPY OF THE RECEIPTS Mail or Email Reimbursement Request to: Grant Recipient: Contract No.: Texas Department of Public Safety Division of Emergency Management Attn: Gabriela Stermolle 1033 La Posada Drive, Suite 250 Austin, TX 78752 or electronically to: Gabriela.Stermolle@dps.texas.gov BILLING PERIOD: From to Total Expenditures (100% for this billing period) HMEP Share (80% of total costs) Local Match (20% of total costs) (Year to date totals) NOTE: The amount of Total HMEP Share and Local Match Quarter: 1, 2, 3, 4 (circle one) should equal total cost Expenditures for billing period. Under penalty of perjury, I certify that: • I am the duly authorized officer of the claimant herein • This claim is in all respects true, correct, and all expenditures were made in accordance with applicable laws, rules, regulations and grant conditions and assurances • This claim is for costs incurred within the Grant Performance Period Authorized Agent (per the Designation Statement) Printed Name Title Phone No. E -Mail Address Mailing Address Fax No. City, State, Zip Code Signature and Date AGENDA MEMORANDUM First Reading Ordinance for the City Council Meeting of February 17, 015 Second Reading Ordinance for the City Council Meeting of February 24, 015 DATE: February 17, 2015 TO: Ronald L. Olson, City Manager FROM: Gabriel Maldonado, Interim Procurement Manager gabrielm@cctexas.com (361) 826-3169 Peter Davidson, Marina Superintendent peterd@cctexas.com (361) 826-3983 Purchase and Installation of one (1) Boat Crane at the Marina CAPTION: Ordinance appropriating $260,000 from the unreserved fund balance of the No. 4700 Marina Fund for the replacement of a boat crane; changing the FY2014-2015 Operating Budget adopted by Ordinance No. 030294 by increasing appropriations by $260,000; approving the purchase and installation of a boat crane from 1st On -Site Services, LLC, based on sole source, for a total amount of $252,150; and providing for severance. PURPOSE: The boat crane will be used at the Corpus Christi Marina Boatyard in support of operations. It will become a part of a full service marina, creating additional revenue for the Marina Enterprise Fund. The City will receive a trade -in -value of $15,000 from 1st On -Site Services L.L.C. for the old Marina boat crane (Travelift 15 ton), thus reducing the total amount to $252,150. BACKGROUND AND FINDINGS: The boat crane has been in constant operation at the Corpus Christi Marina since 1981. An unexpected failure due to metal fatigue became a concern to safe boatyard operations and could no longer function in its intended purpose of removing/launching boats from marina waters. The company producing spare parts recently shut down. Marine Travelift decided not to seek alternate part manufactures of these unique older model spare parts due to minimal sales, thus the certified crane inspectors were unable to certify the Travelift Boat Crane for safe operation. Operations include: • Full service Marina offering out of the water boat repair and maintenance service • Boat slip leasing • Disposal of abandoned boats • Saving Sinking boats • Loading and unloading boats arriving and departing from the Corpus Christi marina nationwide • Allowing Surveys to be performed on boats for purposes for condition and damage • Hurricane preparation in assisting in the evacuation of boats to safer locations ALTERNATIVES: Not applicable. OTHER CONSIDERATIONS: Not applicable. CONFORMITY TO CITY POLICY: This purchase conforms to the City's purchasing policies and procedures and State statutes regulating procurement. EMERGENCY / NON -EMERGENCY: Non -emergency. DEPARTMENTAL CLEARANCES: Marina FINANCIAL IMPACT: x Operating ❑ Revenue ❑ Capital ❑ Not applicable Fiscal Year: 2014- 2015 Project to Date Expenditures (CIP only) Current Year Future Years TOTALS Line Item Budget $260,000.00 $0.00 $260,000.00 Encumbered / Expended Amount $0.00 $0.00 $0.00 This item $252,150.00 $0.00 $252,150.00 BALANCE $7,850.00 $0.00 $7,850.00 Fund(s): 4700 Marina Fund Comments: RECOMMENDATION: Staff recommends approval of the motion as presented. LIST OF SUPPORTING DOCUMENTS: Ordinance Price Sheet Service Agreement Ordinance Appropriating $260,000 from the unreserved fund balance of the No. 4700 Marina Fund for the replacement of a boat crane; changing the FY2014-2015 Operating Budget adopted by Ordinance No. 030294 by increasing appropriations by $260,000; approving the purchase and installation of a boat crane from 1st On -Site Services, LLC, based on sole source, for a total amount of $252,150; and providing for severance. WHEREAS, the City Council finds that an appropriation from the unreserved fund balance of the Marina Fund is necessary and prudent due to circumstances requiring replacement of the boat crane; and WHEREAS, the City Council approves the purchase and installation of the new boat crane; now, therefore, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS; SECTION 1. Funds in the amount of $260,000 are appropriated from the unreserved fund balance of the No. 4700 Marina Fund due to circumstances requiring replacement of the boat crane. SECTION 2. The operating budget for FY2014-2015, adopted by Ordinance No. 030294, is changed by increasing appropriations by $260,000. SECTION 3. The City Council approves the purchase and installation of a new boat crane from 1st On -Site Services, LLC, of Balch Springs, Texas, based on sole source, for a total amount of $252,150. SECTION 4. It is hereby declared to be the intention of the City Council that the sections, para- graphs, sentences, clauses and phrases of this ordinance are severable and, if any section, para- graph, sentence, clause, or phrase in this ordinance is declared unconstitutional or invalid by final judgment or decree of any court of competent jurisdiction, such unconstitutionality shall not affect any of the remaining sections, paragraphs, sentences, clauses, or phrases of this ordinance, since the same would have been enacted by the City Council without the incorporation in this ordinance of any such unconstitutional or invalid section, paragraph, sentence, clause, or phrase. The foregoing ordinance was read for the first time and passed to its second reading on this the day of , 20 , by the following vote: Nelda Martinez Brian Rosas Rudy Garza Lucy Rubio Chad Magill Mark Scott Colleen McIntyre Carolyn Vaughn Lillian Riojas The foregoing ordinance was read for the second time and passed finally on this the day of , 20 , by the following vote: Nelda Martinez Brian Rosas Rudy Garza Lucy Rubio Chad Magill Mark Scott Colleen McIntyre Carolyn Vaughn Lillian Riojas PASSED AND APPROVED this the day of , 20 ATTEST: Rebecca Huerta Nelda Martinez City Secretary Mayor CITY OF CORPUS CHRISTI PURCHASING DIVISION BUYER - GABRIEL MALDONADO PRICE SHEET SOLE SOURCE BOAT CRANE ITEM DESCRIPTION QTY UNIT 1st On -Site Service, LLC Balch Springs Texas UNIT PRICE TOTAL PRICE 1 2 Purchase & installation of Boat Crane at the Marina Less Trade-in Alowance on One Used 1981 Marine Travelift 15AMO 1 1 Ea EA $267,150.00 $15,000.00 $267,150.00 $15,000.00 TOTAL: $252,150.00 sit On -Site Services L.L.C. January 19, 2015 Corpus Christi Marina P.O. Box 9277 Corpus Christi, Texas 78469-9277 Attention: Mr. Peter Davidson Dear Mr. Davidson, I am pleased to offer the following New 2014 Marine Travelift Model 25BFMII, 25 Metric Ton Mobile Boat Hoist A description of the machine is as follows: One (1) New Marine Travelift 25BFMII, with: - 17' Inside Clear Width 18' Inside Clear Height John Deere 4024HF, Tier III 115HP Diesel Engine - Wireless Remote 4 Independent Hoist One Speed Hoist - 7/16"",6x19 Class Galvanized XIPS IWRC (16 Parts of Line) - 2 Slings 12' x 26' with keel pads and chine pads Standard One Sling Adjustment --17' sling spacing Zinc enriched primer - Sound Suppression Kit 1 2„d Bolt Flange (reduce width in future) - Sailboat Top Beam Extension - Consumables (1 Year) - Freight MARInEWTRAVELIFT ESHUTTLELIFT° 4401 Hickory Tree Rd.. Balch Springs, TX 75180 . Office: 972.286.3433 • Fax: 972.286.3488 - Cell: 214.704.3541 Price: Less Trade-in Allowance on One Used 1981 Marine Travelift 15AMO, S/N 1720-781 Total Price FOB Corpus Christi Texas Availability — Estimated 90 Days, subject to prior sale $267,150.00 <-$ 15,000.00> $252,150.00 ** MARINE TRAVELIFT IS THE ONLY MANUFACTURER IN THE USA PRODUCING MOBILE BOAT HOIST** Payment Terms: • 25% Non-refundable deposit down payment required at time of order. • 30% Due at 30 Days • 30% Due at 60 Days • 15% Due 10 Days Prior to Shipment of Machine SET-UP: Please reference the document enclosed with this quote (Data Erection Sheet for Marine Travelift 25 BFMII). Per the Erection Sheet - the customer is responsible for supplying all of the necessary equipment outlined on the Data Erection Sheet. We do require the customer to supply two men who will be responsible for the operation and maintenance of the machine once operational. This helps to better familiarize the people with their new equipment. Operator training will be provided at completion of erection by Marine Travelift Factory Serviceman. ESCALATION: Price quoted above is current for thirty days from the quotation date, after that time period — it will be subject to review. NOTE: At no cost, we have included the services of a skilled Marine Travelift Factory Serviceman and (1) skilled 1st On -Site Services, Serviceman, with fully equipped field service truck to assist you in the erection, initial operation and training. Pricing includes a Marine Travelift and 1st Onsite Services Technician to supervise erection and orientation to owner operators and service personnel. For additional information, or to arrange for machine inspection, please contact Chuck Wehring at 210 559-9516. Thank you! Sincerely, Chuck Chuck Wehring 1st On -Site Service, LLC 210 559-9516 Firstonsite2 h@yahoo.com Cc: Alan E. Thompson AGENDA MEMORANDUM Public Hearing and First Reading for the City Council Meeting of February 24, 2015 Second Reading for the City Council Meeting of March 10, 2015 DATE: February 2, 2015 TO: Ronald L. Olson, City Manager FROM: Dan M. Grimsbo, P.E., Director, Development Services Department DanG@cctexas.com (361) 826-3595 Rezoning from Commercial with a Special Permit to Light Industrial For Hayden Partners LLC Property Address: 10328 Interstate Highway 37 Access Road CAPTION: Case No. 0115-05 Hayden Partners LLC: A change of zoning from the "CG-2/SP" General Commercial District with a Special Permit for a warehouse use to the "IL" Light Industrial District, resulting in a change to the Future Land Use Plan from commercial to industrial uses. The property is described as Lot 2, Block 3, River Square Unit 1, located along the north side of Interstate Highway 37 Access Road at the southeast corner of Turtle Creek Boulevard and River Run Boulevard. PURPOSE: To construct additional warehouse space. RECOMMENDATION: Planning Commission and Staff Recommendation (January 28, 2015): Denial of the change of zoning to the "IL" Light Industrial District and, in lieu thereof, approval of the "CG-2/SP" General Commercial District with a Special Permit subject to a site plan and the following conditions: 1. Permitted Uses: The only uses authorized by this Special Permit other than those uses permitted by right in the "CG -2" General Commercial District are a warehouse area up to 6,500 square feet for Phase 2 and up to a total of 10,000 square feet of warehouse area for Phase 3 of the development. 2. Architectural Standards: Phase 1 warehouse buildings constructed on the lot shall have a masonry facade. Additional warehouse buildings located behind the six-foot screening fence are not required to comply with these architectural standards with a maximum eave height of 24 feet. 3. Outside Storage: The outside storage is allowed as an accessory use to the primary use located on the same premise and is limited to no more than 30 percent of the premise. All outside storage must be set back a minimum of 20 feet from any public right-of-way. No hazardous material will be stored in this area 4. Location of Outdoor Storage: Permitted outdoor storage shall not be located in the front yard or forward of any structure towards Interstate IH 37. 5. Lighting: All outside lighting will be directed away from surrounding properties. 6. Hours of Operation: Hours of operation will be limited to 7 a.m. to 7 p.m. 7. Screening: A solid wooden screening fence with a height of not less than six feet must be used to screen the outside storage from view from surrounding public rights-of-way and properties. The outside storage shall not extend above the height of the screening fence, except that this limitation does not include machinery equipment. A chain-link fence with slats shall not be considered to be a solid screening fence. 8. Landscaping: In addition to compliance with UDC Section 7.3, Landscaping, the subject property shall include 5- gallon oleanders every five feet on center between the outside storage screening fence and the public right-of-way. All landscaping must be kept in a healthy and growing condition at all times. 9. Landscape Screening: Additional screening of the storage area is to include oak trees planted every 50 feet. 10. Time Limit: This Special Permit for the warehouse square footage authorized for Phase 2 shall expire one year after approval of this Special Permit unless a complete building permit application has been submitted for Phase 2. The Special Permit for the warehouse square footage authorized for Phase 3 shall expire eight years after approval of this Special Permit unless a complete building permit application has been submitted for Phase 3. BACKGROUND AND FINDINGS: As detailed in the attached report, the applicant is requesting a rezoning from the ""CG- 2/SP" General Commercial District with a Special Permit for a warehouse use to the "IL" Light Industrial District to construct additional warehouse space. The applicant proposes to maintain the existing business on the property, Hayden and Company. The company operates as a light industrial use by means of a Special permit approved by City Council in 2006. The subject property is located within the boundaries of the Northwest Area Development Plan (ADP). The proposed rezoning to the "IL" Light Industrial District is not consistent with the Northwest ADP or the adopted Future Land Use Plan's designation of the property as a commercial use. However, a Special Permit for the proposed expansion would be acceptable. The area is slated for commercial uses along the IH37 Access Road for this area. The business expansion will not change the type of services currently provided at the existing business. The subject property is approximately 1,600 feet from the major arterial Joe Fulton Corridor intersection. The existing business is surrounded by vacant lots to the north and west and northeast and abuts an existing 10,000 square foot Texas Railroad Commission office area facility and a 5,600 square feet Bromley Gas Measurement Incorporated office area facility to the east. The subject property is suited for the proposed project and the Special Permit Review Criteria has been met and the applicant is in agreement with the Special Permit as recommended. ALTERNATIVES: 1. Approve the Planning Commission/Staff recommendation "CG-2/SP" General Commercial District with a Special Permit subject to ten conditions (as recommended). 2. Approve the "IL" Light Industrial District 3. Deny the request altogether. OTHER CONSIDERATIONS: Not Applicable CONFORMITY TO CITY POLICY: The subject property is located within the boundaries of the Northwest Area Development Plan and is planned for commercial uses. The proposed rezoning to the "IL" Light Industrial District is not consistent with the adopted Future Land Use Plan, but the "CG-2/SP" General Commercial District with a Special Permit is consistent with the Comprehensive Plan and Special Permit review criteria. EMERGENCY / NON -EMERGENCY: Non -Emergency DEPARTMENTAL CLEARANCES: Legal and Planning Commission FINANCIAL IMPACT: ❑ Operating ❑ Revenue ❑ Capital Z Not applicable Fiscal Year: 2014- 2015 Project to Date Expenditures (CIP only) Current Year Future Years TOTALS Line Item Budget Encumbered / Expended Amount This item BALANCE Fund(s): Comments: None LIST OF SUPPORTING DOCUMENTS: Presentation - Aerial Map Ordinance-"CG/SP" as recommended Ordinance -"IL" Planning Commission Final Report Ordinance amending the Unified Development Code ("UDC"), upon application by Hayden Partners LLC ("Owner"), by changing the UDC Zoning Map in reference to Lot 2, Block 3, River Square Unit 1, from the "CG-2/SP" General Commercial District with a Special Permit for a warehouse use to the "IL" Light Industrial District; amending the Comprehensive Plan to account for any deviations; and providing for a repealer clause and publication. WHEREAS, the Planning Commission has forwarded to the City Council its final report and recommendation regarding the application of Hayden Partners LLC ("Owner"), for an amendment to the City of Corpus Christi's Unified Development Code ("UDC") and corresponding UDC Zoning Map; WHEREAS, with proper notice to the public, public hearings were held on Wednesday, January 28, 2015, during a meeting of the Planning Commission, and on Tuesday, February 24, 2015, during a meeting of the City Council, during which all interested persons were allowed to appear and be heard; and WHEREAS, the City Council has determined that this amendment would best serve the public health, necessity, convenience and general welfare of the City of Corpus Christi and its citizens. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS: SECTION 1. Upon application made by Hayden Partners LLC ("Owner"), the Unified Development Code ("UDC") of the City of Corpus Christi, Texas ("City"), is amended by changing the zoning on Lot 2, Block 3, River Square Unit 1, located along the north side of Interstate Highway 37 Access Road at the southeast corner of Turtle Creek Boulevard and River Run Boulevard (the "Property"), from the "CG-2/SP" General Commercial District with a Special Permit for a warehouse use to the "IL" Light Industrial District (Zoning Map No. 060049), as shown in Exhibit "A". Exhibit "A", which is a site plan for the Property is attached to and incorporated in this ordinance by reference as if fully set out herein in its entirety. SECTION 2. The official UDC Zoning Map of the City is amended to reflect changes made to the UDC by Section 1 of this ordinance. SECTION 3. The UDC and corresponding UDC Zoning Map of the City, made effective July 1, 2011, and as amended from time to time, except as changed by this ordinance, both remain in full force and effect. SECTION 4. To the extent this amendment to the UDC represents a deviation from the City's Comprehensive Plan, the Comprehensive Plan is amended to conform to the UDC, as it is amended by this ordinance. SECTION 5. All ordinances or parts of ordinances specifically pertaining to the zoning of the Property and that are in conflict with this ordinance are hereby expressly repealed. SECTION 6. Publication shall be made in the City's official publication as required by the City's Charter. The foregoing ordinance was read for the first time and passed to its second reading on this the day of , 20 , by the following vote: Nelda Martinez Brian Rosas Rudy Garza Lucy Rubio Chad Magill Mark Scott Colleen McIntyre Carolyn Vaughn Lillian Riojas The foregoing ordinance was read for the second time and passed finally on this the day of , 20 , by the following vote: Nelda Martinez Brian Rosas Rudy Garza Lucy Rubio Chad Magill Mark Scott Colleen McIntyre Carolyn Vaughn Lillian Riojas PASSED AND APPROVED this the day of , 20 ATTEST: Rebecca Huerta City Secretary Nelda Martinez Mayor 0115-05 IL Ordinance - Hayden Partners LLC Page 2 of 2 1:\Ifayden & Cnnpasy\New Office\New OlN[e Drawings\Site Plan For Austin twg n4 Hayden & Company 10328 I.H. 37 Corpus Christi, Texas 78410 Exhibit "A" DICKSON SUINENS. INC. ,sena. Ordinance amending the Unified Development Code ("UDC"), upon application by Hayden Partners LLC ("Owner"), by changing the UDC Zoning Map in reference to Lot 2, Block 3, River Square Unit 1, from the "CG-2/SP" General Commercial District with a Special Permit for a warehouse use to the "CG-2/SP" General Commercial District with a modified Special Permit for a warehouse use; amending the Comprehensive Plan to account for any deviations; and providing for a repealer clause and publication. WHEREAS, Hayden Partners LLC ("Owner") currently operates a warehouse use for a business named Hayden and Company under a Special Permit granted in 2006 as shown in Exhibit "A;" WHEREAS, the Planning Commission has forwarded to the City Council its final report and recommendation regarding the Owner's application for an amendment to the City of Corpus Christi's Unified Development Code ("UDC") and corresponding UDC Zoning Map; WHEREAS, with proper notice to the public, public hearings were held on Wednesday, January 28, 2015, during a meeting of the Planning Commission, and on Tuesday, February 24, 2015, during a meeting of the City Council, during which all interested persons were allowed to appear and be heard; and WHEREAS, the City Council has determined that this amendment would best serve the public health, necessity, convenience and general welfare of the City of Corpus Christi and its citizens. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS: SECTION 1. Upon application made by Hayden Partners LLC ("Owner"), the Unified Development Code ("UDC") of the City of Corpus Christi, Texas ("City"), is amended by changing the zoning on Lot 2, Block 3, River Square Unit 1, located along the north side of Interstate Highway 37 Access Road at the southeast corner of Turtle Creek Boulevard and River Run Boulevard (the "Property"), from the "CG-2/SP" General Commercial District with a Special Permit for a warehouse use to the "CG-2/SP" General Commercial District with a Special Permit for a warehouse use (Zoning Map No. 060049), as shown in Exhibits "B" and "C." Exhibit "B," which is a location map, and Exhibit "C" which is a site plan for the Property, are attached to and incorporated in this ordinance by reference as if fully set out herein in their entireties. SECTION 2. The Special Permit granted in Section 1 of this ordinance is subject to the Owner meeting the requirements of Exhibit C and the following conditions: 1. Permitted Uses: The only uses authorized by this Special Permit other than those uses permitted by right in the "CG -2" General Commercial District are a warehouse area up to 6,500 square feet for Phase 2 and up to a total of 10,000 square feet of warehouse area for Phase 3 of the development. 2. Architectural Standards: Phase 1 warehouse buildings constructed on the lot shall have a masonry facade. Additional warehouse buildings located behind the six-foot screening fence are not required to comply with these architectural standards with a maximum eave height of 24 feet. 3. Outside Storage: The outside storage is allowed as an accessory use to the primary use located on the same premise and is limited to no more than 30 percent of the premise. All outside storage must be set back a minimum of 20 feet from any public right-of-way. No hazardous material will be stored in this area 4. Location of Outdoor Storage: Permitted outdoor storage shall not be located in the front yard or forward of any structure towards Interstate Highway 37. 5. Lighting: All outside lighting will be directed away from surrounding properties. 6. Hours of Operation: Hours of operation will be limited to 7 a.m. to 7 p.m. 7. Screening: A solid wooden screening fence with a height of not less than six feet must be used to screen the outside storage from view from surrounding public rights-of-way and properties. The outside storage shall not extend above the height of the screening fence, except that this limitation does not include machinery equipment. A chain-link fence with slats shall not be considered to be a solid screening fence. 8. Landscaping: In addition to compliance with UDC Section 7.3, Landscaping, the subject property shall include 5- gallon oleanders every five feet on center between the outside storage screening fence and the public right-of-way. All landscaping must be kept in a healthy and growing condition at all times. 9. Landscape Screening: Additional screening of the storage area is to include oak trees planted every 50 feet. 10. Time Limit: This Special Permit for the warehouse square footage authorized for Phase 2 shall expire one year after approval of this Special Permit unless a complete building permit application has been submitted for Phase 2. The Special Permit for the warehouse square footage authorized for Phase 3 shall expire eight years after approval of this Special Permit unless a complete building permit application has been submitted for Phase 3. SECTION 3. The UDC and corresponding UDC Zoning Map of the City, made effective July 1, 2011, and as amended from time to time, except as changed by this ordinance, both remain in full force and effect. SECTION 4. To the extent this amendment to the UDC represents a deviation from the City's Comprehensive Plan, the Comprehensive Plan is amended to conform to the UDC, as it is amended by this ordinance. 0115-05 Revised CG -2 SP Ordinance - Hayden Partners LLC-Final.docx Page 3 of 3 SECTION 5. All ordinances or parts of ordinances specifically pertaining to the zoning of the Property and that are in conflict with this ordinance are hereby expressly repealed. SECTION 6. Publication shall be made in the City's official publication as required by the City's Charter. The foregoing ordinance was read for the first time and passed to its second reading on this the day of , 20 , by the following vote: Nelda Martinez Brian Rosas Rudy Garza Lucy Rubio Chad Magill Mark Scott Colleen McIntyre Carolyn Vaughn Lillian Riojas The foregoing ordinance was read for the second time and passed finally on this the day of , 20 , by the following vote: Nelda Martinez Brian Rosas Rudy Garza Lucy Rubio Chad Magill Mark Scott Colleen McIntyre Carolyn Vaughn Lillian Riojas PASSED AND APPROVED this the day of , 20 ATTEST: Rebecca Huerta City Secretary Nelda Martinez Mayor 0115-05 Revised CG -2 SP Ordinance - Hayden Partners LLC-Final.docx Page 3 of 3 AN ORDINANCE AMENDING THE ZONING ORDINANCE, UPON APPLICATION BY THE DHS ENTERPRISES, BY CHANGING THE ZONING MAP IN REFERENCE TO RIVER SQUARE UNIT 1, LOT 2, BLOCK 3 (CURRENTLY ZONED "B-4" GENERAL BUSINESS DISTRICT) BY GRANTING A SPECIAL PERMIT, SUBJECT TO A SITE PLAN AND TEN (10) CONDITIONS: AMENDING THE COMPREHENSIVE PLAN TO ACCOUNT FOR ANY DEVIATIONS FROM THE EXISTING COMPREHENSIVE PLAN; PROVIDING A PENALTY; PROVIDING FOR PUBLICATION; AND DECLARING AN EMERGENCY. WHEREAS, the Planning Commission has forwarded to the City Council its reports and recommendations concerning the application of DHS Enterprises, for amendment to the City of Corpus Christi Zoning Ordinance and Zoning Map; WHEREAS, with proper notice to the public, public hearings were held on Wednesday, May 31 2006, during a meeting of the Planning Commission, and on Tuesday, June 27, 2006, during a meeting of the City Council, in the Council Chambers, at City Hall, in the City of Corpus Christi, during which all interested persons were allowed to appear and be heard and WHEREAS, the City Council has determined that this amendment would best serve public health, necessityand convenience and the general welfare of the City of Corpus Christi and its citizens. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS: SECTION 1. That the Zoning Ordinance of the City of Corpus Christi, Texas, is amended by granting a Special Permit, subject to a site plan and ten (10) conditions (currently zoned "B-4" General Business District), located along the northeast intersection of Interstate 37 Access Road and Turtle Creek Boulevard. (Map 060050) SECTION 2. That the Special Permit granted in Section 1 of this Ordinance is subject to the following ten (10) conditions USES: The only uses authorized by this Special Permit other than those uses permitted by right in the 'B-4' General Business District are office warehouse uses, with a office area up to 1,500 square feet and warehouse area up to 3,500 square feet with a maximum eave height of 24 feet. ARCHITECTUAL STANDARDS: Office/warehouse buildings constructed on the lot shall have a masonry facade. Exhibit A Ordinance No. 026839 Page 2of4 OUTSIDE STORAGE. The outside storage allowed as an accessory use to the primary use located on the same premise and is limited to no more than 30 percent of the premise. All outside storage must be set back a minimum of 20 feet from any public right-of-way. No hazardous material will be stored in this area 4 LOCATION OF OUTDOOR STORAGE: Permitted outdoor storage shall not be located in the front yard or forward of any structure towards 1-37. LIGHTING: All outside lighting will be directed away from surrounding properties 6 HOURS OF OPERATION: Hours of operation will be limited to 7 a.m. to 7 p.m. SCREENING: A solid wooden screening fence with a height of not less than six feet must be used to screen the outside storage from view from surrounding public rights-of-way and properties. The outside storage shall not extend above the height of the screening fence, except that this limitation does not include machinery equipment A chain-link fence with slats shall not be considered to be a solid screening fence. LANDSCAPING: In addition to compliance with Article 27B, Landscape Regulations. the subject property shall include 5 -gallon oleanders every five feet on center between the outside storage screening fence and the public rights-of- way. All landscaping must be kept in a healthy and growing condition at all Mmes. LANDSCAPE SCREENING: Additional screening of the storage area is to include oak trees planted every 50 feet. 10. TIME LIMIT This Special Permit shall be deemed to have expired within two (2) years from the date of this ordinance unless the property is being used as outlined in condition #1 and in compliance with all other conditions and City rules and regulations. SECTION 3. That the official Zoning Map of the City of Corpus Christi, Texas, is amended to reflect the amendment to the Zoning Ordinance made by Section 1 of this ordinance. SECTION 4. That the Zoning Ordinance and Zoning Map of the City of Corpus Christi, Texas, approved on the 27th day of August, 1937. as amended from time to time, except as changed by this ordinance and any other ordinances adopted on this date, remain in full force and effect H \LEG-DIR\Shared\GarySlagenda,2006\06-27 0506-c; ALT SPgws060613 doc Page 3of4 SECTION 5. That to the extent that this amendment to the Zoning Ordinance represents a deviation from the Comprehensive Plan, the Comprehensive Plan is amended to conform to the Zoning Ordinance. as amended by this ordinance. SECTION 6. That all ordinances or parts of ordinances in conflict with this ordinance are hereby expressly repealed. SECTION 7. A violation of this ordinance or requirements implemented under this ordinance constitutes an offense punishable under Section 1-6 of the City Code of Ordinances. SECTION 8. That publication shall be made in the official publication of the City of Corpus Christi as required by the City Charter of the City of Corpus Christi. SECTION 9. That upon written request of the Mayor or five Council members, copy attached. the City Council finds and declares an emergency due to the need for immediate action necessary for the efficient and effective administration of City affairs and suspends the Charter rule as to consideration and voting upon ordinances at two regular meetings so that this ordinance is passed upon first reading as an emergency measure on this 27th day of June, 2006. ATTEST: Armando Chapa City Secretary APPROVED: June 13. 2006 ) niit Gary 1PU. Smith Assistant City Attorney For City Attorney OF CORP S CHRISTI ry Gar tt. yor, City of Corpus Christi H1LEG-DIR1Shared\GaryS\\agenda\.t006\06-27 0506-C' ALT SPgws060613doc EFFECTIVE DATE Page 4 of 4 Corpus Christi, Texas `11.'_ day of , t-j'r--k -, 2006 TO THE MEMBERS OF THE CITY COUNCIL Corpus Christi, Texas For the reasons set forth in the emergency clause of the foregoing ordinance, an emergency exists requiring suspension of the Charter rule as to consideration and voting upon ordinances at two regular meetings. I/we, therefore, request that you suspend said Charter rule and pass this ordinance finally on the date it is introduced, or at the present meeting of the City Council. Respectfully. Respectfully, Garr Mayor, City f Corpus Christi Council Members The above ordinance was passed by the following vote: Henry Garrett Brent Chesney John Marez Jerry Garcia 4 WIfliam Kelly Rex A. Kinnison Melody Cooper Jesse Noyola Mark Scott H 1LEG-DIR\Shared\GaryS agenda`2006\06-27,0506-+F7 ALT SPgws060613 doc 39 an Patricia County 1 SUBJECT ., PROPERTY til LOCATION MAP City of Corpus Christi 1 nratinn Man go e, rt I. fit. . r .r+t' r i9 r t" ,1 E tvt 2V� rr , ► • „„ ©are.Creared'747095 Prepared By: jeremyrn eP5rfinent of Deveiopmenr Services"- CASE:A0115-05 2013 Aerial Subject Property Exhibit B 1:\Ifayden & Cnnpasy\New Office\New OlN[e Drawings\Site Plan For Austin twg Site Plan n4 Hayden & Company 10328 I.H. 37 Corpus Christi, Texas 78410 Exhibit C DICKSON SUINENS. INC. ,sena. Aerial Overview Aerial Site Plan ME/ LIGHT —'5-6--•— r. -FLARE NMS LAEP UG Seua BOX 2' CAR}0 94.2 xo5.E- _wy GRA55 a' CAR �x g / '55.47' Se 6 55 3 PHASE 3 fPUNRE1 92.5 —._.,mss e2i 6 WErN �x,W aulipmc A^J. rioN Pri4Sc 2 +Pair, AC BC++SE_ S LC1A`, 0E -ART APPPCV+41 PR P to PA6—t:: 29'"[p' S6 8 TRAHS€C?#iER LJJ 49 5 8' 97.2 •-' v yelRE hCC1l s t97 3 Cu A 1a!5hiNE SAi44 TER Ag. 427, IAC �`'WOCPEN W' N Pry VACY Pili EK NG 8' CA PR VACY r K 5 N £ETACE ,m°$d.E4�1 _ N r.I,.ss 922 .,_ J 97Eh 493 • k. I 'R QAK 5' (MK AK s'— 2s #'{ 'r-rP1�'` '' . RASE P 49 c� {PLASS Ya IR R4 }SSS • 960063 B. AK•Y7 978 (IQ°7e: i-.4 i. 1YA:K 9d d T 97 'S9 t�� { PFtLSr t f L641P! ETE h ELMSnNG KANZiN & coTrvir f, F,w99 211 FLAG POLE CAW. ASIS r�. CRASS 05 5t3 1' ▪ 95.81, TCV R R r: EI -VD 7:14. DF FIRE i+YCRAiiv A A95uMEC f1Ehr 1680 • a z2 K+98 6 PLANNING COMMISSION FINAL REPORT Case No. 0115-05 HTE No. 15-10000001 Planning Commission Hearing Date: January 28, 2015 Applicant & Legal Description Applicant/Owner: Hayden Partners, LLC Representatives: Austin Prather Legal Description/Location: Lot 2, Block 3, River Square Unit 1, located along the north side of Interstate Highway 37 Access Road at the southeast corner of Turtle Creek Boulevard and River Run Boulevard. Zoning Request From: "CG-2/SP" General Commercial District with a Special Permit for a warehouse use To: "IL" Light Industrial District Area: 1.45 acres Purpose of Request: To construct additional warehouse space. Existing Zoning and Land Uses Existing Zoning District Existing Land Use Future Land Use Site "CG-2/SP" General Commercial District with a Special Permit Commercial Commercial North "CG -2" General Commercial Medium Density Residential and Vacant Commercial South "RS -6" Single -Family 6 Vacant Commercial East "CG -2" General Commercial Commercial and Public Semi -Public Commercial West "CG -2" General Commercial Vacant Commercial ADP, Map & Violations Area Development Plan: The subject property is located within the boundaries of the Northwest Area Development Plan and is planned for commercial uses. The proposed rezoning to the "IL" Light Industrial District is not consistent with the adopted Future Land Use Plan. Map No.: 060049 Zoning Violations: None Transportation Transportation and Circulation: The subject property has approximately 200 feet of street frontage along Interstate Highway 37 Access Road, approximately 300 feet of street frontage along Turtle Creek Boulevard, and 200 feet of frontage along River Run Boulevard, all of which are designated as local streets by the Urban Transportation Plan. Planning Commission Final Report Page 2 Street R.O.W. Street Urban Transportation Plan Type Proposed Section Existing Section Traffic Volume (2011) IH 37 Access Road Freeway 400' ROW varies 400' ROW varies N/A Turtle Creek Boulevard Local 60' ROW 40' paved 80' ROW 55' paved N/A River Run Boulevard Local 60' ROW 40' paved 80' ROW 65' paved N/A Staff Summary: Requested Zoning: The applicant is requesting a rezoning from the "CG-2/SP" General Commercial District with a Special Permit for a warehouse use to the "IL" Light Industrial District. Development Plan: The proposed rezoning is within the River Square Unit 1 Subdivision. The existing business, which is a supplier of industrial fire protection and safety equipment to the oil and gas market, is zoned "CG-2/SP" General Commercial District with a Special Permit for a warehouse use. City Council approved the Special Permit in 2006. The existing zoning allows for a warehouse area use up to 3,500 square feet. The existing structure currently has 2,500 square feet warehouse area. Due to a successful growing equipment supply business, the customer is proposing a new 2,700 square foot warehouse addition to the existing 2,500 square foot warehouse structure, totaling 6,250 square feet. The existing Special Permit conditions will not allow for the business expansion. The customer is not interested in relocating his business and instead is requested a rezoning to Light Industrial to expand the company at the existing location. The business expansion will not change the type of services currently provided at the existing business. At a minimum, the Unified Development Code would require a 20 -foot wide front yard on River Run Boulevard. The site is proposed to use the existing access on Turtle Creek Boulevard. Existing Land Uses & Zoning: North of the subject property are multifamily dwellings and vacant land zoned "CG -2" General Commercial. South across the freeway from the subject property is vacant land zoned "RS -6" Single -Family 6. East of the subject property is zoned "CG -2" General Commercial with a commercial business and public semi-public use including the Texas Railroad Commission offices. West of the subject property is vacant land zoned "CG -2 General Commercial. AICUZ: The subject property is not located in one of the Navy's Air Installation Compatibility Use Zones (AICUZ). Comprehensive Plan & Area Development Plan Consistency: The subject property is located within the boundaries of the Northwest Area Development Plan (ADP). The proposed rezoning to the "IL" Light Industrial District is not consistent with the Northwest ADP or the adopted Future Land Use Plan's designation of the property as commercial. Planning Commission Final Report Page 3 The future land use plan calls for commercial uses along this particular area of IH 37 Access Road corridor. However, the Northwest ADP calls for commercial development of a small scale for convenience shopping and nodal commercial development is encouraged where commercial uses are concentrated at the major intersections for arterials and as the area develops, larger scale commercial uses may be necessary (Policy statement B.1.d). The subject property is approximately 1,600 feet from the major arterial Joe Fulton Corridor intersection. The subject property also abuts an existing 10,000 square foot office and shop area facility and a 5,600 square feet office area along the eastern boundary of the property and is surrounded by vacant lots to the north and west and northeast. The subject property area has a high potential of continued growth. Plat Status: The subject property is platted. Special Permit Review Criteria: In determining whether to approve, approve with conditions or deny a special permit, the applicable review bodies shall consider the following criteria: 1. The use is consistent with the Comprehensive Plan. 2. The use complements and is compatible with the surrounding uses and community facilities. 3. The impact of the use on public infrastructure such as roads, natural gas, water, storm water and wastewater systems, and on public services such as police and fire protection and solid waste collection can be minimized without negatively impacting existing uses in the area and in the City. 4. The use contributes to, enhances or promotes the welfare of adjacent properties and the surrounding area. 5. The use does not substantially adversely affect adjacent and neighboring uses permitted in Article 4. 6. The use does conform in all other respect to regulations and standards in this Unified Development Code. 7. If located within or adjacent to a residential area, the physical appearance, hours of operation and conduct of the use does not generate excessive noise, dust, smoke, glare, spillover lighting or other forms of environmental or visual pollution or otherwise detrimentally affect the residential character. 8. The development provides ample off-street parking and loading facilities. K:\DevelopmentSvcs\SHARED\ZONING CASES\2015\0115-05 Hayden Partners LLC\Council Documents\0115-05 Revised report to CC -Hayden Partners LLC - Final.docx Planning Commission Final Report Page 4 Department Comments: • The rezoning is not consistent with the Comprehensive Plan and the Northwest Area Development Plan, but a Special Permit for the proposed expansion would be acceptable. The area is slated for commercial uses along the IH37 Access Road for this area. The business expansion will not change the type of services currently provided at the existing business. • The subject property is approximately 1,600 feet from the major arterial Joe Fulton Corridor intersection. • The existing business is surrounded by vacant Tots to the north and west and northeast and abuts an existing 10,000 square foot Texas Railroad Commission office area facility and a 5,600 square feet Bromley Gas Measurement Incorporated office area facility to the east. • The existing medium -density to the northwest contains an existing 20 foot street yard on River Run Boulevard, which allow for open space and distance between the medium -density use and Tight industrial use. The proposed development also provides about a 100 -foot buffer yard on River Run Boulevard. • The amendment is compatible with the present zoning and conforming uses of nearby property and to the character of the surrounding area. • The property to be rezoned is suitable for uses permitted by the zoning district that would be applied by the proposed amendment. • The proposed rezoning would not have a negative impact on the surrounding neighborhood. • Staff finds that the Special Permit Review Criteria is met. Planning Commission and Staff Recommendation: Denial of the change of zoning to the "IL" Light Industrial District and, in lieu thereof, Approval of the "CG-2/SP" General Commercial District with a Special Permit subject to a site plan and the following conditions: 1. Permitted Uses: The only uses authorized by this Special Permit other than those uses permitted by right in the "CG -2" General Commercial District are a warehouse area up to 6,500 square feet for Phase 2 and up to a total of 10,000 square feet of warehouse area for Phase 3 of the development. 2. Architectural Standards: Phase 1 warehouse buildings constructed on the lot shall have a masonry facade. Additional warehouse buildings located behind the six-foot screening fence are not required to comply with these architectural standards with a maximum eave height of 24 feet. 3. Outside Storage: The outside storage is allowed as an accessory use to the primary use located on the same premise and is limited to no more than 30 percent of the premise. All outside storage must be set back a minimum of 20 feet from any public right-of-way. No hazardous material will be stored in this area 4. Location of Outdoor Storage: Permitted outdoor storage shall not be located in the front yard or forward of any structure towards Interstate Highway 37. 5. Lighting: All outside lighting will be directed away from surrounding properties. Planning Commission Final Report Page 5 6. Hours of Operation: Hours of operation will be limited to 7 a.m. to 7 p.m. 7. Screening: A solid wooden screening fence with a height of not less than six feet must be used to screen the outside storage from view from surrounding public rights-of-way and properties. The outside storage shall not extend above the height of the screening fence, except that this limitation does not include machinery equipment. A chain-link fence with slats shall not be considered to be a solid screening fence. 8. Landscaping: In addition to compliance with UDC Section 7.3, Landscaping, the subject property shall include 5- gallon oleanders every five feet on center between the outside storage screening fence and the public right-of-way. All landscaping must be kept in a healthy and growing condition at all times. 9. Landscape Screening: Additional screening of the storage area is to include oak trees planted every 50 feet. 10. Time Limit: This Special Permit for the warehouse square footage authorized for Phase 2 shall expire one year after approval of this Special Permit unless a complete building permit application has been submitted for Phase 2. The Special Permit for the warehouse square footage authorized for Phase 3 shall expire eight years after approval of this Special Permit unless a complete building permit application has been submitted for Phase 3. Public Notification Number of Notices Mailed — 5 within 200 -foot notification area 5 outside notification area As of January 21, 2014: In Favor — 1 inside notification area — 1 outside notification area In Opposition — 0 inside notification area — 0 outside notification area Totaling 0.00% of the land within the 200 -foot notification area in opposition. Attachments: 1. Location Map (Existing Zoning & Notice Area) 2. Site Plan K:\DevelopmentSvcs\SHARED\ZONING CASES\2015\0115-05 Hayden Partners LLC\Council Documents\0115-05 Revised report to CC -Hayden Partners LLC - Final.docx an Patricia County 1 SUBJECT ., PROPERTY til LOCATION MAP City of Corpus Christi 1 nratinn Man go e, rt I. tvt 2V� rr , ► • „„ ©are.Creared'747095 Prepared By: jeremyrn eP5rfinent of Deveiopmenr Services"- CASE:A0115-05 2013 Aerial Subject Property 1:\Ifayden & Cnnpasy\New Office\New OlN[e Drawings\Site Plan For Austin twg Site Plan n4 Hayden & Company 10328 I.H. 37 Corpus Christi, Texas 78410 DICKSON SUINENS. INC. ,sena. AGENDA MEMORANDUM Public Hearing and First Reading for the City Council Meeting of February 10, 2015 Second Reading for the City Council Meeting of February 17, 2015 DATE: January 30, 2015 TO: Ronald L. Olson, City Manager FROM: Dan M. Grimsbo, P.E., Director, Development Services Department DanG@cctexas.com (361) 826-3595 Rezoning from Single -Family to Apartments For The Convent Academy of the Incarnate Word Property Address: 5409 Lipes Boulevard CAPTION: Case No. 0115-01 The Convent Academy of the Incarnate Word: A change of zoning from the "RS -6" Single -Family 6 District to the "RM -1" Multifamily 1 District, resulting in a change to the Future Land Use Plan from low density residential to medium density residential uses. The property is described as being 26.32 acres out of Lots 6 and 7, Section 6, Flour Bluff and Encinal Farm and Garden Tracts, located along the south side of Lipes Boulevard approximately 650 feet west of South Staples Street. PURPOSE: The purpose of this item is to rezone the property to allow development of multifamily uses. RECOMMENDATION: Planning Commission and Staff Recommendation (January 14, 2015): Approval of the change of zoning from the "RS -6" Single -Family 6 District to the "RM -1" Multifamily 1 District. BACKGROUND AND FINDINGS: As detailed in the attached report, the applicant is requesting a rezoning from the "RS -6" Single -Family 6 District to the "RM -1" Multifamily 1 District to allow construction of multifamily uses such as apartments, townhomes and an assisted living facility. The proposed rezoning to the "RM -1" Multifamily 1 District is not consistent with the adopted Future Land Use Plan, but it is consistent with other elements of the Southside Area Development Plan and Comprehensive Plan. The proposed rezoning is compatible with the surrounding developments, and would not have a negative impact on surrounding properties. A buffer yard and additional setback requirements will be required at the southern boundary of the subject property where it is adjacent to a single-family neighborhood. The subject property is suited for multifamily uses. ALTERNATIVES: 1. Deny the request. OTHER CONSIDERATIONS: Not Applicable CONFORMITY TO CITY POLICY: The Comprehensive Plan and the Southside Area Development Plan (ADP) slate the subject property for low density residential uses. The proposed change of zoning of the 26.32 -acre tract of land to the "RM -1" Multifamily 1 District is not consistent with the adopted Future Land Use Map, but meets other criteria of the Comprehensive Plan and ADP. EMERGENCY / NON -EMERGENCY: Non -Emergency DEPARTMENTAL CLEARANCES: Legal and Planning Commission FINANCIAL IMPACT: ❑ Operating ❑ Revenue ❑ Capital Z Not applicable Fiscal Year: 2014- 2015 Project to Date Expenditures (CIP only) Current Year Future Years TOTALS Line Item Budget Encumbered / Expended Amount This item BALANCE Fund(s): Comments: None LIST OF SUPPORTING DOCUMENTS: Presentation - Aerial Map Ordinance Planning Commission Final Report Ordinance amending the Unified Development Code ("UDC"), upon application by The Convent Academy of the Incarnate Word ("Owner"), by changing the UDC Zoning Map in reference to 26.32 acres out of Lots 6 and 7, Section 6, Flour Bluff and Encinal Farm and Garden Tracts, from the "RS -6" Single -Family 6 District to the "RM -1" Multifamily 1 District; amending the Comprehensive Plan to account for any deviations; and providing for a repealer clause and publication. WHEREAS, the Planning Commission has forwarded to the City Council its final report and recommendation regarding the application of The Convent Academy of the Incarnate Word ("Owner"), for an amendment to the City of Corpus Christi's Unified Development Code ("UDC") and corresponding UDC Zoning Map; WHEREAS, with proper notice to the public, public hearings were held on Wednesday, January 14, 2015, during a meeting of the Planning Commission, and on Tuesday, February 10, 2015, during a meeting of the City Council, during which all interested persons were allowed to appear and be heard; and WHEREAS, the City Council has determined that this amendment would best serve the public health, necessity, convenience and general welfare of the City of Corpus Christi and its citizens. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS: SECTION 1. Upon application made by The Convent Academy of the Incarnate Word ("Owner"), the Unified Development Code ("UDC") of the City of Corpus Christi, Texas ("City"), is amended by changing the zoning on 26.32 acres out of Lots 6 and 7, Section 6, Flour Bluff and Encinal Farm and Garden Tracts, located along the south side of Lipes Boulevard approximately 650 feet west of South Staples Street (the "Property"), from the "RS -6" Single -Family 6 District to the "RM -1" Multifamily 1 District (Zoning Map No. 045032), as shown in Exhibits "A" and "B." Exhibit A, which is a metes and bounds description of the Property, and Exhibit B, which is a map to accompany the metes and bounds, are attached to and incorporated in this ordinance by reference as if fully set out herein in their entireties. SECTION 2. The official UDC Zoning Map of the City is amended to reflect changes made to the UDC by Section 1 of this ordinance. SECTION 3. The UDC and corresponding UDC Zoning Map of the City, made effective July 1, 2011, and as amended from time to time, except as changed by this ordinance, both remain in full force and effect. SECTION 4. To the extent this amendment to the UDC represents a deviation from the City's Comprehensive Plan, the Comprehensive Plan is amended to conform to the UDC, as it is amended by this ordinance. SECTION 5. All ordinances or parts of ordinances specifically pertaining to the zoning of the Property and that are in conflict with this ordinance are hereby expressly repealed. SECTION 6. Publication shall be made in the City's official publication as required by the City's Charter. The foregoing ordinance was read for the first time and passed to its second reading on this the day of , 20 , by the following vote: Nelda Martinez Brian Rosas Rudy Garza Lucy Rubio Chad Magill Mark Scott Colleen McIntyre Carolyn Vaughn Lillian Riojas The foregoing ordinance was read for the second time and passed finally on this the day of , 20 , by the following vote: Nelda Martinez Brian Rosas Rudy Garza Lucy Rubio Chad Magill Mark Scott Colleen McIntyre Carolyn Vaughn Lillian Riojas PASSED AND APPROVED this the day of , 20 ATTEST: Rebecca Huerta City Secretary Nelda Martinez Mayor 0115-01 Ordinance - The Covent Academy of Incarnate the Word Page 2 of 2 MURRAY 13ASs, JR., P.E., R.P.L.S. NIxoN M. WELSH, www.hass-welsh.com BASS & WELSH ENGINEERING Engineering Firm Reg. No. F-52 Surveying Firm Reg. No. 100027-00 P.O. Box 6397 Corpus Christi, TX 78466-6397 Field Note Description 26.32 Acre Tract May 16, 2012 3054 S. ALAMEDA, 11P 78404 361 882-5521=- FAX 361 882-1265 e-mail: murravlr@aol.com e-mail: nixmw@aol.com Being a tract situated in Corpus Christi.. Nueces County, Texas a portion of Lots 6 and 7, Section 6, Flour Bluff and Encinal Farm and Garden Tracts as shown on the map thereof recorded in Volume "A" at Pages 41 through 43 of the Map Records of Nueces County, Texas and being generally described as the east 26.32 acres of that 41.32 acre tract described in the Warranty Deed to Convent Academy of the Incarnate Word recorded under Clerk's File No.2006056129 of the Official Public Records of Nueces County, Texas and being more particularly described by metes and bounds as follows: BEGINNING at a 5/8 inch iron rod found at the northeast corner of the heretofore referenced 41.32 acre tract for the northeast comer of this tract; THENCE S 28`57'10' W along the east boundary of the 41.32 acre tract and the west boundary of Lot 1-A, Block 1, Stonehenge, Unit 1, a map of which is recorded in Volume 64 at Page 286 of the Map Records of Nueces County, Texas and Lot 1: Block 1, San Marin, a map of which is recorded in Volume 57 at Page 193 of the Map Records of Nueces County, Texas, a distance of 958.04 feet to a 5/8 inch iron rod found for the south boundary of Henderson Street, a public roadway, the southeast corner of the 41.32 acres, for the southeast corner of this tract; THENCE N 61°04'37" W along the south boundary of the 41.32 acres, a distance of 1,209.58 feet to a point for the southwest corner of this tract, said point being the southeast corner of a heretofore described 15.0 acre tract; THENCE N 28°55'23"E across the 41.32 acre tract, along the east boundary of the 15.0 acre tract, a distance of 918.67 feet to a point in the south right-of-way line of Lipes Boulevard the northeast corner of the 15.0 acre tract and the northwest corner of this tract; THENCE along the south right-of-way line of Lipes Boulevard S 61°02'50" E a distance of 176.50feet to the point of curvature of a curve to the left; THENCE along said curve to the left whose radius is 623.94 in an easterly direction, a distance of 125.64 feet to the point of tangency of said curve; THENCE continuing along the south right-of-way line of Lipes Boulevard S 72°35'03" E a distance of 100.00 feet to the point of curvature of a curve to the right; THENCE continuing along the south right-of-way line of Lipes Boulevard on said curve to the right, whose radius is 365.96 feet in a southeasterly direction, a distance of 73.69 feet to the point of tangency of said curve; 07013 -Field Note Desc3.doc Page 1 of 2 Exhibit "A" THENCE continuing along the south right-of-way line of Lipes Boulevard, S 61°02'50" E a distance of 737.59 feet to the POINT OF BEGINNING, forming a tract embracing 26.32 acres. Note Basis of Bearing Is the west line of the 41.32 acre tract. 07013 -Field Note Desc3.doc rray Bass,'Jr., R.P.L.S. Page 2 of 2 Exhibit "A" (0* ®SSG ATei\b" .-5- e; \';5651, CP ,1.5" ? IIIPES BLVD. S72'3 -03"E S61'02'50"E 100•0° L •'J- & ARMC NOSSL AIL V. 46, P I0 J 176.50' '14 S28'55123NW N28`55'23E 1 9, FL or,6'5.6 6� • �? 51 Gv 041�5. 5 2"$—?A 9 CORPU! RE! VOLUME V CHRISTI RETIREMENT iIDENCE ADDTfION , PAGES 171 & 172, M.R.N.C.T. S61'02'50"E 737.59' N Area = 26.32 Acres N61'04'37 1209.58' Fnd 5/8 I.R� Point of Beginning 0 S28'57' 10"W 7.ru[ • _HENDERSON 5T 17 LOT 6, SECTION 6 FB & EF & GT VOL. A, PGS.41-43. M.R.N.C.T. LOT 7, SECTION 6 FB & EF & GT VOL. A, PGS.41-43, M.R.N.C.T. F5 0 ROOSED REZONING -RESIDENTIAL CONVENT ACADEMY Prepared by: Bass & Welsh Engineering 3054 So. Alameda St. Corpus Christi, Tx. 78404 (361) 882-5521 (phone) (361) VIRMREG882-1265 (fax) REGISTRATION N 52 OF THE INCARNATE WORD -APPLICANT Job No: 07013 Scale: 1..200i Date: 6/01/12 Drawing No: 07013URBAN Plotscale: 1=1 Sheet 3 of 3 Exhibit "B" Aerial Overview ubject Propert N 1 Aerial N PLANNING COMMISSION FINAL REPORT Case No. 0115-01 HTE No. 14-10000048 Planning Commission Hearing Date: January 14, 2015 Applicant & Legal Description Applicant/Owner: The Convent Academy of the Incarnate Word Representatives: Scott Smith and Wayne Lundquist Legal Description/Location: Being 26.32 acres out of Lots 6 and 7, Section 6, Flour Bluff and Encinal Farm and Garden Tracts, located along the south side of Lipes Boulevard approximately 650 feet west of South Staples Street. Zoning Request From: "RS -6" Single -Family 6 To: "RM -1" Multifamily 1 District Area: 26.32 acres Purpose of Request: To allow development of multifamily uses. Existing Zoning and Land Uses Existing Zoning District Existing Land Use Future Land Use Site "RS -6" Single -Family 6 Vacant Low Density Residential North "RS -6" Single -Family 6, "ON" Office and "RS TF" Two -Family Parks, Low Density Vacant and Medium Density Residential Parks, Low Density Residential, Professional Office and Medium Density Residential South "RS -6" Single -Family 6 Density Vac �t and Low Residential Low Density Residential East "RM -1" Multifamily 1 Public Semi -Public and Medium Density Residential Medium Density Residential West "RM -1" Multifamily 1 Convent Medium Density Residential ADP, Map & Violations Area Development Plan: The subject property is located within the boundaries of the Southside Area Development Plan and is planned for low density residential uses. The proposed rezoning to the "RM -1" Multifamily 1 District is not consistent with the adopted Future Land Use Plan, but it is consistent with other elements of the Southside Area Development Plan. Map No.: 045032 Zoning Violations: None Staff Report Page 2 Transportation Transportation and Circulation: The subject property has approximately 1,220 feet of street frontage along Lipes Boulevard, which is designated as a "01" Minor Residential Collector, and 130 feet of street frontage on Henderson Street, which is a local residential street. The property is located approximately 650 feet west of South Staples Street, which is designated as an "A3" Primary Arterial Divided street. There are no traffic calculations for average daily trips on this section of Lipes Boulevard. The nearest intersection with calculated trips is South Staples Street and Saratoga Boulevard with 17,712 average daily trips. Street R.O.W. Street Urban Transportation Plan Type Proposed Section Existing Section Lipes Boulevard "01" Minor Residential 60' ROW 40' paved 65' ROW 40' paved Traffic Volume (2014) N/A Henderson Street Local Residential 50' ROW 28' paved 80' ROW 65' paved N/A Staff Summary: Requested Zoning: The applicant is requesting a rezoning from the "RS -6" Single - Family 6 District to the "RM -1" Multifamily 1 District to allow development of multifamily dwellings. The "RM -1" District supports a maximum density of 22 dwelling units per acre compared to the current zoning "RS -6" District supporting 7.26 dwelling units per acre. Development Plan: The applicant owns the entire 26.32 -acre tract of land and the adjacent 15 acres to the west where a convent facility currently is under construction. The applicant intends to sell the 26.32 acres for development of an apartment complex, an assisted living facility and possibly townhomes, which would require a change of zoning to a Multifamily District. Existing Land Uses & Zoning: North of the subject property, across Lipes Boulevard, is a park and single-family development in the "RS -6" Single -Family 6 District, a retirement facility in the "RS -TF" Two -Family District and a vacant lot zoned "ON" Office. South of the subject property is a single-family development in the "RS -6" Single -Family 6 District. East of the subject property is an apartment complex and a church in the "RM -1" Multifamily 1 District. West of the subject property is a convent under construction in the "RM -1" Multifamily 1 District. AICUZ: The subject property is not located in one of the Navy's Air Installation Compatibility Use Zones (AICUZ). Staff Report Page 3 Comprehensive Plan & Area Development Plan Consistency: The Comprehensive Plan and the Southside Area Development Plan (ADP) slate the subject property for low density residential uses. The proposed change of zoning of the 26.32 -acre tract of land to the "RM -1" Multifamily 1 District is not consistent with the adopted Future Land Use Map, but meets other criteria of the Comprehensive Plan and ADP, such as: • Encouraging infill development on vacant tracts within developed areas (Comprehensive Plan, Residential Policy Statement F), • Locating medium -density residential development along a collector street with convenient access to an arterial street (Comprehensive Plan, Residential Policy Statement H), • Providing for a compatible configuration of activities with emphasis on accommodation of existing zoning patterns and the protection of low- density residential activities from incompatible activities (Southside ADP Policy Statement 8.1), • Buffering high-intensity commercial areas from low-density residential areas through the existence of roads, public/institutional buildings, open space, scale of designs, and transitional land uses (Southside ADP Policy Statement 8.6), and • Discouraging new high-intensity commercial developments from locating directly adjacent to low -intensity residential areas without an adequate transition or buffer (Southside ADP Policy Statement 8.7). Plat Status: The subject property is not platted. Department Comments: • Buffer Yard Requirements: The development would be required to provide a physical buffer between the "RM -1" District and the "RS -6" District located on the south side of the subject property. The zoning differences require a "Type A" Buffer Yard, which includes a 10 -foot -wide landscaped buffer yard and 10 points as referenced in UDC Table 7.9.7. The relocation of the 50 -foot -wide private drainage ditch to the south side of the property also provides a physical buffer from the low density residential uses. • The rezoning is consistent with the Comprehensive Plan and with elements of the Southside Area Development Plan as outlined in the previous section of this report. • The rezoning is compatible with the adjacent uses and with the character of the neighborhood. • The property is suited for the proposed uses - an apartment complex, townhomes and assisted living facilities. • The rezoning does not have a negative impact on the surrounding neighborhood because it is compatible with the surrounding uses and zoning and has access to roadways capable of handling increased traffic. Additionally, a buffer yard and additional setback requirements will be required at the southern boundary of the subject property where it is adjacent to a single-family neighborhood. Staff Report Page 4 Planning Commission and Staff Recommendation: Approval of the change of zoning from the "RS -6" Single -Family 6 District and to the "RM -1" Multifamily 1 District. Public Notification Number of Notices Mailed — 58 within 200 -foot notification area 10 outside notification area As of January 30, 2015: In Favor — 0 inside notification area — 0 outside notification area In Opposition — 1 inside notification area — 0 outside notification area Totaling 0.31% of the land within the 200 -foot notification area in opposition. Attachments: 1. Location Map (Existing Zoning & Notice Area) K:\DevelopmentSvcs\SHARED\ZONING CASES\2015\0115-01 The Convent Academy of the Incarnate Word\Council Documents\Report for CC_0115-01The Convent Academy of the Incarnate Word.docx S=6 RS -6 • � Q Dov e RS -TF 0 SUBJECT 38 PROPERTY G 32 25 a X14 49 ry 540. N 40 —3►39 471.1648 50* CO a '4fta M y4�a, c "R a 4MF<O N co CN- N 1411'4 N M M 29* M 18R M 19`57 M P UID NP , U/D ti / 4 0 12 13 0,21 CG -2 / 80F ett / ti G-2 CG -2 9. te/Created: 12415/2014 Prepared By: jTeremym epartmept of/Development Services 0115-01 Zoning & Notice Area RM -1 Multifamily 1 RM -2 Multifamily 2 RM -3 Multifamily 3 ON Professional Office RM -AT Multifamily AT CN -1 Neighborhood Commercial CN -2 Neighborhood Commercial CI CBD FR BP Resort Commercial Resort Commercial General Commercial General Commercial Intensive Commercial Downtown Commercial Resort Commercial Farm Rural Historic Overlay Business Park IL Light Industrial IH Heavy Industrial PUD Planned Unit Dev. Overlay RS -10 Single -Family 10 RS -6 Single -Family 6 RS -4.5 Single -Family 4.5 RS -TF Two -Family RS -15 Single -Family 15 RE Residential Estate RS-TH Townhouse SP Special Permit RV Recreational Vehicle Park RMH Manufactured Home nSubject Property 0 Owners with 200' buffer in favor A Owners within 200' listed on V Owners Z attached ownership table A in opposition LOCATION MAP City of AGENDA MEMORANDUM First Reading at the City Council Meeting of February 17, 2015 Second Reading at the City Council Meeting of February 24, 2015 DATE: February 17, 2015 TO: Ronald L. Olson, City Manager FROM: Lawrence Mikolajczyk, Director of Solid Waste Operations LawM@cctexas.com (361) 826-1972 Constance P. Sanchez, Director of Financial Services ConstanceP@cctexas.com (361) 826-3227 Authorization for Issuance of Solid Waste Certificates of Obligation CAPTION: Ordinance authorizing the issuance of "City of Corpus Christi, Texas Combination Tax and Limited Pledge Revenue Certificates of Obligation, Taxable Series 2015" in an amount not to exceed $14,500,000 for the purpose of financing costs associated with making permanent public improvements to the City's Solid Waste System; providing for the payment of said Certificates by the levy of an ad valorem tax upon all taxable property within the City and further securing said Certificates by a lien on and pledge of the pledged revenues of the Solid Waste System; providing the terms and conditions of said Certificates and resolving other matters incident and relating to the issuance, payment, security, sale, and delivery of said Certificates, including the approval and distribution of an Official Statement; authorizing the execution of a paying agent/registrar agreement and a purchase contract; complying with the requirements of the letter of representations with the depository trust company; delegating the authority to certain members of the City staff to execute certain documents relating to the sale of the Certificates; enacting other provisions incident and related to the subject and purpose of this ordinance; and providing an effective date. PURPOSE: The City plans to issue up to $14,500,000 in taxable Combination Tax and Revenue Certificates of Obligation for the purpose of paying contractual obligations relating to the construction of improvements to the City's solid waste facilities, construction of municipal landfill waste disposal cells, construction of a solid waste Citizens' Collection Center, and the payment of fiscal, engineering and legal fees incurred in connection with the certificates. BACKGROUND AND FINDINGS: The City plans on issuing up to $14,500,000 of taxable Combination Tax and Revenue Certificates of Obligation to fund public health and safety projects related to the J. C. Elliott Transfer Station and Cefe Valenzuela Landfill outlined in the Fiscal Year 2015 Capital Improvement Plan. These projects include the following: JC Elliott Office Building ......................................... $1,750,000 Pavement/Life Cycle Replacement 1,500,000 (JC Elliott and Cefe Valenzuela Landfills) Cefe Valenzuela Landfill Disposal Cell Interim Cover 2,292,844 Cefe Valenzuela Landfill Disposal Cell Construction B&C . 3,457,500 Citizens' Collection Center — Flour Bluff / Padre Island .... 4,650,000 Cefe Valenzuela Outfall Modifications .......................... 559,800 TOTAL $14,210,144 According to the Local Government Code, Section 271.049, prior to the issuance of the certificates of obligation, the City is required to publish notice of its intention to issue the certificates once a week for two consecutive weeks in a newspaper of general circulation, with the date of the first publication to be before the 30th day before the date set for passage of the ordinance to authorize the issuance of the certificates. The notices were in the Corpus Christi Caller -Times on December 14, 2014 and December 21, 2014. Thirty days after the date of the first publication is January 13, 2015, and so City Council action to approve this ordinance in its second reading is scheduled for February 24, 2015 and is in compliance with the Local Government Code. ALTERNATIVES: n/a OTHER CONSIDERATIONS: n/a CONFORMITY TO CITY POLICY: This item conforms to City policy. EMERGENCY / NON -EMERGENCY: n/a DEPARTMENTAL CLEARANCES: • Solid Waste Services • Financial Services • Bond Counsel • Legal Department FINANCIAL IMPACT: ❑ Not Applicable ❑ Operating Expense X Revenue ❑ CIP FISCAL YEAR: Project to Date Exp. (CIP Only) Current Year Future Years TOTALS Budget - $ 14,500,000 - $ 14,500,000 Encumbered/Expended amount of (date) - - - This item - $ 14,500,000 - $ 14,500,000 BALANCE - - - - FUND(S): CIP Fund COMMENTS: n/a RECOMMENDATION: Staff recommends approval of the ordinance as presented. LIST OF SUPPORTING DOCUMENTS: Ordinance DRAFT 2/10/15 ORDINANCE NO. AUTHORIZING THE ISSUANCE OF "CITY OF CORPUS CHRISTI, TEXAS COMBINATION TAX AND LIMITED PLEDGE REVENUE CERTIFICATES OF OBLIGATION, TAXABLE SERIES 2015" IN AN AMOUNT NOT TO EXCEED $14,500,000 FOR THE PURPOSE OF FINANCING COSTS ASSOCIATED WITH MAKING PERMANENT PUBLIC IMPROVEMENTS TO THE CITY'S SOLID WASTE SYSTEM; PROVIDING FOR THE PAYMENT OF SAID CERTIFICATES BY THE LEVY OF AN AD VALOREM TAX UPON ALL TAXABLE PROPERTY WITHIN THE CITY AND FURTHER SECURING SAID CERTIFICATES BY A LIEN ON AND PLEDGE OF THE PLEDGED REVENUES OF THE SOLID WASTE SYSTEM; PROVIDING THE TERMS AND CONDITIONS OF SAID CERTIFICATES AND RESOLVING OTHER MATTERS INCIDENT AND RELATING TO THE ISSUANCE, PAYMENT, SECURITY, SALE, AND DELIVERY OF SAID CERTIFICATES, INCLUDING THE APPROVAL AND DISTRIBUTION OF AN OFFICIAL STATEMENT; AUTHORIZING THE EXECUTION OF A PAYING AGENT/REGISTRAR AGREEMENT AND A PURCHASE CONTRACT; COMPLYING WITH THE REQUIREMENTS OF THE LETTER OF REPRESENTATIONS ON FILE WITH THE DEPOSITORY TRUST COMPANY; DELEGATING THE AUTHORITY TO CERTAIN MEMBERS OF THE CITY STAFF TO EXECUTE CERTAIN DOCUMENTS RELATING TO THE SALE OF THE CERTIFICATES; ENACTING OTHER PROVISIONS INCIDENT AND RELATED TO THE SUBJECT AND PURPOSE OF THIS ORDINANCE; AND PROVIDING AN EFFECTIVE DATE WHEREAS, the City Council of the City of Corpus Christi, Texas (the City) has caused notice to be given of its intention to issue certificates of obligation in the maximum principal amount of $14,500,000 for the purpose of paying contractual obligations of the City to be incurred for making permanent public improvements and for other public purposes, to -wit: (1) the construction of improvements to the City's solid waste facilities, including (without limitation) paying contractual obligations to be incurred with respect to the construction of municipal landfill waste disposal cells, internal roadways and pavement, cover systems, gas collection systems, drainage facilities, maintenance and office facilities, liners, environmental monitoring equipment, and other improvements and equipment necessary to operate the Cefe Valenzuela landfill (located in the vicinity of County Road 20 and Farm Road 2444) and provide post closure care of the J.C. Elliott landfill (located in the vicinity of State Highway 286 (Chapman Ranch Road) and State Highway 357 (Saratoga Boulevard)), and a solid waste Citizens Collection Center located in the City near Flour Bluff and Padre Island; (2) purchasing materials, supplies, equipment, land, and rights-of-way for authorized needs and purposes relating to the aforementioned capital infrastructure improvements; and (3) the payment of professional services related to the construction, design, and financing of the aforementioned 58237736.5 projects. This notice has been duly published in a newspaper hereby found and determined to be of general circulation in the City, once a week for two (2) consecutive weeks, the date of the first publication of such notice being not less than thirty (30) days prior to the tentative date stated therein for the final passage of the ordinance authorizing the issuance of such certificates of obligation; and WHEREAS, the City Council hereby finds and determines that the actions authorized hereby and the adoption of this Ordinance are in the best interest of the citizens of the City; and WHEREAS, no petition protesting the issuance of the certificates of obligation described in this notice, signed by at least 5% of the qualified electors of the City, has been presented to or filed with the City Secretary prior to the date tentatively set in such notice for the passage of this ordinance; and WHEREAS, the City Council hereby finds and determines that certificates of obligation in the principal amount of $14,500,000 described in such notice should be issued and sold at this time; now, therefore, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS THAT: SECTION 1. A. Authorization - Designation - Principal Amount - Purpose. The certificates of obligation of the City shall be and are hereby authorized to be issued in the aggregate principal amount of FOURTEEN MILLION FIVE HUNDRED THOUSAND AND NO/100 DOLLARS ($14,500,000), to be designated and bear the title of "CITY OF CORPUS CHRISTI, TEXAS COMBINATION TAX AND LIMITED PLEDGE REVENUE CERTIFICATES OF OBLIGATION, TAXABLE SERIES 2015" (the Certificates), for the purpose of paying contractual obligations of the City to be incurred for making permanent public improvements and for other public purposes, to -wit: (1) the construction of improvements to the City's solid waste facilities, including (without limitation) paying contractual obligations to be incurred with respect to the construction of municipal landfill waste disposal cells, internal roadways and pavement, cover systems, gas collection systems, drainage facilities, maintenance and office facilities, liners, environmental monitoring equipment, and other improvements and equipment necessary to operate the Cefe Valenzuela landfill (located in the vicinity of County Road 20 and Farm Road 2444) and provide post closure care of the J.C. Elliott landfill (located in the vicinity of State Highway 286 (Chapman Ranch Road) and State Highway 357 (Saratoga Boulevard)), and a solid waste Citizens Collection Center located in the City near Flour Bluff and Padre Island; (2) purchasing materials, supplies, equipment, land, and rights-of-way for authorized needs and purposes relating to the aforementioned capital infrastructure improvements; and (3) the payment of professional services related to the construction, design, and financing of the aforementioned projects, pursuant to the authority conferred by and in conformity with the laws of the State of Texas, particularly the Certificate of Obligation Act of 1971, as amended, Texas Local Government Code Section 271.041 through Section 271.064, Section 363.135, as amended, Texas Health and Safety Code, Chapter 1371, as amended, Texas Government Code (Chapter 1371), and the City's Home Rule Charter. 58237736.5 -2- B. Delegation of Authority to Authorized Representatives. As authorized by Chapter 1371, the City Manager of the City, the Deputy City Manager, the Assistant City Manager for General Government and Operations Support, and the City's Director of Financial Services (each of the foregoing, individually, an Authorized Representative) are hereby authorized, appointed, and designated as the officers of the City authorized to individually act on behalf of the City in selling and delivering the Certificates authorized herein and carrying out the procedures specified in this Ordinance, including approval of the aggregate principal amount of each maturity of the Certificates, the redemption provisions therefor, and the rate of interest to be borne on the principal amount of each such maturity. Each Authorized Representative, acting for and on behalf of the City, is authorized to execute the Approval Certificate attached hereto as Schedule I. The Certificates shall be issued in the principal amount not to exceed $14,500,000; the maximum maturity of the Certificates will be March 1, 2055 and the net effective per annum interest rate shall not exceed a rate greater than 7.00% per annum calculated in a manner consistent with the provisions of Chapter 1204, as amended, Texas Government Code. Lastly, each Authorized Representative is authorized to select the bond insurer, if any, with respect to the Certificates. The execution of the Approval Certificate shall evidence the sale date of the Certificates by the City to the Purchasers (hereinafter defined) in accordance with the provisions of Chapter 1371. It is further provided, however, that notwithstanding the foregoing provisions, the Certificates shall not be delivered unless prior to their initial delivery, the Certificates have been rated by a nationally recognized rating agency for municipal securities in one of the four highest rating categories for long term obligations, as required by Chapter 1371. Upon execution of the Approval Certificate, Bond Counsel is authorized to complete this Ordinance to reflect such final terms. SECTION 2. Fully Registered Obligations - Authorized Denominations - Stated Maturities - Interest Rates - Certificate Date. The Certificates are issuable in fully registered form only; shall be dated , 2015 (the Certificate Date) and shall be issued in denominations of $5,000 or any integral multiple (within a Stated Maturity) thereof, and the Certificates shall become due and payable on March 1 in each of the years and in principal amounts (the Stated Maturities) and bear interest on the unpaid principal amounts from the Certificate Date, or from the most recent Interest Payment Date (hereinafter defined) to which interest has been paid or duly provided for, to the earlier of redemption or Stated Maturity, at the per annum rates, while Outstanding, in accordance with the following schedule: 58237736.5 Years of Principal Interest Stated Maturity Amounts ($) Rates (%) -3- Years of Principal Interest Stated Maturity Amounts ($) Rates (%) The Certificates shall bear interest on the unpaid principal amounts from the Certificate Date, or from the most recent Interest Payment Date (hereinafter defined) to which interest has been paid or duly provided for, to Stated Maturity or prior redemption while Outstanding, at the rates per annum shown in the above schedule (calculated on the basis of a 360 -day year of twelve 30 -day months). Interest on the Certificates shall be payable semiannually on March 1 and September 1 (each, an Interest Payment Date), commencing 1, 20, while the Certificates are Outstanding. SECTION 3. Payment of Certificates - Paying Agent/Registrar. The principal of, premium, if any, and interest on the Certificates, due and payable by reason of Stated Maturity, redemption, or otherwise, shall be payable in any coin or currency of the United States of America which at the time of payment is legal tender for the payment of public and private debts, and such payment of principal of, premium, if any, and interest on the Certificates shall be without exchange or collection charges to the Holder (as hereinafter defined) of the Certificates. The selection and appointment of , Texas, to serve as the initial Paying Agent/Registrar (the Paying Agent/Registrar) for the Certificates is hereby approved and confirmed, and the City agrees and covenants to cause to be kept and maintained at the corporate trust office of the Paying Agent/Registrar books and records (the Security Register) for the registration, payment and transfer of the Certificates, all as provided herein, in accordance with the terms and provisions of a Paying Agent/Registrar Agreement, attached, in substantially final form, as Exhibit A hereto, and such reasonable rules and regulations as the Paying Agent/Registrar and the City may prescribe. The City covenants to maintain and provide a Paying Agent/Registrar at all times while the Certificates are Outstanding, and any successor Paying Agent/Registrar shall be (i) a national or state banking institution or (ii) an association or a corporation organized and doing business under the laws of the United States of America or of any state, authorized under such laws to exercise trust powers. Such Paying Agent/Registrar shall be subject to supervision or examination by federal or state authority and authorized by law to serve as a Paying Agent/Registrar. The City reserves the right to appoint a successor Paying Agent/Registrar upon providing the previous Paying Agent/Registrar with a certified copy of a resolution or ordinance terminating such agency. Additionally, the City agrees to promptly cause a written notice of this substitution to be sent to each Holder of the Certificates by United States mail, first-class postage prepaid, which notice shall also give the address of the new Paying Agent/Registrar. 58237736.5 -4- Principal of, premium, if any, and interest on the Certificates, due and payable by reason of Stated Maturity, redemption, or otherwise, shall be payable only to the registered owner of the Certificates appearing on the Security Register (the Holder or Holders) maintained on behalf of the City by the Paying Agent/Registrar as hereinafter provided (i) on the Record Date (hereinafter defined) for purposes of payment of interest thereon, (ii) on the date of surrender of the Certificates for purposes of receiving payment of principal thereof upon redemption of the Certificates or at the Certificates' Stated Maturity, and (iii) on any other date for any other purpose. The City and the Paying Agent/Registrar, and any agent of either, shall treat the Holder as the owner of a Certificate for purposes of receiving payment and all other purposes whatsoever, and neither the City nor the Paying Agent/Registrar, or any agent of either, shall be affected by notice to the contrary. Principal of and premium, if any, on the Certificates shall be payable only upon presentation and surrender of the Certificates to the Paying Agent/Registrar at its corporate trust office. Interest on the Certificates shall be paid to the Holder whose name appears in the Security Register at the close of business on the fifteenth day of the month next preceding an Interest Payment Date for the Certificates (the Record Date) and shall be paid (i) by check sent on or prior to the appropriate date of payment by United States Mail, first-class postage prepaid, by the Paying Agent/Registrar, to the address of the Holder appearing in the Security Register or (ii) by such other method, acceptable to the Paying Agent/Registrar, requested in writing by the Holder at the Holder's risk and expense. If the date for the payment of the principal of, premium, if any, or interest on the Certificates shall be a Saturday, Sunday, a legal holiday, or a day on which banking institutions in the city where the corporate trust office of the Paying Agent/Registrar is located are authorized by law or executive order to close, then the date for such payment shall be the next succeeding day which is not such a day. The payment on such date shall have the same force and effect as if made on the original date any such payment on the Certificates was due. In the event of a non-payment of interest on a scheduled payment date, and for thirty (30) days thereafter, a new record date for such interest payment (a Special Record Date) will be established by the Paying Agent/Registrar, if and when funds for the payment of such interest have been received from the City. Notice of the Special Record Date and of the scheduled payment date of the past due interest (the Special Payment Date - which shall be fifteen (15) days after the Special Record Date) shall be sent at least five (5) business days prior to the Special Record Date by United States mail, first-class postage prepaid, to the address of each Holder appearing on the Security Register at the close of business on the last business day next preceding the date of mailing of such notice. SECTION 4. Redemption. A. Mandatory Redemption. The Certificates stated to mature on March 1, 20 are referred to herein as the "Term Certificates". The Term Certificates are subject to mandatory sinking fund redemption prior to their stated maturities from money required to be deposited in the Certificate Fund for such purpose and shall be redeemed in part, by lot or other customary method, at the principal amount thereof plus accrued interest to the date of redemption in the following principal amounts on March 1 in each of the years as set forth below: 58237736.5 -5- Term Certificates Stated to Mature on March 1, 20 Principal Year Amount ($) *Payable at Stated Maturity. The principal amount of a Term Certificate required to be redeemed pursuant to the operation of such mandatory redemption provisions shall be reduced, at the option of the City, by the principal amount of any Term Certificates of such Stated Maturity which, at least 50 days prior to the mandatory redemption date (1) shall have been defeased or acquired by the City and delivered to the Paying Agent/Registrar for cancellation, (2) shall have been purchased and canceled by the Paying Agent/Registrar at the request of the City, or (3) shall have been redeemed pursuant to the optional redemption provisions set forth below and not theretofore credited against a mandatory redemption requirement. B. Optional Redemption. The Certificates having Stated Maturities on and after March 1, 20 shall be subject to redemption prior to Stated Maturity, at the option of the City, on March 1, 20 , or on any date thereafter, as a whole or in part, in principal amounts of $5,000 or any integral multiple thereof (and if within a Stated Maturity selected at random and by lot by the Paying Agent/Registrar), at the redemption price of par plus accrued interest to the date of redemption. C. Exercise of Redemption Option. At least forty-five (45) days prior to a date set for the redemption of Certificates (unless a shorter notification period shall be satisfactory to the Paying Agent/Registrar), the City shall notify the Paying Agent/Registrar of its decision to exercise the right to redeem Certificates, the principal amount of each Stated Maturity to be redeemed, and the date set for the redemption thereof. The decision of the City to exercise the right to redeem Certificates shall be entered in the minutes of the City Council. D. Selection of Certificates for Redemption. If less than all Outstanding Certificates of the same Stated Maturity are to be redeemed on a redemption date, the Paying Agent/Registrar shall select at random and by lot the Certificates to be redeemed, provided that if less than the entire principal amount of a Certificate is to be redeemed, the Paying Agent/Registrar shall treat such Certificate then subject to redemption as representing the number of Certificates Outstanding which is obtained by dividing the principal amount of such Certificate by $5,000. 58237736.5 -6- E. Notice of Redemption. Not less than thirty (30) days prior to a redemption date for the Certificates, a notice of redemption shall be sent by United States mail, first-class postage prepaid, in the name of the City and at the City's expense, by the Paying Agent/Registrar to each Holder of a Certificate to be redeemed, in whole or in part, at the address of the Holder appearing on the Security Register at the close of business on the business day next preceding the date of mailing such notice, and any notice of redemption so mailed shall be conclusively presumed to have been duly given irrespective of whether received by the Holder. All notices of redemption shall (i) specify the date of redemption for the Certificates, (ii) identify the Certificates to be redeemed and, in the case of a portion of the principal amount to be redeemed, the principal amount thereof to be redeemed, (iii) state the redemption price, (iv) state that the Certificates, or the portion of the principal amount thereof to be redeemed, shall become due and payable on the redemption date specified, and the interest thereon, or on the portion of the principal amount thereof to be redeemed, shall cease to accrue from and after the redemption date, and (v) specify that payment of the redemption price for the Certificates, or the principal amount thereof to be redeemed, shall be made at the corporate trust office of the Paying Agent/Registrar only upon presentation and surrender thereof by the Holder. This notice may also be published once in a financial publication, journal, or reporter of general circulation among securities dealers in the City of New York, New York (including, but not limited to, The Bond Buyer and The Wall Street Journal), or in the State of Texas (including, but not limited to, The Texas Bond Reporter). If a Certificate is subject by its terms to redemption and has been called for redemption and notice of redemption thereof has been duly given or waived as herein provided, such Certificate (or the principal amount thereof to be redeemed) so called for redemption shall become due and payable, and if money sufficient for the payment of such Certificates (or of the principal amount thereof to be redeemed) at the then applicable redemption price is held for the purpose of such payment by the Paying Agent/Registrar, then on the redemption date designated in such notice, interest on the Certificates (or the principal amount thereof to be redeemed) called for redemption shall cease to accrue and such Certificates shall not be deemed to be Outstanding in accordance with the provisions of this Ordinance. F. Transfer/Exchange of Certificates. Neither the City nor the Paying Agent/Registrar shall be required (1) to transfer or exchange any Certificate during a period beginning forty-five (45) days prior to the date fixed for redemption of the Certificates or (2) to transfer or exchange any Certificate selected for redemption, provided, however, such limitation of transfer shall not be applicable to an exchange by the Holder of the unredeemed balance of a Certificate which is subject to redemption in part. SECTION 5. Execution - Registration. The Certificates shall be executed on behalf of the City by its Mayor or Mayor Pro Tem under its seal reproduced or impressed thereon and attested by its City Secretary. The signature of either of said officers on the Certificates may be manual or facsimile. Certificates bearing the manual or facsimile signatures of individuals who were, at the time of the Certificate Date, the proper officers of the City shall bind the City, notwithstanding that such individuals or either of them shall cease to hold such offices prior to the delivery of the Certificates to the Purchasers, all as authorized and provided in Chapter 1201, as amended, Texas Government Code. 58237736.5 -7- No Certificate shall be entitled to any right or benefit under this Ordinance, or be valid or obligatory for any purpose, unless there appears on such Certificate either a certificate of registration substantially in the form provided in Section 8C, executed by the Comptroller of Public Accounts of the State of Texas or his duly authorized agent by manual signature, or a certificate of registration substantially in the form provided in Section 8D, executed by the Paying Agent/Registrar by manual signature, and either such certificate upon any Certificate shall be conclusive evidence, and the only evidence, that such Certificate has been duly certified or registered and delivered. SECTION 6. Registration - Transfer - Exchange of Certificates - Predecessor Certificates. The Paying Agent/Registrar shall obtain, record, and maintain in the Security Register the name and address of every owner of the Certificates, or if appropriate, the nominee thereof. Any Certificate may, in accordance with its terms and the terms hereof, be transferred or exchanged for Certificates of other authorized denominations upon the Security Register by the Holder, in person or by his duly authorized agent, upon surrender of such Certificate to the Paying Agent/Registrar for cancellation, accompanied by a written instrument of transfer or request for exchange duly executed by the Holder or by his duly authorized agent, in form satisfactory to the Paying Agent/Registrar. Upon surrender for transfer of any Certificate at the corporate trust office of the Paying Agent/Registrar, the City shall execute and the Paying Agent/Registrar shall register and deliver, in the name of the designated transferee or transferees, one or more new Certificates of authorized denomination and having the same Stated Maturity and of a like interest rate and aggregate principal amount as the Certificate or Certificates surrendered for transfer. At the option of the Holder, Certificates may be exchanged for other Certificates of authorized denominations and having the same Stated Maturity, bearing the same rate of interest and of like aggregate principal amount as the Certificates surrendered for exchange upon surrender of the Certificates to be exchanged at the corporate trust office of the Paying Agent/Registrar. Whenever any Certificates are so surrendered for exchange, the City shall execute, and the Paying Agent/Registrar shall register and deliver, the Certificates to the Holder requesting the exchange. All Certificates issued upon any transfer or exchange of Certificates shall be delivered at the corporate trust office of the Paying Agent/Registrar, or be sent by registered mail to the Holder at his request, risk, and expense, and upon the delivery thereof, the same shall be the valid and binding obligations of the City, evidencing the same obligation to pay, and entitled to the same benefits under this Ordinance, as the Certificates surrendered upon such transfer or exchange. All transfers or exchanges of Certificates pursuant to this Section shall be made without expense or service charge to the Holder, except as otherwise herein provided, and except that the Paying Agent/Registrar shall require payment by the Holder requesting such transfer or exchange of any tax or other governmental charges required to be paid with respect to such transfer or exchange. 58237736.5 -8- Certificates canceled by reason of an exchange or transfer pursuant to the provisions hereof are hereby defined to be Predecessor Certificates, evidencing all or a portion, as the case may be, of the same debt evidenced by the new Certificate or Certificates registered and delivered in the exchange or transfer therefor. Additionally, the term Predecessor Certificates shall include any Certificate registered and delivered pursuant to Section 25 in lieu of a mutilated, lost, destroyed, or stolen Certificate which shall be deemed to evidence the same obligation as the mutilated, lost, destroyed, or stolen Certificate. SECTION 7. Initial Certificate. The Certificates herein authorized shall be issued initially either (i) as a single fully registered Certificate in the total principal amount of $14,500,000 with principal installments to become due and payable as provided in Section 2 and numbered T-1, or (ii) as one (1) fully registered Certificate for each year of Stated Maturity in the applicable principal amount and denomination and to be numbered consecutively from T-1 and upward (collectively, the Initial Certificate) and, in either case, the Initial Certificate shall be registered in the name of the Purchasers or the designee thereof. The Initial Certificate shall be the Certificates submitted to the Office of the Attorney General of the State of Texas for approval, certified and registered by the Office of the Comptroller of Public Accounts of the State of Texas and delivered to the Purchasers. Any time after the delivery of the Initial Certificate to the Purchasers, the Paying Agent/Registrar, pursuant to written instructions from the Purchasers or their designee, shall cancel the Initial Certificate delivered hereunder and exchange therefor definitive Certificates of authorized denominations, Stated Maturities, principal amounts and bearing applicable interest rates on the unpaid principal amounts from the Certificate Date, or from the most recent Interest Payment Date to which interest has been paid or duly provided for, to Stated Maturity, and shall be lettered "R" and numbered consecutively from one (1) upward for transfer and delivery to the Holders named at the addresses identified therefor; all pursuant to and in accordance with such written instructions from the Purchasers, or the designee thereof, and such other information and documentation as the Paying Agent/Registrar may reasonably require. SECTION 8. Forms. A. Forms Generally. The Certificates, the Registration Certificate of the Comptroller of Public Accounts of the State of Texas, the Registration Certificate of Paying Agent/Registrar, and the form of Assignment to be printed on each of the Certificates shall be substantially in the forms set forth in this Section with such appropriate insertions, omissions, substitutions, and other variations as are permitted or required by this Ordinance and may have such letters, numbers, or other marks of identification (including insurance legends in the event the Certificates, or any Stated Maturities thereof, are insured and identifying numbers and letters of the Committee on Uniform Securities Identification Procedures of the American Bankers Association) and such legends and endorsements (including any reproduction of an opinion of Bond Counsel) thereon as may, consistent herewith, be established by the City or determined by the officers executing the Certificates as evidenced by their execution thereof. Any portion of the text of any Certificate may be set forth on the reverse thereof, with an appropriate reference thereto on the face of the Certificate. The definitive Certificates shall be printed, lithographed, or engraved, produced by any combination of these methods, or produced in any other similar manner, all as determined by the 58237736.5 -9- officers executing the Certificates as evidenced by their execution thereof, but the Initial Certificate submitted to the Attorney General of Texas may be typewritten or photocopied or otherwise reproduced. 58237736.5 [The remainder of this page intentionally left blank.] -10- B. Form of Definitive Certificate. REGISTERED REGISTERED PRINCIPAL AMOUNT NO. $ United States of America State of Texas Counties of Nueces, Aransas, Kleberg, and San Patricio CITY OF CORPUS CHRISTI, TEXAS COMBINATION TAX AND LIMITED PLEDGE REVENUE CERTIFICATE OF OBLIGATION, TAXABLE SERIES 2015 Certificate Date: , 2015 REGISTERED OWNER: PRINCIPAL AMOUNT: Interest Rate: Stated Maturity: CUSIP No. The City of Corpus Christi, Texas (the City), a body corporate and municipal corporation in the Counties of Nueces, Aransas, Kleberg, and San Patricio, State of Texas, for value received, acknowledges itself indebted to and hereby promises to pay to the order of the Registered Owner specified above, or the registered assigns thereof, on the Stated Maturity date specified above, the Principal Amount specified above (or so much thereof as shall not have been paid upon prior redemption) and to pay interest on the unpaid principal amount hereof from the Certificate Date, or from the most recent Interest Payment Date (defined below) to which interest has been paid or duly provided for until such principal sum has become due and payment thereof has been made or duly provided for, to the earlier of redemption or Stated Maturity, at the per annum rate of interest specified above computed on the basis of a 360 -day year of twelve 30 -day months; such interest being payable on March 1 and September 1 of each year, commencing 1, 20 (each, an Interest Payment Date). Principal and premium, if any, of this Certificate shall be payable to the Registered Owner hereof (the Holder), upon presentation and surrender, at the corporate trust office of the Paying Agent/Registrar executing the registration certificate appearing hereon or a successor thereof. Interest shall be payable to the Holder of this Certificate (or one or more Predecessor Certificates, as defined in the Ordinance hereinafter referenced) whose name appears on the Security Register maintained by the Paying Agent/Registrar at the close of business on the Record Date, which is the fifteenth day of the month next preceding each Interest Payment Date. All payments of principal of and interest on this Certificate shall be in any coin or currency of the United States of America which at the time of payment is legal tender for the payment of public and private debts. Interest shall be paid by the Paying Agent/Registrar by check sent on or prior to the appropriate date of payment by United States mail, first-class postage prepaid, to the Holder hereof at the address appearing in the Security Register or by such other method, acceptable to the Paying Agent/Registrar, requested by the Holder hereof at the Holder's risk and expense. 58237736.5 -11- This Certificate is one of the series specified in its title issued in the aggregate principal amount of $14,500,000 (the Certificates) pursuant to an Ordinance adopted by the governing body of the City (the Ordinance), for the purpose of paying contractual obligations of the City to be incurred for making permanent public improvements and for other public purposes, to -wit: (1) the construction of improvements to the City's solid waste facilities, including (without limitation) paying contractual obligations to be incurred with respect to the construction of municipal landfill waste disposal cells, internal roadways and pavement, cover systems, gas collection systems, drainage facilities, maintenance and office facilities, liners, environmental monitoring equipment, and other improvements and equipment necessary to operate the Cefe Valenzuela landfill (located in the vicinity of County Road 20 and Farm Road 2444) and provide post closure care of the J.C. Elliott landfill (located in the vicinity of State Highway 286 (Chapman Ranch Road) and State Highway 357 (Saratoga Boulevard)), and a solid waste Citizens Collection Center located in the City near Flour Bluff and Padre Island; (2) purchasing materials, supplies, equipment, land, and rights-of-way for authorized needs and purposes relating to the aforementioned capital infrastructure improvements; and (3) the payment of professional services related to the construction, design, and financing of the aforementioned projects, under and in strict conformity with the laws of the State of Texas, particularly the Certificate of Obligation Act of 1971, as amended, Texas Local Government Code, Section 271.041 through 271.065, Section 363.135, as amended, Texas Health and Safety Code, Chapter 1371, as amended, Texas Government Code, and the City's Home Rule Charter. As provided in the Ordinance, the Certificates stated to mature on March 1, 20 are referred to herein as the "Term Certificates". The Term Certificates are subject to mandatory sinking fund redemption prior to their stated maturities from money required to be deposited in the Certificate Fund for such purpose and shall be redeemed in part, by lot or other customary method, at the principal amount thereof plus accrued interest to the date of redemption in the following principal amounts on March 1 in each of the years as set forth below: Term Certificates Stated to Mature on March 1, 20 Principal Year Amount ($) *Payable at Stated Maturity. The principal amount of a Term Certificate required to be redeemed pursuant to the operation of such mandatory redemption provisions shall be reduced, at the option of the City, by the principal amount of any Term Certificates of such Stated Maturity which, at least 50 days prior to the mandatory redemption date (1) shall have been defeased or acquired by the City and delivered to the Paying Agent/Registrar for cancellation, (2) shall have been purchased and 58237736.5 -12- canceled by the Paying Agent/Registrar at the request of the City, or (3) shall have been redeemed pursuant to the optional redemption provisions set forth below and not theretofore credited against a mandatory redemption requirement. The Certificates stated to mature on and after March 1, 20 may be redeemed prior to their Stated Maturities, at the option of the City, on March 1, 20 , or on any date thereafter, in whole or in part, in principal amounts of $5,000 or any integral multiple thereof (and if within a Stated Maturity selected at random and by lot by the Paying Agent/Registrar) at the redemption price of par plus accrued interest to the date of redemption; provided, however, that at least thirty (30) days prior written notice shall be sent to the Holder of the Certificates to be redeemed by United States mail, first-class postage prepaid, and subject to the terms and provisions relating thereto contained in the Ordinance. If this Certificate is subject to redemption prior to Stated Maturity and is in a denomination in excess of $5,000, portions of the principal sum hereof in installments of $5,000 or any integral multiple thereof may be redeemed, and, if less than all of the principal sum hereof is to be redeemed, there shall be issued, without charge therefor, to the Holder hereof, upon the surrender of this Certificate to the Paying Agent/Registrar at its corporate trust office, a new Certificate or Certificates of like Stated Maturity and interest rate in any authorized denominations provided in the Ordinance for the then unredeemed balance of the principal sum hereof. If this Certificate (or any portion of the principal sum hereof) shall have been duly called for redemption and notice of such redemption has been duly given, then upon such redemption date this Certificate (or the portion of the principal sum hereof to be redeemed) shall become due and payable, and, if the money for the payment of the redemption price and the interest accrued on the principal amount to be redeemed to the date of redemption is held for the purpose of such payment by the Paying Agent/Registrar, interest shall cease to accrue and be payable hereon from and after the redemption date on the principal amount hereof to be redeemed. If this Certificate is called for redemption, in whole or in part, the City or the Paying Agent/Registrar shall not be required to issue, transfer, or exchange this Certificate within forty-five (45) days of the date fixed for redemption; provided, however, such limitation of transfer shall not be applicable to an exchange by the Holder of the unredeemed balance hereof in the event of its redemption in part. The Certificates of this series are payable from the proceeds of an ad valorem tax levied upon all taxable property within the City, within the limitations prescribed by law, and are further payable from and secured by a lien on and pledge of the Pledged Revenues (identified and defined in the Ordinance), being a limited amount of the Net Revenues derived from the operation of the City's solid waste management system (the System), such lien on and pledge of the limited amount of Net Revenues being subordinate and inferior to the lien on and pledge of such Net Revenues securing payment of the currently outstanding Subordinate Lien Obligations and Limited Pledge Obligations and any Prior Lien Obligations, Junior Lien Obligations, Additional Subordinate Lien Obligations, or Additional Limited Pledge Obligations hereafter issued by the City. In the Ordinance, the City reserves and retains the right to issue Prior Lien Obligations, Junior Lien Obligations, Additional Subordinate Lien Obligations, and Additional Limited Pledge Obligations (all as identified and defined in the Ordinance), while the Certificates are Outstanding, without limitation as to principal amount but subject to any terms, conditions or restrictions as may be applicable thereto under law or otherwise. 58237736.5 -13- Reference is hereby made to the Ordinance, a copy of which is on file in the corporate trust office of the Paying Agent/Registrar, and to all of the provisions of which the Holder by his acceptance hereof hereby assents, for definitions of terms; the description of and the nature and extent of the tax levied and the revenues pledged for the payment of the Certificates; the terms and conditions under which the City may issue Prior Lien Obligations, Junior Lien Obligations, Additional Subordinate Lien Obligations, and Additional Limited Pledge Obligations; the terms and conditions relating to the transfer or exchange of the Certificates; the conditions upon which the Ordinance may be amended or supplemented with or without the consent of the Holder; the rights, duties, and obligations of the City and the Paying Agent/Registrar; the terms and provisions upon which this Certificate may be redeemed or discharged at or prior to the Stated Maturity thereof, and deemed to be no longer Outstanding thereunder; and for the other terms and provisions specified in the Ordinance. Capitalized terms used herein have the same meanings assigned in the Ordinance. This Certificate, subject to certain limitations contained in the Ordinance, may be transferred on the Security Register upon presentation and surrender at the corporate trust office of the Paying Agent/Registrar, duly endorsed by, or accompanied by a written instrument of transfer in form satisfactory to the Paying Agent/Registrar duly executed by the Holder hereof, or his duly authorized agent, and thereupon one or more new fully registered Certificates of the same Stated Maturity, of authorized denominations, bearing the same rate of interest, and of the same aggregate principal amount will be issued to the designated transferee or transferees. The City and the Paying Agent/Registrar, and any agent of either, shall treat the Holder hereof whose name appears on the Security Register (i) on the Record Date as the owner hereof for purposes of receiving payment of interest hereon, (ii) on the date of surrender of this Certificate as the owner hereof for purposes of receiving payment of principal hereof at its Stated Maturity or its redemption, in whole or in part, and (iii) on any other date as the owner hereof for all other purposes, and neither the City nor the Paying Agent/Registrar, or any such agent of either, shall be affected by notice to the contrary. In the event of a non-payment of interest on a scheduled payment date, and for thirty (30) days thereafter, a new record date for such interest payment (a Special Record Date) will be established by the Paying Agent/Registrar, if and when funds for the payment of such interest have been received from the City. Notice of the Special Record Date and of the scheduled payment date of the past due interest (the Special Payment Date - which shall be fifteen (15) days after the Special Record Date) shall be sent at least five (5) business days prior to the Special Record Date by United States mail, first-class postage prepaid, to the address of each Holder appearing on the Security Register at the close of business on the last business day next preceding the date of mailing of such notice. It is hereby certified, covenanted, and represented that all acts, conditions, and things required to be performed, exist, and be done precedent to the issuance of this Certificate in order to render the same a legal, valid, and binding obligation of the City have been performed, exist, and have been done, in regular and due time, form, and manner, as required by the laws of the State of Texas and the Ordinance, and that issuance of the Certificates does not exceed any constitutional or statutory limitation; and that due provision has been made for the payment of the principal of, premium if any, and interest on the Certificates by the levy of a tax and collection of Pledged Revenues as aforestated. In case any provision in this Certificate or any application thereof shall be deemed invalid, illegal, or unenforceable, the validity, legality, and 58237736.5 -14- enforceability of the remaining provisions and applications shall not in any way be affected or impaired thereby. The terms and provisions of this Certificate and the Ordinance shall be construed in accordance with and shall be governed by the laws of the State of Texas. 58237736.5 [The remainder of this page intentionally left blank.] -15- IN WITNESS WHEREOF, the City has caused this Certificate to be duly executed under its official seal. ATTEST: City Secretary (CITY SEAL) 58237736.5 CITY OF CORPUS CHRISTI, TEXAS By Mayor [The remainder of this page intentionally left blank.] -16- C. *Form of Registration Certificate of Comptroller of Public Accounts to Appear on Initial Certificate Only. REGISTRATION CERTIFICATE OF COMPTROLLER OF PUBLIC ACCOUNTS OFFICE OF THE COMPTROLLER OF PUBLIC ACCOUNTS § REGISTER NO. THE STATE OF TEXAS I HEREBY CERTIFY that this Certificate has been examined, certified as to validity and approved by the Attorney General of the State of Texas, and duly registered by the Comptroller of Public Accounts of the State of Texas. WITNESS my signature and seal of office this (SEAL) Comptroller of Public Accounts of the State of Texas *NOTE TO PRINTER: Not to appear on printed Certificates. D. Form of Registration Certificate of Paying Agent/Registrar to Appear on Definitive Certificates Only. REGISTRATION CERTIFICATE OF PAYING AGENT/REGISTRAR This Certificate has been duly issued under the provisions of the within -mentioned Ordinance; the Certificate or Certificates of the above -entitled and designated series originally delivered having been approved by the Attorney General of the State of Texas and registered by the Comptroller of Public Accounts, as shown by the records of the Paying Agent/Registrar. Registered this date: , Texas, as Paying Agent/Registrar By: Authorized Signature *NOTE TO PRINTER: Print on Definitive Certificates. 58237736.5 -17- E. Form of Assignment. ASSIGNMENT FOR VALUE RECEIVED the undersigned hereby sells, assigns, and transfers unto (Print or typewrite name, address, and zip code of transferee): (Social Security or other identifying number): the within Certificate and all rights thereunder, and hereby irrevocably constitutes and appoints attorney to transfer the within Certificate on the books kept for registration thereof, with full power of substitution in the premises. DATED: NOTICE: The signature on this assignment must correspond with the name of the registered owner as it appears on the face of the within Certificate in every particular. Signature guaranteed: 58237736.5 [The remainder of this page intentionally left blank] -18- F. The Initial Certificate shall be in the form set forth in paragraph B of this Section, except that the form of a single fully registered Initial Certificate shall be modified as follows: (i) immediately under the name of the Bond(s) the headings "Interest Rate" and "Stated Maturity" shall both be completed "as shown below"; (ii) first two paragraphs shall read as follows: REGISTERED PRINCIPAL REGISTERED AMOUNT NO. T-1 $ United States of America State of Texas Counties of Nueces, Aransas, Kleberg, and San Patricio CITY OF CORPUS CHRISTI, TEXAS COMBINATION TAX AND LIMITED PLEDGE REVENUE CERTIFICATE OF OBLIGATION, TAXABLE SERIES 2015 Certificate Date: Interest Rate: Stated Maturity: , 2015 As Shown Below As Shown Below REGISTERED OWNER: PRINCIPAL AMOUNT: CUSIP No. The City of Corpus Christi, Texas (the City), a body corporate and municipal corporation in the Counties of Nueces, Aransas, Kleberg, and San Patricio, State of Texas, for value received, acknowledges itself indebted to and hereby promises to pay to the order of the Registered Owner named above, or the registered assigns thereof, the Principal Amount specified above stated to mature on the first day of March in each of the years and in principal amounts and bearing interest at per annum rates in accordance with the following schedule: Years of Principal Interest Stated Maturity Amounts ($) Rates (%) (Information to be inserted from schedule in Section 2 hereof') (or so much thereof as shall not have been paid upon prior redemption) and to pay interest on the unpaid Principal Amounts hereof from the Certificate Date, or from the most recent Interest Payment Date (defined below) to which interest has been paid or duly provided for, to the earlier of redemption or Stated Maturity, at the per annum rates of interest specified above, computed on the basis of a 360 -day year of twelve 30 -day months; such interest being payable on March 1 and September 1 of each year, commencing 1, 20 (each, an Interest Payment Date). Principal of this Certificate shall be payable to the Registered Owner hereof (the Holder), upon its presentation and surrender, to Stated Maturity or prior redemption, while Outstanding, at 58237736.5 -19- the corporate trust office of , Texas (the Paying Agent/Registrar). Interest shall be payable to the Holder of this Certificate whose name appears on the Security Register maintained by the Paying Agent/Registrar at the close of business on the Record Date, which is the fifteenth day of the month next preceding each Interest Payment Date. All payments of principal of and interest on this Certificate shall be in any coin or currency of the United States of America which at the time of payment is legal tender for the payment of public and private debts. Interest shall be paid by the Paying Agent/Registrar by check sent on or prior to the appropriate date of payment by United States mail, first-class postage prepaid, to the Holder hereof at the address appearing in the Security Register or by such other method, acceptable to the Paying Agent/Registrar, requested by, and at the risk and expense of, the Holder hereof. G. Insurance Legend. If bond insurance is obtained by the City or the Purchasers for the Certificates, the Definitive Certificates and the Initial Certificate shall bear an appropriate legend as provided by the insurer. SECTION 9. Definitions. For all purposes of this Ordinance (as defined below), except as otherwise expressly provided or unless the context otherwise requires: the terms defined in this Section have the meanings assigned to them in this Section, and certain terms used in Section 44 of this Ordinance have the meanings assigned to them in Section 44 of this Ordinance, and all such terms, include the plural as well as the singular; (ii) all references in this Ordinance to designated "Sections" and other subdivisions are to the designated Sections and other subdivisions of this Ordinance as originally adopted; and (iii) the words "herein", "hereof', and "hereunder" and other words of similar import refer to this Ordinance as a whole and not to any particular Section or other subdivision. A. The term Additional Limited Pledge Obligations shall mean (i) any bonds, notes, warrants, certificates of obligation or other evidences of indebtedness hereafter issued by the City payable in part from a pledge of and lien on Pledged Revenues of the System which pledge of revenues is limited as further provided in Section 20 of this Ordinance, and (ii) any obligations hereafter issued to refund the foregoing as determined by the City Council in accordance with any applicable law. B. The term Additional Subordinate Lien Obligations shall mean (i) any bonds, notes, warrants, certificates of obligation or other evidences of indebtedness hereafter issued by the City payable wholly or in part from and equally and ratably secured by a lien on and pledge of the Net Revenues of the System, such pledge being subordinate and inferior to the lien on and pledge of the Net Revenues of the System that may be pledged to the payment of any Prior Lien Obligations or Junior Lien Obligations hereafter issued by the City, but prior and superior to the lien on and pledge of the limited amount of the Net Revenues securing, in part, the payment of the currently outstanding Limited Pledge Obligations (including the Certificates), or any Additional Limited Pledge Obligations hereafter issued by the City, all as further provided in Section 20 of this Ordinance, and (ii) obligations hereafter issued to refund any of the foregoing that are payable from and equally and ratably secured by a subordinate and inferior lien on and pledge of the Net Revenues as determined by the City Council in accordance with any applicable law. 58237736.5 -20- C. The term Authorized Officials shall mean the City Manager of the City, the Deputy City Manager, the Assistant City Manager for General Government and Operations Support, and the City's Director of Financial Services. D. The term Certificates shall mean the $14,500,000 "CITY OF CORPUS CHRISTI, TEXAS COMBINATION TAX AND LIMITED PLEDGE REVENUE CERTIFICATES OF OBLIGATION, TAXABLE SERIES 2015" authorized by this Ordinance. E. The term Certificate Fund shall mean the special Fund created and established by the provisions of Section 10 of this Ordinance. F. The term City shall mean the City of Corpus Christi, located in Nueces, Aransas, Kleberg, and San Patricio Counties, Texas and, where appropriate, the City Council of the City. G. The term Closing Date shall mean the date of physical delivery of the Initial Certificate in exchange for the payment of the agreed purchase price for the Certificates. H. The term Collection Date shall mean, when reference is being made to the levy and collection of annual ad valorem taxes, the date the annual ad valorem taxes levied each year by the City become delinquent. I. The term Debt Service Requirements shall mean, as of any particular date of computation, with respect to any obligations and with respect to any period, the aggregate of the amounts to be paid or set aside by the City as of such date or in such period for the payment of the principal of, premium, if any, and interest (to the extent not capitalized) on such obligations; assuming, in the case of obligations without a fixed numerical rate, that such obligations bear interest at the maximum rate permitted by the terms thereof and further assuming in the case of obligations required to be redeemed or prepaid as to principal prior to Stated Maturity, the principal amounts thereof will be redeemed prior to Stated Maturity in accordance with the mandatory redemption provisions applicable thereto. J. The term Depository shall mean an official depository bank of the City. K. The term Fiscal Year shall mean the annual financial accounting period for the System now ending on September 30th of each year; provided, however, the City Council may change such annual financial accounting period to end on another date if such change is found and determined to be necessary for accounting purposes or is required by applicable law. L. The term Government Securities, as used herein, shall mean (i) direct noncallable obligations of the United States, including obligations that are unconditionally guaranteed by, the United States of America; (ii) noncallable obligations of an agency or instrumentality of the United States, including obligations that are unconditionally guaranteed or insured by the agency or instrumentality and that, on the date the governing body of the issuer adopts or approves the proceedings authorizing the issuance of refunding bonds, are rated as to investment quality by a nationally recognized investment rating firm not less than AAA or its equivalent; (iii) noncallable obligations of a state or an agency or a county, municipality, or other political subdivision of a state that have been refunded and that, on the date the governing body of the issuer adopts or approves the proceedings authorizing the issuance of refunding bonds, are rated 58237736.5 -21- as to investment quality by a nationally recognized investment rating firm not less than AAA or its equivalent; and (iv) any additional securities and obligations hereafter authorized by the laws of the State of Texas as eligible for use to accomplish the discharge of obligations such as the Certificates. M. The term Gross Revenues for any period shall mean all income and revenues received by the City by virtue of its ownership and operation of the System, including, but not limited to, its rentals, fees, and other revenues resulting from the ownership of the System, including rentals received from leasing all or part of the System. However, it is expressly recognized that any such lease must comply with the requirements of the Code and existing regulations, published rulings, and court decisions. N. The term Holder or Holders shall mean the registered owner, whose name appears in the Security Register, for any Certificate. O. The term Interest Payment Date shall mean the date semiannual interest is payable on the Certificates, being March 1 and September 1 of each year, commencing 1, 20, while any of the Certificates remain Outstanding. P. The term Junior Lien Obligations shall mean (i) any bonds, notes, warrants, certificates of obligation, or any similar obligations hereafter issued by the City that are payable, in whole or in part, from and equally and ratably secured by a lien on and pledge of the Net Revenues of the System, such pledge being junior and inferior to the lien on and pledge of the Net Revenues of the System that may be pledged to the payment of any Prior Lien Obligations hereafter issued by the City, but prior and superior to the lien on and pledge of the Net Revenues securing the payment of the currently outstanding Subordinate Lien Obligations, Limited Pledge Obligations (including the Certificates), or any Additional Subordinate Lien Obligations or Additional Limited Pledge Obligations hereafter issued by the City, all as further provided in Section 20 of this Ordinance and (ii) obligations hereafter issued to refund any of the foregoing that are payable from and equally and ratably secured by a junior and inferior lien on and pledge of the Net Revenues as determined by the City Council in accordance with any applicable law. Q. The term Limited Pledge Obligations shall mean the outstanding and unpaid obligations of the City that are payable, in part, from and secured by a pledge of and lien on the Pledged Revenues of the System and designated as follows (1) "City of Corpus Christi, Texas Combination Tax and Limited Pledge Revenue Certificates of Obligation, Series 2009", dated July 15, 2009, in the original principal amount of $8,460,000; and (2) Upon issuance, the Certificates. and (ii) obligations hereafter issued to refund any of the foregoing as determined by the City Council in accordance with any applicable law. R. The term Maintenance and Operating Expenses shall mean the expenses of operation and maintenance, including all salaries, labor, materials, repairs and extensions necessary to maintain and operate the System; provided, however, that only such repairs and 58237736.5 -22- extensions as in the judgment of the City Council, reasonably and fairly exercised, are necessary to keep the System in operation and render adequate service to the City and the inhabitants thereof, or such as might be necessary to meet some physical action or condition which would otherwise impair the security of any bonds or other obligations payable from and secured, in whole or in part, by a lien on the Net Revenues derived from the ownership and operation of the System shall be deducted in determining Net Revenues. S. The term Net Revenues for any period shall mean the Gross Revenues of the System less the Maintenance and Operating Expenses of the System. T. The term Ordinance shall mean this ordinance as finally passed and adopted by the City Council of the City. U. The term Outstanding when used in this Ordinance with respect to Certificates shall mean, as of the date of determination, all Certificates issued and delivered under this Ordinance, except: (1) those Certificates canceled by the Paying Agent/Registrar or delivered to the Paying Agent/Registrar for cancellation; (2) those Certificates for which payment has been duly provided by the City in accordance with the provisions of Section 29 of this Ordinance; and (3) those Certificates that have been mutilated, destroyed, lost, or stolen and replacement Certificates have been registered and delivered in lieu thereof as provided in Section 25 of this Ordinance. V. The term Pledged Revenues shall mean, while the Certificates remain Outstanding, an amount of Net Revenues not in excess of $1,000. The Pledged Revenues shall be deposited, allocated, and expended in accordance with Section 10 of this Ordinance. W. The term Pledged Revenue Amount shall mean the total amount, not to exceed $1,000 while the Certificates are Outstanding, of Net Revenues that may be transferred in whole or in part by the City in any given Fiscal Year (however, any amounts transferred prior to the final maturity date of the Certificates may not exceed the total amount of $1,000) to the Certificate Fund. X. The term Prior Lien Obligations shall mean (i) any bonds, notes, warrants, certificates of obligation or any similar obligations hereafter issued by the City that are payable wholly or in part from and equally and ratably secured by a prior and first lien on and pledge of the Net Revenues of the System, all as further provided in Section 20 of this Ordinance, and (ii) any obligations issued to refund the foregoing that are payable from and secured by a prior and first lien on and pledge of the Net Revenues of the System as determined by the City Council in accordance with any applicable law. Y. The term Purchasers shall mean the initial purchaser or purchasers of the Certificates named in Section 26 of this Ordinance. 58237736.5 -23- Z. The term Stated Maturity shall mean the annual principal payments of the Certificates payable on March 1 of each year the Certificates are Outstanding as set forth in Section 2 of this Ordinance. AA. The term Subordinate Lien Obligations shall mean (i) the outstanding and unpaid obligations of the City that are payable, in whole or in part, from and equally secured by a subordinate and inferior lien on and pledge of the Net Revenues of the System and designated as follows: (1) "City of Corpus Christi, Texas Revenue Certificates of Obligation, Series 2005 (Landfill Project)", dated June 1, 2005, in the original principal amount of $14,520,000; (2) "City of Corpus Christi, Texas Combination Tax and Solid Waste Revenue Certificates of Obligation, Series 2006", dated May 1, 2006, in the original principal amount of $18,605,000; and (3) "City of Corpus Christi, Texas Combination Tax and Solid Waste Revenue Certificates of Obligation, Series 2008", dated December 15, 2008, in the original principal amount of $12,000,000. and (ii) obligations hereafter issued to refund any of the foregoing that are payable from and equally and ratably secured by a subordinate and inferior lien on and pledge of the Net Revenues as determined by the City Council in accordance with any applicable law. BB. The term System shall mean a plant, composting process plant, incinerator, sanitary landfill, transfer station, or other works and equipment that is acquired, installed, or operated to collect, handle, store, process, recover material or energy from, or dispose of solid waste, and includes sites for those works and equipment. SECTION 10. Certificate Fund - Investments. For the purpose of paying the interest on and to provide a sinking fund for the payment, redemption, and retirement of the Certificates, there shall be and is hereby created a special fund to be designated "COMBINATION TAX AND LIMITED PLEDGE REVENUE CERTIFICATES OF OBLIGATION, TAXABLE SERIES 2015 INTEREST AND SINKING FUND" (the Certificate Fund), which fund shall be kept and maintained at the Depository, and money deposited in such fund shall be used for no other purpose. Authorized Officials of the City are hereby authorized and directed to make withdrawals from the Certificate Fund sufficient to pay the purchase price or the amount of principal of, premium, if any, and interest on the Certificates as the same become due and payable, or the purchase price thereof, and shall cause to be transferred to the Paying Agent/Registrar from money on deposit in the Certificate Fund an amount sufficient to pay the amount of principal and/or interest stated to mature on the Certificates, such transfer of funds to the Paying Agent/Registrar to be made in such manner as will cause immediately available funds to be deposited with the Paying Agent/Registrar on or before the business day next preceding each interest and principal payment date for the Certificates. The City, at its sole discretion, may deposit the Pledged Revenue Amount to the Certificate Fund. The Pledged Revenue Amount, if deposited, shall be expended annually to pay 58237736.5 -24- principal of and interest on the Certificates as the same become due and payable. This Pledged Revenue Amount shall be accounted for and transferred to the Paying Agent/Registrar in accordance with the provisions of the previous paragraph of this Section. Pending the transfer of funds to the Paying Agent/Registrar, money deposited in any fund created and established by this Ordinance may, at the option of the City, be placed in time deposits, certificates of deposit, guaranteed investment contracts, or similar contractual agreements, as permitted by the provisions of the Public Funds Investment Act, as amended, Chapter 2256, Texas Government Code, secured (to the extent not insured by the Federal Deposit Insurance Corporation) by obligations of the type hereinafter described, or be invested, as authorized by any law, including investments held in book -entry form, in securities, including, but not limited to, direct obligations of the United States of America, obligations guaranteed or insured by the United States of America, which, in the opinion of the Attorney General of the United States, are backed by its full faith and credit or represent its general obligations, or invested in indirect obligations of the United States of America, including, but not limited to, evidences of indebtedness issued, insured or guaranteed by such governmental agencies as the Federal Land Banks, Federal Intermediate Credit Banks, Banks for Cooperatives, Federal Home Loan Banks, Government National Mortgage Association, Farmers Home Administration, Federal Home Loan Mortgage Association, Small Business Administration, or Federal Housing Association; provided that all such deposits and investments shall be made in such a manner that the money required to be expended from such fund will be available at the proper time or times. All interest and income derived from deposits and investments in any fund established pursuant to the provisions of this Ordinance shall be credited to, and any losses debited to, such fund. All such investments shall be sold promptly when necessary to prevent any default in connection with the Certificates. SECTION 11. Tax Levy. To provide for the payment of the Debt Service Requirements on the Certificates being (i) the interest on the Certificates and (ii) a sinking fund for their redemption at Stated Maturity or a sinking fund of 2% (whichever amount shall be the greater), there shall be and there is hereby levied for the current year and each succeeding year thereafter while the Certificates or any interest thereon shall remain Outstanding, a sufficient tax, within the limitations prescribed by law, on each one hundred dollars valuation of taxable property in the City, adequate to pay such Debt Service Requirements, full allowance being made for delinquencies and costs of collection; said tax shall be assessed and collected each year and applied to the payment of the Debt Service Requirements, and the same shall not be diverted to any other purpose. The taxes so levied and collected shall be paid into the Certificate Fund and are thereafter pledged to the payment of the Certificates. The City Council hereby declares its purpose and intent to provide and levy a tax legally and fully sufficient to pay such Debt Service Requirements, it having been determined that the existing and available taxing authority of the City for such purpose is adequate to permit a legally sufficient tax in consideration of all other outstanding indebtedness and obligations of the City. The amount of taxes to be provided annually for the payment of the principal of and interest on the Certificates shall be determined and accomplished in the following manner: A. Prior to the date the City Council establishes the annual tax rate and passes an ordinance levying ad valorem taxes each year, the City Council shall determine: 58237736.5 -25- (1) the amount of Debt Service Requirements to become due and payable on the Certificates between the Collection Date for the taxes then to be levied and the Collection Date for the taxes to be levied during the next succeeding calendar year; (2) the amount on deposit in the Certificate Fund after (a) deducting therefrom the total amount of Debt Service Requirements to become due on Certificates prior to the Collection Date for the ad valorem taxes to be levied and (b) adding thereto the amount of the Pledged Revenues, if any, or any other lawfully available funds to be appropriated and allocated during such year to pay such Debt Service Requirements, if any, prior to the Collection Date for the ad valorem taxes to be levied; and (3) the amount of Pledged Revenues, if any, or any other lawfully available funds appropriated and set aside for the payment of the Debt Service Requirements on the Certificates between the Collection Date for the taxes then to be levied and the Collection Date for the taxes to be levied during the next succeeding Fiscal Year. B. The amount of taxes to be levied annually each year to pay the Debt Service Requirements on the Certificates shall be the amount established in paragraph (1) above less the sum total of the amounts established in paragraphs (2) and (3), after taking into consideration delinquencies and costs of collecting such annual taxes. SECTION 12. Pledge of Pledged Revenues. The City hereby covenants and agrees that, subject to (i) any prior lien on and pledge of the Net Revenues of the System to the payment and security of the currently outstanding Subordinate Lien Obligations and any Prior Lien Obligations, Junior Lien Obligations, or Additional Subordinate Lien Obligations hereafter issued by the City and (ii) the lien on and pledge of the Pledged Revenues (or such other limited amount of excess Net Revenues of the System) to the payment and security of the currently outstanding Limited Pledge Obligations, the Pledged Revenues are hereby irrevocably pledged to the payment of the principal of and interest on the Certificates and the pledge of Pledged Revenues herein made for the payment of the Certificates shall constitute a lien on the Pledged Revenues in accordance with the terms and provisions hereof and be valid and binding without any physical delivery thereof or further act by the City. SECTION 13. Revenue Fund. The City hereby covenants and agrees that all Gross Revenues derived from the operation of the System shall be kept separate and apart from all other funds, accounts and money of the City and shall be deposited as collected into the "CITY OF CORPUS CHRISTI, TEXAS SOLID WASTE MANAGEMENT SYSTEM REVENUE FUND" (the Revenue Fund). All money deposited in the Revenue Fund shall be pledged and appropriated to the extent required for the following purposes and in the order of priority shown: • First: to the payment of the reasonable and proper Maintenance and Operating Expenses of the System required by statute or ordinances authorizing the issuance of any indebtedness of the City to be a first charge on and claim against the Gross Revenues of the System; • Second: To the payment of the amounts that must be deposited in the special funds and accounts created and established for the payment, security, and benefit 58237736.5 -26- of any Prior Lien Obligations hereafter issued by the City in accordance with the terms and provisions of any ordinances authorizing their issuance; • Third: To the payment of the amounts that must be deposited in the special funds and accounts created and established for the payment, security, and benefit of any Junior Lien Obligations hereafter issued by the City in accordance with the terms and provisions of any ordinances authorizing their issuance; • Fourth: To the payment of the amounts that must be deposited in the special funds and accounts created and established for the payment, security, and benefit of the currently outstanding Subordinate Lien Obligations or Additional Subordinate Lien Obligations hereafter issued by the City in accordance with the terms and provisions of any ordinances authorizing their issuance; and • Fifth: To the payment of the amounts that may be deposited in the special funds and accounts established for the payment of the currently outstanding Limited Pledge Obligations, including the Certificates, and any Additional Limited Pledge Obligations hereafter issued by the City in accordance with the terms and provisions of any ordinances authorizing their issuance. Any Net Revenues remaining in the System Fund after satisfying the foregoing payments, or making adequate and sufficient provision for the payment, security and benefit thereof, may be appropriated and used for any other City purpose now or hereafter permitted by law. SECTION 14. Deposits to Certificate Fund — Surplus Certificate Proceeds. The City hereby covenants and agrees to cause to be deposited in the Certificate Fund prior to a principal and Interest Payment Date for the Certificates, from the Pledged Revenues in the System Fund, after the deduction of all payments required to be made to the special funds or accounts created for the payment, security, and benefit of the (i) currently outstanding Subordinate Lien Obligations and any Prior Lien Obligations, Junior Lien Obligations, or Additional Subordinate Lien Obligations hereafter issued by the City and (ii) the currently outstanding Limited Pledge Obligations and any Additional Limited Pledge Obligations hereafter issued by the City, any amounts budgeted to be paid therefrom in such Fiscal Year. Accrued interest, if any, received from the Purchasers of the Certificates shall be deposited to the Certificate Fund and ad valorem taxes levied and collected for the benefit of the Certificates shall be deposited to the Certificate Fund. In addition, any surplus proceeds, including investment income therefrom, from the sale of the Certificates not expended for authorized purposes shall be deposited in the Certificate Fund, and such amounts so deposited shall reduce the sums otherwise required to be deposited in said fund from ad valorem taxes. SECTION 15. Security of Funds. All money on deposit in the funds for which this Ordinance makes provision (except any portion thereof as may be at any time properly invested as provided herein) shall be secured in the manner and to the fullest extent required by the laws of the State of Texas for the security of public funds, and money on deposit in such funds shall be used only for the purposes permitted by this Ordinance. 58237736.5 -27- SECTION 16. Maintenance of System - Insurance. The City covenants and agrees that while the Certificates remain Outstanding it will maintain and operate the System with all possible efficiency and maintain casualty and other insurance (including a system of self-insurance) on the properties of the System and its operations of a kind and in such amounts customarily carried by municipal corporations in the State of Texas engaged in a similar type of business and that it will faithfully and punctually perform all duties with reference to the System required by the laws of the State of Texas. All money received from losses under such insurance policies, other than public liability policies, are held for the benefit of the holders of the Certificates until and unless the proceeds are paid out in making good the loss or damage in respect of which such proceeds are received, either by replacing the property destroyed or repairing the property damaged, and adequate provision for making good such loss or damage must be made within ninety (90) days after the date of loss. The payment of premiums for all insurance policies required under the provisions hereof shall be considered Maintenance and Operating Expenses. Nothing in this Ordinance shall be construed as requiring the City to expend any funds which are derived from sources other than the operation of the System but nothing herein shall be construed as preventing the City from doing so. SECTION 17. Rates and Charges. The City hereby covenants and agrees with the Holders of the Certificates that rates and charges for solid waste collection services afforded by the System will be established and maintained to provide Gross Revenues sufficient at all times: A. to pay, together with any other lawfully available funds, all operating, maintenance, depreciation, replacement, betterment, and other costs incurred in the maintenance and operation of the System, including, but not limited to, Maintenance and Operating Expenses; B. to produce Net Revenues sufficient, together with any other lawfully available funds, to pay (i) the interest on and principal of any Prior Lien Obligations hereafter issued by the City as the same becomes due and payable and the amounts required to be deposited in any special fund created and established for the payment, security, and benefit thereof; (ii) the interest on and principal of any Junior Lien Obligations hereafter issued by the City as the same becomes due and payable and the amounts required to be deposited in any special fund created and established for the payment, security, and benefit thereof; (iii) the interest on and principal of the currently outstanding Subordinate Lien Obligations and any Additional Subordinate Lien Obligations hereafter issued by the City as the same becomes due and payable and the amounts required to be deposited in any special fund created and established for the payment, security, and benefit thereof; and (iv) the amounts that may be deposited in the special funds established for the payment of the Limited Pledge Obligations or any Additional Limited Pledge Obligations hereafter issued by the City; and C. to pay other legally incurred indebtedness payable from the Net Revenues of the System and/or secured by a lien on the System or the Net Revenues thereof. SECTION 18. Records and Accounts - Annual Audit. The City further covenants and agrees that so long as any of the Certificates remain Outstanding it will keep and maintain separate and complete records and accounts pertaining to the operations of the System in which complete and correct entries shall be made of all transactions relating thereto, as provided by Chapter 363, as amended, Texas Health and Safety Code, or other applicable law. The Holders 58237736.5 -28- of the Certificates or any duly authorized agent or agents of the Holders shall have the right to inspect the System and all properties comprising the same. The City further agrees that, following the close of each Fiscal Year, it will cause an audit of such books and accounts to be made by an independent firm of certified public accountants. Expenses incurred in making the annual audit of the operations of the System are to be regarded as Maintenance and Operating Expenses. SECTION 19. Remedies in Event of Default. In addition to all the rights and remedies provided by the laws of the State of Texas, the City covenants and agrees particularly that in the event the City (a) defaults in the payments to be made to the Certificate Fund, or (b) defaults in the observance or performance of any other of the covenants, conditions, or obligations set forth in this Ordinance, the Holders of any of the Certificates shall be entitled to seek a writ of mandamus issued by a court of proper jurisdiction compelling and requiring the governing body of the City and other officers of the City to observe and perform any covenant, condition, or obligation prescribed in this Ordinance. No delay or omission to exercise any right or power accruing upon any default shall impair any such right or power or shall be construed to be a waiver of any such default or acquiescence therein, and every such right and power may be exercised from time to time and as often as may be deemed expedient. The specific remedies herein provided shall be cumulative of all other existing remedies and the specification of such remedies shall not be deemed to be exclusive. SECTION 20. Issuance of Prior Lien Obligations - Junior Lien Obligations — Additional Subordinate Lien Obligations — Additional Limited Pledge Obligations. The City hereby expressly reserves the right to hereafter issue bonds, notes, warrants, certificates of obligation, or similar obligations, payable, wholly or in part, as appropriate, from and secured by a pledge of and lien on the Net Revenues of the System with the following priorities, without limitation as to principal amount, but subject to any terms, conditions, or restrictions applicable thereto under existing ordinances, laws, or otherwise: A. Prior Lien Obligations payable from and equally and ratably secured by a first and prior lien on and pledge of the Net Revenues of the System; B. Junior Lien Obligations payable from and equally and ratably secured by a lien on and pledge of the Net Revenues that is junior and inferior to the lien on and pledge thereof securing the payment of any Prior Lien Obligations hereafter issued by the City, but prior and superior to the lien on and pledge of the Net Revenues securing the payment of the currently outstanding Subordinate Lien Obligations and the Certificates and any Additional Subordinate Lien Obligations or Additional Limited Pledge Obligations hereafter issued by the City; and C. Additional Subordinate Lien Obligations payable from and equally and ratably secured by a lien on and pledge of the Net Revenues that is subordinate and inferior to the lien on and pledge thereof securing the payment of any Prior Lien Obligations or Junior Lien Obligations hereafter issued by the City, but prior and superior to the lien on and pledge of the Net Revenues securing, in part, the payment of the currently outstanding Limited Pledge 58237736.5 -29- Obligations, the Certificates, and any Additional Limited Pledge Obligations hereafter issued by the City; and D. Additional Limited Pledge Obligations secured by a lien on and pledge of a limited amount of the Net Revenues in accordance with the provisions of the following paragraph. Prior Lien Obligations, Junior Lien Obligations, and Additional Subordinate Lien Obligations, if issued, may be payable, in whole or in part, from Net Revenues (without impairment of the obligation of contract with the holders of the currently outstanding Limited Pledge Obligations and the Certificates) upon such terms and conditions as the City Council may determine. Additional Limited Pledge Obligations, if issued and payable, in whole or in part, from Pledged Revenues (defined in the same or similar terms as provided in Section 9 of this Ordinance or in the ordinances authorizing the issuance of the currently outstanding Limited Pledge Obligations), shall not in any event be construed to be payable from the Pledged Revenues authorized by this Ordinance or in the ordinances authorizing the issuance of the currently outstanding Limited Pledge Obligations to be budgeted and appropriated for the payment of the Certificates or in the ordinances authorizing the issuance of the currently outstanding Limited Pledge Obligations. However, the lien on and pledge of the limited amount of Net Revenues securing, in part, the payment of the Certificates, the Limited Pledge Obligations and any Additional Limited Pledge Obligations shall be subordinate and inferior to the pledge of and lien on the Net Revenues securing the payment of the currently outstanding Subordinate Lien Obligations and any Prior Lien Obligations, Junior Lien Obligations, or Additional Subordinate Lien Obligations hereafter issued by the City. SECTION 21. Special Covenants. The City hereby further covenants that: A. it has the lawful power to pledge the Pledged Revenues supporting the Certificates and has lawfully exercised said powers under the laws of the State of Texas, including power existing under Chapter 363, as amended, Texas Health and Safety Code, and the Certificate of Obligation Act of 1971, as amended, Texas Local Government Code, Section 271.041 through Section 271.064, and the City's Home Rule Charter; and B. other than for the payment of the currently outstanding Subordinate Lien Obligations and the Limited Pledge Obligations, the Net Revenues of the System have not in any manner been pledged to the payment of any debt or obligation of the City or of the System; SECTION 22. Application of the Covenants and Agreements of the Subordinate Lien Obligations, Prior Lien Obligations, or Junior Lien Obligations. It is the intention of the City Council and accordingly hereby recognized and stipulated that the provisions, agreements, and covenants contained herein bearing upon the management and operations of the System, and the administration and application of Gross Revenues derived from the operation thereof, shall to the extent possible be harmonized with like provisions, agreements, and covenants contained in the ordinances authorizing the issuance of the currently outstanding Subordinate Lien Obligations and any Prior Lien Obligations, Junior Lien Obligations, or Additional Subordinate Lien Obligations hereafter issued by the City, and to the extent of any irreconcilable conflict between the provisions contained herein and in the ordinances authorizing the issuance of the currently 58237736.5 -30- outstanding Subordinate Lien Obligations and any Prior Lien Obligations, Junior Lien Obligations, or Additional Subordinate Lien Obligations hereafter issued, the provisions, agreements and covenants contained therein shall prevail to the extent of such conflict and be applicable to this Ordinance, especially the priority of rights and benefits conferred thereby to the holders of the currently outstanding Subordinate Lien Obligations and any Prior Lien Obligations, Junior Lien Obligations, or Additional Subordinate Lien Obligations hereafter issued. It is expressly recognized that prior to the issuance of any Prior Lien Obligations, Junior Lien Obligations, or Additional Subordinate Lien Obligations, the City must comply with each of the conditions precedent contained in the ordinances authorizing the issuance of the currently outstanding Subordinate Lien Obligations, Limited Pledge Obligations, and the Certificates, as appropriate. SECTION 23. Notices to Holders - Waiver. Wherever this Ordinance provides for notice to Holders of any event, such notice shall be sufficiently given (unless otherwise herein expressly provided) if in writing and sent by United States mail, first-class postage prepaid, to the address of each Holder appearing in the Security Register at the close of business on the business day next preceding the mailing of such notice. In any case where notice to Holders is given by mail, neither the failure to mail such notice to any particular Holders, nor any defect in any notice so mailed, shall affect the sufficiency of such notice with respect to all other Holders. Where this Ordinance provides for notice in any manner, such notice may be waived in writing by the Holder entitled to receive such notice, either before or after the event with respect to which such notice is given, and such waiver shall be the equivalent of such notice. Waivers of notice by Holders shall be filed with the Paying Agent/Registrar, but such filing shall not be a condition precedent to the validity of any action taken in reliance upon such waiver. SECTION 24. Cancellation. All Certificates surrendered for payment, redemption, transfer, exchange, or replacement, if surrendered to the Paying Agent/Registrar, shall be promptly canceled by it and, if surrendered to the City, shall be delivered to the Paying Agent/Registrar and, if not already canceled, shall be promptly canceled by the Paying Agent/Registrar. The City may at any time deliver to the Paying Agent/Registrar for cancellation any Certificates previously certified or registered and delivered which the City may have acquired in any manner whatsoever, and all Certificates so delivered shall be promptly canceled by the Paying Agent/Registrar. All canceled Certificates held by the Paying Agent/Registrar shall be destroyed as directed by the City. SECTION 25. Mutilated, Destroyed, Lost, and Stolen Certificates. If (1) any mutilated Certificate is surrendered to the Paying Agent/Registrar, or the City and the Paying Agent/Registrar receive evidence to their satisfaction of the destruction, loss, or theft of any Certificate, and (2) there is delivered to the City and the Paying Agent/Registrar such security or indemnity as may be required to save each of them harmless, then, in the absence of notice to the City or the Paying Agent/Registrar that such Certificate has been acquired by a bona fide purchaser, the City shall execute and, upon its request, the Paying Agent/Registrar shall register and deliver, in exchange for or in lieu of any such mutilated, destroyed, lost, or stolen Certificate, a new Certificate of the same Stated Maturity and interest rate and of like tenor and principal amount, bearing a number not contemporaneously Outstanding. 58237736.5 -31- In case any such mutilated, destroyed, lost, or stolen Certificate has become or is about to become due and payable, the City in its discretion may, instead of issuing a new Certificate, pay such Certificate. Upon the issuance of any new Certificate or payment in lieu thereof, under this Section, the City may require payment by the Holder of a sum sufficient to cover any tax or other governmental charge imposed in relation thereto and any other expenses and charges (including attorney's fees and the fees and expenses of the Paying Agent/Registrar) connected therewith. Every new Certificate issued pursuant to this Section in lieu of any mutilated, destroyed, lost, or stolen Certificate shall constitute a replacement of the prior obligation of the City, whether or not the mutilated, destroyed, lost, or stolen Certificate shall be at any time enforceable by anyone, and shall be entitled to all the benefits of this Ordinance equally and ratably with all other Outstanding Certificates. The provisions of this Section are exclusive and shall preclude (to the extent lawful) all other rights and remedies with respect to the replacement and payment of mutilated, destroyed, lost, or stolen Certificates. SECTION 26. Sale of the Certificates — Official Statement Approval — Approval of Purchase Contract - Use of Certificate Proceeds. The Certificates authorized by this Ordinance are hereby sold by the City to , , as the authorized representative of a group of underwriters (the Purchasers, having all the rights, benefits, and obligations of a Holder) in accordance with the provisions of a Purchase Contract, dated , 2015 (the Purchase Contract), attached hereto as Exhibit B and incorporated herein by reference as a part of this Ordinance for all purposes. The Initial Certificate shall be registered in the name of the . The pricing and terms of the sale of the Certificates are hereby found and determined to be the most advantageous reasonably obtainable by the City. Any Authorized Representative is hereby authorized and directed to execute the Purchase Contract for and on behalf of the City and as the act and deed of the City Council, and in regard to the approval and execution of the Purchase Contract, the City Council hereby finds, determines and declares that the representations, warranties, and agreements of the City contained in the Purchase Contract are true and correct in all material respects and shall be honored and performed by the City. Delivery of the Certificates to the Purchasers shall occur as soon as practicable after the adoption of this Ordinance, upon payment therefor in accordance with the terms of the Purchase Contract. Furthermore, the City hereby ratifies, confirms, and approves in all respects (i) the City's prior determination that the Preliminary Official Statement was, as of its date, "deemed final" in accordance with the Rule (hereinafter defined) and (ii) the use and distribution of the Preliminary Official Statement by the Purchasers in connection with the public offering and sale of the Certificates. The final Official Statement, being a modification and amendment of the Preliminary Official Statement to reflect the terms of sale (together with such changes approved by an Authorized Representative), shall be and is hereby in all respects approved and the Purchasers are hereby authorized to use and distribute the final Official Statement, dated , 2015, in the reoffering, sale and delivery of the Certificates to the public. The Mayor and/or City Secretary are further authorized and directed to manually execute and deliver for and 58237736.5 -32- on behalf of the City copies of the Official Statement in final form as may be required by the Purchasers, and such final Official Statement in the form and content manually executed by said officials shall be deemed to be approved by the City Council and constitute the Official Statement authorized for distribution and use by the Purchasers. Proceeds from the sale of the Certificates shall be applied as follows: (1) Accrued interest (in the amount of $ ) received from the Purchasers shall be deposited into the Certificate Fund. The City received a net premium from the sale of the Certificates of $ which is hereby allocated by the City in the following manner (1) $ to pay the Purchasers' compensation, (2) $ to pay the costs of issuance, and (3) $ shall be deposited in the Certificate Fund. (2) The balance of the proceeds derived from the sale of the Certificates, after making the deposits to the Certificate Fund as described in (1) above, shall be used to pay costs of issuance or deposited into the special construction account or accounts created for the projects to be constructed with the proceeds of the Certificates. This special construction account shall be established and maintained at the Depository and shall be invested in accordance with the provisions of Section 10 of this Ordinance. Interest earned on the proceeds of the Certificates pending completion of construction of the projects financed with such proceeds shall be accounted for, maintained, deposited, and expended as permitted by the provisions of Chapter 1201, as amended, Texas Government Code, or as required by any other applicable law. Thereafter, such amounts shall be expended in accordance with Section 14 of this Ordinance. SECTION 27. Taxable Obligations. The Certificates are not "state or local bonds" within the meaning of section 103(a) and (c) of the Internal Revenue Code of 1986, as amended; therefore, the interest on the Certificates is not excludable from the gross income of the holders thereof for federal income tax purposes. SECTION 28. Control and Custody of Certificates. The Mayor of the City shall be and is hereby authorized to take and have charge of all necessary orders and records pending investigation by the Attorney General of the State of Texas and shall take and have charge and control of the Certificates pending their approval by the Attorney General, the registration thereof by the Comptroller of Public Accounts and the delivery of the Certificates to the Purchasers. Furthermore, each Authorized Representative is hereby authorized and directed to furnish and execute such documents relating to the City and its financial affairs as may be necessary for the issuance of the Certificates, the approval of the Attorney General and their registration by the Comptroller of Public Accounts and, together with the City's financial advisor, bond counsel, and the Paying Agent/Registrar, make the necessary arrangements for the delivery of the Initial Certificate to the Purchasers and the initial exchange thereof for definitive Certificates. SECTION 29. Satisfaction of Obligation of City. If the City shall pay or cause to be paid, or there shall otherwise be paid to the Holders, the principal of, premium, if any, and 58237736.5 -33- interest on the Certificates, at the times and in the manner stipulated in this Ordinance, then the pledge of taxes levied and the lien on and pledge of the Pledged Revenues under this Ordinance and all covenants, agreements, and other obligations of the City to the Holders shall thereupon cease, terminate, and be discharged and satisfied. Certificates, or any principal amount(s) thereof, shall be deemed to have been paid within the meaning and with the effect expressed above in this Section when (i) money sufficient to pay in full such Certificates or the principal amount(s) thereof at Stated Maturity or to the redemption date therefor, together with all interest due thereon, shall have been irrevocably deposited with and held in trust by the Paying Agent/Registrar, and/or an authorized escrow agent, or (ii) Government Securities shall have been irrevocably deposited in trust with the Paying Agent/Registrar, or an authorized escrow agent, which Government Securities have, in the case of a net defeasance, been certified by an independent accounting firm to mature as to principal and interest in such amounts and at such times as will insure the availability, without reinvestment, of sufficient money, together with any money deposited therewith, if any, to pay when due the principal of and interest on such Certificates, or the principal amount(s) thereof, on and prior to the Stated Maturity thereof or (if notice of redemption has been duly given or waived or if irrevocable arrangements therefor acceptable to the Paying Agent/Registrar have been made) the redemption date thereof for the Certificates. In the event of a gross defeasance of the Certificates, the City shall deliver a certificate from its financial advisor, the Paying Agent/Registrar, or another qualified third party concerning the deposit of cash and/or Government Securities to pay, when due, the principal of, redemption premium (if any), and interest due on any defeased Certificates. Any money so deposited with the Paying Agent/Registrar, and all income from Government Securities held in trust by the Paying Agent/Registrar, or an authorized escrow agent, pursuant to this Section which is not required for the payment of the Certificates, or any principal amount(s) thereof, or interest thereon with respect to which such money has been so deposited shall be remitted to the City or deposited as directed by the City. Furthermore, any money held by the Paying Agent/Registrar for the payment of the principal of and interest on the Certificates and remaining unclaimed for a period of three (3) years after the Stated Maturity of the Certificates, or applicable redemption date, such money was deposited and is held in trust to pay shall upon the request of the City be remitted to the City against a written receipt therefor, subject to the unclaimed property laws of the State of Texas. Notwithstanding any other provision of this Ordinance to the contrary, it is hereby provided that any determination not to redeem defeased Certificates that is made in conjunction with the payment arrangements specified in subsection (i) or (ii) above shall not be irrevocable, provided that: (1) in the proceedings providing for such defeasance, the City expressly reserves the right to call the defeased Certificates for redemption; (2) gives notice of the reservation of that right to the owners of the defeased Certificates immediately following the defeasance; (3) directs that notice of the reservation be included in any redemption notices that it authorizes; and (4) at the time of the redemption, satisfies the conditions of (i) or (ii) above with respect to such defeased debt as though it was being defeased at the time of the exercise of the option to redeem the defeased Certificates, after taking the redemption into account in determining the sufficiency of the provisions made for the payment of the defeased Certificates. 58237736.5 -34- SECTION 30. Printed Opinion. The Purchasers' obligation to accept delivery of the Certificates is subject to their being furnished a final opinion of Fulbright & Jaworski LLP, San Antonio, Texas, as Bond Counsel, approving certain legal matters as to the Certificates, the opinion to be dated and delivered as of the date of initial delivery and payment for the Certificates. Printing of a true and correct copy of the opinion on the reverse side of each of the Certificates, with appropriate certificate pertaining thereto executed by facsimile signature of the City Secretary of the City is hereby approved and authorized. SECTION 31. CUSIP Numbers. CUSIP numbers may be printed or typed on the definitive Certificates. It is expressly provided, however, that the presence or absence of CUSIP numbers on the definitive Certificates shall be of no significance or effect as regards the legality thereof, and neither the City nor bond counsel are to be held responsible for CUSIP numbers incorrectly printed or typed on the definitive Certificates. SECTION 32. Effect of Headings. The Section headings herein are for convenience only and shall not affect the construction hereof. SECTION 33. Ordinance a Contract, Amendments - Outstanding Certificates. The City acknowledges that the covenants and obligations of the City herein contained are a material inducement to the purchase of the Certificates. This Ordinance shall constitute a contract with the Holders from time to time, binding on the City and its successors and assigns, and it shall not be amended or repealed by the City so long as any Certificate remains Outstanding except as permitted in this Section. The City may, without the consent of or notice to any Holders, from time to time and at any time, amend this Ordinance in any manner not detrimental to the interests of the Holders, including the curing of any ambiguity, inconsistency, or formal defect or omission herein. In addition, the City may, with the written consent of Holders holding a majority in aggregate principal amount of the Certificates then Outstanding affected thereby, amend, add to, or rescind any of the provisions of this Ordinance; provided, however, that, without the consent of all Holders of Outstanding Certificates, no such amendment, addition, or rescission shall (1) extend the time or times of payment of the principal of and interest on the Certificates, reduce the principal amount thereof or the rate of interest thereon, or in any other way modify the terms of payment of the principal of, the redemption price therefor, or interest on the Certificates, (2) give any preference to any Certificate over any other Certificate, or (3) reduce the aggregate principal amount of Certificates required for consent to any such amendment, addition, or rescission. SECTION 34. Benefits of Ordinance. Nothing in this Ordinance, expressed or implied, is intended or shall be construed to confer upon any person other than the City, Bond Counsel, Paying Agent/Registrar, and the Holders, any right, remedy, or claim, legal or equitable, under or by reason of this Ordinance or any provision hereof, this Ordinance and all its provisions being intended to be and being for the sole and exclusive benefit of the City, Bond Counsel, Paying Agent/Registrar, and the Holders. SECTION 35. Inconsistent Provisions. All ordinances and resolutions, or parts thereof, which are in conflict or inconsistent with any provision of this Ordinance are hereby repealed to the extent of such conflict, and the provisions of this Ordinance shall be and remain controlling as to the matters ordained herein. 58237736.5 -35- SECTION 36. Governing Law. This Ordinance shall be construed and enforced in accordance with the laws of the State of Texas and the United States of America. SECTION 37. Severability. If any provision of this Ordinance or the application thereof to any person or circumstance shall be held to be invalid, the remainder of this Ordinance and the application of such provision to other persons and circumstances shall nevertheless be valid, and the City Council hereby declares that this Ordinance would have been enacted without such invalid provision. SECTION 38. Construction of Terms. If appropriate in the context of this Ordinance, words of the singular number shall be considered to include the plural, words of the plural number shall be considered to include the singular, and words of the masculine, feminine or neuter gender shall be considered to include the other genders. SECTION 39. Incorporation of Preamble Recitals. The recitals contained in the preamble hereof are hereby found to be true, and such recitals are hereby made a part of this Ordinance for all purposes and are adopted as a part of the judgment and findings of the City Council of the City. SECTION 40. Authorization of Paying Agent/Registrar Agreement. The City Council of the City hereby finds and determines that it is in the best interest of the City to authorize the execution of a Paying Agent/Registrar Agreement concerning the payment, exchange, registration, and transferability of the Certificates. A copy of the Paying Agent/Registrar Agreement is attached hereto, in substantially final form, as Exhibit A and is incorporated by reference to the provisions of this Ordinance. SECTION 41. Public Meeting. It is officially found, determined, and declared that the meeting at which this Ordinance is adopted was open to the public and public notice of the time, place, and subject matter of the public business to be considered at such meeting, including this Ordinance, was given, all as required by Chapter 551, as amended, Texas Government Code. SECTION 42. Unavailability of Authorized Publication. If, because of the temporary or permanent suspension of any newspaper, journal, or other publication, or, for any reason, publication of notice cannot be made meeting any requirements herein established, any notice required to be published by the provisions of this Ordinance shall be given in such other manner and at such time or times as in the judgment of the City or of the Paying Agent/Registrar shall most effectively approximate such required publication and the giving of such notice in such manner shall for all purposes of this Ordinance be deemed to be in compliance with the requirements for publication thereof. SECTION 43. No Recourse Against City Officials. No recourse shall be had for the payment of principal of, premium, if any, or interest on any Certificate or for any claim based thereon or on this Ordinance against any official of the City or any person executing any Certificate. 58237736.5 -36- SECTION 44. Continuing Disclosure Undertaking. A. Definitions. As used in this Section, the following terms have the meanings ascribed to such terms below: EMMA means the MSRB's Electronic Municipal Market Access system, accessible by the general public, without charge, on the internet through the uniform resource locator (URL) http ://www.emma.msrb . org. MSRB means the Municipal Securities Rulemaking Board. Rule means SEC Rule 15c2-12, as amended from time to time. SEC means the United States Securities and Exchange Commission. B. Annual Reports. The City shall file annually with the MSRB, (1) within six months after the end of each fiscal year of the City ending in or after [2015], financial information and operating data with respect to the System of the general type included in the final Official Statement authorized by Section 16 of this Ordinance, being the information described in Exhibit C hereto, and (2) if not provided as part such financial information and operating data, audited financial statements of the City, when and if available. Any financial statements so to be provided shall be (i) prepared in accordance with the accounting principles described in Exhibit C hereto, or such other accounting principles as the City may be required to employ from time to time pursuant to state law or regulation, and (ii) audited, if the City commissions an audit of such financial statements and the audit is completed within the period during which they must be provided. If the audit of such financial statements is not complete within such period, then the City shall file unaudited financial statements within such period and audited financial statements for the applicable fiscal year to the MSRB, when and if the audit report on such statements becomes available. If the City changes its fiscal year, it will file notice thereof with the MSRB of the change (and of the date of the new fiscal year end) prior to the next date by which the City otherwise would be required to provide financial information and operating data pursuant to this Section. C. Notice of Certain Events. The City shall file notice of any of the following events with respect to the Certificates to the MSRB in a timely manner and not more than 10 business days after occurrence of the event: (1) Principal and interest payment delinquencies; (2) Non-payment related defaults, if material; (3) Unscheduled draws on debt service reserves reflecting financial difficulties; 58237736.5 -37- (4) Unscheduled draws on credit enhancements reflecting financial difficulties; (5) Substitution of credit or liquidity providers, or their failure to perform; (6) Adverse tax opinions, the issuance by the Internal Revenue Service of proposed or final determinations of taxability, Notices of Proposed Issue (IRS Form 5701-TEB), or other material notices or determinations with respect to the tax status of the Certificates, or other material events affecting the tax status of the Certificates; (7) Modifications to rights of holders of the Certificates if material; (8) Certificate calls, if material, and tender offers; (9) Defeasances; (10) Release, substitution, or sale of property securing repayment of the Certificates; (11) Rating changes; (12) Bankruptcy, insolvency, receivership, or similar event of the City, which shall occur as described below; (13) The consummation of a merger, consolidation, or acquisition involving the City or the sale of all or substantially all of its assets, other than in the ordinary course of business, the entry into of a definitive agreement to undertake such an action or the termination of a definitive agreement relating to any such actions, other than pursuant to its terms, if material; and (14) Appointment of a successor or additional Paying Agent/Registrar or the change of name of a Paying Agent/Registrar, if material. For these purposes, any event described in the immediately preceding paragraph (12) is considered to occur when any of the following occur: the appointment of a receiver, fiscal agent, or similar officer for the City in a proceeding under the United States Bankruptcy Code or in any other proceeding under state or federal law in which a court or governmental authority has assumed jurisdiction over substantially all of the assets or business of the City, or if such jurisdiction has been assumed by leaving the existing governing body and officials or officers in possession but subject to the supervision and orders of a court or governmental authority, or the entry of an order confirming a plan of reorganization, arrangement, or liquidation by a court or governmental authority having supervision or jurisdiction over substantially all of the assets or business of the City. The City shall file notice with the MSRB, in a timely manner, of any failure by the City to provide financial information or operating data in accordance with this Section by the time required by this Section. 58237736.5 -38- D. Limitations, Disclaimers, and Amendments. The City shall be obligated to observe and perform the covenants specified in this Section for so long as, but only for so long as, the City remains an "obligated person" with respect to the Certificates within the meaning of the Rule, except that the City in any event will give notice of any deposit that causes the Certificates to be no longer Outstanding. The provisions of this Section are for the sole benefit of the Holders and beneficial owners of the Certificates, and nothing in this Section, express or implied, shall give any benefit or any legal or equitable right, remedy, or claim hereunder to any other person. The City undertakes to provide only the financial information, operating data, financial statements, and notices which it has expressly agreed to provide pursuant to this Section and does not hereby undertake to provide any other information that may be relevant or material to a complete presentation of the City's financial results, condition, or prospects or hereby undertake to update any information provided in accordance with this Section or otherwise, except as expressly provided herein. The City does not make any representation or warranty concerning such information or its usefulness to a decision to invest in or sell Certificates at any future date. UNDER NO CIRCUMSTANCES SHALL THE CITY BE LIABLE TO THE HOLDER OR BENEFICIAL OWNER OF ANY CERTIFICATE OR ANY OTHER PERSON, IN CONTRACT OR TORT, FOR DAMAGES RESULTING IN WHOLE OR IN PART FROM ANY BREACH BY THE CITY, WHETHER NEGLIGENT OR WITH OR WITHOUT FAULT ON ITS PART, OF ANY COVENANT SPECIFIED IN THIS SECTION, BUT EVERY RIGHT AND REMEDY OF ANY SUCH PERSON, IN CONTRACT OR TORT, FOR OR ON ACCOUNT OF ANY SUCH BREACH SHALL BE LIMITED TO AN ACTION FOR MANDAMUS OR SPECIFIC PERFORMANCE. No default by the City in observing or performing its obligations under this Section shall constitute a breach of or default under this Ordinance for purposes of any other provision of this Ordinance. Nothing in this Section is intended or shall act to disclaim, waive, or otherwise limit the duties of the City under federal and state securities laws. The provisions of this Section may be amended by the City from time to time to adapt to changed circumstances that arise from a change in legal requirements, a change in law, or a change in the identity, nature, status, or type of operations of the City, but only if (1) the provisions of this Section, as so amended, would have permitted an underwriter to purchase or sell Certificates in the primary offering of the Certificates in compliance with the Rule, taking into account any amendments or interpretations of the Rule to the date of such amendment, as well as such changed circumstances, and (2) either (a) the Holders of a majority in aggregate principal amount (or any greater amount required by any other provision of this Ordinance that authorizes such an amendment) of the Outstanding Certificates consent to such amendment or (b) a person that is unaffiliated with the City (such as nationally recognized bond counsel) determines that such amendment will not materially impair the interests of the Holders and beneficial owners of the Certificates. The City may also repeal or amend the provisions of this Section if the SEC amends or repeals the applicable provisions of the Rule or any court of final 58237736.5 -39- jurisdiction enters judgment that such provisions of the Rule are invalid, and the City also may amend the provisions of this Section in its discretion in any other manner or circumstance, but in either case only if and to the extent that the provisions of this sentence would not have prevented an underwriter from lawfully purchasing or selling Certificates in the primary offering of the Certificates, giving effect to (a) such provisions as so amended and (b) any amendments or interpretations of the Rule. If the City so amends the provisions of this Section, the City shall include with any amended financial information or operating data next provided in accordance with this Section an explanation, in narrative form, of the reasons for the amendment and of the impact of any change in the type of financial information or operating data so provided. E. Information Format; Incorporation by Reference. The City information required under this Section shall be filed with the MSRB through EMMA in such format and accompanied by such identifying information as may be specified from time to time thereby. Under the current rules of the MSRB, continuing disclosure documents submitted to EMMA must be in word -searchable portable document format (PDF) files that permit the document to be saved, viewed, printed, and retransmitted by electronic means and the series of obligations to which such continuing disclosure documents relate must be identified by CUSIP number or numbers. Financial information and operating data to be provided pursuant to this Section may be set forth in full in one or more documents or may be included by specific reference to any document (including an official statement or other offering document) available to the public through EMMA or filed with the SEC. SECTION 45. Book -Entry Only System. It is intended that the Certificates will initially be registered so as to participate in a securities depository system (the DTC System) with The Depository Trust Company, New York, New York, or any successor entity thereto (DTC), as set forth herein. Each Stated Maturity of the Certificates shall be issued (following cancellation of the Initial Certificate described in Section 7) in the form of a separate single definitive Certificate. Upon issuance, the ownership of each such Certificate shall be registered in the name of Cede & Co., as the nominee of DTC, and all of the Outstanding Certificates shall be registered in the name of Cede & Co., as the nominee of DTC. The City and the Paying Agent/Registrar are authorized to execute, deliver, and take the actions set forth in such letters to or agreements with DTC as shall be necessary to effectuate the DTC System, including the Letter of Representations attached hereto as Exhibit D (the Representation Letter). With respect to the Certificates registered in the name of Cede & Co., as nominee of DTC, the City and the Paying Agent/Registrar shall have no responsibility or obligation to any broker-dealer, bank, or other financial institution for which DTC holds the Certificates from time to time as securities depository (a Depository Participant) or to any person on behalf of whom such a Depository Participant holds an interest in the Certificates (an Indirect Participant). Without limiting the immediately preceding sentence, the City and the Paying Agent/Registrar shall have no responsibility or obligation with respect to (i) the accuracy of the records of DTC, Cede & Co., or any Depository Participant with respect to any ownership interest in the 58237736.5 -40- Certificates, (ii) the delivery to any Depository Participant or any other person, other than a registered owner of the Certificates, as shown on the Security Register, of any notice with respect to the Certificates, including any notice of redemption, or (iii) the delivery to any Depository Participant or any Indirect Participant or any other Person, other than a Holder of a Certificate, of any amount with respect to principal of, premium, if any, or interest on the Certificates. While in the DTC System, no person other than Cede & Co., or any successor thereto, as nominee for DTC, shall receive a bond certificate evidencing the obligation of the City to make payments of principal, premium, if any, and interest pursuant to this Ordinance. Upon delivery by DTC to the Paying Agent/Registrar of written notice to the effect that DTC has determined to substitute a new nominee in place of Cede & Co., and subject to the provisions in this Ordinance with respect to interest checks or drafts being mailed to the Holder, the word "Cede & Co." in this Ordinance shall refer to such new nominee of DTC. In the event that (a) the City determines that DTC is incapable of discharging its responsibilities described herein and in the Representation Letter, (b) the Representation Letter shall be terminated for any reason, or (c) DTC or the City determines that it is in the best interest of the beneficial owners of the Certificates that they be able to obtain certificated Certificates, the City shall notify the Paying Agent/Registrar, DTC, and the Depository Participants of the availability within a reasonable period of time through DTC of bond certificates, and the Certificates shall no longer be restricted to being registered in the name of Cede & Co., as nominee of DTC. At that time, the City may determine that the Certificates shall be registered in the name of and deposited with a successor depository operating a securities depository system, as may be acceptable to the City, or such depository's agent or designee, and if the City and the Paying Agent/Registrar do not select such alternate securities depository system then the Certificates may be registered in whatever name or names the Holders of Certificates transferring or exchanging the Certificates shall designate, in accordance with the provisions hereof. Notwithstanding any other provision of this Ordinance to the contrary, so long as any Certificate is registered in the name of Cede & Co., as nominee of DTC, all payments with respect to principal of, premium, if any, and interest on such Certificate and all notices with respect to such Certificate shall be made and given, respectively, in the manner provided in the Representation Letter. SECTION 46. No Recourse Against City Officials. No recourse shall be had for the payment of principal of, premium, if any, or interest on any Certificate or for any claim based thereon or on this Ordinance against any official of the City or any person executing any Certificate. SECTION 47. Further Procedures. The officers and employees of the City are hereby authorized, empowered and directed from time to time and at any time to do and perform all such acts and things and to execute, acknowledge and deliver in the name and under the corporate seal and on behalf of the City all such instruments, whether or not herein mentioned, as may be necessary or desirable in order to carry out the terms and provisions of this Ordinance, the initial sale and delivery of the Certificates, the Paying Agent/Registrar Agreement, the Purchase Contract, and the Official Statement. In addition, prior to the initial delivery of the Certificates, the Authorized Representatives and Bond Counsel are hereby authorized and directed to approve any technical changes or corrections to this Ordinance or to any of the instruments authorized 58237736.5 -41- and approved by this Ordinance necessary in order to (i) correct any ambiguity or mistake or properly or more completely document the transactions contemplated and approved by this Ordinance and as described in the Official Statement, (ii) obtain a rating from any of the national bond rating agencies, or (iii) obtain the approval of the Certificates by the Texas Attorney General's office. In case any officer of the City whose signature shall appear on any certificate shall cease to be such officer before the delivery of such certificate, such signature shall nevertheless be valid and sufficient for all purposes the same as if such officer had remained in office until such delivery. SECTION 48. Effective Date. Pursuant to the provisions of Section 1201.028, as amended, Texas Government Code, this Ordinance shall be effective immediately upon adoption, notwithstanding any provision in the City's Home Rule Charter to the contrary concerning a multiple reading requirement for the adoption of ordinances. 58237736.5 [The remainder of this page intentionally left blank] -42- PASSED AND ADOPTED on the 24th day of February, 2015. CITY OF CORPUS CHRISTI, TEXAS Mayor ATTEST: City Secretary APPROVED THIS 24th DAY OF FEBRUARY, 2015: Miles Risley, City Attorney (CITY SEAL) 58237736.5 S-1 Schedule I - EXHIBIT A EXHIBIT B EXHIBIT C EXHIBIT D 58237736.5 INDEX OF SCHEDULES AND EXHIBITS - Approval Certificate - Paying Agent/Registrar Agreement - Purchase Contract - Description of Annual Financial Information - DTC Letter of Representations I-1 THE STATE OF TEXAS § COUNTY OF NUECES § I, the undersigned, City Secretary of the City of Corpus Christi, Texas, do hereby certify that the above and foregoing is a true, full and correct copy of an Ordinance passed by the City Council of the City of Corpus Christi, Texas (and of the minutes pertaining thereto) on the 24th day of February, 2015, authorizing the issuance of the City's Combination Tax and Limited Pledge Revenue Certificates of Obligation, Taxable Series 2015, which ordinance is duly of record in the minutes of said City Council, and said meeting was open to the public, and public notice of the time, place and purpose of said meeting was given, all as required by Texas Government Code, Chapter 551. EXECUTED UNDER MY HAND AND SEAL of said City, this the 24th day of February, 2015. City Secretary (CITY SEAL) 58237736.5 The foregoing ordinance was read for the first time and passed to its second reading on this the 17th day of February, 2015, by the following vote: Nelda Martinez Chad Magill Brian Rosas Colleen McIntyre Rudy Garza Lillian Riojas Lucy Rubio Mark Scott Carolyn Vaughn The foregoing ordinance was read for the second time and passed finally on this the 24th day of February, 2015, by the following vote: Nelda Martinez Chad Magill Brian Rosas Colleen McIntyre Rudy Garza Lillian Riojas Lucy Rubio Mark Scott Carolyn Vaughn PASSED AND APPROVED, this the 24th day of February, 2015. ATTEST: Rebecca Huerta Nelda Martinez City Secretary Mayor 58237736.5 58237736.5 SCHEDULE I APPROVAL CERTIFICATE SEE TAB NO. Schedule I 58237736.5 EXHIBIT A PAYING AGENT/REGISTRAR AGREEMENT SEE TAB NO. A-1 58237736.5 EXHIBIT B PURCHASE CONTRACT SEE TAB NO. B-1 EXHIBIT C DESCRIPTION OF ANNUAL FINANCIAL INFORMATION The following information is referred to in Section 44 of this Ordinance. Annual Financial Statements and Operating Data The financial information and operating data with respect to the City to be provided annually in accordance with such Section are as specified (and included in the Appendix or under the headings of the Official Statement referred to) below: (1) The City's audited financial statements for the most recently concluded fiscal year or to the extent these audited financial statements are not available, the portions of the unaudited financial statements of the City appended to the Official Statement as Appendix C, but for the most recently concluded fiscal year. (2) All quantitative financial information and operating data with respect to the City of the general type included in Appendix A to the Official Statement under the headings "Debt Payable From Taxes", "General Fund Balances", "Ad Valorem Taxes", and "The Tax Increment Financing Act". Accounting Principles The accounting principles referred to in such Section are generally accepted accounting principles for governmental units as prescribed by the Government Accounting Standards Board from time to time. 58237736.5 C-1 58237736.5 EXHIBIT D DTC LETTER OF REPRESENTATIONS SEE TAB NO. D-1 AGENDA MEMORANDUM First Reading Ordinance for the City Council Meeting of February 17, 2015 Second Reading Ordinance for the City Council Meeting of February 24, 2015 DATE: TO: FROM: February 5, 2015 Ronald L. Olson, City Manager Floyd Simpson, Chief of Police floyds@cctexas.com 886-2603 Modifying and Clarifying Parade and Special Event Permit Ordinance CAPTION: Ordinance repealing Chapter 49, Article 1, Division 2. "Temporary Closure of Streets"; amending Chapter 53, Article VII "Parades and Marches" in its entirety to modify and clarify parades, marches, and street events permit procedures and requirements; providing an effective date; providing for severance; providing for penalty; and providing for publication. PURPOSE: Further clarify the Parade and Special Event Permit Ordinance. It has not been modified since 1973. BACKGROUND AND FINDINGS: Modifications to the ordinance: • Parade and March applicants and Street closure events would be required to get one city permit rather than two. All permits would be reviewed by Police and Fire Department. The Proposed Ordinance simplifies the application process for applicant by having one department handle the one application from start to finish and by consolidating the Street Closure Permitting and Parade Permitting Ordinance. • All event applications would be required to be submitted 90 days prior to the event, rather than current 3 days. The 90 days provide the City Departments time to coordinate and prepare to ensure for the safety and welfare of the public. The 90 day requirement also allows the Police Department time to properly draft officers to staff events. Additionally, a spontaneous event permit is issued for demonstrations that express first amendment rights. Spontaneous Event permits protect free -speech. Applications for spontaneous events are due 2 business days prior to the event. • A $50 application fee will be assessed up front. Street closure permitting fees will remain the same and will be incorporated and billed with the cost incurred by the City. Applicants will be required to make a 20% deposit for cost of event prior to issuance of a permit. The proposed ordinance contains specific language to hold parade organizers accountable for expenses incurred by the City related to parades and related events. Currently Street Closure permitting and application fees are assessed up front. There is no parade permitting fee. Costs incurred by the City related to the event are billed after the event. • Currently certain events such as the Buc Days Parade do not go through the permitting process. Such events enter into a contract with the City for services. These contractual events are reviewed by traffic engineering, police, and fire. Under the proposed ordinance these events will be permitted, but allows City to reduce or waive permitting fees. Fees are agreed to contractually. These events are designated as City Supported events. City Supported Events will be designated by City Council. Such a designation is valid indefinitely unless revoked by City Council. City Supported events must meet 6 criteria including drawing a crowd of over 10,000 people. • Provision requiring events to have adequate waste facilities and holds them responsible for clean up. This provision supplements the City anti -litter initiative. • Neighborhood events require the consent of 75 percent of all persons residing along the street to be closed (current ordinance is 100 percent). The intent of this revision is to make the application for neighborhood events more flexible. • A special events application can be appealed to the City Manager or designee. An appeal is due 5 business days after denial or revocation. An appeal hearing is to be scheduled within 15 days of receiving the request. Current ordinance states denied parade permits application can appeal to City Council. An appeal is due within 5 business days. An appeal hearing is to be scheduled between 3 and 8 days after the filing of the appeal. • Allows the City to prohibit items, such as silly string (flammable), which may cause a safety hazard at parades and street events. The City would provide event organizers a list of prohibited items. • A street closure for filming a motion picture requires City Manager approval. The City Manager is authorized to waive the street closure fees where the event will provide sufficient favorable publicity and economic benefits. The intent of this revision is to expedite the time in which motion film production can be approved. Current ordinance requires City Council approval. • The fees for cost recovery for Traffic Engineering cost are simplified to a two tier fee structure, a set fee for events with fewer than 500 participants (small events) and a set fee for events with over 500 participants (large events). Current ordinance is a multi - tiered fee structure. • A reoccurring event is charged a $200 cost recovery fee to review previously approved traffic control plan. This reduces the fees assessed against reoccurring events that do not require a change to their traffic control plan. Current ordinance permitting fee remains the same even when previous years traffic control plan is used. ALTERNATIVES: None OTHER CONSIDERATIONS: Not applicable CONFORMITY TO CITY POLICY: Conforms to all city policies. EMERGENCY / NON -EMERGENCY: Non -emergency DEPARTMENTAL CLEARANCES: Legal FINANCIAL IMPACT: ❑ Operating ❑ Revenue ❑ Capital X Not applicable Fiscal Year: 2014- 2015 Project to Date Expenditures (CIP only) Current Year Future Years TOTALS Line Item Budget 0 Encumbered / Expended Amount 0 This item 0 BALANCE 0 Fund(s): General Comments: RECOMMENDATION: Staff recommends supporting changes to the ordinance. LIST OF SUPPORTING DOCUMENTS: Ordinance Ordinance repealing Chapter 49, Article 1, Division 2. "Temporary Closure of Streets"; amending Chapter 53, Article VII "Parades and Marches" in its entirety to modify and clarify parades, marches, and street events permit procedures and requirements; providing an effective date; providing for severance; providing for penalty; and providing for publication. WHEREAS, the health, safety and welfare of persons who use public rights of way is of paramount importance in the regulation of the public rights of way; and WHEREAS, the City Council recognizes the unique need for prompt public expression or celebration of views or ideas regarding certain issues, but also to impose reasonable time and place regulations so that the City is afforded an adequate opportunity to ensure the safe and effective control of public rights of way; BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS, THAT: SECTION 1. That Chapter 49, Article 1, Division 2. "Temporary Closure of Streets" of the Code of the City of Corpus Christi is hereby repealed. SECTION 2. That Chapter 53, Article VII "Parades and Marches" of the Corpus Christi Code is hereby amended in its entirety to read as follows: ARTICLE VII. PARADES, MARCHES, AND STREET EVENTS Sec. 53 200. Short title. .. . Section 53-20020'4. DEFINITIONS. "Athletic event" means any event in which a group of persons collectively engage in a sport or form of physical exercise on or within a City street, parking facility, sidewalk, or other public right-of-way including, but not limited to, walking, jogging, runninq, racinq, bicycling, rollerblading, and roller skating, other than a group of people participating in a parade, march, or public assembly. "Block" means one (1) side of a rectangular area surrounded by streets and usually containinq buildings, measured from corner to corner. "City Manager" means the City Manager or his/her designee. "Local Access Street" means street types that provide access to individual residences, elementary schools and parks in a neiqhborhood. "March" means an organized walk or procession by a group of people for a specific cause or 1 issue. "Neighborhood street event" means an event requiring the closure of one (1) block of a residential local access street, as defined in the Urban Transportation Plan (UTP) or as approved by the City's Traffic Engineer or designee, that are sponsored by a neighborhood association or by persons living on the block that requires the use, occupation or full closure of a street, sidewalk or public right-of-way. These events are outdoor gatherings or celebrations which last for less than twelve (12) continuous hours, not requiring street closure past 12:00 a.m. "Non -revenue -generating parade" means any parade for which no participation fee is charged or for which no cash is accepted or collected as sponsorship or in support of the parade. "Parade" means an athletic event, march, pageant, procession or other similar activity consisting of persons, animals, vehicles or things, or any combination thereof, that does not comply with normal traffic regulations or controls on a public right-of-way. As uscd in this article the following tcrms shall havc thc respcctivc m - e ascribed to them: bystandcrs generally, or expressing in public view a common messagc or idca, irrcspectivc of such bystanders, by walking, marching or moving togcther within thc corporate limits, with or parade. any kind. "Pre -parade or assembly" means any gathering or rally of the participants in and, if any, the vehicles, animals, and equipment of a parade on any public property immediately prior to the actual commencement of a parade. "Post -parade or disassembly" means the activity occurring among the participants and if any, the vehicles, animals, and equipment of a parade on public property, immediately following the end of the parade. "Public assembly" means any group of people participating in an organized activity (other than public employees acting within the course and scope of their employment) on or within a City street, parking facility, sidewalk or other public right -of way, other than a group of people participating in an athletic event or parade. Revenue -generating parade means any parade for which a participation fee is charged or for which any cash is accepted or collected as sponsorship or in support of the proposed parade. 2 "Spontaneous Demonstration" means a demonstration on an issue of immediate public importance which will result in governmental action or inaction without the benefit of public expression, lawful picketing by labor union, or political function, protest or statement, or any other expressive activity protected by the First Amendment of the United States Constitution, provided that such activity is the principal purpose of the event and unreasonably delaying the event will nullify its effectiveness. "Street Event" means any activity which occurs upon a City street, parking facility, sidewalk or public property that will affect the ordinary use of public streets, rights-of-way or sidewalks. This includes, but is not limited to, public assemblies, fairs, festivals, athletic events, neighborhood events, parades and block parties. "Parade, March, and Street Event Director" means the person designated by the permittee to manage the Parade, March, or Street Event and who is responsible for compliance with City Ordinances during pre -event, parade, march, or street event and post -event activities. Section 53-201. PERMIT REQUIRED (a) No person or organization shall conduct a parade, march, or street event that affects the ordinary use of public streets, rights -of -ways or sidewalks without first having obtained a Parade, March, and Street Event Permit from the City of Corpus Christi. Conducting a parade, march, or street event without a permit is prohibited. A Parade, March, and Street Event Permit is not required for a Spontaneous Demonstration. (b) No person or organization shall conduct a spontaneous demonstration that affects the ordinary use of public streets, rights -of -ways or sidewalks without first having obtained a Spontaneous Demonstration Permit from the City of Corpus Christi. Conducting a spontaneous demonstration without a permit is prohibited. Sec. 53-202. - Permit required; exceptions. shall have becn obtaincd from the chief of police, thc city managcr or thc city council, as herein prescribed. This article shall not apply to: authorities. (2) A governmental agency acting within the scope of its functions. (3) Lawful picketing by a labor union. (�I) Funcral processions under policc escort conducted by a duly licensed funcral home. 3 cvcnt shall makc application thcrcfor on forms furnishcd by thc city containing such cvcnt, thc namc of thc sponsoring organization, thc purposc of thc event, and a diagram be submitted at least twenty (20) working days prior to thc event aid--m-u-st be accompanied by Section 53-202. PERMIT APPLICATION. (a) An application for a Parade, March, and Street Event Permit shall be submitted to the City with a nonrefundable payment of fifty dollars ($50) at least 49 60 days prior to the proposed parade, march, or street event and no earlier than 365 days prior to the proposed parade, march, or street event. The following information shall be provided: purpose of the parade, march, or street event; name, address and telephone number of sponsoring organization or individual; name, address and telephone number of the Parade, March, and Street Event Director; proposed date, location and hours of operation; schedule of proposed events; trash and recycling collection plan; route map, and such other information as the Police Department or another City department deems reasonably necessary to determine that the permit meets the requirements of this chapter. Untimely permit applications may be accepted upon the City Manager finding good cause for late submittal. (b) An application for a Spontaneous Demonstration Permit shall be submitted at least 2 business days prior to the proposed spontaneous demonstration. The following information shall be provided: purpose of the spontaneous demonstration; name, address and telephone number of sponsoring organization or individual; name, address and telephone number of the Spontaneous Demonstration Director; proposed date, location and hours of operation; and such other information as the Police Department or another City department deems reasonably necessary to determine that the permit meets the requirements of this chapter. Sec. 53 203. Application for permit. contents thereof sworn to as of the datc the application is presentcd. Icss than scventy two (72) hours nor morc than thirty (30) days before thc datc on which it is proposed to conduct the parade. (a)The name, address and telephone number of the person seeking to conduct such 4 parade; authorizcd and responsible hcads of such organization; (c)The name, address and tcicphonc numbcr of thc percon who will bc thc paradc chairman and who will bc responsiblc for its conduct; (d)The date when the parade is to be conducted and any acceptable alternate; altcrnatc routcs; if stops arc planncd during paradc, whcthcr any spccchmaking b scheduled during such stops; such parade; the hype of animals, and description of the vehicles; any predominance of age groups; any anticipated change in the number of marchers during the course of thc parade; and if so, where; (h)A statement as to whether the paradc will occupy all or only a portion of thc width of thc strects proposed to bc travcrsed; d+sasscmbly (post parade) areas and the estimated times of assembly a-n-GI-G1+sassembly; (j)The interval of space to bc maintained bctween units of such parade; applicant, the applicant for such permit shall filc with the chief of police a communication in thc permit on his behalf; (I)The general purpose of the planned parade, e.g. anniversary, mcmorial, protest, religioi is other• (m)Any other reasonably neccssary information thc chicf of police prescribcs for such application for thc purposc of dctcrmining whcthcr thc proposcd paradc mccts thc standards of issuance sct forth in section 53 20'1 (3) Late applications. The chief of police, whcrc good causc is shown thcrcfor, shall havc than seventy two (72) hours beforc the datc such parade is propesed to bc conducted. 5 Sec. 53-212. - Contents of permit. information: (1)Date of parade; (2)Starting time and termination time of parade; (3)Minimum speed; (d)Maximum speed; (5)Maximum interval of space to be maintained between the units of the paradc; (6)The portions of the streets to be traversed that may be occupied by thc paradc; portions of parade; (7)The name of thc permittcc and the parade chairman; (8)The maximum length of the parade in miles or fractions thereof; this article. Section 53-203. STANDARDS FOR DENIAL OF PERMIT. (a) No Parade, March, and Street Event Permit shall be issued to any organizer or sponsor of an event that owes money to the City. Reasons for denial of a Parade, March, and Street Event Permit include: the event will disrupt traffic within the City beyond practical solution; will interfere with access to fire stations and fire hydrants; the location of the parade, march, or street event will cause undue hardship to adjacent businesses or residents; the event will require the diversion of so many public employees that allowing the event would unreasonably deny service to the remainder of the City; the application contains incomplete or false information; the applicant fails to comply with all terms of this chapter including failure to remit all fees and deposits or failure to provide proof of insurance and a save harmless agreement to the City. The route and date of event will require approval by the City to verify that adequate staffing is available to ensure the safety of the public at the parade, march, or street event and in the community. A Parade, March, and Street Event Permit may be denied based on a determination that the parade, march, or street event will require the diversion of so many police officers from their regular duties as to substantially impair police protection in the City. (b) A Spontaneous Demonstration Permit may be denied for the following reasons: the event will disrupt traffic within the City beyond practical solution; will interfere with access to fire 6 stations and fire hydrants; the application contains incomplete or false information; and a determination that the spontaneous demonstration will require the diversion of so many police officers from their regular duties as to substantially impair police protection in the City. The route and date of event will require approval by the City to verify that adequate staffing is available to ensure the safety of the public at the spontaneous demonstration and in the community. Sec. 53 204. Standards for issuance of permit. The chief of police sha+ssue a permit as provided for hercunder when, from a consideration of thc application and from such other information as may otherwise be obtaincd, he finds that: (1)The conduct of the paradc will not substantially interrupt the safe and orderly movcment of other traffic contiguous to its route; (2)The conduct of the paradc will not requirc thc divcrsion of so gr t a numbcr of policc officers of the city to properly police the line of movemcnt and the arcas contiguous thcreto as to prevcnt normal police protection to the city; ambulanccs as to prevcnt normal ambulancc scrvice to portions of thc city othcr than that to be occupicd by the proposed line of march and areas contiguous thercto; contiguous to such asscmbly arcas or disasscmbly areas; (5)The conduct of such paradc will not interfcre with the movement of fircfighting personncl or apparatus en route to a firc; property; (7)The paradc is schedulcd to movc from its point of origin to its point of termination peditiously and without unrcasonable delays en route. Sec. 53 205. Refusal of permit. parade permit only if: (1)The application is materially incomplete. standards requircd by section 53 20'1 of this article are not mct. parade permit the chief of police must have available for inspcction by thc applicant or his identified sourcc of information within forty eight ('18) hours of the filing of the completed application. Hc shall eithcr dclivcr the refusal notice and rcasons personally to thc applicant or mail said noticc and rcasons by certified or registcrcd mail, rcturn rcccipt rcqucstcd, to thc namc and address as the applicant shall specify in his application. Noticc shall bc dcemed casc may bc. Thc failurc of thc chicf of policc, thc city managcr or thc city council to is uc thc permission to parade. immediate route arca shall be considered. Sec. 53 206. Revision of permit application or appeal in case of refusal of permit. If the initial application is rcfuscd, thc applicant may rcvisc samc to rcmovc thosc itcros mayor, shall dockct such hearing promptly and give the applicant not Icss than forty eight ('18) hours' personal notice of such hcaring, by mail, telcphonc, or personally; provided, however, with thc city secretary. The hearing must bc public unlcss thc city council dctcrmines, by majority vote, that the application and/or evidence thereon involves the public security. waives such rcprcsentation for himself. The hearing shall be closed at thc conclusion of thc procccding in one scssion and may not bc rcccssed for more than nine (9) hours in total. Thc council shall promptly dcliberate and thcn guidclines of this article. Sec. 53 209. Alternate permit. (3) days after notice of thc action of the chicf of police, file a written noticc of acceptance with - a - - ea .. have the effect of, a parade permit under this article. 8 Sec. 53-210. - Precedence of permits. date of filing of application. applicaier4s involving the largest number of persons in parade. Sec. 53 211. Notice to city and other officials of permit issuance. Immediately upon the issuance of a parade permit, thc chicf of policc shall send a copy thcreof to the following: (1) The mayor; (2) The city manager; (3) The city attorney; ('I) The human relations director; (5) The fire chief; (6) The director of the dcpartmcnt of inspections and operations; (7) The postmaster; (8) The director of public utilities; (9) The director of civil defense; (10) The local office of the state departmcnt of public safety. Sec. 53-213. - Transfer of permit. No permit issued hereunder shall be transferable without written consent of thc chicf of policc or the city manager. Section 53-204. PARADE, MARCH, AND STREET EVENT COST. The applicant shall be responsible for paying costs incurred by the City as a result of the parade, march, or street event and any other fees required by City Ordinance. The City shall provide the applicant with a cost estimate prior to the issuance of a Parade, March, and Street Event Permit. Prior to the issuance of a permit for a parade, march, or street event, the applicant shall agree in writing to pay all costs incurred by the City as a result of the parade, march, or street event. Sec. 49 18. Reimbursement for costs of the city. 9 agree to cither: ea aa ee public expenses involved in producing the event; or ae event, Section 53-205. DEPARTMENTAL COST ANALYSIS. 1) Traffic Enqineerinq Division Cost — (a)For neiqhborhood street events, a cost recovery fee of one hundred twenty dollars ($120.00) will be assessed. Neighborhood events will require the use of traffic control devices. Based on availability, the City may provide applicants with traffic control devices for a refundable deposit of one hundred dollars ($100.00). Applicants who fail to return to the City any traffic control devices or materials shall forfeit the amount deposited. (b)For street events which require a traffic control plan, the applicant may choose to obtain a traffic control plan from the City or from a professional engineer licensed in the State of Texas. Three (3) sets of traffic control plans and direction on the set up of traffic control devices will be provided to applicants obtaining services through the City. A review fee of one hundred dollars ($100.00) will be charged for the required review of traffic control plans submitted by an applicant's professional engineer. The cost recovery fee, for services provided by the City, will be required for such events based on the followinq sliding scale: Approximate number of participants Fee Less than 500 $250 501 or greater $550 An additional fee of one hundred dollars ($100.00) will be added to the above cost recovery fee for any changes to an approved traffic control plan for secondary review. (c) City approved traffic control plan -.Reoccurring street events that have a City approved traffic control plan may utilize the previously City approved traffic control plan if no changes are required to the traffic control plan because the proposed event is under the same set of conditions as the previous event and such events will not be accessed the cost recovery fees in subsection 53-205 (1) (b). A cost recovery fee, if no chanqes are required to the traffic control plan from the previous year, of two hundred dollars ($200.00) will be assessed. Ne street event fee will be assessed for reoccurrinq street events that utilize the previously City approved traffic control plan if no changes arc rcquircd to thc traffic control plan because thc proposed cvcnt is undcr thc same sct of conditions as thc prcvious cvcnt. Sec. 49 16. - Issuance of permits; classification -of -events; required fees. Upon thc review of the application, the traffic cngineer may issue permits for the tcmporary closure of a street or strccts in thc following manner: 10 traffic engincer. Noticc of the granting of such permits shall bc provided to thc city council. A permit application fee of one hundred twenty dollars ($120.00) is requircd for such cvcnts. deposited. (b) Small events. For small evcnts which rcquirc the closurc of one (1) minor strect located bctween two (2) intersecting strcets (onc (1) block) and adjacent to churches, schools, or other public institutions, not involving extcnsive detouring of traffic and not requiring closure for morc than twelve-(1-z4-eentinuou+s hours, permits may be grantcd by the traffic engineer. Noticc of the granting of such permits shall be provided to the city council. For • application fcc is required for such events based on the following sliding scale: Approximate numbcr of participant:, Fcc Lcss than 200 $120.00 200-349 350 500 $200.00 $300.00 The city will provide a traffic control plan as well as dircction on the set up of traffic control devices. Applicants may choose to obtain a traffic control dcsign by separate consultant agrccmcnt with a licensed professional cnginccr consultant. A fee of fifty dollars ($50.00) will be assessed for three (3) sets of traffic control pla. control plan. A review fee of fifty dollars ($50.00) will bc charged for thc required review of traffic control plans submittcd by an applicant's consultant cnginccr. dollars ($100.00). Applicants who fail to return to the city any traffic control dcviccs or materials shall forfcit the amount deposited. Events of morc than 500 participaRts will bc considered a large/special event. including, but not limited to, cvents which rcquirc thc closure of onc (1) or morc major 11 sliding scale: Approximate numbcr of participant:, Lcss than 500, fcnccd Lcss than 500, unfcnccd Morc than 500, fcnccd Morc than 500, unfcnccd Fco $300.00 $350.00 $400.00 $500.00 design by separate consultant agreement with a licensed professional cngincer. For events with more than five hundred (500) participants, a fee of two hundred dollars plan. A review fee of one hundred dollars ($100.00) will be charged for the required review of traffic control plans submitted by an applicant's consultant engincer. fee is required for all non revenue generating parades, marches, walks, and required. (e) Revenue generating parades, walks, sporting events. A permit fee is required for all application fcc is required for such events based on the following sliding scale: Approximate numbcr of participant:, 0--99 100-199 €ee $ 50.00 $100.00 200-299 $150.00 300-499 $250.00 500-699 Morc than 700 12 $350.00 $400.00 The city will provide a traffic control plan when nccessary. Applicants mase to obtain a traffic control design by separate consultant agreement with a licensed profcssional A traffic control plan fcc of two hundred dollars ($200.00) will be rcquired for events for pre approved route. approved traffic control plan. A review fee of one hundred dollars ($100.00) will be charged for the rcquired review of traffic control plans submittcd by an applicant's consultant engineer. up rcquircments shall be as directed by the traffic control plan. 2) Parks and Recreation Department Cost —Parks and Recreation Department will assess fees required by the Corpus Christi Code for use of City property related to a parade, march, or street event. When park maintenance service is necessary and provided by the City, the permittee shall be responsible for reimbursing the City for the cost of providing park personnel. The cost for City park personnel shall be the actual cost for the services provided. Actual cost shall include salary, overtime (when applicable), benefits, and any vehicle usage cost. There is a minimum two-hour cost per park personnel. 3) Police Department Cost - When the presence of police officers is necessary for a parade, march, or street event, the permittee shall be responsible for reimbursing the City for the cost of providing police personnel. The cost for City police personnel shall include salary and any vehicle usage cost. Salary will be computed using the average overtime rate for a senior officer. There is a minimum three-hour cost per officer. The objective standards used to determine the number of police officers shall be as follows: General traffic conditions in the area requested, both vehicular and pedestrian; Route to be taken if the event is a parade or other moving event; Duration of the Street event; Whether all or any portion of a roadway will be closed; The estimated number of people who will attend; Uses adjacent to the event such as residential or commercial areas; Time and date of event; Alcoholic beverages available for consumption at the event; Fireworks at the event; Wild or undomesticated animals at the event; Need for safety zones (fireworks launch area, balloon/helicopter launch or landing area, etc.). 13 In no event will content of the event or the potential or anticipated reaction to the content by others be considered as factors in the number of police officers needed. All reasonable alternative routes, times and locations will be considered so as to offer the applicant the option that will provide the economical costs consistent with the qeneral public health, safety and welfare. 4) Fire Department Cost - When the presence of fire fighters or EMS personnel is necessary for a parade, march, or street event, the permittee shall be responsible for reimbursinq the City for the cost of providing fire/EMS personnel. The cost for City fire/EMS personnel shall be the actual cost for the services provided. Actual cost shall include salary, overtime (when applicable), benefits, and any vehicle usage cost. There is a minimum three-hour cost per fire/EMS personnel. 5) Solid Waste Department Cost - Trash maintenance service must be provided by the permittee during and immediately following the parade, march, or street event. When trash maintenance service is necessary and provided by the City, the permittee shall be responsible for reimbursing the City for the cost of providing solid waste personnel. The cost for City solid waste personnel shall be the actual cost for the services provided. Actual cost shall include salary, overtime (when applicable), benefits, and any vehicle usage cost. There is a minimum two-hour cost per solid waste personnel. Section 53-206. CITY SUPPORTED EVENTS (a) City Supported Events do not require a deposit under this Chapter. The cost and fees assessed under this Chapter may be reduced for City Supported Events. Applications for City Supported Events must be submitted at least 180 days prior to the proposed parade, march, or street event. Untimely permit applications may be accepted upon the City Manager finding qood cause for late submittal. (b) Cost and fees for City Supported Events will be established contractually by the City with the City Supported Event Sponsor. (c) For consideration for classification as a City Supported Event, the Parade, March, or Street Event must: 1 draw a crowd of approximately 10,000 people; 2. draw visitors from outside the reqion resultinq in hotel occupancy tax qains; 3. be coordinated by a non-profit organization where the majority of funds raised during the event are retained/spent locally; 4. have free attendance to the public; 5. have community wide appeal and access; and 6. be of cultural, educational, health, or historical significance. (d) Events meeting the requirements in subsection (c) shall be presented to City Council for determination. City Council shall grant or deny City Supported Event desiqnation. If a designation is granted, the City Council reserves the right to remove the City Supported Event desiqnation at any time in the future. 14 Section 53-207. COST EXEMPT EVENTS. (a) Spontaneous Demonstration shall be exempt from cost and fees. (b) Non -revenue -generating parades that do not require a traffic control plan shall be exempt from Parade, March, and Street Event Permit cost and fees. The insurance requirements and save harmless agreement are applicable to all non -revenue -generating parades that are exempt from cost and fees. Sec. 49 16. - Issuance of permits; classification of events; required fees. is required for all non revenue generating parades, marchcs, walks, and demonstrations Section 53-208. MOTION PICTURE EVENT The City Manager may authorize temporary closure of a street for producing a historical, cultural, documentary, promotional, or other similar motion picture, or for conducting a comparable event, which will promote the City. In addition to the application fee required for a Parade, March, and Street Event Permit, before the permit is issued, the sponsor shall pay the same occupancy charges that would be required by section 53-195 for a contractor occupying public right-of-way during erection, construction or repair of a building. If the City Manager finds that producing the motion picture or conducting the event in the City will provide sufficient favorable publicity and economic benefits to justify waiver, the City Manager may waive the payment of said occupancy charges and Parade, March, and Street Event Permit cost and fees. historical, cultural, documentary, promotional, or other similar motion picture, or for conducting section /19 16, before the permit is issued the sponsor shall pay thc samc occupancy chargcs picture or conducting the event in the city will provide sufficient favorable publicity and economic bcncfits to justify waiver, thc council may waive the payment of said occupancy chargcs and may waive thc requirements of subsections (a) and (b) above. Section 53-209. PERFORMANCE DEPOSIT REQUIRED. A performance deposit of 20% of the parade, march, or street event cost estimate shall be 15 remitted to the city before the Parade, March, and Street Event Permit is issued. Cost in excess of the performance deposit shall be billed after the parade, march, or street event. Payment of cost in excess of the performance deposit will be due 30 days after billing. A performance deposit will be refunded if the parade, march, or street event does not occur. Section 53-210. INSURANCE REQUIRED. Permittee is required to obtain and present evidence of comprehensive liability insurance naming the City as an additional insured and a waiver subrogation on all applicable policies. The insurance requirement for small events is commercial general liability coverage of $500,000 per occurrence. The insurance requirement for large events is commercial general liability coverage of $1,000,000 per occurrence. Permittee shall not hold an event until all required insurance has been obtained and approved by the City. Permittee must furnish to the City two (2) copies of Certificates of Insurance with applicable policy endorsements, showing the minimum coveraqe by insurance company(s) acceptable to the City's Risk Manaqer within thirty (30) days prior to the Parade, March, and Street Event. (c) - - - -- -- - - ' - - - --- - - - -- - -- -- - --_ coverage for small events of five hundred thousand dollars ($500,000.00)/five hundred .. ... .. .. ... .e cvcnts of five hundred thousand dollars ($500,000.00)/onc million dollars ($1,000,000.00)/onc hundred thousand dollars ($100,000.00). Certificates evidencing the required coverage shall be supplied the city at least five (5) days prior to the event. Section 53-211. SAVE HARMLESS AGREEMENT. Permittee is required to provide a save harmless aqreement in which permittee aqrees to defend, pay and save harmless the City, its officers and employees, from any and all claims or lawsuits for personal injury or property damage arising from or in any way connected to the Parade, March, or Street Event; excepting any claims arising solely out of the negligent acts of the City, its officers and employees. arising from the event. * * * * Section 53-212. LIMITATION OF LIABILITY. This chapter shall not be construed as imposing upon the City or its officials or employees any liability or responsibility for any injury or damage to any person in any way connected to the use for which permits has been issued. The City and its officials and employees shall not be deemed to have assumed any liability or responsibility by reasons of inspections performed, the issuance of any permit, or the approval of any use of the right-of-way. Section 53-213. PARADE, MARCH, AND STREET EVENT REQUIREMENTS. 16 Permittees must ensure the parade, march, or street event meets the following conditions and requirements. The City shall provide permittee list of all requirements based on the type and size of the parade, march, or street event. (1) Temporary traffic control devices, meeting Texas Manual on Uniform Traffic Control Devices (TMUTCD), shall be obtained by the permittee and installed in accordance with a traffic control plan approved by the City Traffic Engineer. Sec. 49-17. - Conditions and requirements for permit. Prior to thc tcmporary closurc of any strcct, thc sponsor must agrcc to comply with thc -eae ea limited to, the following: (b)All profits dcrivcd from the event shall be uscd for charitable purposcs. (e) Sufficicnt the traffic engincer. {(-) Adequate restroom facilities must be provided to accommodate the needs of the public. (h) gj All other permits required by the state or any other public authority must be obtained by the sponsor permittee at least two (2) weeks prior to the event. (i)All security shall be providcd by thc sponsor. {t) (4) Any construction of booths, stages, displays, electrical services and plumbing shall comply with the relevant City Codes and shall be in accordance with the layout approved in the permit. {k} (5) A sufficient supply of potable water shall be supplied within the event site. 4) (6) Adequate first aid stations shall be provided by the sponsor permittee. (m) (7) The :sponsor permittee shall provide continuous cleaning of the site during the event and at the conclusion of the event restore the site to the same condition it was in prior to the event. Adequate trash receptacles must be provided to accommodate the needs of the public. Any damaged public property shall be restored by the sponsor permittee upon conclusion of the event. (n) (8) Vehicles shall be prohibited from parking on grass areas within the street right-of-way. pavemcnt markings. {) (9) Provision shall be made for the free passage of emergency vehicles into the event area 17 in case of emergency. (q) City council may authorize a regularly schedule event such as Bayfest or Buccaneer Days to charge an admission fee. conditions or requirements as are reasonably neces ary to fit the particular needs of the event in order to Insure the public safety and protect public property. (10) The Parade, March, and Street Event Director shall be onsite during the pre -event, the Parade, March, or Street Event and the post -event activities. Sec. 53 214. Duties of permittee. conspicuously identified by arm bands. parade permit upon his person during thc conduct of thc prc paradc, paradc and post paradc activities. Section 53-214. NOTIFICATION REQUIREMENTS. (a) Prior to issuance of a Parade, March, and Street Event Permit for neighborhood events, applicant shall provide a petition, as furnished by the city, containing the signatures of seventy- five (75) percent of adult residents of the street to be closed indicating their consent to the proposed street closure. The petition is due within thirty (30) days prior to the Parade, March, and Street Event. Sec. 49 16. - Issuance of permits; classification -of -events; required fees. (a) * * * persons residing along the street to be closed. Neighborhood event permits require the use of traffic control devices.* * * * (b) Prior to issuance of a Parade, March, and Street Event Permit for Street Events other than neighborhood events, applicant shall, at applicant's expense, notify all registered neighborhood associations, religious institutions, schools and owners of property, as shown on the current tax roll, along all block faces of the proposed street closure. Notification must be made within thirty (30) days prior to the Parade, March, and Street Event. (c) Parade, March, and Street Events other than neighborhood events, that have occurred on a yearly basis for the last five (5) years may provide notification by publication in lieu of notify all registered neighborhood associations, religious institutions, schools and owners of property, as shown on the current tax roll, along all block faces of the proposed street closure. Sec. 49 17. Conditions and requirements for permit. 18 considered. (2) Standard form of approved writtcn notice required. The applicant/sponsor must give writtcn notice by using thc standard approved form supplied by thc traffic cngineer. (3)Required recipients of written notice. 1.To all tenants occupying a tenant space of property abutting that portion of the street 2.To all building managers and property managers of all multi tenant properties abutting that portion of the street to be closed to vehicular traffic. 3.If the property abutting that portion of thc street to bc closed to vehicular traffic is vacant, approved written notice may be mailed to the property owner's last known address according to thc of thc Nucccs County Tax Appraisal District's records. traffic engineer proof of having furnished the written notice required undcr this chapter. c.Hand delivcry. Proof of cach hand delivcry may bc shown by providing thc signature of thc d.Ccrtified mail. If written notice cannot bc madc by hand delivery, proof may bc shown by thc receipt of certified mail delivery. approvcd writtcn noticc on thc inside of entrances to multi tenant buildings of properties abutting that portion of thc strect to bc closed to vehicular traffic. approvcd writtcn noticc of thc proposed temporary street closure shall include noticc of thc scheduled. * * * * Section 53-215. SANITATION AND CLEAN-UP. A Parade, March, and Street Event Permit may be issued only after adequate waste disposal facilities have been identified and obtained by permittee. Permittee may be required to utilize City signage addressing litter and recycling. Such signage must be returned to the City at the end of the event. Permittee will clean the right-of-way of rubbish and debris, returning it to its pre -event condition, within 24 hours of the conclusion of the parade, march, or street event. If the permittee fails to clean up such refuse, such clean up shall be arranged by the City and the 19 costs charged to permittee. Section 53-216. REVOCATION OF PARADE, MARCH, AND STREET EVENT PERMIT. All permits issued pursuant to this chapter shall be temporary and do not vest any permanent rights. Reasons for revocation of a Parade, March, and Street Event Permit include application contained incomplete or false information; applicant does not comply with all terms and conditions of permit; applicant fails to arrange for or adequately remit all fees, deposits, or insurance to the City; or a disaster, public calamity, riot or other emergency exists. All fees, performance deposit and proof of insurance shall be submitted to the City thirty (30) days prior to the parade, march, or street event. Failure to submit all required fees, performance deposit and proof of insurance is cause for revocation. Revocation of a Parade, March, and Street Event Permit may be appealed by the same process as an appeal which results from denial of a permit. Sam -207. Reveeation of porn -Et, be revoked by the chief of police or by the council, regardless of the issuer of the permit, A permit may be revoked under the following circumstances: and/or route, including pre parade and post parade activity; peace; (3)The violation of the cxpress tcrms or conditions of the paradc permit; ('I )Any false and material statement or representation on the application. writing, delivered to any known member or officer of the sponsor, and, if none be available on the scene, to any person apparently in a leadership position as would be believed by a man of Section 53-217. APPEAL PROCEDURE. Any applicant whose Parade, March, and Street Event Permit application has been denied or revoked may request a review of this decision by the City Manager. This request must be in writing and received by the City Manager within five business days of the notice of permit 20 denial or revocation. The City Manager or designee shall set a hearing date within 15 days of receiving such appeal request. At such hearing, the applicant is entitled to be heard and present evidence in their behalf. The City Manager or designee shall determine whether the denial or revocation of the permit is justified. Sec. 53 208. Appeals from revocation of permit. agent on the scene. He shall, forthwith, either rescind the revocation, if the chief of police or on scene representative. Finally, if thc appellant for thc applicant permittcc be di&caticficd, he may file a written appeal of the revocation with thc city secretary in the procedure and manner noticed, docketed, proccssed, heard and disposed of in thc like manncr. Section 53-218 2-1-5. PUBLIC CONDUCT DURING PARADES, MARCHES, AND STREET EVENTS (1) Interference. No person shall unreasonably hamper, obstruct, impede, or interfere with any parade, march, or street event assembly, disassembly, or with any person, vehicle or animal participating or used in a parade, march, or street event. (2) Driving through parades, marches, or street events. No driver of a vehicle shall drive between the vehicles, persons or animals comprising a parade, march, or street event when such vehicles, persons or animals are in motion and are conspicuously designated as a parade, march, or street event, unless directed by a peace officer. (3) Parking on parade, march, or street event route. The Police Department shall have the authority under both this article and other ordinances of the City regulating parking, when reasonably necessary, to prohibit or restrict the parking of vehicles along a street or road or part thereof constituting a part of the route of a parade, march, or street event. The police department shall post signs to such effect, and it shall be unlawful for any person to park or leave unattended any vehicle in violation thereof. (4) Prohibited items. The City may prohibit parade, march, or street event participants from having items, such as squirt guns or silly string, that could lead to crowd control issues or jeopardize public safety. The City will notify parade, march, and street event applicants of prohibited items. Sec. 53-216. - Restraining order. Where imminent breach of the public p ace is thr atcncd or in progresc by prc paradc, paradc or—Rest parade activities so as to substantially imperil the health, safety, morals or welfare of 21. peace. Section 53-219 2- PENALTY Each person violating any provision of this article shall, upon conviction, be punishable by a fine of not less than fifty dollars ($50.00) nor more than five hundred dollars ($500.00) the limit proviaea in section 1 n. Section 53-220 218 53-249. RESERVED. Provisions not previously addressed that are repealed by ordinance SECTION 3. This ordinance takes effect after official publication. SECTION 4. If for any reason any section, paragraph, subdivision, clause, phrase, word or provision of this ordinance shall be held invalid or unconstitutional by final judgment of a court of competent jurisdiction, it shall not affect any other section, paragraph, subdivision, clause, phrase, word or provision of this ordinance, for it is the definite intent of this City Council that every section, paragraph, subdivision, clause, phrase, word or provision hereof be given full force and effect for its purpose. SECTION 5. Penalties are as provided in Section 1-6 of the Code of Ordinances. SECTION 6. Publication shall be made one time in the official publication of the City of Corpus Christi as required by the City Charter of the City of Corpus Christi. 22 That the foregoing ordinance was read for the first time and passed to its second reading on this the day of , by the following vote: Nelda Martinez Brian Rosas Rudy Garza Lucy Rubio Chad Magill Mark Scott Colleen McIntyre Carolyn Vaughn Lillian Riojas That the foregoing ordinance was read for the second time and passed finally on this the day of , , by the following vote: Nelda Martinez Brian Rosas Rudy Garza Lucy Rubio Chad Magill Mark Scott Colleen McIntyre Carolyn Vaughn Lillian Riojas PASSED AND APPROVED, this the th day of ATTEST: Rebecca Huerta City Secretary 23 Nelda Martinez Mayor Ordinance repealing Chapter 49, Article 1, Division 2. "Temporary Closure of Streets"; amending Chapter 53, Article VII "Parades and Marches" in its entirety to modify and clarify parades, marches, and street events permit procedures and requirements; providing an effective date; providing for severance; providing for penalty; and providing for publication. WHEREAS, the health, safety and welfare of persons who use public rights of way is of paramount importance in the regulation of the public rights of way; and WHEREAS, the City Council recognizes the unique need for prompt public expression or celebration of views or ideas regarding certain issues, but also to impose reasonable time and place regulations so that the City is afforded an adequate opportunity to ensure the safe and effective control of public rights of way; BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS, THAT: SECTION 1. That Chapter 49, Article 1, Division 2. "Temporary Closure of Streets" of the Code of the City of Corpus Christi is hereby repealed. SECTION 2. That Chapter 53, Article VII "Parades and Marches" of the Corpus Christi Code is hereby amended in its entirety to read as follows: ARTICLE VII. PARADES, MARCHES, AND STREET EVENTS Section 53-200. DEFINITIONS. "Athletic event" means any event in which a group of persons collectively engage in a sport or form of physical exercise on or within a City street, parking facility, sidewalk, or other public right-of-way including, but not limited to, walking, jogging, running, racing, bicycling, rollerblading, and roller skating, other than a group of people participating in a parade, march, or public assembly. "Block" means one (1) side of a rectangular area surrounded by streets and usually containing buildings, measured from corner to corner. "City Manager" means the City Manager or his/her designee. "Local Access Street" means street types that provide access to individual residences, elementary schools and parks in a neighborhood. "March" means an organized walk or procession by a group of people for a specific cause or issue. "Neighborhood street event" means an event requiring the closure of one (1) block of a residential local access street, as defined in the Urban Transportation Plan (UTP) or as approved by the City's Traffic Engineer or designee, that are sponsored by a neighborhood association or by persons living on the block that requires the use, occupation or full closure of 1 a street, sidewalk or public right-of-way. These events are outdoor gatherings or celebrations which last for less than twelve (12) continuous hours, not requiring street closure past 12:00 a.m "Non -revenue -generating parade" means any parade for which no participation fee is charged or for which no cash is accepted or collected as sponsorship or in support of the parade. "Parade" means an athletic event, march, pageant, procession or other similar activity consisting of persons, animals, vehicles or things, or any combination thereof, that does not comply with normal traffic regulations or controls on a public right-of-way. "Pre -parade or assembly" means any gathering or rally of the participants in and, if any, the vehicles, animals, and equipment of a parade on any public property immediately prior to the actual commencement of a parade. "Post -parade or disassembly" means the activity occurring among the participants and if any, the vehicles, animals, and equipment of a parade on public property, immediately following the end of the parade. "Public assembly" means any group of people participating in an organized activity (other than public employees acting within the course and scope of their employment) on or within a City street, parking facility, sidewalk or other public right -of way, other than a group of people participating in an athletic event or parade. Revenue -generating parade means any parade for which a participation fee is charged or for which any cash is accepted or collected as sponsorship or in support of the proposed parade. "Spontaneous Demonstration" means a demonstration on an issue of immediate public importance which will result in governmental action or inaction without the benefit of public expression, lawful picketing by labor union, or political function, protest or statement, or any other expressive activity protected by the First Amendment of the United States Constitution, provided that such activity is the principal purpose of the event and unreasonably delaying the event will nullify its effectiveness. "Street Event" means any activity which occurs upon a City street, parking facility, sidewalk or public property that will affect the ordinary use of public streets, rights-of-way or sidewalks. This includes, but is not limited to, public assemblies, fairs, festivals, athletic events, neighborhood events, parades and block parties. "Parade, March, and Street Event Director" means the person designated by the permittee to manage the Parade, March, or Street Event and who is responsible for compliance with City Ordinances during pre -event, parade, march, or street event and post -event activities. Section 53-201. PERMIT REQUIRED. (a) No person or organization shall conduct a parade, march, or street event that affects the ordinary use of public streets, rights -of -ways or sidewalks without first having obtained a Parade, March, and Street Event Permit from the City of Corpus Christi. Conducting a parade, march, or street event without a permit is prohibited. A Parade, March, and Street Event Permit is not required for a Spontaneous Demonstration. 2 (b) No person or organization shall conduct a spontaneous demonstration that affects the ordinary use of public streets, rights -of -ways or sidewalks without first having obtained a Spontaneous Demonstration Permit from the City of Corpus Christi. Conducting a spontaneous demonstration without a permit is prohibited. Section 53-202. PERMIT APPLICATION. (a) An application for a Parade, March, and Street Event Permit shall be submitted to the City with a nonrefundable payment of fifty dollars ($50) at least 60 days prior to the proposed parade, march, or street event and no earlier than 365 days prior to the proposed parade, march, or street event. The following information shall be provided: purpose of the parade, march, or street event; name, address and telephone number of sponsoring organization or individual; name, address and telephone number of the Parade, March, and Street Event Director; proposed date, location and hours of operation; schedule of proposed events; trash and recycling collection plan; route map, and such other information as the Police Department or another City department deems reasonably necessary to determine that the permit meets the requirements of this chapter. Untimely permit applications may be accepted upon the City Manager finding good cause for late submittal. (b) An application for a Spontaneous Demonstration Permit shall be submitted at least 2 business days prior to the proposed spontaneous demonstration. The following information shall be provided: purpose of the spontaneous demonstration; name, address and telephone number of sponsoring organization or individual; name, address and telephone number of the Spontaneous Demonstration Director; proposed date, location and hours of operation; and such other information as the Police Department or another City department deems reasonably necessary to determine that the permit meets the requirements of this chapter. Section 53-203. STANDARDS FOR DENIAL OF PERMIT. (a) No Parade, March, and Street Event Permit shall be issued to any organizer or sponsor of an event that owes money to the City. Reasons for denial of a Parade, March, and Street Event Permit include: the event will disrupt traffic within the City beyond practical solution; will interfere with access to fire stations and fire hydrants; the location of the parade, march, or street event will cause undue hardship to adjacent businesses or residents; the event will require the diversion of so many public employees that allowing the event would unreasonably deny service to the remainder of the City; the application contains incomplete or false information; the applicant fails to comply with all terms of this chapter including failure to remit all fees and deposits or failure to provide proof of insurance and a save harmless agreement to the City. The route and date of event will require approval by the City to verify that adequate staffing is available to ensure the safety of the public at the parade, march, or street event and in the community. A Parade, March, and Street Event Permit may be denied based on a determination that the parade, march, or street event will require the diversion of so many police officers from their regular duties as to substantially impair police protection in the City. 3 (b) A Spontaneous Demonstration Permit may be denied for the following reasons: the event will disrupt traffic within the City beyond practical solution; will interfere with access to fire stations and fire hydrants; the application contains incomplete or false information; and a determination that the spontaneous demonstration will require the diversion of so many police officers from their regular duties as to substantially impair police protection in the City. The route and date of event will require approval by the City to verify that adequate staffing is available to ensure the safety of the public at the spontaneous demonstration and in the community. Section 53-204. PARADE, MARCH, AND STREET EVENT COST. The applicant shall be responsible for paying costs incurred by the City as a result of the parade, march, or street event and any other fees required by City Ordinance. The City shall provide the applicant with a cost estimate prior to the issuance of a Parade, March, and Street Event Permit. Prior to the issuance of a permit for a parade, march, or street event, the applicant shall agree in writing to pay all costs incurred by the City as a result of the parade, march, or street event. Section 53-205. DEPARTMENTAL COST ANALYSIS. 1) Traffic Engineering Division Cost — (a)For neighborhood street events, a cost recovery fee of one hundred twenty dollars ($120.00) will be assessed. Neighborhood events will require the use of traffic control devices. Based on availability, the City may provide applicants with traffic control devices for a refundable deposit of one hundred dollars ($100.00). Applicants who fail to return to the City any traffic control devices or materials shall forfeit the amount deposited. (b)For street events which require a traffic control plan, the applicant may choose to obtain a traffic control plan from the City or from a professional engineer licensed in the State of Texas. Three (3) sets of traffic control plans and direction on the set up of traffic control devices will be provided to applicants obtaining services through the City. A review fee of one hundred dollars ($100.00) will be charged for the required review of traffic control plans submitted by an applicant's professional engineer. The cost recovery fee, for services provided by the City, will be required for such events based on the following sliding scale: Approximate number of participants Fee Less than 500 $250 501 or greater $550 An additional fee of one hundred dollars ($100.00) will be added to the above cost recovery fee for any changes to an approved traffic control plan for secondary review. (c) City approved traffic control plan - Reoccurring street events that have a City approved traffic control plan may utilize the previously City approved traffic control plan if no changes are required to the traffic control plan because the proposed event is under the same set of 4 conditions as the previous event and such events will not be accessed the cost recovery fees in subsection 53-205 (1) (b). A cost recovery fee, if no changes are required to the traffic control plan from the previous year, of two hundred dollars ($200.00) will be assessed. 2) Parks and Recreation Department Cost —Parks and Recreation Department will assess fees required by the Corpus Christi Code for use of City property related to a parade, march, or street event. When park maintenance service is necessary and provided by the City, the permittee shall be responsible for reimbursing the City for the cost of providing park personnel. The cost for City park personnel shall be the actual cost for the services provided. Actual cost shall include salary, overtime (when applicable), benefits, and any vehicle usage cost. There is a minimum two-hour cost per park personnel. 3) Police Department Cost - When the presence of police officers is necessary for a parade, march, or street event, the permittee shall be responsible for reimbursing the City for the cost of providing police personnel. The cost for City police personnel shall include salary and any vehicle usage cost. Salary will be computed using the average overtime rate for a senior officer. There is a minimum three-hour cost per officer. The objective standards used to determine the number of police officers shall be as follows: General traffic conditions in the area requested, both vehicular and pedestrian; Route to be taken if the event is a parade or other moving event; Duration of the Street event; Whether all or any portion of a roadway will be closed; The estimated number of people who will attend; Uses adjacent to the event such as residential or commercial areas; Time and date of event; Alcoholic beverages available for consumption at the event; Fireworks at the event; Wild or undomesticated animals at the event; Need for safety zones (fireworks launch area, balloon/helicopter launch or landing area, etc.). In no event will content of the event or the potential or anticipated reaction to the content by others be considered as factors in the number of police officers needed. All reasonable alternative routes, times and locations will be considered so as to offer the applicant the option that will provide the economical costs consistent with the general public health, safety and welfare. 4) Fire Department Cost - When the presence of fire fighters or EMS personnel is necessary for a parade, march, or street event, the permittee shall be responsible for reimbursing the City for the cost of providing fire/EMS personnel. The cost for City fire/EMS personnel shall be the actual cost for the services provided. Actual cost shall include salary, overtime (when applicable), benefits, and any vehicle usage cost. There is a minimum three-hour cost per fire/EMS personnel. 5) Solid Waste Department Cost - Trash maintenance service must be provided by the permittee during and immediately following the parade, march, or street event. When trash maintenance service is necessary and provided by the City, the permittee shall be responsible for reimbursing the City for the cost of providing solid waste personnel. The cost for City solid waste personnel shall be the actual cost for the services provided. Actual cost shall include salary, overtime (when applicable), benefits, and any vehicle usage cost. There is a minimum two-hour cost per solid waste personnel. 5 Section 53-206. CITY SUPPORTED EVENTS (a) City Supported Events do not require a deposit under this Chapter. The cost and fees assessed under this Chapter may be reduced for City Supported Events. Applications for City Supported Events must be submitted at least 180 days prior to the proposed parade, march, or street event. Untimely permit applications may be accepted upon the City Manager finding good cause for late submittal. (b) Cost and fees for City Supported Events will be established contractually by the City with the City Supported Event Sponsor. (c) For consideration for classification as a City Supported Event, the Parade, March, or Street Event must: 1. draw a crowd of approximately 10,000 people; 2. draw visitors from outside the region resulting in hotel occupancy tax gains; 3. be coordinated by a non-profit organization where the majority of funds raised during the event are retained/spent locally; 4. have free attendance to the public; 5. have community wide appeal and access; and 6. be of cultural, educational, health, or historical significance. (d) Events meeting the requirements in subsection (c) shall be presented to City Council for determination. City Council shall grant or deny City Supported Event designation. If a designation is granted, the City Council reserves the right to remove the City Supported Event designation at any time in the future. Section 53-207. COST EXEMPT EVENTS. (a) Spontaneous Demonstration shall be exempt from cost and fees. (b) Non -revenue -generating parades that do not require a traffic control plan shall be exempt from Parade, March, and Street Event Permit cost and fees. The insurance requirements and save harmless agreement are applicable to all non -revenue -generating parades that are exempt from cost and fees. Section 53-208. MOTION PICTURE EVENT The City Manager may authorize temporary closure of a street for producing a historical, cultural, documentary, promotional, or other similar motion picture, or for conducting a comparable event, which will promote the City. In addition to the application fee required for a Parade, March, and Street Event Permit, before the permit is issued, the sponsor shall pay the same occupancy charges that would be required by section 53-195 for a contractor occupying public right-of-way during erection, construction or repair of a building. If the City Manager finds that producing the motion picture or conducting the event in the City will provide sufficient favorable publicity and economic benefits to justify waiver, the City Manager may waive the 6 payment of said occupancy charges and Parade, March, and Street Event Permit cost and fees. Section 53-209. PERFORMANCE DEPOSIT REQUIRED. A performance deposit of 20% of the parade, march, or street event cost estimate shall be remitted to the city before the Parade, March, and Street Event Permit is issued. Cost in excess of the performance deposit shall be billed after the parade, march, or street event. Payment of cost in excess of the performance deposit will be due 30 days after billing. A performance deposit will be refunded if the parade, march, or street event does not occur. Section 53-210. INSURANCE REQUIRED. Permittee is required to obtain and present evidence of comprehensive liability insurance naming the City as an additional insured and a waiver subrogation on all applicable policies. The insurance requirement for small events is commercial general liability coverage of $500,000 per occurrence. The insurance requirement for large events is commercial general liability coverage of $1,000,000 per occurrence. Permittee shall not hold an event until all required insurance has been obtained and approved by the City. Permittee must furnish to the City two (2) copies of Certificates of Insurance with applicable policy endorsements, showing the minimum coverage by insurance company(s) acceptable to the City's Risk Manager within thirty (30) days prior to the Parade, March, and Street Event. Section 53-211. SAVE HARMLESS AGREEMENT. Permittee is required to provide a save harmless agreement in which permittee agrees to defend, pay and save harmless the City, its officers and employees, from any and all claims or lawsuits for personal injury or property damage arising from or in any way connected to the Parade, March, or Street Event; excepting any claims arising solely out of the negligent acts of the City, its officers and employees. Section 53-212. LIMITATION OF LIABILITY. This chapter shall not be construed as imposing upon the City or its officials or employees any liability or responsibility for any injury or damage to any person in any way connected to the use for which permits has been issued. The City and its officials and employees shall not be deemed to have assumed any liability or responsibility by reasons of inspections performed, the issuance of any permit, or the approval of any use of the right-of-way. Section 53-213. PARADE, MARCH, AND STREET EVENT REQUIREMENTS. Permittees must ensure the parade, march, or street event meets the following conditions and requirements. The City shall provide permittee list of all requirements based on the type and size of the parade, march, or street event. (1) Temporary traffic control devices, meeting Texas Manual on Uniform Traffic Control Devices (TMUTCD), shall be obtained by the permittee and installed in accordance with a traffic control plan approved by the City Traffic Engineer. (2) Adequate restroom facilities must be provided to accommodate the needs of the public. (3) All other permits required by the state or any other public authority must be obtained by the permittee at least two (2) weeks prior to the event. (4) Any construction of booths, stages, displays, electrical services and plumbing shall comply with the relevant City Codes and shall be in accordance with the layout approved in the permit. (5) A sufficient supply of potable water shall be supplied within the event site. (6) Adequate first aid stations shall be provided by the permittee. (7) The permittee shall provide continuous cleaning of the site during the event and at the conclusion of the event restore the site to the same condition it was in prior to the event. Adequate trash receptacles must be provided to accommodate the needs of the public. Any damaged public property shall be restored by the permittee upon conclusion of the event. (8) Vehicles shall be prohibited from parking on grass areas within the street right-of-way. (9) Provision shall be made for the free passage of emergency vehicles into the event area in case of emergency. (10) The Parade, March, and Street Event Director shall be onsite during the pre -event, the Parade, March, or Street Event and the post -event activities. Section 53-214. NOTIFICATION REQUIREMENTS. (a) Prior to issuance of a Parade, March, and Street Event Permit for neighborhood events, applicant shall provide a petition, as furnished by the city, containing the signatures of seventy- five (75) percent of adult residents of the street to be closed indicating their consent to the proposed street closure. The petition is due within thirty (30) days prior to the Parade, March, and Street Event. (b) Prior to issuance of a Parade, March, and Street Event Permit for Street Events other than neighborhood events, applicant shall, at applicant's expense, notify all registered neighborhood associations, religious institutions, schools and owners of property, as shown on the current tax roll, along all block faces of the proposed street closure. Notification must be made within thirty (30) days prior to the Parade, March, and Street Event. (c) Parade, March, and Street Events other than neighborhood events, that have occurred on a yearly basis for the last five (5) years may provide notification by publication in lieu of notify all registered neighborhood associations, religious institutions, schools and owners of property, as shown on the current tax roll, along all block faces of the proposed street closure. Section 53-215. SANITATION AND CLEAN-UP. A Parade, March, and Street Event Permit may be issued only after adequate waste disposal facilities have been identified and obtained by permittee. Permittee may be required to utilize City signage addressing litter and recycling. Such signage must be returned to the City at the 8 end of the event. Permittee will clean the right-of-way of rubbish and debris, returning it to its pre -event condition, within 24 hours of the conclusion of the parade, march, or street event. If the permittee fails to clean up such refuse, such clean up shall be arranged by the City and the costs charged to permittee. Section 53-216. REVOCATION OF PARADE, MARCH, AND STREET EVENT PERMIT. All permits issued pursuant to this chapter shall be temporary and do not vest any permanent rights. Reasons for revocation of a Parade, March, and Street Event Permit include application contained incomplete or false information; applicant does not comply with all terms and conditions of permit; applicant fails to arrange for or adequately remit all fees, deposits, or insurance to the City; or a disaster, public calamity, riot or other emergency exists. All fees, performance deposit and proof of insurance shall be submitted to the City thirty (30) days prior to the parade, march, or street event. Failure to submit all required fees, performance deposit and proof of insurance is cause for revocation. Revocation of a Parade, March, and Street Event Permit may be appealed by the same process as an appeal which results from denial of a permit. Section 53-217. APPEAL PROCEDURE. Any applicant whose Parade, March, and Street Event Permit application has been denied or revoked may request a review of this decision by the City Manager. This request must be in writing and received by the City Manager within five business days of the notice of permit denial or revocation. The City Manager or designee shall set a hearing date within 15 days of receiving such appeal request. At such hearing, the applicant is entitled to be heard and present evidence in their behalf. The City Manager or designee shall determine whether the denial or revocation of the permit is justified. Section 53-218. PUBLIC CONDUCT DURING PARADES, MARCHES, AND STREET EVENTS (1) Interference. No person shall unreasonably hamper, obstruct, impede, or interfere with any parade, march, or street event assembly, disassembly, or with any person, vehicle or animal participating or used in a parade, march, or street event. (2) Driving through parades, marches, or street events. No driver of a vehicle shall drive between the vehicles, persons or animals comprising a parade, march, or street event when such vehicles, persons or animals are in motion and are conspicuously designated as a parade, march, or street event, unless directed by a peace officer. (3) Parking on parade, march, or street event route. The Police Department shall have the authority under both this article and other ordinances of the City regulating parking, when reasonably necessary, to prohibit or restrict the parking of vehicles along a street or road or part thereof constituting a part of the route of a parade, march, or street event. The police department shall post signs to such effect, and it shall be unlawful for any person to park or leave unattended any vehicle in violation thereof. (4) Prohibited items. The City may prohibit parade, march, or street event participants from 9 having items, such as squirt guns or silly string, that could lead to crowd control issues or jeopardize public safety. The City will notify parade, march, and street event applicants of prohibited items. Section 53-219 PENALTY Each person violating any provision of this article shall, upon conviction, be punishable by a fine of not less than fifty dollars ($50.00) nor more than five hundred dollars ($500.00). Section 53-220-53-249. RESERVED. SECTION 3. This ordinance takes effect after official publication. SECTION 4. If for any reason any section, paragraph, subdivision, clause, phrase, word or provision of this ordinance shall be held invalid or unconstitutional by final judgment of a court of competent jurisdiction, it shall not affect any other section, paragraph, subdivision, clause, phrase, word or provision of this ordinance, for it is the definite intent of this City Council that every section, paragraph, subdivision, clause, phrase, word or provision hereof be given full force and effect for its purpose. SECTION 5. Penalties are as provided in Section 1-6 of the Code of Ordinances. SECTION 6. Publication shall be made one time in the official publication of the City of Corpus Christi as required by the City Charter of the City of Corpus Christi. 10 That the foregoing ordinance was read for the first time and passed to its second reading on this the day of , by the following vote: Nelda Martinez Brian Rosas Rudy Garza Lucy Rubio Chad Magill Mark Scott Colleen McIntyre Carolyn Vaughn Lillian Riojas That the foregoing ordinance was read for the second time and passed finally on this the day of , , by the following vote: Nelda Martinez Brian Rosas Rudy Garza Lucy Rubio Chad Magill Mark Scott Colleen McIntyre Carolyn Vaughn Lillian Riojas PASSED AND APPROVED, this the th day of ATTEST: Rebecca Huerta City Secretary 11 Nelda Martinez Mayor AGENDA MEMORANDUM Approval at the City Council Meeting of February 24, 2015 DATE: February 24, 2015 TO: Ronald L. Olson, City Manager FROM: Tom Tagliabue, Director of Intergovernmental Relations TomTag@cctexas.com (316) 826-3850 Constance P. Sanchez, Director of Financial Services ConstanceP@cctexas.com (361) 826-3227 Issuance of Tax Notes Related to Texas Military Preparedness Commission CAPTION: Ordinance by the City of Council of the City of Corpus Christi, Texas authorizing the issuance of "City of Corpus Christi, Texas Tax Notes, Series 2015" in an amount not to exceed $5,090,000, levying an annual ad valorem tax, within the limitations prescribed by law, for the payment of the obligations; prescribing the form, terms, conditions, and resolving other matters incident and related to the issuance, sale, and delivery of the obligations; authorizing the execution of paying agent/registrar agreement and a loan agreement; complying with the provisions of the depository trust company' s letter of representations; and providing an effective date. PURPOSE: The City plans on calling for redemption prior to stated maturity two outstanding bond issuances: "City of Corpus Christi, Texas General Improvement Bonds, Series 2007" and "City of Corpus Christi, Texas Combination Tax and Utility System Revenue Certificates of Obligation, Series 2007". Subsequently, the City plans on issuing up to $5,090,000 of Tax Notes to fund projects associated with the Texas Military Preparedness Commission. This item was previously approved by the City Council on November 11, 2014 and November 18, 2014 but is being brought back to reflect final terms based on negotiations with the Texas Military Preparedness Commission (TMPC), which includes final interest rates, authorization to sign a loan agreement with the TMPC, and a revision to the series name of the bonds to 2015. The transaction's economics have not changed since originally approved by the City Council on November 18, 2014. BACKGROUND AND FINDINGS: (Provided for informational purposes since nothing regarding this matter has changed since originally approved.) Following the 2005 round of Base Realignment and Closure (BRAC), the City of Corpus Christi (City) received a $10,507,390 loan from Texas Military Value Revolving Loan Fund through the Texas Military Preparedness Commission (TMPC) for two projects: (1) the expansion and reconstruction of Port Avenue from 1-37 to US 181 and (2) the realignment of Flour Bluff Drive and extension of the Waldron Field runway. The Texas Department of Transportation (TxDOT), through the Corpus Christi Metropolitan Planning Organization (CCMPO), provided a $10,878,300 match for the Port Avenue project making the total for both projects $21,385,690. The City of Corpus Christi issued two series of debt in 2007: (1) a series of 2004 voter -approved general obligation bonds and (2) a series of non -voted certificates of obligations (COs) to repay the TMPC loan. Together the two bond debts are referred to as the 2007 Obligations. Both series were sold to the Texas Public Finance Authority (TPFA), acting on behalf of the Texas Military Preparedness Commission, to provide the City with assistance for projects targeting infrastructure related to military facilities located in and around the City. In order to provide a source of funding for the purchase of the City's 2007 Obligations, the TPFA sold its own bonds (Source Bonds). The TPFA, in turn, uses the money that the City sends for its debt service payments on the 2007 Obligations to make its debt service payments on their Source Bonds. The Port Avenue project was completed, but there is approximately $2.4 million in unspent funds remaining from that project. The Waldron Field/Flour Bluff Drive project was never started due to opposition to the project, so approximately $2.4 million remains in unspent funds from that project. The debt instruments, ordinances and loan contract prevent the remaining loan balance from being used for purposes other than the original projects. The City continues to make regular debt service payments on the principal and interest, but cannot pay off the remaining debt until 2016 because the City's 2007 Obligations nor the Source Bonds are callable until September 2016. In order to repurpose the remaining proceeds, the City needs t h e consent of the TMPC (as the sole holder of 2007 COs) to amend the ordinance authorizing the issuance of the 2007 COs to allow for another purpose and needs permission from the TMPC to use the remaining proceeds for additional military value projects. The City's bond counsel has proposed a transaction whereby the City will issue new tax notes while the TMPC simultaneously (or shortly thereafter) agrees (i) to an early and immediate redemption of the original 2007 Obligations and (ii) to purchase, on behalf of the TMPC (as it originally did in 2007 in connection with the issuance of the 2007 Obligations), the new tax notes. The City will pay to the TMPC the redemption amount of the 2007 Obligations (which should closely resemble the amount of unspent proceeds of 2007 Obligations); and the TMPC will then immediately turn around and use those proceeds to purchase the City's new 2015 tax notes. This process should be neutral to the TMPC and to the TPFA since the TPFA will still have a source of payment of debt service of its Source Bonds which will now be the City's new debt. Likewise, the City should also be in relatively neutral position, as well. The military value projects that are proposed to be financed with these tax notes are as follows: 1. Sam Rankin Road Improvement To improve access and flow to the Strategic Military Port at the Port of Corpus Christi, Sam Rankin Road needs to be reconstructed. The project is a partnership between the Port of Corpus Christi and the City of Corpus Christi, to enhance access to Sam Rankin Road, which directly serves the staging lots and the railyard adjacent to the road and leading to Dock 8, 14 or 15 on the south side of the Corpus Christi Ship Channel, commonly referred to as the roll-on, roll -off docks. From this location, the Port moves shipments of military equipment by highway and rail to and from the forts and overseas installations. The Ports of Beaumont and Corpus Christi handled more than 50 percent of the equipment and material deployed to Iraq and Afghanistan since 2003. Sam Rankin Road will be expanded to a 28 -foot wide road section from Port Avenue to West Broadway Street to include curb and gutter, storm water drains, and subsurface storm water sewer system. Funding of $1,318,030 is needed for the City's share (approximately 76%) of the project to cover engineering design, roadway construction and utilities. The Port of Corpus Christi's funding commitment (approximately 24%) is $408,094 million for a total project cost of $1,726,125. 2. Land Acquisitions of Clear Zones, Accident Prevention Zones and Encroachments The City of Corpus Christi, Nueces County and Naval Air Station Corpus Christi (NASCC) completed a Joint Land Use Study (JLUS) in 2013. The JLUS included recommendations for annexation and acquisition of land to ensure compatibility with the flight training mission of NASCC. The City has identified several parcels of land both inside and outside city limits it may wish to acquire within clear zones, accident prevention zones and other encroachment sites in close proximity to NASCC and its outlying airfields (Cabaniss, Waldron and the Corpus Christi International Airport) to create buffer zones. Eliminating potential land use incompatibilities will enhance readiness activities and ensure continuation of the military mission at NASCC. The City would consider acquisition of fee simple title, development easements, conservation easements, or other instruments that would prohibit incompatibilities and protect the mission and purpose of NASCC. The City estimates $1.7 million for these various strategies, but will only consider transactions from a willing seller. No eminent domain authority will be used. 3. NASCC South Gate Truck Lane As part of Force Protection Initiative, there is a need for a separate truck lane at the South Gate of NASCC on NAS Drive. Funds are needed to plan, design, engineer, relocate utilities, and construct the required serpentine lane inside and outside the NASCC South Gate. NASCC will prepare planning document with specifications. Through an MOA with the City, the City would solicit bids for and oversee construction. The estimated budget for the new truck lane is $1.5 million. 4. NASCC Fence Line Replacement As part of Force Protection Initiative, various segments of security fence line around NASCC need to be replaced. The fences are old, have gaps, and do not conform to current homeland security standards. Enhanced fencing will address security needs and potential encroachments. The estimated budget for fence replacement is approximately $500,000. 5. CCIA Taxiway Expansion & Safety Enhancements Widen a taxiway at Corpus Christi International Airport (CCIA) from 50 feet to 75 feet and construct fillets to improve safe transit of US Coast Guard (USCG) assets from CCIA taxiways to the USCG apron. Further enhances safety by moving all Coast Guard planes from NASCC to CCIA. The estimated budget is approximately $356,000. The private vendor constructing and leasing the new hangar for the USGC is spending $344,755 to construct a 50 -foot wide by 200 -foot long section of taxiway. The City's loan funds would expand the taxiway and mitigate 90 degree turning movements on the apron. The TPFA approved the City's refunding request on Thursday, December 4, 2014. The City then submitted a new loan application to the TMPC, which was also approved on Thursday, December 4, 2014. This agenda item today will authorize the issuance of the new tax notes on the basis of finally negotiated terms with the TMPC (which do not impact the economics of the transaction approved by the City on November 18, 2014). ALTERNATIVES: n/a OTHER CONSIDERATIONS: n/a CONFORMITY TO CITY POLICY: This item conforms to City policy. EMERGENCY / NON -EMERGENCY: Issuance of municipal obligations are exempted from the City's charter provision regarding dual reading and/or emergency adoption provisions pursuant to the provisions of Section 1201.028, as amended, Texas Government Code. Given time constraints based on negotiations with the TMPC, this ordinance adopting modifications to the transaction's terms will be approved on a single reading. DEPARTMENTAL CLEARANCES: • Office of Intergovernmental Relations • Bond Counsel • Legal Department FINANCIAL IMPACT: ❑ Not Applicable ❑ Operating Expense X Revenue ❑ CIP FISCAL YEAR: Project to Date Exp. (CIP Only) Current Year Future Years TOTALS Budget - $5,090,000 - $ 5,090,000 Encumbered/Expended amount of (date) - - - This item - $5,090,000 - $ 5,090,000 BALANCE - - - - FUND(S): CIP Funds COMMENTS: n/a RECOMMENDATION: Staff recommends approval of the ordinance as presented. LIST OF SUPPORTING DOCUMENTS: Ordinance FINAL AN ORDINANCE BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS AUTHORIZING THE ISSUANCE OF "CITY OF CORPUS CHRISTI, TEXAS TAX NOTES, SERIES 2015" IN THE AMOUNT OF $5,090,000, LEVYING AN ANNUAL AD VALOREM TAX, WITHIN THE LIMITATIONS PRESCRIBED BY LAW, FOR THE PAYMENT OF THE OBLIGATIONS; PRESCRIBING THE FORM, TERMS, CONDITIONS, AND RESOLVING OTHER MATTERS INCIDENT AND RELATED TO THE ISSUANCE, SALE, AND DELIVERY OF THE OBLIGATIONS; AUTHORIZING THE EXECUTION OF A PAYING AGENT/REGISTRAR AGREEMENT AND A LOAN AGREEMENT; COMPLYING WITH THE PROVISIONS OF THE DEPOSITORY TRUST COMPANY'S LETTER OF REPRESENTATIONS; AND PROVIDING AN EFFECTIVE DATE WHEREAS, pursuant to the provisions of Chapter 1431, as amended, Texas Government Code (the Act), the City Council (the Governing Body) of the City of Corpus Christi, Texas (the Issuer) is authorized and empowered to issue anticipation notes to pay contractual obligations incurred or to be incurred for the construction of any public works, for the purchase of materials, supplies, equipment, machinery, buildings, lands, and rights-of-way for the Issuer's authorized needs and purposes, and for professional services, including services provided by tax appraisers, engineers, architects, attorneys, auditors, mapmakers, financial advisors, and fiscal agents; and WHEREAS, in accordance with the provisions of the Act, the Governing Body hereby finds and determines that anticipation notes should be issued and sold at this time to finance the costs of paying contractual obligations to be incurred for the (1) designing, acquiring, constructing, renovating, and improving City streets and roads, capital improvements at the City's Airport, and capital repair and improvement of City assets and facilities that support military activities in and around the City and (2) payment of professional services related to the design, construction and financing of the aforementioned projects; and WHEREAS, in accordance with the provisions of Chapter 436, as amended, Texas Government Code, the City has submitted an application to the Texas Military Preparedness Commission (the TMPC) seeking financial assistance for the projects described in Section 1 of this Ordinance to enhance the military value of facilities located in, near, or adjacent to the City; and WHEREAS, the TMPC has approved the City's application for financial assistance and requested the Texas Public Finance Authority (the TPFA) to provide financial assistance for the projects described in Section 1 of this Ordinance, and the TMPC has agreed to purchase the Obligations (defined herein) issued by the City to finance projects approved by the TMPC; and WHEREAS, the City adopted on November 18, 2014 an ordinance authorizing the issuance of tax notes for the same purposes for which the tax notes that are the subject of this Ordinance are now being issued and which previously -adopted City ordinance is hereby declared to be subsumed and replaced by this Ordinance and be of no further force and effect; and 41052379.6 1 WHEREAS, the Governing Body hereby finds and determines that the issuance of anticipation notes is in the best interests of the residents of the Issuer, now, therefore, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS THAT: SECTION 1: Authorization - Designation - Principal Amount - Purpose. General obligation notes of the Issuer shall be and are hereby authorized to be issued in the aggregate principal amount of FIVE MILLION NINETY THOUSAND AND NO/100 DOLLARS ($5,090,000), to be designated and bear the title of "CITY OF CORPUS CHRISTI, TEXAS TAX NOTES, SERIES 2015" (the Obligations), for the purpose of providing funds for the (1) designing, acquiring, constructing, renovating, and improving City streets and roads, capital improvements at the City's Airport, and capital repair and improvement of City assets and facilities that support military activities in and around the City and (2) payment of professional services related to the design, construction and financing of the aforementioned projects, all in conformity with the laws of the State of Texas, particularly Chapter 1431, as amended, Texas Government Code, this ordinance adopted by the Governing Body on February 24, 2015, and the City's Home Rule Charter. SECTION 2: Fully Registered Obligations - Authorized Denominations - Stated Maturities - Interest Rates — Dated Date. The Obligations shall be issued as fully registered obligations, without coupons, shall be dated March 1, 2015 (the Dated Date) and shall be issued generally in denominations of $100,000 or any integral multiple of $1,000 in excess thereof (within a Stated Maturity), shall be lettered "R-" and numbered consecutively from one (1) upward and principal shall become due and payable on September 1 in each of the years and in principal amounts (the Stated Maturities) and bear interest on the unpaid principal amounts from the Closing Date, or from the most recent Interest Payment Date (hereinafter defined) to which interest has been paid or duly provided for, to the earlier of redemption or Stated Maturity, at the per annum rates, while Outstanding (hereinafter defined), in accordance with the following schedule: Years of Stated Maturity 2015 2016 2017 2018 2019 2020 2021 Principal Amounts ($) 560,000 575,000 595,000 475,000 420,000 435,000 2,030,000 Interest Rates (%) 3.952 4.250 4.000 4.000 4.000 4.125 4.281 The Obligations shall bear interest on the unpaid principal amounts from the Closing Date (hereinafter defined), or from the most recent Interest Payment Date to which interest has been paid or duly provided for, to Stated Maturity, while Outstanding, at the rates per annum 41052379.6 2 shown in the above schedule (calculated on the basis of a 360 -day year of twelve 30 -day months). Interest on the Obligations shall be payable on March 1 and September 1 in each year, commencing September 1, 2015 (the Interest Payment Date), while the Obligations are Outstanding. SECTION 3: Payment of Obligations - Paying Agent/Registrar. The principal of, premium, if any, and the interest on the Obligations, due and payable by reason of Stated Maturity, redemption, or otherwise, shall be payable, without exchange or collection charges to the Holder (as hereinafter defined), appearing on the registration and transfer books maintained by the Paying Agent/Registrar (hereinafter defined), in any coin or currency of the United States of America which at the time of payment is legal tender for the payment of public and private debts, and such payment of principal of, premium, if any, and interest on the Obligations shall be without exchange or collection charges to the Holder (as hereinafter defined) of the Obligations. The selection and appointment of BOKF, NA dba Bank of Texas, Austin, Texas (the Paying Agent/Registrar), to serve as the initial Paying Agent/Registrar for the Obligations is hereby approved and confirmed, and the Issuer agrees and covenants to cause to be kept and maintained at the corporate trust office of the Paying Agent/Registrar books and records (the Security Register) for the registration, payment, and transfer of the Obligations, all as provided herein, in accordance with the terms and provisions of a Paying Agent/Registrar Agreement, attached, in substantially final form, as Exhibit A hereto, and such reasonable rules and regulations as the Paying Agent/Registrar and the Issuer may prescribe. The Issuer covenants to maintain and provide a Paying Agent/Registrar at all times while the Obligations are Outstanding, and any successor Paying Agent/Registrar shall be (i) a national or state banking institution or (ii) an association or a corporation organized and doing business under the laws of the United States of America or of any state, authorized under such laws to exercise trust powers. Such Paying Agent/Registrar shall be subject to supervision or examination by federal or state authority and authorized by law to serve as a Paying Agent/Registrar. The Issuer reserves the right to appoint a successor Paying Agent/Registrar upon providing the previous Paying Agent/Registrar with a certified copy of a resolution or ordinance terminating such agency. Additionally, the Issuer agrees to promptly cause a written notice of this substitution to be sent to each Holder of the Obligations by United States mail, first-class postage prepaid, which notice shall also give the address of the corporate office of the successor Paying Agent/Registrar. Principal of, premium, if any, and interest on the Obligations, due and payable by reason of Stated Maturity, redemption, or otherwise, shall be payable only to the registered owner of the Obligations appearing on the Security Register (the Holder or Holders) maintained on behalf of the Issuer by the Paying Agent/Registrar as hereinafter provided (i) on the Record Date (hereinafter defined) for purposes of payment of interest on the Obligations, (ii) on the date of surrender of the Obligations for purposes of receiving payment of principal thereof at the Obligations' Stated Maturity or upon prior redemption of the Obligations (provided, however, with respect to principal payments prior to the final Stated Maturity, the Obligations need not be surrendered to the Paying Agent/Registrar, who will merely document the payment on an internal ledger maintained by the Paying Agent/Registrar), and (iii) on any date for any other purpose. The Issuer and the Paying Agent/Registrar, and any agent of either, shall treat the 41052379.6 3 Holder as the owner of an Obligation for purposes of receiving payment and all other purposes whatsoever, and neither the Issuer nor the Paying Agent/Registrar, or any agent of either, shall be affected by notice to the contrary. Principal of and premium, if any, on the Obligations shall be payable only upon presentation and surrender of the Obligations to the Paying Agent/Registrar at its corporate trust office (provided, however, with respect to principal payments prior to the final Stated Maturity, the Obligations need not be surrendered to the Paying Agent/Registrar, who will merely document this payment on an internal ledger maintained by the Paying Agent/Registrar). Interest on the Obligations shall be paid to the Holder whose name appears in the Security Register at the close of business on the fifteenth day of the month next preceding an Interest Payment Date for the Obligations (the Record Date) and shall be paid (i) by check sent on or prior to the appropriate date of payment by United States mail, first-class postage prepaid, by the Paying Agent/Registrar, to the address of the Holder appearing in the Security Register or (ii) by such other method, acceptable to the Paying Agent/Registrar, requested in writing by the Holder at the Holder's risk and expense. If the date for the payment of the principal of, premium, if any, or interest on the Obligations shall be a Saturday, a Sunday, a legal holiday, or a day on which banking institutions in the city where the corporate trust office of the Paying Agent/Registrar is located are authorized by law or executive order to close, then the date for such payment shall be the next succeeding day which is not such a day. The payment on such date shall have the same force and effect as if made on the original date any such payment on the Obligations was due. In the event of a non-payment of interest on a scheduled payment date, and for thirty (30) days thereafter, a new record date for such interest payment (a Special Record Date) will be established by the Paying Agent/Registrar, if and when funds for the payment of such interest have been received from the Issuer. Notice of the Special Record Date and of the scheduled payment date of the past due interest (the Special Payment Date - which shall be fifteen (15) days after the Special Record Date) shall be sent at least five (5) business days prior to the Special Record Date by United States mail, first-class postage prepaid, to the address of each Holder of an Obligation appearing on the Security Register at the close of business on the last business day next preceding the date of mailing of such notice. SECTION 4: Redemption. A. Optional Redemption. The Obligations maturing on or after September 1, 2017 shall be subject to redemption prior to Stated Maturity, at the option of the Issuer, on September 1, 2016 or any date thereafter, as a whole or in part, in principal amounts of $1,000 or any integral multiple thereof (and if within a Stated Maturity selected at random and by lot by the Paying Agent/Registrar), at the redemption price of par plus accrued interest to the date of redemption. B. Exercise of Redemption Option. At least forty-five (45) days prior to a date set for the redemption of Obligations (unless a shorter notification period shall be satisfactory to the Paying Agent/Registrar), the Issuer shall notify the Paying Agent/Registrar of its decision to exercise the right to redeem Obligations, the principal amount of each Stated Maturity to be 41052379.6 4 redeemed, and the date set for the redemption thereof. The decision of the Issuer to exercise the right to redeem Obligations shall be entered in the minutes of the City Council. C. Selection of Obligations for Redemption. If less than all Outstanding Obligations of the same Stated Maturity are to be redeemed on a redemption date, the Paying Agent/Registrar shall select at random and by lot the Obligations to be redeemed, provided that if less than the entire principal amount of a Bond is to be redeemed, the Paying Agent/Registrar shall treat such Bond then subject to redemption as representing the number of Obligations outstanding which is obtained by dividing the principal amount of such Bond by $1,000. D. Notice of Redemption. Not less than thirty (30) days prior to a redemption date for the Obligations, a notice of redemption shall be sent by United States Mail, first-class postage prepaid, in the name of the Issuer and at the Issuer's expense, by the Paying Agent/Registrar to each Holder of a Bond to be redeemed, in whole or in part, at the address of the Holder appearing on the Security Register at the close of business on the business day next preceding the date of mailing such notice, and any notice of redemption so mailed shall be conclusively presumed to have been duly given irrespective of whether received by the Holder. All notices of redemption shall (i) specify the date of redemption for the Obligations, (ii) identify the Obligations to be redeemed and, in the case of a portion of the principal amount to be redeemed, the principal amount thereof to be redeemed, (iii) state the redemption price, (iv) state that the Obligations, or the portion of the principal amount thereof to be redeemed, shall become due and payable on the redemption date specified, and the interest thereon, or on the portion of the principal amount thereof to be redeemed, shall cease to accrue from and after the redemption date, and (v) specify that payment of the redemption price for the Obligations, or the principal amount thereof to be redeemed, shall be made at the corporate trust office of the Paying Agent/Registrar only upon presentation and surrender thereof by the Holder. If a Bond is subject by its terms to redemption and has been called for redemption and notice of redemption thereof has been duly given or waived as herein provided, such Bond (or the principal amount thereof to be redeemed) so called for redemption shall become due and payable, and if money sufficient for the payment of such Obligations (or of the principal amount thereof to be redeemed) at the then applicable redemption price is held for the purpose of such payment by the Paying Agent/Registrar, then on the redemption date designated in such notice, interest on said Obligations (or the principal amount thereof to be redeemed) called for redemption shall cease to accrue, and such Obligations shall not be deemed to be Outstanding in accordance with the provisions of this Ordinance. This notice may also be published once in a financial publication, journal, or reporter of general circulation among securities dealers in the City of New York, New York (including, but not limited to, The Bond Buyer and The Wall Street Journal), or in the State of Texas (including, but not limited to, The Texas Bond Reporter). Additionally, this notice may also be sent by the Issuer to any registered securities depository and to any national information service that disseminates redemption notices. E. Transfer/Exchange. Neither the Issuer nor the Paying Agent/Registrar shall be required (i) to transfer or exchange any Obligation during a period beginning forty-five (45) days prior to the date fixed for redemption of the Obligations or (ii) to transfer or exchange any Bond selected for redemption, provided; however, such limitation of transfer shall not be applicable to 41052379.6 5 an exchange by the Holder of the unredeemed balance of a Bond which is subject to redemption in part. SECTION 5: Execution - Registration. The Obligations shall be executed on behalf of the Issuer by its Mayor under the seal of the Issuer reproduced or impressed thereon and attested by its City Secretary. The signature of any of said officers on the Obligations may be manual or facsimile. Obligations bearing the manual or facsimile signatures of individuals who were, at the time of the Dated Date, the proper officers of the Issuer shall bind the Issuer, notwithstanding that such individuals or either of them shall cease to hold such offices prior to the delivery of the Obligations to the Purchasers, all as authorized and provided in Chapter 1201, as amended, Texas Government Code. No Obligation shall be entitled to any right or benefit under this Ordinance, or be valid or obligatory for any purpose, unless there appears on such Obligation either a certificate of registration substantially in the form provided in Section 8C, executed by the Comptroller of Public Accounts of the State of Texas or his duly authorized agent by manual signature, or a certificate of registration substantially in the form provided in Section 8D, executed by the Paying Agent/Registrar by manual signature, and either such certificate upon any Obligation shall be conclusive evidence, and the only evidence, that such Obligation has been duly certified or registered and delivered. SECTION 6: Registration - Transfer - Exchange of Obligations - Predecessor Obligations. A Security Register relating to the registration, payment, transfer, or exchange of the Obligations shall at all times be kept and maintained by the Issuer at the corporate trust office of the Paying Agent/Registrar, and the Paying Agent/Registrar shall obtain, record, and maintain in the Security Register the name and address of each Holder of the Obligations, or, if appropriate, the nominee thereof, issued under and pursuant to the provisions of this Ordinance. Any Obligation may, in accordance with its terms and the terms hereof, be transferred or exchanged for Obligations of other authorized denominations upon the Security Register by the Holder, in person or by his duly authorized agent, upon surrender of such Obligation to the Paying Agent/Registrar for cancellation, accompanied by a written instrument of transfer or request for exchange duly executed by the Holder or by his duly authorized agent, in form satisfactory to the Paying Agent/Registrar. Upon surrender for transfer of any Obligation at the corporate trust office of the Paying Agent/Registrar, the Issuer shall execute and the Paying Agent/Registrar shall register and deliver, in the name of the designated transferee or transferees, one or more new Obligations of authorized denominations and having the same Stated Maturity and of a like interest rate and aggregate principal amount as the Obligation or Obligations surrendered for transfer. At the option of the Holder, Obligations may be exchanged for other Obligations of authorized denominations and having the same Stated Maturity, bearing the same rate of interest and of like aggregate principal amount as the Obligations surrendered for exchange upon surrender of the Obligations to be exchanged at the corporate trust office of the Paying Agent/Registrar. Whenever any Obligations are so surrendered for exchange, the Issuer shall execute, and the Paying Agent/Registrar shall register and deliver, the Obligations to the Holder requesting the exchange. 41052379.6 6 All Obligations issued upon any transfer or exchange of Obligations shall be delivered at the corporate trust office of the Paying Agent/Registrar, or be sent by registered mail to the Holder at his request, risk, and expense, and upon the delivery thereof, the same shall be the valid and binding obligations of the Issuer, evidencing the same obligation to pay, and entitled to the same benefits under this Ordinance, as the Obligations surrendered upon such transfer or exchange. All transfers or exchanges of Obligations pursuant to this Section shall be made without expense or service charge to the Holder, except as otherwise herein provided, and except that the Paying Agent/Registrar shall require payment by the Holder requesting such transfer or exchange of any tax or other governmental charges required to be paid with respect to such transfer or exchange. Obligations canceled by reason of an exchange or transfer pursuant to the provisions hereof are hereby defined to be Predecessor Obligations, evidencing all or a portion, as the case may be, of the same debt evidenced by the new Obligation or Obligations registered and delivered in the exchange or transfer therefor. Additionally, the term Predecessor Obligations shall include any Obligation registered and delivered pursuant to Section 17 in lieu of a mutilated, lost, destroyed, or stolen Obligation which shall be deemed to evidence the same obligation as the mutilated, lost, destroyed, or stolen Obligation. SECTION 7: Initial Obligation. The Obligations herein authorized shall be initially issued as a single fully registered Obligation in the aggregate principal amount of $5,090,000 with principal installments to become due and payable as provided in Section 2 hereof and numbered T-1 (the Initial Obligation), and the Initial Obligation shall be registered in the name of the Purchasers (defined herein) or the designee thereof. The Initial Obligation shall be the Obligation submitted to the Office of the Attorney General of the State of Texas for approval, certified and registered by the Office of the Comptroller of Public Accounts of the State of Texas and delivered to the Purchasers. Any time after the delivery of the Initial Obligation, the Paying Agent/Registrar, and pursuant to such written instructions from the Purchasers, or the designee thereof, shall cancel the Initial Obligation delivered hereunder and exchange therefor Definitive Obligations of like kind and of authorized denominations, Stated Maturities, principal amounts and bearing applicable interest rates for transfer and delivery to the Holders named at the addresses identified therefor; all pursuant to and in accordance with such written instructions from the Purchasers, or the designee thereof, and such other information and documentation as the Paying Agent/Registrar may reasonably require. 41052379.6 7 SECTION 8: FORMS. A. Forms Generally. The Obligations, the Registration Certificate of the Comptroller of Public Accounts of the State of Texas, the Registration Certificate of Paying Agent/Registrar, and the form of Assignment to be printed on each of the Obligations shall be substantially in the forms set forth in this Section with such appropriate insertions, omissions, substitutions, and other variations as are permitted or required by this Ordinance and may have such letters, numbers, or other marks of identification (including insurance legends in the event the Obligations, or any Stated Maturities thereof, are insured and identifying numbers and letters of the Committee on Uniform Securities Identification Procedures of the American Bankers Association) and such legends and endorsements (including any reproduction of an opinion of counsel) thereon as may, consistent herewith, be established by the Issuer or determined by the officers executing the Obligations as evidenced by their execution thereof. Any portion of the text of any Obligation may be set forth on the reverse thereof, with an appropriate reference thereto on the face of the Obligation. The definitive Obligations shall be printed, lithographed, or engraved, produced by any combination of these methods, or produced in any other similar manner, all as determined by the officers executing the Obligations as evidenced by their execution thereof, but the Initial Obligation(s) submitted to the Attorney General of Texas may be typewritten or photocopied or otherwise reproduced. [The remainder of this page intentionally left blank] 41052379.6 8 B. Form of Definitive Obligation. REGISTERED REGISTERED NO. PRINCIPAL AMOUNT $ United States of America State of Texas Counties of Nueces, Aransas, Kleberg, and San Patricio CITY OF CORPUS CHRISTI, TEXAS TAX NOTES, SERIES 2015 Dated Date: March 1, 2015 REGISTERED OWNER: Interest Rate: Stated Maturity: CUSIP NO: PRINCIPAL AMOUNT: DOLLARS The City of Corpus Christi, Texas (the Issuer), a body corporate and a municipal corporation in the Counties of Nueces, Aransas, Kleberg, and San Patricio, State of Texas, for value received, acknowledges itself indebted to and hereby promises to pay to the order of the Registered Owner specified above, or the registered assigns thereof, on the Stated Maturity date specified above, the Principal Amount specified above (or as much thereof as shall not have been paid upon their redemption), and to pay interest on the unpaid Principal Amount hereof from the Closing Date, or from the most recent interest payment date to which interest has been paid or duly provided for until such Principal Amount has become due and payment thereof has been made or duly provided for, to Stated Maturity, while Outstanding, at the per annum rate of interest specified above computed on the basis of a 360 -day year of twelve 30 -day months; such interest being payable on March 1 and September 1 of each year, commencing September 1, 2015. Principal on this Obligation shall be payable to the Registered Owner hereof (the Holder), upon presentation and surrender (provided, however, with respect to principal payments prior to the final Stated Maturity, the Obligations need not be surrendered to the Paying Agent/Registrar, who will merely document this payment on an internal ledger maintained by the Paying Agent/Registrar), at the corporate trust office of the Paying Agent/Registrar executing the registration certificate appearing hereon or a successor thereof. Interest shall be payable to the Holder of this Obligation (or one or more Predecessor Obligations, as defined in the Ordinance hereinafter referenced) whose name appears on the Security Register maintained by the Paying Agent/Registrar at the close of business on the Record Date, which is the fifteenth day of the month next preceding each Interest Payment Date. All payments of principal of and interest on this Obligation shall be in any coin or currency of the United States of America which at the time of payment is legal tender for the payment of public and private debts. Interest shall be paid by the Paying Agent/Registrar by check sent on or prior to the appropriate date of payment by United States mail, first-class postage prepaid, to the Holder hereof at the address appearing in 41052379.6 9 the Security Register or by such other method, acceptable to the Paying Agent/Registrar, requested by the Holder hereof at the Holder's risk and expense. This Obligation is one of the series specified in its title issued in the aggregate principal amount of $5,090,000 (the Obligations) pursuant to an ordinance adopted by the Governing Body of the Issuer (the Ordinance), for the purpose of providing funds for the (1) designing, acquiring, constructing, renovating, and improving City streets and roads, capital improvements at the City's Airport, and capital repair and improvement of City assets and facilities that support military activities in and around the City and (2) payment of professional services related to the design, construction and financing of the aforementioned projects, all in conformity with the laws of the State of Texas, including Chapter 1431, as amended, Texas Government Code, an Ordinance adopted by the Governing Body on February 24, 2015, and the City's Home Rule Charter. The Obligations maturing on or after September 1, 2017 may be redeemed prior to their Stated Maturities, at the option of the City, on September 1, 2016 or any date thereafter, in whole or in part in principal amounts of $1,000 or any integral multiple thereof (and if within a Stated Maturity selected at random and by lot by the Paying Agent/Registrar) at the redemption price of par, together with accrued interest to the date of redemption, and upon thirty (30) days prior written notice being given by United States mail, first-class postage prepaid, to Holders of the Obligations to be redeemed, and subject to the terms and provisions relating thereto contained in the Ordinance. If this Obligation is subject to redemption prior to Stated Maturity and is in a denomination in excess of $1,000, portions of the principal sum hereof in installments of $1,000 or any integral multiple thereof may be redeemed, and, if less than all of the principal sum hereof is to be redeemed, there shall be issued, without charge therefor, to the Holder hereof, upon the surrender of this Obligation to the Paying Agent/Registrar at its corporate trust office, a new Obligation or Obligations of like Stated Maturity and interest rate in any authorized denominations provided in the Ordinance for the then unredeemed balance of the principal sum hereof. If this Obligation (or any portion of the principal sum hereof) shall have been duly called for redemption and notice of such redemption duly given, then upon such redemption date this Obligation (or the portion of the principal sum hereof to be redeemed) shall become due and payable, and, if money for the payment of the redemption price and the interest accrued on the principal amount to be redeemed to the date of redemption is held for the purpose of such payment by the Paying Agent/Registrar, interest shall cease to accrue and be payable hereon from and after the redemption date on the principal amount hereof to be redeemed. In the event of a partial redemption of the principal amount of this Obligation, payment of the redemption price of such principal amount shall be made to the registered owner only upon presentation and surrender of this Obligation to the corporate trust office of the Paying Agent/Registrar and, there shall be issued to the registered owner hereof, without charge, a new Obligation or Obligations of like maturity and interest rate in any authorized denominations provided in the Ordinance for the then unredeemed balance of the principal sum hereof. If this Obligation is called for redemption, in whole or in part, the City or the Paying Agent/Registrar shall not be required to issue, transfer, or exchange this Obligation within forty-five (45) days of the date fixed for redemption; provided, however, such limitation of transfer shall not be applicable to an exchange by the Holder of the unredeemed balance hereof in the event of its redemption in part. 41052379.6 10 The Obligations of this series are payable from the proceeds of an annual ad valorem tax levied upon all taxable property within the Issuer within the limitations prescribed by law. Reference is hereby made to the Ordinance, a copy of which is on file in the corporate trust office of the Paying Agent/Registrar, and to all of the provisions of which the Holder by his acceptance hereof hereby assents, for definitions of terms; the description of and the nature and extent of the tax levied for the payment of the Obligations; the terms and conditions relating to the transfer or exchange of the Obligations; the conditions upon which the Ordinance may be amended or supplemented with or without the consent of the Holders; the rights, duties, and obligations of the Issuer and the Paying Agent/Registrar; the terms and provisions upon which this Obligation may be redeemed or discharged at or prior to the Stated Maturity thereof, and deemed to be no longer Outstanding thereunder; and for the other terms and provisions specified in the Ordinance. Capitalized terms used herein have the same meanings assigned in the Ordinance. This Obligation, subject to certain limitations contained in the Ordinance, may be transferred on the Security Register upon presentation and surrender at the corporate trust office of the Paying Agent/Registrar, duly endorsed by, or accompanied by a written instrument of transfer in form satisfactory to the Paying Agent/Registrar duly executed by the Holder hereof, or his duly authorized agent, and thereupon one or more new fully registered Obligations of the same Stated Maturity, of authorized denominations, bearing the same rate of interest, and of the same aggregate principal amount will be issued to the designated transferee or transferees. The Issuer and the Paying Agent/Registrar, and any agent of either, shall treat the Holder hereof whose name appears on the Security Register (i) on the Record Date as the owner hereof for purposes of receiving payment of interest hereon, (ii) on the date of surrender of this Obligation as the owner hereof for purposes of receiving payment of principal hereof at its Stated Maturity, or its redemption, in whole or in part, and (iii) on any other date as the owner hereof for all other purposes, and neither the Issuer nor the Paying Agent/Registrar, or any such agent of either, shall be affected by notice to the contrary. In the event of a non-payment of interest on a scheduled payment date, and for thirty (30) days thereafter, a new record date for such interest payment (a Special Record Date) will be established by the Paying Agent/Registrar, if and when funds for the payment of such interest have been received from the Issuer. Notice of the Special Record Date and of the scheduled payment date of the past due interest (the Special Payment Date - which shall be fifteen (15) days after the Special Record Date) shall be sent at least five (5) business days prior to the Special Record Date by United States mail, first-class postage prepaid, to the address of each Holder appearing on the Security Register at the close of business on the last business day next preceding the date of mailing of such notice. It is hereby certified, covenanted, and represented that all acts, conditions, and things required to be performed, exist, and be done precedent to the issuance of this Obligation in order to render the same a legal, valid, and binding obligation of the Issuer have been performed, exist, and have been done, in regular and due time, form, and manner, as required by the laws of the State of Texas and the Ordinance, and that issuance of the Obligations does not exceed any constitutional or statutory limitation; and that due provision has been made for the payment of the principal of, premium if any, and interest on the Obligations by the levy of a tax as aforestated. In case any provision in this Obligation or any application thereof shall be deemed 41052379.6 11 invalid, illegal, or unenforceable, the validity, legality, and enforceability of the remaining provisions and applications shall not in any way be affected or impaired thereby. The terms and provisions of this Obligation and the Ordinance shall be construed in accordance with and shall be governed by the laws of the State of Texas. 41052379.6 [The remainder of this page intentionally left blank.] 12 IN WITNESS WHEREOF, the Issuer has caused this Obligation to be duly executed under its official seal. ATTEST: City Secretary (CITY SEAL) 41052379.6 CITY OF CORPUS CHRISTI, TEXAS By Mayor [The remainder of this page intentionally left blank.] 13 C. *Form of Registration Certificate of Comptroller of Public Accounts to Appear on Initial Obligations Only. REGISTRATION CERTIFICATE OF COMPTROLLER OF PUBLIC ACCOUNTS OFFICE OF THE COMPTROLLER OF § PUBLIC ACCOUNTS § THE STATE OF TEXAS § REGISTER NO. I HEREBY CERTIFY that this Obligation has been examined, certified as to validity and approved by the Attorney General of the State of Texas, and duly registered by the Comptroller of Public Accounts of the State of Texas. WITNESS my signature and seal of office this (SEAL) Comptroller of Public Accounts of the State of Texas *NOTE TO PRINTER: Not to appear on printed Obligations. D. Form of Certificate of Paying Agent/Registrar to Appear on Definitive Obligations Only. REGISTRATION CERTIFICATE OF PAYING AGENT/REGISTRAR This Obligation has been duly issued under the provisions of the within -mentioned Ordinance; the Obligation or Obligations of the above -entitled and designated series originally delivered having been approved by the Attorney General of the State of Texas and registered by the Comptroller of Public Accounts, as shown by the records of the Paying Agent/Registrar. Registered this date: BOKF, NA dba Bank of Texas, as Paying Agent/Registrar 41052379.6 By: Authorized Signature 14 E. Form of Assignment. ASSIGNMENT FOR VALUE RECEIVED the undersigned hereby sells, assigns, and transfers unto (Print or typewrite name, address, and zip code of transferee): (Social Security or other identifying number): the within Obligation and all rights thereunder, and hereby irrevocably constitutes and appoints attorney to transfer the within Obligation on the books kept for registration thereof, with full power of substitution in the premises. DATED: NOTICE: The signature on this assignment must correspond with the name of the registered owner as it appears on the face of the within Obligation in every particular. Signature guaranteed: F. The Initial Obligation shall be in the respective forms set forth in paragraph B of this Section, except that the form of a single fully registered Initial Obligation shall be modified as follows: (i) immediately under the name of the Obligation(s) the headings "Interest Rate " and "Stated Maturity " shall both be completed "as shown below"; (ii) the first two paragraphs shall read as follows: Registered Owner: Principal Amount: The City of Corpus Christi, Texas (the Issuer), a body corporate and municipal corporation in the Counties of Nueces, Aransas, Kleberg, and San Patricio, State of Texas, for value received, acknowledges itself indebted to and hereby promises to pay to the order of the Registered Owner named above, or the registered assigns thereof, the Principal Amount specified above on the first day of September in each of the years and in principal amounts and bearing interest at per annum rates in accordance with the following schedule: 41052379.6 Years of Principal Interest Stated Maturity Amounts ($) Rates (%) 15 (Information to be inserted from schedule in Section 2 hereof). (or so much thereof as shall not have been paid upon prior redemption) and to pay interest on the unpaid Principal Amount hereof from the Closing Date (anticipated to occur on March 17, 2015) or from the most recent interest payment date to which interest has been paid or duly provided for until the Principal Amount has become due and payment thereof has been made or duly provided for, to the earlier of redemption or to Stated Maturity, while Outstanding, at the per annum rates of interest specified above computed on the basis of a 360 -day year of twelve 30 -day months; such interest being payable on March 1 and September 1 of each year (the Interest Payment Date), commencing September 1, 2015. Principal of this Obligation shall be payable to the Registered Owner hereof (the Holder), upon its presentation and surrender, to Stated Maturity, while Outstanding, (provided, however, with respect to principal payments prior to the final Stated Maturity, the Bond need not be surrendered to the Paying Agent/Registrar, who will merely document the payment on an internal ledger maintained by the Paying Agent/Registrar) at the corporate trust office of BOKF, NA dba Bank of Texas, Austin, Texas (the Paying Agent/Registrar). Interest shall be payable to the Holder of this Obligation whose name appears on the Security Register maintained by the Paying Agent/Registrar at the close of business on the Record Date, which is the fifteenth day of the month next preceding each Interest Payment Date. All payments of principal of and interest on this Obligation shall be in any coin or currency of the United States of America which at the time of payment is legal tender for the payment of public and private debts. Interest shall be paid by the Paying Agent/Registrar by check sent on or prior to the appropriate date of payment by United States mail, first-class postage prepaid, to the Holder hereof at the address appearing in the Security Register or by such other method, acceptable to the Paying Agent/Registrar, requested by, and at the risk and expense of, the Holder hereof. 41052379.6 [The remainder of this page intentionally left blank.] 16 G. Insurance Legend. If bond insurance is obtained by the Issuer or the Purchasers for the Obligations, the definitive Obligations and the Initial Obligations shall bear an appropriate legend as provided by the insurer. SECTION 9: Definitions. For all purposes of this Ordinance (as defined below), except as otherwise expressly provided or unless the context otherwise requires: (i) the terms defined in this Section have the meanings assigned to them in this Section, and certain terms used in Sections 19 and 36 of this Ordinance have the meanings assigned to them in such Sections, and all such terms include the plural as well as the singular; (ii) all references in this Ordinance to designated "Sections" and other subdivisions are to the designated Sections and other subdivisions of this Ordinance as originally adopted; and (iii) the words "herein", "hereof', and "hereunder" and other words of similar import refer to this Ordinance as a whole and not to any particular Section or other subdivision. A. The term Authorized Officials shall mean the City Manager of the Issuer, the Deputy City Manager, the Assistant City Manager for General Government and Operations Support, the Director of Financial Services, and/or the City Secretary. B. The term Closing Date shall mean the date of physical delivery of the Initial Obligations in exchange for the payment in full by the Purchasers. C. The term Issuer shall mean the City of Corpus Christi, Texas located in the Counties of Nueces, Aransas, Kleberg, and San Patricio, Texas and, where appropriate, the Governing Body of the Issuer. D. The term Debt Service Requirements shall mean, as of any particular date of computation, with respect to any obligations and with respect to any period, the aggregate of the amounts to be paid or set aside by the Issuer as of such date or in such period for the payment of the principal of, premium, if any, and interest (to the extent not capitalized) on such obligations; assuming, in the case of obligations without a fixed numerical rate, that such obligations bear interest at the maximum rate permitted by the terms thereof and further assuming in the case of obligations required to be redeemed or prepaid as to principal prior to Stated Maturity, the principal amounts thereof will be redeemed prior to Stated Maturity in accordance with the mandatory redemption provisions applicable thereto. E. The term Depository shall mean an official depository bank of the Issuer. F. The term Government Securities, as used herein, shall mean (i) direct noncallable obligations of the United States, including obligations that are unconditionally guaranteed by, the United States of America; (ii) noncallable obligations of an agency or instrumentality of the United States, including obligations that are unconditionally guaranteed or insured by the agency or instrumentality and that, on the date the governing body of the issuer adopts or approves the proceedings authorizing the issuance of refunding bonds, are rated as to investment quality by a nationally recognized investment rating firm not less than AAA or its equivalent; (iii) noncallable obligations of a state or an agency or a county, municipality, or other political subdivision of a state that have been refunded and that, on the date the governing body of the issuer adopts or approves the proceedings authorizing the issuance of refunding bonds, are rated 41052379.6 17 as to investment quality by a nationally recognized investment rating firm not less than AAA or its equivalent; or (iv) any additional securities and obligations hereafter authorized by the laws of the State of Texas as eligible for use to accomplish the discharge of obligations such as the Obligations. G. The term Holder or Holders shall mean the registered owner, whose name appears in the Security Register, for any Obligation. H. The term Interest Payment Date shall mean the date interest is payable on the Obligations, being March 1 and September 1 of each year, commencing September 1, 2015, while any of the Obligations remain Outstanding. I. The term Obligation Fund shall mean the special Fund created and established by the provisions of Section 10 of this Ordinance. J. The term Obligations shall mean the $5,090,000 "CITY OF CORPUS CHRISTI, TEXAS TAX NOTES, SERIES 2015" authorized by this Ordinance. K. The term Ordinance shall mean this ordinance finally adopted by the Governing Body of the Issuer on February 24, 2015. L. The term Outstanding when used in this Ordinance with respect to Obligations shall mean, as of the date of determination, all Obligations issued and delivered under this Ordinance, except: (1) those Obligations canceled by the Paying Agent/Registrar or delivered to the Paying Agent/Registrar for cancellation; (2) those Obligations for which payment has been duly provided by the Issuer in accordance with the provisions of Section 21 of this Ordinance; and (3) those Obligations that have been mutilated, destroyed, lost, or stolen and replacement Obligations have been registered and delivered in lieu thereof as provided in Section 17 of this Ordinance. M. The term Purchasers shall mean the initial purchasers of the Obligations named in Section 18 of this Ordinance. N. The term Stated Maturity shall mean the annual principal payments of the Obligations payable on March 1 of each year, as set forth in Section 2 of this Ordinance. SECTION 10: Obligation Fund — Investments. For the purpose of paying the interest on and to provide a sinking fund for the payment, redemption, and retirement of the Obligations, there shall be and is hereby created a special Fund to be designated "TAX NOTES, SERIES 2015, INTEREST AND SINKING FUND" (the Obligation Fund), which Fund shall be kept and maintained at the Depository, and money deposited in such Fund shall be used for no other purpose and shall be maintained as provided in Section 19. Authorized Officials of the Issuer are hereby authorized and directed to make withdrawals from the Obligation Fund sufficient to pay 41052379.6 18 the principal of, premium, if any, and interest on the Obligations as the same become due and payable, or the purchase price thereof, and shall cause to be transferred to the Paying Agent/Registrar from money on deposit in the Obligation Fund an amount sufficient to pay the amount of principal and/or interest stated to mature on the Obligations, such transfer of funds to the Paying Agent/Registrar to be made in such manner as will cause immediately available funds to be deposited with the Paying Agent/Registrar on or before the business day next preceding each interest and principal payment date for the Obligations. Pending the transfer of funds to the Paying Agent/Registrar, money deposited in any fund created and established pursuant to the provisions of this Ordinance may, at the option of the Issuer, may be placed in time deposits, certificates of deposit, guaranteed investment contracts, or similar contractual agreements, as permitted by the provisions of the Public Funds Investment Act, as amended, Chapter 2256, Texas Government Code, secured (to the extent not insured by the Federal Deposit Insurance Corporation) by obligations of the type hereinafter described, or be invested, as authorized by any law, including investments held in book -entry form, in securities including, but not limited to, direct obligations of the United States of America, obligations guaranteed or insured by the United States of America, which, in the opinion of the Attorney General of the United States, are backed by its full faith and credit or represent its general obligations, or invested in indirect obligations of the United States of America, including, but not limited to, evidences of indebtedness issued, insured or guaranteed by such governmental agencies as the Federal Land Banks, Federal Intermediate Credit Banks, Banks for Cooperatives, Federal Home Loan Banks, Government National Mortgage Association, Farmers Home Administration, Federal Home Loan Mortgage Association, Small Business Administration, or Federal Housing Association; provided that all such deposits and investments shall be made in such a manner that the money required to be expended from such fund will be available at the proper time or times. All interest and income derived from deposits and investments in any fund established pursuant to the provisions of this Ordinance shall be credited to, and any losses debited to, such Fund. All such investments shall be sold promptly when necessary to prevent any default in connection with the Obligations. SECTION 11: Tax Levy. To provide for the payment of the Debt Service Requirements on the Obligations being (i) the interest on the Obligations and (ii) a sinking fund for their redemption at Stated Maturity or a sinking fund of 2% (whichever amount shall be the greater), there shall be and there is hereby levied for the current year and each succeeding year thereafter while the Obligations or any interest thereon shall remain Outstanding, a sufficient tax, within the limitations prescribed by law, on each one hundred dollars' valuation of taxable property in the Issuer, adequate to pay such Debt Service Requirements, full allowance being made for delinquencies and costs of collection; said tax shall be assessed and collected each year and applied to the payment of the Debt Service Requirements, and the same shall not be diverted to any other purpose. The taxes so levied and collected shall be paid into the Obligation Fund and are thereafter pledged to the payment of the Obligations. The Governing Body hereby declares its purpose and intent to provide and levy a tax legally and fully sufficient to pay such Debt Service Requirements, it having been determined that the existing and available taxing authority of the Issuer for such purpose is adequate to permit a legally sufficient tax in consideration of all other outstanding indebtedness and other obligations of the Issuer. 41052379.6 19 SECTION 12: Deposits to Obligation Fund — Surplus Obligation Proceeds. The Issuer hereby covenants and agrees to cause to be deposited in the Obligation Fund prior to a principal and interest payment date for the Obligations, from the annual levy of an ad valorem tax or from other lawfully available funds, amounts sufficient to fully pay and discharge promptly each installment of interest and principal of the Obligations as the same accrues or matures or comes due by reason of Stated Maturity. Accrued interest, if any, received from the Purchasers of the Obligations shall be deposited to the Obligation Fund. In addition, any surplus proceeds from the sale of the Obligations, including investment income thereon, not expended for authorized purposes, as described in Section 1 hereof, shall be deposited in the Obligation Fund, and such amounts so deposited shall reduce the sum otherwise required to be deposited in said Fund from ad valorem taxes. SECTION 13: Security for Funds. All money on deposit in the Funds for which this Ordinance makes provision (except any portion thereof as may be at any time properly invested as provided herein) shall be secured in the manner and to the fullest extent required by the laws of the State of Texas for the security of public funds, and money on deposit in such Funds shall be used only for the purposes permitted by this Ordinance. SECTION 14: Remedies in Event of Default. In addition to all the rights and remedies provided by the laws of the State of Texas, the Issuer covenants and agrees particularly that in the event the Issuer (a) defaults in the payments to be made to the Obligation Fund or (b) defaults in the observance or performance of any other of the covenants, conditions, or obligations set forth in this Ordinance, the Holders of any of the Obligations shall be entitled to seek a writ of mandamus issued by a court of proper jurisdiction compelling and requiring the governing body of the Issuer and other officers of the Issuer to observe and perform any covenant, condition, or obligation prescribed in this Ordinance. No delay or omission to exercise any right or power accruing upon any default shall impair any such right or power or shall be construed to be a waiver of any such default or acquiescence therein, and every such right and power may be exercised from time to time and as often as may be deemed expedient. The specific remedies herein provided shall be cumulative of all other existing remedies and the specification of such remedies shall not be deemed to be exclusive. SECTION 15: Notices to Holders — Waiver. Wherever this Ordinance provides for notice to Holders of any event, such notice shall be sufficiently given (unless otherwise herein expressly provided) if in writing and sent by United States mail, first-class postage prepaid, to the address of each Holder appearing in the Security Register at the close of business on the business day next preceding the mailing of such notice. In any case where notice to Holders is given by mail, neither the failure to mail such notice to any particular Holders, nor any defect in any notice so mailed, shall affect the sufficiency of such notice with respect to all other Holders. Where this Ordinance provides for notice in any manner, such notice may be waived in writing by the Holder entitled to receive such notice, either before or after the event with respect to which such notice is given, and such 41052379.6 20 waiver shall be the equivalent of such notice. Waivers of notice by Holders shall be filed with the Paying Agent/Registrar, but such filing shall not be a condition precedent to the validity of any action taken in reliance upon such waiver. SECTION 16: Cancellation. All Obligations surrendered for payment, transfer, redemption, exchange, or replacement, if surrendered to the Paying Agent/Registrar, shall be promptly canceled by it and, if surrendered to the Issuer, shall be delivered to the Paying Agent/Registrar and, if not already canceled, shall be promptly canceled by the Paying Agent/Registrar. The Issuer may at any time deliver to the Paying Agent/Registrar for cancellation any Obligations previously certified or registered and delivered which the Issuer may have acquired in any manner whatsoever, and all Obligations so delivered shall be promptly canceled by the Paying Agent/Registrar. All canceled Obligations held by the Paying Agent/Registrar shall be destroyed as directed by the Issuer. SECTION 17: Mutilated, Destroyed, Lost, and Stolen Obligations. If (1) any mutilated Obligation is surrendered to the Paying Agent/Registrar, or the Issuer and the Paying Agent/Registrar receive evidence to their satisfaction of the destruction, loss, or theft of any Obligation, and (2) there is delivered to the Issuer and the Paying Agent/Registrar such security or indemnity as may be required to save each of them harmless, then, in the absence of notice to the Issuer or the Paying Agent/Registrar that such Obligation has been acquired by a bona fide purchaser, the Issuer shall execute and, upon its request, the Paying Agent/Registrar shall register and deliver, in exchange for or in lieu of any such mutilated, destroyed, lost, or stolen Obligation, a new Obligation of the same Stated Maturity and interest rate and of like tenor and principal amount, bearing a number not contemporaneously Outstanding. In case any such mutilated, destroyed, lost, or stolen Obligation has become or is about to become due and payable, the Issuer in its discretion may, instead of issuing a new Obligation, pay such Obligation. Upon the issuance of any new Obligation or payment in lieu thereof, under this Section, the Issuer may require payment by the Holder of a sum sufficient to cover any tax or other governmental charge imposed in relation thereto and any other expenses (including attorney's fees and the fees and expenses of the Paying Agent/Registrar) connected therewith. Every new Obligation issued pursuant to this Section in lieu of any mutilated, destroyed, lost, or stolen Obligation shall constitute a replacement of the prior obligation of the Issuer, whether or not the mutilated, destroyed, lost, or stolen Obligation shall be at any time enforceable by anyone, and shall be entitled to all the benefits of this Ordinance equally and ratably with all other Outstanding Obligations. The provisions of this Section are exclusive and shall preclude (to the extent lawful) all other rights and remedies with respect to the replacement and payment of mutilated, destroyed, lost, or stolen Obligations. SECTION 18: Sale of Obligations at Competitive Sale — Loan Agreement. The Obligations authorized by this Ordinance are hereby sold by the City to the Texas Military Preparedness Commission (the Purchasers, having all the rights, benefits, and obligations of a 41052379.6 21 Holder), in accordance with the provisions of a Loan Agreement (the Loan Agreement), dated February 24, 2015, attached hereto as Exhibit B and incorporated herein by reference as a part of this Ordinance for all purposes, between the City and the Texas Military Preparedness Commission. The pricing and terms of the sale of the Obligations are hereby found and determined to be the most advantageous reasonably obtainable by the Issuer. The Initial Obligation shall be registered in the name of Texas Military Preparedness Commission. The Mayor of the Issuer is hereby authorized and directed to execute the Loan Agreement for and on behalf of the Issuer and as the act and deed of this Governing Body, and in regard to the approval and execution of the Loan Agreement, the Governing Body hereby finds, determines and declares that the representations, warranties, and agreements of the Issuer contained in the Loan Agreement are true and correct in all material respects and shall be honored and performed by the Issuer. Delivery of the Obligations to the Purchasers shall occur as soon as practicable after the adoption of this Ordinance, upon payment therefor in accordance with the terms of the Loan Agreement. Proceeds from the sale of the Obligations shall be applied as follows: (1) Accrued interest, if any, received from the Purchasers shall be deposited into the Obligation Fund. (2) The balance of the proceeds derived from the sale of the Obligations (after paying costs of issuance) shall be deposited into the special construction account or accounts created for the projects to be constructed with the proceeds of the Obligations. This special construction account shall be established and maintained at the Depository and shall be invested in accordance with the provisions of Section 10 of this Ordinance. Interest earned on the proceeds of the Obligations pending completion of construction of the projects financed with such proceeds shall be accounted for, maintained, deposited, and expended as permitted by the provisions of Chapter 1201, as amended, Texas Government Code, or as required by any other applicable law. Thereafter, such amounts shall be expended in accordance with Section 12 of this Ordinance. SECTION 19: Covenants to Maintain Tax -Exempt Status. A. Definitions. When used in this Section, the following terms have the following meanings: Closing Date means the date of physical delivery of the Initial Obligations in exchange for the payment in full by the Purchasers. Code means the Internal Revenue Code of 1986, as amended by all legislation, if any, effective on or before the Closing Date. Computation Date has the meaning set forth in Section 1.148-1(b) of the Regulations. Gross Proceeds means any proceeds as defined in Section 1.148-1(b) of the Regulations, and any replacement proceeds as defined in Section 1.148-1(c) of the Regulations, of the Obligations. 41052379.6 22 and Investment has the meaning set forth in Section 1.148-1(b) of the Regulations. Nonpurpose Investment means any investment property, as defined in section 148(b) of the Code, in which Gross Proceeds of the Obligations are invested and which is not acquired to carry out the governmental purposes of the Obligations. Rebate Amount has the meaning set forth in Section 1.148-1(b) of the Regulations. Regulations means any proposed, temporary, or final Income Tax Regulations issued pursuant to sections 103 and 141 through 150 of the Code, and 103 of the Internal Revenue Code of 1954, which are applicable to the Obligations. Any reference to any specific Regulation shall also mean, as appropriate, any proposed, temporary or final Income Tax Regulation designed to supplement, amend or replace the specific Regulation referenced. Yield of (1) any Investment has the meaning set forth in Section 1.148-5 of the Regulations; (2) the Obligations has the meaning set forth in Section 1.148-4 of the Regulations. B. Not to Cause Interest to Become Taxable. The Issuer shall not use, permit the use of, or omit to use Gross Proceeds or any other amounts (or any property the acquisition, construction or improvement of which is to be financed directly or indirectly with Gross Proceeds) in a manner which if made or omitted, respectively, would cause the interest on any Obligations to become includable in the gross income, as defined in section 61 of the Code, of the owner thereof for federal income tax purposes. Without limiting the generality of the foregoing, unless and until the Issuer receives a written opinion of counsel nationally recognized in the field of municipal bond law to the effect that failure to comply with such covenant will not adversely affect the exemption from federal income tax of the interest on any Obligation, the Issuer shall comply with each of the specific covenants in this Section. C. No Private Use or Private Payments. Except to the extent that it will not cause the Obligations to become "private activity bonds" within the meaning of section 141 of the Code and the Regulations and rulings thereunder, the Issuer shall at all times prior to the last Stated Maturity of Obligations: (1) exclusively own, operate and possess all property the acquisition, construction or improvement of which is to be financed or refinanced directly or indirectly with Gross Proceeds of the Obligations, and not use or permit the use of such Gross Proceeds (including all contractual arrangements with terms different than those applicable to the general public) or any property acquired, constructed or improved with such Gross Proceeds in any activity carried on by any person or entity (including the United States or any agency, department and instrumentality thereof') other than a state or local government, unless such use is solely as a member of the general public; and 41052379.6 23 (2) not directly or indirectly impose or accept any charge or other payment by any person or entity who is treated as using Gross Proceeds of the Obligations or any property the acquisition, construction or improvement of which is to be financed or refinanced directly or indirectly with such Gross Proceeds, other than taxes of general application within the Issuer or interest earned on investments acquired with such Gross Proceeds pending application for their intended purposes. D. No Private Loan. Except to the extent that it will not cause the Obligations to become "private activity bonds" within the meaning of section 141 of the Code and the Regulations and rulings thereunder, the Issuer shall not use Gross Proceeds of the Obligations to make or finance loans to any person or entity other than a state or local government. For purposes of the foregoing covenant, such Gross Proceeds are considered to be "loaned" to a person or entity if: (i) property acquired, constructed or improved with such Gross Proceeds is sold or leased to such person or entity in a transaction which creates a debt for federal income tax purposes; (ii) capacity in or service from such property is committed to such person or entity under a take -or -pay, output or similar contract or arrangement; or (iii) indirect benefits, or burdens and benefits of ownership, of such Gross Proceeds or any property acquired, constructed or improved with such Gross Proceeds are otherwise transferred in a transaction which is the economic equivalent of a loan. E. Not to Invest at Higher Yield. Except to the extent that it will cause the Obligations to become "arbitrage bonds" within the meaning of section 148 of the Code and the Regulations and rulings thereunder, the Issuer shall not at any time prior to the final Stated Maturity of the Obligations directly or indirectly invest Gross Proceeds in any Investment, if as a result of such investment the Yield of any Investment acquired with Gross Proceeds, whether then held or previously disposed of, materially exceeds the Yield of the Obligations. F. Not Federally Guaranteed. Except to the extent permitted by section 149(b) of the Code and the Regulations and rulings thereunder, the Issuer shall not take or omit to take any action which would cause the Obligations to be federally guaranteed within the meaning of section 149(b) of the Code and the Regulations and rulings thereunder. G. Information Report. The Issuer shall timely file the information required by section 149(e) of the Code with the Secretary of the Treasury on Form 8038-G or such other form and in such place as the Secretary may prescribe. H. Rebate of Arbitrage Profits. Except to the extent otherwise provided in section 148(f) of the Code and the Regulations and rulings thereunder: (1) The Issuer shall account for all Gross Proceeds (including all receipts, expenditures and investments thereof') on its books of account separately and apart from all other funds (and receipts, expenditures and investments thereof) and shall retain all records of accounting for at least six years after the day on which the last Outstanding Obligation is discharged. However, to the extent permitted by law, the Issuer may commingle Gross Proceeds of the Obligations with other money of the Issuer, provided that the Issuer separately accounts for each receipt and expenditure of Gross Proceeds and the obligations acquired therewith. 41052379.6 24 (2) Not less frequently than each Computation Date, the Issuer shall calculate the Rebate Amount in accordance with rules set forth in section 148(f) of the Code and the Regulations and rulings thereunder. The Issuer shall maintain such calculations with its official transcript of proceedings relating to the issuance of the Obligations until six years after the final Computation Date. (3) As additional consideration for the purchase of the Obligations by the Purchasers and the loan of the money represented thereby and in order to induce such purchase by measures designed to insure the excludability of the interest thereon from the gross income of the owners thereof for federal income tax purposes, the Issuer shall pay to the United States out of the Obligation Fund or its general fund, as permitted by applicable Texas statute, regulation or opinion of the Attorney General of the State of Texas, the amount that when added to the future value of previous rebate payments made for the Obligations equals (i) in the case of a Final Computation Date as defined in Section 1.148-3(e)(2) of the Regulations, one hundred percent (100%) of the Rebate Amount on such date; and (ii) in the case of any other Computation Date, ninety percent (90%) of the Rebate Amount on such date. In all cases, the rebate payments shall be made at the times, in the installments, to the place and in the manner as is or may be required by section 148(f) of the Code and the Regulations and rulings thereunder, and shall be accompanied by Form 8038-T or such other forms and information as is or may be required by section 148(f) of the Code and the Regulations and rulings thereunder. (4) The Issuer shall exercise reasonable diligence to assure that no errors are made in the calculations and payments required by paragraphs (2) and (3), and if an error is made, to discover and promptly correct such error within a reasonable amount of time thereafter (and in all events within one hundred eighty (180) days after discovery of the error), including payment to the United States of any additional Rebate Amount owed to it, interest thereon, and any penalty imposed under Section 1.148-3(h) of the Regulations. I. Not to Divert Arbitrage Profits. Except to the extent permitted by section 148 of the Code and the Regulations and rulings thereunder, the Issuer shall not, at any time prior to the earlier of the Stated Maturity or final payment of the Obligations, enter into any transaction that reduces the amount required to be paid to the United States pursuant to Subsection H of this Section because such transaction results in a smaller profit or a larger loss than would have resulted if the transaction had been at arm's length and had the Yield of the Obligations not been relevant to either party. J. Obligations Not Hedge Bonds. (1) The Issuer reasonably expects to spend at least 85% of the spendable proceeds of the Obligations within three years after such Obligations are issued. (2) Not more than 50% of the proceeds of the Obligations will be invested in Nonpurpose Investments having a substantially guaranteed Yield for a period of 4 years or more. K. Elections. The Issuer hereby directs and authorizes the Authorized Official, or any combination of the foregoing, to make such elections in the Certificate as to Tax Exemption 41052379.6 25 or similar or other appropriate certificate, form, or document permitted or required pursuant to the provisions of the Code or the Regulations, as they deem necessary or appropriate in connection with the Obligations. Such elections shall be deemed to be made on the Closing Date. SECTION 20: Control and Custody of Obligations. The Mayor shall be and is hereby authorized to take and have charge of all necessary orders and records pending investigation by the Attorney General of the State of Texas and shall take and have charge and control of the Obligations pending their approval by the Attorney General, the registration thereof by the Comptroller of Public Accounts and the delivery of the Obligations to the Purchasers. Furthermore, any Authorized Official, either or all, are hereby authorized and directed to furnish and execute such documents relating to the Issuer and its financial affairs as may be necessary for the issuance of the Obligations, the approval of the Attorney General and their registration by the Comptroller of Public Accounts and, together with the Issuer's financial advisors, Bond Counsel, and the Paying Agent/Registrar, make the necessary arrangements for the delivery of the Initial Obligations to the Purchasers and the initial exchange thereof for definitive Obligations. SECTION 21: Satisfaction of Obligation of Issuer. If the Issuer shall pay or cause to be paid, or there shall otherwise be paid to the Holders, the principal of, premium, if any, and interest on the Obligations, at the times and in the manner stipulated in this Ordinance, then the pledge of taxes levied under this Ordinance and all covenants, agreements, and other obligations of the Issuer to the Holders shall thereupon cease, terminate, and be discharged and satisfied. Obligations, or any principal amount(s) thereof, shall be deemed to have been paid within the meaning and with the effect expressed above in this Section when (i) money sufficient to pay in full such Obligations or the principal amount(s) thereof at Stated Maturity or to the redemption date therefor, together with all interest due thereon, shall have been irrevocably deposited with and held in trust by the Paying Agent/Registrar, or an authorized escrow agent, and/or (ii) Government Securities shall have been irrevocably deposited in trust with the Paying Agent/Registrar, or an authorized escrow agent, which Government Securities have, in the case of a net defeasance, been certified by an independent accounting firm to mature as to principal and interest in such amounts and at such times as will insure the availability, without reinvestment, of sufficient money, together with any money deposited therewith, if any, to pay when due the principal of and interest on such Obligations, or the principal amount(s) thereof, on and prior to, the Stated Maturity thereof or (if notice of redemption has been duly given or waived or if irrevocable arrangements therefor acceptable to the Paying Agent/Registrar have been made) the redemption date thereof. In the event of a gross defeasance of the Obligations, the Issuer shall deliver a certificate from its financial advisor, the Paying Agent/Registrar, or another qualified third party concerning the deposit of cash and/or Government Securities to pay, when due, the principal and interest due on any defeased Obligations. The Issuer covenants that no deposit of money or Government Securities will be made under this Section and no use made of any such deposit which would cause the Obligations to be treated as arbitrage bonds within the meaning of section 148 of the Code (as defined in Section 19 hereof). 41052379.6 26 Any money so deposited with the Paying Agent/Registrar, and all income from Government Securities held in trust by the Paying Agent/Registrar, or an authorized escrow agent, pursuant to this Section which is not required for the payment of the Obligations, or any principal amount(s) thereof, or interest thereon with respect to which such money has been so deposited shall be remitted to the Issuer or deposited as directed by the Issuer. Furthermore, any money held by the Paying Agent/Registrar for the payment of the principal of and interest on the Obligations and remaining unclaimed for a period of three (3) years after the Stated Maturity, or applicable redemption date, of the Obligations such money was deposited and is held in trust to pay shall upon the request of the Issuer be remitted to the Issuer against a written receipt therefor, subject to the unclaimed property laws of the State of Texas. Notwithstanding any other provision of this Ordinance to the contrary, it is hereby provided that any determination not to redeem defeased Obligations that is made in conjunction with the payment arrangements specified in subsection (i) or (ii) above shall not be irrevocable, provided that: (1) in the proceedings providing for such defeasance, the Issuer expressly reserves the right to call the defeased Obligations for redemption; (2) gives notice of the reservation of that right to the owners of the defeased Obligations immediately following the defeasance; (3) directs that notice of the reservation be included in any redemption notices that it authorizes; and (4) at the time of the redemption, satisfies the conditions of (i) or (ii) above with respect to such defeased debt as though it was being defeased at the time of the exercise of the option to redeem the defeased Obligations, after taking the redemption into account in determining the sufficiency of the provisions made for the payment of the defeased Obligations. SECTION 22: Printed Opinion. The Purchasers' obligation to accept delivery of the Obligations is subject to its being furnished a final opinion of Norton Rose Fulbright US LLP, San Antonio, Texas, as Bond Counsel, approving certain legal matters as to the Obligations, said opinion to be dated and delivered as of the date of initial delivery and payment for such Obligations. Printing of a true and correct copy of this opinion on the reverse side of each of the Obligations, with appropriate certificate pertaining thereto executed by facsimile signature of the City Secretary of the Issuer is hereby approved and authorized. SECTION 23: CUSIP Numbers. CUSIP numbers may be printed or typed on the definitive Obligations. It is expressly provided, however, that the presence or absence of CUSIP numbers on the definitive Obligations shall be of no significance or effect as regards the legality thereof, and neither the Issuer nor attorneys approving said Obligations as to legality are to be held responsible for CUSIP numbers incorrectly printed or typed on the definitive Obligations. SECTION 24: Effect of Headings. The Section headings herein are for convenience only and shall not affect the construction hereof. SECTION 25: Ordinance a Contract; Amendments - Outstanding Obligations. The Issuer acknowledges that the covenants and obligations of the Issuer herein contained are a material inducement to the purchase of the Obligations. This Ordinance shall constitute a contract with the Holders from time to time, shall be binding on the Issuer and its successors and assigns, and shall not be amended or repealed by the Issuer so long as any Obligation remains Outstanding except as permitted in this Section. The Issuer may, without the consent of or notice to any Holders, from time to time and at any time, amend this Ordinance in any manner not detrimental 41052379.6 27 to the interests of the Holders, including the curing of any ambiguity, inconsistency, or formal defect or omission herein. In addition, the Issuer may, with the written consent of Holders holding a majority in aggregate principal amount of the Obligations then Outstanding affected thereby, amend, add to, or rescind any of the provisions of this Ordinance; provided, however that, without the consent of all Holders of Outstanding Obligations, no such amendment, addition, or rescission shall (1) extend the time or times of payment of the principal of, and interest on the Obligations, reduce the principal amount thereof, the redemption price therefor, or the rate of interest thereon, or in any other way modify the terms of payment of the principal of, or interest on the Obligations, (2) give any preference to any Obligation over any other Obligation, or (3) reduce the aggregate principal amount of Obligations required for consent to any such amendment, addition, or rescission. SECTION 26: Benefits of Ordinance. Nothing in this Ordinance, expressed or implied, is intended or shall be construed to confer upon any person other than the Issuer, Bond Counsel, Paying Agent/Registrar, and the Holders, any right, remedy, or claim, legal or equitable, under or by reason of this Ordinance or any provision hereof, this Ordinance and all its provisions being intended to be and being for the sole and exclusive benefit of the Issuer, Bond Counsel, the Paying Agent/Registrar, and the Holders. SECTION 27: Inconsistent Provisions. All ordinances and resolutions, or parts thereof, which are in conflict or inconsistent with any provision of this Ordinance are hereby repealed to the extent of such conflict, and the provisions of this Ordinance shall be and remain controlling as to the matters contained herein. SECTION 28: Construction of Terms. If appropriate in the context of this Ordinance, words of the singular number shall be considered to include the plural, words of the plural number shall be considered to include the singular, and words of the masculine, feminine or neuter gender shall be considered to include the other genders. SECTION 29: Governing Law. This Ordinance shall be construed and enforced in accordance with the laws of the State of Texas and the United States of America. SECTION 30: Severability. If any provision of this Ordinance or the application thereof to any person or circumstance shall be held to be invalid, the remainder of this Ordinance and the application of such provision to other persons and circumstances shall nevertheless be valid, and the Governing Body hereby declares that this Ordinance would have been enacted without such invalid provision. SECTION 31: Incorporation of Preamble Recitals. The recitals contained in the preamble hereof are hereby found to be true, and such recitals are hereby made a part of this Ordinance for all purposes and are adopted as a part of the judgment and findings of the Governing Body. SECTION 32: Authorization of Paying Agent/Registrar Agreement. The Governing Body of the Issuer hereby finds and determines that it is in the best interest of the Issuer to authorize the execution of a Paying Agent/Registrar Agreement concerning the payment, exchange, registration, and transferability of the Obligations. A copy of the Paying 41052379.6 28 Agent/Registrar Agreement is attached hereto, in substantially final form, as Exhibit A and is incorporated by reference to the provisions of this Ordinance. SECTION 33: Public Meeting. It is officially found, determined, and declared that the meeting at which this Ordinance is finally adopted was open to the public and public notice of the time, place, and subject matter of the public business to be considered at such meeting, including this Ordinance, was given, all as required by Chapter 551, as amended, Texas Government Code. SECTION 34: Unavailability of Authorized Publication. If, because of the temporary or permanent suspension of any newspaper, journal, or other publication, or, for any reason, publication of notice cannot be made meeting any requirements herein established, any notice required to be published by the provisions of this Ordinance shall be given in such other manner and at such time or times as in the judgment of the Issuer or of the Paying Agent/Registrar shall most effectively approximate such required publication and the giving of such notice in such manner shall for all purposes of this Ordinance be deemed to be in compliance with the requirements for publication thereof. SECTION 35: No Recourse Against Issuer Officials. No recourse shall be had for the payment of principal of, premium, if any, or interest on any Obligation or for any claim based thereon or on this Ordinance against any official of the Issuer or any person executing any Obligation. SECTION 36: Continuing Disclosure Undertaking. A. Definitions. As used in this Section, the following terms have the meanings ascribed to such terms below: EMMA means the MSRB's Electronic Municipal Market Access system, accessible by the general public, without charge, on the internet through the uniform resource locator (URL) http://www.emma.msrb.org. MSRB means the Municipal Securities Rulemaking Board. Rule means SEC Rule 15c2-12, as amended from time to time. SEC means the United States Securities and Exchange Commission. B. Annual Reports. The City shall file annually with the MSRB, (1) within six months after the end of each Fiscal Year of the City ending in or after 2015, financial information and operating data with respect to the System of the general type described in Exhibit C hereto, and (2) if not provided as part such financial information and operating data, audited financial statements of the City, when and if available. Any financial statements so to be provided shall be (i) prepared in accordance with the accounting principles described in Exhibit C hereto, or such other accounting principles as the City may be required to employ from time to time pursuant to state law or regulation, and (ii) audited, if the City commissions an audit of such financial statements and the audit is completed within the period during which they must be provided. If the audit of such financial statements is not complete within such period, then 41052379.6 29 the City shall file unaudited financial statements within such period and audited financial statements for the applicable Fiscal Year to the MSRB, when and if the audit report on such statements becomes available. If the City changes its Fiscal Year, it will file notice thereof with the MSRB of the change (and of the date of the new Fiscal Year end) prior to the next date by which the City otherwise would be required to provide financial information and operating data pursuant to this Section. C. Notice of Certain Events. The City shall file notice of any of the following events with respect to the Bonds to the MSRB in a timely manner and not more than 10 business days after occurrence of the event: (1) Principal and interest payment delinquencies; (2) Non-payment related defaults, if material; (3) Unscheduled draws on debt service reserves reflecting financial difficulties; (4) Unscheduled draws on credit enhancements reflecting financial difficulties; (5) Substitution of credit or liquidity providers, or their failure to perform; (6) Adverse tax opinions, the issuance by the Internal Revenue Service of proposed or final determinations of taxability, Notices of Proposed Issue (IRS Form 5701-TEB), or other material notices or determinations with respect to the tax status of the Bonds, or other material events affecting the tax status of the Bonds; (7) Modifications to rights of Holders of the Bonds, if material; (8) Bond calls, if material, and tender offers; (9) Defeasances; (10) Release, substitution, or sale of property securing repayment of the Bonds, if material; (11) Rating changes; (12) Bankruptcy, insolvency, receivership, or similar event of the City, which shall occur as described below; (13) The consummation of a merger, consolidation, or acquisition involving the City or the sale of all or substantially all of its assets, other than in the ordinary course of business, the entry into of a definitive agreement to undertake such an action or the termination of a definitive agreement relating to any such actions, other than pursuant to its terms, if material; and (14) Appointment of a successor or additional Paying Agent/Registrar or the change of name of a Paying Agent/Registrar, if material. 41052379.6 30 For these purposes, any event described in the immediately preceding paragraph (12) is considered to occur when any of the following occur: the appointment of a receiver, fiscal agent, or similar officer for the City in a proceeding under the United States Bankruptcy Code or in any other proceeding under state or federal law in which a court or governmental authority has assumed jurisdiction over substantially all of the assets or business of the City, or if such jurisdiction has been assumed by leaving the existing governing body and officials or officers in possession but subject to the supervision and orders of a court or governmental authority, or the entry of an order confirming a plan of reorganization, arrangement, or liquidation by a court or governmental authority having supervision or jurisdiction over substantially all of the assets or business of the City. The City shall file notice with the MSRB, in a timely manner, of any failure by the City to provide financial information or operating data in accordance with this Section by the time required by this Section. D. Limitations, Disclaimers, and Amendments. The City shall be obligated to observe and perform the covenants specified in this Section for so long as, but only for so long as, the City remains an "obligated person" with respect to the Bonds within the meaning of the Rule, except that the City in any event will give notice of any deposit that causes the Bonds to be no longer Outstanding. The provisions of this Section are for the sole benefit of the Holders and beneficial owners of the Bonds, and nothing in this Section, express or implied, shall give any benefit or any legal or equitable right, remedy, or claim hereunder to any other person. The City undertakes to provide only the financial information, operating data, financial statements, and notices which it has expressly agreed to provide pursuant to this Section and does not hereby undertake to provide any other information that may be relevant or material to a complete presentation of the City's financial results, condition, or prospects or hereby undertake to update any information provided in accordance with this Section or otherwise, except as expressly provided herein. The City does not make any representation or warranty concerning such information or its usefulness to a decision to invest in or sell Bonds at any future date. UNDER NO CIRCUMSTANCES SHALL THE CITY BE LIABLE TO THE HOLDER OR BENEFICIAL OWNER OF ANY BOND OR ANY OTHER PERSON, IN CONTRACT OR TORT, FOR DAMAGES RESULTING IN WHOLE OR IN PART FROM ANY BREACH BY THE CITY, WHETHER NEGLIGENT OR WITH OR WITHOUT FAULT ON ITS PART, OF ANY COVENANT SPECIFIED IN THIS SECTION, BUT EVERY RIGHT AND REMEDY OF ANY SUCH PERSON, IN CONTRACT OR TORT, FOR OR ON ACCOUNT OF ANY SUCH BREACH SHALL BE LIMITED TO AN ACTION FOR MANDAMUS OR SPECIFIC PERFORMANCE. No default by the City in observing or performing its obligations under this Section shall constitute a breach of or default under this Ordinance for purposes of any other provision of this Ordinance. Nothing in this Section is intended or shall act to disclaim, waive, or otherwise limit the duties of the City under federal and state securities laws. 41052379.6 31 The provisions of this Section may be amended by the City from time to time to adapt to changed circumstances that arise from a change in legal requirements, a change in law, or a change in the identity, nature, status, or type of operations of the City, but only if (1) the provisions of this Section, as so amended, would have permitted an underwriter to purchase or sell Bonds in the primary offering of the Bonds in compliance with the Rule, taking into account any amendments or interpretations of the Rule to the date of such amendment, as well as such changed circumstances, and (2) either (a) the Holders of a majority in aggregate principal amount (or any greater amount required by any other provision of this Ordinance that authorizes such an amendment) of the Outstanding Bonds consent to such amendment or (b) a person that is unaffiliated with the City (such as nationally recognized bond counsel) determines that such amendment will not materially impair the interests of the Holders and beneficial owners of the Bonds. The City may also repeal or amend the provisions of this Section if the SEC amends or repeals the applicable provisions of the Rule or any court of final jurisdiction enters judgment that such provisions of the Rule are invalid, and the City also may amend the provisions of this Section in its discretion in any other manner or circumstance, but in either case only if and to the extent that the provisions of this sentence would not have prevented an underwriter from lawfully purchasing or selling Bonds in the primary offering of the Bonds, giving effect to (a) such provisions as so amended and (b) any amendments or interpretations of the Rule. If the City so amends the provisions of this Section, the City shall include with any amended financial information or operating data next provided in accordance with this Section an explanation, in narrative form, of the reasons for the amendment and of the impact of any change in the type of financial information or operating data so provided. E. Information Format — Incorporation by Reference. The City information required under this Section shall be filed with the MSRB through EMMA in such format and accompanied by such identifying information as may be specified from time to time thereby. Under the current rules of the MSRB, continuing disclosure documents submitted to EMMA must be in word -searchable portable document format (PDF) files that permit the document to be saved, viewed, printed, and retransmitted by electronic means and the series of obligations to which such continuing disclosure documents relate must be identified by CUSIP number or numbers. Financial information and operating data to be provided pursuant to this Section may be set forth in full in one or more documents or may be included by specific reference to any document (including an official statement or other offering document) available to the public through EMMA or filed with the United States Securities and Exchange Commission. SECTION 37: Book -Entry Only System. The Obligations may be registered so as to participate in a securities depository system (the DTC System) with the Depository Trust Company, New York, New York, or any successor entity thereto (DTC), as set forth herein. Each Stated Maturity of the Obligations shall be issued (following cancellation of the Initial Obligations described in Section 7) in the form of a separate single definitive Obligation. Upon issuance, the ownership of each such Obligation shall be registered in the name of Cede & Co., as the nominee of DTC, and all of the Outstanding Obligations shall be registered in the name of Cede & Co., as the nominee of DTC. The Issuer and the Paying Agent/Registrar are authorized to execute, deliver, and take the actions set forth 41052379.6 32 in such letters to or agreements with DTC as shall be necessary to effectuate the DTC System, including the Letter of Representations attached hereto as Exhibit D (the Representation Letter). With respect to the Obligations registered in the name of Cede & Co., as nominee of DTC, the Issuer and the Paying Agent/Registrar shall have no responsibility or obligation to any broker-dealer, bank, or other financial institution for which DTC holds the Obligations from time to time as securities depository (a Depository Participant) or to any person on behalf of whom such a Depository Participant holds an interest in the Obligations (an Indirect Participant). Without limiting the immediately preceding sentence, the Issuer and the Paying Agent/Registrar shall have no responsibility or obligation with respect to (i) the accuracy of the records of DTC, Cede & Co., or any Depository Participant with respect to any ownership interest in the Obligations, (ii) the delivery to any Depository Participant or any other person, other than a registered owner of the Obligations, as shown on the Security Register, of any notice with respect to the Obligations, including any notice of redemption, or (iii) the delivery to any Depository Participant or any Indirect Participant or any other Person, other than a Holder of an Obligation, of any amount with respect to principal of, premium, if any, or interest on the Obligations. While in the DTC System, no person other than Cede & Co., or any successor thereto, as nominee for DTC, shall receive a bond certificate evidencing the obligation of the Issuer to make payments of principal, premium, if any, or interest on the Obligations pursuant to this Ordinance. Upon delivery by DTC to the Paying Agent/Registrar of written notice to the effect that DTC has determined to substitute a new nominee in place of Cede & Co., and subject to the provisions in this Ordinance with respect to interest checks or drafts being mailed to the Holder, the word "Cede & Co." in this Ordinance shall refer to such new nominee of DTC. In the event that (a) the Issuer determines that DTC is incapable of discharging its responsibilities described herein and in the Representation Letter, (b) the Representation Letter shall be terminated for any reason, or (c) DTC or the Issuer determines that it is in the best interest of the beneficial owners of the Obligations that they be able to obtain certificated Obligations, the Issuer shall notify the Paying Agent/Registrar, DTC, and the Depository Participants of the availability within a reasonable period of time through DTC of bond certificates, and the Obligations shall no longer be restricted to being registered in the name of Cede & Co., as nominee of DTC. At that time, the Issuer may determine that the Obligations shall be registered in the name of and deposited with a successor depository operating a securities depository system, as may be acceptable to the Issuer, or such depository's agent or designee, and if the Issuer and the Paying Agent/Registrar do not select such alternate securities depository system then the Obligations may be registered in whatever name or names the Holders of Obligations transferring or exchanging the Obligations shall designate, in accordance with the provisions hereof. Notwithstanding any other provision of this Ordinance to the contrary, so long as any Obligation is registered in the name of Cede & Co., as nominee of DTC, all payments with respect to principal of, premium, if any, and interest on such Obligation and all notices with respect to such Obligation shall be made and given, respectively, in the manner provided in the Representation Letter. SECTION 38: Further Procedures. The officers and employees of the Issuer are hereby authorized, empowered and directed from time to time and at any time to do and perform all such 41052379.6 33 acts and things and to execute, acknowledge and deliver in the name and under the corporate seal and on behalf of the Issuer all such instruments, whether or not herein mentioned, as may be necessary or desirable in order to carry out the terms and provisions of this Ordinance, the initial sale and delivery of the Obligations, the Paying Agent/Registrar Agreement and the Loan Agreement. In addition, prior to the initial delivery of the Obligations, any Authorized Official, and Bond Counsel are hereby authorized and directed to approve any technical changes or corrections to this Ordinance or to any of the instruments authorized and approved by this Ordinance necessary in order to (i) correct any ambiguity or mistake or properly or more completely document the transactions contemplated and approved by this Ordinance, (ii) obtain a rating from any of the national bond rating agencies, or (iii) obtain the approval of the Obligations by the Texas Attorney General's office. In case any officer of the Issuer whose signature shall appear on any certificate shall cease to be such officer before the delivery of such certificate, such signature shall nevertheless be valid and sufficient for all purposes the same as if such officer had remained in office until such delivery. SECTION 39: Effective Date. Pursuant to the provisions of Section 1201.028, as amended, Texas Government Code, this Ordinance shall be effective immediately upon adoption, notwithstanding any provision in the City's Home Rule Charter to the contrary concerning a multiple reading requirement for the adoption of ordinances. 41052379.6 [The remainder of this page intentionally left blank] 34 PASSED AND ADOPTED by the City Council of the City of Corpus Christi, Texas, this the 24th day of February, 2015. CITY OF CORPUS CHRISTI, TEXAS Mayor ATTEST: City Secretary (CITY SEAL) APPROVED THIS 24th DAY OF FEBRUARY, 2015: Miles Risley, City Attorney 41052379.6 S-1 THE STATE OF TEXAS COUNTY OF NUECES I, the undersigned, City Secretary of the City of Corpus Christi, Texas, do hereby certify that the above and foregoing is a true, full and correct copy of an Ordinance passed by the City Council of the City of Corpus Christi, Texas (and of the minutes pertaining thereto) on the 24th day of February, 2015, authorizing the issuance of the City's Tax Notes, Series 2015, which ordinance is duly of record in the minutes of said City Council, and said meeting was open to the public, and public notice of the time, place and purpose of said meeting was given, all as required by Texas Government Code, Chapter 551. EXECUTED UNDER MY HAND AND SEAL of said City, this the 24th day of February, 2015. (CITY SEAL) 41052379.6 City Secretary S-2 The foregoing ordinance was passed on its first reading on this the 24th day of February, 2015, by the following vote: Nelda Martinez Rudy Garza, Jr. Carolyn Vaughn Chad Magill Brian Rosas Lillian Riojas Lucy Rubio Mark Scott Colleen McIntyre PASSED AND APPROVED, this the 24th day of February, 2015. ATTEST: Rebecca Huerta Nelda Martinez City Secretary Mayor 41052379.6 S-3 41052379.6 INDEX TO EXHIBITS Exhibit A Paying Agent/Registrar Agreement Exhibit B Loan Agreement Exhibit C Description of Annual Financial Information Exhibit D DTC Letter of Representations S-1 41052379.6 EXHIBIT A Paying Agent/Registrar Agreement See Tab No. A-1 41052379.6 EXHIBIT B Loan Agreement See Tab No. B-1 EXHIBIT C Description of Annual Financial Information The following information is referred to in Section 36 of this Ordinance. Annual Financial Statements and Operating Data The financial information and operating data with respect to the City to be provided annually in accordance with such Section are as specified below: 1. The City's audited financial statements for the most recently concluded Fiscal Year or to the extent these audited financial statements are not available, unaudited financial statements of the City for the most recently concluded Fiscal Year. 2. The City's Annual Financial Operating Data [of the type included in the following pages of this Exhibit]; and the Audited Financial Statement of the City. Accounting Principles The accounting principles referred to in such Section are the accounting principles described in the notes to the financial statements referred to above. 41052379.6 C-1 41052379.6 EXHIBIT D DTC Letter of Representations See Tab No. D-1 Ordinance Approving a termination of the agreement with RecycleRewards and non -allocation of funds due to the necessity to fund improvements to solid waste services in the operating budget for fiscal year 2015-2016; finding that the termination and issuance of certificates of obligation for solid waste services capital improvements are both necessary and prudent; directing that a copy of this ordinance be included with the adopted FY2015-2016 Operating Budget; and providing for severance. WHEREAS, the City and RecycleRewards entered into an incentive -based recycling program agreement approved by the City Council on October 12, 2010 (M2010-246), which agreement became effective on October 15, 2010, for a term of five years and five months, expiring on March 15, 2016; WHEREAS, the City Council finds that the benefits of the RecycleRewards program do not justify the fee established to fund said program; WHEREAS, the City Council finds that the RecycleRewards program is not operating in a manner likely to obviate the necessity of improvements to the City's landfill; therefore, the fee originally established to fund said program must be instead utilized for such landfill improvements; WHEREAS, necessary capital improvements to the City's solid waste services must be made and funded in the upcoming fiscal year 2015-2016 budget; WHEREAS, the funding of the capital improvements requires termination of the RecycleRewards agreement due to budget constrictions, and the City Council finds that the termination and requirement to issue certificates of obligation are both necessary and prudent due to circumstances necessitating the improvements; WHEREAS, the City Council determines it advisable not to allocate funds to continue the contract with RecycleRewards in the operating budget for fiscal year 2015-2016; now, therefore, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS; SECTION 1. The City Council approves terminating the agreement with RecycleRewards, effective September 30, 2015, by a non -allocation of funds in the Operating Budget for fiscal year 2015-2016, by operation of law pursuant to paragraph 16.E. of the parties' agreement, which reads as follows: "By operation of Texas law, in the event that Municipality does not include payment of this contractual Agreement in any annual budget. Both parties recognize that the continuation of any contract after the close of any fiscal year of the City, which fiscal year ends on July 31 annually, is subject to future appropriations and budget approval providing for such contract item as an expenditure in that budget. The City does not represent that the budget item will be actually adopted, that determination being within the sole discretion of the City Council at the time of adoption of each annual budget[;]" and further finds that the termination of the agreement and issuance of certificates of obligation to fund required solid waste capital improvements are both necessary and prudent due to circum- stances necessitating the improvements in FY2015-2016. SECTION 2. Based on the foregoing, the City Council determines it will not allocate funds to continue the contract with RecycleRewards in the Operating Budget for FY2015-2016. SECTION 3. The City Council directs that the substance of this ordinance be incorporated with the adopted Operating Budget for FY2015-2016. SECTION 4. It is hereby declared to be the intention of the City Council that the sections, para- graphs, sentences, clauses and phrases of this ordinance are severable and, if any section, para- graph, sentence, clause, or phrase in this ordinance is declared unconstitutional or invalid by final judgment or decree of any court of competent jurisdiction, such unconstitutionality shall not affect any of the remaining sections, paragraphs, sentences, clauses, or phrases of this ordinance, since the same would have been enacted by the City Council without the incorporation in this ordinance of any such unconstitutional or invalid section, paragraph, sentence, clause, or phrase. The foregoing ordinance was read for the first time and passed to its second reading on this the day of , 20, by the following vote: Nelda Martinez Brian Rosas Rudy Garza Lucy Rubio Chad Magill Mark Scott Colleen McIntyre Carolyn Vaughn Lillian Riojas The foregoing ordinance was read for the second time and passed finally on this the day of , 20, by the following vote: Nelda Martinez Brian Rosas Rudy Garza Lucy Rubio Chad Magill Mark Scott Colleen McIntyre Carolyn Vaughn Lillian Riojas PASSED AND APPROVED on this the day of , 20 ATTEST: Rebecca Huerta City Secretary Nelda Martinez Mayor First Reading at the City Council Meeting of February 17, 2015 Second Reading at the City Council Meeting of February 24, 2015 DATE: February 12, 2015 TO: Ronald L. Olson, City Manager THRU: Margie Rose, Deputy City Manager MargieR@cctexas.com 361-826-3220 THRU: THRU: Gustavo Gonzalez, P.E., Assistant City Manager, Public Works and Utilities GustavoGo@cctexas.com 361-826-3897 Valerie H. Gray, P.E., Interim Executive Director, Public Works ValerieG@cctexas.com 361-826-3729 FROM: Lawrence Mikolajczyk, Director, Solid Waste Operations Lawm@cctexas.com 361-826-1971 Termination of RecycleRewards agreement and non -allocation of funds for budget fiscal year 2015-2016. CAPTION: Ordinance approving a termination of the agreement with RecycleRewards and non -allocation of funds due to the necessity to fund improvements to solid waste services in the operating budget for fiscal year 2015-2016; finding that the termination and issuance of certificates of obligation for solid waste services capital improvements are both necessary and prudent; directing that a copy of this ordinance be included with the adopted FY2015-2016 Operating Budget; and providing for severance. PURPOSE: Capital improvement projects for the City's Solid Waste Operations department must be funded in the FY 2015-2016 budget. Budgetary constrictions necessitate the termination of the RecycleRewards, Inc. agreement to assure funding is available to finance principal and interest payments associated with this debt. BACKGROUND AND FINDINGS: Section 16.3 E. of the RecycleRewards Contract states that the continuation of the contract after the close of any fiscal year is subject to future appropriations and budget approval providing for such contract item as an expenditure in that budget. Therefore, if the contract is not funded in the FY 2015-16 budget, the contract will terminate effective September 30, 2015. ALTERNATIVES: 1. Do not approve. (Not Recommended) OTHER CONSIDERATIONS: Prudent fiscal management policy necessitates this action to help assure sustainable solid waste management practices. CONFORMITY TO CITY POLICY: Conforms to City Fiscal Policy EMERGENCY / NON -EMERGENCY: Non -Emergency DEPARTMENTAL CLEARANCES: Management and Budget, Finance, City Attorney FINANCIAL IMPACT: X Operating ❑ Revenue ❑ Capital ❑ Not applicable Fiscal Year: 2014-2015 Project to Date Expenditures (CIP only) Current Year Future Years Annual Expenditure Reduction Line Item Budget ($712,000) ($712,000) Encumbered / Expended Amount $0 $0 This item ($712,000) ($712,000) BALANCE $0 $0 Fund: General Fund, Refuse Collections, Professional Services Account Comments: This item continues to fund the RecycleRewards, Inc. agreement in FY 2014-2015 as budgeted. Termination of the agreement on September 30, 2015, and non -renewal of the contract March 15, 2016, will result in expenditure reductions of approximately $712,000 annually that may be redirected to fund Solid Waste Operations Department Capital Improvement Projects. RECOMMENDATION: Approval if this item is recommended. LIST OF SUPPORTING DOCUMENTS: Ordinance. AGENDA MEMORANDUM First Reading Item for the City Council Meeting of February 24, 2015 Second Reading Item for the City Council Meeting of March 10, 2015 DATE: TO: Ronald L. Olson, City Manager February 3, 2015 THRU: Gustavo Gonzalez, P.E., Assistant City Manager, Public Works and Utilities GustavoGo@cctexas.com (361) 826-3897 FROM: Valerie H. Gray, P.E., Executive Director, Public Works ValerieG@cctexas.com (361) 826-3729 Mark Van Vleck, P.E., Executive Director, Utilities MarkVV@cctexas.com (361) 826-1874 Engineering Contract City of Corpus Christi Regional Water Supply Strategic Sustainability Plan CAPTION: Ordinance amending the FY 2015 Capital Improvement Program Budget adopted by Ordinance No. 030303 to add Project No. E14001 City of Corpus Christi Regional Water Supply Strategic Sustainability Plan; transferring and appropriating $572,365 from the Unreserved Fund Balance in No. 4041 Raw Water Supply Development Fund to and appropriating in the No. 4080 Water CIP Fund for the City of Corpus Christi Regional Water Supply Strategic Sustainability Plan; and authorizing the City Manager or designee to execute a Professional Services Agreement in the amount of $539,967 with CH2M Hill Engineers, Inc., a Delaware Corporation with a branch office in Corpus Christi, Texas for the City of Corpus Christi Regional Water Supply Strategic Sustainability Plan for technical, public outreach, strategic planning and associated services. PURPOSE: The purpose of this agenda item is to obtain authority to execute the CH2M Hill contract for the City of Corpus Christi Regional Water Supply Strategic Sustainability Plan. BACKGROUND AND FINDINGS: The objective of this project is to develop a City of Corpus Christi Regional Water Supply Sustainability Plan (Plan) that identifies, develops and optimizes the sustainment and implementation of firm safe yield water supply resources in advance of Region water demands. The deliverable of this Plan will be a recommended Business Plan addressing the acquisition delivery of Regional water supply resources in response to City Council Resolution No. 030200 directive. 1. This Plan provides a suite of planning assumptions and decision making criteria, comparison metrics and process tools for on-going and future PLAN implementation sustainability; 2. This Plan provides enhanced screening tools that account for current and future municipal and industrial water demand and supply projections that develop water supply portfolios for future PLAN acquisition by using the current City Water Availability Model; 3. This Plan simulates individual potential water supply acquisitions that increase and diversify water supply reliability with attention given to increase in yield reduction in costs and meet other PLAN decision and governance criteria; and 4. This Plan develops a diverse portfolio of water supply projects (next, best three to five projects) water supply acquisition strategies that account for future demands and increased drought resiliency through diversity of source. Portfolio selection also considers yield potential, development schedule, fixed and variable costs, regulatory and permitting requirements, system enhancement opportunities, and project risks and benefits. The basic services of Project Orientation, Water Demand, Supply and Reliability Index, Water Supply Acquisition Selection Criteria and Project Portfolios, Economic Policies for Rate Model Criteria, and Governance Policy and Criteria are supposed to be accomplished in nine (9) months after the City's Notice to Proceed. When complete, the Plan will articulate City strategies for future regional water supply implementation in concert with and in support of the State of Texas Water Plan. Decision Making criteria and guidelines for Policy development will enable the City to make current and future sustainable water resource supply acquisition decisions. CH2M Hill Engineers, Inc. was selected as the A/E Consultant for this project through RFQ No. 2014-01 on May 20, 2014. ALTERNATIVES: 1. Authorize the execution of the engineering contract. 2. Do not authorize the execution of the engineering contract. (Not Recommended) OTHER CONSIDERATIONS: Not applicable CONFORMITY TO CITY POLICY: Conforms to City Fiscal Policy EMERGENCY / NON -EMERGENCY: Non -Emergency DEPARTMENTAL CLEARANCES: Utilities Department FINANCIAL IMPACT: ❑ Operating ❑ Revenue ®Capital ❑ Not applicable Fiscal Year 2014-2015 Project to Date Expenditures Current Year Future Years TOTALS Line Item Budget $572,365.00 $572,365.00 Encumbered / Expended Amount This Item $539,967.00 $539,967.00 Future Anticipated Expenditures This Project $32,398.00 $32,398.00 BALANCE $0.00 $0.00 Fund(s): Water CIP Comments: Basic services described above are estimated to be completed within 9 months with additional time for public and City Council review of the Plan. The amendment will result in the expenditure of an amount not to exceed $539,967. RECOMMENDATION: City Staff recommends approval of the Ordinance as proposed. LIST OF SUPPORTING DOCUMENTS: Ordinance Project Budget Location Map Contract Presentation Ordinance amending the FY 2015 Capital Improvement Program Budget adopted by Ordinance No. 030303 to add Project No. E14001 City of Corpus Christi Regional Water Supply Strategic Sustainability Plan; transferring and appropriating $572,365 from the Unreserved Fund Balance in No. 4041 Raw Water Supply Development Fund to and appropriating in the No. 4080 Water CIP Fund for the City of Corpus Christi Regional Water Supply Strategic Sustainability Plan; and authorizing the City Manager or designee to execute a Professional Services Agreement in the amount of $539,967 with CH2M Hill Engineers, Inc., a Delaware Corporation with a branch office in Corpus Christi, Texas for the City of Corpus Christi Regional Water Supply Strategic Sustainability Plan for technical, public outreach, strategic planning and associated services. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS: SECTION 1. The FY 2015 Capital Improvement Budget adopted by Ordinance No. 030303 is amended to add the City of Corpus Christi Regional Water Supply Strategic Sustainability Plan Project No. E14001 to the Water Capital Improvement Program Budget. SECTION 2. An amount of $572,365 from the Unreserved Fund Balance in No. 4041 Raw Water Supply Development Fund is appropriated and transferred and appropriating into the No. 4080 Water CIP Fund for the Corpus Christi Regional Water Supply Strategic Sustainability Plan. SECTION 3. The FY 2015 Capital Improvement Budget adopted by Ordinance No. 030303 is changed to increase revenues and expenditures in the amount of $572,365. SECTION 4. The City Manager, or designee, is authorized to execute an engineering contract in the amount of $539,967 with CH2M Hill Engineers, Inc. a Delaware Corporation with a branch Office in Corpus Christi for technical, public outreach, strategic planning and associated services as part of the City of Corpus Christi Regional Water Supply Strategic Sustainability Plan. ATTEST: THE CITY OF CORPUS CHRISTI Rebecca Huerta City Secretary Nelda Martinez Mayor That the foregoing ordinance was read for the first time and passed to its second reading on this the day of , 2015, by the following vote: Nelda Martinez Brian Rosas Rudy Garza Lucy Rubio Chad Magill Mark Scott Colleen McIntyre Carolyn Vaughn Lillian Riojas That the foregoing ordinance was read for the second time and passed finally on this the day of , 2015, by the following vote: Nelda Martinez Brian Rosas Rudy Garza Lucy Rubio Chad Magill Mark Scott Colleen McIntyre Carolyn Vaughn Lillian Riojas PASSED AND APPROVED on this the day of , 2015. ATTEST: Rebecca Huerta City Secretary Nelda Martinez Mayor PROJECT BUDGET CITY OF CORPUS CHRISTI REGIONAL WATER SUPPLY STRATEGIC SUSTAINABILITY PLAN FUNDS AVAILABLE: Raw Water Supply Development Fund $572,365 FUNDS REQUIRED: Engineer Fees: Engineer (CH2M Hill Engineers, Inc.) $539,967 Reimbursements: Administration/Finance (Capital Programs/Capital Budget/Finance) $13,499 Engineering Services (Project Mgmt) $16,199 Misc $2,700 TOTAL $572,365 PROJECT BUDGET BALANCE $0 Note: City -Wide Project PROJECT # E14001 LOCATION MAP NOT TO SCALE City of Corpus Christi Regional Water Supply Strategic Sustainability Plan CITY COUNCIL EXHIBIT 040,4 CITY OF CORPUS CHRISTI, TEXAS DEPARMENT OF CAPITAL PROGRAMS PAGE 1 OF 1 CITY OF CORPUS CHRISTI CONTRACT FOR PROFESSIONAL SERVICES The City of Corpus Christi, a Texas home rule municipal corporation, P.O. Box 9277, Corpus Christi, Nueces County, Texas 78469-9277 (City) acting through its duly authorized City Manager or Designee (Executive Director of Public Works) and CH2M Hill Engineers, Inc., a Delaware corporation, 9193 South Jamaica Street, Suite 400, Englewood, Colorado, 80112 (Architect/Engineer — A/E), hereby agree as follows: 1. SCOPE OF PROJECT City of Corpus Christi Regional Water Supply Strategic Sustainability Plan (Project No. E14001) - The scope of this project includes technical services, public outreach, strategic planning and associated services as more fully described in Exhibit "A." 2. SCOPE OF SERVICES The A/E hereby agrees, at its own expense, to perform services necessary to prepare technical evaluations, analytic tools, summary documents and associated services. In addition, A/E will provide monthly status updates (project progress or delays, gantt charts presented with monthly invoices) and provide contract administration services, as described in Exhibit "A", to complete the Project. Work will not begin on Additional Services until requested by the A/E (provide breakdown of costs, schedules), and written authorization is provided by the Executive Director of Public Works. A/E services will be performed with the standard of care applicable to A/E's services using the degree of skill and diligence normally employed by professional engineers or consultants performing the same or similar services at the time A/E's services are performed. A/E will promptly re -perform any services not meeting this standard without additional compensation. 3. ORDER OF SERVICES The A/E agrees to begin work on those authorized Basic Services for this contract upon receipt of the Notice to Proceed from the Executive Director of Public Works. Work will not begin on any phase or any Additional Services until requested in writing by the A/E and written authorization is provided by the Executive Director of Public Works. The anticipated schedule for Basic Services is shown on Exhibit "A". This schedule is not to be inclusive of all additional time that may be required for review by the City staff and may be amended by or with the concurrence of the Executive Director of Public Works. The Executive Director of Public Works may direct the A/E to undertake additional services or tasks provided that no increase in fee is required. Services or tasks requiring an increase of fee will be mutually agreed and evidenced in writing as an amendment to this contract. A/E shall notify the City of Corpus Christi within three (3) days of notice if tasks requested requires an additional fee. Page 1 of 4 4. INDEMNITY AND INSURANCE A/E agrees to the mandatory contract indemnification and insurance requirements as set forth in Exhibit "B". 5. FEE The City will pay the A/E a fee, as described in Exhibit "A", for providing services authorized, a total fee not to exceed $539.967.00 (Five Hundred Thirty -Nine Thousand Nine Hundred Sixty -Seven Dollars and Zero Cents). Monthly invoices will be submitted in accordance with Exhibit "C". 6. TERMINATION OF CONTRACT The City may, at any time, with or without cause, terminate this contract upon seven days written notice to the A/E at the address of record. In this event, the A/E will be compensated for its services on all stages authorized based upon A/E and City's estimate of the proportion of the total services actually completed at the time of termination. 7. LOCAL PARTICIPATION The City Council's stated policy is that City expenditures on contracts for professional services be of maximum benefit to the local economy. The City waived this policy for Project Number E14001 and all work performed pursuant to this contract. 8. ASSIGNABILITY The A/E will not assign, transfer or delegate any of its obligations or duties in this contract to any other person without the prior written consent of the City, except for routine duties delegated to personnel of the A/E staff. If the A/E is a partnership, then in the event of the termination of the partnership, this contract will inure to the individual benefit of such partner or partners as the City may designate. No part of the A/E fee may be assigned in advance of receipt by the A/E without written consent of the City. The City will not pay the fees of expert or technical assistance and consultants unless such employment, including the rate of compensation, has been approved in writing by the City. 9. OWNERSHIP OF DOCUMENTS All documents including contract documents (plans and specifications), record drawings, contractor's field data, and submittal data will be the sole property of the City, may not be used again by the A/E without the express written consent of the Executive Director of Public Works. However, the A/E may use standard details that are not specific to this project. The City agrees that any modification of the plans will be evidenced on the plans, and be signed and sealed by a professional engineer prior to re -use of modified plans. Page 2 of 4 10. STANDARD OF CARE The standard of care applicable to A/E's services will be the degree of skill and diligence normally employed by professional engineers or consultants performing the same or similar services at the time A/E's services are performed. A/E will promptly re -perform any services not meeting this standard without additional compensation. 11. NO THIRD PARTY BENEFICIARIES This Contract gives no rights or benefits to anyone other than City and A/E and has no third party beneficiaries. 12. FORCE MAJEURE Force Majeure is defined as an extraordinary event beyond the control of the parties, such as a war, riot, or act of God that prevents one or both parties from fulfilling their obligations under this contract. If performance of the services is affected by force majeure, project schedule may be adjusted upon written agreement of the parties. 13. DISCLOSURE OF INTEREST A/E further agrees, in compliance with City of Corpus Christi Ordinance No. 17112, to complete, as part of this contract, the Disclosure of Interests form, CITY OF CORPUS CHRISTI CH ILL Director, Capital Programs Date RECOMMENDED Operating Department Date APPROVED AS TO LEGAL FORM Assistant City Attorney for City Attorney Date Edward Motley, P. Vice President 12750 Merit Drive, Suite 1100 Dallas, Texas 75251 (972) 663-2237 Office Page 3 of 4 APPROVED Office of Management and Budget ATTEST Date Rebecca Huerta, City Secretary Project No.E14001 Accounting Unit: 4080-072 Account: 550950 Activity: E14001014080EXP Account Category: 50950 Fund Name: Water CIP Page 4 of 4 FEBRUARY 4, 2015 Exhibit "A" City of Corpus Christi Regional Water Supply Strategic Sustainability Plan Project Number: E14001 Project Background, Purpose and Objectives Water Supply Strategic Plan Objective: On June 17, 2014, the City Council of the City of Corpus Christi passed Resolution No. 030200 with a stated objective: "That the Water Management Plan 2015-2050 will continually integrate water management strategies of surface, reuse, conservation, aquifer storage, and desalination to sustain the economic prosperity of the Coastal Bend Region." By resolution, City Council directed completion of the Water Supply Strategic Plan (PLAN) along with addition of new, diversified water supplies in 20,000 acre-foot increments every 5 to 10 years (with the exception of desalination supply). Objective Criteria: • The PLAN is reliable - Regional water supply availability always exceeds demand. • The PLAN is diverse — Regional water supply planning portfolio includes surface, reuse, groundwater, conservation, aquifer storage and recovery, desalination and inter/intra-regional strategies. • The PLAN is responsible —Water supply alert mechanism by reliability index is established to direct the City's water business at 5 year increments. • The PLAN is feasible — Future Regional water supply acquisitions are fiscally achievable and stable. • The PLAN is equitable — Water supply rates advance Regional equity and parity to current and future customers. • The PLAN is consistent — Regional water supply acquisition policies and decision criteria provide ongoing, sustainable future decision metrics beyond 2050. • The PLAN is understood — Regional water supply acquisition communication promotes regional understanding and endorsement. Water Supply Strategic Business Plan Purpose: CH2M HILL Engineers, Inc. (Consultant) shall develop a Water Supply Strategic Business Plan (PLAN) for the City of Corpus Christi (City). The deliverable will be a recommended Business Plan that identifies and develops acquisition and implementation strategies for the delivery of Regional water supply resources in response to City Council Resolution No. 030200 directive. • The Business Plan provides a suite of planning assumptions and decision-making criteria, comparison metrics and process tools for on-going and future PLAN implementation sustainability; • The Business Plan, using the currently available City water supply data, provides enhanced screening tools that account for current and future municipal and industrial water demand and supply projections that develop water supply portfolios for future PLAN acquisition; EXHIBIT "A" Page 1 of 12 FEBRUARY 4, 2015 • The Business Plan evaluates individual potential water supply projects or acquisitions that increase and diversify water supply reliability with priority given to those projects that increase yield, are cost-effective and meet other PLAN decision and governance criteria; • The Business Plan provides guidance on policies and actions to implement a diverse portfolio of water supply projects (the selected three to five 20,000 AF projects) and water supply acquisition • strategies that account for future demands and increased drought resiliency through diversity of sources. Portfolio selection also considers yield potential, development schedule, fixed and variable costs, regulatory and permitting requirements, system enhancement opportunities, and project risks and benefits; and, • The Business Plan (Draft) will be completed per Section 11, Schedule. Business Plan — Scope of Services Table of Contents BASIC SERVICES 1. Project Orientation 2. Water Demand, Supply and Reliability Index 3. Water Supply Acquisition Selection Criteria and Project Portfolios 4. Economic Policies for Rate Model Criteria 5. Governance Policy and Criteria 6. Draft Plan Outreach 7. Draft Plan Presentation to City Council 8. Final Plan & City Council Adoption ADDITIONAL SERVICES 1. Communication & Outreach 2. Project Meetings 3. Staff Training I. SCOPE OF SERIVCES A. BASIC SERVICES 1. Project Orientation A. Task 1 Purpose The purpose of Task 1 is to charter the water supply sustainability team that develops the vision which will define success and strategic "must do" imperatives for the City as the Regional water provider. For example, City project expectations anticipate the development of the water supply reliability evaluation index, recommendations for the next three (3) to five (5) twenty thousand acre-foot (20,000 AF) water supply acquisition projects; and establishment of policy guidance for consistent fiscal, governance, screening, procurement methodology, communications, feasibility and reliability PLAN criteria. The Consultant will: • Facilitate an Orientation/ Chartering Workshop attended by City staff and the Consultant team (water supply business plan team). During the workshop, the team will develop an integrated set of PLAN assumptions and definitions that EXHIBIT "A" Page 2 of 12 FEBRUARY 4, 2015 will govern the development of respective project tasks, define project team roles and responsibilities, and establish project communication protocols. • Work with the City to organize and facilitate a Regional Wholesale and Industrial Customer Workshop intended to develop a "consensus, collaborative understanding" of the Regional vision. • Prepare a Project Execution Manual for this project during Task 1. B. Task 1 Deliverables • Workshop agenda, materials and meeting minutes (2 workshops) • Orientation Charter Workshop • Regional Wholesale and Industrial Customer Workshop • Project execution manual in Technical Memorandum format (Electronic copy). 2. Water Demand, Supply and Reliability Index The purpose of Task 2 is to determine the decision timeframe for the next Regional water supply acquisition. A. City's existing water supply status and data collection The purpose of this task is to obtain publicly available data, reports and reference materials to establish a municipal and industrial water demand baseline. The Consultant will: • Identify and request existing City data, reports, plans, rate models and similar materials. • Review City's existing GIS, operating data and water supply information, and extract necessary information for water demand baseline. B. Determination of water demand The purpose of this task is to develop water demand projection model that calculates current and project short-term (5-10 year), mid-term (20-30 year) and long term (40-50 year) water demands based on the City's and its Regional customers water use profile. The Consultant will: • Review and assess existing Corpus Christi waster demand assumptions for population changes and industrial requirements. Assessment should consider, at a minimum, the impact of Eagle Ford Shale on the Corpus Christi Regional water demands in combination with projected population variation and market economy for the Region, these water demands may include the following aspects: o Residential water demand; o Industrial (commercial) water demand; o Wholesale water distribution demand (Kingsville, San Patricio District, Nueces County area, etc.); and, o City's conservation goals and Regional conservation response. • Prepare recommended water demand projection analytical model revision(s) where appropriate along with method for implementation and use. It is envisioned that the demand projection model will be integrated with the screening tool developed in a subsequent task. EXHIBIT "A" Page 3 of 12 FEBRUARY 4, 2015 • Prepare three future water demand scenarios. C. Determination of water supply requirements The purpose of this task is to determine regional current, short-term (5-10 year), mid-term (20-30 year) and long term (40-50 year) water supply requirements (i.e., projected water demands greater than existing supplies available during the planning timeframes). The Consultant will: • Evaluate the City's existing supplies to estimate water supply availability during the planning timeframe o Consultant will utilize existing information and will not perform any water availability modeling to determine the yield of existing sources. Any water availability modeling efforts required will be included in the additional services. • Develop an analytic tool (model) that will integrate results of the existing water supply availability analysis and the demand projections developed in the previous sub -task. o It is envisioned that the model will be developed using a commercial software platform such as Microsoft Excel, ExtendSim or similar commercially available software as determined in conjunction with the City. o The model will provide tabular and graphic information indicating when future regional supplies are needed to outpace projected regional water demand. o The model will be developed to incorporate the results of the water supply project evaluations prepared in Task 3 and have the capability for adding additional potential water supplies evaluated by the City in the future. D. Development of Water Supply Reliability Index (RI) The purpose of this task is to create a Reliability Index that provides quantitative and qualitative basis for determining when to initiate the next water supply acquisition. The RI will incorporate demand projections and results of the of the water supply analysis from previous tasks. The Consultant will: • Develop a Water Supply Reliability Index as part of the model developed in Task C that can be used to characterize the City's Regional water supply compared with current demand and/or water demand projection scenarios. RI should have the following characteristics: o Can be quantitatively measured and qualitatively described; o Can serve as a qualifying parameter for determining the Region's priority water supply acquisition decisions; and o Can be updated with other potential or actual water supplies to assess the reliability of water supply portfolio(s). EXHIBIT "A" Page 4 of 12 FEBRUARY 4, 2015 E. Task 2 Deliverables • Water supply model that includes water demand projections (from Subtask B) and existing water supply sources yields during the planning period (from Subtask C) • Water Supply Reliability Index 3. Water Supply Acquisition Selection Criteria and Project Portfolios A. Task 3 Purpose The purpose of Task 3 is to develop selection criteria, and an acquisition screening tool (integrated portfolio model) that can be used to evaluate multiple water supply acquisition strategies as an integrated water supply portfolio. The screening tool (integrated portfolio model) will test supply drivers such as variable demand conditions/ projections, variable hydrologic conditions, variable cost considerations and risk of reliability. The integrated portfolio model will provide the decision assessment platform in determining which would be the preferred three (3) to five (5) 20,000 AF water supply strategies for the region. Potential supply strategies could, for example, include seawater/brackish ground water industrial and potable projects in San Patricio and Nueces County respectively; effluent re -use for industry; and, effluent re -use delivery, storage and treatment for potable consumption. A secondary objective of Task 3 is to provide the City with the integrated planning toolset, in conjunction with other PLAN policy and criteria to enable the City to re- assess and update the PLAN for the Region. The model will include a project template to evaluate water supply options proposed in the future, to update currently evaluated options when new information becomes available and facilitate future water supply evaluations. It is anticipated that future collaborative response will consider Regional and State partnerships, regulatory initiatives and emerging technology. The Consultant will: 1) Expand the analytic tool developed during previous tasks to incorporate selection criteria developed in conjunction with the City and provide a screening tool (integrated portfolio model). 2) Identify and analyze six potential Coastal Bend Regional water supply project strategies. Existing data will be used to populate the templates for those strategies currently under evaluation and those recently completed (e.g., desalination.) The Consultant will develop schematic project layout, estimate available yield, preliminary treatment requirements, Class 5 cost estimates using TWDB Regional Water Supply costing approach and tool (capital and operating costs), identify possible environmental considerations, permitting requirements and potential risks, system integration considerations, and project schedule with possible phasing EXHIBIT "A" Page 5 of 12 FEBRUARY 4, 2015 opportunities. Six potential water supply projects will be evaluated which are anticipated to include a -f below. Other potential supplies may be evaluated in Additional Services Task 4 if requested by the city. a. Effluent Reuse b. Groundwater c. Industrial Desalination d. Municipal Desalination e. Aquifer Storage and Recovery f. Inter -Regional Off -Channel Reservoir 3) Define, analyze and recommend 3 (three) water supply portfolios incorporating existing supplies and potential supplies evaluated in this task to be executed over the next 50 years (the planning period). Using the results of the project evaluations described previously, each water supply portfolio will be characterized by: • Major project delivery parameters (e.g., land required for project, project components, water production (yield), estimated energy consumption and operating costs, procurement schedule, project investment (capital cost), technologies required, permitting issues, environmental issues, conveyance, associated with each water supply project; and • Project engineering and financial analyses including financing strategy options. 4) Adjust Reliability Index evaluation criteria, if applicable. 5) Produce a brief (20-30 page) integrated PLAN implementation guideline and playbook for the regional water supply acquisition (Draft Business Plan) that will address results of the technical evaluation, portfolio development, the economic and governance/policy recommendations from subsequent task and a framework for future public outreach. (A detailed future public Outreach Plan may be prepared if authorized as an Additional Service.) B. Task 3 Deliverables • Monthly Project Team Telephone Progress Review Conferences • Agenda, presentation and meeting minutes (2 meetings/workshops) • 3 sub -Task Technical Memorandums — Selection Criteria and Screening Tool (Integrated Supply Portfolio Model); Supply Evaluation; Water Supply Portfolio (Electronic Copy) • Draft and Final Business Plan including a framework for future outreach • Draft Business Plan (Integrated PLAN Implementation Guidelines) Workshops (60% and Final) • Integrated Portfolio Model (includes demand projection model and completed templates for existing and proposed water supply strategies, and screening criteria) delivered in electronic format. Final model will be developed at the end of the project. EXHIBIT "A" Page 6 of 12 FEBRUARY 4, 2015 4. Economic Policies for Rate Model Criteria A. Task 4 Purpose The purpose of Task 4 is to establish transparent, equitable, consistent water supply rate policies that provide the governing criteria that will be used in the development of a revised water utility rate structure algorithm. Consultant recommendation should address cost allocation to a diverse Regional customer class based upon the implementation of current and future water supply strategies that consider full cost recovery and equity. The Consultant will: • Participate with select City staff (Water Resources, Utilities, Finance, Legal, MIS, Risk Management, Capital Programs) in a series of three (3) working meetings to craft the Rate Model Policies and Criteria. Note: Consultant team members will include those with expertise in utility rate development, economics, legal, risk management, project delivery and information management o Meeting 1 will focus on current review of the rate structure and identification of City objectives and rate model policy revision considerations. o Meeting 2 will review a menu of possible policy and criteria considerations to determine a recommend choice of options. o Meeting 3 will review the Technical Memorandum (Draft) deliverable of recommended policy and criteria. • Prepare draft and final technical memoranda summarizing water supply rate model policies and criteria options and recommendations B. Task 4 Deliverables • Meeting agenda, materials and meeting minutes for 3 meetings • Economic/Rate Model Policy Meetings (3 each via web access) • Recommendation on supply acquisition cost allocation to Regional customer base • Economic Policy and Rate Criteria Technical Memorandum (Electronic copy) 5. Governance Policy and Criteria A. Task 5 Purpose The Purpose of Task 5 is to establish Governance Policy and Criteria for Regional Water Supply Planning and Acquisition. Economic incentives, water supply contracts, system equity for new and existing clients, new inter and intra -regional partnerships and delivery acquisition policy are but a few of the PLAN response considerations. The Consultant will: • Participate with select City staff (Water Resources, Utilities, Finance, Legal, MIS, Risk Management, Capital Programs) in a series of three (3) working EXHIBIT "A" Page 7 of 12 FEBRUARY 4, 2015 meetings to craft the Governance Policy and Criteria for Regional water supply planning and acquisition. Note: Consultant team members with expertise in water policy development, water law, risk management, project delivery and information management will participate in the meetings. • Meeting 1 will focus on the identification of City governance objectives and policy opportunities. • Meeting 2 will review a listing of possible policy and criteria considerations to determine a recommend selection of options. • Meeting 3 will review the Technical Memorandum (Draft) deliverable of recommended policy and criteria. • Prepare draft and final technical memoranda on governance policy and criteria B. Task 5 Deliverables • Meeting agenda, materials and meeting minutes for 3 meetings • Governance Policy Meetings (3 each via web access) • Governance Policy Criteria Technical Memorandum (Electronic copy) 6. Draft Plan Outreach A. Task 6 Purpose The purpose of Task 6 is to present and explain the interim PLAN to Regional and inter -regional key stakeholders. Presentations to anticipated stakeholders may include the City of Corpus Christi Planning Commission, the City of Corpus Christi Water Resource Advisory Committee, Port Industries of Corpus Christi, San Patricio Water Municipal District, Regional Wholesale Water Customers, Region N Board Members, Nueces River Authority, Coastal Bend Bays and Estuaries Program, Coastal Bend Bays Foundation, the Mayor's Blue Ribbon Task Force, Texas A&M University- Corpus Christi, Texas A&M University — Kingsville, County Commissioners Court, Guadalupe Blanco River Authority, Lower Colorado River Authority, Lavaca-Navidad River Authority, State and Federal elected representatives, and other community business and civic organizations. The Consultant will: • Prepare the presentation; • Coordinate scheduling and meetings logistics with City staff; however, room rental fees, meeting notice publication fees and related meeting costs are not included in this estimate. If required, these expenses can be provided as additional services. • Participate in 8 key stakeholder meetings; and • Summarize the results of the stakeholder meetings. B. Task 6 Deliverables • Power Point presentation, outreach handouts and meeting notes • Outreach Presentation Meetings (10 Presentations) EXHIBIT "A" Page 8 of 12 FEBRUARY 4, 2015 • Draft Plan Outreach Technical Memorandum summarizing the feedback from the outreach meetings (Electronic copy) 7. Draft Plan Presentation to City Council A. Task 7 Purpose The purpose of Task 7 is to present to the City Council the Draft PLAN during an Information Workshop and secure direction and guidance as appropriate. City Staff will prepare a Resolution to secure Council stated direction at a subsequent meeting. The Consultant will: • Support staff by preparing a Power Point presentation; • Prepare notes from the presentation and City Council discussion; and • Prepare revisions to the Draft PLAN as may be appropriate B. Task 7 Deliverables • Presentation Material and handouts (2 Council Meetings). • Meeting notes and observations from Council direction. • Preparation of PLAN revisions required and proposed Resolution language. 8. Final Plan & City Council Adoption A. Task 8 Purpose The purpose of Task 8 is to present to the City Council the PLAN during for Council adoption and receive direction and guidance as appropriate. City Staff will prepare Ordinance language to secure formal Council PLAN adoption. The Consultant will: • Prepare the Final PLAN; and • Prepare a Power Point presentation and summary handouts for 2 City Council meetings. B. Task 8 Deliverables • Final PLAN revision(s) • Presentation Material and handouts (2 Council Meetings). • Meeting notes and observations from Council Ordinance (1st reading) direction. • Ten (10) printed copies and 1 electronic copy of Adopted PLAN. B. ADDITIONAL SERVICES This section defines the scope of additional services that may only be included as part of this contract if authorized by the Director of Capital Programs. Consultant may not begin work on any of services under this section without specific written authorization by the Director of Capital Programs. Fees for Additional Services are a time and materials budgeted allowance for potential services to be provided and will be negotiated separately by the Director of Capital Programs as required. The Consultant shall, with written authorization by the Director of Capital Programs perform the following tasks: EXHIBIT "A" Page 9 of 12 FEBRUARY 4, 2015 1. Additional Service Task 1- Communication and Outreach The purpose of Additional Service Task 1 is to meet with regional stakeholders and explain the adopted City PLAN in public forum. 2. Additional Service Task 2 — Project Meetings The purpose of Additional Service Task 2 is to provide allowance for additional project team meetings as needed. 3. Additional Service Task 3 — Staff Training The purpose of Additional Service Task 3 is to provide Staff Training, as needed, on Project Implementation integration with the Water Supply Portfolio Model. EXHIBIT "A" Page 10 of 12 FEBRUARY 4, 2015 11. SCHEDULE Tasks 1-5 are estimated to be completed within 9 months with additional time for public and City Council review of the Business Plan. The schedule that follows assumes a notice to proceed of March 31, 2015; schedule will be adjusted to reflect the actual start date. Task Name Project Orientation 2016 Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Water Demand, Supply & Reliability Index Water Supply Acquisition Selection Criteria and Project Portfolios 4 Economic Policies for Rate Model Criteria Governance Policy and Criteria 6 Draft Plan Outreach Draft Plan Presentation to City Council $ Final Plan and City Council Adoption EXHIBIT "A" Page 11 of 12 FEBRUARY 4, 2015 111. FEES A. Fee for Basic Services. The City will pay the Consultant a fixed fee for providing for all "Basic Services" authorized as per the table below. The fees for Basic Services will be a fixed fee for those services identified and will be full and total compensation for all services outlined in Section I.A 1-8 "Basic Services", and for all expenses incurred in performing these services. The fee for this project is subject to the availability of funds. The Consultant may be directed to suspend work pending receipt and appropriation of funds. Consultant will submit monthly statements for services rendered. The statement will be based upon Consultant's estimate (and with City's concurrence) of the proportion of the total services actually completed at the time of billing. City will make Net 30 days monthly payments in response to Consultant's monthly statements. B. Fee for Additional Services. For services authorized by the Director of Capital Programs under Section I.B "Additional Services," the City will pay Consultant a not -to -exceed fee as per the table below: Summary of Fees Basic Services Fees 1) Project Orientation $54,136 2) Water Demand, Supply and Reliability Index $86,458 3) Water Supply Acquisition Selection Criteria and Project Portfolios $183,169 4) Economic Policies for Rate Model Criteria $31,732 5) Governance Policy and Criteria $36,797 6) Draft Plan Outreach $51,603 7) Draft Plan Presentation to City Council $11,229 8) Final Plan & City Council Adoption $19,843 Subtotal Basic Services Fees $474,967 Additional Services Fees (Allowance — Not Authorized) 1. Communication and Outreach $40,000 2. Project meetings $15,000 3. Staff Training $10,000 Sub -Total Additional Services Fees Authorized $ 65,000 Total Authorized Fee $539,967 EXHIBIT "A" Page 12 of 12 EXHIBIT "B" INSURANCE REQUIREMENTS CITY OF CORPUS CHRISTI REGIONAL WATER SUPPLY STRATEGIC SUSTAINABILITY PLAN (REVISED NOVEMBER 17 2014) I. CONSULTANT'S LIABILITY INSURANCE A. Consultant shall not commence work under this agreement until all insurance required herein has been obtained and approved by the City's Risk Manager or designee. Consultant must not allow any subcontractor to commence work until all similar insurance required of the subcontractor has been so obtained. B. Consultant shall furnish to the Risk Manager and Director of Capital Projects, two (2) copies of Certificates of Insurance, with applicable policy endorsements showing the following minimum coverage by an insurance company(s) acceptable to the Risk Manager or designee. The City must be listed as an additional insured for the General Liability policy and Business Auto Liability policy, and a waiver of subrogation is required on all applicable policies. Note: Consultant shall include Project name and Project # in the Description box of the Certificate of Liability Insurance. K:\Engineering DataExchange\JENNIFER\FORMS\Exhibit B for Large - Insurance & Indemnification.docx Exhibit "B" Page 1 of 4 TYPE OF INSURANCE MINIMUM INSURANCE COVERAGE 30 -Day Notice of Cancellation required for non- rene or reduction in coverage or limits. Bodily injury and Property Damage Per Occurrence / aggregate COMMERCIAL GENERAL LIABILITY 1. Broad Form 2. Premises — Operations 3. Products/Completed Operations Hazard 4. Contractual Liability 5. Broad Form Property Damage 6. Independent Consultants 7. Personal and Advertising Injury 8. Independent Contractors 9. Underground Hazard (if applicable) 10. Environmental (if applicable) $1,000,000 Per Occurrence $2,000,000 Aggregate BUSINESS AUTOMOBILE LIABILITY 1. Owned 2. Hired & Non -owned 3. Rented & Leased $1,000,000 Combined Single Limit WORKERS' COMPENSATION EMPLOYER'S LIABILITY Which Complies With The Texas Workers' Compensation Act And Paragraph II Of This Exhibit. $500,000 / $500,000 / $500,000 PROFESSIONAL LIABILITY (Errors & Omissions) $1,000,000 Per Claim $2,000,000 Aggregate. If claims made policy, retro date must be prior to inception of agreement; have extended reporting period provisions and identify any limitations regarding who is an Insured. C. In the event of accidents of any kind related to this project, Consultant shall furnish the Risk Manager with copies of all reports of such accidents within ten (10) days of the accident. II. ADDITIONAL REQUIREMENTS A. Consultant must obtain workers' compensation coverage through a licensed insurance company in accordance with Texas law. The contract for coverage must be written on a policy and endorsements approved by the Texas Department of Insurance. The coverage provided must be in amounts sufficient to assure that all workers' compensation obligations incurred will be promptly met. An "All States endorsement shall be included for Companies not domiciled in Texas. B. Consultant shall obtain and maintain in full force and effect for the duration of this Contract, and any extension hereof, at Consultant's sole expense, insurance coverage written on an occurrence basis, by companies authorized and admitted to do business in the State of Texas and with an A.M. Best's rating of no less than A- VII. C. Consultant shall be required to submit replacement certificate of insurance to City at the address provided below within 10 days of the requested change. Consultant shall pay any costs incurred K:\Engineering DataExchange\JENNIFER\FORMS\Exhibit B for Large - Insurance & Indemnification.docx Exhibit "B" Page 2 of 4 resulting from said changes. All notices under this Article shall be given to City at the following address: City of Corpus Christi Attn: Risk Management P.O. Box 9277 Corpus Christi, TX 78469-9277 D. Consultant agrees that with respect to the above required insurance, all insurance policies are to contain or be endorsed to contain the following required provisions: • List the City and its officers, officials, employees, volunteers, and elected representatives as additional insured by endorsement, or comparable policy language, as respects to operations, completed operations and activities of, or on behalf of, the named insured performed under contract with the City. • The "other insurance" clause shall not apply to the City of Corpus Christi where the City is an additional insured shown on the policy; • Workers' compensation and employers' liability policies will provide a waiver of subrogation in favor of the City; and • Provide thirty (30) calendar days advance written notice directly to City of any suspension, cancellation, non -renewal or reduction in coverages or limits, and not less than ten (10) calendar days advance written notice for nonpayment of premium. E. City shall have the option to suspend Consultant's performance should there be a lapse in coverage at any time during this contract. Failure to provide and to maintain the required insurance shall constitute a material breach of this contract. F In addition to any other remedies the City may have upon Consultant's failure to provide and maintain any insurance or policy endorsements to the extent and within the time herein required, the City shall have the right to order Consultant to stop work hereunder, and/or withhold any payment(s) which become due to Consultant hereunder until Consultant demonstrates compliance with the requirements hereof. G. Nothing herein contained shall be construed as limiting in any way the extent to which Consultant may be held responsible for payments of damages to persons or property resulting from Consultant's or its subcontractor's performance of the work covered under this agreement. H. It is agreed that Consultant's insurance shall be deemed primary and non-contributory with respect to any insurance or self insurance carried by the City of Corpus Christi for liability arising out of operations and completed operations and activities under this agreement. It is understood and agreed that the insurance required is in addition to and separate from any other obligation contained in this agreement. K:\Engineering DataExchange\JENNIFER\FORMS\Exhibit B for Large - Insurance & Indemnification.docx Exhibit "B" Page 3 of 4 INDEMNIFICATION AND HOLD HARMLESS Consultant shall indemnify, save harmless and defend the City of Corpus Christi, and its agents, servants, and employees, and each of them against and hold it and them harmless from any and all lawsuits, claims, demands, liabilities, losses and expenses, including court costs and attorneys' fees, for or on account of any injury to any person, or any death at any time resulting from such injury, or any damage to any property, which may arise or which may be alleged to have arisen out of or in connection with the negligent performance of Consultant's services covered by this contract. The foregoing indemnity shall apply except if such injury, death or damage is caused by the sole or concurrent negligence of the City of Corpus Christi, its agents, servants, or employees or any other person indemnified hereunder. K:\Engineering DataExchange\JENNIFER\FORMS\Exhibit B for Large - Insurance & Indemnification.docx Exhibit "B" Page 4 of 4 Basic Services: Preliminary Phase Design Phase Bid Phase Construction Phase Subtotal BasicSeNices Additional Services: Permitting Warranty Phase Inspection Platting Survey O&MManuals SCADA Subtotal Additional SeNices Summary of Fees BasicSeNices Fees Additional Services Fees Total of Fees COMPLETE PROJECT NAME Project No. XXXX Invoice No. 12345 Invoice Date: sample fonn for: Payment Request Revised 07127/00 Total Amount Previous Total Percent Contract Amd No. 1 Amd No.2 Contract Invoiced Invoice Invoice Complete $1,000 $0 $0 $1,000 $0 $1,000 $1,000 100% 2.000 1,000 0 3,000 1,000 500 1,500 50% 500 0 250 780 0 0 0 0% 2,500 0 1,000 3,600 0 0 0 0% $6,000 $1,000 $1,250 $8,280 $750 $1,500 $2,500 30% $2.000 $0 $0 $2,000 $500 $0 $500 25% 0 1,120 0 1.120 0 0 0 0% 0 0 1,627 1,627 0 0 0 0% TBD TBD TBD TBD TBD TBD TBD 0% TBD TBD TBD TBD TBD TBD TBD 0% TBD TBD TBD TBD TBD TBD TBD 0% $2,000 $1,120 $1,627 $4,747 $500 $0 $500 11% $6,000 $1,000 $1,250 $8.260 $750 $1,500 $2,500 30% 2,000 1,120 1,627 4,747 500 0 500 11% $8,000 $2,120 $2,877 $12,997 $1,250 $1,500 $3,000 23% SUPPLIER NUMBER TO BE ASSIGNED BY CITY PURCHASING DIVISION City of Corpus Chnsti CITY OF CORPUS CHRISTI DISCLOSURE OF INTEREST City of Corpus Christi Ordinance 17112, as amended, requires all persons or firms seeking to do business with the City torovide the following information. Every question must be answered. If the question is not applicable, answer with `NA". See reverse side for Filing Requirements, Certifications and definitions. COMPANY NAME: CH2M Hill Engineers, Inc. P. O. BOX: STREET ADDRESS: 555 N. Carancahua, Suite 310 CITY: Corpus Christi FIRM IS: 1. Corporation 4. Association I!! 2. Partnership 5. Other ZIP: 78401 3. Sole Owner ❑ DISCLOSURE QUESTIONS If additional space is necessary, please use the reverse side of this page or attach separate sheet. 1, State the names of each `employee" of the City of Corpus Christi having an "ownership interest" constituting 3% or more of the ownership in the above named "firm.' Name Job Title and City Department (if known) 2. State the names of each "official" of the City of Corpus Christi having an "ownership interest" constituting 3% or more of the ownership in the above named "firm." Name Title 3. State the names of each "board member" of the City of Corpus Christi having an "ownership interest" constituting 3% or more of the ownership in the above named "firm." Name Board, Commission or Committee 4. State the names of each employee or officer of a "consultant" for the City of Corpus Christi who worked on any matter related to the subject of this contract and has an "ownership interest" constituting 3% or more of the ownership in the above named "firm." Name 14 4 Consultant FILING REQUIREMENTS If a person who requests official action on a matter knows that the requested action will confer an economic benefit on any City official or employee that is distinguishable from the effect that the action will have on members of the public in general or a substantial segment thereof, you shall disclose that fact in a signed writing to the City official, employee or body that has been requested to act in the matter, unless the interest of the Cityofficial or employee in the matter is apparent. The disclosure shall also be made in a signed writing filed with the City Secretary. [Ethics Ordinance Section 2-349 (d)] CERTIFICATION 1 certify that all information provided is true and correct as of the date of this statement, that I have not knowingly withheld disclosure of any information requested; and that supplemental statements will be promptly submitted to the City of Corpus Christi, Texas as changes occur. Certifying Person: Edward M. Motley, P.E. Title: Vice President {Type or Print) Signature of Certifying177 I Person: DEFINITIONS Date: 0— ///'"?4,15 a. `Board member." A member of any board, commission, or committee appointed by the City Council of the City of Corpus Christi, Texas. b. "Economic benefit". An action that is likely to affect an economic interest if it is likely to have an effect on that interest that is distinguishable from its effect on members of the public in general or a substantial segment thereof. c. "Employee." Any person employed by the City of Corpus Christi, Texas either on a full or part-time basis, but not as an independent contractor. d. "Firm." Any entity operated for economic gain, whether professional, industrial or commercial, and whether established to produce or deal with a product or service, including but not limited to, entities operated in the form of sole proprietorship, as self-employed person, partnership, corporation, joint stock company, joint venture, receivership or trust, and entities which for purposes of taxation are treated as non-profit organizations. e. "Official." The Mayor, members of the City Council, City Manager, Deputy City Manager, Assistant City Managers, Department and Division Heads, and Municipal Court Judges of the City of Corpus Christi, Texas. f. "Ownership Interest." Legal or equitable interest, whether actually or constructively held, in a firm, including when such interest is held through an agent, trust, estate, or holding entity. "Constructively held" refers to holdings or control established through voting trusts, proxies, or special terms of venture or partnership agreements." g. "Consultant." Any person or firm, such as engineers and architects, hired by the City of Corpus Christi for the purpose of professional consultation and recommendation. Corpus Chr sti Capital Programs City of Corpus Christi Water Governance, Policies, and Analytic Tools Council Presentation February 24, 2015 Project Background Corpus Chr sti Capital Programs City Council enacted Resolution 030200 on June 10, 2014 Established Water Management Plan through 2050 - Demand projections - Water conservation goals - Diverse portfolio of water supply options and general schedule Directed staff to develop Water Strategic Reliability Plan — "Playbook" for implementation — Template for additional water supply evaluations — Tool to integrate on-going desalination and reuse projects with additional supply options — Bridge between annual budget planning and 50 - year plan Project Background Corpus Chr'sti Capital Programs Supply and Demand Projections from Resolution 030200 300 2016 7 - 42 thousand acre-feet 195 237 25 2010 2015 2020 2025 Years 199 236 36 2030 2040 234 45 2050 Surface Water Industrial Reuse Desal —•—Demand Adjusted for Conservation Project Scope: Analytic Tools Corpus Chr sti Capital Programs Demand Analytics — Actual demands by customer type, projected demands and new customer analysis: compiled data into one tool Supply Evaluation Criteria — Analytic tool for "what if" analysis; template for individual project information; uses existing data when available & easily updated 4 Project Scope: Policies and Governance Corpus Chr sti Capital Programs ,ofCorpu=C,d=ri Volume Rates Per 1.000 Gallons •San Antonio Souln Central Texas Region Laredo. Rio Grande Economic Policies and Rates - Cost allocation approach, capital recovery, contracts: establishes transparent and consistent rate policies Governance Policies — Guiding principals; partnerships; procurement / acquisition policies 5 Project Budget Corpus Chr sti Capital Programs FUNDS AVAILABLE: Raw Water Supply Development Fund $572,365 FUNDS REQUIRED: Demand Analytics $120,661 Supply Evaluation Criteria 11 $217,372 Economic Policies and Rates $65,935 Additional Services $65,000 En:ineer total CH2M HILL En:ineers Inc. $539,967 Reimbursements $32,398 TOTAL $572,365 Project Schedule Corpus Chr sti Capital Programs 1 Task Name 2015 2016 Project Orientation r -Demand Supply Economic Policies and Rates Governance Policies 6 Draft Plan Outreach 7 Draft Plan Presentation to City Council 8 Final Plan and City Council Adoption M A M J J A s 0 N D J F M A M J J A s AGENDA MEMORANDUM First Reading Ordinance for the City Council Meeting of 2/24/15 Second Reading Ordinance for the City Council Meeting of 3/10/15 DATE: February 3, 2015 TO: Ronald L. Olson, City Manager FROM: Laura Z. Garcia, Library Director lauraga@cctexas.com 826-7070 Appropriation of reimbursement funds from the Texas State Library and Archives Commission for the Corpus Christi Public Libraries. CAPTION: Ordinance appropriating reimbursement received from the Texas State Library and Archives Commission for participation in Interlibrary Loan Program in the amount of $21,898.50 into the General Fund No. 1020, La Retama Central Library Organization No. 12800, to be used for library technology services; and Changing the FY14-15 Operating Budget adopted by Ordinance No. 030294 by increasing revenue and expenditures by $21,898.50 each. PURPOSE: To be used for library technology services. BACKGROUND AND FINDINGS: A reimbursement in the amount of $21,898.50 was received from the Texas State Library and Archives Commission for participation in the Interlibrary Loan Program. Corpus Christi Public Libraries completed 2,405 net lends. ALTERNATIVES: None OTHER CONSIDERATIONS: Not applicable CONFORMITY TO CITY POLICY: This conforms to policy regarding appropriations. EMERGENCY / NON -EMERGENCY: Non -Emergency DEPARTMENTAL CLEARANCES: None FINANCIAL IMPACT: ❑ Operating X Revenue ❑ Capital ❑ Not applicable Fiscal Year: 2014- 2015 Project to Date Expenditures (CIP only) Current Year Future Years TOTALS Line Item Budget Encumbered / Expended Amount This item 21,898.50 21,898.50 BALANCE 21,898.50 21,898.50 Fund(s): Comments: None. RECOMMENDATION: Staff recommends appropriation of funds. LIST OF SUPPORTING DOCUMENTS: Ordinance. Ordinance Appropriating reimbursement received from the Texas State Library and Archives Commission for participation in Interlibrary Loan Program in the amount of $21,898.50 into the General Fund No. 1020, La Retama Central Library Organization No. 12800, to be used for library technology services; and Changing the FY14-15 Operating Budget adopted by Ordinance No. 030294 by increasing revenue and expenditures by $21,898.50 each BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS: SECTION 1. That $21,898.50 reimbursement received from the Texas State Library and Archives Commission for participation in the Interlibrary Loan Program is appropriated into the General Fund No. 1020, La Retama Central Library Organization No. 12800, to be used for library technology services. SECTION 2. That the FY 2014-2015 Operating Budget, adopted by Ordinance No. 030294, is changed by increasing revenue and expenditures by $21,898.50 each. That the foregoing ordinance was read for the first time and passed to its second reading on this the day of , by the following vote: Nelda Martinez Brian Rosas Rudy Garza Lucy Rubio Chad Magill Mark Scott Colleen McIntyre Carolyn Vaughn Lillian Riojas That the foregoing ordinance was read for the second time and passed finally on this the day of , by the following vote: Nelda Martinez Brian Rosas Rudy Garza Lucy Rubio Chad Magill Mark Scott Colleen McIntyre Carolyn Vaughn Lillian Riojas PASSED AND APPROVED, this the th day of ATTEST: Rebecca Huerta City Secretary Nelda Martinez Mayor CITY OF CORPUS CHRISTI CERTIFICATION OF FUNDS (City Charter Article IV, Sections 7 & 8) I, the Director of Financial Services of the City of Corpus Christi, Texas (or his/her duly authorized representative), hereby certify to the City Council and other appropriate officers that the money required for the current fiscal year's portion of the contract, agreement, obligation or expenditure described below is in the Treasury to the credit of the Fund specified below, from which it is to be drawn, and has not been appropriated for any other purpose. Future payments are subject to annual appropriation by the City Council. City Council Action Date: 2/24/15 Agenda Item: Ordinance appropriating reimbursement received from the Texas State Library and Archives Commission for participation in Interlibrary Loan Program in the amount of $21,898.50 into the General Fund No. 1020, La Retama Central Library Organization No. 12800, to be used for library technology services; and Changing the FY14-15 Operating Budget adopted by Ordinance No. 030294 by increasing revenue and expenditures by $21,898.50 each Amount Required: $ 21,898.50 Fund Name Account No. Fund No. Org. No. Project No. Amount General Fund 520100 1020 12800 $ 21,898.50 Total $21,898.50 ❑ Certification Not Required Constance Sanchez, Director of Financial Services Date: AGENDA MEMORANDUM Future Item for the City Council Meeting of February 24, 2015 Action Item for the City Council Meeting of March 10, 2015 DATE: TO: February 5, 2015 Ronald L. Olson, City Manager FROM: Floyd Simpson, Chief of Police Floyds@cctexas.com 886-2603 Approval to submit a grant application to the State of Texas, Criminal Justice Division for funding available under the Violence Against Women Act (VAWA) Fund. CAPTION: Resolution authorizing the submission of a grant application in the amount of $46,194.48 to the State of Texas, Criminal Justice Division, for funding available under the Violence Against Women Act (VAWA) fund for the Police Department's Family Violence Unit with a city match of $19,354.48, an in-kind match of $5,520, for a total project cost of $71,068.96; and authorizing the City Manager or the City Manager's designee to apply for, accept, reject, alter or terminate the grant. PURPOSE: Year 16 funding is available from the State of Texas, Criminal Justice Division, under the Violence Against Women Act (VAWA) that provides funds to projects with the primary mission of reducing and preventing violence against women BACKGROUND AND FINDINGS: The grant continues support for the Family Violence Unit that utilizes officers and volunteers to contact family violence victims when a written report is made by a field officer or from a walk-in to the unit at the Police Department. The grant provides funds for one victim case manager to contact victims who often fear retaliation and violence when the offender is released following arrest; contact with an advocate (case manager) can provide information concerning alternatives, available services, and protective orders to avoid continued violence. The case manager serves to establish and encourage a working relationship between social agencies and the Police Department and provides educational opportunities to the community through speaking engagements, distribution of literature, etc. The long term goal of the grant is to provide victims of domestic violence and other serious crimes with crisis intervention, follow up assistance, encourage cooperation with law enforcement, facilitate utilization of available resources, and assist with immediate and long- term safety needs. The State provides $46,194.48 for the salary/benefits of one Victim Case Manager, equipment, supplies, training, and mileage, volunteer hours contribute $5,520 in-kind contribution, and the City contributes $19,354.48 for training, travel, supplies and miscellaneous equipment as the required match. This grant period will be 9/1/2015 — 8/31/2016. ALTERNATIVES: None OTHER CONSIDERATIONS: CONFORMITY TO CITY POLICY: Conforms to all city policies. EMERGENCY / NON -EMERGENCY: Non -Emergency DEPARTMENTAL CLEARANCES: Finance Legal OMB FINANCIAL IMPACT: X Operating ❑ Revenue ❑ Capital ❑ Not applicable Fiscal Year: 2014- 2015 Project to Date Expenditures (CIP only) Current Year Future Years TOTALS Line Item Budget $62,000.00 $17,741.61 $79,741.61 Encumbered / Expended Amount This item $1,612.87 $17,741.61 $19,354.48 BALANCE $60,387.13 0 $60,387.13 Fund(s): General Comments: RECOMMENDATION: Staff recommends submission of the grant application LIST OF SUPPORTING DOCUMENTS: Resolution Resolution Authorizing the submission of a grant application in the amount of $46,194.48 to the State of Texas, Criminal Justice Division, for funding available under the Violence Against Women Act (VAWA) fund for the Police Department's Family Violence Unit with a city match of $19,354.48, an in-kind match of $5,520, for a total project cost of $71,068.96; and authorizing the City Manager or the City Manager's designee to apply for, accept, reject, alter or terminate the grant. Therefore, be it resolved by the City Council of the City of Corpus Christi, Texas: SECTION 1. The City Manager, or the City Manager's designee, is authorized to submit a grant application in the amount of $46,194.48 to the State of Texas, Criminal Justice Division, for funding available under the Violence Against Women Act (VAWA) Fund for the Police Department's Family Violence Unit with a City match of $19,354.48, an in- kind match of $5,520, for a total project cost of $71,068.96. SECTION 2. The City Manager, or the City Manager's designee, may apply for, accept, reject, agree to alter the terms and conditions, or terminate the grant, if the grant is awarded to the City. SECTION 3. In the event of the loss or misuse of these State of Texas, Criminal Justice Division funds, the City of Corpus Christi assures that the funds will be returned to the State of Texas, Criminal Justice Division in full. ATTEST: THE CITY OF CORPUS CHRISTI Rebecca Huerta City Secretary Nelda Martinez Mayor 2 Corpus Christi, Texas of The above resolution was passed by the following vote: Nelda Martinez Rudy Garza Chad Magill Colleen McIntyre Lillian Riojas Brian Rosas Lucy Rubio Mark Scott Carolyn Vaughn CITY OF CORPUS CHRISTI CERTIFICATION OF FUNDS (City Charter Article IV, Sections 7 & 8) I, the Director of Financial Services of the City of Corpus Christi, Texas (or his/her duly authorized representative), hereby certify to the City Council and other appropriate officers that the money required for the current fiscal year's portion of the contract, agreement, obligation or expenditure described below is in the Treasury to the credit of the Fund specified below, from which it is to be drawn, and has not been appropriated for any other purpose. Future payments are subject to annual appropriation by the City Council. City Council Action Date: February 24, 2015 Agenda Item: Resolution authorizing the submission of a grant application in the amount of $46,194.48 to the State of Texas, Criminal Justice Division, for funding available under the Violence Against Women Act (VAWA) fund for the Police Department's Family Violence Unit with a city match of $19,354.48, an in-kind match of $5,520, for a total project cost of $71,068.96; and authorizing the City Manager or the City Manager's designee to apply for, accept, reject, alter or terminate the grant. Amount Required: $19,354.48 Fund Name Account No. Fund No. Org. No. Mission Element Amount Police General 548590 1020 60035 $19,354.48 Total $19,354.48 ❑ Certification Not Required Director of Financial Services Date: AGENDA MEMORANDUM Future Item for the City Council Meeting of February 24, 2015 Action Item for the City Council Meeting of March 24, 2015 DATE: TO: Ronald L. Olson, City Manager February 6, 2015 FROM: Stacie Talbert Anaya, Director StacieT@cctexas.com 361-826-3460 Texas Parks and Wildlife Department Grant application for the Outdoor Recreation Grant Program for Improvements at West Guth Park CAPTION: Resolution authorizing the City Manager or designee to apply for a Texas Parks & Wildlife Local Grant Program for West Guth Park in amount of $400,000 with City matching funds of $400,000. PURPOSE: The Texas Parks and Wildlife Department (TPWD) requires municipalities seeking funds under the Local Park Grant Program to pass a resolution approving the City Manager or his designee to apply for and manage grant funds. BACKGROUND AND FINDINGS: TPWD offers the Local Park Grant Program to assist local units of government with the acquisition and/or development of public recreation areas and facilities. The Outdoor Recreation Program provides 50% matching grants on a reimbursement basis and requires funds to be spent sites that are dedicated parkland (in perpetuity), properly maintained and open to the public. The Corpus Christi Parks and Recreation Department is applying for $400,000 in grant funds from the Urban Outdoor Recreation Program for improvements at West Guth Park. Matching funds for the grant will come from the 2012 Bond Program for Community Parks Improvements and Aquatic Facility Improvements. The project will include a zero depth entry pool and splash pad, covered pavilion, trails, dog park playground and landscape/turf enhancements. The improvements are consistent with the 2012 Parks and Recreation Master Plan development guidelines and priorities. ALTERNATIVES: Do not appropriate funds. OTHER CONSIDERATIONS: N/A CONFORMITY TO CITY POLICY: The improvements conform to the 2012 Parks and Recreation Master Plan. City council must approve application and acceptance of grant EMERGENCY / NON -EMERGENCY: Non -emergency DEPARTMENTAL CLEARANCES: Legal, Finance FINANCIAL IMPACT: ❑ Operating Revenue X Capital ❑ Not applicable Fiscal Year: 2014- 2015 Project to Date Expenditures (CIP only) Current Year Future Years TOTALS Line Item Budget $ 400,000 $ 400,000 Encumbered / Expended Amount This item $ 400,000 $ 400,000 BALANCE $ 800,000 $ 800,000 Fund(s): Parks and Recreation Grant Fund 1067; 2012 Bond Fund Comments: none RECOMMENDATION: Staff recommends approval of this resolution LIST OF SUPPORTING DOCUMENTS: Resolution Attachment — Local Park Grant Program Resolution Authorizing Application Attachment — Local Park Grant Program Certification and Assurances Resolution authorizing the City Manager or designee to apply for a Texas Parks & Wildlife Local Grant Program for West Guth Park in amount of $400,000 with City matching funds of $ 400,000 Whereas, the City of Corpus Christi, as hereinafter referred to as "Applicant", submits this Resolution to the Texas Parks and Wildlife designating certain officials as being responsible for, acting for, and on behalf of the City of Corpus Christi in dealing with the Texas Parks & Wildlife Department, hereinafter referred to as "Department", for the purpose of participating in the Local Park Grant Program, hereinafter referred to as the "Program"; certifying that the Applicant is eligible to receive program assistance; certifying that the matching share is readily available; and dedicating the proposed site for permanent public park and recreational uses; Whereas, the Applicant is fully eligible to receive assistance under the Program; and Whereas, the Applicant is desirous of authorizing an official to represent and act for the Applicant in dealing with the Department concerning the Program; Be it resolved by the City of Corpus Christi, Texas: Section 1. That the City of Corpus Christi, (the "Applicant"), hereby certifies that they are eligible to receive assistance under the Program, and that notice of the application has been posted according to local public hearing requirements. Section 2. That the Applicant certifies that the matching share for this application is readily available at this time. Section 3. That the Applicant hereby authorizes and directs the Interim Director of Parks and Recreation (the "Official") or the Director of Parks and Recreation to act for the Applicant in dealing with the Department for the purposes of the Program, and that the Interim Director of Parks and Recreation Stacie Anaya is hereby officially designated as the representative in this regard. Section 4. The Applicant hereby specifically authorizes the Official to make application to the Department concerning the site to be known as West Guth Park in the City of Corpus Christi, Texas for use as a park site and is hereby dedicated (or will be dedicated upon completion of the proposed acquisition) for public park and recreation purposes in perpetuity (or for the lease term, if legal control is through a lease). Projects with federal monies may have differing requirements. Section 5. That the City of Corpus Christi hereby approves the submission of an application by the Interim Director of Parks & Wildlife Department to the Texas Parks & Wildlife Department for a Local Grant Program grant for West Guth Park in the amount of $400,000 with City matching funds of $400,000. Introduced, read, and passed by an affirmative vote of the City of Corpus Christi, Texas, the Applicant, on this the day of , 2015. Attest: City of Corpus Christi Rebecca Huerta, City Secretary Nelda Martinez, Mayor Corpus Christi, Texas of The above resolution was passed by the following vote: Nelda Martinez Rudy Garza Chad Magill Colleen McIntyre Lillian Riojas Brian Rosas Lucy Rubio Mark Scott Carolyn Vaughn TEXAS PARKS & WILDLIFE Local Park Grant Program Resolution Authorizing Application A resolution of the City of Corpus Christi as hereinafter referred to as "Applicant," designating certain officials as being responsible for, acting for, and on behalf of the Applicant in dealing with the Texas Parks & Wildlife Department, hereinafter referred to as "Department," for the purpose of participating in the Local Park Grant Program, hereinafter referred to as the "Program"; certifying that the Applicant is eligible to receive program assistance; certifying that the Applicant matching share is readily available; and dedicating the proposed site for permanent (or for the term of the lease for leased property) public park and recreational uses. WHEREAS, the Applicant is fully eligible to receive assistance under the Program; and WHEREAS, the Applicant is desirous of authorizing an official to represent and act for the Applicant in dealing with the Department concerning the Program; BE IT RESOLVED BY THE APPLICANT: SECTION 1: That the Applicant hereby certifies that they are eligible to receive assistance under the Program, and that notice of the application has been posted according to local public hearing requirements. SECTION 2: SECTION 3: SECTION 4: That the Applicant hereby certifies that the matching share for this application is readily available at this time. That the Applicant hereby authorizes and directs the City Manager or his designee to act for the Applicant in dealing with the Department for the purposes of the Program, and that Stacie Talbert Anaya is hereby officially designated as the representative in this regard. The Applicant hereby specifically authorizes the official to make application to the Department concerning the site to be known as West Guth Park in the City of Corpus Christi or use as a park site and is hereby dedicated (or will be dedicated upon completion of the proposed acquisition) for public park and recreation purposes in perpetuity (or for the lease term, if legal control is through a lease). Projects with federal monies may have differing requirements. Introduced, read and passed by the affirmative vote of the "Applicant" on this day of , 20 Signature of Appropriate Official Typed Name and Title PWD 1069B — P4000 (01/2014) TEXAS PARKS & WILDLIFE Local Park Grant Program Applicant's Certification & Program Assurances As the duly authorized representative of the sponsor designated in the Resolution Section 3, I certify that the sponsor. 1. Has complied with all pertinent local and state laws, and Local Parks Grants Program requirements regarding public hearings, including floodplain development, if appropriate. 2. Has the required proportionate share of funds available and sufficient for the project as required by Section 13.309 of the Parks and Wildlife Code. 3. Will maintain and operate areas acquired or developed with program assistance at sponsor expense as required by Section 13.309 of the Parks & Wildlife Code. 4. Will permanently dedicate for public park and recreation use all project area(s) which receive program assistance, as required by Chapter 640.1.2 of the Local Park Grant Program Manual. 5. Has the legal authority to apply for program assistance and the institutional, managerial and financial capability to ensure proper planning, management and completion of the project described in this application. 6. Will give the State of Texas, hereafter referred to as "State," through any authorized representative, access to and the right to examine all records, books, papers, or documents related to the assistance; and will establish a proper accounting system in accordance with generally accepted accounting standards or agency directives. 7 Will not dispose of, modify the use of, or change the terms of the real property title or other interest in the site and facilities without permission and instructions from the Texas Parks & Wildlife Department, and will record any federal interest in the title of real property in accordance with U. S. Department of Interior directives. 8. Will dedicate and permanently maintain any property designated as a natural area, wetland, or open space to meet program guidelines. 11. Will comply with all provisions of the "Summary of Guidelines for Administration of Local Park Grant Acquisition & Development Projects." 12. Will comply with the requirements of the Department with regard to the drafting, review and approval of construction plans and specifications. 13. Will obtain all required state and/or federal permits related to project development. 14. Will provide and maintain competent and adequate engineering supervision at the construction site to ensure that the completed work conforms to the approved plans and specifications. 15. Will furnish quarterly progress reports and such other information as may be required by the Department. 16. Will initiate and complete the work within the applicable time frame after receipt of approval from the Department. 17. Will establish safeguards to prohibit employees from using their positions for a purpose that constitutes or presents the appearance of personal or organizational conflict of interest or personal gain. PWD 1069C - P4000 (01/2014) Applicant's Certification & Program Assurances - Continued 18. Will comply with all State and Federal statues relating to non-discrimination. These include but are not limited to: (a) Title VI of the Civil Rights Act of 1964 (P.L. 88-352) which prohibits discrimination on the basis of race, color or national origin; (b) Title IX of the Education Amendments of 1972, as amended (20 U.S.C. §§ 1681-1686) which prohibits discrimination on the basis of sex; (c) Section 504 of the Rehabilitation Act of 1973, as amended (29 U.S.C. § 794) which prohibits discrimination on the basis of handicaps; (d) the Age Discrimination Act of 1975, as amended (42 U.S.C. §§ 6101-6107) which prohibits discrimination on the basis of age; (e) any other non-discrimination provisions in the specific statute(s) under which application for program assistance is being made, and (f) the requirements of any other non-discrimination statute(s) which may apply to the application. 19. Will comply with the flood insurance purchase requirements of Section 4012(a) of the Flood Disaster Protection Act of 1973 which requires recipients in a special flood hazard area to participate in the program and to purchase flood insurance in an amount at least equal to its development or project cost. 20. Will comply with environmental standards which may be prescribed to the following: (a) institution of environmental quality control measures under the National Environmental Policy Act of 1969 (P.L. 91-190) and Executive Order (EO) 11514; (b) notification of violating facilities pursuance to EO 11738; (c) protection of wetlands pursuant to EO 11990; (d) evaluation of flood hazards in floodplain in accordance with EO 11988; (e) assurance of project consistency with the approved State management program developed under the Coastal Zone Management Act of 1972 (16 U.S. C. §§ 1451 et seq.); (f) conformity of Federal actions to State (Clear Air) Implementation Plans under Section 176(c) of the Clear Air Act of 1955, as amended (42 U.S.C. § 7401 et seq.);(g) protection of underground sources of drinking water under the Safe Drinking Water Act of 1974, as amended, (P.L. 93-523); and (h) protection of endangered species under the Endangered Species Act of 1973, as amended (P.L. 93-205). 21. Will comply with the Wild and Scenic Rivers Act of 1968 (16 U.S.C. §§ 1271 et seq.) related to protecting components or potential components of the national wild and scenic rivers system. 22. Will assist the Department in assuring compliance with the Texas Antiquities Code. 23. Will cause to be performed the required financial and compliance audits in accordance with the state or federal Single Audit requirements. 24. Will comply with all applicable requirements of all other State and Federal laws, regulations and policies governing this program. Sponsor/ Project Name Signature of Official Authorized in Resolution Print Name and Title of Official Date PWD 1069C - P4000 (01/2014) AGENDA MEMORANDUM City Council Meeting of February 24, 2015 DATE: TO: Ronald L. Olson, City Manager February 6, 2015 FROM: Mark Van Vleck, P.E., Executive Director of Utilities MarkVV@cctexas.com (361) 826-1874 Drought Update STAFF PRESENTER(S): Name 1. Mark Van Vleck 2. Brent Clayton 3. OUTSIDE PRESENTER(S): Title/Position Department Executive Director Utilities Project Manager Env. and Strategic Initiatives Name Title/Position Organization 1. 2. 3. BACKGROUND: This presentation will review the current water supply situation and the status of the ongoing drought. Staff will present short term projections and measures that could be implemented if a Stage 3 Severe Drought level is reached. LIST OF SUPPORTING DOCUMENTS: PowerPoint — Drought Update 2-24-15 Drought Update February 24, 2015 i Water Use by Basin Monthly Diversion Volume (ac -ft) 14,000 12,000 10,000 8,000 6,000 4,000 2,000 Diversion Source • Lake Texana 1 Nueces River Basin i Feb -14 Mar -14 Apr -14 May -14 Jun -14 Jul -14 Aug -14 Sep -14 Oct -14 Nov -14 Dec -14 Jan -15 Water Supply Index 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Nueces Reservoir System Water Supply with Lake Water Supply withTexana & Texana Included Colorado River Included 3 Total Water Availability Water Supply Index includes volumes from Lake Corpus Christi, Choke Canyon Reservoir, and Lake Texana CCR System Storage Capacity *Levels as of 2-18-15 Lake Texana Storage Capacity Combined Water Supply Index Drought Contingency Planning Drought stages based on combined capacity percentage of Choke Canyon Reservoir and Lake Corpus Christi: <50% = Stage 1 Mild <40% =Stage 2 Moderate <30% =Stage 3 Severe <20% =Stage 4 Critical Lake Levels over Past 3 Years 100.0% LL 80.0% cu a u 60.0% co a_ co V 40.0% cua) cu20.0% E O V 0.0% N. N. ,y'L ",y`L 1 1' ",<'� 'y3 'y3 ,y'� ,'� , k)( ,y0",y0 <<e' Q-9 P� OCG << P� �� PJ O OCG <<� P�� ��� PJ' 0(1 Oei Short Term Reservoir Projection Model PERCENTAGE OF FULL CAPACITY 100 90 80 70 60 50 40 30 20 10 0 30% March 25% May/June 1 1 1 I MRP 2 comes online 20% Aug/Sep Reservoir Inflows Minimum Average ° \4° pe' ,ate «ems O Stage 3 Severe Drought Response • Date of initiation: Early March 2015 • Restrictions: — Sprinkler irrigation and car washing limited to one day every other week: designated recycling day • Hand watering or drip irrigation permitted any time/any day — Washing down sidewalks, driveways, buildings, or other hard surfaces are prohibited except for public health and safety or with special permit AGENDA MEMORANDUM City Council Meeting of February 24, 2015 DATE: TO: February 13, 2015 Ronald L. Olson, City Manager FROM: Mark Van Vleck, P.E., Executive Director of Utilities MarkVV@cctexas.com (361) 826-1874 Water Rate — O&M STAFF PRESENTER(S): Name 1. Mark van Vleck 2. 3. OUTSIDE PRESENTER(S): Title/Position Executive Director Department Utilities Name Title/Position Organization 1. 2. 3. BACKGROUND: During the budget process last Fiscal Year, there was concern about the raising of the Utility Rates. The Members of the City Council asked that we review the methodology for setting the rates. This is the first in a series of presentations that will be delivered to facilitate that review. This presentation addresses the Operation and Maintenance expenses. LIST OF SUPPORTING DOCUMENTS: PowerPoint — Water Rate — O&M Water Rate - O&M Council Presentation February 24, 2015 Current Rate Projection $ 70.00 $60.00 $ 50.00 $40.00 0 ao $30.00 cr) $ 20.00 $10.00 $- Average Water Bill ($6,000 gal/month) Actual Projected 2004 2006 2008 2010 2012 2014 2016 2018 2020 2022 2024 2026 2028 2030 2032 2034 Fiscal Year Discover, Discuss, Decide ■ Rate Review Schedule February 24, 2015 March 10, 2015 March 24, 2015 March 31, 2015 April 14, 2015 April 21, 2014 April 28, 2015 May 12, 2015 May 19, 2015 May 26, 2015 June 9, 2015 Projected Rate Water System Components Utility Bill Breakdown Costs—Operation and Maintenance (O&M) Costs - Current and Future Debt Consumption Trends Customer Trends Inclined Block Rate Rate Model Rate Calculations Additional Week of Discovery Additional Week of Discovery Alternatives Evaluated Additional Alternatives Evaluated 1 Additional Alternatives Evaluated 2 First Reading Proposed Rate Adoption of New Rate Calculation for Unit Cost Cost Adjustments 115 110 10 Volume 5530" NM. ,.m 5550 510 51. 55. .551 Unit Cost 5 Water System Components Choke Canyon Three Rivers Beeville Mathis Alice Lake Corpus Christi Water System Components 0.N. STEVENS WTP Mary Rhodes Pipeline Phase I San Pat ------ Water Source Raw Water Customers Treated Water Customers Raw Water Pipeline (MRP) Violet WSC STWA Mary Rhodes Pipeline Portland Ir gl esi de 'ulton Rockport Phase II The City of Corpus Christi 41 6 Water System Components taw Wat:r Sources Water Treatment Plant Raw Water Customers Three Rivers Beeville Mathis Alice Koch/Flint Hills Robstown Celanese San Patricia L Legend .41 Pump Station Elevated Storage Tank ,_ Residents Transmission Main Distribution Main Treated Water Customers San Patricia ., Violet Water Supply Corporation South Texas Water Authority Port Aransas Texas A&Re University - CorVus Christi N.A.S. Utility Bill Breakdown Raw Water Inside City Limits Residential and Commercial Outside City Limits Residential and Commercial Industrial customers Port Aransas & Violet Water Supply Corporation San Patricio Municipal Water District South Texas Water Authority Raw Water Customers • • • • • • Treatment • • • • • Transmission • • • • Distribution • • Stormwater • L Costs ( -Adjustments) Volume Unit Cost N$45i0 0 2 $40 $35 $30 $25 $20 $15 $10 $5 so Raw Water FY14 Debt FY15 Debt FY 14 O&M Ir FY 15 O&M Treatment Plant Transmission Lines Distribution Lines Storm Water 9 Water Fund Water CIP Loan Payment Storm Water CIP Loan Payment Storm Water 0 & M Salary Related Expenses Purchase of Lake Texana Water Contracted Services Services from Other Departments Materials & Supplies for Crews Light & Power Purification Chemicals Vehicle Replacement Water Fund 2014 2015 $10 $20 $30 $40 $50 Millions Operations & Maintenance Expenses O&M Costs Annual Costs $100 $90 $80 $70 Future O&M Costs $60 $50 $40 $30 Actual Projected $20 $10 $0 2004 2006 2008 2010 2012 2014 2016 2018 2020 2022 2024 2026 2028 2030 2032 2034 Fiscal Year Assumptions • Salary Related Expenses 4% per year • O&M Related Expenses 2% per year • Prior to 2015 Actuals • 2015 and Beyond Rate Model • O&M only, Debt Next week Cost Control Measures • Model includes No Increase in FTE • Consolidated Utilities — Reduced Vehicles — Increased Maintenance Capability • Large Scale Maintenance Projects In -House • Multi Year Contracts & Supply Agreements — IDIQ — Chemicals Water Fund $30.0 Ln 0 2 $25.0 $20.0 $15.0 $10.0 $ 5.0 $- Independent of Volume Costs FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 Vehicle Replacement Materials & Supplies for Crews Salary Related Expenses Water Fund • Salary Related Expenses — Salaries & Wages — Retirement — Group Medical • Materials & Supplies for Crews — Hydrant parts — Repair Clamps and Couplings — Equipment Rental • Vehicle Replacement Water Fund $30.0 Ln 0 2 $25.0 $20.0 $15.0 $10.0 $ 5.0 $- Independent of Volume Contract Costs FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 Services from Other Departments Contracted Services Purchase of Lake Texana Water Water Fund • Services from Other Departments — Legal support — Engineering Services — Purchasing / Accounts Payable — MIS • Contracted Services — Mowing Contractor — Outside Engineering & Legal Services — USGS / CBBEP Environmental Studies • Purchase of Lake Texana Water Water Fund $30.0 Ln 0 2 $25.0 $20.0 $15.0 $10.0 $ 5.0 $- Variable Costs FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 Purification Chemicals Light & Power Water Fund • Purification Chemicals — Chlorine — Polymer — Alum — Liquid Ammonia • Light & Power Water Fund $30.0 Ln 0 2 $25.0 $20.0 $15.0 $10.0 $ 5.0 $- Stormwater O&M FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY FY 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 Stormwater O&M 21 Water Fund • Stormwater System O&M — Salaries & Wages — Services from Other Departments — Contracted Services — Materials & Supplies • Ditch Maintenance • Storm Water Quality Monitoring Questions • Questions AGENDA MEMORANDUM City Council Meeting of February 24, 2015 DATE: TO: Ronald L. Olson, City Manager February 13, 2015 FROM: Constance P. Sanchez, Director of Financial Services ConstanceP@cctexas.com (361) 826-3227 Presentation of Debt STAFF PRESENTER(S): Name Title/Position 1. Constance P. Sanchez Director 2. 3. Department Financial Services OUTSIDE PRESENTER(S): Name Title/Position Organization 1. 2. 3. BACKGROUND: This presentation discusses the various types of municipal debt, the City of Corpus Christi's outstanding debt at September 30, 2014, and the City's projected debt. LIST OF SUPPORTING DOCUMENTS: PowerPoint — Presentation on Debt City of Corpus Christi Presentation on Debt February 24, 2015 Types of Municipal Debt • Debt paid for by property (ad valorem) taxes — General Obligation (GO) bonds — voter approved — Certificates of Obligation (CO) —non voter- approved — Tax Notes — non voter -approved Types of Municipal Debt • Debt paid by a specific revenue stream Utility Revenue Bonds Marina Revenue Bonds Airport Revenue Bonds Sales Tax Tax Increment Financing (TIF) City of Corpus Christi Debt at September 30, 2014 General Obligation Debt • Debt paid for by property (ad valorem) taxes • Fiscal Year 2015 Property Tax Rate - $0.585264 per $100 valuation — M&O (Maintenance and Operations) $0.376806 per S1oovaluation — I&S (Interest and Sinking Fund) $0.208458 per $100 valuation Property Tax Cap Maximum Tax Rate per State Law $2.50 / City of Corpus Christi Tax Cap $0.68 +voter approved debt after 1993 M&O + non-voter approved debt <$0.68 M&O - Maintenance and Operations I&S - Interest and Sinking Fund General Obligation Debt GO Debt Fund Beginning Balance Unreserved Reserved Total Total Revenue Total Funds Available Total Debt Payments ADOPTED 2014-2015 GO DEBT FUND (2010) PROFORMA 2015-2016 2016-2017 2017-2018 2018-2019 2019-2020 $ 7,805,000 $ 7,938,354 $ 7,754,588 $ 6,886,495 $ 6,519,191 $ 7,217,178 795,000 803,705 908,066 954,357 1,013,521 1,042,274 8,600,000 8,742,059 8,662,654 7,840,852 7,532,712 8,259,453 40,327,320 45,323,887 46,896,056 50,367,905 52,840,465 53,444,563 48,927,320 54,065,946 55,558,710 58,208,757 60,373,177 61,704,016 40,185,261 45,403,292 47,717,858 50,676,045 52,113,724 55,042,476 Ending Balance Unreserved 7,938,354 7,754,589 6,886,495 6,519,191 7,217,178 5,560,691 Reserved 803,705 908,066 954,357 1,013,521 1,042,274 1,100,850 Estimated Ending Balance $ 8,742,059 $ 8,662,655 $ 7,840,852 $ 7,532,712 $ 8,259,453 $ 6,661,540 General Obligation Debt (Existing and Projected) City of Corpus Christi, Texas General Obligation Bonds - Total Outstanding Debt and Projected Future Debt As of Year Ending September 30, 2014 $70,000,000 $60,000,000 $50,000,000 $40,000,000 $30,000,000 $20,000,000 $10,000,000 $- Year Ending 9/30 ■ Existing • Future Revenue Debt • Debt paid by a specific revenue stream Utility Revenue Bonds Marina Revenue Bonds Airport Revenue Bonds Sales Tax Tax Increment Financing (TIF) Utility Revenue Bonds • Paid by revenues generated from the City's "Combined Utility System" (Water, Wastewater, and Gas). • Although each has its own rates, the combined revenue is used to service this debt. Total Water Rate Detail 1 Water Portion $ 27.89 Stormwater Portion $ 6.87 Total Water Rate $ 34.76 11 $ 34.57 $ 7.27 $ 41.84 11 $ 35.93 $ 7.93 $ 43.86 11 $ 37.01 $ 8.34 $ 45.35 11 WATER DEBT TOTAL Water Revenue Water Debt WATER DEBT PROFORMA 2014-2015 2015-2016 2016-2017 2017-2018 2018-2019 $ 45,427,687 $ 54,400,077 $ 57,966,482 $ 59,564,387 $ 62,206,383 TOTAL EXISTING DEBT SVC 36,342,150 37,466,600 37,449,799 36,600,137 36,581,554 TOTAL ANTICIPATED FUTURE DEBT SVC 0 6,053,461 8,923,387 11,051,373 13,183,552 TOTAL DEBT SERVICE $ 36,342,150 $43,520,061 $ 46,373,186 $ 47,651,509 $ 49,765,107 Portion of Water Rate Due to Water Debt Scv Water Debt 10.09 Total Water Portion of Water Rate Water Portion of Water Rate $ 12.36 33.42 FY17 J $ 12.93 FY 17 1 $ 34.57 $ 13.28 $ 35.93 III FY19 1 $ 13.65 ' FY 19 $ 37.01 12 Stormwater Debt STORMWATER DEBT STORMWATER FUND DEBT PROFORMA 2014-2015 TOTAL StormWater Revenue $ 17,951,195 TOTAL EXISTING DEBT SVC $ 14,360,956 TOTAL ANTICIPATED FUTURE DEBT SVC $ 2015-2016 $ 20,854,480 $ 13, 802, 528 $ 2,881,055 2016-2017 $ 22,339,929 $ 13,790,033 $ 4,081,911 2017-2018 $ 24,148, 897 $ 13, 776, 805 $ 5,542,313 2018-2019 $ 26,279,531 $ 13,764,509 $ 7,259,116 TOTAL DEBT SVC $ 14,360,956 Portion of Water Rate Due to Stormwater Debt Scv Stormwater Debt $ 3.59 $ 16,683,584 11.1Y161111 $ 4.15 $ 17,871,943 $ 19,319,118 $ 4.97 $ 4.39 $ 21,023,625 $ 5.31 Total Stormwater Rate Stormwater Portion of Water Rate $ 6.87 $ 6.97 $ 7.27 $ 7.93 $ 8.34 Wastewater Debt WASTEWATER DEBT TOTAL WasteWater Revenue WASTEWATER FUND DEBT PROFORMA 2014-2015 $ 27,180, 096 TOTAL EXISTING DEBT SVC $ 21,744,076 TOTAL ANTICIPATED FUTURE DEBT SVC $ TOTAL DEBT SVC $ 21,744,076 Portion of Wastewater Rate Due to Debt Scv WasteWater Debt Total Wastewater Rate Wastewater Rate 2015-2016 $ 32, 306,162 $ 18, 664, 583 $ 7,180, 346 $ 25, 844, 930 $ 52.23 2016-2017 $ 38, 755, 044 $ 18,650,013 $ 12,354,022 $ 31, 004, 035 $ 23.97 $ 57.89 2017-2018 $ 45, 338, 869 $ 18, 629, 639 $ 17, 641, 457 $ 36,271,096 2018-2019 $ 54, 280, 757 $ 18, 609, 641 $ 24, 814, 964 $ 43, 424, 605 $ 62.89 14 Gas Debt GAS DEBT GAS FUND DEBT PROFORMA 2014-2015 2015-2016 2016-2017 2017-2018 2018-2019 TOTAL Gas Revenue $ 1,407,267 $ 1,861,048 $ 2,059,941 $ 2,271,083 $ 2,397,524 TOTAL EXISTING DEBT SVC $ 1,125,814 $ 1,066,260 $ 1,065,027 $ 1,063,303 $ 1,061,642 TOTAL ANTICIPATED FUTURE DEBT SVC $ - $ 422,579 $ 582,925 $ 753,563 $ 856,377 TOTAL DEBT $ 1,125,814 $ 1,488,839 $ 1,647,953 $ 1,816,866 $ 1,918,019 Portion of Gas Rate Due to Debt Scv Gas Debt Total Gas Rate Gas Rate FY 15 $ 1.50 FY 15 $ 17.14 FY 16 $ 1.59 FY 1 $ 17.83 FY 1711 $ 1.76 FY 17 $ 18.54 $ 1.94 FY 18 $ 19.28 $ 2.05 $ 20.05 Utility Revenue Debt (Existing and Projected) City of Corpus Christi, Texas Utility System Bonds - Total Outstanding Debt and Projected Future Debt As of Year Ending September 30, 2014 $250,000,000 $200,000,000 $150,000,000 $100,000,000 $50,000,000 Year ending 9/30 • Existing • Future Other Debt -Reservoir • Choke Canyon Dam Construction — Outstanding principal balance at September 30, 2014 $55,113,220 • Lake Texana Water Rights — Outstanding principal balance at September 30, 2014 $89,378,113 Other Debt -Sales Tax City of Corpus Christi's Sales Tax Rate • State • City • Regional Transportation Auth. • Crime Control • Type A -Seawall • Type A -Arena • Type A -Economic Dev. TOTAL 6.250 Ct 1.000 Ct 0.500 Ct 0.125 Ct 0.125 Ct 0.125 Ct 0.125 Ct 8.250 Ct Other Debt -Sales Tax • One-eighth cent sales tax was approved on November 7, 2000 for seawall improvements. • One-eighth cent sales tax was approved on November 7, 2000 for the promotion, development, and maintenance of an arena. • One-eighth sales tax was approved on November 5, 2002 for promotion and development of new and expanded business enterprises. 19 Seawall Improvement Sales Tax • Issued $43,960,000 of bonds dated September 1, 2001 for Seawall improvements at an interest rate of 4.00% to 5.375%. • Refunded the bonds in July 2012 for a net present value savings of $4,988,597. • Outstanding principal at September 30, 2014 is $27,355,000. • Last debt payment is March 1, 2026. 20 Arena Facility Sales Tax • Issued $49,185,000 of bonds dated December 1, 2002 for construction of a new arena at an interest rate of 3.25% to 5.5%. • Refunded the bonds in January 2014 fora net present value savings of $3,649,800. • Outstanding principal at September 30, 2014 is $28,755,000. • The last debt payment is September 1, 2025. Economic Development Sales Tax • Issued $24,565,000 of bonds dated April 1, 2004 for construction of a baseball stadium at an interest rate of 2.00% to 5.0%. • Refunded the bonds in January 2014 for a net present value savings of $516,852. • Outstanding principal at September 30, 2014 is $6,015,000. • Last debt payment is September 1, 2017. 22 Other Debt - Tax Increment Financing (TIF) • November 14, 2000 - City Council established the Tax Increment Reinvestment Zone #2 (TIRZ #2). • Four series of bonds were issued from 2003 through 2006, and all series were refunded in 2008, realizing a net present value savings of $1,299,378. • Outstanding principal at September 30, 2014 is $9,600,000. • Last debt payment will be on September 15, 2022 — at which time the TIF will dissolve. 23 Other Debt (Existing and Projected) City of Corpus Christi, Texas Sales Tax and Tax Increment Financing Bonds - Existing Debt (No future debt projected) As of Year Endin • Se • tember 30 2014 $12,000,000 $10,000,000 $8,000,000 $6,000,000 $4,000,000 $2,000,000 $- ,y� yro til ti� ti� 19 .1`y �L y' LD L5 lro L1 ti0 ti0 ti0 LO 0 LO 0 1, ti0 ti0 ti0 ti0 ti0 • Baseball Stadium • Arena • Seawall ■ TIF Questions