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HomeMy WebLinkAboutMinutes City Council - 08/26/2025I HEREBY CERTIFY that the foregoing is a true and correct copy of the minutes of the Regular Meeting of the Corpus Christi City Council of August 26, 2025 which were approved by the City Council on September 2, 2025. WITNESSETH MY HAND AND SEAL, on this the 2nd day of September 2025. (SEAL) Rebecca Huerta City Secretary Corpus Christi, Texas City of Corpus Christi Rebecca Huerta, City Secretary P.O. Box 9277 Corpus Christi, Texas 78469-9277 (361) 826-3105 rebeccah@cctexas.com SCANNED City of Corpus Christi Meeting Minutes City Council 1201 Leopard Street Corpus Christi, TX 78401 cctexas.com Tuesday, August 26, 2025 11:30 AM Council Chambers Addendums may be added on Friday. A. Mayor Pro Tem Scott to call the meeting to order. Mayor Pro Tem Scott called the meeting to order at 11:33 a.m. B. Invocation to be given by Pastor Kevin Jennings with Mt. Olive Lutheran Church. Pastor Kevin Jennings with Mt. Olive Lutheran Church gave the invocation. C. Pledge of Allegiance to the Flag of the United States of America and to the Texas Flag to be led by Matthew Craig, 12th grader at Annapolis Christian Academy. Matthew Craig, 12th grader at Annapolis Christian Academy, led the Pledge of Allegiance to the Flag of the United States of America and to the Texas Flag. D. City Secretary Rebecca L. Huerta to call the roll of the required Charter Officers. City Secretary Rebecca Huerta called the roll and verified that a quorum of the City Council and the required Charter Officers were present to conduct the meeting. Charter Officers: City Manager Peter Zanoni, City Attorney Miles Risley and City Secretary Rebecca Huerta Present: 8 - Council Member Roland Barrera,Council Member Carolyn Vaughn,Council Member Gil Hernandez,Council Member Sylvia Campos, Council Member Eric Cantu,Council Member Mark Scott,Council Member Kaylynn Paxson, and Council Member Everett Roy Absent: 1 - Mayor Paulette Guajardo E. PUBLIC COMMENT F. BOARD & COMMITTEE APPOINTMENTS: (NONE) G. EXPLANATION OF COUNCIL ACTION: H. CONSENT AGENDA: (ITEMS 1 - 5) Approval of the Consent Agenda City of Corpus Christi Page 1 Printed on 8/27/2025 City Council Meeting Minutes August 26, 2025 Mayor Pro Tem Scott referred to the Consent Agenda. No Items were pulled for individual consideration. Council Member Roy moved to approve the consent agenda, seconded by Council Member Paxson. The motion carried by the following vote: Aye: 8 - Council Member Barrera, Council Member Vaughn, Council Member Hernandez, Council Member Campos, Council Member Cantu, Council Member Scott, Council Member Paxson and Council Member Roy Absent 1 - Mayor Guajardo Abstained: 0 1. 25-1372 Approval of the August 13, 2025 Budget Workshop Minutes and August 19, 2025 Regular Meeting Minutes The Minutes were approved on the consent agenda. Consent - Second Reading Ordinances 2. 25-1163 Zoning Case No. ZN8634, Saratoga 400 Partners, LLC. (District 3). Ordinance rezoning a property at or near 602 Saratoga Boulevard from the "RS-4.5" Single -Family 4.5 District to the "RS-4.5/PUD" Single -Family 4.5 District with a Planned Unit Development overlay; providing for a penalty not to exceed $2,000 and publication. (Planning Commission and Staff recommend approval). This Ordinance was passed on second reading on the consent agenda. Enactment No: 033726 Consent - Contracts and Procurement 3. 25-0927 Motion authorizing the purchase and installation of a virtual reality training simulator including computers, networking, training, and five-year warranty from V-Armed, of Brooklyn, New York, for the Corpus Christi Police Department's Police Training Academy, in an amount up to $383,000.00, with FY 2025 funding from the Crime Control and Prevention District Fund. This Motion was passed on the consent agenda. Enactment No: M2025-113 4. 25-1035 Motion authorizing the purchase of one additional Ford F-450 from Silsbee Ford, of Silsbee, Texas, through the TIPS Cooperative, for the Corpus Christi Police Department's Bomb Squad for a total amount of $112,007.75 ($65,355.00 for the truck cost, $39,270.50 for the upfitting cost, and other service related costs), with FY 2025 funding in the amount of $109,507.75 available through the Police Grants Fund and $2,500.00 from the General Fund. This Motion was passed on the consent agenda. City of Corpus Christi Page 2 Printed on 8/27/2025 City Council Meeting Minutes August 26, 2025 Enactment No: M2025-114 5. 25-0763 Motion authorizing the execution of a one-year service agreement, with two one-year options, with Roland Mendiola dba National Auto Glass, of Corpus Christi, for windshield repairs and replacements to City fleet vehicles for the Asset Management Department in an amount up to $129,250.00, with a potential amount up to $387,750.00 if both options are exercised, with FY 2025 funding in the amount of $26,928.00 from the Fleet Maintenance Service Fund. This Motion was passed on the consent agenda. Enactment No: M2025-115 RECESS FOR LUNCH Mayor Pro Tem Scott recessed the Council meeting for lunch at 1:33 p.m. Mayor Pro Tem Scott reconvened the meeting at 5:31 p.m. J. PUBLIC HEARINGS: (NONE) K. INDIVIDUAL CONSIDERATION ITEMS: (ITEM 6) 6. 25-1238 Resolution amending Financial Budgetary Policies adopted by Resolution 033143; and providing financial policy direction on preparation of the FY 2026 Operating and Capital Budgets. Director of Finance Sergio Villasana presented information on the following topics: purpose of fund balance; fund balance policy history; general fund reserve balance budget history; Specialized Public Finance Inc. recommendations; fund balance/financial policies from other cities; and options for consideration. City Manager Peter Zanoni and Director Villasana responded to Council questions. Council Member Vaughn moved to approve the resolution as recommended by staff, seconded by Council Member Cantu. This Resolution was passed and approved with the following vote: Aye: 6 - Council Member Barrera, Council Member Vaughn, Council Member Cantu, Council Member Scott, Council Member Paxson and Council Member Roy Nay: 2 - Council Member Hernandez and Council Member Campos Absent: 1 - Mayor Guajardo Abstained: 0 Enactment No: 033727 L. BRIEFINGS: (NONE) City of Corpus Christi Page 3 Printed on 8/27/2025 City Council Meeting Minutes August 26, 2025 M. CITY MANAGER'S COMMENTS / UPDATE ON CITY OPERATIONS: (ITEM 7) 7. 25-1344 Update on Alternative Water Supply Projects Chief Operating Officer of Corpus Christi Water Drew Molly presented information on the following topics: water supply projects update; NRA-Harbor Island Seawater Desalination; and next steps for supplemental projects; reservoir capacity projections. COO Molly, Director of Water Systems and Support Services Nick Winkelmann, and Water Resources Manager Esteban Ramos responded to Council questions. N. EXECUTIVE SESSION: (NONE) O. GENERAL PUBLIC COMMENT Mayor Pro Tem Scott opened public comment. The following individuals spoke: Gail Anderson, Corpus Christi, TX, Carrie Meyer, Corpus Christi, TX, Brad Bartilson, Corpus Christi, TX, Mark Muenster, Corpus Christi, TX, Jason Hale, Corpus Christi, TX, Rachel Caballero, Corpus Christi, TX, Melinda De Los Santos, Corpus Christi, TX, Adam Rios, Corpus Christi, TX, Marilena Garza, Corpus Christi, TX, Henry Williams, Corpus Christi, TX, Elena Martinez, Corpus Christi, TX, Robin Cox, Corpus Christi, TX, Emily Barrera, Corpus Christi, TX, Amanda Breland, Corpus Christi, TX, Maggie Peacock, Corpus Christi, TX, Daniel Pena, Corpus Christi, TX, Bella Munoz, Corpus Christi, TX, Michael Miller, Corpus Christi, TX, Christina English, Corpus Christi, TX, Eli McKay, Corpus Christi, TX, and John Weber, Fair Oaks, CA. The following individuals submitted a written public comment which is attached to the minutes: Jason Hale, Corpus Christi, TX and John Weber, Fair Oaks, CA. P. ADJOURNMENT There being no further business, Mayor Pro Tem Scott adjourned the meeting at 6:44 p.m. City of Corpus Christi Page 4 Printed on 8/27/2025 Monday, August 25, 2025 Public Comment & Input Form For City Council Meetings, Board Meetings, & Commission Meetings To submit a service request, ask a question, report a violation, browse city -required permit forms or access services online, click here: Access Online Services To continue submitting a written public comment click Next below. Public Comment & Input Form For City Council Meetings, Board Meetings, & Commission Meetings Date of Meeting Tuesday, August 26, 2025 Name Jason Hale Address 4421 HAMLIN DR CORPUS CHRISTI, TX, 78411-3059 Please select the Board, Committee, or governing body that your comments are directed to: Are you a resident of Corpus Christi? What district do you reside in? Topic Agenda Item Number Comment See attached Upload supporting images or documents. City Council District 2 Mary Rhodes Pipeline Issues n/a �w `J Public comment August 26th 2025 Cit....pdf 1 The City's Mismanagement of Mary Rhodes Phase II (Part 2) 08/26/2025 Hi Councilmembers, the following statements from last week's meeting explain why the City chose to wait until 2022 to initiate MRP upgrades. They implicate Councilmembers as being aware of the issue, contain falsehoods regarding treatment capacity, and overall give weak justifications for the delays, like a lack in organizational quality at CCW, that erode public trust while also obfuscating the facts. This matters because it is important to learn the right lessons from mismanaged situations in order to prevent them from happening again. Zanoni's Reason #1 1. From 2017 to 2021, Councilmember Greg Smith brought up MRP issues any time there was a water item on the agenda. Jason's Counterpoint If that's true, then everyone on Council at the time was aware of the MRP issues and were okay with the delaying upgrades. AKA, they were okay with draining Lake Corpus Christi instead of getting water from the Colorado River. For some reason, I find that hard to believe. Zanoni's Reason #2 2. It took 2+ years to organize CCW and create a COO position Jason's Counterpoint This is weak justification because CCW was working on the Inner Harbor project during the same period of time. CCW could have worked on MRP upgrades instead. But they didn't. They made an intentional decision to spend enormous amounts of staff time on the Inner Harbor instead of MRP upgrades. Zanoni's Reason #3 3. Treatment capacity at O.N. Stevens had to be increased in order to take more water from the Mary Rhodes. Jason's Counterpoint This is false. You don't need additional treatment in order to take water from one source instead of another. Taking 10 MGD from the Colorado River instead of Lake Corpus Christi doesn't require an extra 10 MGD of treatment. Main Takeaways 1. The Mary Rhodes Phase 2 was not finished in 2017. It was finished in 2025. 2. MRP upgrades could have and should have been completed before GCGV went online in 2022, regardless of lake levels. It was irresponsible to wait until 2022 to initiate upgrade efforts since P2 was the whole reason we were able to bring in such a large volume water user. The needed studies and upgrades only took 3 years (2022 to 2025). Phase 2 could have been 2 completed by 2020 instead of 2025. That's five whole years of Colorado River water that we missed out on. a. Starting in 2017, CCW's Water Resource Manager should have been relentlessly advocating for MRP upgrades to Council and City Manager in order to achieve full capacity by 2022. They should have recommended it in 2017, in 2018, in 2019, in 2020, and in 2021. If they did not do that, then they failed to fulfill their duties, especially if they intentionally chose to prioritize Inner Harbor development over MRP upgrades. Why it matters Giving weak and false excuses for errors in management erodes public trust. Why would residents want to spend time bringing up valid issues if they're always met with management blaming circumstances instead of taking ownership of their actions? All you need to say is 'yeah we messed up, this is what we did wrong and this is how we'll do things differently to make sure it won't happen again'. The lesson So what's the lesson? There was one given at the meeting, 'always invest in your infrastructure'. That's a good lesson overall but I don't believe this applies to the mismanagement of the Mary Rhodes Pipeline. The City had plenty of resources to devote to MRP upgrades before 2022. I believe the lesson here is to invest your resources where it pays off the most. Go for the easy water instead of the hard water. Instead of blaming circumstances, let's look inwards and ask 'what role did I have to play in this?', and 'what can I do differently next time?'. Missing out on five years of water from the Colorado River put the City in a world of hurt. Let's make sure we don't let this learning opportunity go to waste. Thank you for your consideration. Respectfully, Jason Hale 3 City of Corpus Christi I City Council Meeting August 19, 2025 (06:39:00) Response to Mary Rhodes P2 Comments Campos Thank you, mayor. Just for the audience, we did discuss this earlier today Statement 1 and per our City Manager he did state that when he got here six years ago that there was the crisis but it took this long. Is that what you did state? Right, that it took at least four years to look and be able to address some of these issues, but the City, you did know that we were not operating the Mary Rhodes pipeline at full capacity. Jason's notes • It took four years to look at and address MRP issues • City Manager was aware of the MRP operating at a lower capacity Zanoni Right. That's correct, Councilman. Yeah. Councilman Greg Smith, who used Statement 2 to sit right up there, would remind us, you know, whenever there was an item dealing with water. Jason's notes • Councilman Greg Smith brought up MRP issues every time an item on water came up Conclusion Everyone on Council from 2019 to 2021 was aware of the MRP issues. Zanoni Statement 3 So what we said earlier today is, and this is highly condensed, but it took a couple years to organize the department to create a Chief Operating Officer to add staff that could um run the department uh better than prior. Jason's notes • Delaying MRP upgrades for 2+ years was necessary in order to organize CCW and create a COO Counterpoint The City was avidly promoting and developing the Inner Harbor project in the same time period. If the organization of CCW was adequate for those efforts then they could have handled MRP upgrades just fine. Therefore, the choice to delay MRP upgrades was intentional and deliberate. Zanoni Statement 3 Then we had to be able to treat the water at the O.N. Stevens Water Treatment Plant which suffered from lack of investment. So even if more water was coming through, it's quite probable we wouldn't have had the capacity at the treatment plant to treat it. So we put together a five-year 4 reinvestment plan to upgrade the O.N. Stevens. So that's been happening. There's still some work to be done. Jason's notes • MRP upgrades were delayed in order to increase treatment capacity at O.N. Stevens Myth busting Zanoni's statement is false. You don't need extra treatment capacity to take water from one source instead of the other (Colorado vs Lake Corpus Christi). This is an either or situation, not both. Zanoni Statement 4 And then ,in the last two years, we've spent in our spending $19 million to complete the work on the Mary Rhodes pipeline that could have been completed 25 years ago. So, we had to improve the pumping system. There's three pump stations. There's the one at Lake Texana, Woodsboro, and Bloomington. And those didn't have the right electric components, redundancy, and so on. And so, that's all been completed to where earlier this year, for the first time in the pipeline's history, we increased production 84%. And it's been steady since that time. Jason's notes • City spent $19 to complete work on MRP • It took two years Campos Zanoni Campos Zanoni And so, actually, it's double. I believe we increased it by at least 30 more million 30 more MGD. 84%. Right. So which is what we are now looking into for the harbor for the Inner Harbor plant. So again, we spent a fraction of the dollars and were able to get the 30 MGD. That's what I wanted to get across. Thank you. That's good. Thank you. Drew's statements: • Reservoirs were half full in 2022. It makes a lot of sense to pull water from the Nueces River since it's the cheapest (2:16:00). • Schedule 4 actually reduces the pressure along the pipeline. It's a little bit counterintuitive. Today, if you run the pipeline at Schedule 2 or 3, you have pressure exceedances of that pipeline that are not good (2:15:00). Tuesday, August 26, 2025 Public Comment & Input Form For City Council Meetings, Board Meetings, & Commission Meetings To submit a service request, ask a question, report a violation, browse city -required permit forms or access services online, click here: Access Online Services To continue submitting a written public comment click Next below. Public Comment & Input Form For City Council Meetings, Board Meetings, & Commission Meetings Date of Meeting Tuesday, August 26, 2025 Name John Weber Address 10523 Fair Oaks Blvd Fair Oaks, CA, 95628 Please select the Board, Committee, or governing body that your comments are directed to: Are you a resident of Corpus Christi? Topic Agenda Item Number City Council New water sales Public comment Comment Please see attached PDF and let me know if you have any questions. Thank you. 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This investment represents a significant step forward in Northern Data Group's investment strategy, driving a substantial increase in Peak Mining's hash rate and BTC The first phase of the buildout is underway and will deliver 100MW of mining capacity which will ramp up from Q1 2024. The site benefits from access the low-cost power at the Load Zone South of the ERCOT real-time energy market delivering high mining profitability. The site also includes a private substation and strengthens Peak Mining's diversified portfolio of locations across Europe, Canada, and the US. The facility will house the latest liquid -cooled mining hardware from MicroBT, following Peak USD 150 million purchase. Peak Mining has already secured an option for an additional $150m of MicroBT mining hardware, which is earmarked for the further expansion of this location to its full 300MW potential. . 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