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HomeMy WebLinkAboutMinutes City Council - 03/30/1983MINUTES CITY OF CORPUS CHRISTI, TEXAS REGULAR COUNCIL MEETING MARCH 30, 1983 2:00 P.M. PRESENT: Mayor Luther Jones Mayor Pro Tem Betty N. Turner * Council Members: Jack K. Dumphy Bob Gulley Herbert Hawkins, Jr. * Dr. Charles W. Kennedy, Jr. Cliff Zarsky Vitt( c City Manager Edward Martin City Attorney Bruce Aycock City Secretary Bill G. Read Mayor Luther Jones called the meeting to order in the Council Chamber of City Hall. The invocation was given by the Reverend Daniel Dunham of Weber Road Church of Christ, following which the Pledge of Allegiance to the Flag of the United States was led by Council Member Cliff Zarsky. City Secretary Bill G. Read called the roll of required Charter Officers and verified that the necessary quorum was present to conduct a legally constituted meeting. A motion was made by Council Member Cliff Zarsky that the Minutes of the Special Council Meeting of March 14 and the Regular Council Meeting of March 16, 1983 be approved as presented; seconded by Council Member Dumphy; and passed unanimously. 0*o*0*0*0*0*0*0*0*0*0*0*0 Mayor Jones then administered oaths to the following newly appointed members of the Boards and Committees: Mr. Gene Carter, Bay Drilling Committee; Mr. James Skrobarczyk, Building Standards Board; and Mrs. Peggy May, Museum Advisory Board. Mayor Jones then called for Board and Committee appointments and reviewed those discussed during the morning Workshop Meeting. MICROFILMED SEP 19 1984 iviinutes Regular Council Meeting March 30, 1983 Page 2 A motion was made by Council Member Zarsky that the following appointments be confirmed, seconded by Council Member Dumphy and passed unanimously: Planning Commission: - William H. Locke, Jr., term to expire July 31, 1983 Landmark Commission: - Mrs. Janet Rice, term to expire November 20, 1984. o*o*o*o*o*o*o*o*o*o*o*o*o Mayor Jones called for Confirmation of Actions of the Council from the Workshop Session and requested that the Council confirm his nomination of Mr. Jack Hunter to the position of Chief Judge of Municipal Court. Mayor Jones then read the following motion confirming this action: A MOTION APPOINTING JACK HUNTER JUDGE OF THE MUNICIPAL COURT IN CORPUS CHRISTI, TEXAS, AND PRESIDING JUDGE OF CORPUS CHRISTI MUNICIPAL COURTS "A", "B", "C", AND "D"; AND PROVIDING AN EFFECTIVE DATE. The appointment of Jack Hunter as Judge of the Municipal Court in Corpus Christi, Texas by nomination of the Mayor and confirmation by the City Council is hereby declared and affirmed, and said Judge shall be designated as Chief Judge or Presiding Judge of the Municipal Courts A, B, C, and D in the City of Corpus Christi, Texas, and shall also supervise Municipal Court Clerk and staff. Said appointment shall be subject to the provisions of City ordinance, the City Charter, and State law concerning Municipal Courts. The salary for such Chief Judge is set at $47,500 per annum. This appointment shall be effective May 1, 1983 or upon resignation of Jack Hunter from the Nueces County District Attorney's Office, whichever comes sooner. A motion was made by Council Member Bob Gulley that the foregoing appointment be confirmed, seconded by Council Member Zarsky and passed unanimously by those present and voting. o*o*o*o*o*o*o*o*o*o*o*o iyiinutes Regular Council Meeting March 30, 1983 Page 3 Mayor Jones announced bid openings on the following engineering projects: 1. Installation of one 125 KVA emergency generator at the International Airport including new cable and electrical feed to the Terminal to replace the old facility. Mr. James K. Lontos, P.E., Assistant City Manager, opened bids on this project from the following companies: Baker Electric, Electric Construction, Fairbairn Electric, LA -MAN Constructors, R. S. Black, Scott Electric Co., Toland Construction Co. of Taft, N. R. Johnston Electric and L & E General Contractors. Mr. Lontos verified that all of the bidders had submitted the required bid security bond or cashier's checks with their bids. 2. Reroofing Fire Station No. 13 on Waldron Road in the Flour Bluff portion of the City. Mr. Lontos opened bids on this project from the following companies: Alice Roofing & Sheet Metal, American Roofing & Construction Co., J & M Roofing, L & E General Contractors, Sechrist-Nall Company, R. R. Serna, South Texas Urethane, Inc., A. Ybarra Designers and Haeber Rosales. He stated that all of these companies had submitted the required bid security bonds or checks with their bids. Mayor Jones expressed appreciation to the companies that had submitted bids and stated that they would be tabled for 48 hours, pursuant to the requirements of the City Charter and referred to the Staff for tabulation and recommendation. * Council Member Charles Kennedy arrived at the meeting at 2:13 p.m. during the foregoing bid opening. Council Member Kennedy questioned the size of the generator and inquired as to whether or not a particular model was specified in the bid specifications. Mr. Lontos explained that the particular model was described with the size required but it was open so that several kinds of generators could be included in the bid. Council Member Kennedy inquired about the areas that the generator would support in the event that they were needed in case of an electrical failure, and Mr. Lontos stated that they would handle only the runway lights and not the terminal itself. He explained that it would be very expensive to have generators that would serve the entire terminal building with emergency power. Council Member Kennedy then suggested that a survey be made to determine if adequate hand held battery-operated lights are available at the airport in order to assist people to exit the airport in case of a power failure, and Mr. Lontos assured the Council that he would investigate this. i.,inutes Regular Council Meeting March 30, 1983 Page 4 ** Mayor Pro Tem Turner arrived at the meeting at 2:20 p.m. during the foregoing discussion. 0*0*0*0*0*0*0*o*o*0*0*0* Mayor Jones called for discussion of the budget update and adjustments. City Manager Martin briefly summarized the memorandum he had sent to the Council on Monday evening and reviewed the procedure for preparing the budget with anticipated revenues which are closely monitored during the year. He reminded the Council that in November he had reported to the Council that the sales tax collections were much less than anticipated and at that time, the Staff took some stop gap measures to decrease the budget by not funding new programs and by placing a freeze on new positions. He recalled that by December, it was definitely clear that the sales tax receipts were not going to be as great as had been anticipated; therefore, there is a need in the General Fund to account for approximately $3 million which is the amount that needs to be adjusted to reflect the decrease in the anticipated sales tax receipts. Mr. Martin continued by stating that the Staff is recommending a combination of reducing expenses and increasing revenue. He stated that the Staff had been cautioned that the lower sales tax receipts would definitely affect next year's budget as well. He assured the Council, however, that the City of Corpus Christi is still in excellent financial condition, but this is a message to the employees that when the City has a recessionary year, they should not expect large salary increases. Mr. Martin then explained the various items included in his budget update and adjustments memorandum and described the items included in the amounts of money saved which total $2,966,000. (A copy of the budget update and adjustments is attached to the minutes hereto and considered to be a part of them). Mr. Martin then informed the Council that the Staff is of the opinion that they should start the new fiscal year with the same reserves as in the past and he has no intention of using all of the reserve contingency fund in the General Fund. A motion was made by Council Member Hawkins that the recommended budget changes be approved, seconded by Council Member Dumphy. Council Member Zarsky indicated that he had some questions before voting on the budget adjustments. He referred to item 9 under category C, which calls for the elimination of planned management study in the Police Department and inquired if this has anything to do with the training of the police, and City Manager Martin assured him that it did not because the training efforts are independent from this management study. Council Member Zarsky also referred to item 12 under category C and expressed the opinion that an elimination of traffic signal improvements planned at 9 intersections might not be a good idea. City Manager Martin stated that some of the intersection signalizations are eligible for community development funds and there will be other alternative methods of providing improved signalization. ,.,mutes Regular Council Meeting March 30, 1983 Page 5 Mr. Martin also informed the Council that the excess revenue in the hotel -motel tax will be used to fund partial operations of the Convention Center. Council Member Zarsky then questioned the reprogramming of funds from the Housing Finance and Industrial Development Corporation to appropriate expenditure accounts, and City Manager Martin explained that there is $230,000 industrial revenue excess fees; this is a one time item transfer; but it will be used for housing related activities. Council Member Gulley questioned the reprogramming of general fund reserve as budgeted to specific general fund items from its current contingency status. He stated that he understands maintaining a general fund but this concerns him somewhat. He asked the City Manager to provide a report on the use of the revenue adjustments under this category, and Mr. Martin explained that he will have a report on this for the Council. Mayor Jones and Mayor Pro Tem Turner complimented the City Manager and the Staff on their ability to revise the budget to reduce it by almost $3 million. The motion to approve the adjustments in the budget passed unanimously. City Manager Martin informed the Council that there will be some ordinances on the agenda next week effecting these adjustments. 0*o*0*0*0*0*0*0*0*0*0*0 Mayor Jones called for Consideration of the Motions from the Consent Agenda on items 1 through 14. 1. Bids be received April 19, 1983 for a twelve months supply agreement for large lamps including incandescent, flourescent, high intensity discharge, quartz, projector, and airport marker lamps. Bidders will bid a discount off their published price lists. 2. Bids be received April 19, 1983 for twelve months supply agreement for approximately 42 tapping sleeves and 41 tapping valves for the Water Division 3. Bids be received April 19, 1983 for twelve months supply agreement for approximately 10,000' of 4" to 48" Ductile Iron, 51,924' 6" to 16" Asbestos Cement and 10,000' of 6" Poly vinyl chloride pipe for the Water Division. 4. Bids be received April 19, 1983 for twelve months supply agreement for approximately 500 barrels (188,000 lbs.) of regular Portland Type I Bulk Cement for the Street Division as stabilization material for street construction. ..,mutes Regular Council Meeting March 30, 1983 Page 6 5. Bids be received April 19, 1983 for a twelve months supply agreement for approximately 188 1" to 16" lubricated plug valves for the Gas Division. 6. A twelve months supply agreement for field tire repair service for City -owned equipment to supplement services provided by Maintenance Services Department be approved with Gonzalez Tire Service, Corpus Christi, for the estimated total of $52,275.00. This represents an approximate 28% increase in the past twelve months. This is the same firm that has had the contract for the past several years. The low bid is still 40% less than the second low bid. Per unit prices range from $5.00 for passenger and light commercial tires to $20.00 for tractor, grader and heavy loader tires. 7. Thirty replacement and four additional pickups and vans be purchased as follows, based on low bids: Creveling Motor Co., Corpus Christi: 6 Compact Pick Ups 18 } Ton Pick Ups 6 3/14 Ton Pick Ups 1 1 -Ton Pick Up 3 Vans Total - Net, FOB Destination Delivery: 60-90 Days Prices have increased approximately 5% since last bid in March, 1982. Ten bid invitations were issued and three bids were received. $ 40,832.00 131,211.00 51,750.00 7,829.00 27,923.00 $259,545.00 8. Parking meters for Parking Control be purchased as follows: Jerry D. Dreher, Distributor for Duncan Industries, Dallas, Texas: 10 ea. Single, 2 Hr., 254, @ $ 148.50 22 ea. Duplex, 2 Hr., 254, @ 289.50 10 ea. Single, 10 Hr., 254, @ 155.40 20 ea. Duplex, 10 Hr., 254, @ 303.30 10 ea. Single, 10 Hr., 104, @ 148.50 20 ea. Duplex, 10 Hr., 104, @ 289.50 30 ea. Single Coin Box @ 10.20 62 ea. Duplex Coin Box @ 19.00 TOTAL $ 24,233.00 Net, FOB Destination Delivery: 45 - 70 Days ..mutes Regular Council Meeting March 30, 1983 Page 7 POM, :Inc., Russelville, Arkansas: 6 ea. Single, 2 Hr., 254 @ $ 101.90 10 ea. Single, 10 Hr., 254 @ 104.62 5 ea. Single, 10 Hr., 254 @ 101.90 TOTAL - $ 2,167,10 GRAND TOTAL $ 26,400.10 The POM meters are being purchased for testing in order to evaluate for future bids. The meters are included in the 1982-83 Budget. 9. One replacement medium volume white printer for the Planning Department be purchased from Ozalid Corporation in the amount of $6,477.50, on the basis of best bid. The Ozalid machine consumes less ammonia and electricity than the Bruning unit. The savings is expected to be greater than the price difference of $381.80. The life expectancy of this unit is 7-10 years. The printer is used to produce blue and black line copies. The current printer is obsolete with parts no longer available. The printer is included in the 1982-83 Budget. 10. The following insurance policies be renewed with United States Fire Insurance Company. Coverage: Policy Term: Premium: Valuable Papers for the Libraries 3 years $ 8,111 Airport General Liability 1 year 10,438 The premium for the prior three year policy for Valuable Papers was $7,440 and the premium for the prior one year policy for Airport General Liability was $8,350. It is further recommended that the insurance policies for tenant dwelling be included in the City's fire and extended coverage policy rather than being carried as separate policies. 11. Authorizing a contract in the amount of $27,000 with the firm of Arthur Young and Co. to perform a Cash Management Survey in accordance with the new Financial Management System. 12. Two landsite and cable easement agreements with the Federal Aviation Administration be extended to September 30, 1984 for Instrument Landing Systems for Runways 13-31 and 17-35. The systems are installed, operated and maintained by FAA. 13. Accepting the Glenoak Drive Storm Sewer project and authorizing final payment of $29,877.43 for a total of $262,778.80 to Mormac Construction Company. This project provided for the installation of 60" diameter storm sewer pipe at the extension of Glenoak Drive at Flour Bluff Drive. ...mutes Regular Council Meeting March 30, 1983 Page 8 14. Corpus Christi Oil & Gas Company be granted a permit to drill a Corpus Christi Bay well from a regular location that is five miles southwesterly of Port Aransas and midway between Mustang Island and the Ship Channel. The State Tract 347 Well No. 1 will be drilled as a straight hole to a depth of 9,500 feet. No exceptions to the Bay Drilling Ordinance are requested. Mayor Jones ascertained that no one in the audience wished to speak on these items. A motion was made by Mayor Pro Tem Turner that the foregoing consent motions be approved, seconded by Council Member Zarsky and passed unanimously. 0*o*0*0*0*0*0*0*0*0*0*0*0 Mayor Jones then called for Consideration of Consent Ordinances and Ordinances from Previous Meetings on items 15 through 21. Mayor Jones referred to Ordinance 19 which calls for the leasing of Lot 1 in the Lexington Industrial Center, and in a related matter, inquired about the status of the lot acquired from Mr. Ralph Krause. Mr. Lontos explained that the Staff has not made that determination but there is a high pressure gas line on the property acquired from Mr. Krause and an easement must be maintained for that. He stated that there is the possibility that it could be sold. Mayor Jones noted that the City does have a policy of selling property unless there is an anticipated use. City Manager Martin agreed that that was true and stated that the Staff will make an inventory of major pieces of property owned by the City. He mentioned a particular piece of property at the intersection of Airline and Yorktown Boulevard which consists of about 83 acres that could be sold or developed. Mr. Lontos stated that that property does have a high water table. Mayor Jones called for comments from the audience on the ordinances. Ms. Cindy Thrailkill, a student at Del Mar College, referred to Ordinance No. 19 which recommended the lease of City property and inquired as to why the City is leasing this property if their intention is to sell all property that is not in use. Mayor Jones explained that construction is in progress at this location and the City will just lease the property for a short time. City Manager Martin also explained that the lease of this property for the storage of vehicles and construction material will prevent having these items on City streets. ...inutes Regular Council Meeting March 30, 1983 Page 9 City Secretary Read polled the Council for their votes and the following ordinances were passed: 15. ORDINANCE NO. 17543: DETERMINING THE NECESSITY FOR AND ORDERING THE IMPROVEMENT OF SOUTH PADRE ISLAND DRIVE, S.H. 358, NORTH AND SOUTH FRONTAGE ROADS AND BRIDGE APPROACHES TO CAYO DEL OSO BAY AND DECLARING AN EMERGENCY. The Charter Rule was suspended and the foregoing ordinance passed by the following vote: Jones, Turner, Dumphy, Gulley, Hawkins, Kennedy and Zarsky voting, "Aye". 16. ORDINANCE NO. 17544: APPROVING THE WRITTEN STATEMENT OF THE CITY ENGINEER OF VARIOUS COSTS FOR THE IMPROVEMENT OF SOUTH PADRE ISLAND DRIVE, S.H. 358, NORTH AND SOUTH FRONTAGE ROADS AND BRIDGE APPROACHES TO CAYO DEL OSO BAY DETERMINING THE PORTION OF SAID COSTS TO BE ASSESSED AGAINST ABUTTING PROPERTY AND THE PORTION TO BE PAID BY THE CITY; SETTING A PUBLIC HEARING ON THE PRELIMINARY ROLL FOR APRIL 20, 1983 AT 3:00 P.M., IN THE COUNCIL CHAMBERS; AND DECLARING AN EMERGENCY. The Charter Rule was suspended and the foregoing ordinance passed by the following vote: Jones, Turner, Dumphy, Gulley, Hawkins, Kennedy and Zarsky voting, "Aye". 17. ORDINANCE NO. 17545: AUTHORIZING THE EXECUTION OF A CONTRACT WITH L & L CONSTRUCTION COMPANY FOR THE ZAVALA CENTER EXPANSION PROJECT; APPROPRIATING $56,000.00 FOR THIS CONTRACT; AND DECLARING AN EMERGENCY. The Charter Rule was suspended and the foregoing ordinance passed by the following vote: Jones, Turner, Dumphy, Gulley, Hawkins, Kennedy and Zarsky voting, "Aye". 18. ORDINANCE NO. 17546: AUTHORIZING THE EXECUTION OF A CONTRACT WITH MAVERICK CONSTRUCTION COMPANY FOR THE LAS PALMAS DRIVE (BUENA VISTA) DRAINAGE IMPROVEMENTS; APPROPRIATING $170,000.00 FOR THIS CONTRACT; AND DECLARING AN EMERGENCY. The Charter Rule was suspended and the foregoing ordinance passed by the following vote: Jones, Turner, Dumphy, Gulley, Hawkins, Kennedy and Zarsky voting, "Aye". ...nutes Regular Council Meeting March 30, 1983 Page 10 19. FIRST READING: AUTHORIZING EXECUTION OF A THREE YEAR LEASE AGREEMENT WITH C AND C INDUSTRIAL BUILDERS, INC. TO LEASE LOT 1, LEXINGTON INDUSTRIAL CENTER FOR MATERIAL STORAGE. The foregoing ordinance was read for the first time and passed to its second reading by the following vote: Jones, Turner, Dumphy, Gulley, Hawkins, Kennedy and Zarsky voting, "Aye". 20. SECOND READING: AMENDING THE CITY CODE, CHAPTER 35, OIL AND GAS WELLS, TO ADD ADDITIONAL BLOWOUT PREVENTION MEASURES AS REQUIREMENTS PERTAINING TO SURFACE CASING SETTING DEPTHS. The foregoing ordinance was read for the second time and passed to its third reading by the following vote: Jones, Turner, Dumphy, Gulley, Hawkins, Kennedy and Zarsky voting, "Aye". 21. THIRD READING - ORDINANCE NO. 17547: AUTHORIZING A LEASE AGREEMENT WITH THE NUECES COUNTY COMMUNITY ACTION AGENCY FOR THE PURPOSE OF LEASING SIX PORTABLE BUILDINGS FOR THE HEADSTART PROGRAM. The foregoing ordinance was read for the third time and passed by the following vote: Jones, Turner, Dumphy, Gulley, Hawkins, Kennedy and Zarsky voting, "Aye". o*o*0*o*0*0*0*0*o*0*0*0*0 Mayor Jones called for Consideration of items on the Regular Agenda. 22. The City Manager be authorized to approve an agreement with Air Filter Sales and Service pertaining to the installation of Air Filter Units in the Police Pistol Range in the amount of $8,660.00 and approving the use of $10,000.00 from the General Revenue Sharing Budget to cover the cost of the agreement and additional electrical circuits in the building. Council Member Kennedy inquired if this air filter unit would eliminate the excessive smoke in the Police Pistol Range. City Manager Martin replied in the affirmative and explained that this is an inexpensive solution as opposed to the engineering solution which would cost approximately $30,000. Mr. Bill Manning, 601 Lilly Street, appeared before the Council stating that he is a representative of the company and that he would be glad to answer questions. ...1iutes Regular Council Meeting March 30, 1983 Page 11 Council Member Kennedy inquired if the problem that exists is primarily the lead particles or the smoke. Mr. Manning explained that the lead creates the smoke problem and the Texas Air Quality Board will monitor the test program that his company has proposed. Mayor Pro Tem Turner stated that the police officers are complaining about the smoke problem. Mr. Manning stated that he feels that the air filter units will solve the smoke problem as well as other problems associated with the use of the building as a pistol range. He stated that the filters had been on the market for many years. Mr. Gerald Smith, Chief Engineer, further explained recommended are being used in other Police Firing Ranges. 23. The following grant applications be submitted to the Division and priority for their funding be established order: that the filters Criminal Justice in the following a. Continuation of the Nueces County Organized Crime Control Unit from March 1, 1984 through February 28, 1985 with a total budget of $304,811. The City contribution will be $156,436, County contribution $27,257, and State funds $121,150. The State funding provides salaries for a Criminal Analyst, Secretary, and one Deputy Sheriff. The City provides for one Lieutenant, two Sergeants, and two Police Officers; the County provides for one Deputy Sheriff and an Assistant District Attorney (part-time). This will represent the 12th year of funding for the Organized Crime Control Unit. b. Continuation of the Burglary Task Force Grant from September 1, 1983 through August 31, 1984. The budget totals $27,004 with the C.J.D. contributing 80% at $21,604 and the City's portion 20% at $5,400. The grant provides support equipment and necessary expenditures to operate a two-man task force which will focus on known fences, burglary rings, and the identification of burglary patterns. This will be the second year of funding. C. $24,853 for the purchase of a Kodak Micro -image Terminal for the microfilming of offense reports, arrest sheets, criminal jackets, and applicant jackets. A 50% match is required by the City for all equipment purchases affiliated with any grant program. The City's share will be $8,970 with the grant providing $15,883. This terminal will allow for the microfilming of all reports and will replace the current microfilmer, which is fourteen years old. .inutes Regular Council Meeting March 30, 1983 Page 12 d. $26,062 for a design study of a City/County Jail facility consolidation. With 100$ funding by C.J.D., the study will identify the impact of combining services on operating procedures of the City and County and determine whether or not such a move would enhance law enforcement effectiveness. City Manager Martin referred to item d under 23 and stated that this may or may not be necessary but the Staff is just planning ahead on the police feasibility study. Mayor Pro Tem Turner noted that item d is a grant and asked about the specific purpose of this and whether it was economically feasible. Assistant Chief Kenneth Bung of the Police Department explained that this study will focus on administration procedures that will be needed if the systems are consolidated. He stated that the grant will allow the employment of a consulting firm to make such a study to aid them in the event that a consolidation of the City and County jail facilities proves to be feasible. 24. Adopting a policy to utilize signs as an additional means of zoning hearing notification as follows: a. Cardboard signs be utilized of approximately 24" x 36" with one sign facing each street abutting the subject property and located within 10' of any street adjacent to the property. b. The applicant for the zoning change be required to post the sign 10 days prior to the Planning Commission hearing and maintain the sign until final City Council action. c. A fee of $10 per sign be charged the applicant. 25. Authorizing the payment of $100,675.47 to Kinney Street Associates in accordance with the letter of agreement dated December 15, 1982, as reimbursement of 50% of expenses in developing the public/private partnership to expand City office facilities. Council Member Hawkins referred to the City Hall expenses and questioned the specific amount listed in the letter of agreement. He noted that some of the items proposed for payment have exceeded limits set forth in the letter of agreement and he did not feel that he could authorize approval since they are in excess of the maximum. Mr. Bill Hennings, Assistant City Manager, explained that Kinney Street Associates were requested to perform various tasks, including legal expenses. He stated that the firm then requested that the City reimburse them for these expenses in the total amount of $396,850. He explained that the City Council approved the letter of agreement with some changes. He stated that the reimbursed costs would be only for costs that were incurred in the future beginning on December 15, 1982. He stated that the City Staff reduce the total ...nutes Regular Council Meeting March 30, 1983 Page 13 amount to $209,000 and in order to provide some incentive to keep the costs as low as possible, it was agreed that the City would only reimburse the firm for one-half of the expenses and the other one-half would be paid by the private developers. He stated that it was also stipulated that if Kinney Street Associates withdrew on their own, they would not be allowed any reimbursement. He noted that on March 15, 1983, the entire procedure was halted but the company is continuing to work on the feasibility of the courthouse area site. He stated that the costs for the period from December 15 to March 15 was $201,350.95 which was the term according to the letter of agreement. He stated that the Staff is recommending the payment of one-half of that expense as stipuated in the letter of agreement. City Manager Martin stated that he was sure that there would be some attorney who would suggest that the City does not have to do anything or pay any portion of this fee and by the same token, Kinney Street Associates could probably find an attorney who would say that the City should pay the fee since the City was the one who stopped the operation. He expressed the opinion that the City does owe them this money since it was through no fault of private deveoper that the partnership was halted. He stated that the Staff did not feel it was critical as to which costs were listed and he felt that their statement meets the criteria that the City expected. He stated that he was surprised that the costs were not greater than they are and had not even reached the maximum. Mayor Jones stated that he was of the opinion that the City had entered into a good faith agreement and they do have an obligation to pay this fee. He pointed out that this payment will be from IRB funds and not the City tax funds. He agreed that the legal fees seem to be excessive. Mr. Ralph Durden, representing Kinney Street Associates, stated that he was always amazed at the legal fees and agreed that they were even greater than that but some of them were incurred prior to December 15. He stated that they did perform a great deal of work in forming their charter for the bond council. He also reminded the Council that Kinney Street Associates had requested that the City pay all of the fees if they withdrew from the partnership and vice versa. He stated that they will reimburse the City if this project becomes a reality. Mr. Durden also pointed out that a lot of the work that has been done would be transferable to the site on the hill and informed the Council that they are conducting soil tests on that property at this time. Council Member Hawkins stated that he still objected to the way the statement was prepared since it was not according to the letter of agreement that was signed and he felt that the Council might be criticized for paying fees that are in excess of those listed. Mr. Durden referred to item 3 on the last page of the letter of agreement and stated that it is not a line item but is listed as expenses for a specific period and this is what they have done in regard to the legal fees. ,...nutes Regular Council Meeting March 30, 1983 Page 14 Mayor Pro Tem Turner pointed out that the money has not been wasted because even if the site is changed to a location on the hill, a lot of the work would still apply to the structure at that location. Mr. Durden agreed that the space requirements will be the same but the design of the outside of the building may be changed to fit the site. Speaking in regard to this matter was Mr. Jack Gordy, 5802 Everhart, who indicated that he agreed with Mr. Hawkins that the agreement specifies $40,000 for legal fees but the actual expense is much greater. He suggested that the statement be rewritten to reflect the cost as included in the letter of agreement. Mrs. Pauline Clarke addressed the Council in regard to the same subject and questioned the bill from Kinney Street Associates, stating that she hoped it is not in violation of the City Charter or State Law. City Manager Martin explained that the City did not have a signed lease agreement because the project had not progressed that far. Council Member Hawkins proposed a motion that the statement from Kinney Associates be amended to reflect a revised list of items to conform with the letter of agreement in order to clarify the records. Discussion followed and there was no second to the motion. A motion was made by Council Member Hawkins that items 22 through 25 be approved; seconded by Council Member Dumphy; and passed unanimously. 26. Consideration of a sidewalk deferment request by Pendaris Corporation on Lot 1, Block 46, Wood River Unit No. 6. The developer is requesting that sidewalk be deferred on the south side of Calaveras Drive and the east side of Wood River Drive. Mayor Jones noted that the Staff recommendation is that the sidewalk deferment be denied on this item. A motion was made by Council Member Hawkins that the Council concur with the Staff and deny the sidewalk deferment requested by Pendaris Corporation; seconded by Council Member Gulley; and passed unanimously. 27. Consideration of pending state legislation. Mr. Ernest Briones, Deputy City Manager, reminded the Council that a few weeks ago he had brought to their attention a senate bill that had been introduced which would limit the City's power to annex up to three miles into the gulf which would also limit the City's municipal powers. He stated that subsequently, a house bill was introduced and both bills were in committee the preceding day. He explained that the oil industries strongly supported that bill and three cities and the Texas Municipal League were opposed to it. He stated that he had testified in opposition to the bill because of the ability of the bill to take away some power from the cities. In regard to the senate bill, ...inutes Regular Council Meeting March 30, 1983 Page 15 he stated that it was to be brought up at a later time but the house bill was referred to a subcommittee that was not identified. He stated that Mr. Dick Brown of TML and Senator A. R. Schwartz plan to keep the City informed of the status of those bills. Mayor Jones stated that he had received a call from Mr. J. Howard Stark of Sun Oil Company who was under the impression that this City was in favor of SB 551 and HB 997. Mr. Briones reiterated that the bills limit the cities from annexing more than three miles into the bay, and if anything over three miles has been annexed, the excess will be deannexed. He explained that there were many implications in connection with these bills which could have even more detrimental results. City Manager Martin informed the Council that the Staff sees this as a special interest bill which would favor the oil companies and they are apprehensive that it could have even more detrimental effects on all annexations. He stated that they realize that there is a problem with Port Arthur which has annexed ten miles into the gulf. Mr. Briones stated that he had suggested that Port Arthur work out a deal with the oil companies such as forming industrial districts and leave the rest of the Coastal cities alone. Mayor Jones expressed the opinion that this City should continue to oppose both bills. A motion was made by Council Member Zarsky that the City of Corpus Christi express opposition to both the senate bill and house bill; seconded by Council Member Kennedy; and passed unanimously. Mr. Briones stated that this City may have the opportunity to testify before the subcommittee. He explained that one of the reasons Port Arthur had annexed ten miles into the gulf was so that that City would be in compliance with the boundaries previously established by the School District and the County District lines. 0*o*0*0*0*0*0*0*0*0*0*0*0 Council Member Dumphy referred to Ordinance No. 28 which establishes a bridge construction fund at Breckenridge Unit it Subdivision and inquired if all of the parties involved had agreed to this amendment, such as the developer across the street. Mr. Lontos explained that this will not require the construction of another bridge. Mr. Dumphy stated that one of the developers is under the impression that if this is approved, he will have to construct a bridge at another location. He suggested that the ordinance be passed but that the Staff notify the developer ..lutes Regular Council Meeting March 30, 1983 Page 16 that this is not an additional bridge location. City Secretary Read polled the Council for their votes and the following ordinance was approved: 28. ORDINANCE NO. 17548: AMENDING ORDINANCE NO. 17391 RELATING TO BRIDGE CONSTRUCTION IN BRECKENRIDGE UNIT 4 SUBDIVISION BY PROVIDING FOR RELOCATION OF THE BRIDGE; REIMBURSING THE CONTRACTOR FOR FUNDS PREVIOUSLY DEPOSITED BY THEM; CHANGING THE NAME OF THE SPECIAL BRIDGE ACCOUNT; TRANSFERRING FUNDS PREVIOUSLY DEPOSITED TO THE NEW ACCOUNT; TRANSFERRING FUNDS PREVIOUSLY APPROPRIATED INTO THE NEW ACCOUNT; AND DECLARING AN EMERGENCY. The Charter Rule was suspended and the foregoing ordinance passed by the following vote: Jones, Turner, Dumphy, Hawkins, Kennedy and Zarsky voting, "Aye"; Gulley, absent. 29. Amending the Zoning Ordinance upon application of Mr. David May by granting a revised special permit for the existing Minit Man oil change operation with the addition of a freestanding sign located on the west side of Airline Road approximately 300' north of Kimbrough Drive on Lot 5, Block 6, Koolside Addition. The application to which this zoning applies was a request for a change of zoning from "R -1B" One -family Dwelling District with a Special Permit for the Minit Man oil change operation to "B-1" Neighborhood Business District. The public hearing on this case was held on March 2, 1983. The applicant indicated the request was for the purpose of erecting a freestanding sign 17'32" high and 32 square feet in area for the purpose of advertising oil change specials and the price of oil. The City Council closed the public hearing and discussed granting a revised special permit, however, the decision was delayed until the Planning Commission could consider the request for the sign only, which sign is less in height and size than the "B-1" zoning applied for would allow. The Planning Commission reviewed this request by the City Council on March 15, 1983, and after discussion of the merits of a freestanding sign in this area and the structure itself, they recommended denial of a revised special permit on the basis that the building itself is sufficient signage to identify this use. The Staff has consistently recommended against freestanding lighted signs on special permits in close proximity to this area. The City Council considered a site plan on an application at the corner of Kimbrough and Airline Roads on March 16, 1983, and denied a freestanding sign. (The applicant withdrew his request for a special permit and the ordinance was not considered.) o*o*o*o*o*o*o*oxo*o*o* Mayor Jones announced the public hearing on the following matter: tutes Regular Council Meeting March 30, 1983 Page 17 30. Consideration of the Water Master Plan for the City of Corpus Christi. Assistant City Manager Lontos explained that the Water Master Plan includes recommendations that will: (1) correct the low water pressures; (2) take care of future growth of the City; and (3) provide for operating efficiency. Mr. Lontos first explained the first portion of the plan which would divide the system into two separate service levels in order to correct the low water pressures. He stated that the Black E Veatch report also recommended the replacement of the Baldwin Water Main, noting that a contract was approved the preceding week for this project; rehabilitation of the existing 36" transmission from the plant to Savage Lane Reservoir; a new transmission line to the downtown area; and the rehabilitation of the Caldwell Street Ground Storage Reservoir. Mr. Lontos then explained that in order to take care of growth of the City, the report recommended additional ground storage at Holly and Everhart with possibility of major transmission main to the south side from the plants various distribution system improvements and transmission to Padre and Mustang Islands. Mr. Lontos then referred to the operating efficiency of the system and informed the Council that the consultants recommend the following: (1) abandonment of a ten million gallon ground storage reservoir at Savage Lane; (2) a comprehensive study of the Cunningham Treatment Plant to determine rehabilitation needs or whether the plant should be retired from service and determine the timing for the next expansion for the O. N. Stevens Plant; (3) provide a central monitoring and control facility; and (4) that no additional overhead storage be constructed since the system is best served by ground storage. Mr. Lontos explained that the plan was presented to the Planning Commission and they suggested that the Off-site Utilities Extension Committee also review the plan. He stated that both the Planning Commission and the Utilities Committee agree that it is a good plan with two additional suggestions about the Island area and the Calalien area. He explained that the Staff will study their recommendations and provide a report at a later date. He concluded his remarks by stating that the Staff recommends approval of this plan, following which they will move forward with projects to implement the plan which will take care of the City's needs until the year 2002 at an estimated total cost of $50 million. There were no comments from the audience on the Water Master Plan. A motion was made by Council Member Hawkins seconded by Council Member Kennedy and passed un A motion was made by Council Member Zarsky for the City of Corpus Christi be adopted; seconded and passed unanimously. that the hearing be closed, animously. that the Water Master Plan by Mayor Pro Tem Turner; .nutes Regular Council Meeting March 30, 1983 Page 18 0*0*0*0*0*0*0*0*0*0*0 Mayor Jones announced the public hearings on three zoning applications. 31. Application No. 183-9, Mr. Exiquio Barrera, III: for a change of zoning from "R -1B" One -family Dwelling District to "13-1" Neighborhood Business District on Lot 3, Block 3, Gardendale Subdivision, located on the south side of Bonner Drive, approximately 225' west of Everhart Road. Assistant City Manager Tom Utter informed the Council that in response to the twenty-two notices of the public hearing that were mailed, four in favor and one in opposition had been returned. He stated that the Planning Commission recommends denial but that a special permit be granted for a parking lot. He stated that a site plan had been submitted to the Planning Commission which they have approved. Mr. Utter also informed the Council that the Planning Staff recommends denial and in regard to the site plan submitted, the Traffic Engineering Department opposes the proposed driveway entrance from Bonner Street. Mr. Larry Wenger, Director of Planning, located the area on the zoning and land use map, described the land use in the surrounding area, pointing out that there are residential uses across the street, and showed slides of the area. Council Member Hawkins also expressed opposition to the exit onto Bonner Street which is a residential street. Mr. Wenger explained that the Staff recommends that there not be the exit on Bonner but that instead, a driveway be shared by several businesses at this location. Council Member Zarsky stated that he did not anticipate any problem with the traffic exiting on Bonner because it would decrease traffic on Everhart. Mayor Pro Tem Turner stated that she objected to the site plan because it contemplates the retention of a residential structure on the same piece of property. Mr. John Martinez of Tropic Real Estates and Associates appeared on behalf of the applicant and explained the various buildings and the plans for the parking lot with the location of the driveway which is not as near the intersection of Everhart as the Planning Commission would like. He explained that Mr. Barrera's restaurant business has increased greatly; the parking was designed for three businesses; the existing parking is inadequate; and there is only an eleven foot clearance between this shopping center and the next shopping center. He stated that the narrow driveway is very dangerous. He stated that the reason for the retention of the residential structure and garage is to establish an office and provide storage. Mr. Zarsky stated that he is opposed to this because of the constant traffic that would be generated for the neighbors adjacent to the lot and agreed with the recommendation that the driveway should be located near the "B-1" lutes Regular Council Meeting March 30, 1983 Page 19 zoning which fronts on Everhart. Mr. Wenger explained that the Planning Commission did not recommend a special permit for the portion of the lots on which the house is located. Speaking in opposition to the zoning request was Ms. Hazel Lord, 4825 Bonner Drive, who stated that her property is located adjacent to the lot on which the parking lot is proposed. She stated that she feels that the parking lot would create a disturbance in their neighborhood and noted that Bonner Street already has a lot of traffic including school children walking to and from school. She stated that although she is the only one present, other neighbors are opposed to this also. Mrs. Lord informed the Council that the drainage is also very poor and the parking lot would increase that problem. Mr. Utter informed the Council that a 6' solid or wooden fence would be required between the subject and Mrs. Lord's property. Also speaking in opposition to this zoning request was Mrs. Lord's daughter who also resides on Bonner Street. A motion was made by Council Member Gulley that the hearing be closed, seconded by Council Member Dumphy and passed unanimously. Mr. Utter reviewed the recommendation of the Planning Commission and the Planning Staff and mentioned the possibility of locating the access to the parking lot behind Der Weinerschnitzel which the Staff would prefer so that the cars entering and exiting would be further from the residential property. Council Member Zarsky agreed that this would be preferable but stated that the special permit should include all of the property. Council Member Gulley stated that he was of the opinion that the entire parking lot would be an encroachment into a residential neighborhood and he was opposed to the application. A motion was made by Council Member Zarsky that Application No. 183-9 be tabled until a different site plan has been submitted; seconded by Council Member Dumphy; and passed by the following vote: Jones, Dumphy, Kennedy and Zarsky voting, "Aye"; Gulley voting, No; Turner and Hawkins, absent at the time the vote was taken. Mr. Utter assured the Council that Mrs. Lord will be contacted at the time this is considered again. o*o*o*o*o*o*o*o*o*o*o*o 32. Application No. 383-3, Mr. E. G. Estrada: for a change of zoning from 11R -1B" One -family Dwelling District to "A-2" Apartment House District on Lots 13 through 16, Block 9, Patrick Webb Subdivision, located on the southeast corner of Marguerite and 21st Streets. ..mutes Regular Council Meeting March 30, 1983 Page 20 Mr. Utter informed the Council that in response to the twenty-one notices of the public hearing, one in favor and five in opposition had been returned and that the Planning Commission and Planning Staff both recommend approval. No one spoke in regard to this application. A motion was made by Council Member Gulley that the hearing be closed, seconded by Council Member Dumphy and passed unanimously. A motion was made by Council Member Dumphy that the zoning of "A-2" be approved for Application No. 383-3; seconded by Council Member Gulley; and passed unanimously by those present and voting. City Secretary Read polled the Council for their vote and the following ordinance was approved: 32. ORDINANCE NO. 17549: AMENDING THE ZONING ORDINANCE UPON APPLICATION OF E. G. ESTRADA BY CHANGING THE ZONING MAP IN REFERENCE TO LOTS 13 THROUGH 16, BLOCK 9, PATRICK WEBB SUBDIVISION, FROM "R -1B" ONE -FAMILY DWELLING DISTRICT TO "A-2" APARTMENT HOUSE DISTRICT; AND DECLARING AN EMERGENCY. The Charter Rule was suspended and the foregoing ordinance passed by the following vote: Jones, Turner, Dumphy, Gulley, Kennedy and Zarsky voting, "Aye"; Hawkins, absent at the time the vote was taken. 0*o*0*0*0*0*0*0*0*0*0* 33. Application No. 383-6, Mr. Dudley Chatham: for "R-1 B" One -family Dwelling District with "SP" Neighborhood Business District on the east 285 Carroll Place Unit 7, located on the north approximately 850' west of Carroll Lane. a change of zoning from Special Permit to "B-1" feet of Lot 3, Block 1, side of Holly Road, Assistant City Manager Utter informed the Council that in response to the eleven notices of the public hearing that were mailed, one in favor and none in opposition had been returned. He stated that both the Planning Commission and the Planning Staff recommend denial. Mr. Wenger located the area on the zoning and land use map, described the land use in the surrounding area and showed slides of the vicinity. Mr. Wenger explained the reason for the recommendation for denial stating that the Staff and the Planning Commission feel that this area should be used for multi -family dwellings rather than business purposes. He pointed out that the existing zoning on this property for a special permit would blend in with apartments and there are already a large number of business zoned property in the area at the intersections. ...flutes Regular Council Meeting March 30, 1983 Page 21 Speaking in favor of the application was the applicant, Mr. Dudley Chatham, who presented the Council with copies of a letter. He stated that he owns the shop called, "Photo Images" and the Planning Commission made the assumption that he wanted a change of zoning to improve his property values. He stated that this was not true because he does not plan any changes to the property but if he should want to sell the property, his clients would be very limited since there are very few photographers in the City. He expressed the opinion that this would not be suitable for residences. He also questioned why the existence of "B-4" zoning at the intersections should have any effect on his property at all. Council Member Kennedy suggested that the zoning of "R-2" with a special permit for the continuation of the operation of the shop be approved. Mr. Wenger indicated his concurrence and stated that "A-1" would also be preferable to the requested zoning. Council Member Kennedy pointed out that this would allow the continuance of the Photo Image Studio but the back portion could be developed for apartments. Mayor Jones stated that he did not believe he could approve the requested zoning strictly because of the possibility that the applicant might want to sell his property. Mr. Utter informed the Council that this property is included in the Staff's Cabaniss Field Study Area; the Study has not been completed yet; Mr. Wenger stated that it would be recommended for a multi -family dwellings; and Mr. Chatham might wish to accept "A-1" zoning on the portion of his property included in the request, and after the City's study has been completed, the City would initiate zoning changes to recommend apartment zoning for this entire area. He explained that this would eliminate the necessity for Mr. Chatham to reapply for change of zoning on the remainder of his property. A motion was made by Mayor Pro Tem Turner that the hearing be closed, seconded by Council Member Zarsky and passed unanimously. A motion was made by Mayor Pro Tem Turner that the zoning of "A-1" be granted on this portion with the continuation of the special permit for the operation of the business; seconded by Council Member Zarsky; and passed by the following vote: Jones, Turner, Gulley, Kennedy and Zarsky voting, "Aye"; Dumphy and Hawkins, absent at the time the vote was taken. City Secretary Read polled the Council for their vote on the ordinance and it passed as follows: ... Butes Regular Council Meeting March 30, 1983 Page 22 33. ORDINANCE NO. 17550: AMENDING THE ZONING ORDINANCE UPON APPLICATION OF DUDLEY CHATHAM, BY CHANGING THE ZONING MAP IN REFERENCE TO A PORTION OF LOT 3, BLOCK 1, CARROLL PLACE UNIT 7, FROM "R -1B" ONE -FAMILY DWELLING DISTRICT WITH "SP" SPECIAL PERMIT TO "A-1" APARTMENT HOUSE DISTRICT WITH A SPECIAL COUNCIL PERMIT MORE FULLY DESCRIBED HEREAFTER, FOR A PHOTOGRAPHY STUDIO AND DISPLAY WINDOW ON THAT PORTION OF THE PROPERTY FRONTING HOLLY ROAD WITH SIGNS IN ACCORDANCE WITH "AB" REGULATIONS AND A WAIVER OF THE STANDARD SCREENING FENCE REQUIREMENT, AS MORE PARTICULARLY DESCRIBED ON THE SITE PLAN, A COPY OF WHICH IS ATTACHED HERETO AND MADE A PART HEREOF, MARKED EXHIBIT "A"; AND DECLARING AN EMERGENCY. The Charter Rule was suspended and the foregoing ordinance passed by the following vote: Jones, Turner, Dumphy, Gulley, Kennedy and Zarsky voting, "Aye"; Hawkins, "absent". o*o*o*o*o*o*o*o*o*o*o*o There being no further business to come before the Council, on motion by Council Member Gulley, seconded by Council Member Zarsky and passed unanimously, the Regular Council Meeting was adjourned at 6:30 p.m., March 30, 1983. TO Mayor and City Council FROM SUBJECT Edward A. Martin, City Manager Budget Update and Adjustments City of Corpus Chr Date March 28, 1983 At the time the 1982-83 Budget for the City of Corpus Christi was being prepared, I indicated that the revenue estimates being used in the general fund, especially the sales tax estimates were very optimistic, and would have to be carefuly monitored for any changes in the economy. We managed our expenditures throughout the year in a manner to allow for late adjustments should difficulties arise. In November we reported that the sales tax revenue was significantly down from estimates and took some steps to begin making expenditure reductions, namely delaying some capital outlay and placing a selective freeze on positions_ At that time we discussed waiting until we saw the results of sales tax collections from the Christmas period to make the final predictions and adjustments. I am now prepared to make those predictions for the remainder of the fiscal year and to recommend general fund budget adjustments to satisfy the balanced budget objective. A very brief review of our overall financial situation at this time would be appropriate. A review of the December 31 monthly financial report indicates that overall the City continues on sound financial footing. Operating revenue for the gas system is less than estimated but this is offset by the cost of gas being less than the estimate. Airport revenues are less than estimated and will be offset by reducing the reserve in the fund. The water and wastewater systems are holding solid. The major area of concern is the general fund where we forecast that sales tax revenue will be approximately $3,000,000 to $3,200,000 less than the budget estimate. This is basically the amount of the increase that was projected over last year's sales tax collections. This shortfall in sales tax collections necessitates budget adjustments at this time to balance our 1982-83 budget but also means we must begin to consider and plan for the effect it will have on next year's budget. There are three things that must be considered in consideration of next year's budget: (1) We will start next year with revenue estimates $3,000,000 less than we would have normally planned on; (2) We must make adjustments that don't aggravate next year's budget, i.e. avoid one time savings, reductions in reserves, and deferments;and (3) We must begin to think in terms of program levels for 1983-84. As indicated the assignment before us at this time is to make budget adjustments totaling approximately $3,000,000. There are two basic ways to attack this problem: (1) making more revenue available to the general fund, or (2) reducing expenditures in the general fund or related funds i.e. revenue sharing. I will be proposing a combination of these two to make these adjustments. The goal - a combination of revenue and expenditure adjustments equal to $3,000.000. Budget Update and Adjustments Page 2 - March 28, 1983 Items Amount A. Actions taken todate and effect 1. Selected position freeze, continue for rest of year and use of these salary close-outs that result plus normal salary close-outs $ 675,000 2. Cut back on vehicles purchased through reductions on fleet 50,000 B. Expenditure reductions due to bid savings or alternative financing method 1, Payment for CNG conversion from operating savings instead of as capital item Subtotal $ 725,000 195,000 2. Alternative purchase method on landfill equipment 100,000 3. Savings on garbage truck purchase 65,000 4. Savings on gasoline purchases due to price reductions 90,000 5. Funding of Purchasing position through Stores Fund 11,000 C. Expenditure reductions - Eliminations 1. Eliminate the seven additional positions and related equipment we planned to initiate in the last half of year to increase our services in the Street Department 2. Eliminate two additional clerical positions we planned to implement the last half of the year in the Police Department 3. Eliminate miscellaneous heavy equipment purchases Subtotal $ 461,000 100,000 9,000 25,000 " Budget Update and Adjustments Page 3 - March 28, 1983 C. Expenditure reductions - Eliminations (continued) 4. Eliminate additional Animal Control $ 11,000 position 5, Further cut back on replacement of cars 25,000 6. Elimination of purchase of slope mower for Park Department 31,000 7. Reduction in miscellaneous capital outlay items in a number of departments 50,000 8. Delay or eliminate repair of Exposition Hall roof 80,000 9. Eliminate planned management study in Police Department 50,000 10. Reduce amount budgeted in developer participation funds from $400,000 to $175,000 225,000 11. Elimination of second fire truck acquisition 12. Eliminate traffic signal improvements planned at 9 intersections 13. Eliminate purchase of floor scrubbing machine and portable stage for Coliseum 14. Reduce contract park maintenance program from $20,000 to $5,000 15. Reduce general fund contribution to insurance fund D. Revenue adjustments 1. Utilize revenue in Hotel -Motel tax over estimate to fund partial operations of convention center 2. Re -program general fund reserve as budgeted to specific general fund items from its current contingency status 135,000 50,000 24,000 15,000 200,000 Subtotal $ 1,030,000 3. Re -program funds from Housing Finance and Industrial Development Corporation to appropriate expenditure accounts $ 200,000 450,000 100,000 Subtotal $ 750,000 Budget Update and Adjustments Page 4 - March 28, 1983 The adjustments listed total $2,966,000. I believe this adjustment offers the proper combination to balance this year's budget and yet protects us as we plan for next year. If these adjustments are made to expenditures as indicated it will mean the reprogramming of revenue sharing funds to the general fund, still almost exclusively for capital type projects. It should also be noted that these budget adjustments will reduce if not eliminate our flexibility for the remainder of the fiscal year. These adjustments and the causes that made them necessary require that we begin to plan for next year's budget in different ways. At the appropriate time it will be my recommendation that, depending on appraised values, any changes in trend for sales tax collection, etc., we should prepare a base level budget with a prioritized list of enhancements should revenue projections increase. Next year will also not be a year for any significant wage improvements. Our goal should be to maintain our work force with no layoffs, but to stabilize our wage level as much as possible. It is recommended that the City Council authorize budget adjustments in accordance with the list and in the manner previously shown in this memorandum. After the City Council has given tentative approval to a package of adjustments, we will prepare the necessary ordinances, etc., for your action.