HomeMy WebLinkAboutMinutes City Council - 05/20/1986PRESENT:
Mayor Luther Jones
Mayor Pro Tem Dr. Jack Best
Council Members:
David Berlanga, Sr.
Leo Guerrero
*Joe McComb
Frank Mendez
Bill Pruet
Mary Pat Slavik
Linda Strong
MINUTES
CITY OF CORPUS CHRISTI, TEXAS
REGULAR COUNCIL MEETING
MAY 20, 1986
2:00 P.M.
Acting City Manager Ernest Briones
City Attorney Hal George
Assistant City Secretary Dorothy Zahn
Mayor Luther Jones called the meeting to order in the Council Chamber of
City Hall.
The invocation was given by Council Member Mendez, following which the
Pledge of Allegiance to the Flag of the United States was led by Miss Lindsay
Lambert of Chula Vista Fine Arts Elementary School.
Assistant City Secretary Zahn called the roll and verified that a quorum of
the Council and the required Charter Officers were present to conduct the
meeting.
A motion was made by Council Member Pruet that Council Member McComb be
excused from the Regular Meeting; seconded by Mayor Pro Tem Best; and passed
unanimously.
A motion was made by Council Member Slavik that the minutes of the Regular
Meeting of May 6, 1986, be approved as presented; seconded by Mayor Pro Tem
Best; and passed unanimously.
* * * * * * * * * * * * *
Mayor Jones presented retirement plaques to the following employees:
Name:
Department: Years of Service:
Estevan Garcia Engineering 30
*Martha Chadd Finance 29
Elisero Guerrero Transit 33
*Unable to attend meeting.
MICROFILMED
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* * * * * * * * * * * * *
Mrs. Betsy Lambert stated that the students of Chula Vista Fine Arts
Elementary School had prepared a magazine "Pot of Gold" and would like to
present it to the Council. Miss Lindsay Lambert, Miss Katherine Lambert, and
Mr. William Terral, who designed the cover of the magazine, presented copies to
the Council.
* * * * * * * * * * * * *
Mayor Jones and Council Member Pruet presented Certificates of Commendation
to the following for business of the month: W. L. Dinn & Co., Inc., small
business, Mr. Loyd Neal Jr., Chief Executive Officer; Corpus Christi Area
Teachers Credit Union, medium business, Mr. David V. Whitehurst, Chief Executive
Officer; and Southwestern Bell Telephone Company, large business, Mr. Ron
Maples, District Manager.
* * * * * * * * * * * * *
Mayor Jones announced the bid opening on the following project:
Gollihar Road Water Storage Tank: The proposed work includes minor
repairs, sandblasting and painting of the interior and exterior of the
tank, and modifications to the balcony and ladder system to meet current
OSHA requirements. Funds for this work are available in the Water Division
Operating Budget.
Assistant City Secretary Zahn informed the Council that one of the bids had
been received in a City department; it had been opened and resealed by this
department; and mailed through interoffice mail to the City Secretary's Office.
She stated that no one in the Engineering Department or City Secretary's Office
has seen the bid. The Council, on the advice of City Attorney George, ruled
that the bid should be opened and read.
Assistant City Manager James K. Lontos opened and read bids from the
following companies: George Kountoupes Painting Co.; Northwest Bridge & Tank
Co.; Peacock General Contractors; Tenyer Coatings, Inc.; and Travis Industrial
Painters.
Mayor Jones stated that the bids would be tabled for 48 hours for tabula-
tion and recommendation pursuant to the requirements of the City Charter.
* * * * * * * * * * * * *
Mayor Jones announced a report from the Harbor Lights Committee.
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Regular Council Meeting
May 20, 1986
Page 3
Mr. Harry Plomarity stated that the committee is ready to officially launch
a fund raising project for the lighting of the harbor bridge; the highway
Department will officially act on this next week; and they plan to raise $50,000
through private donations.
Mr. Lev Prichard then presented a check in the amount of $1,000 to Mr.
Plomarity.
Mr. Plomarity thanked Council Members Strong and Berlanga and members of
the Central Business District for their involvement in this project. He stated
that this will be an attraction to Corpus Christi unequal to any other City.
Council Member Strong stated that funds were available from the State for
this project and Representative Hugo Berlanga was very helpful in obtaining them
for this purpose.
* * * * * * * * * * * * *
Mayor Jones called for confirmation of the following Board & Committee
appointments:
a.
Coastal Bend Health Facilities Development Corporation:
(Term to 4/1/88; all reappointments)
Jack Solka
Jacob Munoz
Nancy Bowen
b. Commission on Literacy:
Educational Institution:
Lupe Rangel
Robert D. Campbell
Katherine Conoly
Jo Sturm
David Bonilla
(3 -year terms to 6/01/89)
Jaime L. Capelo, Jr.
Nancy Snouffer
Educational Institution: (2 -year terms to 6/1/88)
Paul Cameron
Rheba A. Jones
Dr. Veronica Guerra
Ester Reed
Janet Harper
Other Organizations: (3 -year terms to 6/1/89)
Gary Gutman
Cecil Burney
Jane Kratzig
Mary Gleason
Barbara Silverman
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Other Organizations: (2 -year terms to 6/1/88)
Oralia M. Rios
Joe Cohn
Gladys W. Neu
Marcia Lawson
Norman Stewart
Jane Kratzig, CHAIRMAN (Designated by the Mayor and confirmed by the
Council)
A motion was made by Council Member Guerrero that the appointments be
confirmed; seconded by Council Member Mendez; and passed unanimously.
* * * * * * * * * * * * *
A motion was made by Council Member Guerrero that the following action from
the workshop session be approved; seconded by Council Member Mendez; and passed
unanimously:
Directing the Planning Commission to move forward with their adopted
procedure and prepare the comprehensive plan as per the charter. The
Planning Commission will consider input from the public including CC'90.
* * * * * * * * * * * * *
Mayor Jones called for consideration of the following consent motions,
items 1 through 7.
1. Granting easements to Corpus Christi Office Building Limited Partnership,
owner of the Government Plaza, to authorize minor encroachments of the
building and parking garage into the public rights-of-way of Mesquite,
Mann, and North Chaparral Streets adjacent to Lots 1, 2, 10, and 12, Block
27, Beach Portion, with the provision that the easements will terminate if
the buildings are removed. A fee of $500 is recommended for the easement
grants.
2. Accepting the Parker Park Improvements and Community Center project and
authorizing final payment of $21,884 to J. H. Chapman Construction Company.
This project, which is being funded from 8th and 9th Year Community
Development Block Grant Funds, provided for the construction of a 3,700
square foot community center and a 14 space parking lot in Parker Park.
The total cost of the work performed is $202,698.
3. Accepting the H.E.B. Tennis Center Court Repairs and authorizing final
payment of $4,042.76 to Coastal Plains Sales and Service, Inc. The total
cost of the work performed on this project, which is being funded by the
Park Department Operating Budget and Park Bond Funds, is $40,427.62.
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4. Approving the following actions on the IH -37 Utility Adjustments, Phase A
project:
a. Change Order No. 5 in the amount of $30,656.36 be approved which
reconciles final unit bid item quantities, authorizes hydromulch
seeding of property where easements were acquired, and authorizes
payment of $12,074 as settlement of two claims submitted by the
contractor for extra work.
b. The project be accepted and final payment of $100,708.33 be authorized
to Claude Chapman Construction Co., Inc.
The total cost of this project, which provided for the relocation of 12"
and 36" water lines crossing IH -37 near Sharpsburg Road to clear future
interstate highway construction, is $841,834.11. The cost of the work is
reimbursable by the State of Texas.
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$$bt44//Uddd//I/Dtli/dlhlkllX0t8/lfd4/lldchiJddilddl/XWkAlo¢& b&//MbkXJ/Ot41t
Otdt46t1 *Withdrawn - See page 6.
6. Authorizing the use of $49,500 of the remaining funds from the Water Meter
Exchange Program for the purchase of 3,000 additional water meters. This
will conclude the purchase of residential meters for the Water Meter
Exchange Program. Upon installation, a total of 40,000 meters will have
been replaced.
7. Amending Motion No. M86-0132 and adjusting ground rental rates at Corpus
Christi International Airport to 9.25 cents per square foot per year for
improved and 3 cents per square foot per year for unimproved land; and
adjusting fuel flowage fees to 6.25 cents per gallon. All other provisions
remain unchanged.
Council Member Mendez referred to item 5, approving plans for receipt of
bids for Gateway Park Subdivision Sanitary Sewers. He stated that CDBG funds in
the amount of $150,000 are to be used for this project and he does not recall
this appropriation being approved from CDBG funds. He stated that funding
should be from the Sanitary Sewer Bond Fund and that CDBG funds should be used
in areas of extreme need.
Mr. Lontos explained that the Council would not be appropriating money from
CDBG at this time; it was the staff's desire that this project be partially
funded with CDBG funds; and after receipt of bids, a funding decision could be
made.
Mr. Kelly Elizondo, Director of Housing and Urban Development, stated that
funds were not specifically set aside for this project, but rather, funds in the
amount of $200,000 were designated for sanitary sewer projects.
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Council Member Mendez stated that there are other areas that are more
blighted where this money could be used, and Council Member Strong countered
that this is also a blighted area.
Mr. Elizondo reiterated that $200,000 was set aside for these types of
projects and were not specifically identified.
Acting City Manager Briones stated he would review funding to see if it
would be possible to fund this project through the Sanitary Sewer Bond Fund and
this item would be listed on the agenda next week.
There were no comments from the audience; a motion was made by Council
Member Guerrero to approve items 1 through 4, 6 and 7; seconded by Council
Member Pruet; and passed unanimously.
* * * * * * * * * * * * *
Mayor Jones called for consideration of the Consent Ordinances, items 8
through 15a; there were no comments from the audience; Assistant City Secretary
Zahn polled the Council for their vote; and the following ordinances were
approved.
8. ORDINANCE NO. 19315
AMENDING COMPENSATION ORDINANCE NO. 8127 BY DELETING SECTION 709, CITY MANAGER
COMPENSATION/EMPLOYMENT BENEFITS; AND DECLARING AN EMERGENCY.
The Charter Rule was suspended and the ordinance passed as follows: Jones,
Best, Berlanga, Guerrero, Mendez, Pruet, Slavik, and Strong voting "aye"; McComb
absent at the time the vote was taken.
9. ORDINANCE NO. 19316
REPEALING ORDINANCE NO. 16831, DATED JANUARY 20, 1982, AND TRANSFERRING THE
FUNDS ESTABLISHED BY THE TRUST FUND TO THE GENERAL FUND; AND DECLARING AN
EMERGENCY.
The Charter Rule was suspended and the ordinance passed as follows: Jones,
Best, Berlanga, Guerrero, Mendez, Pruet, Slavik, and Strong voting "aye"; McComb
absent at the time the vote was taken.
10. ORDINANCE NO. 19317
REPEALING ORDINANCE NO. 19238; RETAINING SUSAN BAERG EPSTEIN, LTD. AS CONSULTANT
FOR PURCHASE OF AUTOMATED SYSTEM FOR THE CORPUS CHRISTI PUBLIC LIBRARIES;
APPROPRIATING $15,000; AND DECLARING AN EMERGENCY.
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Page 7
The Charter Rule was suspended and the ordinance passed as follows: Jones,
Best, Berlanga, Guerrero, Mendez, Pruet, Slavik, and Strong voting "aye"; McComb
absent at the time the vote was taken.
11. ORDINANCE NO. 19318
CLOSING THE HEARING ON ALLEYWAY IMPROVEMENTS FOR THE FOLLOWING ALLEY: GRAY
VILLAGE ADDITION, NORTH OF BLOCK 3, FOR 300 LINEAR FEET BEHIND OMAHA APPLIANCE
COMPANY AND TV CHANNEL III PROPERTIES; FIXING A LIEN AND CHARGE, THE MANNER AND
TIME OF PAYMENT AND COLLECTION; AND DECLARING AN EMERGENCY.
The Charter Rule was suspended and the ordinance passed as follows: Jones,
Best, Berlanga, Guerrero, Mendez, Pruet, Slavik, and Strong voting "aye"; McComb
absent at the time the vote was taken.
12. ORDINANCE NO. 19319
APPROPRIATING $6,500 OUT OF 220 STREET
PUBLIC ALLEY IN BLOCK 3, GRAY VILLAGE
DECLARING AN EMERGENCY.
The Charter Rule was suspended and the
Best, Berlanga, Guerrero, Mendez, Pruet,
absent at the time the vote was taken.
13. ORDINANCE NO. 19320
BOND FUND
ADDITION,
ordinance
Slavik, and
FOR PAVING A PORTION OF A
AND FOR TESTING FEES; AND
passed as follows: Jones,
Strong voting "aye"; McComb
AMENDING ORDINANCE NO. 19279, DATED APRIL 22, 1986, GRANTING A SPECIAL PERMIT
FOR A DENTAL LABORATORY UPON APPLICATION OF TOMMY CUMMINS, BY CORRECTING THE
LEGAL DESCRIPTION TO READ LOT 16, BLOCK 22, WINDSOR PARK UNIT 4; AND DECLARING
AN EMERGENCY.
The Charter Rule was suspended and the ordinance passed as follows: Jones,
Best, Berlanga, Guerrero, Mendez, Pruet, Slavik, and Strong voting "aye"; McComb
absent at the time the vote was taken.
14. SECOND READING
AMENDING CHAPTER 35, OIL AND GAS WELLS, SECTION 35-100, STORAGE FACILITIES, OF
THE CITY CODE, TO REQUIRE THAT EACH OIL AND GAS SEPARATOR OPERATING AT A
PRESSURE LESS THAN 250 PSI BE EQUIPPED WITH A PRESSURE RELIEF SAFETY DEVICE AND
EACH OIL AND GAS SEPARATOR OPERATING AT A PRESSURE OF 250 PSI OR GREATER BE
EQUIPPED WITH AT LEAST TWO PRESSURE RELIEF SAFETY DEVICES, ONE OF WHICH MUST BE
A PRESSURE RELIEF SAFETY VALVE; PROVIDING FOR SEVERANCE; AND PROVIDING FOR
PUBLICATION.
The ordinance was read for the second time and passed to third reading as
follows: Jones, Best, Berlanga, Guerrero, Mendez, Pruet, Slavik, and Strong
voting "aye"; McComb absent at the time the vote was taken.
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15. THIRD READING - ORDINANCE NO. 19321
AUTHORIZING AND DIRECTING THE CITY MANAGER TO EXECUTE A CONTRACT BETWEEN THE
CITY OF CORPUS CHRISTI AND E.H. MOORE HOMES, INC. FOR THE ANNEXATION OF
APPROXIMATELY 10.93 ACRES OF LAND BEING OUT OF LOTS 23 AND 24, SECTION 6, FLOUR
BLUFF AND ENCINAL FARM AND GARDEN TRACTS, NUECES COUNTY, TEXAS; FINDING ALL OF
SAID LAND TO LIE ENTIRELY WITHIN THE EXTRATERRITORIAL JURISDICTION OF THE CITY
OF CORPUS CHRISTI, TEXAS, ADJOINING, CONTIGUOUS, AND ADJACENT THERETO; PROVIDING
FOR SEVERABILITY.
The ordinance was read for the third time and passed as follows: Jones, Best,
Berlanga, Guerrero, Mendez, Pruet, Slavik, and Strong voting "aye"; McComb
absent at the time the vote was taken.
15a. RESOLUTION NO. 19322
INVITING THE CITY OF KEELUNG, TAIWAN, TO BECOME A SISTER CITY OF THE CITY OF
CORPUS CHRISTI, TEXAS, AND CONVEYING THE WARMEST REGARDS AND DEEPEST FRATERNAL
SENTIMENT OF THE PEOPLE OF CORPUS CHRISTI TO THE PEOPLE OF KEELUNG; AND
DECLARING AN EMERGENCY.
The Charter Rule was suspended and the ordinance passed as follows: Jones,
Best, Berlanga, Guerrero, Mendez, Pruet, Slavik, and Strong voting "aye"; McComb
absent at the time the vote was taken.
* * * * * * * * * * * * *
Mayor Jones called for consideration of the following item:
16. Authorizing the City Manager to negotiate a solid waste resource recovery
contract with JAM -TEX-MEX Corporation, said contract to be in accordance
with the request for proposals approved by the City Council on November 26,
1985, and subject to the condition that negotiations be completed and said
contract be approved by the City Council and signed by September 30, 1986;
and further authorizing negotiations with Montaney Power Corporation/Energy
Transfer Incorporated for a similar four month period if JAM -TEX-MEX
Corporation withdraws from negotiations or if a signed contract with
JAM -TEX-MEX Corporation is not achieved by September 30, 1986. Four
proposals were received, and a committee of City staff is recommending
selection of JAM -TEX-MEX Corporation as first choice and Montaney Power
Corporation/Energy Transfer Incorporated as second choice, based on review
of the proposals, interviews, and research by the committee.
Assistant City Manager Bill Hennings stated that the Council reviewed a
solid waste disposal study prepared by a staff committee in 1984 and approved
the recommendations in that study. The Council authorized Requests for
Proposals for resources recovery project with two criteria; one, cost should not
be increased; and two, that the City retain the ability to use the landfills
when necessary.
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Mr. Hennings stated that four proposals were received January 27, 1986; the
proposals were reviewed and measured against the criteria; and a thorough
analysis was made. He stated that interviews were conducted on March 13 with
three firms; references were checked; and a conclusion was made that the economy
was not favorable in 1984 for a project of this type. He stated that based on
the history of other projects in the country, cost will be high, usually ten
times more than the cost of regular garbage. He stated that many companies did
not bid because the City has an inexpensive landfill and low energy costs.
He stated that staff is recommending that the Council authorize the
negotiation of a contract with Jam -Tex-Mex Corporation. He stated that their
proposal was the most complete and thorough, and they have already purchased a
site next to the landfill. He stated that they propose a compost operation
which is advantageous in that it does not pose any pollution problems like
incinerators do and it would take advantage of sewer sludge which currently
makes up about seven to eight percent by weight of the input to the City's
sanitary landfills.
Mr. Hennings stated that the recommendation is to proceed with negotiations
for a contract to be submitted to the Council for a resource recovery operation
according to the criteria set out in the request for proposals, subject to the
condition that a contract be completed and signed by September 30, 1986. He
stated that if Jam -Tex-Mex withdraws from negotiations or if a signed contract
is not achieved by September 30, 1986, then negotiations commence with Montaney
Power Corporation/Energy Transfer Incorporated for a similar four month period
to attempt to achieve a contract.
Council Member Slavik inquired if there would be an odor from this
operation.
Mr. Hennings stated that that is a concern; the entire operation will be
enclosed; Jam -Tex-Mex has assured the staff that there will not be an odor
problem; but the staff will need better assurance than just their word.
Council Member Berlanga inquired if the garbage would be separated before
it goes through the process.
Mr. Hennings explained that they would use all of the garbage; it would
produce no residue; and there would be no outside storage. Mr. Hennings then
explained that garbage would go through a shredder if an incinerator process
were to be used.
Council Member Pruet asked what was the City's current garbage tonnage, and
Mr. Hennings stated that it is estimated to be 500 - 550 tons per day.
Council Member Pruet noted that the proposal requires a minimum of 500 tons
per day and inquired if the City would have to pay the difference if the minimum
is not reached.
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Mr. Hennings stated that that is customary, but through the negotiation
process, they will try to eliminate that.
Mayor Jones stated that he felt a compost system would cause odor.
Mr. Hennings stated that this was researched and there are techniques that
can be used to control odor, and this will be addressed in the negotiations.
Mayor Jones inquired if the staff felt the City should invest time and
money into the project and if it held sufficient promise, and Mr. Hennings
replied in the affirmative.
Council Member Berlanga asked what the total investment of the City would
be, and Mr. Hennings stated that the City would have zero investment -- just
staff time.
A motion was made by Council Member
by Council Member Strong.
Guerrero to
approve
Mayor Jones called for comments from the audience.
the
item;
seconded
Mr. Benny Martinez, 1525 Antigua, representing SECO, stated that SECO would
like an opportunity to participate in the negotiations.
Mr. Hennings stated that there were
compared to Jam -Tex-Mex and Montaney. He
operations, Montaney is the strongest firm
differences in the SECO proposal as
stated that in terms of incinerator
that uses that approach.
Mayor Jones inquired that if negotiations are not successful, could this
project be put on a competitive basis, and Mr. Hennings stated that it would be
the Council's decision.
Council Member Berlanga clarified that the basis of the staff's decision
was that Jam -Tex-Mex uses a compost operation, not incinerator, and that their
proposal was more thorough.
Council Member Guerrero inquired if the fact that Jam -Tex-Mex had purchased
the adjacent property to the landfill had any influence on the staff's decision,
and Mr. Hennings stated that that was part of the completeness of the proposal.
In response to a question from Council Member Guerrero, Mr. Ernest McGhie,
President, Jam -Tex-Mex Corporation, stated that he purchased the property for
$230,000.
Mayor Jones called for comments from the audience.
Mr. Ervin Dietz stated that the staff should be commended for their work on
this project.
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Mr. Clay Moore stated that it would be possible to obtain methane out of
the compost in addition to fertilizer.
Mr. McGhie stated that he has been studying the process to obtain methane
and when he reaches a point of conclusion, he will put this process in motion
and prove that garbage can be processed profitably and safely in the community.
Mr. McGhie stated that he will also produce cardboard. He stated that he is
looking forward to working with the City and feels this will be a great benefit
to the City.
Mayor Jones inquired if sludge could be forced through a pipeline to Mr.
McGhie's facility, and Mr. McGhie stated that he understood it would be trucked
to the property and put through the process, but this could possibly be
arranged.
Council Member Guerrero inquired if his products would be shipped to Saudi
Arabia, and Mr. McGhie stated that there is a request from Saudi Arabia for this
and also requests from California, Jamaica, and several other areas.
Mayor Pro Tem Best inquired why Mr. McGhie chose Corpus Christi as the
location for his company, and Mr. McGhie stated that Corpus Christi is a very
charming, seaport City and his company needed to be in close proximity to port
facilities.
There were no further comments; the motion to approve item 16 passed
unanimously.
* * * * * * * * * * * * *
17. Consideration of an appeal of the Building Standards Board order concerning
the building at 2861 Lawnview. (Attachment #18)
Mr. Ezequiel P. Elizondo, Director of Housing and Urban Development,
informed the Council that the attorney representing the owner of this building,
Mr. Herbert Hawkins, Jr., had contacted the City Secretary's office by telephone
and requested a delay of this item due to the fact that he is out of the City in
court.
Mr. Adan Sedillo, Assistant to Mr. Hawkins, confirmed that they would like
to have the appeal delayed.
A motion was made by Council Member Guerrero that this appeal be delayed
one week; seconded by Council Member Slavik; and passed unanimously.
* * * * * * * * * * * * *
18. Consideration of an appeal of the Building Standards Board order concerning
the building at 1919 Mestina.
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Mr. Elizondo explained the actions taken in regard to this property,
stating that they had received a complaint on the condition of the building; the
staff identified it as a substandard structure; an on-site inspection was
conducted; a notice was sent to the owners of record by certified letter; and
the notice includes the specific violations that need to be corrected.
He stated that if actions are not taken to comply, his department proceeds
with the required notification, including publication of the appropriate notices
in the newspaper. He provided the dates on which these procedures were followed
in connection with this particular property.
Mr. Elizondo continued by stating that the case was heard by the Building
Standards Board on March 14, 1986, and they unanimously adopted the staff's
recommendation that the owner be given 30 days to have the building vacated and
an additional 30 days to start repairs or demolition. He explained that if
repairs were started, an additional 90 days would be allowed to complete the
repairs to City Code standards. He stated that staff feels that the Board's
ruling was correct and then showed slides of the house in question depicting its
condition and deterioration. He stated that during the hearing before the
board, a representative appeared and the board granted a delay.
Mr. Daniel Garcia, co-owner of the building, informed the Council that this
piece of property contains a home which was constructed in the late 1920's or
early 1930's; an operation of Loaves and Fishes was located in the neighborhood
for some time; vagrants started using the house and deterioration occurred; but
since Loaves and Fishes has relocated, there has been no problem with vagrants.
Mr. Garcia continued by stating that he did not agree that he should have
to comply with the requirements of bringing the foundation of the house up to
Code; redoing the interior walls of the house; and installing a new roof.
He then asked that the Council either concur with the staff recommendation
and grant those exceptions, or grant him an extension of two years in which to
bring the house up to Code. He indicated that he did not have the money to do
so at this time, and assured the Council that he has no intention of renting it
or allowing it to be occupied.
Council Member Strong pointed out that the Council has been concerned about
the large number of substandard houses in this City and expressed the opinion
that it is imperative that the City Council not allow substandard housing to
continue to exist.
Mayor Jones expressed the opinion that two years is too long a period of
time, and Council Member Slavik asked Mr. Garcia if he could correct the most
obvious violations in a shorter period of time. Mr. Garcia stated that he did
not think so.
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Regular Council Meeting
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Page 13
Mr. Elizondo stressed that the house is in violation of several sections of
the Code, but one of the key items is the foundation; the photographs indicate
that the beam system is inadequate, and staff feels that the foundation should
be addressed before any other repairs are made to the house. He agreed that
bringing the house into compliance with the Code would be a major effort. Mr.
Elizondo also stated that staff does not have the authority to waive all of the
items which Mr. Garcia feels should be waived. He noted that the owner could
have the house moved outside the City limits if he does not want to make the
repairs.
Council Member Mendez pointed out that the City had condemned 300
substandard homes; the Council is making a concerted effort to improve our City;
and he felt that this owner has already had 5 or 6 months to repair the house.
He suggested that 6 additional months should be the maximum extension.
Council Member Berlanga agreed that Mr. Garcia should be granted 6 months
to accomplish the urgent repairs, and if he has completed 50% of those repairs
at the end of that time, the Council might consider granting him an additional 6
months.
Mr. Elizondo explained that Mr. Garcia is very close to losing his
investment because he presently has an "R -1B" use in an area zoned "I-2", and if
he does not bring it up to Code, it is possible he would lose his right to
retain the house.
A motion was made by Council Member Mendez that Mr. Garcia be granted a
6 -month extension to bring the house up to Code; seconded by Council Member
Berlanga and passed by the following vote: Jones, Best, Berlanga, Guerrero,
Mendez, and Slavik voting "aye"; Pruet and Strong voting "no"; McComb absent.
* * * * * * * * * * * * *
Mayor Jones called for consideration of Ordinance 19, approving a contract
with the Corpus Christi Chamber of Commerce for the operation of the Business
Development Commission.
City Attorney Hal George stated that the Chamber of Commerce made a
presentation to the Council, at which time approval of the concept for Business
Development to be a part of the Chamber was given; the Chamber created bylaws
for a non-profit corporation for the Corpus Christi Area Economic Development
Corporation; the agreement is within the Council's legal authority; and the
purpose of the Corporation is to carry out the economic responsibilities of
Article V of the City Charter. The contract provides a cancellation clause of
90 days; it provides for records and reports; the first year provides for
payment of $240,000 by the City; and the second year provides for payment of
$250,000.
Mr. George stated that the City can appoint three directors and the
contract contains a provision that contributing governmental entities' directors
minutes
Regular Council Meeting
May 20, 1986
Page 14
will be according to direct proportion of each entity's contribution or as the
entities shall agree. He stated that at this time it is not known whether the
County can enter into the agreement; if they cannot, they could enter into an
agreement with the City. He stated that membership is open to members of the
Chamber of Commerce and those who make an annual contribution to the
Corporation. He stated that each member receives one vote for each $500
contribution.
He stated that five directors will be elected by the Chamber of Commerce,
three directors elected by the membership of the Corporation, and seven
directors will be designated by those governmental entities which have contracts
with the Corporation in proportion to their contribution. He stated that the
President will be selected by the Chamber of Commerce and is not a member of the
Board.
Mayor Jones noted that this is similar to the contract with the Tourist
Bureau, but in this case, the Council designate three directors. Mayor Jones
stated that he felt the Council should approve this, noting that the money
contributed by the private sector would probably exceed the City's contribution.
Council Member Berlanga stated that this is just a power structure; if the
City is primarily financing this Corporation, then the City should have the
majority of the votes on the board.
Mr. George stated that the by-laws provide that the City will have
directors in proportion to the money that is contributed.
Council Member Berlanga stated that the number of Directors appointed by
the City should be increased. Mr. Berlanga inquired if the Mexican Chamber of
Commerce is involved in this.
Mr. Jimmy Lyles, Director of the Chamber of Commerce, stated that the
Mexican Chamber of Commerce is not guaranteed a position on the Board.
Mr. George stated that if they contribute to the Corporation, they will
become a part of it.
Council Member Berlanga reiterated that the City will be the largest
contributor, yet all entities will only have seven directors while the Chamber
will have eight.
Mr. Lyles stated that the Council asked the Chamber to take this
responsibility; if they are responsible to carry out business development, then
they should have the authority to make those decisions. Mr. Lyles emphasized
that the governmental entities will appoint who they want, not the Chamber.
Council Member Berlanga inquired if the City has the right to have Council
Members on the Board, and Mr. Lyles replied that the Council has the right to
appoint three members and those three could be Council Members if it is so
decided.
riinutes
Regular Council Meeting
May 20, 1986
Page 15
Mayor Jones pointed out that this is a one-year contract; if the Council
decides it is not satisfactory, they do not have to renew it.
Council Member Pruet stated that the purpose of the contract is that there
is a need for a different and hopefully better look at the way we can address
the problem of economic and business development. He stated that this proposal
is the type of public/private partnership that is most effective; it is not a
matter of who controls the appointments, but if it will be effective. He stated
that this proposal is a very diligent attempt to address the matter; whether the
City receives three or four appointments is a moot point; and hopefully the
Council will look at who gets the benefits, which is the community, rather than
who gets the appointments.
Council Member Mendez referred to the Mexican Chamber of Commerce and
stated that this chamber represents small businesses. He asked that the Council
include a member of the Mexican Chamber of Commerce on the Board of Directors.
Mayor Jones asked how many persons were members of the Mexican Chamber of
Commerce, and Ms. Laura Garcia stated that there were 100.
Council Member Mendez emphasized that the Mexican Chamber of Commerce
represents small businesses and should be a part of the Board.
Council Member Mendez referred to page 4 of the contract regarding equal
opportunity employer and questioned the wording "..as a contractor to the
City.."
Mr. George stated that those words have been deleted.
Council Member Mendez inquired if the City has had any indication whether
the County and the Port will participate, and if not, then a workshop session
with these two entities should be held.
Mr. Lyles stated that a presentation would be made to the County tomorrow
morning and the Chamber feels that it is important for everyone to be satisfied
with the contract, because there must be a full partnership in economic
development.
Mr. Lyles stated that the Chamber of Commerce has 2,300 members; 80% of
that is small businesses with less than ten people; and the other areas,
Northside Business Association, Flour Bluff Business Association, and Padre
Island area, etc., must also be involved.
Council Member Mendez noted that the Mexican Chamber of Commerce has a
guaranteed position on the Board of Directors of the Chamber of Commerce and he
felt that of the five directors to be elected by the Chamber of Commerce to the
Business Development Corporation, one position should be guaranteed for the
Mexican Chamber of Commerce.
,,inutes
Regular Council Meeting
May 20, 1986
Page 16
Mr. Lyles stated that he has a problem with that because there are other
organizations that would like the same preferential treatment; i.e., Private
Industry Council, Northside Business Association, Flour Bluff Business
Association, etc. He stated that if this is the case, then eventually there
would be a Board with 50 people.
*Council Member McComb arrived at 4:20 p.m.
Council Member Guerrero referred to reports by the Corporation and inquired
if quarterly reports could be made, rather than only twice a year.
Mr. Lyles stated that this would pose no problem.
Council Member Guerrero inquired if confidential reports would be available
to Council Members, and Mr. George stated that those reports would be provided
to the City Manager.
Mayor Jones noted that making such information available to the Council
could cause problems.
Council Member Guerrero inquired if the City's affirmative action plan
would apply in this instance, and Mr. George stated that there is no specific
minority requirement, but it will provide for equal opportunity.
Council Member Guerrero inquired if there was a limit to the number of
members a corporation or company could buy.
Mr. Lyles stated that regardless of the number of memberships, the
Corporation can only elect three directors from the membership.
Council Member Guerrero inquired if audits would be internal or external.
Mr. Lyles stated that he is not sure of the technicalities, but the taxing
entity should have the authority to conduct audits at any time.
Mayor Jones inquired if the $500 membership fee would be considered a
donation.
Mr. Lyles stated that they have applied for 501c3 status, but if that is
not approved, it would be 501c6, which is a business write-off, but membership
could be routed through the Chamber of Commerce as 501c3.
Council Member Slavik suggested that the City's appointments be increased
by one or two and the Chamber's appointments be decreased.
Mr. Lyles reiterated that the Chamber feels that since they will have the
responsibility for the activity, they should have control. He stated that at
one time the Chamber of Commerce saved the Naval Air Station and in 1985 was
.ainutes
Regular Council Meeting
May 20, 1986
Page 17
successful in obtaining Homeport. He stated that during this time no one in
particular was selected to vote -- the results are what matters.
Council Member Slavik inquired if this was done purposefully, and Mr. Lyles
replied in the affirmative. He stated that if the City wants control of
Business Development, then the Council should leave things the way they are now.
He stated that they are trying to get private support and as a private
corporation, they feel they can raise the funds.
Mayor Jones noted that the City contributes $1 million towards tourism and
the Council has no control at all over the Tourist and Convention Bureau.
Council Member Pruet stated that he would like comments from Mr. Brodie
Allen, noting that this is his last week as Director of Business Development.
Mr. Allen stated that the Council should support this contract because of
competition. He stated that competition is intense, with cities doing almost
anything for economic development. He stated that his philosophy has been that
Texas and Corpus Christi are a good place to do business, and we have a good
workforce and productivity. He stated that this needs to be addressed and
something needs to be done, and this contract gives the City an opportunity to
do more than is being done now. Mr. Allen thanked the Council for the support
he has received during his tenure with the City.
Mayor Jones stated that there is no question as to where Mr. Allen's
efforts lie and stated that it has been a pleasure working with him.
Mrs. Nora Garcia, 1525 Greenwood, President—Elect of the Mexican Chamber of
Commerce, stated that the corporation is very unfair; it is wrong to use
taxpayers' money in this fashion; as Hispanics, they are the only ones who
understand the needs of other Hispanics; all of their members are small
businesses and they specialize in their needs; and the Chamber of Commerce does
not specialize in the needs of the Hispanic community. She stated that a $500
membership fee is too high; they cannot afford this; vote buying in association
with a governmental entity is wrong; and charitable contributions into business
development leads to corruption. She asked that the Mexican Chamber of Commerce
be guaranteed a position on the Board of Directors.
Council Member Slavik agreed that someone should be on the Board who is
interested in small business. She stated that the Council could agree that one
of their directors be a representative of small business. She stated that she
would be in favor of one of the City's directors being a representative of a
minority.
minutes
Regular Council Meeting
May 20, 1986
Page 18
Mayor Jones pointed out that at least one of the City's appointments would
be a Mexican -American.
Council Member Mendez stated that the Mexican Chamber of Commerce is a
service organization and the number of members is irrelevant. He stated that it
would be a disservice not to include them on the Board, noting that they could
play a vital role in providing information on procurement to small businesses.
Mayor Jones stated that there is a possibility that the Small Business
Administration will not continue in Corpus Christi. He stated that it bothers
him that it is felt that a small Mexican business can only be helped by the
Mexican Chamber of Commerce.
Council Member McComb noted that 95% of the business in this community is
small business and the majority of the Chamber of Commerce consists of small
businesses.
Council Member Strong verified that the Mexican Chamber of Commerce has a
seat on the Board of Directors of the Chamber of Commerce. She stated that the
Chamber of Commerce Board of Directors has the opportunity to appoint 5
individuals and the governmental entities have 7 appointments. She stated that
it is a very minimal amount on the Board of Directors so she feels that votes
cannot be bought. Council Member Strong stated that the City should move
forward on this contract and recognize that the community is trying to work
together.
Council Member Slavik stated that the $500 fee is high and many people will
not be able to afford this.
Mr. Lyles stated that in order to reach the appropriate levels of the
public sector, the fee needs to be set at $500.
Council Member Berlanga stated that the point made by Ms. Garcia is valid
and they should be guaranteed a position on the Board, noting that they could
influence and promote small business in Corpus Christi.
Council Member Mendez stated that the President of the Mexican Chamber of
Commerce is on the Board of Directors of the Chamber of Commerce. He stated
that the concern is for success of economic development and one appointment will
not make a difference in its success.
Mayor Pro Tem Best determined that 50% of the members of the Mexican
Chamber of Commerce are members of the Chamber of Commerce and dues are $100 for
a group and $150 for individuals. Dr. Best stated that he could see no reason
to hand-pick someone from the Mexican Chamber of Commerce to be on this Board.
He stated that since 50% of the Mexican Chamber of Commerce are members of the
Chamber of Commerce, he feels that they would be represented and that they
should use whatever political clout they have to get someone appointed.
ninutes
Regular Council Meeting
May 20, 1986
Page 19
A motion was made by Council Member Mendez that one of the members
designated by the Chamber of Commerce be an individual from the Mexican Chamber
of Commerce; seconded by Council Member Berlanga.
Mayor Jones noted that this would have to be acceptable to the Chamber of
Commerce.
The motion failed to pass as follows: Jones, Best, McComb, Pruet, Slavik,
and Strong voting "no"; Berlanga and Mendez voting "aye"; Guerrero absent at the
time the vote was taken.
Mr. Juan Gomez, 1615 Comanche, stated
the Chamber of Commerce to receive tax
venture, and if so, then the City should
service contract.
Mayor Jones asked if Mr. Gomez had
have been invited to participate in this,
that this contract is a mechanism for
dollars or it is a public/private
have advertised for proposals for a
any recommendations as to who should
and Mr. Gomez stated he did not.
Mr. Frank Gallardo, 4201 Dryer, stated that
the City does need business and
he is concerned that the west side is being left out.
There were no further comments on Ordinance 19; Assistant City Secretary
Zahn polled the Council for their vote as follows:
19. FIRST READING
AUTHORIZING THE EXECUTION OF A CONTRACT WITH THE CHAMBER OF COMMERCE FOR THE
OPERATION OF THE CORPUS CHRISTI AREA ECONOMIC DEVELOPMENT CORPORATION.
The ordinance was read for the first time and passed to second reading as
follows: Jones, Best, Guerrero, McComb, Mendez, Pruet, Slavik, and Strong
voting "aye"; Berlanga voting "no."
Mayor Jones called for consideration of Ordinance 20, second reading
regarding smoking prohibitions.
Mr. Nick Reyna, President of the Hotel/Motel Association, stated that the
Association is not against the ordinance in principal, but they do object to the
language of the ordinance regarding work areas. He stated that management
should be able to regulate their work areas without an ordinance behind them.
He stated he is also concerned about posting of signs. He stated that the
signage that is required is not compatible with the decor of most hotels and
will be very expensive. He stated that it would be almost impossible to make
the signs tamper -proof and with as many signs as will be required and the type
of sign, the cost will range from $40 to $70 per sign. He asked that this
section of the ordinance be reconsidered.
„inutes
Regular Council Meeting
May 20, 1986
Page 20
Mr. Reyna referred to Section 4b of the ordinance, which requires
development of a plan of compliance. He stated that this is a management
responsibility.
Mayor Jones suggested that Mr. Reyna meet with the city staff before third
reading of this ordinance.
Mr. Briones stated that this would be done and some changes to the
ordinance would probably be recommended.
In response to a question from Council Member Guerrero, Mr. Reyna stated
that the association is mainly concerned with signage requirements and the fact
that it addresses private work areas.
Mr. David Lindlie, Hershey Hotel, stated that he attended meetings with the
Restaurant Association regarding this ordinance. He stated that restaurants
would need few signs, but the signs present a major problem for hotels.
Dr. Marcello Rodriguez, Director of Occupational Health, stated that it is
important that each business have a plan of enforcement. He stated that he does
not understand the high prices quoted by Mr. Reyna, noting that hotels only have
to post signs at the restaurant level.
Mr. Reyna stated that the ordinance is very specific about the location of
the signs and the size of the signs. He stated that the prices he quoted were
quoted to him from different sign companies.
Mr. Clay Moore inquired if at his business, an arena, he could have a
section for smoking, and Assistant City Manager Bill Hennings stated that it
would have to be 100% non-smoking. Mr Moore stated that his customers would get
mad.
Mr. Hennings stated that the Citizens Advisory Health Board could discuss
the changes at their meeting scheduled for tomorrow and they might have some
recommendations.
Assistant City Secretary Zahn polled the Council for their vote as follows:
20. SECOND READING
AMENDING CHAPTER 23, HEALTH AND SANITATION, BY ADDING SECTION 23-74, SMOKING
PROHIBITIONS, OF THE CITY CODE, TO PROTECT CITIZENS BY PLACING RESTRICTIONS ON
SMOKING WITHIN THE CITY OF CORPUS CHRISTI; PROVIDING FOR SEVERANCE; AND
PROVIDING FOR PUBLICATION.
The Ordinance was read for the second time and passed to third reading as
follows: Jones, Best, Berlanga, Guerrero, McComb, Mendez, Pruet, Slavik and
Strong voting "aye.”
_.mutes
Regular Council Meeting
May 20, 1986
Page 21
A motion was made by Council Member McComb, seconded by Council Member
Strong and passed unanimously, that the Council recess at 4:32 p.m.
* * * * * * * * * * * * *
Mayor Jones called for consideration of the second readings of the Bayfront
Associates Ltd. leases for a Water Front Festival Market and an amendment to the
amended ground lease agreement.
Assistant City Manager Utter gave background information regarding the
leases. He stated that both leases have basically the same remuneration terms
to the City and he has provided the Council with revenue projections. He stated
that both contracts were published in the newspaper and the cost, approximately
$25,000 for all three readings, will be paid by Bayfront Associates.
Mayor Jones asked when revenue to the City would begin, and Mr. Utter
stated that it would commence the first day of the first month of the sixth year
of the date of occupancy. He stated that he did three projections. He stated
that assuming the market area opened in 1988 and the boat slips in 1987 the 20
year total, including sales tax on gross sale and boat slips and advalorem
taxes, would be approximately $25 million and $83.9 million for 40 years. He
stated that this is with no inflation from 1988.
He stated that another projection has the same assumptions except that the
gross sales would increase by 10% per year and boat slips would increase by 1%
per year and the consumer price index by 2% per year. He stated that under this
projection, the total for a 20 -year period would be $25.7 million and $117.9
million for a 40 year period.
Council Member Slavik inquired if Bayfront Associates would pay for the
cost of I.H. 37, and Mr. Utter stated that BFA pays full cost and the City does
not reimburse.
Council Member Slavik referred to the City's liability and inquired if it
were a total of $625,000 on land and $2 million on water.
Mr. Utter stated that the City is not liable for reimbursement of cost of
Tract 2 with interest; the City has no liability for the cost of IH 37
realignment, other than the utilization of Aubrey Street as right-of-way; the
City has liability for crosswalks and signalization at the intersection of
rerouted IR 37 and Shoreline at an estimated cost of $200,000; the City is to
endeavor to place a seawall overlook in the Breakwater Park at an estimated cost
of $50,000 to $75,000; he does not consider IH 37 landscaping and the Harbor
Bridge Lighting Project to be a liability; and there is no liability to the City
to commit funds funds from the Reinvestment Zone for boat slips.
Council Member Slavik inquired if there would be a $2 million liability in
the water from tax increment financing.
..inutes
Regular Council Meeting
May 20, 1986
Page 22
Mr. Utter stated that BFA would be reimbursed out of the tax increment of
the water festival market for a portion of the cost of the breakwater park.
Council Member Slavik inquired if a performance bond would be a requirement
in the contract, and Mr. Utter stated that staff feels that before construction
commences, BFA should show financial capacity. He stated that this means a
definitive written loan commitment from a financial institution.
Mr. George stated that there is no objection to including a performance
bond as a part of the contract.
Council Member Slavik referred to air rights, and Mr. Utter stated that
staff feels it is incorrect to not charge for air rights. He stated that for
the two block area, the City would receive compensation and the Council has
approval of layout of the market.
Council Member Slavik referred to the property description, and Mr. Utter
stated that this would be provided Friday. (relating to Block 11, Beach Portion)
Mrs. Slavik referred to a letter from the Transit Authority in which it
states that there should be a master plan for transportation, and Mr. Utter
again stated that the Council has full approval of all aspects for the market.
Council Member Slavik stated that certain City boards should review this
before the Council acts on the contracts.
Council Member Slavik stated that, in her opinion, the delay of rents on
Tract 2 is not warranted.
Mr. Utter stated that the market area carries the area in the water. He
stated that the rental made from the boat slips will not amortize a breakwater
and breakwater park; therefore, the market must carry the area in the water and
because of that, the first year of stabilized operation will not occur until the
fifth or sixth year, plus this gives an added incentive to the developer to do
the project and have a financially viable project. He stated that every new
business has a start—up period.
Council Member Slavik stated that she would like to delete the section
referring to self insurance.
Mr. George stated that this is included because the Council passed an
ordinance that recognizes the insurance problems and it may not be possible for
BFA to get insurance.
Council Member Slavik referred to personal property taxes and stated that
Article 3201 of the Property Tax Code and the City Charter prohibits the promise
of no liens; therefore, this section should be corrected.
ninutes
Regular Council Meeting
May 20, 1986
Page 23
Mr. George stated that this section ensures that there will be no personal
property tax lien on the property the City will receive. He stated that the
intent is that the personal tax is not attached to the real estate.
Council Member Slavik stated that under the contract, BFA could construct a
hotel.
Mayor Jones stated that they would not construct a hotel unless the Council
approved it.
Mrs. Slavik stated that she did not understand why hotel restrictions were
eliminated from the contract.
Council Member Slavik stated that according to her information, Tract 3 has
been enlarged by one—half acre.
Council Member Slavik referred to the letter of credit and questioned why
this only applies to the first half of the project and not the entire project.
She stated that she sees nothing in the contract that would prohibit commercial
buildings in the water. She stated that the contract should include a clear
statement that no buildings will be in the water.
Council Member Slavik stated that reference to $1.2 million invested by BFA
should not be in the contract because of possible litigation and that this has
never been documented to the City.
Council Member Slavik stated that the contract provides for "forgiveness of
parking" and that City Boards should review this.
Council Member Strong stated that she had some questions for the staff
also, but she would provide these to them in writing with copies to the Council.
Mayor Jones called for comments from the audience.
Mrs. Pat Duaine stated that since this is a new contract, it should be
subject to a referendum. She stated that she objects to the use of IRB's to put
other people in business. She stated that the Council does not listen to the
people.
Mayor Jones inquired if IRB's are being used, and Mr. Utter stated that it
is not contemplated, but the City did pass an inducement resolution three years
ago for this project.
Council Member Slavik referred to Dock and Wharfage Bonds, and Mr. Utter
stated that he could not say whether they will be available or not.
Mrs. Patricia Suter, 1002 Chamberlain, provided the Council with a list of
her objections and questions. She stated that this contract requires a
referendum and she is prepared to call a referendum through petitions and that
minutes
Regular Council Meeting
May 20, 1986
Page 24
the petitions have already been prepared. She stated that her concern is for
environmental protection, and the Council should take a closer look at the
economical feasibility of this project. She stated that she is prepared to take
legal action on this issue.
Mr. Henry Berryhill, 231 Rosebud, stated that the contract provides no
architectural design, but that the Council will have approval. He stated that
in his opinion the Council will accept any reasonable design. He stated that
parking is not addressed in the contract; this project will not stand on tourism
alone and will need local support; and he is in favor of bayfront development,
but only with a master plan. He stated that this should be placed on a
referendum.
Mr. Jack Gordy, 6402 Weber Road, stated that the issue is the cost to the
taxpayers, noting that it has already cost money in staff and Council time.
Mr. Lewis Lovelace, 1549 Casa Grande, stated that the contract is new and
should be voted on by the citizens of Corpus Christi. He stated that the
Council is subjecting themselves to a recall election because of violations to
the City Charter.
Mr. Tom Grantland, 11041 Annaville Road, President, Audobon Society, stated
that feasibility studies indicated that the upland site would not work and that
the project would not be successful without the Aquarium, but now they are
saying it is feasible. He stated that the revenue projections by Mr. Utter are
questionable and the Council should not rely on City staff analysis. He stated
that according to the contract, the City is liable for utilities, $350,000 on
landscaping, and $200,000 for signalization. He stated that Mr. Utter deceives
the Council by saying that BFA will pay for the relocation of IH 37. Mr.
Grantland stated that the contract violates the Property Tax Code (referring to
liens on personal property).
Mr. Ed Notzon, 715 Upper Broadway, stated that he hoped the divisiveness
can be stopped. He stated that he questions whether the lease would provide
more jobs; he feels that tourist attractions can be created without the lease;
and he feels that the leases will create a legal responsibility for the City.
He stated that commercial buildings are not prohibited in the lease and that
this will not bring revenues to the City.
Mr. J.E. O'Brien, 4130 Pompano, stated that the lease still refers to
commercial facilities on the water; it also refers to financing through the tax
increment zone; he stated that the City has not appointed one member of the
Board to serve as Chairman of the Reinvestment Zone as required by the Tax
Increment Finance Act of 1981; and he referred to project costs, including
administrative costs, that should be listed, but this has not been done either.
Mr. O'Brien urged a referendum on the project.
Council Member Slavik stated that she is not against the project on land
but she is concerned about divisiveness and calling for a referendum through
:,inutes
Regular Council Meeting
May 20, 1986
Page 25
petitions. She stated that she has been trying to discourage the circulation of
petitions, but that those involved are going to do it.
Council Member Slavik made a motion that a referendum be held; seconded by
Council Member Berlanga.
Mayor Pro Tem Best inquired if the City does have a referendum, if the
Water Front Festival Market agreement would be considered a new contract, and
City Attorney George stated that for the purpose of an autonomous referendum, it
would not be.
Mayor Pro Tem Best inquired if the amended lease agreement was a new
contract, and Mr. George stated that a referendum is not required because the
lease was approved prior to the amendment to the Charter.
Dr. Best asked what damages the City would have, if the referendum failed
to pass.
Mr. George stated that it would be a breach of contract and BFA could ask
for loss of profits.
Dr. Best asked what would happen if a referendum was held as a result of
petitions and it failed to pass, and Mr. George stated that the City would have
a better defense in that case.
Mayor Jones inquired if a petition could force the City to abrigate a legal
contract and Mr. George stated that he did not think so.
Dr. Best stated that it is a losing situation either way, noting that if
the City does cancel the contract, BFA would probably sue.
Mr. George stated that that is a fact the opposition is ignoring; i.e., the
City has a contract with liabilities and responsibilities. He stated that there
are threats of lawsuits from both sides.
In response to a question from Dr. Best, Mr. George stated that the losses
under a claim of loss of profits could be considerable.
Council Member Berlanga stated that the concept is good, but he has always
doubted the contract. He stated that the people should have a voice in the
matter.
Mayor Jones stated that elections have been based on this issue. He stated
that he is concerned about the City's liability and the Council should be aware
of this.
Mayor Jones stated that the original contract was written to provide the
new Council an opportunity to cancel the contract within a certain period of
time after being elected.
..inutes
Regular Council Meeting
May 20, 1986
Page 26
Council Member Slavik expressed the opinion that the contract for the land
is a new lease, and Mr. George agreed that it is a new lease; the land is in the
Central Improvement District and is exempt from the election procedure.
Mr. George continued by stating that he is experiencing problems in
discussing legal questions that might eventually be included in a lawsuit. He
stated also that he has a question in regard to conducting a referendum at a
cost to the taxpayers of approximately $35 to $40 thousand if it is strictly an
advisory election. He stated that such an election may not even be legal.
Council Member Slavik pointed out that several people have addressed the
economic feasibility of the revised project and stated that the Council has
asked the staff to obtain a written report from Laventhol & Horwath indicating
that this new location will be economically feasible.
Council Member McComb stated that he shared Mayor Pro Tem Best's concerns
about the City's legal responsibilities, but that basically he has no problem in
submitting this question to a referendum, if this did not result in a lawsuit
that might be filed by the other party who has a contract with the City. He
also pointed that a lease of land in the Central Improvement District is not
subject to a referendum. He continued by stating that the Council needs to go
ahead and approve this ordinance on second reading today. He mentioned the fact
that there are groups in this City who are opposed to everything, and creating
divisiveness in the City works both ways. Mr. McComb concluded that the Council
should not continue to discuss this matter in open session when there are two
groups present who might be contemplating a lawsuit against the City.
Mayor Jones stated that he will vote against the motion calling for a
referendum. He stated that this will have a positive impact on the community
and will reduce taxes, and in his opinion, this project is in the best interest
of the City.
The motion to call a referendum failed to pass as follows: Jones,
Guerrero, McComb, Mendez, Pruet, and Strong voting "no"; Berlanga and Slavik
"aye"; Best abstaining.
Assistant City Secretary Zahn polled the Council for their vote on the
following ordinances:
21. SECOND READING
AUTHORIZING THE EXECUTION OF A WATERFRONT FESTIVAL MARKET GROUND LEASE AGREEMENT
WITH BAYFRONT ASSOCIATES, LTD.
The ordinance was read for the second time and passed to third reading as
follows: Jones, Best, Guerrero, McComb, Mendez, Pruet, and Strong voting "aye";
Berlanga and Slavik "no."
ninutes
Regular Council Meeting
May 20, 1986
Page 27
22. SECOND READING
AUTHORIZING THE EXECUTION OF AN AMENDED GROUND LEASE AGREEMENT WITH BAYFRONT
ASSOCIATES, LTD.
The ordinance was read for the second time and passed to third reading as
follows: Jones, Best, Guerrero, McComb, Mendez, Pruet, and Strong voting "aye";
Berlanga and Slavik "no."
Mr. Utter stated that the third reading would be on the agenda in
approximately two weeks in order to give the staff time to answer all of the
questions that were presented today.
* * * * * * * * * * * * *
Mayor Jones announced the public hearing on Lobo Lane street closing.
Mr. Gerald Smith, City Engineer, displayed a transparency of the area to be
closed. He stated that this is between Carline Alley and Sam Rankin Street and
the request to close has been made in connection with the proposed expansion of
the Jackson -Flowers Funeral Home. Mr. Smith stated that this is an unpaved
alley and contains a 2" gas line; the staff has no objection to the closure
provided a cul-de-sac is constructed; and commitments have been made by the City
to relocate the gas line and construct sidewalks on Lobo through CDBG funds.
There were no comments from the audience; a motion was made by Council
Member Pruet that the hearing be closed; seconded by Council Member Slavik; and
passed unanimously.
A motion was made by Council Member Pruet that the closure be approved
subject to the conditions as outlined by Mr. Smith; seconded by Council Member
Strong; and passed unanimously.
Mr. Smith stated that the first reading of the ordinance effecting the
closure would be on next week's agenda.
* * * * * * * * * * * *
24. Application No. 486-3, Mr. and Mrs. John Davis: For a change of zoning
from "R -1B" One -family Dwelling District to "B-1" Neighborhood Business
District on Lot 1, Block 2, Washington Addition, located at the southeast
corner of Angela Drive and West Point Road. (Recessed for 2 weeks -
05/06/86)
Mr. Utter stated that in response to the 23 notices mailed, 2 were returned
in favor, and 5 were returned in opposition. He stated that the Planning Staff
and Planning Commission recommend approval; the 20% rule is in effect;
therefore, passage of the ordinance will require 7 affirmative votes. He stated
that this case was delayed in order to give the applicant time to meet with
property owners.
.,inutes
Regular Council Meeting
May 20, 1986
Page 28
Mr. Larry Wenger, Director of Planning, displayed 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 stated that "B-1" is recommended because the area is surrounded
by "B-1."
Mr. Ruben Bonilla, representing the applicant, distributed a map to the
Council and described the "B-1" uses in the surrounding area. He stated that no
specific use is planned for the property, but the Davis' would like an
opportunity to have proper zoning. He stated that it is a compatible use and is
consistent with the surrounding area and will assist the Davis' to earn a living
and increase the revenue base for the City through sales tax. Mr. Bonilla
provided the Council with a list of over 150 people in the area who support the
zoning change.
Mr. Bonilla stated that the opponents are under the impression that a store
will be built that sells alcoholic beverages and he feels that as long as it is
not prohibited by specific City ordinance, the Council cannot address that
situation. He stated that once the property is zoned properly, Mr. Davis will
consider the economic viability of different businesses, but at this point, he
cannot do anything. Mr. Bonilla stated that he tried to set up a meeting with
the opposition, but he received no response to his letter to Mr. Noyola.
Council Member Strong pointed out that the zoning application listed the
reason for the change was for a liquor store.
Mr. Bonilla replied that that is not definite, pointing out that plans have
not been prepared. He stated that the argument regarding a liquor store carries
no weight when consideration is given to the fact that there are stores in the
immediate area selling wine and beer. He stated that the applicant is agreeable
to "B-1" zoning with restrictions.
Council Member Strong inquired if he is willing to accept "B-1" that
prohibits alcohol, and Mr. Bonilla replied that if the Council wants to deny Mr.
Davis an opportunity to make a living, he will have no choice.
Council Member Guerrero stated that an application for a liquor license had
been filled out by Mr. Davis, and Mr. Bonilla stated that he was unaware of
that.
Mr. Utter explained that under "B-1" zoning a liquor store would be
allowed, but not a bar.
Council Member McComb stated that the Council's responsibility is
compatible use in terms of the adjacent zoning. He stated that if the Council
does not like the fact that "B-1" zoning allows liquor stores, then the Council
should re-evaluate "B-1" zoning classification and eliminate their use in "B-1."
He stated that "B-1" is consistent with the surrounding zoning.
ciinut e s
Regular Council Meeting
May 20, 1986
Page 29
Mr. Bonilla stated that what the Council is doing gives certain implication
of selective enforcement of the zoning laws. He stated that if the Council
imposes morals on a vacant lot, what will they do with the existing properties
that do sell liquor.
Council Member Guerrero stated that "B-1" is not compatible with the area;
80% of the area is residential; there are 4 schools within walking distance; and
this is the area that is volatile in drugs and substance abuse. He stated that
it is his opinion that the applicant wants to take advantage of a poor
situation. He stated that he cannot support "B-1", but "B-1" without liquor
would be a good compromise.
Council Member Mendez stated that additional "B-1" zoning would increase
the problem that exists in that neighborhood. He stated that people drink
outside of different establishments on the street.
Mr. Bonilla stated that the application is for "B-1" zoning; there will not
be a liquor store; and he was not advised that the 20% rule was in effect.
Discussion followed among the Council about the possibility of granting a
special permit for "B-1" uses excluding a retail liquor store.
The Council then recessed at 8:02 in order to allow the opposition time to
discuss the special permit.
The Council reconvened at 8:14 p.m.
Mr. Richard Jackson, 4721 Angela, stated that the opposition does not
oppose "B-1", but would like to exclude all alcoholic beverages.
A motion was made by Council Member Guerrero that "B-1" be denied and in
lieu thereof grant a special permit for "B-1" uses, excluding the sale of all
alcoholic beverages. The motion was seconded by Council Member Pruet.
Mr. Frank Gallardo, 4201 Dyer, stated that he is not opposed to "B-1", but
is opposed to the sale of alcoholic beverages.
Mr. Dickie Valdez, 4353 Molina, stated that he is in favor of the special
permit, but questioned how the City could ensure that no alcoholic beverages
would be sold.
Mayor Jones explained that whatever is built on the property would require
a Certificate of Occupancy and only compliance with the special permit would
allow this certificate to be issued.
Council Member Berlanga stated that Mr. Guerrero's motion was not fair and
that he would be in favor of a special permit for "B-1" uses excluding only a
liquor store.
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Regular Council Meeting
May 20, 1986
Page 30
Mr. Bonilla stated that the motion made by Mr. Guerrero is not acceptable
to him because it imposes prohibition in the community. He stated that the
original restriction of no liquor store is acceptable though. Mr. Bonilla
inquired if the Council was going to close all stores such as Maverick Markets
and HES that sell beer and other alcoholic beverages.
Council Member Guerrero stated that the motion is in lieu of the requested
zoning.
The motion failed to pass as follows: Best, Guerrero, Mendez, and Slavik
voting "aye"; Jones, Berlanga, McComb, Pruet, and Strong voting "no."
A motion was made by Council Member McComb that the hearing be closed;
seconded by Council Member Slavik; and passed unanimously.
A motion was made by Council Member Berlanga that a special permit be
granted for "B-1" uses excluding a liquor store and consumption of alcoholic
beverages on premise.
Council Member Guerrero stated that the application as it is now is exactly
like Mr. Berlanga's motion.
Mr. Utter stated that Mr. Berlanga's motion would allow a Maverick Market
type operation; it would deny a liquor store; and it would deny a restaurant
selling alcoholic beverages. He stated that a bar is not allowed under "B-1"
uses.
Council Member Guerrero stated that if the motion passes, the Council would
have circumvented the application, which requires 7 affirmative votes.
Mr. Utter stated that the ordinance will require 7 affirmative votes, but
the motion to bring forth the ordinance requires a majority vote.
Mr. Berlanga's motion was seconded by Council Member Strong and passed as
follows: Jones, Best, Berlanga, Pruet, and Strong voting "aye"; Guerrero,
McComb, Mendez, and Slavik voting "no."
* * * * * * * * * * * * *
25. Application No. 486-8, Corpus Christi Land Venture Associates: For a
change of zoning from "R -1B" One -family Dwelling District to "B-4" General
Business District on Lots 3 and 4, Block 1, King's Crossing Unit 1, Phase
3, located on the southside of Yorktown Boulevard, approximately 355' west
of Cimmaron Boulevard, on the west side of Cimmaron Boulevard,
approximately 300' south of Yorktown Boulevard.
Mr. Utter stated that in response to the 2 notices mailed, one was returned
in favor and none in opposition. He stated that the Planning Commission and
Planning Staff recommend approval.
„inutes
Regular Council Meeting
May 20, 1986
Page 31
There were no comments from the audience; a motion was made by Mayor Pro
Tem Best to close the hearing; seconded by Council Member Pruet; and passed
unanimously.
Assistant City Secretary Zahn polled the Council for their vote and the
following passed:
ORDINANCE NO. 19324
AMENDING THE ZONING ORDINANCE UPON APPLICATION OF CORPUS CHRISTI LAND VENTURE BY
CHANGING THE ZONING MAP IN REFERENCE TO LOTS 3 AND 4, BLOCK 1, KING'S CROSSING
UNIT 1, PHASE 3 FROM "R -1B” ONE -FAMILY DWELLING DISTRICT TO "B-4" GENERAL
BUSINESS DISTRICT; AND DECLARING AN EMERGENCY.
The Charter Rule was suspended and the ordinance passed as follows: Jones,
Best, Berlanga, McComb, Mendez, Pruet, Slavik, and Strong voting "aye"; Guerrero
absent at the time the vote was taken.
* * * * * * * * * * * * *
26. Application No. 486-7, Mr. Shawn Bodine: For a change of zoning from "R-2"
Multiple Dwelling District to "R -1C" One -family Dwelling District on Lots 1
through 9, Block 4, Crestmont Unit 10R, located along the south side of
Persimmon Street, at the southeast corner of Persimmon Street and Crestlea
Drive.
Mr. Utter stated that in response to the 33 notices mailed, 7 were returned
in favor and none were returned in opposition. He stated that the Planning
Commission and Planning Staff recommend approval.
There were no comments from the audience; a motion was made by Mayor Pro
Tem Best that the hearing be closed; seconded by Council Member Pruet; and
passed unanimously.
Assistant City Secretary Zahn polled the Council for their vote and the
following passed:
ORDINANCE NO. 19325
AMENDING THE ZONING ORDINANCE UPON APPLICATION OF SHAWN BODINE BY CHANGING THE
ZONING MAP IN REFERENCE TO LOTS 1 THROUGH 9, BLOCK 4, CRESTMONT UNIT 10R, FROM
"R-2" MULTIPLE DWELLING DISTRICT TO "R -1C" ONE -FAMILY DWELLING DISTRICT; AND
DECLARING AN EMERGENCY.
The Charter Rule was suspended and the ordinance passed as follows: Jones,
Best, Berlanga, McComb, Mendez, Pruet, Slavik, and Strong voting "aye"; Guerrero
absent at the time the vote was taken.
* * * * * * * * * * * * *
ninutes
Regular Council Meeting
May 20, 1986
Page 32
27. Application No. 486-13, Mr. R. C. Allen: For a change of zoning from "AB"
Professional Office District and "R -1B" One -family Dwelling District to
"B-4" General Business District on Block A, Park Terrace and 5.65± acres
out of Lot 1, Oso Farm Tracts, located on the west side of Everhart Road,
between Lamont Street and McArdle Road.
Council Member Strong stated that 4 members of the neighborhood association
were at the Council Meeting but had to leave and they wanted to state that they
had discussed this case with Mr. R.C. Allen and they have no opposition.
There were no comments from the audience; a motion was made by Council
Member McComb to close the hearing; seconded by Council Member Slavik; and
passed unanimously.
Mr. Utter explained that the Planning Commission and Planning Staff
recommend denial of "B-4", and in lieu thereof, grant a special permit on a
portion of the property for a shopping center with "8-1" uses in accordance with
the approved site plan and ten conditions.
Council Member Pruet commended Mr. R.C. Allen and Mr. Johnny Cotten for
working with the neighborhood in conjunction with this zoning case.
Assistant City Secretary Zahn polled the Council for their vote and the
following was approved:
ORDINANCE NO. 19326
AMENDING THE ZONING ORDINANCE UPON APPLICATION OF R.C. ALLEN BY GRANTING A
SPECIAL COUNCIL PERMIT FOR A SHOPPING CENTER LIMITED TO "B-1" NEIGHBORHOOD
BUSINESS DISTRICT USES ON BLOCK A, PARK TERRACE AND 6.62 ACRES OUT OF LOT 1, OSO
FARM TRACTS; AND DECLARING AN EMERGENCY.
The Charter Rule was suspended and the ordinance passed as follows: Jones,
Best, Berlanga, Guerrero, McComb, Mendez, Pruet, Slavik, and Strong voting
"aye."
* * * * * * * * * * * * *
28. RECONVENE PUBLIC HEARING TO DISCUSS THE 12TH YEAR COMMUNITY DEVELOPMENT
BLOCK GRANT PROGRAM. (Recessed Public Hearing - 5/13/86)
Mr. Utter stated that in addition to what was submitted to the Council in
the packet, there were some additional requests. He stated that Community
Action Agency requested a building for the Head Start Program and the staff
would like to support that request in the amount of $40,000. He stated that
there was a request for Laguna Park Improvements and the staff is recommending
$6,000 for this park.
..inutes
Regular Council Meeting
May 20, 1986
Page 33
Council Member McComb stated that Community Action Agency was to purchase
the building last year and this did not happen and now the City will be taking
money out of rehabilitation for this purpose.
Mr. Utter stated that the City did provide CDBG funds for the purchase of
the land; Community Action Agency was to obtain several buildings to place on
the land; they did obtain one building for a community center; they were not
able to obtain the Naval Air Station Building for the Head Start Program,
although this was not their fault; and he has no reason not to recommend this.
Council Member Berlanga stated that the services provided by Head Start are
valuable.
Council Member Guerrero made a motion to Approve the proposed 12th Year
Community Development Block Grant Program and directing the Staff to submit the
allocation request based on the figures approved; seconded by Council Member
Berlanga; and passed unanimously. (A copy of said program is attached hereto
and made a part of the minutes.)
* * * * * * * * * * * * *
Acting City Manager Briones stated that the meetings of the different
corporations would be delayed one week.
* * * * * * * * * * * * *
Mayor Jones called for petitions from the audience.
Mr. George Dawson, President, Seamen's Center, stated that the Center would
like the use of the property at the corner of Fitzgerald and Mesquite Streets
for the Center. He stated they would like to construct a facility for use as a
Seamen's Center; the building would be donated to the City after completion; Mr.
James Rome, Architect, will be designing the building; and it will be a
Victorian reproduction to complement Heritage Park which is across the street.
Mrs. Edwin Singer, 3642 Aransas, stated that there is no conflict with the
location of the Seamen's Center and she feels the City should support this group
as they are doing an excellent job.
Mr. James Rome displayed a drawing of the proposed building. He stated
that this will provid an opportunity to extend the boundaries of Heritage Park
which will improve the activities in that area. He urged the Council to support
this proposal.
Mayor Jones asked that this request be listed as an agenda item.
There being no further business to come before the Council; on motion by
Council Member Pruet; seconded by Council Member Mendez and passed unanimously,
the meeting was adjourned at 8:56 p.m., May 20, 1986.
/td
__flutes
Regular Council Meeting
May 20, 1986
Page 34
I HEREBY CERTIFY that the foregoing is a true and correct copy of the
Minutes of the Regular Council Meeting of the City of Corpus Christi of May 20,
1986, which were approved by the City Council
/'`onnJune 3, 1986.
WITNESSETH MY HAND AND SEAL, this the iG 7'tlay of
9
Armando Chapa City Secretary
City of Corpus Christi, Texas
Luther Jon:F', MAYOR