HomeMy WebLinkAboutMinutes City Council - 02/02/1993I 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 February 2, 1993, which
were approved by the City Council on February 9, 1993.
WITNESSETH MY HAND AND SEAL, this the 25th day of February, 1993.
SEAL
Armando Chapa
City Secretary
MINUTES
CITY OF CORPUS CHRISTI, TEXAS
Regular Council Meeting
February 2, 1993
2 p.m.
PRESENT
Mayor Mary Rhodes
Mayor Pro Tem Edward Martin
Council Members:
Cezar Galindo
Dr. David McNichols
Betty Jean Longoria
Clif Moss
Mary Pat Slavik
ABSENT
Joe McComb
City Manager Juan Garza
City Attorney James R. Bray, Jr.
City Secretary Armando Chapa
Mayor Rhodes called the meeting to order in the Council Chamber of City Hall.
The invocation was delivered by Reverend E. F. Bennett, Retired Minister, following
which the Pledge of Allegiance to the Flag of the United States was led by Mayor Rhodes.
City Secretary Chapa called the roll and verified that the necessary quorum of the
Council and the required charter officers were present to conduct the meeting.
Mayor Rhodes called for approval of the Minutes of the Regular Council Meeting
of January 26, 1993, and there being no corrections, she proclaimed them approved as
presented.
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Mayor Rhodes opened the discussion on Item 1, motion accepting the resignation of
Council Member Leo Guerrero.
City Secretary Chapa polled the Council for their votes and the following passed:
Minutes
Regular Cc .cil Meeting
February 2, 1993
Page 2
1. M93-035
Motion accepting the resignation of Council Member Leo Guerrero.
The foregoing motion passed by the following vote: Rhodes, Galindo, Longoria,
Martin, McNichols, Moss, and Slavik voting "Aye"; McComb absent.
. s s s s s s s s s e s s
Mayor Rhodes called for consideration of consent motions, resolutions, ordinances
and ordinances from previous meetings on Items 2 through 8, and Council Members
requested that Items 2, 3, 4, 5, and 7 be withheld for discussion.
City Secretary Chapa polled the Council for their votes and the following were
passed:
6a. FIRST READING ORDINANCE
Authorizing the City Manager to execute a one-year lease agreement with two one-
year renewal options with The Executive Wet Set for rental of slip space for the
operation of water toy concessions on the northside of the Peoples Street T -Head
stem.
The foregoing ordinance passed on first reading by the following vote: Rhodes,
Galindo, Longoria, Martin, McNichols, Moss, and Slavik voting "Aye"; McComb
absent.
6b. FIRST READING ORDINANCE
Authorizing the City Manager to execute a one-year lease with two one-year renewal
options with Beach Rentals, Inc. for rental of slip space for the operation of water
toy concessions on the northside of the Peoples Street T -Head stem.
The foregoing ordinance passed on first reading by the following vote: Rhodes,
Galindo, Longoria, Martin, McNichols, Moss, and Slavik voting "Aye"; McComb
absent.
8. FIRST READING ORDINANCE
Authorizing the City Manager to execute an amendment to License (Lease) No.
DOT-FA78SW-1073 with the U.S. Department of Transportation, Federal Aviation
Administration, adding 400 feet by 1600 feet at the end of Runway 31 for the
installation, operation, and maintenance of the medium intensity approach lighting
system/runway alignment indicator light.
Minutes
Regular Cc .cil Meeting
February 2, 1993
Page 3
The foregoing ordinance passed on first reading by the following vote: Rhodes,
Galindo, Longoria, Martin, McNichols, Moss, and Slavik voting "Aye"; McComb
absent.
Relative to Item 2, a supply agreement for thirty police package sedans, Council
Member Slavik inquired whether a car pool system similar to the one at City Hall was
presently in use at the Police Department. City Manager Garza stated that a car pool
system would be tested in the future on marked police car units. He stated that this
experiment could strengthen preventive maintenance and enhance usage accountability
concerning the wear and tear of the units. Responding further, Mr. Garza stated that a
savings could be realized through the experiment and that the results would be available by
the upcoming budget period.
Council Member Martin stressed the importance of unit availability before
considering the cost of operating the units.
Responding to Council Member Moss, F. D. Glenn, Purchasing Agent, explained the
normal delivery time for this type of vehicle. He further stated that the recent dealership
transfer of Benson Chevrolet would not affect the performance of the bid.
Next, Police Chief Henry Garrett explained the accessories required for the units and
discussed unit availability to the City's police force.
Council Member Longoria inquired about Law Enforcement Trust Funds which are
supporting this purchase. City Manager Garza replied that this fund consisted of confiscated
drug monies.
Responding to Council Member McNichols, Chief Garrett also discussed the total
cost for each unit and the length of time the bid would remain open.
Pursuant to Item 3, purchase of a closed loop traffic control system, Council Member
Slavik inquired about the date the system would be installed.
Council Member McNichols inquired about the need for the system at the specified
intersections, and City Manager Garza explained the effects and the benefits of the system.
Further, Mr. Garza stated that he would provide a report to the Council which prioritized
the intersections in the City.
Council Member Moss commented that he supported the traffic control system.
Returning to Council Member Slavik's earlier inquiry, Mr. Garza stated that the
system would be installed in approximately three months.
Mayor Rhodes opened the discussion on Item 4, motion approving the purchase of
ten radar units for the Police Department.
Minutes
Regular C6..ci1 Meeting
February 2, 1993
Page 4
Council Member Moss inquired about the delivery date of the units, and Chief
Garrett explained the expected delivery date and the funding of the purchase.
Mayor Rhodes opened the discussion on Item 5, resolution expressing the City's
desire to host the American Bowling Congress Tournament in 1997.
Responding to Council Member Slavik, City Manager Garza explained the free rental
of the Bayfront Plaza Convention Center Exhibit Hall and related in-kind services.
Responding further to Council Member Martin, Mr. Garza stated that these funds would
be set aside on a yearly basis for use in 1997.
Responding to Council Member McNichols' comments about the benefits to the City
from the 1992 tournament, City Manager Garza discussed the need for an investigative
service in the community to obtain vital information regarding local events such as the
bowling tournament.
A brief discussion ensued, and it was the consensus of the Council that the return of
the American Bowling Congress Tournament in 1997 would be an important asset to the
community.
Mayor Rhodes called for comments from the audience.
Mr. Keith Arnold, Executive Director of the Corpus Christi Area Convention and
Visitors Bureau, commented favorably on the return of the bowling tournament in 1997, and
expressed appreciation to the Council for their support.
Mayor Rhodes expressed appreciation to the community for the hospitality extended
to the bowlers in the 1992 bowling tournament.
Mayor Rhodes opened the discussion on Item 7, ordinance authorizing a Joint Use
Parking Agreement with All Saints' Episcopal Church.
Council Member Martin inquired about the length of the contract. Mr. Tom Utter,
Director of Development Services, explained circumstances which would affect the contract's
length. Mr. Martin expressed concern that the use of City land would be restricted for 60
years. He further commented that, if the Lindale Senior Community Center required
expansion, a conflict would be present. Responding further, Mr. Utter discussed parking
requirements in the City's zoning ordinance pertaining to the Church. Mr. Martin stated
that he did not object to the contract, but objected to the contract's term.
Mr. Dee Haven, Senior Warden of the All Saints' Episcopal Church, briefly
commented on the history of the use of the land by the church, discussed the various groups
utilizing the parking lot, and stressed the importance of the parking lot to the church.
A brief discussion ensued regarding the contract term, and City Manager Garza
agreed with Council Member Martin's suggestion to periodically review City contracts in
relationship to potential plans the City may have.
Minutes
Regular Cote . i1 Meeting
February 2, 1993
Page 5
Mayor Rhodes requested that staff reexamine the term of the contract and provide
additional information to the Council before the second reading of the ordinance.
City Manager Garza polled the Council for their votes as follows:
2. M93-036
Motion approving a supply agreement for thirty police package sedans in accordance
with Bid Invitation No. BI -0108-93, with Benson Chevrolet, Corpus Christi, Texas, for
the estimated annual amount of $375,780 based on low bid. The term of the contract
will be for the 1993 model production year with an option to extend through the 1994
model production year subject to the approval of the seller and the City Manager,
or his designee.
The foregoing motion passed by the following vote: Rhodes, Galindo, Longoria,
Martin, McNichols, Moss, and Slavik voting "Aye"; McComb absent.
3. M93-037
Motion approving the purchase of a closed loop traffic control system in accordance
with Bid Invitation No. BI -0070-93 from Econolite Control Products, Inc., Houston,
Texas for the amount of $17,595 based on low bid meeting specifications. The
equipment will be installed by the Street Services Department on
Alameda/Glazebrook; Alameda/Texan Trail; Alameda/Everhart; and
Alameda/Robert. Funds are budgeted for 1992-93.
The foregoing motion passed by the following vote: Rhodes, Galindo, Longoria,
Martin, Moss, and Slavik voting "Aye"; McNichols voting "No"; McComb absent.
4. M93-038
Motion approving the purchase of 10 radar units from the following companies for
the following amounts, based on low bid meeting specifications for a total of
$17,104.00. Funds have been budgeted for FY 92-93 by the Police Department.
Texas State Distributors, Inc. Kustom Signals, Inc.
Beaumont. Texas Lenexa. Kansas
$13,304.00 $3,800.00
(Vehicle mounted radar units) (hand-held radar units)
GRAND TOTAL - $17,104.00
The foregoing motion passed by the following vote: Rhodes, Galindo, Longoria,
Martin, McNichols, Moss, and Slavik voting "Aye"; McComb absent.
Minutes
Regular Co, _.:il Meeting
February 2, 1993
Page 6
5. RESOLUTION NO. 021559
Resolution expressing the City's desire to host the American Bowling Congress
Tournament in 1997 and authorizing the City Manager to provide them with
$300,000; free rental of the Bayfront Plaza Convention Center Exhibit Hall; and
related in kind services, subject to appropriation.
The foregoing resolution passed by the following vote: Rhodes, Galindo, Longoria,
Martin, McNichols, Moss, and Slavik voting "Aye"; McComb absent.
7. FIRST READING ORDINANCE
Authorizing a Joint Use Parking Agreement, not to exceed sixty years, for a public
parking area in Lindale Park located at the corner of McClendon and South Staples
Street with All Saints' Episcopal Church.
The foregoing ordinance passed on first reading by the following vote: Rhodes,
Galindo, Longoria, Martin, McNichols, Moss, and Slavik voting "Aye"; McComb
absent.
Mayor Rhodes called for consideration from the Regular Agenda and opened the
public hearing on Item 9, closing and abandoning Avenue B from Middle Lane south 100
feet to the portion of Avenue B previously closed in 1967.
Mayor Rhodes called for comments from the audience.
Reverend Ted Eaton, Calallen Baptist Church, commented on the importance of the
closure and abandonment to his Church.
There was no opposition.
Council Member Moss moved to close the public hearing, seconded by Council
Member McNichols, and passed unanimously.
City Secretary Chapa polled the Council as follows:
9. ORDINANCE NO. 021560
Ordinance closing and abandoning a 60 foot wide by 100 foot long section of Avenue
B right-of-way adjacent to Lots 5 and 6, Block 19, and Lots 11 and 12, Block 14,
Calallen, subject to applicant paying fair market value for the street, replatting the
property within 180 days, and meeting specified conditions.
Minutes
Regular COL _ it Meeting
February 2, 1993
Page 7
An emergency was declared and the foregoing ordinance passed by the following
vote: Rhodes, Galindo, Longoria, Martin, McNichols, Moss, and Slavik voting "Aye";
McComb absent.
Mayor Rhodes opened the public hearing on Item 10, the annexation of 10.42 acres
of land out of a 400 acre tract in the Mariano Lopez De Herrera grant, Abstract 606,
Nueces County, Texas, owned by Mr. J. M. Vaughn and platted as Wood River Unit 5-A.
City Secretary Chapa explained that the first reading of an ordinance concerning the
annexation would be considered at a future Council meeting.
Mayor Rhodes called for comments from the Council or the audience, and there
were none.
Council Member Slavik moved to close the public hearing, seconded by Council
Member McNichols, and passed unanimously.
On Item 11, Mayor Rhodes reconvened the required public hearing for the closure
and abandonment of Williams Drive right-of-way from Everhart Road easterly 119.30 feet.
Mr. Carl Crull, Director of Engineering, discussed previous concerns of the adjacent
property owners and the resolution of the concerns. Mr. Crull also discussed the appraisal
value of the land, and recommended Council approval.
Mayor Rhodes called for comments from the audience and there were none.
Council Member McNichols moved to close the public hearing and the motion was
seconded by Council Member Longoria and passed unanimously.
City Secretary Chapa polled the Council for their votes as follows:
11. ORDINANCE NO. 021561
Ordinance closing and abandoning the 60 -foot wide Williams Drive right-of-way from
Everhart Road easterly 119.30 feet; subject to the entire right-of-way being retained
as a utility easement and payment of $9,000 as fair market value; and City replatting
the property within 180 days.
An emergency was declared and the foregoing ordinance passed by the following
vote: Rhodes, Longoria, Martin, McNichols, Moss, and Slavik voting "Aye"; Galindo
voting "No"; McComb absent.
Minutes
Regular Co.. _ail Meeting
February 2, 1993
Page 8
Mayor Rhodes opened the public hearing on the following zoning case:
Case No. 193-4. Regional Transit Authority: A change of zoning from "I-2" Light
Industrial District to "B-5" Primary Business District on Lot 13, Block 40, Bluff Addition,
located on the northeast corner of North Staples and Mestina Streets.
Mayor Rhodes stated that both the Planning Commission and staff recommended
approval of the application.
No one opposed the zoning change
Responding to concerns from Council Member Moss, Mr. Utter briefly discussed the
procedures for requesting zoning changes before presentation to the City Council.
Council Member McNichols expressed support of the proposed bus transfer center
and expressed concern about the location.
Mr. Steve Ortmann, RTA Development Officer, explained that the proposed route
schedule would relieve bus and pedestrian congestion at the existing bus transfer stop on
North Staples and Leopard Streets.
Council Member McNichols referred to the possibility of the Mestina and Staples
Street intersection requiring a traffic light. Mr. Ortmann commented on the proposed traffic
patterns and stated that City staff had participated in the development of the plans.
Responding to several inquiries from Council Member Martin, Mr. Utter and
Mr. Harvey discussed the requested zoning change as compared to the City's zoning
requirements.
Council Member Longoria inquired about bus access on Waco Street, and
Mr. Ortmann explained the plans to provide additional space on Waco Street.
A motion was made by Council Member McNichols to close the public hearing;
seconded by Council Member Longoria and passed unanimously.
City Secretary Chapa polled the Council for their votes and the following ordinance
was passed:
12. ORDINANCE NO. 021562
Ordinance amending the Zoning Ordinance upon application by Regional
Transportation Authority by changing the Zoning Map in reference to Lot 13, Block
40, Bluff Addition, from "I-2" Light Industrial District to "B-5" Primary Business
District.
Minutes
Regular Co,_.ci1 Meeting
February 2, 1993
Page 9
An emergency was declared and the foregoing ordinance passed by the following
vote: Rhodes, Longoria, Martin, McNichols, Moss, and Slavik voting "Aye"; Galindo
and McComb absent.
s e s :: s s s s s a s s
Mayor Rhodes announced the closed session on the day's Agenda. Council Member
Slavik inquired whether the Agenda language met the closed meeting requirements in the
Open Meetings Act. City Attorney Bray stated that the Act required the subject matter of
an item for discussion in a closed meeting to be posted. He stated that this requirement
had been sufficiently met.
Responding to Council Member Martin's inquiry, City Attorney Bray stated that the
closed meeting on the day's agenda was under the litigation subsection. He further stated
that the Act required the presiding officer to announce the related subsection when
announcing the closed meeting, which had been done by the Mayor.
Mr. J. E. O'Brien stated that he felt the notice of the day's closed meeting was
deficient.
Responding to Mr. O'Brien's concerns, Mr. Bray stated that the Open Meetings Act
required that the subject matter be identified. He further stated that the present subject
matter was the golf course contract which had been properly identified.
Mr. O'Brien questioned the existence of a golf course contract. Responding,
Mr. Bray stated that two executed contracts presently existed between the City and the
Phoenix Group Holdings, Inc. since neither party had exercised the contract's default
provisions.
The Council went into closed session pursuant to Article 6252-17, Sec. 2(e), V.A.C.S.,
regarding Abel Alonzo v. City of Corpus Christi et al, No. C-91-218, U.S. Dist. Ct., Southern
Dist. of Texas, Corpus Christi Division; and golf course contracts with Phoenix Group
Holdings, Inc.
The Council returned from closed session, and Mayor Rhodes and Council Member
Longoria stressed the importance of the performance of the golf contract. Then, Council
Member Longoria made a motion instructing staff to place Phoenix Group Holdings, Inc.'s
golf course contracts on next week's agenda to: (1) terminate said contracts, or (2) extend
said contract if Phoenix Group Holdings, Inc. provides sufficient security including a
$300,000 cash deposit or the equivalent and obtains backing from Royal Oil and Gas within
ten days to assure performance of the contract, seconded by Council Member McNichols.
Mayor Rhodes called for a voice vote on the motion, and the motion passed as follows:
Rhodes, Longoria, McNichols, Moss, and Slavik voting "Aye"; Galindo voting "No"; Martin
and McComb absent.
Minutes
Regular Council Meeting
February 2, 1993
Page 10
Mayor Rhodes opened the discussion on the Budget Workshop.
Mr. Garza distributed material to the Council and commented on the objectives of
the day's workshop. He stated that he hoped to obtain direction from the Council regarding
the upcoming budget which would enable staff to establish general budget concepts.
Mr. Garza then discussed the previous Council direction to fund programs for the
young people in the community and City-wide cleanliness.
Through the use of charts, Mr. Garza discussed revenues and expenditures of the
General Fund, General Obligation Debt Service Fund, Combined Utility Fund, and
individual City departments.
Relative to the General Fund, Mr. Garza stated that the fund's projected FY 91-92
ending balance resulted in a greater amount than anticipated. He stated that the increase
in fund balance occurred through a decrease of expenditures during the first six months of
the year as well as an increase in the accrual of sales tax to the month of July, 1992. He
also stated that further attempts to keep expenses below expenditures would continue
throughout the remainder of the budget year.
Responding to Council Member Moss, Mr. Garza stated that, in prior years, fund
reserves had been transferred to support the General Fund operating budget. He stated
that it would be best to reduce this transfer gradually.
Council Member Slavik inquired about the reduced commitments for reserve
accounts. Mr. Garza explained that a cessation of employee hiring along with purchasing
only essential items affected these reservations.
Mr. Garza explained the assumptions which underlie his budget projections for the
current year. He stated that the projected revenue figures were conservative and the
projected expenditures figures were aggressive. Further, that the sales tax, the electric
franchise fee, the telephone franchise fee, and the CATV franchise fee are projected to
meet budgeted levels and could possibly exceed budgeted levels. Also, he was requesting
staff to use caution when justifying expenses to remain within the budget.
Council Member Moss referred to the increase of the sales tax revenues, and
Mr. Garza explained his caution of not including the increase.
Council Member Martin inquired about the projected reserved for commitment figure
for FY 1992-93. City Manager Garza explained that the projected figures contained
outstanding commitments as of July 31, 1992, and contributed to the higher closing balance.
Further, Mr. Martin inquired about the estimated FY 1992-93 General Fund revenue from
the Industrial District. Mr. Garza stated that the early payment was not included.
Mr. Martin next requested that Mr. Garza provide a copy of the early payment offer to the
Council.
Minutes
Regular CoL_.cil Meeting
February 2, 1993
Page 11
Council Member McNichols referred to the Council's previous request for a report
on the Industrial District contracts. Mr. Garza explained that the negotiations with the
Industrial District had been discontinued until after the April elections. Mayor Rhodes
commented that the negotiation process and the early payment offer were two separate
items.
A brief discussion ensued regarding the acceptance of the early payment, and City
Manager Garza expressed concern that, through the acceptance of the early payment, a
precedence would be established. He further stated that not accepting future early
payments would lead to future shortfalls. Mr. Martin stated that this would occur if the
payment was expended, and that he could not foresee difficulties in the present acceptance
of the early payment.
Responding further to Mr. Martin, Mr. Garza stated that less revenue was budgeted
last year than this year because of a number of one time revenue items. He stated that
these items included the transfer from the Housing Finance Corporation.
Mr. Martin stressed the importance of identifying potential revenue sources and final
budget targets. He further stated that Mr. Garza's report contained safe projection figures.
Mr. Martin further suggested including the early payment from the Industrial District, and
not transferring the Housing Finance Corporation monies.
Further, Mr. Martin stated that Mr. Garza's budget presentation suggested that, if
new items were added in the budget, cutbacks in existing items would be required.
Mr. Garza agreed, and discussed the importance of informing the City's department heads
that no additional money would be present in next year's budget.
Mr. Garza next discussed the possibility of upgrading City services through
coordination between the City and the public, utilizing present resources.
A brief discussion developed, and it was determined that the early payment from the
Industrial District would not produce additional revenue. Then, Mr. Martin commented that
the early payment would allow the City to obtain a better bond rating.
Responding to Council Member McNichols, Mr. Garza reiterated the factors which
increased the General Fund's FY 92-93 closing balance. Dr. McNichols agreed with
Mr. Martin's suggestion to identify final budget targets.
Council Member Slavik discussed her prior budget projections which were in line
with Mr. Garza's present projections. Mr. Garza stated that the closing balance was higher
because of the new ruling of the Governmental Standards Board which required accrued
revenues to be credited when generated.
Council Member Martin stated that it was his impression that the City would have
the opportunity in the upcoming budget year, without the intervention of major expenditures
or programs, to have a budget whereby expenditures were funded with current year
revenues.
Minutes
Regular Cou._,;il Meeting
February 2, 1993
Page 12
Mr. Garza then referred to the closing balance of the General Obligation Debt
Service Fund. He commented on the City's goal of retaining at least 75 percent of next
year's debt service requirement. Mr. Garza next stated that interest from the construction
funds would not be available at the FY 92-93 level in the upcoming year because investable
cash balances were down and interest rates were low. He stated that these factors would
create a deficit of support revenues relative to expenditures.
Council Member Martin inquired about the construction account interest loss, and
City Manager Garza stated that the funds had been reserved for several years to pay the
debt. Council Member Martin inquired whether capital project funds had been recently
transferred, and Mr. Garza replied in the affirmative. Mr. Garza stated that last year he
had hoped to transfer the interest over a longer period of time, but budget constraints made
this option unavailable.
Next, Mr. Garza discussed the City's Combined Utility Fund. He stated that this
fund includes the City's gas, water, and wastewater departments. He further stated that the
FY 92-93 beginning balance was higher than anticipated, but still reflected a drain on the
fund's resources. He stated that the increased balance resulted from the hiring freeze,
reduction in the amount of energy used in the water fund, reduction in the amount of
chemicals used at the water and wastewater departments, and larger revenues from the Gas
Department. He stated that the same goal was present for this fund: bring expenditures
in line with revenues. He stated that the fulfillment of this goal could provide funds for the
City's capital improvement projects.
Mr. Martin commented that he did not want the public to believe the City was losing
money in the utility funds, and discussed the capital project reserve accounts (i.e. Choke
Canyon and Wesley Seale Dam) funded by choice from this account. He next stated that
the fund was healthy, but not healthy enough to sell bonds for new wastewater projects.
Responding to Council Member Slavik, City Manager Garza reiterated the reasons
for the difference in the FY 92-93 beginning fund balance in the G.O. Debt Service Fund.
Responding further, Mr. Garza stated that he hoped to continue the reductions in the
future. Further, Mr. Garza stated that the projected figures did not include utility rate
increases.
Mr. Garza then briefly discussed the City's Combined Utility Fund by departments.
He stated that the Gas Department currently contains a healthy fund balance and that
expenditures were in excess of revenues.
Council Member Moss inquired whether the reserve funds in the Gas Department
would be considered a cash asset in the event of the sale of the Gas System. City Manager
Garza stated that the evaluation of the system was based on all current assets.
City Manager Garza next discussed the change of funding debt repayment related to
the Wastewater Department. He stated that this change caused the current deficit.
Minutes
Regular Cou..cil Meeting
February 2, 1993
Page 13
Mr. Garza stated that the Water Department was strong and an increase should be
experienced.
Mr. Garza next discussed the City's Aviation Fund which projects a deficit in the
current operating budget. He stated that this deficit results from the funds reserved for
commitments. Mr. Garza referred to the revised Airport contracts which allows the City to
make adjustments each fiscal year in regards to actual Airport expenses.
Mr. Garza responded to several questions posed by Council Member Galindo
regarding the Aviation Fund's FY 92-93 closing balance and reserve for commitments.
Further, Mr. Garza replied that the new Airport boarding fee would be noticed in the
Airport's total revenues and interfund charges. He next discussed the increases of the
Airport's parking fees, concession fees, and landing fees. Mr. Garza commended Mr.
George Hext, Director of Aviation, for the outstanding revisions of the Airport contracts.
Responding to Council Member Slavik, Mr. Garza explained the FY 92-93 adopted
budget which was considerably less than the estimated FY 92-93 budget. He attributed the
increase to the aforementioned Airport fee increases.
Mr. Garza next discussed the projections in the City's Self -Insurance Fund. He stated
that the ending balance contained various operating funds to cover liabilities and to provide
for reserves. He next discussed the success of the City's recent Safety Focus Program which
would be implemented in other City departments.
Mr. Garza next discussed the projections in the City's Group Health Insurance Fund.
Mr. Martin then expressed concern about the increased insurance premiums to City retirees.
He stated that the premium increase was probably a result of past undercharging and the
smallness of the retiree group. Mr. Martin then requested the City Manager to prepare a
report on the cost of mixing the retirees' insurance with the active employees' insurance.
He stated that an increase in overall insurance due to this consolidation should not be
charged to existing employees. Mayor Rhodes discussed information she had received from
retirees and agreed with Mr. Martin's request.
Responding to Council Member Moss, Mr. Garza stated that State and Local
Government is required to report financial operations on an individual fund basis.
A brief discussion ensued regarding the budget projections, and Council Member
Moss inquired about budget options available to the Council.
City Manager Garza discussed several programs involving the youth in the City.
Council Member Moss suggested that the City encourage the school district and the State
to provide youth programs in the community and commented that the City could provide
administrative services. Mr. Garza suggested that the City actively participate in the
programs and utilize the school district's counseling services.
City Manager Garza next discussed maintenance of City ditches and a clean-up
program for heavy brush collection. Further, Mr. Garza stated that the Council would face
Minutes
Regular Couk.,;il Meeting
February 2, 1993
Page 14
decisions regarding the property tax revenue if there were a decrease in the tax base. He
next stated that rate increases could be considered to improve the City's deteriorating
infrastructure.
City Manager Garza requested information from Council Members on items for
consideration in the budget. He stated that this information would enable staff to begin
preparing for the next budget presentation.
Council Member Moss stated that he felt street improvements were necessary.
Council Member McNichols stated that the City Manager had presented a financial
picture of the City's budget. He suggested the scheduling of another budget meeting which
would allow the Council to set budget priorities. He then requested that the next budget
meeting scheduled provide adequate time for discussion before the final budget meeting in
July.
A brief discussion ensued, and it was determined that the next budget meeting would
be held in the middle of March, 1993.
Through the use of charts, Mr. Garza lastly discussed the City's budget growth by
fund expenditures. Further, through the use of charts, he displayed a General Fund analysis
containing data between the years 1982 through 1994. He next presented a yearly
comparison of major revenue sources (property tax, sales tax, and franchise fees), and
reviewed the combined utility fund.
Council Member Slavik commented that the early presentation of the City's
preliminary budget was an excellent idea. Further, Mrs. Slavik inquired about the
Emergency Medical Service Fund, and Mr. Garza explained the term of the present
Regional Transportation Authority (RTA) agreement providing funds for Emergency
Medical Services (EMS). A brief discussion ensued.
Council Member Moss commended the staff for the charts presented at the day's
meeting.
Mayor Rhodes called for the City Manager's report.
City Manager Garza commented briefly on the upcoming Legislative Briefing in
Austin which he would be attending.
Mayor Rhodes called for Council concerns and reports.
Council Member Martin referred to local merchants utilizing store parking lots for
carnivals and storage. He stated that these merchants could be in violation of the City's
zoning ordinance. Mr. Martin further expressed appreciation to the City Manager for the
recent information about the Boat House issue.
Minutes
Regular Cou..cil Meeting
February 2, 1993
Page 15
Next, Mr. Martin stressed the importance of the sale of the City's Gas Division. He
then discussed the remaining preparations to place the sale on the April ballot and
expressed concern about the short timeframe remaining. He further stressed the importance
of adequate time to address the issue completely. He then suggested that the sale be
considered in an election in August instead of the election in April. He lastly referred to
the Gas Purchase Committee's decision that the election costs be assumed by the investor.
Responding to Mayor Rhodes, City Secretary Chapa explained that an ordinance
placing the sale on the April ballot had not been presented to the Council, and that a
change of election dates would not present a problem.
Mayor Rhodes stated that it was important that all aspects of the sale be sufficiently
addressed before placing the sale on the ballot, and agreed with Mr. Martin's suggestion of
an election in August.
Council Member Slavik commented that the Gas Purchase Committee felt that the
April election would produce a heavier voter turn -out than the August election because of
the number of items present on the ballot and the mobile voting concept. She further stated
that the committee was also concerned about the short length of time for preparation before
the April election.
Mayor Rhodes inquired whether Council Member Slavik, as Chairperson of the Gas
Purchase Committee, believed there was adequate time before the April election to educate
the public on the sale. Mrs. Slavik answered that it could be done, but would require
extensive work from the City's public information office.
Responding to Council Member Martin, City Manager Garza stated that the two
completed contracts for the sale of the City's gas system would be in the Council's Friday
packet. Mr. Garza further responded that Council approval would be required by
February 16, 1993. Responding further, City Manager Garza stated that City staff would
provide contract summaries to the Council.
Council Member Slavik referred to the recommended ballot language regarding the
sale, and inquired whether specific projects should be listed. City Manager Garza replied
that final ballot language would be determined by the Council. Lastly, Council Member
Slavik referred to the information provided to the Council concerning the Airport roof
improvements, and City Manager Garza discussed the circumstances further.
Council Member Galindo requested a report outlining the City's wastewater
improvement projects and providing specific costs. Mr. Garza stated that staff had a
presentation to present to the Council.
Mayor Rhodes called for petitions from the audience.
Mr. Mike Werbiski, 6018 Lucille Drive, President of the Corpus Christi Firefighters
Association, inquired about the plans to remodel the vacant Seaman's Center with past bond
money. He stated that it was his impression that this center would be remodeled for a
Minutes
Regular Council Meeting
February 2, 1993
Page 16
classroom training facility for fire suppression and emergency medical services for the City's
fire department, and would include the Fire Prevention Bureau administrative offices.
Mr. Werbiski next commented that it was now his understanding that other agencies had
expressed an interest in the building.
City Manager Garza agreed that additional office space was necessary, and discussed
efforts to utilize the Seaman's Center by other local agencies.
Responding to Mayor Rhodes, Mr. Garza stated that the Seaman's Center was owned
by the City, and that City staff was presently examining viable options for the relocation of
the firefighters.
Council Member Galindo commented that it was his understanding that firefighters
were willing to contribute the labor for the building rehabilitation.
Council Member Longoria inquired whether the Chamber of Commerce would
purchase the Park and Recreation building, and City Manager Garza stated this information
was not available at this time.
Mr. Werbiski commented that firefighters presently performed minor maintenance
and repairs, but that rehabilitating a building would be overwhelming.
A broad discussion ensued, and Council Member Martin stated that building
availability for City employees was not a Council concern and should be addressed by the
City Manager and City staff. He next stated that the referenced bond money was to be
utilized for fire training.
Council Member Moss agreed with Mr. Martin's comments, and referred to valuable
City -owned property which could be turned into assets for funding various projects such as
the one presently being discussed.
Mr. J. E. O'Brien, 41030 Pompano, commented on the projected and actual FY 91-92
General Fund balance. He further stated that the budget workshop held in the middle of
the days Council meeting was inconsiderate to the public. Next, Mr. O'Brien commented
that he planned to consult with outside counsel as well as the County Attorney about the
violations of the Open Meetings Act at the day's Council meeting.
There being no further business to come before the Council, Mayor Rhodes declared
the Council Meeting adjourned at 6:21 p.m. on February 2, 1993.