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HomeMy WebLinkAboutMinutes City Council - 01/16/1996I 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 January 16, 1996, which were approved by the City Council on January 23, 1996. WITNESSETH MY HAND AND SEAL, this 23rd day of January, 1996 <i rtet1a Z2J Armando Chapa City Secretary SEAL 009° MINUTES CITY OF CORPUS CHRISTI, TEXAS Regular Council Meeting January 16, 1996 2 p.m. PRESENT Mayor Mary Rhodes Mayor Pro Tem Dr. David McNichols Council Members: Dr. Jack Best Betty Black Melody Cooper Tony Heldenfels John Longoria Edward Martin ABSENT Betty Jean Longoria City Manager Juan Garza City Attorney James R. Bray, Jr. City Secretary Armando Chapa Mayor Rhodes called the meeting to order in the Council Chambers of City Hall. The invocation was delivered by Rev. Jorge Garcia, Providence Reform Episcopal Church, following which the Pledge of Allegiance to the flag of the United States was led by Council Member Best. 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 9, 1996, and there being no corrections, she proclaimed them approved as presented. * * * * * * * * * * * * * Mayor Rhodes opened discussion on Item 1, earned income credit campaign. Ms. Yolanda Olivares, an officer at Mercantile Bank, announced the 1996 Earned Income Credit Campaign. She explained that the earned income credit is a special tax credit for employees based upon their income and number of children (if any) they raised in 1995. Ms. Olivares added that the earned income tax credit will be applied toward any taxes owed or it may be added to a Minutes Regular Council Meeting January 16, 1996 Page 2 person's tax refund. She said information can be obtained by calling 1-800-829-1040 or the United Way. Council Member John Longoria said the Greater Corpus Christi Business Alliance is working with local accountants who may provide tax filing assistance in some of the Westside neighborhoods. Ms. Olivares said Central Power & Light has prepared posters and brochures to disseminate the information. Mayor Rhodes suggested that city staff who may qualify for the earned income credit be notified as well. * * * * * * * * * * * ** Mayor Rhodes deviated from the day's agenda and opened discussion on Item 3, Texas State Aquarium financing. Mr. Stephen Sullivan, Board Member of the Texas State Aquarium, gave a brief history of the aquarium and its funding proposal. He said the aquarium is owned by the city and is operated by a private, not-for-profit corporation under contract with the city. The original cost was approximately $15 million with approximately $16 million for roads, land and compliance activities. Mr. Sullivan also described many aspects of the aquarium's operations, including finances, education, volunteers and staff. Mr. Paul Pearson, President of the Texas State Aquarium, described the four -point program that would be funded by the proposed issuance of $4.326 million in bonds. He said the funding would result in the following: a reduction of aquarium operating costs through a reduction in the debt service; funding for capital improvements that enhance the aquarium both visually and operationally; establishment of a plan for Phase II; and creation of a significant new exhibit, the Conservation Pavilion (Otter and Octopus Garden). Mr. Pearson said the cost of the additional exhibit will pay for itself through increased visitor revenues within four years (at $7.72 each for an estimated 80,000 visitors, for a total of over $600,000). He said the aquarium's plans focus on holding operational costs down while enhancing the visitor stay to an ultimate goal of 3% to 4 hours. Responding to Mayor Rhodes, City Manager Garza said the next step was for city staff to review the aquarium's program with the city's bond counsel and then bring back to the City Council a proposal that lays out in great detail how the financing would work. Generally the proposal calls for combination tax and revenue certificates of obligation, with aquarium revenues pledged to them. Council Member McNichols said he supported the aquarium, and he asked at what rate the aquarium's debt might be refinanced in the private sector. Mr. Pearson said he did not know if the aquarium could save much in interest; however, the main problem was that the aquarium could not obtain new funds for the maintenance and the new capital investment. Minutes Regular Council Meeting January 16, 1996 Page 3 Following another brief discussion about the aquarium's financial situation, Dr. McNichols asked if the aquarium had insurance on lost revenue if there was a major storm, and Mr. Pearson said the aquarium had no ability to insure for that at this time. Dr. McNichols then asked if the full faith and credit of the city would be behind the bonds, and Mr. Garza said it would. Council Member Heldenfels expressed concern about the city using its full faith and credit to back the bonds. Mr. Pearson pointed out that, as is the case for all museums around the country, if the aquarium did not add new exhibits, attendance would decline dramatically. Council Member John Longoria said it is important to emphasize to the whole community that they are very much a part of such local attractions as the Texas State Aquarium. He noted that this proposal is different from the financing plan of the Columbus Ships because hotel/motel revenues have been pledged to the bonds supporting that attraction. He also added that the city is experiencing a hiring freeze at this time and is carrying a heavy debt. He did encourage staff to bring back several scenarios for the aquarium's financing for the Council to consider. Council Member Martin said at issue was whether staff --in working with aquarium personnel and supporters --will be able to show that the aquarium's revenue projections will be able to support the financing plan. He suggested that in the plan, some funds could be held back to ensure that the revenue stream continues. Mr. Martin added that he supported the concept. Council Member Black expressed total support of the aquarium, since it benefits people (particularly children) in this community and other communities. Council Member Cooper said she normally would not support financing of this nature, but the aquarium is essential to the city's tourism industry and she supports the concept in this instance. Mayor Rhodes called for comments from the audience. Mr. J.E. O'Brien, 4130 Pompano, said the aquarium's current debt is payable out of the Reinvestment Zone, and unless revenues increase, the reserves will be exhausted. He also delineated the city's debt, questioning the amount of debt the community can support. He said much of that is not voter -approved debt. City Secretary Chapa polled the Council for their votes as follows: 3. M96-010 Motion by the City Council of the City of Corpus Christi, Texas approving the concept of refinancing current debt; financing capital improvements and Phase II design of the Texas State Aquarium and directing the City Manager to further develop a financing plan. Minutes Regular Council Meeting January 16, 1996 Page 4 The foregoing motion passed by the following vote: Rhodes, Best, Black, Cooper, Heldenfels, J. Longoria, Martin, and McNichols voting "Aye"; B. Longoria absent. * * * * * * * * * * * * * Mayor Rhodes referred to the Board and Committee appointments on the day's agenda, and the following appointment was made: Drainage Utility Ad Hoc Committee Mike Pusley * * * * * * * * * * * * * Mayor Rhodes called for a five-minute recess. * ************ Mayor Rhodes opened discussion on Item 2, a special staff presentation and Council discussion on regulation of adult businesses with undesirable secondary effects (ABUSE), with Council direction for future consideration. Council Member Martin noted that a Planning Commission public hearing had been scheduled for January 24, 1996, and he questioned what the Planning Commission would be discussing. City Attorney Bray replied that the zoning/land use aspect of the ABUSE regulations would be discussed by the Planning Commission, and the scheduling was subject to whatever occurred during the day's Council meeting. Mr. Brandol Harvey, Director of Planning and Development, further explained that what would be considered by the Planning Commission on January 24 would be possible amendments to the Zoning Ordinance to address sexually oriented businesses; there was no specific proposal other than that. City Manager Garza said staff had been working on this proposal since summer 1995. More attention has been focused on the issue in light of several complaints from citizens living near topless clubs and since the City of Portland has been dealing with the situation of adult video stores in their community. He said the staff's research has indicated that several U.S. cities (including many in Texas) already have ordinances concerning adult businesses with undesirable secondary effects. Police Chief Pete Alvarez said such ordinances in other cities have been consistently upheld by the courts based upon protection and preservation of the quality of life in urban areas. He said Minutes Regular Council Meeting January 16, 1996 Page 5 that for some time the Corpus Christi Police Department has been studying this law enforcement tool which has been utilized by many other cities. He said much of the research had been conducted by Commander Mike Walsh and Captain Mark Schauer of the Special Services Division, with the assistance of Ms. Lyn Huff, Crime Analyst. Chief Alvarez said present sexually oriented businesses in Corpus Christi consist of 15 topless bars and one adult video store. There have been numerous inquiries from other sexually oriented businesses interested in locating in this city. He cited several studies that have been conducted in cities throughout the state and country which show that sexually oriented businesses reduce property values and are associated with the deterioration of residential and commercial properties. Sexually oriented businesses also generate increased criminal activity. Chief Alvarez said those studies confirm his own experience as a police officer in this community over many years, particularly when he worked as a vice officer in the downtown area in the 1970s. At that time there were many adult book stores (with peep shows), topless bars and adult theaters located on Chaparral, Taylor and Peoples streets. He said those businesses generated much criminal activity, including prostitution, assaults and narcotics trafficking, among others, as well as contributed to the decline of the downtown area. Through the efforts of downtown merchants and law enforcement, those businesses were shut down and that area has been revitalized. He said the Corpus Christi Police Department has conducted its own comparison of topless bars and other bars in the generation of criminal activity. While topless bars comprise only 15 of the 164 bars in the city, 10 topless bars are in the top 20 for average police calls per month. He said that while the state has substantially limited city regulation of bars in general, the Texas Legislature has specifically recognized city authority to regulate sexually oriented businesses, and he believes the city should exercise that authority. The Police Chief said staff proposes that a comprehensive ordinance be adopted, similar to those in other cities, and the primary elements would be a requirement that sexually oriented businesses be located in industrial areas; that existing adult businesses be "grandfathered" for 10 years so long as they remain under the same ownership; that they be licensed; and that certain health and safety regulations be established. City Attorney Bray summarized the legal aspects of the city's proposed ordinance, stating that the U.S. Supreme Court in two major cases has upheld extensive municipal regulation of adult businesses, in addition to the Texas Legislature's action on this matter. He said the thrust of the court cases is that cities can regulate on the basis of protecting neighborhoods (both business and residential). The courts have said that a city cannot entirely remove such businesses but they can be required to be located in areas where they do not create problems for neighborhoods. Mr. Bray also discussed different aspects of ordinances which have been upheld by the courts, including "grandfathering," licensing, and health and safety regulations. Minutes Regular Council Meeting January 16, 1996 Page 6 Mr. Norbert Hart, Assistant City Attorney, gave an overview of the ordinance being proposed by city staff. He said the locational regulations and licensing requirements in the ordinance fall under the authority of Chapter 243 of the Texas Local Government Code, and the violation of those provisions would constitute a Class A Misdemeanor; all other violations of the proposed ordinance would constitute a Class C Misdemeanor. Mr. Hart gave the definition of a sexually oriented business as provided in the ordinance, and he pointed out that it is a "commercial enterprise, the primary business of which is the offering of a service or the selling, renting, or exhibiting of devices or any other items intended to provide sexual stimulation or sexual gratification to the customer." The ordinance also calls for the applicant for a permit to be the actual owner of the business applying for a permit. Mr. Hart also briefly discussed the definitions contained in the proposed ordinance for the following: employee, nudity, owner, premises, residential district, specified anatomical areas, specified sexual activities, permits required (including issuance, denial, transfer, revocation, and suspension of a permit). Responding to Mr. Martin, Mr. Hart said the staff is proposing that the 10 -year amortization of an existing sexually oriented business be unique to the existing owner. Mr. Martin noted that other non -conforming uses do not restrict as to ownership but rather as to use. Council Member John Longoria questioned the provision in the proposed ordinance regarding the revocation of a permit if the owner of a sexually oriented business receives three or more convictions within a 24 -month period of offenses such as public lewdness, obscenity, prostitution, and selling and/or hiring of children, among others. Council Member Heldenfels questioned the proposed 10 -year amortization period for existing businesses, saying he felt if that provision was adopted it could lead to a lawsuit against the city. Mr. Hart replied that the courts have upheld such an amortization period as long as it can be shown that the owner has recouped his investment in his business. Mr. Heldenfels also expressed concern about the provision regarding permit transfer and heirship. Mr. Martin said he felt there were two issues to be considered: adoption of an ordinance which would control and regulate the location of future sexually oriented businesses; and the status of existing sexually oriented businesses, all but one of which are located within 1,000 feet of residential districts as provided for in the ordinance. Council Member McNichols said he would support the proposal to restrict the location of new sexually oriented businesses but he would not support any proposal to shut down (in any time frame) an existing business. Minutes Regular Council Meeting January 16, 1996 Page 7 Mr. Hart went on to describe proposed general operating regulations, including inspections, location, age restrictions, prohibited actions, on -premise advertising, public health and education, and management of sexually oriented businesses; as well as sign regulations. Responding to Mr. Heldenfels, Capt. Schauer said that the Texas Alcoholic Beverage Commission does regulate topless bars up to a certain extent, while the proposed ordinance would regulate many other aspects of sexually oriented businesses. Mr. Harvey reviewed the city's zoning districts and uses allowed in each. He then used maps to illustrate the location of the city's 15 existing topless bars, and the area that excludes residential zoning and 1,000 feet from residential zoning. He pointed out that under current zoning regulations, a topless bar specifically requires "B-4" zoning; however, a restaurant that may or may not serve alcohol could have nude dancing as part of its entertainment --it would not have to be a bar to be a sexually oriented business. Mr. Harvey also used a map to show the areas in the city limits that would be zoned "I-3" Heavy Industrial District only and would be located outside the residential areas, as proposed in the ordinance. He said that area would consist of 1,540 acres, or approximately 1.72% of the entire city land area. He noted that at 1,000 feet apart, that area could accommodate 100 new sites for sexually oriented businesses. Mr. Longoria commented that by locating sexually oriented businesses in the area Mr. Harvey described results in a concentration of such businesses (resulting in more crime), rather than dispersing them throughout the city. Mr. Harvey replied that the Police Department feels the 1,000 - foot spacing that would be required between sexually oriented businesses is a sufficient distance to break down the effect of concentrating such businesses. Mr. Harvey said the proposed "I-3" zoning location for sexually oriented businesses is also designed to protect commercial uses from having to be adjacent to adult businesses. Council Member Best suggested that staff provide more visual information about the area in which sexually oriented businesses are proposed to be located. Mr. Garza pointed out that 1,000 feet is roughly equal to one-fifth of a mile. Council Member Cooper said she did not oppose regulating new sexually oriented businesses, but she was not in favor of closing down existing businesses under any time frame. Responding to Mr. Martin, Mr. Bray said that with regard to location of sexually oriented businesses, the courts have said there has to be some reasonable amount of space in which they can operate. Mr. Martin suggested that an "anti -congregation" provision be considered, and he commented about outdoor advertising for sexually oriented businesses. Minutes Regular Council Meeting January 16, 1996 Page 8 In reply to another question from Mr. Martin, Mr. Harvey said in order for the Planning Commission to proceed with this issue, it would need some direction from the City Council as to what zoning districts the Council thinks would be appropriate. He added that the proposed licensing program (including distances) for adult businesses is not a Planning Commission issue. Dr. Best said the Council needed to determine whether it was going to "grandfather" the existing sexually oriented businesses. Mayor Rhodes commented that she did not think the Planning Commission should consider this issue until the Council decides what provisions should be contained in the ordinance. Mr. Longoria said he did not think an amortization time frame would be supported by the Council, and he said there should be some regulation of adult businesses, but nothing overly restrictive. He also raised concern about signage and artwork on the premises of adult businesses. Mr. Garza said he understood the Council members' concerns about putting existing businesses out of business, and staff has grappled with that issue. He noted that many adult businesses shut down, reorganize, and then reopen quite frequently; as a result, staff was proposing restricting transferability of adult businesses. He said the proposed 10 -year period allowing owners of existing businesses to recoup their investments was a fair amount of time. Responding to Mrs. Cooper, Mr. Hart reviewed the proposal regarding revocation of a sexually oriented business permit. He said an owner would lose his license if he knowingly allowed a person under 18 years of age to enter the premises, or if he received three or more convictions within a 24 -month period of different offenses, which he delineated. Mrs. Cooper said she disagreed with certain aspects of that proposal, noting that sometimes owners cannot be responsible for the actions of people on their premises, particularly if that action occurs in the business's parking lot. Mr. Heldenfels echoed Mrs. Cooper's comments. Council Member Black asked about the kind of police calls received from bars in Corpus Christi, including topless bars. Capt. Schauer said there are all types of calls, including fights, bar checks, investigations and others. Chief Alvarez reiterated that according to the Police Department's study, a number of the city's 15 topless bars are in the top 20 of the city's most problematic bars. He acknowledged that there are bars in the city which have very many police calls; unfortunately, the city does not have much control over the use of alcohol in bars. He said he would welcome the direction of the Council in finding ways to deal with the problematic bars that are not designated as sexually oriented businesses. Following more discussion, there was consensus among the Council that staff should put an ordinance regarding sexually oriented businesses on the agenda of an upcoming Council meeting, allow for public comment, and then the Council can amend or delete portions of the ordinance as Minutes Regular Council Meeting January 16, 1996 Page 9 they see fit. Mrs. Cooper reiterated concerns she had about the proposed ordinance, and Mayor Rhodes emphasized that certain aspects of the ordinance (i.e., convictions for which a permit would be revoked) were very serious and should not be diluted. Responding to Mr. Martin, Mr. Bray said that a sexually oriented business could be established in an unincorporated area; however, state law does give counties the same regulatory authority that it gives cities with regard to sexually oriented businesses. Mr. Martin suggested that once the city's ordinance is adopted, Nueces County should be made aware of it. In reply to Mr. Heldenfels, Mr. Garza said that staff would submit the necessary zoning amendments to the Planning Commission once the ordinance is adopted after two readings, and then bring those zoning amendments back to the City Council for their consideration, following the prescribed procedure. In response to Dr. McNichols, Mr. Garza said most of the Council expressed their desire to see a provision in the proposed ordinance which would more closely resemble the existing non- conforming use language in the city's zoning ordinance. He added that he would like to have the opportunity to argue that a 10 -year amortization time period is fair. Mr. Garza said the Council had also suggested that the language regarding the location of adult businesses be refined to prevent their congregation in one location. Replying to Mr. Longoria, Mr. Garza referred to an ordinance which the Council passed on November 21, 1995 which stated the Council's intent not to recognize as a protected non -conforming use any adult business with undesirable secondary effects which began operation subsequent to November 21, 1995. He added that all of the owners of the existing adult businesses and those who have expressed interest in opening such a business have been notified of that change. * * * * * * * * * * * * * Mayor Rhodes opened discussion on Item 4, law firm for landfill permitting. Mayor Rhodes called for comments from the audience, and there were none. City Secretary Chapa polled the Council for their votes as follows: 4. M96-011 Motion authorizing the City Manager to employ the law firm of Lloyd, Gosselink, Fowler, Blevins & Mathews P.C. to represent the City of Corpus Christi in obtaining a Type I Municipal Solid Waste Permit for a new landfill from the Texas Natural Resource Minutes Regular Council Meeting January 16, 1996 Page 10 Conservation Commission, on terms as set forth in the employment letter negotiated by staff, with an hourly rate not exceeding $195, and a total not to exceed cost of $475,000 assuming a moderately contested case. The foregoing motion passed by the following vote: Rhodes, Best, Black, Cooper, Heldenfels, J. Longoria, Martin, and McNichols voting "Aye"; B. Longoria absent. * * * * * * * * * * * * * Mayor Rhodes called for consideration of consent motions, resolutions, ordinances and ordinances from previous meetings on Items 5 through 14, and Council Members requested that Item 9 be withheld for discussion. City Secretary Chapa polled the Council for their votes and the following were passed: 5. M96-012 Motion approving a supply agreement for backfill sand in accordance with Bid Invitation No. BI -0053-96 with LOGO Materials, Inc., Corpus Christi, Texas based on low total bid for an estimated annual expenditure of $65,800. The term of the contract shall be for twelve months with an option to extend for up to an additional twelve months subject to the approval of the supplier and the City Manager or his designee. The sand is used by the Utility Departments as backfill material for underground utility lines. Funds have been budgeted by the Utility Departments in FY 95-96. The foregoing motion passed by the following vote: Rhodes, Best, Black, Cooper, Heldenfels, J. Longoria, Martin, and McNichols voting "Aye"; B. Longoria absent. 6. M96-013 Motion approving a supply agreement for pre -fabricated fiberglass manholes in accordance with Bid Invitation No. BI -0065-96 with Davis McAllen Pipe & Supply, Corpus Christi, Texas based on low bid for an estimated annual expenditure of $39,417.50. The term of the contract shall be for twelve months with an option to extend for up to an additional twelve months subject to the approval of the supplier and the City Manager or his designee. Funds have been budgeted by the Wastewater Department in FY 95-96. The foregoing motion passed by the following vote: Rhodes, Best, Black, Cooper, Heldenfels, J. Longoria, Martin, and McNichols voting "Aye"; B. Longoria absent. Minutes Regular Council Meeting January 16, 1996 Page 11 7.a. ORDINANCE NO. 022463 Ordinance appropriating the amount of $2,980.75 from the Sanitary Sewer Collection Line Trust Fund No. 145-247.96 to pay developer reimbursement requests. An emergency was declared and the foregoing ordinance passed by the following vote: Rhodes, Best, Black, Cooper, Heldenfels, J. Longoria, Martin, and McNichols voting "Aye"; B. Longoria absent. 7.b. M96-014 Motion approving the reimbursement application submitted by American Pawn Super Stores, owner of Noakes Partition, Block 1, Lot 1 for the installation of 811 linear feet of 8 inch PVC sanitary sewer collection line. The foregoing motion passed by the following vote: Rhodes, Best, Black, Cooper, Heldenfels, J. Longoria, Martin, and McNichols voting "Aye"; B. Longoria absent. 8. FIRST READING ORDINANCE Amending the Code of Ordinances, Section 53-254, Schedule V, Increase of State Speed Limit in Certain Zones by reducing the speed limit on Whitecap Boulevard from 40 MPH to 35 MPH from Park Road 22 (South Padre Island Drive) to a point 1,000 feet west of Cruiser Street. The foregoing ordinance passed on first reading by the following vote: Rhodes, Best, Black, Cooper, Heldenfels, J. Longoria, Martin, and McNichols voting "Aye"; B. Longoria absent. 10. ORDINANCE NO. 022467 Authorizing the City Manager, or his designee, to execute a twenty year lease with the Corpus Christi Ballet for city owned property consisting of the Sid Richardson House (Lots 5 & 6, Block 69, Beach Addition), for advancement of ballet; in consideration of a $100 per month, rehabilitating the Sid Richardson Building, and maintaining the property; providing for publication. The foregoing ordinance passed on second reading by the following vote: Rhodes, Best, Black, Cooper, Heldenfels, J. Longoria, Martin, and McNichols voting "Aye"; B. Longoria absent. Minutes Regular Council Meeting January 16, 1996 Page 12 11. ORDINANCE NO. 022468 Authorizing the City Manager, or his designee, to execute the first amendment to the Instituto De Cultura Hispanica lease agreement, to change the location for the building to Lots 1 and 2, and the remainder of Lots 11 and 12, Block 78, Beach Addition; granting parking rights in a city parking lot bounded by North Chaparral, North Mesquite, Hughes and Brewster Streets; extending the effective date of the five year lease; in consideration of relocating the Tex-Mex Railroad Depot and restoring and maintaining the Depot and grounds, providing for publication. The foregoing ordinance passed on second reading by the following vote: Rhodes, Best, Black, Cooper, Heldenfels, J. Longoria, Martin, and McNichols voting "Aye"; B. Longoria absent. 12. ORDINANCE NO. 022469 Authorizing the City Manager, or his designee, to execute the second amendment to the Museum of Oriental Cultures lease agreement with the City of Corpus Christi by changing the lessee's name to the Museum of Asian Cultures and Education, by extending the time to begin rehabilitation or construction within six months of the effective date of this Amendment No. 2 and to complete rehabilitation or construction within nine months thereafter and terminating the lease agreement if the rehabilitation or construction is not complete by then, and by adding compliance with ADA requirements. The foregoing ordinance passed on second reading by the following vote: Rhodes, Best, Black, Cooper, Heldenfels, J. Longoria, Martin, and McNichols voting "Aye"; B. Longoria absent. 13. ORDINANCE NO. 022470 Authorizing the City Manager, or his designee, to execute a ten year lease with Harbor Playhouse, Inc. for city owned property consisting of the entire northwest warehouse of approximately 5,000 square feet (Lots 2, 3, 4, 5, and 6, Block 78, Beach Addition) for warehouse purposes; in consideration of $50 per month; and providing for publication. The foregoing ordinance passed on second reading by the following vote: Rhodes, Best, Black, Cooper, Heldenfels, J. Longoria, Martin, and McNichols voting "Aye"; B. Longoria absent. Minutes Regular Council Meeting January 16, 1996 Page 13 14. ORDINANCE NO. 022471 Authorizing the City Purchasing Agent and Buying Supervisor to participate in interlocal governmental cooperative purchasing programs with Houston -Galveston Area Council in purchasing items for the City. The foregoing ordinance passed on second reading by the following vote: Rhodes, Best, Black, Cooper, Heldenfels, J. Longoria, Martin, and McNichols voting "Aye"; B. Longoria absent. * * * * * * * * * * * * * Mayor Rhodes opened discussion on Item 9, bayfront lease agreements. Responding to Council Member Black, Mr. Malcolm Matthews, Director of Park and Recreatioh, said vendors on the bayfront apply for a permit through his department. Mayor Rhodes called for comments from the audience, and there were none. City Secretary Chapa polled the Council for their votes as follows: 9.a. ORDINANCE NO. 022464 Authorizing the City Manager or his designee to execute a lease agreement with Beach Boat Rentals, Inc. for a non -motorized watercraft operation at Concession Site B on Peoples Street T -Head through February 15, 1997 with a one year option to renew, and for a rental fee of $7,761.60 a year with an increase of 10 percent at the time of renewal. The foregoing ordinance passed on second reading by the following vote: Rhodes, Best, Black, Heldenfels, J. Longoria, Martin, and McNichols voting "Aye"; Cooper and B. Longoria absent. 9.b. ORDINANCE NO. 022465 Authorizing the City Manager or his designee to execute a lease agreement with Just For Fun, Inc. for a fast -motorized watercraft operation at Concession Site C on Peoples Street T -Head through February 15, 1997 with a one year option to renew, and for a rental fee of $13,200 a year with an increase of 10 percent at the time of renewal. The foregoing ordinance passed on second reading by the following 'vote: Rhodes, Best, Black, Heldenfels, J. Longoria, Martin, and McNichols voting "Aye"; Cooper and B. Longoria absent. Minutes Regular Council Meeting January 16, 1996 Page 14 9.c. ORDINANCE NO. 022466 Authorizing the City Manager or his designee to execute a lease agreement with Beach Boat Rentals, Inc. for a slow -motorized watercraft operation at Concession Site E through February 15, 1997 with a one year option to renew, and for a rental fee of $8,800 a year with an increase of 10 percent at the time of renewal. The foregoing ordinance passed on second reading by the following vote: Rhodes, Best, Black, Heldenfels, J. Longoria, Martin, and McNichols voting "Aye"; Cooper and B. Longoria absent. * * * * * * * * * * * * * Mayor Rhodes announced the closed session, pursuant to Texas Government Code Section 551.071 regarding Catherine McCormick, et al v. Pedro Reyes and City of Corpus Christi, No. 93- 282-C, 94th District Court, Nueces County, Texas with possible action thereon in open session. The Council went into closed session. The Council returned from closed session. Mayor Rhodes made the following motion, seconded by Council Member John Longoria, and it passed as follows: 15. M96-015 Motion authorizing the City Manager to execute an agreement settling Catherine McCormick, et al v. Pedro Reyes and City of Corpus Christi, No. 93-282-C, 94th District Court, Nueces County, Texas, for $140,000 in accordance with the agreement negotiated by the City Attorney's Office. The foregoing motion passed by the following vote: Rhodes, Best, Black, Cooper, Heldenfels, J. Longoria, Martin, and McNichols voting "Aye"; B. Longoria absent. * * * * * * * * * * * * * Mayor Rhodes called for the City Manager's report. Mr. Garza referred to a concern that had been raised about animal waste on the seawall sidewalk, and he stated that staff does remove the waste. Mayor Rhodes reported that during a recent meeting of the Metropolitan Planning Organization, the top three transportation projects were designated as the Padre Island Drive/Crosstown Expressway interchange, the raising of the J.F. Kennedy Causeway, and the Port Minutes Regular Council Meeting January 16, 1996 Page 15 area northside road and rail corridor. She said those projects will be presented to the Texas Transportation Commission during a meeting on Thursday, January 25, 1996 in Corpus Christi. Mayor Rhodes called for Council concerns and reports. Council Member Martin requested the calculation the staff had made on a zoning case at last week's meeting for which the 20% rule had applied. He also asked if the issue of the speed limit on South Padre Island Drive was going to come before the Council. Mr. Carl Crull, Group Manager for Public Works and Utilities, replied that the Texas Highway Department was conducting a speed study and they have not made a recommendation to the city as to what that speed limit should be. In response to another question from Mr. Martin, Mr. Crull said a reception was being scheduled for the Texas Transportation Commission, and it will be sponsored by the Greater Corpus Christi Business Alliance, the Texas Good Roads Association, and the Association of General Contractors from 4:30 to 6:30 p.m. on Wednesday, January 24, 1996. Mr. Martin also commented that the Bridgepointe Landing apartment project had been selected in a lottery, and he asked when that project would be coming back before the Council. Mr. Tom Utter, Group Manager of Development Services, replied that it would be presented to the Corpus Christi Housing Finance Corporation (CCHFC), assuming that all the bond financing can be obtained. Mr. Martin said the Council members, in their capacity as members of the CCHFC, needed to be able to discuss their criteria for that project before voting on it. Council Member Black requested more information about an ordinance that the City of Austin had recently passed regarding people who camp in city parks and rights-of-way. * * * * * * * * * * * * * Mayor Rhodes called for petitions from the audience. Mr. Douglas Meissner, owner of Bottoms Up, a topless bar, objected to the proposed ordinance regarding sexually oriented businesses; specifically, the provision dealing with revocation of a permit and transfer of a permit. He also contested the study of police calls conducted by the Police Department. Mr. Gerald Benadum, an attorney representing Mr. Richard Beck, owner of Fantasy, another topless bar, addressed the Council. He questioned the November 21, 1995 date of the previous ordinance concerning sexually oriented businesses. He noted that Mr. Beck opened his business 29 days after that date, but had already received all of the necessary permits before that date. Mr. Martin said the Council had chosen the November 21 date in response to Mr. Beck's situation, meaning that his business would be considered a protected non -conforming use. Minutes Regular Council Meeting January 16, 1996 Page 16 Mr. Benadum also asked about another topless bar, called the Uptown Bar and Grill, which he said was in a similar situation as Mr. Beck's club. City Manager Garza replied that that club had not yet obtained its permit when the November 21 ordinance was passed. Mr. Benadum also asked if the local Police Department study really showed that topless bars are a problem because of the nature of their entertainment. Mr. Heldenfels said he felt Mr. Benadum's comments were valid, and he asked if the police statistics could be segregated by capacity of each bar and other factors. Mr. Garza replied that staff could make an approximation of those factors. Mrs. Black commented that she does not necessarily support bars or topless bars, but she does support business owners. There being no further business to come before the Council, Mayor Rhodes declared the Council meeting adjourned at 5:20 p.m. on January 16, 1996. * * * * * * * * * * * * *