HomeMy WebLinkAboutMinutes City Council - 05/28/1996I 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 May 28, 1996, which were approved by
the City Council on June 11, 1996.
WITNESSETH MY HAND AND SEAL, this 1 lth day of June, 1996
SEAL
%Z
Armando Chapa
City Secretary
MINUTES
CITY OF CORPUS CHRISTI, TEXAS
Regular Council Meeting
May 28, 1996
2 p.m.
PRESENT
Mayor Mary Rhodes
Mayor Pro Tem Melody Cooper
Council Members.
Dr. Jack Best
Betty Black
Tony Heldenfels
Betty Jean Longoria
John Longoria
Edward Martin
Dr. David McNichols
City Staff:
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. E.F. Bennett (retired), 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 May 21,
1996, and there being no corrections, she proclaimed them approved as presented.
* * * * * * * * * * * * *
City Manager Garza noted that this was his last official meeting as City Manager, and he had
invited his family to join him as he bid farewell. He thanked the Council for the support they have
given him over the years, adding that he and his family love Corpus Christi and intend to stay here.
Mayor Rhodes said the Council would like to invite Mr. Garza and his family back to a Council
meeting in a few weeks for a reception in his honor.
* * * * * * * * * * * * *
Mayor Rhodes referred to the Board and Committee appointments on the day's agenda, and
the following appointments were made:
Minutes
Regular Council Meeting
May 28, 1996
Page 2
�n. 11
John Allsup
Al Prebula
* * * * * * * * * * * * *
Mayor Rhodes opened discussion on Item 3, ordinance regulating sexually oriented
businesses.
Deputy City Manager Hennings said that when this issue was tabled on April 30, 1996, staff
met again with adult business owners and have accommodated many of their requests in developing
a substitute ordinance. He said staff was proposing that the Council adopt a motion substituting the
ordinance as contained in the Council's current packet (pages 64-100) for the ordinance that the
Council passed on first reading on March 19, 1996; he said the substitute ordinance could then be
the basis for further discussion at the meeting. Mr. Hennings said that in addition to the substitute
ordinance, staff had prepared 13 amendments (with several variations on some of those amendments)
to respond to concerns that the Council had raised.
Mayor Rhodes called for comments from the audience.
Mr. Raymond Wimberly, 806 Alden, said the alcoholic beverage industry cost Corpus Christi
$60 million last year, and that cost will continue to increase. He questioned what the Council
intended to do.
Ms. Dee Huber said the Council's decisions should be made for everyone in the city.
Mr. Christopher Huber contested the contention that topless bars affect children --he said
there are more graphic images contained on compact discs that are available to children.
Ms. Maria Rebecca Trujillo thanked Mayor Rhodes for her support of this ordinance, and
urged women who dance in topless clubs to get involved in the La Leche League.
A woman who did not give her name recounted her personal experience with the negative
effects of adult businesses. She added that those businesses were immoral and degrading to families.
Mr. Lynn Woods, 1234 Nile, said the Supreme Court has already upheld cities' authority to
regulate adult businesses. He said he and others appreciate the Council doing what was right for the
majority of citizens, not just a few.
Mrs. Pam Woods, 1234 Nile, said the Council had previously received information
concerning violations of Texas Alcoholic Beverage Commission regulations; one local topless bar
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Regular Council Meeting
May 28, 1996
Page 3
in particular had had about 21 public lewdness violations. She noted that many adult business
customers have no accountability to the neighborhoods adjacent to the adult businesses.
Ms. Jackie Jackson said she was proud to be a dancer at Pepper's, a topless bar. She objected
to the effort to regulate existing adult businesses that provide income to the city. She noted that she
has been able to purchase a nice home; however, she feared she may no longer have her job if the
ordinance is approved.
Ms. Leah Mackie, who will attend the 8th grade next year, said she was Ms. Jackson's
daughter. She said she has lived with her mother both when she works as a topless dancer and when
she does not, and Leah said she likes it better when her mother works as a dancer. She questioned
whether this is a free society.
Mr. Stephan Walker, 4718 Donegal, said he lives near the topless club on Everhart Road, and
is forced to pass by it every day. He asked that the location of the adult businesses be changed so
as not to tempt fathers day after day.
Mr. Leo Duran, a local attorney representing several topless clubs, referred to information
he had prepared concerning property values around adult businesses. He noted that some adjacent
apartment complexes have increased in value.
Mr. Terry Fox, pastor of Gardendale Baptist Church, thanked the Council for their diligence
on this issue. He said that morality, while controversial, was important and worthy of the Council's
consideration. He urged the Council to approve the ordinance.
Mr. Pat Bullock, pastor of Annaville Baptist Church, said he was concerned that the city's
standard of livelihood overshadowed its morality. He said the majority of citizens support the
regulation of adult businesses and he encouraged the Council to as well.
Mr. Jimmie Till, a longtime resident of northwest Corpus Christi, asked if the public would
be able to comment on the ordinance once the amendments are discussed, and Mayor Rhodes replied
that the public hearing would be closed at that time. Mr. Till asked that the adult businesses not be
concentrated in District 1.
Mr. Herb Kinard, 4629 Donegal, said alcohol and pornography have ruined many great
nations, and the city named for the Body of Christ faced the same challenge. He said people were
praying that the Council will make the right decision.
Mr. Richard Beck, owner of Fantasy (a topless club), told the Council that passing the
ordinance as currently proposed would put people out of work. He said religion should not enter into
the Council's decision.
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Regular Council Meeting
May 28, 1996
Page 4
A man named "Slim" voiced support for the topless bar owners and their employees, and he
urged the Council to allow those businesses to stay open.
Mr. Walt Gore, 962 Oriental Street, said morals cannot be legislated, adding that he was more
concerned about pedophiles than topless dancers.
Ms. Janice Jones, who works at Bottoms Up, said the proposed ordinance would overregulate
adult businesses. She said as a single mother expecting another child, she wanted to keep her job
and did not want to be pushed onto welfare.
Mr. Ludell Adair, who works with Pepper's, said she contacted other cities about their adult
business ordinances. She criticized the "three strikes and out" provision, saying it created extensive
legal wrangling and would not be effective.
Mr. Douglas Meissner said he has owned Bottoms Up for 12 years. He said if the ordinance
passed, it would result in singling him out and eliminating his retirement plan.
Mr. Gerald Benadum, an attorney representing topless bar owners, asked that the public be
given another opportunity to address the completed ordinance; Mayor Rhodes replied that if the
resulting ordinance was radically different from the original, they would probably bring it back. Mr.
Benadum said there were basic issues involved, including free enterprise and freedom of speech, and
it was not a morality issue as far as the Council's authority was concerned. He said the original
objective --regulating where "true" sexually oriented businesses can be located --was worthwhile;
however, what has occurred is countless time spent arguing about the outcome of the existing topless
bars. He said there was not adequate evidence that topless bars created a problem, and he said the
existing businesses should be left alone.
Mr. Bill May, another local attorney representing topless bar owners, said the proposed
ordinance was very far-reaching and attempts to regulate topless bars in the same way as other adult
businesses. He said there should be different regulations for them. Mr. May also criticized the
"three strikes and out" provision for existing topless bars, saying it would be ineffective and lead to
years of litigation. He noted that the topless bars are already regulated by the Texas Alcoholic
Beverage Commission.
Mrs. Susan Barrett, 4006 Marion Circle, said she and others have appealed to the Council
many times, saying that the families of Corpus Christi do want and need an ordinance regulating
sexually oriented businesses. She said that regardless of what the bar owners and their lawyers say,
adult businesses do not enhance the quality of life in the community. Mrs. Barrett said there are
already 16 existing adult businesses, some of which are adjacent to schools, churches and daycare
centers. She said the very presence of a sexually oriented business in a neighborhood leaves an air
of undesirability, which is the primary cause of property devaluation. Mrs. Barrett pointed out that
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Regular Council Meeting
May 28, 1996
Page 5
other Texas cities, the City of Robstown and Nueces County already have or are considering
regulations for adult businesses. She submitted a petition with the names of 2,400 people in the
community who support the proposed ordinance and who are asking that the amortization period be
reduced to no more than three to five years.
Council Member Heldenfels made a motion to close the public hearing, seconded by Council
Member Betty Jean Longoria, and passed unanimously.
Mr. Hennings referred to several amendments to the ordinance that were proposed by staff.
He described the first four amendments and their accompanying maps, which illustrated possibilities
of different locations for adult businesses. Mr. Hennings explained that the substitute ordinance
(with no amendments) would allow approximately 1,401 acres in which adult businesses could be
located; Amendment 1, about 881 acres; Amendment 2, about 5,604 acres; Amendment 3, about
5,421 acres; and Amendment 4, about 5,342 acres. A lengthy discussion ensued among the Council
members, during which Mrs. Longoria addressed the issue of locating the sexually oriented
businesses primarily in her district --which she opposed --or in other areas throughout the city.
Council Member Martin pointed out that there were basically three issues facing the Council:
dealing with future adult businesses, regulating existing adult businesses, and determining an
amortization period for existing businesses. He also noted that in order to achieve a consensus
among the Council, certain "trade-offs" would have to be made. He said Amendment 1 proposed
the most restrictive locational requirements for future businesses, and it was difficult to support the
ordinance and not support Amendment 1.
Mayor Rhodes suggested that staff complete its discussion of the different proposed
amendments. Mr. Hennings explained that Amendment 5 would change the time within which a
permittee must apply for amortization extension to December 1, 1996 from June 30, 2005. Mr.
Martin made a motion to accept Amendment 5, seconded by Mayor Rhodes. Council Member John
Longoria suggested that all of the amendments be discussed before votes were taken on any of them.
Mr. Hennings explained the following eight amendments: Amendment 6, reduce the
amortization period from 10 years (as contained in the original ordinance) to another time period;
Amendment 7, eliminate the 10 -year amortization period and establish a permanent nonconforming
use; Amendment 8, allow immediate appeal to the City Manager's designee of the Police Chief's
decision that the permittee is responsible for a customer conviction; Amendment 9, provide that
appeal of the Police Chiefs decision on revoking, suspending, or denying a license is to the City
Council, rather than to the City Manager's designee; Amendment 10, limit the three -conviction rule
to convictions of employees, thus eliminating its application to customers; Amendment 11, eliminate
the three -conviction rule entirely; Amendment 12, expressly provide that if a conviction is reversed
upon appeal to court, it shall no longer constitute grounds for suspension, revocation, or denial of
Minutes
Regular Council Meeting
May 28, 1996
Page 6
a license; and Amendment 13, lower from $500 to $250 the daily civil penalty the Police Chief may
provide, upon request of an owner, as an alternate to a suspension.
Council Member McNichols asked about Amendment 13. Mr. Hennings said the adult
business owners requested that there be a civil penalty alternative, because they felt in some cases
it would be less onerous for them to pay a penalty than to have to shut down their businesses. The
original ordinance called for a $500 penalty and the owners asked that it be reduced to $250.
Mr. Longoria discussed the idea of retaining in the ordinance Sections 48-18, 48-19 and 48-
20 pertaining to applying for permits, and striking Sections 48-21 through 48-25 pertaining to
regulation of permits. City Attorney Bray noted that Mr. Longoria's suggestion would eliminate any
grounds for denial or revocation of the permit. Mr. Bray said that if the Council took that action,
he would need to revise the ordinance and bring it back for Council approval. Mr. Longoria said his
proposal would make it easier to come back later and amend the ordinance.
Mr. Martin made a motion to instruct staff to bring back a revised ordinance with the
following changes: adopt Amendment 1 regarding the location of adult businesses; strike the
regulatory portions discussed by Mr. Longoria; and in Amendment 6, reduce the amortization period
to seven years. Mr. Longoria seconded the motion.
Council Member Best questioned if those changes would "gut" the ordinance, and Mayor
Rhodes replied that without those changes, the ordinance would not pass at all. She noted that it
would set a time limit for the existing businesses and restrict the area in which they can be located,
while allowing for the penal code to regulate the businesses. Mr. Martin said that to his knowledge,
the Council was not primarily concerned with regulatory issues but with the location of adult
businesses and their effects on surrounding property.
Mr. Heldenfels said he would only support an ordinance which would "grandfather" the
existing adult businesses while allowing for regulation of future businesses.
Dr. Best asked if a public hearing would have to be held, and Mayor Rhodes said it would.
City Secretary Chapa polled the Council, and the motion passed by the following vote:
Rhodes, Best, Cooper, J. Longoria, and Martin voting "Aye"; Black, Heldenfels, B. Longoria, and
McNichols voting "No."
Responding to requests from Mr. Bray, the Mayor said the ordinance would be tabled until
June 11, 1996.
Minutes
Regular Council Meeting
May 28, 1996
Page 7
3.a. POSTPONED
Amending the Cede of O.d:nane.,s, City of Cetus Chtisti, by adding a ..eta-Glcapt,r 48,
Sexually Otie ded Basiness,s, regai:ing pcnnitti..g of scxually o.;e..t,,d baai..esses,
guiat ag y ea.e..te1 Lusi,nsscs, d�.€n,izIg scxuaily et; tcd bnsi
initial penait applieatioit, ,cpeali„ g Chaptei 28, Ma3sagc Parlors; providing-fo, pet.altics;
•
3.b. POSTPONED
* * * * * * * * * * * * *
Mayor Rhodes opened discussion on Item 4, basic cable television service and related rates.
Mr. Hennings explained that TCI Cablevision of Texas has applied for approval of a rate
increase. He noted that the U.S. Congress has severely limited the City Council's ability to regulate
cable television rates; basically, they are authorized to review TCI's proposal and determine if it
complies with Federal Communications Commission (FCC) guidelines. If the proposal does comply
with FCC guidelines, then TCI is allowed to put the increased rate into effect.
Mr. Hennings said the city used an expert consultant--Fredrikson & Byron --to review TCI's
rate filings, and the consultant presented their report to the Corpus Christi Cable Communications
Commission, which held a public hearing on the subject on May 20, 1996. He said that regarding
the basic service tier (channels 2-24, not including the premium pay -channels), which is what the
City Council is authorized to review, the charge that TCI is proposing is $9.44. Under the FCC
regulations, they are entitled to increase the rate to $9.50. The one deviation from what TCI
submitted is that in their proposal, they believe that the maximum allowable charge would be $9.51,
but the city's consultants determined that the maximum would be $9.50, which is consistent with
the FCC's regulations.
Minutes
Regular Council Meeting
May 28, 1996
Page 8
He said staff, the city's consultants, and the Cable Communications Commission are
recommending that the Council adopt an ordinance that authorizes TCI to increase the rate for basic
cable television service to $9.50, with similar findings on the lesser charges for service.
Mayor Rhodes asked what the consequences would be if the Council did not approve the
ordinance. Mr. Hennings replied that TCI would still be entitled to proceed because apparently they
are in compliance with the FCC regulations; however, one adverse result would be that the
determination that the maximum increase should be $9.50 would not exist, and TCI may persist in
their $9.51 proposal.
Mayor Rhodes called for comments from the audience.
Mr. Cecil Henry, 3117 Royal Court, opposed the requested increase, saying his bill for cable
television service from TCI has increased quite a lot in five years. He noted that TCI restructured
the channels a few years ago and placed CNN on Channel 39, preventing many customers from
receiving it because their televisions only went up to Channel 36. Mr. Henry said he did not believe
the rate request was justified because the FCC authorizes it, and he urged the Council to vote against
the proposal. Mayor Rhodes pointed out that if the Council opposed it, it would not lock TCI into
a rate "cap."
Council Member Heldenfels questioned whether the Council had access to TCI's actual costs,
adding that he would like to review those figures. He said he could understand TCI raising their rates
if that action was justified.
Council Member McNichols emphasized that the City Council had nothing to do with setting
cable television rates. He asked Mr. Hennings to further explain that point. Mr. Hennings replied
that the city can review TCI's proposals for rates for the basic tier of services, and determine if they
meet FCC guidelines. The other action is that the city can file complaints with the FCC if they
believe that their charges for expanded basic service are too high. He said the city has done that in
the past, and about a year ago the FCC did act on the city's complaint and ordered a refund to
customers.
Council Member Cooper said she did not see any justification for TCI's proposal, therefore,
she would vote against it.
Responding to Council Member Best, Mr. Hennings said this is not the first time that the city
has found a minor deviation in TCI's proposal. In taking this action, the city is ensuring that TCI
meets the FCC regulations. Dr. Best also asked what would occur if the Council opposed the
proposed ordinance. Mr. Hennings replied that TCI could acquiesce to the Council's decision and
not raise the rates; more likely, however, they would put their proposal into effect. He noted that
TCI has already advertised and notified their customers that they are going to raise the rates. He
Minutes
Regular Council Meeting
May 28, 1996
Page 9
added that TCI's argument would be that the proposed increase meets the FCC guidelines and the
city has no authority to prevent them from doing that.
Dr. Best asked why this ordinance was before the Council, and Mr. Hennings said it was the
device that Congress established to involve the local government in cable television rates.
Council Member Martin asked if the Council's role was to make a finding that the rates
requested by TCI do not violate FCC regulations and therefore are not subject to the Council's
review. He said the Council could make a finding that they could not prevent the rate increase, or
that TCI's rate increase is consistent with federal law. Mr. Martin said it appears that the Council
is being asked to approve a rate increase which they do not want to do. City Attorney Bray replied
that the Council's action would be to authorize the rates calculated in accordance with the FCC rules;
it is not a finding that the rates are reasonable.
Mr. Martin then asked if the law provided that the Council has to make that determination,
or does it provide that if TCI is outside the FCC rules, then the Council can make rate
determinations. Assistant City Attorney Michael Scanlon responded that the City Council, as the
regulating authority, must make that finding in order to ensure that the cap is as low as it can be. Mr.
Martin said he did not object to making that determination, but it seems that the Council is approving
a rate increase for TCI. Mr. Scanlon said the Council was not approving a rate increase but
authorizing one.
Dr. Best asked what the difference was between "approving" and "authorizing" a rate
increase. Mr. Scanlon explained that if the Council had failed to act at all, TCI's submission was
originally asking for a cap of $9.65 per month; by acting, the Council has reviewed TCI's filing and
compressed their rate from $9.65 to $9.50. So by authorizing TCI to do only what the FCC allows
them to do, the Council is keeping the rate as low as it should be.
Dr. Best said the average citizen will think that the Council voted to give TCI a rate increase,
which he did not think the Council wanted. Mr. Scanlon said the ordinance was written to authorize
FCC -approved rates, not to put the Council in the position of approving the rates.
Council Member John Longoria asked that if the Council took no action on this item, then
TCI would not reach the cap. Mr. Scanlon replied that if the Council took no action or voted against
it, the result would be, at a minimum, the cap would be $9.51 instead of $9.50, when it should be
$9.50.
Mrs. Cooper asked about the $9.65 rate, and Mr. Scanlon explained that $9.65 was the rate
that TCI originally said was the maximum permitted rate, and after reviewing the filing the city's
consultant found it to be in error. Mrs. Cooper asked if the Council voted against the proposal,
would TCI raise the rate to $9.65, and Mr. Scanlon said the city's argument would be that they have
Minutes
Regular Council Meeting
May 28, 1996
Page 10
to remain with the $9.51 rate. He said that in essence, the Council would be giving back to TCI
money to which they are not entitled if the Council voted no. Mrs. Cooper asked if TCI would
automatically go to the $9.51 rate if the ordinance did not pass, and Mr. Scanlon said that was up
to TCI.
City Secretary Chapa polled the Council for their votes as follows:
4. FAILED TO PASS
The foregoing ordinance failed to pass by the following vote: Rhodes, Best, Black, Cooper,
Heldenfels, B. Longoria, J. Longoria, Martin, and McNichols voting "No."
* * * * * * * * * * * * *
Mayor Rhodes opened discussion on Item 5, grant applications to the Coastal Management
Program.
It Tom Utter, Assistant City Manager for Development Services, said the Texas General
Land Office (GLO) estimates that the state will be receiving approximately $1 million for coastal
projects under the Coastal Management Program from the federal government. He said staff was
proposing to submit three grant applications with authority for a fourth one, which he described:
Padre Island seawall public beach access and parking project; Corpus Christi downtown waterfront
revitalization (Gateway Project); Corpus Christi Beach renourishment; and a request by the Corpus
Christi Beach Association to endorse and nominate a Corpus Christi Beach master plan grant
application for $40,000.
Mayor Rhodes called for comments from the audience, and there were none. City Secretary
Chapa polled the Council for their votes as follows:
5. RESOLUTION NO. 022582
Resolution by the City Council of the City of Corpus Christi, Texas, supporting three City
grant applications and one from the Corpus Christi Beach Association to the Coastal
Management Program for improvement projects consistent with the Corpus Christi Coastal
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Regular Council Meeting
May 28, 1996
Page 11
Management Plan and authorizing the City Manager or his designee to submit the three City
grant applications.
The foregoing resolution passed by the following vote: Rhodes, Best, Black, Cooper,
Heldenfels, B. Longoria, J. Longoria, Martin, and McNichols voting "Aye."
* * * * * * * * * * * * *
Mayor Rhodes announced that the closed session, pursuant to Texas Government Code
Section 551.071 concerning matters which are the subject of attorney-client privilege concerning the
City's adopting ordinance(s) regulating discharge of certain materials into the City of Corpus Christi
Municipal Separate Storm Sewer System, would not be held. She said the Council would discuss
the issue during open session.
The Mayor then opened discussion on Item 6, discharge of materials into the storm sewer
system. Mr. Hennings noted that the Council approved the first reading of the ordinance last week.
Since then staff received verbal advice from the Environmental Protection Agency (EPA) staff in
Dallas, and city staff was following up on that advice by asking the Council to amend the ordinance
before the second reading. He explained that in the federal regulations, there are some exceptions
specifically listed, and the EPA said Corpus Christi should specifically list those as exceptions in
its ordinance.
Mayor Rhodes asked Mr. Hennings to delineate those exceptions, and he explained that the
following discharges would be allowed into the municipal separate storm sewer system: a discharge
under a valid National Pollution Discharge Elimination System permit; resulting from fire fighting
activities or from washing an automobile at a residence or charitable car wash; potable water, surface
waters, or street wash water; resulting from flushing a water supply line; a non -point source
discharge from agricultural activities; or condensate from cooling systems.
Mr. Hennings said staff was also proposing that the ordinance state that "overspray and small
amounts of runoff from irrigation of vegetation that pools in a gutter or on a road surface, but does
not flow in a steady stream into any manhole or catch basin, is not considered an illicit discharge into
the municipal separate storm sewage system."
Mr. Jay Reining, Assistant City Attorney, explained that the ordinance described a discharge
of any surface waters as including water from diverted stream flows; uncontaminated rising ground
water; water from foundation drains, crawl space pumps, and footing drains; water from springs; and
flows from riparian habitats and wetlands.
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Regular Council Meeting
May 28, 1996
Page 12
Mr. Hennings said EPA officials also said that Corpus Christi has some existing ordinances
which, if read literally, would prohibit any discharges into the drainage system, and they should be
corrected. Consequently, staff was proposing that Sections 2-6 be accepted.
Mayor Rhodes called for comments from the audience on the motion to amend (Item 6.b.),
and there were none. City Secretary Chapa polled the Council for their votes as follows:
6.b. M96-147
Motion to amend, prior to second reading, ordinance regulating the discharge of certain
materials into the City of Corpus Christi Municipal Separate Storm Sewer System.
The foregoing motion passed by the following vote: Rhodes, Best, Black, Cooper,
Heldenfels, B. Longoria, J. Longoria, and Martin voting "Aye"; McNichols absent.
Responding to Council Member Martin, Mr. Hennings said the action was intended to correct
some errors in the Code of Ordinances. He added that one other area of concern regarded the
blowing of grass clippings into the street; he noted that the EPA said the city did not have to prohibit
that activity. Mr. Hennings said it is common knowledge that grass clippings are a source of
pollution in the drainage system, and he suggested that the Council consider putting that prohibition
back in the ordinance.
Mayor Rhodes made a motion, seconded by Council Member Cooper, to prohibit the blowing
of grass clippings into the storm sewer system.
Council Member McNichols said he agreed with that, but he observed that the city
encourages people not to bag their grass clippings for disposal at the landfill, while commercial
operators are charged for their disposals. Mr. Hennings commented that staff invited lawn care
professionals to a meeting, and they said grass clippings should be blown back onto lawns, not into
the street; however, they acknowledged that the practice is different from the intent.
City Attorney Bray said staff suggested the following language with regard to Mayor
Rhodes' motion: "Intentionally sweeping or blowing grass clippings into the streets and gutters is
prohibited." (Section 55-201 of the Code) Mayor Rhodes amended her motion to adopt that
language, and the motion passed unanimously.
Mr. Bray also referred to two technical amendments that needed to be made to correct two
reference errors; Mayor Rhodes made motions to correct those errors, and they passed unanimously.
City Secretary Chapa polled the Council for their votes as follows:
Minutes
Regular Council Meeting
May 28, 1996
Page 13
6.c. ORDINANCE NO 022583
Amending the City Code of Ordinances, Chapter 55, regulating the discharge of certain
materials into the City of Corpus Christi Municipal Separate Storm Sewer System; providing
a penalty for the violation of such provisions; and directing publication of subject ordinance.
The foregoing ordinance passed on second reading, as amended, by the following vote:
Rhodes, Best, Black, Cooper, Heldenfels, B. Longoria, J. Longoria, Martin, and McNichols
voting "Aye."
* * * * * * * * * * * * *
Mayor Rhodes opened discussion on Item 7, brush truck cabs and chassis.
Responding to Council Member McNichols, Fire Chief J.J. Adame said they had extensive
consultation with the fire fighters who actually fight the brush fires, and they all felt this was the best
piece of equipment the city could purchase to fight brush fires. He added that each piece of
equipment contained a rebuilt and reconditioned diesel engine.
In reply to Council Member Betty Jean Longoria, Chief Adame said that with this purchase,
the Fire Department would replace two brush trucks that are in fair to poor condition, thus
maintaining four brush trucks in service.
Mayor Rhodes called for comments from the audience, and there were none. City Secretary
Chapa polled the Council for their votes as follows:
7. M96-148
Motion approving the purchase of two truck cab and chassis in accordance with Bid
Invitation No. BI -0238-96 from Memphis Equipment Company, Memphis, Tennessee on the
basis of only bid in the total amount of $106,036. The cab and chassis, when equipped with
water tank, pump and equipment, will be used by the Fire Department for fighting brush
fires. The equipment will be funded through the City's lease/purchase contract with G.E.
Capital.
The foregoing motion passed by the following vote: Rhodes, Best, Black, Cooper,
Heldenfels, B. Longoria, J. Longoria, and McNichols voting "Aye"; Martin absent.
* * * * * * * * * * * * *
Minutes
Regular Council Meeting
May 28, 1996
Page 14
Mayor Rhodes opened discussion on Item 8, revisions to the Utilities Capital Improvement
Program (CIP).
Mr. Hennings explained that the capital budget adopted last year anticipated that the city
would have a bond sale in the spring of 1996 for some of the utility projects, but that bond sale was
postponed until the fall. However, said Mr. Hennings, there are some projects that need to be
completed and available funds need to be reallocated in order to do that. One of those items was
Item 14 on the day's agenda, the rehabilitation of some water wells in the Lake Corpus Christi
reservoir area. He said that a few other projects will be needed that are necessitated by the current,
but unforeseen, drought situation.
Mr. Hennings said that the Del Mar neighborhood street improvements program will go to
contract before the fall bond sale, so funds will need to be available for the utility relocation portions
of those projects.
Responding to Council Member Martin, Mr. Hennings said the funds for the Del Mar
improvements were for the water and wastewater systems. Ms. Grace McNett, Capital Budget
Officer, said the wastewater costs were included in the proposed 1995-96 bond sale that was going
to carry over into 1996-97. She said the water costs did exceed the original estimates because the
engineers developed the estimate based on the Phase II Del Mar area improvements, which did not
involve replacing the service lines from the rear easement to the front right-of-way, as Phase III does.
In reply to another question from Mr. Martin, Ms. McNett said the estimate for street costs
for Del Mar area Phases I and III was almost $4.2 million. Mr. Hennings added that in the original
capital budget, there was a listing under utility relocations of all the projects that would be included.
Mr. Martin asked that this item be postponed pending more detailed information. Mr.
Hennings said this issue came before the Council due to the need for funding of the Lake Corpus
Christi wells rehabilitation. He said staff planned to come before the Council at the next meeting
during the discussion of water issues with a proposed revision to the whole capital improvement
program to incorporate the necessary water projects. Mr. Hennings said staff could return during
the meeting with a funding proposal for Item 14, wells rehabilitation.
Mayor Rhodes called for a 10 -minute recess while the staff prepared that information.
Returning to the discussion of Item 8, Mr. Hennings suggested that Item 8 be postponed to
another Council meeting, and Item 14 be held until the end of the day's meeting while staff prepares
a certification of funds for that item.
Minutes
Regular Council Meeting
May 28, 1996
Page 15
8. POSTPONED
Bot,d Sale.
**r*rrrssss**
Mayor Rhodes opened discussion on Item 9, water supply and drought contingency plan
issues. Mr. James Dodson, Regional Water Director, said the reservoir levels continue to decline;
as of that day the combined system storage was at 32.6%, down from 56.1% a year ago. He said that
during the month of May there has only been a measurement of approximately 400 acre-feet of
inflow into the reservoir system, which is less than the 500 acre-feet per month of credit that is
allowed for the pass-throughs of flows to the bays and estuaries.
Mr. Dodson said one of the major factors was evaporation, which will continue to decrease
the levels if no inflows are received. However, he said, water conservation efforts were improving.
During May to date, statistics showed that the city had saved almost 13% of water use over the
month of May 1995. He noted that the city had been in Condition II of the drought contingency plan
for only three weeks, and the community should be commended for its efforts. Mr. Dodson also
reported that surrounding communities had been passing ordinances that parallel Corpus Christi's
water ordinance as quickly as they could.
Council Member Martin requested an exact report on which cities had implemented their own
ordinances. He also asked for a copy of the complete drought contingency plan, and for a
breakdown of the factors involved in the decline in reservoir capacity this year over last year.
Responding to Council Member John Longoria, Mr. Dodson said the current trigger level for
Condition III was 11% of system capacity, which was an issue that the Water Conservation Advisory
Committee would be considering. He said that he felt 11% was too low and should be raised. Mr.
Dodson added that if Corpus Christi has not received any inflows by October, it should seriously be
considered whether to enact Condition III at that time.
Mr. Longoria also asked if the city issued any type of permit allowing people to use extra
water, and Mr. Hennings said the city did not. Mr. Dodson added that in the near future, staff will
be asking the Council to appoint an Allocation Committee.
Council Member Heldenfels said he thought the other municipal water users had to conform
to Corpus Christi's regulations. Mr. Dodson and Mr. Bray said they did, but the timing of getting
their ordinances through their respective governing bodies varied.
Minutes
Regular Council Meeting
May 28, 1996
Page 16
Council Member McNichols said he and others expected there to be a two- to three-week lag
time in getting the other cities' ordinances passed. He reiterated that the city's goal was to start
conserving water as efficiently as possible with a minimum impact on businesses.
Mr. Hennings referred to a memo from staff to the Council concerning a draft letter to water
customers asking them to report the number of people residing in their households in preparation for
Condition III. Dr. McNichols suggested that that letter not be sent out yet so that it can be discussed
by the Water Conservation Advisory Committee first.
# # # # # # # # # # # # #
Mayor Rhodes called for consideration of consent motions, resolutions, ordinances and
ordinances from previous meetings on Items 10 through 25, and Council Members requested that
Items 10, 14, 16, 18, 19, 22, and 25 be withheld for discussion.
City Secretary Chapa polled the Council for their votes and the following were passed:
11. M96-150
Motion approving the purchase of one motorgrader in accordance with Bid Invitation No.
BI -0169-96 from Waukesha Pearce Industries, Corpus Christi on the basis of low bid
meeting specifications for the amount of $93,480. The unit is budgeted in the 1995-96
Budget as a replacement unit for the Street Services Department. The equipment will be
funded through the City's lease/purchase contract with G.E. Capital.
The foregoing motion passed by the following vote: Rhodes, Best, Black, Cooper,
Heldenfels, B. Longoria, J. Longoria, Martin, and McNichols voting "Aye."
12. M96-151
Motion approving a supply agreement with the Gulf Business Forms, Corpus Christi, Texas
in accordance with Bid Invitation No. BI -0173-96 for approximately 1,285,000 mail -out
envelopes and 1,285,000 return envelopes based on low bid for an estimated annual
expenditure of $35,388.90. The term of the agreement shall be for twelve months with an
option to extend for up to two additional twelve month periods, subject to the approval of the
supplier and the City Manager or his designee. Funds are budgeted in FY 95-96 by the
Utilities Business Office.
The foregoing motion passed by the following vote: Rhodes, Best, Black, Cooper,
Heldenfels, B. Longoria, J. Longoria, Martin, and McNichols voting "Aye."
Minutes
Regular Council Meeting
May 28, 1996
Page 17
13. M96-152
Motion approving a supply agreement with S.S.P. Petroleum, Corpus Christi, Texas in
accordance with Bid Invitation No. BI -0210-96 for approximately 800,000 gallons of
reformulated gasoline; 123,000 gallons of commercial gasoline; and 780,000 gallons of
diesel fuel based on total low bid for an estimated annual expenditure of $1,486,321.50. The
term of the agreement shall be for twelve months with an option to extend for up to two
additional twelve month periods, subject to the approval of the supplier and the City
Manager or his designee. Funds are budgeted in FY 95-96 by the using departments.
The foregoing motion passed by the following vote: Rhodes, Best, Black, Cooper,
Heldenfels, B. Longoria, J. Longoria, Martin, and McNichols voting "Aye."
15. M96-154
Motion awarding a contract in the amount of $32,274 to ECS Construction for structural and
roof repairs at the Oso Municipal Golf Course Club House.
The foregoing motion passed by the following vote: Rhodes, Best, Black, Cooper,
Heldenfels, B. Longoria, J. Longoria, Martin, and McNichols voting "Aye."
17. M96-156
Motion awarding the contract for engineering services on the Upriver Road Water
Transmission Main Project - Phases II and III, to J.R. Thompson Engineering and Bass &
Welch Engineering and authorization of Phase 2 services in an amount not to exceed
$125,500.
The foregoing motion passed by the following vote: Rhodes, Best, Black, Cooper,
Heldenfels, B. Longoria, J. Longoria, Martin, and McNichols voting "Aye."
20.a. M96-158
Motion approving the reimbursement application submitted by Mau and Dolce, Inc. A Texas
Corporation, dba Delta Tires of Corpus Christi, Inc. for the installation of 923 linear feet of
a 12 inch PVC water grid main.
The foregoing motion passed by the following vote: Rhodes, Best, Black, Cooper,
Heldenfels, B. Longoria, J. Longoria, Martin, and McNichols voting "Aye."
Minutes
Regular Council Meeting
May 28, 1996
Page 18
20.b. ORDINANCE NO. 022588
Ordinance appropriating the amount of $37,995.87 from the Water Arterial Transmission and
Grid Main Trust Fund No. 143-246.95 to pay Mau and Dolce, Inc. A Texas Corporation, dba
Delta Tires of Corpus Christi, Inc.
An emergency was declared and the foregoing ordinance passed by the following vote:
Rhodes, Best, Black, Cooper, Heldenfels, B. Longoria, J. Longoria, Martin, and McNichols
voting "Aye."
21. ORDINANCE NO. 022592
Ordinance authorizing the City Manager to execute a Special Warranty Deed for surplus
property - triangular in shape, 0.382 acres in size out of the Hopper Addition bounded by
Fort Worth, Brawner Parkway, and the Bayshore Bible Church - to Bayshore Bible Church,
EFCA for $8,250.
An emergency was declared and the foregoing ordinance passed by the following vote:
Rhodes, Best, Black, Cooper, Heldenfels, B. Longoria, J. Longoria, Martin, and McNichols
voting "Aye."
23.a. ORDINANCE NO. 022589
Ordinance authorizing the City Manager or his designee to execute an interlocal agreement
with the Coastal Bend Council of Governments whereby the City will develop a Centralized
Composting Program.
An emergency was declared and the foregoing ordinance passed by the following vote:
Rhodes, Best, Black, Cooper, Heldenfels, B. Longoria, J. Longoria, Martin, and McNichols
voting "Aye."
23.b. ORDINANCE NO. 022591
Ordinance appropriating $130,000 from the Coastal Bend Council of Governments as a pass-
through grant from the Texas Natural Resource Conservation Commission to fund a
Centralized Composting Program and adding $130,000 to the FederaUState Grants Fund No.
162.
An emergency was declared and the foregoing ordinance passed by the following vote:
Rhodes, Best, Black, Cooper, Heldenfels, B. Longoria, J. Longoria, Martin, and McNichols
voting "Aye."
Minutes
Regular Council Meeting
May 28, 1996
Page 19
24. FIRST READING ORDINANCE
Amending the Code of Ordinances, Chapter 53 - Traffic, Section 53-252, Schedule III -
Parking Prohibited at All Times on Certain Streets by restricting curbside parking at all times
on both side of McKinzie Road, between McKinzie Lane and a point approximately 375 feet
south of Haven Drive.
The foregoing ordinance passed on first reading by the following vote: Rhodes, Best, Black,
Cooper, Heldenfels, B. Longoria, J. Longoria, Martin, and McNichols voting "Aye."
* * * * * * * * * * * * *
Mayor Rhodes opened discussion on Item 10, recruitment profile for City Manager.
Council Member John Longoria commented that the recruitment profile prepared by Mr.
Norman Roberts and Associates Inc. was extensive, and would be available to the public.
Mayor Rhodes called for comments from the audience, and there were none. City Secretary
Chapa polled the Council for their votes as follows:
10. M96-149
Motion approving the "Recruitment Profile" for the City Manager's position as prepared by
Norman Roberts & Associates, Inc.
The foregoing motion passed by the following vote: Rhodes, Best, Black, Cooper,
Heldenfels, B. Longoria, J. Longoria, Martin, and McNichols voting "Aye."
* * * * * * * * * * * * *
Mayor Rhodes opened discussion on Item 16, gas telemetry pressure monitoring system.
Responding to Council Member Martin, Mr. Hennings said that even if Phase 2 of the project
was not completed next year, it still needed to be done at some point.
Mayor Rhodes called for comments from the audience, and there were none. City Secretary
Chapa polled the Council for their votes as follows:
Minutes
Regular Council Meeting
May 28, 1996
Page 20
16. M96-155
Motion awarding a construction contract in the amount of $311,200 to Team Controls, Inc.
for Phase 1 and Phase 2 of the Gas Telemetry Pressure Monitoring/Control System with the
provision that Phase 2 work will be performed only if sufficient funds are appropriated for
that purpose on or after August 1, 1996.
The foregoing motion passed by the following vote: Rhodes, Best, Black, Cooper,
Heldenfels, B. Longoria, J. Longoria, Martin, and McNichols voting "Aye."
* * * * * * * * * * * * *
Mayor Rhodes opened discussion on Item 18, Minority Business Opportunity Committee.
Council Member Martin said that during the Community Development Block Grant program
hearing in April, there had been discussion about the MBOC program, as well as confusion
concerning the defmition of "minority" in a pamphlet about the program. Mr. Martin had asked that
the MBOC director write a memorandum that sets forth an exact definition; however, he never
received that memorandum and he felt it needed to be clarified.
Mayor Rhodes called for comments from the audience, and there were none. City Secretary
Chapa polled the Council for their votes as follows:
18. M96-157
Motion authorizing the City Manager or his designee to submit an application to the U.S.
Department of Commerce, Minority Business Development Agency (MBDA) for $70,000
to continue the Minority Business Opportunity Committee (MBOC) Program.
The foregoing motion passed by the following vote: Rhodes, Best, Black, Cooper,
Heldenfels, B. Longoria, J. Longoria, Martin, and McNichols voting "Aye."
* * * * * * * * * * * * *
Mayor Rhodes opened discussion on Item 19, agreements for summer recreation program.
Council Member John Longoria said he wished to recognize the effectiveness of this
program. Responding to a question from Mr. Longoria, Mr. Malcolm Matthews, Director of Park
and Recreation, said only the school site needed to qualify for the program (over 50% of the students
at a particular school have to be eligible for the free or reduced lunch program during the school
year). He said any child between the ages of one and 18 can receive a free lunch or free snack during
Minutes
Regular Council Meeting
May 28, 1996
Page 21
the summer at one of the 12 designated sites. Mr. Matthews added that staff applied for a Texas
Parks and Wildlife grant to conduct an outdoor outreach program, and the city was awarded the
largest grant in the state of $20,000.
Mayor Rhodes called for comments from the audience, and there were none. City Secretary
Chapa polled the Council for their votes as follows:
19.a. ORDINANCE NO. 022584
Ordinance appropriating a grant in the amount of $126,663 from the Texas Department of
Human Services to operate Summer Food Service Program for Summer Recreation Program
participants aged one to eighteen years; amending Ordinance No. 022279 which adopted the
FY 1996-95 Budget by adding $126,663 to the Federal/State Grants Fund No. 162.
An emergency was declared and the foregoing ordinance passed by the following vote:
Rhodes, Best, Black, Cooper, Heldenfels, B. Longoria, J. Longoria, Martin, and McNichols
voting "Aye."
19.b. ORDINANCE NO 022585
Ordinance authorizing the City Manager or his designee to execute an Interlocal
Governmental Agreement with Corpus Christi Independent School District to provide
summer food services for Summer Recreation Program.
An emergency was declared and the foregoing ordinance passed by the following vote:
Rhodes, Best, Black, Cooper, Heldenfels, B. Longoria, J. Longoria, Martin, and McNichols
voting "Aye."
19.c. ORDINANCE NO 022586
Ordinance authorizing the City Manager or his designee to execute an Interlocal
Governmental Agreement with Corpus Christi Independent School District to provide
transportation services to Summer Recreation sites.
An emergency was declared and the foregoing ordinance passed by the following vote:
Rhodes, Best, Black, Cooper, Heldenfels, B. Longoria, J. Longoria, Martin, and McNichols
voting "Aye."
Minutes
Regular Council Meeting
May 28, 1996
Page 22
19.d. ORDINANCE NO. 022587
Ordinance appropriating $20,000 from the Texas Parks and Wildlife Department for
Community Outdoor Outreach grant to the Federal/State Grants Fund No. 162.
An emergency was declared and the foregoing ordinance passed by the following vote:
Rhodes, Best, Black, Cooper, Heldenfels, B. Longoria, J Longoria, Martin, and McNichols
voting "Aye."
* * * * * * * * * * * * *
Mayor Rhodes opened discussion on Item 22, completion of the Columbus Fleet Shipyard
improvements and museum expansion. She then made a motion to amend Item 22.b. as follows:
delete Section 2 authorizing the appropriation, and Section 3 amending the FY95-96 Capital Budget
by the increased appropriation, and renumbering Section 4 to Section 2. Council Member Martin
seconded the motion. Mr. Hennings explained that the reason for the amendment was that it called
for appropriating funds that were already appropriated.
Responding to a question from Mr. Martin, Mr. Utter said while the project is substantially
complete, the contractor still has some work to finish. Mr. R.H. Shackelford, Director of
Engineering Services, added that there is an outstanding change order of about $22,000 that is in the
process of being finalized. He said "substantially complete" means that the facility can be used, but
the project is not yet being closed out.
Mayor Rhodes called for comments from the audience, and there were none. She then called
for a vote on the motion to amend Item 22.b., and it passed (J. Longoria abstaining).
City Secretary Chapa polled the Council for their votes as follows:
22.a. RESOLUTION NO. 022590
Resolution by the City Council of the City of Corpus Christi, Texas declaring the
construction of the Columbus Fleet Shipyard and the Seeds of Change expansion at the
Corpus Christi Museum of Science and History as substantially complete.
The foregoing resolution passed by the following vote: Rhodes, Best, Black, Cooper,
Heldenfels, B. Longoria, Martin, and McNichols voting "Aye"; J. Longoria abstaining.
Minutes
Regular Council Meeting
May 28, 1996
Page 23
22.b. ORDINANCE NO. 022591
Ordinance authorizing the transfer of $282,323 from the No. 577 Museum
Expansion/Bayfront Arts and Sciences Capital Improvement Fund into the No. 300 General
Obligation Debt Service Fund.
An emergency was declared and the foregoing ordinance passed, as amended, by the
following vote: Rhodes, Best, Black, Cooper, Heldenfels, B. Longoria, Martin, and
McNichols voting "Aye"; J. Longoria abstaining.
* * * * * * * * * * * * *
Mayor Rhodes opened discussion on Item 25, contract management agreement with the
Texas State Aquarium Association (TSAA).
Council Member Martin asked why similar action was not taken for a contract at the airport.
Mr. Hennings replied that the distinction was that the city is governed by Federal Aviation
Administration regulations at the airport, which require qualification -based proposals --local
preference cannot be part of the solicitation for proposals.
Mayor Rhodes called for comments from the audience, and there were none. City Secretary
Chapa polled the Council for their votes as follows:
25.a. M96-_159
Motion authorizing the City Manager or his designee to enter into a Contract Management
Agreement with the Texas State Aquarium Association (TSAA).
The foregoing motion passed by the following vote: Rhodes, Best, Black, Cooper,
Heldenfels, B. Longoria, J. Longoria, Martin, and McNichols voting "Aye."
25.b. M96-160
Motion authorizing the waiver of the 75% local participation rule in soliciting Requests for
Proposals from consultants for professional services necessary to develop Phase 2 Design,
"Aquarium 2000" Concept.
The foregoing motion passed by the following vote: Rhodes, Best, Black, Cooper,
Heldenfels, B. Longoria, J. Longoria, Martin, and McNichols voting "Aye."
Minutes
Regular Council Meeting
May 28, 1996
Page 24
* * * * * * * * * * * * *
Mayor Rhodes opened discussion on Item 14, Lake Corpus Christi reservoir area well
rehabilitation.
Mr. Hennings said staff was changing the source of funding to the Water Department
operating budget, and he had the certification of funds to do so.
Mayor Rhodes called for comments from the audience, and there were none. City Secretary
Chapa polled the Council for their votes as follows:
14. M96-153
Motion to award a construction contract in the amount of $55,500 to Layne -Texas (a division
of Layne, Inc.) for the Lake Corpus Christi Reservoir Area Wells Rehabilitation.
The foregoing motion passed by the following vote: Rhodes, Best, Black, Cooper,
Heldenfels, B. Longoria, J. Longoria, Martin, and McNichols voting "Aye."
* * * * * * * * * * * * *
Mayor Rhodes announced that Item 27, closed session pursuant to Texas Government Code
Section 551.074 regarding personnel matters in the Solid Waste Services Department, was being
postponed until the June 11, 1996 Council meeting, with the understanding that no action will take
place on that issue until that time. In addition, she said that Item 29, closed session pursuant to
Texas Government Code Section 551.071 regarding Richard J. Herschbach, an Individual and on
behalf of Retired Firefighters and Benefit Recipients of the Corpus Christi Firemen's Relief and
Retirement Fund, v. City of Corpus Christi, and the Board of Trustees of the Corpus Christi
Firemen's Relief and Retirement Fund, Cause No. 894954-D, 105th District Court, Nueces County,
Texas, was also being postponed until a future date.
The Mayor then announced that the Council was going into closed session concerning Items
26 and 28 as follows: Item 26 - pursuant to Texas Government Code Section 551.074 regarding new
or interim City Manager selection, with possible action thereafter in open session; and Item 28 -
pursuant to Texas Government Code Section 551.071 regarding contract negotiation with Corpus
Christi Police Officers Association and related proceedings, with possible action in open session.
The Council went into closed session.
The Council returned from closed session.
Minutes
Regular Council Meeting
May 28, 1996
Page 25
* * * * * * * * * * * * *
Mayor Rhodes called for the City Manager's report, in which Mr. Garza presented the FY96-
97 city budget. He explained that this current year budget was probably the most difficult budget
that he has had to administer because the fiscal year began about $2 million in arrears. He pointed
out that the city had sufficient reserves to cover the overbudgeting, but last August staff began
looking at ways to pare back the budget. Other factors that made the current budget difficult
included an audit which indicated that the fund balance had been overstated in the proposed budget
by about $500,000, and the auditors also suggested that staff change the method of allocation for the
internal service funds, which resulted in an increase in General Fund expenditures of about $1.2
million In addition, sales tax revenue was not as high as had been anticipated.
Mr. Garza said staff worked hard to reduce expenditures so that the ending fund balance for
the General Fund will be in excess of $2.8 million, of which about $2.4 million will be unreserved
and can be used to fund operations for the coming fiscal year. He noted that the Council's long-term
goal is to try to make current revenues accommodate current expenditures so that the fund balance
will not be depleted, which is often difficult.
Mr. Garza said that despite the many challenges that were faced in the current fiscal year,
several accomplishments were still made. These included the final adjudication of the Lake Texana
contract, which vindicated City Attorney Bray; the securement of the new landfill site and the
beginning of the process of securing the necessary permits; the addition of police officers and fire
fighters, as well as the purchase of police cars and fire trucks; the opening of the Natatorium, which
was a joint effort of the city and Corpus Christi Independent School District; several road
improvements throughout the city; negotiation of the sale of land to the General Services
Administration for a new federal courthouse and continuation of the Gateway Project, which
required the cooperation of the Downtown Management District, Mr. Robert Rowling, and the
efforts of Assistant City Manager Utter; and preparation of the flexible attainment agreement to
improve the city's air quality, which was accomplished with the assistance of Deputy City Manager
Hennings.
Challenges that continue to face the city include the drought and the many problems that
situation poses; the need for improvements to the drainage system; the necessity of refinancing the
Choke Canyon debt; and the complex problem of youth violence, among others.
Mr. Garza said that for the 1996-97 fiscal year, staff projected a closing balance on July 31,
1997 of $1,403,767. He said that if additional funds become available, he recommended that the
following items be added to the budget: employee pay increase, $1 million; fund 53 unfunded
positions, $1 million; increase the street pavement base rehabilitation program, $623,000; replace
four animal control vehicles, $80,000; and repair various facilities, $303,000.
Minutes
Regular Council Meeting
May 28, 1996
Page 26
Mr. Garza concluded his message about the budget by saying that city employees are highly
professional in a variety of tasks, many of which are taken for granted. He then thanked the Council
for giving him the opportunity to be the City Manager for the last eight years, and he wished them
the best in the future.
The City Manager then described in some detail different aspects of the preliminary budget.
He said the estimated revenues for FY95-96 are $107,526,223; and for FY96-97 they are estimated
at $109,043,034, with most of the increase expected in the general property tax. With regard to
expenditures, he said most of the increases are derived from general government and public safety.
He said the preliminary budget is slightly more conservative than last year's budget, including in the
areas of wages and salaries, and fire and police uniform personnel. Mr. Garza said he is again
recommending an increase in recreation fees (about $85,000 in the General Fund budget).
Mr. Garza also discussed the budget for the Combined Utilities Fund. He said staff has
prepared two budgets --a drought contingency budget and a non -drought budget, with the largest
difference in the projected water revenues. He said the gas and wastewater funds are not greatly
affected by the drought. However, if the drought continues, the Council will probably be taking
action to impose some water surcharges to ensure that the financial strength of the Combined
Utilities Fund is maintained.
He said he was recommending a major change in the practice of funding the general
obligation debt service reserves. Mr. Garza explained that staff uses the city's good rating to borrow
money on behalf of any of the city's funds, but general revenues are used to fund the reserves. He
said a better way would be to have the funds that utilize the credit of the city fund those reserves;
for example, he is recommending that the airport and the drainage utility fund their own reserves in
the General Obligation Debt Service Fund. The City Manager also recommended that the city
continue its modified freeze on hiring.
Responding to Council Member Martin, Mr. Garza said the preliminary budget contained
a 1.1 cent tax rate increase, which the Council had previously approved. Mr. Martin commended
Mr. Garza on finding a creative way to fund the city's debt service reserves. Mr. Garza noted that
the city's bond counsel, McCall, Parkhurst & Horton, had reviewed and approved the city's funding
practices. He noted that it has been very important that the city protect the 75% rule in the General
Obligation Debt Service Fund, and that the General Fund ending balance be much higher than had
originally been proposed.
Mr. Martin then asked how close the amounts were for current revenue as compared to
current expenditures, and Mr. Garza replied that there was still a difference of about $2 million,
which was about the same as last year.
Minutes
Regular Council Meeting
May 28, 1996
Page 27
Council Member McNichols pointed out that the 1.1 cent tax rate increase was approved by
the Council in order to complete the 1986 bond program, and it will take effect in the 1996-97 fiscal
year. Mr. Garza noted that the debt service schedule called for selling bonds that the city could take
advantage of right now to begin completing the 1986 bond program; however, the effect on the tax
rate would not take place until FY96-97.
Responding to a question from Dr. McNichols, Mr. Garza explained that in the past, the
reserves for bonds that were issued on behalf of funds other than the General Fund had been paid
from general revenues, which essentially either belonged to the General Obligation Debt Service
Fund or the General Fund. He said it is more appropriate to have the activities that borrow the
money also fund the reserves, as well as the annual debt service.
Mr. Hennings then reported that there would not be a Council meeting on June 4, 1996; items
scheduled for the June 11 meeting include water issues, such as the Garwood option, and the adult
business ordinance.
Mayor Rhodes reiterated that there would be a reception for Mr. Garza and his family in the
near future, and she praised Mr. Garza, saying the Council will miss him both professionally and
personally.
* * * * * * * * * * * * *
Mayor Rhodes called for Council concerns and reports.
Council Member John Longoria requested more information about the city's hurricane plan,
particularly with regard to evacuating senior citizens. Mr. Hennings noted that there was a volunteer
committee which works every year on accumulating a list of people with special needs and making
arrangements with churches and different groups to assist in that effort. Mr. Longoria also requested
an outline of the city's commitment to the factory outlet mall, and he commented that there already
was scheduled a discussion on June 11 about the sale of land for the new federal courthouse.
Council Member Black requested a report about the Bands by the Bay Unite music festival
that was held during Memorial Day Weekend. Mr. Utter said staff only had preliminary figures, but
they would provide more information. Mr. Longoria asked if the city could match the funds that
were raised from that event that will benefit the Mayor's Task Force on Youth Violence. Mr.
Hennings replied that the city would not be in a position to make a gift of any money; however, if
there was some service that the Council would want to purchase for the city, staff could arrange
something like that. Mr. Longoria asked staff to investigate it further.
Minutes
Regular Council Meeting
May 28, 1996
Page 28
Council Member Betty Jean Longoria asked about the status of construction on IH -37 from
Rand Morgan to Violet Road. Mr. Hennings said staff would inquire with the Texas Department
of Transportation. Mrs. Longoria commented about a dangerous on-ramp near Violet Road.
Council Member Cooper reported that she and Ms. Susan Cable, Director of
Communications and Quality Management, had attended the National Neighborhood USA
convention in Little Rock, Arkansas, where they presented their handbook about neighborhood
associations. She said that a noted expert on gangs had spoken during that conference, and she said
she would invite him to come to Corpus Christi to address a meeting of the Mayor's Task Force on
Youth Violence. Mrs. Cooper thanked those who attended the concert last weekend, and said the
task force was accepting donations.
* * * * * * * * * * * * *
Mayor Rhodes called for petitions from the audience.
Mr. Lewis Lovelace, 1549 Casa Grande, referred to an article in the Flour Bluff Sun in which
he said that homeowners, who use only 22% of the city's water, have to bear 100% of the burden
of water conservation, and industry had no enforceable restrictions. He also suggested that the rate
for charging for water should be changed. Mayor Rhodes replied that industries have taken
extensive steps to conserve water, and the city's drought management policy will continue to try to
protect jobs.
There being no further business to come before the Council, Mayor Rhodes declared the
Council meeting adjourned at 6:30 p.m. on May 28, 1996.
* * * * * * * * * * * * *