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HomeMy WebLinkAboutMinutes City Council - 12/16/1997I 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 December 16, 1997, which were approved by the City Council on December 23, 1997. WITNESSETH MY HAND AND SEAL, this 23rd day of December, 1997 Armando Chapa City Secretary SEAL MINUTES CITY OF CORPUS CHRISTI, TEXAS Regular Council Meeting December 16, 1997 2:00 p.m. PRESENT Mayor Loyd Neal Mayor Pro Tem Alex L. Garcia Jr. Council Members: Jaime L. Capelo Jr. Melody Cooper Arnold Gonzales Betty Jean Longoria John Longoria Edward Martin Dr. David McNichols City Staff: City Manager Bill Hennings City Attorney James R. Bray Jr. City Secretary Armando Chapa Mayor Neal called the meeting to order in the Council Chambers of City Hall. The invocation was delivered by Dr. J. Michael Morris, Pastor of Faith Temple, following which the Pledge of Allegiance to the flag of the United States was led by Council Member John Longoria. 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 Neal recognized Council Member Capelo. Mr. Capelo read from a letter he wrote to Mayor Neal and City Secretary Chapa dated December 12, 1997. In the letter Mr. Capelo said he was resigning from his position as the Council representative of District 2, and he thanked the Council, city staff, and citizens of District 2 and of the whole city for their support. Council Member Martin made the following motion, seconded by Council Member Garcia. City Secretary Chapa polled the Council for their votes as follows: 2. M97-368 Motion accepting the resignation of City Council Member, District 2, Jaime Capelo Jr. The foregoing motion passed by the following vote: Cooper, Garcia, Gonzales, B. Longoria, J. Longoria, Martin, McNichols, and Neal voting "Aye"; Capelo not voting. Minutes Regular Council Meeting December 16, 1997 Page 2 Mr. Capelo went on to say that his decision to resign from the Council was a difficult and sad one, but at the same time it was an exciting decision for him and his family. He reiterated his appreciation to the Council members, city staff, and citizens. He also thanked his family, including his wife and two daughters, his parents and in-laws, and other family members, some of whom were present at the Council meeting. He said it was an honor to serve on the City Council, and he added that he would be making an announcement about his future plans on December 18th. Several Council members wished Mr. Capelo luck in the future and said they were sorry to see him leave and that they had enjoyed serving on the Council with him. Mr. Capelo then left the Council meeting. Mayor Neal asked City Attorney Bray to review the City Charter provisions for the selection of a replacement for Mr. Capelo. Mr. Bray replied that the Charter provides that the City Council shall "forthwith fill such vacancy by appointment of a new Council member..." Mayor Neal suggested that the Council open the process to the public for anyone who might feel he or she is qualified to serve as the District 2 representative. He also suggested that they limit the time frame involved to possibly select someone by the end of January. Council Members Garcia and Gonzales agreed, and Dr. Gonzales added that the deadline for applications might be December 31st. Council Member McNichols said he did not think that any contested zoning cases should be scheduled at this time since there was a vacancy on the Council. Mr. Martin pointed out that the requirements for contested zoning cases changed since the number of Council members changed from nine to eight. Mr. Bray said he would need to review that for purposes of the zoning cases. Mr. Martin also said he thought that two weeks to accept applications was adequate, and he said the qualifications should be publicly stated. Mr. Bray said the state election code requires that the person be a resident of the district in which they are going to serve for six months prior to the appointment. Mr. Chapa said the other qualifications are: 18 years of age or older, a citizen of the United States, a qualified (registered) voter, a resident of Texas for one year, a resident of the district for which they will be appointed for six months, and a Charter requirement that they not owe delinquent taxes to the city. Mr. Martin asked if the applicants' names were public record, and Mr. Bray said they were. Council Member John Longoria made a motion that the Council accept applications from any interested residents living in District 2 until 5:00 p.m. on December 31, 1997. In addition, all applicants must meet the minimum requirements as stated that would be contained on a simple application form. Mr. Longoria said the Council could have a two-week period in which to process the applications and then select three persons to interview. Mr. Garcia seconded the motion, and it passed unanimously. Mayor Neal said the City Secretary's Office would be the custodian of those applications. Minutes Regular Council Meeting December 16, 1997 Page 3 Mr. Martin suggested that a specific form for the applications be required, and Mr. Chapa replied that he did have such a form, and he thought the applicants should also include a resume. Mr. Garcia asked if the resumes would have to be received by the City Secretary's Office by 5:00 p.m. on December 31st or postmarked by that time, and the reply was that they would have to be received in the City Secretary's Office by the deadline. * * * * * * * * * * * * * Mayor Neal called for approval of the minutes of the regular Council meeting of December 9, 1997, and there being no corrections, he proclaimed them approved as presented. * * * * * * * * * * * * * City Manager Hennings said the first presentation was the external auditor's report on the FY 96-97 Comprehensive Annual Financial Report. Mr. John Shepherd of Collier, Johnson & Woods introduced Ms. Laurie Cook, a partner in the CPA firm, and Ms. Diane DeCou, who managed the city's audit. Mr. Shepherd thanked city staff for their cooperation, particularly the Finance Department, as well as the City Council. In his presentation, Mr. Shepherd discussed the responsibility that they have as the city auditors; the content of the reports and the conclusions reached based on those audits; and the comments they included in their management letter. Mr. Shepherd said their report was an unqualified opinion which says that based on their audit, the general purpose financial statements present fairly in all material respects the financial position of the city, its results of operations, and cash flows of the proprietary funds. He added that although they do not provide an opinion on compliance with certain provisions of laws, regulations, contracts and grants, the result of the tests they performed disclosed no instances of non-compliance that are required to be reported under government auditing standards. Additionally, they noted no matters involving internal control over financial reportment and its operation that they considered material weaknesses. He noted that the city has several pending civil rights violations cases, which has been included in previous reports, although the current number of cases is less than what it has been in the past. Mr. Shepherd also discussed the management letter, which has two items that were included in last year's report with regard to problems obtaining I-9 forms on all employees, and problems with the accuracy of the warehouse stores inventory. He said they also recommended that the city conform the budget presentation to the financial presentation. Using visual aids, Mr. Shepherd reviewed another element of the management letter, the long-range budget focus, which he explained. Minutes Regular Council Meeting December 16, 1997 Page 4 Mayor Neal asked about the comments in the management letter pertaining to the warehouse. Mr. Hennings replied that in brief, staff thought that issue had been resolved but it was not, and further corrections had to be made. He added that he did not think it was a significant problem. Mayor Neal asked if it was a problem of inventory being taken from the warehouse. Mr. Shepherd replied that that was not the problem; rather, the counts of the physical inventory were inaccurate. In reply to another question from the Mayor, Mr. Hennings said he had provided the Council with a memorandum responding to the auditors' management letter. Mr. Jorge Cruz-Aedo, Director of Finance, said they will take further steps to remedy the issues raised by the auditors. Mr. Shepherd also answered specific questions from Mayor Neal about the audit concerning the tax rate. Referring to the management letter, Council Member Martin said that inventory counting is a nationwide problem, and as long as there are protections against inventory being stolen, staff should respond by conducting an accurate count. He said that with regard to the overall policies, the management letter indicated that staff must be responding well to the auditors being involved. Responding to other questions from Mr. Martin, Mr. Bray said the Texas Constitution authorizes a tax of up to $2.50, but the tax rate can be limited by the City Charter. With regard to Solid Waste Services issues, Mr. Hennings said the Solid Waste financing plan is a multi-year plan. In both this year and last year, the Council approved one-time use of funds to provide the revenues needed to support the Solid Waste plan from a source other than the General Fund. Mr. Martin requested an audit or review process of the city's compliance with that plan. Mr. Shepherd also noted that the ending fund balance was higher than anticipated by $1,462,000. Mr. Martin commented on the self-insurance fund, and Mr. Shepherd remarked about the CPL refund. In reply to Council Member McNichols, Mr. Hennings said he thought the auditors would like to see more financial strength in the General Fund, which could be accomplished through a higher property tax rate, but that is a decision that the Council needs to make each year. He said staff is aware that every time they make "one-time" decisions that affect the current -year budget, that is going to have a carry -forward affect the next year. A discussion ensued regarding the necessity of devising new sources of revenues (one being the recently approved Crime Control and Prevention District), and the impact of many infrastructure needs on the budget. Council Member Garcia made a motion to accept the extemal auditor's report on the FY 96- 97 Comprehensive Annual Financial Report, seconded by Council Member Betty Jean Longoria, and passed unanimously (Cooper and J. Longoria absent). * * * * * * * * * * * * * Mayor Neal called for a 10 -minute recess. Minutes Regular Council Meeting December 16, 1997 Page 5 City Manager Hennings said the next presentation concerned reports and recommendations from consulting engineers concerning improvements to Wesley Seale Dam at Lake Corpus Christi. Dr. Ron Waters of Freese & Nichols Inc. introduced Mr. Chuck Easton, project manager for Woodward -Clyde Consultants, who worked with Dr. Waters on this project. Dr. Waters gave a history of his company's involvement in studying the safety factors of the dam beginning in 1996, with the detection of a heave or bulge in the north spillway. He said they studied the records of the dam's construction and concluded that there was no indication that the bulge existed when the dam was built in 1958. Further investigation was determined to be needed, which Dr. Waters described. He said that in May 1997 they recommended to Mr. Hennings that the lake be limited to a maximum of 91 feet above sea level because of their concerns about the dam's stability. Utilizing graphs and charts, Dr. Waters described in detail the following issues: a recap of the field investigation effort; results of the field investigations; an explanation of how the shear stress and normal stress are measured; an estimate of the uplift of both the north and south spillways; the sliding factor of the safety findings; proposed sliding stability criteria; strengthening alternatives (advantages and disadvantages of ballast versus anchor); the probable construction cost of the two alternatives; and several findings and conclusions. At one point in his discussion, Dr. Waters emphasized that nothing has changed at the dam in terms of material properties for the foundation, or the uplift, or the flooding conditions, since it was originally designed --those problems are not new. He added that with regard to the bulge in the north spillway, they have now concluded that that is the effects of swelling clay and a buoyancy affect of the basin being empty of water. In the conclusions reached by the engineers, Dr. Waters said their investigations revealed a lower cohesion and lower friction angle than what was determined in the 1957 Vetter study. Those factors have resulted in a less stable dam and spillway than originally thought. In addition, alignment surveys along the north spillway's hearth end wall show deflections downstream of 1" to 2.5"(with the maximum deflection indicated at Buttress 83); and on the south spillway, alignment surveys along the end wall of the stilling pool show deflections downstream of 0" to 3.7" (with the maximum deflection at Buttress 24). The north spillway extensometers show the buttresses are currently stable, while the south spillway extensometers currently show a slight progressive downstream movement since September 1997. The engineers also concluded that Vetter's 1957 stability analysis ignored the uplift on the spillways caused by flooding the river downstream of the dam. The 1997 stability investigation shows that when the lake is at elevation 94, the north spillway will approach an unstable condition during the passage of floods exceeding a 10 -year frequency, while the south spillway will approach an unstable condition when the water in the hearth basin is drained for maintenance or inspection (historical records show that both of those conditions probably have occurred at least once). Minutes Regular Council Meeting December 16, 1997 Page 6 Dr. Waters said they estimate that the cost to repair the dam, either using ballast or anchors, will be approximately $26 million if the lake level is allowed to return to elevation 94; that amount could be about $23 million if the lake is maintained at elevation 92. The repairs could be made in about three years, depending on flooding conditions during that time. Dr. Waters said Freese & Nichols recommended the following: that the lake level be limited to elevation 91 until the dam's stability is greatly improved; that the south spillway basin be kept full of water until the stability is increased; that the north spillway basin be flooded and kept full anytime the "tailwater" exceeds elevation 52 downstream of the dam; that the city proceed immediately with the development of construction plans and specifications to stabilize the dam; that the construction bids be designed for both the anchor and ballast alternatives; that the city evaluate the need for powered operators for the north spillway gates during the design phase of the stability improvements; and during construction of the stability improvements, the south spillway discharge chute and stilling basin should be investigated. Dr. Waters added that their stability analysis did not include the dam's embankment portions, saying it might be prudent to review those design assumptions using current methods. Also, they feel that if the rehabilitation efforts begin immediately, the annual dam safety inspections for Wesley Seale Dam can be suspended until construction is completed. Mr. David Stolpa, a member of the Texas Natural Resource Conservation Commission Dam Safety Team, said they have been working with city staff and the consultants on this project, and he said the factors of safety are acceptable to his agency as well as the approaches that have been outlined by Dr. Waters. Mr. John Focht, who has been retained by the city as an independent consultant, said he thought the Council was seeking answers to three simple questions: whether the spillway stability is adequate now; if the spillways are not safe, will the recommended repairs make them safe; and whether the cost estimate for the repair is remedial. Mr. Focht said the spillways do not have an acceptable level of stability, although there is no immediate danger and they should continue to proceed with caution and be very observant. He said he thought the south spillway was a little more critical than the north spillway, primarily because the extensometers in the north spillway do not show any continuing movement, while those in the south spillway do. Mr. Focht went on to say that the criteria proposed for design of the dam's remediation is to increase the relative stability for each critical loading condition by 50%, which when completed should meet all of the current criteria for dam safety. He said the magnitude of the remedial effort has been fairly well established to date; thus the order of magnitude of the repair costs is also reasonably well established. He noted that there is a contingency allowance in the cost estimates in case other factors are discovered during construction. Mr. Focht concluded that he endorses the findings and recommendations that Freese & Nichols have made. Minutes Regular Council Meeting December 16, 1997 Page 7 Mayor Neal pointed out that based on the information provided by the consultants, it is evident that the dam needs major rehabilitation. Following comments about the lake's elevation, Mr. Hennings stated that in the early 1960s, the City Council and the Lower Nueces River Water Supply District Board made the decision to abandon the plan to raise the lake's elevation beyond 94 feet, and they gave up the property rights around the lake that would have made that possible. Council Member Martin asked about the earthen embankments. Mr. Focht said he looked at them and concluded that there is nothing that suggests they may have the same problems as the spillways. Mr. Hennings added that the periodic inspections of the dam have included the embankments and they have not turned up any major points of concern. Responding to several questions from Mr. Martin, Dr. Waters said that while the rehabilitation of the north and south spillways could be done in phases, there should not be a long period of time between those periods of construction. He said that in the stability analysis the assumption is made that the weakest link could occur at any one buttress, therefore it would not be possible to just repair certain buttresses. Dr. Waters further discussed analyses that have been made about the dam's stability, and he said the ballast alternative would require 89,000 cubic yards of concrete, with 15,900 cubic yards of concrete for the overlay of the hearth slab. Council Member McNichols said the consultants have concluded that the stability factors are less than they should have been since the dam was built almost 40 years ago. Dr. Waters agreed, and he further explained the cohesion factor. In reply to Council Member Gonzales, Dr. Waters said that in reviewing the deflection downstream on the end wall, they concluded that Buttress 23 was the weak point so they made sure that they installed an extensometer there, which will be a bellwether instrument for them. He reiterated their interim recommendations and that the city should proceed with the design for the construction documents, which is estimated to take at least six months. He added that it is their goal to make the dam stable at elevation 94. Council Member Garcia asked if the consultants were recommending that the lake level be maintained at 91 feet for the three-year construction period of the repairs, and Dr. Waters said they were. He added that if Buttress 23 continues to move in the interim, there are other steps that can be taken besides lowering the lake below 91 feet, which he explained. He also discussed the continuing maintenance cost of the anchoring alternative and other possible costs. Council Member Cooper thanked city staff, including Water Superintendent Ed Garana, and Dr. Waters for the tour they provided that morning of Wesley Seale Dam. Dr. Waters also thanked city staff for their cooperation. Mayor Neal pointed out that the FY 1997-98 capital budget includes $1.5 million for Wesley Minutes Regular Council Meeting December 16, 1997 Page 8 Seale Dam stability assessment and structural remediation. Mr. Hennings said the budget does have that amount in it, and he said Item 7 on the day's agenda was a motion that, if approved, would authorize him to negotiate an agreement with Freese & Nichols, at which time an exact price would be determined. He added that the total cost of the project, about $26 million, will be part of the overall utilities capital improvement plan, which is currently $427 million over the next five years. Following a brief discussion, Mr. Martin pointed out that the cost of the dam rehabilitation project will be shared by all the water customers in the area. Mr. Hennings noted that every customer will pay the same amount for raw water per thousand gallons used. Mr. Hennings then introduced Mr. Bill Green, the city engineer who has been appointed the new Water Supply Superintendent. Mayor Neal said that since the Council had had the discussion pertaining to Item 7, they could consider it at that time. He called for comments from the audience, and there were none. City Secretary Chapa polled the Council for their votes as follows: Motion authorizing the City Manager or his designee to negotiate with Freese & Nichols, Inc. of Fort Worth, Texas for consulting/engineering services associated with the modification and rehabilitation of the Wesley Seale Dam spillways. The motion passed by the following vote: Cooper, Garcia, Gonzales, B. Longoria, J. Longoria, Martin, McNichols, and Neal voting "Aye." Mayor Neal said Mr. Martin had just questioned whether the city would continue to retain the services of the independent engineering consultant. The Mayor said the Council wished to see the continuation of a cost associated with the engineer's work. Mr. Martin made a motion to reconsider Item 7, seconded by Dr. Gonzales, and passed unanimously. Mr. Martin then made a motion to amend Item 7 to include authorizing the City Manager to also negotiate with Mr. John Focht, P.E., on this project; the motion was seconded and passed unanimously. Mr. Chapa then polled the Council for their votes on the amended motion as follows: 7. M97-370 Motion authorizing the City Manager or his designee to negotiate with Freese & Nichols, Inc. of Fort Worth, Texas, and Mr. John Focht, P.E., for consulting/engineering services associated with the modification and rehabilitation of the Wesley Seale Dam spillways. The foregoing motion passed, as amended, by the following vote: Cooper, Gonzales, B. Longoria, J. Longoria, Martin, McNichols, and Neal voting "Aye"; Garcia absent. * * * * * * * * * * * * * Minutes Regular Council Meeting December 16, 1997 Page 9 City Manager Hennings said Item 3 was a report on the Wesley Seale Dam Oversight Committee recommendations. He noted that those recommendations were included in the Council members' agenda packets, and he reviewed them one by one. With regard to recommendations 5.a. and 10.a., which states that the City Manager shall develop a formal internal communications policy related to Wesley Seale Dam and Choke Canyon Dam and that the results of each annual inspection of the dam shall promptly be reported to the City Council, Mr. Hennings noted that the consultants recommended the next periodic inspection of Wesley Seale Dam be deferred until completion of the repairs there. Council Member Martin asked if that was acceptable to the TNRCC. Mr. Garen said he had spoken with Mr. Stolpa of the TNRCC about the suspension of the inspection report. He said Mr. Stolpa pointed out that the frequency of the inspections is not addressed in the TNRCC rules, and they were pleased that the city had been holding annual inspections of the Wesley Seale Dam. He said they were willing to accept the suspension of the inspection at this time. Mayor Neal asked that the city receive that information from the TNRCC in writing. Mr. Martin suggested that they should count the engineers' extensive work at the dam as an inspection. Mr. Hennings added that when the city receives the periodic inspection report on Choke Canyon Dam from the Bureau of Reclamation, staff will provide that to the Council along with an oral presentation about it during a Council meeting. He also suggested that they schedule a field trip to Choke Canyon similar to the trip to Wesley Seale Dam that morning. Mr. Hennings then continued reviewing the individual recommendations. He said recommendation 11 called for the City Manager to develop an expanded internal audit program with specific duties that he noted. The City Manager said he has developed a proposal to add three positions in the Internal Audit staff and to begin with the first phase of that project in the three utilities departments. He said he wanted to review that before proceeding and then discuss it with the Council further. Council Member Gonzales questioned the need for three additional staff members. Mr. Hennings replied that the charge of the Council is very comprehensive and it would require additional staffing. Mayor Neal said that if any changes to the scope of the original recommendations are made, they should be documented, and Mr. Hennings agreed. With regard to recommendation 13, which states that the City Manager shall establish policies and procedures to inform area city and county officials about activities related to the dams and other significant issues, Mr. Martin said they should have invited those officials to attend this Council meeting. Mr. Hennings replied that they intended to provide the information about the dam presented that day to the area officials during their own meetings. Mr. Hennings also referred to a city policy that was developed in response to recommendation 13 (page 62 of the agenda material). He said it involves several activities, including the preparation of a quarterly regional newsletter; holding an annual meeting of area city and county Minutes Regular Council Meeting December 16, 1997 Page 10 officials with Corpus Christi City Council and staff; holding special meetings with those groups when a specific issue arises; expanding communications through the Coastal Bend Council of Governments; providing executive summaries of the dam inspections with area officials; and providing information and training to officials on emergency plans for the dams. Mr. Martin said that the report provided by City Secretary Chapa in response to recommendation 14, that the City Manager and City Secretary shall conduct a study of staffing needs for the City Council, described the Mayor and City Council staffing situations in several other cities. Mr. Chapa replied that the final paragraph of his report asks that the Corpus Christi City Council consider appointing a committee to review staffing that might be needed beyond what is currently provided. Mayor Neal said he would do that. Regarding recommendation 16, Mr. Hennings noted that it calls for the City Manager to create written policies and procedures for the proper transition of infrastructure, property, and/or projects to city ownership or operation. He said basically the response to that recommendation is to conduct an assessment of the needs for each project so that nothing is overlooked, including operation, maintenance, reporting about its condition, etc. He said staff is committed to completing that policy by the end of January and then provide it to the Council. Mr. Martin asked what type of project would fall under the policy for recommendation 16. Mr. Hennings replied that an example would be a new senior citizen center, which he explained. Mr. Martin said he thought those procedures were already being followed in major projects, and he thought the recommendation referred more to, for example, the recent acceptance of land donated by OxyChem for use as a youth sports facility. Mayor Neal said it was important that these recommendations are followed up because the Council had made a commitment to the citizens to do that. Mr. Martin asked if specific action was needed to express the Council's commitment to repair the Wesley Seale Dam. Mr. Hennings said it would be helpful for the Council to approve such a motion. Council Member Garcia asked if the monetary figure that Freese & Nichols has estimated for the repair of the dam would be questioned, and Mr. Hennings said that amount would ultimately be determined by the bidding process. Mr. Garcia made the following motion, which was seconded by Mr. Martin. A voice vote on the motion was called and it passed as follows: 3. M97-378 Motion expressing the City Council's commitment to repair Wesley Seale Dam at the appropriate cost and with all deliberate speed. Minutes Regular Council Meeting December 16, 1997 Page 11 The foregoing motion passed by the following vote: Cooper, Garcia, Gonzales, B. Longoria, Martin, McNichols, and Neal voting "Aye"; J. Longoria absent. With regard to Item 4 on the agenda, Mayor Neal noted that the draft emergency action plan for Wesley Seale Dam and the Lake Corpus Christi Reservoir was included in the Council's agenda material. He asked Mr. Hennings if Council action was required on that item, and Mr. Hennings replied that it was provided for informational purposes only. The Mayor noted that the Council had discussed the dam at length that day. Mr. Hennings said there is also an emergency action plan for Choke Canyon, and this plan for Wesley Seale Dam is an updated and expanded version of an existing plan. He added that they are in the process of circulating this plan to the area officials. * * * * * * * * * * * * * Mayor Neal opened discussion on Item 5, Police Department resource utilization study. City Manager Hennings said the draft request for proposals for that study was included in the Council's agenda material beginning on page 160. He said staff was seeking the Council's input on the RFP to ensure that it meets the Council's goals. Mayor Neal said he was impressed with the RFP and he was glad that it specifically stated that the city is looking for the most effective and efficient police operation it can have. He added that it is important that they continue to be aware of the community's feelings on the issue, particularly with regard to the Crime Control District and the concept of community policing. Council Member Martin said he thought the RFP was excellent, adding that it was important to first evaluate what is currently in place; afterward, the consultant can make recommendations on such things as community policing. Mr. Martin said he thought the Council should approve it and release it prior to the scheduled date of February 2, 1998. He also said he would like Mr. Hennings to have an integral part in the study because of his familiarity with the people involved. Council Member Garcia asked if the RFP included the possibility of outsourcing some of the operations, and Mr. Hennings said they would refer to that specifically in the RFP. Council Member Gonzales said he was glad they were working toward improving the Police Department's efficiency. Council Member Cooper made the following motion, which was seconded by Mr. Garcia. Mayor Neal called for comments from the audience, and there were none. City Secretary Chapa polled the Council for their votes as follows: 5. M97-369 Motion accepting the request for proposals for the Police Resource Utilization Study. Minutes Regular Council Meeting December 16, 1997 Page 12 The foregoing motion passed by the following vote: Cooper, Garcia, Gonzales, B. Longoria, J. Longoria, Martin, and Neal voting "Aye"; McNichols absent. Mr. Hennings pointed out that the Police Department had made arrests in a recent murder at a convenience store, and he expressed his pride at their record on solving murder cases. * * * * * * * * * * * * * Mayor Neal opened discussion on Item 6, the local 1% sales tax on residential electricity, residential gas, and commercial and residential telephone service. City Manager Hennings said those local sales taxes are in place at the option of the City Council, which he explained. He said in order to change the Council's options, the Council would make a decision which would be reported to the State Comptroller of Public Accounts, who would have to proceed to change the collection of the sales tax in Corpus Christi. The law provides that one calendar quarter will pass between the time of notification and the time when the change goes into effect. He said that would result in a lead time of approximately three months up to six months, depending on the timing of it. Mr. Hennings referred to a report he had provided to the Council in the agenda packet, in which he further described the Council's options and the resulting effect of each of those options. He said if the Council's goal is to assist a target group of low-income citizens, such as senior citizens, disabled persons or however the category might be defined, one approach might be to develop "lifeline" utility rates that could be targeted to that group. He said the advantage is that that group would be targeted much more precisely than the sales tax targets them. For example, the repeal of the sales tax would benefit the largest sales tax payers the most. Another advantage is that the loss of revenues from a lifeline utility rate design would occur in the Utility Fund, which is financially strong and can accommodate such a change; the repeal of the sales tax, on the other hand, would affect the General Fund, which is not as strong financially. Council Member Martin asked if there had been a strong promotion in the last few years of Operation Heat Help. Mr. Hennings said he did not think it had changed much and the city had not promoted it heavily. Mr. Martin noted that there were different ways to address this concept, which was being proposed by Council Member Gonzales. Dr. Gonzales said he wanted to ensure that they targeted the people who need the help the most, and he said this discussion allows the Council to examine the philosophy about their purpose as a City Council. He said he did not think that essentials (such as utilities, food, and medicine) should be taxed, and he said they should begin to review that policy. Mayor Neal said he thought that any possible changes in response to this issue should be Minutes Regular Council Meeting December 16, 1997 Page 13 directed toward the next city fiscal year, rather than the current fiscal year. Dr. Gonzales replied that was his intention. The Mayor said he would be interested in pursuing this issue. Council Member McNichols said the Council's primary commitment to the public is fiscal responsibility. He said the General Fund has both short-term and long-term problems, and anything that would result in a reduction of the ending fund balance in the General Fund would be counter- productive to the fiscal policy adopted by the Council. He emphasized that he would not support any proposal that would do that. Council Member John Longoria said he thought there were options the Council could examine although, he added, a change would be difficult. He said a possible solution might be to target a specific group so that a substantial revenue stream is not eliminated. Council Member Garcia asked if there was a way for people to request an exemption of the sales tax on utilities, and he said they should not shift the financial burden from one group to another. Responding to Mr. Garcia, Mr. Hennings said the money in the Permanent Art Trust Fund could be used for another governmental purpose, but he added that it was a one-time source of funds. Council Member Cooper said that as much as she would like to do what Dr. Gonzales was proposing, she did not support any of the options discussed by Mr. Hennings in his report. Dr. Gonzales said he agreed with Mrs. Cooper, adding that those options were not suggested by him. Mr. Martin asked if the Council could increase the senior citizen tax exemption. City Attorney Bray said they would have to research that. Mr. Martin said other states have developed relief programs, such as "value -related" systems and rebate options. He said as staff prepares for the next budget they could conduct research on the ability of cities in Texas to make distinctions with regard to need. Dr. Gonzales said it was his intention to urge the Council to consider several options. Mr. Hennings provided information about Operation Heat Help that he received from Ms. Debbie Marroquin, Gas Superintendent. He said the program involves utility customers paying more than their bill, and the surplus monies go into the Operation Heat Help fund. Then in the winter when gas bills increase, that fund is used to assist families experiencing financial hardships. Last year about 500 families were assisted in the total amount of about $55,000. Mr. Martin said this would be a good time to promote that program again. Council Member Betty Jean Longoria said she will consider options, but she added that the Council does have fiscal obligations. Mayor Neal called for comments from the audience, and there were none. * * * * * * * * * * * * * Minutes Regular Council Meeting December 16, 1997 Page 14 Mayor Neal called for petitions from the audience. Mr. Abel Alonzo, 1701 Thames, said that as a plaintiff in the lawsuit for single -member districts, he was frustrated and disappointed that Mr. Capelo resigned from the Council. He said the population of District 2 is about 68% Hispanic, and if they are going to be inclusive and diverse, the Council should appoint a Hispanic to represent District 2, whether it is a man or a woman. Mr. Bill Kelly, 1402 N. Chaparral, said he was representing the homeowners in Wood River subdivision and he read a letter dated November 24, 1997, that he had sent to the Mayor with copies to the City Secretary, City Attorney, and City Manager. The letter regarded drainage problems in the Wood River subdivision, which he described. Mayor Neal pointed out that the FY 1997-98 capital budget includes funds for an engineering study of drainage in the Wood River area, and the FY 1998-99 capital improvements program includes $235,000 for drainage improvements there. He added that Council Member Betty Jean Longoria had emphasized the need for those improvements, and he said he had received Mr. Kelly's letter on the subject. Mr. Kelly said he was not aware of those actions, and the Mayor suggested he contact Mr. Carl Crull, Assistant City Manager for Public Works and Utilities, for more information. * ************ Mayor Neal called for a 10 -minute recess. * * * * * * * * * * * * * Mayor Neal opened discussion on Item 8, transportation assistance fund interlocal agreement. He called for comments from the audience, and there were none. City Secretary Chapa polled the Council for their votes as follows: 8. RESOLUTION NO. 023167 Resolution authorizing the City Manager or his designee to execute a one-year Interlocal Agreement with the Regional Transportation Authority in Corpus Christi to utilize funds available in the Transportation Assistance Fund. The foregoing resolution passed by the following vote: Garcia, Gonzales, B. Longoria, J. Longoria, Martin, and Neal voting "Aye"; Cooper and McNichols absent. * ************ Mayor Neal opened discussion on Item 9, Clean Cities program. He called for comments from the audience, and there were none. City Secretary Chapa polled the Council for their votes: Minutes Regular Council Meeting December 16, 1997 Page 15 9.a. ORDINANCE NO 023168 Ordinance appropriating $1,508 from various corporate contributions to the Clean Cities Program Trust No. 106; amending Ordinance No. 022993, which adopted the FY 1997-98 Budget, by adding $1,508 to the Combined Utility Systems Fund; transferring $1,508 to and appropriating $1,508 in the No. 162 Federal/State Grants Fund for the Clean Cities Project - Alternative Fuels Market Development Program. An emergency was declared and the foregoing ordinance passed by the following vote: Garcia, Gonzales, B. Longoria, J. Longoria, Martin, and Neal voting "Aye"; Cooper and McNichols absent. 9.b. M97-371 Motion authorizing the City Manager or his designee to execute a contract for consulting services related to the Clean Cities Designation and Alternative Fuel Market Development Initiative Phase II (Strategic Market Planning) and Phase III (Project Implementation) with Ruby Mountain, Inc. for a fee not to exceed $36,000. The foregoing motion passed by the following vote: Garcia, Gonzales, B. Longoria, J. Longoria, Martin, and Neal voting "Aye"; Cooper and McNichols absent. * * * * * * * * * * * * * Mayor Neal opened discussion on Item 10, purchase of excess workers compensation insurance, airport liability insurance, and gas utility liability insurance. City Secretary Chapa noted that Item 10.c. needed to be amended to include the word "three" in the motion to read in part "with three one-year renewal options." The Mayor called for comments from the audience, and there were none. Responding to Council Member Martin, Mr. Pat Alba, Director of Risk Management, said this was a general liability policy that covers all types of liability claims. He added that the typical claims are from people slipping and falling at the airport. Mr. Martin noted that the gas utility was a different situation. Mr. Alba said they had had one large claim related to the gas utility that the city had paid prior to this policy being in effect. Council Member Garcia asked if this insurance covered litigation, and Mr. Alba said it would, minus the deductible. Mr. Martin then made a motion to amend Item 10.c. as previously stated by Mr. Chapa. The motion was seconded by Mr. Garcia and passed (Cooper, J. Longoria, and McNichols absent). Minutes Regular Council Meeting December 16, 1997 Page 16 City Secretary Chapa polled the Council for their votes as follows: 10.a. M97-372 Motion approving the purchase of Excess Workers' Compensation Insurance from Frontier Insurance through Benefits, Risk & Insurance Management Solutions with a coverage limit of $10,000,000 and a $250,000 self-insured retention level at an annual premium of $69,056 guaranteed for three years with an option to renew for an additional year in accordance with Bid Invitation BI -0039-98. Funds are available in the City's Self Insurance Fund. The foregoing motion passed by the following vote: Garcia, Gonzales, B. Longoria, J. Longoria, Martin, and Neal voting "Aye"; Cooper and McNichols absent. 10.b. M97-373 Motion approving the purchase of Airport Liability Insurance from Great American Insurance Company and Lloyds of London through Brooke Insurance Agency/Falcon Insurance Agency with coverage limit of $75,000,000 and a $15,000 aggregate deductible at an annual premium of $35,564 with three one-year renewal options in accordance with Bid Invitation BI -0040-98. Funds are available in the City's Self Insurance Fund. The foregoing motion passed by the following vote: Garcia, Gonzales, B. Longoria, J. Longoria, Martin, and Neal voting "Aye"; Cooper and McNichols absent. 10.c. M97-374 Motion approving the purchase of Gas Utility Liability Insurance from Associated Electric and Gas Insurance Service through Brooke Insurance Agency with coverage limit of $25,000,000 and $250,000 self-insured retention level for an annual premium of $77,659 with three one-year renewal options in accordance with Bid Invitation BI -0041-98. Funds are available in the City's Self Insurance Fund. The foregoing motion passed, as amended, by the following vote: Garcia, Gonzales, B. Longoria, J. Longoria, Martin, and Neal voting "Aye"; Cooper and McNichols absent. * * * * * * * * * * * * * Mayor Neal opened discussion on Item 11, Corpus Christi beach development plan grant. He 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 December 16, 1997 Page 17 11. RESOLUTION NO. 023169 Resolution authorizing the City Manager or his designee to execute agreements with the Corpus Christi Beach Association and the Texas General Land Office - Coastal Management Program for the City to provide financial management of the Coastal Management Program grant for the Corpus Christi Beach Development Plan. The foregoing resolution passed by the following vote: Garcia, Gonzales, B. Longoria, J. Longoria, Martin, and Neal voting "Aye"; Cooper and McNichols absent. * * * * * * * * * * * ** Prior to opening discussion on Item 12, Mayor Neal recognized Council Member Gonzales. Dr. Gonzales said that last week the Council considered zoning case No. 1097-8, Norwest Bank Texas, South Central, Trustee. He said that for some reason the people who were supporting the zoning case were not present at the Council hearing. He said he would like the Council to reconsider that case. Mayor Neal asked what would be required to do that, and City Secretary Chapa replied that it required a two-thirds vote of the Council and a motion by a Council member on the prevailing side. He said the zoning case had failed and Dr. Gonzales was among those who had voted against it, so he could make the motion to reconsider. Mr. Chapa said Council Member Cooper was the only Council member who voted in favor of the rezoning. Mr. Hennings read the caption of the zoning case concerned. Dr. Gonzales made a motion to reconsider zoning case No. 1097-8, Norwest Bank Texas, South Central, Trustee, for next week. Mayor Neal said there had been a question on that case whether all the parties had received notification about the hearing. Council Member Martin said Dr. Gonzales' motion should be to reconsider the case, but he questioned whether it could be heard next week because of the need to renotice it. Mr. Bray said staff would investigate that, but he agreed that he thought it would need to be renoticed. Mr. Martin said he thought the applicant would have to pay for the case to be renoticed. Council Member John Longoria seconded Dr. Gonzales' motion to reconsider Case No. 1097-8, and it passed (Cooper and McNichols absent). Mayor Neal then opened discussion on Item 12, acquisition of future public beach access on Mustang Island. He called for comments from the audience, and there were none. The Mayor then asked if this acquisition would be the same as an annexation. Mr. Hennings replied that it was not. Mr. Martin said he would like to receive a recommendation in the next few months about annexation, in this area in particular. Minutes Regular Council Meeting December 16, 1997 Page 18 Mr. Chapa polled the Council for their votes as follows: 12. ORDINANCE NO. 023170 Ordinance appropriating $85,000 awarded from a Texas Coastal Management Sub -recipient grant in the No. 162 Federal/State Grant Fund to purchase a minimum of 3.5 acres of land for future beach access on Mustang Island between Nueces County Beach Access Road #2, and the southerly city limits of Port Aransas, and State Highway 361 and the Gulf Beach. An emergency was declared and the foregoing ordinance passed by the following vote: Garcia, Gonzales, B. Longoria, J. Longoria, Martin, and Neal voting "Aye"; Cooper and McNichols absent. ************* Mayor Neal opened discussion on Item 13, concession agreement. He called for comments from the audience, and there were none. Responding to Council Member Garcia, Mr. Hennings said this agreement had been previously considered by the Council as a five-year agreement, and they had asked for a shorter term; consequently, this agreement is for three years. City Secretary Chapa polled the Council for their votes as follows: 13. ORDINANCE NO. 023171 Ordinance authorizing the City Manager or his designee to execute a three-year Use Privilege Agreement, with Texas O.A.P., Inc. to place and operate four prepaid phone calling card vending machines in the terminal of the Corpus Christi International Airport in consideration of payment of 20% of gross revenue per month. An emergency was declared and the foregoing ordinance passed by the following vote: Garcia, Gonzales, B. Longoria, J. Longoria, Martin, and Neal voting "Aye"; Cooper and McNichols absent. * * * * * * * * * * * * * Mayor Neal called for consideration of consent motions, resolutions, ordinances and ordinances from previous meetings on Items 14 through 20, and Council members requested that Items 17 and 19 be withheld for discussion. There were no comments from the audience on any of the consent items. City Secretary Chapa polled the Council for their votes and the following passed: Minutes Regular Council Meeting December 16, 1997 Page 19 14. M97-375. Motion approving the purchase of mowing equipment in accordance with Bid Invitation No. BI -0037-98 from the following firms based on low bid, low bid meeting specifications and only bid. The equipment will be used by Park and Recreation, Wastewater and Aviation departments and is budgeted in the 1997-98 Capital Outlay. Turf and Irrigation Goldthwaites of Texas Watson Distributing Corpus Christi. Tx Bid Item 1 $11,751.64 Bid Item 2 $_¢.5_01_82 San Antonio. Tx Houston. Tx Bid Item 3 $8.761.00 Bid Item 4 $30,556.00 Total $18,257.46 $8,761.00 Grand Total of Awards: $77,310.46 Bid Item 5 $ 7,741.00 Bid Item 6 $11.995.00 $50,292.00 The foregoing motion passed by the following vote: Garcia, Gonzales, B. Longoria, J. Longoria, Martin, and Neal voting "Aye"; Cooper and McNichols absent. 15. M97-376 Motion approving the purchase of traffic signal controller equipment consisting of fifteen (15) TS2 Controller Assemblies, thirty (30) Traffic Signal Video Processors, ten (10) TS2 Traffic Signal Controllers and fifteen (15) Malfunction Management Units from the following companies for the following amounts in accordance with Bid Invitation No. BI - 0046 -98, based on low bid, for a total of $374,525. Funds have been budgeted by the Street Department under the Capital Outlay and Operating Budgets. Texas Highway Products Corp. Naztec, Inc. Econolite Control Products, Inc. Round Rock. Tx Sugarland. Tx Tomball. Tx Item 2 Items 1&4 Item 3 $312,600 $47,175 $14,750 Grand Total: $374,525 The foregoing motion passed by the following vote: Garcia, Gonzales, B. Longoria, J. Longoria, Martin, and Neal voting "Aye"; Cooper and McNichols absent. 16. M97-377 Motion authorizing the City Manager or his designee to execute the Interlocal Cooperative Agreement for Local Emergency Response Planning Specific to Extremely Hazardous Substances, for the years 1996-1998, with the Port of Corpus Christi Authority, and Nueces County, providing for Administration of the Local Emergency Planning Committee from November 17, 1996 to November 17, 1998. Minutes Regular Council Meeting December 16, 1997 Page 20 The foregoing motion passed by the following vote: Garcia, Gonzales, B. Longoria, J. Longoria, Martin, and Neal voting "Aye"; Cooper and McNichols absent. 18. ORDINANCE NO, 023173 Authorizing the City Manager or his designee to execute a twenty-year lease with the Harbor Playhouse, Inc. for City owned property known as the Harbor Playhouse located on Block 90, Beach Portion to the City of Corpus Christi, in consideration of Harbor Playhouse, Inc.: (A) Presenting a variety of main stage productions at affordable prices; (B) Providing a Young People's Theater Program open to all children in Corpus Christi; (C) Renting the facility to non-profit organizations, business and convention groups at reasonable rates; and (D) Maintaining the building in good repair. The foregoing ordinance passed on second reading by the following vote: Garcia, Gonzales, B. Longoria, J. Longoria, Martin, and Neal voting "Aye"; Cooper and McNichols absent. 20. ORDINANCE NO. 023175 Amending Ordinance No. 8127, as amended, Section 951.0, Leaves of Absence, Plan I Employees, as follows: Subsection 951.1, Vacation Leave Accrual; Subsection 951.2 renumbered to 951.2(a) and new Subsection 951.2(b) added to define working hours charged for vacation usage; Subsection 951.4, to provide for annual accumulation of vacation leave and payment of accrued vacation leave upon termination, retirement, or death; Subsection 951.5, to provide for cash -in of accrued vacation leave; Subsection 951.8, to provide for granting and taking of personal leave; Subsection 951.9, to provide for sick leave accrual and accumulation; addition of a new Subsection 951.11(a) to define working hours charged for sick leave usage; Subsection 951.12 to provide for payment of sick leave upon termination; Subsection 951.13, to provide for cash -in of accrued sick leave; Subsection 900.4 to define holiday pay and holiday compensatory time for airport public safety officers who work shifts of 24 hours on/48 hours off. The foregoing ordinance passed on second reading by the following vote: Garcia, Gonzales, B. Longoria, J. Longoria, Martin, and Neal voting "Aye"; Cooper and McNichols absent. * * * * * * * * * * * * * Mayor Neal opened discussion on Item 17, funding agreement for traffic signal improvements. Responding to Council Member Garcia, Mr. Hennings said several criteria are used to prioritize projects, including the traffic counts and accident experience in a particular area. He added Minutes Regular Council Meeting December 16, 1997 Page 21 that the projects were included in the plan that had been approved by the Council in the past and they were working through the funding process. Mr. Garcia asked if another location could be substituted, and Mr. Hennings said they would have to demonstrate to the Texas Department of Transportation that it met the criteria and probably that the need no longer exists at the previous location. Mr. Garcia expressed concern about the need for a signal at Saratoga and Longmeadow. Mr. Hennings said he could provide a report that shows the justification for each one of the recommended signal locations, and if the Council wished, they could postpone this item until next week. Council Member Martin said that those projects had such a huge lead time that circumstances often change. He used the example of the intersection of Cimmaron and Wooldridge which currently has a four-way stop which he said is very effective. On the other hand, there is much development occurring at Longmeadow and Saratoga. Following additional discussion, Mr. Garcia made a motion to postpone Item 17 for one week, seconded by Mr. Martin, and passed (Cooper and McNichols absent). 17. POSTPONED * * * * * * * * * * * * * Mayor Neal opened discussion on Item 19, FY 1997-98 capital budget. Council Member Martin asked if the capital budget would have to be changed due to actions the Council took that day with regard to the Wesley Seale Dam, and Mr. Hennings replied that it would not have to be since they were adopting the one-year capital budget, not the five-year plan. City Secretary Chapa polled the Council for their votes as follows: 19. ORDINANCE NO. 023174 Approving the FY 1997-98 Capital Budget in the amount of $75,729,800. The foregoing ordinance passed on second reading by the following vote: Garcia, Gonzales, B. Longoria, J. Longoria, Martin, and Neal voting "Aye"; Cooper and McNichols absent. Minutes Regular Council Meeting December 16, 1997 Page 22 Mayor Neal called for the City Manager's report. Mr. Hennings said Mr. Abe Saavedra, Superintendent of the Corpus Christi Independent School District, asked him about arranging a joint meeting between the City Council and the CCISD School Board. He said he was recommending that the Council consider four dates: February 9th, February 10th, February 23rd, or February 24th. Mayor Neal asked about the Council meeting to be held at Moody High School on January 27th. Mr. Hennings replied that the CCISD School Board declined to attend that meeting. Mayor Neal asked the Council to think about it, adding that he would respond to Mr. Hennings about the meeting date. Council Member Martin said it would be appropriate to have a joint meeting of the Council, Commissioners Court, School Board, and the Commission on Children and Youth during the spring in that neutral format. Mr. Hennings reviewed the major items scheduled for the December 23rd Council meeting: selection of search firms for the new city manager; closed session on litigation with Manhattan Construction Company about City Hall; a meeting of the Corpus Christi Community Improvement Corporation about an extension of the lease on the Frost Brothers building; resolution about the Council's position on the transfer of ownership of Lake Texana from the federal government, and a report by the Desalination Committee of the Regional Water Supply Task Force. Mayor Neal asked about an update on the Lake Texana pipeline. Mr. Hennings said he provided that to the Council in their packets on December 12th. He added that he had received a further update from Mr. Frank Brogan of the Port of Corpus Christi Authority, in which he reported that the contractor has been making very good progress on the installation of the pipeline in the high priority "prairie chicken" area, and it is hoped that that installation will be finished very soon. Mr. Martin asked when the electric utility presentation would be scheduled, and Mr. Hennings said it was scheduled for the middle of January. Mr. Martin added that he would like the December 23rd meeting to be over by about 5 p.m., and he questioned whether all the scheduled items needed to be included. Mayor Neal asked that the discussion of desalination be scheduled after Christmas. Mr. Hennings also reported that the city employee group completed their Christmas project to provide shoes to needy students at George Evans Elementary, which is the adopted school of the City Hall employees. He thanked Mayor Neal for his participation, as well as Payless Shoes and McDonald's for their assistance. The Mayor reported that he had toured the new Humane Society building, which was made possible by a large donation from Tom and Cora Keeler, and he invited the Council to tour it. There were no Council concerns and reports. There being no further business, Mayor Neal declared the Council meeting adjourned at 7:50 p.m. on December 16, 1997.