Loading...
HomeMy WebLinkAboutMinutes City Council - 01/19/1999I HEREBY CERTIFY that the foregoing is a true and correct copy of the minutes of the Regular Council Meeting of the City of Corpus Christi of January 19, 1999, which were approved by the City Council on January 26, 1999. WITNESSETH MY HAND AND SEAL, this 26th day of January, 1999. Armando Chapa City Secretary SEAL MINUTES CITY OF CORPUS CHRISTI, TEXAS Regular Council Meeting January 19, 1999 2:00 p.m. PRESENT Mayor Samuel L. Neal Jr. Mayor Pro Tem Melody Cooper Council Members: Javier D. Colmenero Alex L. Garcia Jr. Dr. Arnold Gonzales* Betty Jean Longoria John Longoria Edward A. Martin Dr. David McNichols City Staff: City Manager David R. Garcia City Attorney James R. Bray Jr. City Secretary Armando Chapa Assistant City Attorney Alison Gallaway Mayor Neal called the meeting to order in the Council Chambers of City Hall. The invocation was delivered by Council Member Colmenero, following which the Pledge of Allegiance to the flag of the United States was led by Council Member Martin. 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 called for approval of the minutes of the regular Council meeting of January 12, 1999. A motion was made and passed to approve the minutes as presented. * * * * * * * * * * * * * Mayor Neal referred to the presentations on the day's agenda. Ms. Laurie Cook, Chairperson of the Greater Corpus Christi Business Alliance, discussed a proposal to increase the hotel/motel tax by 2%. She referred to a letter from the Hotel/Motel Condo Association endorsing the proposal as well as to Item 2 on the Council's agenda, a resolution supporting the 2% increase as a legislative priority. She said they will seek the input of the local legislative delegation in furthering this issue. *Council Member Gonzales arrived at 2:05 p.m. Mayor Neal called for comments from the audience on Item 2. Mr. J.E. O'Brien, 4130 Pompano, read a resolution passed by the Executive Board of the Corpus Christi Taxpayers Association in which they gave several reasons why they oppose any Minutes Regular Council Meeting January 19, 1999 Page 2 attempt to increase the hotel/motel tax that does not include a sunset provision. They also called for a timely audit of the Alliance by the city. He also questioned the actual percentage of the increase. City Manager Garcia replied that the audits to which Mr. O'Brien was referring were audits by the city's internal auditor. He explained that the city's Finance Department has a routine program of reviewing the hotel/motel tax payments of the individual hotel accounts. Responding to Council Member John Longoria, Mr. Garcia said staff will draft a bill and work with appropriate legislators to sponsor the bill in Austin on a local -option basis. He said the monies would go into the Hotel/Motel Occupancy Tax Fund, which is used to support the Convention and Visitors Bureau of the Alliance and the operation of the city's convention facilities; in addition, a small portion is used to partially fund several different agencies. Mr. Garcia added that the 2% increase could support $14 million worth of debt to improve the convention center. Mr. Gary Bushell, CEO of the Alliance, and Ms. Char Beltran, Vice President of the Alliance, discussed the need to expand the convention center, particularly the exhibit space, and they responded to Council members' questions. City Secretary Chapa polled the Council for their votes as follows: 2. RESOLUTION NO. 023532 Resolution supporting as a legislative priority an increase of two percent in the Hotel/Motel Tax applicable in the City of Corpus Christi for expansion and maintenance of Convention Center facilities in order to accommodate convention business essential to employment and the economic health of the area's citizens. The foregoing resolution passed by the following vote: Colmenero, Cooper, Garcia, Gonzales, B. Longoria, J. Longoria, Martin, McNichols, and Neal voting "Aye." * * * * * * * * * * * * The next presentation was an update on the management of engineering capital projects. City Manager Garcia explained that during the January 12th Council meeting, there was a discussion regarding the status of several engineering projects, including the fact that the Engineering Department staff is behind schedule. He said since the pace of the design of the projects could jeopardize the funding for some of them, it became necessary to take immediate action to remedy the situation. Mr. Garcia said that after last week's Council meeting, he changed the reporting responsibility of the Engineering Department so that they now report directly to him. In addition, Minutes Regular Council Meeting January 19, 1999 Page 3 utilizing the authority the City Manager has to make emergency purchases of services and equipment, he retained three firms that immediately began work on the three projects that were behind schedule—Leopard Street, Cornett Drive, and Ocean Drive (as detailed in Item 17 of the day's agenda). He said the revised schedules will allow the three projects to meet all of the deadlines established by the Texas Department of Transportation (TXDOT) as well as federal funding requirements. Mr. Garcia said he also took the opportunity to try to explore some of the issues pertaining to this situation, the first of which is the absence of a director of engineering for almost six months (following the retirement of the previous director). He said the city had conducted one recruitment round but they were unable to attract qualified candidates, mainly because the city's compensation plan has not been competitive with what those positions attract in the industry. Mr. Garcia said Item 21 on the day's agenda addresses that circumstance by broadening the ranges of executives for better recruitment opportunities, although it does not change the salaries of any existing executives. The City Manager said the Engineering Department has also been understaffed, in some cases for as much as two years, because they have been unable to attract senior level and entry level engineers. He said city staff has begun a reclassification study to determine if adjustments can be made in that regard. Another issue that has caused delays is that the process the city uses to secure outside consultants is cumbersome and time-consuming, taking three months to hire consultants. He said staff is developing a way to cut that time in half while still following a competitive process. Lastly, he said the city's policies essentially limit the consultants the city can use to local candidates, which is an artificial constraint on the market and occasionally inflates the fees. Responding to Council Member Colmenero, Mr. Garcia said there are several executive positions that need to be filled, including an assistant city manager, deputy city manager, engineering director, finance director and a planning director. He said they are considering filling those positions with the assistance of an executive search firm. Council Member McNichols said in the years he has served on the Council, the city has often had to adjust to TXDOT's schedule. He pointed out that the city leveraged funds so that more projects could be undertaken, which involved TXDOT's participation and which increased the number of projects in the city's Engineering Department. With regard to last week's discussion about this issue, Dr. McNichols said he felt that some of the Council members' comments were inappropriate. As a result, he said, the person with the most knowledge about the projects the city has underway was essentially forced into a position of resignation from the city. Dr. McNichols added that TXDOT is at least as responsible as the Engineering Department for the problems with delayed projects. Council Member Gonzales said that last week the Council members were asking that city staff provide them with accurate information. Dr. Gonzales also asked under what authority the City Manager can take the actions he has. City Attorney Bray replied that the City Charter allows the City Minutes Regular Council Meeting January 19, 1999 Page 4 Manager to exceed the $15,000 limit for "emergency expenditures," which is not specifically defined. He said the potential loss of federal money and the need to move forward quickly is sufficient grounds to take that action. Mr. Bray said that under that provision, the City Manager is supposed to report his actions to the City Council at the first opportunity, which is what he is doing at the time. Mayor Neal called for petitions from the audience. Mr. Mario Rincon, 4202 Barrera, referred to the need for a light at the intersection of Horne and Old Brownsville Road. He added that he hopes the Council keeps asking the hard questions because ultimately the Council members are responsible to the community. Mr. Abel Alonzo, 1701 Thames, said that for the first time in many years the city has developed a balanced budget. He said time will tell whether citizens' trust in city government can be restored, and he emphasized the need for city departments to operate efficiently. Mr. Jimmie Till, 6034 Lost Creek, agreed with Dr. McNichols' comments regarding the delay in engineering projects, and he noted that the city has a hiring freeze in place. Mr. Till said that Mr. Carl Crull, former Assistant City Manager for Public Works and Utilities, has done much for the city. He agreed that the city should consider using qualified consultants from outside the city. Mr. Irving Dietz, 455 Miramar, said there were almost $50 million worth of street projects in the 1986 bond program, but Cornett Drive and Ocean Drive were not included. He asked if the three street projects that are being "fast tracked" (Item 17 on the agenda) will be paid out of the 1986 bond monies. The City Manager replied that those projects will be paid out of the capital program. Mr. Erik Ward, 318 Texas, local representative for Belclair Real Estate of Dallas, invited the Council members to a event kicking off the development of the old Frost Brothers Building on January 2151. Mr, J.E. O'Brien provided a copy of the 1986 bond program to the City Manager. Mr. O'Brien also said the list of capital projects included an item for "post -hurricane debt management" for $34.4 million, for which he requested an explanation. Mayor Neal replied that the Council has heard several hours of discussion at previous meetings about planning for hurricanes. Mr. Isaac Valencia, President of the Corpus Christi Police Officers Association, invited the Council to the graduation ceremonies of the Police Academy on January 22"d. He also noted that on that date the union is bringing a reopener clause to their membership for a vote. He thanked the City Manager for his assistance in addressing that issue. Minutes Regular Council Meeting January 19, 1999 Page 5 * * * * * * * * * * * * * Mayor Neal called for consideration of consent motions, resolutions, ordinances and ordinances from previous meetings on Items 3-11. An audience member requested that Item 3 be discussed. City Secretary Chapa polled the Council for their votes and the following were passed: 4. M99-010 Motion authorizing the acquisition of Parcel No. 30 located at the intersection of Ennis Joslin Road and Carson Street for $44,322 in connection with the Spur 3, Phase 2 Improvements Project. The foregoing motion passed by the following vote: Colmenero, Cooper, Garcia, Gonzales, B. Longoria, J. Longoria, Martin, McNichols, and Neal voting "Aye." 5. RESOLUTION NO. 023533 Resolution authorizing the City Manager or his designee to execute a Construction and Maintenance Agreement with the Texas Department of Transportation in the amount of $155,687.50 for preliminary engineering services and bridge construction associated with the Concrete Bridge Rehabilitation: Ocean Drive/Cayo Del Oso Bridge Replacement Project. The foregoing resolution passed by the following vote: Colmenero, Cooper, Garcia, Gonzales, B. Longoria, J. Longoria, Martin, McNichols. and Neal voting "Aye." RESOLUTION NO. 023534 Resolution authorizing the City Manager or his designee to execute a construction and maintenance agreement with the Texas Department of Transportation in the amount of $35,700 for preliminary engineering services and bridge construction associated with the Bear Lane Bridge Replacement Project. The foregoing resolution passed by the following vote: Colmenero, Cooper, Garcia, Gonzales, B. Longoria, J. Longoria, Martin, McNichols, and Neal voting "Aye." 7. ORDINANCE NO. 023535 Ordinance closing and abandoning a 65,026.99 -square foot portion of a 7.5 -foot wide utility easement out of Lot 1, Block 41, and Lot 1, Block 25, King's Crossing Unit 1, Phase 3; subject to compliance with the specified conditions and the owner, King's Crossing Realty, Ltd., replatting the property within 180 days at the owner's expense. Minutes Regular Council Meeting January 19, 1999 Page 6 An emergency was declared and the foregoing ordinance passed by the following vote: Colmenero, Cooper, Garcia, Gonzales, B. Longoria, J. Longoria, Martin, McNichols, and Neal voting "Aye." 8. ORDINANCE NO. 023536 Ordinance closing and abandoning a 6,870.40 -square foot portion of a 10 -foot wide by 687.04 -foot long utility easement out of the John F. Kennedy Elementary School Tract, subject to compliance with the specified conditions and the owner, West Oso Independent School District, replatting the property within 180 days at the owner's expense. An emergency was declared and the foregoing ordinance passed by the following vote: Colmenero, Cooper, Garcia, Gonzales, B. Longoria, J. Longoria, Martin, McNichols, and Neal voting "Aye." 9. FIRST READING ORDINANCE Authorizing the City Manager or his designee to execute a ten year lease with the Corpus Christi Radio Control Club, Inc. (Club) for 75 acres out of the Westside Landfill in consideration of the Club maintaining the premises and advancing appreciation and enjoyment of the hobby of building and flying model aircraft by providing programs, exhibitions, and education on an on-going basis. The foregoing ordinance passed on first reading by the following vote: Colmenero, Cooper, Garcia, Gonzales, B. Longoria, J. Longoria, Martin, McNichols, and Neal voting "Aye." 10. ORDINANCE NO. 023537 Amending of the Code of Ordinances, City of Corpus Christi, Section 19-39, Inspection procedures for food establishments with scores of sixty-nine or below on regular inspections; to reflect new scoring system for health inspections set forth by Texas Department of Health. The foregoing ordinance passed on second reading by the following vote: Colmenero, Cooper, Garcia, Gonzales, B. Longoria, J. Longoria, Martin, McNichols, and Neal voting "Aye." 11. ORDINANCE NO. 023538 Amending Ordinance No. 8127, as amended, to change language from biweekly pay -period references to monthly basis in Section 950, Leaves of Absence, Subsection 951.1, Leave Plan I, and Subsection 952.1, Leave Plan II, in the following Subsections: 951.1 (A) and (B); 951.4 (A) and (B); 951.9 (A) and (B); Subsections 952.9 and 952.11; in addition in Minutes Regular Council Meeting January 19, 1999 Page 7 Subsection 952.1, delete Subsections (A), (B) and (C), and replace them with a new Subsection 952.1 to clarify accrual rates for Plan II employees, which are the same rates as Plan I Employees receive, and to change references from Bi -weekly pay period basis to monthly basis for vacation accrual of Leave Plan II Employees. The foregoing ordinance passed on second reading by the following vote: Colmenero, Cooper, Garcia, Gonzales, B. Longoria, J. Longoria, Martin, McNichols, and Neal voting "Aye." ************* Mayor Neal opened discussion on Item 3, Downtown Management District contract. Mr. J.E. O'Brien said since the City Manager has been reducing the city's budget, he wondered whether the Council should consider a token reduction in the $100,000 grant to the DMD. Mr. Abel Alonzo said he has supported the downtown area because it provides tourism opportunities for visitors, which brings money into the community. He said as long as the DMD is being productive, he supports the funding for it. He added that he hopes the City Manager will hold the Alliance accountable. City Secretary Chapa polled the Council for their votes as follows: 3. M99-009 Motion authorizing the City Manager or his designee to execute an agreement with the Corpus Christi Downtown Management District in the amount of $100,000 for assistance in downtown development and redevelopment activities. The foregoing motion passed by the following vote: Colmenero, Cooper, Garcia, Gonzales, B. Longoria, J. Longoria, Martin, McNichols, and Neal voting "Aye." * * * * * * * * * * * * Mayor Neal opened the public hearing on Item 13, an amendment to the Preservation Plan. Mr. Tom Henderson, 915 Furman Ave., said he is pleased that Corpus Christi has begun to push for the recognition and preservation of historic and cultural landmarks, such as his home. He said several of the homes in that area are being restored, but other property owners have been reluctant to participate because of concern about economic risk and economic commitments associated with landmark status. He urged the Council to consider economic incentives such as tax abatements for structures that elect landmark designation. Minutes Regular Council Meeting January 19, 1999 Page 8 Council Member Garcia made a motion to close the public hearing, seconded by Council Member McNichols, and passed. Mayor Neal asked if any of the properties on the list under Item 13 have a tax delinquency notice against them. Mr. Tom Utter, Assistant City Manager for Development Services, said they did not. He explained that this program is substantially different from National Register status, pointing out that this involves local designation. Council Member Garcia asked if this proposal involved a cost to the city, and Mr. Utter replied that it did not. He pointed out that the studies used have been paid for by grants through the Texas Historical Commission. Council Member Colmenero asked about the possibility of economic incentives as mentioned by Mr. Henderson. Mr. Utter replied that the city has not gone to that extent, but if the Council was interested in it, staff could take it back to the Landmark Commission and possibly come forward with some recommendations. He said they will provide a report on the issue. City Secretary Chapa polled the Council for their votes as follows: 13. FIRST READING ORDINANCE Amending the City of Corpus Christi Preservation Plan, an element of the Comprehensive Plan, by adding two appendices that catalog properties that have HC zoning designations and properties that have been designated as potential landmarks; designating twenty-seven properties as potential landmarks. The foregoing ordinance passed on first reading by the following vote: Colmenero, Cooper, Garcia, Gonzales, B. Longoria, J. Longoria, McNichols, and Neal voting "Aye"; Martin absent. * * * * * * * * * * * * * Mayor Neal opened the public hearing on the following zoning case: 14. Case No. 1298-1, Kermit H. Sultemeier: A change of zoning from an "R -1B" One -family Dwelling District to a `B-3" Business District on Gardendale Unit 3, Block 13, Lots 18A and 19A, located on the north side of Williams Drive, approximately 120 feet west of Blanche Moore Drive. City Secretary Chapa said the Planning Commission and staff recommended denial of the "B-3" Business District, and in lieu thereof, approval of a `B-1" Neighborhood Business District, No one appeared in opposition to the zoning change. Council Member Garcia made a motion to close the public hearing, seconded by Council Member Colmenero, and passed. Minutes Regular Council Meeting January 19, 1999 Page 9 Responding to Council Member Garcia, Mr. Utter said the Planning Commissioners had a lot of discussion about whether the subject property should be zoned "AB" or "B-1." Replying to another question from Mr. Garcia, Mr. Michael Gunning, Acting Director of Planning and Development, said that about a year ago staff began studying the entire Gardendale area, focusing on the Williams Drive corridor between Everhart and Staples as well as Holly Road. He said the first scheduled public hearing before the Planning Commission on that issue will be in late February. He said part of the recommendation will be to identify a special district and restrict uses that allow limited commercial retail along both sides of Williams Drive as well as Holly Road. Mr. Chapa polled the Council for their votes as follows: 14. ORDINANCE NO. 023 540 Amending the Zoning Ordinance upon application by Kermit H. Sultemeier, by changing the zoning map in reference to Lots 18A and 19A, Block 13, Gardendale Unit 3, from "R -1B" One -family Dwelling District to `B-1" Neighborhood Business District; amending the Comprehensive Plan to account for any deviations from the existing Comprehensive Plan. An emergency was declared and the foregoing ordinance passed by the following vote: Colmenero, Cooper, Garcia, Gonzales, B. Longoria, J. Longoria, Martin, McNichols, and Neal voting "Aye." * * * * * * * * * * * * * Mayor Neal opened the public hearing on the following zoning case: 15. Case No. 1298-2 Garron Dean: A change of zoning from an "R -1B" One -family Dwelling District to a "B-1" Neighborhood Business District on Alameda Estates, Block 2, Lot 8, located on the southeast corner of Walton and Robert Drives. City Secretary Chapa said the Planning Commission and staff recommended denial of the "B -I" Neighborhood Business District, and in lieu thereof, approval of an "AB" Professional Office District. Mayor Neal noted that the applicant does not concur with the recommendation of the Planning Commission and staff, and he recognized the applicant. Mr. Garron Dean, 314 Del Mar, said that "B-1" zoning is required for the signage he wishes to use on a portion of the subject property (one-half of Lot 8). He added that he plans to leave "R - 1B" zoning on the property he purchased on Delano Drive. Mr. Gunning pointed out that the Planning Commission's vote on this zoning case was 5-4 against "B-1" and approval of "AB," which he explained. He said Mr. Dean initially plans to use the property as an office and his long-term plans (in eight years) is to develop the property into a small Minutes Regular Council Meeting January 19, 1999 Page 10 retail center. Mr. Gunning said city staff is concerned about the expansion of the neighborhood business district north along Robert Drive, which would further encroach into the neighborhood. Responding to Council members' questions, Mr. Gunning explained that Robert Drive is designated as a collector street. He also discussed the adjacent properties, including Town & Country Shopping Center, which is zoned "B-4." Council Member Garcia made a motion to close the public hearing, seconded by Council Member McNichols, and passed. Council Member Martin suggested that Item 15 be tabled for one week so that staff can work with the applicant to zone a portion of the property so as to allow for a sign but also be smaller than a developable "B-1" lot. Mr. Garcia made that motion, seconded by Mr. Martin, and passed. 15. TABLED ONE WEEK `-- map in reference to Lot 8, Block 2, Alameda Estates, from "R 1B�y One family Dwelling D.str ct to "AB" P.'efessiettal Office D.Dttiet; air�..nd nb4he Cotnprthet.s.vc Platt to a.seu..t fthany deviatiet.s fraui th,, existing Cett.p.ehet,sivc Plat.. ************* Mayor Neal opened discussion on Item 16, group health insurance. City Secretary Chapa said Council Members Colmenero and McNichols had filed conflict of interest affidavits; he said they will abstain from discussing or voting on Item 16. Mr. Pat Alba, Risk Manager, described the recent history of the city's health insurance program. He noted that the city was self-insured from 1981 to February 1996, whereby the following month the city's group health program became fully insured with Humana Insurance Company. He said the contract with Humana, which is set to expire in February 1999, allowed the city to save money in comparison to when it was self-insured. Mr. Alba also described the elements of a self-insured program, which involves contracting for third -party administration (TPA), a network of providers (doctors, hospitals, and ancillary medical services), and carrying stop -loss insurance or reinsurance. Mr. Alba then referred to Exhibit 3 in the agenda material which evaluated the health insurance proposals that the city received --both fully insured and self-insured plans. The proposals were all compared to the current plan with Humana, for which $9.9 million was budgeted in the city's FY 98-99 budget. The proposal being recommended by staff involves using Entrust as the TPA and Spohn as the network provider, for a total cost of $11.36 million. The fully insured Minutes Regular Council Meeting January 19, 1999 Page 11 proposal submitted by Humana included a total cost of $11.44 million. The next issues discussed by Mr. Alba were aggregate stop -loss insurance and a comparison of the premiums from Entrust/Spohn versus Humana's current rates. He noted that under the Citicare plan, civilian city employees currently pay $55.22 every two weeks for family coverage, while the Entrust/Spohn premiums would cost $63.43 biweekly. City Manager Garcia referred to Exhibit 7, an analysis of the city's group health insurance cost under both the Humana and Entrust/Spohn proposals during the period of March 1, 1999 through the end of the current fiscal year on July 31, 1999. He said the Humana proposal, which includes a 15% increase over the current plan, would cost $954,137 each in the months of March, April, May, June and July, for a total of $4,770,685. The Entrust/Spohn proposal would cost $290,479 in March; $412,552 in April; $741,552 in May; and $947,177 in June and July, for a total of $3,338,937. The variance between the two proposals is $1,431,748. Responding to Council Member John Longoria, Mr. Garcia said if the city converted to a self-insured plan at this time and then reverted to a fully insured plan at the end of that term, there would be a period of time during which the city would pay both claims and premiums. He added that at the end of this fiscal year, there will be either $1.4 million less or more in the budget, depending on whether a fully insured or self-insured proposal is selected. In reply to Council Member Garcia, Mr. Alba said the request for proposals did not specifically indicate whether the city would prefer an exclusive contract with one health care network. He noted that from 1991 to early 1993 the city had an exclusive contract with Memorial Hospital; Columbia hospitals were not included until the city contracted with Humana in 1996. He said the total number of physicians (about 600) is the same in both the Spohn and Columbia networks, although a small number belong to only one of the networks. Council Member Garcia also discussed stop -loss insurance, proprietary information and the bid process. City Attorney Bray said staff felt that Humana's argument regarding proprietary information was reasonable under trade secret doctrine and the Open Records Act on commercial proprietary information. Mr. Alba added that almost of the proposals submitted included confidential information which city staff will protect. He also discussed termination provisions in the contracts. Responding to Council Member Martin, City Manager Garcia said if the city maintained the contract with Humana for the full 12 -month period, staff would have to identify approximately $400,000 of additional funds in order to meet the premium based on a 15% increase. If the city shifts to the self-insured program, it will save approximately $1 million. Mr. Alba noted that the benefits under the Entrust/Spohn proposal are exactly the same as the Humana plan. In reply to other questions from Mr. Martin, Mr. Alba said the discounts offered by Entrust/Spolm are good for all four years of the contract; the variable would be the stop -loss Minutes Regular Council Meeting January 19, 1999 Page 12 insurance. He also discussed the basis for calculating the claims cost under a self-insured program as well as additional explanation of the stop -loss insurance. Council Member Gonzales expressed concern that many city employees do not have health insurance coverage for their families because they cannot afford it. He also discussed the issue of proprietary information, saying that many cities include paid claims information as part of their RFPs. Mr. Alba replied that propriety information will not be an issue under a self-insured plan. Council Member Garcia raised the issue of network exclusivity, and Mr. Garcia said the Humana proposal offers access to both the Spohn and Columbia networks but at an additional cost of $1.4 million. He said the issue before the Council is whether it is worth that amount to include two hospital networks. Council Member Garcia also asked about brokers. Mr. Alba replied that Mr. Butch Escobedo was the broker for four of the 13 proposals; another broker submitted eight proposals; and one proposal had no broker. He said the broker has the responsibility of getting all the parties to agree on prices and fees so as to submit a proposal as a package, which he explained. He added that the city's contracts are not with the broker but with the companies themselves, who are held accountable for any problems that occur in the administration of the program. Council Member Betty Jean Longoria expressed concem that Spohn does not have a hospital facility in the northwest area. Mr. Alba acknowledged that Riverside Hospital is in the Columbia network. He said Spohn administrators indicated that many of the physicians located in the northwest are part of the Spohn network and they have privileges at Spohn and Memorial. Mrs. Longoria also shared Dr. Gonzales' concern about health care coverage for the families of city employees. Mayor Neal called for comments from the audience. Mrs. Betty Turner, Vice President for Government Relations for Columbia Hospital System, said the $1.4 million referred to during the previous discussion is not a cost savings but rather a deferment of paid claims. Mrs. Turner said if the Council is concerned about the city's ability to maintain and attract good employees, choice and access (rather than cost) should be the determining factors in their decision on the group health insurance. She said if the Council approved an exclusive contract with the Spohn System, it would eliminate Columbia's six hospitals from participating in the city's contract. Mr. Steve Woemer, CEO of Corpus Christi Medical Center, echoed Mrs. Turner's contention that the $1.4 million is not a savings but a deferment. He also noted that this is a highly competitive medical marketplace, and he discussed the issues of the bid process and self-insured versus fully insured plans. He noted that both the police and fire unions contain provisions in their contracts regarding direct access to specialists. Minutes Regular Council Meeting January 19, 1999 Page 13 Mr. Andrew Lacroix, President of the Corpus Christi Firefighters Union, said the union members would like to have access to all of the hospitals in this region. He said he is disappointed that information was not made available in the bid process. He said that the increase in premiums and access to only one health care network will be detrimental to city employees' morale. Mr. Isaac Valencia said the CCPOA had many reservations about this bidding process as well as about how the system will work. He said Humana's plan offered access to all of the hospitals in the area as well as a network of hospitals outside of the state. He said the union is examining whether there is a conflict between the proposed plan and a provision in their contract. Dr. Gonzales wondered whether the proposal needed to be postponed until next week if the police and firefighters unions have questions about it. City Manager Garcia said he would prefer not to have to consider this issue again. Mr. Alba said he has met with the unions' representatives specifically regarding the provision in the police officers' contract. He said it is staff's interpretation that there is no conflict. While the contract requires at least 300 physicians and two major hospitals, the proposed health care network includes over 600 physicians and more than two hospitals. Dr. Gonzales said he was not referring to the unions' contracts but rather to providing them with the necessary information. Mr. Alba replied that earlier that day he faxed information about premiums the police and firefighters would pay under both the Entrust/Spohn proposal and the Humana proposal. Mr. Valencia added that while there may not be a conflict with the union's contract provision, the union is examining that issue. City Manager Garcia said staff tried to ensure that the benefits to city employees under the new health care proposal would stay the same, although the reality is that the city is facing an increase in the health insurance cost to its employees. He said the impetus for seeking requests for proposals was that Humana's original proposal contained an increase of over 20% in order to continue for another year. He said once the process became competitive, Humana changed its proposal to a 15% increase. Mr. Martin said he thought the staff had done its job in comparing the fully insured and self- insured proposals. He said there was no question to him that if the costs were equal, the fully insured proposal would be the better one because it takes away the risk and it offers a wider network of health care service. He said the issue before the Council is cost versus the services provided. Mr. Martin said he would support the Humana proposal. Council Member Cooper asked about the cost for premiums under the Humana proposal. Mr. Alba referred to Exhibit 6 in the support material and he noted that the largest increase would be under the employee/family policy for police officers: from $68.11 biweekly for the employee's share under the current plan to $93.71 biweekly under the Humana proposal (an increase of $25.60 every two weeks); the biweekly increase for family coverage for civilian employees would be $8.36, or $18.11 a month. Mr. Garcia noted that the total cost to the city would be $400,000. Minutes Regular Council Meeting January 19, 1999 Page 14 Ms. Cooper said that since the police officers will be impacted the most by the premium increases, she questioned what the union's recommendation would be. Mr. Valencia replied that based on the information before them, the union would prefer the lower rate. On the other hand, he said, under the recommended plan, employees would lose some access and choices. Ms. Cooper said she is inclined to support the Humana proposal because of the increased convenience to the employees. Mr. Longoria made a motion to continue with the Humana proposal for one year; Ms. Cooper seconded the motion. Mayor Neal called for a vote on a motion that the Council endorse the Humana proposal as opposed to the staff recommendation to go self-insured. City Secretary Chapa polled the Council for their votes. Council Members John Longoria, Martin, Cooper, and Gonzales voted in favor of the motion (Colmenero and McNichols abstaining; Garcia absent). The Mayor then stated that the motion had passed and the last votes by Council Member Betty Jean Longoria and Mayor Neal were not cast. The Mayor then called for a short recess. 16.a. NOT VOTED Motien authorizing the City Manage) of his dLsisnee to execute a contract witl. Entrust Inc. for the Third Party Ad.n:niatratien of the City's group health presiam fez a t.,.ni of f„u. • 6 • . Si . Yeai 2, $875,028 Year 3 and $918,446 Year 4. 16.b. NOT VOTER • • 16.c. NOT VOTED M.,tion authorizing the City--Mai.agcr or his ksig.,ce to execute a eontract with TPAC pretniturref $589,899 with a e.,ntraet provision to .u.ew for -dace additir,nal enc year terns. * * * * * * * * * * * * * Mayor Neal deviated from the agenda and opened discussion on Item K. and Item 12 regarding the Wesley Seale Dam spillway stabilization project. Minutes Regular Council Meeting January 19, 1999 Page 15 Mr. Ed Garana, Water Superintendent, introduced Dr. Ron Waters of Freese & Nichols. Dr. Waters said that for the last three months they have been monitoring the dam for movement and pressures under it. He said the design for repairs to the dam are 90% complete, and the two concepts previously discussed for stabilizing the dam --ballast and anchors --are being refined. Dr. Waters noted that they are still within the original projected budget of $26 million, which includes construction, inspection, and contingencies. Dr. Waters reported that Freese & Nichols is on schedule to complete the project design in February and they anticipate advertising for bids in March with the bid opening scheduled for mid- April. He said the contract should be awarded soon after that with a construction start date in early June for a 30 -month period. Dr. Waters added that the necessary permits have been acquired. He also introduced Ms. Janice Murphy, Project Engineer from Freese & Nichols, and Mr. Steve Watters, an associate on Freese & Nichols' staff for permitting and environmental matters. Responding to Mayor Neal, Dr. Waters said the project bid has been divided into three parts: basic bid, including all common construction work that applies to both the anchor and ballast approaches; work unique to the ballast approach; and work unique to the anchor approach. Dr. Waters said they will meet with city staff to review the bids and to make a recommendation on how to award the contract. He emphasized the need for contingencies in this contract. He explained that since the lake level has to be maintained at 91 feet, a large flood would have to be passed through the spillway and the contractor would have to stop work for that period of time. In reply to Council Member Colmenero, Dr. Waters discussed the passage of water through the spillways as well as an explanation of the three parts of the bid. City Manager Garcia added that once the actual cost of repairing the dam is ascertained, the city will issue revenue bonds to finance the repair project out of the water system. Dr. Waters replied to Council Member Gonzales that once the dam is repaired, the lake elevation can be raised to 94 feet, which is the dam's original design. Council Member Martin asked if there was a preferred method for stabilizing the dam. Dr. Waters replied that they prefer to use gravity (ballast) as a stabilizing method rather than steel tendons holding something in place because gravity does not go away with age or wear. Dr. Waters added that they had discussed previously that doing nothing to stabilize the dam was not an option since the factor of safety is too low. Responding to Council Member McNichols, Dr. Waters further discussed the ballast and anchor options. Dr. Gonzales asked about repairing the bulge in the north spillway slab. Dr. Waters said the hearth slab will be overlaid, which he explained. Mayor Neal referred to the public hearing under Item 12 regarding the environmental impact of the dam stabilization project. Mr. Garafia and Dr. Waters referred to maps illustrating the location of the wildlife sanctuary below the dam. No one spoke in opposition to the project. Minutes Regular Council Meeting January 19, 1999 Page 16 Ms. Pat Suter spoke in favor of the environmental aspects of the proposal being made by the consultants. She said a committee has met with staff from the city's Water Department and representatives of Freese & Nichols and they have been very helpful. Ms. Suter added that the environmental groups will be watching the progress of the project. She also discussed the excellent cooperation they have had by city staff in promoting birding activities. Council Member John Longoria made a motion to close the public hearing, seconded by Council Member McNichols, and passed. City Secretary Chapa polled the Council for their votes: 12. RESOLUTION NO. 023539 Resolution relating to the taking of the land designated as a wildlife and bird sanctuary at the Wesley Seale Dam and Reservoir for the construction of spillway stabilization and related improvements. The foregoing resolution passed by the following vote: Colmenero, Cooper, Gonzales, B. Longoria, J. Longoria, Martin, McNichols, and Neal voting "Aye"; Garcia absent. * * * * * * * * * * * * * Mayor Neal opened discussion on Item 17, TXDOT street projects. He called for comments from the audience, and there were none. Responding to Council Member John Longoria, Mr. Ogilvie Gericke, Director of Street Services, described the Shoreline/Ocean Drive overlay project (Items 17.c. and 17.d.). Council Member McNichols asked if staff approached TXDOT about a time extension on these projects. City Manager Garcia replied that the projects have been rescheduled several times. He said the discussion last week concerned the backlog in the Engineering Department and whether staff should request a time extension, which would put the letting date for the contracts into the year 2000. The question arose whether the federal funds would be lost, and Mr. Garcia had replied that they would be if TXDOT did not approve the extensions. He said staff did not request extensions and these proposals are designed to meet the original schedules. In reply to Council Member Martin, Mr. Garcia said the city's share for the projects is funded. Mr. Angel Escobar, Acting Director of Engineering, also replied that the current budget for the Shoreline/Ocean Drive project (from the convention center to Airline Road) is $2,516,000. He said that once the design plans are completed, they will be turned over to TXDOT for bidding and they will administer the construction. Council Member Betty Jean Longoria said one of the most important issues regarding these projects was the level of trust about when the projects will be completed. Minutes Regular Council Meeting January 19, 1999 Page 17 Council Member Gonzales commented on the process for "fast -tracking" these projects, and a brief discussion ensued. Mayor Neal recognized audience members who wished to comment. Mr. Larry Baker, a member of the Northwest Business Association (NWBA), said that various groups have been working to get the Leopard Street project completed for almost 20 years and improvements to Leopard are greatly needed. Mr. Warren Albright, President of the NWBA, urged the Council to approve moving forward with the Leopard Street project. Council Member Colmenero said the Council has to be mindful that when citizens approve funding street projects, such as those in the 1986 bond program, the projects need to be completed. Following additional discussion, Mr. Martin noted that Leopard Street was the only project of the three that was in the 1986 bond program and it was on a smaller scale then. Mrs. Longoria pointed out that funds were leveraged in order to expand the scope of that and other projects. City Secretary Chapa polled the Council for their votes as follows: 17.a. M99-012 Motion authorizing the City Manager or his designee to execute a contract with Goldston Engineering, Inc. in the amount of $197,000 for engineering services associated with the Leopard Street Improvement Project. The foregoing motion passed by the following vote: Colmenero, Cooper, Gonzales, B. Longoria, J. Longoria, Martin, McNichols, and Neal voting "Aye"; Garcia absent. 17.b. M99-013 Motion authorizing the City Manager or his designee to execute a contract with Shiner Moseley & Associates in the amount of $58,500 for engineering services associated with the Cornett Drive Improvement Project. The foregoing motion passed by the following vote: Colmenero, Cooper, Gonzales, B. Longoria, J. Longoria, Martin, McNichols, and Neal voting "Aye"; Garcia absent. 17.c. M99-014 Motion authorizing the City Manager or his designee to execute a contract with Russell- Veteto Engineering, Inc. in the amount of $115,000 for engineering services associated with the Shoreline/Ocean Drive Overlay Project. Minutes Regular Council Meeting January 19, 1999 Page 18 The foregoing motion passed by the following vote: Colmenero, Cooper, Gonzales, B. Longoria, J. Longoria, Martin, McNichols, and Neal voting "Aye"; Garcia absent. 17.d. M99-015 Motion authorizing the City Manager or his designee to execute a contract with Rock Engineering and Testing Laboratory, Inc. in the amount of $17,200 for construction materials testing and pavement investigation on the Shoreline/Ocean Drive Overlay Project. The foregoing motion passed by the following vote: Colmenero, Cooper, Gonzales, B. Longoria, J. Longoria, Martin, McNichols, and Neal voting "Aye"; Garcia absent. * * * * * * * * * * * * * Mayor Neal opened discussion on Item 18, Schanen Ditch restoration. City Secretary Chapa said Council Member Martin had filed a conflict of interest affidavit and would not discuss or vote on this item. The Mayor called for comments from the audience, and there were none. Mr. Chapa polled the Council for their votes as follows: 18. M99-016 Motion authorizing the City Manager or his designee to execute a construction contract with King Isles, Inc. in the amount of $349,700 for the Schanen Ditch Restoration Project. The foregoing motion passed by the following vote: Colmenero, Cooper, Gonzales, B. Longoria, J. Longoria, McNichols, and Neal voting "Aye"; Martin abstaining; Garcia absent. * * * * * * * * * * * * * Mayor Neal opened discussion on Item 19, Weed & Seed grant. He called for comments from the audience, and there were none. Council Member John Longoria asked Mr. Utter to look into the possibility of expanding the scope of the Weed and Seed program to include the Village on the Green neighborhood area. Mr. Utter added that there are still CDBG funds going into the program, which he briefly explained. City Secretary Chapa polled the Council for their votes as follows: 19.a. M99-017 Motion authorizing the City Manager or his designee to execute all documents necessary to accept a $350,000 Weed & Seed grant awarded by the Office of Justice Programs, U.S. Department of Justice to support activities of the Weed & Seed Program. Minutes Regular Council Meeting January 19, 1999 Page 19 The foregoing motion passed by the following vote: Cooper, Gonzales, B. Longoria, J. Longoria, Martin, McNichols, and Neal voting "Aye"; Colmenero and Garcia absent. 19.b. ORDINANCE NO. 023541 Ordinance appropriating a Weed & Seed Grant in the amount of $350,000 in the No. 162 Federal/State Grants Fund from the U.S. Department of Justice to support activities of the local Weed & Seed Program. An emergency was declared and the foregoing ordinance passed by the following vote: Cooper, Gonzales, B. Longoria, J. Longoria, Martin, McNichols, and Neal voting "Aye"; Colmenero and Garcia absent. * * * * * * * * * * * * * City Secretary Chapa announced that Item 20 had been withdrawn by staff. 20. WI HDRAWN Modell appievirg the applieation Lem A.B. Quiritanilla, Jr. to t.,.,.pthaiily elesi, the 300 Saturday, January 30, 1999 at 10:00 a.m. and ending Sunday, January 31, 1999 at 6.00 a.m., * * * * * * * * * * * * * Mayor Neal opened discussion on Item 21, executive pay plan and revised managerial group pay plan. He called for comments from the audience, and there were none. City Manager Garcia reiterated that this proposal does not change the compensation of any existing city employees; rather, it combines a number of pay ranges into broader individual ranges. The key purpose is to allow flexibility in the implementation of a merit program to allow for incentives to employees based on performance. He said it will also allow for some flexibility in the recruitment of executives so the city can offer more competitive salaries. City Secretary Chapa polled the Council for their votes as follows: 21. FIRST READING ORDINANCE Amending Ordinance No. 3658 as amended, Section 100, Subsection 103, to provide for an "Executive Pay Plan." Approval of Ordinance amending Ordinance No. 8127, as amended, to provide for an "Executive Pay Plan" by adding a new subsection 520, Executive Pay Plan Minutes Regular Council Meeting January 19, 1999 Page 20 for FY 98-99, effective January 18, 1999, setting forth minimum and maximum salary ranges for all positions designated within the Executive Pay Plan as stated in Exhibit A attached hereto. Approval of Ordinance amending Ordinance No. 8127, as amended, to provide for a revised "Managerial Group Pay Plan," in Section 500 by replacing Subsection 510, Managerial Group Pay Plan for FY 1998-99, effective December 7, 1998, with a revised Managerial Group Pay Plan, effective January 18, 1999, setting forth minimum and maximum salary ranges for all positions designated within the Managerial Group Pay Plan, as stated in Exhibit B attached hereto. Approval of ordinance amending Ordinance No. 8127, as amended, to provide for an "Executive Pay Plan" by amending the following Sections and Subsections: Section 500. Subsection 509; Section 550, Subsections 551.1, 551.5, 551.7; Section 552, Subsection 552.3; Section 700, Subsections 707.1 and 711; Section 950, Subsections 951.3 and 951.10 for Leave Plan I Employees, and Subsection 952.8 for Leave Plan II Employees; Section 955, Special Leave, Subsection 955.21, be amended and moved to Section 700, Special Compensation Provisions, Subsection 712. The foregoing ordinance passed on first reading by the following vote: Colmenero, Cooper, B. Longoria, J. Longoria, Martin, McNichols, and Neal voting "Aye"; Garcia and Gonzales absent. * * * * * * * * * * * * * Mayor Neal announced the closed session, pursuant to Texas Government Code Section 551.071, regarding the following: City of Corpus Christi v. Manhattan Construction Company et al, No. 94-6459-A, 28`^ District Court, Nueces County, Texas; and the Simplex contract for the Airport Automated Access Control System. The Council went into closed session. The Council returned from closed session. Mayor Neal referred to Item 22 on the agenda regarding City Hall leak repairs. He called for comments from the audience, and there were none. City Secretary Chapa polled the Council for their votes as follows: 22.a. ORDINANCE NO 023542 Ordinance appropriating $254,855 from the Unreserved Fund Balance in the No. 132 Maintenance Services Fund for emergency leak repairs at City Hall; amending the FY 98-99 Budget, adopted by Ordinance No. 023387, to increase appropriations by $254,855 in the No. 132 Maintenance Services Fund. An emergency was declared and the foregoing ordinance passed by the following vote: Minutes Regular Council Meeting January 19, 1999 Page 21 Colmenero, Cooper, Gonzales, B. Longoria, J. Longoria, Martin, McNichols, and Neal voting "Aye"; Garcia absent. 22.b. M99-018 Motion authorizing the City Manager or his designee to execute a contract for engineering construction phase services with Stone & Glazing Consulting, Houston, Texas in the amount of $31,210. The foregoing motion passed by the following vote: Colmenero, Cooper, Gonzales, B. Longoria, J. Longoria, Martin, McNichols, and Neal voting "Aye"; Garcia absent. 22.c. M99-019 Motion authorizing the City Manager or his designee to execute a construction contract with RTC Waterproofing & Restoration, Inc. in the amount of $177,045 for emergency leak repairs at City Hall. The foregoing motion passed by the following vote: Colmenero, Cooper, Gonzales, B. Longoria, J. Longoria, Martin, McNichols, and Neal voting "Aye"; Garcia absent. * * * * * * * * * * * * * Mayor Neal called for the City Manager's report. Mr. Garcia said that Assistant City Manager Carl Crull resigned effective last Friday, January 15, 1999. In the interim, Mr. Garcia said he has appointed Mr. Gericke, Street Services Director, as the Acting Assistant City Manager pending the resolution of the recruitment effort which is now commencing. Mr. Garcia also said that next week the Council will consider a series of financial items to include the authorizations to issue bonds on the Wesley Seale Dam project; refunding of outstanding commercial paper; and advanced refunding of some 1994 and 1995 utility system revenue bonds. He said these actions are made possible by the current condition of the bond market. Responding to Mayor Neal, Mr. Garcia said the police management study will not be on next week's agenda. He said the consultant will try to prepare a draft for initial review some time next week. The City Manager said he anticipates the study being available in January, although it may be extended to early February. There being no further business to come before the Council, Mayor Neal declared the Council meeting adjourned at 7:17 p.m. on January 19, 1999. * * * * * * * * * * * * *