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HomeMy WebLinkAboutMinutes City Council - 06/25/2002I 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 June 25, 2002, which were approved by the City Council on July 9, 2002. WITNESSETH MY HAND AND SEAL, this 9th day of July 2002. Armando Chapa City Secretary SEAL PRESENT Mayor Samuel L. Neal Jr. Mayor Pro Tem Bill Kelly Council Members: Brent Chesney* Javier D. Colmenero Henry Garrett Rex A. Kinnison John Longoria Jesse Noyola Mark Scott* MINUTES CITY OF CORPUS CHRISTI, TEXAS Regular Council Meeting June 25, 2002 - 12:00 p.m. City Staff: City Manager David R. Garcia Deputy City Manager George Noe City Attorney James R. Bray Jr. City Secretary Armando Chapa Recording Secretary Rachelle Parry Mayor Neal called the meeting to order in the Council Chambers of City Hall. The invocation was delivered by Rev. E.F. Bennett, and the Pledge of Allegiance to the United States flag was led by Council Member Noyola. 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 June 18, 2002. Mr. Chapa said the minutes needed to be corrected to reflect the correct appointment to the Corpus Christi Regional Transportation Authority, who is Mr. Abel Alonzo and not Ms. Rosine Runyon. A motion was made and passed to approve the minutes as amended. *Council Member Scott arrived at approximately 12:03 p.m. Mayor Neal referred to Item 2 regarding the designation of an appointee to represent the "transportation disadvantaged" on the Corpus Christi Regional Transportation Authority. The Mayor made a motion to nominate Mr. Abel Alonzo, seconded by Council Member Kinnison, and passed. * * * * * * * * * * * * * Mayor Neal announced the executive sessions, which were listed on the agenda as follows: 3. Executive session pursuant to Texas Government Code Sections 551.071, 551.072 and 551.087 regarding the South Wharf Project in the Corpus Christi Marina, with possible discussion and action related thereto in open session. 4. Executive session pursuant to Texas Government Code Section 551.071 regarding David Cook v. City of Corpus Christi, No. C-01-341, United States District Court, Southern District of Texas, Corpus Christi Division, with possible discussion and action related thereto in open session. The Council went into executive session. *Council Member Chesney arrived at approximately 12:08 p.m. The Council returned from executive session. Minutes - Regular Council Meeting June 25, 2002 - Page 2 Mayor Neal referred to Item 25, a presentation by the Mayor's Planning Committee on the July 4th "Big Bang" celebration. Ms. Diana Zertuche Garza, Assistant to the Mayor, reviewed the events planned for that day, including the Bayfront Run, U.S. Coast Guard search and rescue, Stars and Stripes parade, patriotic ceremony, Stars and Stripes Aboard the U.S.S. Lexington, Bay Jammin' concert series, and the HEB fireworks display. The following representatives also discussed the 4th of July events: Yvonne Sanchez, HEB; Joe Ochoa and Vicky Lewis, Buccaneer Commission; Rene Garza, Corpus Christi Marina; Chris Kailas, Park and Recreation; and Vic Menard, Mayor's Planning Committee. * * * * * * * * * * * * * Mayor Neal opened discussion on Item 5, an overview of the proposed FY 2002-03 Special Revenue, Internal Service and Debt Service budgets. Mr. Mark McDaniel, Director of Management and Budget, said the largest special revenue funds are the hotel tax, crime control, and visitors facilities funds. He noted that RIZ #1 is the downtown tax increment financing (TIF) district and RIZ #2 is the Packery Channel TIF. He said to illustrate the operation of the funds, staff combined the hotel tax and visitors facilities funds. They are budgeted to have revenues of $6.1 million, or 77% of the total. In addition, the operation and maintenance of visitors facilities is budgeted at $4.2 million or 53%. The second largest expense is convention promotion (i.e., the city's contract with the Convention and Visitor's Bureau), which represents about $2 million or 26%. Mr. McDaniel also reviewed the budget issues for the hotel tax/visitors facilities funds, including contributions to outside agencies; increased funding for CVB marketing efforts; continued multi-year funding for the American Bowling Congress; final funding for the sesquicentennial events; and the pending sale of bonds for the convention center expansion. Council Member Kinnison asked about additional options for increased funding for the CVB. Mr. McDaniel replied that about six months ago, the month-to-month budgeting for hotel occupancy tax was 5% down and about 45 days ago it was 2% behind budget. As of today, the fund is 2% above budget. He said if that holds and the budget is met, that will result in another $118,000 while 2% above is almost another $100,000. In addition, Mr. McDaniel referred to page 305 of the proposed budget document which shows $100,000 for "Convention Center Expansion/Renovation." He said staff discussed programming that into marketing efforts for the new convention center, which the city would be doing in cooperation with the CVB. Mr. Kinnison expressed concern that the reserve balance is down to about $100,000. Mr. McDaniel said that is one of the reasons why staff was recommending using some money from the Debt Service Fund. City Manager Garcia said that while the convention center is being renovated, it will take a concerted effort to keep conventions booked there. Mr. Garcia said one of the biggest problems other Texas cities are having is that they overestimated their sales tax and convention and visitor tax revenues; as a result, they are having to make up very large deficits. In comparison, City of Corpus Christi staff have been very conservative in their projections and consequently they have been very accurate. Minutes - Regular Council Meeting June 25, 2002 - Page 3 Mr. Kinnison referred to a request from the Arts and Cultural Commission (ACC) for an additional $50,000 from the hotel occupancy tax fund for promotional and organizational costs for the 2003 Corpus Christi Festival of the Arts project. He asked if the ACC members have discussed their marketing ideas with the CVB. Mr. Dan Whitworth, Director of Park and Recreation, said the ACC has contacted the CVB to use their web site to post the event. Responding to Council Member Scott, Mr. McDaniel said that when staff prepared the proposed budget, they projected a negative unreserved fund balance of $21,937 in the Hotel Occupancy Tax Fund (page 304). However, he said, if the revenues continue to stay on track, that number will not be a negative one. He noted that much like the Combined Utilities Fund, the leverage of the entire hotel fund is used to do different things. Mayor Neal recessed the Council meeting to swear in the new board and committee members. Upon reconvening, he asked Mr. McDaniel to continue his budget presentation. Mr. McDaniel discussed the Crime Control and Prevention District Fund, noting that most of the expenditures (72%) are used for the 50 police officers, followed by other expenses (22%) and the Juvenile Assessment Center (6%). He said strategic issues include the fulfillment of the 50 -officer plan; continuation of the JAC/juvenile marshals programs; election to renew the district in November 2002; and elimination of support staff in April 2003. Council Member Garrett asked about the juvenile marshals program. Mr. Whitworth said that when the JAC was originally established, police overtime was used as security there. In order to save money, staff has expanded on the Municipal Court marshal's program and is using those staff members for security at the JAC. Mr. Garrett asked what would happen to the 50 police officers if the Crime Control District (CCD) was not renewed. Mr. McDaniel replied that the city would not have a way to fund them. Council Member Colmenero asked about the costs associated with the CCD renewal election. Mr. McDaniel said $100,000 is programmed into the budget. Responding to Council Member Noyola, Mr. Whitworth said the Police Department is using directed patrol officers with each of the school districts to carry out the community policing program. Mr. McDaniel then discussed Facility -Related Special Revenue Funds. He said that for presentation purposes, he combined several of the funds together --those related to the arena, seawall and the two reinvestment zones (RIZ #1 and RIZ #2). He said that sales tax revenues for the arena and the seawall each represent 43% of the total, or $4.2 million each. The seawall debt service is the largest of the expenditures at 54% because those bonds have already been sold. He said there will be continued debt service on RIZ #1 (downtown), while the arena and Packery Channel (RIZ #2) bond sales are pending. Mr. Kinnison said that when the debt for RIZ #1 is paid off in December 2004, the approximate $500,000 in revenue will go back into the General Fund. Mr. McDaniel said it will either free up the city's debt capacity or operation and maintenance costs. He added that that amount is not included in the budget projections. The Internal Services Funds were the next topics discussed. Mr. McDaniel said the city establishes those funds, which are supposed to be supported by the users. The largest category is Minutes - Regular Council Meeting June 25, 2002 - Page 4 liability/employee benefits at 52%. He said that overall, the combined expenditures for all five funds are proposed to decrease by $105,835. Budget issues include rising property/liability and group insurance costs and Risk Management counter -initiatives; deferred equipment replacement and building maintenance; and technology investments. Responding to Mr. Colmenero, Mr. Jim Davis, Fleet Management Superintendent, said the city has two fleets: General Fund fleet and Utilities fleet. The condition of the General Fund fleet varies; for instance, the Police Department fleet is in excellent shape while the Park and Recreation fleet is not. In addition, the Utilities fleet is also in very good shape because of their revenue stream. Mr. Colmenero requested additional information about the condition of the fleets. Mr. McDaniel also discussed the Debt Service Funds. He said that in FY 2007-08, there is a $5 million drop in the combined general long-term debt and in FY 2008-09 there is another $8 million drop. The strategic issues include declining general debt; a potential bond election in 2004; and annual updates to the short- and long-range capital improvement plans. He also discussed the remainder of the operating budget adoption schedule, including the public hearing on July 9th. Upon verification by Mr. McDaniel, Mayor Neal suggested that any ideas for reallocation of funding in the proposed budget should be discussed during the July 9th meeting. ************* Mayor Neal called for consideration of the consent agenda (Items 6-20). Council members requested that Item 16 be discussed. There were no comments from the audience. City Secretary Chapa polled the Council for their votes and the following passed: 6. M2002-173 Motion setting a public hearing on the proposed FY 2002-03 operating budget during the regular Council meeting of July 9, 2002. The foregoing motion passed by the following vote: Neal, Chesney, Colmenero, Garrett, Kinnison, Longoria, and Noyola voting "Aye"; Kelly and Scott absent. 7. M2002-174 Motion authorizing the City Manager or his designee to purchase from SBC DataComm Inc. of Austin, Texas, in accordance with the State of Texas Cooperative Purchasing Program, an IP phone and data solution equipment for a total of $44,967 for the Wastewater Department. This system will allow for voice and data communications, and it will be integrated into the City's wide -area network and the Water Utilities IP phone systems. The foregoing motion passed by the following vote: Neal, Chesney, Colmenero, Garrett, Kinnison, Longoria, and Noyola voting "Aye"; Kelly and Scott absent. Minutes - Regular Council Meeting June 25, 2002 - Page 5 8. M2002-175 Motion authorizing the City Manager or his designee to execute a contract amendment with SBC DataComm Inc. of Austin, Texas, to purchase an IP phone and data system, in accordance with the State of Texas Cooperative Purchasing Program, for the Gas Department at an additional cost of $56,009.34. The interactive voice response and integrated contact distribution features will be fully incorporated with the Water Utilities, Utilities Business Office (UBO), and the Emergency Operating Center (EOC) phone systems. Setup and installation are also included in the contract. The foregoing motion passed by the following vote: Neal, Chesney, Colmenero, Garrett, Kinnison, Longoria, and Noyola voting "Aye"; Kelly and Scott absent. 9.a. M2002-176 Motion authorizing the City Manager or his designee to accept the final notification of funds award for Fiscal Year 2002, in the amount of $177,933 from the Coastal Bend Council of Governments -Area Agency on Aging for the elderly nutrition program. The foregoing motion passed by the following vote: Neal, Chesney, Colmenero, Garrett, Kinnison, Longoria, and Noyola voting "Aye"; Kelly and Scott absent. 9.b. ORDINANCE NO. 024914 Ordinance appropriating a grant in the amount of $177,933 from the Coastal Bend Council of Governments -Area Agency on Aging in the No. 1050 Federal/State Grants Fund for the elderly nutrition program. An emergency was declared and the foregoing ordinance passed as follows: Neal, Chesney, Colmenero, Garrett, Kinnison, Longoria, and Noyola voting "Aye"; Kelly and Scott absent. 9.c. ORDINANCE NO. 024915 Ordinance appropriating funds in the amount of $45,000 in additional program income from anticipated participant contributions in the No. 1050 Federal/State Grants Fund for the elderly nutrition program. An emergency was declared and the foregoing ordinance passed as follows: Neal, Chesney, Colmenero, Garrett, Kinnison, Longoria, and Noyola voting "Aye"; Kelly and Scott absent. 10.a. M2002-177 Motion authorizing the City Manager or his designee to accept a contract with the Coastal Bend Council of Governments -Area Agency on Aging/direct purchase vendor agreement with the Senior Companion Program for Fiscal Year 2002, in the amount of $30,000. Minutes - Regular Council Meeting June 25, 2002 - Page 6 The foregoing motion passed by the following vote: Neal, Chesney, Colmenero, Garrett, Kinnison, Longoria, and Noyola voting "Aye"; Kelly and Scott absent. 10.b. ORDINANCE NO. 024916 Ordinance appropriating resources in the amount of $30,000 in anticipated funds from the Coastal Bend Council of Governments -Area Agency on Aging/direct purchase vendor agreement in the No. 1050 Federal/State Grants Fund for the Senior Companion Program. An emergency was declared and the foregoing ordinance passed as follows: Neal, Chesney, Colmenero, Garrett, Kinnison, Longoria, and Noyola voting "Aye"; Kelly and Scott absent. 11.a. M2002-178 Motion authorizing the City Manager or his designee to accept a service agreement contract from the Texas Department of Public and Regulatory Services for Fiscal Year 2002, in the amount of $625 for the adult protective services/emergency home -delivered meals program. The foregoing motion passed by the following vote: Neal, Chesney, Colmenero, Garrett, Kinnison, Longoria, and Noyola voting "Aye"; Kelly and Scott absent. 11.b. ORDINANCE NO. 024917 Ordinance appropriating resources in the amount of $625 in anticipated service agreement contract funds from the Texas Department of Public and Regulatory Services in the No. 1050 Federal/State Grants Fund for the adult protective services/emergency-home delivered meals program. An emergency was declared and the foregoing ordinance passed as follows: Neal, Chesney, Colmenero, Garrett, Kinnison, Longoria, and Noyola voting "Aye"; Kelly and Scott absent. 12. M2002-179 Motion authorizing the City Manager or his designee to execute a contract and to ratify services provided by the University of Texas Marine Sciences Institute in an amount not to exceed $118,192 for biological monitoring services associated with the Rincon Bayou diversion project. The foregoing motion passed by the following vote: Neal, Chesney, Colmenero, Garrett, Kinnison, Longoria, and Noyola voting "Aye"; Kelly and Scott absent. 13. M2002-180 Motion authorizing the City Manager or his designee to execute an amendment to an engineering services contract with Urban Engineering of Corpus Christi, Texas, in the Minutes - Regular Council Meeting June 25, 2002 - Page 7 amount of $454,125 for the Southside Water Transmission Main, Phases 2, 2a and 3 and the Southside Gas Transmission Main Parts B and C. The foregoing motion passed by the following vote: Neal, Chesney, Colmenero, Garrett, Kinnison, Longoria, and Noyola voting "Aye"; Kelly and Scott absent. 14. ORDINANCE NO. 024918 Ordinance appropriating $500,000 into the Street Capital Improvement Program Fund No. 3530 from the Regional Transportation Authority (RTA) for the RTA 2002 Special Projects Program, increasing Fund No. 3530 appropriation by $500,000. An emergency was declared and the foregoing ordinance passed as follows: Neal, Chesney, Colmenero, Garrett, Kinnison, Longoria, and Noyola voting "Aye"; Kelly and Scott absent. 15. M2002-181 Motion authorizing the City Manager or his designee to execute a contract with Tiburon Inc. of Fremont, California, in the amount of $110,935 for maintenance and software support services on the Police Department's records management, computer-aided dispatching, mobile data/automated vehicle location systems, and video imaging. The term of the contract is for one year. The foregoing motion passed by the following vote: Neal, Chesney, Colmenero, Garrett, Kinnison, Longoria, and Noyola voting "Aye"; Kelly and Scott absent. 17.a. M2002-183 Motion authorizing the City Manager or his designee to accept a grant in the amount of $69,995 from the State of Texas, Office of the Governor, Criminal Justice Division, for funding available for continuation of a project to prevent minors from purchasing and consuming alcohol and to execute all related documents. The foregoing motion passed by the following vote: Neal, Chesney, Colmenero, Garrett, Kinnison, Longoria, and Noyola voting "Aye"; Kelly and Scott absent. 17.b. ORDINANCE NO. 024919 Ordinance appropriating $69,995 from the State of Texas, Office of the Governor, Criminal Justice Division in the No. 1050 State and Federal Grants Fund to implement a project to prevent minors from purchasing and consuming alcohol. An emergency was declared and the foregoing ordinance passed as follows: Neal, Chesney, Colmenero, Garrett, Kinnison, Longoria, and Noyola voting "Aye"; Kelly and Scott absent. Minutes - Regular Council Meeting June 25, 2002 - Page 8 18.a. M2002-184 Motion authorizing the City Manager or his designee to accept a grant in the amount of $147,863 from the State of Texas, Office of the Governor, Criminal Justice Division for funding eligible under the FY2001 juvenile accountability incentive block grants program and to execute all related documents to continue the Juvenile Court within Municipal Court to reduce juvenile delinquency, improve the juvenile justice system and increase the accountability for juvenile offenders. The foregoing motion passed by the following vote: Neal, Chesney, Colmenero, Garrett, Kinnison, Longoria, and Noyola voting "Aye"; Kelly and Scott absent. 18.b. ORDINANCE NO. 024920 Ordinance appropriating $147,863 in the No. 1050 Federal/State Grants Fund from the State of Texas, Office of the Governor, Criminal Justice Division and transferring $16,429 from the No. 1020 General Fund and appropriating it in the No. 1050 Federal/State Grants Fund as matching grant funds to establish a juvenile court within Municipal Court. An emergency was declared and the foregoing ordinance passed as follows: Neal, Chesney, Colmenero, Garrett, Kinnison, Longoria, and Noyola voting "Aye"; Kelly and Scott absent. 19. ORDINANCE NO. 024921 Ordinance authorizing the City Manager or his designee to execute a use privilege agreement with Old Concrete Street Ltd. for the right to stage a fireworks display on a portion of the Broadway Treatment Plant in conjunction with a performance at the adjacent Concrete Street Amphitheater; and establishing a fee of $460. An emergency was declared and the foregoing ordinance passed as follows: Neal, Chesney, Colmenero, Garrett, Kinnison, Longoria, and Noyola voting "Aye"; Kelly and Scott absent. 20.a. ORDINANCE NO. 024922 Ordinance authorizing the City Manager or his designee to execute Amendment No. l to the joint use parking agreement between All Saints' Episcopal Church and the City of Corpus Christi authorized by Ordinance 021588 on March 9, 1993 to revise the parking premises. The foregoing ordinance passed on second reading by the following vote: Neal, Chesney, Colmenero, Garrett, Kinnison, Longoria, and Noyola voting "Aye"; Kelly and Scott absent. 20.b. ORDINANCE NO. 024923 Ordinance authorizing the City Manager or his designee to execute Amendment No. 1 to the lease for Jaycee Field between the Corpus Christi Independent School District and the City Minutes - Regular Council Meeting June 25, 2002 - Page 9 of Corpus Christi, authorized by Ordinance No. 022811 on January 7, 1997, to revise duties related to maintenance of the parking lot. The foregoing ordinance passed on second reading by the following vote: Neal, Chesney, Colmenero, Garrett, Kinnison, Longoria, and Noyola voting "Aye"; Kelly and Scott absent. * * * * * * * * * * * * * Mayor Neal opened discussion on Item 16, police video imaging system. Responding to Council Member Garrett, Police Capt. Leonard Scott said the $40,527 is in addition to what has already been purchased. He said this project will allow patrol officers to view mug shots from their patrol cars. He added that the data base of the "backbone" video imaging system is not yet prepared; the county's and city's contractors are developing it and they hope to have it in place in 60 to 90 days. City Secretary Chapa polled the Council for their votes as follows: 16. M2002-182 Motion approving the purchase of Mobile Viewer software for the TIPS video imaging system from Tiburon Inc. of Fremont, California, for the total amount of $40,527. The equipment is for the Police Department funded through the COPS MORE grant and is based on sole source. The foregoing motion passed by the following vote: Neal, Chesney, Colmenero, Garrett, Kelly, Kinnison, Longoria, and Noyola voting "Aye"; Scott absent. * * * * * * * * * * * * * Mayor Neal referred to Item 21, and a motion was made, seconded and passed to open the public hearing on the following zoning case: 21. Case No. 0997-07AMEND. City of Corpus Christi: An amendment to Ordinance No. 023261 to grant a special permit for a moving and storage company on Bayview Addition, Block 13, Lot 20, located at the southeast corner of Craig and South Alameda Streets. City Secretary Chapa said the Planning Commission and staff recommended approval of an amendment to Ordinance No. 023261 to grant a special permit for a moving and storage company. No one appeared in opposition. Mr. Kinnison made a motion to close the public hearing, seconded by Mr. Colmenero, and passed. Mr. Chapa polled the Council for their votes: ORDINANCE NO. 024924 Repealing Ordinance No. 023261 (which granted Special Permit A-2/SP/98-06 for an office for a moving/transfer use and limited parking of associated vehicles, subject to a site plan and conditions, on Bayview Addition, Block 13, Lot 20), upon application by City of Corpus Christi, on behalf of Maria Gongora; granting a revised special permit identical to the Minutes - Regular Council Meeting June 25, 2002 - Page 10 original special permit except for revised conditions No 3, Fencing, and 7, Signage; amending the Comprehensive Plan to account for any deviations from the existing Comprehensive Plan. An emergency was declared and the foregoing ordinance passed as follows: Neal, Chesney, Colmenero, Garrett, Kelly, Kinnison, Longoria, and Noyola voting "Aye"; Scott absent. * * * * * * * * * * * * * Mayor Neal referred to Item 22, and a motion was made, seconded and passed to open the public hearing on the following zoning case: 22. Case No. 0402-04, Mary C. Roberts: A change of zoning from a "R -1B" One -family Dwelling District to a "B-1" Neighborhood Business District on Glenoak Subdivision, Lot 3, located on the south side of Glenoak Drive, approximately 200 feet east of Waldron Road. City Secretary Chapa said the Planning Commission recommended denial of the "B-1" District, and in lieu thereof, approval of a special permit for an animal grooming shop subject to a site plan and seven (7) conditions. He said city staff recommended denial of the zoning change. Mr. Michael Gunning, Planning Director, showed slides of the existing land uses in the subject area. He said the applicant's family currently lives in the residence, which includes a 520 - square foot attached garage toward the rear of the property which Ms. Roberts hopes to convert into the animal grooming shop. He said staff is opposed to the special permit for several reasons: availability of vacant "B-1" zoned property in the area that is more suitable for commercial development; location of the subject property on an interior lot and lack of access to an arterial street; and the possibility of future additional requests for non-residential uses in the area. No one appeared in opposition to the zoning change. Mr. Garrett made a motion to close the public hearing, seconded by Mr. Chesney, and passed. Responding to Mayor Neal, Mr. Chapa said the ordinance before the Council is the Planning Commission's recommendation. He said if the Council wished to vote for the staff's recommendation, they would vote against the ordinance. In reply to Council Member Scott, Mr. Gunning said staff is opposed to this request because they feel a precedent would be set for non-residential uses to further encroach into the neighborhood on Glenoak Drive. He said a special permit is a zoning district in and of itself and it would provide a buffer between the `B-1" and "R -1B" zoning. He said one property owner expressed concern about animals barking during the daytime and the special permit would prohibit animals from staying overnight at the pet shop. Mr. Scott said he thought the Planning Commission was trying to accommodate a business use while also providing some safeguards for the neighborhood. Council Member Longoria said there have been other situations whereby opposition was not raised to a particular rezoning and, as a result, a decision was made which ultimately infringed on the neighborhood. He said he agreed with staff's recommendation to deny the request. Minutes - Regular Council Meeting June 25, 2002 - Page 11 Mr. Chapa polled the Council for their votes and Item 22 initially failed to pass by the following vote: Chesney, Kinnison, Noyola, and Scott voting "Aye"; Neal, Colmenero, Garrett, Kelly, and Longoria voting "No." Mr. Kelly said he misunderstood and thought he was voting in support of the Planning Commission's recommendation. Consequently, he said he wished to change his vote to "Aye." Mr. Chapa said if the Mayor and Council concurred, he could retake the vote on Item 22. There was concurrence of the Council to do so and Mr. Chapa repolled the Council as follows: 22. ORDINANCE NO. 024925 Amending the Zoning Ordinance upon application by Mary C. Roberts by changing the zoning map in reference to Lot 3, Glenoak Subdivision, (currently zoned "R -1B" One -family Dwelling District) by granting a special permit for an animal grooming shop subject to a site plan and seven (7) conditions; amending the Comprehensive Plan to account for any deviations from the existing Comprehensive Plan. An emergency was declared and the foregoing ordinance passed as follows: Chesney, Garrett, Kelly, Kinnison, Noyola, and Scott voting "Aye"; Neal, Colmenero and Longoria voting "No." * * * * * * * * * * * * * Mayor Neal referred to Item 23, and a motion was made, seconded and passed to open the public hearing on the following zoning case: 23. Case No. 0502-03. Paula Gaut Properties. Inc.: A change of zoning from a "R -1B" One - family Dwelling District to a "B-4" General Business District on Bass Subdivision, Block 28, Lot K, located on the north side of Saratoga Boulevard, approximately 675 feet east of Airline Road. City Secretary Chapa said the Planning Commission and staff recommended approval of a "B-4" General Business District. No one appeared in opposition to the zoning change. Mr. Kinnison made a motion to close the public hearing, seconded by Mr. Chesney and passed. Mr. Chapa polled the Council for their votes as follows: ORDINANCE NO. 024926 Amending the Zoning Ordinance upon application by Paula Gaut Properties Inc. by changing the zoning map in reference to Lot K, Block 28, Bass Subdivision, from "R -1B" One -family Dwelling District to "B-4" General 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 as follows: Neal, Chesney, Colmenero, Garrett, Kelly, Kinnison, Longoria, Noyola, and Scott voting "Aye." Minutes - Regular Council Meeting June 25, 2002 - Page 12 Mayor Neal referred to Item 24, a public hearing on the Flour Bluff area street improvements project. A motion was made, seconded and passed to open the public hearing. Council Member Scott asked when this project will be completed. Mr. Angel Escobar, Director of Engineering Services, said the anticipated completion is September 2003. Mayor Neal called for public comment. Mr. James Lee, 524 Lakeside, said he thought there was a previous bond project to pay for these improvements. He added that the neighbors should not be assessed an additional cost for improvements to property that does not belong to them. Mayor Neal asked City Attorney Bray if he had any record of a prior bond election regarding this project. Mr. Bray said he did not know of any. He added that in general, bond funds are often used in combination with street assessments to construct improvements to neighborhood streets and the assessments come about through a petition of the property owners. He said a street assessment is legally a form of a tax but it is limited to the benefit of the owners whose property abuts the street. He said it includes a finding that the improvements enhance the value of the owners' property. Ms. Cynthia McKinny, 423 Claride St., questioned whether the streets would continue to be dug up to install water and wastewater improvements. Mr. Escobar explained that in November 2000 a bond project was passed for paving assessments but it did not include the Flour Bluff area. He said the city is adjusting the gas lines and laying some stormwater lines along Jester Street. He said the contract includes approximately $800,000 in street work, of which most is being paid for by the CDBG program and about $200,000 is being assessed to the property owners. In addition, there is about $1 million in utility work. Ms. McKinny said many of the property owners have septic tanks. Mr. Escobar said the contractor will be required to bring the wastewater line (including a clean-out) up to the owners' properties. Ms. McKinny also asked about liens and costs of driveways. Mr. Bray replied that the amount of the assessment until paid constitutes a lien against the property and, if not paid, the property could be foreclosed upon. Mr. Escobar pointed out that if a family qualifies for the CDBG program, they can qualify for a grant to pay for all or part of their assessment. Mr. James Sierman, 417 Scotland St., said that very few citizens showed up for the informational meetings at the senior centers when they were held. He said most of the neighbors are glad to see this project progressing and most of the families will not be charged anything according to the list. Mrs. Ellen May Sierman, 417 Scotland St., said she appreciates the Council's efforts in Flour Bluff. She said they want the improved streets and sidewalks under any conditions because she hates to see children walking to school through the street and playing in the gutters. Mr. Wes Hodges, Pastor of First Baptist Church of Flour Bluff, said they are not opposed to the proposed changes but their church owns three lots and it will be assessed over $10,000. He said it will hurt their congregation, which consists of only about 50 people. He said he does not think they will qualify for any grants. Mr. Hector Vallejo, Acting Director of Housing and Community Development, said the paving grant is intended just for homeowners. Minutes - Regular Council Meeting June 25, 2002 - Page 13 Ms. Hilda Wilkinson, 402 Claride, questioned the measurements used to calculate her assessment. Mr. Escobar said staff will provide Ms. Wilkinson with that information. Mr. Lee said that as a result of these improvements, the homeowners' property values will increase and, as a result, they will be paying higher taxes. He said the additional taxes should take care of the assessment. Ms. McKinny said she did not receive a notice of the meeting regarding this project and she asked if the neighbors can request additional meetings. Assistant City Manager Ron Massey said the assessment payments will not occur until after the construction is completed. Mr. Escobar said the mailings were sent to the addresses in the tax records. Mayor Neal said this project began in March 2000 in cooperation with the neighbors in the area. He noted that street improvements generally occur through an ad valorem tax -financed bond election; through the CDBG program; or through a combination of those with a neighborhood petition. He reiterated that projects such as this consist of many types of improvements. Mrs. Sierman said this project will greatly benefit the neighborhood. City Secretary Chapa polled the Council for their votes as follows: 24.b. ORDINANCE NO. 024927 Ordinance closing the public hearing on proposed assessments for improvements to the following highways in Corpus Christi, Nueces County, Texas for the Flour Bluff area street improvements, Phase 1, as follows: Claride Street from N.A.S. Drive to Mounts Street; Mounts Street from Claride Street to Lakeside Drive; Jane Street from Jester Street to Claride Street; Webb Street from N.A.S. Drive to Jane Street; and Scotland Street from N.A.S. Drive to Jane Street; imposing assessments totaling $251,224.35 against property abutting the improvements, affected railways, and property and railway owners; fixing corresponding liens on property and charges against property owners; providing for subsequent adjustment of assessment amounts and the corresponding liens and charges based on as -built conditions; specifying assessment payment terms and lien enforcement measures. An emergency was declared and the foregoing ordinance passed as follows: Neal, Chesney, Garrett, Kelly, Kinnison, Longoria, Noyola, and Scott voting "Aye"; Colmenero absent. 24.c. M2002-185 Motion authorizing the City Manager or his designee to execute a construction contract in the amount of $1,826,159 with Bay Ltd. of Corpus Christi, Texas, for the Flour Bluff area street improvements, Phase 1, as follows: Claride Street from N.A.S. Drive to Mounts Street; Mounts Street from Claride Street to Lakeside Drive; Jane Street from Jester Street to Claride Street; Webb Street from N.A.S. Drive to Jane Street; and Scotland Street from N.A.S. Drive to Jane Street. Minutes - Regular Council Meeting June 25, 2002 - Page 14 The foregoing motion passed by the following vote: Neal, Chesney, Garrett, Kelly, Kinnison, Longoria, Noyola, and Scott voting "Aye"; Colmenero absent. * * * * * * * * * * * * * Mayor Neal referred to Item 26, a presentation on the Park and Recreation Department's Gulf beach operations. Mr. Whitworth gave a computer presentation, noting that city staff were given one month to implement the operations, which increased from one mile of beach to approximately seven miles as a result of the city's annexations of Mustang Island in December 2001 and portions of Padre Island in April 2002. He said the department maintains three beach zones: from Access Road #6 south 1.7 miles just inside the Kleberg County line; from Access Road #4 north to Zahn Road; and from just south of Access Road #2 to approximately four miles north to the Port Aransas city limits. Mr. Whitworth said the department conducts four main operations: seaweed removal, beach maintenance, trash pick-up, and special events. He said seaweed is a seasonal problem; however, when it is accreting, the process is continuous. He said the city's efforts provide temporary relief from the seaweed but they are affected by tides and the presence of beach users. A brochure explaining the seaweed situation is being distributed locally. Mr. Whitworth said the department has seven full-time employees and two seasonal laborers (June -August). Permanent employees are scheduled to work 40 hours per week on rotating shifts and on a typical day, there will be three to four employees working from 7:30 a.m. to 3:30 p.m. The Park and Recreation Director also described the types of equipment used both for beach maintenance and trash pick-up. He said approximately 125 trash barrels are routinely emptied on Mondays and Fridays; based on priority areas, trash is picked up daily. He also discussed the maintenance of the portable toilets. Mr. Whitworth said the city began selling beach parking permits on June 15, 2002 at a cost of $6 each (which are valid from January 1 -December 31). They are available at most Circle K stores, all HEB stores, Wal-Mart at Flour Bluff, and Academy. He said revenues from the parking permits and hotel/motel taxes fund the beach operations. Mr. Whitworth also briefly discussed the city's involvement with special events on the beach. Mayor Neal commended Mr. Whitworth and his staff for their beach operations efforts. Council Member Chesney said he hopes that when staff talk with media outlets (particularly those around the state), they should emphasize that they are trying to get rid of the seaweed in an environmentally appropriate way. Responding to Council Member Kelly, Mr. Whitworth said one way of disposing of the seaweed is to place it in the sand dunes; another method is to fold the seaweed into the sand using a motorgrader, which helps to nourish the beach. Mr. Kelly said Corpus Christi's beaches are cleaner than those in Galveston and he complimented staff. In reply to Council Member Garrett, Mr. Whitworth further discussed the maintenance of the portable toilets. He said that during the recent C -Sculptures special event, the organizer was required to provide additional toilets. Mr. Garrett asked if the city has the appropriate equipment to provide beach maintenance services. Mr. Whitworth said they use equipment from the vehicle pool and there Minutes - Regular Council Meeting June 25, 2002 - Page 15 have been occasions when breakdowns have strained beach operations. In response to another question from Mr. Garrett, Mr. Todd Jensen, Beach Maintenance Supervisor, said that for special events staff creates a traffic berm for use by emergency vehicles. Council Member Longoria asked about enforcement of litter control. Mr. Whitworth said that at current staffing levels, they do sometimes fall behind on the trash pick-up. He said staff intends to try to make people more personally responsible for their trash. He added that they will work with the Police Department on enforcement efforts. Mr. David Ondrias, Assistant Director of Operations, said that when appropriate, staff hands out trash bags during special events. Mr. Longoria said the beaches should be clean at all times and eventually citizens will respect those efforts. Council Member Noyola asked about the length of the seaweed season. Mr. Whitworth said it varies but it is generally four to five months long. Mr. Noyola suggested that the city look into benefitting from a lawsuit against Koch Refinery. Council Member Scott complimented staff on the beach parking permits and he asked if the city will eventually purchase portable toilets. Mr. Ondrias replied that for the upcoming fiscal year the city will continue to lease and service them. Mr. Scott also commented on the need to better control litter. Council Member Colmenero also discussed the litter problem and suggested that staff work with the Blucher Institute regarding the seaweed issue. Mayor Neal called for a brief recess. * * * * * * * * * * * * * Upon reconvening the meeting, the Mayor referred to Item 27, election issues regarding economic development and the Crime Control and Prevention District. Deputy City Manager Noe said that in anticipation of the November 5, 2002 election, the Council will need to decide which issues will be placed on the ballot for possible use of the two remaining 1/8th cent sales tax increments. The following issues have been discussed publicly: baseball stadium, education/skills development, business development/incubation, jobs, and affordable housing. Mr. Noe said other 1/8th cent sales tax issues are whether the tax should have a time limit and, if so, its length; whether the operations and maintenance cost for the baseball stadium and other projects should be included; whether the site for the stadium should be included; and which economic development sales tax alternative should be adopted (4A or 4B). He said that for the 2000 bond election, the 4A section of the statute was chosen for the seawall and arena projects because the time period of the tax can be limited. Mr. Noe also discussed the proposed ballot language for the following issues: "Continuation of Crime Control District: For or Against whether the Corpus Christi Crime Control and Prevention District should be continued for five years and the crime control and prevention district sales tax should be continued for five years"; and "Lease of city property at south end of marina: For or Against enactment by the Corpus Christi City Council of an ordinance granting to Corpus Christi Wharf Company Ltd. a lease of city property at the south end of the marina, as the ordinance and lease appear on file with the City Secretary." Minutes - Regular Council Meeting June 25, 2002 - Page 16 Mr. Noe then reviewed the economic development sales tax alternatives under Section 4A of the Development Corporation Act: Alternate 1- baseball stadium only; Alternate 2.a.- new and expanded business enterprises (with binding limitation on the types of projects in the ordinance); and Alternate 2.b.- baseball stadium. Under Section 4B, the alternatives are: Alternate 3- combined submission of a baseball stadium and other projects; and Alternate 4- baseball and other projects separately voted upon. Responding to Council Member Scott, Mr. Noe said the city has a letter from the Attorney General's Office that says under Section 4B, a time limit for the tax cannot be designated. He also pointed out that the board structure under the two sections is different: under Section 4A there is a five -member board appointed by the City Council for terms not to exceed six years; under Section 4B there is a seven -member board appointed by the Council for two-year terms but only three members can be officers or employees of the city and the directors have to be city residents. City Attorney Bray added that Section 4A specifies what has to be on the ballot whereas 4B does not. He further discussed the origins of the two sections. Mr. Scott commented about giving voters an opportunity to choose whether they want job promotion alone or whether they want jobs and a baseball stadium, which provides affordable family entertainment. He also asked if location alternatives can be placed on the ballot, and Mr. Bray replied that there is no authority to do that. Council Member Kinnison asked whether a new 4A corporation would be formed if a 4A ballot issue was approved or whether the existing 4A board for the seawall and arena would remain in effect. Mr. Bray replied that a city cannot have more than one 4A board. Responding to another question from Mr. Kinnison, Mayor Neal said that although there was initial discussion about having a longer term for the CCD, the board ultimately established a five-year renewal period. Mr. Bray said the CCD board calls the election for its ballot issue and the city calls the election for its issue or issues, resulting in a joint election that will be administered by the city. Mr. Kinnison asked about the timeline to place City Charter "housekeeping" issues on the November ballot. Mr. Bray said that about 70 days before the election (near the end of August), the City Secretary will finalize the election information to send to the Justice Department. City Manager Garcia pointed out that staff can prepare charter housekeeping issues for the Council's consideration and he noted that there is a prohibition against amending the charter more than every two years. Mr. Bray said the last time the charter was amended was in 1993. Responding to Council Member Colmenero, Mr. Noe said there is an extensive list of items in the legislation that are allowable expenses under Section 4B, including virtually anything that is allowable under Section 4A. He added that under Section 4A, the driving factor for the duration of the tax will be if the Council selects the baseball stadium option because they will have to allow enough time to issue bonds and pay off the debt. Mr. Noe further explained the ballot options. In reply to Council Member Noyola, Mr. Bray said the Council does not have to specify a location for a baseball stadium and, if they did not make any further commitment than that, it would be up to the Council later to determine where the ballpark would be located. Mr. Noe said the current Minutes - Regular Council Meeting June 25, 2002 - Page 17 commitment from baseball Hall of Fame member Nolan Ryan and his sons is for a three-year right to exercise this option. He said if a specific site is listed on the ballot, the city would be committed to that site when they spend the funds to construct the stadium. Mr. Noyola said he does not agree with placing a stadium in the downtown area, saying the Council should explore placing it in another part of the city. Council Member Kelly asked about Alternate 2 regarding the ballot language. Mr. Noe said it uses the generic language that is spelled out in the statute for all those 4A economic development uses. Mr. Bray pointed out that language would be included in the ordinance calling the election creating a contract with the voters that sales tax revenues from the tax (other than for the baseball stadium, if approved) could not be used for anything other than the enumerated uses, such as education/skills development, business development/incubation, and jobs. Mr. Bray went on to say that affordable housing would be a 4B use and it would have to appear on the ballot separately. He added that Section 4A basically specifies --in the context contained in the samples provided to the Council --two ways of proceeding. One way is the broad submission with the business enterprise language and the other way is adding the specific 4B projects. Mr. Bray said the election ordinance can contain language that says the city contracts with the voters that the monies will only be used for specific projects, which would be enumerated and legally binding on future Councils. Mr. Kinnison asked if the Corpus Christi Regional Economic Development Corporation (EDC) has a written agreement with Mr. Ryan and his representatives. Mr. Ron Kitchens, President and CEO of the EDC, said they have an agreement with the Ryans to work on the baseball stadium process together. He said once the Council places the item on the ballot, a memorandum of understanding will be drafted, which is a function of the city and the Port of Corpus Christi. Assuming the issue is approved by the voters in November, the Ryans would then have 36 months to put in place the purchase of a baseball team and league approval. Mr. Kitchens added that "minor league" is affiliated with Major League baseball. Mr. Kinnison said he thinks the agreement should specify a class AA -level team or above. Mr. Kitchens said the current price for a AA team is approximately $7 million, while a AAA team could cost about $10 million. He also discussed other costs associated with a minor league team and entertainment options available at a baseball stadium. Mr. Kinnison said he understands Mr. Noyola's concerns about locating the baseball stadium in the downtown area. However, he said the arena issue was approved by at least 60% of the voters, in contrast to previous failed attempts to locate an arena elsewhere. He added that the Council has a responsibility to inform the voters of the benefits of locating a baseball stadium downtown. Mr. Noyola said he thinks voters should have the opportunity to decide the location of the stadium. Mr. Bray replied that the statute has no legal authority to present the issue that way. Mr. Longoria said the stadium would not actually be located downtown but rather on the north side near the port. He said if the voters approve the stadium, the corridor that would be developed is Port Avenue. Additional discussion ensued. Minutes - Regular Council Meeting June 25, 2002 - Page 18 Mr. Kinnison commented that the city cannot tell Landry's Restaurants Inc. or the Ryans where to locate their developments. He urged the Council to not lose this opportunity for a stadium. Mr. Scott said he has worked on different projects all over the city and he supports the port location. He also commented on the issue of parking. Mr. Chesney said he finds it difficult to understand why someone would not support the stadium because of its location. He said it should be built where other development exists to create a synergy among the facilities. Mr. Chesney asked if Alternate 2 is staff's recommendation and Mr. Noe replied affirmatively. Mr. Colmenero said that Corpus Christi has lost out on many projects, such as Fiesta Texas and Seaworld, and this baseball stadium will provide a valuable development opportunity. He added that parking problems are an inevitable outfall of growth. Mr. Kelly said this project, like the Ortiz Center and other port projects, seem to be accelerating the redevelopment of Port Avenue to the benefit of that area. He reiterated that Nolan Ryan wants to locate the stadium in the northside area. Mr. Noyola said he will not push to defeat the baseball stadium issue but neither will he support it. Mr. Kinnison made a motion to direct staff to draft formal language regarding Alternate 2 with a 15 -year time period; renewal of the Crime Control District; and City Charter housekeeping items. Mayor Neal said he would like to add the South Wharf project. Mr. Garcia said those issues will be discussed during the Council's July 9th meeting. Mr. Colmenero seconded Mr. Kinnison's motion and it passed. * * * * * * * * * * * ** The next presentation was Item 28, the Risk Management Division quarterly report and the health program comparison. Ms. Lee Ann Dumbauld, Finance Director, introduced Ms. Donna James, Manager of the Safety & Risk Management Division; Mr. Keith McNeely, a consultant for the city; and Mr. Greg Manning, statistician in the Risk Division. Ms. Dumbauld said that year to date, all the health plans combined have a cash flow basis of $878,455, which is better than the two prior years. She said the city analyzes the funds using two bases --cash flow and financial statements. Ms. Dumbauld then delineated the quarterly revenues and expenditures for the city's health plans: Citicare, Citicare Q -Plus, Citicare Fire, and Public Safety Citicare. She discussed additions and deletions to the plan, which begins August 1, 2002. The Finance Director also reviewed the workers compensation program, which has a fund balance of $100,830. She noted that the Police, Fire and Solid Waste departments have the most workers compensation incidents and in the proposed budget staff is recommending committing more money to claim mitigation, safety training, and wellness programs. Ms. Dumbauld and Ms. James then responded to Council members' questions. City Manager Garcia said the city's safety program is very comprehensive and is tailored to the specific needs of the individual work groups. He added that the move to the automated garbage collection program has for the most part eliminated the very dangerous job of garbage collector. Mr. McNeely, with McGriff, Seibels & Williams, gave an overall review of the health plan. He said that with regard to the state of the market place, health benefit costs are expected to rise Minutes - Regular Council Meeting June 25, 2002 - Page 19 12.7% in 2002 and non -controlled prescription drug plans are trending at 18% to 25%. He said there are fewer national participants and concern about local carriers. He said factors driving trend increases are the aging workforce, higher utilization, and less contracted discounts offered by providers. He also gave several benchmarking analyses, including the average 2001 plan cost per active employee; the cost per employee of the city's various health plans; average individual deductibles; individual out-of-pocket maximum amounts; claims utilization; percentage of claims dollars; in- and out -of- network costs; PPO savings versus total claims submitted; employers' strategies for controlling health care costs; and self-funded and pharmacy altematives. Mr. McNeely said the city's self-funded medical benefits annual program costs are currently lower on a per -employee basis than national averages for all employers and public entities. He said they recommend that the city continue to self -fund the medical plan, either through a third -party administrator option or insurance carrier. Also, the city should negotiate with health networks for continual strong discounts and savings Mr. McNeely also recommended exploring options on plan design changes and contribution strategies to help mitigate trend increases. Those options include wellness programs; predictive modeling; disease management; focusing on large claimants; and employee education to develop better medical consumers. Responding to Council Member Longoria, Mr. McNeely discussed what he said was the richness of the city's health care plan. In reply to Council Member Chesney, Assistant City Manager Jorge Cruz-Aedo said the new health care program will take effect on August 1, 2003. Mr. McNeely said that requests for proposals (RFPs) will be prepared and released at the end of 2002 for administrative services, provider networks, pharmacy services, and stop -loss reinsurance. Council Member Scott requested additional information about the timeline of the RFPs. Mr. Kinnison asked when the Council will vote on the contracts, and Mr. McNeely said in May 2003. * * * * * * * * * * * * * Mayor Neal called for petitions from the audience. Mr. Danny Noyola, 4410 Acushnet, said that if Forward Corpus Christi supports the EDC's four proposed economic development items and rejects proposed infrastructure improvements, affordable housing, and business development components, a specific -purpose committee will be formed that will be called Forward All Corpus Christi. He discussed the multiplier effect that can benefit all citizens and he commented on what he said was a semblance of preferential treatment regarding the upcoming ballot issues. He said the members of Forward All Corpus Christi would like to present their plan for economic development at the next Council meeting. Mr. J.E. O'Brien, 4130 Pompano, said he is prepared to ask a district judge to tell the City Attorney the exact meaning of Article IV, Section 7 of the City Charter regarding the certification of funds. He said the Council approved actions to hire Fulbright & Jaworski and Michael Terry to assist the city in its negotiations with Landry's and Mr. Leon Loeb. Mr. O'Brien said funds were not certified until after the fact in violation of the charter. He also questioned the method of payment for Mr. Terry's fees. Minutes - Regular Council Meeting June 25, 2002 - Page 20 Responding to Council Member Noyola, City Manager Garcia said the costs for both Mr. Terry and Fulbright & Jaworski are split between the General Fund, Marina Fund and Utilities Fund. He said whenever there are projects that impact the whole organization, staff makes sure everyone pays their fair share. He said both the Landry's and South Wharf projects, if approved, will be major utilities customers. Mr. Garcia and Mr. Bray reiterated that it is not a violation of the City Charter. Mr. Mike Bertuzzi, 433 Cape Cod, said he is the Chairman of the Corpus Christi Chamber of Commerce. He said the Chamber board approved a resolution in support of the proposition outlined by Forward Corpus Christi for a 1/8th cent sales tax for economic development. He said the Chamber is encouraging the Council to include the tax on the November ballot. Mr. Tom Watson, 660 Cantwell Lane, referred to the issue of sexually oriented businesses, which he said degrade women and offer nothing positive for the community. He expressed concern about the ordinance which calls for those businesses to move in the future into "1-3" zoning, much of which is located in District 1. He asked the Council to establish a committee to study the issue. Ms. Cruz Colomo, President of the Coalition for the Advancement of Women of Nueces County, said she was appointed as the events coordinator for the city's Sesquicentennial Committee. She said she was shocked to learn that the chairperson of that committee was calling for the group's dissolution because of a lack of interest. She said she would be willing to chair the committee to ensure that the sesquicentennial celebration does occur. Mayor Neal said they are going to take another look at that issue. Ms. Danna Hill Sharpe, 2310 Mercury Lane, said she was speaking on behalf of the Northwest Neighborhood Association regarding the sexually oriented business ordinance. She said that northwest and north Corpus Christi have large tracts of"I-3" zoning mostly along Highway 44, and if the businesses locate there, they will be the first thing visitors from the airport will see. She said that when the ordinance was passed six years ago, northwest Corpus Christi was stagnant. Since then, both Calallen and Annaville have grown dramatically. She asked this Council to reconsider the actions of the previous Council regarding the ordinance. Ms. Mary Beth Nelson, 2721 Erie Dr., said there is a large unguarded oil lake in the area of FM 2444 and County Road 51. She said that according to aerial photographs of the land, there are many other such pits that pose a danger to people. Mayor Neal asked staff to investigate the issue. ars***a****** Mayor Neal opened discussion on Item 29, self-funded health program. There were no comments from the audience. City Secretary Chapa polled the Council for their votes as follows: 29. M2002-186 Motion authorizing the City Manager or his designee to continue the self-funded health program structure. Minutes - Regular Council Meeting June 25, 2002 - Page 21 The foregoing motion passed by the following vote: Neal, Chesney, Colmenero, Kelly, Kinnison, Longoria, Noyola, and Scott voting "Aye"; Garrett absent. * * * * * * * * * * * * * Mayor Neal called for a brief recess. Upon reconvening, he opened discussion on Item 30, Animal Care and Control Division (ACCD) action plan. Dr. Ardys Boostrom, Acting Director of Public Health, explained that in FY 2001, the ACCD incurred $805,434 in operating costs controlling the animal population of Corpus Christi. She said they picked up, received and contained more than 17,027 dogs and cats, of which less than 3% were adopted (the rest were euthanized). Dr. Boostrom said the current ACCD facility at 1111 Navigation Boulevard is over 25 years old and has exceeded its operational lifespan. A new facility is being built on Holly Road and should be operational by December 2002. She then discussed four initiatives that will improve ACCD's delivery of services: lethal injection euthanasia for domestic animals; spay and neutering program; adoption program; and improved efficiencies in operations. She said the budget impact for FY 2002- 03 is $150,000, which is broken out as follows: low-cost spaying/neutering program- $20,000; two additional Animal Control officers- $41,964; lethal injection euthanasia supplies- $10,000; and shelter operational expenses- $78,036. The Acting Director said that lethal injection euthanasia will be implemented by August 1, 2002 at the approximate cost of 59 cents per 25 -pound or less animal. She said training will be provided free of charge by the Houston Animal Control Division in July. The spaying and neutering program will be coordinated with local veterinarians, and the adoption program will involve designating two current Animal Control officers to serve as adoption counselors. She said the ACCD will increase the detainment period on adoptable animals with the overall goal of placing 100% of them with local residents. Responding to Council Member Kinnison, Dr. Boostrom said that about 40% of the animals are considered adoptable. She said the current detainment period is three days and they are planning to extend it to one week. Mr. Cruz-Aedo said the ACCD also plans to partner with community agencies that are engaged in animal adoptions. Dr. Boostrom said that improved efficiences in the organization will involve customer service, employee training, a volunteer program, and changes to the ordinances. She said the customer service elements will include transferring telephone calls for service delivery to the Utilities Business Office; including weekend hours of operation; and monitoring staff performance with customer service surveys. In addition, employees will be trained in customer relations, euthanasia by IV injection, and stress in animal care and control. Dr. Boostrom said the volunteer program will be a partnership with the community and emphasize adoption promotion and responsible pet ownership. She also said that proposed changes to the ordinances will be brought back to the Council within 90 days with the intention of addressing license fees, breeding of animals, control of the animal population, and the sale of dogs and cats on Minutes - Regular Council Meeting June 25, 2002 - Page 22 street corners, which Mr. Cruz-Aedo further discussed. Dr. Boostrom also responded to Council members' questions. Mayor Neal called for public comment. Mr. Roger Bateman, President of the Gulf Coast Humane Society, commended all the people involved in these changes to the ACCD operating plan. He suggested that the city consider adding $100,000 to the spaying and neutering program. He said the Humane Society adopted about 2,000 animals last year and Corpus Christi has the distinction of being one of the worst U.S. cities regarding the number of animals destroyed. He said spaying and neutering is a very effective way of dealing with that problem along with an aggressive public education program. Ms. Cruz Colomo commended the Council, city staff and Ms. Sherry Dunlap for their efforts to address the animal control problem. City Secretary Chapa polled the Council for their votes as follows: 30. M2002-187 Motion authorizing the City Manager or his designee to implement the Animal Care and Control Division action plan. The foregoing motion passed by the following vote: Neal, Chesney, Colmenero, Kelly, Kinnison, Longoria, Noyola, and Scott voting "Aye"; Garrett absent. Dr. Boostrom then gave the Council an update on mosquitos found to be carrying the St. Louis encephalitis virus. * * * * * * * * * * * * * Mayor Neal opened discussion on Item 31, cable franchises. Mr. McDaniel described the four separate ordinances that are before the Council and the key changes that have occurred since the first reading on May 21, 2002. He said city staff has had extensive dialogue with cable users and another meeting with the Cable Communications Commission. With regard to the first ordinance (Item 31.b.), Mr. McDaniel said the key changes include the donation of specified studio equipment to the city by Time Warner; receipt of an equipment maintenance/facility grant of $3,500 annually in lieu of the $50,000 in year 7; and that Time Warner is obligated to franchise provisions regarding public, educational and governmental access (PEG) even if ClearSource/Grande Communications fails to honor amendments within 120 days, provided the city has initiated formal proceedings. Responding to Council Member Scott, Mr. McDaniel said the users of the public access cable channel (Channel 10) will use a lottery system to schedule their programs, a system that is already being used by the religious access users group. Mr. McDaniel said the changes to the ordinance amending the master cable service ordinance (Item 31.d.) include: the potential for live feeds from public access users; additional access user group responsibility (e.g., block of time, tape delivery deadlines and applications); occasional Minutes - Regular Council Meeting June 25, 2002 - Page 23 programming beyond 59 minutes; "triggers" for forfeiture of time slots; program identification requirements; and complaint/appeal processes. The Budget Director said the key change regarding the ClearSource franchise amendment (Item 31.f.) is the equipment maintenance/facility grant of $3,500 annually in lieu of the $50,000 in year 7 (upon the effective date of the amendments). Regarding the ordinance approving the transaction between ClearSource and Grande Communications (Item 31.h.), Grande has guaranteed the ClearSource PEG obligations even if the transaction does not occur. The Mayor called for public comment. Ms. Mary Beth Nelson said one question is whether the public access users group --rather than city staff --should be establishing the rules. She said she and others have formed an organization called Nueces Public Access Corporation, which is in the process of obtaining non-profit status. She said they would like to be involved in setting the rules and she added that the lottery system does not work for public access users. She said the hours of operation have been greatly cut back and she said the government access channel does not have the same rules. She asked the Council to table these items to further discuss them. Ms. Cruz Colomo said she does not use the public access studio even though she has a public access program. She said she hopes they can reach a satisfactory conclusion to these concerns. Mr. John Bell, a local attorney representing Time Warner Cable, said that while the rules can be a work in process because they have been moved to the regulatory ordinance, he urged the Council to approve the franchises today. In addition, he said the issue of hours of availability for public access has been addressed. Council Member Kelly asked about the equipment donation. Mr. McDaniel said the Council received in their packets a list of the equipment to be donated by Time Warner, which has been shared with the public access users. He added that there will be 15 payments of $3,500 for the equipment maintenance/facility grant. Council Member Noyola asked about the potential for live feeds. Mr. McDaniel said they modified the rules in response to a user's request for live feeds at their expense. He said the cable operator will have to be agreeable to it. In response to other questions from Mr. Noyola, Mr. McDaniel also further discussed the equipment donations, possible studio costs, and the agreements that have been reached. Mr. Bray stated that anyone can sue the city but he feels the city is on very strong ground with regard to this issue. Council Member Kinnison asked about 50I(c)(3) solicitations. Mr. McDaniel said that issue particularly concerns religious access users. Assistant City Attorney Lisa Aguilar said the effective date of the franchise agreement is August 25, 2002, at which time Time Warner will no longer operate a public access studio. Mr. Kinnison asked if additional meetings will be held, and Ms. Aguilar said the Cable Communications Commission has committed to having a meeting in August. Minutes - Regular Council Meeting June 25, 2002 - Page 24 Council Member Colmenero pointed out that despite some changes, the public access channels are remaining. Mr. McDaniel said that several public access users of Channel 10 have engaged in dialogues and are in the processing of organizing themselves. City Secretary Chapa polled the Council for their votes as follows: 31.a. M2002-188 Motion to amend franchise to Texas Cable Partners Inc. prior to second reading. The foregoing motion passed by the following vote: Neal, Chesney, Colmenero, Kelly, Kinnison, Longoria, and Scott voting "Aye"; Noyola voting "No"; Garrett absent. 31.b. ORDINANCE NO. 024928 Ordinance granting to Texas Cable Partners Inc. (Time Warner) a non-exclusive franchise to construct, maintain, and operate for a period of fifteen years, and during any extensions thereof, a cable television system and facilities and additions thereto, in, under, over, along, across and upon the streets, lanes, avenues, alleys, sidewalks, bridges, rights-of-way, easements, highways and other places in the City of Corpus Christi, Texas. The foregoing ordinance passed on second reading as follows: Neal, Chesney, Colmenero, Kelly, Kinnison, Longoria, and Scott voting "Aye"; Noyola voting "No"; Garrett absent. 31.c. M2002-189 Motion to amend the master cable services regulatory ordinance amendment prior to second reading. The foregoing motion passed by the following vote: Neal, Chesney, Colmenero, Kelly, Kinnison, Longoria, and Scott voting "Aye"; Noyola voting "No"; Garrett absent. 31.d. ORDINANCE NO. 024929 Ordinance amending the master cable services regulatory ordinance governing use of city streets, lanes, avenues, alleys, sidewalks, bridges, rights-of-way, easements, highways and other places in the City of Corpus Christi, Texas by providers of cable services. The foregoing ordinance passed on second reading as follows: Neal, Chesney, Colmenero, Kelly, Kinnison, Longoria, and Scott voting "Aye"; Noyola voting "No"; Garrett absent. 31.e. M2002-190 Motion to amend the ClearSource franchise amendment prior to second reading. Minutes - Regular Council Meeting June 25, 2002 - Page 25 The foregoing motion passed by the following vote: Neal, Chesney, Colmenero, Kelly, Kinnison, Longoria, and Scott voting "Aye"; Noyola voting "No"; Garrett absent. 31.f. ORDINANCE NO. 024930 Ordinance amending Section 6.2 of the ClearSource franchise regarding public, educational and government access channels. The foregoing ordinance passed on second reading as follows: Neal, Chesney, Colmenero, Kelly, Kinnison, Longoria, and Scott voting "Aye"; Noyola voting "No"; Garrett absent. 31.g. M2002-191 Motion to amend the ordinance approving the transaction between ClearSource Inc. and Grande Communication Holdings Inc. prior to second reading. The foregoing motion passed by the following vote: Neal, Chesney, Colmenero, Kelly, Kinnison, Longoria, and Scott voting "Aye"; Noyola voting "No"; Garrett absent. 31.h. ORDINANCE NO. 024931 Ordinance approving the transaction between ClearSource Inc. and Grande Communications Holdings Inc. subject to requirements. The foregoing ordinance passed on second reading as follows: Neal, Chesney, Colmenero, Kelly, Kinnison, Longoria, and Scott voting "Aye"; Noyola voting "No"; Garrett absent. ************* Referring to the second executive session item (Item 4), Mayor Neal made the following motion, which was seconded by Council Member Chesney: 4. M2002-172 Motion authorizing the City Manager to continue employment of the law firm of Canales & Simonson to represent the city in David Cook v. City of Corpus Christi, No. C-01-341, United States District Court, Southern District of Texas, Corpus Christi Division, subject to certification of funds. The foregoing motion passed by the following vote: Neal, Chesney, Colmenero, Kelly, Kinnison, Longoria, Noyola, and Scott voting "Aye"; Garrett absent. * * * * * * * * * * * * * Minutes - Regular Council Meeting June 25, 2002 - Page 26 Mayor Neal called for the City Manager's report. Mr. Garcia referred to the Sesquicentennial Committee and he said that city staff members have contacted the chairperson in an effort to maintain the continuity of that program. Mr. Garcia also discussed the recent incident at Northside Manor and he said they met with a group from the NAACP and the Corpus Christi Caller -Times editorial board. He said the officers involved were the directed patrol officers for that area and the man arrested is alleged to be the primary distributor of crack cocaine there and is a convicted murderer. Mr. Garcia said he questioned the Police Chief as to why there were not more arrests and he said Internal Affairs officers went into the apartments to talk with the residents. Mr. Garcia also discussed issues planned for the July Council meetings. Mayor Neal encouraged the Council to take part in the many July 4th events that are planned. He noted that Gov. Rick Perry will attend the celebration on the U.S.S. Lexington. The Mayor asked about funding from the Nueces County Hospital District. Mr. Garcia said he received a call from Mr. Jolumy Hipp, who said the hospital district does not have the funding from the tobacco tax, but the city has not heard about possible funding on the child safety fee. The Mayor also commented on the City of Austin's projected $68 million shortfall. He called for Council reports. Mr. Longoria asked the Council if they would be willing to entertain an ordinance amendment in order to prohibit animals at Kid's Place. Mayor Neal said he had no objections to that and asked staff to bring something to the Council for their review. Mr. Chesney thanked staff for the report on Northside Manor, and announced a "Friends of the Park" meeting on August 13th at 5:30 p.m. at the Park and Recreation Department. Mr. Scott complimented staff for the dedication ceremony of Don and Sandy Billish Park and he asked about the status of ADA improvements at the coliseum restrooms. Mr. Garcia said the restrooms have been completed. Mr. Scott also asked about the President's fair housing initiative. Assistant City Manager Margie Rose discussed the American Dream Down Payment Fund, saying that staff will provide additional information. Mayor Neal said he recently endorsed a proposed $12 million apartment project near Kostoryz Road. Mr. Kinnison asked when the Council will discuss the city's legislative agenda. Mr. Garcia said staff is currently reviewing the draft and they will present it to the Council after the budget is adopted. Mr. Kinnison suggested that the next meeting begin at noon if there is an executive session. Mr. Noyola asked if the Forward All Corpus Christi group can make a presentation to the Council on July 9th regarding the election issues. Mr. Garcia said they had not planned on having any presentations other than one by city staff and they will bring back a proposed ordinance calling the election and containing the four items they discussed that day: Crime Control District, South Wharf, 1/8 cent sales tax, and charter revisions. Mr. Noyola made a motion that the Forward All Corpus Christi group be allowed to make a presentation to the Council on July 9th on what they are proposing; Mr. Kelly seconded the motion. Mr. Chapa polled the Council and the motion failed to pass as follows: Kelly and Noyola voting "Aye"; Neal, Chesney, Colmenero, Kinnison, and Scott voting "No"; Garrett and Longoria absent. Minutes - Regular Council Meeting June 25, 2002 - Page 27 Mr. Noyola asked what happens if Forward All Corpus Christi obtains the necessary amount of signatures for a petition. Mr. Bray said there is only one additional I/8th cent left of the sales tax and if the Council has an ordinance calling an election with both the Crime Control District tax and the 1/8th cent economic development tax, that fills out the total two cents that can be legally adopted. He said this is a complicated issue without clear guidance, but he feels the Council should not put on the ballot something that, if they all pass, may cause all the items to be void because it exceeds the two -cent cap. He said his advice is to carry the first two on the ballot and see what happens at the November election. He said if there is still 1/8th cent left, then the Council can take up the other issue on the next election date. Mr. Noyola said the people have the right to petition and the Council will be in a bind if the group obtains 9,000 signatures. Mr. Garcia said this item can be discussed at length during the July 9th meeting. He said he feels the City Attorney's proposal is reasonable, is defensible, and allows the city to proceed. Mr. Kelly discussed the sexually oriented businesses ordinance, which he said presupposes that such businesses impose a burden on the community and District 1 already shoulders a disproportionate share of that burden. He said to continue an ordinance that forces all new sexually oriented businesses to go into District 1 and to move the existing businesses there is unfair and inappropriate for the people who live in that area. Mr. Colmenero also commented on the coliseum restrooms and the National League of Cities' position on the new housing issues. Mr. Garcia said that while those initiatives are very worthwhile, the Homeland Defense initiative is also a priority, which he explained. There being no further business to come before the Council, Mayor Neal adjourned the Council meeting at 8:15 p.m. on June 25, 2002. *************