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HomeMy WebLinkAboutMinutes City Council - 07/08/2003I HEREBY CERTIFY that the foregoing is a true and correct copy of the minutes of the Joint Meeting of the Corpus Christi City Council of July 8, 2003, which were approved by the City Council on July 22, 2003. WITNESSETH MY HAND AND SEAL, this 22nd day of July 2003. Armando Chapa City Secretary SEAL MINUTES CITY OF CORPUS CHRISTI, TEXAS Regular Council Meeting July 8, 2003 - 12:04 p.m. PRESENT Mayor Samuel L. Neal Jr. *Mayor Pro Tem Melody Cooper Council Members: ** Brent Chesney Javier D. Colmenero Henry Garrett Bill Kelly Rex A. Kinnison Jesse Noyola Mark Scott * Arrived at 12:10 p.m. ** Arrived at 12:15 p.m. City Staff: City Manager George K. Noe Acting City Attorney R. Jay Reining City Secretary Armando Chapa Recording Secretary Rebecca Huerta Mayor Neal called the meeting to order in the Council Chambers of City Hall. The invocation was delivered by Father Dennis Zerr of St. Patrick's Catholic Church and the Pledge of Allegiance to the United States flag was led by Council Member Scott. 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 24, 2003. A motion was made and passed to approve the minutes as presented. ************* Mayor Neal announced the executive sessions, which were listed on the agenda as follows: 2. Executive Session under Texas Government Code Section 551.071 regarding CCMCA, Inc. A Texas Corporation vs. City of Corpus Christi, Case No. C-03-170, in the United States District Court for the Southern District of Texas, Corpus Christi Division, with possible discussion and action in open session. 3. Executive session under Texas Government Code Section 551.071 regarding Jon Harwood, et al vs. City of Corpus Christi, Cause No. 00-4149-G, in the 319th Judicial District Court, Nueces County, Texas, with possible discussion and action in open session. The Council went into executive session (NOTE: Council Members Cooper and Chesney arrived). The Council returned from executive session and the following motion was passed with the following vote: Minutes - Regular Council Meeting July 8, 2003 - Page 2 3. MOTION NO. 2003-230 Motion authorizing the City Manager to sign the Settlement Agreement for the lawsuit entitled Jon Harwood, et. al., versus the City of Corpus Christi, Cause Number 00-4149-G, in the 319`h Judicial District Court ofNueces County, Texas, for the City's promise to abide by the terms stated in the Agreement, and payment of Twenty Three Thousand Eighty Nine and 32/100 Dollars ($23,089.32) for the plantiffs' attorney fees and expenses. * * * * * * * * * * * * * Mayor Neal referred to Item 4 and the following board appointments were made: Corpus Christi Business and Job Development Corporation Gail Hoffman (reappointed) Sam J. Susser (reappointed) Corpus Christi Convention and Visitors Bureau Brad Lomax (reappointed) Govind Nadkarni (reappointed) Cristina Garza (reappointed) Tomas Duran (reappointed) Kevin R. Latone (appointed) * * * * * * * * * * * * Planning Commission Neill F. Amsler (reappointed) Eloy H. Salazar (reappointed) Robert Zamora (reappointed) * Mayor Neal called for consideration of the consent agenda (Items 5-23). City Secretary Chapa announced that Council Member Kelly was abstaining from the vote and discussion on Item 16 and Council Member Noyola was abstaining from the vote and discussion on Item 21. Council members requested that Items 14, 16, 20, 21, and 22 be discussed. Mr. J.E. O'Brien, 4130 Pompano, requested that Items 10 and 22 be discussed. A motion was made and passed to approve Items 5 through 23, constituting the consent agenda, except for Items 10, 14, 16, 20, 21, and 22, which were pulled for individual consideration. City Secretary Chapa polled the Council for their votes and the following motions passed by the following vote: Neal, Chesney, Colmenero, Cooper, Garrett, Kelly, Kinnison, Noyola and Scott, voting "Aye". (NOTE: An emergency was declared on Items 18a and 23) 5. MOTION NO. 2003-231 Motion authorizing the City Manager or his designee to enter into a contract with Dynix Corporation which will provide hardware and software maintenance for the Library's automated system. Estimated expenditure for the first year of the three year contract will be $62,819 of which the city's portion will be $39,966. 6. MOTION NO. 2003-232 Motion approving a supply agreement with Pencco, Inc. of San Felipe, Texas for approximately 435 tons of Hydrofluorosilicic Acid in accordance with Bid Invitation No. Minutes - Regular Council Meeting July 8, 2003 - Page 3 BI -0108-03 based on low bid for an estimated annual expenditure of $66,903 of which $5,575.25 is for FY 2002-2003. The term of the contract will be for twelve months with an option to extend for up to two additional twelve-month periods subject to the approval of the supplier and the City Manager or his designee. Funds have been budgeted by the Water Department in FY 2002-2003. 7. MOTION NO. 2003-233 Motion approving the purchase of eight heavy trucks and two light trucks in accordance with Bid Invitation No. BI -0100-03 from the following companies for the following amounts based on low bid and low bid meeting specifications for a total amount of $424,411.56. Nine units are replacements and one unit is an addition to the fleet. Funds are available from the FY 2002-2003 Capital Outlay Fund. Crosstown Ford Sales, Inc. Champion Chevrolet Corpus Christi, TX Corpus Christi, TX 2 Units 2 Units $125,094 $44,504 Fleetpride Power Equipment Champion Ford Corpus Christi, TX Corpus Christi, TX 1 Unit 5 Units $51,838.56 $202,975 Grand Total - $424,411.56 8. MOTION NO. 2003-234 Motion approving supply agreements with the following companies for the following amounts in accordance with the Coastal Bend Council of Governments Bid Invitation No. CBCOG-03-4 for food items which include canned and frozen fruit and vegetables, meats and condiments for an estimated six month expenditure of $125,221.90 of which $10,435.15 is for FY 2002-2003. The terms of the contracts shall be for six months with an option to extend for up to three additional months, subject to the approval of the Coastal Bend Council of Governments, the suppliers and the City Manager or his designee. Funds have been budgeted by Senior Community Services in FY 2002-2003. Ben E. Keith LaBatt Food Service San Antonio, TX Corpus Christi, TX 32 Items 75 Items $15,741.37 $45,802.33 PFG Sysco Food Service Victoria, TX San Antonio, TX 50 Items 19 Items $53,921.96 $9,756.24 Grand Total - $125,221.90 Minutes - Regular Council Meeting July 8, 2003 - Page 4 9. MOTION NO. 2003-235 Motion approving a supply agreement with Borden Milk Products LP of Austin, Texas in accordance with Coastal Bend Council of Governments Bid Invitation No. CBCOG-03-5 for 151,800 half-pint containers of low fat milk, based on the recommended award submitted by the Coastal Bend Council of Governments for an estimated six month expenditure of $28,842 of which $2,403.50 is for FY 2002-2003. The term of the agreement shall be for six months with an option to extend for up to three additional months, subject to the approval of the Coastal Bend Council of Governments, the supplier and the City Manager or his designee. Funds have been budgeted by Senior Community Services in FY 2002-2003. 11. MOTION NO. 2003-236 Motion authorizing the City Manager or his designee to execute a radio facility and tower lease agreement with KVOA Communications, Inc. dba KRIS Communications for a five year term estimated at $31,559 per year from January 1, 2003 through December 31, 2007 and for an optional extended term of five years estimated at $36,414 per year from January I, 2008 through December 31, 2012 for continued use as a communications site to operate a public safety communications system. 12. RESOLUTION NO. 025361 Resolution authorizing the City Manager or his designee to execute an interlocal cooperation agreement with the Corpus Christi Independent School District in the amount of $162,036 for the DARE and KIDS and COPS Curricula. 13. MOTION NO. 2003-237 Motion authorizing the City Manager or his designee to execute a twelve-month software maintenance agreement with HTE, Inc. of Lake Mary, Florida in an amount not to exceed $113,442.50. Included in the maintenance agreement are the HTE modules for Utilities Business Office, Central Cashiering, Accounts Receivable, Collections, Development Services and Housing and Community Development. 15. MOTION NO. 2003-239 Motion authorizing the City Manager or his designee to execute Amendment No. 11 to an engineering services agreement with MEI Govind, Inc. of Corpus Christi, Texas in the amount of $639,621 for the Broadway Wastewater Treatment Plant Diversion Project 36"/48" Diameter Gravity Line and Lift Station. 17. MOTION NO. 2003-241 Motion authorizing the City Manager or his designee to execute a construction contract with KGS Electric Company of Victoria, Texas in the amount of $289,727 for the Youth Outdoor Sports Facilities Lighting Improvement, Phase 2 at the following locations: South Guth Park; Evelyn Price Park; and Bill Witt Park. (BOND ISSUE 2000) Minutes - Regular Council Meeting July 8, 2003 - Page 5 18.a. ORDINANCE NO. 025365 Ordinance appropriating $461,382 in unappropriated interest earnings from Water Capital Improvement Program Fund No. 4081 (1994 Revenue Bond) for the O. N. Stevens Water Treatment Plant Wash Water System, Phase 3 Elevated Tank; amending Capital Budget adopted by Ordinance No. 025144 to increase appropriations by $461,382. 18.b. MOTION NO. 2003-242 Motion authorizing the City Manager or his designee to execute a construction contract with Pittsburg Tank & Tower Co., Elevated Division, Inc. of Sebree, Kentucky in the amount of $461,382 for the O.N. Stevens Water Treatment Plant Wash Water System, Phase 3 Elevated Tank. 19. MOTION NO. 2003-243 Motion authorizing the City Manager or his designee to execute a construction contract with Cash Construction Company, Ltd. from Pflugerville, Texas in the amount of $2,579,910 for the McArdle Road Improvements, Phase 3 from Everhart Road to Holmes Drive (BOND ISSUE 2000 Project No. C-6) and for Intersection Approach Improvements at the following sites: South Staples at Everhart and Airline at South Padre Island Drive). (BOND ISSUE 2000 PROJECT NO. C-11) 23. ORDINANCE NO. 025368 Ordinance appropriating $45,000 from the reserve for golf course design in Golf Fund 4690 for improvements to Gabe Lozano, Sr. Golf Course and the Oso Beach Municipal Golf Course; amending Ordinance No. 024974 which adopted the FY 2002-2003 Operating Budget by increasing appropriations by $45,000. Mayor Neal opened discussion on Item 10 regarding the Debt Service Reserve Fund Insurance Policy. Mr. J.E. O'Brien commented that he felt this item was a major policy change and thought that it should not have been placed on the consent agenda. Mr. O'Brien also asked how much the insurance would cost. City Manager Noe replied that this was not really a major policy change and that staff had previously informed the Council about the opportunity to substitute insurance in lieu of keeping cash in the reserve fund. In response to Mr. O'Brien's inquiry about the cost of the insurance, Ms. Lee Ann Dumbauld, Director of Finance, said that the surety would cost 1.95%, totaling $207,357. She explained that the city was holding $10,364,730 in its Debt Service Reserve Fund to satisfy requirements under various bond covenants. Ms. Dumbauld said that the city had the option to release these cash reserves and replace them with an insurance policy, subsequently releasing the funds for funding capital projects. Mayor Neal asked if the city had purchased a surety policy in the past. Ms. Dumbauld replied that the city had used a surety policy in lieu of cash reserves for the last several bond issues. In response to Council Member Kelly's question, Ms. Dumbauld replied that the $207,357 was a one-time charge. Mr. Kelly asked what the cost would be to service $10 million in bond Minutes - Regular Council Meeting July 8, 2003 - Page 6 revenues. City Manager Noe replied that it would probably be in the $800,000 range and that this amount would have to be paid annually with interest. Mr. Kelly observed that was substantially more than the one-time $207,357 charge, with the added benefit of releasing $10 million for capital projects. City Secretary Chapa polled the Council for their votes, and the following resolution passed with the following vote: Neal, Chesney, Colmenero, Cooper, Garrett, Kelly, Kinnison, Noyola and Scott, voting "Aye". 10. RESOLUTION NO. 025360 Resolution approving the substitution of a Debt Service Reserve Fund Insurance Policy for funds in the Reserve Fund supporting the outstanding City of Corpus Christi, Texas, Utility System Revenue Bonds. Mayor Neal opened discussion on Item 14 regarding the old Regional Transportation Authority facility. In response to Council Member Kelly's question, Mr. Kevin Stowers, Assistant Director of Engineering, said that staff was evaluating the success of mitigation measures required by the Texas Commission for Environmental Quality upon their completion. Council Member Kelly asked that if the land would be free for other uses if the measures taken were successful. Mr. Stowers answered affirmatively. Mr. Kelly asked when the monitoring of the land would be completed. Mr. Stowers replied that the monitoring would be completed by next summer. Mr. Kelly asked if the land in its current state represented a hazard to the residents of the area. Mr. Stowers replied negatively, saying that the material was confined to the site and that the amount of the material was highly diluted, mixing with the ground water. He added that the material was simply old diesel fuel product that was not normally deemed hazardous. Mr. Kelly commented that many of the residents in the area were under the impression that the site was hazardous, and that the contamination was widespread. In response to Mr. Kelly's question, Mr. Stowers replied that the land was currently safe, but the issue was that because there was petroleum product in the ground water, TCEQ regulations required that only a certain amount be present or remediation efforts would be required. He said that staff was simply trying to clean the site up so that it could be reused. He said that staff hoped to see the reuse of the property as the end result but could not confirm this until the end of the process. Assistant City Manager Ron Massey clarified that the property would have some use restrictions, but generally the site would have few limitations. City Manager Noe said that there were several federal funding sources available for reuse of similar sites, and staff was doing some research on using these funds to convert the site. In response to Council Member Colmenero's question, Mr. Stowers replied that the remediation efforts would require a pumping process to remove the mix of petroleum product and ground water. At the point that there was less than one tenth of a foot of clear product left in the ground, TCEQ would permit the site to be closed. Assistant City Manager Massey added that cleanups resulting from underground storage tank leakage were not unusual and that they were taking place all over the United States. He said that the situation was basically benign since the city does not rely on ground water as its primary drinking water source. Council Member Scott commented that he had also heard that the contamination was widespread Mr. Stowers replied that the study of the site had confirmed that the contamination was Minutes - Regular Council Meeting July 8, 2003 - Page 7 contained within the site. He added that the soil was heavy clay, so the product was moving very slowly throughout, and that the city's extraction efforts were also aiding the containment of the material. City Secretary Chapa polled the Council for their votes, and the following item passed with the following vote: Neal, Chesney, Colmenero, Cooper, Garrett, Kelly, Kinnison, Noyola and Scott, voting "Aye". 14.a. RESOLUTION NO. 025362 Resolution authorizing the City Manager or his designee to accept a reimbursement grant from the Texas Commission for Environmental Quality in the amount of $29,126 for mitigation measures at the old Regional Transportation Authority facility at 1024 Sam Rankin. 14.b. ORDINANCE NO. 025363 Ordinance appropriating a $29,126 Reimbursement Grant from the Texas Commission for Environmental Quality in the No. 1050 Federal/State Grants Fund for mitigation measures at the old Regional Transportation Authority facility at 1024 Sam Rankin. 14.c. MOTION NO. 2003-238 Motion authorizing the City Manager or his designee to execute Amendment No. 9 in the amount of $29,126 with Applied Earth Sciences, Inc. of Corpus Christi, Texas for mitigation services associated with a removed underground fuel storage tank. Mayor Neal opened discussion on Item 16 regarding a change order for the multi-purpose arena. Council Member Cooper asked why Change Order No. 2 included a number of items that were not included on the set issued for bid or subsequent addenda issued prior to opening sealed proposals. Mr. Stowers replied that the complexity and scale of the project, coupled with a tight deadline, resulted in a number of "clean-up" items totaling approximately $120,000 that were overlooked by the architects. He added that these clean-up items were not unforeseen due to the size and scope of the project. Council Member Cooper noted that the change order also included $33,997 of cost reductions that did not impact the architectural appearance of the building. She asked if the change order amount would have been larger without the reductions. Mr. Stowers replied affirmatively, saying that the change order would have amounted to approximately $154,000 without the reductions. Ms. Cooper commented that it appeared that the number of items should have been pared down. Mr. Stowers replied that staff would have liked to pare the number of items down and find other ways to address them at no cost to the city. However, he said that the city could not realistically move below this amount. He added that staff would look for opportunities to realize other cost savings. Council Member Kinnison commented that this was probably not the last change order to be seen, considering the large size and scope of the project. Mr. Stowers replied affirmatively, saying that another change order will be forthcoming for the build -out of the suites. Other expected change orders could involve the seating package, the scoreboard, and other furniture and fixture items. Council Member Kinnison asked how much remained in the contingency fund for this project. Mr. Stowers responded that $876,000 remained in the contingency fund. Minutes - Regular Council Meeting July 8, 2003 - Page 8 City Secretary Chapa announced that there was an amendment to Item 16a, substituting the text "architectural revisions" to read "12 -inch water line and two fire hydrants". Council Member Kinnison made a motion to amend Item 16a as read by City Secretary Chapa, and Council Member Colmenero seconded the motion. The motion passed unanimously (NOTE: Council Member Kelly abstained). City Secretary Chapa declared an emergency, polled the Council for their votes, and the following items passed as amended with the following vote: Neal, Chesney, Colmenero, Cooper, Garrett, Noyola and Scott, voting "Aye"; Kelly abstained. 16.a. ORDINANCE NO. 025364 Ordinance appropriating $30,485 in unappropriated interest earnings from the Water Capital Improvement Program Fund No. 4081 (1994 Revenue Bond) for a 12 -inch water line and two fire hydrants for the multi-purpose arena; amending the Capital Budget adopted by Ordinance No. 025144 to increase appropriations by $30,485. 16.b. MOTION NO. 2003-240 Motion authorizing the City Manager or his designee to execute Change Order No. 2 for the Multi -Purpose Arena in the amount of $121,118 with Fulton Coastcon, Joint Venture of Corpus Christi, Texas for architectural revisions including masonry, plumbing, water main, fire hydrants, electrical, mechanical, structural steel, telecommunications, fire standpipes, fire protection and solid plastic toilet partitions. Mayor Neal opened discussion on Item 20 regarding the Texas Department of Transportation (TxDOT) Highway 44 Clarkwood Bypass. Council Member Scott asked when this project would be completed. Mr. David Casteel, District Engineer for TxDOT, replied that bids would be taken in August and would begin construction in December. He said that the project would take about 24 months to construct. Mr. Scott asked if there was any progress on developing relief routes around the Robstown and Alice areas. Mr. Casteel replied that there were some initiatives being proposed for the formation of Regional Mobility Authorities (RMA) in South Texas. Mayor Neal added that it would be about three to five years before more progress would be seen. City Secretary Chapa declared an emergency, polled the Council for their votes, and the following items passed with the following vote: Neal, Chesney, Colmenero, Cooper, Garrett, Kelly, Kinnison, Noyola and Scott, voting "Aye". 20.a. ORDINANCE NO. 025366 Ordinance appropriating $124,785 in unappropriated interest earnings from the Water Capital Improvement Fund No. 4081 (1994 Revenue Bond) for the Texas Department of Transportation Highway 44 Clarkwood Bypass - Utility Adjustments and New Casing Locations; amending Capital Budget adopted by Ordinance No. 025144 to increase appropriations by $124,785. 20.b. MOTION NO. 2003-244 Motion authorizing the City Manager or his designee to execute Amendment No. 3 to an engineering services agreement for the Southside Water Transmission Main with Urban Minutes - Regular Council Meeting July 8, 2003 - Page 9 Engineering of Corpus Christi, Texas in the amount of $158,580 for the Texas Department of Transportation Highway 44 Clarkwood Bypass - Utility Adjustments and New Casing Locations. Mayor Neal opened discussion on Item 21 regarding the airport covered parking project. Council Member Kinnison asked if the Aviation department had considered a double-decker parking facility instead of covered parking to increase the capacity. Mr. Dave Hamrick, Aviation Director, responded that staff had considered a double-decker facility, but that it was prohibitively expensive. He said that the covered parking facility was the most cost-effective way to expand the parking facility. Council Member Kinnison noted that enplanements were down at the airport yet parking spaces were scarce. He was concerned that once air traffic increased and air service was added in the future, the parking would be inadequate. Mr. Hamrick replied that Phase I of the Roadway/Parking Lot project was nearly complete, and would add over 400 spaces to the lot, with room for expansion. City Manager Noe added that there were some adjustments made to employee parking would also add capacity. Council Member Colmenero asked what the total number of parking spaces would be once the expansion was completed. Mr. Hamrick replied that the number of spaces would increase from approximately 900 spaces to 1,400 spaces. Council Member Kinnison asked if the rates would remain the same. Mr. Hamrick replied that the covered parking would have a separate fee that would halfway between the short-term rates and the long-term fee. He also said that staff was proposing a modest increase to the short-term parking rates to help balance the budget this year. Council Member Scott asked why the covered short-term parking was not closer since it could be considered the best parking available. He commented that it would seem more logical to have the covered short-term parking should be the closest, followed by the uncovered short-term, and then have the uncovered long-term parking. Mr. Hamrick responded that the order of the parking lots was established according to directions staff was given by former city manager David Garcia. Mr. Hamrick noted that the project had not been designed yet, so it could be changed if desired. City Manager Noe said that staff would look into what would be involved to change the order of the parking. Mr. Scott also asked when the landscaping would be complete. Mr. Hamrick said that it would be completed by September. City Secretary Chapa polled the Council for their votes, and the following motion passed by the following vote: Neal, Chesney, Colmenero, Cooper, Garrett, Kelly Kinnison, and Scott, voting "Aye"; Noyola abstained. 21. MOTION NO. 2003-245 Motion authorizing the City Manager or his designee to execute a contract in the amount of $58,250 with Bennett, Martin, Solka and Torno, Inc. of Corpus Christi, Texas for architectural services for the Corpus Christi International Airport Covered Parking Project. Mayor Neal opened discussion on item 22 regarding a construction management services contract for various capital improvement projects. Mr. J.E. O'Brien asked what portion of the $119,00 being appropriated was being used for management services of utility projects, and what portion was to be used for street projects. He was concerned that there was a possible violation of the statute regarding transfer of funds. Mr. Stowers answered that this contract was prorated among several construction projects for street projects. He said that roughly $37,000 was allocated for street work and $120,000 for water work. City Manager Noe added that the expenses were directly Minutes - Regular Council Meeting July 8, 2003 - Page 10 related to utility costs, being the utility share of the construction management. He said that there was no transfer or subsidy being implemented. In response to Council Member Chesney's question, Acting City Attorney Reining replied that there was no violation of state law taking place in this instance. City Secretary Chapa declared an emergency, polled the Council for their votes, and the following items passed with the following vote: Neal, Chesney, Colmenero, Cooper, Garrett, Kelly, Kinnison, Noyola and Scott, voting "Aye". 22.a. ORDINANCE NO. 025367 Ordinance appropriating $119,790 in unappropriated interest earnings from the Water Capital Improvement Program Fund No. 4082 (1995 Revenue Bond) for construction management services for various capital improvement projects associated with the 2003 Capital Budget; amending the Capital Budget adopted by Ordinance No. 025144 to increase appropriations by $119,790. 22.b. MOTION NO. 2003-246 Motion authorizing the City Manager or his designee to execute Amendment No. 1 for construction management services in the amount of $187,200 with Anderson Group Construction Management, Inc. of Corpus Christi, Texas for various capital improvement projects associated with the 2003 Capital Budget. * * * * * * * * * * * * * Mayor Neal referred to the presentations on the day's agenda. Assistant City Manager Ron Massey introduced Mr. David Casteel, District Engineer of TxDOT, to provide update on the Harbor Bridge Lighting Project and the Hurricane Evacuation Transportation Operation project. Council Member Chesney interjected that he and Council Member Kinnison had had a successful meeting with residents near FM 2444, and he wanted to thank Mr. Casteel, TxDOT, Assistant City Manager Massey and City Engineer Angel Escobar for their assistance. Mr. Casteel introduced Mr. Karl Burkett with TxDOT's Austin office, who would be making the presentation on the Harbor Bridge lighting project. Mr. Burkett presented a concept proposal for the Council's consideration. He cited the following goals for the project: to instill civic pride, to produce an award-winning and attention - getting project, to ensure that the project was feasible from an engineering and maintenance standpoint; and to take light pollution into account. Mr. Burkett discussed several different lighting projects throughout the country. He mentioned other design considerations, including the use of events to attract attention and the use of changing colors. He proposed a plan for the Harbor Bridget that would include ground mounted and structure mounted fixtures, employing three different colors and changes every 30 minutes. He stated that the cost for one color light would be $312,000, two lights would be $462,000 and three lights would be $574,000. He also proposed an underbridge lighting project that would cost approximately $190,000. Council Member Colmenero commented that the bridge lighting project was an opportunity to highlight the bayfront area. He asked how long a project of this kind would take to complete. Mr. Casteel said that the sequence to complete the project would first begin with the current project Minutes - Regular Council Meeting July 8, 2003 - Page 11 to do structural work to the bridge, which would take approximately 12 to 18 months to complete. Next, the bridge was scheduled to be repainted, which would cost approximately $11 million and take two years to complete. Thus, Mr. Casteel concluded that it would take approximately three to three and half years before the electrical wiring necessary for the lighting could begin, which in turn would take six to nine months to complete. In response to Mr. Colmenero's question, Mr. Casteel said that the long-term plan was to completely replace the Harbor Bridge, incorporating state-of-the- art aesthetic features to the new bridge. Council Member Scott commented that the Harbor Bridge was scheduled to be replaced in about 15 years, yet the life of the lighting project was estimated to be about 25 years. He asked if there were ways to reduce the cost of the project since it would only be used for 15 years. Mr. Burkett said that the costs could be reduced based on the number of colors used, but warned against using lower -quality light fixtures because they would increase the cost of maintenance or lower levels of light because they would not achieve the desired result. Mr. Scott asked about potential funding sources, especially the 1-1/4 quarter percent dedicated to art. City Manager Noe stated that the Port of Corpus Christi had expressed interest in participating in the project. Mr. Casteel added that TxDOT sets aside $200,000 a year for aesthetic treatments in the city that they could contribute. Mayor Neal asked if the MPO could fund this project. Mr. Casteel replied that he understood that MPO funds were to be used for mobility and maintenance projects only, but he would check into the matter. Mayor Neal called a brief recess to make a proclamation. The Council returned from recess and Mr. Casteel provided a briefing on the TxDOT Hurricane Evacuation plan. He stated that TxDOT had received a $60,000 grant from the Federal Highway Administration to review transportation operations during hurricane evacuations for Corpus Christi. He said that the purpose of the grant was to review evacuation routes for possible geometric improvements, eliminate bottlenecks, improve signing, and improve maps made available to the public. He said that Mr. Bryan Wood of TxDOT and Garry Ford with the Texas Transportation Institute took the lead on the project. Their research focused on I-37 since it is the primary evacuation route. Mr. Casteel said that Mr. Wood and Mr. Ford identified the following three major projects for implementation to improve evacuation routes: improve the SPID and I-37 interchanges; create four lanes on I-37 from SPID to US 77 North; and a hurricane lane from US 77 North to SH 72. He said that the proposals would result in reduced delays and provide more options for evacuation routes beside the counterflow proposal. He anticipated that the project would be completed by the 2004 hurricane season at a cost of approximately $11 million. Mr. Casteel added that staff also looked at signing, and proposed several improvements to signing around curves to better delineate the hurricane route. Finally, Mr. Casteel reported that several improvements were being made to the evacuation route maps that TxDOT provided to the public. He said that the improved maps would be available in December. Mayor Neal asked Mr. Casteel if these proposals would replace the counterflow evacuation plan. Mr. Casteel replied that the counterflow plan was still an option. However, he said that these proposals would result in the same capacity as the counterflow plan with only one-tenth the manpower. Mayor Neal noted that the new plan would not be implemented until 2004, so for the current hurricane season, the counterflow plan would still be in effect. Minutes - Regular Council Meeting July 8, 2003 - Page 12 Council Member Chesney asked when the proposed evacuation routes would be complete. Mr. Casteel said that staff anticipated that the plans would be entirely complete by late Summer 2004. In response to Mr. Cheney's question, Mr. Casteel said that the construction to the JFK Causeway would be complete to the point that the lanes would be elevated by August 2004. * * * * * * * * * * * * * Mayor Neal deviated from the agenda and referred to Item 29, and a motion was made, seconded and passed to open the public hearing on the following zoning case: Case No. 0503-07, Texas Pinkus Housing, L.P.: A change of zoning from a "I-2" Light Industrial District to "R-2" Multiple Dwelling District on Mid -Town Industrial District, Block 2, Lot 42R, located between Bear Lane, Brownsville Road and South Navigation Boulevard. City Secretary Chapa said the Planning Commission recommended the approval of a "R-2" Multiple Dwelling District, while staff recommended the denial of the "R-2" District. Mr. Chapa noted that the applicant was requesting that the item be tabled to September 12, 2003. A motion was made and seconded to table the item to September 12, 2003. Council Member Noyola interjected that this was the second time in two months that applicants developing in this same area were asking to table items. He asked why they were asking to table the items. City Manager Noe replied that both projects were seeking credits through a state program, and the delay was related to their need to meet the program requirements for which they were applying. Council Member Noyola said that the residents of the area and staff were opposed to the project, and he made a motion to deny the applicant's request. Mayor Neal asked City Secretary Chapa for clarification on how to proceed. Mr. Chapa advised Mayor Neal that the Council needed to act on the motion to table before they could act on Council Member Loyola's motion. City Secretary Chapa polled the Council for their votes on the motion to table the item as follows: Neal, Chesney, Colmenero, Cooper, Garrett, Kelly, Kinnison, and Scott, voting "Aye"; Noyola voting "No". The motion passed. Council Member Cooper made a motion to close the public hearing, seconded by Council Member Chesney, and the motion passed. Council Member Noyola reiterated that he was against the zoning change because the residents in the area were opposed to the change in zoning. Mayor Neal commented that the Council would have an opportunity to revisit the case on September 12. 29. 6 uic iviiui6 iiiap ni icn.iciicc WmpiGLe.SiVe plan to at.co nt tvr"dny do providing fin Fix biits aCivil, an 5 gcncy. Tabled until 9-12-03 Mayor Neal referred to Item 30, and a motion was made, seconded and passed to open the public hearing on the following zoning case: Case No. 0503-06. Gene Graham/Oak Properties: A change of zoning from a "R -1B" One - family Dwelling District to a "RE" Residential Estate District on Flour Bluff and Encinal Farm and Garden Tracts, being 25.56 acres out of a 76.07 acre tract of Lots 29 through 32, Minutes - Regular Council Meeting July 8, 2003 - Page 13 Section 48, located north of Don Patricio Road, south of Meeks Road and east of Flour Bluff Drive. Mr. Chapa said that the Planning Commission and staff recommended the approval of the "RE" Residential Estate District. He noted that the 20% rule was in effect for this item which would require seven votes for approval. No one appeared in opposition to the zoning change. Mr. Chesney made a motion to close the public hearing, seconded by Ms. Cooper, and passed. Mr. Chapa polled the Council for their votes, and the following ordinance passed with the following vote: Neal, Chesney, Colmenero, Cooper, Garrett, Kelly, Kinnison, Noyola and Scott, voting "Aye". 30. ORDINANCE NO. 025369 Amending the zoning ordinance upon application by Gene Graham/Oak Properties by changing the zoning map in reference to 25.56 acres of Flour Bluff and Encinal Farm and Garden Tracts, Section 48, Lots 29 through 32, from "R -1B" One -Family Dwelling District to "RE" Residential Estate District; amending the comprehensive plan to account for any deviations from the existing comprehensive plan. Mayor Neal referred to Item 31, and a motion was made, seconded and passed to open the public hearing on the following zoning case: Case No. 0503-09, Daniel J. Thornton and Robert J. Thornton: A change of zoning from a "R -1B" One -family Dwelling District to a "B-1" Neighborhood Business District on Don Patricio Subdivision, Block A, Lots 1, 2, 3, 50, 51 and 52 located on the southwest corner of Don Patricio and Caldron Roads. City Secretary Chapa said that the Planning Commission and staff were recommending the approval of a "B-1" Neighborhood Business District. No one appeared in opposition to the zoning change. Mr. Scott made a motion to close the public hearing, seconded by Ms. Cooper, and passed. Mr. Chapa polled the Council for their votes, and the following ordinance passed with the following vote: Neal, Chesney, Colmenero, Cooper, Garrett, Kelly, Kinnison, Noyola and Scott, voting "Aye". 31. ORDINANCE NO. 025370 Amending the zoning ordinance upon application by Daniel J. Thornton & Robert J. Thornton by changing the zoning map in reference to Don Patricio Subdivision, Block A, Lots I, 2, 3, 50, 51 and 52 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. Mayor Neal referred to Item 32, and a motion was made, seconded and passed to open the public hearing for a zoning text amendment regarding downtown parking requirements. City Manager Noe explained that the proposed zoning text amendment was in response to the Downtown Management District's request to eliminate the downtown parking requirement as it relates to Minutes - Regular Council Meeting July 8, 2003 - Page 14 residential projects. No one spoke in opposition to the zoning text amendment. Council Member Scott asked if the Downtown Management District (DMD) supported this zoning text amendment. Mr. Miguel Saltine with the Planning Department said that the DMD was aware of the zoning text amendment and was in support of it. City Secretary Chapa polled the Council for their votes, and the following ordinance passed on its first reading with the following vote: Neal, Chesney, Colmenero, Cooper, Garrett, Kelly, Kinnison, Noyola and Scott, voting "Aye". 32. FIRST READING ORDINANCE Amending the Zoning Ordinance by revising Article 17, "B-5" Primary Business District, Article 18, "B-6" Primary Business Core District, and Article 22, Off -Street Parking Regulations. ************* Mayor Neal deviated from the agenda and referred to Item 26, a presentation on the City Council Audit Committee's findings and recommendations regarding fiscal issues. Council Member Kinnison, Audit Committee Chairman, thanked staff for their responsiveness and cooperation, and he also thanked his fellow committee members for their work and dedication. He reviewed the committee's nine recommendations (NOTE: The recommendations are included as Attachment A to these minutes). Mayor Neal commended the committee for its work. Mayor Neal called for public comment. Mr. J.E. O'Brien spoke in opposition to the committee's recommendation to increase the utility rates to 6% because he felt it would hurt economic development. Council Member Chesney thanked Council Member Kinnison for his leadership on this committee, Mayor Neal for forming the committee and staff for their assistance. Mr. Chesney noted that it was difficult for the committee to recommend a utility rate increase, but infrastructure improvements were badly needed and there were no other obvious solutions. He encouraged Mr. O'Brien and any others in opposition to develop other solutions. Mr. Chesney also commented on the recommendation regarding the Convention and Visitor's Bureau, saying that it was merely an idea at this time but that the committee was looking at every possible way to increase cost effectiveness. Council Member Cooper and Council Member Colmenero echoed Mr. Chesney's sentiments. Council Member Kinnison commented that he had voted against utility rate increases in the past, but the committee thought it was the best way to address the city's drainage problems. He said that the committee was going to try to find a better way of funding storm water improvements in the future. He commented that the citizen suggestion program has been useful in other communities. He pointed out that items #6 and #8 may raise some eyebrows, but he emphasized that the committee's goals was to question all operations to find cost-effective and cutting edge solutions. He emphasized that the tough decisions that the previous Council and this Council were making have resulted in a better financial picture for the city compared to other cities in the state. He noted that the committee's meeting were posted and open to the public, and they welcomed any and all input. Council Member Loyola thanked Mr. Kinnison for his leadership, and also thanked fellow committee members Mark Scott and Brent Chesney. He echoed Mr. Chesney's sentiments regarding Minutes - Regular Council Meeting July 8, 2003 - Page 15 the difficulty of the decision to increase utility fees, but recognized the need for drainage improvements. He said that the improvements would benefit the entire community. He encouraged citizens and employees to participate in the suggestion programs. Council Member Scott thanked staff for their work. Regarding item 8, Mr. Scott commented that the suggestion to incorporate the CVB as a city department was not adversarial; rather, it was an attempt to realize savings to help them market the city. City Manager Noe said he would be speaking with the CVB about the prospect. Regarding item 6, Mr. Scott asked City Manager Noe when a report on the 1999 International Association of Chiefs of Police study would be ready. City Manager Noe replied that it would take about a month or two to provide a status report. He also remarked about the city's need to grow at a rate of 3% in order to maintain levels of service. He encouraged citizens to support the Council in their quest to revitalize the local economy, despite the downturn in the national economy. Council Member Chesney requested a copy of the 1999 International Association of Chiefs of Police study for his review. Council Member Garrett asked why there did not appear to be any improvement in the city's drainage problems even though it has been recognized as a problem for years. City Manager Noe replied that up until recently, there was no dedicated funding for capital improvements, so improvements were on a very small scale. However, the end result has been that this Council has made a commitment to make a major increase in the funding for storm water improvements, resulting in large scale improvements that will be noticeable. Mayor Neal asked City Manager Noe and Mr. Mark McDaniel, Executive Director of Support Services, to develop a plan to implement some of the recommendations, namely for items 1, 2 and 9. City Manager Noe replied that items 1, 2, and 9 directly related to this year's budget, so the plan would be to fold those recommendations into the items coming before the Council on July 15 and July 22. He added that items 3 through 8 related to the work plan for future budgets, and he said staff would work on a time schedule for implementation after the budget break. sass*******ss Mayor Neal deviated from the agenda and opened discussion on item 27, a special budget presentation on the proposed FY 2003-04 Special Revenue, Internal Service and Debt Service Fund budgets. Before he began his presentation, Mr. Mark McDaniel, Executive Director of Support Services, thanked the Audit Committee for its work, saying that their recommendations were very prudent and would prepare the city for the future. First, under Special Revenue funds, Mr. McDaniel noted that the hotel tax comprised the largest part of the expenditures of these funds. He reported that the hotel occupancy tax comprised the largest part of all visitors facilities fund revenues and the convention center comprised the largest portion of all expenditures for this fund. In summary, Mr. McDaniel stated that the hotel tax/visitor facilities funds were in a transition period due to the decline in visitor facility revenues and activities and the corresponding budget reductions. He said that staff was projecting a 2.5% increase in hotel tax receipts. He stated that staff was continuing enhanced funding to forward the Convention and Visitors Bureau marketing efforts. He said that the funding levels to outside agencies like the Corpus Christi Regional Economic Development Corporation, the Downtown Management District and MHMR would remain the same, with the exception of the skate park match for the Junior League. Mr. McDaniel said that the CVB contribution totaled $200,000 over their base contract Minutes - Regular Council Meeting July 8, 2003 - Page 16 amount, but the net amount they were receiving over last year's budget was $34,000. Council Member Kinnison commented that the enhanced funding that the CVB was receiving this year was available in part because the city had some reserve balances in the Visitors Facility Fund. He said that once this year's budget cycle was complete, the reserve fund would basically be depleted. Mr. Kinnison remarked that revenues were down for the convention center and the coliseum this year and growth was only projected at 2.5% for this year. Thus, Mr. Kinnison concluded that unless there was a significant increase in growth, it would be difficult if not impossible to continue with the enhanced funding to the CVB. Council Member Scott added that it did not appear that the CVB board understood this, and he requested that they be informed in writing. In response to Mr. Scott's question, Mr. McDaniel said that much of the convention center's business comes from local events, and due to the construction these groups have to relocate. He said this was contributing to the downturn in bookings for the convention center and coliseum. Council Member Scott questioned staff's growth projections, asking whether the 2.5% projection gibed with the 1% growth rate this year and the downturn in convention center bookings. City Manager Noe replied that the bookings at the convention center were down, but staff believed that the revenues could be made up with other business from hotels and other types of tourism. Mr. McDaniel added that the 1% rate was derived from last year's actual compared to this year's estimate. He said that staff had budgeted for a 2% growth rate, which the city will achieve. Mr. McDaniel then reported on the Crime Control and Prevention District fund. He said that sales tax was the major source of revenue for this fund, comprising 99%. He summarized that the major portion of expenditures were allocated for funding 50 additional police officers, the continuation of the Juvenile Assessment Center and Juvenile Marshals programs, and the pawn shop detail program on a year to year basis. Regarding the other special revenue funds, Mr. McDaniel noted that the business and job development fund, the seawall sales tax and the arena sales tax were receiving almost identical levels of revenues, approximately 29%. He said that Reinvestment Zone #1 tax (Downtown & aquarium) and Reinvestment Zone #2 tax (Packery Channel) were also included in these funds. Regarding expenditures for these funds, Mr. McDaniel remarked that the seawall, the arena, and the baseball stadium reserve were debt -related payments. In summary, Mr. McDaniel said that the fiscal issues for the other special reserve funds included the sale of the arena and the initial Packery Channel (RIZ #2) debt in the current fiscal year. He noted that Reinvestment Zone #1 will expire in December 2004. He also reported that staff had also budgeted a full year of funding for Proposition 2 (business and jobs sales tax) initiatives, including the baseball stadium, affordable housing and business incentive programs for the creation of primary jobs. Council Member Scott remarked that there had been some discussion on privatizing the management of the convention center. City Manager Noe said that there had been some discussion with SMG to take over operations of the convention center. Mr. Noe said that he anticipated having an update on this matter for the Council after the budget break. Regarding internal service fund expenditures, Mr. McDaniel commented that these funds support other city operations on a cost basis. He noted that Risk Management and Maintenance Services comprised the major portions of expenditures in these funds. In summary, Mr. McDaniel remarked that overall, the combined increase in expenditures of $337,631 for all internal service funds. The increase in the Risk Management fund was due to rising insurance costs for property and Minutes - Regular Council Meeting July 8, 2003 - Page 17 liability, workers compensation and group health insurance. In the maintenance service fund, Mr. McDaniel said that the match for the skate park was included in this budget. In addition, staff was budgeting higher fuel and parts costs this year. In the MIS fund, Mr. McDaniel said that Phase I of the Call Center was being budgeted out of this fund, totaling approximately $261,000. He also said that the fund appeared to be growing larger than it should, but in reality the increase was due to the transfer of technical support staff existing in other funds. Council Member Garrett asked how the city had fared this year with its fuel costs. Mr. McDaniel answered that budget for fuel was fine this year since fuel costs had gone down. Regarding the debt service fund, Mr. McDaniel reported the fiscal issues for this fund included declining general debt beginning in FY 2007-08. Other issues affecting this fund are the preparations for Bond 2004 and the FY 2003-04 Capital budget, which will come before the Council this fall. He said that the utility improvements were to be funded by commercial paper program and revenue bonds. Finally, Mr. McDaniel noted that the pending baseball stadium was not programmed yet but revenues were being placed into reserve for this purpose, at a projected cost of $20 million. He said that the Packery Channel issue of about $4.3 million in FY 2003-04. Council Member Colmenero asked about what was involved in the MIS fund transfers for technical support. City Manager Noe replied that staff had consolidated a number of MIS -related functions from other departments into the central MIS function. Mr. Ogilvie Gericke, Director of MIS, said that the transfer totaled about 21 positions. Mayor Neal asked staff and the Audit Committee to scrutinize all the city's debt issues to see if any debt could be reasonably refinanced to take advantage of the low interest rates. Ms. Lee Dumbald, Director of Finance, said that staff was meeting to discuss refinancing the debt for Choke Canyon. City Manager Noe added that staff also needed to take future debt issuances into consideration, checking whether a early issuance might realize savings. Mayor Neal called a fifteen minute recess. * * * * * * * * * * * * * The Council returned from recess, and Mayor Neal referred to item 28, the public hearing on the FY 2003-04 Operating Budget. A motion was made, seconded and passed to open the public hearing. Mayor Neal called for public comment of a general nature on the budget. Mr. J.E. O'Brien commented that the it was strange that the city appeared to lack funds to address its infrastructure needs, despite staff's claims that it was increasing its fund balances, realizing savings through its re-engineering efforts and increasing property values. He also said that he opposed the utility rate increases and supported the reinstatement of the Internal Audit department. Council Member Garrett made a motion to closed the public hearing, seconded by Council Member Noyola, and it passed. Council Member Kinnison commented that the Council and staff were scrutinizing both the expenditure side as well as the revenue side of the budget. He added that other communities were seeing far greater increases in their utility rates, primarily because, like Corpus Christi, they had an abundance of capital projects that they needed to finance and lacked other revenue sources. Council Member Kelly commented that the city does not set the appraised values of the property taxes; rather, the Appraisal District does. He noted that until more people owned property, they could not enjoy the benefits of increased property values. He remarked that staff would be providing Minutes - Regular Council Meeting July 8, 2003 - Page 18 a report on the city's programs to increase home ownership on July 22. * * * * * * * * * * * * * Mayor Neal opened discussion on Item 33 regarding the Charter Revision election and process. City Secretary Chapa stated that during the Council Retreat, the Council had mentioned the possibility of holding a charter revision election in 2004 to coincide with a proposed bond election. He asked for the Council's direction on the process they would like to employ to prepare for this election. He named two options the Council could consider. First, if the Council primarily wanted to address housekeeping issues in the charter, he suggested that a Council committee could be formed, staffed by the City Manager, the City Attorney and himself. However, if the Council wanted a more in-depth review of the charter, Mr. Chapa recommended that the Council appoint a Charter Revision Commission to work from September through next year and make recommendations to the Council. He also recommended that the commission be comprised of two committee members appointed by each Council member, and two Co -Chairs appointed by the Mayor. He felt that a commission this large would ensure a diverse, inclusive group that would provide substantial input. Mayor Neal asked how long it had been since a Charter Revision Commission had been formed. City Secretary Chapa replied that the last commission had been created around 1995. Mayor Neal stated that he would like to follow Mr. Chapa's recommendation for an in-depth review of the charter, using a Charter Revision Commission appointed as Mr. Chapa had outlined. He cited the need for an in-depth review based on a number of court decisions that had impacted the charter, election date issues and the need for staggered term limits. Council Member Kinnison asked what dates would be available for a charter election. Mr. Chapa replied that they would be the uniform election dates, namely the first Saturday in May, September, November and the city council election date. Council Member Chesney asked why the in-depth charter revision was necessary. Mayor Neal replied that the citizens should have the opportunity to review the charter on a periodic basis. City Secretary Chapa reviewed the tentative time line to appoint the Commission and make recommendations before the November election date. There were no comments from the audience. Mayor Neal made the following motion to accept Mr. Chapa's recommendations for a Charter Revision Commission, seconded by Council Member Garrett, and the motion passed unanimously. 33. MOTION NO. 2003-247 Motion authorizing the appointment of a Charter Revision Commission, consisting of 18 members (two members to be appointed by each Council Member and two Co -Chairs to be appointed by the Mayor), with the charge of reviewing the current city charter and making recommendations to the City Council for possible amendments to be considered in an election in November 2004. * * * * * * * * * * * * * Mayor Neal opened discussion on item 34 regarding the city's stop loss insurance for the health benefit plan. Mr. Keith McNeely with McGriff, Seibels and Williams Inc., reviewed the evaluation team's ranking of the four eligible proposals submitted. He noted that in order for stop Minutes - Regular Council Meeting July 8, 2003 - Page 19 loss carriers to accurately provide costs for coverage, the market requires the most up to date claims information possible. Thus, he said it was necessary to forward updated claims information to the proposers. He concluded that Humana was the highest ranking proposer for stop loss coverage in the evaluation matrix. Council Member Scott asked what the city was paying now for stop loss insurance. Mr. McNeely replied that the current rate was $17.22 per employee for a total of $674,266, while Humana was quoting a price of $20 per employee for a total of $783,000. Council Member Scott observed that the city was going to be spending an additional $109,000 with Humana. Mr. McNeely replied affirmatively, but added that the city would not have been able to retain that rate because of the current market. Mr. Scott asked if the current provider had submitted a bid. Mr. McNeely replied that they did submit a bid, but based on the updated claim information provided, they would not have been able to offer the same price. Council Member Scott asked if the stop loss provider could be the same entity as the health insurance provider legally. Acting City Attorney Reining said that the city had contacted outside counsel on the matter, and they determined that although there was some risk but as long as all parties were fulfilling their obligations, there shouldn't be a problem. If there was a problem, Mr. Reining said there were legal actions that the city could take. City Manager Noe added that the substantial difference in cost overall of the program between Humana and the other proposals was so striking that it was worth the risk. Mr. McNeely added that large insurance companies are highly regulated by the government and consumer laws in place would also protect the city. Mr. Scott remarked that the new Health Benefits Manager would be monitoring and auditing the contract. City Secretary Chapa polled the Council for their votes, and the following motion passed with the following vote: Neal, Chesney, Colmenero, Cooper, Garrett, Kelly, Kinnison, Noyola and Scott, voting "Aye". 34. MOTION NO. 2003-248 Motion authorizing the negotiation ofa one-year contract with four one-year renewal options between the City of Corpus Christi and Humana to provide excess stop loss insurance for the City's self-funded health benefit plan. * * * * * * * * * * * * * Mayor Neal called for the City Manager's report. City Manager Noe reported that this Thursday, the South Central Area Development Plan Stakeholders Group would be meeting at 6:00 p.m. in the Sixth Floor Conference Room at City Hall. At 6:30 p.m., also on this Thursday, Mr. Noe reported that a follow-up meeting will be held on the Neighborhood Improvement Pilot Program for the Chula Vista area. Mr. Noe said that the Landry's proposal will be discussed next week, along with a presentation on the automated meter reading initiative, the first reading of the budget ordinance, and a presentation on the Neighborhood Improvement Program. Mr. Noe stated that the meeting on July 15 will start at noon. On July 22, Mr. Noe said that the agenda will feature the completion of the budget process, the desalination project, and the result of the affordable housing initiative for city employees. Finally, Mr. Noe said that staff would be briefing the Council on the single room occupancy projects after the budget break. Mayor Neal said that on May 9, Mr. Chapa had provided the Council with a copy of the current Council policies. He said Mr. Chapa had recommended amending Section 3 regarding Minutes - Regular Council Meeting July 8, 2003 - Page 20 automobile use for business purposes to update the current amounts the Council has been allotted. Mayor Neal suggested amending Section Se to include a provision for the removal of hats in the Council Chambers. He asked the Council to provide feedback on any other amendments they would like to see. Mayor Neal also complimented staff for the memorial service for the late Mr. Dan Whitworth, former Director of Park and Recreation. Finally, Mayor Neal asked City Manager Noe to place the disability non-discrimination ordinance on the agenda for discussion. Mayor Neal called for Council concerns and reports. Council Member Chesney asked for an update on the missing police documents. City Manager Noe distributed a memo on the issue, detailing new procedures to protect employee social security numbers and addresses. Council Member Chesney asked if Mr. Noe thought these measures were sufficient to ensure that personal documents would be properly secured. City Manager Noe said that this change was a move in the right direction, but staff was investigating the matter further. Council Member Chesney remarked that he hoped staff would develop with a standard regarding the protection of private information. Mr. Chesney also asked that City Manager Noe investigate claims that the recent pipeline rupture was due to water personnel incompetence. Mr. Chesney announced that the next Town Hall meeting would be held on July 14 at Ethel Eyerly Community Center at 6:00 p.m., hosted by himself and Council Members Scott, Cooper and Garrett. Mr. Chesney made reference to a letter from Mr. Torrey. Mr. Noe replied that staff had met with Mr. Torrey and had received another, more detailed letter from Mr. Torrey. He said staff would be providing a response. Council Member Chesney also asked that a method be found to inform residents in the Meadowbrook area about the drainage situation in their area. Finally, Mr. Chesney paid tribute to the late Mr. Dan Whitworth. Council Member Noyola asked for an update on an ordinance prohibiting citizens from selling animals on street corners. Assistant City Manager Jorge Cruz-Aedo said that the Animal Control Advisory Committee and staff were currently reviewing the ordinance, and it probably would not be ready for Council consideration until September or October to also allow for community input. Council Member Noyola asked if the city was enforcing the smoking ordinance in place in restaurants. Assistant City Manager Cruz-Aedo replied that the Health department was charged with enforcing the ordinance, and said that they have not had to issue citations because issues were quickly resolved. Council Member Noyola said that he had received a constituent complaint about the resurfacing taking place at Horne and Port. City Manager Noe said he would provide a written response. Finally, Council Member Noyola asked Ms. Cooper when the town hall meeting at Yeager was scheduled. Council Member Cooper replied that it was scheduled on September 8. Mr. Noyola asked that he be included in that town hall meeting. Council Member Colmenero asked Mr. Noe to look into a problem with street vendors who did not have permits. Mr. Colmenero asked when some utility poles near Tarlton and Ayers that had been knocked down were going to be replaced. Mr. Colmenero also asked staff to look into requesting that the CVB add an ex -officio member from the R.T.A. to its board. Finally, Mr. Colmenero asked for an update on the situation with the Southside League. Council Member Garrett asked for an update on the evaluation of the hospital zone on Alameda. City Engineer Angel Escobar said that the field investigation was scheduled to be completed by next week. He said that the Transportation Advisory Committee would review the results, and then they would be brought to the Council sometime in August. Mr. Garrett also asked about the manhole covers on the newly repaved road on Weber from McArdle to Staples. Mr. Minutes - Regular Council Meeting July 8, 2003 - Page 21 Escobar replied that staff has made arrangements to raise the manholes to street level. Council Member Cooper asked how much longer the city would be repaving Saratoga. Assistant City Manager Ron Massey said he would provide a response. Ms. Cooper gave her condolences to family of Mr. Dan Whitworth. Ms. Cooper also reported that she was impressed with the recreation centers she had seen in Colorado on a recent vacation. She asked staff to look into modeling our recreation centers after these. Council Member Kelly asked if employee social security numbers were necessary on payroll checks. City Manager Noe replied that they would be blacking out portion of the number, but would also look into blacking out the entire number. Council Member Scott asked about notices for intent to lien on street assessments. City Engineer Escobar said that the city files a notice of intent once the assessment has been complete. Mr. Scott asked about fines for speeding, especially drag racing. Acting City Attorney Reining replied that a new law passed by the state legislature provides for the automatic suspension of a person's drivers license for one year if convicted of a drag racing offense. Mr. Scott asked that Commander Torres inform the Morningside Neighborhood association. Mr. Scott also took offense to statement made in a memo from Police Chief Alvarez that littering was inevitable during large events, saying that was unacceptable. Mr. Scott expressed concern about a letter regarding a code enforcement violator. City Manager Noe replied that the property in question was occupied, which made it more difficult to prosecute. He added that a new ordinance amendment will hopefully make situations like this easier to prosecute. Finally, he supported Mr. Colmenero's suggestion to add an ex -officio member from the R.T.A. to the CVB board. He said that Mr. Dan Whitworth would be missed. Mayor Neal asked the Municipal Court Committee to meet to discuss the new Environmental Court. He asked for a report on the city's enhanced efforts to prevent littering for the Fourth of July holiday. Finally, he said that the area around McGee Beach looked like a solid waste disposal site as a result of the renourishment project. He asked staff to maintain the area. * * * * * * * * * * * * * Mayor Neal called for petitions from the audience. Mr. Phil Sensinger, 2006 Romford, spoke regarding motorcyclist safety on city streets, especially Weber from McArdle Road to Gollihar, and he cited some recent accidents and fatalities. * * * * * * * * * * * * * There being no further business to come before the Council, Mayor Neal adjourned the Council meeting at 5:39 p.m. on July 8, 2003. * * * * * * * * * * * * * ATTACHMENT A City Council Audit Committee Recommendations to City Council July 8, 2003 I . The City's property tax valuations are now projected to be 1.7% higher than the amount currently used in the FY2003-04 Proposed Budget, generating approximately $900,000 more in additional General Fund revenues. When the certified tax roll is received in late July, this figure may be even higher. We recommend that FY2003-04 sales and use tax revenue currently projected at a growth of three percent over the prior year be adjusted downward by this same amount (less the amount to fund recommendation #2 below). This is recommended in light of the relatively flat growth in sales and use tax collections since January, 2003. This conservative approach should help to minimize the probability of the City having to make mid -year expenditure adjustments to the budget should this sales tax trend continue. In the event that sales and use tax receipts actually come in higher, the Committee further recommends that the Council appropriate any additional sales and use tax revenue in late FY2003-04 as a reserve to be used as a funding source for a specified item(s) in the FY2004-05 budget. 2. We recommend that $100,000 be budgeted for operational performance reviews to be determined in FY2003-04 as a result of Further review by the Audit Committee with final recommendations submitted to the Council. The intention will be to identify departments/areas where such a review would lead to cost savings in excess of the amount of the performance review. 3. We recommend that staff initiate a comprehensive review of fees and rates. This would provide necessary information to evaluate the fees and services the City currently has, as well as serve as a comparison for evaluating services and fees of other cities. 4. We recommend the establishment of an employee suggestion program under which incentives are provided for employees who provide suggestions that result in cost savings by efficiency enhancements. Incentives would be funded through savings achieved. 5. We recommend the establishing of a citizen's suggestion program through utilization of the city website to solicit such information. This type of program has been adopted in other cities and information gathered is used for a variety of purposes including operational enhancements and even bond program suggestions. 6. We recommend that the 1999 study of the Police Department performed by the International Association of Chiefs of Police (IACP) be reviewed and that a status report on the implementation of study recommendations be provided. Items which have not been implemented should be implemented, or justification should be made for not implementing. 7. We recommend that over the next year the Audit Committee review various City services and corresponding service levels provided, with reports and any subsequent actions corning before the Council after such review has been completed. 8. We recommend that the City review the option of restructuring the operations of the Convention & Visitor's Bureau (CVB) during the month of August, 2003. This review should seek to evaluate the cost savings and operational efficiency that could be achieved by the CVB becoming a City department while still keeping the current Board structure utilized for policy/operational issues. We recommend that utility rates for FY2003-04 be adjusted by six percent, with the amount generated by one more percent dedicated to funding an additional $10 million in drainage projects. This funding, when coupled with what is already programmed, would provide for a total of $55 million in drainage projects over the next five years. In light of current drainage needs as well as the planned 2004 bond election, we feel this would be the proper step to provide funding for these desperately needed improvements. 9.