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.