HomeMy WebLinkAboutMinutes City Council - 03/22/2005I HEREBY CERTIFY that the foregoing is a true and correct copy of the minutes of the
Regular Meeting of the Corpus Christi City Council of March 22, 2005, which were approved by
the City Council on March 29, 2005.
WITNESSETH MY HAND AND SEAL, on this the 30th day of March, 2005.
Armando Chapa
City Secretary
SEAL
PRESENT
Mayor Samuel L. Neal Jr.
Mayor Pro Tem Bill Kelly
Council Members:
Javier Colmenero
Brent Chesney
Melody Cooper
Henry Garrett
Rex Kinnison
Jesse Noyola
Mark Scott
MINUTES
CITY OF CORPUS CHRISTI, TEXAS
Regular Council Meeting
March 22, 2005 - 10:00 a.m.
City Staff:
City Manager George K. Noe
City Attorney Mary Kay Fischer
City Secretary Armando Chapa
Mayor Neal called the meeting to order in the Council Chambers of City Hall. The
invocation was delivered by Pastor Mark Behrendt and the Pledge of Allegiance to the United States
flag was led by Council Member Colmenero. 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 March
8, 2005. 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:
23. Executive session under Texas Government Code Section 551.071 regarding Cause No. 04-
06556-A, City of Corpus Christi, Texas vs. Air Liquide America, L.P., et al, in the District
Court of Nueces County, Texas, 28`h Judicial District, with possible discussion and action
related thereto in open session.
24. Executive session under Texas Government Code Section 551.071 regarding permitting
issues related to the Allison Wastewater Treatment Plant, with possible discussion and action
related thereto in open session.
25. Executive session under Texas Government Code Section 551.071 regarding permitting
issues related to the Greenwood Wastewater Treatment Plant, with possible discussion and
action related thereto in open session.
26. Executive session under Texas Government Code Section 551.071 regarding legal issues
relating to the acquisition of property for a new wastewater treatment plant to replace the
Broadway Wastewater Treatment Plant, with possible discussion and action related thereto
in open session.
The Council went into executive session. The Council returned from executive session and
the following items were passed with the following vote:
Minutes - Regular Council Meeting
March 22, 2005 - Page 2
23. ORDINANCE NO. 026181
Appropriating $76,800 from the unappropriated settlement proceeds from Gulfterra Energy
Partners, L.P. in City Hall CIP Fund 3160; transferring $76,800 to and appropriating in
General Fund 1020 Legal Services for professional services to obtain compensation from
pipeline companies for use of city property; amending 2003-04 Capital Budget adopted by
Ordinance 025647 to increase appropriations by $76,800; amending FY 2004-05 Operating
Budget adopted by Ordinance 025878 to increase appropriations by $76,800; transferring
$107,000 appropriated in Ordinance 025978 in General Fund 1020 Legal Services for
professional services; and declaring an emergency.
An emergency was declared, and the foregoing ordinance was passed and approved with the
following vote: Neal, Chesney, Colmenero, Cooper, Garrett, Kelly, Kinnison, Noyola and
Scott, voting "Aye".
25. MOTION NO. 2005-101
Motion authorizing the City Manager to execute a legal services agreement with Martin
Rochelle of Lloyd, Gosselink, Blevins, Rochelle & Townsend, P.C., to provide legal services
related to renewal and modification of the TPDES permit for the Greenwood WWTP, at an
hourly rate that does not exceed $250.00, plus expenses subject to certification of funds.
The foregoing motion was passed and approved with the following vote: Neal, Chesney,
Colmenero, Cooper, Garrett, Kelly, Kinnison, Noyola and Scott, voting "Aye".
26. MOTION NO. 2005-102
Motion authorizing the City Manager to execute an amendment to the legal services
agreement with Michael J. Nasi of Lloyd, Gosselink, Blevins, Rochelle & Townsend, P.C.,
to provide legal services related to environmental issues involved with the acquisition of a
site for a new wastewater treatment plant to replace the Broadway WWTP, at an hourly rate
of $210.00, plus expenses (including the hiring of environmental consultants), subject to
certification of funds.
The foregoing motion was passed and approved with the following vote: Neal, Chesney,
Colmenero, Cooper, Garrett, Kelly, Kinnison, Noyola and Scott, voting "Aye".
* * * * * * * * * * * * *
Mayor Neal referred to Item 2 and the following board appointment was made:
Airport Board
William D. Dodge III
* * * * * * * * * * * * *
Mayor Neal called for consideration of the consent agenda (Items 3-17). City Secretary
Minutes - Regular Council Meeting
March 22, 2005 - Page 3
Chapa announced that Council Member Kelly was abstaining from the vote and discussion on Item
13. Council members requested that Items 6 and 9 be discussed. There were no comments from the
public. A motion was made and passed to approve Items 3 through 17, constituting the consent
agenda, except for Items 6 and 9, which were pulled for individual consideration. City Secretary
Chapa polled the Council for their votes as follows:
3.a. ORDINANCE NO. 026174
Ordinance approving transfer of $8,370.23 from Water Fund No. 4010, $3,472.36 from
Wastewater Fund No. 4200, and $36.55 from Gas Fund No. 4130; to an appropriating in
General Fund No. 1020 for Central Cashiering Surveillance System; amending Budget
adopted by Ordinance No. 025878 to increase revenues and appropriations by $11,879.14
each.
An emergency was declared, and the foregoing ordinance was passed and approved with the
following vote: Neal, Chesney, Colmenero, Cooper, Garrett, Kelly, Kinnison, Noyola and
Scott, voting "Aye".
3.b. MOTION NO. 2005-090
Motion approving the purchase of a surveillance system for Central Cashiering from Total
Protections Systems, Inc., of Corpus Christi, Texas in the amount of $36,551.21 based on
the Cooperative Purchasing Agreement with the State of Texas. Funds are available in the
Water, Wastewater and Gas Utility Funds and Central Cashiering Operations Budget for FY
2004-2005.
The foregoing motion was passed and approved with the following vote: Neal, Chesney,
Colmenero, Cooper, Garrett, Kelly, Kinnison, Noyola and Scott, voting "Aye".
4. MOTION NO. 2005-091
Motion approving a supply agreement for approximately 400,000 gallons of emulsified
polymerized asphalt (HFRS-2P) in accordance with Bid Invitation No. BI -0067-05 with
Koch Materials Company, of Corpus Christi, Texas based on only bid for an estimated
annual expenditure of $472,000. The term of the supply agreement 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 Street Services in FY 2004-2005.
The foregoing motion was passed and approved with the following vote: Neal, Chesney,
Colmenero, Cooper, Garrett, Kelly, Kinnison, Noyola and Scott, voting "Aye".
notes - Regular Council Meeting
March 22, 2005 - Page 4
5. MOTION NO. 2005-092
Motion approving the purchase of body armor protective vests from Manny Trevino
Enterprises, of San Antonio, Texas in accordance with Bid Invitation No. BI -0025-05 based
on low bid meeting specifications for the total amount of $44,037.36. Funds are available
from the Law Enforcement Trust Fund.
The foregoing motion was passed and approved with the following vote: Neal, Chesney,
Colmenero, Cooper, Garrett, Kelly, Kinnison, Noyola and Scott, voting "Aye".
7.a. RESOLUTION NO. 026176
Resolution authorizing the City Manager or his designee to accept a grant from the Texas
Department of State Health Services (DSHS) in the amount of $89,782 for diabetes
prevention and management services.
The foregoing resolution was passed and approved with the following vote: Neal, Chesney,
Colmenero, Cooper, Garrett, Kelly, Kinnison, Noyola and Scott, voting "Aye".
7.b. ORDINANCE NO. 026177
Ordinance appropriating a grant from the Texas Department of State Health Services
(DSHS) in the amount of $89,782 in the No. 1066 Health Grants Fund for diabetes
prevention and management services.
An emergency was declared, and the foregoing ordinance was passed and approved with the
following vote: Neal, Chesney, Colmenero, Cooper, Garrett, Kelly, Kinnison, Noyola and
Scott, voting "Aye".
8. MOTION NO. 2005-093
Motion authorizing the City Manager or his designee to execute Change Order No. 7 to a
contract with Jalco, Inc., of Houston, Texas in the amount of $233,309.66 for the
Northside/Port Area Infrastructure Improvements.
The foregoing motion was passed and approved with the following vote: Neal, Chesney,
Colmenero, Cooper, Garrett, Kelly, Kinnison, Noyola and Scott, voting "Aye".
10. MOTION NO. 2005-095
Motion authorizing the City Manager or his designee to execute Change Order No. 5 to the
contract with Barcom Commercial, Inc., of Corpus Christi, Texas in the amount of
$27,968.60 for the City Hall Renovation and Space Utilization.
The foregoing motion was passed and approved with the following vote: Neal, Chesney,
Colmenero, Cooper, Garrett, Kelly, Kinnison, Noyola and Scott, voting "Aye".
Minutes - Regular Council Meeting
March 22, 2005 - Page 5
11.a. ORDINANCE NO. 026178
Ordinance appropriating $3,682.45 from interest earnings into the Street 1995 B Capital
Improvement Program Fund No. 3538 for the Advanced Fund Agreement Sidewalk
Accessibility Improvement Project with Texas Department of Transportation (TxDOT);
amending the Capital Budget adopted by Ordinance No. 025647 by increasing
appropriations by $3,682.45.
An emergency was declared, and the foregoing ordinance was passed and approved with the
following vote: Neal, Chesney, Colmenero, Cooper, Garrett, Kelly, Kinnison, Noyola and
Scott, voting "Aye".
11.b. MOTION NO. 2005-096
Motion authorizing the City Manager or his designee to increase the escrow amount of the
Advanced Funding Agreement with the Texas Department of Transportation (TxDOT) in
the estimated amount of $216,355.10 for construction of barrier free ramps and sidewalks
at selected street locations associated with the Sidewalk Accessibility Improvements project.
The foregoing motion was passed and approved with the following vote: Neal, Chesney,
Colmenero, Cooper, Garrett, Kelly, Kinnison, Noyola and Scott, voting "Aye".
12. MOTION NO. 2005-097
Motion authorizing the City Manager or his designee to execute Amendment No. 4 for
construction and management services with Anderson Group Construction Management,
Inc., of Corpus Christi, Texas in the amount of $750,000 for various Capital Improvement
Projects associated with the 2005 Capital Budget.
The foregoing motion was passed and approved with the following vote: Neal, Chesney,
Colmenero, Cooper, Garrett, Kelly, Kinnison, Noyola and Scott, voting "Aye".
13. MOTION NO. 2005-098
Motion authorizing the City Manager or his designee to execute Change Order No. 5 with
the Construction Manager at Risk contract with Fulton/Coastcon and Hunt Construction
Group, Joint Venture, of Corpus Christi, Texas and Indianapolis, Indiana in the amount of
$297,004 for installation of additional improvements at Whataburger Field and increasing
the Guaranteed Maximum Price to $23,090,826 for construction for the Professional Minor
League Baseball Stadium.
The foregoing motion was passed and approved with the following vote: Neal, Chesney,
Colmenero, Cooper, Garrett, Kinnison, Noyola and Scott, voting "Aye"; Kelly abstained.
Minutes - Regular Council Meeting
March 22, 2005 - Page 6
14. ORDINANCE NO. 026179
Ordinance rescinding Ordinance No. 025965 which authorized the abandoning and vacating
of a 27,082 -square foot portion of an undeveloped and unsurfaced 60 foot wide dedicated
public right-of-way (Seabreeze Drive) extending 451 linear feet north of South Padre Island
Drive, out of Lot A, Block 2 and Lot A, Block 3, Southbay Addition Annex. (Ordinance No.
025965 was approved by Council on September 21, 2004)
An emergency was declared, and the foregoing ordinance was passed and approved with the
following vote: Neal, Chesney, Colmenero, Cooper, Garrett, Kelly, Kinnison, Noyola and
Scott, voting "Aye".
15. ORDINANCE NO. 026180
Ordinance abandoning and vacating a 9,498.10 -square foot portion of a 10 -foot wide utility
easement out of Lot 1, Section 2, Nueces River Irrigation Park, located south of Northwest
Boulevard (Farm -to -Market Road 624), west of County Road 69; subject to compliance with
the specified conditions.
An emergency was declared, and the foregoing ordinance was passed and approved with the
following vote: Neal, Chesney, Colmenero, Cooper, Garrett, Kelly, Kinnison, Noyola and
Scott, voting "Aye".
16. MOTION NO. 2005-099
Motion to amend Ordinance No. 026123 ordering a General Election by amending
Attachment B Mobile Voting Schedule to provide for Mobile Voting at Island Presbyterian
Church, 14030 Fortuna Bay.
The foregoing motion was passed and approved with the following vote: Neal, Chesney,
Colmenero, Cooper, Garrett, Kelly, Kinnison, Noyola and Scott, voting "Aye".
17. MOTION NO. 2005-100
Motion approving the application from the Buccaneer Commission to temporarily close the
following street sections for the 4th Annual "Buc Days BBQ Challenge and Rodeo" Festival,
April 7, 2005 through April 17, 2005, and the annual Buccaneer Days Carnival.
1. The temporary street closures of both legs of Shoreline Boulevard, northbound and
southbound from the north side of Power Street to the South Texas Art Museum for the 46
Annual Buc Days Rodeo and BBQ Challenge beginning at 8:00 a.m., April 7, 2005 to 4:00
p.m., April 17, 2005.
2. Additionally, Palo Alto and Fitzgerald Streets from southbound Shoreline Boulevard to
Water Street will require temporary closures for the annual Buc Days Rodeo and BBQ
Challenge beginning at 8:00 a.m, April 7, 2005 to 4:00 p.m., April 17, 2005.
Minutes - Regular Council Meeting
March 22, 2005 - Page 7
3. In cooperation with the Texas Department of Transportation, North Broadway, including
the area under United States 181 Harbor Bridge, between Fitzgerald and Brewster Streets
will require temporary closure for staging of professional rodeo cowboy trucks and trailers
beginning Tuesday, April 12, 2005 beginning at 8:00 a.m. through Sunday, April 17, 2005
to 9:00 p.m..
4. Temporary closure of north portion of Fitzgerald Street between North Broadway and
Mesquite beginning at 8:00 a.m. on Tuesday, April 12, 2005 to Sunday, April 17, 2005 no
later than 9:00 p.m.
5. Temporary street closure of Park Avenue between southbound and northbound Shoreline
Boulevard from April 18, 2005 through 5:00 p.m., May 2, 2005 for the purpose of setting
up the annual Buccaneer Days Carnival.
The foregoing motion was passed and approved with the following vote: Neal, Chesney,
Colmenero, Cooper, Garrett, Kelly, Kinnison, Noyola and Scott, voting "Aye".
Mayor Neal opened discussion on Item 6 regarding a Justice Assistance Grant (JAG) to be
shared between the city and Nueces County. Mr. Kelly cited this item as an example of successful
cooperation between the city and county, and he asked for more information. City Manager Noe
replied this was a federal grant that required cooperation and sharing between the law enforcement
agencies of the city and the county. He said the city had developed a long-standing relationship with
the Nueces County Sheriffs Department to a 50-50 split of the allocation. Police Commander Brian
Uhler added the federal government had recently changed a number of rules that now required a
joint application indicating which entity would serve as the applicant/fiscal agent for the joint funds.
He said staff met with county representatives, and drafted an agreement that stipulated the city
would serve as the lead agency on the grant. Mr. Randy Stoneroad, Police Legal Advisor, stated
staffs meeting with the county was very productive, resulting in the Nueces County Commissioners
Court's prompt approval of the application within 24 hours. City Secretary Chapa polled the Council
for their votes as follows:
6. RESOLUTION NO. 026175
Resolution authorizing the City Manager or his designee to execute an Interlocal Agreement
between the City of Corpus Christi, Texas (City) and Nueces County, Texas (County) to
establish terms for sharing funds from the 2005 Edward Byrne Memorial Justice Assistance
Grant (JAG) Program Award and approving the submission of a grant application in the
amount of $258,284 to the United States Department of Justice, Bureau of Justice
Assistance, for funds available under the FY 2005 JAG Grant, whereas 50% of funds
received under said grant will be retained by the City and 50% will be distributed to the
County; all funds to be used by Corpus Christi Police Department and Nueces County
during FY 2005-2006 for the enhancement of law enforcement.
The foregoing resolution was passed and approved with the following vote: Neal, Chesney,
Colmenero, Cooper, Garrett, Kelly, Kinnison, Noyola and Scott, voting "Aye".
Mayor Neal opened discussion on Item 9 regarding the contract for the Police and Fire Public
Minutes - Regular Council Meeting
March 22, 2005 - Page 8
Safety Training Facility, Phase 1. Mr. Kelly highlighted the fact the city was moving forward with
the Police and Fire Training Center, contrary to popular belief. Mr. Noe stated he had heard the
same reports, but there actually was ongoing construction at the site. Assistant Director of
Engineering Services Kevin Stowers stated the estimated construction completion time for the
project was at the end of April. Mr. Noe pointed out staff had mistakenly attached the wrong
background information for this item in the agenda book. Mr. Stowers stated he had replacement
materials available for the Council, and distributed them. City Secretary Chapa polled the Council
for their votes as follows:
9. MOTION NO. 2005-094
Motion authorizing the City Manager or his designee to execute Change Order No. I to the
contract with Barcom Commercial, Inc., of Corpus Christi, Texas in the amount of $52,270
for installation of an irrigation system and hydromulch seeding for the Police and Fire
Public Safety Training Facility, Phase 1.
The foregoing motion was passed and approved with the following vote: Neal, Chesney,
Colmenero, Cooper, Garrett, Kelly, Kinnison, Noyola and Scott, voting "Aye".
* * * * * * * * * * * * *
Mayor Neal referred to Item 18.a., and a motion was made, seconded and passed to open the
public hearing on the following variance request:
18.a. Public hearing on request for a variance to operate an establishment with on -premise
consumption of alcoholic beverages.
Assistant Director of Development Services Michael Gunning reported the Council tabled
this case on February 15, 2005 to allow the applicant an opportunity to meet with the Tuloso-
Midway Independent School District (TM LSD) officials, who were opposed to the variance request.
Mr. Gunning stated the applicant was Mr. Benigno Sanchez, owner of the Casa Del Sol Restaurant,
formerly known as Chela's Restaurant.
Mr. Gunning stated that on February 15, staff had recommended the approval of the variance
to allow the applicant to serve beer and wine with meals at the restaurant, which had been in
business since the early 1970s. He noted staff had notified all property owners within 300 feet of
the subject property requesting the variance. Staff had not received any notices opposing the request
at the time of the meeting. Mr. Gunning stated, however, that TMISD Superintendent Dr. Karen
Rue had since submitted a letter expressing the school district's firm opposition to any alcohol
consumption in such close proximity to their middle school (60 feet). She said the school did have
after school activities which continued from the early morning hours to the evening. Mr. Gunning
also understood the Baptist church located within 300 feet of the restaurant was also opposed to the
variance request, although he had not received written notice regarding their position. Thus, Mr.
Gunning stated staff was now recommending the denial of the variance request.
Mayor Neal asked for public comment. Pastor John McAllister of Gateway Baptist Church
stated his church was firmly opposed to the variance request due to safety concerns related to the
Minutes - Regular Council Meeting
March 22, 2005 - Page 9
potential increase in intoxicated drivers in the area if the variance was approved.
Mr. Kelly made a motion to close the public hearing, seconded by Ms. Cooper, and passed.
Mr. Noyola spoke in favor of granting the variance request. He pointed out that there had been no
reported alcohol-related problems at Chela's Restaurant in the past. He said most patrons went to
the restaurant to dine, and thus, alcohol consumption was incidental. He did not believe granting
the variance would lead to an increase in intoxicated drivers.
Mr. Kelly spoke against granting the variance request. He said it was unclear to him if beer
and wine sales were a significant part of the new applicant's business plan. He said it was clear,
however, that the school district, the church, and the community were solidly opposed to the
variance request. City Secretary Chapa polled the Council for their votes as follows:
18.b. FAILED
S -
cSuluUOu g, dutnig d V ai ianc ,, u,leu
of , to BL,„g
cc. w upc, atc c awoum,c, vc v u agc w,avuauu,uu ,uc
a.
Y
The foregoing resolution failed with the following vote: Noyola, voting "Aye"; Neal,
Chesney, Colmenero, Cooper, Garrett, Kelly, Kinnison, and Scott, voting "No".
* * * * * * * * * * * * *
Mayor Neal referred to the presentations on the day's agenda. The first presentation was a
quarterly report from Work -Force 1. Ms. Irma Caballero, Work -Force 1 Chairman of the Board,
introduced Ms. Mary Ann Rojas, the new President of the Work -Force 1 Board. Ms. Rojas was
formerly the President of the Work -Force 1 Board in Lubbock, Texas, and under her leadership, this
board was ranked second in the State. Ms. Caballero stated the Board felt she was the best candidate
to move the organization forward in their regional economic development efforts.
Ms. Rojas reported on a number of Work -Force 1 initiatives. On March 31, Work -Force 1
was hosting a regional employer forum. She explained the forum was a result of one of the
initiatives from the Governor's Office, which promoted grouping area industries into clusters to
determine the priorities for each industry. In the Corpus Christi area, Ms. Rojas stated the energy
cluster and the petrochemical cluster were dominant. She suggested the Council encourage any
individuals working in these clusters to attend this forum. The information gathered from the forum
would be submitted to the Governor's Office in a full report.
Ms. Rojas reported on a second initiative, a grant award to study re-employment and
eligibility assessment for unemployment insurance claimants. She said the Coastal Bend was one
of the workforce areas selected as part of this study, which will look at ways to bring unemployed
individuals back into the workforce more quickly. Ms. Rojas said the potential unemployment
insurance saving to the Corpus Christi employers was $582,960, and approximately $3 million in
Texas.
Ms. Rojas briefly discussed a number of future initiatives as follows: to achieve greater
Min :Les - Regular Council Meeting
March 22, 2005 - Page 10
community engagement; to develop strategies for increasing awareness in the business community;
to coordinate economic development between the region's urban and rural areas; to streamline Work -
Force 1 operations; and to make improvements to Work -Force 1 facilities and infrastructure.
report.
Mayor Neal welcomed Ms. Rojas to the Corpus Christi area, and he thanked her for the
* * * * * * * * * *
*
**
The second presentation was the 2"d Quarter FY 2004-2005 Budget/Performance Report.
Assistant City Manager Oscar Martinez reported the information in the report was for the period
ending January 31, 2005, exactly six months into the fiscal year. With 50 percent of the fiscal year
completed, he said combined revenues were ahead of projections at 54.25 percent, and expenditures
were below projections at the 44.57 percent level. He thanked all city departments for their fiscal
discipline.
Mr. Martinez discussed the general fund revenues. Regarding current ad valorem property
taxes, he said revenues were actually one million dollars ahead in real dollars from last year. He
said the city was on target to meet budget in this area.
With regard to industrial district payments, he said current year billings had been sent and
reflected a slight decrease over last year due to the decrease in the tax rate and a decrease in
valuations. Revenues were not predicted to be realized at the level budgeted.
Mr. Martinez stated that the year-to-date (YTD) collections for sales tax revenue are
consistent with projections for this year, and are ahead of the same period last year. He said second
quarter actual amounts reflect a 1.8 percent increase over the YTD budget, equivalent to
approximately $1 million more than the same time last year. In response to Mr. Scott's question, Mr.
Noe stated the YTD sales tax revenues were approximately 5 percent over last year's revenues.
Mr. Martinez reported that YTD collections for franchise fees were less than the YTD
budget. He said staff was expecting a shortfall in this area mainly due to a decrease in the number
of phone lines reported.
Solid waste services revenues were higher than the YTD budget, reflecting a $362,792
increase. Mr. Martinez stated this was mainly due to increased activity from a number of large
vendors.
YTD revenues from Municipal Court fees were $394,291 higher than the YTD budget,
mainly due to increased collections efforts, such as the "Failure to Appear Warrant".
Mr. Martinez reported museum revenues were lower than the YTD budget, mirroring
nationwide downward trends in museum attendance. Additionally, he said the construction in the
area has also hindered attendance. Recreation services revenues were also lower than the YTD
budget, mainly due to a decline in Latchkey program revenue. He said, however, that Latchkey
revenues were slightly above the levels attained last year at this time.
Minutes - Regular Council Meeting
March 22, 2005 - Page 11
Finally, Mr. Martinez reported that public safety services revenues were also slightly less
than budgeted amounts, primarily due to changs in Wireline Service Revenue, police towing and
storage charges, and 800 MHZ radio changes.
Mr. Martinez reported on general fund expenditures. As he previously mentioned, with 50
percent of the fiscal year completed, 46.4 percent of the general fund budget had been expended.
He said this was equivalent to $5.4 million under the YTD budget. There were no significant
unfavorable variances among city departments and individual operating divisions.
Mr. Martinez referred to a number of bar graphs illustrating the YTD revenue trends in
percentages and in millions of dollars. Overall, he said FY 2005 combined revenues were $90.8
million, compared with $89 million at the same time last year, a $1.8 million increase.
Mr. Martinez referred to a number of charts illustrating YTD expenditure trends in
percentages and in millions of dollars. He said all of the departments were below the percentage of
budget spent last year, a positive sign. In total, he said the city had spent $73.1 million in
expenditures, compared to $69.7 million last year. However, he said the increased expenditures
were primarily limited to public safety, municipal court, street maintenance, and engineering
services.
Mr. Martinez discussed the status of the enterprise funds, comprised of the water, gas,
wastewater, airport, development services, ambulance, golf centers, and marina funds. With regard
to the water fund, he said the YTD revenue of $38,907,522 represented 52.06 percent of budgeted
revenues, which was greater than the same period in the prior year. This was mainly due to an
increase in water usage for residential and commercial customers inside the city. Overall, he said
YTD expenditures were $34,645,354 or 42.71 percent of budget.
Regarding the gas fund, Mr. Martinez stated the YTD revenue of $15,951,380 represented
45.81 percent of budgeted revenue, which was higher than revenue collected for the same period in
the prior year. He said YTD expenditures are $15,286,915 or 42.28 percent of the budget.
With regard to the wastewater fund, Mr. Martinez said YTD revenue of $17,877,824
represented 51.68 percent of the budget, which was more than amounts collected for the same period
in the prior year. YTD expenditures of $16,079,362 reflected 45.87 percent of budget.
The airport fund showed revenues of $4,049,190 or 53.31 percent in collections for this
quarter reflecting the impact of the terminal completion, and upgrade of parking facilities which has
helped boost revenue. YTD expenditures are $3,865,100 or 49.41 percent of budget.
The development services fund yielded YTD revenues of $2,345,127 or 54.47 percent, and
expenditures of $2,307,376 or 48.5 percent of the budgeted amount.
The ambulance fund yielded YTD revenues (51.23 percent) and expenditures (47.06 percent)
comparable to the prior year for the same period.
The golf centers fund generated YTD revenues of $830,092, or 40.14 percent of budget,
which was higher in comparison with the same period last year. Expenditures were $946,984 or
Minutes - Regular Council Meeting
March 22, 2005 - Page 12
45.03 percent of the total budget.
Mr. Scott expressed concern that the golf courses were still losing money, despite the
ongoing improvements. Mr. Noe replied it was important to look at the golf course trends over a
multi-year period, because it would take several years before the improvements were completed.
Mr. Noyola felt the decrease in golfers was partly due to the golf fee increases, and he asked staff
to consider decreasing the cost.
Finally, Mr. Martinez said the marina fund yielded YTD revenues of $655,609, or 42.48
percent of budget. He attributed the drop in revenues to the construction in the area which had
hindered the collection. He said YTD expenditures are $628,625, or 31.24 percent of budget. Mr.
Martinez reviewed a number of charts depicting the YTD revenue and expenditure trends for the
enterprise funds in percentages and in millions of dollars.
Mr. Martinez reported on the status of the internal service funds. He said revenues from the
internal service fund were primarily derived from budgeted allocations from other funds that are
charged monthly. As a whole, he said revenues are consistent with those for the same period last
year as well as the percent of year completed to date. In addition, he said 40 percent of the funds's
budgets have been expended with 50 percent of the fiscal year having expired. This compared
favorably to 41.24 percent in the prior year for the same period. Mr. Martinez reviewed a number
of charts depicting the YTD revenue and expenditure trends for the internal service funds in
percentages and in millions of dollars.
Mr. Martinez discussed the status of the special revenue funds, comprised of the following
funds: hotel occupancy tax; Reinvestment Zone; arena/seawall; visitor facility; and Crime Control
and Prevention District. With regard to the hotel occupancy tax fund, he said the YTD revenue of
$3,243,059 represented 37.95 percent of the total budget, and expenditures were at 51.06 percent
of budget.
Regarding the Reinvestment Zone fund, Mr. Martinez said Reinvestment Zone No. 1 was
in the process of being closed out. Reinvestment Zone No. 2 was established in FY 2002 for
Packery Channel improvements, and reflected YTD collections of $824,319, a considerable increase
over the prior year.
With regard to the arena/seawall funds, Mr. Martinez said revenue from these two sales tax
referendums are at slightly higher than 50 percent. Expenditures for the seawall improvements and
arena facility are primarily associated with debt service.
Regarding the visitors facility fund, Mr. Martinez stated insurance invoices for the arena and
convention center have not been received; therefore, expenditures are only at 34.56 percent of
budget. YTD revenues are at 43.38 percent of budget.
Finally, regarding the Crime Control and Prevention District fund, Mr. Martinez stated that
both YTD revenues and expenditures for this year were very close to the prior year for the same
period as a percent of total budget, and on target with current year estimates. In addition, he
reviewed a number of charts illustrating the YTD trends in revenues and expenditures for the special
revenue funds in percentages and in millions of dollars.
Minutes - Regular Council Meeting
March 22, 2005 - Page 13
In conclusion, Mr. Martinez reported on the status of the debt service funds. He said debt
payments were programmed, charged, and transferred on a fixed schedule according to the
individual Debt Service issue requirements. Variances are due to mid -year refunding, and the timing
for issuance of new debt/commercial paper for planned projects.
Mayor Neal asked if there were any outstanding expenditures that were not covered in this
report. Mr. Martinez replied it was possible, but more than likely they would not have a significant
affect on the budget. He did list a number of exceptions, however, such as the firefighters contract
and the timing of police retirements/drag up pay. Overall, Mr. Martinez said the trend was that
departments were working hard to stay within budget. Mr. Noe added the departments were
achieving this despite substantial increases in the cost of fuel.
Mayor Neal congratulated the staff and the Council, particularly the Council Audit
Committee, for the giant strides the city has made in financial management.
Mr. Scott asked staff to provide a written explanation for the $1.2 million increase in public
safety. He commented that the city economy seemed to be doing well.
Mr. Kinnison commented the increase in the Police department budget may be partly due to
the significant increases in fuel costs. He said it was positive that the city was able to manage the
increased costs without exceeding the budget.
Mayor Neal asked for a brief recess to present proclamations.
*************
The Council returned from recess, and Mayor Neal called for petitions from the audience.
Mr. Phil Rosenstein thanked the Council and city staff for passing the smoking ban ordinance. Mr.
Mark Arnold, 4422 S. Alameda #43, spoke regarding his concerns about the litter generated by the
storm water outfall near McGee Beach and the Holiday Inn - Emerald Beach.
* * * * * * * * * * * * *
Mayor Neal opened discussion on Item 21, the first reading ordinance approving the FY
2005 Capital Budget. Assistant City Manager Oscar Martinez stated the Council had received an
introduction to the proposed FY 2005 Capital Budget on March 8. A public hearing was also held
on this date. He said staff was now bringing the first reading ordinance for the Council's
consideration and approval.
There was no public comment. City Secretary Chapa polled the Council for their votes as
follows:
Minutes - Regular Council Meeting
March 22, 2005 - Page 14
21. FIRST READING ORDINANCE
First Reading Ordinance approving the FY 2005 Capital Budget in the amount of
$178,074,800.
The foregoing ordinance was passed and approved with the following vote: Neal, Chesney,
Colmenero, Garrett, Kelly, Kinnison, Noyola and Scott, voting "Aye"; Cooper was absent.
* * * * * * * * * * * * *
Mayor Neal called for a recess to hold the Corpus Christi Community Improvement
Corporation meeting.
* * * * * * * * * * * * *
The Council returned from recess, and Mayor Neal called for the City Manager's report. City
Manager Noe reported the Council had previously requested that staff find ways to inform the public
about the completion of street projects. In response, he said today staff held a brief recognition of
the completion of the McArdle Road project. He said staff would continue to hold these
recognitions to inform the public about the completion, and also inform the public that it would be
easier to patronize businesses in these areas. He announced similar recognitions would be held on
Monday at 9:00 a.m. for the completion of the Ayers/Gollihar project, and on Tuesday at 3:00 p.m.
for the Up River Road project.
Mr. Noe announced that this Thursday at 4:00 p.m., a planned tour of the Packery Channel
Project was scheduled. Mr. Noe also announced a public remembrance ceremony in honor of
Selena, to be held on March 31 at Cole Park, coordinated by the Park and Recreation Department.
Finally, he said the city was sponsoring a Fair Housing seminar on April 7 at the Ortiz Center from
7:45 a.m. to 3:45 p.m. for $30 a person (including breakfast and lunch).
Mr. Noe reported the following items were scheduled for next week's Council meeting:
update on the 2005 Buc Days celebration; second reading of the Capital Budget; and a discussion
on the streetcar project.
Mayor Neal called for Council concerns and reports. Mr. Noyola expressed concern about
a recent newspaper article regarding the possible reuse of the coliseum. He said the article quoted
Mr. Ron Kitchens, President and CEO of the Regional Economic Development Corporation, as
saying the coliseum was "obsolete". He had received several calls from citizens who disagreed with
this statement, and he personally disagreed with this statement. He also disagreed with a statement
attributed to Mr. Noe that called for another study on the possible reuses of the coliseum. Mr.
Noyola felt there had been enough studies done on the coliseum. He asked Mr. Noe to provide
information on the various proposals for potential coliseum reuse that had been presented to the city,
besides the Bass Pro Shop proposal. Mr. Noyola also expressed concern that the Council was not
notified about the article ahead of time.
Mr. Scott also expressed concern that the Council was not notified about the article ahead
of time. He believed, however, that staff and consultants should evaluate the proposals and make
Minutes - Regular Council Meeting
March 22, 2005 - Page 15
recommendations before bringing them to the Council. Mr. Noe replied that he did not say he
wanted to hire a firm to do another study on the coliseum reuse; rather, he wished to hire a firm to
consider the potential reuses, to serve as the city's agent to receive proposals, and to manage the
project from start to finish.
Mr. Scott also stated that though the coliseum may be functionally obsolete, it was nothing
that couldn't be overcome with the proper investment incentives and resources. City Manager Noe
agreed. Mr. Scott asked when staff would present an update on the coliseum. Mr. Noe replied staff
had already compiled a list of firms that had spoken with the EDC about potential reuses, and had
already prepared an RFP. He said staff would be ready to move forward on the issue within the next
30 days.
Mr. Colmenero spoke in favor of an RFP for the coliseum to determine the best reuse. He
also asked staff to address the litter problem in the marina related to storm water outfall. Mr. Noe
replied staff had received a grant from the Texas General Land Office (GLO) that will focus on
finding alternative solutions to the problem in the marina area.
Mr. Noyola requested that the city seriously consider the coliseum reuse proposal presented
by the Judson group because they were willing to make many of the necessary repairs to the building
at their cost. Mr. Noe said the city was not dismissing their proposal, but would also be looking at
other proposals, too, through the RFP process.
There being no further business to come before the Council, Mayor Neal adjourned the
Council meeting at 12:35 p.m. on March 22, 2005.
* * * * * * * * * * * * *