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HomeMy WebLinkAboutMinutes City Council - 07/28/2009I 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 July 28, 2009, which were approved by the City Council on August 18, 2009. WITNESSETH MY HAND AND SEAL, on this the 18th day of A gmst, 2009. Armando Chapa City Secretary SEAL INDEXED MINUTES CITY OF CORPUS CHRISTI, TEXAS Regular Council Meeting July 2 ,2009— 8:30 a.m. PRESENT T Mayor Joe Adame Mayor Pro Tem Kevin Kieschnick Council Members: Chris N. Adler Brent Chesney* Larry Elizondo, Sr. Priscilla Leal John Mare* Nelda Martinez Mark Scott *Arrived at 8:45 a, m. City Staff: City Manager Angel R. Escobar City Attorney Mary Kay Fischer City Secretary Armando Chapa Mayor Adame called the meeting to order in the Council Chambers of City Hall. Council Member Leal requested that a special prayer be made for the members of the Pan American Golf Association visiting Corpus Christi. The invocation was delivered by Pastor Mark Montgomery with Grace United Methodist Church and the Pledge of Allegiance to the United States flag was led by Council Member Priscilla Leal. 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 Adame called for approval of the minutes of the regular Council meeting of July 21, 2009. A motion was made and passed to approve the minutes as presented. * * * * * * * * * * * * Mayor Adame referred to Item 2 regarding the City Economic Incentives Policies for 200- 210. Director of Economic Development Irma Caballero introduced the presentation team including Interim Assistant City Manager of Development Services Johnny Perales, CEO of the Corpus Christi Regional Economic Development Corporation (EDC) Roland Mower, and Economic Development Office representatives Patrick Wilshire and Emily Martinez. Ms. Caballero referred to a powerpoint presentation including the work performed; the incentive policies package; local policies; tax abatement; Chapter 3 0; tax incentive financing (TIF); municipal management districts; public improvement districts (PID); Business and Job Development Corporation; Freeport exemption; fast track permitting process; waivers and reductions of fees; large retail/mixed use policy; the renewal community program; scorecard; and recommendations The following topics pertaining to this item were discussed: the reduction waiver policy; whether residential is eligible for tax abatement; if any bonds have been sold for the downtown TIF area; whether the retail projects received ad valorem tax abatements; the difference between the tax abatement the Chapter 380 agreement; whether other cities abate appreciation in land value in catalyst areas; if the meatpacking company that received a 380 agreement was in a catalyst area; considering the northwest area as a catalyst area; a process to review the return on investment; the renewal community area; discussions for expansion of the Downtown Management District (DMD); the petition process for the DMD; whether the City currently has any public improvement districts; Minutes— Regular Counit Meeting July 28, 2009 — Page 2 the early assistance meeting in the fast track permitting process; the turnover rate for Development Services; the 4A ballot language in 2002 that was more restrictive than the state statute; the 2% sales tax cap; creating bond language for street improvements; how the sales taxes are renewed; the waiver of penalty fees due to city error; other cities that waive development fees; creating a fund to reimburse the City for reduction or waiver of development fees for creation of jobs; the application fee schedule; whether there are any existing business that have created a TIF that is not created by the city; working with the Regional Transportation Authority to create economic development; development at the airport; how police officers are paid for moving houses; redevelopment of the economic development website including the cost; the Economic Development Department's MIS allocation; and including the school districts and Nueces County in the partnership efforts. Mr. Mower introduced new EDD staff member Mike Culberson who will focus on the compliance testing and performance evaluation of agreements. Council Member Kieschnick requested a copy of the 4A ballot language used in 2000. Council Member Scott requested a list of five cities that waive development fees for projects. Mayor Adame referred to Item 3 regarding GASB 45: Other Post Employment Benefits How it affects the City's Budget and Insurance Premiums. Assistant City Manager Oscar Martinez referred to a powerpoint presentation including an explanation of GASB 45; the reason for following GASB 45 reporting requirements; the decision to fund or not to fund; what other cities are doing; what the City is currently doing; and the fire rate increases. The following topics pertaining to this item were discussed: if the City's bond counsel has notified the City that not funding the post employment obligation will have a negative impact on the City's credit rating; the action required to separate the retiree health plan with separate rates and whether the contracts would have to be re -opened; the breakdown of the proposed budget rate changes; the three tiers of the fire rate increase; the Police/Fire Union consultant's recommendation on the amount for the reserve requirement; the attachment point of 25% for catastrophic reserve; staff's support of a 10% catastrophic reserve in claims; the recommendation for the pay as you go plan in this budget; the total amount to fund GASB 45 in this budget and to fully fund; if the funding will come from the insurance reserve fund; the City's match for health insurance; if the City is over over -funding the insurance fund; setting up a separate fund for GASB; the financial consequences for not funding GASB other than the credit ratings; how long the City has offered health insurance and retirement benefits for employees; the effect that a separate retirement plan will have on rates; the reason the City would have to fund GASB over a 30 -year period; other sources to fund GASB; and the reserve balance for each fund. Mr. Martinez stated that staff is recommending the pay as you go plan to minimize future liability and ask to come back to the Council in August with a recommendation on how to move forward. Council Member Chesney requested a copy of the proposed budget rate increase regarding GASB 45, the premiums for the fire plan, and the options provided by staff. Mayor Adame called for a brief recess to present proclamations and listen to public comment. Mayor Adame called for petitions from the audience. Buck Sosa, 3801 Devonshire, stated that the firefighter retirees were not included on the insurance committee and spoke regarding the affect of the insurance premiums for firefighters, retirees, and widows. Foster Edwards, Sylvia Oliver and Carol Gomez, invited the Council to attend the Spirit of Texas awards honoring small Minutes — Regular Council Meeting July 28, 2009 — Page 3 businesses on August 12th Sylvia Cuera, 2806 Quebec, spoke in support for the police and firefighters. Wilson Wakefield, 6026 Killarmet, spoke in protest to the Las Brisas plant. Guy Watts asked that the police contracts include downtime for organized physical conditioning. Dr. Nick Adame, representative for LULAC Council No. 1, spoke in support of the police and fire departments. Colin Sykes, 309 Aberdeen, spoke regarding the effects of the Las Brisas plant. Maria Gonzalez, 1813 Amazon, spoke regarding GASB 45 and increasing salaries for city employees, Kassie, Samantha, and Rebecca Goce, 1306 Aswan Drive, asked that the council consider the impact of GASB 4to the families ofp lice and firefighters and requested supportfor the p li eand fire departments. An unidentified woman spoke in support of the police and firefighters. Lt. J. Ermis, 5054 Merganger anger Drive, encouraged the Council to not rush into a decision on GASB 45 and spoke regarding the effect of the Las Brisas Plant on the air quality. Lionel Lopez, 4325 Phillipine Street, spoke regarding the effect of a separate retirement fund for retirees. Rob Carver, 3318 Montclair, stated that an organization of pastors is praying for Corpus Christi and the Council and appreciate the Council serving the community. munity. Willie Adams, 1641 Nile, spoke regarding the organization "In the Interest of Justice" and ethics. Manuel Garza, 6614 Samba Drive, asked the Council to consider the impact that their decisions will have on current employees and retirees. Susie Luna Saldana, 4710 Hakel, spoke in support of the police, fire, and city employees and asked the Council to do what is in the employee's best interest. Ms. Saldana also spoke regarding the code of ethics. Huxley Smith, 1913 Thames, asked the Council if anything could be done to entice the media to not show graffiti in the community. Juan Araiza, 5921 Shadow Wood, asked the Council to reconsider placing the Memorial Coliseum on the agenda. Mr. Araiza also spoke regarding the golf courses. Sgt. Billy Browning, 11645 Chi pa Creek, spoke regarding sewage in the Northwest area and in opposition to GASB 45. Ron Zirbes asked the Council to receive all the facts and to take care of the police and firefighters. Lucy Rubio, 1713 Citation, spoke in support of the firefighters, police officers, retirees, and current city employees and stated that the employees need to be compensated for all of their hard work. Dusty Partney, 1921 Stardust, said that the GASB 45 issue is not clearly understood and will affect the retirement for firefighters. Rene Saenz spoke regarding the scholarship program supported by the Human Relations Commission. May rAdarae requested an update on the Human Relations Scholarship Program. J.E. O'Brien, 4130 Pompano, spoke regarding designating additional parking spaces at City Hall for the disabled. Mayor Adame asked staff to consider this request. Abel Alonzo, 1701 Thames, spoke in support of the police and firefighters. * * * * * * * * * * * * * Mayor Adame announced the executive sessions, which were listed on the agenda as follows: 4. Executive session under Texas Government Code Section 551.071 regarding Sherman King and Jenny King vs. Juan Gabriel Salinas and the City of Corpus Christi, Texas; Cause No. 07-4268-E; in the 148th Judicial District Court, Nueces County, Texas, with possible discussion and action in open session. 5. Executive session under Texas Government Code Section 551.071 to conduct a private consultation with its attorney regarding Nueces County Water Control and Improvement District No. 4 v. The City of Corpus Christi, before the Texas Commission on Environmental Quality, Original Petition Appealing a Wholesale Water Rate and Request for Interim Rates, with possible discussion and action in open session. Minutes — Regular Council Meeting July 28, 2009 — Page 6. Executive session under Texas Government Code Section 551.074, Personnel Matters, for deliberations regarding the appointment, employment, evaluation, reassignment, duties, discipline, or dismissal of Municipal Court Judges 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 motions were passed with the following vote: 4. MOTION NO. 2009-219 Motion authorizing the City Manager to settle Cause No. 07-4268-E; Sherman King and Jenny King vs. Juan Gabriel Salinas and the City of Corpus Christi, for the sum of $80,000.O0, subject to certification of funds. The foregoing motion was passed and approved with the following vote: Adame, Adler, Chesney, Elizondo, Kieschnick, Leal, Marez, Martinez, and Scott, voting "Aye". 6.a. MOTION NO. 2009-220 Motion accepting resignation of Part Time Municipal Court Judge Hector DePena. The foregoing motion was passed and approved with the following vote: Adame, Adler, Chesney, Elizondo, Kieschnick, Leal, Marez, Martinez, and Scott, voting "Aye". 6.b. ORDINANCE NO. 028261 Ordinance appointing Rodolfo Tamez, Margie Silva Flores, Mary K. Medary, Michael Alaniz, and Julianna Siracusa Rivera as municipal judges of the Municipal Court of Record in the City of Corpus Christi; appointing Deanie King as Magistrate Judge of the Municipal Court of Record in the City of Corpus Christi; appointing Melissa Kay Madrigal, Jerry L. Batey} Craig Henderson, Christopher Matt and Patrick O'Hare as part-time judges of the Municipal Court of Record in the City of Corpus Christi; determining salary; providing a term of office. An emergency was declared, and the foregoing ordinance was passed and approved with the following vote: Adame, Adler, Chesney, Elizondo, Kieschnick, Leal, Marez, Martinez, and Scott, voting "Aye". 6.c. MOTION N . 2009-221 Motion to accept resignation of Judge Rodolfo Tamez as Presiding Judge effective upon new replacement being appointed. The foregoing motion was passed and approved with the following vote: Adame, Adler, Chesney, Elizondo, Kieschnick, Leal, Marez, Martinez, and Scott, voting "Aye". Motion was made directing staff to post the position of Presiding Judge of the Municipal Court of Record in the City of Corpus Christi, Texas. * * * * * * * * * * * * * Minutes — Regular Council Meeting July 28, 2009 — Page Mayor Adame returned to Item 3 regarding GASB 45: Other Post Employment Benefits How it affects the City's Budgetand Insurance Premiums. Assistant City M n g r Martinez provided the Council with requested information on the status of the fund balance and the recommendations or approaches to resolving the GASB issue. The following topics pertaining to this item were discussed: the estimated FY2010 fund balance for the unreserved fire plan; the difference between the commitments and unreserved fire balances; the GASB 45 projected obligation; reducing the catastrophic reserve to 10%; the fund balance policy; addressing the GASB 45 liability; the breakdown for fire premium increases; un -blending the insurance rates; timeline for a new policy and recommendation on the reserve fund balance; consideration to continueth pay as ygo for GASB in today's budget approval; whether other cities are using the pay as you go plan; ifthe GASB issue can be delayed; the total appropriation to approve in the budget excluding the increase to fund the reserve and the GASB commitment; continuing dialogue with the unions; whether the contract negotiations would have to be opened; if it is possible to resolve this issue within 30 to 60 days; if the catastrophic amount is part of the contracts; whether the fund balance policy can be changed today; the budgetary consequences if the Council does not fund the reserve and GASB; and the irrevocable trust fund. Mr. Martinez said staff would provide a timeline and the revised appropriations without the administration policy and the funding of GASB 45. Mayor Adar e announced that Item 22 was postponed until August 18th. 22. POSTPONED UNTIL AUGUST 'I 2009 • e commission duties, and d s losure of interests; pr effective date. * * * * * * * * * * Mayor Adamreferred to Item 7 and the following board appointments were made: Carus Christi Convention and Visitors Bureau John Trice (Reappointed) Art Granado (Reappointed) Jyoti Patel (Reappointed) Michael Womack (Reappointed) Nils Stolzlechner (Appointed) Daniel Dain (Appointed) ************ MayorAdame called for consideration of the consent agenda (Items 8 - 20). City Secretary Chapa announced that Council Member Elizondo would abstain from the discussion and vote on Item 16.a. Mr. Bill Kopecky requested that Item 15 be pulled for individual consideration. Council members requested that Item 15 be pulled for individual consideration. City Secretary Chapa polled the Council for their votes as follows: Minutes — Regular Council Meeting July 28, 2009 — Page 8. MOTION NO. 2009-210 Motion approving the purchase of three (3) tractor loader backhoes in the amount of $187,366; and the lease purchase of one (1) articulating wheel loader, three (3) mini track excavators, and two (2) tractor loader backhoes in the amount of $357,401.11 for a grand total of $544,767.11. The equipment is awarded to the following companies for the following amounts in accordance with Bid Invitation No. BI -0182-09, based on low bid, low bid meeting specifications, and best bid. The construction equipment will be used by the Water and Gas Departments. All units are replacements to the fleet. Funding for the purchase of the equipment is available in the Capital Outlay Budget of the Maintenance Services Fund. Financing for the lease purchased equipment will be provided through the City's lease/purchase financing contractor. Anderson Machinery Corpus Christi, TX Line Item: 1 $119,946 Valley Ditch Witch Corpus Christi, TX Line Item: 2 $121,909.11 Robstown Hardware H V Equipment F b t ern, TX Corpus Christi, TX Line Item: 3 Line Items: 4, 5, $34,816 $268,096 Grand Total: $544,767.11 The foregoing motion was passed and approved with the following vote: Adame, Adler, Chesney, Elizondo, Kieschnick, Leal, Marez, Martinez, and Scott, voting "Aye". 9. MOTION NO. 2009-211 Motion approving the purchase of one (1) tractor mounted slope mower and one (1) long reach hydraulic excavator from the following companies for the following amounts based on the Cooperative Purchasing Agreement with the Texas Local Government Cooperative, for a total amount of $335,686.58. The equipment will be used by the Storm Water Department. Both units are replacements to the fleet. Funding is available in the Storm Water Maintenance and Operations Budget in FY 2008-2009. Alamo Sales Corp. Waukesha Pearce Industries, Inc. Seguin, Texas Houston, Texas Line Item: 1 Line item: 2 $86,474.58 $249,212 Grand Total: $335,686.58 The foregoing motion was passed and approved with the following vote: Adame, Adler, Chesney, Elizondo, Kieschnick, Leal, Marez, Martinez, and Scott, voting `,Aye" 10. MOTION NO. 2009-212 Motion authorizing the purchase of specialized equipment fora total amount of $138,698.38 utilizing funds from the 2007 Homeland Security Grant awarded to the City of Corpus Christi and budgeted in the Fire Grant Fund 1062. Minutes — Regular Council Meeting July 28, 2009 Page The foregoing motion was passed and approved with the following vote: Adame, Adler, Chesney, Elizondo, Kieschnick, Leal, Marez, Martin , and Scott, voting "Aye". 11. MOTION NO. 2009-21 Motion approving the purchase of hardware, software, and services to upgrade the public safety radio equipment to 700 Mhz from Dailey & Wells, f San Antonio, Texas based on sole source for a total expenditure of $498,526.69. Funds are available through the Public Safety Interoperability Communications Grant. The foregoing motion was passed and approved with the following vote: Adame, Adler, Chesney, Elizondo, Kieschnick, Leal, Marez, Martin , and Scott, voting "Aye". 12. RESOLUTION NO. _02824'1 Resolution authorizing the City Manager or his designee, to execute a renewal of Interlocal Cooperation Agreement with L l Mar College for the Fire Department tuse the College's Training Field. The foregoing resolution was passed and approved with the following vote: Adame, Adler, Chesney, Elizondo, Kieschnick, Leal, Marez, M rt,ine , and Scott, voting "Aye". 13. RESOLUTION NO. 928242 Resolution authorizing the City Manager or his designee to submit a grant application in the amount of $35,000 to the Coastal Bend Council of Governments for recycling and anti -litter education and to execute all related documents. The foregoing resolution was passed and approved with the following vote: Adame, Adler, Chesney, Elizondo, Kieschnick, Leal, Marez, M rtine , and Scott, voting "Aye". 14.a. RESOLUTION N. 028243 Resolution authorizing the City Manager or his designee to accept additional grant funding in the amount of $2,140, from the Coastal Bend Council of Governments and to execute an amendinent to the existing grant agreement to provide recycling and anti -litter education. The foregoing resolution was passed and approved with the following vote: Adame, Adler, Chesney, Elizondo, Kieschnick, Leal, Marez, Martinez, and Scott, voting "Aye". 14.b. ORDINANCE NO. 028244 Ordinance appropriating $2,140 in additional grant funding from the Coastal Bend Council of Governments in the No. 1051 Solid Waste Grants Fund to provide recycling and anti -litter education. An emergency was declared, and the foregoing ordinance was passed and approved with the following vote: Adame, Adler, Chesney, Elizondo, Kieschnick, , Leal, Marez, , Martine , and Scott, voting "Aye". Minutes — Regular Council Meeting July 28, 2009 — Page 8 16.a. RESOLUTION N . 028246 Resolution nominating Citgo Refining and Chemicals Company, L.P., to the Office of the Governor Economic Development & Tourism, through the Economic Development Bank, for designation as a triple jumbo enterprise project, under the Texas Enterprise n Program under the Texas Enterprise Zone Act, Chapter 2303, Texas Government Code. The foregoing resolution was passed and approved with the following vote: Adame, Adler, Chesney, Kieschnick, Leal, Marez, Martin , and Scott, voting "Aye"; Elizondo abstained. 16.b. RESOLUTION NO. 028247 Resolution nominating Valero Refining — Texas, L.P., to the Office of the Governor Economic Development & Tourism, through the Economic Development Bank, for designation as a triple jumbo enterprise project, under the Texas Enterprise Zone Program under the Texas Enterprise Zone Act, Chapter 2303, Texas Government Code. The foregoing resolution was passed and approved with the following vote: Adame, Adler, Chesney, Elizondo, Kieschnick, Leal, Marez, Martinez, and Scott, voting 'Aye" 17. ES LUTI N N . 028248 Resolution authorizing the City Manager or his designee to execute a contract for the collection of delinquent special assessments, demolition, and weed lien accounts with Linebarger, Goggan, Blair & Sampson, LLP for a fee of 25% of principal and interest collected on delinquent accounts turned over to law firm. The foregoing resolution was passed and approved with the following vote: Adame, Adler, Chesney, Elizondo, Kieschnick, Leal, Marez, Martinez, and Scott, voting "Aye". 18. MOTION N . 2009-214 Motion authorizing the City Manager or his designee, to execute a professional services agreement with HDR Engineering, Inc. of Corpus Christi, Texas in an amount not to exceed $'188,900.66 for the Landfill Gas to Energy Development Assistance. The foregoing motion was passed and approved with the following vote: Adame, Adler, Chesney, Elizondo, Kieschnick, Leal, Marez, Martinez, and Scott, voting "Aye" 19. MOTION NO. 2009-21 Motion authorizing the City Manager or his designee to execute a construction contract with KJM Commercial of Corpus Christi, Texas, in the amount of $957,504 for the Heritage Park Cultural Center Historical Preservation/Renovation project for the Total Base Bid plus Additive Alternate No. 1. (Bond Issue 2008) The foregoing motion was passed and approved with the following vote: Adame, Adler, Chesney, Elizondo, Kieschnick, Leal, Marez, Martinez, and Scott, voting "Aye" Minutes — Regular Council Meeting July 28, 2009 — Page 20. MOTION NO. 2009-21 Motion authorizing the City Manager or his designee to execute a construction contract with Ram-Bro Contracting, Inc. of Robstown, Texas, in the amount of $500,885 for ADA Ramp and Sidewalk Improvements for Street Overlays Part A (Clusters 1 & 3), Part B (Cluster 2) and Part C (Cluster 4) for the Total Base Bid. The foregoing motion was passed and approved with the following vote: Adame, Adler, Chesney, Elizondo, Kieschnick, Leal, Marez, Martinez, and Scott, voting "Aye". Mayor Adame opened discussion on Item 15 regarding the application for financial assistance from the Texas Water Development Board for the Garwood Water Supply Project. Council Member Adler reminded staff that this item is a council goal and to complete this project as soon as possible. Bill Kopecky, 3609 Topeka, asked whether the pipeline will be further south and not be stored at Lake Texana. Deputy Water Director Mark Van Vleck stated that the pipeline will go directly into the west delivery system on the Mary Rhodes Pipeline and not through Lake Texana. Council Member Martinez spoke regarding storage on the Colorado River. Mr. Van Vleck explained that the concern with storage on the Colorado River is that an additional permit would be needed. In response to Council Member Marez, Mr. Van V l eck stated that the application is a loan. J.E. O'Brien, 4130 Pompano, stated that he opposed the $8 million loan. Wilson Wakefield, 6026 Killarmet, stated that he doesn't think there is enough water to do this study. Mr. Van Vleck clarified that this is not a study but for the planning, design, and permitting of the pipeline. City Secretary Chapa polled the Council for their votes as follows. 15. RESOLUTION i .-028245 Resolution by the City Council of the City of Corpus Christi requesting financial assistance from the Texas Water Development Board in the amount of $8,000,000 for the planning, design, and permitting of a pipeline and related facilities between the Colorado River and the Mary Rhodes Pipeline pumping facility at Lake Texana; authorizing the filing of an application for assistance} and making certain findings in connection therewith. The foregoing resolution was passed and approved with the following vote: Adame, Adler, Chesney, Kieschnick, Leal, Marez, Martinez, and Scott, voting "Aye"; Elizondo was absent. * Mayor Ad acne referred to Item 21 regarding the 81st Legislative Session end report. Director of Intergovernmental Relations Rudy Garza introduced Shanna Igo from the Texas Municipal League (TML) and Snapper Carr with HilICo Partners. Mr. Garza referred to a powerpoint presentation including the legislative process; the legislature advocacy efforts; Corpus Christi Legislative Day at the Capitol; Coastal Bend legislative efforts; the City's priority legislation; other legislation of interest; support efforts; special session results, and preparation for next legislative session. M. Igo provided an overview in the bilis filled and passed: the TML policy committees; and the interim activities. Mr. Carr gave an update on the major statewide legislative accomplishments. The following topics pertaining to this item were discussed: the changing of the election date for the City; the gaming issue; windstorm insurance; and prohibited use of cell phones in school zones. Minutes — Regular Council Meeting July 28, 2009 — Page 10 Mayor Adame opened discussion on Item 23 regarding a competitive funding application for broadband initiatives and technology opportunities. Director of Municipal Information Systems (MIS) Michael Armstrong provided a brief overview of this item including a background; the application timeline; grant projects the City is considering; and partnerships. There were no comments from the audience. City Secretary Chapa polled the Council for their votes as follows: 23. RESOLUTION NO. 028249 Resolution authorizing the City Manager or his designee to submit a competitive funding application to the National Telecommunications and Information Administration (NTIA) for Broadband Initiatives Program (B1P) and Broadband Technology Opportunities Program Funding (BTOP) under the American Recovery and Reinvestment Act of2009 and execute all related documents. The foregoing resolution was passed and approved with the following vote: Adame, Adler, Chesney, Eliz nd , Kieschnick, Leal, and Martinez, voting "Are"; Marez and Scott were absent. Mayor Adame opened discussion on Item 24 regarding the WiFi system. Mr. Armstrong referred to powerpoint presentation including a brief history; EarthLink; recovery activities; new public hot zones; current government applications; current government applications; pending partnerships; issues; Automated Meter Reading (AMR) requirements; video requirements; and future technology. In response to Council Member Chesney, Mr. Armstrong stated that when the City reacquired the network from EarthLink, the City received the network; retained the cash payment; the improvements; and inventory. Council Member Leal asked questions regarding the initial cellular phones for the WiFi system. Mr. Armstrong said the City has had these phones for two (2) months and they are working. Mayor r Adam called for comments from the audience. J.E.O'Brien, 4130 Pompano, spoke regarding more debt. City Secretary Chapa polled the Council for their votes as follows: 24. IV1 TI N NO. 2009-217 Motion authorizing the lease/purchase of equipment, acquisition of technical consulting services, and five years of support and maintenance from Tropos Networks of Sunnyvale, California for support of the City's automated meter reading system and wireless network for a total of $1,767,645. This acquisition will be financed for a period of 5 years by Frost Financial Services of Corpus Christi, Texas. The foregoing motion was passed and approved with the following vote: Adame, Adler, Chesney, Eliz rid , Leal, Marez, Martine , and Scott, voting "Aye"; Kieschnick was absent. Mr. Armstrong announced that Corpus Christi will be the 4th city in the nation to receive Wimax Technology. Minutes — Regular Council Meeting July 28, 2009 — Page 11 Mayor Adame opened discussion on item 25 regarding an appropriation from the Water Fund. Assistant Director of Management and Budget Eddie Houlihan explained that this item is appropriating $2.5 million from excess revenues in the water fund. Mr. Houlihan stated that the City Charter prohibits funds from overspending appropriations approved by the City Council. Mr. Houlihan added that the fund overspent due to increased water sales; increased water chemical usage; and excessive water line breaks. Council Member Martinez asked whether staff took into consideration drought conditions. Mr. Houlihan stated that staff did not anticipate drought conditions in the revenue estimates. Mayor called for comments from the audience. J.E. O'Brien, 4130 Pompano, spoke regarding the proposed increase in water rates for the upcoming budget. City Secretary Chapa polled the Council for their votes as follows: 25, ORDINANC NO. 028250 Ordinance appropriating $2500000 from excess revenues in the Water Fund 4010 for increased chemical personnel materials and supply costs; changing the FY 2008-2009 Budget adopted by Ordinance No. 027776 by increasing both revenues and expenditures by $2,500000 each. An emergency was declared, and the foregoing ordinance was passed and approved with the following vote: Adame, Adler, Chesney, Elizondo, Kieschnick, Leal, Marez, Martinez, and Scott, voting "Aye". Mayor Adame opened discussion on Item 26 regarding the Corpus Christi Business and Job Development Corporation (4A Board) Affordable Housing — New Construction Program and guidelines. Assistant City Manager and Interim Director of Neighborhood Services Margie Rose provided a brief overview of the item including a background, the purpose, general program description; builders eligibility; construction standards; homebuyer eligibility; lender requirements; title company requirements; and the application criteria and process. The following topics pertaining to this item were discussed: suggesting to the 4A board to reduce the amount of the deferred forgivable loan; construction for building accessible homes; the commitment period; the timeline for builder eligibility inquiries; and the status of the stimulus funds for down payment assistance. Mayor Adame called for comments from the audience. Abel Alonzo, 1701 Thames, commended the 4A board and spoke regarding making homes accessible. City Secretary Chapa polled the Council for their votes as follows: 26. RESOLUTION No. 028251 Resolution approving the Corpus Christi Business and Job Development Corporation's Affordable Housing — New Construction Program and the program guidelines. The foregoing resolution was passed and approved with the following vote: Adame, Adler, Chesney, Elizondo, Kieschnick, Leal, Martinez, and Scott, voting "Aye"; Marez was absent. Minute — Regular Council Meeting July 28, 2009 — Page 12 Mayor Adame opened discussion on Item 27 regarding the second reading to adopt the FY2009-2010 operating budget and ratifying the increase in property tax revenues from last year's operating budget. Assistant City Manager Oscar Martinez stated that this item will include discussion on a Part 1 and Part 2 and the funding of the GASB liability. Mr. Martinez requested that Council approve Part 1 to fund some of the requested items and programs previously discussed by the Council. Council Member Martinez made a motion to amend the ordinance adopting the City of Corpus Christi budget for FY2009-2010 prior to second reading to increase funding for arts programs; reinstating funding for Municipal Court judge; increased funding for park maintenance; adjustments to Hotel Occupancy Tax Fund, Water Fund, Strom Water Fund and Development Services Fund; and increased parking fine revenues. The motion was seconded by M. Adler. Abel Alonzo, 1701 Thames, spoke regarding the reduced funding for the intergovernmental Relations Department and the Human Relations Department. J.E. O'Brien, 4130 Pompano, stated that be opposed the adoption of the proposed budget. Mr. O'Brien suggested that the funding for the charter amendment election be restored and spoke regarding the issuance of revenue bonds; the increase in parking fees and utility rates; and ratifying the increase in property tax. Mr. O'Brien also recommended setting a time certain in the future to discuss the budget. Marr Young, Manager of the Nueces County Water District, spoke regarding the water rate increases proposed for the district. The following topics pertaining to this motion were discussed: the storm water fees embedded in the water fund; increasing the funding for the Human Relations Department by eliminated the additional funding proposed for Animal Control by $44,000; the water rate for the Nueces County Water District; whether the fee/rate increases are included as part of the budget; funding for GASB; the increase in parking fees; reducing additional travel funding; the amount of the travel budget that is to maintain licensing and certification requirements; travel for fire and police; and the number of employees that are required to renew their licenses this year and the cost of the training. Mr. Chesney made a motion to amend Ms. Martine 's motion to include reducing the general fund travel by $18000 to fund the Sister City program in the amount of $18,000. The motion was seconded by Mr. Kieschnick. Ms. Martinez accepted the amendment, seconded by Ms. Adler. The foregoing motion was passed and approved with the following vote: Adame, Adler, Chesney, Elizondo, Kieschnick, , Leal, Marez, Martinez, and Scott, voting "Aye". City Secretary Cha pa polled the Council for their votes on M. Martinet's motion on Part 1 as amended: The foregoing motion was passed and approved as amended with the following vote: Adame, Adler, Chesney, Elizondo, Kieschnick, Leal, Marez, Martinez, and Scott, voting "Aye". Mr. Chesney made a motion to increase the current parking rates by only 30%. The motion died for lack of second. Mr. Martinez opened discussion on the potential funding options on Part 2, to amend the budget prior to second reading to fund the following programs: 1) Youth summer programs - $121,000; Sister City t Park maintenance -- $117,000; Beach operations — Minutes — Regular Council Meeting July 28, 2009 — Page 13 $20,500; Violet Pool - $22,000; and Animal Control - $44,000. Mr. Martinez referred to a powerpoint presentation included the sales tax actuals for FY2008 and 2009 compared to FY2 1 ; funding identified; remaining unfunded items; and funding options. The following topics pertaining to this item were discussed: reducing costs on vehicles purchased by reducing the number of take home cars; the current number of take home vehicles; anticipated additional revenue from the tax appraisal district; the spay and neuter fees; receiving donations to support specific departments; and the reductions required from each department for this budget. Mr. Martinez stated that staff was recommending Option 3 of the funding options to wait and evaluate the financial condition after the first quarter. Mr. Marez made a motion to use the fund balance amount of $324,500 to fund the recommended programs in Part 2. The motion was seconded by Mr. Kieschnick. Mr. Martinez stated that the financial policies would have to be amended. A brief discussion ensued regarding the other funding options and staffs recommendation. Mr, Marez withdrew his motion. Mr, Chesney made a motion to require all departments to reduce their budgets by 1.2 % to fund the $324500. The motion was seconded by Mr. Elizondo. Ms. Martinez made a motion to amend Mr. Chesney's motion to reduce the .2% to .5%. The motion was seconded by Mr. Marez. A brief discussion ensued regarding whether departments could make additional reductions; consideration of evaluating the financial condition after the l st quarter; and deleting $44,000 for Animal Control and add $44000 to Human Relations. Ms. Martinez withdrew her amendment. City Secretary Chapa polled the Council for their votes on Mr. Chesney's original motion. The foregoing motion failed with the following vote: Chesney, Elizondo, and Kieschnick, voting ,Aye"; Adame, Adler, Leal, Marez, Martinez, and Scott, voting "No". Mr. Scott made a motion that all departments reduce their budget by 1%; wait to fund; and evaluate the financial condition after the 1st quarter-. The motion was seconded by Mr. Chesney. City Secretary Chapa polled the Council for their votes as follows: The foregoing motion was passed and approved with the following vote: Adame, Adler, Chesney, azondo, Kieschnick, Leal, Marez, Martinez, and Scott, voting "Aye". Mr. Kieschnick directed staff to evaluate the number of take home vehicles. Mr. Chesney made a motion to not fund GASB on a one-time basis with direction to staff to meet with the parties, with the City Manager or Assistant City Manager involved in those meetings, and report back to the City Council in 45 days. The motion was seconded by Mr. Kieschnick. A brief discussion ensued regarding the fire premiums. Mr. Chesney amended his motion to include pulling the reserve of 8.5% and pay as you go of 9% from the fire plan and report back in 45 days with a solution. The amendment was accepted by Mr. Kieschnick. The following topics pertaining to this item were discussed: whether the City intends to find a solution to pay GASB; consider creation of a Citi -care fully insured program for retirees; extend to the police and fire retirees whether they would like to participate in Citi -care program; continue to work on a police and fire combined plan and an unblended option; whether the contracts will have to be opened; whether 45 days is enough time; developing a health care clinic; and the GASB funding for last fiscal year. Minutes — Regular Council Meeting July 28, 2009 — Page 14 City Secretary Chapa polled the Council on their votes as follows: The foregoing motion was passed and approved with the following vote: Adame, Adler, Chesney, Elizondo, Kieschnick, Marez, Marlinez, and Scott, voting "Aye"; Leal voting "No". Mr. Marez directed staff to find the resources to fund a health care clinic. Mayor Adame called for comments from the audience, Ron DeLord, representative for CLEAT, spoke regarding the staff having a pre -determined position for retirees. Mr. DeLord asked Council to direct staff to review other positions to figure out the best options for retirees. Mr. DeLord stated that he does not support funding GASB or unbundling retirees. Mike Staff, President of the Corpus Christi Police Officers Association, spoke regarding the money allocated for GASB in last fiscal year; un -blending retirees; and involving all of the stakeholders in the meetings to resolve the GASB issue. Mr. Kieschnick suggested the Council be involved in those meetings. Joan Veith, 5701 Cain Drive, stated that thCouncil needs to talk tthe experts before making a decision on GASB. Carlos Torres, President of Corpus Christi Firefighters Association; stated that GASB does not need to be funded only reported. Mr. Torres spoke regarding inclusiveness during the meetings and what other cities are doing on the GASB issue. Ms. Leal made a motion to not fund GASB 45. The motion failed for lack of second. Mr. Chesney made a motion t add a Council presentation with possible action from outside experts on GASB within 45 days to include what the 10 largest cities are doing. The motion was seconded by Mr. Kieschnick. City Secretary Chapa polled the Council for their votes as follows: The foregoing motion was passed and approved with the following vote: Adame, Adler, Chesney, Elizondo, Kieschnick, Marez, Martinez, and Scott, voting "Aye"; Leal voting "No". Mr. Martinez recommended that the ordinance adopting the budget be amended to reflect the accurate changes to the expenditures and revenues. Ms. Martinez made a motion t amend the ordinances as proposed, seconded by Mr. Scott. City Secretary Chapa polled the Council for their votes as follows: 27.a. ORDINANCE NO. 028252 Adopting the City of Corpus Christi budget for the ensuing Fiscal Year beginning August 1, 2009; to befiled with the County Clerk; appropriating monies as provided in the budget.(1st Reading — 7/14/09) The foregoing ordinance was passed and approved as amended on its second reading with the following vote: Adame, Adler, Chesney, Elizondo, Kieschnick, Marez, Martine , and Scott, voting "Aye"; Leal voting "No". 27.b. ORDINANCE N ._028253 To ratify increase of $2,971,452 in Property Tax Revenues from last year's Operating Budget as reflected in the FY 2009-2010 Operating Budget. (1st Reading — 7/14/09) The foregoing ordinance was passed and approved on its second reading with the following vote: Adame, Adler, Chesney, Elizondo, Kieschnick, Marez, Martinez, and Scott, voting "Aye"; Leal voting "No". Minutes — Regular Council Meeting July 28, 2009 -- Page 15 Mayor Adame opened discussion on Item 28 regarding the Compensation and Classification Plan for FY2009-2010. Director of Human Resources Cynthia Garcia stated that staff is recommending adoption of the ordinance as presented. There were no comments from the audience. City Secretary Chapa polled the Council for their votes as follows: 28. ORDINANCE NO. 028254 Amending the Code of Ordinances, Chapter 39, Personnel, Article Ili Employee Compensation and Classification System, revising Section 39-303 to include pay adjustment for Commercial Driver's License (CDL) on Pay Plan 100, update minimum Pay Plan 200, adjust police management pay range on Pay Plan 300, add provision for 5% salary differential above employees supervised by select positions in Pay Plan 400; modify work coordinator career ladder maximum pay ranges, change pay grades on Pay Plan 1000; revising Section 39-304, Classified Service defined to clarify pay plans exempt from classified service; revising Sections 39-337 and 39-352 to clarify use of sick leave consistent with the Family and Medical Leave Act (FMLA); revising Section 39-362 to clarify that prior service of a temporary employee shall not be considered and recognition of prior service after completion of probationary period; adding Section 39-368 Catastrophic Leave Program; repealing all other ordinances, and rules, or parts of ordinances and rules, in conflict with this ordinance; providing for effective date and providing for severance. (First Reading 7/14/09) The foregoing ordinance was passed and approved on its second reading with the following vote: Adame, Adler, Chesney, Elizondo, Kieschnick, Leal, Marez, Martinez, and Scott, voting "Aye". Mayor Adame opened discussion on Item 29 regarding fee and rate increases and proposed fees and rates in support of the FY2 0 -2010 proposed budget. Assistant Director of Budget Eddie Houlihan eplained that this item includes the second reading of Items c -e and new items that were added after the first reading of the proposed budget to increase parking fines and setting a monthly maximum of the volume of water that can be taken out of Lake Corpus Christi by unmetered customers. Mr. Matneirecommended a motion be made to amend Item 29.c. to change the treated water rates purchased for resale where the water is delivered to the resale entity through City facilities and for Large Volume - Outside City Limit customers from $1.564 to $1.435. Mr. Marez made a motion to amend Item 29.c. as proposed. The motion was seconded by Mr. Scott. The foregoing motion was passed and approved with the following vote: Adame, Adler, Chesney, Elizondo, Kieschnick, Leal, Marez, , illlartine , and Scott, voting "Aye". There were no comments from the audience. City Secretary Chapa polled the Council for their votes as follows: 29.a. ORDINANCE NQ, 028255 Ordinance amending the Code of Ordinances, City of Corpus Christi, Chapter 53 regarding parking fines; providing for penalties; and providing for publication; and providing for an effective date. Minutes — Regular Council Meeting July 28, 2009 — Page 16 An emergency was declared, and the foregoing ordinance was passed and approved with the following vote: Adame, Adler, Elizondo, Marez, Martinez, and Scott, voting "Aye"; Chesney, Kieschnick, and Leal, voting "No". 29.b. MOTION NO.__2009-218 Motion to amend Section 1 of the Ordinance Amending the Code of ordinances, City of Corpus Christi, Chapter 55, Utilities, Regarding Water, Gas, and Wastewater Rates and Fees, passed on first reading on July 14, 2009, by revising Section - 9 a 1 b. The foregoing motion was passed and approved with the following vote: Adame, Adler, Elizondo, Marez, Martinez, and Scott, voting `Aye"; Chesney, Kieschnick, and Leal, voting "No". 29.c. ORDINANCE NO. 02825 Amending the Code of Ordinances, City of Corpus Christi, Chapter 55, Utilities, regarding water, gas and wastewater rates and fees, providing an effective date. (First Reading — 7/14/09). The foreoing ordinance wapassed and approved as amended on its second reading with the following vote: Adame, Adler, Elizondo, Marez, Martinez, and Scott, voting "Aye", Chesney, Kieschnick, and Leal, voting "No". 29.d. O D1NANCE NO. 028257 Amending Section 55-7, "Local Exchange Access Line 9-1-1 Service Fee,, of the Code of Ordinances, by increasing the service fees of residential, business, and business trunk local exchange access lines; providing for an effective date; and providing for publication. (First Reading — 7/14/09) The foregoing ordinance was passed and approved on its second reading with the following vote: Adame, Adler, Elizondo, Marez, Martinez, and Scott, voting "Aye"; Chesney, Kieschnick, and Leal, voting "No'k 29.e. ORDINANCE N .028258 Amending the Code of Ordinances, City of Corpus Christi, Chapter 29 Municipal Court, regarding Juvenile Case Manager Fee increase; and providing for publication. (First Reading — 7/14/09) The foregoinordinance was passed and approved on its second reading with the following vote: Adame, Adler, Elizondo, Marez, Martinez, and Scott, voting "Aye": Chesney, Kieschnick, and Leal, voting "No". 29.f. ORDINANCE No. 028259 Amending the Code of Ordinances, Chapter 21, Article 1, Section 21-1 by revising the definition for `{Cary Account"; amending Article IV, Section 21-40(a) by revising Solid Waste resource recovery fees and enacting a residential cart collection fee; amending Article 1V, Sections 21-47(a) and (b) by revising the State Agency reference and the Municipal Slid Waste System service charges; providing for an effective date; providing for publication; and providing for penalties. (First Reading — 7/14/09) Minutes — Regular Council Meeting July 28, 2009 — Page 17 The foregoing ordinancewpassed and approved on its second reading with the following vote: Adame, Adler, Elizondo, Marez, M rtine , and Scott, voting �' ye' ; Chesney, Kie hni , and Leal, voting "No". 29.g. ORDINANCE.NO.Q28260 Revising Section 55-70(9), Code of Ordinances, City of Corpus Christi, to increase water tap fees; providing for penalties; and providing for publication. (First Reading — 7/14/09) The foregoing ordinance was passed and approved on its second reading with the following vote: Adame, Adler, Elizondo, Marez, Martinez, and Scott, voting "Aye"; Chesney, Ki sohni l , and Leal, voting "No". There being no further business to come before the Council, Mayor Adame adjourned the Council meeting at : 8p.m. on July 28, 2009.