HomeMy WebLinkAboutMinutes City Council - 05/31/2011MINUTES
CITY OF CORPUS CHRISTI, TEXAS
Regular Council Meeting
May 31, 2011 - 12:00 p.m.
PRESENT
Mayor Pro Tem Nelda Martinez
Council Members:
Chris Adler
Larry Elizondo, Sr.
Kevin Kieschnick
Priscilla Leal
John Marez*
Mark Scott
Linda Strong
City Staff:
City Manager Ronald L. Olson
City Attorney Carlos Valdez
City Secretary Armando Chapa
Assistant City Secretary Mary Juarez
ABSENT
Mayor Joe Adame
*Arrived at 12:07 p.m.
Mayor Pro Tem Martinez called the meeting to order in the Council Chambers of City Hall.
The invocation was delivered by Reverend Anthony Washington with The Lord is Peace
Worship Center and the Pledge of Allegiance to the United States flag was led by City Manager
Olson.
Assistant City Secretary Juarez called the roll and verified that the necessary quorum of the
Council and the required charter officers were present to conduct the meeting.
Mayor Pro Tem Martinez called for approval of the minutes of the workshop meeting of May
10, 2011 and regular Council meeting of May 24, 2011. A motion was made and passed to approve
the minutes as presented.
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Mayor Pro Tem Martinez called for consideration of the consent agenda (Items 2 - 14).
There were no comments from the public. Council Member Elizondo requested that Item 2 be pulled
for individual consideration. Assistant City Secretary Juarez polled the Council for their votes as
follows:
3. RESOLUTION NO. 029071
Resolution authorizing the City Manager or designee to submit a grant application in the
amount of $500,000 to the U.S. Department of Justice, Office of Community Oriented
Policing Services (COPS) for funding eligible under the COPS 2011 Child Sexual Predator
Program, funds to be used for the continuation of the Sexual Predator Unit in the Corpus
Christi Police Department to reduce child endangerment, with a City in-kind contribution of
$10,000, and authorizing the City Manager or designee to apply for, accept, reject, alter or
terminate the grant.
The foregoing resolution was passed and approved with the following vote: Adler, Elizondo,
Kieschnick, Leal, Marez, Martinez, Scott, and Strong, voting 'Aye"; Adame was absent.
INDEXED
Minutes — Regular Council Meeting
May 31, 2011 — Page 2
4. ORDINANCE NO. 029072
Ordinance appropriating $4,594.17 from insurance company payment of claim in Fund No.
1020 General Fund for the repairs to the gazebo at Temple Park, 3902 Reynosa St.;
changing FY 2010-2011 Operating Budget adopted by Ordinance No. 028683 by increasing
revenues and appropriations by $4,594.17 each.
An emergency was declared, and the foregoing ordinance was passed and approved with
the following vote: Adler, Elizondo, Kieschnick, Leal, Marez, Martinez, Scott, and Strong,
voting "Aye"; Adame was absent.
5.a. RESOLUTION NO. 029073
Resolution authorizing the City Manager or designee to execute all documents necessary to
accept the Summer Food Service Program Grant in the amount of $250,000 from the Texas
Department of Agriculture to operate a Summer Food Service Program for Summer
Recreation Program participants ages one to eighteen years.
The foregoing resolution was passed and approved with the following vote: Adler, Elizondo,
Kieschnick, Leal, Marez, Martinez, Scott, and Strong, voting "Aye"; Adame was absent.
5.b. RESOLUTION NO. 029074
Resolution authorizing the City Manager or designee to execute an interlocal Cooperation
Agreement with Corpus Christi Independent School District to provide summer food services
for summer recreation.
The foregoing resolution was passed and approved with the following vote: Adler, Elizondo,
Kieschnick, Leal, Marez, Martinez, Scott, and Strong, voting "Aye"; Adame was absent.
5.c. ORDINANCE NO. 029075
Ordinance appropriating a $250,000 grant from the Texas Department of Agriculture in the
No. 1067 Parks and Recreation Grant Fund to operate a Summer Food Service Program for
summer recreation participants ages one to eighteen years.
An emergency was declared, and the foregoing ordinance was passed and approved with
the following vote: Adler, Elizondo, Kieschnick, Leal, Marez, Martinez, Scott, and Strong,
voting "Aye"; Adame was absent.
6. RESOLUTION NO. 029076
Resolution authorizing the City Manager or designee to execute an Interlocal Agreement
with the Calallen Independent School District to provide transportation services for summer
youth recreation programs.
The foregoing resolution was passed and approved with the following vote: Adler, Elizondo,
Kieschnick, Leal, Marez, Martinez, Scott, and Strong, voting "Aye"; Adame was absent.
Minutes — Regular Council Meeting
May 31, 2011 — Page 3
7. RESOLUTION NO, 029077
Resolution authorizing the City Manager or designee to execute an Interlocal Agreement
with the Corpus Christi Independent School District to provide transportation services for
summer youth recreation programs.
The foregoing resolution was passed and approved with the following vote: Adler, Elizondo,
Kieschnick, Leal, Marez, Martinez, Scott, and Strong, voting "Aye"; Adame was absent.
8. RESOLUTION NO. 029078
Resolution authorizing the City Manager or designee to execute an Interlocal Agreement
with the Flour Bluff Independent School District to provide transportation services for
summer youth recreation programs.
The foregoing resolution was passed and approved with the following vote: Adler, Elizondo,
Kieschnick, Leal, Marez, Martinez, Scott, and Strong, voting "Aye'; Adame was absent.
9. MOTION NO. 2011-126
Motion authorizing the City Manager to execute a Consent and Assignment of Financing
Agreement which provides for the assignment of Parkdale Shopping Center's right, title and
interest in a Financing Agreement dated on May 12, 2009 by and among the City of Corpus
Christi and Parkdale Shopping Center to Parkdale Income Partners, L.P.
The foregoing motion was passed and approved with the following vote: Adler, Elizondo,
Kieschnick, Leal, Marez, Martinez, Scott, and Strong, voting "Aye"; Adame was absent.
10.a. RESOLUTION NO. 029079
Resolution recognizing the economic importance of Naval Air Station Corpus Christi ("NAS
CC") to the local and regional economies; recognizing that the City has the responsibility to
protect the public health, safety, and welfare regarding compatible land uses abutting or
surrounding NAS CC, other naval air facilities within the City, and the City's International
Airport facilities; and pledging the City's sponsorship, support, and good faith commitment to
implement the joint land use study recommendations.
The foregoing resolution was passed and approved with the following vote: Adler, Elizondo,
Kieschnick, Leal, Marez, Martinez, Scott, and Strong, voting "Aye"; Adame was absent.
10.b. RESOLUTION NO. 029080
Resolution authorizing the City Manager or designee to accept a grant from the Department
of Defense Office of Economic Adjustment in the amount of $237,500 for preparation of a
joint land use study, with a City in-kind match of $27,362, and a total project costs of
$264,862.
The foregoing resolution was passed and approved with the following vote: Adler, Elizondo,
Kieschnick, Leal, Marez, Martinez, Scott, and Strong, voting "Aye"; Adame was absent.
Minutes — Regular Council Meeting
May 31, 2011 -- Page 4
10.c. ORDINANCE NO. 029081
Ordinance. appropriating $237,500 from Department of Defense Office of Economic
Adjustment in the No. 1072 Community Development Grant Fund for preparation of a Joint
Land Use Study.
An emergency was declared, and the foregoing ordinance was passed and approved with
the following vote: Adler, Elizondo, Kieschnick, Leal, Marez, Martinez, Scott, and Strong,
voting "Aye"; Adame was absent.
11. RESOLUTION NO. 029082
Resolution authorizing the City Manager to execute an Interlocal Cooperation Agreement
with the Port of Corpus Christi Authority relating to permitting of oversized/overweight loads
on city streets.
The foregoing resolution was passed and approved with the following vote: Adler, Elizondo,
Kieschnick, Leal, Marez, Martinez, Scott, and Strong, voting "Aye"; Adame was absent.
12. MOTION NO. 2011-127
Motion authorizing the City Manager, or designee, to execute a professional engineering
services contract with Alan Plummer Associates, Inc. of Austin, Texas in an amount not to
exceed $74,200 for the Wastewater Plants Pretreatment Program Services including:
• Assessment of Existing Technically Based Local Limits
• Program Modification to Comply with Streamlining Provisions
The foregoing motion was passed and approved with the following vote: Adler, Elizondo,
Kieschnick, Leal, Marez, Martinez, Scott, and Strong, voting "Aye"; Adame was absent.
13. ORDINANCE NO. 029083
Amending Project Description Sequence 11, Rehabilitate East General Aviation (GA) Apron,
in the Airport CIP and Project 6 in the Airport Long -Range CIP of the FY 2010-2011 Capital
Budget & Capital Improvement Planning Guide, adopted on March 8, 2011 by Ordinance
No. 028995 by revising the description of the East General Aviation (GA) Apron Project.
(First Reading 04126/11)
The foregoing ordinance was passed and approved on its second reading with the following
vote: Adler, Elizondo, Kieschnick, Leal, Marez, Martinez, Scott, and Strong, voting "Aye";
Adame was absent.
14. ORDINANCE NO. 029084
Authorizing the conveyance of a tax foreclosure property described as Lot 2, Copps
Subdivision, with street address of 1502 Tarlton Street, Corpus Christi (formerly Corpus
Christi Osteopathic Hospital) to Del Mar College to promote a public purpose related to
higher education and foregoing the City's share of property taxes due in the amount of
$53,806.29 in addition to $11,112.22 in paving and demolition liens; authorizing the Nueces
County Judge to execute a quit claim deed. (First Reading - 05/24/11)
Minutes — Regular Council Meeting
May 31, 2011 — Page 5
The foregoing ordinance was passed and approved on its second reading with the following
vote: Adler, Elizondo, Kieschnick, Leal, Marez, Martinez, Scott, and Strong, voting "Aye";
Adame was absent.
Mayor Pro Tem Martinez opened discussion on Item 2 regarding used tire disposal service.
Council Member Elizondo asked questions regarding the number of years the current vendor had
the contract; whether the current vendor could handle the contract more accurately based on
experience; reference checks on recommended vendor; and background checks on management
staff regarding EPA or TCEQ complaints. Assistant Director of Financial Services Michael Barrera
explained that the current supplier has been under contract for approximately two (2) years and
requested that the City go out for bids on the contract because their original bid did not take into
account the increasing fuel costs. Mr. Barrera stated that staff did perform a background check on
Santa Anita Reclamation LLC, reviewed references, and verified all permits and requirements and is
confident that the company will go a good job. Mr. Barrera added that staff only asked questions and
performs background checks on the company itself and not the employees and owners of the
company. In response to Council Member Elizondo, Assistant City Manager Oscar Martinez reported
that staff is researching what other cities are doing to track illegal dumping of tires and the use of
ultraviolet coding to identify the source of tires.
Assistant City Secretary Juarez polled the Council for their votes as follows:
2. MOTION NO. 2011-125
Motion approving a service agreement with Santa Anita Reclamation, LLC, of Linn, Texas
for used tire disposal service in accordance with Bid Invitation No. BI -0109-11 based on low
bid for an estimated annual expenditure of $79,200 of which $13,200 is required for FY
2010-2011. The term of the service 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 designee. Funds have been budgeted by Solid Waste and
Maintenance Services for FY 2010-2011 and requested for FY 2011-2012.
The foregoing motion was passed and approved with the following vote: Adler, Elizondo,
Kieschnick, Leal, Martinez, Scott, and Strong, voting "Aye"; Adame and Marez were absent.
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Mayor Pro Tem Martinez opened discussion on Item 15 regarding a supply contract for
natural gas. Director of Gas Operations Debbie Marroquin introduced the presentation team
including Assistant Director of Gas Ricardo Guzman and Carl Nalepa with R.J. Covington
Consultants LLC who were available to respond to questions. Ms. Marroquin provided information
on the terms of the contract; the purchase of 100% of the City's natural gas requirements; the
Request for Proposal (RFP) process; the recommendation of National Energy & Trade LP (NET);
and the donation of funds from NET to Operation Heat Help.
Mayor Pro Tem Martinez called for comments from the audience. Abel Alonzo, 1701
Thames, thanked Ms. Marroquin for a job well done and NET for their continued donation to
Operation Heat Help. City Secretary Chapa polled the Council for their votes as follows:
15. RESOLUTION NO. 029085
Resolution authorizing the City Manager or designee to execute a five-year natural gas
supply contract with National Energy & Trade, LP, for the purchase of 100% of the City's
natural gas requirement from July 1, 2011 to July 1, 2016.
Minutes — Regular Council Meeting
May 31, 2011 — Page 6
The foregoing resolution was passed and approved with the following vote: Adler, Elizondo,
Kieschnick, Leal, Marez, Martinez, Scott, and Strong, voting "Aye"; Adame was absent.
Mayor Pro Tem Martinez opened discussion on Item 16 regarding the issuance of utility
system revenue refunding bonds. Interim Director of Financial Services Constance Sanchez
explained that on June 22, 2010, the City Council approved an ordinance authorizing the issuance
of utility system refunding bonds in an amount not to exceed $12.5 million. Ms. Sanchez added that
since that time, the municipal bond market moved in the City's favor and City staff upon advisement
of Bond Council recommended on October 26, 2010 to rescind the original ordinance and
recommend approval of an ordinance authorizing the issuance of utility system revenue refunding
bonds in an amount not to exceed $112,800,000 which also authorized City staff a six (6) month
window to refinance the bonds. Ms. Sanchez reported that during those six (6) months, the bond
market has moved away from us reducing the positive impact of refunding opportunities and the
authorization expired on April 26, 2011. Ms. Sanchez explained that this item is requesting new
authorization for an additional six months for the City to act expeditiously if the market permits;
rescinding the ordinance approved on October 26, 2010; and recommending the original financing
team. Mark Seal, M.E. Allison, and Rogelio Rodriguez, Frost Bank, were available to respond to
questions.
Mayor Pro Tem Martinez called for comments from the audience. Abel Alonzo, 1701
Thames, spoke in support of the recommendation and asked questions regarding the benefit to
taxpayers. Ms. Sanchez explained that the City will be refunding the bonds at a lower interest rate
thus reducing the amount the City has to pay on those bonds on the debt. Mr. Seal reported that this
action will allow the financial team the opportunity to react to the market.
City Secretary Chapa polled the Council for their votes as follows:
16.a. ORDINANCE NO. 029086
Ordinance rescinding, canceling, and terminating an ordinance previously adopted on
October 26, 2010 by the City Council authorizing the issuance of "City of Corpus Christi,
Texas Utility System Revenue Refunding Bonds, Series 2010" and providing an effective
date.
An emergency was declared, and the foregoing ordinance was passed and approved with
the following vote: Adler, Elizondo, Kieschnick, Leal, Marez, Martinez, Scott, and Strong,
voting "Aye"; Adame was absent.
16.b. MOTION NO. 2011-128
Motion authorizing the appointment of M. E. Allison & Co., Inc. as Financial Advisor; Frost
National Bank as Senior Manager; and Coastal Securities, Inc., Hutchinson, Shockey, Erley
& Company, Sterne Agee, and Stifel Nicolaus & Co., Inc. as Co -Managers for the City of
Corpus Christi, Texas Utility Revenue Refunding Bonds, Series 2011.
The foregoing motion was passed and approved with the following vote: Adler, Elizondo,
Kieschnick, Leal, Marez, Martinez, Scott, and Strong, voting 'Aye"; Adame was absent.
16.c. ORDINANCE NO. 029087
Ordinance authorizing the issuance of "City of Corpus Christi, Texas Utility System Revenue
Refunding Bonds, Series 2011" in an amount not to exceed $80,000,000; making provisions
Minutes — Regular Council Meeting
May 31, 2011 — Page 7
for the payment and security thereof on a parity with certain currently outstanding
obligations; prescribing the form, terms, conditions, and resolving other matters incident and
related to the issuance, sale, and delivery of the Bonds; including the approval and
distribution of an Official Statement pertaining thereto; authorizing the execution of a Paying
Agent/Registrar Agreement, an Escrow and Trust Agreement, and a Purchase Contract;
complying with the requirements imposed by the Letter of Representations previously
executed with the Depository Trust Company; delegating the authority to the Mayor and
certain members of the City Staff to execute certain documents relating to the sale of the
Bonds; and providing an effective date.
An emergency was declared, and the foregoing ordinance was passed and approved with
the following vote: Adler, Elizondo, Kieschnick, Leal, Marez, Martinez, Scott, and Strong,
voting "Aye"; Adame was absent.
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Mayor Pro Tem Martinez referred Item 17 regarding the proposed FY2011-2012 Operating
Budget: General Overview. City Manager Olson explained that the document presented is a
balanced budget and meets the requirements of the City Charter and the major priorities of the City.
Mr. Olson added that the format includes the FY2012 budget; a basic three-year plan through
FY2014; and an assumption on policy issues for consideration by the City Council to prepare the
final version for adoption prior to August 1st. Mr. Olson thanked Assistant City Manager Oscar
Martinez, Assistant Director of Management and Budget Eddie Houlihan, and budget staff for their
preparation of the budget.
Assistant City Manager Oscar Martinez referred to a powerpoint presentation including the
requirements of the budget; the locations the budget is available for public review; the composition
of the budget; the zero -based budget approach; the fund structure; communication plan; the budget
deliberation process; and presentation schedule.
The following topics pertaining to this item were discussed: policy issues; the current number
of full time equivalents; the breakdown percentage of executive and lower level positions considered
for reduction; the three year planning process; whether elimination of positions will cut services or
those duties will be shifted to other staff; the zero based budget approach; justifying any proposal to
increase the effective tax rate; preliminary numbers from the Nueces County Tax Appraisal District
on ad valorem; and the projected shortfall.
In response to Council Member Strong, City Secretary Chapa reported that the Council will
have a budget workshop on June 71h beginning at approximately 1:30 p.m.
Mayor Pro Tem Martinez referred to regarding an update and briefing on Facility
Management & Maintenance. Assistant City Manager Oscar Martinez explained that this
presentation is being made in response to a request by City Council in April. Mr. Martinez referred to
a powerpoint presentation including a breakdown of the facility maintenance program; the budget;
challenges; goals of facility maintenance; and how to accomplish the goals. Director of General
Services Jim Davis and Facility Manager Gina Sanchez were available to respond to questions. Mr.
Davis stated that the staff's guidance is to develop a comprehensive plan to maintain all of the
buildings and structures in the City and General Services will be hiring a functional analyst to gather
data to assist with this process.
The following topics pertaining to this item were discussed: recognizing buildings given to the
City for on-going scheduled maintenance; creating the facility maintenance comprehensive plan
rather than just reacting; preparation of work orders; the duties of the functional analyst; the
Minutes — Regular Council Meeting
May 31, 2011 -- Page 8
proposed employee reductions in the budget; consolidating positions to realize cost savings; moving
towards privatization approach; and the number of proposed employee reductions that are currently
vacant.
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Mayor Pro Tem Martinez called for petitions from the audience. Abel Alonzo, 1701 Thames,
thanked City Manager Olson for his leadership in the budget and spoke regarding the problems
addressing the perception in the community. Mary Ann Kelly, 4302 Schanen, spoke regarding the
right to vote and the internal auditor position.
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City Manager Olson stated that as we proceed during the budget deliberations, it is important
to talk about every issue staff and the Council think is important for the Council to be completely
satisfied with the adoption of the budget. Mayor Pro Tem Martinez commented that is important for
the Council and the public to receive information in a timely manner.
There being no further business to come before the Council, Mayor Pro Tem Martinez
adjourned the Council meeting at 1:28 p.m. on May 31, 2011.
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I 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 May 31, 2011 which were approved by the City Council
on June 14, 2011.
WITNESSETH MY HAND AND SEAL, on this the 14th day of June, 2011.
Armando Chapa
City Secretary
SEAL