Loading...
MIN CC 05/19/19872111,Fua CITT C(jINCIL MEETING MINUTES BOOR "0" PAGE 895 I$UTES OF THE HUMTSVILI.E CITY COUNCIL METING HELD ON THE 19TH DAY OF MAT, 1987 IN THE CITY HALL COUNCIL CHAJOIRS, LOCATED AT 1212 AVENUE M IN THE CITY OF HUNTSVILLE, COUNTY OF WALKER, TEXAS AT 6:45 P.M. The Council met in regular aeUlon with the following members present: Jane Monday, Mayor City Officers Present: O. Eugene Barrett Gary Bell Jim Carter Ile G. Gaines William B. Green William L. Hammock Percy Howard, Jr. William H. Knotts, Jr. Gene Pipes, City Manager Scott Bounds, City Attorney FORMAL SESSION Mayor Monday then opened the formal session since there were no attending citizens signed up. The invoca- lon was presented by Pastor Brian Gigee of the Prince of Peace Lutheran Church. CONSIDER THE MINUTES OF THE PREVIOUS MEETING The minutes of the previous meeting of May 12, 1987 were then presented for approval. A motion was made and seconded that they stand approved as presented. All were in favor and the motion passed unanimously. CONSIDER ORDINANCE Consider ordinance approving claim and delivery of certificates of obligation for a front - loading garbage truck in the amount of 893.595 as assigned to Mr. J. H. Neiderhofer, Jr. at 6.12 for a four year maturity Mr. Gene Pipes. City Manager. then presented this ordinance, the caption of which is as follows: ORDINANCE N0. 87 -11 AN ORDINANCE APPROVING CLAIM AND DELIVERY OF CERTIFICATES OF OBLIGATION; AND CONTAINING OTHER PROVISIONS RELATED HERETO (4 year C.O. at 6.15 interest rate awarded to J. H. Niederhofer) Councilmember Barrett made the motion to adopt Ordinance No. 87 -11 and Councilmember Howard seconded the motion. All were in favor and the motion passed unanimously. CONSIDER BIDS Consider approval of a bid for Glaring and grubbing a water line easement on Lake Road for installation cf an eight inch eater main to Grisham Construction Company in the amount of $1,690. Mr. Pipes presented this bid and recommended it approval. He noted a total of eight contractors (locally) were notified of this project, however, only one presented a bid. Councilmember Howard made the motion to accept the bid of Grisham Construction Company in the amount of 51,690 and Councilmember Knotts seconded the motion. All were in favor and the motion passed unanimously. Consider bid for supplies to construct an eight inch water line on Lake Road in accordance with the CIP budget to Utility Supply Company in the amount of $8,832.34. The City Manager presented this bid as being the lowest of six other bids received. He dm recommended its approval. Councilmember Knotts made the motion to accept the bid of Utility Supply in the amount of $8,832.34 and Councilmember Bell seconded the motion. All were in favor and the motion passed unanimously. Consider bid and authorization for sale of surplus vehicles and a lawn mower as recommended by staff Mr. Pipes presented the bids for the sale of fourteen used vehicles and one riding lawn mower. He said the proceeds of the sale will be 52,187.99 and all revenues received will be deposited into the general fund - -s& of used equipment account. He then recommended that the bids on vehicles, where there is no tie, be awarded tc the highest bidder. Mr. Pipes noted there is a tie for two of the vehicles and this tie should be resolved witz the toss of a coin. The coin toss awarded vehicle number 3 to Jimmy Williams and vehicle number 11 to C. H. Smith, for $130.00 each. Jimmy Williams was also the higher bidder of vehicles 1, 2, 5, 6, 7, 9,and 10. C. H. Smith vas also the high bidder on vehicle numbers 4, 8, 13, and 14. Hubert Lawrence was the higher bidder of vehicle number 12; Robert F. Brown was the higher bidder on vehicle number 15 (Cushman Riding Mower-- $3C:.99). Vehicle Description Vehicle Description 1 51 -366 1979 Chrysler Newport SNTH42L9A214536 8 51 -368 1979 Chrylser Newport SNTH42L9.21450t 2 51 -321 1979 Chrysler Newport SNTH42L9A19V�6! 3 51 -324 1980 Plymouth Gran Fury SNJH42LAA1S9168 4 51 -328 1980 Plymouth Gran Fury SNJH42LAA145367 5 51 -329 1980 Plymouth Gran Fury SNJH42LM157426 6 51 -364 1979 Chrysler Newport SNTH42L9A214484 7 51 -367 1980 Plymouth Gran Fury SNJH42LM144047 tea- w� avav �u,yaica wc.yv.. 10 51 -371 1979 Chrysler Newport SNTH42L5_214473 11 51 -396 1980 Plymouth Gran Fury SNJH42:.AA157.:5 12 43 -153 1979 Chevy Luv Pickup SNCLN145_28033= 13 42 -235 1979 Plymouth Volare SNHL41L9E:16994 14 22 -82 1975 Chev 1/2 ton pickup SNCCv:- 5A136t:3 15 21 -309 1982 Cushman Riding Hower Vehicle 1 2 3 4 5 6 7 Bid Amount $101.00 $105.00 $130.00 5150.00 $115.00 5120.00 5125.00 Vehicle 8 9 10 11 12 13 14 15 Bid Amount 5200.00 5115.00 $130.00 5130.00 $175.00 $140.00 $150.00 .99 Councilmember Green felt there should be more received for the vehicles, noting the city has a bid of 5301.99 for the used lawn mower. He felt we could get more if we would sell the vehiclesin.component parts. Mr. Pipes responded by saying we are not •et up to do that. The motion was made and seconded to accept the high I bids as presented and the notion passed unanimously. CITY MANAGER'S REPORT BY GENE PIPES Consider the financing options relative to the capital street improvement program - -Mr. Rennie Baker, Cowan 6 Company; Consider the half -cent sales /tax reduction option for cities as authorized by the Texas Legislature and consider scheduling an election for the referendums Mr. Gene Pipes, City Manager, presented the options available to the Council to finance the street improve - {i ments, as follows: 1. Vote and sell general obligation tax bonds. No petition required, must be called 45 days prior to election. if not on one of the four already selected dates (January, May, August and November) need clearance with Justice Department. Requires simple majority. 2. Council authorizes and issues certificates of obligation- -can be carefully handled by bond counsel and financial advisor so that rating can be obtained and sold at competitive bidding. 3. Since assessed values have flattened, any continued street improvement program will require an increase property tax. Calculation of rate would depend on voters' decision on the sales tax issue. A favorabl vote by the public for a 1/2 of 1Z sales tax increase would result in a lower overall property tax. interest and sinking fund levy must be increased since no pledge of sales tax can be made toward debt service retirement. The maintenance property tax would be reduced. Mr. Rennie Baker made a presentation on the options listed above. He noted the rather erratic movement during the last week in the bond market with interest rates at 73 percent. He estimated the interest rates would be more in the range of 71 to 7 3/4 percent and were being affected by the value of the dollar on the international market. The Council was advised if the general obligation tax bond election is held in August the bonds would not be issued until probably October. This amount of time may allow for the market to settle down. (The first issue of $2 million could be sold in October, 1987; the second of $21 million In 1990 or 1991.) Councilmember Carter stated he is in favor of doing this bond program. but he cautioned the Council that it needs to be aware that if we are going to go to voters to brine the streets up to a grade that we thin{; they ought to be in. we are also possibly closing off some other options for new construction as we would probably not be able to go back to the voters in the near future for another two million dollar bond to build new streets. Councilmember Barrett said "new" streets don't have to be in the deal all the time and that we have streets that are traveled every day that are in terrible condition. He said if we don't improve what we have first. we'll be in bad trouble. He felt now is not the time to worry about constructing new streets. He said we are adding new water and sewer lines along with these street improvements so we are enhancing our infrastructure and making Huntsville more beautiful at the same time. Councilmember Carter indicated he agrees with Councilmember Barrett, but while we are increasing the infra- structure, we are not paying for those water and sewer lines with this bond issue. Councilmember Barrett said the water and sewer lines go along with it. Mayor Monday clarified that in the 1984 bond issue, the Council set the priorities for this city and for the utilization of our resources. This goal was accomplished, she said. to combine the street and the water and sewer lines to bring the city's infrastructure up to good repair. She said this has been the goal and this is simply the second stage of a long range plan. Councilmember Green said we're simply giving the voters the opportunity to choose, in a democratic way, if this is what they want to do with their money - -we're basically talking about a mechanism to finance it. Mayor Monday advised the council wants people to know what they are getting for their money, so we have documentation to let everyone know exactly what they will be receiving for their dollar and exactly what repairs will be done to the streets as well as information as to the maintenance of those improved streets and when that will come. She stated there is an actual documentation of dollar for dollar and what they will be buying if they authorize the issue of this bond program. Councilmember Knotts expressed his concern for how the low water pressure problems will be addressed in this program. Mayor Monday noted no water lines are in this new bond issue. Mr. Pipes said we have instead a companion capital improvement fund for water and sewer available for use where needed. He said we have identified in the capital water report those areas of low pressure and this geographical area is 19th Street, 20th, 21st and 22nd Streets on top of the hill from Sam Houston Avenue all the way down to Avenue R. Re said the Council will have the option to solve the water pressure problems this year in the new capital improvement program decision in conjunction with the street work. He said before we undertake the street surfacing, we will have to deal with the issue of whether we want to invest $632,000 in relaying the water mains in that area so that the pressure switch from the low pressure plain to the high pressure plain will not burst all of the plumbing in that area. He said this is not a factor of the street bond program because we are going to have to resurface those streets once way or the other at the same time the eater and sewer expenditure decision will have to be made prior to the street construction work in that particular area. Councilmember Bell noted his agreement with Councilmember Carter that if we do this it will limit some of the other things we can do- -the Robinson Creek Sewer Plant, for instance. He said what we are deciding tonight is a question of priorities. He personally felt our most important priority now is to get our streets smoothed out and he would like to see this bond issue passed because we need streets in Huntsville most importantly now. Councilmember Barrett said he would like tpgp on record as saving that unless we have the 1 /2c sales tax e ie ..e .o h ,k e .it z of Huntsville can stand another increase in property taxes at this time. Mayor Monday said we need to discuss the scheduling of this bond issue and the sales tax issue. She advised the next uniform electim date is August 8 (second Saturday in August). She said if the voters approve both issues, we would then have, in effect, the street program authorized and at the same time decrease taxes by an estimated 29Z. Councilmember Knotts made the motion to approve the plan for an August 8 bond election for two series in the amounts of 82 million and $2i million, respectively, for street improvements; and a referendum election to increase the city sales tax by 1 /2c (so as to be able to reduce ad valorem property taxes by an estimated 292)aod Ila Gaines seconded the motion. All were in favor and the motion passed unanimously. • Mr. Gene Pipes, City tanager, advised the staff will work out the lo_ bring the ordinance back for the Council's approval in the coming weeks. -- Mayor Monday said this is a rare opportunity for the City of Huntsville to accomplish both things for the citizens of this community to get their streets repaired and we are talking about every street in this City; a great deal of return in value for that while at the same time decrease their property taxes by an estimated 29 percent. Ice of the election schedule and Mr. Rennie Baker said these things are usually drawn (0, you all can be prepared) at an interest rate of not to exceed "ID' percent and you usually put in • real high interest rate than you expect, •o if somebody ■tops you on the street to say they saw that sample ballot with rates not to exceed, say, 9% or so, you should know that 1s a maximum. Mr. Baker said it should be made very clear that if the people pass that sales tax increase. the council HAS TO lower the property tax - -that is • fact and not • maybe. The Council all indicated they well understood that. Councilmember Bell said we are talking about some reasonably sophisticated tax and financing information here and this is absolutely imperative to get across to the public as a whole. He was concerned about what program or approach the city plans to take to do this effectively. Mayor Monday said the city will be visiting with the media about this and among the councilmembers to organize and plan the information. She asked the Council to begin thinking about the approach to use and then the council can discuss it at the next meeting. Consider the recommendations of Walker County Commissioner's Court on downtown parking regulations Mr. Pipes said this item concerns consideration of the Walker County Commissioner's Court recommendations on parking around the inside of the square adjacent to the Courthouse. He said with the advent of the Social Security Office meeting there on Monday each week, the 30 minute parking on the west side of the square, which _s the current standard, is considered to be much too restrictive. Also, he said, the county continues to suffer from abuse of the two hour parking on the south and east ebbs of the square. The Commissioner's Court is recom- mending that we have 30 minute parking on the north side for those people availing themselves of the services c'_ , the tax office and on the other three flanks of the interior of the courthouse, they are recommending a one hour parking limit on the theory that will suffice to take care of the patrons of the Social Security Office and it will also encourage the courthouse employees to park somewhere else other than adjacent to the square. Some effort has been made by Judge Robinson to contact the merchants on the outside of the square, Mr. Pipes commented, for fear the courthouse maployees might simply park across the street where two hour parking remains, but there is no consensus that can be reached at the present time. He said with the Council's concurrence, we can go one of tvo ways: 1) either author an ordinance amendment to come back next week to chaLei the parking regulations to reflect the recommendations of the Commissioner's Court; or 2) under the city manager's authority granted by Council, we can implement for a 90 day period, see how it works, and then codify it some time later. The Council gave their unanimous concurrence that option two above be implemented by the City Manager. Pipes noted he will proceed in that direction. Councilmember Barrett said the merchants he visited with would like to have one hour parking on both the inner and outer sections of the square. Mayor Monday suggested putting the change discussed above into effect for a week or two and then take another look. Report on information concerning Schaper Vs. City of Huntsville- -Scott Bounds Scott Bounds, City Attorney, in this matter. He said in this Hank Eckhardt, as an individual. that lawsuit in their individual attorneys have filed a motion for notice from the court that those to them would be to either pursue denied the date for rehearing on out some extraordinary procedure, U. 5. Supreme Court, so he would will be pursuing asking the Distr 5th Circuit. then advised the City Council as to the opinion of the 5th Circuit lawsuit there were two named defendants: Gene Pipes, as an individual and He said about a month ago, Hank Eckhardt and Gene Pipes were dismissed from capacities in the 5th Circuit and subsequent to that, Mr. Dale Schaper and his a rehearing and a motion for rehearing en bane. He said we have receiv motions have been overruled, so procedurally, the option that would be left some action to the U.S. Supreme Court within 60 days from the date that they May 6; or to simply go back to the District Court. He said with — normally the action of the 5th Circuit is not stayed by an appeal to the expent the action would be remanded to the District Court. He said the City ict Court to dismiss the City from the lawsuit based upon the opinion of the COUNCIL ACTION Neighborhood Integrity and Land Use Concerns Work Session Councilmember Bell noted he understands next week the City will have a work session on this. Mr. Pipes said the staff is working toward preparing for that meeting. Councilmember Carter noted he is glad this work session is planned because on Avenue 0 there is another example of an incompatible land use and even though th meet all of the regulations, it is in his judgement, an inappropriate use of that land space. Open House - -Pair Park Nursing Home Councilmember Howard noted he represented the City at the Open House at Fair Park Nursing Home last Saturday, as Mayor Pro tem. He said everyone there was in good spirits. ADJOURNMENT REMINDER: Mr. Pipes reminded the Council that the sequestering agent will be added at the Spring Creek Water Plant to help curb the brown water problem on Monday, May 25. He said we anticipate considerable brown water in various areas se we undertake a very vigorous, aggressive flushing program. He asked for the electronic and print media's assistance to inform the public to watch for it and to take care when washing their clothes for the next several weeks. ly bmi De haw, y 19, 1987 Secretary