MIN CC 05/22/1984i,
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MINUTES OF THE HUNTSVILLE CITY COUNCIL MEETING HELD ON THE 22ND DAY OF MAY, 1984 IN THE CITY HALL COUNCIL CHAMBERS
LOCATED AT 1212 AVENUE M IN THE CITY OF HUNTSVILLE, COUNTY OF WALKER, TEXAS AT 7:00 P.M.
The Council net in regular session with the following members present:
William V. Nash, Mayor
Eugene 0. Barrett
Murray A. Brown
Stephen E. Davis
Jerry L. Dowling
Bill Hodges
Percy Howard, Jr.
Jane Monday
Bob Tavenner
The meeting was called to order by the Honorable William V. Nash, Mayor. The invocation was presented by
the Reverend Elmer Fulp of the University Heights Baptist Church.
EXECUTIVE SESSION
Convene in Regular Session and Recess to Executive Session
The Council convened in regular session at 6:30 P.M. and then recessed into Executive Session to discuss
the deployment of security personnel (as part of the tabletop disaster drill).
FORMAL SESSION RECONVENED
Minutes of the Previous Meetings
The City Manager, Gene Pipes, advised that the minutes of the meeting of May 18 will be provided June 5, 1984.
The minutes of May 15, 1984 were approved by Councilmembers Monday and Howard and all were in favor.
PRESENTATION OF AWARDS
Recognition of Hania Lukaszewski, Valedictorian, National Merit Scholar
Mayor Nash then presented to Hania Lukaszewski, a certificate of recognition for her accomplishments at
Huntsville High School as Valedictorian and National Merit Scholar.
Recognition of Kenya Archer, Salutatorian, National Achievement Finalist
Mayor Nash then presented to Kenya Archer, a certificate of recognition for her accomplishments at Huntsville
High School as Salutatorian and National Achievement Finalist.
Recognition of Jim Warren, 1st in State, 4 -A, UIL Newswriting Journalism Contest
Mayor Nash then presented Jim Warren with a certificate of recognition for his accomplishments in being
selected 1st in the State in the 4 AAA UIL Newswriting Journalism Contest.
Recognition of Susan Olsta, National Merit Scholar
Mayor Nash also presented Susan Olsta with a certificate of recognition for her accomplishments at Huntsville
Hiah School as a National Merit Scholar.
Recognition of Amy Kasper, National Merit "Commended Student."
Amy Kasper was then presented a certificate of recognition as National Merit "Commended Student," by Mayor
Nash.
PROCLAMATION
Consider Proclamation Commemorating Public Works Week
Mayor Nash then proclaimed "Public Works Week" for May 20 -26, 1984 and presented the proclamation to
Mr. Johnny Poteete, Director of Public Works.
CONSIDER BOND SALE
Consider the official sale of $2,000,000 in Street Improvement Bonds, Series, 1984? by award of bids to be
opened at 7:00 P.M. C.D.T. and recommended by Mr. Rennie Baker, Cowen & Co., the City's Financial Advisor
Mr. Rennie Baker advised the Council that Moody's has rated our bonds to BAA -1 and Standard & Poors rated
our bonds as A on a scale of AAA, AA, A, BAA, etc. He noted they rated their bonds according to the economy of
the City noting that the stability of the two institutions (SHSU and TDC).are definitely a "plus," but this is
alot of property not on the tax role. He noted he personally rates Huntsville higher, but noted the Council
should understand that Huntsville does not have a diversified tax base. He noted these bond raters were impressed
with the low tax rate and with the quick pay back. He said while the timing of the sale is not fortunate, he
felt the number of bids and the quality of names to be read showed a good representation of bids. He asked the
Council to note what the net interest cost would be as the bids are opened - -as this would be a key figure.
Mayor Nash noted there was some concern about the length of time and the thought that the city was going to
sell bonds 40 years in length. He noted the maximum length of any bond being bid on is ten years. He noted the
average life of this series of bonds is 6.8 years. He noted this is consistent with the information the city
distributed at the time of the election. Mayor Nash noted there are checks here from two banks that are available
to all bidders rather than have each bidder turn in a good faith check. Mayor Nash noted there is a $40,000
check from American Bank and a $40,000 check from First City Bank with a list of bidders these checks represent.
Rennie Baker noted some bids will be with insurance. Mayor Nash then read the bids:
Underwood Neuhaus & Company, Inc.
Texas American Bank, Fort Worth
Shearson /American, Rotan Mosle, Inc.
1985 -1988 11.50%
1989 10.50%
1990 9.00%
1991 9.15%
1992 9.30%
1993 9.50%
net int, rate 9.657169
Cowen & Company
Mercantile National
etc.
MBIA Insurance
Rauscher Pierce Refsnes, Inc.
Blyth Eastman Payne Webber, Inc.
with insurance (joint managers)
Dean Witter Reynolds, Inc.
Prudential-Bache Securities , Inc.
E. F. Hutton and Merrill
Lynch Capital Markets
First City National Bank
Master Sanford Coon Ward
Holland, Inc., etc.
Net Effective Interest Rate
4.519761
9.497638
9.586397
9.862684
Republic National Bank 9.619715
Bank of Texas, Dallas, First
Southwest Company, M. E.
Allison Company, etc.
Capital Municipal Securities, Inc. 9.819623
etc.
Mayor Nash then asked Mr. Baker to check the math on these bids while the Council goes on with their other
business. Mayor Nash noted the Council is very pleased with these bids and he feels they are somewhat under the
market.
CONSIDER EXTENSION OF SANITARY SEWER
Consider participation in a sanitary sewer extension in the estimated amount of $2,093.75 (city's share)
Mayor Nash then presented the staff's recommendation to participate with Melissa Templeton for a sanitary
sewer extension with the city's share to be $2,093.75 and the cost to Mrs. Templeton to be $2,093.75. Mr. Glenn
Isbell, Director of Engineering Design noted he concurs that this project meets the City's requirements for
participation and he recommended that it be approved.
Councilmember Monday made the motion to approve of this participation and Councilmember Hodges seconded
the motion. All were in favor and the motion passed unanimously.
CONSIDER FUND TRANSFER
Consider authorization of a fund transfer from unallocated reserve, water and sewer fund, in the amount of
$3,341.25 for complete repairs on Water Well 15.
Mayor Nash noted certain repairs were done to Water Well 15 and these didn't check out, so although it
was thought that we would be able to save money on repairs, this did not work out and we will have to go through
with the whole process, requiring $3,341.25 more than budgeted. Councilmember Brown made the motion to approve
of this budget transfer and Councilmember Monday seconded the motion. All were in favor and the motion passed
unanimously.
CITY MANAGER'S REPORT
Meeting Schedule for June
Gene Pipes noted June 5 will be a regular meeting of the Council. He noted the Council will not meet again
for the next three weeks to allow the staff to concentrate on the budget. He noted we will get into this in
complete detail in July. He noted we will meet again on June 26. Mr. Pipes noted the Council will not meet
on July 4, 1984 but will enjoy fireworks at the Fairgrounds.
Trolly Car Presentation
Mr. Pipes noted there was a presentation of this trolly car earlier today, purchased by First National
Bank in conjunction with Brazos Transit Systems. He noted it will be in service sometime in September and is
in conjunction with a number of activities involved with the Sesquicentennial Program, etc. He noted this is
the first official announcement of this development which we have been expecting for quite some time.
Town Creek Park Sidewalk Pavers
The City Manager advised the Council that the sidewalk is near completion behind City Hall similar to the
new sidewalk constructed on the south side of the square.
Disaster Drill
Gene Pipes noted we will have a tabletop disaster drill on paper without physical activities on Friday at
11:00 A.M. He noted it will be a tornado disaster drill on paper.
MAYOR'S REPORT
Mayor Nash noted he will be out of the country for the next few weeks. He noted he would leave his
schedule with Mr. Pipes should he need to be reached.
COUNCIL ACTION
No Parking - -South Side of 16th Street from Avenue M to Avenue P-- near TDC facility
Councilmember Brown made the captioned request. Gene Pipes noted he will take alook at this problem.
HEAP Registration
Councilmember Davis noted it is HEAP registration time. He commended those responsible for the bulletin
which appeared in the paper - -he noted it was extremely well done.
CITY COUNCIL MEETING PAGE 417 -- BOOK "N"
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EMS Trailer -- Status
Councilmember Davis asked when the trailer would be moved onto the site for the EMS operation. Mr. Pipes
noted the rains have delayed this process, but the site should be leveled tomorrow and without further rain,
they should be able to set it up this weekend. He noted the business phone may not be installed until Monday.
Councilmember Brown noted the City should take some action to acquire a canopy for the vehicles. Mr. Pipes
noted this was discussed by the EMS Board and the County has agreed to assist with some type of temporary cover.
Councilmember Davis noted the EMS Board will make a recommendation soon for permanent facilities to assist in
the budgeting process.
Mayors, Commissioners and Councilmembers Meeting in Corpus Christi- -June 1 -3, 1984
Councilmember Davis noted he will be representing the city at this meeting. He poted he will share the
information he obtains with the Council upon his return.
Congratulations to new TDC Officials
Councilmember Dowling asked that the City Manager or Mayor write a letter of congratulations to Mr.
Raymond K. Procunier, TDC's new director and Deputy McCotter and put forth the city's best wishes in the spirit
of cooperation. Mr. Pipes noted he will be happy to do this.
HGAC Meeting
Councilmember Barrett noted he will be attending the Thursday, May 24th meeting in Houston for new council -
members, hosted by H -GAC.
Flashing Light -- School Zone - -7th Street - -Top of Hill
Councilmember Barrett noted several people have indicated they do not think of this area as being in a
school zone and he feels that this flashing light will alert motorists to slow down in this area. He asked the
City Manager to report back to him regarding the possibility of this installation.
Written Agreement- -EMS Contract -- New Location - -Gibbs Brothers
Councilmember Monday asked if we should be anticipating a written agreement with Gibbs Brothers regarding
the use of their property for the temporary EMS operation. Mr. Scott Bounds, City Attorney, noted he has dis-
cussed this with Carl Voskamp, EMS Director, and an agreement will be prepared between the City and Gibbs
Brothers and Steve Dawson regarding this arrangement.
Town Creek Park -- Rotary Club Participation - -Lions Club Participation
Councilmember Monday noted the Town Creek Park is enjoying the participation of the Rotary Club which
has adopted the wooded area west of City Hall for development over the next two years and the Lions Club has
adopted the creek bed itself as far as cleaning it up and beautifying it. She noted individuals have been
participating actively in the contribution of benches and light poles. She noted the benches, light poles,
etc. have been ordered and before long, we will begin to see these things appear.
June 5, 1984 - -Mayor Pro Tem Presiding
Councilmember and Mayor Pro tem Hodges noted in the Mayor's absence, he will be presiding over the
Council meeting on June 5, 1984. He noted the summer dress codewill be in effect and if you're late, you might
miss it (the meeting).
COMPLETION OF BOND SALE CONSIDERATION
Mr. Pipes noted Mr. Rennie Baker has completed his verification of the bids received and opened this
evening. Mr. Baker noted that the bid of Rauscher Pierce Refsnes, Inc. Blyth Eastman Paine Webber, Inc.
(joint managers) of the group for a net interest cost of just a hair under 9 1/2 (9.497638). He noted there
must have been 25 names included in the bidders representing every familiar name in the investment banking
business. He felt we received representative bids and a good turn out. He recommended awarding the bonds to
the lowest bidder, noted above. Councilmember Monday made the motion to accept the bid of Rauscher Pierce
Refsnes, Inc., Blyth Eastman Paine Webber, Inc. and Councilmember Davis seconded the motion. All were in favor
and the motion passed unanimously.
ORDINANCE NO. 84 -15
Mayor Nash then asked the Council to consider the ordinance in this regard to complete this process.
Councilmember Brown made the motion to approve of Ordinance No. 84 -15 completing the bond sale procedures and
Councilmember Monday seconded the motion. Discussion: Mayor Protem Hodges observed that this ordinance includes
both the $2 million passed by the voters on January 21, 1984 and the other $2 million passed by the voters in
case the state comes through with the funding, we should be prepared to move rapidly to get the funding.
Mr. Baker noted he has many documents germane to this sale that will need to be signed by city officers. He
commended Patricia Allen for her assistance in getting information together for this sale and he also commended
the assistance of Barbara Shelley, Boyd Wilder, etc. All were in favor of the motion and it passed unanimously
to approve this ordinance, the caption of which is as follows:
AN ORDINANCE AUTHORIZING THE ISSUANCE OF $2,000,000 CITY OF HUNTSVILLE, TEXAS STREET
IMPROVEMENT BOND SERIES, 1984.
ADJOURNMENT
Respe _ ully sub itted,�
h DeShaw, City Secretary
May 22, 1984