MIN CC 03/28/1991CITY COUNCIL MEETING OF MARCH 28, 1991 BOO( "0" 341
MINUTES OF THE HUNTSVILLE CITY COUNCIL MEETING HELD ON THE 28TH DAY OF MARCH, 1991 IN THE CITY HALL COUNCIL
CHAMBERS, LOCATED AT 1212 AVENUE M IN THE CITY OF HUNTSVILLE, COUNTY OF WALKER, TEXAS AT 5:30 P.M.
The Council met in a regular session with the following members present:
W. H. Hodges, Mayor William S. Green City officers present: �
0. Eugene Barrett William H. Knotts, Jr. Gene Pipes, City Manager it
Gary Bell Ronald L. Lange Scott Bounds, City Attorney
James L. Carter Charles Robinson
Ito G. Gaines
'i
i
FORMAL SESSION
Mayor Hodges called the formal session to order. Councilmember Gaines presented the invocation. it
CONSIDER THE MINUTES
Councilmember Barrett made the motion to approve of the minutes of March 12. 1991 and Councilmember ii
Green seconded the nation. All were in favor (Councilmember Carter absent3 and the motion passed unanimously.
ATTENDING CITIZENS
The council was advised that Ms. Margie Allen will be arriving in about five minutes to speak to the
Council. Mayor Hodges noted the Council may have to ask her to come in a couple of weeks, because the Council !I
needs to move on with the agenda, since she is not present during the time set aside for citizen input. 'i
Consider the adoption of Ordinance No. 91 -4 accepting delivery of a 1991 roll-off truck for the sanitation
department authorizing the delivery of $78.786 in certificates of obligation to Barrett White G.M.L. and
authorizing the transfer of the certificate to D. Neiderhofer at 7.19 percent interest for four Years
Gene Pipes, City Manager, presented this ordinance, the caption of which is as follows:
ORDINANCE NO. 91 -4
AN ORDINANCE APPROVING CLAIM AND DELIVERY OF CERTIFICATES OF OBLIGATION FOR A NEW 1991 ROLL -OFF
TRUCK; AND CONTAINING OTHER PROVISIONS RELATED HERETO [$78,786, FOUR YEARS, 7.19%]
Councilmember Gaines made the motion to approve of Ordinance No. 91 -4 and Councilmember Knotts seconded II
the motion. All were in favor [Councilmember Carter absent] and the motion passed unanimously.
Consider approval of a wastewater utility extension to Mr. Case in the Hill & Dale Subdivision for $6.288
City Manager Pipes presented the staff's information concerning this extension, noting the city's pro
rata share is $4,088.00 and Mr. Case's pro rata share is $2,200 for a total of $6,288. He recommended approval
of this extension request as outlined. Councilmember Barrett made the motion to approve of this utility '.'.
extension and Councilmember Gaines seconded the motion. ALL were in favor [Councilmember Carter absent) and
the motion passed unanimously.
Consider approval of the following bids for annual supply contracts
Gifford Hill's bid for approximately 2.500 tons of flexible base at $6.86 per ton (delivered) :.
Mr. Pipes, City Manager, presented the city's recommendation to award the bid to Gifford -Hill & Co.,
Inc. for the annual contract for the periodic purchase of flexible base in an estimated quantity of 2,500 per
year, at a cost per ton delivered at 56.86. He advised five bids were mailed out and three were received. He
said Gifford Hill has had the annual contract for the past three years at a price per ton of $6.50.
Acetylene Oxygen Company's bid for approximately 50 tons of chlorine at $335.00 per ton (delivered)
The City Manager, Mr. Pipes, presented the city's recommendation to award this bid to Acetylene Oxygen
' Company for the annual contract for the periodic purchase of one ton cylinders of chlorine in an estimated
quantity of 50 tons per year. He advised five bids were mailed out and three were received. The Council was
advised that last year's annual contract was also with Acetylene Oxygen Company at a price of $430.00 per ton.
Consider extension of the contract with Paver-s Supply for hotmix asphaltic concrete
The Council was advised by Mr. Gene Pipes, City Manager, that it is the staff's recommendation to award
the bid for hotmix asphaltic concrete to its present supplier, Pavers Supply, who has been supplying the city ',.
CITY COUNCIL MEETING OF MARCH 28, 1991 BOOK gg" 342
for the first year of a two year optional contract. He advised the city reserved the right to extend the
contract for one year when it was awarded last year. He said the prices the city is currently paying represent
a fair market price at $24.50 per ton, type S; S23.50 per ton, Type D; and $21.00 per ton for Type D modified.
Discussion: Councilmember Knotts asked for the price of delivered limestone base; noting the Highway Department
uses it almost exclusively. Mr. Isbell, Director of Design Engineering, said it is quite a bit higher than
this, probably $9 or $10. Councilmember Knotts said Grimes County uses it. Mr. Isbell the said highway
specifications for base material are different than for this base. Mr. Pipes said the limestone has to come
from White Mines of Georgetown. Mr. Knotts asked if this is from the rock quarry. Mr. Isbell said he assumes
this is the local material. Concilmember Knotts said the limestone is a much better base. Mr. Pipes agreed,
noting there is no question about that. Councilmember Knotts said he understands that the limestone is about
all the Highway Department uses now. Councilmember Gaines made the nation to approve of all three of these
annual bids as Presented and Councilmember Barrett seconded the motion ALL were in favor [Councilmember Carter
absent) and the nation Passed unanimously.
Consider approving payment of $5 ,340 to Trinity Equipment Company for repairs to underground fuel tank located
at the airport
Mr. Pipes presented information from Mr. Harold Ramsey, Garage Superintendent, advising the city's
original bid for inspecting the underground storage tanks for leaks and soil contamination was $4,700, however,
this bid did not include soil samples because it was not known how many would be required until the leaks were
fond. Mr. Pipes advised after the lines were removed, three samples were taken at a cost of $160.00 each for
a total of $480.00 with all three samples testing high for TPH. As a result, he noted, the pipe trench had to
be dug down another foot to cleaner soil so that two additional $80.00 tests could be conducted for TPH, for
an additional 160.00. Mr. Pipes advised the total cost is now $5,340.00 to Trinity Equipment Company and he
recommended its approval. Discussion. Councilmember Knotts asked if this was the only bidder on this job. '
Mr. Pipes said the staff received quotes from several people and, in fact, had some difficulty in finding anyone
who would have the time to do this work because these inspections are going on at over the state. He said he
does not know that the others were even close to this quote, but the original estimate didn't include the soil
samples and with those costs added, it exceeds the 85,000 limit on amounts he can approve without Council
action. Councilmember Green made the motion to approve of the $5 -340 to Trinity Equipment Company for the
inspection work of the airport underground fuel storage tanks and CounciLmember Knotts seconded the motion
All were in favor [ Councilmember Carter absent] and the motion passed unanimously.
Consider repeal of City's salvage operators' ordinance
City Attorney Bounds requested that the Council table this action until a later time. Councilmember
Bell made the motion to table this item and Councilmember Gaines seconded the motion AlL were in favor
[ Councitmember Carter absent) and the motion passed unanimously.
Consider resolution authorizing the City of Huntsville to Participate in a statewide committee regarding
telephone company franchise agreements
Mr. Pipes, City Manager, advised Mr. Frank SturzL, Executive Director of TML, has requested that
Huntsville participate in a program to form a committee of cities to work on a model franchise agreement for
all cities to adopt in the coming years as franchise agreements expire. He said many cities have been more
active in this than the City of Huntsville [Abilene and others]. He said it is his understanding fees would
be assessed and experts hired to develop the proper document and the analysis needed to make the informed
decisions. He said he has been visiting with the local telephone company representative for some time, and the
telephone company has the same desire to have a model document generated for all the cities that will be uniform
and consistent throughout the state. He said Diane Lowe, representing Southwestern Bell Telephone Company, is
here tonight if there are any questions. He said it is brought to the Council's attention because it is a
specific request of the TML, who is seeking member cities to join in this effort. Mr. Pipes said the city staff
has not been involved previously in this matter.
Mayor Hodges asked for the City Managers recommendation. Mr. Pipes said he would defer to the other
cities, noting the city will be subject to the same model agreement and will receive the same benefit in the
Long run, whatever the outcome of the joint decision. He said he just didn't have the staff to keep up with
it. Councilmember Lange said he presumes the telephone companies are considered utility companies, such as Gulf
CITY COUNCIL MEETING OF MARCH 28, 1991 BOOK gg" 343
States Utilities Mr. Pipes said they are subject to the Public Utility Commission, just like the utility
companies. Counn Lmeober Lange asked what is the role of the PUC. Mr. Pipes said they do not have a role in
Local city franchise agreements, but do have regulatory control over the tariffs. Mr. Pipes said the cities
have historically negotiated their own franchise agreements. he said cities are somewhat handicapped in dealing
with a company the size of Southwestern Bell in trying to deal on a one -on -one basis to renew franchises. He
said cities typically telephone each other to see what each other is doing. He said this committee is simply
a system being promoted by TML to get this groundwork done in advance. A model franchise agreement with the
same return,payments aid consistency across the state is preferred by Southwestern Bell Telephone Company.
Councilmember Knotts said he understands it is not mandatory that the City participate in the j
development of the model franchise agreement, but yet it can still benefit from this effort. He asked if it
will cost the city anything. Mr. Pipes said there will be a pro -rate fee assessed by population on the member
cities that are dealing with the process. He said the cost is deliberately vague at this particular writing
because TML does not know how marry cities are going to be involved. He said they will need finds for attorneys,
consultants and drafting fees. Councilmeober Gaines said if the city can get the same results without''
participating and expending funds, it might be wise to do that. Mr. Pipes said the city will end up at the same
point, back to the PUC question. Councilmember Knotts asked why the city is even considering this. Mayor
Hodges said because TML asked us to consider it.
Conncilmember Lange said it was suggested about a month ago by Councilmember Carter that the Council
set up a committee from the City of Huntsville consisting of councilmembers, industry representatives, and
citizens, to look at utility rates. He said he would like to go on record that the Council look into
Councilmember Carte Ns suggestion. He said he really feels the Council needs to set up a committee. Mayor
Hodges asked what the committee would do. Mr. Pipes said what Councilmember Carter was suggesting is a board,
' such as the Parks Board, the Planning 8 Zoning Commission, etc., that would deal exclusively with utility rate
regulation matters and make recommendations to the Council. He said only the Council has the authority and it
cannot be advocated or transferred to any other group, but it can deal with a board, such as a utility board
or a rate regulation board, etc. Mayor Hodges suggested they can look into water and sewer rates. Mr. Pipes '.
said those are the same as 1984 and are bound to be good. Councilmember Knotts recommended tabling this item
until the city can see what it is going to cost the city to participate. Councilmember Green said it is his
understanding that if the Council approves this resolution to participate, it does not necessarily have to
approve the second resolution. City Attorney Bounds said TML is trying to find out first of all how many people '.
would be interested in having a committee, hoping that people would make a good faith effort to be a part of II
the ultimate fee sharing, but made it clear that separate action would be required to participate in the costs.
Mr. Pipes said this resolution is to give TML a -'show of hands." The caption of this resolution is as follows:
RESOLUTION NO. 91 -6
A RESOLUTION OF THE CITY COUNCIL OF HUNTSVILLE, TEXAS, APPROVING PARTICIPATION IN TELEPHONE
FRANCHISE STEERING COMMITTEE; AND DECLARING AN EFFECTIVE DATE
The resolution provides "That the participation by the City in the Telephone Franchise Steering Committee is
hereby approved and does not obligate the City to any payment; and it is anticipated that a pro -rata fee shall
be assessed by the Telephone Franchise Steering Committee at a later date. Such financial obligation shall
require the approval of a separate resolution. Such fee shall be based upon expected costs for the purposes
stated above and be determined by the population of the City."
COuncilmember Green said others are sometimes criticized for being "free riders," and he didn't feel
the City should be a free rider either. He said if the city wants this information, and it wants to supply it,
then the city should be willing to participate and pay its fair share. Councilmember Green then made the motion
that the City approve this resolution, with the idea than it may not agree later with the assessment charges.
He felt the Council should at least make a good faith effort to be a part of the planning process.
Councilmember Bell seconded the motion. Discussion: Counci Lmember Gaines reiterated that this is just a
"showing of hands-' and it is not financially binding in any way; if the Council does not want to commit funds
Later, it will not be obligated to do so if it passes this Resolution. Upon a vote on the motion, all were in
favor [Councilmember Carter absent] and the nation passed unanimously.
CITY COUNCIL MEETING OF MARCH 28, 1991 BOOK "0" 344
Consider tential Le al action regarding the Gulf states Utilities Company rate increase. rThe CitY Council
may recess into Executive Session to discuss this matter pursuant to the Texas Open Meetings Act.)
Mayor Hodges advised he would prefer to talk about it right here in the City Council Chambers rather
than going into Executive Session, but if anyone would like to adjourn to the Executive Session, he will do so.
City Manager Pipes said the Public Utility Commission has taken formal action regarding Docket No. 8702, the
Gulf States rate case, and has rendered a decision in that they have accepted [ratified) what was termed Last
time as the settlement agreement that was finally submitted to the Commission as a joint recommendation of the
parties agreed to the instrument. He said it would be his obligation to report a brief synopsis of the action
at the Commission last week. He said the net effect of that decision process is that what Huntsville thought
the PUC was created for has not taken place and it is, in fact, functioning today as an arbitration board. He
said if HuntsviLle is going to be an effective player in that process, Huntsville needs to change its approach .
to this. By deferring, as Huntsville did, he said, in July of 1989, in February, 1991 and again in March, 1991,
to the Public Utility Commission, Huntsville became a "non-entity"; it became ineffective in its participation;
in this rate case.
Mr. Pipes said the City of Somerville has formally requested that Huntsville consider joining them as
an intervenor in appealing the decision of the Public Utility Commission to the Travis County District Court.
He said this would be something that would qualify for discussion in Executive Session, if it is the Council's
desire. Beyond that, he said, he is obligated to tell the Council that at this point, the rate case is over
by virtue of a final and formal decision by the Commission. He said they have rendered a written decision since
then, with two commissioners confirming and one dissenting. He said the City of Somerville and the office of
Public Utility Council is going to appeal. He said the City of Somerville requests that Huntsville join them
as an intervenor. Councilmember Green noted then Somerville is suing the PUC. Mr. Pipes said that is correct
on the decision in Travis County District Court. Councilmxmber Green noted then the defendant is the PUC.
CounciLmember Barrett asked what Somerville's problem is and why are they stepping out in front of everyone else ,
to do this? Mr. Pipes said Somerville is on the far western boundary of the GSU service area in Southeast Texas
and are enveloped by the Bluebonet Electric Coop that has hydroelectric power. Some of their near neighbors
there compare bills and this creates a lot of heat because it is a dramatic contrast, he said, because what is
costing f84.00 per thousand kilowatts for GSU is a lot less with the electric rural coop serving customers
immediately adjacent to the City of Somerville. He said they feel very keenly that the rates are too high for
electrical service because they have close proximity neighbors with whom to compare bills. He said this is not
the only reason and the other reasons will probably be forthcoming in their appeal subject to be formalized next
Tuesday night.
CounciLmember Barrett said SomerviLLe has a unique problem. He said in looking at the material that
Dennis Singletary, Manager of the local GSU office, circulated to the Council, he did not feel the City should
participate in this because he didn't feel Huntsville should put out money for this kind of a search. Mayor
Hodges said we don't know how long something like that will take. CounciLmember Bell said on the other hand,
having the highest residential rates in the State of Texas is not a matter about which we will want to face our
voters with a great deal of equanimity. He said he is concerned about this and would personally like to discuss
it in Executive Session. Councilmember Knotts asked Mr. Singletary if he knows the rates of the Mid-South or
Sam Houston Coops. Mr. Singletary said he did not know them. Councilmenber Knotts said he can get Mid - South's
rates. CounciLmember Barrett spoke to CounciLmember Bell noting if he looks at the graphs provided, on a
competitive basis, the other providers are right in there with GSU. Mayor Hodges said before the Council
recesses to Executive Session, should anyone have questions of Mr. Singletary, they should ask those questions
now, such as about this graph. Councilmember Bell said he appreciates having the graph, but has no questions.
CounciLmember Lange said he'd like to address the PUC. He said when he first came on the Council, Mr.
Pipes posed three different questions to be answered: 1) retention on equity, 2) investment capital, and 3)
how they pay their taxes. He said these are very complex issues that are dealing with accountants and economics
and those questions have not yet been answered. Her said the PUC supposedly put the decision back on the
shoulders of the cities and the only information the city has received so far was from a lawyer from GSU. He
said he personally does not think it is a legal question, but more of an economic and accounting question. last
week, he said, he was in Austin on business and while there wanted to talk to a PUC commissioner. He said when
he tried to set up an appointment, he was told very bluntly that he could not and that it was highly illegal
for him as an elected official to talk to the PUC at this time since they were taking it under their
consideration. He said on the other hand, they were putting it back on the city's shouLders to make that
decision. The PUC has over 200 bureaucrats, lawyers, accountants, engineers, etc. available to them earning
CITY COUNCIL MEETING OF MARCH 28, 1991 BOOK wQ.. 345
some "high priced money," he said, that have been making some investigations for the last two years but still
when it came time to make a decision two weeks ago, they sent the lawyers of these five entities, whose salaries
Gulf States ultimately pays, to step outside to a back room, not in open session, to make a final decision.;'
He said he talked to Gene Pipes and he comnerds him for not going outside with those people to make that
decision. He said he would guarantee that he wouLd be one of the City Council asking for him to leave his post
if he ever made a decision that this City Council has the authority to do. He said he really would like to have �I
a letter sent to the Governor and the PLC to request an explanation of the real process and what is the purpose
of the PUC? He said he would also like to know how much money has been spent in the last two years for legal l
fees on this case and to then compare that to the amount of this rate increase request.
Mr. Gene Pipes said he can answer preliminarily the rate case expense question for the last two years
because he has just had a recap of that summary in January in the City of Cleveland where there was a meeting
of the Association of Cities. He said the ccapany asked for some $6.5 million for rate case fees in their
original filing and documented that. He said the examiner who heard the case awarded $3.5 million. He said
the associated cities with the attorneys for each city and the coalition attorneys' consultants, billed some
$700,000 and got an additional $200,000 set aside for possible appeals of this rate case Cwith that settlement
offer now in questionj. He said the total bill paid for the company for intervenor costs for the cities was
approaching $900,000 in this particular rate case and all of those costs are passed through to the rate payers.
Councilmember Lange said, in other words, it is his understanding that all of these fees are basically paid by
the Co nci0 s constituents through their utility bills. Mr. Pipes said every bit of it. He said the City of �.
Huntsville did not biLL one penny to the Association of Cities or to this rate case. He said it has had some !,I
'.. expenses as he and Mr. Bounds have traveled back and forth to Austin and they have spent some time; HuntsviLle
has had case expenses, but none was bit Led back to this rate case. Councilmember Lange said however the people
are still paying for it. Councilmxmber Carter added the city's rate payers are paying for Gulf States' defense
' of their position too, not just the effort of the Association of Cities. He said he would like to know how much
Gulf States has spent on legal fees to get a 430 million increase. Councilmember Lange noted it doesn't matter
if it is Gulf States, this CoaLition of Cities, every lawyer that want outside of the PUC's conference roan a
week and one -half ago is being paid by the City Councils- constituents and no one else and a Lot of money is G
being thrown away. He asked what information does the City receive from the ones who are suppose to be making
the decision? Absolutely nothing, he said, and he is disturbed about it.
Mayor Hodges said that information would be available in the future when they come to ask for a rate
increase; they will be able to bring in wheel barrels of documents that they take to Austin. Councilmember
Lange said the information is available, but the Council is not able to go in to ask the PLC any questions.
He said even State Representative Allen Hightower cannot go in to ask questions. He said elected officials are
not allowed to say one word to the PLC commissioners about anything on this rate case except in the hearing.
Mr. Pipes said if one is present at the hearing if they're on the docket they could address them at that point.
CounciLmember Lange said but he stiLL cannot ask them questions even there. He said if we are to make the
decision, we should be able to ask questions.
CITIZEN INPUT
Ms. Margie Allen. Reliable Cab Company to request council endorsement
Mayor Hodges then recognized Ms. Margie Allen, who came to speak during the citizen input /inquiry
portion of the agenda. Ms. Allen said she has two vans that are already equipped with meters, radios, etc.,
and the city had allowed her to run them within the city. She said according to the Railroad Commission in
Austin, with whom she met yesterday, even with one passenger in a van out of the city, the Railroad Commission !.
will fine her. She said she has been fined some $1,200 for taking one person from the Holiday Inn to the
Houston airport. She said the Railroad Commission is in the process of issuing her a Railroad Commission
License but this process would be expedited with the support of the City Council in saying that her service is
needed, that she has performed a good service, and that her particular cab company has been with the city some
55 years. She said because she has these vans with meters, she cannot take them outside of the city Limits.
She repeated she just needs a letter from the City Council saying that her service is needed to transport
ex- inmates out of town, or anyone for that matter as it makes no difference whom she transports out of town.
She said she cannot take her vans out of the city Limits because they are not designed as taxis, according to
the Railroad Commission's interpretation of the regulations. She said the Railroad Commission says the vans
have six seat belts in them and a taxicab is defined as one that will seat no more than five.
CITY COUNCIL MEETING OF MARCH 28, 1991 BOOK "g" 346
Mayor Hodges asked if it is unusual for the city to support a petition like this. Mr. Scott Bounds,
City Attorney, said certainly the Council would have some discretion. He said the basic rules here are that
the city can License taxicabs to operate within the city limits. The Texas Railroad Commission Licenses as
buses those vehicles that carry more than five passengers, he said, if they leave the city limits. He said if
one has a mini -van, it is considered a bus for the purposes of the Texas Railroad Commission and it requires
a Railroad Commission permit either for a fixed -route service or for an on- demand service if it is used outside
the city Limits. He said the city has not, in the past, taken a position on either this request or the request
of other carriers such as for Mr. Brent Justice of Via Transco and some of the other companies that provided
ex-inmate transferral services from the city to other locations.
Councilmember Bell noted is a Legal issue and involves possibly some Legal intervention. He Suggested
it be referred to Executive Session as wet L. Council member Barrett suggested referring it to the City Attorney.
Councilmember Bell said he would like to hear from the City Attorney in Executive Session concerning this
particular case. City Attorney Bounds said it would need to be posted on the agenda and if it were to be posted
on the agenda, the Council could discuss it in Executive Session. He said the City could eventually be a party
or take a position with the Texas Railroad Commission. Gene Pipes, City Manager, noted this could be the basis;
the city would have to declare party status or intended party status for the Railroad Commission. Counci Lmenber
Bell asked if the letter of endorsement would place the city in party status. Mayor Hodges said he has somewhat
of a problem with issuing a Letter of this type simply because anyone who comes down wanting to take people to
Houston, the Council would be asked to endorse that too. Councilmember Carter said that is not necessarily true
because she says she has been in business for 55 years in town and there may be others; but the Council can make
judgements of people it feels are doing legitimate business and those who are just coming in. He asked that
the City Council establish some type of criteria. He said he is trying to help her because she is competing
probably with out -of -town people, people who are coning in and doing business here, so the city may as well try
to support some local business in this sense.
ConciLmember Barrett asked Ms. Allen if she was fined for having more than six in her vehicle. Ms.
Allen said she had one passenger at that particular time. She said the Railroad Commission made it clear to
her yesterday that she was fined because the vehicle is designed to carry six people comfortably, and the law
states the van is not designed for a taxi. She said within the city the van has really served a great purpose
because sometimes there are seven and eight people at the airport that are coming to Huntsville. She said she
has received a lot of favorable comments on her transportation vehicle because it was not expected of a small
town like Huntsville. Councitmember Barrett asked if there is anyone else using vans on the highway. Ms. Allen
said all of the area cab companies have them. Councilmember Barrett suggested placing it on the agenda for the
next meeting. Councitmemmber Robinson asked Ms. Allen to clarify that the Railroad Commission is in the process
of giving her what she needs. She said this is what she said, but the Railroad Commission is just taking
Longer, however, she would probably be issued this permit faster if she had some endorsement- - someone from the
city to say that all of her documentation is in order, that she is known, and that her company has been in
business for 55 years. She said this would get her back on the highway with her mini -vans that are already
equipped with taximeters and radios. Mayor Hodges advised Ms. Allen the Council will instruct the City Manager.
to have this on the next agenda and to review this matter with the City Attorney. He said hopefully the Council
will have an answer for her at the next meeting. Ms. Allen thanked them for their time.
RECESS TO EXECUTIVE SESSION TO DISCUSS THE GSU RATE CASE SETTLEMENT
RECONVENE FORMAL SESSION
Mayor Hodges then reconvened the formal meeting. Councilmember Barrett made the motion that the city
"not" participate in the Legal action regarding Gulf States Utilities Comnanv's rate increase and Councilmenber
Gaines seconded the motion. Discussion: Councilmember Bell noted, for the record, that he is tired of being
jacked around by Gulf States Utilities and is tired of paying outrageous rates that, to the best of his '
knowledge, are some of the highest in the United States. He said it seem to him that the City should fight
Gulf States legally over this rate increase because the City is facing some extraordinarily high rates. He said
he feels, as representatives of the people, it is the Councilors responsibility to try to prevent that, even
though it may take some legal costs and time. He felt Gulf States is taking serious advantage of the good will
of the people of Huntsville and he proposed that the city act in this manner on that basis. Counci Lmember
Barrett said if he thought it would do any good whatsoever, he would certainly feel the same way, but he cannot
see just wasting the citizens' money on an effort that is useless.
CITY COUNCIL MEETING OF MARCH 28, 1991 BOOK "g" 347
Councilmember Green said his comments are really more directed toward the PUC. He said he has no real
f knowledge as to whether the rate increase that Gulf States Utilities requests is either fair or unfair because
he does not have the information to make that kind of informed judgement. He said the procedure that the Public
Utilities Commission used for arriving at the rate is anything but what was intended when they were initially
created. He said they were created with the intent of taking information that was provided to them, using the
staff they have available which should have knowledge of rate regulation, arid rendering a decision based on the
information and the analysis that is provided them by their own staff. In fact, he said, what they have done
is to defer that and simply not made the judgement that they should make and placed cities Like Huntsville in
a position where they are asking them if they don't like the way that the decisions are made, that they
effectively sue the PUC, not Gulf States, in the court. He said if we take this to court, we are not suing Gulf
States, we are in fact suing the PUC because they didn't use the right procedure. He said we are, in fact,
putting ourselves in an adversarial position with a governmental board. He said he would like to see the PUC
address the role for which they were created and he is not sure what procedure they should be following as
initially charged. Possibly, he said, if the law is not direct enough as to what they should do, then maybe
the cities need to work with their representatives to change the structure of the law which then forces the PUC
to make the decisions for which they were created. Councilmember Carter felt the city has an obligation to
fight the case and he knows we will be using taxpayers dollars in a sense to do that, but either way, he felt
taxpayers/consumers of electricity are going to have to pay and if the City of Huntsville does not stand up for
them and has some resources to do so, the citizens really do not have much of a chance to stand up for
themselves. He said he is in favor of continuing the appeal and fighting on until the city gets a better
resolution of the matter.
Mayor Hodges said we have a notion "rat to participate" and we have a second to that motion. He said
since we are going to have a split vote, he asked the council to raise their hands. Those in favor of the
motion were CounciLonembers Lange Barrett Gaines Robinson Green and Mayor Hodges. Those opposed were
I Councilmembers Knotts Bell and Carter. Mayor Hodges said the motion passes by a vote of six to three.
CITY MANAGER'S REPORT --GENE PIPES
Discuss Dreliminar.a_uenda for next meeti
Mr. Pipes, city Manager, advised there are some problems with dates through the month of April
considering he will be at a seminar on "Excellence in Local Government Management" at North Texas State
University on Wednesday, Thursday and Friday, April 10-12. He said the following week is the Folk Festival!
activities. Next week is a possibility, he said, but since the city is on holiday on Good Friday, it would have
to be on Thursday of next week so the staff could post the agenda on Monday if that will meet with everyone's
convenience. He said he does not know what the consequences wouLd be to have two meetings in a row the third
and fourth week of the month to get in the two minimum meetings for the month. -
Consider Revised Meeting Time
Mayor Hodges asked the Council to give the City Manager their vacation schedules so he can schedule
meetings when most of them are in town. He said he hopes the Council likes the Thursday afternoon, 5:30 P.M.
meeting time. He said he feels it is very good for City staff as they can work on one week's agenda during that it
week. He said it allows staff to get off work at 5:00 P.M. and begin the meetings thirty minutes Later. He
said most of the staff works in excess of 40 hours a week anyway and if the Council can continue this 5:30 P.M.
meeting, they have a chance to get home a couple hours earlier than they would normally. He said if it meets
with the Counci L's approval, he would like to continue this schedule on a trial basis for a month or two. -
CounciLmember Bell said one of the reasons the city didn't have its meetings on Thursday nights is
because it conflicts so egregiously with the school board so that citizens that need to attend the school board
are prevented from doing so and at times, there is business that would be prohibited by meting on the same
night as the school board meets. Mayor Hodges asked when they meet. Mr. Pipes said they meet about twice a
' month and it may be possible to dovetail with their meeting night. He said he does not believe they have met
on consecutive Thursday nights in some time. Mayor Hodges asked if they meet at 7:00 P.M. Mr. Pipes said they
are meeting now. Counci Lmeaber Carter said another consideration concerns the media. He said citizens and even
the media wouldn't be able to come if we have both of those meetings on the same night; the media would have
to hire more reporters or one meeting would have to go uncovered. Mayor Hodges asked them to try it for a short
period of time to see how it works out.
CITY COUNCIL MEETING OF MARCH 28, 1991
BOOK "ga
348
Counci Lmember Carter felt those two reasons are enough to prevent the Council from changing the meeting
to Thursday night, but he does Like the 5:30 P.M. time. He suggested 5:30 P.M. on Tuesday nights.
Councilmember Gaines agreed. Mayor Hodges said that is fine and he does like the idea of 5:30 P.M. because it
makes it more convenient for people on their way home from work to come by rather than going home and then
coming back. Counci Lmember Barrett also agreed. Counci Lmember Lange said he Likes Tuesday because the Council
receives the agenda on Friday afternoon or evening and that gives him the weekend to go through the agenda,
whereas on Monday, he is looking at the agenda after a work day; it is just more convenient to have it over the
weekend for review. Mayor Hodges then asked that the Council consider moving the meeting time to 5:30 P.M.
rather than 7:00 P.M. on Tuesdays. The Council gave their general consensus. Mr. Pipes said he will set that
up and apologized for not having the "preliminary" agenda ready.
Council Action
Travel Funds for Councilmember Carter
Councilmember Carter advised he has requested some travel money which goes a little beyond the Council's
norm $500 per year allocation, to go to a conference on "Innovative Rural Comsunities" in Canada. He said
he wants ell of the Council to be aware of this. He said because he requested these funds, he will not be going
to the TML meeting next year so that it will balance out, assuming he might get re- elected. He said if he does
not get re- elected, he will pay back that amount, whatever the difference is, next year. He said he does not
think the amount of money he is taking out affects the amount of money available to all of them to go places.
He said he just wanted them to know in case the question came up. Councilmember Green said he will be
interested in hearing a report on the meeting when he comes back. Mayor Hodges asked Councilmember Carter to
work with the City Manager on the proper way to handle this.
H -GAL Meeting
Councilmember Barrett advised he attended an H -GAC meeting last Tuesday, where they featured a good
"voluntary" recycling program that has been in place for a good while in Liberty, Texas. He felt the city staff
really needs to look into this as it really does save the Landfill space. Mayor Hodges asked if this is as good
a program as he has heard of around here. Councilmember Barrett said yes, noting residents can buy the
different colored bags at the grocery. He said the blue bags mean it is recyclable material and they don-t have
to divide it aLL up into glass and aluminum, paper, etc. He said when the garbage people pick that up, they
know that is a recyclable item and they can put it in a different place. Mayor Hodges asked the City Manager
to have someone on staff look seriously at this program.
The whistler - -Texas Historical Medallion Proclamation
Councitmember Barrett advised he represented the Mayor at the Dedication of an Official State of Texas
Historical Medallion for the Eastham- Thomason House on Saturday, March 23, 1991 by presenting a proclamation.
He said there are only two such medallions bestowed on structures in Huntsville. He said the marker is
installed on the porch and the home is a very attractively restored home and one of which we can all be proud.
He encouraged the Council to visit the house.
Dedication of Eastham - Thomason Park, donated by the Thomason Family
Coucilmember Knotts said he attended the dedication of Eastham - Thomason Park at 7th Street and Avenue
N on Saturday, March 23. He said he feels this is a good step forward in that part of town.
Reminders: Fair Parade on Saturday and Folk Festival on April 19- 21 - -get ready
Councilmesber Gaines reminded the Council that the fair parade is on Saturday. She also reminded them
of the 4th AnnuaL General Sam Houston Folk Festival coming up on April 19 -21 and asked those on Council who will
represent historical characters to get their costumes ready. She said some exciting things are planned.
ADJOURNMENT
Ruth DeSAaw, City
March 28, 1991
L