MIN CC 06/05/2001CITY COUNCIL MEETING OF JUNE 5, 2001 BOOK "S"
330
MINUTESOFTHE HUNTSVILLE CITY COUNCIL MEETING HELD ONTHE 5TH DAYOFJUNE, 2001, IN THECITYHALL, j
LOCATED AT 1212 AVENUE M IN THE CITY OF HUNTSVILLE, COUNTY OF WALKER, TEXAS AT 5:15 P.M.
The Council met in a regular session with the following members present:
COUNCILMEMBER:
William B. Green, Mayor Ralph A. Davis, Jr. Officers:
Mark Erb Marjorie Rex Bob Hart, City Manager
David Martinez Steed Smith Paul Isham, City Attorney
Vance Howard John Escobedo Danna Welter, City Secretary
Gary Crawford
FINANCE COMMITTEE MEETING [4:36 p.m. - 5:05 p.m.]
Discuss: a) Revisions to procurement policies and procedures manual and incorporation into the budget and fiscal
policies; and
b) Sanitation rate ordinance.
CALL TO ORDER [5:15 p.m.]
Mayor Green called the meeting to order.
INVOCATION
Invocation by Bob Hart, City Manager.
PUBLIC COMMENTS
1. Dorothy Shandera. Ms. Shandera stated that there is a problem with speeding on Hickory between 11" Street and
Crosstimbers. She suggested surveillance in the early morning hours and late afternoon hours. She also suggested that
more speed zone signs be added to this stretch of roadway and asked about the possibility of speed bumps.
Mayor Green stated that he would direct staff to evaluate this problem.
2. Randy Taylor, Cox Communications updated City Council on the system rebuild.
CONSENTAGENDA
1. Approve tax sale trust properties.
2. Ratify the City Manager's execution of the Consent of the City of Huntsville, Texas, for the assignment of the Developer
Contract with West Hills Park Joint Venture to Sourceone Capital Group, L.L.C.
3. Approve contract with HISD to administer and conduct a cultural, recreational, and educational enrichment program for .
the youth of the community during the 2001 summer months.
4. Authorize the engagement of Kenneth C. Davis, P.C. to perform the audit forthe fiscal year ending September 30, 2001,
at a cost of $13,500, to be funded from budgeted funds.
5. Update purchasing limit requirements chart and change the capitalization limit for inclusion of assets in the financial
statements from $3,000 to $5,000.
6. Approve City participation in the amount of $4,005 for a sanitary sewer line extension to the Dale Myers 1.00 acre
tract located on F.M. 2821, to be funded from the wastewater reserve for future allocation.
7. Approve waterline extension to service a residential development located at 13'" Street and Avenue B at a cost of
$15,345.00, to be funded from water reserve for future allocation.
8. Purchase Library Automation System Software, Data Migration, Installation and Training from Sirsi for $46,027 utilizing
funds from the $100,000 Telecommunications Infrastructure Fund Board Technology Advancement Grant.
Councilmember Davis asked that item 2 be removed from the Consent Agenda.
Councilmember Smith made a motion toapprovethe Consent Agenda except item 2, and Councilmember Rexseconded
the motion. The motion passed unanimously.
STATUTORY AGENDA
1. Ratify the City Manager's execution of the Consent of the City of Huntsville, Texas, for the assignment of the Developer
Contract with West Hills Park Joint Venture to Sourceone Capital Group, L.L.C.
On January 23, 2001, the City Council approved a revised developer contract with Tom Curtis and West Hills Park Joint '..
Venture to build a Home Depot store in Huntsville. Mr. Curtis and West Hills Park Joint Venture are obtaining a loan from
CITY COUNCIL MEETING OF JUNE 5 2001 _ _ BOOKS OOt
Sourceone Capital Group, L.L.C. (the "Lender") to finance the infrastructure and development costs for the Home Depot
Development and the Lender is requiring that the Developer Contract between the City and West Hills Park Joint Venture
be assigned to the Lender. The Lender has requested that the City consent to the assignment. Since West Hills Park Joint
Venture was closing on the loan with the Lender, the City was requested to execute the Consent as quickly as possible.
Mr. Hart contacted Mayor Bill Green and Vance Howard, Chair of the Finance Committee, and each ofthem agreed that Mr.
Hart could execute the Consent for the City and then obtain a ratification of that action by the City Council at this meeting.
The Assignment does not relieve West Hills Joint Venture of its obligations underthe Developer Contract, but allows the
Lenderto perform those obligations if West Hills defaults under the contract. City staff does not believe that the assignment
is detrimental to the City.
Councilmember Rex made a motion to ratify the City Manager's execution of the Consent of the City of Huntsville's
assignment of the Developer Contract with West Hills Park Joint Venture to Sourceone Capital Group L.L.C. and
Councilmember Howard seconded the motion All were in favor except Councilmember Davis. The motion passed 8 -1.
2. Approve lease with Robinson Family Heirs for the 18 -Hole Golf Course and Golf Facilities, to be presented by J. D.
Schindler, Director of Community Services.
The City needs to lease approximately 23.34 acres from the Robinson Family Heirs that is adjacent to Sam Houston State
University's ( "SHSU ") approximately 154 acres of land for the construction of the golf course. The City has negotiated the
terms of the lease with representatives of the Robinson Family Heirs that will allow the lease to run concurrently with the
Commercial Ground Lease with SHSU. Most of the terms of the lease with the Robinson Family Heirs is similar to the lease
with SHSU.
The Lease is fora 32 -year period and requires the City to pay an annual Lease payment of $8,000 for years one through
four, $10,000 for years five through fifteen, and $15,000 for years sixteen through thirty- second.
Councilmember Rex made a motion to approve the Lease with the Robinson Family Heirs for the golf course and golf
course facilities and Councilmember Erb seconded the motion. The motion passed unanimously.
3. Adopt Resolution 2001 -06 -05.1 authorizing the application of the TEA 21 grant at a total project cost of $1,050,875.09,
including a $210,175.02 City match to be funded from unallocated funds in the General Fund, as presented by Glenn
Isbell, Director of Planning and Community Development.
Staff is recommending that Council authorize an application for the TEA 21 (Transportation Equity Act for the 21"
Century) grant at a total project cost of $1,050,875.09, including a $210,175.02 City match to be funded from unallocated
funds in the General Fund related to improvements in the "Main Street' and the Downtown District
After much research and work, a plan has been devised that will "connect pedestrian paths" in the city of Huntsville. The
Proposed Scope of Work will include;
a) Re- working the sidewalk on the eastern side of University Avenue from 13" street to 16" street;
b) Lease and re -work 2 parking areas on 12" street (the Ernst lot and the Matthews lot). The parking lots will be
constructed to provide a safe and usable area for parking in the downtown area; and
c) Include lamps, new cement, benches, trash receptacles, ramps, curb cuts, and steps among others to enhance the
attractiveness and usability of the corridor from the university to the downtown.
Councilmember Rex made a motion to approve Resolution 200.1_ -06 -05.1 authorizing the application of the TEA 21
(Transportation Equity Act for the 21" Century) grant at a total project cost of $1,050,875.09, including a $210,175.02 City
match to be funded from unallocated funds in the General Fund related to improvements in the "Main Street' and the
Downtown District and Councilmember Howard seconded the motion. The motion passed unanimously.
4. Adopt the Solid Waste Collection and Disposal Rate Study and approve Ordinance 2000 -06 -05.1 amending Title 14
Garbage, Refuse and Rubbish of the Code of Ordinances, as presented by Boyd Wilder, Director of Public Works.
Reed, Stowe and Yanke, LLC (RS &Y) was retained by the City of Huntsville to perform a cost of service and rate design
study for the City's solid waste utility. The City budgeted $37,500 for the fiscal year 2000 -01 for this study.
RS &Y conducted a review of historical costs for the City's solid waste utility from FY 1993 -94 through FY 2000 -01.
The purpose of this review was to obtain a fundamental understanding of the financial impact resulting from the enactment
of Subtitle D, which was a set of federal regulations that placed more stringent requirements on the operation of municipal
,I solid waste landfills. These federal regulations have typically resulted in significant cost increases to the management of
municipal solid waste for cities across the United States.
CITY COUNCIL MEETING OF JUNE
BOOK "S" 332
Subtitle D resulted in a significant impact for the City of Huntsville. Due to the financial impacts Subtitle D would place,)
on the City's landfill, the City decided to close its landfill and construct a transfer station that the City could use to haul solid ;!.
waste to another landfill in the region. Prior to the impact of Subtitle D, the City spent $451,344 in FY 1992 -93 for then
disposal of solid waste, while in FY 2000 -01, the City has budgeted $1,499,096 for disposal of solid waste. This represents'j
a 177 percent increase in disposal costs over this period of time, which is equal to an annualized increase of approximately)!,.
14 %. In FY 1992 -93, disposal costs accounted for 27% of the budget for the solid waste utility. For FY 2000 -01, disposal',,
costs accounted for approximately 45 percent of the costs for the solid waste utility.
Despite the significant increase in disposal costs, the City has had only one rate increase, which occurred in FY 2000 -01.'j
The City was able to avoid significant rate increases over this period of time due to the solid waste utility's reserve funds.'"
For example, in FY 1993 -94, the solid waste utility had a reserve of approximately $2,231,194, whereas in FY 2000 -01 thell
reserve had decreased to approximately $499,869. During FY 2000 -01, the solid waste utility is expected to experience a'
revenue shortfall of approximately $470,000.
Councilmember Howard made a motion to adopt the Solid Waste Collection and Disposal Rate Study and approve'I,
Ordinance 2000 -06 -05.1 amending Title 14 Garbage Refuse and Rubbish of the Code of Ordinances implementing the
proposed rate design for the City's solid waste utility service (calculated by the formulas) to be effective in the June billing
cycle, and Councilmember Crawford seconded the motion The motion passed unanimously.
MAYOR ACTIVITY REPORT
1. Adopt Resolution 2001 -06 -05.2 creating an Economic Development Strategic Planning Committee.
This Resolution provides forthe creation of an Economic Development Strategic Planning Task Force to act as a steering .
committee to develop a comprehensive Economic Development plan for the City of Huntsville. The recommended
appointments represent a cross section of business leaders from the business and manufacturing community as well as
members from other community organizations.
On March 27, 2001, the City Council voted unanimously to renew its participation in Entergy's Team City community
development partnership that is designed to help cities and towns plan for the future. Team City participation provides
Huntsville with increased access to Entergy's business recruiting and prospecting efforts, its trade show program, its
research and economic development data base services and its grants and leadership training scholarships. We have
completed a comprehensive community self- assessment and community survey, which sets the stage for the planning.
process. The Economic Development Strategic Planning Task Force will host a planning summit to develop a vision and
mission statement and conduct a Strengths, Weaknesses, Opportunities and Threats analysis (SWOT) about the community
and begin developing goals /objectives and action items aimed at enhancing the local economy and quality of life.
Councilmember Howard made a motion to approve Resolution 2001-06-05.2 creating and appointing an Economic:
Development Strategic Planning Committee and Councilmember Erb seconded the motion The motion passed
unanimously.
CITY MANAGER REPORT
1. Program /Project Status.
City Manager Bob Hart updated Council on various programs and project status. He stated that the golf course .
groundbreaking ceremony will be held on August 271".
MEDIA INQUIRIES
Michelle Lyons, The Huntsville Item, asked if the City did not receive the TEA -21 grant, would the project go forward.
Mayor Green stated that no, if the City did not receive the grant, the project would not be implemented at this time.
WORK SESSION [6:30 p.m. - 8:30 p.m.]
Tourism Development Plan discussion with Chandler, Brooks & Donahoe.
ADJOURNMENT [8:30 p.m I
Donna Welter, City Secretary