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MIN CC 10/01/1991CITY COUNCIL MEETING OF OCTOBER 1,1991 BOOK "Q" 497 MINUTES OF THE HUNTSVILLE CITY COUNCIL MEETING HELD ON THE 1ST DAY OF OCTOBER, 1991 IN THE CITY HALL COUNCIL CHAMBERS, 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: W. H. Hodges, Mayor William B. Green City officers present: 0. Eugene Barrett William H. Knotts, Jr. Gene Pipes, City Manager Gary Bell Ronald L. Lange Scott Bounds, City Attorney James L. Carter Charles Robinson Ruth DeShaw, City Secretary Ila G. Gaines FORMAL MEETING CONVENED Mayor Hodges called the form L meeting to order at 5:15 P.M. He recessed the Council into Executive Session to consider real estate acquisition matters: 10th Street right -of -way; Easements to complete the tow-high pressure conversion project; Street and utility rights -of -way of Crosstimbers; Real estate disposal matter: 10th Street lot; Consultation with attorney concerning HISD, at al. Vs. Quality Valve. No other items were discussed in this Executive Session and no formal action was taken on these items. The Mayor and Council reassembled for the Citizen Input /Inquiry Session at 6:00 P.M. Mayor Hodges introduced the Interim Pastor of First Presbyterian Church, Duke Kilgore, who presented the invocation. ' CITIZEN INPUT /INQUIRY SESSION Dr. Dick Payne, Spring Lake Resident-- MCDOnaLd'S Creek Flooding Problems Dr. Payne asked the Council for assistance on a maintenance problem that he has discussed with various members of the Council and staff for several years concerning the City's property known as McDonald Creek which runs through Spring Lake. He said this creek is suffering from siltation and needs to be cleared of the considerable dead -faLL that is now blocking it. He said he and other property owners along the creek have lost a number of trees as a result of flooding on the creek and folks are now complaining about the mosquito infestation because of the stagnant water in this area. He said approximately two years ago a city crew surveyed the area, preparatory to restoration of the creek, however, nothing has been done since then; it was good symbolic policy implementation, but did not solve the problem. He said very frankly the residents are getting --a little tired of it." He said he estimates he has lost about 10 feet of property to this creek as it has flattened out in his back yard. Council Questions. Councilmember Bell, also a resident of Spring Lake and the CounciL representative for this area, asked if water is getting into the houses in this area and if he has experienced this situation. Dr. Payne said he had photographs of the area behind his house before this silting and dead -fall problem began [would have brought the photographs but they were damaged in the flood]. He said the city's water did get into his garage. He said the last rain was unusual but he had an interesting complex of problems because he had water from McDonald Creek close to the back of his house and he was in the front yard digging out a bar ditch that belongs to the city to keep the water from coming down to the front of the house. City Manager's Response. Mr. Pipes, City Manager, advised the city has been aware of this expected project since the City accepted a gift of some park property from Mr. Etheredge on the opposite side of McDonald Creek from Dr. Payne and others on Summer Lane. He said as the Council knows, the city has drainage maintenance money budgeted but it does not have specific projects scheduled or a priority schedule for the projects because there are so many areas to address with these limited funds. He said this problem is more of a flooding problem than an erosion problem and more of a silting problem than a washing problem. He said the creek is encroaching ' by spreading out well beyond its original boundaries causing these rather boggy areas. He advised the Council that to undertake this project is going to require a reconciling of the Council policy and sensitivities concerning the fact that we can't put a machine [backhoe or trackhoe or even a bucket -type crane] in there to dip this creek out without taking down vegetation on one side or the other of the creek. He said the property owners would prefer for them to be on the city's property side, which is dedicated to be used as park property; this activity will take down some trees in the process. He said it is a matter of reconciling some of their ideas about this and arriving at a consensus. Mr. Pipes said this is a priority project but the staff has not CITY COUNCIL MEETING OF OCTOBER 1,1991 BOOK "0" 498 been in good position to address drainage as a highest poriority, but it is aware of the problems Dr. Payne hash mentioned, noting it is a very high priority area almost every time it rains. He said all of the drives fLood'T at a greater frequency now, than they did ten years ago because there is no carrying capacity of the creek. He� said it certainly needs to be addressed and it is a matter of work crew priority and the Council's willingness,�. to have the access to that side of the creek cleared out sufficiently to allow operating equipment and trucks'. to haul the silt material out. Mayor Hodges asked Mr. Pipes to bring back a cost estimate on doing this work. Mr. Pipes said he will provide that information. FORMAL MEETING Mayor Hodges then called the formal session to order. CONSIDER THE MINUTES OF THE PREVIOUS MEETING He noted the City Secretary, Ruth DeShaw, has provided corrections to these minutes, as follows: page" 486, add Rhonda Ellisor to Tourism Council Member List [inadvertently omitted]; and on page 492, change "is" to "if' in the last Line of the second last paragraph: ". . . to ask Ms. Anisman "if ". . ." and the final change is to be more specific in wording by changing the second Last line of page 492 from "Ms. Pease said it is meant to be a "machine" tape recorder." to "Ms. Pease said she thought it was a tape recorder." With these corrections to the minutes as submitted. Councilmember Barrett made the motion to approve the minutes of September 17. 1991 and Councilmember Gaines seconded the motion All were in favor and the motion passed unanimously. ATTENDING CITIZEN Mr. Ray Moore, President AARP to present a gift for development of a cultural center Mr. Gene Pipes, City Manager, advised Mr. Ray Moore is not present this evening, but he wishes to test the Council's willingness to accept a monetary gift (approximately $5,000) some time within the next six weeks ' from the Huntsville Chapter of AARP with the encouragement that the City provide meeting facilities for activities of their organization and other similar community groups through the construction of a community cultural activities center. Mr. Moore's Letter proposal provides, however, that if this money is not used by the City for such purposes within five years, then it should revert back to the AARP Chapter of Huntsville. Mr. Pipes said Mr. Moore will be obtaining the consensus of his board in the meantime, but will not pursue this if the Council would not Look favorably upon this concept. Mayor Hodges noted this is a generous offer and encouraged the Council to approve of the concept with the added stipulation that if these funds are not used for the cultural center that they can be used for the Library. Mr. Pipes said the Huntsville Chapter of AARP is interested in a meeting place, noting they are presently meeting in the Methodist Fellowship Hall and it is almost filled to capacity each time they meet. He said they are interested in providing alternate meeting space. Councilmember Green asked if they would have any interest in contributing to the library. Mayor Hodges noted he makes that suggestion in the spirit of public interest but is not sure they would have an interest in doing that. CounciLmember Green noted they might be interested in having those funds go to the library if they are looking to the Library for a place to meet. Mayor Hodges said AARP just has funds it wishes to contribute to the community. Councilmember Barrett said if the members of this chapter are seeking a place to meet, the Council should not add the stipulation that they contribute the money to the library. Mayor Hodges clarified then that they wish to contribute to the cultural center if it is built, but if it is not built, they have asked that the funds be returned to them. The consensus of the Council was to accept this concept as presented by the Huntsville AARP Chanter without amendment Mr. Pipes noted he will so advise Mr. Moore. CONSIDER TOURISM BUDGET FOR 1991 -92 Consider the proposed Tourism Budget for FY 1991 -92 as presented by the Tourism Council Mayor Hodges asked for the Council's consideration of the Line item Tourism Council budget for 1991 -92 in the amount of $99,000, as discussed at length in the meeting of September 17, 1991. CounciLmember Gaines made the motion to approve the budget as presented and Councilmember Barrett seconded the motion - Council Discussion. CounciLmember Bell noted the tourism budget has concerned him for a number of years. He said his research into how tourism is handled across the country [Canyon City, Colorado; Billings, Montana; Provo, Utah; Cedar City, Utah; etc.] reveals that for most cities under the size of approximately 200,000, the Chambers of Commerce typically handle tourism, which synchronizes with the local situation. He said many of the places contacted in his research advised there is a continuing concern about whether tourism monies are being used for tourism purposes. He said this is an item that has concerned him ever since he was elected to the Council. He said most Chambers of Commerce that handle tourism do so, with or without any kind Mayor Hodges noted while he can't respond for the Chamber, it would seem to him that as few full -time, CITY COUNCIL MEETING OF OCTOBER 1,1991 BOOK "0" 499 they need to shift responsibilities on a regular basis, depending on who is there, work loads for that time of the year, etc. He felt the other good thing the City gets out of this, through the Chamber, and specifically) of help, and it has been his feeling that they 50 budgets the Tourism Bureau, is literally hundreds and thousands of hours of volunteer work. public general spend about percent of their total or�� Councilmember Bell responded by shifting the terms of the argument, which is why he prefaced his tourism, that is with or without a hotel -motel tax; clarifying that about 50 percent of what a Chamber does;; comments as he did, noting the Council has always assumed that if tourism in the city is going to be done it.'. if they are in the tourism business, is to spend on tourism. He said he would like to project to the council] is going to be done through the auspices of the hotel -motel tax. He said he submits to the Council that the today, for the first time in six years, that the Chamber of Commerce in Huntsville, Texas, probably would bd Chamber will do tourism and that the President, receptionist, and the copy machine will all have a tourism'. doing tourism without the hotel -motel tax. He said he would submit to the Council that the Chamber would be responsibility just because they are the Chamber of Commerce. He said the Council canes along with an involved very heavily in tourist activities, as a part of what a Chamber does typically - -as a part of their ! additional $99,000; and it seemed to him in terms of making sure that a tourism job is being done, that the organizational development, as a part of their service to the community, as a part of what their memberships Council should require that there be one person allocated for that position. He said he understands that demands. He said the Chamber is in the tourism business just by the nature of the fact that so much of their shifting around is part of it, but tourism is what Chambers do and it is not the hotel -motel tax's membership would demand tourism. He said the City Council adds to that about $70,000 to $100,000 to dd': responsibility to cover exclusively the tourism budget. He said that hotel -motel tax could, very easily additional business. He said this brings him to the point of why he did his research over the telephone ardl: purchase one full -time position and that person would be solely responsible for taking care of conventions, '.. that is to suggest to the Chamber and to the City Council that the Council recommend, in this new budget, that attracting tourists, providing brochures, support, etc. He said he understands the classic argument that there',; it includes specific position allocated to tourism exclusively. He said he has always been uncomfortable with!, is so much shifting back and forth that the Chamber cannot allocate one person, but he suggests that this ;. the fact that some of the Chamber people do sane Chamber business and do some tourism business and some of the shifting back and forth has always been based upon the assumption that mostly tourism comes out of the hotel -!. Chamber supplies do tourism business and some do Chamber business. He said there has never been this clean' motel tax. He suggested that tourism comes out of both the Chamber's innate responsibilities, as well as the delineation between "what is tourism" and "what is Chamber business." He suggested that this time, the Council'', hotel -motel tax. He said he would like to see one position designated so the Council can know that someone is take on the responsibility of recommending to the Chamber that the Council ask for a specific tourist allocated'. working eight hours a day, five days a week on the tourism situation. spot for someone like Dee McFarland or another person of their choice, who does 100 percent tourism. He sa4 Chamber's Response. Mr. Dave Cich, President, Huntsville- Walker County Chamber of Commerce, advised . he feels the Council can request that of them because the Council is making, with public monies, a rather he discussed this earlier with Councilmember Bell, and noted he has been thinking about it since then. He said substantial contribution to the operations of the Chamber. He said the Council still has to decide on that the Mayor's comments are well taken; it is difficult to juggle staff sometimes and one has to go with the flow ` specifically, but between $77,000 and 899,000 could certainly pay for a position and pay for some of the other- - and adjust from week to week and month to month. He said as far as one way to better account for how much staff :. services the Council also expects them to provide. Mayor Hodges noted while he can't respond for the Chamber, it would seem to him that as few full -time, employees that they have, to designate one person to full -time tourism, simply would not work. He said he feels they need to shift responsibilities on a regular basis, depending on who is there, work loads for that time of the year, etc. He felt the other good thing the City gets out of this, through the Chamber, and specifically) the Tourism Bureau, is literally hundreds and thousands of hours of volunteer work. Councilmember Bell responded by shifting the terms of the argument, which is why he prefaced his comments as he did, noting the Council has always assumed that if tourism in the city is going to be done it.'. is going to be done through the auspices of the hotel -motel tax. He said he submits to the Council that the Chamber will do tourism and that the President, receptionist, and the copy machine will all have a tourism'. responsibility just because they are the Chamber of Commerce. He said the Council canes along with an additional $99,000; and it seemed to him in terms of making sure that a tourism job is being done, that the Council should require that there be one person allocated for that position. He said he understands that shifting around is part of it, but tourism is what Chambers do and it is not the hotel -motel tax's responsibility to cover exclusively the tourism budget. He said that hotel -motel tax could, very easily purchase one full -time position and that person would be solely responsible for taking care of conventions, '.. attracting tourists, providing brochures, support, etc. He said he understands the classic argument that there',; is so much shifting back and forth that the Chamber cannot allocate one person, but he suggests that this ;. shifting back and forth has always been based upon the assumption that mostly tourism comes out of the hotel -!. motel tax. He suggested that tourism comes out of both the Chamber's innate responsibilities, as well as the hotel -motel tax. He said he would like to see one position designated so the Council can know that someone is working eight hours a day, five days a week on the tourism situation. Chamber's Response. Mr. Dave Cich, President, Huntsville- Walker County Chamber of Commerce, advised . he discussed this earlier with Councilmember Bell, and noted he has been thinking about it since then. He said the Mayor's comments are well taken; it is difficult to juggle staff sometimes and one has to go with the flow ` and adjust from week to week and month to month. He said as far as one way to better account for how much staff :. time is used, as he visited with Councilmember Bell, is just to go to more of an accounting of actual staff time. He said estimates of staff time are now used. He said the front desk receptionist's job is primarily'. tourism- oriented. He said as far as tracking their time, with the multiple responsibilities, and then -; ' addressing whether it could dedicate one staff person, he advised Councilmember Bell that he could present to the Board of Directors at their Board Retreat at the end of October, consideration of allocating resources in the future. He said he is not sure it can be done at this time noting it is a decision of the Board of Directors. He said there are things they can do to better account to the City Council as to how their time is being spent, if they so desire. - CITY COUNCIL MEETING OF OCTOBER 1,1991 BOOK "0" 500 i,a Counci lIs Response. Counci lmember Green noted while he does not completely disagree with Counci lmember ° BeLL-s idea, he feels his timing is poor. He said given the fact the Councit has a Council committee that is charged with working with the Chamber on a continuing basis, he would have thought that would have been a part '.i of the whole budgetary process, rather than when the Council is ready to vote on the budget. He said it may j itbe that this is something that is appropriate to do, but he feels to drop this idea on the Chamber at this ii point, after the Council has been considering the budget under one set of circumstances and the Chamber has been 1 working under those guidelines, really creates an extremely awkward situation. He said it may be that Councilmember Bell is right on how it should be done, but he does not like the timing. He felt this is something that ought to be considered in the future, but not as a part of the 1991 -92 budget because of the timing. Councilmember Barrett felt one cannot define tourism and define a Line between it and the general:. j promotion of the City of Huntsville because it all blends together. He felt that one helps the other and that the Chamber should not have to draw a doted line between tourism, promotion, etc. because it does bLend !. together. He said as long as the City Council can see some success in tourism in the city, it should not i complain. Councilmember aeLL said he has discovered that Chambers of Commerce typically handle tourism in cities under 200,000, but what happens along Utah, Montana, and the Idaho area is typically that Chambers set up an independent or quasi - independent corporation to handle tourism autonomously. He said it is typical, across the U.S., for Chambers to put that over into a separate and autonomous group to handle individually and this is whatI' he would like to see develop here. He said when he made his Chambers of Commerce phone calls across the U.S., he almost inevitably got the result of being told he needed to talk to their Tourist Bureau or their Tourist Agency; they are separated, there are dotted Lines. He said in respect to the timeliness, he pointed out that this Council only received this budget two weeks ago and he personally wasn-t a part of the committee deliberations on it the Friday before the Council received the budget. He said the meeting was set up on Thursday and he arranged his schedule to meet on Thursday but at the last minute, Wednesday night, it was changed to Friday which made it impossible for him to participate. He said he is not sure at what point he would have had the input that he tried to make. He suggested the lateness of the budget, plus his exclusion from the budgetary process, makes this not only timely, but logical. CounciLmember Gaines said there was one other meeting between the Council Committee and the Chamber that CounciLmember Bell attended prior to that time, noting the Council committee met with the Chamber on two different occasions. Councilmember Bell noted they talked previously simply about the research angle. '! Councilmember Gaines said however they did discuss the budget somewhat. Councilmember BeLI said he thought that meeting was primarily dedicated to the marketing survey, which he incidentally thinks is an excellent idea. Councilmember Carter said he agrees with CounciLmember Bell, based on his understanding, noting he does not know when the Council's subcommittee is meeting with the Chamber, but feels the Chamber delayed beyond reason in bringing the facts and figures to the Council this year. He said he does not feel the Council's subcommittee really had the opportunity to raise issues of the type that Councilmember BeLL is raising. He said from what he heard and concluded from Councilmember Lange, there were some difficulties in getting with the Chamber on a couple of occasions. Councilmember Lange said he has spoken to Dave Cich about the timeliness of :. when their subcommittee meets with him, as they have discussed a couple of times. He said Mr. Cich understands his feelings now. Councilmember Carter said he does not feet it is the Councils subcommittees fault necessarily in timing. He said perhaps the Council can be more aggressive, but it probably won't as on mast !!. issues it tends to sit back and wait for them to get their house in order so the Council can then talk to them. He said apparently they didn't get their house in order or delayed for some other reason noting the budget -'. should have been in some time ago. Mr. Cich said whenever a committee meeting is set, the Chamber confers with all three members of the Council because they prefer not to meet with only a portion of them. He said they had conferred with all three however there may have been a mix -up in the schedule, but their normal procedure is to meet with all three to avoid this type of misunderstanding. ' Councilmember Green felt the part he feels is untimely is not really dealing with most of these budget items, but the complete change in the nature of the relationship where we have various people doing part -time j things to completely change that to a full -time position. He said if CounciLmember Bell felt that way, he should have conveyed that to them so that it could have been incorporated into the budgeting process. He said he feels it changes the whole nature of the relationshi this at point and that is not finely. He said it is CITY COUNCIL MEETING OF OCTOBER 1,1991 BOOK "O" 501 year not this year. as something that needs to Counci Lmember Lange said he was just informed of this tonight. He concurred with Counci Lmember Green that the committee, consisting of Councilmembers Gaines, BeLL and himself, needs to visit with the Chamber within the next year. He said he made Mr. Cich aware of his feelings about tourism Last week and the fact that there needs to be more communication. He said he would Like to see this budget expanded even more than it is currently, noting as a manager himself, he understands that management styles cannot change overnight. He said as intelligent people, he can't see how the Council could ask someone that is actually working for them to do that tonight. He said he is Listening to Councilmember Belt's ideas and noted he would like to study this a whole lot more with Mr. Cich and other people in the Chamber. Councilmember Carter said this is not a new idea and it has been proposed in earlier years; this is not the first time the Council and Chamber have heard the possibility that the Council would Like to have a person devoted to tourism. He said the council has not yet been able to get, in his judgement, the Chamber's attention to that because they have not yet come back with any sort of phase -in project or even any philosophicaL change that would make that possible. He said that is not the only philosophical change that he feels needs to be brought about. He felt the Council has a responsibility because the Chamber may be managing on a daily basis, but the council is in control to some degree and is responsible in some degree for the way in which the hotel - motel tax funds are used. He said he feels the Council has every right to ask some of these things of the Chamber, even if it means changing their management style to some extent and then it is their responsibility to adjust to the Council's budget requirement requests. Councitmember Carter said the two other philosophicaL changes the Council has asked for over a number of years [that he still has not see enough evidence that the Council is going to get them, and he is going to mention them but does not expect any lengthy debate over them because they have been heard before], is to spend some money [more than a one year contingency allocation] on permanent attractions. He said he discussed this last week and will not review it again, but he would Like to see some evidence that the Chamber is moving in that direction. Councilmember Carter said he feels it is siLLy that the Chamber tourism office is located in the middle of the town instead of on 1 -45 as that is where Huntsville would get the most attention. He said he believes if the Chamber did what Councilmember BeLL has discussed, which is to allocate a single person to be responsible for tourism, and then locate them in some structure on I-45, that Huntsville will attract people off the highway; Huntsville could market the town and everything else much better. He said they could do that even if they took a Chamber person and located them along the highway. Councilmember Carter felt these two major changes, in addition to the changes requested by Councilmember Bell, are those items he would Like to see implemented. Counci [member BeLL made an amendment to the motion on the floor "to ask the Chamber to consider, in conjunction with the City Council Subcommittee that they adopt a Program whereby at least one full -time person is allocated to tourism under Chamber auspices and that this process of changing to a new structure take place over the next 12 months." Councitmember Carter seconded the motion. Discussion: Councilmember Barrett felt this is not good management because one may end up with one person sitting out along the highway and not do two hours worth of work and if we have someone at the Chamber where they can do something else, other than tourism, that is the best way to handle it. He said they have signs on 1 -45 directing people to the Tourism Center and anyone interested only has to be able to read a sign and they can get to the Chamber of Commerce. He felt this is a waste of human working time. Councilmember Green said he plans to vote against the amendment to the motion on the floor simply because it backs the Council into a corner because it says the Chamber has to do this and he does not know that the Council has had sufficient opportunity to think about this and if it is something it wants to do. He said it might be that this is the right direction to go, but he thinks to make it a part of this budget process at this time is not appropriate or timely. Upon a vote on the motion to amend the main motion. Councilmembers Knotts. Carter and Bell voted in favor and Councilmembers Lange Barrett Gaines ' Robinson. Green and Mayor Hodges voted against. The amended motion therefore failed by a vote of six to three Councilmember Bell then made another motion to amend the main motion to suggest that the City Council atLocate. by city council mandate, out of the current hotel -motel tax revenues $5,000 to the Prison Museum to help them with what he understands from the Board of Directors is a very difficult time and pointed out they are quickly becoming one of Huntsvil[e's premier attractions. CounciLmember Carter seconded the motion Discussion: Councilmember Gaines asked if it is intended that this $5,000 come out of the $99,000 and if so, CITY COUNCIL MEETING OF OCTOBER 1,1991 BOOK "Q" 502 from what line item would Councilmember BeIL want to take it. Councilmember Bell said this would be left the Chamberis discretion. He said he is concerned that the Prison Museum is not receiving the support requested in July and it is his understanding they need help desperately. Counci Lmember Lange advised they he a line item budget from the Chamber that the Council asked for even before he was elected to the Council now Counci Lmember Bell wants to expand it more. He said if we are going to take "x,- amount of dollars and V them it is going to go to the Prison Museum or any other museum, the Council is going to have to be responsik for readjusting the line items. Councilmembers Gaines and Green asked which item he would reduc Councitmember BeIL suggested the administrative line item in the amount of $25,000 would be a possibility. Councilmember Knotts asked about the permanent attractions line item. Mr. Cich said in the gener budget, the seed money that was provided to the Prison Museum, Gibbs Powell House and the Samuel 14alker Houst Cultural Center was intended as seed money to get them off the ground and that is the way it was approved the City Council. He said there have been no formal requests by the Prison Museum for an allocation of hote motel tax that was directed to the Chamber of Commerce. He said they had a meeting with their President a past President on August 1 and discussed their funding needs at some Length and offered to work with them. this time, no request has been submitted to the Chamber for specific support. He said there is a need by t Prison Museum as well as by the other permanent attractions in the community to develop a long range plan support them, but the allocation of hotel -motel tax, without some discussion, is not how the Chamber presenting it. He said he and the Tourism Council would have a probLem with that. Councitmember Knotts so he feels the Council assumed that kind of support would come from the hotel -motel tax through the Chamber. noted there is 87,500 in the permanent attractions line item, or 86,000 set aside. Mr. Cich said the focus of their program as discussed in the last Council Meeting and as discussed wit the Tourism Committee is that their marketing support, in using those furls to promote the permanent attraction as well as offset some of their costs for promotion materials, such as brochures and other items, is the we the budget is proposed. He said as far as direct subsidies for operating their museums, the 12 month contrac at 8400 was intended to be just a 12 month contract of seed money. He said they have met with them to help i any way and the door is still open as they want to work with them and support them; however, with their Limite resources, the marketing support is needed because if the doors are open and they are not marketing, then wh is going to came to see them. Councilmember Knotts noted none of the seed money is caning out of the budget but out of the reserves because the Council has already allocated 86,000 and 84,800. Councilmember Knotts asked about the purpose of the 87,5DO for permanent attractions. Mr. Cich sai it is for marketing the permanent attractions. He said they consult with the operators of the attractions t do a cooperative marketing campaign. Ms. McFarland noted the first 83,100 of that 87,500 is allocated fo publishing approximately 5,000 tour manuals. Mr. Cich said the addendum to the budget describes the variet of ways they try to promote the permanent attractions. He said there is additional support beyond that Lin item, noting the visitors guide done in conjunction with the University; the research that will be done wiL be done cooperatively with the permanent attractions as well as the festivals. He said there are a number o other ways they support; the 87,500 is direct marketing dollars that would go into promotions for the permanen attractions [tour books or direct advertising placed by the Tourism Council in consultation with thos attractions]. Counci Lmember Knotts said then the Council may have been in error when they assumed the reques from the Prison Museum for operating funds would be referred to and handled by the Chamber; the Council shout have advised Dr. Pierce to make a presentation to the Chamber rather than to say the Council would check int this. Councilmember Carter said the Chamber can market the Prison Museum but, if his understanding is correct it may not be open; we may have a marketing campaign to come see the Prison Museum and the doors may be close when tourists get there. He said he does not know which cones first and they have a difference of opinion a to which comes first. He said he feels if we keep the doors open first, then we bring the people in. He sai if the Chamber wants to sell something that may not be open, that may be. ' Councilmember Hell advised that the Mayor's July letter to the Council asked that they budget in timely manner and also mentioned that some cognizance of the prison museum situation be undertaken. He sai he does not see evidence of that in this budget and that is why he offers this amendment at this particula time. Councilmember Robinson asked why the Prison Museum Board didn-t get in touch with the Chamber di CITY COUNCIL MEETING OF OCTOBER 1,1991 BOOK "0" 503 Mayor Hodges asked Mr. Clcn It the CnamDer generally visits during the cuaget session wltn tnese representatives. Mr. Cich said if they have a representative on the Tourism Council, they have a meeting with them on August 1 and the intent was to follow -up to address their needs. He said their door is open and they are willing to sit down at any time. CounciLmember Robinson said Dr. Pierce was very adamant when he approached the Council for additional funding to keep their doors open. Mr. Cich said they do have some serious needs that need to be addressed both for facilities and operations. He said the question is, if we talk about philosophy, where do we draw the line and how much do we support and subsidize permanent attractions. He said this is a major issue and he agrees it is a concern as to how do we support permanent attractions. He said the hotel - motel tax, as they found out this past year, is not a permanent flow of furls- -money does not grow on trees- - where does one draw the line. He said if one of the other museums says they have financial troubles, what do we tell them. He said how is the money of the Tourism Council best used. He said this is the reason the city contracts with the Tourism Council. Mayor Hodges asked if the Chamber is wiLLing to work with them all and in fact, if one of them got in trouble, the Chamber would lend a financial hard if possible. Mr. Cich said as far as working with them -- direct cash outlay to subsidize their operations- -that was discussed at length in the Tourism Council meeting and the Tourism CounciL does not feel that would be the best use of the hotel -motel tax dollars because the funds are Limited and very volatile. He said they learned this year to expect the unexpected. He said they are willing to work in a very flexible manner with City Council to market the city and to develop a long range marketing plan and to do the research necessary to get a handle on what is going on in the community. Mayor Hodges asked if one of the permanent attractions came to the Chamber to ask for money to pay the light bill and noted if they don't get it, they are going to close the door, would the tourism budget be flexible enough where the board could vote to pay it. Mr. Cich said that would have to be addressed on a case -by -case basis by the Tourism Council, but it would be considered if the request should be made. CounciLmember Green said he does not think they could consider it unless it is approved as a part of this budget; that does not make sense that they would do that if it is not a part of the budget, without coming back to the Council for approval. He said otherwise the Council just gives the Tourism Council money and tells them to do with it what they want to do. He said the fact they have presented a budget is saying that if they want to change the way they want to use it, then they have to come back to ask the Council for approval. He said it would be inappropriate for the Chamber to make a decision to use the funds for any purpose that is not included in this budget. Councilmember Knotts said this is grounds for the Council to authorize the holding of a little more in reserve to meet those problems when they arise. Councilmember Carter said it is also the right time to raise this issue. Counc ilmember Green said the issue that is raised by this, and the issue that is raised by Councilmember Carter that has not been addressed by the Tourism Council indicating that there was a consensus on the part of the City Council that they move toward funding of permanent attractions was never presented to the Tourist Council as the sentiment of the City Council. He said as far as he knows, there has never been more than two people, maybe three, on the City Council that felt that was an appropriate use of the funds. He said for them to have incorporated that when it was not the consensus of the Council to do that, would have been inappropriate. He said just because Councilmember Carter wants it does not mean they should do it. Councilmember Carter said he accepts that and he is finally glad to hear what the Council does think about this. He said then Councilmember Green does not agree with this. CounciLmember Carter asked the other members of Council what they would prefer to see done with the tourism money: the marketing, or support for the permanent attractions. Mayor Hodges noted they will find out now because he is calling for a vote on this second amendment. p Councilmember Bell restated his amendment that it is his proposal to use $5.000 out of the hotel -motel I taxes to support the Prison Museum and that this be undertaken at this point partly as a way to trigger some philosophical discussion about these things that frankly this Council does not consider very well; they have a tendency to get the budget, pass it, and that is the end of it. He said he just wants to trigger this discussion. Mayor Hodges noted then this is the restated motion and CounciLmember Carter has seconded it. Upon a vote on the amendment to the main motion, Councilmembers Carter. Bell and Knotts voted for the amendment and Councilmembers Barrett, Gaines, Lange, Robinson, Green and Mayor Hodges voted against this motion. The motion therefore failed by a vote of six to three. Mayor Hodges then presented the main motion to approve the Tourism Council's 1991-92 budget as proposed, noting there is a motion and a second on this already. Upon a vote on the original motion. Councilmembers Carter, Bell and Knotts voted against the motion to approve it and Councilmembers Lange, Barrett. Gaines CITY COUNCIL MEETING OF OCTOBER 1,1991 BOOK "0" 504 CONSIDER BUDGETARY PRACTICES AND POLICY STATEMENTS Consider policy statements concerning fiscal and budgetary practices of the City, as recommended by the Finance Committee Councilmember Green, Chairman of the finance Committee, credited Finance Director Patricia Allen for drafting this document, noting she suggested to him some time ago the possibility of developing a single document that could be part of the budget- -those things that are dictated by city charter, city ordinances, administrative policies, state law, that the City does as a part of the budget process and the way that all the financial operations of the city are compiled. He said she drafted this document and the City Council Finance Committee along with City Attorney Scott Bounds and City Manager Gene Pipes, have reviewed and edited it to insure it does reflect what the City is currently doing. He said there are a few changes from previous policy. He said if there are questions that arise during the year, we can look in the budget to see what the policy is and before the budgeting process begins in any one year, this will then outline how that process will proceed and how the funds will be allocated. Patricia Allen, Director of Finance, advised the first of three actual changes from the current policy is noted on page 25 E PURCHASING. She explained that Mr. J. D. Schindler, Director of Community Development, who manages the Purchasing Department, and Mr. Mark Bosma, Purchasing Agent, have been working on an update to the Purchasing Manual to bring the dollars more in Line with the inflation rate from the existing policy which had been in effect since 1980. She said this raises the dollar Limits on some of the purchasing and gives a little more discretion to the department heads and the Purchasing Department. Currently, she said, any purchase that is over $50.00 requires a purchase order. She said this would allow any purchase up to $200.00 without requiring a purchase order. She said each of the guidelines establish what purchasing requires, what Level of approval, etc. Ms. Allen said the second change from previous practice concerns the authority of the City Manager [pagef 241 to amend or transfer within the budget in an amount up to $1,000 [in effect since mid-1970. sl; the change increases that $1,000 to $2,000, which is more in line with today's costs. Councilmember Green noted the third change concerns small capital items. Ms. ALLen noted in the budget process, the staff presents decision packages for the City Councils approval. This change, she said, will allow the City Manager to approve any " new ° capital item that has a cost up to $2,000 to build that in the budget in a line item, and then supply a list to the City Council for review, rather than having all the numerous small decision packages coming before the Council. She said this will allow the council to more fully discuss the larger, policy type items. She noted -replacement- items such as a lawnmower, weed eater, PC, typewriter, calculator, any replacement items with a value up to $5,000 could be built into the budget with a list supplied to the Council. Ms. Allen noted those are the three changes. Councitmember Green noted these three changes will require Council action for approval. He said if the Council approves those changes, and all the other items in this document are already existing policy, the document can then be inc Luded in the printed budget document for information. He noted they are really asking approval of these policy statements with the recognition that there are only three items which have changed. CounciLmember Green then made the motion to approve of the policy statements concerning fiscal and budgeter practices of the City, as recommended by the Finance committee and which contain the three changes from policy just outlined and Councilmember Robinson seconded the motion. Discussion: Councilmember Knotts asked if the $200,000 set aside for industrial or commercial incentive, which he could not find as a line item because it was a footnote, is addressed in these policies. Ms. Allen said it is addressed where it says that all unallocated reserve funds will show up in the budget. She said they went back and showed that on the printed document and it will definitely appear. Councilmember Green said before the budget process begins each year, it is the expectation that either the Finance Committee or the Council, or both, will review these policy ' statements and make recommendations to the full Council for any changes that should take place before the budgeting process actually begins. Upon a vote on this motion, all were in favor and it passed unanimously. Consider the structuring of a bond issue referendum for the January City officers and Charter Amendment Elections Mr. Gene Pipes, City Manager, advised during the budget planning process, there was some discussion about the possibility of conducting a bond issue referendum in conjunction with the city officers election in CITY COUNCIL MEETING OF OCTOBER 1.1991 BOOK "U" 505 January. He said three specific items were discussed and the subject of drainage came up as a fourth item for consideration. He said discussed extensively were the expansion and possible relocation of the current municipal library; and the six -plex athletic complex that had been proposed as a public- private partnership with the city, county and private interests participating, with a $1,500,000 local match in three equal parts to be matched by a Parks and Wildlife grant, possibly of a Like amount for a total $3,000,000 estimated cost of that project. He said the third item discussed was the W. S. Gibbs Memorial CutturaL /Civic Center. He said it has been known for some time the problem with the nomenclature of what exactly to caLL a town haLL meeting facility that doesn't sound particularly appropriate in any descriptive terms deve Loped so far, but obviously the major focus of that is to have a facility that is generally accessible and open to the public by reservation and usage for things Like having a reunion, civic club meetings, receptions, and other such activities, including various cultural things, string quartette performances, etc. Mr. Pipes, City Manager, reported that each of these three areas had been identified as a potential member of a bond issue referendum package and the Council talked about a preliminary structure for presentation to the voters at the time. He said the city is fast approaching the time when the election will need to be called for the city officers in January. He said according to the schedule that has been provided, it is desirable to call the election soon. He said it is timely for the Council to approach the discussion as to their desire about these three items or possibly a fourth issue concerning drainage. Mr. Pipes also reminded the Council that they have previously comm itted to the charter review election by the commissioning of the Charter Review Comm ittee. He said these amendments will also be on the ballot in January composing a fairly considerable ballot for the voters to consider: four at -large council seats, charter amendments, and a possible bond issue referendum. Mayor Hodges asked if there are any problems with the charter amendments being proposed. If not, he ' said, they will be brought to the Council for approval for the ballot in two weeks, noting the Charter Review Committee has one more meeting to finalize their recommendations. Mr. Pipes noted the recommendations reviewed by the council were preliminary for the public hearing and now they wiLL be finalized. I Mayor Hodges asked for discussion concerning a bond issue. A W. S. Gibbs Cultural Center Issue? CounciLmember Gaines addressed the question of a bond issue for the W. S. Gibbs Memorial Cultural /Civic Center. She said some months ago a few meetings were held on this particular item but at this time, she personally feels the Council needs to do a Lot of consideration of it concerning prior planning for this type of building. She said at one of the meetings, her committee authorized Tom Randle [of Gibbs Brothers] and Mr. Pipes to investigate other towns to gain information about what they are doing in this regard. She felt uncomfortable recommending this particular issue for the ballot in January as it would be premature at this time because of the lack of planning that has been done for the usage of that money. She said she would Like for the Council to resolve to give this matter very serious consideration this next year and then be prepared, possibly at the next election, to have something ready along those lines. She said the city has not been given a time line on the usage of the money that is dedicated by the W. S. Gibbs Estate. She said when it was discussed with Mr. Tom Randle, he noted they were Looking at three to five years as a possible time Line. She said, however, the Council is not ready at this time to come up with any kind of concrete proposal that would be even enough information for voter consideration. She said the Council needs to be dedicated to this project. She said it did vote to do this when it accepted the funds but it now needs to come together as a Council and really Look at what it wants to do in this area. She said much more involvement from the community as a whole is needed - -the people who wiLL actually be using this bui Lding - -to determine what kind of building the city wants to develop. She said as far as its title, the city does know it must be called the "W. S. Gibbs Memorial . . . something." She said from serving on this committee, she feels they are not in a position now to go forward with this project. ' Mayor Hodges noted not only did Councilmember Gaines serve on this committee, but she was Chairman of that committee. Councilmember Gaines noted they were almost a committee of three. Mayor Hodges asked if she would entertain continuation of her chairmanship of that committee. Councilmember Gaines said she would be friendly to the idea of someone else taking on this project. Mayor Hodges noted he saw no hands coming up. Councitmember Gaines said if this Council is going to be dedicated to this project, it wit[ have to give some input, get behind it and work on it along with the involvement from the potential users in the community. she said representatives of the Community Theater did meet with her committee to present their recommendations and CITY COUNCIL MEETING OF OCTOBER 1,1991 BOOK "0" 506 ideas, but this is just a small portion of the community that her committee envisions would be using this facility. He said if that kind of money is going to spent on this facility, it must be as multi- purpose as it can be. Mayor Hodges asked if this status is acceptable to the Council and the general consensus was that it is acceptable. A Drainage Bond Issue? Councilmember Knotts said he remembers discussing a drainage bond issue. Mayor Hodges rated there we four items and drainage was one of them. He asked the Council to talk about drainage now. Councilmember Gre said the Council needs to address this problem in a major way, and he is not sure what the proper amount money is-- whether $500,000 would make a dent in it to start with or not- -but at some point in time the ci needs to begin doing something in a major way and he does not think the city can do it out of current operati funds. Councilmember Knotts said it was well- outlined on a map as to what it would require in the planni stage. He said the City probably would not go into all the specific items. Councilmember Knotts noted the cos ranged from $800,000 to two to three million. Councilmember Robinson said there were three options discuss concerning drainage. Mr. Pipes noted about three million was discussed as being needed in the first pha depending where the city starts and at what scope and scale. Mayor Hodges noted then obviously the city would be talking about a tax increase - -on any bond issue they ' would be talking about a tax increase -- whether the city issues bonds or if it is a smaller project and it issues certificates of obligation, they are talking about a tax increase. He asked Mr. Pipes how much money could be raised. Mr. Pipes said Mr. Rennie Baker, the city's financial adviser, has taken some very preliminary looks at a $1,500,000 amount issued at 7 percent over a ten year period. Mr. Pipes said Mr. Baker indicated at that time, based on the city's debt service projection, which has sane rather strenuous requirements for the next couple of years and then it falls off and levels off after that, that it will require a 3 cent tax increase ifii the city issues $1,500,000 in bonds. He said the city staff has done sane preliminary calculations on the' ' alternatives to bonds as a vehicle. He said obviously the value of the bonds, if the city obtains the very best) interest rate, over a long period of time [the city would expect any of these projects to have a long life) span] , it would be reasonable and appropriate to incur general obligation debt expense for this, but if the cif had a lesser amount, say a $500,000 amount, it will cost it about $50,000 in front -end expenses to issue a bond series. If the city has a $500,000 amount, the city does not want to front -end $50,000 he said, and he assumes a certificate of obligation would be the instrument of choice to issue that debt. He said the C. 0- could bel issued for a Lot less front -end cost, but it will have a higher interest rate, in all likelihood, than bonds) would have. Councilmember Green noted Mr. Pipes is talking about 1 percent, $50,000, and on one year, that is just 1 percent; if the city spreads that cost over two years, then it is down to one -half of a percentage point. He said if the city can issue the bonds at a half of a percentage point lower than it can C. 0. it . . . Mr. Pipes said over time the city could make it up, there is no question, but the amount generally thought of, it terms of the bond counsel, is a threshold amount for bend issues of about $1,000,000. He said if the city is not going above that, the city should look at some other piece of paper. He said debt service requirements on C. O.'s are going to be much less in terms of being able to factor in the time requirement. He said if the city has a ten year period, it is going to have principal and interest payments on schedule from year one so it will have a lot higher debt service requirements and it may cost the city more in terms of a tax increase to issue the debt, but at the same time, these are the options the Council really has: shorter term, higher pay back requirements on C.O.'s and a higher interest; or a longer term, higher front end cost, lower interest rate on bonds. Mayor Hodges asked if this would be a better topic for a work session. Councilmember Knotts said he would think so, especially on drainage because that is something the Council needs to address. Councilmember Green said he would feel more comfortable discussing this in a work session, noting a preference for the Council to have an opportunity to discuss aLL of the issues in a little more depth. Councilmember Knotts said he ' didn't think the Council would have a problem with a tax increase for a specific project but if the Council asks for a tax increase to get more money for operations, that would be harder to do. He felt if the Council tells the voters it is going to ask for a two or three cent tax increase because the city is going to spend three million on drainage, something tangible that they can see being done, it would get more support. Mayor Hodges asked Mr. Pipes to set up a work session in a couple of weeks to discuss these issues. In the meantime, he said, the Council will proceed with the charter recommendations. Mr. Pipes said these items will be on the next agenda. CITY COUNCIL MEETING OF OCTOBER 1,1991 BOOK "O" 507 Consider a concept proposal by Advertising Displays. Inc. to install and maintain a scoreboard at Ross Park Mr. Pipes presented a proposal from Advertising Displays, Inc. (ADI) for a concept issue. He said the ownership of the facility after a period of time needs to be stipulated in the agreement. He said the proposal is to install a major scoreboard sign /facility in terms of visibility, on the big field at Ross Park as it is being reconstructed. He said ADI would need to amortize their costs for that facility over a ten year period because of its major cost. He said this is a longer period of time than the Council has approved in the past, but then this is a much Larger scoreboard. He said ADI would contract with the city to instaLL and operate it for a ten year period and at that time it would be owned by the city. CounciLmember Robinson asked if there was to be a major field in the new six -plex facility being proposed and perhaps this scoreboard would be better suited to be placed there. Mr. Pipes said there is a Large field planned for the six -pLex and there is an enlargement project ongoing on the Large field the city currently has at Ross Park. CounciLmember Robinson said if the new comptex is built, it might defeat the purpose if this super large scoreboard is being installed at Ross Park and then the city will have to cane back and put another Large one up at the new complex. Mr. Pipes said this depends on the timing of the other complex. He said if the six-plex recreational facility is on the ballot in January and the County approves their portion of it and the Parks and Wildlife Department canes on board within a year or two years from now, the city will already have the fields built, and he may be correct, but if it takes three to five years to get it built, then this sign will be half amortized before the new facility can ever be occupied. He said they are basically addressing a current condition today and proposing to put it up on that field. Mayor Hodges noted a sign Like this will have advertising sponsor panels on it. CounciLmember Knotts jnoted this will be at no cost to the city. Mr. Pipes said the city's only costs will be the power to operate it. Mr. Pipes said ADI would sell advertising for ten years to amortize the sign. Councilmember Knotts ' suggested this scoreboard could probably be moved if necessary. Councilmember Robinson noted then his concerns are allayed if the scoreboard has the possibility of being moved. Mr. Pipes said if this concept is acceptable to the Council, especially with the ten year amortization, and the advertising to pay for it, the city staff will proceed with this. CounciLmember Knotts said what we are talking about is allowing advertising in city parks. Mr. Pipes said there is advertising on the existing scoreboard now, but the current time Limit on the existing scoreboard is five years. CounciLmember Robinson asked who will do the maintenance on this scoreboard. Mr. Pipes said ADI is responsible for maintenance, keeping the Lights up, advertising, etc. Mayor Hodges noted then the City Manager will proceed with approving the instaLLati on of this scoreboard with ADI. Mayor's Activity Report - -Bill Hodges Consider appointments Houston Area Library Lay Representative and alternate. Mayor Hodges then presented the names of Mary Jeanne Coers as the Representative and Sharon Camfield as the alternate to assume the two positions on this Board for two year terms. He noted outgoing board members are Ann Fleming (1989 -91) and Helen Wheat (1989 -91). Walker County Appraisal District Appointment. Mayor Hodges advised the Walker County Commissioner's Court has nominated the city's choice to represent the city on this board, former Mayor, Mr. Bill Nash, therefore, no action on a nomination is required by the Council. He noted the Council will be approving the full slate of nominations at a later date. Mayor Hodges advised he is not yet prepared to recommend appointments to the Arts Commission, the Board of Adjustments- Zoning, the Planning and Zoning Commission, and the Tourism Counc it. COUNCILMEMBER ACTION Capital Improvements Project -- Justification for watts built on 19th Street Councilmember Knotts said he has talked to Mr. Johnny Poteete, Director of Public Works, and City Manager Pipes concerning the walls built on 19th Street. He said he was disappointed in the type of construction, noting what was built was removed and redone. He said he feels the wall was not necessary initially because he feels the slope in the yard is not that great. He said we have yards all over town that are on a 1 to 1 slope (one foot vertical to one foot horizontal] and this is an expense the Council needs to review in its capital improvements program, noting the walls seem to be built arbitrarily. He said he has not see the plans. He said there is another street coming up on Avenue P and quite a bit of that curb and gutter is going to need replacing and there are quite a few in the same situation. He said he would like to see a plan profile of the street before the city starts constructing so the Council can discuss it. CITY COUNCIL MEETING OF OCTOBER 1,1991 BOOK "O" 508 Lack of Council's Tourism Committee Reports to the full Council ComlciLmemlber Knotts said he does not recall the City Council Tourism Committee coming back to the full Council to explain things. He felt it would be helpful if this committee would meet with the Council to approve things and explain what this committee has done with the Chamber of Commerce, what it proposes and what it thinks about ideas. He said that way Councilmember Bell's ideas can be brought to the Council and they can be discussed instead of just in a formal session. Councilmember Green noted in regard to the Tourism Council and the Chamber of Commerce, he felt it wou be appropriate if the committee that represents the City Council would report in the entire budgeting proce the consensus of the council relative to how it feels about certain issues so that this can be incorporated in their budgeting process, rather than simply as a reporting mechanism from the Tourism Council to the Ci Council. He said the direction should go the other way; the City Council should report viz-a -viz that committ what the Council's expectations are in the Tourism Council's budgeting process so the conflict that took pla tonight really wouldn't need to be. Mayor Hodges agreed taking care of it in advance would be better. Councilmember Bell said the Tourism Committee of the Council has not met for eight months and all of a sudden, and Councilmember Gaines may disagree with him on what happen, two meetings ago, they were called together to present the notion of a marketing study and then, and he takes serious umbrage on what happened in the actual budget session, he was called, told there was a meeting, arranged his schedule to make that meeting, and then he was told that meeting was changed arbitrarily to the next day, which he couldn't make and this was the Friday before the presentation of a two month late budget which took place in the last meeting. He said this gives him a great deal of trouble. He said he is not sure precisely what forum the Council cants to have to discuss this type of thing. He said the Council's choice was not to give the Tourist Council a 12 month period in which to consider this possibility. Counci Lmember Green noted the motion was to adopt it-'ll Councilmember BeLL asked what is the forum; the subcommittee does not meet. CounciLmember Green noted the fact , the subcommittee does not meet is not the Chamber's problem--they do not dictate when the City Council's) committee meets. Councilmember Lange noted he feels Councilmembers Gaines and Bell and himself need to take the lull by the horns and say they are going to have a meeting Wednesday afternoon with the Chamber of Commerce at City Hall. Councilmember Lange said he has spoken to Mr. Cich a couple of times and did not Like this meeting on Friday and then having to present to the City CounciL on Tuesday; it is not enough time and Mr. Cich knows his feelings about this. He said this was done again two weeks ago. He said from now on, the Council committee will decide and will not wait for the Chamber to set the meeting. Councilmember Bell said they have had the first successful stealth budget - -it was essentially invisible until it entered their radar scope two weeks ago and aLL of a sudden, boom, there we are. Councilmember Gaines agreed with Councilmember Bell. She said the committee talked to the Chamber very strongly about their tardiness in this budget process and made it clear the Council is not happy about that. Councilmember Belt laic he also feels very strongly about being excluded from the meeting. Councilmember Gaines noted the Chamber saic they were expecting Councilmember Belt to be at that Friday meeting and waited for his arrival; noting there was apparently miscommunication. Councilmember Lange noted they did wait for Councilmember Bell to arrive, but regardless of that, this committee needs to look to the future. Councilmember Barrett noted in the Mayor's absence in the last meeting, he conveyed the Council's unhappiness with the tardiness of the Tourism Council's budget and that the Council wants it on time next year. He said they Chamber assured him they would have it in on time next year. Mayor Hodges noted it is due July 1. Councilmember Bell noted ". -. so the Council rewards them by giving them $99,000 "? Councilmember Knotts said his idea on the budget was to stay with what the income was, $77,000 plus perhaps $10,500 for the research they wanted, and that was never mentioned in the committee meetings because Councilmember Bell was not at the meeting. Councilmember Bell said one thing that was lost in the rhetoric is that the reserve fund was substantially depleted by the Council's vote tonight and that also gives him a great deal of trouble, especially since the hotel -motel tax went down so substantially last year. He said he recommends to the Council that before they take action on something as complicated as this that it be slowed down somewhat, Mayor Hodges asked what the balance is in that reserve fund. Patricia ALLen, Director of Finance, advised the balance is $14,000. Councilmember Knotts said if the Council will remember over the last couple of years the Council has had to advance funds to the Tourism Council on their monthly budget. Mayor Hodges noted then after tonight, there is 514,000 in the reserve fund. Councilmember Knotts said yes, but it is supposed to be under the tourism budget and they ought to be able to live within their budget and if they CITY COUNCIL MEETING OF OCTOBER 1,1991 BOOK 110" 509 money to spend that month, they have to make arrangements to pay it when they get the money the next month. Letter to Elroy Hunter concerning tree controversy Councilmember Bell noted there was a copy of a letter in the packet that had been sent to Mr. Elroy Hunter [the city's tree contractor who removed the tree on 10th street]. He said he would Like to request that it be made a matter of public record. Mr. Pipes said he has no objection with that. Councilmember Green asked why the letter should be made a public record. Councilmember Bell said there is some question about the reputation of Mr. Hunter, as it involved this tree cutting, and there was a feeling on the part of at least some of the City Council that there should be some remediation for whatever damage was done to Mr. Hunters reputation. Mr. Pipes said he will be happy to provide a copy of the letter to the City Secretary to be put in the city minutes, if this is his intention. Cou Umember Bell said he would appreciate that and perhaps Mr. Pipes can also provide a copy of the letter to the newspaper and radio station. Councilmember Carter said he still needs answers to some questions concerning the 10th street tree; noting he received two answers, one from Mr. Hunter and one from the city. He said one of the other of them will give him an answer at some point. He said the issue is whether or not the tree was on the original purchase order. He said Mr. Hunter has advised him the tree was on the original purchase order and the staff told him the tree was penciled in some time later. He said it is not a major issue but he would like to know because it does revolve around who is at fault. He said everything he is hearing says that Mr. Hunter was not at fault so he is glad that Councilmember Bell has asked that this letter will be made public. [The letter is reproduced below.] "September 26, 1991 "Mr. Elroy Hunter "Old Colony road "Huntsville, Tx 77340 "Dear Mr. Hunter: "Please accept my sincere apologies to you and your employees for the unfortunate events of the past several weeks. Public employees are more frequently exposed to the inquiries and publicity that surround the 10th Street oak tree removal incident, but we never get accustomed to the emotion that an event such as this one has carried. We certainly understand your upset with the manner that this has been handled and the City accepts full responsibility for the awkward situation that you have been placed in. "Your firm has always done excellent work for the City and bares no responsibility for wrong doing in this event. The 'miscommunication' that 1 referred to in response to various news media stories on the matter was a problem within City staff concerning our policies and procedures; not a problem in our conmunicati on with your firm. "City ordinance requires that the City Manager must personalty approve any tree slated to be removed from a City street right -of -way. I knew, when approached by a news media representative for comment on the matter, that I had not even discussed this particular tree and due to some previously existing sensitivities in the area, would not have 'signed off' on this one. I was aware of a number of other tree problems City staff was working on, but I had no knowledge that this tree was being evaluated. It is regrettable that some of the City's ardent critics took a Leap of logic on the meaning of miscommunication before the facts were fully learned. Your firm certainly had complete authorization to proceed under the purchase ' order issued which was based on your quotation form that clearly identified the 10th Street tree. I want to personally apologize to you for any pubLic or private interference to the contrary. "1 hope that this explanation resolves the matter to your satisfaction. Your good faith and hard work have always been appreciated by the City and we look forward to many years of a continued personal and professi met relationship. We trust that our new internal procedures CITY COUNCIL MEETING OF OCTOBER 1,1991 BOOK "0" 510 I I will keep anything of this nature from happening again. Thank you for your expression of good Ij will during your visit to my home last Wednesday due to my illness. It was nice of you to go out of your way to make contact and address the matter forthrightly." "Sincerely, Gene Pipes City Manager" Basal Area Tree Policy Ideas CounciLmember Carter said this raises the issue of the basal area tree policy that the City Manager was kind enough to call him about in the last week to ask if he would like for it to be on the agenda for the meeting tonight. He said he asked that it be delayed so that Mr. Scott Bounds, City Attorney and he could work on it. He said he has called the City Attorney about it one time, but they are going to do some more work on it. He said since he is going to be bringing it to the Council for their consideration, he does not want to be labeLed with the Chamber of Commerce in terms of springing things on the Council. He said he wants to give the Council some outline on the thoughts because the Council will be asked to vote on it. He said it is open - ended for the council to contribute to the basal area tree policy, if it is going to adopt it or not going to adopt it. He said right now only four issues are involved, as follows: The tree policy wiLL require an inventory when the city does work. The City will have to know, under this policy, when trees are being taken down and this means literally counting and measuring the trees that are involved in a project. He said there are parts of the tree policy he wants very badly because it moves in the direction of a locat "Environmental Policy Act;" that is, it is very similar to an "Environmental Impact Statement." He said this would include parks, so the city won't do what he Ii thinks was wrong at Bush - Miller Park or even Thomason Park. He said they know what trees they are pushing down with some specificity and the city can make some good decisions about that. 2. This policy should be reasonable when it is brought to the Council because he does want it to have a chance of passing. He said he will not take an "earth first" position on it. He said he recognizes the city does have some major construction projects and it may not be able to pay to replace every tree that is knocked down in some large water line or sewer Line construction. He said he is now working with how much percentage of those trees the city needs to replace. He said what he does cant the Council to know is chat the cost of those trees are that the city is loosing because the loss of a tree is a cost. 3. This policy will focus attention to the fact that when the city cuts a tree down, the city is factoring in the loss of that tree into the real cost to the city of the removal of that tree - -not just the labor cost and not just the gasoline or fuel costs, but the Loss of that tree in terms of what it will cost to replace that tree--815,000 to 820,000, depending on the size of the tree. 4. The dead or dying tree issue - -what to do about them. He said he does not necessarily think that if the city finds that a tree is dead or dying and the city removes it that the Basal Area Tree Policy would cover that. He said his thought now is to be reasonable and if the city finds a dead tree that it remove it and the city could not have to replace that tree order the Basal Area Tree Policy. He noted these are some of the thoughts reviewed at this point. He said he does intend to bring this policy back to the Council and he does want them to feel open to offer their thoughts. He said he hopes that in a month or so the Council can discuss and debate a proposed policy and consider it for a vote. Eds' West's possible impact on Caimunity Councilmember Carter said white he does not wish to always appear negative, and he is in favor of economic development, but he has noticed in The Huntsville Item some figures for the Eds' West development. He said The Item reported there would be a 8400,000 payroll for approximately 30 employees. He said if we divided $400,000 by 30, we come up with an average annual salary of about $10,000 to $13,000 a year, which he does not find to be a very substantial salary. He said this is assuming there are no supervisors at Eds' West who make more than 810,000 or 813,000 and that would reduce the amount of the average employee's salary. He said it was also reported in The Item that the hourly Wage that is being offered by Eds' West is 84.50, which CITY COUNCIL MEETING OF OCTOBER 1,1991 BOOK "0" 511 is barely above minimum wage. He said he does rat know who is going to-take those jobs, but he may some day Ji want those jobs to be available because he understands there are people under certain economic stress and that under certain economic conditions, any job is better than no job, but this is rat a major enticement for lj employment- 44.50. He said The Item also indicated some of the employees would be part -time, which means that 1.1 they will not have insurance benefits or sane of the other benefits that accompany that of a full -time employee. He said his point is not that he is sorry that Eds' West is coming; he is happy that Huntsville is getting new business and economic activity, however, he does not think that the taxpayers of the City will make up their investment in looking at this annual payroll and the type of money that is being paid, and the tax dollars the city is spending to bring in Eds' West. He said he also does not think the taxpayers of Huntsville ought to '- subsidize what looks like, at this point, to be a relatively minimum wage type of business. He said he is glad they are here, but does not think the Council should have spent the money it has spent to bring them here. Traffic counts on University Avenue and pothole repair methods Councilmember Robinson asked what is the triggering mechanism for the city to do a traffic volume study on a street or highway. Mr. Pipes said the city has a substantial plan - -an annual traffic counting system--and the city tries to count the same streets at the same spacing, time limits, time of year, and circumstances to keep year -to -year data on various streets at whatever time they are scheduled for monitoring. Councilmember q Robinson noted a constituent alerted him to the volume of traffic on University Avenue and the untimeliness of the repairing of chuck holes that were there. He said instead of repairing the holes in the early summer when 'J it was hot -- putting down the formula for repairing the potholes so the sediment could have seeded and it would be black; by repairing them at this time, it has humps because it is not warm enough for it to seed. Mr. Pipes said that is usually not the case. Mr. Johnny Poteete, Director of Public Works, said he is unaware of this situation. Mr. Pipes said there are different patching materials used from time to time that produce a " different end result, but any material put in a pothole should be very near grade and should have the proper amount of packing and rolling. Mr. Poteete said the city patches 12 months a year, continuously, every day. Mr. Pipes said the city will look at this location to review the problem, noting the city may have a bad job there. Concern for huge and unsightly accumulation of concrete scrap pile on Highway 75N for SDHPT's use Councilmember Robinson asked about why there is a humongous pile of concrete debris along Highway 75 North. Mr. Poteete, Director of Public Works, said the SDHPT has asked for any debris [broken curbs, concrete off of Avenue RI and they are using it as needed. Councilmember Robinson noted traffic caning from the west cannot see the store for the pile and it is getting larger by the day. Mr. Pipes said the SDHPT stockpiles it there and than moves it to another location. Councilmember Robinson asked if the city has anything to do with that in the city limits. Mr. Pipes said the city can ask them to look for another spot to leave the spoil materials. Fire Prevention Week Activities at Fire Station Mayor Hodges reminded the Council of the Fire Department's Fire Prevention Week Open House, October 6- 12, 1991. He encouraged the council to participate in some of those activities. City Picnic Reminder Mayor Hodges reminded the Council of the city picnic on October 12 and the City Council Reception for " Boards and Commissions on October 22. He encouraged the Council to be in attendance at the reception. ADJOURNMENT City Secretary October 1. 1991