Item 5ACity of Southlake
CITY COUNCIL MEETING
MINUTES
May 6, 2003
CITY COUNCIL PRESENT Mayor Rick Stacy, Mayor -Elect Andy Wambsganss, Mayor Pro
Tem W. Ralph Evans, Deputy Mayor Pro Tem Greg Standerfer. Councilmembers: Rex Potter,
Carolyn Morris, Keith Shankland, and Tom Stephen.
CITY COUNCIL ABSENT None
STAFF PRESENT City Manager Billy Campbell, Assistant City Manager Shana Yelverton,
Assistant to the City Manager John Eaglen, Planning Director Bruce Payne, Senior Planner
Dennis Killough, Public Works Director Pedram Farahnak, Deputy Director of Public Works
Charlie Thomas, Assistant to the Public Works Director Valerie Bradley, Finance Director
Sharen Elam, Municipal Court Administrator Sean Leonard, Economic Development Director
Greg Last, Economic Development Specialist Betsy Boyett, Director of Public Safety Rick
Black, Chief of Police Marlin Price, Interim Chief of Fire Bobby Finn, Deputy Director of
Administrative Services Garland Wilson, Chief Building Official Paul Ward, Director of
Community Services Malcolm Jackson, Deputy Director of Community Services Steve Polasek,
Senior Parks Planner Chris Carpenter, Recreation Supervisor Steve Moore, Director of Human
Resources Kevin Hugman, Secretary to the City Manager Kim Bush, City Attorney E. Allen
Taylor, and City Secretary Lori Farwell.
WORK SESSION The work session was called to order by Mayor Stacy at 5:30 p.m.
City Council reviewed the agenda items with city staff and applicants. Council added Items 8a,
9a, 10a (to allow a banner for 60 days and requiring any future sign to be permanent); 10b (to
allow 30" letters for 60 days but then requiring 24" letters); and 10c (to table) to the consent
agenda.
Brandon Bledsoe invited Council to a meeting scheduled for May 19 to introduce SPIN to the
new Mayor and City Council.
REGULAR SESSION
Agenda Item No. 1, Call to order: The regular session was called to order by Mayor Stacy at
6:09 p.m.
Mayor Stacy presented to Mayor -Elect Wambsganss a gift bag that included a package of Certs
for when the Mayor is talking with residents, super- strength Excedrin for budget time, and
Vaseline for his teeth to prevent his lips from sticking to his teeth.
Municipal Judge Carol Montgomery issued the Oaths of Office to Andy Wambsganss for the
Office of Mayor and to Keith Shankland for City Council, Place 2.
The meeting was adjourned at 6:20 p.m. so everyone could join the newly- elected officials for
cake in the foyer.
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Mayor Wambsganss reconvened the regular meeting at 6:36 p.m. and presented a gavel and a
nameplate to Mayor Stacy and thanked him for his service to the City.
Agenda Item No. 2A, Executive Session Mayor Wambsganss announced that the City Council
would be going into Executive Session pursuant to the Texas Government Code, Section
551.071, consultation with city attorney; Section 551.072, deliberation regarding real property;
Section 551.073, deliberation regarding prospective gift; Section 551.074, deliberation regarding
personnel matters; Section 551.076, deliberation regarding security devices; and Section
551.087, deliberation regarding economic development negotiations. City Council adjourned for
Executive Session at 6:38 p.m. Executive Session began at 6:44 p.m. and ended at 7:45 p.m.
Agenda Item No. 2B, Reconvene Mayor Wambsganss reconvened the regular meeting at 7:50
p.m.
Mayor Wambsganss asked if there was any action necessary following the executive session.
Motion to approve the dedication by the Town Square developer of the general warranty deed for
the parks and streets; with respect to the use of the City Hall facility, the CREs will go through
the life of the TIF; and the payment of the proceeds previously approved will be made upon
delivery of signed documentation approved by the City Attorney.
Motion: Standerfer
Second: Shankland
Ayes: Stephen, Evans, Shankland, Morris, Standerfer, Potter, Wambsganss
Nays: None
Approved: 7 -0
Motion to accept the settlement in the Fox case as discussed in Executive Session.
Motion:
Standerfer
Second:
Stephen
Ayes:
Evans, Shankland, Morris, Standerfer, Potter, Stephen, Wambsganss
Nays:
None
Approved:
7 -0
Agenda Item No. 3: The invocation was presented by Father Ken Robinson of St. Francis
Catholic Church. Mayor Wambsganss led the Pledge of Allegiance.
Agenda Item No. 4,
A. Mayor's Report: Mayor Wambsganss announced upcoming meetings and events. He
presented proclamations for Public Service Week to County Commissioner Glen Whitley
and Assistant City Manager Shana Yelverton and for National Police Week to Director of
Public Safety Rick Black and the public safety staff
B. City Manager's Report: City Manager Billy Campbell thanked Tarrant County and the City
Secretary's Office for working together on an excellent election.
C. Parks and Recreation Board Report: Dorothy Wood updated Council on previous and
future Parks Board meetings and on the progress of Bob Jones Park. She announced that
the July 4 Celebration will be held on July 3 from 7 -10 p.m.
D. Library Board Report: Angelique York updated Council on the joint effort to process the
Baker and Taylor books. She also updated Council on the annual F. 0. S.L. book sale which
was held during Art in the Square and raised $4,342.00.
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E. Southlake 2025 Committee Report: Ron Kulpinski, Co -Chair of the Southlake 2025
Committee, reported to Council on the Committee's progress.
F. SPIN Report — Roger Hutton invited Council to the Town Hall meeting on May 19 which
is sponsored by SPIN.
G. Local Business Report — Economic Development Director Greg Last introduced Bill
Kersey who introduced his business, Fast Frame, to Council.
Consent Agenda
5A. Approval of the minutes of the City Council regular meeting held on April 15, 2003.
Approved as presented.
5B. Resolution No. 03-029, of Mayor Pro Tem and Deputy Mayor Pro Tem
As stated in the Home Rule Charter, Section 2.07 Mayor Pro Tem and Deputy Mayor Pro
Tem, "At the first meeting after each general election or general election run -off, if any,
or as soon thereafter as practicable, the Mayor shall, with the approval of the Council,
appoint one of the Council members as Mayor Pro Tem and one as Deputy Mayor Pro
Tem who shall hold their offices for one year. The Mayor Pro Tem shall perform the
duties of Mayor in case of the absence or disability of the Mayor. In case of absence or
disability of both the Mayor and the Mayor Pro Tem, the Deputy Mayor Pro Tem shall
perform the duties of Mayor." Mayor Wambsganss named Ralph Evans as Mayor Pro
Tem and Rex Potter as Deputy Mayor Pro Tem. In accordance with Section 4.21 of the
City Charter, the caption for this item is listed as follows:
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
SOUTHLAKE, TEXAS, APPOINTING A MAYOR PRO TEM AND A
DEPUTY MAYOR PRO TEM PURSUANT TO ARTICLE 2.07 OF THE
HOME RULE CHARTER; AND PROVIDING AN EFFECTIVE DATE.
5C. Consider Approval of Town Hall Irrevocable License and Parking, Management and Use
Agreement In Fiscal Year 1998 the Council approved Southlake Town Square Phase
One commercial developer's agreement. The memorandum of understanding attached to
the developer's agreement was incorporated in the agreement to address issues related to
"City Hall," the property, parking facilities, construction of improvements,
reimbursement of improvements, timing of project, etc. The memorandum of
understanding states that the Town Hall building requires parking at a ratio of not less
than one (1) space for every 330 square feet of building area ( "parking "). The parking
was to be provided subject to the following conditions: 1) 25% shall be specifically
reserved for the exclusive use of the building occupants and the residential, 75% shall be
non - exclusive; 2) provided further that ten (10) spaces shall be provided, and exclusively
reserved, as on street adjacent to the building for short term parking; and 3) that the City
shall pay all costs associated with such parking, subject to the City and the developer
entering into a separate agreement providing for the location of all exclusive parking and
any terms, conditions and /or limitations to the City's payment of such costs. The
proposed parking agreement for consideration complies with the provisions of the
referenced developer agreement and the memorandum of understanding. The agreement
does not address the reserved ten spaces adjacent to the building for short term parking.
It is the staff's opinion that it is not necessary to reserve spaces for Town Hall; it is more
important for all Town Square patrons to have accessible parking spaces. The annual
estimated maintenance cost is anticipated to be around $25,000 (25% will be reimbursed
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from Tarrant County). During the work session, Council agreed to approve this
agreement on consent and to reserve the right to request ten parking spaces for future use.
8A. Ordinance No. 480 -419, 1 st Reading (ZA03 -015) Zoning change for property located at
3333 Southlake Park Road East. This property is located at 3333 Southlake Park Road
East, approximately 500 feet north of Ridgecrest Drive, adjacent to the Grapevine Lake
Corp of Engineers' property. The current zoning on the property is SF -20B Single Family
Residential District and the requested zoning is SF -lA Single Family Residential District.
The land use designation is medium density residential. The property is approximately
1.2 acres in area. The SF -20 zoning district does not permit the stabling of grazing
animals. The applicant would like the ability to have horses on the property as permitted
in the SF-IA district. The Planning and Zoning Commission recommended approval on
April 17, 2003. During work session, Council agreed to add this item to the consent
agenda.
9A. Resolution No. 03 -030, a resolution of the City of Southlake, Texas, consenting to the
transfer of certain property, and to the transfer of all or a portion of tax abatement
agreements entered into by and among the City of Southlake, Texas, Sabre Inc., and
certain other parties Due to changes in financial accounting rules, Sabre Inc., plans to
refinance the lease governing its Southlake corporate headquarters. The refinancing will
necessitate a change in the legal title holder. This resolution provides Sabre confirmation
of our consent to these changes. As is the case for the existing lease, Sabre, Inc., will be
the lessee and user of, and will continue to occupy the physical premises of, the
Southlake corporate headquarters under the new financing arrangement. The only other
minor change is the recognition of "Sabre Holdings Corporation" as the parent entity for
purposes of the "affiliates" definition. No financial factors or thresholds related to the tax
abatements are being changed. During work session, Council agreed to add this item to
the consent agenda. In accordance with Section 4.21 of the City Charter, the caption for
this item is listed as follows:
A RESOLUTION OF THE CITY OF SOUTHLAKE, TEXAS, CONSENTING
TO THE TRANSFER OF CERTAIN PROPERTY, AND TO THE TRANSFER
OF ALL OR A PORTION OF TAX ABATEMENT AGREEMENTS ENTERED
INTO BY AND AMONG THE CITY OF SOUTHLAKE, TEXAS, SABRE,
INC., AND CERTAIN OTHER PARTIES.
10A. Approval of a variance to Sign Ordinance No. 704 -A for Busy B's Bakery located at 480
West Southlake Boulevard, Suite #105. Ms. Hsiang -Lan Wood of Busy B's Bakery is
requesting a variance to Sign Ordinance 704 -A regarding banner display duration. The
applicant is requesting a one -time banner display for a period not to exceed ninety days.
The allowable display period for a banner is fifteen days by ordinance. During work
session, Council agreed to approve the banner for a period of 60 days but stipulating that
any future sign would need to be permanent.
IOB. Approval of a variance to Sign Ordinance No. 704 -A for Texas Tan located at 3300 East
State Highway 114, Suite #113 Brice Burk, representing Texas Tan, is requesting a
variance to install a sign with 30 -inch letters and an area of 52.76 sq. ft. City ordinance
allows 18 -inch letters at 101 feet from R.O.W. and the area allowed under the ordinance
is 26.25 sq. During work session, Council agreed to allow the 30 -inch letters for a period
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of 60 days since the sign has already been made, but requiring 24 -inch letters after the 60
day time period.
10C. Approval of a conditional sign permit under Section 6 of Sign Ordinance No. 704 -A for
Southlake Corners (Wal -Mart redevelopment) The applicant asked to table this item at
this time.
Motion was made to approve consent agenda items 5A; 5B (Mayor Pro Tern — Ralph Evans and
Deputy Mayor Pro Tern — Rex Potter); 5C (reserving the right to request 10 parking spaces for
future use); 8A; 9A; 10A (approving the banner for a period of 60 days but stipulating that any
future sign would need to be permanent); lOB (allowing the 30 -inch letters for a period of 60
days since the sign has already been made, but requiring 24 -inch letters after the 60 day time
period); and IOC to table at the applicant's request.
Motion: Standerfer
Second: Evans
Item 5A
Ayes: Shankland, Morris, Standerfer, Stephen, Evans
Nays: None
Abstain: Potter, Wambsganss
Approved: 5 -0 -2
Items 5B (Mayor Pro Tern — Ralph Evans and Deputy Mayor Pro Tern — Rex Potter); 5C
(reserving the right to request 10 parking spaces for future use); 8A; 9A; 10A (approving the
banner for a period of 60 days but stipulating that any future sign would need to be permanent);
lOB (allowing the 30 -inch letters for a period of 60 days since the sign has already been made,
but requiring 24 -inch letters after the 60 day time period); and 10C to table at the applicant's
request:
Ayes: Shankland, Morris, Standerfer, Potter, Stephen, Evans, Wambsganss
Nays: None
Approved: 7 -0
REGULAR AGENDA
Agenda Item 6. Public Forum
Michelle Stiles thanked the City of Southlake and the City Council for the Sister Cities Program
and asked for their continued support.
Agenda Item No. 7A. Resolution No. ZA03 -026 (ZA03 -017) Specific Use Permit to allow the
sale of alcoholic beverages at Pei Wei Asian Diner. Senior Planner Dennis Killough presented
this item to the Council. This property is located in the southeast corner of Southlake Town
Square at 1582 E. Southlake Boulevard. The current zoning on the property is DT Downtown
District. The purpose of this request is to sale alcoholic beverages in the restaurant. The Planning
and Zoning Commission recommended approval of this item on April 17, 2003. Applicant Matt
Clark, 1382 Bell Avenue, Tuscan, California, was present to answer Council's questions. Mr.
Clark said they have a ten year lease with options to increase every five to ten years after that.
No one spoke during the public hearing.
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In accordance with Section 4.21 of the City Charter, the caption for this item is listed as follows:
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SOUTHLAKE,
TEXAS, GRANTING A SPECIFIC USE PERMIT FOR THE SALE OF
ALCOHOLIC BEVERAGES ON PROPERTY WITHIN THE CITY OF
SOUTHLAKE, TEXAS, BEING LEGALLY DESCRIBED AS A PORTION OF
TRACT 2A5, SITUATED IN THE R. EADS SURVEY, ABSTRACT NO. 481,
MORE FULLY AND COMPLETELY DESCRIBED IN EXHIBIT "A ", AND
AS DEPICTED ON THE APPROVED SITE PLAN ATTACHED HERETO
AND INCORPORATED HEREIN AS EXHIBIT `B" AND PROVIDING AN
EFFECTIVE DATE.
Motion was made to approve Resolution No. 03 -026 (ZA03 -017) for period of ten years.
Motion: Potter
Second: Standerfer
Ayes: Morris, Standerfer, Potter, Stephen, Evans, Shankland, Wambsganss
Nays: None
Approved: 7 -0
Agenda Item No. 10D. Authorize Mayor to execute a residential developer's agreement for
Clariden Ranch, Phase III, a 59 -lot subdivision located on North White Chapel Boulevard.
Clariden Ranch Phase III is the third addition of Clariden Ranch being developed on the west
side of N. White Chapel Boulevard south of Bob Jones Road Deputy Director of Public Works
Charlie Thomas presented this item to the Council. In 2001, the developer constructed Clariden
Ranch Phase IA, IB and II (formerly known as Crown Ridge). In developing the Clariden Ranch
Phase IA, IB and II, the developer was required to relocate a portion of T.W. King Boulevard
and construct an off -site sewer line and sanitary sewer lift station that serves those developments.
The City granted the developer some credits from impact fees and administrative processing and
inspection fee for constructing these improvements. The construction of Clariden Ranch, Phase
III, includes the installation of 7,450 linear feet of water line and 5,780 linear feet of sanitary
sewer line. It also includes the construction of 6,000 linear feet of streets and 2,215 linear feet of
underground storm sewer. The developer is requesting some additional credits in Clariden
Ranch, Phase III, for the construction of T.W. King Boulevard and sanitary sewer lines
constructed in Clariden Ranch Phase IA, IB and II. The developer is requesting additional
roadway impact fee credit in the amount of $16,520. The reason for this request is because his
cost of reconstructing T.W. King Blvd. was $85,600 and his roadway impact fee credit and
inspection fee credit in Phase IA, IB and II was only $69,080. The developer is also requesting
sanitary sewer impact fee credit in Phase III for construction of the off -site sewer line and lift
station in Phase IA, IB and II in the amount of $69,703. The reason for this request is because
his cost of constructing the sanitary sewer line and lift station in Phase IA, IB and II was
$156,310 and his sanitary sewer impact fee credit and inspection fee credit was only $56,415.
The off -site sanitary sewer line and lift station will serve other properties. The developer will
also receive a reimbursement for an over -sized 12" water line in T.W. King Boulevard per the
city's oversize reimbursement policy. If the roadway impact fee credit is granted, the credit will
amount to $16,520. If the sanitary sewer impact fee credit is granted, the credit will amount to
$69,703. The reimbursement for the oversized water line is estimated to be $9,053. The
developer will pay a park fee of $88,500 in lieu of park land dedication.
Paul Spain, Terra Land Development Company, 375 W. Northwest Parkway, Southlake, Texas,
answered questions from the Council.
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Motion was made to approve a residential developer's agreement for Clariden Ranch, Phase III,
approving the developer's request for payment of over - sizing the water line from 8 -inch to 12-
inch in the amount of $9,053, but denying the developer's request for modification of the
contract
Motion:
Standerfer
Second:
Potter
Ayes:
Standerfer, Potter, Stephen, Evans, Shankland, Morris, Wambsganss
Nays:
None
Approved:
7 -0
Agenda Item No. 10 -E, Authorize the City Manager to Assess Liquidated Damages against
Charter Communications, and Establishing Procedures for Handling the Appeal Process.
Assistant to the City Manager John Eaglen presented this item to the Council. The City of
Southlake approved a transfer of the control of the cable television franchise from Marcus Cable
Associates, L.L.C. to Paul G. Allen (Charter Communications), effective March 26, 1999. The
City of Southlake franchise agreement with Mr. Allen establishes customer service standards,
and established a procedure for the assessment of liquidated damages if the City deemed that
Charter was non - compliant with these standards. In September 2002 the Fort Worth Area
Charter Consortium Cities (Fort Worth, Denton, Duncanville, Burleson, North Richland Hills,
Benbrook, Keller, Southlake, Hurst), a group of cities that transferred their respective cable
franchises to Mr. Allen in 1999, hired C2 Consulting Services, Inc., to perform a review (the
"audit ") of Charter Communications call centers located in Fort Worth, Denton, and Duncanville.
The study entailed a review of call center reporting by Charter to the cities for the period of
January 1, 2002 through June 30, 2002. This finding was that Charter had not met the burden of
proof concerning compliance for a required customer service standard that answer time to the
call centers would be answered by Charter representatives (including wait time) within 30
seconds after the connection is made, and if transferring is required, the time to complete the
transfer would not exceed 30 seconds, ninety percent of the time under "normal operating
conditions." The audit finds that Charter has been adjusting their statistics by claiming
"abnormal" occurrences (in the scope of the audit 68% of the time) in order to meet the standard.
The audit noted in particular that unadjusted statistics reflect that weekend performance is
significantly below the standard. Potential results to the City of continued poor customer service
performance by Charter include the following: frustrated customers increasingly move to other
means (satellite dish), potentially resulting in diminished franchise fees payable to the City; and
over time, potentially increasing the City's service level, as frustrated customers expect to have
the City handle customer service issues with Charter.
On the basis of the audit, the City of Fort Worth questioned Charter representatives with respect
to Charter's quarterly reports for the period from the third quarter of 1999 through the fourth
quarter of 2000 and for the third and fourth quarters of 2002. The City of Fort Worth determined
that Charter has not been able to substantiate the adjustments for abnormal operating conditions
as reflected in Charter's quarterly reports to the City for those time periods. As a result of this
finding, consortium cities have assessed liquidated damages for these additional time periods
outside of the audit. The estimated total of the consortiums' liquidated damages against Charter
exceeds four million dollars. Staff is requesting action on two items: 1) Authorize the City
Manager to assess liquidated damages against Charter in similar fashion to that of other
consortium cities, totaling $135,166.67 to the City of Southlake; and 2) establish procedures for
handling Charter's appeal per the City's franchise agreement with Charter. Relating to the second
action item, with Southlake being the last city to take action on this item, staff has been able to
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monitor Charter's response to the other cities. Charter has indicated that they will follow the
appeal process specified under the cities franchise agreements. The City of Southlake franchise
agreement specifies that City Council may hear Charter's appeal, or designate a city official or
other person to act as a hearing officer. The consortium has discussed jointly hiring a hearing
officer to handle Charter's appeal all at one time and submit findings to each City Council for
final decision.
Blake Cummings (Government Relations Manager for Charter Communications) 4800 Blue
Mound Road, Fort Worth, Texas, discussed the audit review and addressed types and statistics of
calls received from the City.
Paul Berra (Director of Government Relations for Charter Communications) St. Louis, Missouri,
addressed cable customer service standards.
Motion was made to authorize the City Manager to assess liquidated damages against Charter
Communications, and to establish procedures for handling the appeal process as set forth in the
City Manager's memo dated April 29, 2003.
Motion: Standerfer
Second: Potter
Ayes: Potter, Stephen, Evans, Shankland, Morris, Standerfer, Wambsganss
Nays: None
Approved: 7 -0
Agenda Item 12. Meeting Adjourned With there being no further business to discuss, Mayor
Wambsganss adjourned the meeting at 9:04 p.m.
Andy Wambsganss
Mayor
ATTEST:
Lori A. Farwell
City Secretary
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