2012-06-26 & 27 Retreat CITY O F
SOUTHLAKE
TEXAS
CITY COUNCIL JUNE RETREAT: June 26 & 27, 2012
LOCATION: Hilton Southlake
1400 Plaza Place
Southlake, Texas 76092
CITY COUNCIL PRESENT: Mayor John Terrell, Mayor Pro Tem Bledsoe, Deputy
Mayor Pro Tem Pamela Muller and Councilmembers Carolyn Morris, Martin Schelling,
Jeff Wang and Al Zito.
CITY COUNCIL ABSENT: None.
STAFF PRESENT: City Manager Shana Yelverton, Assistant City Manager Ben
Thatcher, Assistant City Manager /Director of Public Safety Jim Blagg, Assistant to the
City Manager Alison Ortowski, Communication and Websites Manager Pilar Schank,
Director of Finance Sharen Jackson, Director of Human Resources Stacey Black,
Director of Information and Technology Dale Dean, Director of Planning and
Development Services Ken Baker, Chief of Fire Services Mike Starr, Chief of Police
Services Steve Mylett, Director of Community Services Chris Tribble, Director of Public
Works Robert Price, and City Secretary Alicia Richardson.
1. Call to order
Mayor Terrell called the June retreat to order on June 26, 2012 at 5:35 p.m.
2. Welcome
City Manager Shana Yelverton reviewed the outline for the June Retreat. The retreat
will allow staff to provide information on projects, financial overview and principles;
encourage strategic focus discussion; and gain Council direction with regard to the
Multipurpose Facility and evolution of SPIN.
3. Strategic Focus Discussion — City of Southlake Strategic Management
System (working dinner)
Mayor Terrell announced this is the time for Council to discuss concerns related to each
topic in the Strategic Management System.
• Mobility
• Infrastructure
• Quality Development
SOUTHLAKE CITY COUNCIL JUNE RETREAT MEETING MINUTES
JUNE 26 & 27, 2012 PAGE 1 OF 8
• Volunteerism
• Partnerships
• High Performance Management
• Safety & Security
• City Values
Partnership —
Council discussed the Southlake Sister Cities program and policy guidelines that would
outline criteria for identifying potential sister cities and ceasing existing relationships.
Mayor Terrell asked Council if there was still a desire to continue supporting the
Southlake Sister Cities program. The consensus of Council was to continue the support
for Southlake Sister Cities. There was also support to continue the relationship with
Japan and end the current sister city relationship with Mexico.
Council expressed interest in being involved with the selection of future sister /friendship
cities. It was discussed that thought should be given to the ease of traveling to the
sister city.
Infrastructure —
Mayor Pro Tem Bledsoe commented that he would like the City to explore dedicated
funding sources to offset future strategic programs and infrastructures.
Mayor Terrell said that he would like the City to begin detailed discussions regarding the
upcoming expiration of the Tax Increment Reinvestment Zone Number One (TIRZ) and
possibly the Crime Control and Prevention District.
Council member Zito commented that he would like the City to look at green alternatives
or initiatives that would lower costs for both established and future buildings. He also
asked about the City's strategic view to attract developers to build out the remaining
areas in the City. Can the City attract the development without investing City funds?
Council member Zito commented that Southlake's financial situation is good, but should
Council review and have a more proactive debt management program to the lower the
amount of City debt?
Quality Development —
Council member Wang commented that the DFW Connector would be opening in two
years, which will shorten the drive time to Dallas and Las Colinas. The DFW Connector
may bring opportunities, but it will also bring competitiveness from other cities. He
would like the City to look at strategies to assist local developments in attracting
business.
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Partnership —
Mayor Terrell commented that he would like the City to work with Carroll Independent
School District (CISD) to utilize the surrounding property of the former middle school
that is now an administration building. The City and CISD have previously discussed
joint use for this area. There may be interest from CISD to continue discussion and
utilization of the fields. Mayor Terrell asked for comments from Council whether the City
should pursue the discussion and what the City should commit to with regards to the
fields. Would the City be interested in long -term maintenance?
Deputy Mayor Pro Tem Muller asked Director of Community Services Chris Tribble if
the City has a need for the fields.
Mr. Tribble informed Council that CISD has an agreement with the Dragon Youth Sports
group. In previous discussions, there was concern that there were not enough fields to
accommodate users. As the City has been going through the 2030 process, staff has
realized that there are enough fields between the City and school district. Mr. Tribble
understands that CISD has a long term arrangement with Dragon Youth Sports to utilize
the fields, which includes payment from the group for maintenance. The need for
additional fields that was previously expressed in the past no longer exists. Mr. Tribble
mentioned that all groups have a desire for lighted fields. The 2030 committee has
talked about the need for lighted fields.
In response to Deputy Mayor Pro Tem Muller's questions, Mr. Tribble informed Council
tours of recreation centers will be scheduled in the next few months. He asked the
Multipurpose Facility design firm to compile a list of facilities for the Council to tour.
Council member Schelling commented that he is concerned for the Carroll Independent
School District and would like to find ways to partner with the district to explore cost
savings.
Council discussed the need for the City to move forward with a Joint Use Committee or
partnership with CISD that includes both governing bodies of City and CISD. Council
prefers that a joint meeting of the entities should meet a minimum of at least two times
per year. Council desires to have a strategic partnership with the school district.
Council member Morris advised that she would like to include Keller Independent
School District and Northwest Independent School District.
Mayor Terrell asked City Manager Shana Yelverton to begin working with Carroll
Independent School District and bring in the other school districts.
Park and Recreation Board members John Slocum and Sherry Berman present at 6:53
p.m.
4. Discussion: Financial Overview
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JUNE 26 & 27, 2012 PAGE 3 OF 8
Assistant to City Manager Alison Ortowski outlined the City's strong governance and
financial management.
Director of Finance Sharen Jackson provided Council with a financial overview of fiscal
year 2012 and preview of fiscal year 2013. Ms. Jackson shared with Council the
property tax collections are on target, sales tax collections are trending 5 -6% above
budget, and permits and fees are well above budget. In other funds, the Utility Fund,
Stormwater Utility Fund and Hotel Occupancy Tax fund are on target. Ms. Jackson
reviewed the sales tax collection trend for the General, Southlake Parks Development
Corporation and Crime Control Prevention District Funds for years 2002 through
projected 2012. She also reviewed fiscal year 2012 expenditures — departments are on
target, flooding insurance claim has been paid, and capital projects are underway. Ms.
Jackson informed Council there will be no budget shortfall for fiscal year 2013.
Presentation by Bill McLeRoy of the Whitestone Group, Private Foundation
Funding
Mr. McLeRoy, Senior Principal of the Whitestone Group, provided Council with an overview of
the various grant opportunities for organizations. Mr. McLeroy answered questions from
Council.
Mayor Terrell recessed the meeting at 8:03 p.m. and reconvened at 8:15 p.m.
5. Discussion: Statement of Financial Principles
City Manager Shana Yelverton provided Council with a review of the City's statement of
financial principles. Ms. Yelverton commented that she and Finance Director Sharen
Jackson meet in 2006 and discussed the goal of receiving a Triple A rating (AAA) from
bond companies. The statement addresses accounting, budgeting, financial planning,
investments, grants, tax collection, reserves, and debt management.
In response to Council member Zito's question, Ms. Yelverton informed Council the fund
balance is reviewed in conjunction with the budget. The General Fund balance is
maintained at 15 -25 %. The City has to take into account the perspective of the bond
rating companies to ensure changes would not affect the City's rating.
Ms. Yelverton presented Council with an overview of the City's debt management. She
informed Council that approximately 75% of the City's current debt will be retired in ten
years. The annual debt service for fiscal year 2012 is $21,348,272 (29 % -- property tax
and 71 %- -self- supporting).
Council member Morris advised that she received a comment on recycling for
businesses and city parks.
Ms. Yelverton informed Council business recycling has been discussed in the past. She
mentioned that Bob Jones Nature Center is a pilot project for recycling. Businesses that
are interested in recycling may contact Alison Ortowski or Duncan Disposal.
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JUNE 26 & 27, 2012 PAGE 4 OF 8
6. Executive Session
City Council did not conduct Executive Session.
7. Recess Meeting
Mayor Terrell recessed the meeting at 8:53 p.m.
CITY COUNCIL JUNE RETREAT: June 26 & 27, 2012 Continued
LOCATION: Hilton Southlake
1400 Plaza Place
Southlake, Texas 76092
CITY COUNCIL PRESENT: Mayor John Terrell, Mayor Pro Tem Brandon Bledsoe,
Deputy Mayor Pro Tem Pamela Muller and Councilmembers Carolyn Morris, Martin
Schelling, Jeff Wang and Al Zito.
CITY COUNCIL ABSENT: None.
STAFF PRESENT: City Manager Shana Yelverton, Assistant City Manager Ben
Thatcher, Assistant City Manager /Director of Public Safety Jim Blagg, Assistant to the
City Manager Alison Ortowski, Communication and Websites Manager Pilar Schank,
Director of Finance Sharen Jackson, Director of Human Resources Stacey Black,
Director of Information and Technology Dale Dean, Director of Planning and
Development Services Ken Baker, Chief of Fire Services Mike Starr, Chief of Police
Services Steve Mylett, Director of Community Services Chris Tribble, Director of Public
Works Robert Price, and City Secretary Alicia Richardson.
1. Reconvene Meeting
Mayor Terrell reconvened the June retreat on Wednesday, June 27, 2012 at 9:15 a.m.
2. Transportation Update
Director of Public Works Bob Price provided an update on the following projects:
• North Tarrant Express
• 1 -635 (LBJ Freeway)— managed HOV lanes project
• State Highway 26 from State Highway 114 to Cheek - Sparger
• Future State Highway 170
• DART Rail to DFW, Phases 1 and 2
• DART Rail to DFW, Phase 3
• Tex Rail —DFW Connection
• Southlake projects
o Deceleration lanes
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JUNE 26 & 27, 2012 PAGE 5 OF 8
o Medians
o Signal timing study
o FM 1938 expansion from State Highway 114 to FM 1709
o North Kimball Avenue
o North White Chapel Project
Mayor Pro Tem Bledsoe commented that Colleyville received federal funding for quiet
zones for rail lines. He wants to be sure that the City and staff are aware that at some
point the line will be coming through Southlake. The City will need to be prepared to
address the rail in future years.
Mayor Terrell suggested the City work ahead of the rail to allow enough time to set up
and investigate quiet zones.
Council and staff discussed the FM 1938 project and the importance of keeping the
public informed of the construction status. City Manager Shana Yelverton informed
Council the City will keep the community informed about the projects taking place within
the City.
In response to Deputy Mayor Pro Tem Muller's question, Director of Public Works Bob
Price informed Council the North White Chapel project is anticipated to be complete in
2015/2016.
Mayor Terrell recessed the meeting at 10:14 a.m. and reconvened the meeting at 10:27
a.m.
3. Discussion: Multipurpose Facility Project
Assistant City Manager Ben Thatcher presented item to Council. Staff is seeking
direction from Council on the following: May 2013 election for voter consideration, select
location, uses for the facility, and timeframe for construction. Mr. Thatcher provided
Council with a detailed timeline (1996- present) of action taken by the City.
Director of Finance Sharen Jackson reviewed with Council the Pro Forma prepared for
the Multipurpose Facility discussion. The City estimates construction cost of $30 million
and identified funding sources are: Strategic Initiative Fund, Southlake Parks
Development Corporation and general debt service (issue bonds). Ms. Jackson
reviewed the available cash funding, future cash funding and future bond funding. The
total projected revenue for the facility is $1,515,797 with a recovery rate of 73 %.
Director of Community Services Chris Tribble reviewed three locations —Byron Nelson,
Gateway, and Bicentennial Park —for the Multipurpose Facility. Mr. Tribble also
reviewed survey results that identified uses for the facility. Staff is seeking direction
from Council to identify uses that will be available at the Multipurpose Facility.
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JUNE 26 & 27, 2012 PAGE 6 OF 8
Council and staff discussed the three locations identified for the future site of the
Multipurpose Facility. Council also discussed the uses proposed for the new facility.
After much discussion, Council directed staff to plan for a May 2013 election for the
purpose of having the voters decide on the Multipurpose Facility. They selected
Bicentennial Park as the location for the proposed facility. Council directed staff to
include the recreation center for all ages and community center.
Council discussed the timeframe to construct the Multipurpose Facility. Council and
staff discussed the possibility of selling existing city property and the variables
associated with the sale of land.
Mayor Terrell asked staff how much time is needed to get the language on the May
2013 ballot.
Mr. Thatcher reviewed the election timeline with Council.
Ms. Yelverton informed Council that staff will be prepared to provide appraised value
information for city property in August. She advised Council to consider when the Tax
Increment Reinvestment Zone Number One (TIRZ) will expire.
Ms. Yelverton informed Council there are four or five items that can be levied with a
special purpose tax. Council directed staff to provide additional information.
4. Strategic Focus Discussion — City of Southlake Strategic Management
System (working lunch)
Council did not have a working lunch. Mayor Terrell recessed the meeting at 12:05 p.m.
for Council to break for lunch.
Mayor Terrell reconvened the meeting at 1:05 p.m.
Southlake Program for the Involvement of Neighborhoods members Ron Evans, David
Alexander and Jeffrey Medici present at 1:05 p.m.
5. Discussion: Southlake Program for the Involvement of Neighborhoods
Assistant to City Manager Alison Ortowski presented item for Council. The purpose of
this discussion is to get direction from Council regarding the future of SPIN. Ms.
Ortowski led Council through an exercise to identify desired outcomes; customer
demand; mission for the SPIN program; goals for SPIN; responsibilities of SPIN
representatives; improve forum participation; and connecting SPIN and homeowner
associations. Staff has identified August and September for Council and SPIN to meet
and discuss the future of SPIN.
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JUNE 26 & 27, 2012 PAGE 7 OF 8
Council discussed each element outlined in the exercise and provided feedback to staff.
Council asked staff to provide a copy of the audio to the SPIN Standing Committee in
order to be prepared for the joint meeting on August 14.
Mayor Terrell advised that Council needs to provide a clear expectation to SPIN so they
understand their role to Council. SPIN is a resource for Council, which allows Council
to make sound decisions.
Mayor Terrell recessed the meeting at 2:34 p.m. and reconvened the meeting at 2:40
p.m.
Council discussed the opportunity of having virtual SPIN meetings. Council directed
staff to move forward with a trial run for a SPIN meeting.
6A. Executive Session
Mayor Terrell announced that City Council would be going into Executive Session
pursuant to the Texas Government Code, Section 551.087, deliberation regarding
economic development negotiations. City Council adjourned for Executive Session at
3:46 p.m. Executive Session began at 3:55 p.m. and concluded at 4:04 p.m.
6B. Reconvene
Mayor Terrell reconvened the meeting at 4:04 p.m.
7. Adjournment
Mayor Terrell adjourned the meeting at 4:04 p.m.
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John Terrell
Mayor
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Alicia Richardson •
City Secretary
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JUNE 26 & 27, 2012 PAGE 8 OF 8