Loading...
1999-08-17REGULAR CITY COUNCIL MEETING 667 NORTH CARROLL AVENUE SOUTHLAKE, TEXAS AUGUST 17, 1999 MINUTES COUNCILMEMBERS PRESENT: Mayor Rick Stacy; Mayor Pro Tem Gary Fawks; Deputy Mayor Pro Tern Ronnie Kendall. Members: Debra Edmondson, Rex Potter, Wayne Moffat and Patsy DuPre. CITY STAFF PRESENT: City Manager Billy Campbell; Assistant City Manager Shana Yelverton; Assistant to the City Manager Shelli Siemer; Interim Director of Planning and Zoning Administrator Karen Gandy; Director of Finance Sharen Elam; Director of Public Works Ron Harper; Deputy Director of Public Safety Police Services Gary Gregg; Deputy Director of Public Safety Fire Services Ricky Black; Director of Public Safety Garland Wilson; Deputy Director of Public Works Charlie Thomas; Capital Projects Coordinator Shawn Poe; Administrative Operations Coordinator Malcolm Jackson; Deputy Director of Finance Lynn Martinson; City Attorney E. Allen Taylor Jr., and, City Secretary Sandra L. LeGrand. WORK SESSION: The work session was called to order by Mayor Rick Stacy at 5:35 p.m. Councilmembers and staff discussed items on the agenda. The work session was video taped and recorded for future reference. The following items were discussed: Agenda Item #5-B, Appointment of Sharen Elam as Director of Finance. Sharen Elam was introduced to the City Council, She stated she looks forward to working with everyone at the City of Southlake. Her first day will be August 23, 1999. Agenda Item #5-F, Authorize the Mayor to enter into a developer agreement with the developer of Barton House. Councilmember Fawks asked why there was not information in the packets regarding the sewer extension and the participation in the sewer project. Deputy Director of Public Works Charlie Thomas responded that an agreement had been reached for the sewer extension project and that it does not have a connection to the developer agreement. Therefore it was not included in the information. Agenda Item #5-E, Authorize a professional services agreement with Cheatham & Associates for the engineering and design of South Kimball Avenue, from Crooked Lane to Heritage Business Park and the extension of East Continental Boulevard to South Kimball Avenue. Councilmember Ronnie Kendall commented about the city spreading the work out and not using the same consulting engineers for projects. It seems that the City is using this same contractor quite a bit. She asked if this is not the contractor who dealt with the drainage issues at Durham Elementary and Middle School. Director of Public Works Ron Harper stated Cheatham and Associates was the engineer that worked with the school district on the drainage issues at Durham. Regular City Council Meeting Minutes of August 17, 1999 Page 1 of 22 The city engineers have worked together and instituted a policy where they will spread the consulting engineering contracts. It is not so much the fact that any of the consulting engineers have done a bad job, but it is their personal opinion that the work does need to be spread out. Harper stated, "We do have so much work coming in that we do need to ensure that the work is done in a timely manner. In addition, it provides staff with a little more flexibility." Harper recommended that this particular consultant be awarded this contract because of previous work that they have done in the South Kimball Avenue area in regards to this. Councilmember Kendall asked to have this item taken off consent agenda and to discuss it when the City Attorney is present because she would like to find out what the City can do in a contract with Cheatham and Associates and address any kind of recourse the City may have if drainage problems occur in the future. She stated, "I would like to have some recourse if we are going to deal with this same contractor." Agenda Item #5-I-1, ZA 99-058, Revised Preliminary Plat for Eagle Bend Estates, Phase 2. Councilmember Gary Fawks stated he wanted to talk with Terry Wilkinson regarding the number of lots in this addition, and stated he would like to know how he plans to deal with the flood plane. He asked Mr. Wilkinson to make every effort to have 15,000 s.f. lots if possible. Agenda Item #1 O-A, Authorize the Mayor to enter into a participation agreement with the CISD pertaining to their participation in the Tax Increment Reinvestment Zone Number One, City of Southlake. City Manager Billy Campbell stated nothing has changed regarding the agreement with the CISD and the school is considering the agreement tonight at their board meeting. Councilmember Ronnie Kendall asked Mr. Sabonis how the City can determine if the school is going to have a negative impact. Mr. Sabonis stated the CISD will calculate their state funding with the TIF and without the TIF, and will see how that will effect them. Then the TIF contribution will be made to them to offset their negative contribution. Councilmember Rex Potter commented to the City Attorney that the agreement be "cleaned up" as there are typographical errors in the agreement. Agenda Item #10-B, Masonry color and style for Southlake Town Hall. Ron Harper presented the latest elevations of the Town Hall with the assistance of the architect. Council agreed with the recommendation of the architect for the color cranberry velour for the brick of the building. Senior Planner Chris Carpenter commented on the SH 114 Enhancements. Mr. Carpenter presented samples of the stone to be used for the enhancements for SH 114. Council determined that the following items would be added to the consent agenda: #7- C, #10-A, and #10-B. Item #5-E would be removed fi.om Consent Agenda. The work session ended at 6:30 p.m. Regular City Council Meeting Minutes of August 17, 1999 Page 2 of 22 REGULAR CITY COUNCIL MEETING Agenda Item #I-A, Call to Order Mayor Rick Stacy called the Regular City Council meeting to order at 6:30 p.m. The City Council meeting will be video taped and tape recorded for future reference and made a part of the record. Agenda Item #2-A, Executive Session Mayor Rick Stacy advised the audience that the City Council would be going into executive session pursuant to the Open Meetings Act, Chapter 551 of the Texas Government Code, Sections 551.071, 551.072, 551.073, 551.074, 551.075, 5521.076, to seek consultation with the City Attorney regarding pending and contemplated litigations, to deliberate the purchase, exchange, lease or sale of real property, negotiation contract for a prospective gift or donation to the City, to deliberate the appointments, and evaluation of public officials, to confer with one or more employees to receive information from or to question the employees, and to deliberate the deployment of specific occasions for implementation of security personnel or devices. Council adjourned into executive session at 6:32 p.m. Council returned to open session at 7:45 p.m. Agenda Item #2-B, Action Necessary/Executive Session Councilmember Gary Fawks was out of the room and did not vote on items discussed in the Executive Session. Motion was made to authorize staff to proceed with the settlement of the Salinas case in the mount of $20,000 and in accordance with other terms discussed in the August 13, 1999, mediation. Motion: Second: Ayes: Nays: Approved: Kendall Potter Kendall, Potter, Moffat, DuPre, Edmondson, and Stacy None 6-0 vote Motion was made to authorize staff to enter into a purchase contract for nine lots in the West Beach Addition in the amount of $50,000. Motion: Second: Ayes: Nays: Approved: Kendall DuPre Kendall, Potter, Moffat, DuPre, Edmondson, and Stacy None 6-0 vote Regular City Council Meeting Minutes of August 17, 1999 Page 3 of 22 Motion was made to authorize staffto enter into a purchase contract for the right-of-way property discussed in Executive Session in the amount of $29,949.06. Motion: Second: Ayes; Nays: Approved: Kendall Edmondson Kendall, Edmondson, Potter, Moffat, DuPre, and Stacy None 6~0 vote Motion was made to excuse the upcoming absences of Planning and Zoning Commission Chairman Ann Creighton as approved at the August 19, 1999 Planning and Zoning Commission meeting. Motion: Second: Ayes: Nays: Approved: Kendall Edmondson Kendall, Edmondson, DuPre, Potter, Moffat, and Stacy None 6-0 vote Agenda Item #3, Invocation The Invocation was given by Chaplain of the Month Father Jesse Smith, substituting for Father Frank Reeves, from the St. Martin-In-The-Fields Episcopal Church. Agenda Item #4-A, Mayor's Report Mayor Rick Stacy presented a proclamation to members of the Southlake Dragons baseball team who won the Mustang Championship game in the Pony Tournament held in Hurst this July and then went on the compete in the Mustang World Series games in Irving, Texas, in August. Mayor Stacy introduced the "team" members to the Council and the audience, stating, "The boys won 4th in the World Series out of 20,000 teams across the world." Mayor Stacy stated the FY 1999-2000 Budget work sessions are currently being held. The first public hearing of the ordinance will be on August 31, 1999, and the second public hearing will be held on September 7, 1999. The following announcements were made: ,/ August 19, 1999, theMetroport Cities Partnership meeting at the Keller Library. August 25, 1999, the Air Quality Briefing by the TNRCC and consultant will be held at the COG Transportation board room on Six Flags Drive. August 26, 1999, a Town Hall meeting will be held at the Grapevine City Hall, with Vicki Tmitt, District 98 State Representation. The program will include the Texas Municipal League reporting on the 76th Session of the Texas Legislature. Regular City Council Meeting Minutes of August 17, 1999 Page 4 of 22 September 2, 1999, the Parmers in Mobility reception to honor Johnny Johnson, a member of the Texas Transportation Commission. The reception will be held at the Harvey Hotel. Councilmember Patsy DuPre and Director of Public Works Run Harper will be attending to represent the city. September 9, 1999, the North Texas Commission's 29th Annual Membership luncheon will be held at the DFW Hyatt Regency Hotel East Tower. The topic will be "The Region of Choice for the Next Millennium." Those attending will be the City Manager, Director of Economic Development, Mayor Stacy, and Councilmembers Debra Edmondson and Patsy DuPre. Councilmember Gary Fawks briefed the Council on last week's meeting of the JUC (Joint Use Committee) stating, "There were three new members; two school board members, Jerry Lawrence and Steve Harold, and Councilmember Patsy DuPre. We spoke at length about the charge that came forth from the Joint Council and School Board meeting, about the possibility of JUC tackling what was formally called "focus groups," trying to bring the two bodies closer together particularly about capital projects and the committee became enthusiastic about the opportunity to do that. We will have staff briefings at each JUC meeting on the capital projects to better inform the school board members on improvements and projects that are being planned at the City level and to brief the Council representatives on school issues and improvements, prior to items being brought before the Planning and Zoning Commission. Councilmember DuPre stated she feels it is good for Councilmembers to brief the Council on meetings that they have gone to and wondered if the they should be made during the Mayor's Report. Mayor Stacy stated he is open to whatever Councilmembers would like to do. Agenda Item #4-B, City Manager's Report City Manager Billy Campbell announced that on August 24, 1999 the second budget work session will be held. He stated he thought the first work session was very productive and if Councilmembers have specific information they would like on a budget issue, to contact the director of the particular department for the information prior to the second work session. Campbell reported that he is working with TxDOT on the retiming of some of the lights. TxDOT has been diligent in working with the City on this matter. We are continuing to work through that process in getting the timing issue completed. The City Manager stated the City is not rationing water this year, but is asking the citizens to be intelligent about the use of water. There have been some 100+ degree weather and everyone should keep this in mind when using the water as there is no rain in sight. Regular City Council Meeting Minutes of August 17, 1999 Page 5 of 22 A letter was received from TxDOT regarding permissive left tums and how the City can derive that objective. The City Manager stated he will include a copy of the letter in the Council memorandum in the near future. Agenda Item #4-C, SPIN Report Cameron McCartha, representative of SPIN #12, made the SPIN Report and commented on the Joint City Council and SPIN meeting that was held this past week. She stated currently SPIN #12 is working on obtaining the easements needed to complete the Neighborhood Sewer Project in that area. She stated there will be a Citywide SPIN Meeting on August 25, 1999. Agenda Item #4-D, Parks and Recreation Board Report No report was given by the Parks and Recreation Board during this meeting. Agenda Item #5, Consent Agenda The consent agenda consisted of the following items: 5-A. Approval of the Minutes of the Regular City Council meeting held on August 3, 1999, and the Special City Council meeting held on August 10, 1999. 5-B. Appointment of Sharen Elam as Director of Finance. 5-C. Resolution No. 99-64, Authorize the Mayor to execute an agreement with Texas Department of Transportation for funding of an alternative fuels program. 5-D. Award of bid to Wright Construction Company for the relocation of an 18" water line at the intersection of Dove Street and SH 114. 5-E. Removed from the consent agenda. 5-F. Authorize the mayor to enter into a developer agreement with the developer of Barton House. 5-G. Designating the City Council meeting on August 31, 1999 as a Regular City Council meeting. 5-H. ZA 99-058, Revised Preliminary Plat for Eagle Bend Estates, Phase 2. 5-1. Ordinance No. 693-B, l~t Reading, Providing outdoor lighting regulations. 5-J. Ordinance No. 480-GG, 1st Reading, Revisions to the Comprehensive Zoning Ordinance No. 480, as amended, regarding regulations on lighting and glare. Regular City Council Meeting Minutes of August 17, 1999 Page 6 of 22 7-C. ZA 99-066, Revised Site Plan for Southlake Executive Suites. Tabling this item. 10-A. Authorize the Mayor to enter into a participation agreement with the Carroll Independent School District pertaining to their participation in the Tax Increment Reinvestment Zone Number One, City of Southlake, Texas. 10-B. Masonry color and style for the Southlake Town Hall. Motion was made to approve consent agenda Items #5-A, #5-B, #5-C, #5-D, #5-F, #5-G; #5-H, subject to the revised plat summary #3, dated August 13, 1999 and the Planning and Zoning Commission's recommendation; Item #5-I, setting the public hearing for September 7, 1999; Item #5-J, setting the public hearing of September 7, 1999; Item #7- C, action to table and continue the public hearing; Item gl0-A, and gl0-B, accepting the architects' recommendation for color and style. Motion: Second: Ayes: Nays: Approved: Fawks Kendall Fawks, Kendall, Moffat, DuPre, Potter, Edmondson (voting no to Item #5-H and abstaining to Item #5-A), Stacy. None 7-0 vote ADDITIONAL INFORMATION REGARDING CONSENT AGENDA ITEMS Approval of the Minutes of the Regular City Council meeting hem on August 3, 1999 and the Special City Council meeting hem on August 10, 1999. The minutes were approved as presented. Appointment of Sharen Elam as Director of Finance. The Southlake Charter requires that "The head of each department shall be a chief, director or superintendent who shall be appointed by the City Manager subject to the approval of the City and such chief, director of superintendent shall have supervision and control over his department." Upon the resignation of Lou Ann Heath, the city began its search for a new finance director. Out of six finalists, Sharen Elam best met the needs of the City. She was offered the position and has subsequently accepted. Ms. Elam is licensed as a Certified Public Accountant and has seven years experience in governmental auditing, most recently as an Audit Manager with Weaver and Tidwell who has been the City of Southlake's auditor for several years. As such, we have the added benefit of Ms. Elm's familiarity with the City of Southlake. Resolution No. 99-64, Authorize the Mayor to execute an agreement with Texas Department of Transportation for funding of an alternative fuel program. The Clean Air Act Amendments of 1990 established the Federal Clean Fuel Vehicle Fleet Program to reduce air pollution. This mandatory program, which began in 1998, requires fleet owners operating in areas that surpass the National Ambient Air Quality Standards (NAAQS) and are categorized as serious, severe, or Regular City Council Meeting Minutes of August 17, 1999 Page 7 of 22 extreme nonattainment areas, to purchase a percentage of low emission vehicles when adding or replacing vehicles in their fleet. (Dallas-Fort Worth has been upgraded as serious non-attainment). A copy of the memorandum from Director of Public Works Ron Harper dated August 13, 1999 is hereby attached to the minutes of this meeting. Award of bid to ~Vright Construction Company for the relocation of an 18" water line at the intersection of Dove Street and SH 114. Prior to reconstructing SH 114, all utilities within the State right-of-way must be relocated that conflict with the proposed highway improvements. The portion of the SH 114 reconstruction that includes the Dove intersection was bid out on August 4, 1999. Construction is scheduled to begin by March 2000. In the CIP budget, $339,200 was appropriated for the engineering design, surveying and construction costs to relocate the 18" water line at the intersection of Dove and SH 114. The engineering design and surveying cost is $22,425. The low bid for the construction cost is $257,999. The total cost of the project, which includes the engineering design, surveying, and construction is $280,424. This is $58,776 below the estimated cost. The contract is awarded to low bidder, Wright Construction Company. 5-E. This item is offconsent. Authorize the Mayor to enter into a developer agreement with the developer of Barton House. On March 23, 1999, the City Council approved the site plan for Barton House, which is located on the west side of North White Chapel Boulevard, north of Highland Street. Barton House will he served with sewer to be installed by Barton House and several property owners under an agreement with the City approved on August 3, 1999. This developer agreement covers the construction of a 12-inch water line to he constructed by Barton House along the west side of North White Chapel Boulevard. The developer agreement includes a park fee of $2,400 in accordance with the recommendation of the Park and Recreation Board. Designating the City Council Meeting on August 31, 999, as a Regular City Council Meeting. To accommodate the adoption of the budget by the end of September, it is recommended that a regular City Council meeting be designated for August 31, 1999, in order to hold the first public hearing of the budget at that time. The second public hearing would be scheduled for the September 7th Regular City Council meeting. The Charter gives City Council the authority to call the August 31 meeting as a regular meeting under provision Section 2.09, "Meetings of the City Council," Part (2), which states, "The Council shall --- establish as many additional regular meetings during the month as may be necessary for the transaction of the business of the City and its citizens." ZA 99-058, Revised Preliminary Plat of Eagle Bend Estates, Phase 2. Revised Preliminary Plat for Eagle Bend Estates, Phase 2, on property legally described as Regular City Council Meeting Minutes of August 17, 1999 Page 8 of 22 Tracts 3A3A1, 3A3B, 3C4, and a portion of Tracts 2, 3C7, and 3C2, situated in the Hall Medlin Survey, Abstract No. 1037, and a portion of Tract 2 situated in the Hollingsworth and Barnett Survey, Abstract No. 797, and being approximately 33.75 acres. Owner: Westerra-Timarron, L.P. Applicant: Carter & Burgess, Inc. 5-I. Ordinance No. 693-B, lSt Reading, Providing Outdoor Lighting Regulations. This ordinance was originally requested by former Councilmember Pamela Muller to provide guidelines for commercial lighting requirements compatible with adjacent residential property. The ordinance will include language that will continue to require a plan review process to be considered by both the P&Z and the City Council and administrative procedures consistent with the UBC, including the right to review for variance by the City Council. Ordinance No. 480-GG, Ist Reading, Regarding Lighting and Glare. The Building Department proposes to amend the Uniform Building Code to incorporate detailed regulations on lighting and glare for non-single family residential properties. The purpose of this amendment is to establish measurable and enforceable criteria with respect to lighting to provide for the protection of the residents and the enjoyment of their property from nuisance or hazardous lighting and glare. As a result of this change in the Building Code, an amendment of Ordinance No. 480, as amended, is necessary to remove the general lighting regulations from the ordinance and replace them with appropriate references to the new lighting ordinance. ZA 99-66, Revised Site Plan for Southridge Executive Suites. This item was tabled at the request of the applicant, time certain September 7, 1999, continuing the public hearing at that time. IO-A. Authorize the Mayor to enter into a participation agreement with the Carroll Independent School District pertaining to their participation in the Tax Increment Reinvestment Zone Number One, City of Southlake, Texas. In order to participate in the TIF, the school district must establish their level of participation by August 31, 1999. At the joint City Council/School Board meeting held on July 27, 1999, there were basic understandings met between the School Board and the City Council. The school staff and city staff, including financial advisors and attorneys, have worked to produce a document that accurately reflects those agreed upon points in this contract. A copy of the memorandum dated August 13, 1999, by Shelli Siemer, Assistant to the City Manager, is hereby attached to the minutes of this meeting. 10-B. Masonry color and style for the Southlake Town Hall. The design and construction of Town Hall was intended to be done in a staged manner, where elements would be under construction while other elements were still being designed. During this process, staff stated that they would seek certain approvals from City Council. The first of these was the consideration and approval of the Regular City Council Meeting Minutes of August 17, 1999 Page 9 of 22 overall floor plan and schematic design. This allowed the City to advertise and award bids for excavation, concrete and steel. The next consideration and approval is of the building elevations and brick color and style. Council agreed to accept the recommendation made by the architect with the brick being a cranberry velour Agenda Item #5-E, Professional Services Agreement with Cheatham & Associates for Engineering and Design of South Kimball Avenue,etc. Senior Civil Engineer Shawn Poe stated the Carroll Independent School District (CISD) voters approved several bond projects in January 1999. Two projects in particular are the construction of a Transportation Center and Stadium. These projects will be located on a 42-acre site south of Crooked Lane and east of the proposed South Kimball Road. There is currently no access to the site. The access will be provided by the construction of South Kimball Avenue extending from Crooked Lane to the Heritage Business Park. The design and engineering of South Kimball from Crooked Lane to Heritage Business Park is scheduled in the FY 99-00 budget. The extension of East Continental Boulevard to the proposed South Kimball Avenue is included as part of this project. In order to accommodate the construction schedule of the CISD Transportation Center and stadium, staff recommends to begin the engineering and design immediately and include the construction cost in the FY 99-00 budget. The amount of this proposal totals $104,150. The City estimated and budgeted $157,611 to engineer and design South Kimball from Crooked Lane to Heritage Business Park. Director of Public Works Ron Harper stated this is a project that has been shown on the Master Thoroughfare Plan for several years, in addition it has been shown in the Capital Improvements Plan for a period of time. Harper stated, "Staff is recommending at this point that the design of this project be excelerated; it was originally scheduled for next year FY 99-00. We are bringing it forward at this time in order to try to cooperate with the CISD as they complete their facilities, especially down in this area where they do not have direct access to the City of Southlake. Mr. Cheatham is in the audience if Council has questions for him." Councilmember Ronnie Kendall stated, "I have questions of our City Attorney. How can we protect ourselves as a City if this engineer draws designs and in the future there is some kind of drainage problems as a result of those designs?" City Attorney E. Allen Taylor, Jr., stated, "We have rights to seek recovery from any professional from whom we acquire services if there is a showing of negligence in the performance of their responsibilities. There is some unique rules relating to architects and engineers in terms of deceptive trade practice activities. There are some very strong limitations on using that cause of action. Negligence causes of action are viable. The statute of limitations on those kinds of action are governed by the statue of repose which gives us a ten year window after substantial completion ora project during which we may bring an action for any negligence in design or performance or professional duties." Regular City Council Meeting Minutes of August 17, 1999 Page 10 of 22 Councilmember Kendall stated it sounds like that would be very difficult to pursue. Ron Harper stated most engineers have "errors and omissions" insurance and he stated he thinks at that point he defers to Mr. Taylor for an answer. Allen Taylor stated, "If there is an errors and omissions insurance policy, that is the best approach, but that is why we require as a portion of their providing a service, that they have a certain amount of insurance. That insurance then provides coverage for any damages that the client suffers as the result of any failure on their part. Again, it is a standard that would be adjudicated in District Court. Absent any really unusual circumstances the insurance carriers always take the position that whatever was wrong was a judgement call and they want a jury to determine liability or negligence on the part of their insured before they pay a claim. Most of those do not settle, or at least, they do not settle quickly." Kendall stated, "So it is complicated to pursue and timely and costly." Taylor stated, "What it does is guarantee a reserve of money from which you can seek recovery if you can prove that a problem arose from the professional services." Councilmember Kendall asked Mr. Harper if he knows of any drainage problems that exist on this property. Harper replied, "This property is basically almost untouched property and there are no drainage problems that staff is aware of. We understand that there is drainage that goes through there, but we are creating a roadway through that, which includes drainage and design to get it from point A to point B. The property immediately down stream is not developed at that point. The amount of impervious coverage that this type of project will develop is usually not very substantial. Obviously staff will have to be much more diligent when we review the plans of everything the school is doing, that will have a much greater impact than this road will." Kendall asked, "I know that you did not consider the fee when you chose this contractor. Now that you know the fee is around $100,000, do you consider that a reasonable amount, and shouldn't it be lower since he has done some other work around that area?" Harper stated, "The original proposal that came in was much higher, and Mr. Poe negotiated with Mr. Cheatham. We reminded him of the fact that he has already done other work around there. We were not asking him to do any construction administration portion of the project and therefore the fee was reduced fairly substantially from the original fee, as we felt that the original fee was too large. This current fee, for what we will be getting, is reasonable and less than what we would be paying if we went with someone else." The timing of the school's stadium is that the first football game to be played in this stadium is scheduled for September 2000. What the City is trying to do is be sure the City is not the reason the stadium is not ready on time." Councilmember Debra Edmondson had questions about the design of this roadway. Mr. Harper commented that it is proposed as a four-lane divided roadway. Councilmember Ronnie Kendall asked Mr. Cheatham if based on his knowledge of this tract of land, if he sees any drainage problems arising. Cheatham stated, "None that we feel uncomfortable about. The natural course of drainage is from the north to south and Regular City Council Meeting Minutes of August 17, 1999 Page 11 of 22 from the school property as Mr. Harper mentioned, in crossing the street and continuing south." Motion was made to approve authorizing the Mayor to enter into a professional service agreement with Cheatham & Associates, Inc., for the engineering and design of South Kimball Avenue, from Crooked Lane to Heritage Business Park, and the extension of East Continental Boulevard to South Kimball Avenue, in the amount of $104,150. Motion: Second: Ayes: Nays: Approved: DuPre Fawks DuPre, Fawks, Kendall, Moffat, Edmondson, Potter, and Stacy None 7-0 vote Agenda Item #6, Public Forum No comments were received from the audience during the public forum. Councilmember Rex Potter expressed his appreciation to Ron Harper for his assistance in the lighting issue that he had, and for responding to the issues. He also brought to the attention of Council, that the school has changed the direction of traffic on Peytonville Avenue and F.M. 1709, and how you get in and out of the high school. He stated he received a call from a resident regarding this issue and asked Mr. Harper to look into this issue. Charlie Thomas responded, "We visited last month with the police officer who handles traffic in that area and they wanted to try reversing the main drive that is one-way from F.M. 1709 to Peytonville to see if they could move traffic better as they have had problems in the past year." Agenda Item #7-A, Ordinance No. 480-316, 2na Reading (ZA 99-036), Rezoning and Site Plan for Office Building on Miron Drive. Ordinance No. 480-316, 2nfl Reading, (ZA 99-036), Rezoning and Site Plan for a proposed office building on Miron Drive, on property legally described as Lot 3R3, Block 1, Miron Addition, an addition to the City of Southlake, Tarrant County, Texas, according tot he plat recorded in Cabinet A, Slide 3901, Plat Records, Tarrant County, Texas, and being approximately 0.96134 acres. Current zoning is "B-I" Business Service Park District, with a requested zoning of "S-P-l" Detailed Site Plan District with "O-1" District uses. Applicant: Dwayne Young & Company. Owner: Governrnent Capital Corporation. Senior Planner Chris Carpenter stated twelve (12) notices were sent to property owners within the 200' notification area and four (4) responses were received from: Pat Morgan, 210 Westwood Drive, Southlake, undecide& Scott Stalets, 1316 Westrnont Circle, Southlake, opposed; Richard Edington, General Partner, Santa Fe Properties, 365 Miron Drive, Suite A, Southlake, undecide& and, Jerry Adcock, 204 Westwood Drive, Southake, opposed. Regular City Council Meeting Minutes of August 17, 1999 Page 12 of 22 Councilmember Gary Fawks led the discussion regarding the material to be used around the trees. Malcolm Jackson stated, according to Keith Martin, Landscape Administrator, there are approximately twelve to fifteen trees involved and there is a 50/50 chance of the trees surviving regardless of the material used around the trees, whether crushed granite or pave stone. Dwayne Young, applicant. Mr. Young stated after discussions with the Landscape Administrator they have decided not to put the crushed granite in and at this time they want to go with either pavestone product or concrete which are both acceptable to city standards and they will continue to work with the Landscape Administrator on the placement of this and to do the best they can to save the trees in question. Councilmember Debra Edmondson asked Malcolm Jackson if there are other issues about the trees on this property. Mr. Jackson stated, "The issue of the trees has been a long standing issue with regards to this project. The Landscape Administrator asked that we insure that the applicant is advised in advance that prior to conducting any grading, or turning one blade of dirt on this particular site, he must have his site plan ready with the Landscape Administrator's approval for the trees and requests that he mark specifically which trees are being saved with the orange protection band so that we are insured that no trees inadvertently are removed and as long as the applicant understands that in advance, they are comfortable." PUBLIC HEARING: No comments were made during the public hearing. Councilmember Edmondson stated in regard to the lighting, would this come under our new ordinance? Mr. Jackson responded they have not looked at the plans with regard to lighting. When it comes to the building plan stage, they will look at the lighting with regard to compliance. Zoning Administrator Karen Gandy stated the new calculated impervious coverage for this project is 57.15% and the rule is 65% impervious coverage. Mr. Young responded to the lighting stating they have put any site lighting or pole lighting on the site. There will be some basic flood light for safety, and none of those will be pointing toward the residential property. Councilmember Edmondson asked Mr. Young for a commitment on placement of the pavers prior to a motion being made. Mr. Young stated he will give an indication but not a commitment. He stated their goal is to save trees. Councilmember Edmondson stated the issue here is that there are a number of people very concerned about this site, and they are not here tonight because they received a comfort level on the changes he has made. Edmondson stated she is very pleased that the developer has worked so well with the residents. What she Regular City Council Meeting Minutes of August 17, 1999 Page 13 of 22 UNOFFICIAL MINUTES---NOT APPROVED BY THE CITY COUNCIL wants to get to tonight is if the developer could commit to where he is going to put the pavers. Mr. Young indicated on the map the location where they are considering putting the pavers. Motion was made to approve Ordinance No. 480-316, 2nd reading, subject to the Site Plan Review Summary No. 4, incorporating the motion from the last meeting, and accepting the applicant's commitment that at least 50% of the parking lot shown with crushed granite will be done in a pervious paving stone material and that no part of the parking spaces will be done with crushed granite. Motion: Fawks Second: Edmondson Councilmember Rex Potter commented, "In case of a Site Plan there are variances and it is a give and take and that is where he comes from on this. He wants to be sure that everyone knows that it is a matter of give and take on the issues and Council is trying to get the best package on a site plan." Ayes: Nays: Approved: Fawks, Edmondson, Potter, Kendall, Moffat, DuPre, and Stacy None 7-0 vote Agenda Item #7-B~ Ordinance No. 752, 2no Reading~ Amending the Project Plan and Financing Plan for Tax Increment Reinvestment Zone Number One. Assistant to the City Manger Shelli Siemer was present to answer questions regarding the second reading of Ordinance No. 752, amending the project plan and financing plan for Tax Increment Reinvestment Zone Number One. Siemer stated a summary of the revisions in the project costs is as follows: · Revised costs for school projects will be increased to $61.7 million. · The costs for the operation of the schools located in the TIRZ boundaries are increased to $51.5 million. · Revised costs for the infrastructure for school projects is now estimated at $15.47 million. · Included in the plan are the initial capital costs for the library, which is estimated at $1.13 million. · Included are additional capital costs for Town Hall: site work, and furniture, fixtures and equipment including the common areas (ie: City Council Chambers, Courtrooms, etc) $1.97 million. Ms. Siemer stated the city attorneys and bond counsel have been involved in the TIP process and can respond to any legal questions or issues which may arise during this meeting. PUBLIC HEARING: No comments were made during the public hearing. Regular City Council Meeting Minutes of August 17, 1999 Page 14 of 22 Motion was made to approved Ordinance No. 752, 2nd Reading, as presented. Motion: Potter Second: DuPre Ayes: Potter, Fawks, Kendall, DuPre, and Stacy Nays: None Approved: 5-0 vote Couneilmembers Moffat and Edmondson were out of the room and did not vote. Agenda Item #7-D, ZA 99-053, Development Plan for Kirkwood Hollow, Phase II ZA 99-053, Development Plan for Kirkwood Hollow, Phase II, on property legally described as Tracts 3A, 3A4, 3A4B, 3A1A1, 4A, 4Al, and portions of Tracts 3Al, 3A1A, 3A1A2, 3A3, 3A3A1, 3A4A, 4B1, 4B2, situated in the R.D. Price Survey, Abstract No. 1207; portions of Tracts 2A4 and 2A5, situated in the U.P. Martin Survey, Abstract No. 1015; and a portion of Tract 1 situated in the James B. Martin Survey, Abstract No. 1134; and being approximately 30.68 acres. Current zoning is "R-P-U-D" Residential Planned Unit Development District. Applicant: Huitt-Zollars, Inc. Owner: 300 Convent Corporation. Senior Planner Chris Carpenter noted that fifteen (15) notices were sent to property owners within the 200' notification area and three (3) responses have been received from: Wm. P. Edginton, Panorama Properties, 502 North Carroll Avenue, in favor; Richard D. Edginton, Calais Construction, Inc. 365 Miron Drive, Suite A, Southlake, in favor; and Richard Robbins, Corm Anderson Homes, Inc. 929 Parkview, Southlake, in favor. Ocie Vest, representative of 300 Convent Corporation. Mr. Vest stated he is here to present Phase II of Kirkwood Hollow. He gave a history of the project when the PUD was first approved. He presented a copy of the Concept Plan as it was first approved, which represents the entire PUD. With the PUD, was a set of development standards, and running concurrently with the PUD was the Development Plan for the first phase of the residential development. The first phase is on the ground with approximately 30 homes on the ground with people living in the homes. Tonight Phase II is being presented. The development plan was approved at the same time as the PUD regulations. It contained 68 residential lots and several common area lots to be maintained by the homeowners association and a park land dedication. The date for Phase ! was October, 1995. It was their understanding that the street pattern was setting the standard for the remaining phases. They believe the street approved in the PUD to be 29' and they believe their design is safer than the street the City ordinance allows. He noted that all the residents on White Chapel Boulevard wanted them to have "no" access onto White Chapel Boulevard from this addition." Mayor Stacy stated he feels they would be better off to have a through street, however, this will be looked at in the Phase III of Kirkwood Hollow. Regular City Council Meeting Minutes of August 17, 1999 Page 15 of 22 Councilmember Ronnie Kendall stated to the applicant, "We do not have any Park Board members present and I requested minutes of their meeting where this development was discussed but did not get them. I must trust you to tell me why do you think the Park Board went against our ordinance and did not have you adhere to it, in putting the side walk along the Master Trail?" Mr. Vest stated he understands that the ordinance was passed after their PUD was approved. He stated they made commitments to dedicate park land in excess of what they were required to dedicate. Ordinances have come along to require them to do more things park related than what they were originally required to do. He stated they feel they have been double dipped! Councilmember Kendall stated regarding Phase II and III, the sidewalk ordinance does apply to those two phases, and the developer is responsible for constructing the trail along White Chapel Boulevard for Phase II and III. Mayor Stacy stated, "Most quality developers that have been around here for some time are willing to change when the ordinances change because they know it is for the betterment of the community as a whole and I'm sure you will come around to that way of thinking as well." Vest stated that Phase I is built and it does not have sidewalks within the subdivision, and Phase II is essentially an extension of Phase I. It is a single street with 33 lots, and we feel that interior sidewalks here don't go anywhere and don't provide any cimulation, and that they would be out of place. Councilmember DuPre stated she lives in a neighborhood without sidewalks and while she is not on a loop, she still has tremendous traffic and the children walk on the street and it is a constant concern of the parents. She stated Mr. Vest may not see the need, but with the school being planned there and the number of children that will be moving into the area, she disagrees with Mr. Vest. Councilmember Rex Potter stated he believes Mr. Vest can blend in the sidewalks with Phase I. Councilmember Ronnie Kendall stated the purpose of the sidewalks is safety, and they are only required on one side of the street in a residential development. The need is there for Council to protect the kids. Mr. Vest stated he is fine with sidewalks on one side of the street. Mayor Rick Stacy referenced the summary review letter, where it says, "This property lies within the 65 LDN of the Regional Airport Overlay Zone and mentions Ordinance No. 479." Stacy stated he was in a meeting with the Airport Noise Compatibility Zone today and they are very concerned about this development because it is in the noise cone. Their concern is mainly for the second homeowner, because they feel the developer will notify the first homeowner. We were discussing today about the airport avigation easement." Mr. Vest stated each original buyer has to acknowledge that they are in the noise cone and each subsequent buyer will get a copy of those same deed restrictions and title commitment where this statement will remain on the documents." Councilmember Patsy DuPre stated there is also a comment in the Summary Review Letter regarding the concern for the buildable area in Lots 9 and 14, Block A. She asked Regular City Council Meeting Minutes of August 17, 1999 Page 16 of 22 Mr. Vest to confirm the adequacy to eliminate the need. Mr. Vest stated he has applied for release of those lots from the flood plane and stated he will wait to build on those lots until approval has been given. Councilmember Debra Edmondson questioned the Corps of Engineer overflow easement on Lots 9 and 11, Block A, and asked Mr. Thomas what that means. Thomas stated the Corps has an elevation around Lake Grapevine and anything below that is placed in the flow easement and structures cannot be built in that area between that and the creek. Mr. Vest stated with the request to FEMA also goes the request to remove Lot 9 from the flow easement. PUBLIC HEARING: No comments were made during the public hearing. Mr. Vest stated by putting in a 29-foot street, it will save trees. Staff recommends that a 31-foot street be built. Motion was made to approve ZA 99-053, subject to the Development Plan Summary No. 3, dated July 16, 1999; accepting the recommendations of the Planning and Zoning Commission; and that the motion be amended to require sidewalks only on one side of the streets. Motion: Second: Ayes: Nays: Approved: Fawks Potter Fawks, Potter, Kendall, Moffat, DuPre, Edmondson, and Stacy None 7-0 vote Agenda Item #7-E, ZA 99-054, Preliminary Plat for Kirkwood Hollow, Phase II. ZA 99-0054, Preliminary Plat for Kirkwood Hollow, Phase II, on property legally described as Tracts 3A, 3A4, 3A4B, 3A1A1, 4A, 4Al, and portions of Tracts 3Al, 3A1A, 3A1A2, 3A3, 3A3A1, 3A4A, 4B1, 4B2, situated in the R.D. Price Survey, Abstract No. 1207; portions of Tracts 2A4 AND 2A5, situated in the U.P. Martin Survey, Abstract No. 1015; and a portion of Tract 1 situated in the James B. Martin Survey, Abstract No. 1134; and being approximately 30.68 acres. Current zoning is "R-P-U-D" Residential Planned Unit Development District. Applicant: Huitt-Zollars, Inc. Owner: 300 Covent Corporation. Senior Planner Chris Carpenter stated fifteen (15) notices were sent to property owners within the 200' notification area and three (3) responses were received from: Wm. P. Edginton, Panaorama Properties, 502 North Carroll Avenue, Southlake, in favor; Richard D. Edgington, Calais Construction, Inc., 365 Miron Drive, Suite A, Southlake, in favor; and Richard Robbins, Conn Anderson Homes, Inc. 929 Parkview, Southlake, in favor. Ocie Vest, applicant. Mr. Vest stated he is asking for the same variances as he did on the last item. Regular City Council Meeting Minutes of August 17, 1999 Page 17 of 22 Motion was made to approve ZA 99-054, Preliminary Plat for Kirkwood Hollow, Phase II; subject to the Development Plan Review Summary No. 3, dated July 16, 1999; accepting the recommendation of the Planning and Zoning Commission; and granting relief to Items # la, #lb, and 3a; and amending the motion to require sidewalks only on one side of the streets. Motion: Second: Ayes: Nays: Approved: Fawks DuPre Fawks, DuPre, Edmondson, Potter, Kendall, Moffat, and Stacy None 7-0 vote Agenda Item #7-F, A 99-055, Development Plan for Kirkwood Hollow, Phase III. ZA 99-055, Development Plan for Kirkwood Hollow, Phase III, on property legally described as Tracts 1, lB, lC, lC1, 1D, 1D1, 1E, lEI, iF, 1Fl, 1G, IH, and 1J1, situated in the R.D. Price Survey, Abstract No. 1207; and a portion of Tract 1 situated in the James B. Martin Survey, Abstract No. 1134; and being approximately 29.46 acres. Current zoning is "R-P-U-D" Residential Planned Unit Development District. Applicant: Huitt-Zollars, Inc. Owner: 300 Convent Corporation. Senior Planner Chris Carpenter noted that nine (9) notices were sent to property owners within the 200' notification area and one (1) response was received: Thomas K. McGregor, P.O. Box 93025, Southake, Texas, in favor. Brent Kline, Total Program Management, Grapevine. Mr. Kline explained the schools' intention for the use of the property, stating, "Off of White Chapel Boulevard where the school is facing, the intention is to have a drop off and it was never intended to go through." He stated they would have to come to the Planning and Zoning Commission and City Cotmcil for Site Plan approval. Ocie Vest, applicant. Mr. Vest stated in Phase III, the final phase for Kirkwood Hollow, they are proposing fifty lots, plus the park land dedication along White Chapel and Dove Road, and the open space to be maintained privately by the homeowners association. The timing on this phase will be dictated by the market demand. It is the owner's intention to go all three phases in a row for the next year. With the 29.54 acres and fifty lots, the size of the lots will be more like Phase I. Council adjourned for recess at 10:20 p.m. Council returned to open session at 10:35 p.m. Mr. Vest stated they are in agreement to eliminate one lot along White Chapel Boulevard, distributing the land on all the remaining lots along White Chapel Boulevard. Motion was made to approve ZA 99-055, Development Plan for Kirkwood Hollow, Phase III; subject to the Development Plan Review Summary No. 3, dated July 16, 1999; Regular City Council Meeting Minutes of August 17, 1999 Page 18 of 22 might lose one lot on the back row. Lots 11,12, 13, 14, 15, 16, 17 are all 15,000 s.f. lots. Those lots are 100X150'. Is there room to take out one lot and make this look better by making the little lots larger?" Motion was made to approve ZA 99-055, Development Plan for Kirkwood Hollow, Phase III; subject to the Development Plan Review Summary No. 3, dated July 16, 1999; accepting the recommendation of the Planning and Zoning Commission with the exception of #5b (deleting that particular item requiring that the applicant reduce Block 2 by one lot, spreading the land over the area in Lots 11 through 17); and amending the motion to require sidewalks only on one side of the streets. Motion: Second: Ayes: Nays: Approved: Potter Fawks Potter, Fawks, Kendall, Moffat, DuPre, and Stacy Edmondson 6-1 vote Agenda Item #7-G, ZA 99-059, Site Plane for Carroll I.S.D. Addition No. 3 ZA 99-059, Site Plan for Carroll I.S.D. Addition No. 3, on property legally described as Tracts 2 and 2C situated in the James L. Chivers Survey, Abstract No. 348, and being approximately 3.00 acres. Current zoning is "CS" Community Service District. Applicant: Cheatham and Associates. Owner: Carroll I.S.D. Senior Planner Chris Carpenter stated twenty-seven (27) notices were sent to property owners within the 200' notification area and one (1) response was received from: Judy and James Miller, 2405 North Carroll Avenue, Southlake, opposed, "Variance from Landscape requirements--badly needed on the east side and along Carroll Avenue. There is not one single tree, shrub, or flower on the east side. Would greatly improve the looks of the school!" Brent Kline, Total Program Management. Mr. Kline gave an overview of the request. He stated Steve Johnson, CISD and Eddie Cheatham, engineer, are present to answer questions for Council. Mr. Kline stated they need a variance to item #1 (articulation); and a variance to item #2, the CMU (Concrete Masonry Unit); and they agree to the bufferyards as agreed by the Planning and Zoning Commission. Councilmember Edmondson asked why did the school plant all the trees and then let them die? Mr. Kline stated the plantings are guaranteed and will be replaced. A discussion was held regarding the sidewalks. Councilmember Rome Kendall stated they should put in the sidewalks now, as there are no plans to widen Dove Road. She stated the purpose of the sidewalk ordinance is for safety. She noted we are asking the developers to put in sidewalks and why would a school not put in the sidewalks. If you develop next to a school, the ordinance requires that a sidewalk be put in. Regular City Council Meeting Minutes of August 17, 1999 Page 19 of 22 UNOFFICIAL MINUTES---NOT APPROVED BY THE CITY COUNCIL Councilmember Debra Edmondson stated, "You know what this is like, we went through the same thing on the Junior High School. You have your science teachers teaching these children to be environmentally conscience and then you have the disaster called, 'the way the junior high was built.' You have the same thing, teach one thing, and then have a law that says one thing, but the school district is exempt from it all. I have to tell you Brent that I have a real problem with that. Our law says put in sidewalks. Why do we have that? Primarily for the safety of children. The same children that this school district educates. It is very important that if we ask our developers to put sidewalks in -- it will not break your budget to put in sidewalks in for the safety of children." Councilmember Rex Potter stated, "What about the practice fields on the natatorium site that you spent lots of money on that you could have done without -- don't start this economics bit here." Councilmember Rounie Kendall stated, "You can contact Ron Harper and he can tell you the safe place to put the sidewalks in, so that you would not have to relocate them in years down the road." A discussion was held regarding the right-of-way on Dove Road. Is there any alignment that needs to be addressed on Carroll Avenue and Dove Road. Eddie Cheatham stated the bufferyard will be in the 94' right-of-way. Mayor Stacy stated this is a dangerous intersection and hopefully we can work together to make that a safer intersection. Malcolm Jackson stated in speaking with the Landscape Administrator, "As we understand it, they are asking to take the bufferyard requirements from the north side and from the west side and disperse those along the east and southern portions where they can work in conjunction with the Landscape Administrator and decide specifically where the plants need to be placed and how thick the plants need to be." PUBLIC HEARING: No comments were made during the public hearing. Councilmember DuPre commented about the sidewalks and stated in discussions with a school board member that the $8 million that was approved was to improve this school so that the kids on this side of town have just as much quality as the other schools, and in doing that, the school board members stated the sidewalk was something that they would like to postpone until a later date. Pa~icularly this night, it is obvious that our Council feels that we have the sidewalk ordinance and we are asking a developer who has a PUD with the first part of the development not having a sidewalk, and asking him to put a sidewalk in for the remainder of the phases in the development. If we want to set an example for our children and the community, we cannot ask one entity to put in sidewalks and not require the other person to put in the sidewalks." Motion was made to approve ZA 99-059, subject to the Site Plan Review Summary No. 4, dated August 13, 1999; accepting all the Planning and Zoning Commission recommendations except for Item #7; deleting the Planning and Zoning Commission action and requiring a sidewalk along Dove Road and Carroll Avenue; and allowing the Regular City Council Meeting Minutes of August 17, 1999 Page 20 of 22 Motion was made to approve ZA 99-059, subject to the Site Plan Review Summary No. 4, dated August 13, 1999; accepting all the Planning and Zoning Commission recommendations except for Item #7; deleting the Planning and Zoning Commission action and requiring a sidewalk along Dove Road and Carroll Avenue; and allowing the applicant to work with the Landscape Administrator in relocating the bufferyards as necessary to fit them into the site plan. Motion: Second: Ayes: Nays: Approved: Fawks DuPre Fawks, DuPre, Edmondson, Potter, Kendall, Moffat, and Stacy None 7-0 vote Agenda Item #Il-A, Discussion: Amending the Utility Contract with IBM allowing the City to re-pay IBM for the water utility improvements made for Solana and surrounding developments. Director of Public Works Ron Harper stated upon the development of Solana and the surrounding area in 1987, the city needed to supply up to one million gallons per day of potable water to the area to accommodate the new growth. At that time the City of Southlake did not have the infrastructure to supply the amount of water needed. As a result, on May 4, 1987, IBM and the City of Southlake entered into a utility contract that allowed IBM to construct the water tower at Dove Road and an 18" water line along Dove Road to the new area. As outlined in the original contract, Southlake was to reimburse IBM for the construction costs through lower water bills and lowered fees. With the acquisition of the Solana Complex by McGuire Partners, the original plan would no longer be appropriate since the original agreement was made with IBM alone. Therefore, the City of Southlake and IBM have created the "First Amendment to Utility Contract of May 4, 1987 between IBM and the City of Southake," which is being submitted for Council discussion. This amendment makes five basic changes to the original agreement: updates the current credit that Southlake owes to IBM, allows the Developer to offset any fees due to reduce the current credit, allows the City of Southlake to install infrastructure at the site to offset the current credit, clarifies that if any part of the site is sold to a third party, this agreement does not transfer with the sell, but will apply to any part still owned by IBM, assigns cash payments to be made on an annual basis as listed. The City shall pay the developer the following amounts by the following dates against the current credit: By December 15, 1999, the City shall pay the Developer $60,000; By December 15, 2000, the City shall pay the Developer $70,000; Regular City Council Meeting Minutes of August 17, 1999 Page 21 of 22 City of Southlake, Texas MEMORANDUM August 13, 1999 TO: Billy Campbell, City Manager FROM: Ron Harper, Director of Public Works SUBJECT: Resolution 99 -64, Authorize the Mayor to execute an agreement with Texas Department of Transportation for funding of an alternative fuels program Action Requested: City Council consideration of Resolution No. 99 -64, approving the Alternative Fuels Program Agreement for funding with the Texas Department of Transportation (TxDOT). Background Information: The Clean Air Act Amendments of 1990 established the federal Clean Fuel Vehicle Fleet Program to reduce air pollution. This mandatory program, which began in 1998, requires fleet owners operating in areas that surpass the National Ambient Air Quality Standards (NAAQS), and are categorized as serious, severe, or extreme nonattainment areas, to purchase a percentage of low emission vehicles when adding or replacing vehicles in their fleet. (Dallas -Fort Worth has been upgraded as serious non - attainment.) States have the option of implementing the federal Clean Fuel Vehicle Fleet Program in their designated nonattainment areas or developing a state substitute program that would reduce the same amount of vehicle emissions. In response to this option, the State of Texas has developed the Texas Clean Fleet (TCF) Program. As a result of Dallas -Fort Worth's upgrade from "Moderate" to "Serious" pollution status, participation in the TCF Program is required for the City of Southlake. Some of the highlights of the TCF are: • Local governments that operate a fleet of more than 15 vehicles and private entities that operate a fleet of more than 25 fleet vehicles are affected. These figures exclude law enforcement and emergency vehicles and vehicles over 26,000 lbs. in weight. • Beginning September 1, 1998, such fleets must ensure that their vehicles, including leased ones, are certified to meet or exceed the following low emission vehicle standards: ➢ 30% of vehicles purchased between September 1, 1998 and September 1, 2000; or at least 10 percent of the total fleet as of September 1, 1998. 5C -1 ' Billy Campbell August 13, 1999 Page2of3 • Within 90 days of meeting the minimum fleet size, affected local government and private fleets must register with the Executive Director of the Clean Fleet Program for identification and compliance tracking. To help defer the impact of the TCF mandates, the North Central Texas Council of Governments (NCTCOG) developed the optional Alternative Fuels Program for grant funding for local governments from TxDOT to assist with the conversion of vehicles. These grants would reimburse municipalities 80 percent of the total cost of conversion. Southlake currently has a non - emergency fleet covered by the TCF of 44 vehicles and only 4 of these vehicles currently use an alternative fuel. Since these four vehicles comprise less than 10% of the fleet, Southlake could not register for the TCF by September 1, 1998. Therefore, 30% of vehicle purchases between now and September 1, 2000 must be certified low emission vehicles (LEV). Southlake can earn credits towards this requirement by converting vehicles currently owned to run on an alternative fuel. Earlier this year, the City of Southlake applied for the aforementioned grant and was awarded up to $19,200. The funds provided by the State under this agreement will be used to reimburse the City for cost incurred for the incremental costs of the purchase price of a new alternative fuel vehicle or conversion of an existing vehicle to operate on an alternative fuel. Reimbursement also covers supplemental capital outlay related to the alternative fuel vehicles (e.g., additional tanks or canisters, air boxes, etc.). By converting vehicles to alternative fuels the City can earn credits toward the mandatory compliance with the TCF as required by the Texas Natural Resources Conservation Commission. In order for the City of Southlake to receive the optional grant through NCTCOG Alternative Fuels Program and use the funding to supplement to cost of the State requirements for the TCF program, the City must properly execute the agreement from the TxDOT, provide an approved resolution demonstrating City Council approval of the agreement, and provide the State with a Cost Estimate of the Agreement. Financial Considerations: The cost of conversion will be approximately $1,950 per vehicle and the reimbursable portion of the conversion of each vehicle would be 80 % or $1,560. 5C -2 ' Billy Campbell August 13, 1999 Page 3 of 3 The departmental participation is as follows: Department Make Model Year Unit # Building Inspections Ford F150 99 913 Ford F150 99 912 Ford F150 98 909 Engineering Ford Taurus 96 790 Ford F150 99 792 Ford Crown 95 791 Victoria Streets /Drainage Ford F150 99 801 Ford F150 96 820 Parks Ford F250 96 952 Ford Ranger 96 954 Ford Taurus 97 953 Ford '/a ton 99 956 Each department that will be converting vehicles has budgeted for this expense in the FY 99 -00 budget. Citizen Input/ Board Review: None. Legal Review: A copy of the agreement has been faxed to the attorneys for review. Alternatives: Find other avenues to support the costs of purchasing alternate fuel vehicles or converting vehicles to alternative fuels in order to comply with the TCF requirements. Supporting Documents: TxDOT Agreement for Funding Alternative Fuels Program. Staff Recommendation: Authorize the Mayor to execute an agreement with Texas Department of Transportation for funding of an alternative fuels program Approved for Submittal to City Council: ' i ! ager's Office 5C -3 City of Southlake, Texas 1 MEMORANDUM August 13, 1999 TO: Billy Campbell, City Manager FROM: Shelli Siemer, Assistant to the City Manager SUBJECT: Authorize the Mayor to enter into a participation agreement with the Carroll Independent School District pertaining to their participation in the Tax Increment Reinvestment Zone Number One, City of Southlake, Texas. Action Requested: Consideration of the participation agreement between the School District and the City of Southlake identifying CISD's level of participation in the Southlake Tax Increment Reinvestment Zone. Background Information: In order to participate in the TIF, the school district must establish their level of participation by August 31, 1999. At the joint City Council /School Board meeting held on July 27, 1999, there were basic understandings met between the School Board and City Council. The school staff and city staff, including financial advisors and attorneys, have worked to produce a document that accurately reflects those agreed upon points in this contract. Both the City Council and School Board will be considering this agreement on August 17, 1999. The city and school staff are recommending to the City Council and the School Board that this contract in its entirety be adopted as written. Any modifications to the agreement will require the changes to come back to the School Board and City Council for consideration, which will create a timing challenge in order to meet the August 31, 1999 deadline. As you recall, this participation agreement and the amendments to the project and financing plan correspond with one another. The TIRZ Board approved the amended Project Plan and Financing Plan on August 10, which was based on the understanding the CISD and City of Southlake will enter into a participation agreement for the TIRZ. The City Council also approved the amendments on the project and financing plan, for first reading, on August 10, 1999. Attached to my memo is a copy of the participation agreement. A summary of the provisions of the agreement is as follows: ➢ Termination of School District's Participation. In order to protect the City's financial capabilities and the TIF projects previously established, the agreement provides assurances that there will not be a negative financial impact on the City. If paying the school district their "negative financial impact" from TIF funds impairs the City's I DLI -► Billy Campbell August 13, 1999 Page Two ability to issue debt for the remaining TIF projects, or the overall bonding capabilities of the City, the agreement is null and void. ➢ CISD Contribution. The agreement provides for the school district to pay into the tax increment fund at 100% of their M &O ad valorem tax rate, which is $1.34 per $100 assessed valuation. This section also provides a clause for calculation and of the CISD's "negative financial impact" on the school for participating in the TIF. ➢ TIF Payment of Negative Financial Impact. The process of calculating the negative financial impact is complicated, but in simple terms the CISD will calculate, on an annual basis, the difference of their finances based on contributing to the TIF versus not contributing to the TIF. If there is a negative impact on the school, the City will pay (from TIF funds) the school district the amounts necessary to offset any negative financial impact. This will not exceed the total annual amount paid into the TIF by the school district. The City will not obligate the school district's TIF contribution until that negative financial impact is determined. In addition, the CISD will spend the funds paid to offset the negative financial impact on their TIF projects. This participation agreement includes a detailed calculation methodology for payment to the CISD, and provides details regarding timing and deadlines for both parties to meet. ➢ Use of TIF Funds. The remaining funds, after reduction of negative financial impact, from CISD's participation will be used in the following proportions: 1) 30% of the school district's contributions will be used to pay for any project costs described as Public Improvement Projects 2) 70% of the school district's contributions will be used to pay for school improvement projects. Boundary. The boundaries include the 408 acres as described in Ordinance 682 -A, approved by City Council on December 2, 1997. Attached is a map of the TIRZ Boundaries. ➢ TIRZ Board Representation. Through this agreement, the school district is asking for the right to have two voting members on the TIRZ Board. One will be appointed directly by the school district, and the City will appoint the other member with the school district's recommendation of the board member's name to the City. Billy Campbell August 13, 1999 Page Two D Project Costs. The agreement as submitted includes an attached project plan that has been approved by the TIRZ Board on August 10, 1999. Financial Considerations: As described earlier, the participation agreement defines the financial participation of the CISD. The projects identified in the Project Plan and Financing Plan will be funded through the TIRZ. Citizen Input/ Board Review: The TIRZ Board approved the amended Project and Finance Plan prior to the City Council approving the first reading of the Ordinance on August 10, 1999. Legal Review: The city attorneys and bond counsel have been involved in the TIF process and can respond to any legal questions or issues which may arise during the meeting. Alternatives: Not applicable. Supporting Documents: Participation Agreement Boundary Map Staff Recommendation: Staff recommends that the City Council approve the agreement as written by the CISD and City of Southlake staff and attorneys. Please place this item on the August 17 City Council meeting agenda. Approved for Submittal to City Council: City Manager's Office 11'1b.