02-02-10 _ _ _
MINUTES
REGULAR MEETING
February 2, 2010
A Regular Meeting was held by the Schertz City Council of the City of Schertz, Texas, on
February 2, 2010 at 6:30 p.m., in the Municipal Complex Council Chambers, 1400 Schertz
Parkway, Building #4, Schertz, Texas. The following members present to-wit:
Mayor Hal Baldwin Mayor Pro-Tem David Scagliola
Councilmember Jim Fowler Councilmember John Trayhan
Councilmember Michael Carpenter
Staff Present: Assistant City Manager John Bierschwale
Assistant City Manager David Harris City Secretary Brenda Dennis
CALL TO ORDER REGULAR MEETING
Mayor Baldwin called the meeting to order at 6:3.0 p.m.
INVOCATION AND PLEDGES OF ALLEGIANCE TO THE FLAGS OF THE
UNITED STATES AND STATE OF TEXAS.
Councilmember Fowler gave the invocation followed by the Pledges of Allegiance to the
Flags of the United States and State of Texas.
PRESENTATIONS
• Presentation and discussion on the upcoming Wilenchik Walk for Life March 6,
2010. (J. Bierschwale)
Mayor Baldwin recognized Assistant City Manager John Bierschwale who
introduced this item providing a brief PowerPoint presentation answering questions
from Council. Mr. Bierschwale provided the following information regarding the
upcoming event:
- Date: Saturday, March 6, 2010
- Time: 7:00 am -Check In
8:00 am -Walk begins
- Place: Old Library - 608 Schertz Pkwy
- Cost: $20 per person or $15 per person if on a team
$10 Dog Registration
$15 Signs of Love
Registration forms available at City Hall Business Office or at www.schertz.com,
last year the event raised $27,844, which was used by the Cancer Therapy and
Research Center at UT Health Science Center San Antonio to obtain $3-5 million in
grants. This year our goal is to raise more.
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HEARING OF RESIDENTS
Mayor Baldwin recognized the following Citizens:
• Carl Douglas, 2550 Woodland Village Place who spoke of concerns regarding the
process used for EDC Budget.
• David Richmond, 2921 Bench Tree Drive who spoke regarding agenda item 5
stating this was a great facility but expressed his concerns on the need of an assisted
living facility in the future.
• William Brown, Woodland Oaks Home Owners Association who spoke regarding
Code enforcement issues regarding vehicles on the street.
• Robert Brockman, 1001 Elbel who spoke regarding notification of when the trail
riders are coming though. Staff stated that they would be coming through on
Thursday.
Discussion and/or Action Items
1. No Parking, Stopping or Standing in bicycle lanes -Ordinance No. 2009-M-42
- Status report, discussion and possible further action by Council regarding this
ordinance. (J. Bierschwale)
Mayor Baldwin recognized Assistant City Manager John Bierschwale who introduced
this item providing a brief PowerPoint answering questions from Council. Mr.
Bierschwale stated staff was working with the postal service regarding the relocation
of the mail receptacles. He stated they would be using directional "No Parking" signs
on Savannah Drive, which would address the traffic concern. Mr. Bierschwale stated
that vehicles could not pass safely if parking is permitted on Savannah between
Schertz Parkway and FM 3009 and that designated traffic lanes do not permit parking
on Savannah along the curb in front of Paschal School. He also stated that parking is
not restricted west from the school to the city limits.
Mr. Bierschwale also stated he would like the word "erected" be changed to "posted"
in section 86-149 (a) of Ordinance No. 09-M-42. It was the concurrence of the
Council to have staff bring back a corrected ordinance with the change noted.
2. Minutes -Consideration and/or action regarding the approval of the minutes of the
Regular Meeting of January 26, 2010.
Mayor Baldwin recognized Councilmember Fowler who moved, seconded by
Councilmember Trayhan to approve the minutes of the regular meeting of January
26, 2010. Vote was unanimous. Motion Carried.
3. Utility Billing Write-Offs -Consideration and/or action approving the Utility
Billing Write-Offs. (C. Spence).
Mayor Baldwin recognized Business Office Manager Carol Spence who introduced
this item stating that action requested of Council approves a Utility Billing write-off
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amount of $5,008.13 for the period of April 1, 2009 through June 20, 2009. Ms.
Spence stated that as per City policy, Utility Billing is to bring uncollectable debt to
' the City Council throughout the year that is to be written off after 180 days of non-
payment.
Mayor Baldwin recognized Councilmember Carpenter who moved, seconded by
Councilmember Fowler to approve the Utility billing write-offs in the amount of
$5,008.13. Vote was unanimous. Motion caNNied.
4. Resolution No. 10-R-06 -Consideration and/or action approving a resolution
approving a $150,000 loan from the Schertz Economic Development Corporation to
' SPV Ventures, LLC, authorizing a Loan Agreement, Deed of Trust, Note, and
related documents, and other matters in connection therewith. (G. Antuna/J. Jewell)
Mayor Baldwin recognized Assistant Economic Development Director Jeff Jewell who
introduced this item stating that action requested of Council approves a loan from
Schertz Economic Development Corporation to SPV Ventures, LLC ("SPV") for
construction of a new medical office building in the City. The Schertz Economic
Development Corporation approved the loan at their board meeting of January 14,
2010.
Mr. Jewell stated the loan from the EDC to SPV will be (i) in the principal amount
of $150,000, (ii) at an interest rate of 0%, (iii) subordinate to the loan to SPV from
Schertz Bank & Trust, (iv) for a term of the earliest of (x) twenty years, (y) the
conveyance by SPV of one hundred percent (100%) of its interest in the real
property or the SPV entity or (z) SPV's refinancing of the property in excess of the
actual construction costs.
In addition, the loan will be partially repaid if SPV sells less than one hundred
percent (100%) of its interest in the property or the SPV entity (the proportionate
share of the outstanding indebtedness shall be due upon the sale of such interest).
Mr. Jewell addressed Councils questions and concerns.
Mayor Baldwin recognized EDC Director George Antuna who came forward further
addressing concerns of Mayor Baldwin regarding approving the loan. Mayor Baldwin
recognized EDC President Steve White who came forward stating that he had spoken to
the City Attorney last week regarding if the document had a claw back provision in the
contract and he indicated yes the city would get their money back if SPV defaults on
the loan.
Mayor Baldwin recognized Councilmember Carpenter who stated that he is in support
of this for two reasons: (1) there is a shortage of medical space within the city (2) that
the city has already invested on the piece of property, as they have used CPS credits to
build the power pole to bring power to the area and the sooner the city can get this
facility built the sooner the city will be getting tax revenue.
Mayor Baldwin recognized Councilmember Carpenter who moved, seconded by
Councilmember Trayhan to approve a resolution authorizing the Schertz Economic
Development Corporation to approve a loan for $150,000 to SPV Ventures, LLC
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("SPV") for the construction of a new medical office building. Vote was unanimous.
Motion carNied.
5. Resolution No. 10-R-07 -Presentation and consideration and/or action approving a
resolution in support of the proposed Ashton Senior Village, approving an
application to TDHCA for Home. Funds and tax credits to finance such project and
providing an effective date. (D. Harris)
Mayor Baldwin recognized Assistant City Manager John Bierschwale who
introduced this item stating that a presentation was recently made to the City
Council regarding a proposed affordable senior housing facility in the City. As part
of the project plan, the developer is seeking the City's support in applying for tax
credits and HOME funds from the Texas Department of Housing and Community
Affairs. Action requested of Council approves City's support for the Ashton Senior
Village Project by Denison Development and Construction. Mr. Bierschwale stated
that there is no direct fiscal impact, if facility is constructed it is anticipated that
50% of the property value will be exempt from ad valorem taxes under state tax
codes.
Mayor Baldwin recognized Mr. Colby Denison with Ashton, Ltd. who came
forward giving overall briefing answering questions from Council.
Mayor Baldwin recognized Councilmember Fowler who moved, seconded by
Councilmember Scagliola to approve a resolution in support of the proposed Ashton
Senior Village; approve an application for Home Funds and tax credits to finance such
project and provide an effective date. Vote was unanimous. Motion cart~ied.
6. Resolution No. 10-R-08 -Consideration and/or action approving a resolution
hiring Denton Navarro Rocha & Bernal, P.C. for a special project. (J. Bierschwale)
Mayor Baldwin recognized Assistant City Manager John Bierschwale who
introduced this item stating that action requested of Council is to hire Denton,
Navarro, Rocha, and Bernal for the purpose of providing background briefing to the
County Attorney regarding the City's agreement with the Guadalupe County
Attorney to request an Attorney Generals opinion regarding the 1993 opinion by the
Texas Attorney General requiring that political subdivisions pay impact fees and
requesting a new opinion on the topic.
Mr. Bierschwale stated our City Attorney's firm also provides certain legal services
to COMA and cannot provide background support to the County Attorney because
of the rules regarding conflicts of interest. City staff recommends that the City
Manager be authorized to employ Lowell Denton's law firm for the specific
purpose of providing the background briefing to the County Attorney.
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Mayor Baldwin recognized Councilmember Trayhan who moved, seconded by
Councilmember Fowler that based on the City Attorney's recommendation approves. a
resolution authorizing the City Manager to employee Lowell Denton's law firm for the
specific purpose of providing the background briefing to the County Attorney. Vote
was unanimous. Motion carried.
7. Resolution No. 10-R-09 -Consideration and/or action approving a resolution
replacing Resolution No. 10-R-02 designating and naming the City's official
newspaper. (B. Dennis)
Mayor Baldwin recognized City Secretary Brenda Dennis who introduced this item
stating that on January 5, 2010, the City Council selected the Daily Commercial
Recorder as the City's newspaper of record for legal notices, with the City's notices
also to be published in the Northeast Herald for no additional charge. Since that
approval, the Daily Commercial Recorder and the Northeast Herald have agreed to
lower prices.
Mayor Baldwin recognized Councilmember Trayhan who moved, seconded by
Councilmember Carpenter to approve Resolution No. 10-R-09. Vote was unanimous.
Motion carried.
Requests and Announcements
8. Requests by Mayor and Councilmembers that items be placed on a future City
Council agenda.
No requests given.
9. Requests by Mayor and Councilmembers to City Manager and Staff for
information.
Mayor Baldwin recognized Councilmember Fowler who stated that he went by
Lowes today and noticed the splash wall had been framed and the cement poured
but asked City Engineer Larry Dublin when he reviewed the drawings that on the
back side of the wall was there going to be any type of support. Mr. Dublin stated
they do not show any, that there is an adhesive that is applied before the concrete is
poured, the reinforcing rods are epoxy into the holes that are drilled, and this is a
common technique.
10. Announcements by Mayor and Councilmembers
• City and community events attended and to be attended
• City Council Committee and Liaison Assignments (see assignments below)
• Continuing education events attended and to be attended
• Recognition of actions by City employees
• Recognition of actions by community volunteers
• Upcoming City Council agenda items
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Mayor Baldwin recognized Mayor Pro-Tem Scagliola who stated he attended a
luncheon today with the Principal and Vice Principal with Our Lady of Perpetual
Health in Selma that was given to say thank you for our support. Mayor Pro-Tem
Scagliola stated that he brought back some posters for Mayor Baldwin and the
Schertz City Council, Police Department as well as a package of letters written by
some of the students to the Fire Department. Mayor Pro-Tem Scagliola read some
of those letters in which the students are thanking them for keeping them safe.
Mayor Baldwin recognized Councilmember John Trayhan who stated that he had
also attended the luncheon today and echoed the sentiments of the school and their
students.
11. Announcements by City Manager
• Recognition of City employee actions
• New Departmental initiatives
No announcements given.
ADJOURNMENT
As there was no further action, Mayor Baldwin adjourn the meeting at 7:36 p.m.
Hal Baldwin, 1V~ayor
ATTEST:
Y
~r
Brenda Dennis, TRMC, City Secretary
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