06-25-03
Council – Workshop Session
Wednesday, June 25, 2003
The Schertz City Council convened in workshop session on Wednesday, June 25,
2003 at 7:00pm in the Municipal Complex Conference Room, 1400 Schertz
Parkway, Schertz, Texas. The following members were present: Mayor Hal
Baldwin, presiding, Councilmembers Carl Douglas, Steve Simonson, Reginna
Agee, Tony Wilenchik and Ken Greenwald. Staff members present were City
Manager Mark Marquez and Deputy City Secretary Mary Ybarra.
At this time, Mayor Baldwin called the meeting to order at 7:00 p.m.
#1 Hearing of Residents:
Harry Richburg, 1005 Fawn Drive spoke on behalf of Senior Citizens, specifically
a senior group of ladies. In past the ladies have used the Catholic Church for
their Bazaar’s. However, the Church closed, thus, last year the group looked into
the use of the Community Center. They were told rental was $100 plus insurance.
Because the group has no money the bazaar was not held last year. On behalf of
the ladies group, Mr. Richburg would like Council, and staff to consider waiving
the fee and help them continue with their bazaar. The group a non-profit only
meets once year.
City Manager, Mark. Marquez stated he believes the situation can be worked out.
However, his only concern is; City has become very liberal with non-profits, and
essentially waives a lot of fees. Costs are getting upward and beginning to show
in operations. He informed that a plan is in the works for a new rate structure on
the Community Center and other City facilities such as the Pavilion, etc. Council
will be asked to look at harsher rules and other things, because of cost increase to
operation.
He informed that many of the non-profit organization fees have been waived for
the upcoming 4 of July Jubilee. One fee that won’t be waived is Food Handler
th
Classes.
He conveyed that Council would be surprised at the number of similar requests
sitting on his desk, and believes caution is warranted. Waiving fees carry a cost
and wants Council to be aware it.
Mayor Baldwin stated that he believes Council has budgeted money for award
presentation, and if money is an issue, suggests doing away with award money
and utilize money for non-profit organization assistances.
Once, again Mr. Marquez stated that doing away with the fee for this
organization this time isn’t the problem; the concern is the accumulation of all
the other non-profits.
Mr. Marquez advised Mr. Richburg to have the organization send request letter
to his attention and he would waive fee for the use of the Community Center.
At this time, Mr. Richburg advised he also wanted to speak on agenda item #6,
but will wait until item comes up on the agenda.
Robert Brockman, 4505 Grand Forrest had the following comments:
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Reported on a job well done by Dudley Wait, EMS Director at
Commissioners Court meeting relative to renewal of EMS contract. The
Commission believed rates were a bit excessive, however after his speech,
he believes the Commission would have doubled them. He really but
them in their place.
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Inquired on status of bleachers at the corner of Main Street (Ryder Truck
location). Chief Cantrell advised the matter is being worked on.
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Noted the Live Oak speed limit sign has been placed, he appreciates it.
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Good job on placement of street names (Savannah Drive/Woodland Oak
Drive) on Schertz Parkway traffic lights.
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Referring to Legacy Oaks Zone issue and exit off of IH-35 onto Schertz
Parkway, he believes it’s going to be very tight. He doesn’t think it’s the
right thing to do. Mayor Baldwin commented he too would like to see
plan for development. Mr. Marquez noted he would bet money the exit
ramp is up to TXDOT standards.
#2 Discuss final reading of Ordinance establishing Legacy Reinvestment
Zone.
Mr. Marquez noted no changes to Ordinance.
Councilmember Wilenchik voiced concerns and inquired if tax abatement could
be used outside a reinvestment zone. Mr. Marquez answered no. He went to
explain that the City is providing tax abatement to the project, which might be
within the 12-acres; the fact that he will be using the money (his money) to build
the road doesn’t get in the way.
It was pointed out the reinvestment zone doesn’t cover the area where road
would be built. It was also mentioned that the road is being build on someone
else’s property and that property is zoned commercial.
Mr. Marquez also mentioned that before this reinvestment issue becomes
effective, the Schertz Parkway Zone must be dissolved. He added that all issues
(tax abatement, reinvestment zone, etc.) associated with the Legacy Oaks become
effective January 2004. He added the Schertz Parkway Zone Board has agreed to
dissolve at the Schertz Parkway dedication.
Without further discussion, Council agreed they would be ready to consider final
reading at Tuesday nights meeting.
#3 Discuss final reading of Ordinance approving Tax Abatement and a Tax
Abatement Agreement for and with Legacy General Contractors, Inc.
Councilmember Wilenchik voiced concern with tax abatement issue relative to
giving abatement outside the reinvestment zone. In theory, the purpose of tax
abatement is to built road that would improve the development, however, not
outside of the 12-acre. He believes the road (1,200 ft.) built outside the zone
would improve marketability and economic development, and believes it falls
under the criteria for 4-B money.
Mr. Marquez explained that the whole purpose of the tax abatement is to provide
incentive for development within the City. Whether the money will is used to
build a road isn’t relative. The whole purpose is incentive to complete a project
within a City that is believed to have merit and value in long term.
He went on to say the Commission struggled with tax abatement issue because
development was an apartment complex, which isn’t normally thought of as a
commercial venture. However, the venture is no different than development in
the Industrial Park (American Standard, etc.) leasing space to tenants. Apartment
complex would lease space, the fact that it’s residential changed the perspective,
but in practicality it’s still a commercial venture.
Mr. Marquez noted that after much discussion, the Commission came to the
conclusion that the City would assist the developer in building the road. It
believed the project had merit and would benefit the City, necessarily not
monetary, but in other things. He explained the road (1,200 ft.) starts at the edge
of the property (12 acres) and ends at IH-35 access road. Added there would be
construction of roads throughout the complex, which developer is totally
responsible for building.
He went on to say that cost of project is approximately three million dollars,
netting the City $35,000 after the abatement.
At this time, Councilmember Douglas having attended meeting pointed out that
if the developer hadn’t be required to built the road (1,200 ft), it’s possible the
road may not have been built to City standards. He added that from the City’s
standpoint one of the main factors was that there would be a safer traffic flow
pattern, and noted there are two entrances into the apartment complex, one off of
the access road, the other off of Schertz Parkway.
He echoed remarks made by Mr. Marquez relative to benefit and development.
The Commission did struggle with the issue of apartment complex however,
separated the two, apartments, and roadway (1,200’). They concluded the
roadway is not part of the apartment complex property. In regard to
consideration of others (contractors, etc.) that come into the City looking for
same, and since the Commission is looking at the issue as a variance
(requirement to built road) the Economic Development Commission and Council
would have to give the same consideration of tax abatement to others.
A brief discussion followed, covering the use of 4-B money versus City giving tax
abatement. Would the City chance setting a precedent by giving tax abatement?
Would the City lose the project if tax abatement weren’t given? The answer was
yes, developer would be unable to get financing and stop the project. The use of
4-B money would delay the project possibly a year down the road, and developer
is looking to build now. In a question asked, would the road cost more if 4-B
money were used versus money given up by tax abatement, the answer was, “
not necessarily”. In tax abatement there is a total dollar value associated with the
abatement. It was pointed out though, that if the City would build the road, it
would cost a lot more than what the City is giving up in tax abatement.
At this time, Councilmember Simonson stated that the City has not required
building of roads with any of the other apartment complexes throughout the
City. He referred to a similar project, at the corner of Schertz Parkway and Elbel
Rd., where the developer was not required to build a road however, the
developer was required to build interconnects within the complex. These two
situations are unique, and added that the tax abatement policy has not changed
since then. The issue before Council is coming in as variance and believes the
City is on safe ground by giving tax abatement. If the City had more retail and 4-
B money was coming in, it possibly would be a safer venture. Another issue
brought to light was that the frontage (IH-35) would have 1’ non-access
easement, which does not allow construction of driveways.
Being no further discussion, Council agreed they would be ready to take action
at Tuesday nights meeting.
#4 Discuss first reading of Ordinance rezoning 12 acres from General
Business (GB) to Apartment Multi-Family Residential District (R-4) for Legacy
Oaks (tabled 6-3-03).
Mr. Marquez informed there were no changes to the above zoning issue and
reminded Council of the Public Hearing held on the issue. At that time, the
developer requested the issue (rezoning) tabled, until such time that establishing
the reinvestment zone and tax abatement was considered. These items having
been considered, the developer would like Council to take action on the rezoning
issue.
Without further discussion, Council agreed they would be ready to take action
on first reading on Tuesday night’s meeting.
#5 Discuss first reading of Ordinance regarding change in speed limits on
FM78.
Mr. Marquez advised that the request before Council is the result of widening
FM78 and citizens getting speeding tickets for going over the speed limit of 30
MPH. TXDOT has taken a look at the situation and have come back with
recommendation of 45 MPH from one end (bridge) of Schertz City limits to the
other side (Cibolo) of FM78. Mr. Marquez mentioned that in checking with Police
Chief, he believes it’s an acceptable speed. He added it’s a good idea and
recommends proceeding.
Without further discussion, Council agreed they would be ready to take action
on first reading on Tuesday night’s meeting.
#6 General discussion regarding street maintenance.
Harry Richburg referred to presentation given by Johnny Bierschwale a couple of
years ago, regarding Fawn and Antler Drive and plan of redoing the streets. He
recalls a large group from Fawn and Antler was present and agreed on the plan.
He went on to say (to his recollection) that the City Manager at that time when
asked about completion, replied the project would be completed in one year. Is
the project dead in water and if so, what happen to the money for street
improvements. Has it been diverted to other street projects? What happen to the
project, will it happen?
In response to Mr. Richburg, Mr. Marquez stated he didn’t know.
At this time, a list was passed out to Council covering (15) fifteen improvement
projects, which total approximately 17 million dollars. He noted staff is
struggling with which project is priority, which one is done first. He too, recalls
the meeting however, believes there wasn’t citizen consensus, but could be
wrong.
A brief discussion followed covering such items as tree removal that was done,
road design, and entrance. Mr. Richburg was assured another look would be
done to plans. The project is number two on the list of fifteen that was passed out
to Council. It was pointed out the project is estimated at a cost of $900,000
dollars. In conclusion, Mr. Richburg asked Council to take another look at the
project and would appreciate them doing so.
Mayor Baldwin recommended taking a look at the list to see what the City is
facing, set up prioritization and time frame on getting them done. There are
many roads with problems.
Mr. Marquez noted the list (summary) passed out this evening is for discussion
only, and to give Council a sense of what the City is facing. It will be placed on
another workshop agenda. Each project will have a narrative explaining in detail
(drainage, sidewalks, curbs, etc) each and every project on the list. This will
allow Council to set up some sort of game plan to prioritize these projects.
Mr. Marquez stated that the issue before Council is important, and mentioned
that a similar list was brought forward last year and believes it’s time to resurrect
the issue. He noted, possibly everything could be ready for next workshop.
However, that would depend on Public Works being able to gather all
information.
Councilmember Agee asked the status on the project behind the landfill off of
FM3009. She was advised the project is ongoing and approximately 98%
complete.
#7 Items by City Manager
General Announcement
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Reported that “Potter in Park” was well received. For those not attending,
he mentioned there were 200+ in attendance. There was a movie showing,
which ran pretty late. He said he talked with Gail Douglas, Community
Service Director and there are plans to do it again on a more frequent
basis. He thanked the Library Board for the funding, and wants to
publicly thank them for stepping forward. They did a nice job.
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Reminder for those who would like to attend Schertz/Seguin Local
Government Corporation “Splash”, scheduled for July 17, 2003, please
RSVP to Rita or Mary. Those attending will be driven to the site. The
following gave a number count:
Mayor Baldwin, 2;
Steve Simonson, 2;
Carl Douglas, 2;
Tony Wilenchik, 1;
Reginna Agee?
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Advised he would be bringing to the next workshop or the one following,
rules and process on accepting credit cards for payment of water bill,
traffic ticket, developer fees, etc. The Internet is also coming soon. A fee
structure (convenience charge) would be coming before Council, before
implementing the card for consideration. The City is looking at possibly a
4% charge, however would take a look at the issue six months down to
road to see if it’s enough. Volume of usage is also an issue. Depending on
the volume would determine the percentage paid to the credit card
company.
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Reported on water issue City is facing. However, assured it had nothing
to do with the quality of drinking water. He went on to say the issue had
to do with scaling and the deposits are unbelievable.
Councilmember Greenwald noted it was apparent they were going to
have scrubbing issues due to reserve flow of water. Such as knocking
calcium loose among other things. However, in the past few weeks have
picked up magnesium and iron. There are a number of ways these
elements are getting through.
One problem is that the City’s were running different tests and using
different labs. Since, then have consolidated, doing samples at various
points, coming in/out of plant, booster station, various points along the
line and within the City. We are trying to isolate the problem and are
working to do so. He went on to say that some of the problem is in the
older section of town-cast iron pipes and some in the newer section with
PVC pipes.
Mr. Marquez advised of bring in an independent chemist to look into the
matter. It is causing some concern relative to selling of water. The City is
in the process of selling some and don’t want any repercussion coming
back to the Corporation.
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Advised of bringing proposal on new audit firm (Thompson, Williams,
Biediger, Kastor & Young) for Council consideration at the next meeting.
Mr. Fred Timmons representing the firm is not a stranger to the City. The
firm was the City auditor several years ago. Cost proposals have been
outlined within the letter and cost is approximately $22,000. In addition, a
separate agreement to cover work on statements to GASB 34, ranging in
fee of $9,000 to $12,500. The cost would be adjusted if a reduction on
workload possible. This would depend on software being able to facilitate
the process.
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Reminded Council of City Manager evaluation scheduled for July 1, 2003.
Council agreed to schedule evaluation for July 15, 2003.
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Mentioned he would be in Lubbock attending the TCMA conference, July
26-30. Johnny Bierschwale will be acting City Manage in his absence.
#8 Items by Council
General Announcements
Councilmember Douglas
Liaison EDC
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No comments.
Councilmember Simonson
4-B Board
Liaison BVYA
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No comments.
Councilmember Agee
4-B Board
Liaison Schertz Housing Authority
Liaison Schertz Library Board
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Inquired when would the closing of Elbel Rd. would take place. Sam
Willoughby, Public Works Director informed that they would be getting
more information next week on the matter. She believes there will be a
need for Police traffic control on those days. Mr. Marquez advised a copy
of schedule would be made available to the school district.
Councilmember Wilenchik
4-B Board
Liaison Schertz Humane Society
Liaison HOA Coalition
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Reported on attending Schertz Humane Society meeting last evening,
where new rules and policy were introduced. There were negative
responses.
Councilmember Greenwald
4-B Board
Ex-officio P & Z Commission
Ex-officio SSLG Corp.
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Reported on a briefing by Schertz/Seguin Local Government Corporation
on completion of road to well #7. The road is complete and drilling will
soon start. Well #8 is well underway and added that supposedly their
working on paving the road into the plant site. Apparently, there was
some problem with the Gonzales County Commissioner relative to what
needed to be done, however will try to have work complete by the 17.
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Maybe not perfect, but will keep the dust down some.
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Noted he has been following articles regarding ambulance service contract
with County and County Commissioners. He is sick and tried of
accusations: of over charging and statement that County money is used
for City support of ambulance service. Come 1 October 2004, the County
st
can decide to go with whom ever they want. At this point he is thoroughly
upset and fed up with the whole thing. The Animal Shelter (contract
ending 2003) is also becoming a similar problem, just as Fire service
contract. Mr. Marquez advised that their (Fire) contract was turned down.
The offer of $7,000 was an insult. The money offered was down from last
year ($13,000). Councilmember Greenwald is very upset with all the
accusations.
It was suggested that the City make their presences felt at Commissioners
Court meeting and meet eyeball to eyeball. City staff will make the time
and point to attend. What is more upsetting is finding these things out in
newspaper print, then discussing the matter before hand and advised of
these issues.
Mr. Marquez advised that some of these issues are in discussion (Jack
Hamlet, Seguin City Manager) and would be up coming.
#9 Items by Mayor
General Announcements
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Advised that Bexar County Appraisal District hired a new Chief
appraiser, Mike Amezquita.
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Reported on two anniversaries; Schertz Bank and Trust is 90 years old,
Schertz United Methodist Church is 100 years old.
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It was also mentioned that the Schertz Library celebrated 25 years, and
that Mr. Marquez has been City Manager for one year.
It was announced that any Councilmember wanting to ride in the parade would
be riding in the Old Fire Truck and would be meeting at Schertz Bank & Trust.
Accommodations would be available to transport Council to the viewing
platform after then. Mayor Baldwin would be making introductions at opening
ceremonies.
#10 ADJOURNMENT
Mayor Baldwin adjourned the meeting at 8:40 p.m.
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Mayor, City of Schertz, Texas
ATTEST:
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Deputy City Secretary, City of Schertz, Texas