10-14-2014 Agenda with backupREGULAR SESSION CITY COUNCIL
October 14, 2014, 6:00 P.M.
HAL BALDWIN MUNICIPAL COMPLEX COUNCIL CHAMBERS
1400 SCHERTZ PARKWAY BUILDING #4
SCHERTZ, TEXAS 78154
City of Schertz Core Values
Do the right thing
Do the best you can
Treat others the way you would want to be treated
Work together cooperatively as a team
Call to Order — City Council Regular Session
Invocation and Pledges of Allegiance to the Flags of the United States and State of
Texas. (Councilmember Fowler)
Pre%entation
• Presentation and announcement regarding the National Registry of Historic Places for
St. Joseph's Chapel. (B. James/D. Weirtz)
City Events and Announcements
• Announcements of upcoming City Events (J. BierschwaleB. James)
• Announcements and recognitions by City Manager (J. Kessel)
Hearing of Residents
This time is set aside for any person who wishes to address the City Council. Each person
should fill out the speaker's register prior to the meeting. Presentations should be limited to
no more than 3 minutes.
All remarks shall be addressed to the Council as a body, and not to any individual member
thereof. Any person making personal, impertinent, or slanderous remarks while
addressing the Council may be requested to leave the meeting.
Discussion by the Council of any item not on the agenda shall be limited to statements of
specific factual information given in response to any inquiry, a recitation of existing policy in
response to an inquiry, and /or a proposal to place the item on a future agenda. The presiding
officer, during the Hearing of Residents portion of the agenda, will call on those persons who
have signed up to speak in the order they have registered.
10 -14 -2014 Council Agenda
Worksession
• Presentation, discussion and consideration and/or action with Mr. Jeff Chapman,
Construction Counsel regarding the use of Alternative Procurement Methods for City -
owned Construction projects. (J. Chapman/S. Willoughby /C. Raleigh)
Discussion and Action Items
1. Resolution No. 14 -R -89 — Consideration and /or action approving a Resolution
Delegating the Authority of Procurement Method to City Staff (J. Chapman/S.
Willoughby /C. Raleigh)
2. Minutes — Approve the minutes of the regular meeting of September 23, 2014. (J.
KesselB. Dennis)
3. Charter Review Commission Appointments — Discussion and consideration and/or
action appointing the FY 2014/15 Charter Review Commission. (B.
Dennis /Mayor /Council)
4. Ordinance No. 14 -T -44 — Consideration and/or action approving an Ordinance by
the City Council renewing the existing Economic Development Incentive Policy;
providing an effective date; and other matters in connection therewith. First Reading
(J. Kessel /C. Sherman)
5. Ordinance No. 14 -T -45 — Consideration and/or action approving an Ordinance
authorizing a Budget Adjustment to the Schertz Economic Development Corporation
Fund to correct the approved budget. First Reading (J. Kessel /J. Walters)
6. Resolution No. 14 -R -90 - Consideration and /or action approving a Resolution
accepting the Semiannual Report with respect to the progress of the Capital
Improvements Plan, and other matters in connection therewith. (B. James/B. James)
Roll Call Vote Confirmation
Requests and Announcements
7. Announcements by City Manager
• Citizen Kudos
• Recognition of City employee actions
• New Departmental initiatives
8. Requests by Mayor and Councilmembers that items be placed on a future City
Council agenda.
9. Announcements by Mayor and Councilmembers
• City and community events attended and to be attended
10 -14 -2014 City Council Agenda Page - 2 -
• 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
Adjournment
CERTIFICATION
I, BRENDA DENNIS, CITY SECRETARY OF THE CITY OF SCHERTZ, TEXAS, DO
HEREBY CERTIFY THAT THE ABOVE AGENDA WAS PREPARED AND POSTED ON
THE OFFICIAL BULLETIN BOARDS ON THIS THE 10th DAY OF OCTOBER 2014 AT
2:30 P.M., WHICH IS A PLACE READILY ACCESSIBLE TO THE PUBLIC AT ALL
TIMES AND THAT SAID NOTICE WAS POSTED IN ACCORDANCE WITH CHAPTER
551, TEXAS GOVERNMENT CODE.
grevu&2 Devuv ibs
renda Dennis CPM, TRMC, MMC, City Secreta
I CERTIFY THAT THE ATTACHED NOTICE AND AGENDA OF ITEMS TO BE
CONSIDERED BY THE CITY COUNCIL WAS REMOVED BY ME FROM THE
OFFICIAL BULLETIN BOARD ON DAY OF 2014.
Title:
This facility is accessible in accordance with the Americans with Disabilities Act. Handicapped
parking spaces are available. If you require special assistance or have a request for sign
interpretative services or other services please call 210 - 619 -1030.
The City Council for the City of Schertz reserves the right to adjourn into executive session at
any time during the course of this meeting to discuss any of the matters listed above, as
authorized by the Texas Open Meetings Act.
Executive Sessions Authorized: This agenda has been reviewed and approved by the City's
legal counsel and the presence of any subject in any Executive Session portion of the agenda
constitutes a written interpretation of Texas Government Code Chapter 551 by legal counsel
for the governmental body and constitutes an opinion by the attorney that the items discussed
therein may be legally discussed in the closed portion of the meeting considering available
opinions of a court of record and opinions of the Texas Attorney General known to the
attorney. This provision has been added to this agenda with the intent to meet all elements
necessary to satisfy Texas Government Code Chapter 551.144(c) and the meeting is conducted
by all participants in reliance on this opinion.
10 -14 -2014 City Council Agenda Page - 3 -
COUNCIL COMMITTEE AND LIAISON ASSIGNMENTS
Mayor Carpenter
Mayor Pro -Tem John — Place 3
Audit Committee
Lone Star Rail District
Hal Baldwin Scholarship Committee
Interview Committee for Boards and Commissions
Investment Advisory Committee
TIRZ II Board
Councilmember Fowler — Place 1
Councilmember Scailiola — Place 2
Interview Committee for Boards and Commissions
Animal Control Advisory Committee
Schertz Housing Board Liaison
Cibolo Valley Local Government Corporation
Randolph Joint Land Use Study (JLUS) Executive
Schertz Seguin Local Government Corporation
Committee
Interview Committee for Boards and Commissions
Sweetheart Advisory Committee
Councilmember Edwards — Place 4
Councilmember Duke — Place 5
Audit Committee
Audit Committee
Hal Baldwin Scholarship Committee
Investment Advisory Committee
10 -14 -2014 City Council Agenda Page - 4 -
Agenda No. I
CITY COUNCIL MEMORANDUM
City Council Meeting: October 14, 2014
Department: Public Works
Subject: Resolution 14 -R -89 — A Resolution by the
City Council of the City of Schertz
delegating authority to Best Value
Procurement Method under Chapter 2269 of
the Texas Local Government Code.
BACKGROUND
In preparation to proceed to bid for a Public Works Project, City Attorney Charlie Zech was
asked to review the bid documents for the project. Mr. Zech recommended that staff utilize the
Chapman Firm to review these documents based on their extensive construction law experience.
Staff requested and received permission from City Manager John Kessel to follow the
recommendations made by Mr. Zech.
It was upon the review of these documents that Jeff Chapman informed staff that the documents
were outdated in accordance with their references to the State Legislature and Local Government
Code. Mr. Chapman met with management and staff and reviewed the issues as well as his
suggestions to proceed to Council for approval of the Best Value Procurement Method under
Chapter 2269 of the Texas Local Government Code that requires the governing body of
governmental entity that considers a construction contract by using a method authorized by
Chapter 2269, other than competitive bidding, to determine which method provides the best
value for the governmental entity.
Mr. Chapman will make a presentation to Council regarding the Best Value Procurement Method
and answer any questions that may arise.
FISCAL IMPACT
No fiscal impact to delegate authority of Best Value Procurement Method under Chapter 2269.
RECOMMENDATION
Staff recommends Council approve Resolution 14 -R -89.
ATTACHMENT
Resolution 14 -R -89
RESOLUTION NO. 14 -R -89
A RESOLUTION BY THE CITY COUNCIL OF THE CITY OF
SCHERTZ, DELEGATING AUTHORITY OF BEST VALUE
PROCUREMENT METHOD UNDER CHAPTER 2269 OF THE TEXAS
GOVERNMENT CODE
WHEREAS, Texas Government Code Chapter 2269 requires the governing body of
governmental entity that considers a construction contract by using a method authorized by
Chapter 2269, other than competitive bidding, to determine which method provides the best
value for the governmental entity; and
WHEREAS, Texas Government Code Section 2269.053 authorizes the governing body
of a governmental entity to delegate its authority under Chapter 2269; and
WHEREAS, the City Council has determined that it is in the best interest of the City to
delegate it's authority to determine the best value procurement method to City Staff who have
the expertise to make such determinations.
NOW THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
SCHERTZ, TEXAS THAT:
Section 1. The City Council of the City of Schertz hereby designates its authority
under Texas Government Code Section 2269.056 to determine which method provides the best
value for the governmental entity in the procurement of a construction contract to the following
individuals:
City Manager;
ii. Deputy City Manager;
iii. Executive Director of Development; and
iv. Chief of Staff.
Section 2. All resolutions, or parts thereof, which are in conflict or inconsistent with
any provision of this Resolution are hereby repealed to the extent of such conflict, and the
provisions of this Resolution shall be and remain controlling as to the matters resolved herein.
Section 3. This Resolution shall be construed and enforced in accordance with the
laws of the State of Texas and the United States of America.
Section 4. If any provision of this Resolution or the application thereof to any person
or circumstance shall be held to be invalid, the remainder of this Resolution and the application
of such provision to other persons and circumstances shall nevertheless be valid, and the City
Council hereby declares that this Resolution would have been enacted without such invalid
provision.
1
Section 5. It is officially found, determined, and declared that the meeting at which
this Resolution is adopted was open to the public and public notice of the time, place, and subject
matter of the public business to be considered at such meeting, including this Resolution, was
given, all as required by Chapter 551, Texas Government Code, as amended.
Section 6. This Resolution shall be in force and effect from and after its final
passage, and it is so resolved.
PASSED AND ADOPTED, this 14th day of October, 2014.
ATTEST:
Brenda Dennis, City Secretary
(CITY SEAL)
CITY OF SCHERTZ, TEXAS
Michael R. Carpenter, Mayor
2
Agenda No. 2
CITY COUNCIL MEMORANDUM
City Council Meeting: October 14, 2014
Department:
Subject:
BACKGROUND
City Secretary
Minutes
The City Council held a regular meeting on September 23, 2014.
FISCAL IMPACT
None
RECOMMENDATION
Staff recommends Council approve the minutes of the regular meeting on September 23, 2014.
ATTACHMENT
Minutes — regular meeting September 23, 2014
MINUTES
REGULAR MEETING
September 23, 2014
A Regular Meeting was held by the Schertz City Council of the City of Schertz, Texas, on
September 23, 2014, at 6:00 p.m., in the Hal Baldwin Municipal Complex Council Chambers,
1400 Schertz Parkway, Building #4, Schertz, Texas. The following members present to -wit:
Mayor Michael Carpenter
Councilmember Jim Fowler
Councilmember Cedric Edwards
Staff Present:
Deputy City Manager John Bierschwale
Chief of Staff Bob Cantu
City Secretary Brenda Dennis
Call to Order
Mayor Pro -Tem Daryl John
Councilmember David Scagliola
Councilmember Matthew Duke
City Manager John Kessel
Executive Director Brian James
City Attorney Connie Lock
Former Mayor Bucker called the Regular Meeting to order at 6:02 p.m. He stated it was a real
honor to be up on the dais this evening as it has been 40 years since he has done so.
Invocation and Pledges of Allegiance to the Flags of the United States and the State of
Texas (Councilmember Duke)
JV
Councilmember Duke provided the invocation followed by the Pledges of Allegiance to the
Flags of the United States and the State of Texas. Ae
Former Mayor Bucker turned the meeting back over to Mayor Carpenter.
Presentation
• Sign Presentation to Mayor Robert Bueker (B. Cantu /Mayor /Council)
Mayor Carpenter came forward and explained that tonight we are honoring former Mayor
Bueker for his service to the City of Schertz from 1973 to 1980. During his reign, the
City became a Home Rule City and sat a charter which we still operate from today. Also
a significant amount of land off of Interstate Highway 35 was annexed; sites where the
hospital and businesses like Amazon.com sit now. During his time as Mayor, former
Mayor Bueker spoke with a lot of the landowners in this area and built rapport with them,
which brought them to ultimately choose to be in the city limits of Schertz rather than
Selma or San Antonio. This has led to the jobs, diversity and economic prosperity we
enjoy now. So we have decided to add an honorary name to the principal streets that run
through Tri County Business Park. Members of our own City Staff have made these signs
which will be erected this coming Saturday at 10:00 a.m.
09 -23 -2014 Minutes Page - t -
Former Mayor Bucker stated that this was a great honor and wanted to also mention that
the former councilmembers and city staff serving during his time all contributed and had
a part in everything that was accomplished back then. This is a good remembrance for all
those people.
• Proclamation recognizing Fire Prevention Week. (D. Covington/Mayor /Council)
Mayor Carpenter recognized Deputy Fire Marshal John Perry of the Fire Department.
Mayor Carpenter read and presented the Proclamation to Deputy Perry. He said the theme
for this year is that Smoke Detectors Save Lives. As an ongoing program one of the
lawyers out of San Antonio (Wayne Wright) sponsored a smoke detector program that we
adopted into our city as well. Although they are not going to continue the program the
Schertz Fire Department made a decision to continue this effort here in our city.
• Update regarding the Natatorium. (J. Kessel/ P. Gaudreau)
Mayor Carpenter recognized Owners Representative Phil Gaudreau provided a
PowerPoint presentation with the following highlights:
Mayor Carpenter recognized Executive Director of Development Services Brian James
who stated this presentation was in response to Councilmember Duke's request about a
month ago.
Just as a reminder though, this coming Monday, there will be a project kickoff at 5:30
p.m. over at the site behind the Senior Center.
Mayor Carpenter recognized Owners Representative, Phil Gaudreau who stated a Bond
was passed in 2010 for the creation of an indoor aquatic facility in the amount of
$6,625,000.00. Additional funds from SCUCISD and the YMCA in the amount of
$1,650,000.00 and $2,000,000.00 respectively have been added to the overall budget.
An Agreement for Design Services was awarded to Marmon Mok by City Council on
July 8, 2014. What we are doing now is:
O Meetings with SCUCISD, YMCA, Marmon Mok, the firm of Councilman -
Hunsaker (Aquatic design consultant) and the City.
O Formulating and reviewing program needs and space requirements.
O Reviewing options for Community Pool size, depths and support requirements.
O Reviewing options for the Leisure Pool size, configuration, depth and support
requirements.
O Reviewing Executive Summary statements prepared by Councilman - Hunsaker.
O Reviewing and confirming additional support spaces required for the overall
building.
O Prepare Schematic Design Documents based on completed and approved
program.
O Verify spacial requirements and adjacencies through development of Schematic
Design documents.
09 -23 -2014 Minutes Page - 2 -
O Prepare initial floor plans for presentation to City Council.
O Prepare initial public information meeting based on City Council Project
approval /direction.
O Based on approved Schematic Design Documents prepare Design Development
and Construction Documents
O Program establishment, verification, approval and design documents timeline is
anticipated to be 7 — 8 months.
O Construction timeline is anticipated to be 13 — 18 months but cannot be
determined until a Construction Manage at Risk (CM @R) is engaged. The RFQ
for this service is currently being reviewed.
Mayor Carpenter recognized Councilmember Duke who asked if he was correct in
interpreting this information that the construction of the facility will take up to 26
months; and, is this a typical process timeline? The answer was yes to both questions. A
main element is the foundation conditions. We have flood plain conditions to deal with.
We will be excavating somewhere between 8 -11 feet before we can start coming back out
of the ground. Until we get the final design and construction manager on board this is
still an estimate. It probably will be about two more months before a contractor at risk
can be brought on for more accurate timelines and cost estimates. Mr. Gaudreau said a
guaranteed maximum price is usually available at about 90 -95% documentation. We will
have interim prices at about 30% and 65% that will let us know if we are on target, high
or low. We can establish milestones as we wish, but there are exterior forces we have no
control over, such as weather conditions that affect progress. If we reach 60 percent and
are within our projected budgets, we can certainly talk about early release packages. He
would come back to council and explain any risks associated with that decision as well as
the pros that go with it. Councilmember Duke stated he thinks we should establish
quarterly updates so the community can know when that timeframe occurs and it doesn't
get lost or overlooked. Mr. James stated because we have several community
stakeholders (i.e., YMCA, Steele and Clemens High Schools) involved it does make for
long intensive meetings but it also functions to give us a better feel for what some of the
community stakeholders would like to see in the final product.
Mayor Carpenter commented that the last time the city built a pool here in Schertz was
when former Mayor Bucker was in office. This would be the Pickrell Park pool, which
was built well and right, and remains functional today.
ImMiL
Mayor Carpenter recognized Councilmember Fowler who asked for a more detailed
explanation of the At -Risk Manager /Contractor role as to what liabilities he has and what
risks he takes. Mr. Gaudreau stated that on a two -step process you go out for requests for
qualifications. You then rank them and interview the top two or three firms and make
your selection. Then you ask for a request for proposals. You have pricing for pre -
construction services which covers all services from the day they are brought on board
until we get the final guaranteed maximum price and we are set to do an amendment to
that contract. For `X' number of dollars they will provide pricing and guidance for
material selections, construction methods and whatever help we need in that area. When
95% of that is done they will give us a final guaranteed maximum price for that project.
09 -23 -2014 Minutes Page - 3 -
That does not mean this is the final price. It is based on documents and data available on
that particular date. Anything can affect that, including changes the city may make or if
they hit what is called unknown sub - surface conditions. While it is a pretty good
indication that if nothing changes that will be the final costs to the city, then that is what
it will be. Any cost over -runs beyond that guaranteed maximum price through no
exterior forces is covered by the guaranteed maximum price and the city would not
contribute any further funds to that. They also provide the standard guarantees and
warranties associated with the equipment and construction process they construct.
City Events and Announcements
• Announcements of upcoming City Events (J. Bierschwale /B. James)
Mayor Carpenter recognized Executive Director o ;Development Brian James who
provided the following announcements:
• Wednesday, September 24, 2014 September Biz Ed — Topic: Mastering your
Memory, presented by Craig Krause; Breakfast provided by RBFCU, Schertz
Chamber Visitor Center at 7:30 — 9:00 a.m.
• Thursday, September 25, 2014, "H3 Mixer" — hYPer Networking Social, Fox's
Pizza, 3900 FM 3009 -Suite 101, 5:30 -7:00 p.m. ,
• Saturday, September 27, 2014, Sign Dedication Ceremony — Honoring Mayor
Bueker, 10:00 a.m. — meet at Intersection of Tri County and Corridor Parkway.
• Monday, September 29, 2014, 5:30 p.m., Project kickoff at the Indoor Aquatic
site.
• Friday, October 3, 2014, 5th Annual Schertz Chamber of Commerce (SCOC) &
Caterpillar Golf Classic, benefiting DECA programs at Clemens & Steele High
Schools, Northcliffe Golf Course. Registration is at 9 a.m. with tee off at l l.a.m.
• Tuesday, October 7, 2014, National Night Out Celebrations, (No Council
meeting) meet at 5:45 p.m., in City Manager's office area to break out into
different groups.
40 ; o Friday, October 10, 2014, Ribbon Cutting — K &I Health & Beauty Spa/Energetic
Health Plus, 1420 Schertz Parkway, Ste. 160, 11:00 a.m.
o Saturday, October 11, 2014, Cibolo Fest with the City of Cibolo, City Hall &
Event Center, 200 Main St, 10:00 a.m. to 10:00 p.m. More details at 210 -658-
9900, ext. 3111.
• Announcements and recognitions by City Manager (J. Kessel)
City Manager John Kessel stated that the Schertzfest this year was a tremendous
success with a lot of city staff volunteers from every department helping. Deputy City
Manager John Bierschwale and several Public Works employees created a bridge so
the barbeque contestants could get their food over to the judging station in a timely
manner. Congratulations to the rock -a- bility band consisting of Mayor Carpenter,
Chamber President, Maggie Titterington, Parks Manager Chuck Van Zandt and others
who played at the event; they sounded great. This was another great Schertzfest.
09 -23 -2014 Minutes Page - 4 -
Hearing of Residents:
Mayor Carpenter recognized the following who spoke:
• Maggie Titterington, Schertz Chamber President, who stated there will be a `Meet the
Candidates' event at the Schertz Civic Center on October 23 from 6 -8 p.m.
Our own Schertz Idol runner -up from last year, 16 year old Brianna Salas was recently
selected to be on the show `The Voice'. It is also on YouTube and posted on the Schertz
Chamber Website.
They are going to be starting a new campaign called the `Twelve Days of Chamber
Christmas Cash." Our DECA intern will be doing the marketing on this while getting
school credit. Twenty businesses in the Schertz, Cibolo, and Selma area will be
participating by donating money towards a final winning drawing prize of $500 cash.
The campaign is designed to raise awareness to shop local for the holidays.
Consent Agenda Items
1. Minutes — Approve the minutes of the regu]
Bierschwale/B. Dennis)
U
eptember 16, 2014. (J.
2. Resolution No. 14 -R -82 — Consideration and /or action approving a Resolution
authorizing EMS Debt Revenue Adjustments for certain inactive outstanding accounts
receivables. (J. Bierschwal. Wait)
IV
The following was read into record:
—�_ RESOLUTION NO. 14 -R -82
A RESOLUTION BY THE CITY COUNCIL OF THE CITY OF SCHERTZ,
TEXAS AUTHORIZING EMS DEBT REVENUE ADJUSTMENTS FOR
INACTIVE OUTSTANDING ACCOUNTS RECEIVABLES AFTER 180 DAYS OF
NON PAYMENT AND OTHER MATTERS IN CONNECTION THEREWITH
3. Resolution No. 14 -R -83— Consideration and /or action approving a Resolution
authorizing Utility Billing Debt Revenue Adjustments for certain inactive outstanding
accounts receivables. (J. Bierschwale /C. Spence)
The following was read into record:
RESOLUTION NO. 14 -R -83
A RESOLUTION BY THE CITY COUNCIL OF THE CITY OF SCHERTZ,
TEXAS AUTHORIZING UTILITY BILLING DEBT REVENUE ADJUSTMENTS
09 -23 -2014 Minutes Page - 5 -
FOR INACTIVE OUTSTANDING ACCOUNTS RECEIVABLES AFTER 180
DAYS OF NON PAYMENT AND OTHER MATTERS IN CONNECTION
THEREWITH
4. Cancellation of the September 30, 2014, and October 7, 2014 City Council Meetings
— Consideration and/or action cancelling the September 30, 2014 City Council Meeting to
attend the Texas Municipal League Conference in Houston, and cancelling the October 7,
2014 City Council Meeting to observe National Night Out. (J. Kessel /Mayor /Council)
5.
Resolution No. 14 -R -84 — Consideration and/or action approving a Resolution changing
the City's Employee Health Insurance Plan Year from October 1 to January 1. (B.
Cantu /J. Smith)
The following was read into record:
RESOLUTION NO. 14 -R -84
A RESOLUTION BY THE CITY COUNCIL OF THE CITY Qr SCHERTZ,
TEXAS CHANGING THE CITY'S EMPLOYEE HEALTH INSURANCE PLAN
YEAR FROM OCTOBER 1 TVNUARY 1.
Mayor Carpenter recognized Councilmember Edwards who moved, seconded by
Councilmember Fowler to approve the consent agenda items 1 through 5 as presented.
The vote was unanimous with Mayor Pro -Tem John, Councilmembers Fowler,
Scagliola, Edwards and Duke voting yes and no one voting no. Motion Carried.
Roll Call Vote ConfirmationJ�
r
Mayor Carpenter recognized City Secretary Brenda Dennis who recapped the votes of items 1
through 5.
Executive Session
Council did rotmeet in executive session.
7. Announcemen1W City Manager
• Citizen Kudos
• Recognition of City employee actions
• New Departmental initiatives
No hither announcements were made.
8. Requests by Mayor and Councilmembers that items be placed on a future City Council
agenda.
09 -23 -2014 Minutes Page - 6 -
Mayor Carpenter recognized Councilmember Fowler who stated that our current City
Chaplain has resigned from his position at his church. If this is the case we may want to
consider how to select a replacement. City Manager John Kessel suggested that they
come back with a report containing the details at the next meeting which is October 14.
Mayor Carpenter recognized Councilmember Scagliola who stated he had asked a few
weeks ago if playing Bunco was an authorized activity in the City and word subsequently
got out that he was against playing Bunco. This is not the case, and the good news is
there is no restriction to playing Bunco in the City, providing that there is no gambling
going on. This means there cannot be any exchange of money associated with the action.
Mayor Carpenter stated he wanted to have a discussion of Council Rules and Procedures
at an upcoming meeting sometime in the next 30 -60 days. After we had our split vote and
a reconsideration of that vote, he found after reading the rules that anyone could make a
motion to reconsider. It probably should read that only someone in the majority should be
able to make a motion to reconsider.
9. 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
..r
Mayor Carpenter recognized Councilmember Fowler who stated he attended the
following: Iii I �—*Wft
o September 18, After Hours ReMax Mixer
o September 19 and 20, Schertzfest
Councilmember Fowler stated that Sunday, a member of his church had a heart
attack. The City of Schertz EMS team showed up in about 5 minutes and quickly
addressed the emergency and got the patient to the hospital. Mr. Fowler
complimented our EMS Schertz Team saying he is confident it is one of the best
teams around the area and he hopes that if he ever needs help it is our EMS team that
will respond to his need.
Mayor Carpenter recognized Councilmember Scagliola who stated he attended the
following:
• September 18, After Hours ReMax Mixer
• September 19 and 20, Schertzfest
• September 23, Gathering for Susan Narvaiz Candidate for US Congress, District
35 in Texas.
09 -23 -2014 Minutes Page - 7 -
Mayor Carpenter took a moment to thank all the city staff and volunteers who assisted
where needed at this past weekend's 2014 Schertzfest and helped make it a successful
community event once again.
Adjournment
As there was no further business, the meeting was adjourned at 6.•57 p.m.
R. Carpenter, Mayor
ATTEST:
Bre:
4r,
09 -23 -2014 Minutes Page - 8 -
Agenda No. 3
CITY COUNCIL MEMORANDUM
City Council Meeting: October 14, 2014
Department: City Secretary
Subject: Charter Review Commission
Appointments
BACKGROUND
At the August 26, 2014 City Council the Charter Review Commission appointment process was
discussed. One option discussed was that each member of the Council would appoint one person
to the Commission. It was also decided to solicit applications from citizens willing to serve on
the commission. The application process was advertised on the City's Website utilizing the
banner process. In addition to the application a letter from the Mayor encouraging citizens to
apply was posted on the City's website. (See attached) It was discussed that the Council should
seat a commission by December so that Council could call a Charter election in July of 2015, to
take to the voters in November of 2015.
The letter from Mayor Carpenter indicated that applications should be submitted, in writing, to
the City Secretary's office no later than five O'clock p.m., September 22, 2014. As of this
writing our office has received six (6) applications:
Mr. Richard Dziewit
Mr. Mark Davis
Mr. Michael Dahle
Mrs. Betty Sinclair
Mrs. Jana Volitis
Mrs. Reginna Agee
City Council may also submit additional individuals for consideration at this time. It is
important that Council select the five candidates who are both "most qualified" and "willing to
serve ". There may be additional individuals who through their unique service and experience
also merit consideration.
After Council has appointed the Commission, a letter will be prepared by Mayor Carpenter
regarding their appointment with a date and time in which the first meeting will be held. At the
first meeting our City Attorney Charles Zech will provide an introduction and set a timeline for
meetings.
FISCAL IMPACT
None
City Council Memorandum
Page 2
RECOMMENDATION
Staff recommends Council review the submitted applications and decide to appoint the five (5)
required members to the Charter Review Commission either out of the submitted applications or
make additional nominations.
ATTACHMENT
Applications —
Mr. Richard Dziewit
Mr. Mark Davis
Mr. Michael Dahle
Mrs. Betty Sinclair
Mrs. Janna Volitis
Mrs. Reginna Agee
CITY OF SCMERTZ
OFFICE OF THE MAYOR
CITY HALL, SCHERTZ
Mlchnel R. Carpenter August 28, 2014
Mayor
IN RI;: Apt) oiubnent of a Charter Review Commission
Colleagues, Friends and Neighbors:
From time to time we, as a counnunity, inspect our progress and performance as a city. The
most formal way we do this is by appointing a charter review commission. TJte last charter review
conmtissiat to be appointed served in2006. We are eight years later, and the time is correct to appoint
a new commission.
Even though a charter review commission only exists for 180 days and is appointed only once
or twice a decade, it is one of the most powerful bodies that exists in our municipal government. It has
the power to recotmueud to tite voters changes affecting all aspects of the fornt and function of our
existence as a political subdivision of the State of Texas - in this its power is equal to that of the city
council.
I encourage all interested residents to apply for appointment to the commission. All
applications will be given to the voting members of the city council, and each of the voting members
will select and appoint one conuuissioner. Applications are available on line as well as in the city
secretary's office. Applications should be submitted, ill writing, to the city secretary's office no later
than five o'clock P1YI, September 22, 2014.
As always, we need your help in defining the best ways to reach our common goals and dreams
as a city. Serving on a charter review coumnissiou is one of the most visible and powerfiil ways in
which to participate in city government.
Thank you for reading and for choosing to be an active participant in our collective tature.
Warreag
Mic tael Carpenter
Mayor, City of Schertz
210 - 619 -1040
Community. Service. Opportunity.
1400 Schertz Parkway Schertz, Texas 78154 210 - 619-1040
Duties of the Charter Review Commission
Per the City Charter Section 12.05, the City Council shall periodically appoint a Charter Review
Commission of five citizens of the City. It shall be the duty of the Commission to:
(a) Inquire into the operation of the City government under the Charter provisions and
determine whether any such provisions require revision and to this end, public
hearings may be held and the Commission shall have the power to compel the
attendance of any officer or employee of the City to require the submission of any of
the City records which it may consider necessary to the conduct of such hearing.
(b) Make any recommendations it considers desirable to insure compliance with the
provisions of this Charter by the several departments of the City.
(c) Propose amendments to this Charter to improve its effective. application to current
conditions.
(d) Report its findings and present its proposed amendments, if any, to the City Council.
The City Council shall receive any report submitted by the Charter Review
Commission, may comment on any proposed amendment recommnendations made,
and, if any amendment or amendments are presented as a part of such report, shall
order such to be submitted to the voters of the City in the manner provided in Section
12.04 of the Charter (See attached A)
The term of office of the Charter Review Commission shall be 180 days after the date of
appointment of the Commission, and, if during this term no report is presented to the City
Council, then all records of the proceedings of the Commission shall be filed with the City
Manager and the Chatter Review Commission shall be dismissed. (Election of 4 -7 -79, 5- 13 -06)
APPLICATIONTO SERVE ON CHARTER REVIEW COMMISSION
Please hTe or prhit clearly
Plenscreturntollte attentiouofCity SecretarY, Igoo Seheriz POrktrnt•,Scttertz Texos98tSgby p.nt. tot
pull Name:.
Home pboue: (Include area code) Work phone: (Include area
Mobile number: (Include area Code)
Physical address:
(Street, City, State, Zip)
Mailing address: (If different
(Street, Cily, State, Zip)
Email address (es):
Do you lire in the corporate limits of the City of Schertz? ❑ yes ❑ no
Are yon 18 years or older? ❑ yes ❑ no
Are yon registered to rote? ❑ yes ❑ no Whicb County? Registration
Current /past occupation or area of expertise:
Professional and /or community activities:
Additional pertinent information /references:
Do you consent to the City conducting a background check on you? o yes o no
Submission of a Resume or Curriculum Vitae is encouraged, A letter of interest may, also be submitted.
The information on this application is rime and correct,
Signature: Date:
FZ
SS CC]H[]CNX I
COMMUNITY* SERVICE * OPPORTUNITY
Agenda No. 4
CITY COUNCIL MEMORANDUM
City Council Meeting: October 14, 2014
Department: Economic Development
Subject: Ordinance No. 14 -T -44— City of
Schertz Development Incentive
Policy (First Reading)
BACKGROUND
Goal: To consider and adopt an active Development Incentive Policy ( "Policy ") for the
City of Schertz (the "City ") and the City of Schertz Economic Development Corporation
( "SEDC "). Under Texas Local Government Code, Chapter 380 ( "380 Program "), a
governing body of a municipality may establish and provide for the administration of one
or more programs to promote state and local economic development and to stimulate
business and commercial activity in the municipality. Without an adopted policy and
program, a municipality cannot provide public resources to facilitate development. The
current Policy, as established by Ordinance 12 -T -15, has expired. The SEDC met on
September 25, 2014, and recommended approval.
Community Benefit: An active 380 Program allows the city to promote state and local
economic development and stimulate business and targeted development for the
community.
Summary of Recommended Action: Approve first reading of Ordinance 14 -T -44 which
adopts and renews the current 380 Program.
FISCAL IMPACT
Ordinance 14 -T -44 will enable the City to provide development incentives to appropriate
investment projects and initiative.
SEDC BOARD RECOMMENDATIONS
The SEDC held a meeting on September 25, 2014 to consider and approve the proposed
Policy. A motion was made by Marvin Thomas and Second by Angelia Kiser, the motion
passed unanimously.
STAFF RECOMMENDATIONS
Staff recommends approval of First Reading of Ordinance 14 -T -44
ATTACHMENT(S)
Ordinance No. 14 -T -44
Exhibit A: City of Schertz Economic Development Incentive Policy
ORDINANCE NO. 14 -T -44
AN ORDINANCE BY THE CITY COUNCIL RENEWING THE EXISTING
ECONOMIC DEVELOPMENT INCENTIVE POLICY; PROVIDING AN
EFFECTIVE DATE; AND OTHER MATTERS IN CONNECTION
THEREWITH
WHEREAS, Chapter 380, Texas Local Government Code, as amended, allows the
governing body of a municipality to establish and provide for the administration of one or more
programs to promote state and local economic development and to stimulate business and
commercial activity in the municipality; and
WHEREAS, on January 27, 2009, the City Council of the City of Schertz, Texas (the
"City ") adopted Ordinance 09 -T -02, adopting the City of Schertz 380 Program (the "380
Program ") for the purpose of promoting state and local economic development and stimulating
business and commercial activity in the City; and
Whereas, on August 14, 2012, the City Council of the City of Schertz, Texas (the "City ")
repealed the existing 380 Program and adopted and implemented a new Economic Development
Incentive Policy for the City;
WHEREAS, the City Council now desires to renew the policy for another two years.
WHEREAS, the City Council desires to renew, adopt and implement the Economic
Development Incentive Policy for the City;
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY
OF SCHERTZ, TEXAS:
Section 1. The City Council hereby renews and adopts the City of Schertz Economic
Development Incentive Policy attached hereto as Exhibit A.
Section 2. The recitals contained in the preamble hereof are hereby found to be true, and
such recitals are hereby made a part of this Ordinance for all purposes and are adopted as a part
of the judgment and findings of the Council.
Section 3. All ordinances and codes, or parts thereof, which are in conflict or
inconsistent with any provision of this Ordinance or the City of Schertz Economic Development
Incentive Policy established hereby are repealed to the extent of such conflict, and the provisions
of this Ordinance shall be and remain controlling as to the matters resolved herein; provided,
however, the repeal of the 380 Program shall not affect any contract previously entered into, or
action previously taken, in furtherance of the 380 Program.
Section 4. This Ordinance shall be construed and enforced in accordance with the laws
of the State of Texas and the United States of America.
Section 5. If any provision of this Ordinance or the application thereof to any person or
circumstance shall be held to be invalid, the remainder of this Ordinance and the application of
such provision to other persons and circumstances shall nevertheless be valid, and the City
hereby declares that this Ordinance would have been enacted without such invalid provision.
Section 6. It is officially found, determined, and declared that the meeting at which this
Ordinance is adopted was open to the public and public notice of the time, place, and subject
matter of the public business to be considered at such meeting, including this Ordinance, was
given, all as required by Chapter 551, as amended, Texas Government Code.
Section 7. This Ordinance shall be effective upon the date of final adoption hereof and
any publication required by law.
PASSED ON FIRST READING, the 14th day of October, 2014.
PASSED, APPROVED and ADOPTED ON SECOND READING, the day of
October, 2014.
CITY OF SCHERTZ, TEXAS
Michael R. Carpenter, Mayor
ATTEST:
Brenda Dennis, City Secretary
(CITY SEAL)
50310827.1 - 2 -
EXHIBIT A: CITY OF SCHERTZ ECONOMIC DEVELOPMENT INCENTIVE POLICY
I. Purpose of Policy
The City of Schertz (the "City ") and the City of Schertz Economic Development Corporation
( "SEDC "), pursuant to state law, are authorized to offer a variety of incentives to industries and
commercial enterprises for the purpose of local economic development. The City is committed
to the promotion and retention of high quality development and jobs in all areas of the City and
to an ongoing improvement in the quality of life for its citizens. Insofar as new or expanded
business enterprises fulfill these objectives, the City and the SEDC will, on a case -by -case basis,
give consideration to a company requesting incentives as stimulation for economic development.
The City will consider providing any type of economic development incentive not prohibited by
state or federal law including, but not limited to, tax phase -ins, Freeport exemptions, revenue
bonds, sales tax grants, cost participation in the construction of infrastructure and the waiver of
certain development fees. All economic development incentives will be provided by contract
with the applicant, and shall be subject to procedural and other requirements set forth in such
contract as well as applicable federal, state and local laws. The purpose of this policy is to
establish guidelines for making local incentives available for projects that promote the City's
economic development objectives. Nothing herein shall imply or suggest that the City or the
SEDC is under any obligation to provide any business incentive to any applicant.
II. Premises
1. The City should, in appropriate instances, offer incentives to stimulate certain types of new
and existing business development.
2. The City's priority is to offer incentives to projects that will create new primary jobs (i.e.
jobs that form the economic base of the community, created by enterprises that import new
wealth into the local economy). What constitutes a "primary job" is described in greater detail
below.
3. Our community believes that a new primary job created by an existing employer is as
valuable as a new primary job created by a new company. Therefore, the City will consider
appropriate incentives to qualifying existing businesses as well as those recruited from outside
the City.
4. It is the policy of the City to provide economic development incentives on a case -by -case
basis. This individualized design of a total incentive package is intended to allow maximum
flexibility in addressing the unique aspects of each applicant and its proposed project while
enabling the City to better respond to the changing demands and needs of the community.
5. If developers and /or companies seek financial assistance from the public sector in order to
start up or expand their operations, they must be prepared to:
• Invest in the community through job creation and capital investment
• Make a long -term commitment to the community
50526586.3
Page 1 of 10
• Treat local governments as they would any other contracting parry
• Expect consequences for breaching their agreement
6. Although nearly every economic development project has unique requirements, the City
has an existing set of guidelines that can be explained to a prospect in advance. These guidelines
may be modified over time as appropriate. In addition, the City has flexibility to accommodate
different types of economic development opportunities or special situations.
7. The amount or level of local incentives offered to prospective developers and /or
companies should ultimately be based on the projected increases in the value and size of the
local workforce (both in number of jobs and the level of wages), real property, business
machinery, personal property, and other forms of revenue that inure to the local taxing entities.
8. Incentives will only be used when they will make a difference in a project's likelihood of
success and/or the City's competitive advantage in securing the project. Incentives may also be
provided to a company when the City is convinced that the incentives are needed to retain
existing primary jobs which would otherwise be lost.
M. Scope
The City is authorized to offer economic development incentives under various sections of
the Texas Local Government Code (the "Code ") including Chapter 380 and the Development
Corporation Act (the "413 Act ").
Chapter 380 provides that Texas municipalities may create programs to promote local
economic development. This legislation permits, on a case by case basis, the City to evaluate
and, where appropriate, to offer certain economic development incentives under the Code.
Incentives may include loans and/or grants of public money, as well as other City services, to
businesses and entities that the City determines will promote local economic development and
stimulate business and commercial activity in the City in return for specific and verifiable
commitments and results from such businesses or entities to cause specific infrastructure and
other public benefits and amenities to be made and/or invested in the City.
The 4B Act allows municipalities to create nonprofit development corporations, which are
funded by a special sales tax. The SEDC is such a corporation. These corporations promote the
creation of new and expanded industry and manufacturing activity within the municipality and
its vicinity. The sales tax proceeds are distributed to the SEDC by the City, which then uses the
money for economic development projects as outlined in Sections 501.002, 501.101 - 501.103,
501.105, 505.002, 505.151 - 505.1561, 505.160, 505.201 - 505.206 of the 4B Act. Any activities of
a development corporation must always be in furtherance of and attributable to a "project." The
SEDC is responsible for managing economic development projects in the City.
Except in certain specific instances, SEDC projects must result in the "creation or retention
of primary jobs." The term primary job means:
50526586.3
Page 2 of 10
1. A job that is available at a company for which a majority of the products or services
of that company are ultimately exported to regional, statewide, national or
international markets infusing new dollars into the local economy; and
2. Is included in certain of the enumerated North American Industry Classification
System ( NAICS) sector codes (the "Sector Codes ") listed in § 501.002 (12)(A)(ii) of
the Code.
The City and the SEDC, for purposes of this policy, shall limit the Sector Codes to be considered
for purposes of determining the creation or retention of primary jobs to the specifically
enumerated Sector Codes as follows:
NAICS Sector Number
221
311 -339 (excluding 317 -320; 328 -330)
42
48 -49
51 (excluding 512131 and 512132)
523 -525
5413, 5415, 5416, 5417, 5419
551
56142
Eligible Section 4B Projects
Description
Utilities
Manufacturing
Wholesale Trade
Transportation and Warehousing
Information (excluding movie theaters
and drive -in motion picture theaters)
Securities, Commodity Contracts, and
Other Financial Investments and Related
Activities; Insurance Carriers and
Related Activities; Funds, Trusts, and
Other Financial Vehicles
Architectural, Engineering, and Related
Services; Computer System Design and
Related Services; Management,
Scientific, and Technical Consulting
Services; Scientific Research and
Development Services; Other
Professional, Scientific, and Technical
Services
Management of Companies and
Enterprises
Telephone Call Centers
The SEDC will consider spending sales tax proceeds on land, buildings, equipment, facilities,
targeted infrastructure, and improvements that create or retain primary jobs and are found by the
SEDC's board of directors to be required or suitable for the development, retention, or expansion
of:
manufacturing and industrial facilities
research and development facilities
50526586.3
Page 3 of 10
• transportation facilities (including but not limited to airports, ports, mass
commuting facilities and parking facilities)
• distribution centers
• sewage or solid waste disposal facilities
• recycling facilities
• air or water pollution control facilities
• small warehouse facilities
• primary job training facilities for use by institutions of higher education
• regional or national corporate headquarters facilities; and
• projects which promote or develop new or expanded business enterprises
including projects that provide public safety facilities, streets and roads, drainage
and related improvements, demolition of existing structures, or generally
municipally -owned improvements
Additionally, the SEDC may fund the acquisition of land, buildings, equipment, facilities,
and improvements found by the board of directors to promote or develop new or expanded
business enterprises that create or retain primary jobs, including projects that provide:
• Public safety facilities
• Streets and roads
• Drainage and related improvements
• Demolition of existing substandard or inefficient structures
• General municipally -owned improvements
The SEDC will consider any improvements or facilities that are related to any of those
projects and any other projects that the board, in its discretion, determines promotes or develops
new or expanded business enterprises and creates or retains primary jobs.
Eligible Projects Which Are Not Required to Create or Retain Primary Jobs
The SEDC will consider funding projects that do not create or retain primary jobs if the
project is related to:
• Job training classes- Certain job training required or suitable for the promotion or
development and expansion of business enterprises;
• Certain targeted infrastructure improvements which promote or develop new or
expanded business enterprises;
o Limited to streets and roads, rail spurs, water and sewer utilities and
electric utilities, gas utilities, drainage, site improvements and related
improvements, and telecommunications and internet improvements;
• Land, buildings, equipment facilities, improvements and expenditures required or
suitable for a career center, provided the area benefited is not located in the taxing
jurisdiction of a junior college district;
• Professional and amateur sports and athletic facilities; entertainment, tourist,
convention facilities; public parks and related open space improvements; and
50526586.3
Page 4 of 10
related store, restaurant, concession, automobile parking facilities, roads, streets,
and water and sewer facilities;
• Affordable housing;
• Water supply facility or water conservation program (this use must be approved
by a majority of the City's voters in an election held for that purpose);
• Development, improvement, expansion or maintenance of facilities relating to the
operation of commuter rail, light rail or motor buses; and
• Certain airport facilities
IV. Eligibility and Evaluation Criteria for Development Incentives
1. Eligibility Criteria
The following criteria must be met for an applicant to be considered eligible to contract for
an economic development incentive:
• The company must have a profitable operating history and be well- managed;
• The proposed development and /or redevelopment must create and maintain jobs
that are at or above the Alamo region average wage rate for the industry sector
according to Labor Market and Career Information from the Texas Workforce
Commission;
• The project must conform to community character and economic development
goals; and
• The project must conform to the requirements of the City's zoning ordinance,
building codes and other applicable City ordinances.
2. Evaluation Criteria
In addition to the minimum requirements stated above, the following criteria will be
considered to determine what level of incentives will be provided to the applicant. The City will
consider various factors to determine the viability, extent and size of the development incentive.
Eligibility for incentives will be considered on the basis of the initial eligibility criteria listed in
part 1 of this Section IV. After such eligibility has been determined, the SEDC will evaluate the
following factors to determine whether any public subsidy is warranted:
A. Employment Impact
• Wage levels of jobs to be created or retained, as well as benefits offered to full -
time employees; and
• Number of jobs brought to the City.
B. Investment
• Type and value of proposed private and/or public improvements;
• Amount of any local taxes or revenues (sales, ad valorem, utilities) to be
generated directly; and
50526586.3
Page 5 of 10
• The costs, if any, to be incurred by the City to provide facilities or services
directly resulting from the improvements.
C. Other Factors Considered
• Likelihood of a development incentive being a determining factor in a business'
decision to locate or expand its operations;
• The financial capacity of the applicant to undertake, complete and sustain the
proposed project;
• Other incentive programs and matching grants relating to the project for which
the applicant has applied or is qualified; and
• Other, unanticipated factors deemed relevant by the board at its discretion;
D. Community Impact
• Appropriate type of activity (e.g. office, retail, etc.);
• The positive or negative impact on the opportunities of existing businesses;
• The impact on the opportunities of attracting additional business or residents to
the community;
• The market conditions and growth potential for the business activity.
• The productive life of proposed improvements;
• Whether high quality architecture and site design including landscaping and
public amenities beyond the minimum required by the City will be provided;
and
• Whether the project is environmentally compatible with no appreciable negative
impact on quality of life perceptions.
V. Application Procedure
After review of the application for the economic development incentive, the SEDC will make
a recommendation to the City Council. The City Council will then determine whether it is in the
best interests of the City to provide the economic development incentive to the applicant. The
City Council may consider criteria other than those set forth in this policy, including but not
limited to, such matters as the relative degree to which the project /applicant furthers the goals
and objectives of the community or meets or compliments a special need identified by the City
Council. Any person or company requesting that the City and/or the SEDC provide an economic
development incentive shall comply with the following procedure:
• The applicant shall submit a completed application form for the requested
incentive on a form provided by the City and/or the SEDC.
• The applicant shall provide a plat, map or survey showing the location of the
property and the proposed project, all streets, land uses, and zoning within 500
feet of the project site.
• The applicant shall describe in detail the proposed project and the type of
economic development incentives requested.
50526586.3
Page 6 of 10
• The applicant shall provide all other documentation required in the Economic
Development Incentives Application.
• The application will be reviewed initially by the SEDC, which, if favorably
approved, shall make a recommendation to the City Council, as described
above, prior to the City Council's review of the proposed incentives, the
application will be distributed to the applicable departments of the City for
review and comment. Additional information related to the application and the
project may be requested by the SEDC and /or the City. Failure to timely submit
and additionally requested information will cause the application to be rejected
and will be deemed withdrawn by the applicant without further action by the
SEDC and/or the City.
• The City Council will consider the SEDC recommendation and the requested
incentive pursuant to this policy.
• The City Council will call and conduct public hearings when required by law.
• When appropriate under this policy, the City Council will, at a regular meeting
and when allowed by law at a special meeting, consider the approval of an
economic development incentive agreement.
• Information submitted by the applicant regarding the requested incentive is
confidential to the extent allowed by law.
VI. Expiration and Modification
This Economic Development Incentive Policy is effective upon the date of its adoption and
will remain in force for two years, at which time, all project incentives provided pursuant to its
provision will be reviewed by the SEDC board and City Council to determine whether the goals
of the program have been achieved. Based upon that review, the Economic Development
Incentive Policy may be modified, renewed or eliminated. Prior to the date for review, as
defined above, the Economic Development Incentive Policy may be modified by a super -
majority 4 /5th vote of the City Council.
50526586.3
Page 7 of 10
Index of Available Economic Development Incentives'
Abatement of municipal ad valorem property taxes
Sec. 312.204 of the Texas Tax Code
The City and Comal, Guadalupe, and Bexar Counties may grant up to 100%
abatement of property taxes on buildings, fixed machinery and other business
property for up to ten years. Tax abatements do not apply to the value of land but
to the value of improvements constructed as a result of a particular economic
development project. Minimum qualifications for tax abatements are the creation
of new primary jobs. Tax abatements are sometimes structured as tax phase -ins.
Freeport property tax exemption
Texas Constitution Art. VIII, § 1 j
The freeport exemption exempts personal property consisting of inventory, goods
or ores, other than oil, natural gas and petroleum. Eligible property must be
transported out of the State of Texas within 175 days of acquisition but may first
be assembled, stored, manufactured, processed or fabricated locally. The goods
must be in Texas only for a limited purpose. Freeport property, by definition,
includes goods, wares, merchandise, ores, and certain aircraft and aircraft parts as
defined under Article VIII, Section 1-j of the Texas Constitution. The City,
Comal, Guadalupe, and Bexar Counties, as well as four local independent school
districts in the city (Schertz /Cibolo/Universal City ISD, East Central ISD, Judson
ISD, and Comal ISD) allow personal property tax exemptions for companies that
deal with goods -in- transit or inventories used in the manufacturing process. The
tax exemption applies to items classified as "freeport property."
Municipal grants
Chapter 380 of the Texas Local Government Code
The City may provide loans and grants of City funds as well as City employees
and equipment to promote economic development projects within the city.
Owners of eligible projects involving significant investment may contract with the
City to receive sales tax grants, franchise fee grants, water or sewer line
extensions, building permit fee waivers and grants for capital recovery fees.
Foreign Trade Zone
The Tri- County Industrial Park in the City is one of ten General Purpose sites
eligible for incentives arising from operating in a Foreign Trade Zone (FTZs).
Businesses locating in FTZs can take advantage of the incentives offered
including 1) relief from inverted tariffs; 2) duty exemption on re- exports; 3) duty
elimination on waste, scrap, and yield loss; and 4) duty deferral until merchandise
1 The incentives listed below are not all- inclusive of what is legally available, and the available incentives may be
modified from time to time by the Texas Legislature.
50526586.3
Page 8 of 10
is imported from the FTZ into the FTZ. The purpose of an FTZ is the creation of
jobs realized from the cost savings from delayed or forgiven tariffs. The City
currently has an FTZ located at the Tri- County Industrial Park and will have
potential for an FTZ in the new Enterprise Industrial Park. More information can
be found at http://www.sanantonio.gov/edd/IndusiryDev/PDF/11FNLFTZ8-
23.pdf
Tax Increment Financing
Chapter 311 of the Texas Tax Code
The City may create a Tax Increment Reinvestment Zone where construction of
public improvements using tax increment funds is likely to result in significant
commercial investment. The cost of improvements within the Zone is repaid by
the contribution of future tax revenues by each taxing unit that agrees to
participate, but in all events excluding school districts that levy taxes on the
affected properties. Once the City initiates tax increment financing, counties and
school districts may also participate in the tax increment financing program. The
costs of selected public improvements are paid by additional tax dollars generated
by the growth of real property value in the designated area.
Creation of Industrial District in ETJ and Agreement to not Annex
Section 42.044 of the Texas Local Government Code
To attract a business into an area, the City may choose to encourage the business
to locate in the City's extraterritorial jurisdiction ( "ETJ"). If the business locates
in the City's ETJ, the City may enter into an agreement not to annex the business
property for a set period of time (maximum of 15 years). The agreement may call
for the business to pay the City an annual fee in lieu of taxes for the use of City
facilities. The City may also provide certain contractual services (i.e. firefighting
services) to the business during the non - annexation period.
Municipal programs used to help finance business development projects.
Industrial Development Bonds (Issued by the City for construction of leased facilities)
Chapter 1509 of the Texas Government Code
The City may issue industrial development bonds to finance the construction or
purchase of a manufacturing facility for lease to a private entity. Bonds are
payable from the project revenues unless approved by the voters to be payable
from property taxes.
Industrial Development Revenue Bonds (Issued by SEDC)
4B Act, Subchapter E of Chapter 501 and Chapter 505, both in the Texas Local
Government Code
50526586.3
Page 9 of 10
The SEDC may issue bonds for economic development projects. Generally all
debt services on the bonds is paid by the business under the terms of a lease, sale
or loan agreement. This does not constitute a debt of obligation by the City or the
SEDC.
Public Improvement Districts
Chapter 372 of the Texas Local Government Code
A Public Improvement District ( "PID ") enables a commercial area to make
improvements benefiting the area and spread the cost equally among all properties
in the designated area. Property owners are assessed based on uniform benefit
criteria. These assessments may be used to pay the debt service on bonds or they
may be used to pay for services directly if no bonds are issued. PID funds may be
used to purchase real property in connection with improvements. Improvements
include a wide variety of enhancements such as water and wastewater, streets,
drainage, parking, landscaping, etc.
Municipal Management Districts
Chapter 375 of the Texas Local Government Code
Municipal Management Districts allow commercial property owners to enhance a
defined business area by financing facilities, infrastructure and services beyond
those already provided by the City. The improvements may be paid for by a
combination of self imposed property taxes, special assessments and impact fees.
A District is created to supplement not supplant the City services available to the
area.
Empowerment Zone
The City has the ability to create Empowerment Zones within the City limits. The
purpose of creating the Empowerment Zone is to encourage investment in certain
areas lacking adequate water and sewer lines and paved streets.
Small Business Administration Loan Guaranty Program
The City's Economic Development Department can direct businesses to lenders
and special funds designed for small businesses. The SBA provides a guaranty on
loans made by private lenders and Community Development Corporations
(CDCs).
Adopted:
50526586.3
Page 10 of 10
Agenda No. 5
CITY COUNCIL MEMORANDUM
City Council Meeting: October 14, 2014
Department:
Subject:
BACKGROUND
Finance
Ordinance No. 14 -T -45— Fiscal Year 2014-
15 Budget Amendment First Reading
In accordance with applicable statutes and the City Charter, the City Manager submitted a budget
proposal to the City Council for consideration. The City Council held public hearings for the
Proposed Budget on August 19th, 2014 and August 26th, 2014, including the budget of the
Schertz Economic Development Corporation. The Budget was adopted September 2nd, 2014 in
compliance with the Local Government Code.
During the creation of the Budget Adoption Ordinance a clerical error was made showing a
different stated value for the Economic Development Corporation Budget than what was in the
proposed budget document. During the preparation of the budget ordinance, the budget value for
the FY 2013 -14 year, $3,074,554, was used instead of the proposed value for FY 2014 -15,
$3,023,810, resulting in a difference of $50,744.
FISCAL IMPACT
General Fund
$25,386,088
Special Events Fund
$
153,800
PEG Fund
$
209,000
Water & Sewer Fund
$17,788,563
EMS Fund
$
8,151,501
Drainage Fund
$
1,094,618
Hotel Tax Fund
$
302,730
Park Fund
$
60,000
Tree Mitigation
$
116,125
Capital Recovery -Water
$
536,109
Capital Recovery -Sewer
$
1,160,497
Tax I &S Fund
$
5,636,157
Library Fund
$
30,000
Historical Committee
$
11,100
Parks & Recreation Foundation
$
297,900
SEDC
$
3,023,810
Total
$63,957,998
Above is the corrected City Budget. There will be no fiscal impact as the approved services are
reflected in the corrected budget.
City Council Memorandum
Page 2
RECOMMENDATION
Staff recommends that the City Council approve first reading of Ordinance No. 14 -T -45,
amending the Schertz Economic Development Corporation Budget for the fiscal year beginning
October 1, 2014 and ending September 30, 2015.
ATTACHMENT
Ordinance No. 14 -T -45
ORDINANCE NO. 14 -T -45
AN ORDINANCE BY THE CITY COUNCIL OF THE CITY OF
SCHERTZ, TEXAS AUTHORIZING A BUDGET ADJUSTMENT TO THE
SCHERTZ ECONOMIC DEVELOPMENT CORPORATION FUND TO
CORRECT THE APPROVED BUDGET; REPEALING ALL
ORDINANCES OR PARTS OF ORDINANCES IN CONFLICT WITH
THIS ORDINANCE; AND PROVIDING AN EFFECTIVE DATE
WHEREAS, pursuant to Ordinance 14 -T -42, the City of Schertz (the "City") adopted the
budget for the City for the fiscal year 2014 -2015 (the `Budget), which provides funding for the
City's operations throughout the 2014 -2015 fiscal year; and
WHEREAS, the City needs to adjust the Budget to reduce the Schertz Economic
Development Corporation funding by $50,744.00 to correct a clerical error on the original
Ordinance 14 -T -42; and
WHEREAS, City staff recommends that the City Council of the City adjust the Budget
and approve the correction of funding for the Schertz Economic Development Corporation; and
WHEREAS, the City Council of the City has determined that it is in the best interests of
the City to adjust the Budget and reduce the adopted budget, as more fully set forth in this
Ordinance.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY
OF SCHERTZ, TEXAS:
Section 1. The City shall adjust the Budget and shall reduce the Economic Development
Corporation Budget by $50,744.00 to match the adopted FY 2014 -15 Budget to the proposed
budget.
Section 2. The sums below show the corrected total for the FY 2014 -15 Budget as
originally intended:
2014 -2015 Budget
General Fund
$25,386,088
Special Events Fund
$
153,800
PEG Fund
$
209,000
Water & Sewer Fund
$17,788,563
EMS Fund
$
8,151,501
Drainage Fund
$
1,094,618
Hotel Tax Fund
$
302,730
Park Fund
$
60,000
Tree Mitigation
$
116,125
Capital Recovery -Water
$
536,109
Capital Recovery -Sewer
$
1,160,497
Tax I &S Fund
$
5,636,157
Library Fund
$
30,000
Historical Committee
$
11,100
Parks & Recreation Foundation
$
297,900
SEDC
$ 3,023,810
Total
$63,957,998
Section 3. The recitals contained in the preamble hereof are hereby found to be true, and
such recitals are hereby made a part of this Ordinance for all purposes and are adopted as a part
of the judgment and findings of the Council.
Section 4. All ordinances and codes, or parts thereof, which are in conflict or
inconsistent with any provision of this Ordinance are hereby repealed to the extent of such
conflict, and the provisions of this Ordinance shall be and remain controlling as to the matters
resolved herein.
Section 5. This Ordinance shall be construed and enforced in accordance with the laws
of the State of Texas and the United States of America.
Section 6. If any provision of this Ordinance or the application thereof to any person or
circumstance shall be held to be invalid, the remainder of this Ordinance and the application of
such provision to other persons and circumstances shall nevertheless be valid, and the City
hereby declares that this Ordinance would have been enacted without such invalid provision.
Section 7. It is officially found, determined, and declared that the meeting at which this
Ordinance is adopted was open to the public and public notice of the time, place, and subject
matter of the public business to be considered at such meeting, including this Ordinance, was
given, all as required by Chapter 551, as amended, Texas Government Code.
Section 8. This Ordinance shall be effective upon the date of final adoption hereof and
any publication required by law.
50558021.1 - 2 -
PASSED ON FIRST READING, the 14t11 day of October, 2014.
PASSED, APPROVED and ADOPTED ON SECOND READING, the 21st day of
October, 2014.
CITY OF SCHERTZ, TEXAS
Michael Carpenter, Mayor
ATTEST:
Brenda Dennis, City Secretary
(CITY SEAL)
50558021.1 - 3 -
Agenda No. 6
CITY COUNCIL MEMORANDUM
City Council Meeting: October 14, 2014
Department: Engineering
Subject: Resolution No. 14 -R -90 -
Consideration and/or action
approving a Resolution accepting
three Semi - annual Reports with
respect to the progress of the Capital
Improvements Plan, and other
matters in connection therewith. (B.
James /B. James)
BACKGROUND
Section 395.058 (c) (4) of the Texas Local Government Code requires the Capital
Improvements Advisory Committee (CIAC) to file semi - annual reports with respect to the
progress of the capital improvements plan and report to City Council any perceived
inequities in implementing the plan or imposing impact fees. Section 90 -158 of the City's
Code of Ordinance includes this same requirement. The CIAC is a citizen group made up of
our current Planning and Zoning Commission, a real estate -type representative and a resident
in the Extraterritorial Jurisdiction, all of whom are appointed by the City Council.
The first report is the corrected semi - annual report from October 1, 2012 through March 31,
2013. In order to finalize this report, staff had to do several years of research on the history of
the Capital Recovery Fund. During this review, staff found an error when the loan was made
to the Water Fund for water meters. This was corrected and coordinated with the independent
auditor. The correction resulted in a higher ending fund balance. In addition, the reporting
format was reviewed for consistency. Based on input from staff, footnotes are being included
to provide a better understanding of the financial information in the semi - annual report. The
standardized formatting will be utilized in future reports.
The second semi - annual report is from April 1, 2013 through September 30, 2013. The third
semi - annual report is for the first six months of this fiscal year from October 1, 2013 through
March 2014. This third report will bring the reporting up to date.
Goal
To accept the Semi - annual Reports on the revenue and expenditures relating to
the water and wastewater impact fees as filed by the City of Schertz Capital
Improvements Advisory Committee (CIAC).
Community Benefit
To ensure compliance with State Law and the City's Code of Ordinances and to
ensure that impact fees are being collected and spent in appropriately.
Summary of Recommended Action
Approve the resolution accepting the semi - annual reports as made up of the draft
minutes for the September 10, 2014 CIAC meeting and the three Capital
Recovery Balance Reports.
FISCAL IMPACT
The reports indicate the amounts collected in water and sewer impact fees.
RECOMMENDATION
Approval of Resolution 14 -R -90 accepting the Semi - annual Reports as filed by the Capital
Improvements Advisory Committee.
ATTACHMENT(S)
Exhibit A: Resolution 14 -R -90
Exhibit B: Minutes for the September 30, 2014 Capital Improvements Advisory Committee
Meeting
Exhibit C: Capital Improvements Advisory Committee Semiannual Reports for October 1,
2012 through March 31, 2013, April 1, 2013 through September 30, 2013, and October 1,
2013 through March 31, 2014
RESOLUTION NO. 14 -R -90
A RESOLUTION BY THE CITY COUNCIL OF THE CITY OF
SCHERTZ, TEXAS ACCEPTING THREE SEMIANNUAL REPORTS
WITH RESPECT TO THE PROGRESS OF THE CAPITAL
IMPROVEMENTS PLAN, AND OTHER MATTERS IN CONNECTION
THEREWITH
WHEREAS, the Capital Improvements Advisory Committee has reviewed the revenue
and expenditures relating to the established Capital Recovery Fees in accordance with the
Capital Improvements Plan for the City of Schertz; and
WHEREAS, the City Council accepts the three Semiannual Reports as filed by the
Capital Improvements Advisory Committee in accordance with Texas Local Government Code
Chapter 395; then
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS
THAT:
Section 1. The City Council hereby accepts the minutes of the September 30, 2014
City of Schertz Capital Improvements Advisory Committee as shown in the attached Exhibit A,
and the three Capital Recovery Advisory Reports with respect to the progress of the Capital
Improvements Plan for the City of Schertz, Texas for the periods of October 1, 2012 through
March 31, 2013, April 1, 2013 through September 30, 2013 and October 1, 2103 through March
31, 2014 as shown in the attached Exhibit B.
Section 2. The recitals contained in the preamble hereof are hereby found to be true,
and such recitals are hereby made a part of this Resolution for all purposes and are adopted as a
part of the judgment and findings of the City Council.
Section 3. All resolutions, or parts thereof, which are in conflict or inconsistent with
any provision of this Resolution are hereby repealed to the extent of such conflict, and the
provisions of this Resolution shall be and remain controlling as to the matters resolved herein.
Section 4. This Resolution shall be construed and enforced in accordance with the
laws of the State of Texas and the United States of America.
Section 5. If any provision of this Resolution or the application thereof to any person
or circumstance shall be held to be invalid, the remainder of this Resolution and the application
of such provision to other persons and circumstances shall nevertheless be valid, and the City
Council hereby declares that this Resolution would have been enacted without such invalid
provision.
Section 6. It is officially found, determined, and declared that the meeting at which
this Resolution is adopted was open to the public and public notice of the time, place, and subject
matter of the public business to be considered at such meeting, including this Resolution, was
given, all as required by Chapter 551, Texas Government Code, as amended.
50459012.1
Section 7. This Resolution shall be in force and effect from and after its final
passage, and it is so resolved.
PASSED AND ADOPTED, this day of , 2014.
CITY OF SCHERTZ, TEXAS
Michael R. Carpenter, Mayor
ATTEST:
Brenda Dennis, City Secretary
(CITY SEAL)
50459012.1
EXHIBIT A
50459012.1 A -1
EXHIBIT B
50459012.1 A -2
Capital Improvements Advisory Committee
Minutes
September 10, 2014
The Capital Improvements Advisory Committee convened on Wednesday, September 10, 2014 at 6:00 pm in
the Council Chambers, 1400 Schertz Parkway, Bldg. 4 Schertz, Texas.
Members Present:
Richard Braud
Bert Crawford
Ken Greenwald
David Richmond
Michael Dahle
Ernie Evans
Tim Brown
Dr. Mark Penshorn
Members Absent:
Christian Glombik''
Staff Present:
Brian James, Executive Director of Development
Michelle Sanchez, Director of Development Services
Lesa Wood, Senior Planner
Bryce Cox, Planner I
Patti White, Executive Assistant Development
1. Call to order at 6:00 p.m. by Mr. Richmond.
2. Hold a public hearing, consider and file three (3) semiannual reports from October 1, 2012 through
March 31, 2014 evaluating the progress of the City of Schertz on achieving the Capital Improvements
Program, and identifying any problems in implementing the plans or administering the capital recovery
fees.�9aa9aaao
Mr. Richmond recognized Mr. James, who stated that when the three semiannual reports were presented
at the last CIAC meeting a few months ago, there were questions including how this fits with our
planning, and Staff wanted to distribute a complete set of the plan to the committee.
The first report is the corrected semi - annual report from October 1, 2012 through March 31, 2013. In
order to finalize this report, staff had to do several years of research on the history of the Capital
Recovery Fund. During this review, Staff found an error when the loan was made to the Water Fund for
water meters. This was corrected and coordinated with the independent auditor. The correction resulted
in a higher ending fund balance. In addition, the reporting format was reviewed for consistency. You
are also reviewing two reports tonight for April 2013 — September 2013, and for October 2013 — March
2014. The next six month report you will receive will be for the period ending September 30, 2014.
For the previous five year window, you will see how much was collected in capital recovery fees for
sewer and water. Compared with what the City built, and you will see how the methodology enabled
these impact fees to be used. Capital fees can only be used to fund projects developed during that
window, and part of the new growth is funded by existing users.
Mr. Richmond opened the Public Hearing at 6:15 P.M. There being no one to speak, the Public Hearing
was closed at 6:16 P.M.
Oct. 1, 2012 to March 31, 2013 Impacts Fees
Beginning Impact Fee Balance
Revenues:
Impact Fees
Fund Transfers
Investments Gain/Loss
Reimbursements
Expenses:
Capital Recovery Study Review
CCMA- NorthCliffe Impact Fees
Auditor /Accounting Service
Investment Management Fee
East Oak Water Pump - Advertising
East Oak Water Pump - Engineering
S. WW Treatment Plant - Pre - Design
Woman Hollering Creek Treatment Plant
Schaefer Road Water Line
Water
Sewer
*$2,953,706.10
$2,850,443.72
385,821.00
219,586.68
0.00
0.00
2,275-61 .hhhhh` 4496.60
0.. ; 0.00
(264.64)
'!'
Oct 1, 2012 to M24 2013 Impact Fees
East Oak Water Pump - Engineering
t = '.047.50)
(2,047.50)
0.00
0.60
0.00
0.00
0.00
(2,133.49)
(264.64)
0.00
(2,495.00)
0.00
0.00
(82,262.17)
0.00
0.00
0.00
0.00
Total
$5,804,149.82
605,407.68
0.00
6,772.26
0.00
(4,095.00)
0.00
0.00
(2,133.49)
(264.64)
(2,495.00)
(82,262.17)
0.00
0.00
Total Revenue Over / (Under) Expense
383,289.47
137,640.17
520,929.64
Ending Impact Fee Balance
3,336,995.57
2,988,083.89
6,325,079.46
East Oak Water Pump - Advertising
(264.64)
0.00
Oct 1, 2012 to M24 2013 Impact Fees
East Oak Water Pump - Engineering
(2,495.00)
0.00
��' .
Water
Sewer
Total
Beginning Impact Fee a
3,275,410.20
2,839,542.58
6,114,952.78
Revenues: hhkh, khhhh
Impact Fees
385,821.00
219,586.68
605,407.68
Interest Earned
132.26
45.99
178.25
Water Loan - Interest
14,439.01
0.00
14,439.01
Investments Income
2,144.62
910.89
3,055.51
Capital One - Investment Income
0.00
3,538.50
3,538.50
Expenses:
Capital Recovery Study Review
(2,047.50)
(2,047.50)
(4,095.00)
Investment Management Fee
0.00
(2,133.49)
(2,133.49)
East Oak Water Pump - Advertising
(264.64)
0.00
(264.64)
East Oak Water Pump - Engineering
(2,495.00)
0.00
(2,495.00)
S. Reg. Reclamation Plant - Pre - Design
0.00
(82,262.17)
(82,262.17)
Total Revenue Over /(Under) Expense
Ending Impact Fee Balance
Apr 1, 2013 to Sept 30, 2013
Beginning Impact Fee Balance
Revenues:
Impact Fees
Interest Earned
Water Loan - Interest
Investment Income
Capital One - Investment Income
Expenses:
397,729.75 137,638.90 535,368.65
3,673,139.95 2,977,181.48 6,650,321.43
Water
Sewer
Total
3,673,139.95
2,977,181.48
6,650,321.43
(2,134.34)
(2,134.34)
East Oak Water Pump - Advertising
441,567.00388,865.16
0.00
830,432.16
148.04
hhhh: 22.87
170.91
12,362.65
0.00
12,362.65
2,525.11
1,115.77
3,640.88
0.00
2,270.48
2,270.48
CCMA
Auditor /Accounting Service
0.00
(1,145.03)
(1,800: fi
(854.97 !!'��a,
(1,800.00)
(2,000.00)
Investment Management Fee
0.00
(2,134.34)
(2,134.34)
East Oak Water Pump - Advertising
0.00
0.00
0.00
East Oak Water Pump - Engineering
(12,378.64)
0.00
(12,378.64)
S. Reg. Reclamation Plant - Pre - Design
0.00
(49,861.30)
(49,861.30)
Total Revenue Over /(Under) Expense
443,079.13
337,623.67
780,702.80
Total Impact Fee Balance
4,116,219.08
3,314,805.15
7,431,024.23
Oct 1, 2013 to Mar 31, 2014
Water
Sewer
Total
Beginning Impact Fee Balance
4,116,219.08
3,314,805.15
7,431,024.23
Revenues:
Impact Fees
400,491.00
386,104.22
786,595.22
Interest Earned
152.04
77.03
229.07
Investments Income
2,647.64
1,040.74
3,688.38
Capital One - Investment Income
0.00
4,438.63
4,438.63
Expenses:
Investment Management Fee
0.00
(2,142.65)
(2,142.65)
South East Quad Elevated Tank
(6.77)
0.00
(6.77)
S. Reg. Reclamation Plant - Pre - Design
0.00
(6,042.30)
(6,042.30)
Total Revenue Over /(Under) Expense
403,283.91
383,475.67
786,759.58
Ending Impact Fee Balance
4,519,502.99
3,698,280.82
8,217,783.81
Discussion continued between Staff and the Committee.
Mr. Brown moved to accept and file the three semi - annual reports with City Council as presented. Mr.
Crawford seconded the motion. Vote was 8 -0. Motion carried.
5. Adjournment: Mr. Richmond adjourned the meeting at 6:22 p.m.
Chairman, Capital Improvements Advisory Committee
Recording Secretary
Oct 1, 2012 to HIzv 31, 20�e3
Beginning Impact Fee Balance
Revenues:
Expenses:
Impact Fees 1
Interest Earned Y
Water Loan - Interest 3
Investments Income 4
Capital One - Inveshnent Income
Capital Recovery Study Review e
Investment Management Fee 7
East Oal( Wafer Pump - Advertising 3
East Oak Water Pump - Engineering a
S. Reg, Reclamation Plant - Pre- Design 10
Total Revenue Over /(Under) Expense
Ending Impact Fee Balance
Beginning Wafer Impact lee includes loan for water meters of $450,506.76
ItfiPACTS FEES
Water
Sewer
Total
3,275,410.20
2,839,542.58
6,114,952.78
385,821.00
219,586.68
605,407.68
132.26
45.99
178.25
14,439.01
0.00
14,439.01
2,144.62
910.89
3,055.51
0.00
3,538.50
3,538.50
(2,047.50)
(2,047.50)
(4,095.00)
0.00
(2,133.49)
(2,133.49)
(264.64)
0.00
(264.64)
(2,495.00)
0.00
(2,495.00)
0.00
(82,262.17)
(82,262.17)
397,729.75 137,638 90 535,368.65
3,673,139.95 2,977,181,48 6,650,321.43
Impact Fees collected between Oct 1, 2012 through Mar 31, 2013
Bank interest collected between Oct 1, 2012 through Mar 31, 2013. Based on ending bank cash balance.
Water ending cash balance of $838,933.10 Sewer ending cash balance of $159,736.44
3 Interest from loan to Water department for purchase of water meters.
4 Investment Income collected between Oct 1, 2012 through Mar 31, 2013
Water and Sewer have separate investment accounts.
° Investment Income from the Capital One investment for Sewer recorded between Oct, 12012
through Mar 31, 2013.
° Capita I Recovery Study Review expenses 50% to Water and
60% to Sewer. Conducted by Economist.com
r Investment Management Fee charged on the Capital One investment for Capital Recovery
Sewer Fund.
° Advertising for engineering bids on the East Live Oak Plant/Pump upgrades.
s Engineering costs from Ford Engineering forthe East Live Oak Plant/Pump upgrades
�° Design costs from Cibolo Creek Municipal Authority far the South Regional Water Reclamation Plant.
Explanation of changes /revisions for report submitted Iune 2013
The beginning balances in the previous report were Water $2,953,706.10 and Sewer $2,850,443.72.
The corrected beginning balances are Water $3,275,410.20 and Sewer $2,839,542.58. The difference in the
Water balance was a correction to the water meter loan of $310,802.96. There was also an adjustment of
$10,901.14 for the reassignment of the cost of an asset to Sewer.
Total revenues in the previous report were Water $383,289.47 and Sewer $137,640.17. The corrected
total revenues are Water $397,729.75 and Sewer $137,638.90. the difference in the Water revenues were
the Water Loan Interest of $14,439.01 and an adjustment to interest of $1.27. For Sewer total revenues, the
difference was interest adjustment of of- $1.27.
In the previous report, ending balances for Water were $3,336,995.57 and Sewer $2,988,083.89 for a total of
$6,325,079.46. The corrected ending balances are Water $3,673,139.95 and $2,977,181.48 for a total of
56,650,321.43. A difference of $325,241.97.
Apr 1, 2013 to Sept 30, 2013
Beginning Impact Fee Balance'
Revenues:
Expenses:
Impact Fees 2
Interest Earned'
Water Loan - Interest °
Investment Income 5
Capital One - Investment Income 6
CCMA'
Auditor /Accounting Service e
Investment Management Fee °
East Oak Water Pump - Engineering 10
S. Reg. Reclamation Plant - Pre- Design
Total Revenue Over /(Under) Expense
Total Impact Fee Balance
' Beginning Impact Fee balance as of Apr 1, 2013
2 Impact Fees collected between Apr 1, 2013 through Sept 30, 2013
- IMPACTS FEES , ,r _ *- ww
Water Sewer Total
3,673,139.95 2,977,181.48 6,650,321.43
441,567.00
388,865.16
830,432.16
148.04
22.87
170.91
12,362.65
0.00
12,362.65
2,525.11
1,115.77
3,640.88
0.00
2,270.48
2,270.48
0.00
(1,800.00)
(1,800.00)
(1,145.03)
(854.97)
(2,000.00)
0.00
(2,134.34)
(2,134.34)
(12,378.64)
0.00
(12,378.64)
0.00
(49,861.30)
(49,861.30)
443,079.13 337,623.67 780,702.80
4,116,219.08 3,314,805.15 7,431,024.23
6 Bank interest collected between Apr 1, 2013 through Sept 30, 2013. Based on ending bank cash balance.
Water cash balance of $434,858.54 Sewer cash balance of $67,169.28
° Interest from loan to Water department for purchase of water meters. Loan paid off in Sept 2013.
s Investment Income collected between Apr 1, 2013 through Sept 30, 2013
Water and Sewer have separate investment accounts.
6 Investment Income from Capital One Investment for Sewer fund collected between Apr 1, 2013 thru Sept 30, 2013
' Payment to CCMA - Correction
Auditor /Accounting Service expenses allocated by percentage of Water fund
balance and Sewer fund balance.
9 Investment Management Fee charged on the Capital One Investment for Sewer Fund.
10 Engineering costs from Ford Engineering for the East Oak Plant/Pump upgrades
" Design costs from Cibolo Creek Municipal Authority for the South Regional
Water Reclamation Plant.
Oci 1, 2013 o Mar 31,2014
Beginning Impact Fee Balance
Revenues:
Expenses:
Impact Fees 1
Interest Earned 2
Investments Income 3
Capital One - Investment Income 4
Investment Management Fee 5
South East Quad Elevated Tan 1c 5
S. Reg. Reclamation Plant - Pre - Design
Total Revenue Over /(Under) Expense
Ending Impact Fee Balance
1 Impact Fees collected between Oct 1, 2013 through Mar 31, 2014
2 Bank interest collected between Oct 1, 2013 through Mar 31, 2014.
IMPACTS FEES
Water
Sewer
Total
4,116,219.08
3,314,805.15
7,431,024.23
400,491.00
386,104.22
786,595.22
152.04
77,03
229.07
2,647.64
1,040.74
3,688.38
0.00
4,438.63
4,438.63
0.00
(2,142.65)
(2,142.65)
(6.77)
0.00
(6.77)
0.00
(6,042.30)
(6,042.30)
403,283.91 383,475.67 786,759.58
4,519,502.99 3,698,280.82 8,217,783.81
3 Investment Income collected between Oct 1, 2013 through Mar 31, 2014
Water and Sewer have separate investment accounts.
4 Investment Income from the Capital One investment for Sewer recorded between Oct, 12013
through Mar 31, 2014.
5 Investment Management Fee charged on the Capital One Investment for Capital Recovery
Sewer Fund.
6 Engineering costs on the South East Quad Elevated Tank. (Postage- certifed mail to TCEQ)
7 Design costs from Cibolo Creek Municipal Authority for the South Regional Water Reclamation Plant.