06-28-2016 MinutesMINUTES
REGULAR MEETING
June 28, 2016
A Regular Meeting was held by the Schertz City Council of the City of Schertz, Texas, on June 28,
2016, 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 Mayor Pro -Tem Cedric Edwards
Councilmember Jim Fowler Councilmember Grumpy Azzoz
Councilmember Daryl John Councilmember Robin Thompson
Staff Present: City Manager John Kessel
Executive Director Brian James Executive Director Dudley Wait
City Attorney Charles Zech City Secretary Brenda Dennis
Assistant to the City Manager Sarah Gonzalez
Call to Order — City Council Regular Session
Mayor Carpenter called the meeting to order at 6:01 p.m.
Opening Prayer and Pledges of Allegiance to the Flags of the United States and State of Texas.
( Councilmember John)
Councilmember John provided the opening prayer followed by the pledges of allegiance to the flags
of the United States and the State of Texas.
City Events and Announcements
• Announcements of upcoming City Events (B. James/D. Wait/S. Gonzalez)
Mayor Carpenter recognized Assistant to the City Manager Sarah Gonzalez who provided the
following announcements:
Wednesday, June 29, Blood Drive, 1400 Schertz Pkwy, 8:00 -11:30 a.m.
Monday- Tuesday, July 3 -4, July 4t' Jubilee Celebration with a parade, fireworks,
food, music, etc. City Offices will be closed on Monday July 0.
Monday, July 4, Let Freedom Run, 5K Run/Fun Walk benefiting the Veteran's
Memorial Plaza, Schertz Civic Center, 8:00 a.m., Registration 9:00 a.m. For more info
contact John Purnell at 210- 385 -8248 or at www.active.com.
• Announcements and recognitions by City Manager (J. Kessel)
Mayor Carpenter recognized City Manager John Kessel who stated he received a lengthy e-
mail from a Department of Defense employee thanking our Dispatch personnel (specifically
Danielle Donahue) on her professionalism handling his recent 911 call for assistance.
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He also received a letter from Alamo Forensic Services complimenting Public Safety Systems
Coordinator Dallas Berry on his knowledge and experience with the network/communications
link on a recent project they were working on with the City.
Mr. Kessel stated the City has also received the first Star Transparency Award from the State
Comptroller's office. Finance Assistant Director James Walters was very instrumental in
achieving that goal. We are one of the first ten cities to receive one of these new stars under
the new system. He thanked the Finance Department for all they are doing to maintain our
transparency with the citizens.
HearinLy of Residents
Mayor Carpenter recognized the following individuals who spoke:
® Mr. David Lopez, who spoke on the recently completed extension of the nice wide
sidewalks from Schertz Parkway to FM 1518 and that residents frequently walk their dogs
along this route but do not take care of their pet's droppings. He is requesting a sign be
put up to remind folks to take care of this. Mayor Carpenter asked him to speak with
Executive Director Brian James before he leaves this evening and leave his contact
information with him.
Workshop
Discussion, presentation and updates regarding the Animal Adoption Facility. (D. Wait/D.
Wait)
Mayor Carpenter recognized Executive Director Dudley Wait who provided an update of
some work completed recently at the facility. Duct work has-been completed where they
manufactured access holes to each of the air handler units so they could be cleaned. They also
reworked where all the filter housings are. It looks much better than it originally did. A
company came in and tested the air handler units for any material that might be in them. The
results came back showing a number of items in there, mainly what appears to be construction
debris but no real biological material.
Now they are in the middle of testing and balancing and the audit of the air handlers
themselves. After the coils have been cleaned there is more air movement but still not as much
as the units were designed to move. We are waiting on the testing and balancing. The team
will meet again next week to discuss the results of all these steps and what we will do after
that. The people who will meet will be the engineer who designed and recommended the air
handling system, the architect and all the other contractors. It continues to move forward.
However, they are still struggling to keep the building cool and dry. They hope to have the
next steps laid out next week as to what they will do going forward. Meanwhile they continue
to conduct business out there as usual. Mr. Wait addressed questions and comments from
council. Council and Mr. Wait concurred that he would come back with an update monthly
until everything has been resolved satisfactorily.
Discussion, presentation and update regarding water odor complaints. (D. Wait/J. Hooks/E.
Busch)
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Mayor Carpenter recognized Executive Director Dudley Wait who provided some background
information stating that about three months ago they started receiving some random complaints
about residents noticing some odd odors when people ran their water. The Public Works
Department always responds aggressively to any water complaints by doing some immediate
testing. They did some research and traced it back to a change that Schertz- Seguin made this
past February. The bottom line is in each system in the nation that the water system uses
chlorine dioxide experienced this non predictable pattern of the existence of these odors. The
City has been working with the Schertz - Seguin Local Government Corporation (SSLGC) to try
to limit these incidents. They will continue to monitor the situation and make adjustments on
both the equipment and chemicals.
Oddly, Schertz is the only city using this water that has submitted any complaints —Selma
hasn't, Seguin hasn't, nor SAWS.
Mr. Wait introduced Public Works Assistant Director Jim Hooks who provided information as
to what we are currently doing. These include:
- Tracking locations of calls on a map
-Test water for Chlorine dioxide residual (SSLGC staff)
-Test water for chlorine residual
-Fill out water customer concern survey
- Educate customers on the possible causes of the odors
- Distribute handouts on the use of chlorine dioxide
-Web Page with information on the use of Chlorine Dioxide
Mr. Hooks addressed additional comments and questions from Council. He ended by saying
that the water has to be chlorinated according to regulatory requirements and it is tested by
Public Works 40 times per month to ensure that all other levels are within an acceptable range.
Consent Agenda Items
The Consent Agenda is considered self - explanatory and will be enacted by the Council with one
motion. There will be no separate discussion of these items unless they are removed from the Consent
Agenda upon the request of the Mayor or a Councilmember.
1. Minutes – Consideration and/or action regarding the approval of the minutes of the Regular
Meeting of June 7, 2016. (J. Kessel/B. Dennis)
2. Ordinance No. 16 -D -14 – Consideration and/or action approving an Ordinance amending
Section 86 -115 of the City Code of Ordinances, Maximum limits on specific streets by
changing the entire length of Corbett Drive to 30 MPH. Final Reading (B. James/K.
Woodlee /C. Palomo)
The following was read into record:
ORDINANCE NO. 16 -D -14
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AN ORDINANCE BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS,
PROVIDING THAT THE CODE OF ORDINANCES OF THE CITY OF SCHERTZ,
TEXAS, BE AMENDED BY REVISING SECTION 86 -115, MAXIMUM LIMITS
GENERALLY ON SPECIFIC STREETS; AND PROVIDING AN EFFECTIVE DATE.
3. Ordinance No. 16 -D -15 — Consideration and/or action approving an Ordinance amending
Section 86 -118 of the City Code of Ordinances, Maximum Limits in School Zones for a
certain street, removing the school zone for a certain street, and reducing the area for the
school zone on a certain street to include the school zone on Corbett Drive Between FM 1518
and Alsation Way. Final Reading (B. James/K. Woodlee /C. Palomo)
The following was read into record:
ORDINANCE NO. 16 -D -15
AN ORDINANCE BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS,
PROVIDING THAT THE CITY CODE OF ORDINANCES OF THE CITY OF
SCHERTZ, TEXAS, BE AMENDED BY REVISING SECTION 86 -118, MAXIMUM
LIMITS IN SCHOOL ZONES, AND PROVIDING AN EFFECTIVE DATE
4. Ordinance No. 16 -D -16 — Consideration and/or action approving an Ordinance amending
Section 86 -149 of the City Code of Ordinances, Parking Prohibited, to include a 5 minute
parking zone limit at the Kramer Farm mail kiosk. Final Reading (B. James/K. Woodlee/C.
Palomo)
The following was read into record:
ORDINANCE NO. 16 -D -16
AN ORDINANCE BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS
PROVIDING THAT THE CODE OF ORDINANCES OF THE CITY OF SCHERTZ,
TEXAS BE AMENDED BY REVISING CHAPTER 86, ARTICLE V, SECTION 86 -149
PARKING PROHIBITED; AND PROVIDING AN EFFECTIVE DATE.
5. Cancellation of the July 5, 2016, City Council Meeting — Consideration and/or action
approving the cancellation of the July 5, 2016 City Council meeting. (J. Kessel/B. Dennis)
6. Excused Council Absences — Consideration and/or action excusing City Council Member
absences for the following dates: March 1, 2016, April 12, 2016, May 3, 2016, May 10, 2016
and May 24, 2016. (B. Dennis/Mayor /Council)
Mayor Carpenter recognized Councilmember Azzoz who moved, seconded by
Councilmember Thompson to approve consent agenda items 1 -6. The vote was unanimous
with Mayor Pro -Tem Edwards, Councilmembers Fowler, Azzoz, John and Thompson
voting for and no one voting no. Motion passed.
Discussion and Action Items
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7. Resolution No. 16 -R -42 — Consideration and /or action approving a Resolution by the City
Council of the City of-Schertz, Texas Authorizing and Approving Publication of Notice of
Intention to Issue one or more series of Certificates of Obligation; complying with the
requirements contained in Securities and Exchange Commission Rule 15c2 -12; and providing
an effective date. (J. Kessel /J. Santoya/J. Walters)
The following was read into record:
RESOLUTION NO. 16 -R -42
A RESOLUTION BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS
AUTHORIZING AND APPROVING PUBLICATION OF NOTICE OF INTENTION
TO ISSUE ONE OR MORE SERIES OF CERTIFICATES 'OF OBLIGATION;
COMPLYING WITH THE REQUIREMENTS CONTAINED IN SECURITIES AND
EXCHANGE COMMISSION RULE 15c2 -12; AND PROVIDING AN EFFECTIVE
DATE
Mayor Carpenter recognized Managing Director of SAMCO Capital Markets, Inc. Andrew
Friedman who passed out a timetable related to the Certificates of Obligation as well as a plan
issuance of general obligation bonds from the election held this past year. This process begins
with a notice of intention resolution where we post notice of the project in a `not to exceed'
amount to fund that project. The one before you this evening is for a not to exceed amount of
$3.9 million to fund various improvements related to the swimming pool and other projects
that are outlined therein. There are three different series of debt for consideration. The first
one is $6 million in general obligation bonds related to voter approved improvements. The
second one is a $2.6 million tax exempt certificate and $1.3 million taxable certificate. Based
on the City attorney's recommendation, the debt was split so they could take advantage of a
lower interest rate for the tax exempt certificates. The rest will be offered at competitive
pricing to investors. They will come back to Council on August 2 with the results of all the
bids and council will have the opportunity to vote yes or no on those bids.
He explained that with the latest information on Brexit where Great Britain opted to leave the
European Union, it has created a lot of turmoil across the globe. This has driven yields down.
At the moment we are at historic lows. They expect to get very good interest rates they have
been running interest rates at around 3.25% for these 20 year CO's and bonds. Right now
they would be below 2.75 %. We expect to do better than we have been projecting. This would
leave funds delivered to the City by September 1.
Mr. Friedman and Mr. Walters addressed comments and questions from Council.
Mayor Carpenter recognized Mayor Pro -Tem Edwards who moved, seconded by
Councilmember Thompson that the City Council adopt a notice of intention resolution and
approve Resolution No. 16 -R -42. The vote was 4 -1 -0 with Mayor Pro -Tem Edwards,
Councilmembers Fowler, John and Thompson voting for and Councilmember Azzoz
voting no. Motion passed.
8. Resolution No. 16 -R -47 — Consideration and/or action approving a Resolution by the City of
Schertz, Texas repealing the section of Resolution No. 16 -R -40 pertaining to the cancellation
of the August 2, 2016 Council meeting. (J. Kessel/J. Walters)
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The following was read into record:
RESOLUTION NO. 16 -R -47
A RESOLUTION BY THE CITY OF SCHERTZ, TEXAS REPEALING THE
SECTION OF RESOLUTION 16 -R -40 PERTAINING TO THE CANCELLATION OF
THE AUGUST 2, 2016 COUNCIL MEETING
Mayor Carpenter recognized Assistant Finance Director James Walters who stated that based
on information provided by Mr. Freedman, this resolution reinstates the August 2, 2016,
Council meeting date.
Mayor Carpenter recognized Councilmember Thompson who moved, seconded by Mayor
Pro-Tem. Edwards to approve Resolution No. 16 -R -47. The vote was unanimous with
Mayor Pro -Tem Edwards, Councilmembers Fowler, Azzoz, John and Thompson voting
for and no one voting no. Motion passed.
Note: Mayor Pro -Tem Edwards advised Mayor and Council he will be unable to attend the
August 2, 2016 meeting.
9. Resolution No. 16 -R -43 — Consideration and/or action approving a Resolution authorizing
the Schertz - Seguin Local Government Corporation (SSLGC) Budget Amendment for Fiscal
Year 2015 -2016 in the amount of $400,000 as a transfer to the SSLGC Repair and
Replacement Fund. (D. Wait/A. Briggs)
The following was read into record:
RESOLUTION NO. 16 -R -43
A RESOLUTION BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS
AUTHORIZING THE SCHERTZ /SEGUIN LOCAL GOVERNMENT
CORPORATION (SSLGC) BUDGET AMENDMENT FOR FISCAL YEAR 2015 -2016
IN THE AMOUNT OF $400,000 AS A TRANSFER TO THE SSLGC REPAIR AND
REPLACEMENT FUND, AND OTHER MATTERS IN CONNECTION THEREWITH
Mayor Carpenter recognized Executive Director Dudley Wait who introduced Assistant
General Manager Amber Briggs, who stated the Schertz/Seguin Local Government
Corporation has a Retained Earnings Policy. This policy set a threshold for the minimum
retained earnings to be held in the operating fund. This minimum policy was to set at three
months operating expenditures. Based upon this policy, there is $400,000 above this
threshold available for use, verified by the Annual Audit for FY2014 -2015. Staff is
recommending a transfer to the SSLGC Repair/Replacement Fund in the amount of $400,000
for future projects.
The SSLGC Board approved this action at their regularly scheduled board meeting on April
21, 2016. The City of Schertz is a member of the SSLGC. It is through the SSLGC that the
City provides water to its citizens. Approval of the budget amendment will ensure that the
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citizens of Schertz will continue to receive this vital service. Staff recommends approval of
the Resolution approving the Budget Amendment to the FY2015 -2016 Annual Budget.
Mayor Carpenter recognized Mayor Pro -Tern Edwards who moved, seconded by
Councilmember Thompson to approve Resolution No. 16 -R -43. The vote was unanimous
with Mayor Pro -Tem Edwards, Councilmembers Fowler, Azzoz, John and Thompson
voting for and no one voting no. Motion passed.
10. Resolution No. 16 -R -45 — Consideration and/or action approving a Resolution by the City of
Schertz authorizing expenditures with BB Inspections totaling no more than $95,000 for
Building Inspection Services during the remainder of the 2015 -2016 Fiscal Year. (B. James /L.
Wood/B. Cox)
The following was read into record:
RESOLUTION NO. 16 -R -45
A RESOLUTION BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS
AUTHORIZING EXPENDITURES WITH BB INSPECTIONS TOTALING NO MORE
THAN $95,000.00 FOR BUILDING INSPECTION SERVICES DURING THE
REMAINDER OF THE 2015 -2016 FISCAL YEAR AND OTHER MATTERS IN
CONNECTION THEREWITH
Mayor Carpenter recognized Executive Director Brian James who stated in an effort to meet
citizen needs and department workloads, the City contracted with BB Inspections in July 2015
for building inspection services. Over the last 11 months the inspection and plan review
services provided by BB Inspections has allowed the City the ability to provide a timely
inspection and plan review service to citizens and builders. Inspection times have reduced
from a 24 hour notice needed to same day inspections. Additionally, residential plan review
times have reduced from 30 business days to approximately 5 to 10 business days.
To date, the City has spent approximately $50,000 with BB Inspections for this service. The
City's practice is to seek authorization from Council when expenditures with a vendor exceed
$50,000 in one fiscal year.
For the remainder of the Fiscal Year, the Inspections Departments anticipates $45,000 in
Inspection and plan review service with BB Inspections. Staff recommends that Council
authorize Staff to continue to utilize BB Inspections for hourly consulting building inspection
services as needed for the remainder of Fiscal Year 2015 -16 in an amount not to exceed
$95,000. Staff recommends approval.
Councilmembers expressed the benefit of having BB Inspections assist when appropriate and
necessary providing timely inspection reviews.
Mayor Carpenter recognized Councilmember Azzoz who moved, seconded by Mayor Pro-
Tern Edwards to approve Resolution No. 16 -R -45. The vote was unanimous with Mayor
Pro -Tem Edwards, Councilmembers Fowler, Azzoz, John and Thompson voting for and
no one voting no. Motion passed.
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11. Resolution No. 16 -R -46 — Consideration and/or action approving a Resolution by the City
Council of the City of Schertz authorizing the City Manager to sign an Interlocal Agreement
for Fire Protection Services with the County of Bexar, Texas. (D. Wait/D. Covington)
The following was read into record:
RESOLUTION NO. 16 -R -46
A RESOLUTION BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS
AUTHORIZING THE CITY MANAGER TO SIGN AN INTERLOCAL AGREEMENT
FOR FIRE PROTECTION SERVICES WITH THE COUNTY OF BEXAR, TEXAS,
AND OTHER MATTERS IN CONNECTION THEREWITH
Mayor Carpenter recognized Fire Chief David Covington who stated the Schertz Fire
Department is charged with the responsibility of regional fire suppression, protection and
prevention. The Fire Department responds to fire and emergency calls in portions of
unincorporated Bexar County. This area is generally within our ETJ east of 1518 to the county
line, and north of Interstate 10 to the Schertz City limits. This is an annual agreement between
Bexar County and the City of Schertz and has no significant changes from previous years.
Providing Fire Protection Services to these areas outside the City typically does not adversely
impact our responses within the City. We would respond in that area for structure fires with or
without the agreement due to our area -wide mutual aid agreement. By maintaining this
agreement with Bexar County we are able to receive some financial assistance along with
providing services in an area that would otherwise be without fire service. The City received
revenue from Bexar County in the amount of $1,756.48 per month per this agreement. Staff
recommends approval.
Mayor Carpenter recognized Mayor Pro -Tem Edwards who moved, seconded by
Councilmember Thompson to approve Resolution No. 16 -R -46. The vote was unanimous
with Mayor Pro -Tem Edwards, Councilmembers Fowler, Azzoz, John and Thompson
voting for and no one voting no. Motion passed.
12. Resolution No. 16 -R -44 — Conduct a public hearing and consideration and/or action
approving a Resolution authorizing the filing of a Petition for Injunctive Relief to gain
PH necessary access for determining the location of an easement and the future use of the power
of eminent domain to acquire easements necessary for the completion of pipelines and
appurtenances designed to carry wastewater. (B. James/K. Woodlee)
The following was read into record:
RESOLUTION NO. 16 -R -44
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS,
AUTHORIZING THE FILING OF A PETITION FOR INJUNCTIVE RELIEF TO
GAIN NECESSARY ACCESS FOR DETERMINING THE LOCATION OF
EASEMENTS, AND THE FUTURE USE OF THE POWER OF EMINENT DOMAIN
TO ACQUIRE EASEMENTS NECESSARY FOR THE COMPLETION OF
PIPELINES AND APPURTENANCES DESIGNED TO CARRY WASTEWATER.
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Mayor Carpenter recognized City Engineer Kathy Woodlee who stated the City of Schertz
desires to construct a sanitary sewer system to collect and convey wastewater to the future
Cibolo Creek Municipal Authority (CCMA) water reclamation plant to be constructed off of
Trainer Hale Road in southern Schertz. On September 29, 2015, City Council authorized
approval of a contract with Cobb, Fendley & Associates, Inc., (Cobb Fendley) to provide
engineering design services related to the system. An early, critical phase of the design
process is on- the - ground data collection including topographic survey, geotechnical sampling,
and environmental investigation. The purpose of this phase is twofold. The results of the
survey will provide information needed to more specifically define the location of the line and
associated necessary permanent and temporary easements in order to minimize any potential
adverse impacts. Also, the data collected will be used for construction design of the system.
In order to gain access to private properties across which the line is expected to be
constructed, property owners were contacted by a mailed letter in December, 2015, and were
asked to grant access via a signed right of entry form. Most affected property owners agreed
to grant access but several property owners have either verbally denied or have been
unresponsive to requests. (To be clear, the granting of the right of entry does not imply
acceptance or agreement to grant an easement across property for construction of the system.
It only provides the City access for the purpose of surveying and data collection.)
An informational open house meeting was held on January 20, 2016, to which all directly
impacted property owners were invited. Individual and smaller group meetings were held at
various properties along the project route in February and March, 2016. Public Hearings
regarding the project were held by City Council on April 12, May 10, and May 24, 2016. A
notice regarding this resolution was sent on June 8, 2016 to property owners who have not yet
provided express permission for the City and its contractors to access their property.
This Resolution will allow the City to exercise its implied statutory authority to conduct the
survey and data gathering activities necessary to define the specific location and design of the
Woman Hollering Creek Wastewater Line Project.
The project will provide the backbone of a wastewater collection system (an essential service
for the community) that will serve an area of 4,653 acres. Surveying and assessing natural
features along the general proposed route of the line is critical to the proper planning, design,
and construction of the project. Resolution 16 -R -44 directly supports the City's core values of
Safe Community and Essential Services while the proper location and construction of the
Woman Hollering Creek Wastewater Line project will ultimately contribute to the values of
high quality of life, economic prosperity, and fiscal sustainability.
The budget for the Woman Hollering Creek Wastewater Line project includes $210,000 for
easement acquisition and contingency (separate from construction contingency). The project
is being funded with a combination of Capital Recovery and Certificates of Obligation
Funds /Water Revenue. Staff recommends Council approval of Resolution 16 -R -44.
Mayor Carpenter opened the public hearing and recognized the following who spoke:
• Mr. Reagan Rawe, 7993 Trainer Hale Road #4, who expressed his dissention of
allowing access to his property due to recent information he obtained from TCEQ,
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Parks & Wildlife and the Core of Engineers in Fort Worth. He expressed his opinion
that the city needs to rethink going down the creek with the wastewater line. He also
spoke on his displeasure of the Management Company and the project management
the city chose. He spoke in displeasure of not considering any other route and
authorizing any other surveys of other locations.
® Mr. Rod Ellison, 12762 Woman Hollering Road, who stated that he just passed off the
agreement for the Turners with some specifications that they are home during the
survey dig and that nothing be cut unless they are home. He stated that they live to the
left of him. He stated that they are opposed to the line but do not want to see the suit
happen. Mr. Ellison stated that he was not notified before the individuals came out to
his property and he had specifically requested that he be notified when someone would
be out. Mr. Ellison also expressed his concern regarding the May Salado Creek leaks
that were reported and that four of those were in creek beds. Mr. Ellison stated that he
does not understand why the city is doing what they said they did wrong, yet the City
of Schertz is going to do the exact same thing. He requested that the City do the right
thing and not go the cheapest route. Choose what is going to be the best for them with
the least amount of harm.
As no one else spoke, Mayor Carpenter closed the public hearing for Council comments.
Mayor Carpenter recognized City Engineer Kathy Woodlee who addressed questions brought
up by the public speakers. She stated there will be sub - consultants who will be doing some
environmental data gathering. They will be following the state antiquities guidelines looking
for historical and cultural resources, identifying wetlands and determining what the best
locations for crossing the creek are and what methodologies might be advisable. Finalization
of the alignment or making other adjustments cannot be accomplished until we complete the
survey. She clarified that the 10.3 million gallons per day is the design flow for the new
sewage treatment plant which will receive flows through this line and others; it is the total
flow for plant, not just the flow in this line.
Ms. Woodlee addressed comments and questions from Council. Questions and concerns
included sewage leaks, costs, necessary equipment needed and experienced and trained staff.
What other options are available and what negatives or positives are associated with those?
Executive Director Brian James added as a reminder that sewer lines follow the lay of the
land — running down the low spots so that sewage flows as naturally as it can. To move out of
these low spots means the lines have to be placed much deeper in the ground, which turns into
a higher safety and maintenance issue and involves a greater cost. Staff has recommended a
`best choice' route which has previously been presented; however, ultimately, council can
redirect staff if they choose to do so.
Mayor Pro -Tem Edwards requested we try to develop more communication between the
property owners and the city staff. However, Executive Director Brian James stated that he
feels communication has already been adequate; the real issue is simply some of the property
owners just don't want this sewer line in their area, nor crossing their property.
Note: City Attorney Charles Zech reminded Council that they were beginning to digress into
an area of discussion not covered by this particular agenda item. '
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Mr. James continued addressing more comments and questions from Council. Additionally,
City Attorney Charles Zech clarified that this particular resolution does not `authorize' the use
of eminent domain; it simply authorizes a filing of suit so the city can get access to the
properties in order to perform the survey. If at a later time it is determined as necessary to
utilize the power of eminent domain, staff will come back to council to get that authority.
In answer to Councilmember Azzoz' question as to how many property owners have already
provided their permission to enter their property to do the survey, Ms. Woodlee said 21
owners (out of 26 total) have signed off on a `right of entry' for doing the survey. This does
not mean they `agree' with installing the sewer line.
Councilmember Fowler stated he would prefer to see a coordinated effort with the state and
federal governments before we look at this and especially look at the cost of recovery, so he is
voting `nay'. Councilmember Azzoz stated he shares Councilmember Fowler's view and he
really believes this resolution should not pass; we do have other options. It's a `nay'.
Mayor Carpenter recognized Councilmember Thompson who moved, seconded by Mayor
Pro -Tern Edwards to approve Resolution No. 16 -R -44 for the purpose stated and if there is a
need for a second survey at a later time we can address that at that time. The vote was 3 -2 -0
with Mayor Pro -Tem Edwards, Councilmembers John and Thompson voting for and
Councilmembers Fowler and Azzoz voting no. Motion passed.
13. Resolution No. 16 -R -48 — Consideration and/or action approving a Resolution authorizing an
amendment to the existing agreement with the San Antonio River Authority (SARA) for
sewage transportation, treatment and disposal. (D. Wait/J. Hooks /J. Walters)
The following was read into record:
RESOLUTION NO. 16 -R -48
A RESOLUTION BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS
AUTHORIZING AN AMENDMENT TO THE EXISTING AGREEMENT WITH THE
SAN ANTONIO RIVER AUTHORITY FOR SEWAGE TRANSPORTATION,
TREATMENT AND DISPOSAL, AND OTHER MATTERS IN CONNECTION
THEREWITH
Mayor Carpenter recognized Assistant Public Works Director Jimmy Hooks who stated on
March 24, 2015, the City of Schertz authorized the City Manager to enter into an interlocal
agreement with the San Antonio River Authority (SARA) to provide sewer transportation,
treatment, and disposal for Schertz customers within their service area. Each year SARA will
update their fees and notify the City of the change.
In May, there were a total of six (6) residential properties in the SARA service area. This
service area is adjacent to IH -10 in far southwestern Schertz.
Currently it is recommended the City set their fees to equal to the rates charged by SARA for
the customers in their service area. The City is waiting on the Public Utility Commission to
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complete the agreed upon dual Certificate of Convenience and Necessity for the City.
According to our agreement with SARA, once the dual CCN is complete the City will be
responsible for the collection of the waste water which will be sent to SARA for treatment and
disposal. At that time, the City will be authorized to collect additional fees to offset the City's
cost for collection and billing for this service.
The San Antonio River Authority, per our agreement, has updated their Wholesale Customer
Charge Schedule (Exhibit A) and staff recommends authorizing the City Manager to agree to
and sign this amendment to our 2015 agreement beginning July 1, 2016.
The cost of the current service is $9.30/base rate and $4.98 per 1,000 gallons; with the
proposed amendment the new cost will be $12.97/base rate and $4.98 per 1,000 gallons
treated. Staff recommends approval.
Mayor Carpenter recognized Councilmember Thompson who moved, seconded by
Councilmember Fowler to approve Resolution No. 16 -R -48. The vote was unanimous with
Mayor Pro -Tem Edwards, Councilmembers Fowler, Azzoz, John and Thompson voting
for and no one voting no. Motion passed.
14. Ordinance No. 16 -M -18- Consideration and/or action approving an Ordinance by the City
Council of the City of Schertz, Texas amending the City of Schertz Code of Ordinances and
certain other ordinances by amending the Fee Schedule and establishing and setting fees
related to the sewerage transportation, treatment and disposal for the properties serviced by
the San Antonio River Authority (SARA). First Reading (D. Wait/J. Hooks /J. Walters)
The following was read into record:
ORDINANCE NO. 16 -M -18
CONSIDERATION AND /OR ACTION APPROVING AN ORDINANCE BY THE
CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS AMENDING THE CITY OF
SCHERTZ CODE OF ORDINANCES AND CERTAIN OTHER ORDINANCES BY
AMENDING THE FEE SCHEDULE AND ESTABLISHING AND SETTING FEES
RELATED TO THE SEWERAGE TRANSPORTATION, TREATMENT AND
DISPOSAL FOR THE PROPERTIES SERVICED BY THE SAN ANTONIO RIVER
AUTHORITY (SARA)
Mayor Carpenter recognized Assistant Public Works Director Jimmy Hooks who stated with
Resolution 15 -R -18 the City entered into an Interlocal agreement with the San Antonio River
Authority (SARA) to provide sewer transportation, treatment, and disposal for Schertz
customers within their service area. Each year SARA will update their fees and notify the City
of the change. In May, there were a total of 6 residential properties in the SARA service area.
Currently, it is recommended the City set their fees to equal to the rates charged by SARA for
the customers in their service area.
Due to the timing of the rate change notification, the City recommends changing its rates
effective September 1st to allow for a customary 45 -day notice of any rate change. SARA's
rate to the City will change July 1st and it is recommended the City take on the difference for 2
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months until the updated rates are in effect. This is only estimated to be a $50 charged against
the City. The City will work with SARA on next year's timeline to prevent this lapse in
coverage from occurring again.
The fiscal impact is estimated to be a $50 expense for the City due to the delay in effective
dates. Staff recommends Council approve ordinance 16 -M -18 on the first reading to set the
customer rates equal to those charged by SARA.
Mayor Carpenter recognized Councilmember Thompson who moved, seconded by
Councilmember Fowler to approve Ordinance No. 16 -M -18 first reading. The vote was
unanimous with Mayor Pro -Tem Edwards, Councilmembers Fowler, Azzoz, John and
Thompson voting for and no one voting no. Motion passed.
15. Ordinance No. 16 -T -17 — Consideration and /or action approving an Ordinance authorizing
an Assignment and Assumption Agreement among Corridor Hotel II, LTD., and Silverwest -I
Schertz (F) LLC. First Reading (J. Kessel/K. Kinateder)
The following was read into record:
ORDINANCE NO. 16 -T -17
AN ORDINANCE BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS
AUTHORIZING AN ASSIGNMENT AND ASSUMPTION AGREEMENT AMONG
CORRIDOR HOTEL II, LTD., AND SILVERWEST -I SCHERTZ(F) LLC., AND
OTHER MATTERS IN CONNECTION THEREWITH
Mayor Carpenter recognized City Manager John Kessel who stated the City of Schertz and
Corridor Hotel II, Ltd. (Corridor Hotel) through Ordinance Number 07 -T -28 entered into a
Tax Phase -In Agreement for the property located at 5008 Corridor Loop Road. The
Agreement was for an eight (8) year period, commencing on January 1, 2008 and expiring on
December 31, 2015. On December 17, 2015, Corridor Hotel reported its compliance with the
2015 calendar year.
Corridor Hotel has requested to substantiate the agreement to Silverwest-I Schertz (F) LLC.
According to Section 10 of the Agreement, the Agreement may be assigned with prior City
Council approval. The proposed action is to authorize the assignment among Corridor Hotel
II, LTD to Silverwest -I Schertz (F) LLC. The agreement has expired so no further fiscal
impact would occur to the City. Silverwest -1 Schertz (F) will continue to operate the hotel.
Staff recommends approval.
Mayor Carpenter recognized Mayor Pro-Tern Edwards who moved, seconded by
Councilmember Fowler to approve Ordinance No. 16 -T -17 first reading. The vote was
unanimous with Mayor Pro -Tem Edwards, Councilmembers Fowler, Azzoz, John and
Thompson voting for and no one voting no. Motion passed.
16. Resolution No. 16 -R -49 — Consideration and/or action approving a Resolution by the City
Council of the City of Schertz authorizing the approval of a request for a Historical Incentive
Program for the Main Street area grant for 807 Main Street. (B. James/B. James)
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The following was read into record:
RESOLUTION NO. 16 -R -49
A RESOLUTION BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS
APPROVING A REQUEST FOR A HISTORICAL INCENTIVE PROGRAM FOR
THE MAIN STREET AREA GRANT FOR 807 MAIN STREET IN THE CITY OF
SCHERTZ, TEXAS, AND RELATED MATTERS IN CONNECTION THEREWITH
Mayor Carpenter recognized Executive Director Brian James who stated the owners of the
property at 807 Main Street have applied for a grant and went to the Schertz Historical
Preservation Committee (SHPC) on June 23, 2016 for a recommendation on their proposal.
They are proposing to renovate the structure and property to open a business at this location.
The applicant has provided a renovation plan outlining all of the improvements they plan to
make and an itemized cost estimate for the work to the structure for which they are seeking
the matching grant up to $20,000. The eligible work is estimated to cost approximately
$44,000. The SHPC recommended approval of the request, noting that landscaping upgrades
the owner plans to make are not eligible. Staff recommends approval.
Mayor Carpenter recognized Councilmember Thompson who moved, seconded by Mayor
Pro -Tem Edwards to approve Resolution No. 16 -R -49. The vote was unanimous with
Mayor Pro -Tem Edwards, Councilmembers Fowler, Azzoz, John and Thompson voting
for and no one voting no. Motion passed.
Roll Call Vote Confirmation
Mayor Carpenter recognized City Secretary Brenda Dennis who provided the roll call votes for
agenda items 1 through 16.
Executive Session
Mayor Carpenter recessed the meeting into three Executive Sessions under the following sections at
8:04 p. m.
17. City Council will meet in closed session under section 551.074 of the Texas Government
Code, Personnel Matters to deliberate the appointment, employment, evaluation,
reassignment, duties, discipline, or dismissal of the Municipal Judge, and City Council will
meet in closed session under section 551.074 of the Texas Government Code, Personnel
Matters to deliberate the appointment, employment, evaluation, reassignment, duties,
discipline, or dismissal of the City Prosecutor.
18. City Council will meet in closed session under section 551.074 of the Texas Government
Code, Personnel Matters to deliberate the appointment, employment, evaluation,
reassignment, duties, discipline, or dismissal of the City Manager.
Reconvene into Regular Session
Mayor Carpenter reconvened back into open session at 9:35 p.m.
06 -28 -2016 Minutes Page - 14 -
17a. Take any action based on discussions held in closed session under Agenda Item 17 including
possible increase in salary.
No action was taken.
18a. Take any action based on discussions held in closed session under Agenda Item 18 including
possible increase in salary.
Mayor Carpenter recognized Mayor Pro -Tem Edwards who moved, seconded by
Councilmember Thompson to extend the contract for the City Manager John Kessel and
institute an immediate 4% pay raise in salary. Mayor Carpenter stated that for point of
clarification, what is the date for the extension? Mayor Pro -Tem Edwards stated from July
31, 2018 to July 31, 2019.The vote was unanimous with Mayor Pro -Tem Edwards,
Councilmembers Fowler, Azzoz, John and Thompson voting for and no one voting no.
Motion passed.
Mayor Carpenter congratulated Mr. Kessel.
Roll Call Vote Confirmation
Mayor Carpenter recognized City Secretary Brenda Dennis who provided the roll call vote for agenda
item 18a.
Requests and Announcements
19. Announcements by City Manager
• Citizen Kudos
• Recognition of City employee actions
• New Departmental initiatives
Mayor Carpenter recognized City Manager John Kessel who stated that Executive Director
Dudley Wait has an announcement and will yield some of his time. Mr. Kessel stated that he
wanted to say thank you to Council and share with staff that Council was very complimentary
of city staff and he will talk about those in more detail later, but wanted to pass this along
publically.
Mayor Carpenter recognized Executive Director Dudley Wait who stated that Friday, our
Public Works Street Department noticed a possible problem with a low water crossing across
Cibolo Creek at Lower Seguin Road. They were able to get a Structural engineer out there
this morning to evaluate it. Due to just old age and water that low water crossing is
structurally unstable and is not capable of carrying vehicle loads. At 1:00 p.m. this afternoon
the low water crossing on Lower Seguin has been temporarily closed.- We hope by the end of
the week or the first of next week to be able to have some recommendations on it that can be
fixed along with the associated costs. Mr. Wait stated that they are working with the City of
Cibolo and they will also be approaching Guadalupe County and Bexar County as well as
other entities that have a desire to have that low water crossing in place and see it done
correctly. Staff will be providing Council with updates. This information has been placed out
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on social media and the city website notifying citizens that use that area as their daily
commute. For the foreseeable future that crossing will be closed.
20. Future Agenda Item Request for City Council: This is an opportunity for City Council
members to request that items be placed on a future agenda. No discussion of the merits of
the item may be taken at this time. Should a Council Member oppose placement of the
requested item on a future agenda, the Mayor, without allowing discussion, shall ask for the
consensus of the other City Council members to place or not place the item on a future
agenda.
Mayor Carpenter recognized Councilmember Thompson who requested that Council revisit
the job description for the City Manager so that they can make it a multi -year contract. Mayor
Carpenter stated for clarification it is the City Managers agreement /contract they wish to
revisit. Mayor Carpenter stated that he would get with the City Secretary for the appropriate
language posting.
21. 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
Mayor Carpenter recognized Mayor Pro -Tem Edwards who stated that the hand printing
ceremony at the Aquatic Facility was a tremendous event and he thanked all those that put this
together as well as those that attended; the information has gone viral.
Mayor Carpenter recognized Councilmember Fowler who concurred that the Aquatic Facility
ceremony today was an exciting event for everyone. Councilmember Fowler also stated that
he attended the Parks Advisory Board meeting on Monday and out of that meeting one of the
things that he thought was of significance was that they were discussing using the SWOT
analysis for the members as they start looking at the Parks Master Plan.
Mayor Carpenter recognized Councilmember Thompson who stated that the Home Living
Showcase was this past weekend at the Schertz Civic Center. Coordinator Jaclyn Ponder and
her staff did a superb job in assisting by arriving early for the event as well as staying late
Friday night before the event. All staff members went above and beyond behind the scenes to
make the event a success.
Mayor Carpenter stated he has a request for the Finance Department to take a look at the
current economic conditions based on commentary from the securities firm this evening.
Come back and let him and the Council know if this is an opportune time to expand our
bonding. Mayor Carpenter stated that he would get with Assistant Finance Director James
Walters on this request for information.
Adiournment
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Mayor Carpenter adjourned the meeting at 9:43 p.m.
-'-""Mic&el Carpenter, Mayor
ren a ennis, City Secretary
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