12-20-2016 Agenda with backupMEETING AGENDA
City Council
REGULAR SESSION CITY COUNCIL
December 20, 2016
HAL BALDWIN MUNICIPAL COMPLEX COUNCIL CHAMBERS
1400 SCHERTZ PARKWAY BUILDING #4
SCHERTZ, TEXAS 78154
Council photos
4:00 p.m. — 6:00 p.m.
Council Chambers Conference Room
Call to Order — Regular Session
Opening Prayer and Pledtes of Allegiance to the Flats of the United States and State of
Texas. (Councilmember Gutierrez)
City Events and Announcements
• Announcements of upcoming City Events (B. James /D. Wait /S. Gonzalez)
• Announcements and recognitions by City Manager (J. Kessel)
Presentation
• Presentation and recognition of the "Love Where You Live" volunteers. (D. Wait/J.
Hamilton /J. Fowler)
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.
12 -20 -2016 Council Agenda
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 Dearing of `Residents portion of'the agenda, will call on those persons who
have signed up to speak in the order they have registered.
Workshop
• Discussion and Update regarding the Bonds Overview— 2015 . GO, 2016 CO and
Proposed 2017 . CO. (B. James /J. Walters)
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 December 13, 2016. (J. Kessel/B. Dennis)
2. Excused Council Absences — Consideration and /or action excusing City Council
Member absences for the following dates: November 21, 2016 . and December 1.3,
2016. (B. Dennis /Mayor /Council)
3. Ordinance No. 16 -T -40 — Consideration and /or action approving Ordinance No. 16-
T-40 authorizing a budget adjustment to fund the demolition and replacement of the
bridge at Lower Seguin Road and Cibolo Creek. Final Reading (D. Wait /D.
Letbetter)
4. Ordinance No. 16 -S -39 — Consideration and/or action approving an Ordinance on a
request for a specific use permit and associated site plan to allow a Convenience Store
with Gas Pumps on an approximate 1 acre site located at 17601 Four Oaks Lane.
Final Reading (B. James /L. Wood /C. Gould)
5. Resolution No. 16 -R -95 — 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 603 Main Street. (B.
James /B. James)
12 -20 -2016 City Council Agenda Page - 2 -
Discussion and Action Items
6. Ordinance No. 16 -S -42 — Conduct a Public hearing and consideration and/or action
approving an Ordinance extending and amending a moratorium on property
PH development due to a shortage of essential public facilities generally in the
area north from IH -10 to approximately 2,000 feet North of Lower Seguin Road
between FM 1518 and the western boundary of the City. First and Final Reading (B.
James)
7. Ordinance No. 16 -T -44 — Consideration and /or action approving an Ordinance
authorizing a Budget Adjustment to fund the City's Portion of Sewer Improvements in
conjunction with the Development of the Homestead Subdivision. First and Final
Reading (B. James /B. James)
8. Resolution No. 16 -R -96 — Consideration and /or action approving a Resolution a
Subdivision Improvement Agreement and :Parkland Development Agreement with the
developer of the Homestead Development. (B. James)
9. Resolution No. 16 -R -93 - Consideration and /or action approving a Resolution
naming the San Antonio Express News as the City of Schertz Newspaper of Record.
(B. Dennis /B. Dennis)
10. Resignations and appointments to the various City Boards, Commissions and
Committees — Consideration and /or action regarding resignations and appointments
to the Board of Adjustment, Economic Development Corporation, Parks &
Recreation, Planning and Zoning, and the Transportation Safety Advisory Board.
(Mayor /Council /B. Dennis)
11. City Council Liaison Position Appointments — Consideration and/or action
regarding appointments to the various City Council Liaison Positions. (B. Dennis /D.
Schmoekel /Mayor- Council)
12. Ordinance No. 16 -T -41 — Consideration and /or action approving an Ordinance
authorizing a Budget Adjustment to provide for new sidewalks and trails. First
Reading (B. James /C. VanZandt/L. Shrum)
13. Resolution No. 16 -R -91 — Consideration and/or action approving a Resolution
authorizing contracts with Lockwood, Andrews & Newnam, Inc., totaling no more
than $150,000 for the design of the Cibolo Creek Bridge Project and various separate
and unrelated Engineering Services during the 2016 -2017 Fiscal Year. (D. Wait /K.
Woodlee /J. Hooks D. Ledbetter)
1.4. Resolution No. 16 -R -88 — Consideration and/or action approving a Resolution
authorizing an Interlocal Agreement with City of Cibolo to share costs associated
with the demolition and replacement of the bridge at Lower Seguin Road and Cibolo
Creek. (D. Wait /J. Hooks /D. Letbetter)
12 -20 -2016 City Council Agenda Page - 3 -
1.5. Resolution No. 16 -R -94 — Consideration and/or action approving a Resolution
authorizing a revised City of Schertz Investment Policy. (B. James /J. Walter)
16. Ordinance No. 16 -T -43 — Consideration and /or action approving an Ordinance
authorizing the City Manager to enter into an agreement for the Purchase of one (1)
Fire Apparatus and associated equipment and adjust the FY2016 -17 Budget. First
and Final Reading (D. Wait /D. Covington /K. Long)
Roll Call Vote Confirmation
Requests and Announcements
17. Announcements by City Manager
• Citizen Kudos
• Recognition of City employee actions
• New Departmental initiatives
18. 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.
19. 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
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 16th DAY OF DECEMBER 2016 AT
5:30 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.
grewda T�,eww 'bs
Brenda Dennis, City Secreta
12 -20 -2016 City Council Agenda Page - 4 -
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 2016.
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.
COUNCIL COMMITTEE AND LIAISON ASSIGNMENTS
Mayor Carpenter
Councilmember Davis— Place 1
Audit Committee
Interview Committee for Boards and Commissions
Investment Advisory Committee
TIRZ II Board
Councilmember Gutierrez — Place 2
Councilmember Larson — Place 3
Mayor Pro -Tem Edwards — Place 4
Councilmember Thompson — Place 5
Audit Committee
Audit Committee
Hal Baldwin Scholarship Committee
Investment Advisory Committee
Interview Committee for Boards and Commissions
Cibolo Valley Local Government Corporation
Councilmember Kiser — Place 6
Councilmember Crawford — Place 7
12 -20 -2016 City Council Agenda Page - 5 -
Agenda No. 1
CITY COUNCIL MEMORANDUM
City Council Meeting: December 20, 2016
Department:
Subject:
BACKGROUND
City Secretary
Minutes
The City Council held a Regular meeting on December 13, 2016.
FISCAL IMPACT
None
RECOMMENDATION
Staff recommends Council approve the minutes of the Regular meeting of December 13, 2016.
ATTACHMENTS
Regular Meeting of December 13, 2016
MINUTES
REGULAR MEETING
December 13, 2016
A Regular Meeting was held by the Schertz City Council of the City of Schertz, Texas, on December
13, 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
Councilmember Mark Davis
Councilmember Robin Thompson
Councilmember Bert Crawford
Councilmember Scott Larson was absent.
Staff Present:
Executive Director Brian James
Assistant to the City Manager Sarah Gonzalez
Deputy City Secretary Donna Schmoekel
Mayor Pro -Tem Edwards called the meeting
ne opening
of Texas.
03 p.m.
followed by the pledges of allegiance to the
(B. James /D. Wait /S. Gonzalez)
r Pro -Tem Edwards recognized Assistant to the City Manager Sarah Gonzalez who
vided,the following announcements:
• Thursday, December 15, Chamber Mixer — Ugly Sweater Party, Hosted by Texas State
Optical n'Schertz, 17460 IH35 North, Suite 412, 5:30 p.m. -7:00 p.m.
• Monday, December 26, City Offices Closed for Christmas.
• Announcements and recognitions by City Manager (J. Kessel)
Mayor Pro -Tem Edwards recognized City Manager John .Kessel who said the City hosted
some CPR and First Aid training classes a few months ago. Two examples of this have
already been put to good use. Officer Daniel Trevino and Officer Amanda Cato responded to a
medical call for an unconscious gentleman and resuscitated him with an AED and he was
subsequently transported to a local hospital.
12 -13 -201.6 Minutes Page -1-
Also, this morning our Building Official Gil Durant assisted at a traffic accident on IH -10
near Seguin while he was on the way to work. He credited his decision to stop and help due to
the recent training he had received.
Mayor Pro -Tem Edwards noticed that all the speakers on the list were signed up to speak on specific
items on the agenda tonight and asked if they wished to wait until we got to those items. They all
agreed to speak during those times of item discussion.
Mayor Pro -Tem Edwards moved to the Workshop Item.
Workshop
• Discussion of the Moratorium in Southern Schertz
moratorium in Southern Schertz. (B. James)
Mayor Pro -Tem Edwards recognized E)
moratorium (on new development appli,
done based on a lack of fire protection s
bond measure was passed for a new public safety facia
Mr. James provided a map showing the area affected.'
that had not come into plat yet. This flowed us to not
and allow us not to take new buildine Derrnit dbDIicatic
applied to a fairly large area — generally north o
north of Lower Seguin Road and all the way over
A few things have since occurred in regard to fire
update regarding the
n James who said the
back in August 2(11.6. This was
Schertz area. Over, ayear ago a
)uthern Schertz.
Yc nioratorium applies to properties
ike r ew subdivision plat applications
.s. Initially; the moratorium was
west of FM 1518, south of slightly
city limit boundaries on the west side.
We opened up to solicit for a
We still have steps -to 'take in the plan to be comfortable with it. He feels we can come back
and narrow the focus of the moratorium to the areas within the APTs, the clear zones and
then the areas it between that. When we tentatively come back in a week, we are looking to
modify the moratorium but also extending that and allowing some of the areas to pull out of
the moratorium. He provided a few examples of what cases might be presented to the city.
Mayor Pro -Tem Edwards moved to the Hearing of Residents section.
Hearing of Residents
12 -13 -2016 Minutes Page - 2 -
• Mr. Herman Harlohs, 11564 Ware Seguin Rd, who said they have been having issues since
the 1980's with medical or fire emergencies because no one said they could service their area.
He hopes Schertz can get the fire station built soon. In regard to the bridge on Lower Seguin
Rd and Cibolo Creek, Schertz needs to take into consideration if the county or Cibolo can help
pitch in to handle the cost.
Mayor Carpenter arrived on the dais at 6:23 p.m.
• M : Maria Kutia, 11634 Ware Seguin Rd, who said they just signed their loan to build a
cause on their land :and they 6nly have a twelve month time frame to build it. They would
lik to have a waiver from the moratorium to meet the deadline.
As there were no other speakers, Mayor Carpenter closed the public hearing.
Mayor Carpenter recognized Executive Director Brian James who said as a City they felt they
needed to move further along with the plan to get fire protection for the southern area of Schertz.
They feel they can make some modifications and come back next week and extend the
moratorium to let them narrowly focus on the area but not unnecessarily hold some folks up. Mr.
James remained available to answer questions from council.
Discussion and Action Items
1. Minutes — Consideration and /or action regarding the approval of the minutes of the Special
Retreat Meeting of December 2, 20] 6 and the Regular meeting of December 6, 2016. (J.
Kessel /B. Dennis)
12 -13 -201.6 Minutes Page - 3 -
Mayor Carpenter recognized Mayor Pro -Tern Edwards who moved, seconded by
Councilmember Thompson to approve the minutes of the Special Retreat Meeting of
December 2, 2016 and the Regular meeting of December 6, 2016. The vote was unanimous
with Mayor Pro -Tem Edwards, Councilmembers Davis, Gutierrez, Thompson, Kiser
and Crawford voting for and no one voting no. Councilmember Larson was absent.
Motion passed.
2. Resolution No. 16 -R -89 — Consideration and /or action approving a Resolution authorizing
the City Manager to enter into an Agreement with Cibolo Creek municipal Authority for
the installation of a leased pre - packaged sewer treatment plait to expand waste water
treatment capacity at the Woman Hollering Treatment Plant.; D. Wait/J. Hooks)
The following was read into record:
RESOLUTION
CITY OF SCHETZ, TEXAS
VTO AN AGREEMENT WITH
THE INSTALLATION OF A
'LANT TO EXPAND WASTE
:HOLLERING TREATMENT
tidley Wait who said on October 25, 2016
into 14, lease agreement for a pre- packaged
of the temporary Woman Hollering Creek
3 in 2006 to service the area now known as
plant could be constructed on Trainer Hale
Due,,,to the dace of,development in Crossvine it has become necessary to expand this treatment
capacity and Conned approved lcasin a 2nd pre - packaged waste water treatment plant to take
capacity from 46,000 gallons a day, to 92,000 gallons a day.
The company supplying, the leased pre- package plant will be ready to deliver this equipment
very soon,,, ` Our waste water partner, Cibolo Creek Municipal Authority (CCMA) is prepared
to conduct the ;necessary site work and infrastructure installation needed for the plants arrival.
CCMA is the eurrettt operator of the Woman Hollering Treatment Plant and will continue
operations after the plant expansion is complete.
The attached Inter -local Agreement (ILA) will authorize CCMA to do the necessary
improvements for the installation of the leased plant and the total costs incurred will be
reimbursed to CCMA by the City.
The fiscal impact of this work by CCMA will be approximately $40,000. Although this cost
was not budgeted, the Sewer enterprise fund has a contingency fund of $1.80,000 and the cost
for this necessary work will come from this fund. The Sewer enterprise fund is completely
funded by users of the City's wastewater system.
1.2 -13 -201.6 Minutes Page - 4 -
Staff recommends approval of the attached Resolution authorizing the City Manager to enter
into this Interlocal Agreement with the Cibolo Creek Municipal Authority for the site work
and improvements necessary for the successful installation of the leased pre - packaged waste
water treatment plant serving the Crossvine development
Mayor Carpenter recognized Mayor Pro -Tem Edwards who moved, seconded by
Councilmember Crawford to approve :Resolution No. 16 -R -89. The vote was unanimous
with Mayor Pro -Tem Edwards, Councilmembers Davis, Gutierrez, Thompson, Kiser
and Crawford voting for and no one voting no. Councilmember Larson was absent.
Motion passed.
3. Ordinance No. 16 -T -40 — Consideration and /or action ,approving, ,Ordinance No. 16 -T -40
authorizing a budget adjustment to fund the demolition and replacement of the bridge at
Lower Seguin Road and Cibolo Creek. First Readin (D.,W'ait /D. Letbetter)
The following was read into record:
ORDINANCE NO.
AN ORDINANCE BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS
AUTHORIZING A BUDGET ADJUST FUND, TO FU THE DEMOLITION AND
REPLACEMENT OF THE BRIDGE AT LOWER SEGUIN ROAD AND CIBOLO
CREEK; REPEALING ALL ORDINANCES OR PART'S OF ORDINANCES IN
CONFLICT WITH THIS ORDINANCE. AND FR IVIDING AN EFFECTIVE DATE
Mayor Carpente
Doug Letbetter
Seguin Road wh
crossing is at the
Lines. The cros
repre
cognized Executive Director Dudley Wait and Public Works Manager
said in June, 2016 it was discovered that the low water crossing on Lower
will provide is
r from 105 cub
eately sixteen
public as
flow, this
,rosses the Cibolo Creek was structurally unsound. This low water
nits of Cibolo and Scheitz and is at the Bexar and Guadalupe County
aced on June '28 and work began on alternatives to replace this low
vo meetings with the City of Cibolo, Guadalupe County and Bexar
it hay been agreed that the most cost effective solution is to replace
th a new, structure constructed of two 4' X 3' drainage boxes. This
rovements to the low water crossing by increasing the water flow
feet per second (cfs) to 155 cfs and increase the roadway width from
eet to twenty two feet. This will increase the safety of the traveling
;h other at the crossing. Although not a tremendous improvement in
will result in fewer closures of this low water crossing.
Due to the usage' of this crossing by commuters on a daily basis from both. Cities as well as a
route for SCUCISD students and staff to reach Corbett Junior High both Cities are taking on
the commitment to replace this crossing. Both counties have made a verbal commitment to
assist with this replacement; however, those written agreements are still in negotiations.
The estimated cost of replacement is $440,000 and both Schertz and Cibolo will share this
equally. Any other support from our county partners will equally reduce the total of which
each City is responsible. Prior to entering into an inter -local agreement a budget adjustment
must be accomplished by ordinance.
1.2 -13 -2016 Minutes Page - 5 -
The expected total cost of the project is approximately $440,000. The final design and
construction costs are unknown until the project is bid. As a result, Staff is recommending a
10% contingency be included with this budget adjustment for an overall total of $484,000.
This project will be funded from the Schertz Drainage Fund Balance that has a $939,271
balance as of September 30, 2016. No fee increase or change in the FY 2016 -17 Operating
Budget will be necessary.
Staff recommends that the City Council approve the budget adjustment of $484,000.00 for the
funding of the Lower Seguin Rd. Bridge project, Ordinance No. l T-40 on first reading. The
City will be taking the lead on this project with Cibolo and any other partners reimbursing the
City for costs expended per inter local agreements currently: under negotiation. Mr. Wait and
Mr. Letbetter addressed questions and comments from Council.
Mayor Carpenter recognized Mayor Pro -Tem Edw
Councilmember Thompson to approve Ordinannce No. I(
unanimous with Mayor Pro -Tem Edward, s, Cou
Thompson, Kiser and Crawford voting 'for I and no
Larson was absent. Motion passed.
4. Resolution No. 16 -R -90— Consideration and /or action a
EMS Debt Revenue Adjustments, Utility Billing Debt
Magazine Debt Revenue Adjustments for certain inactive
(J. Walters /J. Mabbitt /R. Rosales /L. Klepper)
The following was
LUTION NO. 16 -R -90
Mayor Carpenter recognized Acting Finance Director James Walters who said in the EMS,
Utility Billing, and Magazine functions, services are provided to customers up front and
billing is settled later. Due to the fact that services are provided before receiving payment,
inevitably the City has customers that do not pay for the services provided.
When this occurs, staff reaches out to the customer to try to collect the outstanding payment
including follow up notices and phone calls to try and reach out to the customer to remind
them of the outstanding balance and encourage payment. However, the longer the customer
account goes without a payment the less likely that any payment will be received.
Once a customer account reaches 180 days without payment, Staff brings those accounts to
the City Council to be "written off'. This process is an accounting procedure following the
Generally Accepted Accounted Principles (GAAP), which lays the framework of accounting
1.2 -13 -201.6 Minutes Page - 6 -
practices in the U.S. This designation means it is unlikely those outstanding balances will ever
be collected. This leads to an accounting adjustment on the City's Financial Statements to
accurately show how much is still outstanding and is reasonable to expect collection.
If a customer's account has been written off, this does not erase or forgive that debt. The city
can and does collect some portion of the amount owed by those customers. This can be
through the debt collection agency used by EMS or if the customer returns to the City and
requests new services through the Magazine or Utility Billing. Staff is in the process of
exploring best practices to that can lead to lower write offs going forward.
The resolution authorizes the debt for these areas that is more than 180 days outstanding as of
November 30, 2016 to be written off. These write offs come efore council quarterly and last
came before council on July 26th, 2016.
This accounting adjustment will not affect the
amount written off is estimated during the budget
estimations and the bad debt expense accounts.
amount shown as owed to the City by $1,013,97
still reasonably collectible. The breakdown is as fl
EMS - $979,547.74 Utility Billing - $28,625.1.5
City's, Budget or financial standing. The
Jocess and is accounted for in the revenue
The action taken tonight gill reduce the
89 and set it equal to the atmount seen as
-$5,800.00
Mr. Walters introduced EMS Director Jason Mabbitt, Busimss Office Assistant Manager
Rodolfo Rosales, and Public Affairs Directdt Linda Klepper who each spoke individually and
provided council with a brief explanation of theirdepartment's revenue /debt processes and the
accounting figures on the amounts to b fi
written off r this past fiscal year. The speakers
remained available answering questions and addressing comments from council.
Note: Mayor Carpenter potcted out that the agenda item reads correctly and the resolution
that is approved will have to he corrected to rzd''as presented on the agenda which includes
the debt revenue for utility billing and the Schertz Magazine.
Catperter ,, recognized Mayor Pro -Tem Edwards who moved, seconded by
nember bays to approve Resolution No. 16 -R -90. The vote was unanimous with
Pro -Tem Edwards, Courtcilmembers Davis, Gutierrez, Thompson, Kiser and
rd voting for and no one voting no. Councilmember Larson was absent. Motion
tow
5. Resolution No, 16- 92— Conduct a Public Hearing and consideration and /or action
approving Resolution accepting a petition by Cibolo Creek Municipal Authority for
PH voluntary annexation of approximately 63 acres of land, located at 7424 Trainer Hale Road,
Bexar County, Texas. (B. James /L. Wood /B. Cox)
The following was read into record:
RESOLUTION NO. 16 -R -92
1.2 -13 -201.6 Minutes Page - 7 -
A RESOLUTION OF THE CITY COUNCIL OF SCHERTZ, TEXAS
ACCEPTING A PETITION FOR VOLUNTARY ANNEXATION WITHIN THE
EXTRATERRITORIAL JURISDICTION OF THE CITY OF SCHERTZ
Mayor Carpenter recognized Planner I Channary Gould who said in 2010 the City of San
Antonio released 3,486 acres of its Extraterritorial Jurisdiction (ETJ) to the City of Schertz.
City Council accepted the area into the City of Schertz ETJ and started the annexation
proceedings. The annexation proceedings that followed in 2011 were involuntary annexations
that required the City go through specific proceedings involving notification requirements and
public hearings in order to annex the properties into the City corporte limits. As part of the
annexation proceedings a majority of the parcels located within the ` released area signed
delayed annexation development agreements with the City 'in accordance with Texas Local
Government Code (LGC) Section 43.035 and 212.172. The subjtct, property has an executed
delayed annexation development agreement with the City of Schertz:
Annexation of land into the City's corporate
type has LGC requirements that identify the n4
The City's Unified Development Code (UDC
requests for voluntary annexation meeting cer
includes provisions for processing of voluntary
may voluntary or i ''voluntary. Each
ry process based on the annexation type.
a 21.4;$ includes provisions that apply to
riteria: This section of the City's UDC
anion requests.
has submitted petition for voluntary annexation .
acre tract of land: Th subject property is located
Ideated in Bexar County Texas, at 7424 Trainer
is in III& Extraterritorial Jurisdiction (ETJ) of the
Cibolo- Universal. Independent School District
try annexation meeting criteria outlined in LGC
ection 21.4.8 do not apply. For example, UDC
rvice plan. However, voluntary annexations that
•equire an annexation service plan for solely the
CCMA requested annexation: of the adjacent property to the north (approximately 69 acres at
=7720 Trainer Hale :Rd.), which vas annexed in 2015 by Ordinance 15 -A -01. CCMA is
planning on constructing a wastewater treatment plant on the southern tract that is the subject
site o the current petition for voluntary annexation and use most of the northern tract that was
annexed= n 2015 as a natural buffer.
Upon City Council accepting CCMA's current petition for voluntary annexation of the
approximate 6 aeres, it would initiate the process to annex and zone the property. The
adoption of this resolution accepting the petition for annexation from CCMA does not annex
the subject property, but allows for City Council to annex the property by ordinance in the
future. A subsequent ordinance for annexation must be approved by City Council to annex the
property. CCMA has also requested to zone the subject property, upon annexation, Public Use
District (PUB) which is intended to identify and provide for land owned or may be owned by
the City, County, State or Federal Government or the School District; land that has been
dedicated to the City for public use such as parks and recreation, and land designated and
dedicated to the City as a greenbelt.
1.2 -13 -201.6 Minutes Page - 8 -
A courtesy public hearing notice was published in "The Daily Commercial Recorder" on
December 9, 2016. The approval of Resolution 16 -R -92 accepting a petition for voluntary
annexation does not have a financial impact on the City; however, the end annexation of the
property will. In accordance with Texas Local Government Code (LGC) Chapter 43, the City
must provide services to the land on the effective date of the annexation. While some services
are provided to the subject property through inter -local agreement the City of Schertz must
provide police protection, fire protection, emergency medical services, operation and
maintenance of streets, solid waste collection and sewer service. Water service is provided by
Green Valley Special Utility District. -
Staff recommends approval of Resolution 16 -R -92 accepting a petition for voluntary
annexation. Ms. Gould remained available to answer question from Council.
Mayor Carpenter stepped away from the dais at 7:23
6. Ordinance No. I6� -39 - ' Conduct a public hearing and consideration and /or action
The followiti was read into record:
ORDINANCE NO. 16 -S -39
AN ORDINANCE BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS
TO APPROVE A SPECIFIC USE PERMIT TO ALLOW FOR OPERATION OF A
CONVENIENCE STORE WITH GAS PUMPS AT 17601 FOUR OAKS LANE,
SCHERTZ, GUADALUPE COUNTY, TEXAS
Mayor Carpenter recognized Planner I Channary Gould who said Murphy Oil USA, Inc. is
requesting approval of a Specific Use Permit and associated site plan to allow a convenience
store with gas pumps on approximately 1 acre of land located at 17601 Four Oaks Lane and
12 -13 -201.6 Minutes
Page - 9 -
more specifically described as Lot 9, Block 1 of the Murphy USA #7186 -Wal -Mart #3391
Subdivision. The proposed development includes a 1,200 square foot convenience store with
sixteen (16) gas pumps. The subject property is currently developed as a Murphy Oil USA
fueling station and the owner is proposing the same use that currently exists at the site. The
proposed project would involve demolishing the existing structures and redeveloping the site
with a new building, canopy, and accessory equipment. Redeveloping the site requires a new
specific use permit. Access to the site will be through two existing shared driveways off Four
Oaks Lane. The subject property is currently zoned General Business 11 (GB-2).
The City's Unified Development Code (UDC) includes Table 21,.5.8,, Permitted Uses, which
identifies different land uses that are permitted within each zoning district. The General
Business 11 (GB -2) zoning district permits convenience star s with gas pumps, subject to
approval of a Specific Use Permit. Specific Use Permits allow for discretionary approval by
City Council for uses with unique or widely varying,operating characteristics or unusual site
development features. Approval of a Specific Us' Permit authorizes ,.property owner to
submit subsequent development applications.
On October 26, 2016 . the Planning & Zoning Commission recommended approval of the
Specific Use Permit. Public hearing notices were published in the Daily Commercial
Recorder on November 23, 2016 . and in the Herald ,ciin November 30, 2016. . Prior to the
Planning & Zoning Commission "meeting, eight (8) public hearing notices were mailed to
surrounding property owners and nore ppnses were received'.'"',-
SITE PLAN: The applicant is proposing to construct a 1,200 square foot convenience store
with sixteen (16) gas pumps (Murphy Oil) on the approximately 1 acre tract of land.
• Architectural Standards: Section 21.9.5 Exterior Construction and Design Standards
requires all non- residential buildings to meet the minimum masonry requirements, facade
articulations and, percentage of windows and doors. The proposed building elevations comply
with the Exterior Construction and Design standard. The building and gas canopy will
include brick and stucco finish with the front facade consisting of 38% windows and doors.
Additionally, the building complies with the vertical and horizontal articulations on all
required walls.
• Parking: The project includes five (5) parking spaces of which one (1) will be handicap
parking which meets the minimum parking standard for the proposed use.
• Screenina requirements: The site has satisfied the minimum requirements for the location
and screening of accessory structures. The vacuum pad, ice units and propane tank storage
are located on the south side of the property and will be screened by proposed vegetation and
1.2 -13 -201.6 Minutes Page - 10 -
by the proposed convenience store. The trash receptacle will be constructed of masonry with
metal gates that meet the minimum requirements.
• Lighting and Aare standards: The applicant will be responsible for complying with Section
21.9.11 Lighting and Glare standards at the time of building permit. A note has been placed
on the site plan.
• Landseapin2: The UDC requires that non - residential development adjacent to right -of -way
requires a landscape buffer. Four existing oak trees will remain and a Texas Redbud is
proposed along Four Oaks Lane, which complies with the required ratio of one (1) tree per
fifty (50) feet along Four Oaks Lane. Six (6) additional shade trees will be planted along the
southern property line and an existing oak tree along the easterly property line will remain.
Shrub screening will be planted adjacent to all vehicle use areas. The'Temaining landscaped
area will be grass sod. All landscaping will be watered by ,411", automatic irrigation system.
• Access and circulation: The site is accessed through two shared driveways that currently
exist off Four Oaks Lane. Both drive isles exceed �30 feet in widt,,to allow for two -way
traffic. A twenty -five foot fire lane is proposed o��the property allow for emergency vehicle
access.
CONDITIONS OF THE REQUESTED SPECIFIC 1SE PERMIT: ''The proposed
convenience store with gas pumps will be subject tee pro isions of the Unified Development
Code (Ordinance 11 -S -15, as amended). Additionally, the Specific Use Permit will be
conditioned upon the following occurring:
Mayor Carpenter returned to the dais at 7: 39 p. m.
Mayor Carpenter "opened the public hearing and recognized the following individuals who
spoke:
• Mr. Bassam Ziada, 3100 N. Verona Lane, Fayetteville, AR, (representing
Murphy Oil), who said they plan on demolishing the existing building on the
property and constructing a 1200 square foot building. They will have an
environmental firm on hand to ensure they are in compliance with TECQ. They
are available tonight to assist with any questions from Council.
1.2 -13 -201.6 Minutes Page - 11 -
As there were no other speakers, Mayor Carpenter closed the public hearing and opened up
discussion for Council.
Ms. Gould and Mr. Ziada addressed comments and questions from Council.
Mayor Carpenter stated that if council makes a motion to approve the ordinance, if you would
make that motion and reference the conditions that were noted by staff and brought forward
by the Planning and Zoning Commission as being conditions that are held in our approval,
that would be great. -
Mayor Carpenter recognized Mayor Pro -Tem Ed
Councilmember Thompson to approve Ordinance No.
conditions that were noted by staff and brought forwar
was unanimous with Mayor Pro -Tem Edwards,
Thompson, Kiser and Crawford voting for and i
Larson was absent. Motion passed.
Roll Call Vote Confirmation
Mayor Carpenter recognized Deputy City Secretary
votes for agenda items 1 -6.
lards who moved, seconded by
1643, first reading with the two
Eby Planning and Zoning. The vote
auncilmembers Davis, Gutierrez,
one voting, no. Councilmember
who provided the roll call
Mayor Carpenter recessed the meeting at 7:39 p.m., for a six minute break so that Council could
move to the conference room for the Councilmember 6rientaltion.
Mayor Carpenter
p.m. in the
10. Councilmember Orientation= Information and discussion regarding Employee Engagement
Overview, Class &:" Comp Stuoy/Compensatiori Philosophy, Budget Model Overview (Three
Circles, Five Year Forecast, Thirty,Year Bond Capacity, Reserve Fund, Annual Audit).
mayor and 6uncil were provided orientation briefings regarding the following topics:
• Employee Engagement Overview — information provided by Assistant to the City
Manager Sarah Gonzalez.
• Class & Comp .Study /Compensation Philosophy — information provided by HR
Diftor Jessica Kurz.
• Budget Model Overview (Three Circles, Five Year Forecast, Thirty Year Bond
Capacity, 'Reserve Fund, Annual Audit)— information provided by Acting Finance
Director James Walters.
Mayor and Councilmembers returned to the dais at 9:13 p.m. Mayor Carpenter moved to agenda
Item No. 7.
7. Announcements by City Manager
• Citizen Kudos
• Recognition of City employee actions
1.2 -13 -2016 Minutes Page -12 -
0 New Departmental initiatives
No further announcements were made.
8. 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 Crawford who a%d Executive Director Brian
James if on the CCMA stuff, when could we have anothcr briefing pn when they are going to
have the package plant there? Per Mr. James, it will be, scheduled.
Mayor Carpenter recognized Councilmember Davis who said earlier whey Mr. James was
speaking about looking for a construction manger at risk for the new fire station= and other
projects, what other projects was he referring to?' Could w have an update on what projects
we are specifically talking about? An e -mail would be fide: Mr. James said they can provide
that in writing in next week's packet and he can also speak with him after this meeting.
9. Announcements by Mayor and C
Carpenter recognized Councilmember Crawford who said last week he went to the
Commissioners =court and spent time trying to find out how package plants work.
Adjournment
Mayor Carpenter adjoumod the meeting at 9:16 p.m.
Michael R. Carpenter, Mayor
ATTEST:
Brenda Dennis, City Secretary
1.2 -13 -201.6 Minutes Page -13 -
Agenda No. 2
CITY COUNCIL MEMORANDUM
City Council Meeting: December 20, 2016
Department: Mayor /Council
Subject: Excused Council Absences —
Consideration and /or action excusing
City Council Member absences
BACKGROUND
Per the revised Charter approved by voters on November 3, 2015, regarding Council absences,
Section 4.06 (3) Vacancies, Forfeiture, Filling of Vacancies, "Failure to regularly attend City
Council meetings without an approved absence obtained by a majority vote by City Council
either before or after the absence. There shall be a presumption of failure to regularly attend
when three (3) regular meetings are missed during a term year without obtaining an approved
absence from City Council." An affirmative vote of a majority of Council approving the
Council's absences is required for the following:
11 -21 -2016 Special Council Meeting
1.2 -13 -2016 Regular Council Meeting
IWZTG • ' • On
None
RECOMMENDATION
Mayor Pro -Tem Edwards
Councilmember Larson
Staff recommends Council approve the absences as listed above.
Agenda No. 3
CITY COUNCIL MEMORANDUM
City Council Meeting: December 20, 2016
Department:
Subject:
Drainage /Finance
Ordinance No. 16- T40 — An Ordinance by
the City Council of the City of Schertz,
Texas authorizing a budget adjustment to
fund the demolition and replacement of the
bridge at Lower Seguin Rd at Cibolo Creek.
(Final reading)
BACKGROUND
In June, 2016 it was discovered that the low water crossing on Lower Seguin Road where it
crosses the Cibolo Creek was structurally unsound. This low water crossing is at the city limits
of Cibolo and Schertz and is at the Bexar and Guadalupe County Lines. The crossing closed on
June 28 and work began on alternatives to replace this low water crossing. After two meetings
with the City of Cibolo, Guadalupe County and Bexar County representatives, it has been agreed
that the most cost effective solution is to replace the current structure with a new structure
constructed of 2 4'X3' drainage boxes. This project will provide improvements to the low water
crossing by increasing the water flow capacity from 105 cfs to 155 cfs and increase the roadway
width from approximately sixteen feet to twenty -two feet. This will increase the safety of the
traveling public as they meet each other at the crossing. Although not a tremendous improvement
in flow, this new structure will result in fewer closures of this low water crossing.
Due to the usage of this crossing by commuters on a daily basis from both Cities as well as a
route for SCUCISD students and staff to reach Corbett Junior High both Cities are taking on the
commitment to replace this crossing. Both counties have made a verbal commitment to assist
with this replacement; however, those written agreements are still in negotiations.
The estimated cost of replacement is $440,000 and both Schertz and Cibolo will share this
equally. Any other support from our county partners will equally reduce the total of which each
City is responsible. Prior to entering into an inter -local agreement, a budget adjustment must be
accomplished by ordinance.
Council approved this on first reading at their meeting of December 1.3, 2016.
lWYG • ' • On
The expected total cost of the project is approximately $440,000. The final design and
construction costs are unknown until the project is bid. As a result, Staff is recommending a
10% contingency be included with this budget adjustment for an overall total of $484,000. This
project will be funded from the Schertz Drainage Fund Balance that has a $939,271 balance as of
September 30, 2016. . No fee increase or change in the FY 2016 -17 Operating Budget will be
necessary.
RECOMMENDATION
City Council Memorandum
Page 2
Staff recommends that the City Council approve the budget adjustment of $484,000.00 for the
funding of the Lower Seguin Rd. Bridge project, Ordinance No. 16 -T -40 on final reading. The
City will be taking the lead on this project with Cibolo and any other partners reimbursing the
City for costs expended per inter local agreements currently under negotiation.
Attachments
Ordinance 16 -T -40
ORDINANCE NO. 16 -T -40
AN ORDINANCE BY THE CITY COUNCIL OF THE CITY OF
SCHERTZ, TEXAS AUTHORIZING A BUDGET ADJUSTMENT TO
FUND THE DEMOLITION AND REPLACEMENT OF THE BRIDGE AT
LOWER SEGUIN ROAD AND CIBOLO CREEK; REPEALING ALL
ORDINANCES OR PARTS OF ORDINANCES IN CONFLICT WITH
THIS ORDINANCE; AND PROVIDING AN EFFECTIVE DATE
WHEREAS, pursuant to Ordinance 16 -T -29, the City of Schertz (the "City ") adopted the
budget for the City for the fiscal year 201.6 -2017 (the `Budget), which provides funding for the
City's operations throughout the 2016 -2017 fiscal year; and
WHEREAS, the City needs to increase the Budget to authorize expenditures of $484,000
for the funding of the demolition and replacement of the bridge on Lower Seguin Road at the
Cibolo Creek in the Drainage Fund; and
WHEREAS, the City needs to increase revenue to recognize Cibolo's contribution
toward this project as laid out in the Interlocal agreement of $242,000; and
WHEREAS, the City needs to authorize use of the Drainage Fund Balance in the amount
of $242,000 to fund the project; and
WHEREAS, City staff recommends that the City Council of the City adjust the Budget
and approve the additional revenue and expense for the project; and
WHEREAS, the City Council of the City has determined that it is in the best interest of
the City to adjust the Budget and approve the budget adjustment for the Drainage Fund for the
demolition and replacement of the bridge at Lower Seguin Road, 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 by $484,000 for the demolition and
replacement of the bridge at Lower Seguin Road.
Section 2. The City shall recognize the additional $242,000 in revenue from the
interlocal agreement with the City of Cibolo to fund this project.
Section 3. The City shall recognize the use of $242,000 of the Drainage Fund Balance to
fund this project.
Section 4. 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 5. 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 6. This Ordinance shall be construed and enforced in accordance with the laws
of the State of Texas and the United States of America.
Section 7. 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 8. 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 9. 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 13th day of December, 2016.
PASSED, APPROVED and ADOPTED ON SECOND READING, the 20th day of
December, 2016.
CITY OF SCHERTZ, TEXAS
Michael R. Carpenter, Mayor
Brenda Dennis, City Secretary
(CITY SEAL)
50558021.1 - 3 -
CITY COUNCIL MEMORANDUM
City Council Meeting: December 20, 2016
Department:
Subject:
Agenda No. 4
Planning & Community Development
Ordinance No. 16 -S -39 — Consideration .
and /or action on a request for a Specific Use
Permit and associated site plan to allow a
Convenience Store with Gas Pumps on an
approximate 1 acre site. The property is
more specifically described as Lot 9, Block
1 of the Murphy USA #7186 -Wal -Mart
#3391 Subdivision; City of Schertz,
Guadalupe County, Texas; located at 17601.
Four Oaks Lane. (Final Reading)
Murphy Oil USA, Inc. is requesting approval of a Specific Use Permit and associated site plan to
allow a convenience store with gas pumps on approximately 1 acre of land located at 17601 Four
Oaks Lane and more specifically described as Lot 9, :Block 1 of the Murphy USA #71.86 -Wal-
Mart #3391 Subdivision. The proposed development includes a 1,200 square foot convenience
store with sixteen (16) gas pumps. The subject property is currently developed as a Murphy Oil
USA fueling station and the owner is proposing the same use that currently exists at the site. The
proposed project would involve demolishing the existing structures and redeveloping the site
with a new building, canopy, and accessory equipment. Redeveloping the site requires a new
specific use permit. Access to the site will be through two existing shared driveways off Four
Oaks Lane. The subject property is currently zoned General Business II (GB -2).
The City's Unified Development Code (UDC) includes Table 21.5.8 Permitted Uses, which
identifies different land uses that are permitted within each zoning district. The General
Business II (GB -2) zoning district permits convenience stores with gas pumps, subject to
approval of a Specific Use Permit. Specific Use Permits allow for discretionary approval by City
Council for uses with unique or widely varying operating characteristics or unusual site
development features. Approval of a Specific Use Permit authorizes a property owner to submit
subsequent development applications.
On October 26, 2016 the Planning & Zoning Commission recommended approval of the Specific
Use Permit. Public hearing notices were published in the Daily Commercial Recorder on
November 23, 2016 and in the Herald on November 30, 2016. Prior to the Planning & Zoning
City Council Memorandum
Page 2
Commission meeting, eight (8) public hearing notices were mailed to surrounding property
owners and no responses were received.
City Council approved this on first reading at their meeting of December 13, 2016.
Goal
Murphy Oil USA, Inc. is requesting a Specific Use Permit to redevelop the site at 1.7601 Four
Oaks Lane to improve the layout.
Community Benefit
It is the City's desire to promote safe, orderly, efficient development and ensure compliance with
the City's vision of future growth.
Summary of Recommended Action
IMPACT ON EXISTING ADJACENT DEVELOPMENT: The subject property is adjacent
to an existing fast food restaurant with a drive -thru immediately to the west, existing retail uses
to the immediate south, existing retail uses to the north across Four Oaks Lane, and a parking lot
for the existing Wal -Mart store to the west. The proposed convenience store with gas pumps is a
land use that is compatible with the existing commercial land uses in the area.
SITE PLAN: The applicant is proposing to construct a 1,200 square foot convenience store with
sixteen (16) gas pumps (Murphy Oil) on the approximately 1 acre tract of land.
• Architectural Standards: Section 21.9.5 Exterior construction and Design standards
requires all non - residential buildings to meet the minimum masonry requirements, fagade
articulations and percentage of windows and doors. The proposed building elevations
comply with the Exterior Construction and Design standard. The building and gas
canopy will include brick and stucco finish with the front fagade consisting of 38%
windows and doors. Additionally, the building complies with the vertical and horizontal
articulations on all required walls.
• Parking: The project includes five (5) parking spaces of which one (1) will be handicap
parking which meets the minimum parking standard for the proposed use.
• Screening requirements: The site has satisfied the minimum requirements for the
location and screening of accessory structures. The vacuum pad, ice units and propane
tank storage are located on the south side of the property and will be screened by
proposed vegetation and by the proposed convenience store. The trash receptacle will be
constructed of masonry with metal gates that meet the minimum requirements.
• Lis!htin2 and Aare standards: The applicant will be responsible for complying with
Section 21.9.11 Lighting and Glare standards at the time of building permit. A note has
been placed on the site plan.
• Landscapini: The UDC requires that non - residential development adjacent to right -of-
way requires a landscape buffer. Four existing oak trees will remain and a Texas Redbud
is proposed along Four Oaks Lane, which complies with the required ratio of one (1) tree
per fifty (50) feet along Four Oaks Lane. Six (6) additional shade trees will be planted
City Council Memorandum
Page 3
along the southern property line and an existing oak tree along the easterly property line
will remain. Shrub screening will be planted adjacent to all vehicle use areas. The
remaining landscaped area will be grass sod. All landscaping will be watered by an
automatic irrigation system.
• Access and circulation: The site is accessed through two shared driveways that
currently exist off Four Oaks Lane. Both drive isles exceed 30 feet in width to allow for
two -way traffic. A twenty five foot fire lane is proposed on the property allow for
emergency vehicle access.
CONDITIONS OF THE REQUESTED SPECIFIC USE PERMIT: The proposed
convenience store with gas pumps will be subject to provisions of the Unified Development
Code (Ordinance 1.1- S -1.5, as amended). Additionally, the Specific Use Permit will be
conditioned upon the following occurring:
a) A building permit is approved within one year of the adoption of the SUP ordinance; and
b) The use begins operation within two years of the issuance of the necessary building
permit(s).
A Specific Use Permit allows for discretionary City Council approval of uses with unique or
widely varying operating characteristics or unusual site development features, subject to the
terms and conditions set forth in this UDC. Approval of a specific use permit authorizes a
property owner to submit subsequent development applications consistent with the approved
Specific Use Permit.
FISCAL IMPACT
None
RECOMMENDATION
Staff recommends approval of Ordinance No. 16 -S -39 on final reading for the Specific Use
Permit request.
ATTACHMENT
Ordinance No. 16 -S -39
ORDINANCE NO. 16 -S -39
AN ORDINANCE BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS TO
APPROVE A SPECIFIC USE PERMIT TO ALLOW FOR OPERATION OF A
CONVENIENCE STORE WITH GAS PUMPS AT 17601 FOUR OAKS LANE,
SCHERTZ, GUADALUPE COUNTY, TEXAS
WHEREAS, An application for Specific Use Permit to allow a Convenience Store with gas
pumps at 17601 Four Oaks Lane, more particularly described in Exhibit A attached hereto and
incorporated herein by reference, as Lot 9, :Block 1 of the Murphy USA #71.86 -Wa] -Mart #3391.
Subdivision (hereinafter, the "Property ") has been filed with the City; and
WHEREAS, the City's Unified Development Code Section 21.5.11.E. provides for certain
conditions to be considered by the Planning and Zoning Commission in making
recommendations to City Council and by City Council in considering final action on a requested
specific use permit (the "Conditions "); and
WHEREAS, on October 26, 2016, . the Planning and Zoning Commission conducted a public
hearing and, after considering the Conditions, hereby makes a recommendation of approval of a
Specific Use Permit for a Convenience Store with gas pumps; and
WHEREAS; on December 1.3, 2016 . the City Council conducted a public hearing and after
considering the Conditions and recommendation by the Planning and Zoning Commission,
determined that the requested Specific Use Permit be approved as provided for herein.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS:
THAT:
Section 1. A Specific Use Permit for 17601 Four Oaks Lane, as more particularly
described in the attached Exhibit A, is hereby approved to allow a convenience store with gas
pumps conditioned upon the following occurring:
a) A building permit is approved within one year of the adoption of this ordinance; and
b) The use begins operation within two years of the issuance of the necessary building
permit(s).
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 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 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.
Section 8. This Ordinance shall be cumulative of all other ordinances of the City of
Schertz, and this Ordinance shall not operate to repeal or affect any other ordinances of the City
of Schertz except insofar as the provisions thereof might be inconsistent or in conflict with the
provisions of this Ordinance, in which event such conflicting provisions, if any, are hereby
repealed.
Approved on first reading the 13th day of December, 2016.
PASSED, APPROVED AND ADOPTED on final reading the 20th day of December, 2016.
Michael R. Carpenter, Mayor
ATTEST:
Brenda Dennis, City Secretary
(SEAL OF THE CITY)
Exhibit A
"The Property"
See Attached
Agenda No. 5
CITY COUNCIL MEMORANDUM
City Council Meeting: December 20, 2016
Department: Development Services
Subject: Resolution No. 16 -R -95 — Consideration
and/or action approving a Request for a
Historical Incentive Program for the Main
Street Area grant for 603 Main Street. (B.
James /B. James)
BACKGROUND
In January of 2015, City Council approved Resolution 15 -R -03 establishing the Historical
Incentive Program for the Main Street Area in order to facilitate the preservation of historic
structures to promote the economic vitality of the Main Street area as a tourist destination, the
City of Schertz is offering incentives that will serve to improve existing properties and
businesses within this area. Council subsequently modified the program via Resolution 16 -R -37
to eliminate the requirement that properties be designated as Landmark Properties and to slightly
expand the area eligible for the grant. The resolution established details of the program
including eligibility requirements, and draft funding agreement.
The program provides matching funds up to $20,000 per property to go towards the cost of
renovations. The aim of the program is to protect, enhance, and preserve the historic resources
and landmarks which represent distinctive element of the City of Schertz' historic, architectural,
economic, cultural, and social heritage by providing property owners an incentive for protecting
their property; stabilize and improve property values; foster civic pride in the beauty and
accomplishments of the past, and to promote the use of the historic structures for the culture,
education and general welfare of residents, and strengthen the economy of the city by
protecting and enhancing the attractiveness of the Main Street area to residents and visitors, as
well as provide support and stimulus to businesses.
The owners of the property at 603 Main Street have applied for the grant and went to the Schertz
Historical Preservation Committee (SHPC) on December 1.4, 2016 . for a recommendation on
their proposal. They are proposing to renovate the structure to use as their home. 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 $55,000 not including roof
repairs which are also eligible. The SHPC recommended approval of the request.
Goal
Promote the history and culture of the City of Schertz to tourists and residents.
City Council Memorandum
Page 2
Community Benefit
Recognize structures of significance to the community's past.
Summary of Recommended Action
Staff recommends approval of Resolution 16 -R -95 approving the Schertz Main. Street Area
Preservation Incentive Grant for up to $20,000 subject to the applicant entering into the incentive
agreement with the City.
FISCAL IMPACT
Up to $20,000 from the Hotel Occupancy Tax Funds.
Approval of Resolution 16 -R -95
ATTACHMENT
Resolution 16 -R -95
Main Street Area Incentive Program Summary
Main Street Area Incentive Program Map
Main Street Area Incentive Agreement
The Owner's Renovation Proposal
RESOLUTION NO. 16 -R -95
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
603 MAIN STREET IN THE CITY OF SCHERTZ, TEXAS, AND
RELATED MATTERS IN CONNECTION THEREWITH
WHEREAS, The City of Schertz desires to protect, enhance, and preserve the historic resources
and landmarks which represent distinctive elements of Schertz' historic, architectural, economic,
cultural, and social heritage by providing property owners and incentive for protecting their
property; and
WHEREAS, Stabilize and improve property values; and
WHEREAS, Foster civic pride in the beauty and accomplishments of the past, and to promote
the use of the historic structures for the culture, education, and general welfare of residents; and
WHEREAS, Strengthen the economy of the city by protecting and enhancing the attractiveness
of the Main Street area to residents and visitors, as well as provide support and stimulus to
businesses.
WHEREAS, the City Council approved the Historical Incentive Program for Main Street;
WHEREAS, the Schertz Historic Preservation Committee is in support of this program and
recommended approval of the grant request for 603 Main Street for up to $20,000;
NOW THEREFORE, BE IT RESOLVED, THAT THE CITY COUNCIL OF THE CITY OF
SCHERTZ, TEXAS THAT:
Section 1. The City Council hereby approves the Schertz Main Street Area
Preservation Incentive Program grant request for 603 Main Street subject to the approved criteria
of the program and execution of a funding agreement as outlined in 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 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.
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 , 2016.
CITY OF SCHERTZ, TEXAS
Michael R Carpenter, Mayor
Brenda Dennis, City Secretary
(CITY SEAL)
Schertz Main Street Area
Preservation Incentive Program
City of Schertz
Section 1.1 Purpose
The City of Schertz finds that promoting the enhancement and perpetuation of structures
of historical importance and significance are necessary to promote the economic, cultural,
educational and general welfare of the public. The area around Main Street in Schertz
once served as commercial and social hub of the community. The City seeks to improve
the image of the area around Main Street through historic restoration and rehabilitation of
structures in the Main Street area to serve as a commercial, social, cultural and tourism
hub of the City. The program is intended to:
a) Protect, enhance, and preserve the historic resources and landmarks which
represent distinctive elements of Schertz' historic, architectural, economic,
cultural, and social heritage by providing property owners and incentive for
protecting their property;
b) Stabilize and improve property values;
c) Foster civic pride in the beauty and accomplishments of the past, and to promote
the use of the historic structures for the culture, education, and general welfare of
residents, and:
d) Strengthen the economy of the city by protecting and enhancing the attractiveness
of the Main Street area to residents and visitors, as well as provide support and
stimulus to businesses.
In order to facilitate the preservation of historic structures to promote the economic
vitality of the Main Street area as a tourist destination, the City of Schertz is offering
incentives that will serve to improve existing properties and businesses within this area.
Section 1.2 Administration
The program will be administered by the City of Schertz Building Inspections Division.
Section 1.3 Eligibility Criteria
All of the following eligibility criteria must be met:
a) Structures must have been constructed more than 50 years prior to the date of
application.
b) Property must be located within the Main Street Incentive Area. See attached
map.
c) All taxes and government fees must be current on the property.
Section 1.4 Types of Grant Assistance
Funding for this program is generated by the Hotel Occupancy Tax (HOT) funds.
a) Program assistance is available to owners who make verified exterior
improvements (however limited to comprehensive maintenance and
rehabilitation painting, roof, windows, foundation, fagade restoration
including replacing windows, wall repairs, brick re- pointing, replacing and
exposing transom windows; and improvements necessary to stabilize a
structure) consistent with applicable codes, or who make verified interior
improvements to upgrade interior systems to current building codes (however
limited to sanitary sewer lines, fire, HVAC, insulation, electrical, plumbing, or
a combination of interior or exterior improvements) and which are approved
in advance by the Schertz Historical Preservation Committee and City
Council. Grants are available with a cap of $20,000 per property.
b) Grants will not be provided for work already completed or which is begun
prior to approval of the grant application.
c) Funds will be provided on a 50150 matching basis. In kind contributions may
be counted toward the match requirement.
Section 1.5 Grant Application Procedures
At the start of the fiscal year, the city will promote the amount of funding available.
Applications will be received throughout the fiscal year, subject to the availability of
funds.
a) Property owner submit an application along with any required supporting
documentation (i.e. drawings, total project cost estimate, photographs,
contactor bids, tax certificates, etc.). Applications will be reviewed by the
Building Inspections Staff for completeness.
b) After submittal of a grant request, a preliminary site visit will be made by the
Building Inspections Staff along with the Chairperson of the Schertz
Historical Preservation Committee.
c) Applications will be reviewed and evaluated by the Schertz Historical
Preservation Committee. The Committee will evaluate the application based
on the Secretary of the Interior's Standards for Rehabilitation. The
Committee's recommendation will be forwarded to the City Council for
review and approval.
d) City Council will decide which entities qualify for assistance based on the
architectural value of their proposed projects to the City of Schertz, the
compatibility of the proposed projects with the Main Street Area, and the cost
effectiveness of the proposed project in relation to the proposed amount of the
grant.
e) The property owner and City will execute a Grant Agreement detailing the
obligations of the grantee, the method and timing of reimbursement, and
outlining the scope of work eligible for reimbursement.
I) Work must be completed within one year from the date of execution of the
Grant Agreement, however; the Historical Preservation Committee may grant
an extension of up to one year.
N
I=
L
� Y
x
rt
x i
It
� � 1
� ,At
till a t$i
r�
x wry f�
k
1 may,. ` 5vtn"y' �y l✓
�'6't: „/,.y' •• ^fix
S itt i � t
! C
C i
u'
r
F J
�a 1
ti+
t
t �
4 `
k
er
t
d !
1
x
nW
W
C
a)
Ci
G
W
a/
�°)�
v!
I1
ti+
t
t �
4 `
k
er
t
d !
1
x
nW
W
C
a)
Ci
G
W
a/
�°)�
v!
I1
STATE OF TEXAS §
COUNTY OF BEXAR §
HOTEL TAX FUNDING AGREEMENT BETWEEN THE CITY OF SCHERTZ,
TEXAS AND FOR EXPENDITURE OF HOTEL OCCUPANCY TAX
FUNDS
This Hotel Tax Funding Agreement (AGREEMENT) is made and entered I into by and between the City of
Schertz, Texas (CITY) and (ENT T.
WHEREAS, the ENTITY -�----`��devcloped a proposal to
and
WHEREAS, the City of Schertz finds thatr promoting the enhancement and perpetuation of
structures of historical importance and significande',are necessary to promote t)re economic, cultural,
educational and general welfare of the public; and
WHEREAS, the area
of the community; and
WHEREAS, the. Ci
historic restoration and.,.f6hhb
social, cultural and tourism bul
WHEREAS, in order'�
vitality of the �%�-Street area
serve to - existing pxop
WHERBAS, the City"
revenues to the- °
NOW, THEREFORE, , it
in Schertz— 66 served as commercial and social hub
seeks to in npvc the Re of the area around Main Street through
if , ion of structures in the .-MA Strce fYhfea to serve as a commercial,
4
f1be," City; and
of historic structures to promote the economic
City of Schertz is offering incentives that will
his area.; and
City of Schertz desires to provide Hotel Occupancy Tax
agreed by and between the CITY and ENTITY as follows:
GENERAL PROVISIONS
Section 1. Purpose. The purpose of this Agreement is to provide funding to the ENTITY for
the project identified in the attached Exhibit "A" (the "Project"), the intent of which is to protect,
enhance, and preserve the historic resources and landmarks which represent distinctive elements of the
City of Schertz' historic, architectural, economic, cultural, and social heritage by providing property
owners an incentive for protecting their property; stabilize and improve property values; foster civic pride
in the beauty and accomplishments of the past, and to promote the use of the historic structures for the
culture, education, and general welfare of residents, and strengthen the economy of the city by protecting
and enhancing the attractiveness of the Main Street area to residents and visitors, as well as provide
support and stimulus to businesses.
PAGE 1 OF 5
Section 2. Obligation of the ENTITY. The ENTITY shall use all of the awarded funds
provided by the CITY in accordance with Chapter 351 of the Texas Tax Code, the ENTITY'S funding
application, and the attached Exhibit "A".
Section 3, Reporting Requirements of the ENTITY. The ENTITY shall deliver a detailed
accounting of the expenditures for the Project within thirty (30) days after completion of the Project (the
"Post Event Report"). The Post Event Report shall include copies of receipts and other documents
establishing the expenditures for the project. The CITY shall not make reimbursements for
expenditures where no receipt or invoice is provided. Partial or incomplete reports will not be accepted.
Section 4. Authorization of Payment. Subject to,tfi6 BNTri
compliance with the terms of this AGREEMENT the CITY a s
gr
percent (50%) of the Project from hotel occupancy tax funds. Paymi
(45) days of acceptance of the complete Post Event Report. Partial i
accepted. Only expenditures that meet Chapter 0' of the Tax Code
reimbursed,
Section S. Appeal Process. An'y-J
present their appeal in writing within t4 ("v
Section 6. Rights. The Ci ty of S
records of the ENTITY that l_ relate to
expenses, has the right * conduct --An.1audit of
Section 7.
The
Y'S satisfactory performance and
to pay the ENTITY up to fifty
ii.twill be made within forty-five
)rincomplete reports will not be
and lhi&AGREEMENT shall be
the decision-df the CITY must
denial,
time, to inspect the books or
,4ENT. The CITY, at its sole
become effective as of the date entered below.
affective date or once the terms have been met,
Section 8. Indemnific'Afion. T agrees to defend, indemnify and bold harmless the
CITY, its offidets, agents and employees, agh_iust any and all claims, lawsuits, judgments, cause of action,
costs and expensd,s .__fOr personal -injury including death), property damage or other harm for which
recovery of damages is-.sought, suffqr d by any person or persons, that may arise out of or be occasioned
by the ENTITY's brea0h of ,any ..of -f46 terms or provisions of this AGREEMENT, or by any negligent act
or emission of the ENTITY�iitgl&ffibers, agents, servants, employees, contractors, or subcontractors, in the
performance of this AGREE except that the indemnity provided for in this paragraph shall not
apply to any liability resulting from the sole negligence of the CITY, its officers, agents, employees or
separate contractors, and in the event of joint and CODCLUTCUt negligence of both the ENTITY and the
CITY under Texas law and without waiving any defenses of the parties under Texas law. The provisions
of this paragraph are solely for the benefit of the parties hereto and not intended to create or grant any
rights, contractual or otherwise, to any other person or entity. -Both parties expressly agree that this
AGREEMENT does not assign any responsibility for civil liability to the City of Scheriz that may arise by
virtue of this AGREEMENT.
Section 9. Termination- A. party may terminate this AGREEMENT in xholc or in part if the
PACE 2 OF 5
other party fails to comply with a term of the AGREEMENT, including the inability of the ENTITY to
conform to any change required by federal, state or local laws or regulations; or for the convenience of
either party. The terminating party shall provide written notification to the other party of the decision to
terininate this AGREEMENT within thirty (30) days before the effective date of termination. A party
may terminate the AGREEMENT for breach of any provision of this AGREEMENT, upon
written notice of the breach and the breaching patty shall have ten (10) days after receipt of the written
notice in which to cure the breach to the satisfaction of the non-breaching party.
Section 10. Notice. All notices required or permitted under this AGREEMENT shall be in
writing and shall be delivered in person or mailed as follows:
to the CITY at:
City of Schertz
Attention: City Manager
1400 Schertz Parkway
Schertz, TX 78154
(210) 619-1000
To the ENTITY at: [Name of Ell,,
(Attention:
[Address:
[Mailing address if different front
[City, State, ZIP,
[Telephone num. p�:
_eSdetion 11. PiM�-Agre6iribnt. This -AGREEMENT constitutes the entire agreement of the
parties ing the sub er"coittained herein. The patties may not modify or amend this
AGREEMEN-T-,
-except by wri! approved by the governing bodies of each party and duly
executed by
Section 12, _ZMproval. AGREEMENT has been duly and properly approved by each
party's governing body abd);911git" a binding obligation on each party.
Section 13. Assignment. Except as otbenvise, provided in this AGREEMENT, a party may not
assign this AGREEMENT or subcontract the performance of services without first obtaining the written
consent of the other patty.
Section 14. Non-Waiver, A party's failure or delay to exercise right or remedy does not
constitute a waiver of the right or remedy. An exercise of a right or remedy under this AGREEMENT
does not preclude the exercise of another right or remedy. Rights and remedies under this AGREEMENT
are cumulative and are not exclusive of other -rights or remedies provided by law.
PAGE 3 OF 5
Section 15. Paragraph Headings. The various paragraph headings are inserted for convenience
of reference only, and shall not affect the meaning or interpretation of this AGREEMENT or any section
thereof.
Section 16. Attorney fees. In any lawsuit concerning this AGREEMENT, the prevailing part),
shall be entitled to recover reasonable attorney's fees from the nonprevailing party, plus all out -of- pocket
expense such as deposition costs; telephone, calls, travel expenses, expert witness fees, court costs, and
thew reasonable expenses, unless otherwise prohibited by law.
Section 17. Severability. The parties agree that in=.the event any provision of this
AGREEMENT is declared invalid by a court of competent jurrsdlctioti " that part of the AGREEMENT is
severable and the decree shall not affect the remainder of the AGREEMENT. The remainder of the
AGREEMENT shall be in full force and effect.
Section 18, Venue. The parties agree that';7-AW that -All disputes that arise of this AGREEMENT are
governed by the laws of the State of Texas and verme for all purposes herewith all be in Ivlilam County,
Texas. -
Section 14. Certificate of Insuraj.cc. The ENTITY---a s to provide a certificate of insurance
for liability and worker's compensation insurance or letter of self- insurance on its letterhead indicating
its self- insured status before any event a iarded $znding under is AGREEMENT. The cast of the
insurance herein mentioned to be secured and marntamed by the ENTITY shall be borne solely by the
ENTITY.
IN WITNESS HEREOF,.-',-the CiT
AGREEMENT to be of ective:this ' x" da:
City Secretary
(Title)
(Title)
and execute this
ZO
PAGF 4 4F 5
[Describe the prof cet to be performed]
PAGE S or 5
Agenda No. 6
CITY COUNCIL MEMORANDUM
City Council Meeting: December 20, 2016
Department:
Subject:
BACKGROUND
Development Services
Ordinance No. 16 -S -42 — Conduct a public
hearing and consideration and /or action
approving an Ordinance extending and
amending a moratorium on property
development due to a shortage of essential
public facilities generally in the area north
from IH -10 to approximately 2,000 feet
North of Lower Seguin Road between FM
1518 and the western boundary of the City
Limits. First and Final Reading (B.
James /B. James)
The Texas Local Government Code, Section 212 Subchapter E Moratorium on Property
Development provides that in certain circumstances cities may impose a moratorium on property
development in the event that there exists a demonstrated need to prevent a shortage of essential
public facilities or a significant need for public facilities. In order to impose a moratorium certain
notice and public hearing requirements must be met within a specified time frame. The
imposition of the moratorium is based on written findings that provide evidence demonstrating
the extent of the need beyond the estimated capacity of existing essential public facilities or a
significant need for public facilities that is expected to result from new property development.
On August 30, 2016 City Council approved Ordinance 16 -S -31 imposing a moratorium on new
property development.
As City Council is aware the City of Schertz is experiencing tremendous growth in southern
Schertz. Much of this area is located in the flight path of Joint Base San Antonio Randolph. Base
operations present unique hazards as are outlined in the 2015 Joint Base San Antonio Randolph
Land Use Study especially considering the bird strike hazard which Council adopted per
Resolution 15-R-96 that includes strategies and timeframes to mitigate these hazards. While the
City is in process of planning for a Fire Station #3 in this area, the particular hazards from JBSA
Randolph necessitate additional measures to ensure this hazard is mitigated. These hazards
associated with JBSA Randolph operations and existing development patterns create a
significant need for public facilities, in particular fire facilities. A failure to provide these
facilities given the current land uses, zoning, and land use designations coupled with Base
operations would result in an overcapacity of these facilities that are detrimental to the health,
safety, and welfare of residents of Schertz.
City Council Memorandum
Page 2
Since the imposition of the moratorium, staff has worked to implement the working plan as part
of Ordinance 16 -S -31 to mitigate the concerns. On this agenda, Council is considering actions to
acquire a new fire apparatus for proposed station #3 which will serve this area. This is in addition
to architectural work that has continued as well as efforts to solicit a Construction Manager at
risk and acquire property for the station.
In light of these efforts staff is proposing to extend and amend the moratorium while staff
continue to implement the working plan — primarily to address the lack of fire protection and the
hazards associated with Randolph. As such staff is proposing to significantly reduce the area of
the moratorium from 5,475 acres to just over 2,900 acres. Additionally staff is proposing to allow
construction of single family homes on existing tracts of land. This would not allow acceptance
of commercial or multifamily building permits in the new moratorium area or acceptance of
subdivision plats in the new area. Staff anticipates processing an amendment to the City's
Comprehensive Land Use Plan to reduce the hazards associated with development in the new
moratorium area with operations from Randolph which will allow the City to continue to work to
provide adequate fire protection in the area.
Goal
To achieve the goals and objectives of the City Comprehensive Land Plan including managing
growth in a manner that allows services and facilities to keep pace with development including
providing local emergency health facilities and fire protection throughout the community.
Promoting the use of areas near Joint Base San Antonio Randolph that are sensitive to the
recommendations of the Joint Base San Antonio Randolph Land Use Study including
acknowledging the unique hazards posed in certain areas by Base operations.
Community Benefit
Prevent a shortage of essential fire facilities in the subject area given the current proximity of
existing fire stations within the City of Schertz and the unique hazards in this area as a result of
being within and near the Accident Potential. Zones and Clear Zone of Joint Base San Antonio
Randolph that would result in an overcapacity of public facilities and that would be detrimental
to the health, safety, and welfare of the resident of the municipality.
Summary of Recommended Action
Staff recommends that Council declare an emergency to approve Ordinance 16 -S -42 on first
reading and final reading
FISCAL IMPACT
None
RECOMMENDATION
Approval of Ordinance 16 -S -42 on first reading and final reading and declaring and emergency.
ATTACHMENT
City Council Memorandum
Page 3
Resolution 16 -5 -42
Resolution 15 -R -96 Adopting the JBSA Randolph JLUS 2015
Ordinance 1.6 -5 -31.
ORDINANCE NO. 16 -S -42
AN ORDINANCE BY THE CITY COUNCIL OF THE CITY OF SCHERTZ,
TEXAS EXTENDING AND AMENDING A MORATORIUM ON BOTH
RESIDENTIAL AND COMMERICAL PROPERTY DEVELOPMENT DUE TO A
NEED TO PREVENT A SHORTAGE OF ESSENTIAL PUBLIC FACILITIES
GENERALLY IN THE AREA FROM IH -10 TO APPROXIMATELY 2,000 FEET
NORTH OF LOWER SEGUIN ROAD BETWEEN FM 1518 AND THE
WESTERN BOUNDARY OF THE CITY LIMITS PROVIDING A
REVERSIONARY CLAUSE; PROVIDING A REPEALING CLAUSE;
PROVIDING A SEVERABILITY CLAUSE; PROVIDING A PENALTY CLAUSE;
DECLARING AN EMERGENCY AND PROVIDING AN EFFECTIVE DATE.
WHEREAS, The City of Schertz adopted the 2015 Joint Base San Antonio Randolph
(JBSA Randolph) Joint Land Use Study (JLUS) by Resolution 15 -R -96, and
WHEREAS, The JBSA Randolph JLUS outlines specific hazards to the areas around the
base, particularly near the Clear Zones and Accident Potential Zones which are further
exacerbated due to high bird strike hazards, type of aircraft and volume of operations, and
WHEREAS, The 2015 . JBSA Randolph JLUS identifies particular incompatibility issues
due to conflicts with certain land uses and identifies incompatible land uses that were
previously considered compatible, and
WHEREAS, The hazards to the areas within Schertz posed by JBSA Randolph flight
operations are unique to the areas around JBSA Randolph and require specialized training
and equipment, and
WHEREAS, The area in question is experiencing tremendous growth and development
pressure and that development in the area is creating significant needs for fire facilities,
and
WHEREAS, The existing development regulations and ordinances are inadequate to
prevent and overcapacity of municipal infrastructure and being detrimental to the health,
safety and welfare in this area as is demonstrated by current response times and the
number of permits issued around and in this area, and
WHEREAS, Only by imposing a moratorium in this area can the City implement
working plan for designing a new fire station and outlining needed equipment to deal
with the hazard posed by flight operations in conjunction with implementing the
strategies of the 2015 . JBSA Randolph JLUS to reduce hazards, and
WHEREAS, Section 212 Subchapter E of the Texas Local Government Code allows the
impositions of a moratorium on property development on both residential and
commercial property, and
WHEREAS, the City Council has found per Exhibit A that evidence exists
demonstrating that applying existing development ordinances or regulations and other
applicable laws are inadequate to prevent the new development from causing the
overcapacity of municipal infrastructure and being detrimental to the public health,
safety, and welfare in this area, and
WHEREAS, the City Council found evidence demonstrating that alternative methods of
achieving the objectives of the moratorium are unsatisfactory, and
WHEREAS, the City Council has found evidence of a working plan and time schedule
to achieve the objectives of the moratorium, and
WHEREAS, All required notices have been provided, and
WHEREAS, on August 23, 2016, the City Council held a first public hearing and
considered this ordinance for which notice was published, and
WHEREAS, on August 24, 2016, the Planning and Zoning Commission held a public
hearing to consider this ordinance imposing a moratorium, and
WHEREAS, on August 30, 2016, . the City Council conducted a public hearing and
determined that this request is in the interest of the public safety, health, and welfare and
adopted a moratorium on new development per Ordinance 16 -S -31;
WHEREAS, the City has made progress in working to provide additional fire protection .
in the area, including progress on acquiring the property for fire station #3, furthering the
schematic design of the fire station, working to contract with a Construction Manager at
Risk, and procuring a fire apparatus, and entering into aid agreements for fire service, and
WHEREAS, in order to mitigate the identified conflicts between the City's
Comprehensive Land Use Plan and the Randolph JLUS and the current zoning in the
moratorium area additional time is needed to allow public input, Planning and Zoning
Commission input the moratorium needs to be extended, and
WHEREAS, staff estimates it will take approximately 1.20 additional days to make these
changes, and
WHEREAS, in light of the progress made on implementing the plan the area of the
moratorium can be reduced and building permits for single family residential homes can
be accepted,
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF SCHERTZ,
TEXAS THAT:
Section 1. 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 2. The City hereby extends the moratorium on both residential and
commercial property development due to a need to prevent a shortage of essential public
facilities generally in the area shown on Exhibit A for 120 days, except that permits for
the construction of single family homes on existing tracts of land may be accepted.
Section 3. All ordinances, 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 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.
PASSED, APPROVED AND ADOPTED on first and final reading the day of
December, 2016.
Michael R. Carpenter, Mayor
Brenda Dennis, City Secretary
(SEAL OF THE CITY)
(CITY SEAL)Exhibit A
10,1411:11r_l
Amended Moratorium Area
IOWEft SEGUIN
`,
tt; S
4 �tf
�}
Randolph
tti }itriit p}ttl Jttt {t5
{� {4 711} 7777 +T y577 tt£jk £ ££� {7 S4 }a
$
AF¢,.� @�
s+
tt f {tt3 fl�i {i{ i J t Iii i4 1 !
7£ £C t2i if t{}fF£} tjj 741 {i 4�1�}4s
'�."^"•"�...
t
t
�. }f 4}j� Fl$t4f %5t } t�` IS �} �£�f�j£�} }��i� }��i�� s �� £
74711 jtis ttt) ftt 7 {t2 4t�7 �'r��
4a4t 3s +Is'£t�r Ott {ts£�s'(`�3t{fsl�i�u {s�� �
� ttfl {££�ttlt�tr411� tar£ �s �
�'tt
7�i74£Itf 3S144.�;f �£$ }�1 }y'f } }}JIi�{£7SFtit {t4 t1 ��74� #!4451
tat {}i itsit £1t `f}££r,
3 �t;31
Elyr£ #tS #t Css {}£try {£(tt £ {££IsS�t<r£i f11 £j 41177
,177u 4£ t4 tt�t �# ti£ (ttiS F3 rf d Schertz
7C1
t.t i1l} � i�F1 tk� 3 }4 1t f1 ( \
'..�4t) 11'71 %`
££Ftt 1 kS 113743 l7k t {t t �,"
€7tt744fi4� ty4t747f�1)7
117174 7171£
i {�f�l$1 t3
j
44 Ittryl Cftft {f} 2} s
^'"'� � �'
r
7 ttt
{t }44'ik pt}�S t4 tt {7 tyt�t�1�74 117 \
77471 %44471 7777744 /� }Nft4£ §�fStttrs� }£ -�sr�
�tl � }���� } }41 ��3i13� 4 }44r4�i1�4f13t4�r`
t t�4�?�t 6 +1144�7�}}t£4t£773
4 {� 4t1t�7 t S11t1� � E }324U 1 £4 34 1 £
t ;tt7 it�f t {74 t 44 ;�
}�'f}iyll �i�1;£fs£f'r
ftf
at 4 �
4i; 374 734i1t #£`7 {f #i�t�t1
tJf {�£�} i�t4 lti43��ti3t lf�f'3}4j�5�
� it3 it f)
t} i i
}73! 7X744
17} 2}474; 4t {4 7 ;s
££444 {3tt {I {t }1F (yyt {tF ?£ttlf�Jt 1£771 {� } {f t.
"' —�„"^ { {£ttt�li {4} 434 S1t.
£� ?jt�t4�7 } {� }? s4i1ty� 41yt£stkiljtf77tl£7 {ktftt €�'y4l
t6M "�*�.,., y +4£7�7/i {I {144t44t14i 4i£� t3f St ;77.
t
f�
li tit£$£. £4�t7 {441 �ri #j t f 47 �
G, {} }tts�j £4i
{ f f41t1t133 3�44;f4 414r�k�i�£4'tttttf�U3�tru��,�
J31F�t(fli i�t�i r {£iSIS., xa,
R. { {71x73 %�£� }l7 rJ € +ijtrtft�rt�jl {'t 4!
£7f 5 # �4j�54f1� {tt7 tt3
t^A. }7471 .�trf37 {f 3rtii { {; ttk4itls„
{�
i4t�f43s4 47t3y z,
f }F # �4if tt74��t1 {41 4447
£ ia,t {7£�i,4t3
"� tt�st`t3ttlttt 7}�7}t31 � 1£44saJ {tls 7£r�ft tt{ ts4tlti��`r
+' 77477 �p y7ttf 4t i)£ti�t ( {t ft lr4 7££�£ 4 7£72 tt tf
1t31iE}3 �rf,�;�it�iit
� 1 :, distyti,' i�jiit3tiril�itt�1 ~`ttir'���t$js£s &�;����aa�`
ri7s2
U�tf �t�si�t
}t7i4£51tS4<J!: £it'`t�� {t£Tt {t£�kit }��tY�rif tits {it +iit +. ��i�£� �57� { }y i£litr
£ttt.t�itst�t£3t1l{74j ii!i }�£tSl 7477 (.1 43 }14 ?)7t tii�£�tt ;� {� {�s�# 1 ?ts�.. s4 �t
��,
,tt£t7�£r�i,`�E1 �4t��ri�f }4+rtflswi+
fS3 {t£,� {.:.t
it747{t7
: 1�£f1<tt i� tit?tf£)it�£{}l�.
74i4F 4'S. )'i4fltti 7t}tt}4�k 4£1£4743)} jJl 4.. 4iffi£}j 3�i4f -k tf tty 3t�j £, ,tl ktt 3237; 1,344fj t1S{ t }t
s3 'S. fi7t 74££331 {11b11f }1y }i #444t4�. sCt £ t3t�f)71t317t tilt }��� {it {� {1(3 t}1 r.t s {4 ; ;£ }17(51 {Jtl7ilt 3i717s it:'
{ 477£{17# 14itt {7y } }�tt4ii'd,t�2kl���}ii5 }�yS £1£)5 ifi {2} �J�Jy3 i,£ls�£j }.Y1k1 {j {t }l kY� {�7 }�.tS1t�£�£ i�I ('Sj�,.tttti$£�£ }t�t��bt
a, &ll {il.7�f3f174t�r4�il� {�t l t,..; 514 �t � }Jl tf is x {tl {t
<ai£t?i{tirti fstiJtr��biF£ {�t���i�
14i�.j{, y44 }(7144£ ,£7.r'd£nif {..
sit }ii,.{fr£1t142}1�4 <3jt�}::�a1N
4 �it�if?4$t7i�. }p)�.0
„t�3i {$� }£t£1 Ott 177E tf It�}t }tb ££r {� tT4i ,j3tf$F {Z}2S r2 } 44tUik . at "jt3E}fIt?t ft i�lj�td, tYSS�.j�,v
t }is3Yrf£�!ttr�ri 4i' }ittt£tS ��1 tr!#r }F�tlffj£7 t4Et{ft £� {j {44th l��i��f�trt tiit�f�� tilt 3£titJ t�rn7 ��t� t,r ft4 7771 ts3$r {,cs ,�
{ {x(33 {i7 yls.(tti t(4 (4 fi 3�.3 �! £114 /ilf� }711s4tt1 i r? 1st 3 }3 /117{1 } #31 if }st t11734�.ist447 }317!47 {fi 77,7£3 `v S } }tbt1411,£7 #111 34tiraL4. ��
4'4£7 t`:,4z7�s�tlji 4 }ltrrrls 13�,71,3r,414t13 + {£f {<113 �ttl£2 §t �1£�,�i #4 ft }.k42t�S £�.iz � }�zts {£�47ti� ttt t�� }£fit { }�f`tt ltd, �,tt ,, {1 {itk�{ t� `"�'
}7 4rft3s41 73:E)r1 #i�t�tkk�'4' €�£� }FStt S)4)}i {(1t?).; i`#tt£ft4jt}4}tU£t { { {}fJ£ {7744 }2..fy1�7 §tt�tl�t {tt {tti4 t }7 t4 if {t. ts£rtil}1 {f {t,�,�.?�?
,1 +tt�t717z5�.fr11�4417f44ti j13ti7S1 yt77{11Jr31t�ty�4i£17 Ftt�rt�4143 #£1�tt }?lal its li'� fh,zf£££st' �t�1s `t tll tt tlt }itil {Y��ttt4 }3 tt'S�iF it £,<£4!�f � °''`.,
��i1t4j44t7ft 3�issljl�£) 1731 }3i�37 #j£ ;t43k ft s +r j1} #t 3i-4r t 1£t ty �f4i} i ti ltttt£t1i>7 }fi)ts )sii #i# tl £4rt��3 /777744 }t �a£,,� �,
3ti}} 1f}ll 1i7}i1i � `.t }11,417} $tt i t }�4fij13ksi7 1t} 71 t }: � `t {t {Ft£�f74 its' FyI }t 1 }1 �Y � i tftiTt i., }f 41t4�1� �Jt�£j1�4 t & t 1/73£441£11}£ 4��51 t }3 :�£� 3ii$£Ft t ;�afl
^+��y'*,,,
�f #S 41
�tS ;i�`�f ;�tj {�4�j5 #F }�]4 {t�F�£sl j��54it t£yt�t£?�tt?js t1�� }3�� t Y1E ;}}41 {tt�i�E { {t4t {�ti42Si�ifl3 �S3S 1st {£ }i1k4 t4F } }t4�£Fji41}�} t ; }4fi4�,�6Sft4ttlj,,n:a ;�a�*'�;✓,�x
t4 (i�i(IjFy( }4j 2j {f IY Iin1 %} 7£474 j$£74f }t (1} 154 }tL�UB- ✓�a
%1)tr 47}77 44� i� 1t�S4�{ 1414
`w
a7 i }�'��r Ij7 {` t {iilt �4Jlittttri
F {r {I {i {447 {t 744744) {lt� {Ff l31µ{
tfS1Pr ytif ltlt�# ttt)} ty ; }l}t4{i�Jt ;�54fi�4�53�4tt�1 #i4 i1� }k£ 4£� #�S fKfF��4itY;tt4 {4;�1 tt4fi 4 {�) }t } }4£t 11)'.Et$f lt�4�1 {���� }iS {U�t a,..�ua"n`a�^�
i445trflt ' ;ti�fl4 {`71C}�4�t }4s €t }ill }�}StP }4ty $tx t$s rkttS�L:t�i�4 jtt441 417 {�tilii�t {ttt }}tfi {ttt }/17741£ ;�}1 }I74±t4rFlr5{ a"`°r�
+FSt����,t
.tyt',4:
7£�4J {1�7`
Moratorium Area
31:.441 {4
� 3441'13371�r1t4 t, 4, j 77��1174f1314373I1f31�1f,1SS44k £144£ = ;1 �5{ �i£1 4t�tfttt���ttttt ;t�ttt „��,�$ �
11 tt#3 i { 4Ff4tt 174`}7511 li }FSt t�4sIfF71t�7ttjt�41 3£44377 {tlt�t4)i }$i���24 }41} /57 /47 }it�� #�ti{ t�S(ztt}ft}�£`y$Qf�t��
}i (ORD16—S-31)
t��:,
,�.E
�!£ 4r � St � �4 { t`•tt 447{ 77 Sttt� 31� 14 £ 1i #t4{ 3
Revised Moratorium Area
m�
1Ck 1s� 14771
r�5�1�F 37iJ�17�$��`a�n
l
amx'
Y
54 �
N
ll
W E
f
/
0 % %
1 1% 2 2%
S}4
Miles
RESOLUTION NO. 15 -R -96
A RESOLUTION BY THE CITY COUNCIL OF THE CITY OF
SCHERTZ, TEXAS ADOPTING THE RANDOLPH JOINT LAND USE
STUDY (JLUS); AND OTHER MATTERS IN CONNECTION
THEREWITH
WHEREAS, the City of Schertz (the "City ") participated in the development of the
Randolph JLUS through its membership on the Executive Committee and Advisory Committee:
and
WHEREAS, Joint Base San Antonio — Randolph is key in protecting our Nation's
security and is an important economic engine contributing to the local and regional economies
through annual payroll, annual expenditures, and value of jobs created; and
WHEREAS, compatibility issues associated with the growing population and expansion
of developed land within the City of Schertz and it's Extraterritorial Jurisdiction and the existing
and potential future missions of Joint Base San Antonio Randolph are likely to increase; and
WHEREAS, the goal of the Randolph JLUS is to protect the viability of current and
future military training operations, while simultaneously guiding community growth, sustaining
the environmental and economic health of the region, and protecting public health, safety, and
welfare; and
WHEREAS the City of Schertz played a critical role in the development of the Randolph
JLUS and the City's input provided technical guidance relevant to the City's policies,
regulations, culture and values; and
WHEREAS the general public was instrumental in the development of the Randolph
JLUS and strategies by providing their perspective and feedback; and
WHEREAS the Randolph JLUS strategies incorporate a variety of actions that can be
implemented to promote compatible land use and resource planning; and
WHEREAS one important element of implementation of the strategies is establishment
of the Randolph JLUS Implementation Task Force to work together to establish procedures,
recommend or refine specific action for member agencies, and make adjustments to strategies
over time to ensure the Randolph JLUS continues to resolve key compatibility issues through
realistic strategies and implementation; and
WHEREAS adoption of the strategies may require public input and engagement, input
from City boards and commissions, and further action by City Council through the adoption of
ordinances; and
WHEREAS a key first step in prioritizing the strategies for evaluation as to how to
appropriately implement the strategies is the adoption of the plan by the City of Schertz City
Council.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF SCHERTZ, TEXAS:
Section 1. The City Council adopts the JBSA - Randolph Joint Land Use Study as set
forth in Exhibit A and directs City Staff to develop processes to evaluate and implement the
strategies applicable to the City of Schertz as appropriate.
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.
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 17th day of November, 2015.
ATTEST:
t -
Brenda Dennis, City Secretary
(CITY SEAL)
CITY OF SCH _ T , TEXAS
Mayor Michael R. Carpenter
2
EXHIBIT A
JBSA- Randolph Joint Land Use Study
ON
AN ORDINANCE BY THE CITY COUNCIL OF THE CI'T'Y OF SCHERTZ,
TEXAS IMPOSING A MORATORIUM ON BOTH RESIDENTIAL AND
COMMERICAL PROPERTY DEVELOPMENT DUE TO A NEED TO PREVENT
A SHORTAGE OF ESSENTIAL PUBLIC FACILITIES GENERALLY IN THE
AREA FROM IH -10 TO APPROXIMATELY 2,000 FEET NORTH OF LOWER
SEGUIN ROAD BETWEEN FM 1518 AND THE WESTERN BOUNDARY OF
THE CITY LIMITS PROVIDING A REVERSIONARY CLAUSE; PROVIDING A
REPEALING CLAUSE; PROVIDING A SEVERABILITY CLAUSE;
PROVIDING A PENALTY CLAUSE; AND PROVIDING AN EFFECTIVE DATE.
WHEREAS, The City of Schertz adopted the 2015 Joint Base San Antonio Randolph
(JBSA Randolph) Joint Land Use Study (JLUS) by Resolution 15 -R -96, and
WHEREAS, The JBSA Randolph JLUS outlines specific hazards to the areas around the
base, particularly near the Clear Zones and Accident Potential Zones which are further
exacerbated due to high bird strike hazards, type of aircraft and volume of operations, and
WHEREAS, The 2015 JBSA Randolph JLUS identifies particular incompatibility issues
due to conflicts with certain land uses and identifies incompatible land uses that were
previously considered compatible, and
WHEREAS, The hazards to the areas within Schertz posed by JBSA Randolph flight
operations are unique to the areas around JBSA Randolph and require specialized training
and equipment, and
WHEREAS, The area in question is experiencing tremendous growth and development
pressure and that development in the area is creating significant needs for fire facilities,
and
WHEREAS, The existing development regulations and ordinances are inadequate to
prevent and overcapacity of municipal infrastructure and being detrimental to the health,
safety and welfare in this area as is demonstrated by current response times and the
number of permits issued around and in this area, and
WHEREAS, Only by imposing a moratorium in this area can the City implement
working plan for designing a new fire station and outlining needed equipment to deal
with the hazard posed by flight operations in conjunction with implementing the
strategies of the 2015 JBSA Randolph JLUS to reduce hazards, and
WHEREAS, Section 212 Subchapter E of the Texas Local Government Code allows the
impositions of a moratorium on property development on both residential and
commercial property, and
WHEREAS, the City Council has found per Exhibit A that evidence exists
demonstrating that applying existing development ordinances or regulations and other
applicable laws are inadequate to prevent the new development from causing the
overcapacity of municipal infrastructure and being detrimental to the public health,
safety, and welfare in this area, and
WHEREAS, the City Council found evidence demonstrating that alternative methods of
achieving the objectives of the moratorium are unsatisfactory, and
WHEREAS, the City Council has found evidence of a working plan and time schedule
to achieve the objectives of the moratorium, and
WHEREAS, All required notices have been provided, and
WHEREAS, on August 23, 2016, the City Council held a first public hearing and
considered this ordinance for which notice was published, and
WHEREAS, on August 24, 2016, the Planning and Zoning Commission held a public
hearing to consider this ordinance imposing a moratorium, and
WHEREAS, on August 30, 2016, the City Council conducted a public hearing and
determined that this request is in the interest of the public safety, health, and welfare;
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITYOF SCHERTZ,
TEXAS THAT:
Section 1. 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 2. The City hereby adopts a moratorium on both residential and commercial
property development due to a need to prevent a shortage of essential public facilities
generally in the area from IH -10 to approximately 2,000 feet north of Lower Seguin Road
between FM 1518 and the western boundary of the City Limits for 120 days.
Section 3. All ordinances, 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 4. This Ordinance shall be construed and enforced in accordance with t
Lqws of
Section 5. If any provision of this Ordinance • 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 Ordinan ce is adopted was open to the public and public notice of the time, place, and
subject matter
• the public business to be considered at such meeting, including this
Ordinance, was given, all as required by Chapter 551, as amended, Texas Gov-
• e.
Approved on first reading the 23 d day of August, 2016.
Exhibit A
Justification of a Moratorium on Both Residential and Commercial Development due to a
Significant Need for Public Facilities
Written Findings
Justification for Moratorium: Significant Need for Public Facilities- Fire
Written Findings
The significant need for fire facilities in southwestern Schertz, coupled with increased
development in the area, in light of the flight mission from Joint Base San Antonio -
Randolph (JBSA- Randolph) would be detrimental to the health, safety, and welfare of
the residents of Schertz.
1. Evidence demonstrating that applying existing development ordinances or
regulations and other applicable laws is inadequate to prevent the new
development from causing the overcapacity of municipal infrastructure or being
detrimental to the public health, safety, and welfare of the affected geographical
area,*
2. Evidence demonstrating that alternative methods of achieving the objectives of
the moratorium are unsatisfactory; and
3. Evidence demonstrating that the municipality has approved a working plan and
time schedule for achieving the objectives of the moratorium.
The City Council created a bond committee to prioritize future bond needs. The highest
priority at this point is a future public safety facility that would serve to provide fire
protection to this area. The bond election was held November 20 15 and citizens approved
funding for a new public safety facility in southern Schertz.
next 4 months to analyze the recently approved JBSA- Randolph Joint Land Use Study
(JLUS) to determine any changes to land uses and development regulations to reduce the
risk to individuals and property in the area in light of the increased hazards associated
with the fight training mission at Randolph that are outlined in the JLUS. Staff will also
consider this in developing the plans for the new fire station, including its design and
equipment as well as training of staff.
Agenda No. 7
CITY COUNCIL MEMORANDUM
City Council Meeting: December 20, 2016
Department: Development Services
Subject: ORDINANCE 16 -T -44
Ordinance Authorizing a Budget
Adjustment to Fund the City's
Contribution to Sewer Improvements
Being Constructed by the Developer
of the Homestead Development,
repealing all Ordinances or parts of
Ordinances in conflict with this
Ordinance, declaring an emergency
and providing an effective date
(First and Final Reading)
BACKGROUND
The developer of the Homestead project on IH -35 and Schwab Road is in the process of
constructing the first phases of the Homestead development. As part of that they are
constructing a sewer lift station and force main improvements. Rather than have them size
the improvements to only serve their development, they agreed to size the improvements to
serve other properties outside of the boundaries of the Homestead development that do not
currently have sewer service. Given the limited space available for sewer lines, it benefits the
City to not have each development run parallel lines. This also reduces the City's costs
associated with operating multiple smaller lift stations. The cost to the City for this increased
capacity is $326,180.52. The improvements will be constructed in two phases. The next item
on the agenda is the associated agreement with the developer.
GOAL
Provide for essential services in a fiscally sustainable manner.
COMMUNITY BENEFIT
As this areas of northern Schertz grows other properties around the Homestead
development will require sewer services. Partnering with a private developer in
anticipation of future needs is a proactive way to respond to growth and development
pressures.
Approval of the ordinance will provide funds for the City to enter into the
Subdivision Improvement Agreement with the developer of Homestead that obligates
the City to participate in the cost of the sewer improvements up to $326,180.52.
FISCAL IMPACT
The budget adjustment will be to authorize $326,180.52 to be spent from the Sewer
Fund Balance.
RECOMMENDATION
Approval of Ordinance 1.6 -T -44 first and final reading and declaring an emergency.
ATTACHMENT(S)
Ordinance 1.6 -T -44
ORDINANCE NO. 16 -T -44
AN ORDINANCE BY THE CITY COUNCIL OF THE CITY OF
SCHERTZ, TEXAS AUTHORIZING A BUDGET ADJUSTMENT TO
FUND THE CITY'S PORTION OF SEWER IMPROVEMENTS IN
CONDUCTION WITH THE DEVELOPMENT OF THE HOMESTEAD
SUBDIVISION; REPEALING ALL ORDINANCES OR PARTS OF
ORDINANCES IN CONFLICT WITH THIS ORDINANCE; DECLARING
AN EMERGENCY AND PROVIDING AN EFFECTIVE DATE
WHEREAS, pursuant to Ordinance 1.6 -T -29, the City of Schertz (the "City ") adopted the
budget for the City for the fiscal year 2016 -2017 (the "Budge ), which provides funding for the
City's operations throughout the 2016 -201.7 fiscal year; and
WHEREAS, the City needs to increase the Budget to authorize expenditures of
$326,180.52 for the funding of the City's portion of sewer improvements associated with the
Homestead Development; and
WHEREAS, the City needs to authorize use of the Sewer Fund Balance in the amount of
$326,180.52 to fund the project; and
WHEREAS, City staff recommends that the City Council of the City adjust the Budget
and approve the additional expense for the project; and
WHEREAS, the City Council of the City has determined that it is in the best interest of
the City to adjust the Budget and approve the budget adjustment for the Sewer Fund to
participate in sewer infrastructure being constructed by the developer of the Homestead project
that serves properties outside of the Homestead development, 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 by $326,180.52 for the construction of sewer
improvements by the developer of the Homestead Project.
Section 2. The City shall recognize the use of $326,180.52 of the Sewer Fund Balance
to fund this project.
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.
PASSED, APPROVED and ADOPTED ON FIRST AND FINAL READING, the 20th day of
December, 2016.
CITY OF SCHERTZ, TEXAS
Michael R. Carpenter, Mayor
ATTEST:
Brenda Dennis, City Secretary
(CITY SEAL)
50558021.1 - 2 -
CITY COUNCIL MEMORANDUM
City Council Meeting: December 20, 2016
Department:
Development Services
01=
Subject: Resolution No. 16 -R -96 — Resolution Authorizing
Agreements with the Developer for Construction of
Public Improvements associated with the
Homestead Subdivision Project and Parkland
Dedication
BACKGROUND
The developer of the Homestead residential project, located generally at IH 35 and Schwab
Road, is the in the process of constructing the first phases of the project. As part of the
development of the project, the developer is making sewer improvements including constructing
a sewer lift station and extending offsite sewer lines. The proposed lift station and lines provide
capacity for other properties which is a benefit to these properties that are outside of the
Homestead project and to the City. As such the City is seeking to participate in the construction
of these improvements by providing additional funding so that capacity is available to serve
other properties.
In order to have the construction done in the most efficient and cost effective manner, ILF N -T
Owner, LP, the developer of the Homestead project, has agreed to size the improvements to
serve other properties and have the City provide reimbursement of the costs. The agreement also
allows the developer to file the plats for Homestead prior to certain landscaping improvements
and the sewer improvements being accepted, on the condition they provide surety to ensure
funds are available to pay for the improvements. It also requires the developer to pay for any
costs associated with pump and haul until the sewer improvements are made. The other
agreement outlines the requirements and timing of park improvements.
Goal
Approval of Resolution 16 -R -96 authorizing agreements with developer for construction of
public improvements and park improvements.
Community Benefit
Participating with the developer of the Homestead subdivision will promote the orderly growth
of development in northern Schertz.
Summary of Recommended Action
Staff recommends Council approve the resolution authorizing the City to enter into the
Agreements with ILF N -T Owner, LP for Construction of Public Improvements and Parkland.
FISCAL IMPACT
The cost for construction of the various sewer improvements which will be made in two phases
to be reimbursed to the Developer is $326,180.52 and will be paid for from the Sewer Fund.
City Council Memorandum
Page 2
Staff recommends approval of Resolution 1.6 -R -96.
ATTACHMENTS
Resolution 16 -R -96
Subdivision Improvement Agreement
Parkland Improvement Agreement
RESOLUTION NO. 16 -R -96
A RESOLUTION BY THE CITY COUNCIL OF THE CITY OF
SCHERTZ, TEXAS AUTHORIZING AN AGREEMENT WITH THE
DEVELOPER OF THE HOMESTEAD SUBDIVISION PROJECT FOR
CONSTRUCTION OF PUBLIC IMPROVEMENTS AND PARKLAND
IMPROVEMENTS.
WHEREAS, there is a lack of sewer service to serve an area of northern Schertz near the
intersection of IH -35 and Schwab road.
WHEREAS, the sewer improvements and force main are needed to provide sewer service
to these areas and there is limited space to provide this public infrastructure.
WHEREAS, the Developer of the Homestead Subdivision agrees to construct sewer
infrastructure of which the capacity is more than is required by the Homestead property,
WHEREAS, there is a benefit to oversizing sewer infrastructure to serve other properties,
WHEREAS, the City Council finds that it is in the best interest of the City to enter into
the Agreement with Developer for Construction of Public Improvement in order to provide the
infrastructure to serve other properties outside the boundary of the proposed Homestead
Subdivision plat.
WHEREAS the Unified Development Code of the City of Schertz provides for
developers to enter into agreements to defer the construction of required improvements until
after the plat is filed.
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS
THAT:
Section 1. The City Council hereby authorizes the City Manager to execute the
agreement with Developer for Construction of Public Improvement with ILF N -T Owner, LP for
infrastructure that will serve properties outside of the Homestead Subdivision and to defer
construction of public improvements as well as the parkland improvement agreement, generally
in the form attached, subject to changes approved by the City Manager and City Attorney.
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.
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 20th day of December 2016.
ATTEST:
City Secretary, Brenda Dennis
(CITY SEAL)
CITY OF SCHERTZ, TEXAS
Mayor, Michael R. Carpenter
-2-
After Recording, Please Return To:
Denton Navarro Rocha Bernal Hyde & Zech, P.C.
2517 N. Main Avenue
San Antonio, Texas 78212
Attention: Charles Zech
STATE OF TEXAS §
§ KNOW ALL PERSONS BY THESE PRESENTS:
COUNTY OF COMAL §
SUBDIVISION IMPROVEMENT AGREEMENT
This SUBDIVISION IMPROVEMENT AGREEMENT (the "Agreement ") is by and
between ILF N -T Owner, LP, a Delaware limited partnership (the "Owner "), and the
CITY OF SCHERTZ, a Texas municipal corporation (the "01y"), and is effective upon the
execution of this Agreement by the Owner and the City (the "Effective Date ").
WHEREAS, the Owner is the owner of that certain real property located in the City of
Schertz, Comal and Guadalupe Counties, Texas, more specifically described on Exhibit "A ",
attached hereto and made a part hereof for all purposes (the "Property ");
WHEREAS, the Owner seeks to develop the Property (the "Subdivision ") that requires the
construction of certain public improvements;
WHEREAS, the City desires that the public improvements be constructed at a future time,
to be determined, but after the recording of the final plat for the Property; and
WHEREAS, pursuant to Section 21.4.15(E.)(2.) of the City's Unified Development Code
the obligation to construct the public improvements that serve the Subdivision may be deferred if a
subdivision improvement agreement is executed and if sufficient surety is provided to secure the
obligation to construct the public improvements; and
WHEREAS, during the development planning stage for the Property, the Developer
submitted to the City a request that the City participate in the completion of the
Improvements, which will benefit portions of the City beyond the Homestead Subdivision; and
WHEREAS, the City has no immediate plans to construct the required Improvements,
but is willing to share in the cost of the construction of such facilities, and has funds
appropriated and available to do so; and
WHEREAS, Developer has requested that it be allowed to construct the required
Improvements to serve the Property, and share the costs with the City; and
WHEREAS, Section 212.071, et. seq. of the Texas Local Government Code authorizes
municipalities to enter into a contract with a developer of a subdivision or land in the
municipality to construct public improvements related to the development without complying
with the competitive sealed bidding procedures of Chapter 252 of the Texas Local Government
Code;
NOW THEREFORE, in consideration of the agreements set forth herein and for other good
and valuable consideration, the receipt and sufficiency of which are hereby stipulated, the Owner
and the City agree as follows:
1. Definitions: The following terms and phrases used in this Agreement shall have the meanings
ascribed hereto:
a) "Agreement" means this agreement, including any amendments hereto, between
the City and Developer.
b) "Contractor" shall mean the person, firm, corporation, partnership, association, or
other entity awarded the contact by Developer for the construction and installation
of the Improvements.
c) "Improvements" shall mean the improvements described on Exhibit `B"
d) "City's Participation Costs" shall mean costs associated with the construction of
the Improvements, as designated on Exhibit `B" as City of Schertz responsibility
for the Sewer Lift Station and 12" Force Main and Phase II Offsite Sewer
Extension.
2. Ownership of the Property. The Owner hereby represents and warrants that, as of the Effective
Date, it has not conveyed, assigned, or transferred all or any portion of its interest in the Property to
any other person or entity (any such person or entity referred to herein as "Purchaser "), nor is it a
party to any contract or other understanding to do so that is not subject to this Agreement.
3. Construction of Improvements; Covenants. The Owner covenants and agrees to the following:
a) The Owner is obligated by Section 21.14.6 of the City's Unified Development Code
to construct, or cause to be constructed, sewer service as more particularly shown on
Exhibit "B" attached hereto and made a part hereof for all purposes (the
"Improvements").
b) The Improvements shall be built and completed in accordance with City design
standards within one year (1 year) after the Plat Filing Date.
c) Before the date on which the Final Plat of the Subdivision is filed of record, the
Owner shall deliver to the City a fully- executed contract to build and complete the
Improvements (the "Contract ") assigned on behalf of the Owner to the City for
enforcement by the City if the Owner does not build and complete the
Improvements. The price set forth in the Contract (the "Contract Price ") shall be
effective for at least the term of the Surety.
d) Before the date on which the Final Plat of the Subdivision is filed of record, the
Owner shall provide surety to the City in the form attached hereto as Exhibit C (the
"Sure in the amount of one hundred twenty -five percent (125 %) of the Contract
Price less the City Participation, with such total amount of the required surety being
Nine - Hundred - Twenty- Nine - Thousand - Four - Hundred - Seventeen Dollars and
Thirty -Two Cents ($929,417.32).
e) If the Owner fails to construct the Improvements in accordance with this
Agreement, the City may utilize the Surety to construct, or complete the
construction of, the Improvements in accordance with the Contract.
f) The Owner shall warranty the Improvements for a period of one (1) year following
the date that the City accepts the Improvements and shall provide a maintenance
bond or other security of a type and in a form acceptable to the City in the City's
sole discretion, in the amount of twenty percent (20 %) of the costs of the
Improvements throughout such one (1) year period following acceptance by the City
of the Improvements.
g) The owner, with approval from the City Engineer may provide a performance bond
for improvements associated with reestablishing vegetation in accordance with
Landscaping and Stabilization Requirements of Article 13 of the Schertz Unified
Development Code in an amount equal 125% of the estimated cost.
h) The owner, with approval from the Senior Planner may provide a performance bond
for improvements associated with landscaping and irrigation as required by the
Planned Development District 14 -5 -29 and the Unified Development Code in an
amount equal 125% of the estimated cost.
i) The owner shall be required to provide pump and haul sewer services at the owner's
expense until such time as the required sewer services have been accepted by the
City.
4. Obligations and Payments.
a) City Obligations. The City agrees to pay to Developer City's Participation Costs
which shall equate to the actual costs for the City's responsibility for the Sewer
Lift Station and 12" Force Main and Phase II Offsite Sewer Extension.
Notwithstanding any provision of this Agreement to contrary, City's Obligation
shall only for the reimbursement of costs incurred by Developer and shall not
in any event exceed Two- Hundred - Thousand - Five - Hundred-
Twenty -Five Dollars and Twenty -Two Cents ($200,525.22)for
the Sewer Lift Station and 12" Force main and One- Hundred-
Twenty- Five - Thousand - Six - Hundred -Fifty -Five Dollars and Thirty Cents
($125,655.30) (hereinafter the "City's Share ").
b) Payment Procedures. Developer shall submit and the City Engineer shall review
documentation, as may be reasonably required by City Engineer, showing final,
actual construction costs paid by the Developer.
Upon the City Engineer's review and approval of the documents, she shall
conduct a final inspection on the Improvements, noting any required
corrections or repairs, and make a recommendation to City Council on acceptance
of the Improvements. Within 30 days after action by City Council accepting the
Improvements, the City will pay to Developer the City's Share. Any
additional costs above Twenty- Five - Thousand - Eighty -Two Dollars and Fifty
Cents ($200,525.22 and ($125,655.30) must be approved by the City prior to
being incurred.
5. Approval of Agreement. The City has approved the execution and delivery of this
Agreement pursuant to Section 21.4.15(E.)(2.) of the City's Unified Development Code, and the
Owner represents and warrants that it has taken all necessary action to authorize its execution
and delivery of this Agreement.
6. Governmental Immunity. The City does not waive or relinquish any immunity or defense on
behalf of itself, its officers, employees, Councilmembers, and agents as a result of the execution
of this Agreement and the performance of the covenants and actions contained herein.
7. Binding Effect. ffect. This Agreement shall be binding upon and inure to the benefit of the parties
hereto and their respective heirs, executors, representatives, successors, and assigns, and the
terms hereof shall run with the Property. The benefits bestowed upon the Owner of this
Agreement shall attach to and run with the Property, and shall be appurtenant to the Property
upon recording of this Agreement.
8. Counterparts. This Agreement may be executed in any number of counterparts with the same
effect as if all signatory parties had signed the same document. All counterparts shall be
construed together and shall constitute one and the same Agreement.
9. Inte rag tion. This Agreement is the complete agreement between the parties as to the subject
matter hereof and cannot be varied except by the written agreement of the Owner and the City.
The Owner and the City each agrees that there are no oral agreements, understandings,
representations or warranties which are not expressly set forth herein.
10. Notices. Any notice or communication required or permitted hereunder shall be deemed to
be delivered three (3) days after such notice is deposited in the United States mail, postage fully
prepaid, registered or certified mail return receipt requested, and addressed to the intended
recipient at the address shown herein. Any address for notice may be changed by written notice
delivered as provided herein. All notices hereunder shall be in writing and served as follows:
50667820.4
If to the Owner:
ILF N -T Owner, LP
Mr. Jesse Baker, Authorized Signatory
500 Boylston Street, Suite 2010
Boston, MA 02116
Telephone: 617 -221 -8400
With copy to:
If to the City:
CITY OF SCHERTZ
1400 Schertz Parkway
Schertz, Texas 78154
Attention: City Manager
With copy to:
Denton Navarro Rocha Bernal Hyde & Zech, P.C.
2517 N. Main Avenue
San Antonio, Texas 78212
Attention: Charles Zech
11. Legal Construction. If any provision in this Agreement is for any reason unenforceable, to
the extent the unenforceability does not destroy the basis of the bargain among the parties, such
unenforceability will not affect any other provision hereof, and this Agreement will be construed
as if the unenforceable provision had never been a part of this Agreement. Whenever the context
requires, the singular will include the plural and neuter include the masculine or feminine gender,
and vice versa. Article and section headings in this Agreement are for reference only and are not
intended to restrict or define the text of any section. This Agreement will not be construed more
or less favorably between the parties by reason of authorship or origin of language.
12. Recitals; Exhibits. Any recitals in this Agreement are represented by the parties hereto to be
accurate, constitute a part of the parties' substantive agreement, and are fully incorporated herein
as matters of contract and not mere recitals. Further, any exhibits to this Agreement are
incorporated herein as matters of contract and not mere exhibits.
13. No Joint Venture. It is acknowledged and agreed by the parties that the terms hereof are not
intended to, and shall not be deemed to, create a partnership or joint venture among the parties.
14. Choice of Law. This Agreement will be construed under the laws of the State of Texas
without regard to choice -of -law rules of any jurisdiction. Venue shall be in the State District
Courts of Guadalupe County, Texas with respect to any lawsuit arising out of or construing the
terms and provisions of this Agreement. No provision of this Agreement shall constitute a
consent by suit by any party.
2 50667820.4
15. Agreement Limited to Unit IA, Unit 113, Unit 2 and Unit 3A. This Agreement is limited to
and solely with respect for Unit 4 of the Property. Further, this Agreement shall not be effective
until the City receives the Surety as per Exhibit "C ".
[ Signatures and acknowledgments on the following pages ]
50667820.4
Signature Page to
Subdivision Improvement Agreement
This Subdivision Improvement Agreement has been executed by the parties as of the
dates of the Acknowledgments to be effective as of the Effective Date.
Owner:
XXX
By:
Name:
Title:
Date:
THE STATE OF TEXAS §
COUNTY OF §
This instrument was acknowledged before me on the
Owner
(SEAL)
in
day of , 2016 by XXX, the
Notary Public in and for
The State of Texas
My Commission Expires:
50667820.4
50667820.4
Signature Page to
Subdivision Improvement Agreement
This Subdivision Improvement Agreement has been executed by the parties as of the
dates of the Acknowledgments to be effective as of the Effective Date.
City
CITY OF SCHERTZ,
a Texas municipal corporation
By:
Name
Date:
THE STATE OF TEXAS §
COUNTY OF GUADALUPE §
John C. Kessel, its City Manager
This instrument was acknowledged before me on the day of , 2016 by John C.
Kessel, City Manager of the City of Schertz, Texas, a Texas municipal corporation, on behalf of
said City.
(SEAL)
Notary Public in and for
The State of Texas
My Commission Expires:
6 50667820.4
EXHIBIT "A"
The Property
[See attached]
Exhibit "A ", Page 1 50667820.4
KFW
FIELD NOTES
FOR
A 312.03 ACRE TRACT
,A, 312.03 acre tract out of the J.F. Zepeda Survey No. 257, Abstract 6$5, J.F. Zepeda Survey
No, 257, .A.bstract471, C.M. Gahagan Survey No. 258, Abstract 182; C.M. Gahagan Survey Na:
258, Abstract 142, P. San Miguel Survey No, 256, Abstract 227, State Abstract Tate2 and
being out of a 522.18 acre tract conveyed to ILF N -T Owner, LP of record in Document
Number 201406044206 of the Official Public Records of Coma) County, Texas. Said 312.03
acre tract having 8:33 acres, situated in Corral County, Texas and 303;70 acres, situated in
Guadalupe County, Texas and being more particularly described by metes and bounds as follows;
Commencing at a set Yz" iron rod with a blue plastic cap stamped. "KFW Surveying ", in the
southeast right -of- -way line of Interstate Highway 35, a variable width right- of- �nray, in the northeast
line of Lot 27, Block 17; a variable width Sanitary Sewer Easement of The Fairways at Scenic - Hills,
Unit 3$, a subdivision plat of record in Volume 7, Page 203 of the Map and Plat Records of Coma!
County, Texas, for the northwest corner of ,a 68.274 acre tract conveyed to MFP Realty, LP of
record in Document Number 201406044146 of the Official Public Records of Corral
County, Texas, from which a found Texas Department of Transportation Monument Type 2 bears,
N 29134' 33" W, a distance of 4.79 feet,
THENCE: Along and with the southeast right -of -way line of Interstate Highway 35, the northwest
lines of the 68,274 acre tract, the following.calls and distances:
1. N -520 20' 03" E, a distance of 41.17 feet to a set '/?" iron rod with a blue plastic cap stamped
"KFW Surveying' at an angle point of the tract described herein,
2. N 59° 40' 24" E, a distance. of .34.71 feet to a found Texas Department of Transportation
Monument Type 1 at an angle point of the tract described herein,
3. N 130 21' 30" E, .a. distance of 16,40 feet to a found Texas Department of Transportation
Monument Type 2 at-an angle point of the tract described herein;
4. N 51" 32' 23" E, a distance of 274.08 feet to. a found Texas Aepartment of Transportation
Monument Type 2 at an angle point of the tract described herein,
5. N 541 38' 39" E; a distance of 49:37 feet to a found Texas Department of Transportation
Monument Type 2 at an angle point of the tract described herein,
d. N 541 57' 53" E, a distance of 50.19 feet to a found Texas Department of Transportation
Monument Type 2 at an angle point of the tract described herein,
7: N 54° 39' 30" E, a distance of 352.47 feet a found Texas Department of Transportation
1Vionu .merit Type 2 at an angle point of the tract described herein; and
8. N 59° 21' 41" E, a distance of 171.71 feet to a set z %z" iron rod with a blue plastic cap
stamped "KFW Surveying", for the POINT OF BEGINNING and the northwest corner of the
tract described herein;
THENCE: N 59021'41" E continuing along and with the southeast right-of way line of Interstate
Highway 35, the northwest lines of the 522.18 Acre tract, a distance of 947.70 feet to a set Y2" iron
rod with a blue plastic cap stamped "KFW Surveying for the northwest corner of a 9.6090 acre
tract conveyed to MFP Realty, LP of record in Document Number 201406044146 of the
Official Public Records of Comal County, Texas and the northeast corner of the 522.18 are tract
and the tract described herein from which a found Texas Department of Transportation Monument
Type 2 bears N 59° 21'41" E, a distance of 1012.13 feet,
THENCE, Departing the southeast right-of-way line of interstate Highway 35 and along and with
the northwest and west Iines of the 9.6090 acre tract and a 43.524 acre tract conveyed to MFP
Realty, LP of record in Document Number 201406044146 of the Official. Public Records of
Comal County, Texas and the southeast and east lines of the 522.18 acre tract, the following
eleven (11) courses:
1. S 30° 38'10" E, a distance of 20.00 feet to a set 'VV' iron rod with a blue plastic cap stamped
KFW Surveying' in a curve to the left, for a.corner of the tract described herein,
2. with a non - tangent curve to the left, having an are of 33.09 feet a radius of 40=00 feet, a
delta of 47 °24'13" and a chord bears S 35 °89'34 "W, a distance of 32.16 feet to a set 1/2"
iron rod with a blue plastic cap stamped "KFW Surveying ", for a point of Tangency,
3. S 110 57' 28" W, a distance of 62.81 feet to a set 1/2" iron rod with a blue plastic cap
stamped "I.FW Surveying ", for a point of reverse curve,
4. with. a curve to the left, having an arc of 376.27 feet, a radius of 380.00 feet,, a delta of
56 044'01" and a chord bears S 16 124'33 "E; a distance of 361.09 feet to a set 1/2" iron rod
with a blue, plastic cap stamped "KFW Surveying', fora point of tangency,
5; with a curve to the .right; having an arc of 621.52 feet, a radius of 1450.00 feet, a delta of
24 033'32" and a chord bears S 32 °29'47 "E, a distance of 610.77 feet to a set 112" iron rod
with a blue plastic cap stamped "KFW Surveying'; fora point of reverse curve,
6. with a curve to the left; having an arc of $.84 feet, a radius of 5.00 feet, a delta of 66 °54'23"
and a chord bears S 53 940113 "E, a distance of 5.51 feet to a set 1 /z" iron rod with a blue
plastic cap stamped "KFW Surveying ", fora point ofreverse curve,
7, with a curve to the right, having an arc of 394.65 feet, a radius of 155.00 feet, a delta of
145 052'54" and a chord bears S 14 110'57 "E, a distance of 296.36 feet to--a set 1 /z" iron rod
with ablue plastic cap stamped "KFW Surveying ", fora point of reverse curve,
8. with a curve to the left, having an arc of 5.84 feet, a radius of 5.00 feet, a delta of 66 °54`2a"
and a chord bears S 25018'19 "W, a distance of 5.51 feet to a set Yz" iron rod with a blue
plastic cap stamped "XFW Surveying ", for a point of reverse curve,
9. with a curve to the right, having an arc of 34.87 feet, a radius of 1450.00 feet, -a delta of
01 022'40" and a chord bears 5 07 027'33 "E, a distance of 34.87 feet to a set 1h" iron rod
with a blue plastic cap stain ed "KFW Surveying ", for a point of tangency,
10. S 06° 46' 13" E, a distance of 591.96 feet to a set Y?" iron rod with a blue plastic cap
stamped "KFW Surveying' on the ostensible location of the county line of Comal County, for
the southwest corner of the 43.524 acre tract and an interior corner of the 522.18 acre tract
and the tract described herein, and
11. N 660 26' 37" 1E, along and with the on the ostensible location of the county line of Comal
County a distance of.1533.73 feet to a set 1/z" iron rod with a blue plastic cap stamped "KFW
Surveying" in the west line of a 40.00 acre tract, known as Tract 2, conveyed to RBV2
Limited Partnership of record in Volume 1654 Page 902 of the Official Public Records of
Guadalupe County, Texas, for the northeast corner of the 522.18 acre tract and the tract
described herein;
THENCE: continuing along and with the west lines of the 40.00 acre tract, known as Tract 2 and the
west and south lines of a 40.00 acre tract, known as Tract 2, conveyed to RBV2 Limited Partnership
of record in Volume 1654 Page 902 of the .Official Public Records of Guadalupe County, Texas and
the east and north lines of the 522;.18 acre tract, the followingfour (4) courses:
1. 5 131 10' 12" E, a distance of 157.52 feet to a set 1/a" iron rod with a blue plastic cap
stamped "KFW Surveying', for and angle point of the tract described herein,
2. S 096 32' 31" E, a distance of 129.96 feet to a set 1 /z" iron rod with a blue plastic cap
stamped "KFW Surveying" for the southwest corner of the 40.00 acre tract, known as Tract
2, the northwest corner of a 40.00 acre. tract, known as Tract 1, for an angle point of the
522.18 acre tract and the tract described herein,
3. S 080 07' 03" E, a distance of 833.40 feet to a set 1/2" iron rod With a blue plastic cap
stamped "KFW Surveying" for the southwest corner of the 40.00 acre tract, known as Tract
1, an interior corner of the 52218 acre tract and the tract described herein, and
4. N 719 52' 57" E, a distance of 1666.73 feet to a set 1 /z" iron rod with a blue plastic cap
stamped "KFW Surveying', for the northwest corner of a 15.66 acre tract, known as Tract .3
conveyed to RBV2 Limited .Partnership, of record in Volume 1654 Page 902 of the .Official
Public Records of Guadalupe County, Texas, for an easterly corner of the 522.18 acre tract
and the tract described herein;
THENCE: S 080 48'52" l;, along and with the west line of the 15.66 acre tractand an east line of the
522.18 acre tract, a distance of 1379.21 feet to a set 1 /z" "iron rod. with a blue plastic cap stamped
"KFW Surveying" in a northwestline of a tract conveyed to Melvin W. and Ruby F. Schwab, of record
in Volume 1413 Page 497 of the Official Public Records of Guadalupe County, Texas, for the
southwest corner of the 15.66 acre bract, an easterly southeast corner of the 522..18 acre tract and
the tract described herein;
THENCEs Along and with a noirthW6§t and west.lines of the Schwab tract and a southeast and east
lines of the 522.18 acre tract the following four (4) calls and distances:
1. S 610 S9' 15" W, a distance of 445.47 feet to a set 1 /a" iron rod, with a blue plastic cap
stamped "KFW Surveying", for an interior corner of the Schwab tract and an exterior corner
of the 522.18 acre tract and the tract described herein,
2. N 21° 27' 28" W, a distance of 223,23 feet to a set 1/z" iron rod with a blue plastic cap
stamped "KFW Surveying", for the northerly northeast corner of the. Schwab tract, an
interior corner ofthe 522,18 acre tractand the tract described herein,
3. .S 59° 28' 32" W, a distance of 1008.68 feet to a set 1/z" iron rod with a blue plastic cap
stamped "KFW Surveying", for the northwest corner of the Schwab tract, an interior corner
of the 522.18 acre tract and the tract described herein, and.
4. S 309 31' 02" E, a distance of 607.90 feet to a set 1 /z" iron rod with a blue plastic cap
stamped "KFW Surveying`', for the northeast corner of a 0.7 of an acre tract conveyed to
Melvin W. and Ruby F. Schwab of record in Volume 1413 Page 497 of the Official Public
Records of Guadalupe County, Texas, an easterly corner of the 522.18 acre tract and the
tract described herein;
THENCE: S 580 31' 00" W, along and with the northwest line of the 0.7 of an acre tract and a
southeast line of the 522.18 acre tract, a distance of 86.82 feet to a found 60d Nail in concrete, for
the northwest corner of the 0.7 of an acre_ tract, an interior corner of the 522:18 acre tract and the
tract described herein;
THENCE. S 309 35' 23" E, along and with the southwest line of the 0.7 of an acre tract and a
northeast line of the 522.18 acre tract, a distance of 351,70 feet to a found 60d Nail in concrete, for
the southwest corner of the 0.7 of an acre tract, an interior corner of the 522.18 acre tract and the
tract described herein;
THENCE; N 590 18' 13" E, along and with the southeast line of the 03 of an acre tract, a southeast
line of the Schwab tract and a northwest line of the 522.18 acre tract, a distance of 10 07.77 feet to a
set 1/z iron rod with a blue plastic cap stamped "KFW Surveying", for an interior corner of the
Schwab tract, an exterior corner of the 522.18 acre tract and the tract described herein;
THENCE. S 850 27'02!'E, along and with a southwest line of the Schwab Tract and a northeast line
of the 522.18 acre tract, a distance of 40.00 feet to a.set 1/2" iron rod with a blue plastic cap stamped
"KFW Surveying ", for ari interior corner of the Schwab tract, an angle point of the 522.18 acre tract
and the tract described herein;
THENCE. S.291149'0.0" E, along and with a southwest line of the Schwab tract, a southwest right-Of-
way line of Green Valley Road, (County Road 376), a variable width right -of -way, a northeast line of
the 5.22:18 acre tract; at a distance of 199.06 feet, passing the southwest line of the Schwab tract,
the northwest right -of =.way line of .Green Valley. Road, continuing a total distance of 224.95 ;Feet to a
point, for the southeast corner of the tractdescribed herein;
THENCE. S 500 04'-57" VII, a-Iona and with the ostensible location of the City Limits Line of the City
of Schertz and City of Cibolo ETJ line, into and across_ the 522;18 acre "tract, a distance of 4083;87
feet to a found:l /z" iron rod, for the southeast corner.of.tbe 18.751 acre tract, the northeast corner of
the 20,00 acre tract, the southwest corner of the 522.18 acre tract and the tractdescribed herein;
THENCE: N 300 20' 29" W; along and with the northeast line of the 18.751 acre tract and the
southwest line of the 52218 acre tract, a distance of 320,131 feet .to a found I /a" iron rod with a
plastic cap stamped "CEC ", an easterly corner of the 18.751 acre tract, an interior corner of the
522.18 acre tract and the tract described herein;
THENCE; S 800 16' 13" W, along and with a north line of the 18.751 acre tract, a distance of 12.95
feet to a found 1 /z" iron rod with a plastic cap stamped "GEC', for an interior corner of the 18,751
acre tract and a westerly corner of the tract described herein;
THENCE: N 30° 56' 16" W, along and with the northeast line of the 18.751 acre tract and a
northeast line of The Links at Scenic Hills; Unit 3, a subdivision plat of record in Volume 7 Page 646
of the Map and Plat Records of Guadalupe County, Texas, at a distance of 216,25 feet, passing a
found 1!z" iron rod with a plastic cap. stamped "Jacobs Prop" for the northeast corner of the 18.751
acre tract and the southeast corner of The Links at. Scenic Hills, Unit 3, continuing a for total
distance of 501:70 feet to a set -1/z" iron rod with a blue plastic cap stamped "KFW Surveying" for a
corner of the 522,18 acre tract, an interior corner of The Links at Scenic Hills, Unit 3 and a westerly
corner of the tract described herein;
THENCE- N 120 20' 23" W, along and with the northeast lines of The Links at Scenic Hills, Unit 3,
the remaining portion of a 168,088 acre tract conveyed to Investment Scenic Hills, LTD, of record in
Volume 1634 Page 179 of the Official Public Records of Guadalupe County,- Texas, The Links at
Scenic Hills, Unit 1, a subdivision plat of record in Volume 7 Page 389 of the Map and Plat Records
of Guadalupe County, Texas, the Replat of Fairhaven, Unit 2, a subdivision plat of record in Volume
7 Page 447 of the Map and Plat Records of Guadalupe County, Texas and Fairhaven, Unit 2, a
subdivision plat of record in Volume 7 Page 224 of record in the Map and Plat Records of Guadalupe
County, Texas; a distance of 1,335.20 feet to a set Y2." Iron rod with a blue plastic cap stamped "KFW
Surveying" in the northeast line of Lot 52, Block 26 of The Links At Scenic Hills, Unit 1 of record in
Volume 7 Page 389 of the Map and Plat Records of Guadalupe County, Texas and for the southwest.
corner of a 23,76 acre tract conveyed to the Board of Trustees of The Schertz- Cibolo - Universal City
Independent School District of record in Volume 4176 Page 283 of the Official Public Records of
Guadalupe County, Texas, for a westerly corner of the 522.18 acre tract and the tract described
herein, from which a found 1/i" iron rod -with a plastic cap stamped "C -B SA PROP'; for the northeast
corner of Lot 57, Block 26 of the Replat. of Fairhaven, Unit 2, the southeast corner of Lot 36, of the
Fairhaven, Unit 2 bears N 120 20'23" W, a distance of 197.59 feet;
THENCE: Along and With the 23,76 acre tract, into and across the 522.18 acre tract, the following
nine (9) calls and distances:
1. N 79 °17:57" E, a distance of 596.17 feet to a set 1/z" iron rod with a Blue plastic cap
stamped "KFW Surveying" for an angle point of the tract described herein,
2. N 50 003'22" E; a distance of 820.77 feet to a set :W' iron rod with a blue plastic cap
stamped 10W Surveying" for a southeast corner of the tract described herein,
3; N 33 °40'59" W, a distance of 722.00 feet to a set 1%2" iron rod with a blue plastic cap
stamped "KFW Surveying" for a northeasterly corner of the tract described herein;
4, S 56 918'31" W, a distance of 241.20 feet to a set 1/2" iron rod with a blue plastic cap
stamped "KFW Surveying" for an angle point of the tract described herein,
S. 5 63 145'09" W, a distance of 567.84 feet to a set '/z" iron rod with a blue plastic cap
stamped "KFW Surveying ".for an angle point ofthe tract described herein,
6. S 77 63937" W, a distance of 234,68 feet to a set 1h" iron rod with a blue plastic cap
stamped "KFW Surveying' for an interior corner of the tract described herein,
7. N 12 020'23" W, a distance of 361.41 feet to a set Yi" iron rod with a blue plastic cap
stamped "ICFW Surveying for an angle point of the tract described herein,
8. N 29 °38'53" W, a distance of 305.62 feet to a set Y2" iron rod with a blue plastic cap
stamped "KFW Surveying" fora northeasterly corner of the tract described herein, and
9. S 60 °21'07" W, a distance of 50,00 feet to a set ? /a" iron rod with a blue plastic cap stamped
"KFW Surveying" for the southeast corner of Lot 17 of Fairhaven, Unit 2, at the termination
of the northeast right -of -way line of Black Butte, a 50' right-of-way, of record in Volume 6
Page 763 of the Map and Plat Records of Guadalupe County and a southwesterly corner of
the tract described herein;
THENCE: N 291 38' 53" W, along and with the northeast line of The Ridge at Scenic Hills, Unit 1, a
subdivision plat of record in Volume 6 Page 763 of the Map and Plat- Records of Guadalupe County,
Texas and The Fairways at Scenic Hills; Unit 3B, a subdivision plat of record in Volume 7 Page 203
of the Map-and Plat Records of Guadalupe County, Texas, the southwest line of the 52118 acre tract,
a distance of 912.18 feet to a set 1/z" iron rod with a blue plastic cap stamped "lCFW Surveying ", for
the southwest corner of the 68.274 acre tract and the northwest corner of the - 522:18 acre tract and
the tract described herein, from which a found 1/2" iron rod for the southwest corner of Lot 23 and
the northeast corner of Lot 26 and for an angle point in the southeast line of The Fairways of Scenic
Hills, Unit 3B bears N 29138'53" W, a distance of 100.78 feet,
THENCE: Departing of the northeast line of Lot 26 in The Fairways at Scenic Hills, Unit 3B, along
and with the southeast and east Iines of the 68.274 acre tract and the northwest and west lines of
the 522.18 acre.tract; the following ten (10) calls and distances:
1. N 53° 02' 42" E, a distance of 1147;11 feet to a set 1/2" iron rod with a blue plastic cap
stamped "KFW Surveying '; for an angle point of the tract described herein,
2, N 669 26' 37" E, a distance of 241.33 feet to a set YP iron rod with a blue plastic cap
stamped "KFW Surveying", for the southeast corner of the 68.274 acre tract, ail interior
corner of the 522:18 acre tract and the tract described herein,
3. N 06° 46' 13" W, a distance of 622.12 feet to a set 1 /z" iron rod with a blue plastic cap
stamped `WFW Surveying", for a point of curvature to the left,
4. -with a curve to the left, having an arc of 26.76 feet, a radius of 1350.00 feet, a delta of
01 °08'08" and a chord bears N 07 °20'17 "W a distance of 26.76 feet to a -set 1 /z" iron rod
with a blue plastic cap stamped "KFW Surveying ", for a compound curve,
5. with a curve to the Ieft, having an arc of 6,38 feet; a radius of 5.00 feet, a delta of.73 °03'51"
and a chord bears N '44 °2W17 "W, a distance of 5.95 feet to a. set Y2.` iron rod with a blue
plastic cap stamped "KFW Surveying', for a point of reverse curve,
6. With a curve to the right, having an are of 361.36 feet, a radius of 155.00 feet, a delta of
133 634'31" and a chord bears N 14 °10'87 "W, a distance of 284.91 feet to a set 1/2" iron rod
with a blue plastic cap stamped "KFW Surveying ", for a point of reverse curve,
7. with a curve to the left, having an arc of 6.38 feet, a radius of 5.00 feet, a delta of 1-3 003'51"
and a chord bears N 16 °0.4'.23 "E, a distance of 5:95 Feet to a set 1/2" iron rod With a blue
plastic cap stamped "KFW Surveying ", for a point.of compound curve,
8.. with a curve to the left; having an arc of 312.45 feet, a radius of 1350.00 feet, a delta of
13 015'39" and a chord bears 14 27 °05'23. "W, a distance of 311.76 feet to a set 1 /x" iron rod
with a blue plastic cap stamped "KFW Surveying ", for a compound curve,
9, with a curve to the left, having an arc of 1107.42 feet, a radius of 730.00 feet, a delta of
86955'07" and a chord bears N 77 °1046 "W, a distance of 1004.25 feet to a set 1/2" iron rod
with a blue. plastic cap stamped "XFW Surveying", fora corner of the tract described herein,
and
10. N 30° 38' 19" W; a distance of 20.00 feet to the POINT OF BEGINNING and containing
312.03 acres more or less situated in the City of Schertz, Comal and Guadalupe Cou ties,
Texas and being described in accordance with a survey prepared by KFW SI n
lob No.: 13 -016
Prepared by: I{FW Surveying —!
Date; August 19, 2015 _
Revised: August 21, 2015 n ' S 72 f%
File: S: \Draw20l3 \13- 016 .Nortek \DOCS \FNS22.lBAC- RESARE UP 'ti% 15 , ti9
L
IBM 1 1
M
n II
till
go 11 jig �g
M n1m,
flgl
€ b e� fg $ g 1 lug
qu
3R e
I
991
■9�
00
@�I�Il�9
@I
IBM 1 1
M
n II
till
go 11 jig �g
M n1m,
flgl
€ b e� fg $ g 1 lug
qu
3R e
I
EXHIBIT "B"
Improvements
Exhibit B ", Page 1
Homestead
Community Facilities Agreement phase 1.
Sewer Lift Station & 12" Force Main
LUE Usage
Residential (SFD) LUE's
Residential (TH) LUE's
Commercial LUE's
Apartment LUE's
Homestead - School
City of Schertz - Off -site
Total LUE's
of Total
Footnote LUE's LUE's
(4)
(4)
(2)
(1)
(3)
1333 42%
138 4%
311.5 10%
626.7 20%
91.8 3
$ 1,098,174.51
Original DNT Contract Amo
$
(154,115.44) (Deduct Change Order #1)
$
944,059.07
Cost per DNT Bid (attached
$ 944,059.07
Cost as % of
100%
McCombs
Total
City of Schertz
$
396,293.73
100% $600,000 Total
$
41,026.66
$
92,607.27
------- - - - - -- $ 743,533.85
$
186,314.54
$
27,291.65
674.5
21%
$ 200,525.22 1 ------- - - - - --
$ 200,525.22
of Total Cost as % of
$ 944,059.07
$ 944,059.07
3175.5
100%
(1) River City Engineering - Lift Station Shared Flow Exhibit - 2 -17 -16
(2) River City Engineering - Lift Station Shared Flow Exhibit - 2 -17 -16
(3) River City Engineering- Lift Station Shared Flows - 4 -14 -16
(4) KFW email on 4 -15 -16
Total Cost Sharing by Entity from above
Freehold $1,161,385.09
McCombs $181,148.36
City of Schertz $355,641.06
$1,698,174.51 Total
Phase 2 Off -Site Sewer Extension
$600,000 Estimated Cost
of Total Cost as % of
LUE Usage
Footnote LUEs LUEs Total
Freehold
1,563 49% $293,196.34
McCombs
966 30% $181,148.36
City of Schertz
(3) 670 21% $125,655.30
100% $600,000 Total
(3) City to reimburse Owner by not requiring
Sewer Impact Fees on the first lots with Building Permits in Homestead Phase 1.
Total Cost Sharing by Entity from above
Freehold $1,161,385.09
McCombs $181,148.36
City of Schertz $355,641.06
$1,698,174.51 Total
EXHIBIT "C"
The Surety
Exhibit "C ", Page 1 50667820.4
PARKLAND DEVELOPMENT AGREEMENT
FOR
VOU_L=
STATE OF TEXAS §
COUNTY OF GUADALUPE §
This Parkland Development Agreement (hereinafter referred to as "Agreement") is
entered into by and between I L F N-T Owner, LP, a Delaware limited partnership,
(hereinafter referred to as the "Developer") and the City of Schertz, Texas, a Texas
Municipal Corporation (hereinafter referred to as the "City") (together hereafter
r e f e r r e d t o a s t h e " P a r t i e s ") for the purpose of evidencing the agreement of the
City to permit the recording of approved final subdivision plats for Homestead and
referred to herein as the "Plats") by Developer, in exchange for Developer's
agreement to complete the parkland improvements required by the City and itemized
in this Agreement.
Now, Therefore, Developer and the City agree as follows:
1. Definitions.
1.1 Homestead –the subdivision currently being developed by Developer
described on Exhibit "A" and identified on the NorTex Farms Subdivision
Master Development Plan (Exhibit "B").
1.2 Park Improvements —those certain improvements described on Exhibit "C" and
to be constructed by Developer.
1.3 Value of Phased Improvements – the dollar value assigned to Park Improvements
as shown on Exhibit "D". Value to be credited toward any Park Development
Fees owed to the City by the Developer.
1.4 Parkland – the 14.86-acre tract to be deeded to the City and more
particularly described in Exhibit "E".
1.5 Schedule for Phased Improvements – determines timing for completion of
Park Improvements by Developer as shown in Exhibit "F".
2. Developer shall construct Park Improvements in accordance with the Schedule for
Phase Improvements (Exhibit "F") or post fiscal for the Improvements. In order to
secure Developer's completion of the requirements of Developer in Sections 2.1 –
PAGE 1
Parkland Development/ Homestead
2.3 below, Developer hereby agrees to:
2.1 Cause the completion of the Park Improvements in accordance with the
Schedule in Exhibit "IT"; and
2.2 Pay for all costs of construction of the Park Improvements as detailed in
Exhibit "W; and
2.3 Cause such changes to the Park Improvements as may be required by the
City for approval and acceptance of the Park Improvements; and
2.4 Deed to the City, Parkland as described in Exhibit "E".
2.5 Both Pal-ties agree that Exhibit "D", depending on the Phase, may over
compensate or under compensate the Fee Credit ($650 a lot) for that particular.
Phase, but in total for all Phases, equals the value of the Total Fee Credits for
all Units and therefore fully satisfy the Total Park Fees for the community.
3. The City shall:
3.1 Record the Plats — Upon execution of this Agreement by the parties and
acceptance of all other required public improvements, the City shall record
the Plats in the Deed and Plat Records of Guadalupe County, Texas.
3.2 Upon Developer's completion of the Park Improvements for each phase of
development as described in Exhibit "D", the City agrees to inspect the
improvements, and upon the City's satisfaction of Developer's completion
of the improvements, the City shall:
(a) Accept the Park Improvements and Parkland dedication; and
(b) Record the Parkland Deed; and
(C) Issue a letter to Developer evidencing the City's approval and
acceptance of the Park Improvements, and Developer's full and final
satisfaction of this Agreement, including the requirement for payment
of the Park Development Fee of $650 per dwelling unit and Parldand
dedication of one acre per 100 dwelling units as established in Section
21.9.10 of the Schertz Unified Development Code and that the
Development owes no other Park Improvement Fees or dedication of
Parkland to the City.
4. Default and Remedies.
4.1 Notice of Default — In the event any party believes that the other party has
PAGE 2
Parkland Development/ Homestead
defaulted on its obligations hereunder, the party that is alleging the default
(hereafter whether one or more, referred to as "Claimant") shall serve the
party alleged of having defaulted (hereafter referred to as 'Respondent") with
written notice of the specific terms and conditions the Claimant has alleged
the Respondent has failed to perform ("Default Notice"). This written notice
shall be served upon the Respondent by Claimant in writing by Certified Mail.
4.2 Opportunity to Cure — Upon receipt of the Default Notice, the Respondent
shall have ten (10) days from the date of receipt of the Default Notice to
either (i) remedy the alleged default by taking appropriate actions, or (ii)
serve a written response to the Claimant denying the allegations of default and
providing specific reasons and rationale for the denial of the allegations made
by Claimant.
4.3 Enforcement — In the event the Respondent to a claim of default fails to
remedy or cure the alleged default within ten (10) days, then the Claimant
shall have the right to seek legal and/or equitable remedies against the
Respondent for the alleged default by the Respondent as described in the
Default Notice provided under Section 4.1 above. In the event the Respondent
is found, by a court of competent jurisdiction, to have been in default, the
Respondent shall be required to pay, in addition to any amounts for damage or
punitive awards as provided in the judgment of the court, any and all attorney's
fees, court costs, expert witness fees and any other fees expended by Claimant
that were reasonably associated with and necessary for the bringing of the
action by the Claimant for enforcement of the terms of this Agreement or
collection of damages resulting from the actions or omissions constituting a
default on the part of the Respondent. In the event the Claimant brings legal
proceedings against the Respondent and the legal proceedings result in a
judgment by a court of competent jurisdiction declaring that the Respondent
has not breached the terms of this Agreement, the Claimant shall be
responsible for the payment of any and all attorney's fees, court costs, expert
witness fees and any other fees expended by Respondent that were reasonably
associated with and necessary for the provision of a defense by Respondent
to the allegations asserted by Claimant in the litigation.
5. Severability.
If for any reason, any one or more paragraphs of this Agreement are held legally
invalid, such judgment shall not prejudice, affect, impair or invalidate the remaining
paragraphs of this Agreement or this Agreement as a whole, but shall be confined to
the specific sections, sentences, clauses or paragraphs of this Agreement held legally
invalid.
PAGE 3
Parkland Development/ Homestead
6. Tenn of Agreement.
The term of this Agreement shall commence upon the Effective Date, and shall
terminate upon the City's satisfaction of the conditions stated in Section 3.2 herein.
7. Notices.
Any notice, request, demand, report, certificate or other instrument which may be
required or permitted to be furnished to or served upon the parities shall be deemed
sufficiently given or finished or served if in writing and deposited in the United
States mail, registered or certified, return receipt requested, addressed to such party
at the address set forth below:
Developer: ILF N-T Owner, LP
Mr. Jesse Baker, Authorized Signatory
500 Boylston Street, Suite 2010
Boston, MA 02116
Telephone: 617-221-8400
With a copy to:
The City: The City of Schertz
Attn: John Kessel, City Manager
Administration Building
1400 Schertz Park-way
Scheitz, TX 78154
Telephone: 210-619-1000
Facsimile: 210-619-1009
8. Incorporation of Documents and Attachments.
All documents and other materials that are either attached hereto or referenced
herein are incorporated into this Agreement as an inseparable part hereof, by such
reference thereto, and this Agreement shall be construed to include all of any
attached or referenced documents and materials.
Parkland Development/ Homestead
9. Time of the Essence.
Each party agrees to use due diligence to expedite their performance of their
respective obligations, and failure to do so on the part of any party may constitute
grounds for a breach of this Agreement.
10. Governing Law.
This Agreement shall be governed by and construed in accordance with the laws of
the United States of America and the State of Texas, and shall be binding upon and
inure to the benefit of the parties and their successors, representatives and assigns.
11. General.
This Agreement can be executed in one or more counterparts, all of which shall be
deemed as an original instrument when allparties have signed sarne.
EFFECTIVE DATE: , 2016
ILF N-T OWNER, LP, a Delaware
limited partnership
M
STATE OF MASSACHUSETTS §
COUNTY OF SUFFOLK §
Name: Jesse Baker
Title: Authorized Signatory
This Subdivision Improvements Agreement was acknowledged before me on the
-day of , 2016, by Jesse Baker, Authorized Signatory of ILF N-T Owner,
LP, a Delaware limited partnership, on behalf of said limited partnership.
Notary Public, State of Massachusetts
PAGE 5
Parldand Development/ Homestead
THE CITY OF SCHERTZ, a Texas
Municipal Corporation
By
STATE OF TEXAS §
COUNTY OF BEXAR §
Name: John Kessel
Title: City Manager
This Subdivision Improvements Agreement was acknowledged before me on the
day of 2016, by JOHN KESSEL, City Manager ofthe City of
Schertz, Texas, on behalf ofthe City of Schertz.
Notary Public, State of Texas
LIST OF EXHIBITS
Exhibit 'A" — Legal Description
Exhibit 'B" — NorTex Farms Subdivision Master Development Plan
Exhibit "C" — Park Improvements
Exhibit "D " — Cost Value of Phased Improvements
Exhibit "E" — Warranty Deed & Legal Description for 14.86-acre tract
Exhibit 'F" — Schedule for Phased Improvements
PAGE 6
Parkland Development/ Homestead
:;
PAGE 7
Parkland Development/ Homestead
Parkland Development/ Homestead
MATCIM
EXHIBIT "A"
LEGAL DESCRIPTION
HOMESTEAD (WITHIN SCHERTZ CORPORATE LIMITS)
Parklands Development Agreement / Homestead
FIELD NOTES
FOR
A 312.03 acre tract out 0t the DF. Zepeda Survey No. 257, Abstract 685,lF. Zepeda Survey
No. 257, Abstract 471, C.M. Gahagan Survey No. 258, Abstract 182, C.M. Gahagan Survey No.
258, Abstract 142, P. San Miguel Survey No. 256, Abstract 227, State Abstract Tate2 and
being out of a 522.18 acre tract conveyed to ILF N-T Owner, LP of record in Document
Number 201406044206 of the Official Public Records of Comal County� Texas. Said 31103
acre tract having 8,33 acres, situated in Comal County, Texas and 303.70 acres, situated in
Guadalupe County, Texas and being more particularly described by metes and bounds as follows.,
Commencing at a set lz" iron rod with a blue plastic cap stamped "KyW the
southeast right-of-way line of Interstate Highway 35, a variable width right-of-way, in the northeast
line of Lot 27, Block 17, a variable width Sanitary Sewer Easement of The Fairways at Scenic Hills,
Unit 313, a subdivision plat of record in Volume 7, Page 203 of the Map and Plat Records of Comal
County, Texas, for the northwest corner of a 68.274 acre tract conveyed to MFP Realty, LP of
record in Document Number 201406044146 of the Official Public Records of Comal
County, Texas, from which a found Texas Department of Transportation Monument Type 2 bears,
N 290 34'33" W, a distance of 4.79 feet,
THENCE: Along and with the southeast right-of-way line nC Interstate Highway 3Ei the northwest
lines of the 68,274 acre tract, the following calls and distances:
1. 052' 2O'U3"E,a distance nf 41.17 feet Lou set 1/2" iron rod with u blue plastic cap stamped
"KFW otuu angle point of the tract described herein,
2. N 59' 40' 24" E, a distance of 34.71 feet to a found Texas Department of Transportation
Monument Type la1ao angle point oy the tract described herein,
3. 0 13" 2][ 30" 8' u dlotuumy of 16.40 feet to a found Texas Department of Transportation
Monument Type 2oLuu angle point uf the tract described herein,
4. y! 51~ 32' 23" E, a distance of 274.08 feet to o found Texas Department of Transportation
Monument Type 2utan angle point of the tract described herein,
5. N54"38'3V"E,a distance df49.37 feet tna found Texas Department ofTransportation
Monument Type 2atan angle point nfthe tract described herein,
'
6. 0 54p 57' 53^ Il a distance of 50.19 feet to a found Texas Department of Transportation
Monument Type 2otao angle point of the tract described herein,
7. 0 54" 39' 30" D, a distance of 35247 feet u found Texas Department of Transportation
Monument Type 2 atao angle point of the tract described herein, and
@. N 59p ' " l, u distance of 171.71 feet to m set 112" iron cod with a blue plastic cap
stamped "KFW S for the POINT OF BEGINNING and the northwest corner nfthe
tract described herein;
THENCE: 0 5902141" 8 continuing along and with the southeast right-of-way line of Interstate
Highway 35, the northwest lines uf the 522J8 Acre tract, a distance of947.7Q feet tua set Y2/ b,ou
cod with a blue plastic cop stamped "DFVV Surveying", for the northwest corner of 9,6090 acre
tract conveyed to MF9 Realt6 LP of record in Duoonoeut Number 201406044146 of the
Official Public Records of Comal CountB Texas and the northeast corner of the 522.18 are tract
and the tract described herein from which a found Texas Department of Transportation Monument
Type 2 bears 059"21'41''8,a distance of1012.13feet,
THENCE: Departing the southeast right-of-way line of Interstate Highway 35 and along and with
the northwest and west lines of the 9.6090 acre tract and a 43.524 acre tract conveyed to MFP
Realty, LP of record in Document Number 201406044146 of the Official Public Records of
CuouulCpmmty� Texas and the southeast and east lines mf the 622.18 acre tract, the following
eleven [11]courses:
1. S 300 38'19" E,u distance of 20.00 feet to a set Y2" iron rod with a blue plastic cap stamped
"KFW Surveying" in a curve to the left, for a corner of the tract described herein,
%` with curve to the )oft, having an are of 33.09 feet, o radius of 40.00 feet, a
delta of " and a chord bears S 3S,3g34PW,o distance oC32.16 feet tua set 1/2"
iron rod with a blue plastic cap stamped "KFW Surveying", for a point of tangency,
3" S 110 57' 28" W, a cUmt000e of 62.81 feet to u set %' iron rod with a blue y1aodc cap
stamped "KFWSnrvedoo/,, for a point o/reverse curve,
4. with u curve to the left, having an arc of 376,37 feet a radius of 380.00 feet, o delta of
56"44yO1" and a chord bears S16"2,V33"Dlu distance of361.09 feet too set 1/2" iron rod
with a blue plastic cap stamped ''KFW3urreying", for a point of
5. with a curve tothe right, having an arc of621.52 feet, u radius of 1450.00 feet, a delta of
2&'33'32" and o chord bears S 32^29"47'�Iu distance of616.77 feet tna set I/V' iron rod
with a blue plastic cap stamped "KIW8ocve `og",forayu1otu[revernecurve,
6. with a curve tn the left, having u arc of5^84 feet, a radius of5.w0 feet, a delta VfG6"54r23"
and o chord bears S 53,48'13°E,a distance of 5.51 feet to u ac¢ 1/2' iron cod with oblue
plastic cap stamped "KFVVSurvedog`, for o point of reverse curve,
7, with a curve to the right, having mu arc of 394.65 feet, a radius uf155.#8 feet, o delta oy
:1&S"52`54" and a chord bears S 14010^57"E, e distance uf 296.30 feet tna set 1/2" iron rod
with u blue plastic cap stamped "8FVVSur ^og',forupoiotnfranecauourvo
8. with a curve to the left, having [584 feet, radius f5QO feet, o delta oy66~54'23~
and u chord bears 025"18'19"W, a distance of 5,51 feet tna set 1/2" iron rod with ablue
plastic cap stamped '�NyN/3uzvey\og.. for a point nf reverse curve,
9. with a curve to the right, having an arc of 34.87 feet, a radius uf1450.00 feet, e delta uf
Q1022'40" and m chord bears S o distance of34J87feettoamot1/2"trourod
with u blue plastic cap stamped "KFW3 for a point of tangency,
10. 46,13" 591.96 feet to a set Yz"lron rod vvhh a blue plastic cap
stamped "KFW Surveying" on the ostensible location of the county line of Comal County, for
the southwest corner of the 43.524 acre tract and an interior corner of the 522.18 acre tract
and the tract described herein, and
UN66'2�37" E, along and with the on the ostensible location of the county line of Comal
County a distance of 1533.73 feet to a set I/?" iron rod with a blue plastic cap stamped "KFW
Surveying" in the west line of a 40.00 acre tract, known as Tract 2, conveyed to RBV2
Limited Partnership of record in Volume 1654 Page 902 of the Official Public Records of
Guadalupe County, Texas, for the northeast corner of the 522.18 acre tract and the tract
described herein;
THENCE: continuing along and with the west lines u[ the 4OOO acre tract, known uo Tract 2 and the
west and south lines nCu4U.0D acre tract, known au Tract 2, conveyed tuBBV2 Limited Partnership
of record in Volume 1654 Page 902 of the Official Public Records of Guadalupe County, Texas and
the east and north lines Vfthe 522.18 acre tract, the following four NAonn/sem
1. feet to a set 112," iron rod with u blue plastic cup
atampad"KFVV for and angle point ny the tract described herein,
2, S 890 32y31" E, u distance of 129.96 feet to a set 1/2" bno rod with a blue plastic cap
stamped "KFW Surveying" for the southwest corner of the 40.00 acre tract, known as Tract
2, the northwest corner oYa48.08 acre tract, known aa Tract 1, for ao angle point ofthe
S22.18 acre tract and the tract described herein,
3. 8 08= 07" 08" E, u distance of 833.40 feet to u met ff" iron rod with m blue g>aet(o cap
stamped "KFW Surveying" for the southwest corner of the 40.00 acre tract, known as Tract
1, an interior corner of the 522.18 acre tract and the tract described herein, and
4, 8J 71p52' 57" E, o distance of 1666.73 feet to m oat-1/2" iron rod with b|nm p]ogdc cap
stamped KR ofa1S.66 acre tract, known ux Tract 3
conveyed to 8BV2 Limited Partnership, of record in Volume 1654 Page 9U2uf the Official
Public Records of Guadalupe County, Texas, for an easterly corner of the 522.18 acre tract
and the tract described herein;
THENCE- 808" 48'52" E, along and with the west line oYthe 15.66 acre tract and an east line of the
522.18 acre tract, a distance oy137921 feet hz a set 1/2' iron rod with ablue plastic cap stamped
"KFW Surveying" in a northwest line of a tract conveyed to Melvin W. and Ruby F. Schwab, of record
in Volume 1413 Page 497 of the Official Public Records of Guadalupe County, Texas, for the
southwest corner of the 15.66 acre tract, an easterly southeast corner of the 522.18 acre tract and
the tract described herein;
Along and with a northwest and west lines of the Schwab tract and a southeast and east
lines of the 522.18 acre tract the following four (4) calls and distances:
1. S 61' 59'19"W(a distance u[445.47 feet tou set 112." iron rod with u blue plastic cap
mtanoped°KFVV for ao interior corner of the Schwab tract and au exterior corner
uY the 522.18 acre tract and the tract described herein,
2. YJ 210 27' 28" W, m dlotonuo of 223.23 feet to u nut -117" iron rod with o blue p\ondc cap
stamped ''K8VV Surveying", for the oordbedv northeast comer of the Schwab tract an
interior corner of the 522.1B acre tract and the tract described herein,
3. S 59" 28' 32, W, a distance of 1808.68 feet to m set 1/2" iron rod with o Nun p\eodn cup
stamped "KFW Surveying", for the northwest corner of the Schwab tract, an interior corner
of the S%2.1O acre tract and the tract described herein, and
4. S 801 31' 02" D, o distance of 607.90 feet to o set ff" iron rod with m blue plastic cap
stamped ''KFVV Surveying", be ourLbeuot corner of 0.7 of an acre tract oVuvcyo4 to
Melvin W. and Ruby F. Schwab of record in Volume 1413 Page 497 of the Official Public
Records of Guadalupe County, Texas, an easterly corner of the 522.18 acre tract and the
tract described herein;
THENCE: S 58' 31' 00" W, along and with the northwest line of the 0.7 of an acre tract and a
southeast line of the 522.1R acre tract, o distance o[86.82 feet toa found 68d Nail in concrete, for
the northwest corner of the k7nfuu acre tract, an interior comer nf the S22.18 acre tract and the
tract described hereiu;
THENCE: S 30" 35` 23" E, along and with the southwest line of the 0.7 of an acre tract and o
nortb:aat|iuon[ the S22,l8 acre tract, o distance nf 351.7Oteettoa found 6Ud Nail iu concrete, for
the southwest corner of the O.7of ao acre tract, ao interior corner of the 522.18 acre tract and the
tract described herein;
THENCE., N 590 18' 13" F, along and with the southeast line of the 0,7 of an acre tract, a southeast
line nf the Schwab tract and 'a northwest line nf the S22.18 acre tract, a distance of1QO7.77 feet bma
set 1/2" iron rod with o blue plastic cap uCoozyad "KFm/ Surveying", for an interior corner of the
Schwab tract, up exterior corner o[ the 522.18 acre tract and the tract described herein;
THENCE: SQ5^27"02"E, along and with a southwest line of the Schwab Tract and a northeast line
of the 522.18 acre tract, a distance of 40.00 feet to a set 1/2" iron rod with a blue plastic cap stamped
'1KFVVSurveying", fo an interior corner of the 'Schwab tract, au angle point up the 522.18 acre tract
and the tract described herein;
THENCE. S 29' 49'00" E, along and with a southwest line of the Schwab tract, a southwest right-of-
way li000fQroeuVuUoyBnud,(CooutyRuad37G),ovareblewi6Hirbdht-uf-vvay,uoorUmamt\iuepf
the 522.18 acre tract, at a distance of 199.06 feet, passing the southwest line of the Schwab tract,
the northwest right-of-way line of Green Valley Road, continuing a total distance of 224.95 feet to a
point, for the southeast corner oY the tract described herein;
THENCE: S$O"8V 57" W, along and with the ostensible location of the City Limits Line of the City
ofScberbr and City of Cibolo Er line, into and across the 522Ji8 acre tract, u distance nf4083^87
feet to a found 1/2" iron rod, for the southeast corner of the 18.751 acre tract, the northeast corner of
the 20.00 acre tract, the southwest corner of the 522.18 acre tract and the tract described herein;
THENCE: 030' 20' 29" W, along and with the northeast line of the 18.751 acre tract and the
southwest line of the 52218 acre tract, a distance my328.82 feet Lua found 1/2" iron rod with o
plastic cap stamped "CEC", an easterly corner of the 18.751 acre tract, an interior corner of the
522.28 acre tract and the tract described herein;
THENCE: 88O=16'13"W, along and with u north line uy the 18.7S1 acre tract, a distance of12.g5
feet to a found 1/2" iron rod with a plastic cap stamped "CEC", for an interior corner of the 18,751
acre tract and a westerly corner of the tract described herein;
THENCE: m 30" 66' 16" W, ukoou and with the northeast Due of the 18.751 acre tract and o
northeast line u[The Links at Scenic Hills, Unit 3, a subdivision plat u[ record (u Volume y Page 646
of the Mao and Plat Records nYGuadalupe Co Texas, at m dletuuoo of 216.25 feet, passing a
found 1/2'' iron rod with u plastic cap stamped 'lucnboproy''furtbeoozdbmamtoocoero[tha18.7S1
acre tract and the southeast corner of The LJpbu at Scenic Hills, Dmdt 3, continuing for total
distance of501.7O feet 1uu set 44" iron rod with oblue plastic cap stamped "KFVy Surveying" for
corner of the 522,18 acre tract, an interior corner of The Links at Scenic Hills, Unit 3 and a westerly
corner oY the tract described herein;
THENCE: N 120 20' 23" W, along and with the northeast lines of The Links at Scenic Hills, Unit 3,
the remaining portion of a 168.088 acre tract conveyed to Investment Scenic Hills, LTD, of record in
Volume 1634 9eQo 179 of the 0UIoiol Public kounrda of Guadalupe County, Texas, The [iobo at
Scenic Hills, Unit 1, a subdivision plat of record in Volume 7 Page 389 of the Map and Plat Records
of Guadalupe County, Texas, the Replat of Fairhaven, Unit 2, a subdivision plat of record in Volume
7 Page 447 of the Map and Plat Records of Guadalupe County, Texas and Fairhaven, Unit 2, a
subdivision plat of record in Volume 7 Page 224 of record In the Map and Plat Records of Guadalupe
County, Texas, a distance of 1335.20 feet to a set I/z" iron rod with a blue plastic cap stamped "KFW
Surveying" in the northeast line of Lot 52, Block 26 of The Links At Scenic Hills, Unit I of record in
Volume 7 Page 389 of the Map and Plat Records of Guadalupe County, Texas and for the southwest
corner of a 23.76 acre tract conveyed to the Board of Trustees of The Schertz-Cibolo-Universal City
Independent School District of record in Volume 4176 Page 283 of the Official Public Records of
Guadalupe County, Texas, for a westerly corner of the 522.18 acre tract and the tract described
herein, from which a found 1/2" iron rod with a plastic cap stamped "C-B SA PROP", for the northeast
corner of Lot 57, Block 26 of the Replat of Fairhaven, Unit 2, the southeast corner of Lot 36, of the
Fairhaven, Unit 2 bears N 120 20'23" W, a distance of 197.59 feet,
THENCE: Along and with the 33.76 acre tract, into and across the 52%.1Q acre tract, the following
nine (9) calls and distances.
1. N 79"11'57° of 596.17 feet to a set 1/2" iron rod with a blue plastic cap
ateonpe6"KRVy for ao angle point of the tract described herein,
2. 8J 50"03;22" E, a distance of 820.77 feet Co a set Y2" boo rod with o blue plastic cap
stamped "K[W Surveying" for a southeast corner of the tract described herein,
3. y033'40'59" 9K o distance of 72208 feet to a net Y2" iron iroo rnd with a blue plastic cop
stamped "KFW Surveying" for a northeasterly corner of the tract described herein,
4` 8 56»18'31" W, a 6lmtuooe of 241.20 feet to a set 16" lrno rod with u blue plastic cap
stamped "KFW Surveying" for an angle point of the tract described herein,
S. G 83045"09" W, a distance of 567.84 feet to a set Yz" \cno rod with a blue plastic cup
mtangpmd^KFvV forau angle point of the tract described herein,
6. S 77"39'37° W, a dtshsooe of 234.68 feet to o set Y2" iron rod with u bhxa plastic cap
utampmd"I(FVV Surveying" for ou interior corner wf the tract described herein,
7. 0 12'20'23" W, a distance of 361.41 feet to a set :I/z' iron rod with u blue pluodo cup
stamped "I(FW Surveying" for an angle point of the tract described herein,
8. 029'38`53p W,u distance of 305.62 feet to u uutI/z" iron rod with a blue plastic cup
stamped 1CFVvGu ^ g'Iorauortbeaotmrlvcornerofthebac1denodbe6bereio,an6
9. S68=21'Q7"W,a distance of50.W0 feet too set }/2~ iron rod with u blue plastic cap stamped
"KFW Surveying" for the southeast corner o[ Lot 17vf Fairhaven, Unit 2^aC the termination
nf the northeast d line of Black Butte, a5O^6gzt-nf-vmy,of record tu Volume 6
Page 763ufthe Map and Plat Records uf Guadalupe County and a southwesterly corner oy
the tract described herein;
THENCE: 0��53" W, along and with the northeast line of The Ridge at Scenic Hills, Unit 1,a
subdivision plat of record in Volume 6 Page 763 of the Map and Plat Records of Guadalupe
Texas and The Fairways at Scenic Hills, Unit 3B, a subdivision plat of record in Volume 7 Page 203
of the Map and Plat Records of Guadalupe County� Texas, the southwest line of the 522AB acre tract,
a distance of 912.18 feet to a set 1/2" iron rod with a blue plastic cap stamped 9(FW Surveying", for
the southwest corner of the 68.274 acre tract and the northwest corner of the 522.18 acre tract and
the tract described herein, from which a found 1/2" iron rod for the southwest corner of Lot 23 and
the northeast corner of Lot 26 and for an angle point in the southeast line of The Fairways of Scenic
Hills, Unit 3B bears N 29' 38' 53" W, a distance of 100.78 feet,
THENCE: Departing of the northeast line of Lot 26 in The Fairways at Scenic Hills, Unit 3B, along
and with the southeast and east lines of the 68.274 acre tract and the northwest and west lines of
the S22.18acre tract, the following ten [18] calls and distances:
1. N 53"D2'42'E,o distance of1147.11 feet toa set 8/ iron rod with a blue plastic cap
m "KFVV for mo angle point oF the tract described herein,
3. 0 66"2M/ 37~ E, a distance of241.33'feet to n yet Y2" bmu rod with o blue rJamd* cap
stamped ''KFVVOnrveydug", for the southeast corner of the 68.374 acre tract an interior
comer nf the 522,18 acre tract and the tract described herein,
3. N 06» 46' 13" of 622.12 feet to a set 1/2" iron rod with ablue plastic cap
otanuped"KFW SorveyboQ", for a point uf curvature to the left,
4. with a curve to the left, having an arc of 26.76 feet a radius of 1350.00 feet, m delta of
01"08'08" and chord bears 0 07'20'17"W, distance 26.76 feet to a set f6" iron rod
with p blue plastic cap stamped "KT-VySurveydug", for a compound curve,
5. with a curve 1n the left, having oo arc of6^3R feet, n radius nfS.00 feet, o delta of73"03"51"
and a obnnd bears 044"2 ,17 a distance of 5.95 feet to o set I/Z" iron rod with blue
plastic cap stamped "}{FW Surveying", for a point of reverse curve,
6. with a curve to the right, having an arc of 361.36 feet, a radius of 155.00 feet, a delta of
133 °34•'31" and a chord bears N 14 °20'57 "W, a distance of 284.91 feet to a set 1 /z" iron rod
with a blue plastic cap stamped "KFW Surveying ", for a point of reverse curve,
7. with a curve to the left, having an arc of 6.38 feet, _a radius of 5.00 feet, a delta of 73 003'51"
and a chord bears N 16 °04'23 "E, a distance of 5.95 feet to a set 1/2" iron rod with a blue
plastic cap stamped "KFW Surveying ", for a point of compound curve,
8. with a curve to the left, having an arc of 312.45 feet, a radius of 1350.00 feet, a delta of
13 "15'39" and a chord bears N 27 005`23 "W, a distance of 311.76 feet to a set 1 /z" iron rod
with a blue plastic cap stamped "KFW Surveying", for a compound curve,
9. with a curve to the left, having an arc of 1107.42 feet, a radius of 730.00 feet, a delta of
86 055'07" and a chord bears N 77 °10'46 "W, a distance of 1004.25 feetto a set 1/2" iron rod
with a blue plastic cap stamped "KFW Surveying ", for a corner of the tract described herein,
and
10. N 30° 38' 19" W, a distance of 20.00 feet to the POINT OF BEGINNING and containing
312.03 acres more or less situated in the City of Schertz, Coma] and Guadalupe Cou ties,
Texas and being described in accordance with a survey prepared by KFW Surx n
tot
job No. 13 -016,
Prepared by; KFW Surveying
Date: August 19, 2015 f>
Revised: August 21, 2015 1, �7 ; >' l
File: S: \Draw 2013 \13 -016 Nortex \DOCS \FN 522.18AC -RES ARE UP
We
I
AM.
FM
NO
� �_ ®I��oOI @IQQ�mII®
!!Big111mom
0 miss
HIR,
HIH
MH
n try
Rig
Hil R Px
16-
g
uk�
Eli
AM.
FM
NO
� �_ ®I��oOI @IQQ�mII®
!!Big111mom
0 miss
07 w
X
0
uj
x
O
@j
3:
66
3:
Z
D 0 ti
0
0
0
R
0
Z
2
O F.
vs v
A2
>
u
E
E 43
7.
2
ti E o
ws
.a-
-0
x
�u
'�q >
if o
z
0
ill
>
0
u
in
E
1>
2
-Fu
E �
b 2 -,5
E -3 JO
UM
0
U0 o
�
E
0
O
@j
3:
66
3:
Z
D 0 ti
0
0
0
R
0
Z
2
ill
O
@j
3:
66
3:
Z
D 0 ti
0
0
0
R
0
Z
2
EXHIBIT "E"
WARRANTY DEED
LEGAL DF,,SCDRIPTTON
14,86-ACRE "I'1UCT
Parklands Development Agreement/ Homestead
SURVEYING
FIELD NOTES
FOR
A 14.86 ACRE TRACT
A 14.86 acre tract of land out of the P. San Miguel Survey No. 256, Abstract 227, situated in the City
of chertz, Guadalupe County, Texas, being out of a 522.18 acre tract as conveyed to ILF N-T Owner,
LP of record in Document Number 201406044206 of the Official Public Records in Comal County,
Texas and being more particularly described by metes and bounds as follows:
BEGINNING at a set Yz" iron rod with a blue plastic cap stamped "KFW SURVEYING" in the
northeast line of Lot 52, Block 26 of the Links at Scenic Hills, Unit 1, a subdivision plat of record in
Volume 7 Page 389 of the Map and Plat Records of Guadalupe County, Texas, for the southwest
corner of a 23.76 acre tract of land conveyed to the Board of Trustees of The Schertz-Cibolo-
Universal City Independent School District of record in Volume 4176 Page 283 of the Official Public
Records of Guadalupe County, Texas, for a westerly corner of the 522,18 acre tract and for the
northwest corner of the tract described herein, from which a found Y2" iron rod with a plastic cap
stamped "C-B SA PROP" for the northeast corner of Lot 57, Block 26 of the Replat of Fairhaven, Unit
2, a subdivision plat of record in Volume 7 Page 447 of the Map and Plat Records of Guadalupe
County, Texas, for the southeast corner of Lot 36, Block 23 of the Fairhaven, Unit 2, a subdivision
plat of record in Volume 7 Page 224 of the Map and Plat Records of Guadalupe County, Texas and in
the westerly line of the 23.76 acre tract bears, N 12' 20'23" W, a distance of 197,59 feet,
THENCE: Along and with the common lines between the 522.18 acre tract and the 23.76 acre tract
the following two (2) courses:
1. N 790 11' 57" E, a distance of 596.17 feet to a set '/z" iron rod with a blue plastic cap
stamped "KFW SURVEYING" for an exterior corner of the 23,76 acre tract, an interior corner
of the 522.18 acre tract and the tract described herein, and
2. N 501 03' 22" E, a distance of 808.21 feet to a set Y2" iron rod with a blue plastic cap
stamped "KFW SURVEYING" for the northeast corner of the tract described herein, from
which a set Y2" iron rod with a blue plastic cap stamped "KFW SURVEYING" for the
southeast corner of the 23.76 acre tract and an interior corner of the 522.18 acre tract
bears, N 50' 03'22" E, a distance of 12.56 feet;
THENCE: Into and across the 522.18 acre tract the following seventeen (17) courses:
1. S 35* 44' 14" E, a distance of 263.31 feet to a set 1/2" iron rod with a blue plastic cap
stamped "KFW SURVEYING" for a point of curvature of the tract described herein,
1 With a curve to the right, having a radius of 3950.00 feet, an arc length of 202.74 feet, a
delta angel of 021 56' 27" and a chord bears, S 34' 16' 01" E, a distance of 202.72 feet to a
set I/z" iron rod with a blue plastic cap stamped "KFW SURVEYING" for a point of non-
tangency and an easterly corner of the tract described herein,
3. S 86' 32' 18" W, a distance of 126.27 feet to a set 1/2" iron rod with a blue plastic cap
stamped "KFW SURVEYING" for an interior corner of the tract described herein,
4. S 520 04' 40" W, a distance of 222.81 feet to a set Y2." iron rod with a blue plastic cap
stamped "KFW SURVEYING" for a point of curvature of the tract described herein,
5. With a curve to the left, having a radius of 1435.00 feet, an arc length of 657.65 feet, a
delta angle of 26015'29" and a chord bears, S 390 46'22" W, a distance of 651.91 feet to a
set Y?" iron rod with a blue plastic cap stamped "KFW SURVEYING" for a point of tangency
of the tract described herein,
6. S 26' 38' 38" W, a distance of 232.20 feet to a set Y2" iron rod with a blue plastic cap
stamped `"KFW SURVEYING" for a point of curvature and the southeast corner of the tract
described herein,
7. With a non-tangent curve to the left, having a radius of 625.00 feet, an arc length of 57.79
feet, a delta angle of 05' 17' 54!' and a chord bears, N 07* 50'42" W, a distance of 57.77
feet to a set Y2," iron rod with a blue plastic cap stamped "KFW SURVEYING" for a point of
non-tangency of the tract described herein,
8. N 06' 11' 43" W, a distance of 42,71 feet to a set Y2" iron rod with a blue plastic cap
stamped "KFW SURVEYING" for an exterior corner of the tract described herein,
9. N 19' 24' 08" E, a distance of 138.82 feet to a set Y2" iron rod with a blue plastic cap
stamped "KFW SURVEYING" for an interior corner of the tract described herein,
10. N 000 47' 30" E, a distance of 67.71 feet to a set 1/2" iron rod with a blue plastic cap
stamped "KFW SURVEYING" for an interior corner of the tract described herein,
11. N 26' 12' 53" W, a distance of 117.35 feet to a set V2" iron rod with a blue plastic cap
stamped "KFW SURVEYING" for an interior corner of the tract described herein,
11 N 71' 27' 19" W, a distance of 135.85 feet to a set 1h" iron rod with a blue plastic cap
stamped "KFW SURVEYING" for an interior corner of the tract described herein,
13. S 71' 45' 06" W, a distance of 113.10 feet to a set Y2" iron rod with a blue plastic cap
stamped "KFW SURVEYING" for an interior corner of the tract described herein,
M S 42' 19' 34" W, a distance of 74.82 feet to a set 1/2" iron rod with a blue plastic cap
stamped " "KFW SURVEYING" for an interior corner of the tract described herein,
15. S 191 24' 08 W, a distance of 204.31 feet to a set Y2" iron rod with a blue plastic cap
stamped ITW SURVEYING" for an interior corner of the tract described herein,
16. 5 06' 16' 14" W, a distance of 154.02 feet to a set Y2" iron rod with a blue plastic cap
stamped "KFW SURVEYING" for an exterior corner of the tract described herein, and
17, S 210 21' 50" W, a distance of 123.07 feet to a set Y?" iron rod with a blue plastic cap
stamped "KFW SURVEYING" in the northeast line of Lot 10, Block 34, of The Links at Scenic
Hills, Unit 3, a subdivision plat of record in Volume 7 Page 646 of the Official Public Records
of Guadalupe County, Texas, in a westerly line of the 522.18 acre tract and for the southwest
corner of the tract described herein;
THENCE: N 12* 20'23" W, along and with the common line between the 522.18 acre tract and
the northeasterly lines of Lot 10, Block 34, of The Links at Scenic Hills, Unit 3, an 8.368 acre
tract of land conveyed to the City of Schertz of record in Volume 2521 Page 716 of the Official
Public Records of Guadalupe County, Texas and Lot 52, Block 26 of the Links at Scenic Hills, Unit
1, a distance of 781.22 feet to the POINT OF BEGINNING and containing 14.86 acres, more or
less, situated in the City of Schertz, Guadalupe County, Texas, Bearings are based on NAD83
1`20111 Texas State Plane South Central Zone 4204
Job No.: 13-016
Prepared by, 1(FW Surveying
Date.- August 20, 2015
File: S:\Draw 2013\13-016 Nortex\DOCS\FN 14.86 Acres City
Agenda No. 9
CITY COUNCIL MEMORANDUM
City Council Meeting: December 20, 2016
Department: City Secretary
Subject: Resolution No. 16-R-93 — Designating the
City's official newspaper as the San Antonio
Express -News
BACKGROUND
Ordinance No. 78 -M -22 requires the City Council, by Resolution, to designate a public
newspaper of general circulation in the City of Schertz as the City's official newspaper.
On December 7, 2016, the City was notified by San Antonio Express -News Legal Coordinator
Cynthia Castillo that the Daily Commercial Recorder, which was our official newspaper of
record, would cease publication permanently effective December 30, 2016.
City Staff solicited information regarding pricing and publication frequency from The San
Antonio Express - News, the Northeast Herald and the Seguin Gazette. Based upon the
information gathered and speaking to all departments who publish legal notices the best interest
is to name the San Antonio Express News as the City of Schertz newspaper of record. The
Northeast Herald only publishes once per week which would likely extend the time for many
development projects to obtain approval. Additionally, this limits the ability for staff to seek
approval of items on short notice. The Seguin Gazette is received as a subscription by
approximately 70 residents /businesses. While the cost to publish in the San Antonio Express
News on days other than Wednesday are significantly more, it is recommended that all
departments try and take advantage of a Wednesday publication if timelines permit which will
allow for additional savings. Additionally, the Planning Department will consider passing on the
fee increase to developers.
FISCAL IMPACT
Although this item has already been budgeted for the 201.6 -1.7 fiscal year, a budget adjustment
might be necessary to cover any overages at the end of the fiscal year for legal advertising. We
understand the costs to publish in the San Antonio Express News is listed below:
Frequency
Service
Standard Prices
Daily
Per line
$14.49
Daily
$202.86 per col. inch
Sunday
Per line
$17.08
Sunday
$239.1.2 per col. inch
Wednesday
Per line
$3.25
Wednesday
$ 45.50 per col. inch
On average, the cost to publish in the Daily Commercial Recorder was generally $2.34 per line.
Approval of Resolution No. 16 -R -93 designating the San Antonio Express -News as the City of
Schertz Newspaper of Record beginning December 22, 2016.
ATTACHMENT
Resolution No. 16 -R -93
RESOLUTION NO. 16 -R -93
A RESOLUTION BY THE CITY COUNCIL OF THE CITY OF
SCHERTZ, TEXAS DESIGNATING THE CITY'S OFFICIAL
NEWSPAPER AND OTHER MATTERS IN CONNECTION THEREWITH
WHEREAS, Ordinance No. 78 -M -22 requires the City Council, by Resolution, to
designate a public newspaper of general circulation in the City of Schertz as the City's official
newspaper; and
WHEREAS, the City Council has determined that it is in the best interest of the City (i)
to designate the San. Antonio Express -News as the City's official newspaper for the publication .
of legal notices and other City notices and advertisements; and
WHEREAS, by Resolution No. 1.6 -R -93, the City Council (i) designates the San Antonio
Express -News for the publication of legal notices and other City notices and advertisements; and
THAT:
Section 1. The City Council of the City of Schertz, Texas, hereby designates the San
Antonio Express -News as the City's official newspaper for the publication of all official legal
notices and other City notices and advertisements beginning on December 22, 2016; pursuant to
the terms approved by Resolution No. 16 -R -93.
Section 2. The City Secretary is directed to provide a copy of this Resolution to the
San Antonio Express -News to evidence the City's designation of the San Antonio Express -News
as the City's official newspaper.
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 Resolution for all purposes and are adopted as a
part of the judgment and findings of the City Council.
Section 4. 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 5. This Resolution 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 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 7. 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
EN
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 8. This Resolution shall be in force and effect from and after its final
passage, and it is so resolved.
City Secretary
(CITY SEAL)
CITY OF SCHERTZ, TEXAS
Mayor
:►
Agenda No. 10
CITY COUNCIL MEMORANDUM
City Council Meeting: December 20, 2016
Department: City Secretary
Subject: Boards, Commissions and Committee
Member Resignations and Appointment
As a result of the recent city election the City Secretary's office has received resignations from
Angelina Kiser from Economic Development Corporation (EDC), Mark Davis from Parks &
Recreation Advisory Board and Transportation Safety Advisory Commission (TSAC) and Bert
Crawford from the Planning and Zoning Commission (P & Z), as they are now serving on
Council.
Current Boards, Commission and Committee vacancies:
Board of Adjustment (BOA)
Economic Development Corporation
Historical Preservation Committee
Parks & Recreation Advisory Board
Planning & Zoning Commission
Transportation Safety Advisory Commission
1 Alternate Position.
2 Regular Positions
1 Regular Position
2 Regular and 2 Alternate Positions
1 Regular Position
1 Regular and 2 Alternate Positions
Various applications were received from new and existing members. Applications were
presented to the Interview Committee on Thursday, December 8, 2016 . and interviews were
conducted.
As a result of the meeting the following recommendations for appointments are being presented
to Council from the Interview Committee for approval:
0 BOA —1 Alternate Position Available - New Applicant — Mr. Danny Sale
• EDC -2 Regular Positions Available—
Regular: New Applicant —Mrs. Mireille Ferdinand - Herculem
Regular: Mr. Mark Tew (Mark will also continue to serve on TSAC as a regular member until
more applications come in).
City Council Memorandum
Page 2
• Parks & Recreation — 2 Regular and 2 Alternate Positions available:
Regular: Dr. Ronald Washington
Regular: Phillip Rowland (Phillip Rowland currently serves as a regular member of TSAC, he will
be moved as an Alternate on TSAC)
Alternate: Former Councilmember Jim Fowler
J. Alternate position still available
• Planning and Zoning -1 Regular Position Available
Regular: Glen Outlaw (Glen Outlaw currently serves as a regular member of TSAC and will
remain until we received more applications.)
• Transportation Safety Advisory Board — 2 Regular and 2 alternates open
Regular: New Applicant — JohnCorreu
Regular: New Applicant — Paul Ryson
Alternate: Phillip Rowland (Move him from regular position)
1 Alternate position still available
FISCAL IMPACT
None
RECOMMENDATION
Staff recommends ratifying the resignations of Angelia Kiser, Mark Davis and Bert Crawford
and ratifying the following appointments:
Mr. Danny Sale — Alternate member to the Board of Adjustment
Mrs. Mireille Ferdinand- Herculeum — and Mr. Mark Tew — Regular Members to the Economic
Development Corporation Board of Directors
Dr. Roland Washington and Mr. Phillip Rowland — Regular Members to the Parks & Recreation
Advisory Board and Mr. Jim Fowler — as an Alternate Member
Mr. Glen Outlaw — Regular Member to the Planning & Zoning Commission
Mr. John Correu and Mr. Paul Ryson — Regular Members to the Transportation Safety Advisory
Commission and move Mr. Phillip Rowland from a regular member to an alternate member.
Item No. 11
CITY COUNCIL MEMORANDUM
City Council Meeting: December 20, 2016
Department: Council
Subject: City Council Liaison Position
Appointments to the various City Council
Liaison Positions.
BACKGROUND
During the December 6, 2016 City Council meeting, councilmembers exchanged dialogue in
regard to their interest in volunteering to serve as a liaison on the boards /committees that
currently have vacancies.
The following councilmembers have offered to serve on the following boards /committees:
1. Animal Control Advisory Committee — Councilmember Ralph Gutierrez
2. Sweetheart Advisory Group — Councilmember Angelina Kiser
3. Schertz Housing Authority Board — Councilmember Mark Davis
4. Schertz Seguin Local Government Corporation (SSLGC) — Councilmember
Bert Crawford
5. Interview Committee for Appointments to City Boards and Commissions —
Councilmembers Mark Davis and Bert Crawford
6. Lone Star Rail District Board — Councilmember Ralph Gutierrez
7. TIRZ II Board— Councilmember Ralph Gutierrez
8. Investment Advisory Committee — Councilmember Ralph Gutierrez
FISCAL IMPACT
RM
RECOMMENDATION
Staff recommends Council review the above appointments as well as discuss possible other
reassignments and come to a consensus for the appointments to the various City Council liaison
positions.
Agenda No. 12
CITY COUNCIL MEMORANDUM
City Council Meeting: December 20, 2016
Department: Parks
Subject: Ordinance No. 16 -T -41 — An Ordinance by
the City Council of the City of Schertz,
Texas authorizing a budget adjustment to
provide for new sidewalks and trails (C. Van
Zandt /L. Shrum /B. James) (First Reading)
BACKGROUND
The Transportation Alternatives Program receives funds from the Federal Highway
Administration and provides federal funding to local governments that are enhancing pedestrian
safety and enhancing connectivity through alternative transportation methods such as walking
and bicycling. TA funds can be used for the construction of sidewalks, trails, greenways, bike
lanes and associated amenities such as trail lighting, crosswalk improvements, and pedestrian
safety signage. On October 27, 2016, Lauren Shrum, Asst. Director of the Parks, Recreation, and
Community Services Department attended a Transportation Alternatives (TA) Fund Workshop
hosted by the Alamo Area Metropolitan Planning Organization (AAMPO) and the Texas
Department of Transportation (TxDOT) covering the processes associated with the application .
for federal funding. Staff was contemplating applying for funds to construct sidewalks /trails
along Live Oak Road and Wiederstein Road to connect the hike and bike trails on Schertz
Parkway with the new sidewalks along FM 3009 to increase connectivity and create a loop
system for runners.
In the AAMPO Workshop applicants were encouraged to meet with the appropriate TxDOT
district official first to verify the project proposal was eligible before a significant amount of
staff time was spent preparing an application for funding. TxDOT officials agreed that the
project proposal fit the criteria for submittal and encouraged staff to submit for the TA funds. On
November 15, 2016, staff met with Mark Mosley and Darcie Schipull (from TxDOT) in order to
introduce themselves to the key administrators of the program and provide them with the details
of the program being proposed by the Parks, Recreation, and Community Services Department
of the City of Schertz.
The TxDOT officials noted that key aspects of the scoring criteria were present in our proposal .
such as — (1) the proposed project is in alignment with the Parks and Recreation Master Plan and
the City Master Thoroughfare Plan, (2) the proposed project completes sidewalk /trail gaps
between the Schertz Parkway and FM 3009 along Live Oak Road and Wiederstein Road, (3) the
proposed project enhances pedestrian safety, and (4) the proposed project improvements serve
high demand pedestrian generators (i.e. schools, parks, libraries within close proximity.)
The Transportation Alternatives Program is a reimbursable program but all project development
costs, and a local 20% contribution match, are the responsibility of the implementing agency.
The AAMPO also requires project proposals to have a minimum construction cost of $1,000,000.
The City's commitment /match must be in place and approved by City Council Ordinance as one
of the key criteria in pursuit of the funding. As such staff is requesting a budget adjustment for
$250,000 to apply for these funds. Staff anticipates seeking approval of a resolution to apply for
the funds at the January 10, 2017 meeting.
Goal
Approve Ordinance 16 -T -41 authorizing a budget adjustment and use of funds from the fund
balance to be utilized to leverage $800,000 from the Transportation Alternatives Program to
construct sidewalks along Live Oak Street from Schertz Parkway to FM 3009 and complete the
decomposed granite trail section from Schertz Parkway to Wiederstein Road along the LCRA
easement to complete connectivity all the way to FM 3009.
Community Benefit
Construction of sidewalks along both sides of Live Oak Road to fill in gaps in connectivity from
the Schertz Parkway to FM 3009 in central Schertz will enhance pedestrian safety in an area with
many high demand pedestrian generators. The area is frequently utilized by pedestrians going to
and from Clemens High School, the Schertz Library, the Schertz Dog Park, and the Schertz
Skate Park.
Construction of the decomposed granite trail from the Schertz Parkway northeast along the
LCRA easement to Wiederstein Road and across to Forest Ridge Park in north Schertz will
enhance pedestrian safety for the many recreational users of the Forest Ridge Trail and the
Schertz Parkway sidewalks and allow full pedestrian connectivity between Schertz Parkway to
FM 3009.
The project will complete a full circuit — Schertz Parkway to Wiederstein Road to FM 3009 to
Live Oak Road and back to Schertz Parkway — and allow continuous connectivity between two
major arterials in heart of the City of Schertz.
Summary of Recommended Action.
City Council approval to adjust the budget to set the project budget and recognize use of the fund
balance to cover the City's 20% contribution plus all project development costs.
FISCAL IMPACT
$250,000 to provide the City's 20% contribution for the proposed construction costs plus all
project development costs. Staff is requesting these funds be allocated from the City's fund
balance in order to be able to apply for the funding, but with the intent that the anticipated CO
bond issuance in early 2017 provide $250,000 in funds that will actually be used for this project
rather than lowering the City's fund balance.
RECOMMENDATION
Staff recommends Council approval of Ordinance 16 -T -41 on first reading.
ATTACHMENTS
Ordnance No. 16 -T -41
ORDINANCE NO. 16 -T -41
AN ORDINANCE BY THE CITY COUNCIL OF THE CITY OF
SCHERTZ, TEXAS AUTHORIZING A BUDGET ADJUSTMENT TO
PROVIDE FOR NEW SIDEWALKS AND TRAILS; REPEALING ALL
ORDINANCES OR PARTS OF ORDINANCES IN CONFLICT WITH
THIS ORDINANCE;
WHEREAS, pursuant to Ordinance 16 -T -29, the City of Schertz (the "City") adopted the
budget for the City for the fiscal year 2016 -2017 (the "Budge ), which provides funding for the
City's operations throughout the 201.6 -2017 fiscal year; and
WHEREAS, the City of Schertz Parks, Recreation, and Community Services Department
wishes to pursue federal funding through the Transportation Alternatives Program to build
connecting sidewalks /trails between Schertz Parkway and FM 3009 along Live Oak Road and
Wiederstein Road; and
WHEREAS, the Transportation Alternatives Program is a reimbursable program but all
project development costs, and a local 20% contribution match, are the responsibility of the
implementing agency; and
WHEREAS, the Alamo Area Metropolitan Planning Organization (AAMPO) requires
project proposals to have a minimum construction cost of $1,000,000 plus $50,000 in project
development costs; and
WHEREAS, the City needs to adjust the budget to authorize the implementing agency's
(City's) match of $200,000, plus the project development costs, are estimated to be $250,000;
and
WHEREAS, the City Council of the City has determined that it is in the best interest of
the City to adjust the Budget and approve the budget adjustment for the Transportation
Alternatives Program for the construction of sidewalks and trails, 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 by $1,050,000 for the estimated project
construction and development costs.
Section 2. The City shall recognize the use of $250,000 of the General Fund Fund
Balance and $800,000 grant revenue equal to provide funding for this project.
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 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 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 20th day of December, 2016. .
PASSED, APPROVED and ADOPTED ON SECOND READING, the day of
'2017.
Michael R. Carpenter, Mayor
ATTEST:
Brenda Dennis, City Secretary
(SEAL OF THE CITY)
50558021.1 - 2 -
Agenda No. 13
CITY COUNCIL MEMORANDUM
City Council Meeting: December 20, 2016
Department: Engineering and Public Works
Subject: Resolution No. 16 -R -91 - A Resolution by the City
of Schertz authorizing contracts with Lockwood,
Andrews & Newnam, Inc., totaling no more than
$150,000 for the design of the Cibolo Creek Bridge
Project and various separate and unrelated
engineering services during the 2016 -2017 Fiscal
Year
BACKGROUND
Lockwood, Andrews & Newnam, Inc. (LAN) was awarded a three -year agreement for On -Call
Engineering Services via Resolution 14 -R -55. The City's practice is to seek authorization from
Council when expenditures with a vendor exceed $50,000 in one fiscal year. The City has several
projects coming up (outlined below) for which professional engineering services will be required, and
LAN is qualified to provide such services.
Additionally, the Engineering and Public Works Departments have a periodic need for engineering
and /or surveying services with very limited scope. It is desired that Staff have the ability to request
consulting services to be provided and invoiced on an hourly basis as needed.
Staff wishes to contract with LAN for the following projects:
Proposed Proiects
Amount
Cibolo Creek Bridge Project
$71,640 (50% to be reimbursed by Cibolo)
Fire /EMS Oil -Water Separator
$20,620
Oak Forest Drainage
$5,800
Miscellaneous Tasks
$51,940
The total of known, proposed projects equals $98,060 (of which $35,820 will be reimbursed by
Cibolo). Staff is requesting approval for expenditures totaling no more than $150,000 to allow for the
City to contract with LAN for the known proposed projects and to have the ability to contract with
LAN for up to an additional $51,940 for unexpected minor consulting tasks that may arise during this
fiscal year.
GOAL
To obtain authorization from City Council to contract with LAN to provide professional engineering
and/or surveying services in an amount not to exceed $150,000 during the 2016 -201.7 Fiscal Year.
SUMMARY OF RECOMMENDED ACTION
Staff recommends that Council authorize the use of LAN for engineering and surveying services as
needed for the 2016 -201.7 Fiscal. Year in an amount not to exceed $150,000.
FISCAL IMPACT
Funds are budgeted and available for the not -to- exceed amount of $150,000 for the known proposed
projects. Any currently unknown tasks that exceed current budget amounts will be appropriately
funded and proper procedures for any necessary budget adjustments will be followed prior to any
work being authorized.
ATTACHMENTS
Resolution 16 -R -91
Cibolo Creek Bridge Project Agreement with LAN
RESOLUTION NO. 16 -R -91
A RESOLUTION BY THE CITY COUNCIL OF THE CITY OF
SCHERTZ, TEXAS AUTHORIZING CONTRACTS WITH LOCKWOOD,
ANDREWS, AND NEWNAM, INC., TOTALING NO MORE THAN
$150,000, FOR THE DESIGN OF THE CIBOLO CREEK BRIDGE
PROJECT AND VARIOUS SEPARATE AND UNRELATED
ENGINEERING SERVICES DURING THE 2016 -2017 FISCAL YEAR
AND OTHER MATTERS IN CONNECTION THEREWITH
WHEREAS, the City of Schertz (the "City ") requires professional engineering and
surveying services for the completion of the Cibolo Creek Bridge Project and various separate
and unrelated projects; and
WHEREAS, City staff has determined that Lockwood, Andrews & Newnam, Inc. (LAN)
is qualified to provide such services for the City; and
WHEREAS, LAN, Inc., is an approved On -Call Engineering Firm for the City of
Schertz; and
WHEREAS, the City Council authorizes City Staff to use LAN for the design of the
Cibolo Creek Bridge Project and various separate and unrelated projects to be invoiced in an
amount not to exceed $150,000 for the 2016 -2017 Fiscal Year.
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS
.........:.....
Section 1. The City Council hereby authorizes the City Manager to execute and
deliver the Agreements with LAN, Inc., in substantially the form set forth on Exhibit A.
Engineering services will be provided related to projects and minor consulting tasks and total
expenditures shall not exceed $150,000 for the 2016 -201.7 Fiscal Year.
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.
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 20th day of December, 2016
ATTEST:
Brenda Dennis, City Secretary
(CITY SEAL)
CITY OF SCHERTZ, TEXAS
Michael R. Carpenter, Mayor
-2-
CITY OF SCIIERTZ
PROJECT AGREEMENT FOR PROFESSIONAL SERVICES
This Agreement is entered into in the City of Schertz, Texas, between the City of Schertz, a
Texas municipal corporation, hereinafter called "CITY" and /or "OWNER ", and Lockwood,
Andrews, and Newnam, Inc. hereinafter called "CONSULTANT ".
Engineer(s), duly licensed, and practicing under the laws of the State of Texas, hereinafter called
"CONSULTANT ", this Agreement being executed by City pursuant to appropriate action by the
City Council of CITY and by CONSULTANT, for engineering services hereinafter set forth in
connection with the above designated Project for CITY.
ARTICLE 1
DEFINITIONS
ARTICLE 2
SCOPE OF SERVICES
ARTICLE 3
COMPENSATION FOR SERVICES
ARTICLE 4
METHOD OF PAYMENT
ARTICLE 5
TIME, SCHEDULE, AND PERIOD OF SERVICE
ARTICLE 6
COORDINATION WITH CITY
ARTICLE 7
REVISIONS TO DRAWINGS AND SPECIFICATIONS
ARTICLE 8
OWNERSHIP OF DOCUMENTS
ARTICLE 9
TERMINATION AND /OR SUPENSION OF WORK
ARTICLE 10
CONSULTANT'S WARRANTY
ARTICLE 1.1
ASSIGNMENT OR TRANSFER OF INTEREST
ARTICLE 12
INSURANCE REQUIREMENTS
ARTICLE 13
INDEMNIFICATION
ARTICLE 14
CLAIMS AND DISPUTES
ARTICLE 15
SEVERABILITY
ARTICLE 16
ESTIMATES OF COST
ARTICLE 17
INTEREST IN CITY CONTRACTS PROHIBITED
ARTICLE 18
CONFLICTS OF INTEREST DISCLOSURE
ARTICLE 19
STANDARD OF CARE
ARTICLE 20
RIGHT OF REVIEW AND AUDIT
ARTICLE 21
ENTIRE AGREEMENTS
ARTICLE 22
VENUE
ARTICLE 23
NOTICES
ARTICLE 24
INDEPENDENT CONTRACTOR
ARTICLE 25
CAPTIONS
ATTACHMENT 1
PROJECT SCOPE OF SERVICES
ATTACHMENT 2
PROJECT DESIGN PHASES COST
ATTACHMENT 3
BILLING RATE SCHEDULE
ATTACHMENT 4
ADDITIONAL PROJECTS AND /OR EXPANDED SCOPE
OF SERVICES
Lower Seguin Rd. Culvert Replacement Page 1
ARTICLE 1: DEFINITIONS
AS USED IN THIS AGREEMENT, THE FOLLOWING TERMS SHALL HAVE MEANINGS
AS SET OUT BELOW:
Agreement means this Master Agreement between CITY and CONSULTANT that
establishes the terms and conditions for all Projects to be carried out under this
Agreement.
Application for Compensation means the form CONSULTANT uses to make a request
to be paid for completed services.
Application for Payment means the form CONSTRUCTION CONTRACTOR uses to
make a request to be paid for completed work.
Certificate for Payment means the form CONSULTANT uses to make
recommendations on CONSTRUCTION CONTRACTOR'S Application for Payment.
CITY means the City of Schertz, Texas.
Claim means a demand or assertion by one of the parties seeking, as a matter of right,
adjustment, or interpretation of the terms of this Agreement, payment of money,
extension of time, or other relief with respect to the terms of this Agreement. The term
"claim" also includes other disputes and matters in question between the OWNER and
CONSULTANT arising out of or relating to this Agreement.
Compensation means amounts paid by CITY to CONSULTANT for completed services
under this Agreement.
CONSTRUCTION CONTRACTOR means the firm hired by CITY to construct the
Project.
Construction Contract Documents means the contract between the CITY and the firm
contracted by CITY to construct the Project and all documents therein.
CONSULTANT means the entity named on the cover page of this Agreement and its
officers, partners, employees, agents, and representatives, and all its subconsultants, if
any, and all other persons or entities for which CONSULTANT is legally responsible.
ENGINEER means CITY's City Engineer.
Final Compensation means the final amounts paid by CITY to CONSULTANT for
completed services under this Agreement.
Final Payment means the final amounts paid by CITY to CONSTRUCTION
CONTRACTOR for completed work under the construction contract.
Lower Seguin Rd. Culvert Replacement Page 2
Opinion of Probable Construction Cost means CONSULTANT'S estimate of probable
construction cost for a Project based on its experience and qualifications as a practitioner
of its profession and the current costs in the local area.
OWNER means the City of Schertz, Texas.
Payment means amount paid by CITY to CONSTRUCTION CONTRACTOR for work
performed under the Construction Contract Documents.
Plans and Specifications means the construction documents.
Project means the capital improvement /construction development undertaking of CITY
for which CONSULTANT'S services, as stated in the Scope of Services, and to be
provided pursuant to this Agreement.
Proposal means CONSULTANT'S proposal to provide services for the Project.
Schedule of Values means the fees allocated to services, reimbursable and /or various
portions of the services or Work, prepared in such form, and supported by such data to
substantiate its accuracy as OWNER may require.
Scope of Services means the services described in Article 4, Scope of Services.
Services means professional services performed by CONSULTANT.
Total Compensation means the amount paid to CONSULTANT under Article 2,
Compensation for Basic Services, of this Agreement.
Work means the labor and materials required to complete a Project by
CONSTRUCTION CONTRACTOR in accordance with the Construction Contract
Documents.
ARTICLE 2: SCOPE OF SERVICES
2.1 CONSULTANT shall not commence work until being thoroughly briefed on the scope of
the Project and being notified in writing to proceed. The scope of the Project and
CONSULTANT'S Services required shall be reduced by CONSULTANT to a written .
summary of the scope meeting. That Scope of Services and associated cost, once
approved by CITY, will be included as a part of this Agreement as Attachments 1 and 2
herein. Should the scope subsequently change, either CONSULTANT or CITY may
request a review of the anticipated services, with an appropriate adjustment in
compensation.
2.2 Communications by and with CONSULTANT'S subconsultants shall be through
CONSULTANT. Communications by and with subcontractors and material suppliers shall
be through CONSTRUCTIONN CONTRACTOR.
Lower Seguin Rd. Culvert Replacement Page 3
2.3 CONSULTANT, in consideration for the Compensation herein provided, shall render the
professional Services described in this Section that are necessary for the development of
the Project, including plans and specifications, construction management services, any
special and general conditions, and instructions to bidders as acceptable to the Engineer,
or his or her duly authorized representative.
2.4 CONSULTANT shall complete a Project in accordance with the CONSULTANT'S Scope
of Services attached and incorporated herein as Attachments l and 2.
2.5 Upon acceptance and approval of the plans, reports or other deliverables required for a
Phase of work, as set forth in the Scope of Services, Engineer shall authorize
CONSULTANT, in writing, to proceed with the next phase of Work.
2.6 During Design Phases CONSULTANT shall:
2.6.1 Coordinate and meet with City staff and Project stakeholders as appropriate
throughout the Project. Assist staff at meetings with stakeholders, workshops,
and presentations to advisory commissions and City Council.
2.6.2 Provide the necessary field survey services to determine the existing field
conditions, including all utilities and surface features to the maximum extent
possible.
2.6.3 CONSULTANT shall make every effort to minimize utility adjustments, where
possible.
2.6.4 In the event electrical, communication, gas or other facilities are encountered,
CONSULTANT shall identify and incorporate those facilities at the completion of
each Project Phase in order to determine the magnitude of any potential
adjustment.
2.6.5 Perform the necessary testing to determine the existing site conditions and proper
design for construction and methods of any necessary demolition.
2.6.6 Follow and comply with the requirements for the Design Phases listed in this
Agreement, CITY'S Unified Development Code, if applicable, and CITY'S
Design Guidance Manual, both of which are incorporated by reference herein.
2.6.7 In case of conflicts, follow and comply with the most stringent requirements for
the Design Phases.
2.6.8 Prepare documents for, and coordinate with other utilities and associated local,
state, and federal agencies (including TCEQ, EPA, TxDOT, ACOE, etc.) as
required for the approval of all necessary permits (determined during scoping for
each individual project).
2.6.9 Provide detailed plans and specifications for the Project at appropriate progress
intervals in requested formats (may include hard copy, .pdf, and .dwg).
Lower Seguin Rd. Culvert Replacement Page 4
2.6.10 Provide Opinion of Probably Construction Cost.
2.7 During Bid Phase CONSULTANT shall:
2.7.1 Provide unit price bid quantities in City bid form format for use in bid documents.
2.7.2 Provide bid sets of contract, technical specifications, plans, and any other
necessary documents in hard copy and digital format.
2.7.3 Attend pre -bid conference and prepare responses to questions and addenda as
necessary.
2.7.4 Research qualifications and references of apparent low bidder(s) and provide a
letter of recommendation for contract award.
2.8 During Construction Phase:
2.8.1 CONSULTANT shall monitor construction schedule.
2.8.2 CONSULTANT will make a minimum of two visits per month to the Project Site
at intervals appropriate to the Phases to (1) become generally familiar with and to
keep CITY informed about the progress and quality of the portion of the Work
completed, and (2) endeavor to guard CITY against defects in Work. However,
CONSULTANT will not be required to make exhaustive or continuous on -site
inspections to check the quality or quantity of the Work.
2.8.3 CONSULTANT will neither have control over or charge of, nor be responsible
for, the construction means, methods, techniques, sequences or procedures, or for
the safety precautions and programs in connection with the Work since these are
solely CONSTRUCTION CONTRACTOR'S rights and responsibilities under the
Contract Documents. CONSULTANT'S efforts will be directed toward providing
for CITY a greater degree of confidence that the completed Work will generally
conform to the Contract Documents.
2.8.4 CONSULTANT will not be responsible for CONSTRUCTION
CONTRACTOR'S failure to perform the Work in accordance with the
requirements of the Contract Documents. CONSULTANT will not have control
over or charge of and will not be responsible for acts or omissions of
CONSTRUCTION CONTRACTOR, subcontractors, or their agents or
employees, or any other persons or entities performing portions of the Work.
2.8.5 CONSULTANT and CITY have authority to reject Work that does not conform to
the Contract Documents. Whenever CONSULTANT or CITY considers it
necessary or advisable, either CITY or CONSULTANT may require inspection or
testing of the Work whether or not such Work is fabricated, installed or
completed. However, neither this authority of CONSULTANT or CITY, nor a
decision made by either, in good faith, to require or not require an inspection shall
give rise to a duty or responsibility of CONSULTANT or CITY to
Lower Seguin Rd. Culvert Replacement Page 5
CONSTRUCTION CONTRACTOR, subcontractors, material and equipment
suppliers, agents or employees, or other persons or entities performing portions of
the Work.
2.8.6 CONSULTANT will review and approve or take other appropriate action upon
CONSTRUCTION CONTRACTOR'S submittals such as Shop Drawings,
Product Data and Samples, but only for the limited purpose of checking for
conformance with information given and the design concept expressed in the
Contract Documents. CONSULTANT will respond to submittals such as Shop
Drawings, Product Data, and Samples pursuant to the procedures set forth in the
Project specifications. Review of such submittals is not conducted for the purpose
of determining the accuracy and completeness of equipment or systems, all of
which remain the responsibility of CONSTRUCTION CONTRACTOR as
required by the Contract Documents. CONSULTANT'S review of
CONSTRUCTION CONTRACTOR'S submittals shall not relieve
CONSTRUCTION CONTRACTOR of its obligations. CONSULTANT'S review
shall not constitute approval of safety precautions or any construction means,
methods, techniques, sequences or procedures unless otherwise specifically stated
by CONSULTANT. CONSULTANT'S approval of a specific item shall not
indicate approval of an assembly of which the item is a component.
2.8.7 CONSULTANT will, within three work days after receipt of CONSTRUCTION
CONTRACTOR'S Application for Payment review the Application for Payment
and either issue to OWNER and /or the affected utility a Certificate for Payment
for such amount as CONSULTANT determines is properly due, or notify
OWNER, any affected utility, and CONSTRUCTION CONTRACTOR in writing
of CONSULTANT'S reasons for withholding recommendation of approval in
whole or in part.
2.8.8 CONSULTANT'S issuance of a Certificate for Payment will constitute a
representation by CONSULTANT to OWNER, based on CONSULTANT'S
evaluation of the Work and the data comprising the Application for Payment, that
the Work has progressed to the point indicated and that, to the best of
CONSULTANT'S knowledge, information and belief, the quality of the work is
in accordance with the design agreement documents or Construction Contract
Documents. The foregoing representations are subject to an evaluation of the
Work for conformance with the design agreement documents, to results of
subsequent tests and inspections, to correction of minor deviations from the
design agreement documents prior to completion, and to any specific
qualifications expressed by CONSULTANT. The issuance of a Certificate for
Payment based on the CONSTRUCTION CONTRACTOR'S Application for
Payment will further constitute a representation that CONSTRUCTION
CONTRACTOR is entitled to payment in accordance with the Schedule of
Values. The issuance of Certificate for :Payment will not be a representation that
CONSULTANT has (1) made exhaustive or continuous on -site inspections to
check the quality or quantity of the Work, (2) reviewed construction means,
methods, techniques, sequences or procedures, (3) reviewed copies of requisitions
Lower Seguin Rd. Culvert Replacement Page 6
received from Subcontractors and material suppliers and other data requested by
OWNER to substantiate Construction Contractor's right to payment, or (4) made
any examination to ascertain how or for what purpose CONSTRUCTION
CONTRACTOR has used money previously paid on account of the Application
for Payment sum.
2.8.9 CONSULTANT may recommend withholding an approval for Payment in whole
or in part, to the extent reasonably necessary to protect OWNER if, in
CONSULTANT'S opinion, the representations to OWNER required by Section
4.1.3 cannot be made. If CONSULTANT is unable to recommend approval of
payment in the amount of the Application, CONSULTANT will notify OWNER
and CONSTRUCTION CONTRACTOR as provided in Section 4.12. If OWNER
and CONSULTANT cannot agree on a revised amount, CONSULTANT will
promptly issue a Certificate for Payment for the amount for which
CONSULTANT is able to make such representations to OWNER.
CONSULTANT may also recommend withholding a Payment, because of
subsequently discovered evidence, may modify the whole or a part of a Certificate
for Payment to such extent as may be necessary, in CONSULTANT'S opinion, to
protect OWNER and the affected utility from loss for which CONSTRUCTION
CONTRACTOR is responsible, including loss resulting from acts and omissions
described below:
2.8.9.1 defective Work not remedied;
2.8.9.2 third party claims filed or reasonable evidence indicating probable
filing of such claims for which CONSTRUCTION CONTRACTOR is
responsible hereunder unless security acceptable to OWNER and the
affected utility is provided by CONSTRUCTION CONTRACTOR;
2.8.9.3 failure of CONSTRUCTION CONTRACTOR to make payments
properly to the subcontractors and/or material providers;
2.8.9.4 reasonable evidence that the Work cannot be completed for the unpaid
balance of the agreement sum and CONSTRUCTION CONTRACTOR
has failed to provide OWNER and the affected utility adequate
assurance of its continued performance within a reasonable time after
demand;
2.8.9.5 damage to OWNER or another contractor;
2.8.9.6 reasonable evidence that the Work will not be completed within the
agreement time, and that the unpaid balance would not be adequate to
cover actual or liquidated damages for the anticipated delay; or
2.8.9.7 persistent failure by CONSTRUCTION CONTRACTOR to carry out
the Work in accordance with the Construction Contract Documents.
Lower Seguin Rd. Culvert Replacement Page 7
2.8.10 When the above reasons for withholding payment are removed, payment will be
made for amounts previously withheld. OWNER shall not be deemed in default
by CONSULTANT by reason of withholding payment as provided herein.
2.8.11 CONSULTANT will prepare Change Orders and Field Work Directives, and,
with concurrence of OWNER, OWNER'S designated representative will have
authority to order minor changes in the Work not involving an adjustment in the
Total Compensation or an extension of the time for construction. Such changes
shall be effected by written order, which CONSTRUCTION CONTRACTOR
shall carry out promptly and record on the as -built plan.
2.8.12 Upon written request of CITY or CONSTRUCTION CONTRACTOR,
CONSULTANT will issue its interpretation of the requirements of the Plans and
Specifications. CONSULTANT'S response to such requests will be made in
writing within any agreed time limits or otherwise with reasonable promptness. If
no agreement is made concerning the time within which interpretations required
by CONSULTANT shall be furnished in compliance with Article IV, then delay
shall not be recognized on account of failure by CONSULTANT to furnish such
interpretations until 1.5 days after written request is made for CONSULTANT'S
interpretation.
2.8.1.3 Interpretations of CONSULTANT will be consistent with the intent of and
reasonably inferable from the Construction Contract Documents and will be in
writing or in the form of drawings.
2.8.14 CONSULTANT will advise and consult with CITY. CITY'S instructions to
CONSTRUCTION CONTRACTOR may be issued through CONSULTANT, but
CITY reserves the right to issue instructions directly to CONSTRUCTION
CONTRACTOR through inspectors or other designated CITY representatives.
2.8.15 CONSULTANT and CITY will conduct observations to determine the date of
substantial completion of the Work. CONSULTANT shall provide to CITY a
written recommendation of consideration of substantial completion of the Project.
2.8.16 CONSULTANT and CITY will conduct observations to determine the date of
final completion. CONSULTANT will receive and forward to CITY, for CITY'S
review and records, written warranties and related documents required by the
Construction Contract Documents and assembled by CONSTRUCTION
CONTRACTOR, and will issue a final Approval for Payment upon compliance
with the requirements of the Construction Contract Documents. Such final
Approval will be accompanied by a signed and sealed statement from the
CONSULTANT'S Engineer of Record that certifies to CITY that the project was
constructed in accordance with the approved plans and specifications.
2.8.17 CONSULTANT shall prepare record drawings from information submitted by
CONSTRUCTION CONTRACTOR and from CONSULTANT'S own
Lower Seguin Rd. Culvert Replacement Page 8
observations in accordance with City standards. CONSULTANT shall provide
record drawings in hard copy, .pdf, and .dwg formats to CITY.
ARTICLE 3: COMPENSATION FOR SERVICES
3.1 Basic Services
3.1.1 Compensation for all Services included in this Agreement will be on a time and
expense not -to- exceed basis in accordance with the negotiated, approved schedule
of billing rates as set forth in Attachment 3. Not -to- exceed compensation
amounts, to the extent they have been negotiated shall be reflected in Attachment
3. A Proposal including a not -to- exceed cost will be provided by
CONSULTANT along with a Scope of Services for each Project (Attachments 1
and 2). The amount to be paid to CONSULTANT, including authorized
adjustments, is the total amount payable by OWNER to CONSULTANT for
performance of the Services for the Project under this Agreement. It is agreed
and understood that such amount will constitute full compensation to
CONSULTANT for Services included in the Scope of Services and shall meet all
requirements of CITY'S design guidelines applicable to the Project. Unless and
until CITY makes further appropriations for any Services not included in the
Scope of Services of this Agreement, the obligation of CITY to CONSULTANT
for Compensation in connection with this Agreement cannot and will not exceed
the sum described in this Section without further amendment to this Agreement.
3.1.2 No billing rate changes from those approved as Attachment 3 of this Agreement
shall be made during the term of this Agreement without the prior written
approval of CITY.
3.1.3 CONSULTANT shall submit monthly invoices to CITY describing the Services
performed the preceding month. CONSULTANT'S invoices shall include the
name of the person who performed the Service, a brief description of the Service
performed and the Phase of the Project to which the Service relates, the date(s)
the Service was performed, the number of hours spent on all Services billed on an
hourly basis, and a description of any subconsultant fees and /or reimbursable
expenditures.
3.1.4 CITY shall reimburse CONSULTANT only for those costs or expenses
specifically approved in this Agreement, or specifically approved in advance by
CITY. Unless otherwise approved, such costs shall be limited and include
nothing more than the following costs incurred by CONSULTANT:
3.1.4.1 Approved reproduction charges,
3.1.4.2 Actual costs of subconsultant(s) for performance of any of the Services
that CONSULTANT agrees to provide pursuant to this Agreement,
which have been approved in advance by CITY and awarded in
accordance with this Agreement.
Lower Seguin Rd. Culvert Replacement Page 9
3.1.4.3 Actual costs and /or other costs and /or payments specifically authorized
in advance by the CITY in writing and incurred by CONSULTANT in
the performance of this Agreement.
3.1.5 CONSULTANT shall complete the Project in accordance with the phases
described in the Scope of Services, Attachment 2 shall apply.
3.1.6 CONSULTANT shall, within 10 days following receipt of Compensation from
OWNER, pay all bills for Services performed and furnished hereunder by
subconsultant(s) of CONSULTANT in connection with the Project and the
performance of services and shall, if requested, provide OWNER with evidence
of such payment. CONSULTANT'S failure to make payments within such time
shall constitute a material breach of this Agreement unless CONSULTANT is
able to demonstrate to OWNER bona fide disputes associated with the Services of
the unpaid subconsultant and its services. CONSULTANT shall include a
provision in each of its sub agreements imposing the same payment obligations on
its subconsultants as are applicable to CONSULTANT hereunder, and if OWNER
so requests, shall provide evidence of such payments by CONSULTANT to
OWNER. If CONSULTANT has failed to make payment promptly to the
subconsultant for undisputed Services for which OWNER has made payment to
CONSULTANT, OWNER shall be entitled to withhold future payment to
CONSULTANT to the extent remaining unpaid by CONSULTANT necessary to
protect OWNER.
3.1.7 CONSULTANT warrants that title to all deliverables produced in the
performance of Services covered by an Application for Compensation will pass to
OWNER no later than the time of payment. CONSULTANT further warrants that
upon submittal of an Application for Compensation, all Services for which
Applications for Compensation have been previously issued and payments
received from OWNER shall, to the best of CONSULTANT'S knowledge,
information and belief be free and clear of liens, claims, security interests or
encumbrance in favor of CONSULTANT, or other persons or entities under
contract with CONSULTANT making a claim by reason of having provided labor
or services relating to CONSULTANT'S Services. CONSULTANT SHALL
INDEMNIFY AND HOLD OWNER HARMLESS FROM ANY LIENS,
CLAIMS, SECURITY INTEREST OR ENCUMBRANCES FILED BY
ANYONE CLAIMING BY, THROUGH OR UNDER THE ITEMS COVERED
BY PAYMENTS MADE BY OWNER TO CONSULTANT.
3.2 Additional Services
3.2.1 CONSULTANT shall not receive any compensation for additional Services
without prior written authorization of CITY. Compensation for duly authorized
additional Services shall be paid in accordance with the approved schedule of
billing rates as set forth in Attachment 3.
3.2.2 Examples of additional Services (not all inclusive)
Lower Seguin Rd. Culvert Replacement Page 10
3.2.2.1 Assistance to CITY as an expert witness in any litigation with third
parties arising from the development of construction of a Project
including the preparation of engineering data and reports.
3.2.2.2 Preparation of plats and field notes for acquisition of property.
3.2.2.3 Preparation of applications and supporting documents for governmental
grants, loans, or advances in connection with a Project; preparation of
review of environmental assessment and impact statements; review and
evaluation of the effect on the design requirements of a Project of any
such statements and documents prepared by others; and assistance in
obtaining approval of authorities having jurisdiction over the
anticipated environmental impact of a Project.
3.2.2.4 Making revisions in drawings, specifications, or other documents when
such revisions are inconsistent with written approvals or instructions
previously given, are required by the enactment or revision of codes,
laws, or regulations subsequent to the preparation of such documents or
are due to other causes not solely within the control of
CONSULTANT.
3.2.2.5 Making revisions to drawings or specifications occasioned by
acceptance of substitutions proposed by CONSTRUCTION
CONTRACTOR; and Services after the award of each contract in
evaluating and determining the acceptability of an unreasonable or
excessive number of substitutions proposed by CONSTRUCTION
CONTRACTOR.
3.2.2.6 Preparing drawings, specifications, and supporting data and providing
other Services in connection with change order requests to the extent
that the adjustment in the basic compensation resulting from the
adjusted construction cost is not commensurate with the Services
required of CONSULTANT, provided such change order requests are
required by causes not solely within the control of CONSULTANT; or
in connection with change orders requiring significant engineering
effort to compute and document the Work effort reflected by the
Change Order.
3.2.2.7 Investigations, surveys, valuations, inventories, or detailed appraisals of
facilities, construction and /or services not required by Project scope.
3.2.2.8 Investigations, surveys, audit, or inventories required in connection
with construction performed by CITY.
3.2.2.9 Additional Services during construction made necessary by:
3.2.2.9.1 Work damaged by fire or other cause during construction.
Lower Seguin Rd. Culvert Replacement Page 11
3.2.2.9.2 A significant amount of defective or neglected work of
CONSTRUCTION CONTRACTOR.
3.2.2.9.3 Failure of performance of CONSTRUCTION
CONTRACTOR.
3.2.2.9.4 Acceleration of the progress schedule required by CITY
involving Services beyond normal working hours.
3.2.2.9.5 Default by CONSTRUCTION CONTRACTOR.
3.2.2.10 Providing extensive assistance in the use of any equipment or system
such as initial start-up or testing, adjusting and balancing, preparation
of operation and maintenance manuals, training personnel for operation
and maintenance, and consultation during operation.
3.2.2.11 Providing Services relative to future facilities, systems, and equipment
which are not intended to be constructed during the Construction Phase.
3.2.2.12 Services after completion of the Construction Phase, such as
inspections during any guarantee period and reporting observed
deficiencies under guarantee called for in any contract for a Project.
3.2.2.1.3 Providing Services of geotechnical engineering firm to perform test
borings and other soil or foundation investigations and related analysis
not included in original Scope of Services for a Project.
3.2.2.14 Additional copies of Construction Contract Documents, review
documents, bidding documents, reports, and or drawings over the
number specified in the original Scope of Services for a Project.
3.2.2.15 Preparation of all documents dealing with 404 permits and railroad
agreements.
3.2.2.1.6 Providing photographs, renderings, or models for CITY use.
3.2.2.17 Providing aerial mapping Services.
3.2.2.18 Providing consulting engineering Services not related to a particular
design or construction Project.
3.3 All Applications for Compensation shall be submitted through. Engineer's office.
ARTICLE 4: METHOD OF PAYMENT
4.1 Compensation may be made to CONSULTANT as appropriately indicated on monthly
Applications for Compensation prepared based on hourly rates, not to exceed amounts
estimated for each phase, as described in Article 2 and Attachments 1 and 2 hereof.
Lower Seguin Rd. Culvert Replacement Page 12
4.2 Project Close Out and Final Payment —
4.2.1 CONSULTANT shall not be entitled to final payment unless and until it submits
to OWNER its affidavit that the invoices for services, and other liabilities
connected with the services for which OWNER, or OWNER'S property, might be
responsible have been fully paid or otherwise satisfied or will be paid from final
payment; releases and waivers of liens from all CONSULTANT'S subconsultants
and of any and all other parties required by OWNER that are either unconditional
or conditional on receipt of final payment; certificates of insurance showing
continuation of required insurance coverage; such other documents as OWNER
may request; and consent of surety to final payment.
4.2.2 Final Compensation — The final compensation to be made by CITY to
CONSULTANT will be payable upon submission of the "Record Drawings".
CONSULTANT agrees to submit "Record Drawings: in print media, electronic
format (.pdf and.dwg formats) and final billing within 45 days of final acceptance
of construction. Additionally, CONSULTANT agrees to submit a statement of
release with the final billing notifying CITY that there is no further compensation
owed to CONSULTANT by CITY beyond the final bill. Final billing shall
indicate "Final Bill — no additional compensation is due to CONSULTANT".
4.3 OWNER may withhold compensation to such extent as may be necessary, in OWNER'S
opinion, to protect OWNER from damage or loss for which CONSULTANT is
responsible, because of,
4.3.1 delays in the performance of CONSULTANT'S services;
4.3.2 third party claims filed or reasonable evidence indicating probable filing of such
claims unless security acceptable to OWNER is provided by CONSULTANT;
4.3.3 failure of CONSULTANT to make payments properly to subconsultants or
vendors for labor, materials or equipment;
4.3.4 reasonable evidence that CONSULTANT'S work cannot be completed for the
amount unpaid under this Agreement;
4.3.5 damage to OWNER or CONSTRUCTION CONTRACTOR; or
4.3.6 persistent failure by CONSULTANT to carry out the performance of its Services
in accordance with this Agreement.
4.4 When the above reasons for withholding are removed or remedied by CONSULTANT,
compensation of the amount withheld will be made within a reasonable time. OWNER
shall not be deemed in default by reason of withholding compensation as provided for in
this Article.
4.5 In the event of any dispute(s) between the parties regarding the amount properly payable
for any Phase or as final Compensation, or regarding any amount that may be withheld by
Lower Seguin Rd. Culvert Replacement Page 13
OWNER, CONSULTANT shall be required to make a claim pursuant to and in
accordance with the terms of this Agreement and follow the procedures provided herein
for the resolution of such dispute. In the event CONSULTANT does not initiate and
follow the claims procedures provided in this Agreement in a timely manner and as
required by the terms thereof, any such claim shall be waived.
4.6 OWNER shall make final compensation for all sums due CONSULTANT not more than
30 days after CONSULTANT'S final Application for Compensation.
4.7 Acceptance of final compensation by CONSULTANT shall constitute a waiver of claims
except those previously made in writing and identified by CONSULTANT as unsettled at
the time of final Application for Compensation.
4.8 CONSULTANT agrees to maintain adequate books, payrolls and records satisfactory to
OWNER and all applicable utility providers in connection with any and all Services
performed hereunder. CONSULTANT agrees to retain all such books, payrolls and
records (including data stored in computer) for a period of not less than four years after
completion of Work. At all reasonable times, OWNER and all applicable utility providers
and their duly authorized representatives shall have access to all personnel of
CONSULTANT and all such books, payrolls and records, and shall have the right to audit
same.
5.1 Prior to commencement, CONSULTANT shall provide CITY with a schedule of Project
Design Phases, Attachment 2.
5.2 Time is of the essence of this Agreement. CONSULTANT shall perform and complete its
obligations for the various Phases of a Project under Section 4, Scope of Services, of this
Agreement in a prompt and continuous manner so as to not delay the development of the
design Services and so as to not delay the construction of the work for the Project in
accordance with the schedules approved by CITY with CONSTRUCTION
CONTRACTOR. Upon review of phase Services, if corrections, modifications,
alterations, or additions are required of CONSULTANT, these items shall be completed
by CONSULTANT before that Phase is approved.
5.3 CONSULTANT shall not proceed with the next appropriate Phase of Services without
written authorization from the Engineer. CITY may elect to discontinue
CONSULTANT'S Services at the end of any Phase for any reason. Notwithstanding any
other provisions of this Agreement, if circumstance dictates, the Engineer may make
adjustments to the scope of CONSULTANT'S obligations at any time to achieve the
required design.
5.4 CONSULTANT shall not be liable or responsible for any delays due to strikes, riots, acts
of God, national emergency, acts of the public enemy, governmental restrictions, laws or
regulations, or any other causes beyond CONSULTANT'S reasonable control. Within 21
days from the occurrence of any event for which time for performance by
CONSULTANT will be significantly extended under this provision, CONSULTANT
Lower Seguin Rd. Culvert Replacement Page 14
shall give written notice thereof to CITY stating the reason for such extension and the
actual or estimated time thereof. If CITY determines that CONSULTANT is responsible
for the need for extended time, CITY shall have the right to make a Claim as provided in
this Agreement.
5.5 Term of Agreement shall be as follows:
5.5.1 This Agreement shall become effective upon October 28, 2016 and shall remain
in effect until satisfactory completion of the Project unless terminated as provided
for in this Agreement.
ARTICLE 6: COORDINATION WITH CITY
6.1 CONSULTANT shall hold periodic conferences with the Engineer or his or her
representatives to the end that the Project as developed shall have the full benefit of
CITY'S experience and knowledge of existing needs and facilities, and be consistent with
its current policies and standards. To assist CONSULTANT in this coordination, CITY
shall make available for CONSULTANT'S use in planning and designing the Project all
existing plans, maps, statistics, computations and other data in its possession relative to
existing facilities and to this particular Project, at no cost to CONSULTANT. However,
any and all such information shall remain the property of CITY and shall be returned by
CONSULTANT upon termination or completion of the Project or if instructed to do so by
the Engineer.
6.2 The Engineer will act on behalf of CITY with respect to the Services to be performed
under this Agreement. The Engineer shall have complete authority to transmit
instructions, receive information, interpret and define CITY'S policies and decisions with
respect to materials, equipment, elements and systems pertinent to CONSULTANT'S
services.
6.3 CITY will give prompt written notice to CONSULTANT whenever CITY observes or
otherwise become aware of any defect in CONSULTANT'S Services, in the work of
CONSTRUCTION CONTRACTOR, or any development that affects the scope or timing
of CONSULTANT'S Services.
6.4 All appraisals, notices, and permits shall be furnished by CONSULTANT under the Scope
of Services unless otherwise assigned to CITY in the Scope of Services, Approvals and
permits assigned to CITY shall be obtained from all governmental authorities having
jurisdiction over the Project and such approvals and consents from others as may be
necessary for the completion of the Project. CONSULTANT will provide CITY
reasonable assistance in connection with such approvals and permits such as the
furnishing of data compiled by CONSULTANT pursuant to other provisions of this
Agreement, but CONSULTANT shall not be obligated to develop additional data, prepare
extensive reports or appear at hearings or the like unless compensated therefore under
other provisions of this Agreement.
Lower Seguin Rd. Culvert Replacement Page 15
ARTICLE 7: REVISIONS TO DRAWINGS AND SPECIFICATIONS
7.1 CONSULTANT shall make without expense to CITY such revisions to the drawings,
reports or other documents as may be required to meet the needs of CITY which are
within the Scope of Services, but after the approval of drawings, reports or other
documents and specifications by CITY, any revisions, additions, or other modifications
made at CITY'S request which involve extra services and expenses to CONSULTANT
shall be at additional compensation to CONSULTANT for such additional Services and
expenses in accordance with Article 3 herein.
ARTICLE 8: OWNERSHIP OF DOCUMENTS
8.1 All previously owned documents, including the original drawings, estimates,
specifications, and all other documents and data by CONSULTANT, will remain the
property of CONSULTANT as instruments of service. However, CONSULTANT
understands and agrees that CITY shall have free access to all such information with the
right to make and retain copies of previously owned drawings, estimates, specifications
and all other documents and data. Any reuse without specific written verification or
adaptation by CONSULTANT will be at CITY'S sole risk and without liability or legal
exposure to CONSULTANT.
8.2 All completed documents submitted by CONSULTANT for final approval or issuance of
a permit shall bear the seal with signature and date adjacent thereto of a registered
professional engineer licensed to practice in the State of Texas.
8.3 CONSULTANT acknowledges and agrees that upon payment, CITY shall own
exclusively any and all information in whatsoever form and character produced and /or
maintained in accordance with, pursuant to, or as a result of this Agreement and shall be
used as CITY desires and documents, including the original drawings, estimates,
specifications and all other documents and data shall be delivered to CITY at no
additional cost to CITY upon request or termination or completion of this Agreement
without restriction on future use. However, any reuse without specific written verification
or adaptation by CONSULTANT will be at CITY'S sole risk and without liability to
CONSULTANT.
8.4 CONSULTANT agrees and covenants to protect any and all proprietary rights of CITY in
any materials provided to CONSULTANT. Such protection of proprietary rights by
CONSULTANT shall include, but not be limited to, the inclusion in any copy intended for
publication of copyright mark reserving all rights to CITY. Additionally, any materials
provided to CONSULTANT by CITY shall not be released to any third party without the
written consent of CITY and shall be returned intact to CITY upon termination or
completion of this Agreement or if instructed to do so by the Engineer.
8.5 CONSULTANT HEREBY ASSIGNS ALL STATUTORY AND COMMON LAW
COPYRIGHTS TO ANY COPYRIGHTABLE WORK THAT IN PART OR IN
WHOLE WAS PRODUCED FROM THIS AGREEMENT TO CITY, INCLUDING
ALL EQUITABLE RIGHTS. NO REPORTS, MAPS, DOCUMENTS OR OTHER
Lower Seguin Rd. Culvert Replacement Page 16
COPYRIGHTABLE WORKS PRODUCED IN WHOLE OR IN PART BY THIS
AGREEMENT SHALL BE SUBJECT OF AN APPLICATION FOR COPYRIGHT
BY CONSULTANT. ALL REPORTS, MAPS, PROJECT LOGOS, DRAWINGS OR
OTHER COPYRIGHTABLE WORK PRODUCED UNDER THIS AGREEMENT
SHALL BECOME THE PROPERTY OF CITY (EXCLUDING ANY PRIOR
OWNED INSTRUMENT OF SERVICES, UNLESS OTHERWISE SPECIFIED
HEREIN). CONSULTANT SHALL, AT ITS EXPENSE, INDEMNIFY CITY AND
DEFEND ALL SUITS OR PROCEEDINGS INSTITUTED AGAINST CITY AND
PAY ANY AWARD OF DAMAGES OR LOSS RESULTING FROM AN
INJUNCTION, AGAINST CITY, INSOFAR AS THE SAME ARE BASED ON ANY
CLAIM THAT MATERIALS OR WORK PROVIDED UNDER THIS
AGREEMENT CONSTITUTE AN INFRINGEMENT OF ANY PATENT, TRADE
SECRET, TRADEMARK, COPYRIGHT OR OTHER INTELLECTUAL
PROPERTY RIGHTS.
8.6 CONSULTANT may make copies of any and all documents and items for its files.
CONSULTANT shall have no liability for changes made to or use of the drawings,
specifications and other documents by other engineers, or other persons, subsequent to the
completion of the Project. CONSULTANT shall appropriately mark all changes or
modifications on all drawings, specifications and other documents by other engineers or
other persons, including electronic copies, subsequent to the completion of the Project.
8.7 Copies of documents that may be relied upon by CITY are limited to the printed copies
(also known as hard copies) and .pdf- format electronic versions that are sealed and signed
by CONSULTANT. Files in editable electronic media format of text, data, graphics, or
other types (such as .dwg) that are furnished by CONSULTANT to CITY are only for
convenience of CITY or any utility. Any conclusion or information obtained or derived
from such electronic files will be at the user's sole risk. Any reuse without specific written
verification or adaptation by CONSULTANT will be at CITY'S sole risk and without
liability to CONSULTANT.
8.8 Notwithstanding anything to the contrary contained herein, all previously owned
intellectual property of CONSULTANT, unless expressly purchased by CITY, including
but not limited to any computer software (object code and source code), tools, systems,
equipment or other information used by CONSULTANT or its suppliers in the course of
delivering the Services hereunder, and any know -how, methodologies, or processes used
by CONSULTANT to provide the services or protect deliverables to CITY, including
without limitation, all copyrights, trademarks, patents, trade secrets, and any other
proprietary rights inherent therein and appurtenant thereto shall remain the sole and
exclusive property of CONSULTANT or its suppliers.
ARTICLE 9: TERMINATION AND /OR SUSPENSION OF WORK
9.1 Right of Either Party to Terminate for Default
9.1.1 This Agreement may be terminated by either party for substantial failure by the
other party to perform (through no fault of the terminating party) in accordance
Lower Seguin Rd. Culvert Replacement Page 17
with the terms of this Agreement and a failure to cure as provided in this Article
9.
9.1.2 The party not in default must issue a signed, written notice of termination (citing
this paragraph) to the other party declaring the other party to be in default and
stating the reason(s) why they are in default. Upon receipt of such written notice
of default, the party in receipt shall have a period of ten days to cure any failure to
perform under this Agreement. Upon the completion of such 10 -day period
commencing upon receipt of notice of termination, if such party has not cured any
failure to perform, such termination shall become effective without further written.
notice.
9.2 Right of CITY to Terminate
9.2.1 CITY reserves the right to terminate this Agreement for reasons other than
substantial failure by CONSULTANT to perform by issuing a signed, written
notice of termination (citing this paragraph) which shall take effect on the
twentieth day following receipt of said notice or upon the scheduled completion
date of the performance Phase in which CONSULTANT is then currently
working, whichever effective termination date occurs first.
9.3 Right of CITY to Suspend Giving Rise to Right of CONSULTANT to Terminate
9.3.1 CITY reserves the right to suspend this Agreement at the end of any Phase for the
convenience of CITY by issuing a signed, written notice of suspension (citing this
paragraph) which shall outline the reasons for the suspension and the expected
duration of the suspension, but such expected duration shall in no way guarantee
what the total number of days of suspension will occur. Such suspension shall
take effect immediately upon receipt of said notice of suspension by
CONSULTANT.
9.3.1.1 CONSULTANT is hereby given the right to terminate this Agreement
in the event such suspension extends for a period in excess of 120 days.
CONSULTANT may exercise this right to terminate by issuing a
signed, written notice of termination (citing this paragraph) to CITY
after the expiration of 120 days from the effective date of the
suspension. Termination (under this paragraph) shall become effective
immediately upon receipt of said written notice by CITY.
9.4 Procedures CONSULTANT Shall Follow upon Receipt of Notice of Termination.
9.4.1 Upon receipt of a notice of termination and prior to the effective date of
termination, unless the notice otherwise directs or CONSULTANT immediately
takes action to cure a failure to perform under the cure period set out in this
Article. CONSULTANT shall immediately begin the phase -out and the
discontinuance of all services in connection with the performance of this
Agreement and shall proceed to promptly cancel all existing orders and contracts
insofar as such orders and contracts are chargeable to this Agreement. Within 30
Lower Seguin Rd. Culvert Replacement Page 18
days after receipt of such notice of termination (unless CONSULTANT has
successfully cured a failure to perform) CONSULTANT shall submit a statement
showing in detail the Services performed under this Agreement prior to the
effective date of termination. CITY shall have the option to grant an extension to
the time period for submittal of such statement.
9.4.2 Copies of all completed or partially completed specifications and all
reproductions of all completed or partially completed designs, plans and
attachments prepared under this Agreement prior to the effective date of
termination shall be delivered to CITY, in the form requested by CITY as a
precondition to final payment. These documents shall be subject to the restrictions
and conditions set forth in Article IX above.
9.4.3 Upon the above conditions being met, CITY shall promptly pay CONSULTANT
that proportion of the prescribed Compensation which the Services actually
performed under this Agreement bear to the total Services called for under this
Agreement, less previous payments of the Compensation.
9.4.4 CITY, as a public entity, has a duty to document the expenditure of public funds.
CONSULTANT acknowledges this duty on the part of CITY. To this end,
CONSULTANT understands that failure of CONSULTANT to comply with the
submittal of the statement and documents as required above shall constitute a
waiver by CONSULTANT of any and all rights or claims for compensation for
services performed under this Agreement by CONSULTANT.
9.4.5 Failure of CONSULTANT to comply with the submittal of the statement and
documents as required above shall constitute a waiver by CONSULTANT of any
and all rights or claims to collect monies that CONSULTANT may otherwise be
entitled to for services performed under this Agreement.
9.5 Procedures CONSULTANT Shall Follow upon Receipt of Notice of Suspension
9.5.1 Upon receipt of written notice of suspension, which date shall also be the
effective date of the suspension, CONSULTANT shall, unless the notice
otherwise directs, immediately begin to phase -out and discontinue all services in
connection with the performance of this Agreement and shall proceed to promptly
suspend all existing orders and contracts insofar as such orders and contracts are
chargeable to this Agreement.
9.5.2 CONSULTANT shall prepare a statement showing in detail the Services
performed under this Agreement prior to the effective date of suspension.
9.5.3 Copies of all completed or partially completed designs, plans, and specifications
prepared under this Agreement prior to the effective date of suspension shall be
prepared for possible delivery to CITY but shall be retained by CONSULTANT
until such time as CONSULTANT may exercise the right to terminate.
Lower Seguin Rd. Culvert Replacement Page 19
9.5.4 In the event that CONSULTANT exercises the right to terminate 120 days after
the effective suspension date, within 30 days after receipt by CITY of
CONSULTANT'S notice of termination, CONSULTANT shall promptly cancel
all existing orders and contracts insofar as such orders and contracts are
chargeable to this Agreement and shall submit the above referenced statement
showing in detail the services performed under this Agreement prior to the
effective date of suspension.
9.5.5 Any documents prepared in association with this Agreement shall be delivered to
CITY as a precondition to final payment.
9.5.6 Upon the above conditions being met, CITY shall pay CONSULTANT that
proportion of the prescribed Compensation which the Services actually performed
under this Agreement bear to the total Services called for under this Agreement,
less previous payments of Compensation.
9.5.7 CITY, as a public entity, has a duty to document the expenditure of public funds.
CONSULTANT acknowledges this duty on the part of CITY. To this end,
CONSULTANT understands that failure of Consultant to substantially comply
with the submittal of the statements and documents as required herein shall
constitute a waiver by CONSULTANT of any portion of the Compensation for
which CONSULTANT did not supply such necessary statements and/or
documents.
ARTICLE 10: CONSULTANT'S WARRANTY
10.1 CONSULTANT warrants that it has not employed or retained any company or person
other than a bona fide employee working solely for CONSULTANT to solicit or secure
this Agreement, and that it has not, for the purpose of soliciting or securing this
Agreement, paid or agreed to pay any company or person, commission, percentage,
brokerage fee, gift, or any other consideration, contingent upon or resulting from the
award or making of this Agreement. For breach of this warranty, CITY shall have the
right to terminate this Agreement under the provisions of Article 9 above.
ARTICLE 11: ASSSIGNMENT OR TRANSFER OF INTEREST
11.1 CONSULTANT shall not assign or transfer its interest in this Agreement without the prior
written consent of CITY.
ARTICLE 12: INSURANCE REQUIREMENTS
1.2.1 Prior to the commencement of any Services under this Agreement, CONSULTANT shall
furnish copies of all required endorsements and an original completed Certificate(s) of
Insurance to CITY'S Engineering Department, which shall be clearly identified with the
name of the Project in the Description of Operations block of the Certificate. The original
Certificate(s) shall be completed by an agent and signed by a person authorized by that
insurer to bind coverage on its behalf. CITY will not accept Memorandum of Insurance or
Binders as proof of insurance. The original certificate(s) or form must have the agent's
Lower Seguin Rd. Culvert Replacement Page 20
original signature, including the signer's company affiliation, title and phone number, and
be mailed, with copies of all applicable endorsements, directly from the insurer's
authorized representative to CITY. CITY shall have no duty to pay or perform under this
Agreement until such certificate and endorsements have been received and approved by
CITY'S Engineering Department. No officer or employee other than CITY'S Risk
Manager shall have authority to waive this requirement.
1.2.2 CITY reserves the right to review the insurance requirements of this Article during the
effective period of this contract and any extension or renewal hereof and to request
modification of insurance coverage's and their limits when deemed necessary and prudent
by CITY'S Risk Manager based upon changes in statutory law, court decisions, or
circumstances surrounding this contract. In no instance will CITY allow modification
whereupon CITY may incur increased risk.
1.2.3 CONSULTANT'S financial integrity is of interest to CITY. Therefore, subject to
CONSULTANT'S right to maintain reasonable deductibles in such amounts as are
approved by CITY, CONSULTANT shall obtain and maintain in full force and effect for
the duration of this Agreement, and any extension hereof, at CONSULTANT'S sole
expense, insurance coverage written on an occurrence or claims made basis, as
appropriate, by companies authorized and approved to do business in the State of Texas
and with an A.M. Best's rating of no less than A- (VII), in the following types and for an
amount not less than the amount listed:
INSURANCE REQUIREMENTS
Worker's Compensation*
Employer's Liability
Commercial General (Public) Liability
insurance to include coverage for the
following:
a. Premises Operations
b. Independent Contractors **
c. Products /Completed Operations
d. Personal Injury
e. Contractual Liability
Business Automobile Liability
a. Owned/Leased Vehicles
b. Non -owned Vehicles
c. Hired Vehicles
Professional Liability (Claims Made Form)
Statutory
$1,000,000/$1,000,000 /$1,000,000
For Bodily Injury and Property Damage of
$1,000,000 per occurrence.
$2,000,000 General Aggregate, or its equivalent
in Umbrella or Excess Liability Coverage
Combined Single Limit for Bodily Injury and
property Damage of $1,000,000 per occurrence
$1,000,000 per claim to pay on behalf of the
insured all sums, which the insured shall
become legally obligated to pay as damages to
the extent caused by any negligent act, error, or
Lower Seguin Rd. Culvert Replacement Page 21
omission in the performance of professional
services.
*Alternate Plans must be approved by CITY'S Risk Manager
* *If applicable
1.2.4 CITY may request and without expense to CITY, to inspect copies of the policies,
declarations page and all endorsements thereto as they apply to the limits required by
CITY, and may request the deletion, revision, or modification of particular policy terms,
conditions, limitations or exclusions (except where policy provisions are established by
law or regulation binding upon either of the parties hereto or the underwriter of any such
policies). CONSULTANT shall attempt to comply with any such requests, subject to the
policy terms and conditions, and shall submit a copy of the replacement certificate of
insurance to CITY at the address provided below within 10 days of the requested change,
in the event the respective insurance companies approve the requested change(s).
CONSULTANT shall pay any costs incurred resulting from said changes.
City of Schertz
Attn: City Engineer
10 Commercial Place
Schertz, TX 78154
1.2.5 CONSULTANT agrees that with respect to the above required insurance, all insurance
policies are to contain or be endorsed to contain the following required provisions:
1.2.5.1 Name CITY and its officers, officials, employees, and elected representatives as
additional insured's by endorsement, as respects operations and activities of, or on
behalf of, the named insured performed under contract with CITY, with the
exception of the workers' compensation and professional liability policies;
1.2.5.2 Provide for an endorsement that the "other insurance" clause shall not apply to the
CITY where CITY is an additional insured shown on the policy if such
endorsement is permitted by law and regulations;
12.5.3 Workers' compensation and employers' liability policies will provide a waiver of
subrogation in favor of CITY; and
12.5.4 Provide 30 calendar days advance written notice directly to CITY of any
suspension, cancellation or non - renewal or material change in coverage, and not
less than 10 calendar days advance written notice for nonpayment of premium.
1.2.6 Within five calendar days after a suspension, cancellation or non - renewal of coverage,
CONSULTANT shall provide a replacement Certificate of Insurance and applicable
endorsements to CITY. CITY shall have the option to suspend CONSULTANT'S
performance should there be a lapse in coverage at any time during this Agreement.
Failure to provide and to maintain the required insurance shall constitute a material breach
of this Agreement.
Lower Seguin Rd. Culvert Replacement Page 22
12.7 If CONSULTANT fails to maintain the aforementioned insurance, or fails to secure and
maintain the aforementioned endorsements, CITY may obtain such insurance, and deduct
and retain the amount of the premiums for such insurance from any sums due under the
agreement; however, procuring of said insurance by CITY is an alternative to other
remedies CITY may have and is not the exclusive remedy for failure of CONSULTANT
to maintain said insurance or secure such endorsement. In addition to any other remedies
CITY may have upon CONSULTANT'S failure to provide and maintain any insurance or
policy endorsements to the extent and within the time herein required, CITY shall have
the right to order CONSULTANT to stop performing services hereunder and/or withhold
any payment(s) which become due to CONSULTANT hereunder until CONSULTANT
demonstrates compliance with the requirements hereof
12.8 Nothing herein contained shall be construed as limiting in any way the extent to which
CONSULTANT may be held responsible for payments of damages to persons or property
resulting from CONSULTANT'S or its subconsultant's performance of the Services
covered under this Agreement.
12.9 It is agreed that CONSULTANT'S insurance shall be deemed primary with respect to any
insurance or self insurance carried by CITY for liability arising out of operations under
this Agreement.
12. 10 It is understood and agreed that the insurance required is in addition to and separate from
any other obligation contained in this Agreement as respects additional insured's.
ARTICLE 13: INDEMNIFICATION
13.1 CONSULTANT, WHOSE WORK PRODUCT AND SERVICES ARE THE
SUBJECT OF THIS AGREEMENT FOR PROFESSIONAL SERVICES, AGREES
TO INDEMNIFY AND HOLD CITY, ITS ELECTED OFFICIALS, OFFICERS,
AGENTS AND EMPLOYEES HARMLESS AGAINST ANY AND ALL CLAIMS
BY THIRD PARTIES, LAWSUITS, JUDGMENTS, COST, LIENS, LOSSES,
EXPENSES, FEES (INCLUDING REASONABLE ATTORNEY'S FEES AND
COSTS OF DEFENSE), PROCEEDINGS, ACTIONS, DEMANDS, CAUSES OF
ACTION, LIABILITY AND SUITS OF ANY KIND AND NATURE, INCLUDING
BUT NOT LIMITED TO, PERSONAL INJURY (INCLUDING DEATH),
PROPERTY DAMAGE, OR OTHER HARM FOR WHICH RECOVERY OF
DAMAGES IS SOUGHT THAT MAY ARISE OUT OF OR BE OCCASIONED OR
CAUSED BY A NEGLIGENT ACT, ERROR, OR OMISSION OF CONSULTANT,
ANY AGENT, OFFICER, ENGINEER, REPRESENTATIVE, EMPLOYEE,
CONSULTANT OR SUBCONSULTANT OF CONSULTANT, AND THEIR
RESPECTIVE OFFICERS, AGENTS, EMPLOYEES, ENGINEERS AND
REPRESENTATIVES WHILE IN THE EXERCISE OF PERFORMANCE OF
THE SERVICES, RIGHTS OR DUTIES UNDER THIS AGREEMENT. THE
INDEMNITY PROVIDED FOR IN THIS PARAGRAPH SHALL NOT APPLY TO
ANY LIABILITY RESULTING FROM THE NEGLIGENCE OF CITY, ITS
OFFICERS OR EMPLOYEES, IN INSTANCES WHERE SUCH NEGLIGENCE
CAUSES PERSONAL INJURY, DEATH, OR PROPERTY DAMAGE. IN THE
Lower Seguin Rd. Culvert Replacement Page 23
EVENT CONSULTANT AND CITY ARE FOUND JOINTLY LIABLE BY A
COURT OF COMPETENT JURISDICTION, LIABILITY SHALL BE
APPORTIONED COMPARATIVELY IN ACCORDANCE WITH THE LAWS OF
THE STATE OF TEXAS, WITHOUT, HOWEVER, WAIVING ANY
GOVERNMENTAL IMMUNITY AVAILABLE TO CITY UNDER TEXAS LAW
AND WITHOUT WAIVING ANY DEFENSES OF THE PARTIES UNDER TEXAS
LAW.
13.2 CONSULTANT shall advise CITY in writing within 24 hours of any claim or demand
against CITY or CONSULTANT, known to CONSULTANT, related to or arising out of
CONSULTANT'S activities under this Agreement.
1.3.3 The provisions of Article 1.3 are solely for the benefit of the parties hereto and not
intended to create or grant any rights, contractual or otherwise, to any other person or
entity.
13.4 Acceptance of the final plans by CITY shall not constitute nor be deemed a release of the
responsibility and liability of CONSULTANT, its employees, associates, agents or
subcontractors for the accuracy and competency of their designs, work drawings, Plans
and Specifications or other documents and Work; nor shall such acceptance be deemed an
assumption of responsibility or liability by CITY for any defect in the designs, work
drawings, Plans and Specifications or other documents and Work prepared by
CONSULTANT, its employees, subconsultants, and agents.
ARTICLE 14: CLAIMS AND DISPUTES
14.1 Definition. A Claim is a demand or assertion by one of the parties seeking, as a matter of
right, adjustment or interpretation of this Agreement's terms, payment of money, and
extension of time or other relief with respect to the terms of this Agreement. The term
"Claim" also includes other disputes and matters in question between OWNER and
CONSULTANT arising out of or relating to this Agreement. Claims must be initiated by
written notice. Every Claim of CONSULTANT, whether for additional Compensation,
additional time, or other relief, shall be signed and sworn to by an authorized corporate
officer (if not a corporation, then an official of the company authorized to bind
CONSULTANT by signature) of CONSULTANT, verifying the truth and accuracy of the
Claim. The responsibility to substantiate Claims shall rest with the party making the
Claim.
14.2 Time Limit on Claims. Claims by CONSULTANT or by OWNER must be initiated
within 30 calendar days after occurrence of the event giving rise to such Claim. Claims by
CONSULTANT must be initiated by written notice to OWNER. Claims by the OWNER
must be initiated by written notice to CONSULTANT.
14.3 Continuing Contract Performance. Pending final resolution of a Claim except as otherwise
agreed in writing, CONSULTANT shall proceed diligently with performance of this
Agreement and OWNER shall continue to make payments in accordance with this
Agreement.
Lower Seguin Rd. Culvert Replacement Page 24
14.4 Claims for Additional Time. If CONSULTANT wishes to make Claim for an increase in
the time for performance, written notice as provided in this Article 14 shall be given.
CONSULTANT'S Claim shall include an estimate of probable effect of delay on progress
of the Work. In the case of a continuing delay only one Claim is necessary.
1.4.5 Claims for Consequential Damages. Except as otherwise provided in this Agreement, in
calculating the amount of any Claim or any measure of damages for breach of contract
(such provision to survive any termination following such breach), the following
standards will apply both to claims by CONSULTANT and to claims by OWNER:
14.5.1 No consequential damages will be allowed.
14.5.2 Damages are limited to extra costs specifically shown to have been directly
caused by a proven wrong for which the other party is claimed to be responsible.
14.5.3 No profit will be allowed on any damage claim.
14.6 No Waiver of Governmental Immunity. NOTHING IN THIS AGREEMENT SHALL
BE CONSTRUED TO WAIVE OWNER'S GOVERNMENTAL IMMUNITY
FROM LAWSUIT, WHICH IMMUNITY IS EXPRESSLY RETAINED TO THE
EXTENT IT IS NOT CLEARLY AND UNAMBIGUOUSLY WAIVED BY STATE
LAW.
ARTICLE 15: SEVERABILITY
1.5.1 If for any reason, any one or more paragraphs of this Agreement are held invalid or
unenforceable, such invalidity or unenforceability shall not affect, impair or invalidate the
remaining paragraphs of this Agreement but shall be confined in its effect to the specific
section, sentences, clauses or parts of this Agreement held invalid or unenforceable, and
the invalidity or unenforceability of any section, sentence, clause or parts of this
Agreement in any one or more instance shall not affect or prejudice in any way the
validity of this Agreement in any other instance.
ARTICLE 16: ESTIMATES OF COST
1.6.1 Since CONSULTANT has no control over the cost of labor, materials, or equipment or
over CONSTRUCTION CONTRACTOR'S methods of determining prices, or over
competitive bidding or market conditions, CONSULTANT'S opinions of probable Project
Cost or Construction Cost provided for herein are to be made on the basis of
CONSULTANT'S experience and qualifications and represent CONSULTANT'S best
judgment as a design professional familiar with the construction industry but
CONSULTANT cannot and does not guarantee that bids or the construction cost will not
vary from opinions of probable Cost prepared by CONSULTANT.
17.1 No officer or employee of CITY shall have a financial interest, directly or indirectly, in
any contract with CITY, or shall be financially interested, directly or indirectly, in the sale
Lower Seguin Rd. Culvert Replacement Page 25
to CITY of any land, materials, supplies or service, except on behalf of CITY as an officer
or employee. This prohibition extends to other CITY boards and commissions, which are
more than purely advisory. The prohibition also applies to subcontracts on CITY projects.
17.2 CONSULTANT acknowledges that it is informed that the Charter of CITY prohibits a
CITY officer or employee, as those terms are defined in the Ethics Code, from having a
financial interest in any contract with CITY or any CITY agency.
1.7.3 CONSULTANT warrants and certifies, and this Agreement is made in reliance thereon,
that it, its officers, employees and agents are neither officers nor employees of CITY.
CONSULTANT further warrants and certifies that it has tendered to CITY a
Discretionary Contracts Disclosure Statement.
ARTICLE 18: CONFLICTS OF INTEREST DISCLOSURE
18.1 All consultants must disclose if it is associated in any manner with a CITY official or
employee in a business venture or business dealings. To be "associated" in a business
venture or business dealings includes being in a partnership or joint venture with the
officer or employee, having a contract with the officer or employee, being joint owners of
a business, owning at least 10% of the stock in a corporation in which a CITY officer or
employee also owns at least 1.0 %, or having an established business relationship as client
or customer.
19.1 Services provided by CONSULTANT under this Agreement will be performed in a
manner consistent with that degree of care and skill ordinarily exercised by members of
the same profession currently practicing under similar circumstances.
1.9.2 CONSULTANT shall be represented by a registered professional engineer licensed to
practice in the State of Texas at meetings of any official nature concerning the Project,
including but not limited to scope meetings, review meetings, pre -bid meetings, and
preconstruction meetings.
1.9.3 The Texas Board of Professional Engineers, 1917 . IH -35 South, Austin, Texas 78741,
(512) 440 -7723 has jurisdiction over individuals licensed under Title 22 of the Texas
Administrative Code.
19.4 Acceptance of the final plans by CITY shall not constitute nor be deemed a release of the
responsibility and liability of CONSULTANT, its employees, associates, agents, or
subcontractors for the accuracy and competency of their designs, work drawings, Plans
and Specifications or other documents and Work; nor shall such acceptance be deemed an
assumption of responsibility or liability by CITY for any defect in the designs, work
drawings, Plans and Specifications or other documents and Work prepared by
CONSULTANT, its employees, subconsultants, and agents.
Lower Seguin Rd. Culvert Replacement Page 26
20.1 CONSULTANT agrees that CITY may review any and all of the work performed by
CONSULTANT UNDER THIS Agreement. CITY is granted the right to audit, at
CITY'S election, all of CONSULTANT'S records and billings related to performance of
this Agreement. CONSULTANT agrees to retain such records for a minimum of four
years following completion of this Agreement. Any payment, settlement, satisfaction, or
release provided under this Agreement shall be subject to CITY'S rights as may be
disclosed by such audit.
21.1 This Agreement, together with Attachments 1, 2, 3, and 4, represents the entire and
integrated agreement between CITY and CONSULTANT and supersedes all prior
negotiations, representations, or agreements, either oral or written. This Agreement may
be amended only by written instrument signed by both CITY and CONSULTANT.
ARTICLE 22: VENUE
22.1 The obligations of the parties to this Agreement shall be performable in the City of
Schertz or its Extra Territorial Jurisdiction, located in Bexar, Comal, and Guadalupe
Counties, Texas, and if legal action, such as civil litigation, is necessary in connection
therewith, exclusive venue shall lie in Guadalupe County, Texas.
ARTICLE 23: NOTICES
23.1 Except as may be provided elsewhere herein, all notices, communications, and reports
required or permitted under this Contract shall be personally delivered or mailed to the
respective party by depositing the same in the United States Postal Service addressed to
the applicable address shown below, unless and until either party is otherwise notified in
writing by the other party of a change of such address. Mailed notices shall be deemed
communicated as of five calendar days of mailing. Notices provided via email shall be
deemed communicated as of the next business day after the notice is sent.
If intended for CITY, to:
If intended for CONSULTANT, to
City of Schertz
Engineering Department
10 Commercial Place
Schertz, Texas 78154
The address listed on the first page of this
Agreement.
Lower Seguin Rd. Culvert Replacement Page 27
24.1 In performing services under this Agreement, the relationship between CITY and
CONSULTANT is that of independent contractor. By the execution of this Agreement,
CONSULTANT and CITY do not change the independent contractor status of
CONSULTANT. CONSULTANT shall exercise independent judgment in performing its
duties and obligations under this Agreement and is solely responsible for setting working
hours, scheduling or prioritizing the work flow and determining how the Services are to be
performed. No term or provision of this Agreement or act of CONSULTANT in the
performance of this Agreement shall be construed as making CONSULTANT the agent,
servant or employee of CITY, or as making CONSULTANT or any of its agents or
employees eligible for any fringe benefits, such as retirement, insurance and worker's
compensation, which CITY provides to or for its employees.
ARTICLE 25: CAPTIONS
25.1 The captions for the individual provisions of this Agreement are for informational
purposes only and shall not be construed to effect or modify the substance of the terms
and conditions of this Agreement to which any caption relates.
Lower Seguin Rd. Culvert Replacement Page 28
IN WITNESS WHEREOF, the parties to this Agreement hereby execute this Agreement
effective as of this 28th day of October, 2016 (the "Effective Date").
CITY OF SCHERTZ
John C. Kessel
City Manager
TITLE
Lockwood, Andrews & Newnam, Inc.
Robert D. Austin, P.E.
Senior Associate & Team Leader
TITLE
Lower Seguin Rd. Culvert Replacement Page 29
ATTACHMENT 1
PROJECT SCOPE OF SERVICES
CONSULTANT will conduct the following scope items to properly design the Lower Seguin
Road Culvert Replacement.
Culvert /Roadway Preliminary Design (50 %)
• Develop Title Sheet, Index & Site Map
• Prepare General Notes Sheets
• Prepare Quantity Summary Sheet
• Prepare Survey Control. Map
• Prepare Removal Sheets
• Prepare Overall Layout Sheet
• Prepare SW3P & EPIC Drawings
• Prepare Existing and Proposed Typical Section
• Prepare Roadway Plan & Profile Sheets (Horiz: 1" = 40 ft, Vert 1" = 10 ft)
• Prepare Culverts Plan & Profile Sheets
• Prepare Culvert Details
• Calculate Earthwork and Determine Limits of Construction
• Prepare Specifications & General Notes
• Select and Prepare Standards
• QAQC Data, Calculations and Estimates
• Prepare Package for Preliminary Submittal
• Preliminary Design Review Meeting
• Develop Preliminary Alternatives (Site Visits, Alternatives Evaluation, Preliminary
Engineering, Cost Estimating and Recommendations, Planning Meetings) — Work
Completed to Date
Deliverable: The plans and estimate will be provided for a review by vested stakeholders.
Culvert /Roadway Final Design (100 %)
• Update Front End Sheets (Title Sheet, Index, and Site Map)
• Update Quantity Summary Sheet
• Update Survey Control Map
• Update Removal, Layout, and Roadway Sheets
• Update Culvert Plan & Profile Sheets
• Update Culvert Details
• Update SW3P & EPIC Drawings
• Finalize Earthwork and Limits of construction
• Finalize Specifications & General Notes
• Finalize Standards
• QAQC Final Documents (Data, Calculations and Estimates)
Lower Seguin Rd. Culvert Replacement Page 30
Deliverable: The final plans, specifications and estimates will be provided for a final review
prior to signing and sealing documents for bid phase.
Bid /Construction Phase
• Prepare Bid Package - Including All Necessary Documents
• Respond to contractor questions
• Attend Pre -Bid Conference
• Prepare and disperse addendum
• Attend Formal Bid Opening
• Tabulate Bids and Provide copies to the City
• Prepare Letter of Recommendation
• Attend pre- construction meeting
• Bi- weekly site visit to review construction progress (8 visits @ 2 Hr /visit)
• Provide Construction Observation Reports (1 per site visit)
• Address RFI during construction
• Review shop drawings and material submittals
• Review monthly pay estimates for materials
• Provide Record Drawings
• Substantial Completion Inspection (30 days prior to Final Completion)
• Provide Punch List
• Final Completion Inspection
Deliverable: The conforming plans, specifications and estimates will be provided to the
contractor and vested stakeholders along with a geotechnical engineering report signed by the
geotechnical engineer.
Lower Seguin Rd. Culvert Replacement Page 31
ATTACHMENT 2
PROJECT DESIGN PHASES COST AND TIMELINE
PROJECT PHASE
ESTIMATED COST
TIME IN CALENDAR
DAYS
Geotechnical Engineering
$9,000
28
Surveying
$7,000
21
50% Design
$32,920
28
100% Design
$11,660
21
Bid /Construction Phase
$10,360
60 (Bid/Award) / 120 (Const.)
Project Expenses
$700
- --
TOTAL ESTIMATED PROOECT
COST (NOT -TO- EXCEED
AMOUNT)
$71,640
The fee for the Scope of Services is an hourly not to exceed amount of $71,640 based on hourly
rates detailed in the master agreement. CONSULTANT will submit the preliminary Plans for
review within 28 days of receipt of survey and geotechnical data. The Final design package will
be submitted following a review period by vested stakeholders within 21 days. The project will
be bid through the CITY of Schertz, per the most recent stakeholder meeting.
The rates proposed for this project are as noted:
QAQC Manager - $220.00
Project Manager - $175.00
Project Engineer - $130.00
CADD Designer 11- $85.00
Administrative - $65.00
Total project cost will be shared 50150 between City of Schertz & City of Cibolo.
TOTAL ESTIMATED PROJECT COST (NOT -TO- EXCEED AMOUNT) PAID BY CITY
OF SCHERTZ = $35 820.
Lower Seguin Rd. Culvert Replacement Page 32
ATTACHMENT 3
EXPLANATION OF PROJECT FEES
Task
Number
LAN Project No.xxx- xxxxx -xxx
Project Name: City of Schertz - Lower Seguin Road Culvert Replacement
F
-
70
-
d
a
o
a`
.1
a`
a
x
$ 220.00
$ 175.00
$ 130.00
$ 85.00
$ 65.00
...., -'
Develop Title Sheet, Index & Site Map
.,.,.,
9
.. .. .. ..
$ 1,035.00
... .. ...
1
.. ....,
4
., .
4
;.,
Prepare General Notes Sheets
4
$ 520.00
1
2
1
Prepare Quantity Summary Sheet
5
$ 605.00
1
2
2
Prepare Survey Control Ma p
5
$ 605.00
1
2
2
Prepare Removal Sheets
9
$ 1,035.00
1
4
4
Prepare Overall Layout Sheet
3
$ 300.00
1
2
Prepare SW3P & EPIC Drawings
5
$ 605.00
1
2
2
Prepare Existing and Proposed Typlcal Section
8
$ 860.00
4
4
Prepare Roadway, Plan & Profile Sheets Horiz: 1 "= 40 ft Vert 1" = 10 f[
24
$ 2,760.00
4
8
12
Prepare Culverts Plan & Profile Sheets
66
$ 7,950.00
6
40
20
Prepare Culvert Details
7
$ 775.00
1
2
4
Calculate Earthwork and Determine Limits of Construction
13
$ 1,375.00
1
4
8
Prepare Specifications & General Notes
18
$ 2,390.00
4
12
2
Select and Prepare Standards
4
$ 520.00
1
2
1
QAQC Data, Calculations and Estimates
5
$ 855.00
2
2
1
Prepare Package for Preliminary Submittal
3
$ 280.00
1
1
1
Preliminary Design Review Meeting
2
$ 350.00
2
Develop Preliminary Alternatives (Site Visits, Alternatives Evaluation, Preliminary Engineering, Cost
Estimating and Recommendations. Planning Meetings)
70
$ 10.100.00
2
24
40
4
Subtotal
260
$ 32,920.00
4
51
130
67
8
'i+ib+��ttW
Fit:uLi}e�i Vr; "lOb ✓c ..,,: ' -, ,' '; ' ', :' ;:" ,.,
Update Front End Sheets Title Sheet Index and Site Ma
ELL
3
. ..
� , ....
$ 300.00
,,,;
.,,.,
....,
1
..... ...
2
... .. „......
Update Quantity Summary Sheet
5
$ 605.00
1
2
2
Update Survey Control Map
3
$ 300.00
1
2
Update Removal, Layout, and Roadway Sheets
20
$ 2.150.00
2
6
12
Update Culvert Plan & Profile Sheets
32
1 $ 3,800.00
4
16
12
Update Culvert Details
5
$ 470.00
1
4
Update SW3P & EPIC Drawings
3
$ 300.00
1
2
Finalize Earthwork and Limits of construction
6
$ 600.00
2
4
Finalize Specifications & General Notes
14
$ 1,870.00
4
8
2
Finalize Standards
4
$ 475.00
1
1
2
QAQC Final Documents Data Calculations and Estimates
4
$ 790.00
2
2
Subtotal
99
$ 11,660.00
2
14
39
42
2
)fY"GttffA4YC
PfkYS. ,....... ......... ......... ......... ............................ ... ...:
Prepare Bid Package - Including All Necessary Documents
. ....
6
$ 560.00
,-,
77`7
77777
2
7777
2
2
Respond to contractor questions
2
$ 305.00
1
1
Attend Pre -Bid Conference
4
$ 610.00
2
2
Prepare and disperse addendum
3
$ 305.00
1
2
Attend Formal Bid Opening
2
$ 350.00
2
Tabulate Bids and Provide copies to the City
3
$ 305.00
1
2
Prepare Letter of Recommendation
3
$ 305.00
1
2
Attend re- construction meeting
2
$ 350.00
2
Bi- weekly site visit to review construction progress (8 visits (a? 2 Hnvislt)
16
$ 2,440.00
8
8
Provide Construction Observation Reports (1 per site visit)
4
$ 610.00
2
2
Address RFI during construction
6
$ 1.050.00
1
4
1
Review shop drawings and material submittals
4
$ 700.00
1
2
1
Review monthly pay estimates for materials
3
$ 480.00
2
1
Provide Record Drawings
12
$ 1,115.00
1
1
8
2
Substantial Completion Inspection 130 days prior to Final Completion)
2
$ 350.00
2
Provide Punch List
1
$ 175.00
1
Final Completion Inspection
2
$ 350.00
2
Subtotal
75
$ 10,360.00
2
34
19
10
10
TOTAL
174
$ 54,940.00
4
48
58
52
12
Reproduction of Deliverables /Contract Documents
$ 200.00
Mileage/Travel Project Meetings, Bid Phase and Construction Phase Site Visits
$ 500.00
Subtotal
$ 700.00
IN Services
$ 55,640.00
Sub Consultant Services (Survey - Sherwood Surveying)
$ 7,000.00
Sub Consultant Services (Geotechnical - Raba Kistner)
$ 9,000.00
Total Fee (Not to Exceed):
$ 71,640.00
ATTACHMENT 4
ADDITIONAL SERVICES AND /OR EXPANDED SCOPE OF SERVICES
The following services shall be considered outside of the Basic Scope of Services:
• Additional submittals required and not outlined in the scope of services
• ROW / easement acquisition services
• Developing roadway cross sections
• Additional alternatives analysis
• Utility relocation services
• Public meetings /notifi cation to public
• Additional site visits (8 proposed site visits scoped)
• Construction inspection or testing services
• Additional survey data needed beyond scope of project
• Additional geotechnical data collection and testing beyond limits of initial scope
• Construction observation from geotechnical engineer
• Environmental permitting (preparation of permit documents and acquisition)
Additional services would be provided under a separate task order.
Lower Seguin Rd. Culvert Replacement Page 34
Agenda No. 14
CITY COUNCIL MEMORANDUM
City Council Meeting: December 20, 2016
Department: Drainage /Finance
Subject: Resolution No. 16 -R -88 — A Resolution by
the City Council of the City of Schertz,
Texas authorizing the City Manager to enter
into an inter local agreement with the City of
Cibolo to share costs associated with the
demolition and replacement of the bridge at
Lower Seguin Rd at Cibolo Creek.
BACKGROUND
In June, 2016 . it was discovered that the low water crossing on Lower Seguin Road where it
crosses the Cibolo Creek was structurally unsound. This low water crossing is at the city limits
of Cibolo and Schertz and is at the Bexar and Guadalupe County Lines. The crossing closed on
June 28 and work began on alternatives to replace this low water crossing. After two meetings
with the City of Cibolo, Guadalupe County and :Bexar County representatives, it has been agreed
that the most cost effective solution is to replace the current structure with a new structure
constructed of 2 4'X3' drainage boxes. This project will provide improvements to the low water
crossing by increasing the water flow capacity from 105 cfs to 155 cfs and increase the roadway
width from approximately sixteen feet to twenty -two feet. This will increase the safety of the
traveling public as they meet each other at the crossing. Although not a tremendous improvement
in flow, this new structure will result in fewer closures of this low water crossing.
Due to the usage of this crossing by commuters on a daily basis from both Cities as well as a
route for SCUCISD students and staff to reach Corbett Junior High both Cities are taking on the
commitment to replace this crossing. Both counties have made a verbal commitment to assist
with this replacement; however, those written agreements are still in negotiations.
The estimated cost of replacement is $440,000 and both Schertz and Cibolo will share this
equally. Any other support from our county partners will equally reduce the total of which each
City is responsible. Prior to entering into an inter - local agreement, a budget adjustment must be
accomplished by ordinance.
Council has approved a budget adjustment for this project to be completed from the City's
Drainage Fund. This inter local agreement is the next step towards completing this project.
FISCAL IMPACT
The expected total cost of the project is approximately $440,000. The final design and
construction costs are unknown until the project is bid. As a result, Staff is recommending a
1.0% contingency be included with this budget adjustment for an overall total of $484,000. This
project will be funded from the Schertz Drainage Fund Balance that has a $939,271 balance as of
September 30, 2016. No fee increase or change in the FY 2016 -1.7 Operating Budget will be
necessary. Per this agreement, the City's final obligation should be approximately $242,000 less
any dollars or services in kind contributed by Bexar and/or Guadalupe County.
City Council Memorandum
Page 2
Staff recommends that the City Council approve this resolution authorizing the City Manager to
enter into a cost sharing inter local agreement with the City of Cibolo for the demolition and
reconstruction of this low water crossing. The City will be taking the lead on this project with
Cibolo and any other partners reimbursing the City for costs expended per inter local agreements
currently under negotiation.
Attachments
Resolution 16 -R -88
Cost Sharing ILA with Cibolo
RESOLUTION NO. 16 -R -88
A RESOLUTION BY THE CITY COUNCIL OF THE CITY OF
SCHERTZ, TEXAS AUTHORIZING THE CITY MANAGER TO ENTER
INTO AN AGREEMENT WITH THE CITY OF CIBOLO FOR THE
DEMOLITION AND REPLACEMENT OF THE BRIDGE AT LOWER
SEGUIN ROAD AND THE CIBOLO CREEK, AND OTHER MATTERS IN
CONNECTION THEREWITH
WHEREAS, the Parties have identified certain common, legitimate public purposes in
entering into this agreement; and
WHEREAS, the governing bodies of the City of Cibolo and the City of Schertz each met
in legally convened open meetings and authorized their respective representatives to enter into
this Agreement; and
WHEREAS, the Parties intend to remove the old bridge structure at Lower Seguin Rd at
the Cibolo Creek and install new bridge structure with concrete culverts and a new roadway.
WHEREAS, the cost of the new bridge structure will be split evenly between the Parties,
each paying 50% of the total actual project cost. Any other funding contributions from Bexar or
Guadalupe County will be evenly split between the Parties.
WHEREAS, the total cost of the project is estimated to be $484,000.00; and
WHEREAS, each Party's portion for the project is estimated to be $242,000.00 each;
THEREFORE
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS
THAT:
Section 1. The City Council hereby authorizes the City Manager to enter into the
interlocal agreement attached in 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 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.
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 20th day of December, 2016.
CITY OF SCHERTZ, TEXAS
Mayor, Michael R. Carpenter
ATTEST:
City Secretary, Brenda Dennis
(CITY SEAL)
imall
INTER LOCAL AGREEMENT WITH THE CITY OF CIBOLO
50448599.1 A -1
THE CITY OF CIBOLO AND THE CITY OF SCHERTZ
THE STATE OF TEXAS § INTERLOCAL AGREEMENT BETWEEN
§ THE CITY OF CIBOLO AND THE
§ CITY OF SCHERTZ
COUNTY OF GUADALUPE §
PREAMBLE:
The Parties to this Agreement ( "Agreement ") are the City of Cibolo and the City of
Schertz (collectively referred to as the "Parties "). The Parties enter into this Agreement under
the general provisions of the Interlocal Cooperation Act, Texas Government Code Chapter 791,
under the specific authority of §791.026 and Texas Education Code §44.031(a)(5). This
Agreement is made for the purpose of efficient and effective use of resources and is in the best
economic interests of the Parties. The City of Cibolo and the City of Schertz are political
subdivisions of the State of Texas.
RECITALS
WHEREAS, the Parties have identified certain common, legitimate public purposes in
entering into this agreement; and
WHEREAS, the governing bodies of the City of Cibolo and the City of Schertz each met
in legally convened open meetings and authorized their respective representatives to enter into
this Agreement; and
WHEREAS, the Parties intend to remove the old bridge structure at Lower Seguin Rd at
the Cibolo Creek and install new bridge with concrete culverts and new roadway.
WHEREAS, the cost of the new bridge structure will be split evenly between the Parties,
each paying 50% of the total actual project cost. Any other funding contributions from Bexar or
Guadalupe County will be evenly split between the Parties.
WHEREAS, the total cost of the project is estimated to be $484,000.00; and
WHEREAS, each Party's portion for the project is estimated to be $242,000.00 each.
NOW THEREFORE, the Parties, for and in consideration of the covenants and
agreements herein set forth to be kept and performed by them respectively, have agreed to and
do hereby agree together as follows:
I. DEFINITIONS
A. "Breach" occurs when any of the Parties fails or refuses to perform one or more
of the duties set forth in this Agreement.
Page 1 of 6
B. "Parties Contribution" means each party's obligation to pay 50% of the total
actual Project Costs.
C. "Low Water Crossing "Bridge" means the newly reconstructed bridge that divides
the City of Cibolo and the City of Schertz.
D. "Force Majeure" means an event beyond the reasonable control of a party
obligated to perform an act or take some action under this Agreement including, but not limited
to, acts of God, earthquake, fire, explosion, war, civil insurrection, acts of the public enemy, act
of civil or military authority, sabotage, terrorism, floods, lightning, hurricanes, tornadoes, severe
snow storms or utility disruption, strikes, and lockouts.
E. "Notice" occurs upon written communication by one party to the other as
specifically defined in this Agreement. Notice to the Parties is satisfied by written
communication to the address designated in Paragraph 6.
F. "Project" means the completion of the construction of the bridge and roadwork at
the City of Schertz (Bexar County) low water crossing and the City of Cibolo (Guadalupe
County).
G. "Site and Construction Plans" means a depiction showing the mutually agreed
specifications for the equipment and appurtenances required to construct the bridge crossing.
H. Use of the singular shall include the plural, and vice versa, where the usage
permits reasonable construction of this agreement.
IL TERM OF AGREEMENT
The term of this Agreement will begin December , 2016. The term of this Agreement
will end on December 31, 2018, or at the time of completion of the Project, whichever occurs
first in time, unless extended or terminated before that time as provided in this Agreement.
III. MUTUAL PROMISES AND COVENANTS OF THE PARTIES
The Parties, in consideration of the mutual promises and covenants contained in this
Agreement, agree as follows:
A. The recitals set out in the preamble are hereby incorporated herein, for all
purposes.
B. The City of Schertz shall install the bridge and roadway in accordance with the
Site and Construction Plans at the City of Schertz and the City of Cibolo low water crossing
(Cibolo Creek).
Page 2 of 6
C. All Project construction costs, including payment of contractors, subcontractors,
and material providers, and all liability risks shall be the responsibility of the City of Schertz.
D. The portion of the project cost that the City of Cibolo shall be responsible for
reimbursing the City of Schertz is estimated at $242,000, but will not to exceed 50% of the total
actual project cost. The City of Cibolo may reimburse the City of Schertz upon completion of the
project.
E. Subject to Force Majeure, City of Schertz's completion of the Project shall occur
on or before December 31, 2018.
IV. MISCELLANEOUS
A. Notice and Addresses. All notices required hereunder must be given by certified
mail or registered mail, addressed to the proper Party, at the following addresses:
To City of Schertz: City of Schertz, Texas
Attn: John Kessel, City Manager
P.O. Box 930
Schertz, TX 78154
With a copy to: City of Cibolo, Texas
Attn: Robert T. Herrera, City Manager
200 S. Main St.
Cibolo, TX 78108
With a copy to: Habib Erkan, Attorney for City of Cibolo
Denton Navarro Rocha Bernal Hyde & Zech, P.C.
2517 N. Main Avenue
San Antonio, Texas 78212
Either Party may change the address to which notices are to be sent by giving the other
Party notice of the new address in the manner provided in this section. Notices shall be deemed
to have been received three (3) days after deposit in the mail.
For ease of administration of this contract, a main contact person has been designated for
each of the Parties as follows:
For the City of Cibolo: Tim Fousse
For the City of Schertz: Doug Letbetter
B. Parties Bound. This Agreement shall be binding upon, and inure to the benefit of,
the Parties to this Agreement and their respective heirs, executors, administrators, legal
representatives, successors, and assigns.
Page 3 of 6
C. Prior Agreement Superseded. This Agreement constitutes the sole and only
agreement of the Parties regarding their responsibilities to each other concerning the work noted
herein on the Project and supersedes any prior understandings or written or oral agreements
between the Parties respecting the Project. This Agreement in no way modifies or supersedes
any document executed by the Parties prior to this Agreement which does not involve the
Project.
D. Amendment. No amendment, modification, or alteration of the terms of this
Agreement shall be binding unless it is in writing, dated subsequent to the date of this
Agreement, and duly executed by the Parties to this Agreement.
E. Hold Harmless. The City of Schertz will hold the City of Cibolo harmless from
any claims arising from the construction of the bridge and road, as is contemplated by this
Agreement (e.g., contract claims between the City and any contractors and /or any injury or
property damage claims) to the extent permitted by Texas law.
F. Violation of Law. The City of Cibolo and the City of Schertz shall not violate
any Federal, State or local laws, regulations or ordinances in the performance of this Agreement.
G. Enforceability. If any provision of this Agreement proves unlawful or
unenforceable by a court having jurisdiction over the Parties or the subject matter, such provision .
shall be severable from the other provision of this Agreement, and all remaining provisions shall
be fully enforceable.
H. Governing Law and Place for Performance. This Agreement shall be governed by
the laws of Texas, which state shall also be deemed the place where this Agreement was entered
into and the place of performance and transaction of business and Parties. In the event of
litigation pertaining to the Agreement, the exclusive forum, venue, and place of jurisdiction shall
also be the County of Guadalupe and the State of Texas unless otherwise agreed in writing by the
Parties. The Parties acknowledge that each has had the unfettered opportunity to review, revise,
and negotiate the terms of this Agreement and that if in the future there is a dispute as to the
meaning of any provision herein, then no such provision shall be construed against the drafter of
the Agreement.
1. Exhibits Incorporated. All exhibits to this Agreement are incorporated by
reference as if completely set out herein.
J. Signature Warranty Clause. The signatories to this Agreement represent and
warrant that they have the authority to execute this agreement on behalf of the City of Cibolo and
the City of Schertz, respectively.
K. No Waiver of Immunities. Nothing in the Agreement shall be construed to waive
any immunities from suit or liability enjoyed by City of Cibolo, the City of Schertz, their past or
present officers, employees, or agents or employees.
L. No Third Party Beneficiary. This Agreement inures to the benefit of and
obligates only the parties executing it. No term or provision of this Agreement shall benefit or
obligate any person or entity not a party to it. The parties hereto shall cooperate fully in
Page 4 of 6
opposing any attempt by any third person or entity to claim any benefit, protection, release or
other consideration under this Agreement.
M. No Joint Venture. Nothing contained herein shall be deemed or construed by the
parties hereto, or by any third party, as creating the relationship of principal and agent, partners,
joint venturers or any other similar such relationship between the parties hereto.
N. Approval by Governing Bodies. This Agreement has been approved by the
Governing bodies of the City of Cibolo and the City of Schertz.
O. Payment from Current Revenues. Each Party paying for the performance of
governmental functions or services must make those payments from current revenues available
to the paying Party.
P. Assignment. Neither Parry may assign their interests in this Agreement except upon
receiving the written consent of the other Party.
EXECUTED TO BE EFFECTIVE this day of December, 2016.
ATTEST:
itz
Brenda Dennis, City Secretary
ATTEST:
Peggy Cimics, City Secretary
CITY OF SCHERTZ
I:
John Kessel, City Manager
CITY OF CIBOLO
:
Robert T. Herrera, City Manager
Page 5 of 6
Agenda No. 15
CITY COUNCIL MEMORANDUM
City Council Meeting: December 20, 2016
Department:
Subject:
BACKGROUND
Finance
Resolution No. 16 -R -94 Revising the City
of Schertz Investment Policy
The Investment Policy of the City of Schertz outlines the processes the City uses to determine its
investment strategy. Much of the policy is outlined by the Public Funds Investment Act which
ensures public entities make safe choices as to how they invest. The top priority with regards to
investable public funds in both the Act and in the City Policy is the safety of the funds invested.
This means low risk investments that can be easily withdrawn in the event the City needs
funding. The City of Schertz Investment Policy requires an annual reaffirmation by City Council.
On December 14, 2016, the Investment Advisory Committee reviewed and voted to send the
policy to council with proposed changes for consideration.
GOAL:
City Staff and the Investment Committee recommends Council approving the Investment Policy
with the following changes outlined in the markup document attached. Most the changes are to
clean up and clarify sections of the document but do not significantly alter the requirements on
the City. For example one change includes naming the other investment officers and not just the
City Manager as responsible parties and reducing the amount of duplicate terminology seen
throughout the document.
The Investment Strategy was also changed to shorten the maximum maturity of investment
instruments from 5 years to 3 and the weighted average maturity of the portfolio from 4.5 years
to 1 year or less.
COMMUNITY BENEFIT:
The Investment Advisory Committee recommended changes to clarify sections of the document
and shorten the maturity to allow the City to benefit from the rising interest rates.
FISCAL IMPACT
There will not be any fiscal impact.
RECOMMENDATION
City Council Memorandum
Page 2
The Investment Committee recommends approval of Resolution No. 16-R-94
ATTACHMENT
Resolution No. 16 -R -94
City of Schertz Investment Policy
Redline Version of the City of Schertz Investment Policy
RESOLUTION NO. 16 -R -94
A RESOLUTION BY THE CITY COUNCIL OF THE CITY OF
SCHERTZ, TEXAS AUTHORIZING A REVISED CITY OF SCHERTZ
INVESTMENT POLICY AND STRATEGY.
WHEREAS, the City of Schertz Investment Policy requires an annual review by the City
Council (the "City Council ") and after such review the City of Schertz (the "City ") has
determined that it is in the best interest of the City to adopt the City of Schertz Investment Policy
and Strategy, now, therefore,
THAT:
Section 1. The City Council hereby adopts the City of Schertz Investment Policy and
is repealing any and all prior changes and amendments to Investment Policy attached as Exhibit
A.
Section 2. The City of Schertz Investment Policy requires an annual review by 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.
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 20th day of December, 2016.
CITY OF SCHERTZ, TEXAS
Mayor, Michael R. Carpenter
r:109IN
City Secretary, Brenda Dennis
(CITY SEAL)
EXHIBIT A
CITY OF SCHERTZ, TEXAS INVESTMENT POLICY AND STRATEGY
See attached
I.mI
CITY OF SCHERTZ, TEXAS
INVESTMENT POLICY AND STRATEGY
TABLE OF CONTENTS
I. INVESTMENT SCOPE ............................................................................ ............................... 1
GeneralStatement ............................................................................. ............................... 1.
FundsIncluded ................................................................................... ............................... 1
FundsExcluded .................................................................................. ............................... 1
II. INVESTMENT OBJECTIVES .............................................................. ............................... 1
GeneralStatement ............................................................................. ............................... 1
Safety................................................................................................... ............................... 2
Liquidity.............................................................................................. ............................... 2
Diversification.................................................................................... ............................... 2
Yield.................................................................................................... ............................... 2
Maturity .................... ............................... .........................Error! Bookmark not defined.
PublicTrust ........................................................................................ ............................... 3
PortfolioManagement ....................................................................... ............................... 3
InvestmentStrategy ........................................................................... ............................... 3
III. INVESTMENT RESPONSIBILITY AND CONTROL ..................... ............................... 3
City's Investment Delegate ................................................................ ............................... 3
Selecting And Processing Investments ............................................. ............................... 4
Documenting Investments And Providing Details .......................... ............................... 4
Developing Cash Flow Projections For All Portfolios .................... ............................... 4
Determining Cash Available For Investment ................Error! Bookmark not defined.
Monitoring Investment Performance ............................................... ............................... 4
Reconciling Investment Records And General Ledger .................. ............................... 5
Allocating Interest Revenue .............................................................. ............................... 5
Providing Revenue Estimates For All Portfolios ............................ ............................... 5
Prudence............................................................................................. ............................... 5
Business Relationships of City Manager and Investment Officers .............................. 5
Liability of City Manager and Investment Officers ....................... ............................... 6
IV. INVESTMENT REPORTING .............................................................. ............................... 6
QuarterlyReport ............................................................................... ............................... 6
Investment Advisory Committee ...................................................... ............................... 7
AnnualReview ................................................................................... ............................... 8
InvestmentTraining .......................................................................... ............................... 8
Notification of Investment Changes or Defaults ............................. ............................... 9
ComplianceAudit .............................................................................. ............................... 9
V. INVESTMENT INSTRUMENTS .......................................................... ............................... 8
Authorized Investment Instruments ................................................ ............................... 8
VI. INVESTMENT INSTITUTIONS ........................................................ ............................... 11.
Investment Institutions Defined ............. .........................Error! Bookmark not defined.
-i-
Selection of Bank And Securities Dealers ...................................... ............................... 11
VII. INVESTMENT COLLATERAL AND SAFEKEEPING ................ ............................... 11
Collateral or Insurance For Deposits ............................................. ............................... 1.2
Safekeeping....................................................................................... ............................... 12
Deliveryvs. Payment ....................................................................... ............................... 12
-ii-
I. INVESTMENT SCOPE
General Statement
This policy (this "Policy ") serves to satisfy the statutory requirement of the Public Funds
Investment Act, as amended, Texas Government Code Chapter 2256, as amended (the "Act "), to
define and adopt a formal written investment policy for the City of Schertz, Texas (the "City ").
The City shall be authorized to invest its funds pursuant to the provisions of the Act and this
Policy or, upon obtaining the prior approval of the City Council of the City (the "City Council "),
any other applicable law.
Funds Included
This Policy applies to all City funds under the direct control of the City, at the present
time any funds to be received in the future and any other funds held in custody by the City,
unless expressly prohibited by law or unless it is in contravention of any depository contract
between the City and any depository bank.
The City funds that are entrusted to the City Council for investment pursuant to this
Policy are divided into the following portfolios based on the source of funds:
The operating account portfolio that consists of funds from the general fund and
all other miscellaneous funds.
The agency funds portfolio, which consists of all agency funds.
Special Revenue, Special Assessment, and all other City funds.
Funds Excluded
This Policy shall not be applicable to any funds on deposit in any bond account, reserve
account, or capital improvement construction account. The provisions of the ordinances
authorizing the issuance of these debt obligations and the provisions of the Internal. Revenue
Code of 1986, as amended control the investment of funds on deposit in these accounts.
II. INVESTMENT OBJECTIVES
General Statement
Funds of the City will be invested in accordance with the Act, this Policy, written
investment strategy, and written administrative procedures to be developed by the City Manager,
Finance Director, and Investment Officers. The City's investment portfolio shall be managed in
a manner to attain the maximum rate of return allowed through prudent and legal investing of
City funds while preserving and protecting capital in the overall portfolio.
1
Safety
The primary objective of the City for all portfolios and funds is to ensure the safety of the
principal. All investment transactions shall first seek to avoid capital losses.
Liquidity
The City's investment portfolio must be structured in a manner that will provide the
liquidity necessary to meet all operating requirements which might reasonably be anticipated,
and to pay obligations as they become due.
Diversification
The policy of the City, except when investing with the City's depository bank or in U.S.
Treasury Bills, Bonds or Notes, will be to diversify its investment portfolio when investing in
certificates of deposit of other banks and savings and loans domiciled in Texas, repurchase
agreements, U.S. agencies securities, and other investment instruments provided for by law. The
City's portfolio shall be diversified to eliminate the risk of loss resulting from over concentration
of assets in a specific maturity, a specific issuer or a specific class of investments. Investments
of the City shall always be selected to provide stability of income and reasonable liquidity.
Liquidity is defined as the ability to sell an investment at reasonable cost under adverse market
conditions.
In establishing specific diversification strategies, the following general polices and
constraints shall apply:
(1) Portfolio maturities shall be staggered in a way that avoids undue concentration of
assets in a specific maturity sector. Maturities shall be selected which provide for
stability of income and reasonable liquidity.
(2) Liquidity shall be maintained through practices that ensure that the next
disbursement date and payroll date are covered through current revenues,
maturing investments, or marketable securities.
(3) Risks of market price volatility shall be controlled through maturity
diversification.
Yield
It is the objective of the City to earn the maximum rate of return allowed on its
investments within the constraints imposed by its safety and liquidity objectives, and the
applicable law governing the investment of public funds.
The City must invest its portfolios in eligible investments that yield the highest possible
rate of return while providing the necessary protection of the principal. The City seeks to
optimize return on investments in all portfolios. The average minimum rate of return for the
W
entire portfolio, excluding funds needed for current obligations, must be at least equal to a no
default risk rate of return indicator, such as the return on the three -month Treasury bill. If funds
are subject to yield restrictions due to federal arbitrage regulations, those funds are excluded
from the yield calculation. The City may only invest in a particular eligible investment if its
yields are equal to or greater than the bond equivalent yield on United States Treasury
obligations of comparable maturity. The City Council may establish additional appropriate
criteria for investment performance measures.
Public Trust
It will be the objective of the City to act responsibly as custodians of the public trust.
Portfolio Management
Under this Policy all investments will be made with the intent of pursuing, at the time of
purchase, the best rate of return on securities held until maturity, and not with the intent of
speculative trading. However, securities may be sold before maturity if market conditions
present an opportunity for the City to benefit from this transaction.
Investment Strategy
The City maintains one commingled portfolio for investment purposes which
incorporates the specific use and the unique characteristics of the funds in the portfolio. The
investment strategy has as its primary objective assurance that anticipated liabilities are matched
and adequate investment liquidity provided. The City shall pursue conservative portfolio
management strategy. This may be accomplished by creating a laddered maturity structure with
some extension for yield enhancement. The maximum maturity of any security will be three
years and the maximum dollar weighted average maturity of one year or less will be calculated
using the stated final maturity date of each security.
The investment strategy for debt service shall have as its primary objective the timely
payment of debt service obligations. Successive debt service dates will be fully funded before
any investment extensions are made. .
III. INVESTMENT RESPONSIBILITY AND CONTROL
City's Investment Officers
In accordance with Section 2256.005 of the Act, Investment Officers for the City include
the City Manager, Executive Directors, the Finance Director, and the Assistant Finance Director.
The Finance Director is the primary manager of City investment portfolios, and shall develop
and maintain written administrative procedures for the operation of the investment program,
consistent with this Policy, including the following:
(1) Summarizing the economic and market analysis;
3
(2) Forecasting available cash for investments;
(3) Formulating strategies for asset mix, investment instruments, maturities, and
target yields;
(4) Monitoring performance against the current investment strategy and evaluating
reasons for variances;
(5) Reporting portfolios performance for the previous quarter to the City Council; and
(6) Revising the investment strategy based on recommendations by the Investment
Advisory Committee.
Selecting and Processing Investments
The Investment Officers review the composition of the current portfolio and determines
whether the securities under consideration maintain the portfolio within the guidelines
established by this Policy, subchapter A of the Act, and all federal, state, and local statutes, rules
or regulations. The Investment Officers approves the wire transfer form authorizing the transfer
of funds for a specific investment transaction.
Documenting Investments and Providing Details
The City Manager, Finance Director, and Investment Officers retain documentation of all
investment transactions, including any bond swaps. The City Manager, Finance Director, and
Investment provides information and supporting documentation for all investment transactions
for entry in the General Ledger. The City Manager, Finance Director, and Investment Officers.
The Finance Director will utilize information and back -up documentation on all investment
transactions to ensure accurate calculation of cash position and accurate posting to appropriate
accounts.
Developing Cash Flow Projections for All Portfolios
The City Manager, Finance Director, and Investment Officers analyzes prior period data
and develops and amends cash flow projections of the City's cash requirements The cash flow
projections to match assets and liabilities in order to maximize the return on investments. All
funds that can be legally invested and match the available balance identified in the cash flow
projections are considered available for investment.
Monitoring Investment Performance
The City Manager, Finance Director, and Investment Officers must routinely perform
market and economic analysis to forecast probable market conditions for the investment period
by assembling and analyzing current and trend data to develop and plan investment strategy.
M
This analysis uses information obtained from investment advisors, brokers, and investment
industry publications.
The City Manager, Finance Director, and Investment Officers monitor the current and
expected yield curves for interest rate movements. When interest rates are expected to decline,
maturity ranges are extended within portfolio and the constraints of this Policy. When interest
rates are expected to increase, maturity ranges are shortened. The City Manager, Finance
Director, and Investment Officers monitors yield spreads between various government agency
issues and United States notes and bonds to determine the best value. The City Manager,
Finance Director, and Investment Officers summarizes economic and market trend information
and presents recommendations for investments strategy based on economic and market
conditions to the City Council and the Investment Advisory Committee.
Reconciling Investment Records and General Ledger
The City Manager, Finance Director, and Investment Officers prepares a monthly report
that includes information such as identifying investments at par value, identifying CUSIP
number, disclosing the premium or discount, and the interest purchased for the City's
investments. The report includes monthly and year -to -date interest accruals and
amortization /accretion of premium /discount. This report should reconcile to the investment
accounts in the General. Ledger.
Allocating Interest Revenue
The City Manager, Finance Director, and Investment Officers allocates the interest
revenue earned from investments proportionately to all accounts that participate in the
investment function.
Providing Revenue Estimates for All Portfolios
The City Manager, Finance Director, and Investment Officers provides an estimate of the
investment revenue for the annual budget
Prudence
Investments of the City shall be made with judgment and the exercise of due care, under
prevailing circumstances, that a person of prudence, discretion and intelligence would exercise in
the management of the person's own affairs, not for speculation, but for investment, considering
the probable safety of capital, as well as the probable income to be derived for the City. Unless
authorized by law, a person may not deposit, withdraw, transfer, or manage in any other manner
the funds of the City.
Business Relationships of City Manager and Investment Officers
The City Manager and the Investment Officersmustfile a statement with the City Council
and the Texas Ethics Commission of any personal business relationship that they may have with
5
a business organization as defined in the Act offering to engage in an investment transaction with
the City. A personal business relationship is defined by Section 2256.005 of the Act to exist if
(1) The investment officer owns 10% or more of the voting stock or shares of
the business organization or owns $5,000 or more of the fair market value
of the business organization;
(2) Funds received by the investment officer from the business organization
exceed 1.0% of the investment officer's gross income for the previous year;
or
(3) The investment officer has acquired from the business organization during
the previous year investments with a book value of $2,500 or more for the
personal account of the investment officer.
Liability of City Manager, Finance Director, and Investment Officers
The City Manager, Finance Director, and Investment Officers are not responsible for any
loss of the City funds through the failure or negligence of a depository bank or other financial or
investment institution as described in Article VI of this Policy.
IV. INVESTMENT REPORTING
Quarterly Report
The City Manager, Finance Director, and Investment Officers will continually monitor
and evaluate the City's investments, and report quarterly to the City Council as provided in
Section 2256.023 of the Act. The report must:
(1) describe in detail the investment position of the City on the date of the report;
(2) be prepared jointly by all investment officers of the City;
(3) be signed by each investment officer of the City;
(4) contain a summary statement, prepared in compliance with generally accepted
accounting principles, of each pooled fund group that states the:
(a) beginning market value for the reporting period;
(b) additions and changes to the market value during the period;
(c) ending market value for the period; and
(d) fully accrued interest for the reporting period;
0
(5) state the book value and market value of each separately invested asset at the
beginning and end of the reporting period by the type of asset and fund type
invested;
(6) state the maturity date of each separately invested asset that has a maturity date;
(7) state the account or fund or pooled group fund in the City for which each
individual investment was acquired; and
(8) state the compliance of the investment portfolio of the City as it relates to:
(a) the investment strategy expressed in the City's investment policy; and
(b) relevant provisions of the Act.
The report shall be presented not less than quarterly to the City Council and the City
Manager of the City within a reasonable time after the end of the period.
If the City invests in other than money market mutual funds, investment pools or
accounts offered by its depository bank in the form of certificates of deposit, or money market
accounts or similar accounts, the reports prepared by the investment officers under this section .
shall be formally reviewed at least annually by an independent auditor, and the result of the
review shall be reported to the City Council by that auditor.
Investment Advisory Committee
An Investment Advisory Committee composed of the City Manager (as Chair), Executive
Directors, the Mayor, Finance Director, Assistant Finance Director, Budget /Financial Analyst,
and one member of the City Council will meet no less than once semiannually to review the last
two quarterly reports prepared by the City Manager, Finance Director, and Investment Officers
and review the Investment Objectives, Investment Responsibility and Control, and Investment
Instruments as established by this Policy and the Act.
Annual Review
This Policy and investment strategy will be reviewed by City Council annually. The City
Council shall adopt a written rule, order, ordinance, or resolution stating that it has reviewed the
Policy and investment strategy and shall record in the order, ordinance or resolution any changes
made to either the Policy or investment strategy.
Investment Training
The City Manager, Finance Director, and Investment Officers are required to receive 1.0
hours training pertaining to the Texas Public Funds Investment Act within the first 1.2 months
after assuming duties and 8 hours every 2 years thereafter. This training shall be through courses
and seminars offered by professional organizations and associations in order to ensure the quality
7
and capability of the Investment Officers and staff in making investment decisions. Training for
city council officials on the Investment Committee is recommended to provide education and
knowledge pertaining to the Public Funds Investment Act but the training is not mandatory.
Notification of Investment Changes or Defaults
It shall be the duty of the City Manager, Finance Director, and Investment Officers to
notify the City Council of any significant changes in current investment methods and procedures
prior to their implementation and to immediately notify the City Council in the event of a default
or nonpayment of any investment acquired with City funds. In addition, the City Council in its
annual review of the Policy shall adopt any order, ordinance, or resolution establishing its annual
review and record any changes to the Policy or investment strategies.
Compliance Audit
The City, in conjunction with its annual financial audit, shall perform a compliance audit
of management controls on investments and adherence to the Policy.
V. INVESTMENT INSTRUMENTS
Authorized Investment Instruments
The City Manager, Finance Director, and Investment Officers shall use any or all of the
following authorized investment instruments consistent with governing law:
(1) Obligations, including letters of credit, of the United States or its agencies
and instrumentalities;
(2) Collateralized mortgage obligations directly issued by a federal agency or
instrumentality of the United States, the underlying security for which is
guaranteed by an agency of instrumentality of the United States;
(3) General Obligations of states, agencies, counties, cities, and other political
subdivisions of any state having been rated as to investment quality by a
nationally recognized investment rating firm and having received a rating
of not less than A or its equivalent;
(6) Certificates of deposit issued by a state or national bank domiciled in this
State, a savings bank domiciled in this state or federal credit union .
domiciled in this State that are
(A) Guaranteed or insured by the Federal Deposit Insurance
Corporation or its successor or the National Credit Union Share
Insurance Fund or its successor; or
(B) Secured by obligations that are described by subdivisions (1) -(6) of
this subsection, including mortgage- backed securities directly
issued by a federal agency or instrumentality that have a market
value of not less than the principal amount of the certificates or in
any other manner and amount provided by law for deposits of the
City; or
(C) Secured in any other manner and amount provided by law for
deposits of the City;
(7) Prime domestic bankers' acceptances if it
(A) Has stated maturity of 270 days or fewer from the date of its
issuance;
(B) Will be, in accordance with its terms, liquidated in full at maturity;
(C) Is eligible for collateral for borrowing from a Federal Reserve
Bank; and
(D) Is accepted by a bank organized and existing under the laws of the
United States or any state, if the short-term obligations of the bank,
or of a bank holding company of which the bank is the largest
subsidiary, are rated not less than A -1 or P -1 or an equivalent
rating by at least one nationally recognized credit rating agency;
(8) Commercial paper if it
(A) Has a stated maturity of 270 days or less from the date of its
issuance; and
(B) Is rated not less than A -1, P -1, or the equivalent by at least
(1) Two nationally recognized credit rating agencies; or
(2) One nationally recognized credit rating agency and is fully
secured by an irrevocable letter of credit issued by a bank
organized and existing under the laws of the United States
or any state thereof,
(C) For commercial paper with maturity of over 90 days, monthly
credit checks will be conducted on the issuer to determine risk and
to take appropriate steps to protect the investment
0
(9) Fully collateralized direct repurchase agreements having a defined
termination date, secured by obligations described by subdivision (1) of
this subsection, pledged to the City, held in the City's name, and deposited
at the time the investment is made with a third party selected and approved
by the City, and placed through a primary government securities dealer, as
defined by the Federal Reserve, or a financial institution doing business in
this State;
(11) Bond proceeds, other than bond proceeds representing reserves and funds
maintained for debt service purposes, may not be invested under the Act in
a guaranteed investment contract with a term of longer than five years
from date of issuance of the bonds; to be eligible as an authorized
investment
(A) The City Council must specifically authorize guaranteed
investment contracts as an eligible investment in the ordinance or
resolution authorizing the issuance of bonds;
(B) The City must receive bids from at least three separate providers
with no material financial interest in the bonds from which
proceeds were received;
(C) The City must purchase the highest yielding guaranteed investment
contract for which a qualifying bid is received;
(D) The price of the guaranteed investment contract must take into
account the reasonably expected drawdown schedule for the bond
proceeds to be invested; and
(E) The provider must certify the administrative costs reasonably
expected to be paid to third parties in connection with the
guaranteed investment contract.
In addition to the investments described by items (1) - (11) above, the City may invest
funds under its control in eligible public funds investment pools as permitted under the Act. A
public funds investment pool must be continuously rated no lower than AAA or AAA -m or at an
equivalent rating by at least one nationally recognized rating service or no lower than investment
grade by at least one nationally recognized rating service with a weighted average maturity no
greater than 90 days.
In addition to the investments described by items (1) - (11) above, the City may, in
accordance with the Act, purchase, sell, and invest funds, after receiving a prospectus and other
information required by the SEC, under its control in an SEC - regulated, no -load money market
mutual fund with a dollar- weighted average stated maturity of 90 days or less and whose
investment objectives include seeking to maintain a stable net asset value of $1 per share or a no-
1.0
load mutual fund which is registered with the SEC, has an average weighted maturity of less than
two years, is invested exclusively in obligations approved by the Act, is continuously rated as
investment quality by at least one nationally recognized investment rating firm of not less than
AAA or its equivalent and conforms to the requirements set forth in Sections 2256.016(b) and (c)
of the Act relating to the eligibility of investment pools to receive and invest funds of the City.
The City shall not (i) invest in the aggregate more than 15% of its monthly average fund balance,
excluding bond proceeds and reserves and other funds held for debt service in mutual funds as
described by the Act; (ii) invest any portion of bond proceeds, reserves and funds held for debt
service, in mutual finds described by the Act; or (iii) invest its funds or funds under its control,
including bond proceeds and reserves and other funds held for debt service in any one mutual
fund described by the Act in an amount that exceeds 10% of the total assets of the mutual fund.
VI. INVESTMENT INSTITUTIONS
Selection of Bank and Securities Dealers
All financial institutions and broker /dealers who desire to become qualified bidders for
investment transactions must be given a copy of the Policy and must supply the City Manager,
Finance Director, and Investment Officers with the information specified below. First, a
broker /dealer must submit audited financial statements for the financial institution or
broker /dealer. Second, a broker /dealer must provide evidence of appropriate registration by the
qualified representative of the business organization as such terms are defined in the Act. For
bank dealers, this requires a statement from a senior bank official that the bank dealer is
appropriately registered with its primary regulatory agency (the Office of the Comptroller of the
Currency for National Banks) as a government securities dealer, municipal securities dealer, or
both. For a securities firm, this requires a statement from a senior official that the firm is
registered with the National Association of Securities Dealers. Finally, a broker /dealer must
deliver a written statement, acceptable to the City, by the qualified representative, offering to
engage in an investment transaction with the City, that they have received and thoroughly
reviewed the Policy and acknowledged that the business organization has implemented
reasonable procedures and controls in an effort to preclude investment transactions conducted
between the City and the business organization that are not authorized by this Policy or the
Public Funds Investment Act. The City Manager, Finance Director, and Investment Officers will
recommend both primary and secondary securities dealers to the City Council for final approval.
The City Manager, Finance Director, and Investment Officers may not acquire or otherwise
obtain any authorized investment described in this Policy from a person who has not delivered to
the City the written statement required in this section.
The City Council or the designated Investment Advisory Committee members shall, at
least annually, review, revise, and adopt a list of qualified brokers that are authorized to engage
in investment transactions with the City.
VII. INVESTMENT COLLATERAL AND SAFEKEEPING
Collateral or Insurance for Deposits
The City Manager, Finance Director, and Investment Officers shall ensure that all
deposited and invested City funds are, to the extent required, fully collateralized or insured
consistent with federal and state law and the current bank depository contract in one or more of
the following manners:
(1) FDIC insurance coverage;
(2) Obligations of the United States or its agencies and instrumentalities;
(3) Direct obligations of the State of Texas or its agencies;
(4) Other obligations, the principal of and interest on which are
unconditionally guaranteed or insured by the State of Texas or the United
States or its agencies and instrumentalities; or
(5) Any other manner allowed by law.
Safekeeping
All purchased securities shall be held in safekeeping by the City, or a City account in a
third party financial institution, or with a Federal Reserve Bank.
All certificates of deposit, insured by FDIC, purchased outside the depository bank shall
be held in safekeeping by either the City or a City account in a third party financial institution.
All pledged securities by the depository bank shall be held in safekeeping by the City, or
a City account in a third party financial institution, or with a Federal Reserve Bank.
All certificates of deposit, pledged by the depository bank shall be held in custody of a
Federal Reserve :Bank for safekeeping, be the subject of a valid pledge agreement designating the
City as the beneficiary of the pledge agreement; be insured by the FDIC; be described in detail
by a safekeeping receipt issued to the City by the Federal Reserve Bank having custody of the
certificates; and be issued with the City as registered owner.
Delivery vs. Payment
It will be the policy of the City that all transactions, except investment pool funds and
mutual funds, shall be purchased using the delivery vs. payment method through the Federal
Reserve System. By so doing, City funds are not released until the City has received, through
the Federal Reserve wire, the securities purchased.
12
CITY OF SCHERTZ, TEXAS
INVESTMENT POLICY AND STRATEGY
iYATITMITKOINTRW,
I. INVESTMENT SCOPE ............................................................................ ............................... 1
GeneralStatement ............................................................................. ............................... 1
FundsIncluded ................................................................................... ............................... 1
FundsExcluded .................................................................................. ............................... 1.
II. INVESTMENT OBJECTIVES .............................................................. ............................... l
GeneralStatement ............................................................................. ............................... 1
Safety................................................................................................... ............................... 2
Liquidity.............................................................................................. ............................... 2
Diversification.................................................................................... ............................... 2
Yield.................................................................................................... ............................... 2
Maturity.............................................................................................. ............................... 3
PublicTrust ........................................................................................ ............................... 3
PortfolioManagement ....................................................................... ............................... 3
InvestmentStrategy ........................................................................... ............................... 3
III. INVESTMENT RESPONSIBILITY AND CONTROL ..................... ............................... 4
City's Investment Delegate ................................................................ ............................... 4
Selecting And Processing Investments ............................................. ............................... 4
Documenting Investments And Providing Details .......................... ............................... 5
Developing Cash Flow Projections For All Portfolios .................... ............................... 5
Determining Cash Available For Investment .................................. ............................... 5
Monitoring Investment Performance ............................................... ............................... 5
Reconciling Investment Records And General Ledger .................. ............................... 6
Allocating Interest Revenue .............................................................. ............................... 6
Providing Revenue Estimates For All Portfolios ............................ ............................... 6
Prudence............................................................................................. ............................... 6
Business Relationships of
and Investment Officers .................................................................... ............................... 6
Liability of .' . ._ °,. n desi f;ity M n per an IInvest ent
Officers................................................................................................ ............................... 7
IV. INVESTMENT REPORTING .............................................................. ............................... 7
QuarterlyReport ............................................................................... ............................... 7
Investment Advisory Committee ...................................................... ............................... 8
AnnualReview ................................................................................... ............................... 8
InvestmentTraining .......................................................................... ............................... 8
Notification of Investment Changes or Defaults ............................. ............................... 9
ComplianceAudit .............................................................................. ............................... 9
V. INVESTMENT INSTRUMENTS .......................................................... ............................... 9
Authorized Investment Instruments ................................................ ............................... 9
VI. INVESTMENT INSTITUTIONS ........................................................ ............................... 12
Investment Institutions Defined ...................................................... ............................... 12
Selection of Bank And Securities Dealers ...................................... ............................... 13
VII. INVESTMENT COLLATERAL AND SAFEKEEPING ................ ............................... 13
Collateral or Insurance For Deposits ............................................. ............................... 13
Safekeeping....................................................................................... ............................... 14
Deliveryvs. Payment ....................................................................... ............................... 14
ffm
I. INVESTMENT SCOPE
General Statement
This policy (this "Policy") serves to satisfy the statutory requirement of the Public Funds
Investment Act, as amended, Texas Government Code Chapter 2256, as amended (the "Act "), to
define and adopt a formal written investment policy for the City of Schertz, Texas (the "City ").
The City shall be authorized to invest its funds pursuant to the provisions of the Act and this
Policy or, upon obtaining the prior approval of the City Council of the City (the "City Council "),
any other applicable law.
Funds Included
This Policy applies to all City funds under the direct control of the City, at the present
time any funds to be received in the future and any other funds held in custody by the City,
unless expressly prohibited by law or unless it is in contravention of any depository contract
between the City and any depository bank.
The City funds that are entrusted to the City Council for investment pursuant to this
Policy are divided into the following portfolios based on the source of funds:
The operating account portfolio that consists of funds from the general fund and
all other miscellaneous funds.
The agency funds portfolio, which consists of all agency funds.
Special Revenue, Special Assessment, and all other City funds.
Funds Excluded
This Policy shall not be applicable to any funds on deposit in any bond account, reserve
account, or capital improvement construction account. The provisions of the ordinances
authorizing the issuance of these debt obligations and the provisions of the Internal Revenue
Code of 1986, as amended control the investment of funds on deposit in these accounts.
IL INVESTMENT OBJECTIVES
General Statement
Funds of the City will be invested in accordance with the Act, this Policy, written
investment strategy, and written administrative procedures to be developed by the City - Men&gg r
h l+e do ig e$ tyr 1! ra c __ n nce Di -ector and Inv_estin,eni Officers. The City's
investment portfolio shall be managed in a manner to attain the maximum rate of return allowed
through prudent and legal investing of City funds while preserving and protecting capital in the
overall portfolio.
Safety
The primary objective of the City for all portfolios and funds is to ensure the safety of the
principal. All investment transactions shall first seek to avoid capital losses.
Liquidity
The City's investment portfolio must be structured in a manner that will provide the
liquidity necessary to meet all operating requirements which might reasonably be anticipated,
and to pay obligations as they become due.
Diversification
The policy of the City, except when investing with the City's depository bank or in U.S.
Treasury Bills, Bonds or Notes, will be to diversify its investment portfolio when investing in
certificates of deposit of other banks and savings and loans domiciled in Texas, repurchase
agreements, U.S. agencies securities, and other investment instruments provided for by law. The
City's portfolio shall be diversified to eliminate the risk of loss resulting from over concentration
of assets in a specific maturity, a specific issuer or a specific class of investments. Investments
of the City shall always be selected to provide stability of income and reasonable liquidity.
Liquidity is defined as the ability to sell an investment at reasonable cost under adverse market
conditions.
In establishing specific diversification strategies, the following general polices and
constraints shall apply:
(1) Portfolio maturities shall be staggered in a way that avoids undue concentration of
assets in a specific maturity sector. Maturities shall be selected which provide for
stability of income and reasonable liquidity.
(2) Liquidity shall be maintained through practices that ensure that the next
disbursement date and payroll date are covered through current revenues,
maturing investments, or marketable securities.
(3) Risks of market price volatility shall be controlled through maturity
diversification.
Yield
It is the objective of the City to earn the maximum rate of return allowed on its
investments within the constraints imposed by its safety and liquidity objectives, and the
applicable law governing the investment of public funds.
The City must invest its portfolios in eligible investments that yield the highest possible
rate of return while providing the necessary protection of the principal. The City seeks to
optimize return on investments in all portfolios. The average minimum rate of return for the
2
entire portfolio, excluding funds needed for current obligations, must be at least equal to a no
default risk rate of return indicator, such as the return on the three -month Treasury bill. If funds
are subject to yield restrictions due to federal arbitrage regulations, those funds are excluded
from the yield calculation. The City may only invest in a particular eligible investment if its
yields are equal to or greater than the bond equivalent yield on United States Treasury
obligations of comparable maturity. The City Council may establish additional appropriate
criteria for investment performance measures.
writ
Pr° �' mats +riti�;-- vjiil- be- st��gf cryd- t°r- a�°8a��; #h�- gigl��st�•o a�f- ia�� °:;t- b��t -at --the
ate. - .t'idr
ye- ars --- a mac;_ e_ f --ff . aspx upt, if- ..-- ,,4 °:`.a a Mated -itr d i e
Public Trust
It will be the objective of the City to act responsibly as custodians of the public trust.
Portfolio Management
Under this Policy all investments will be made with the intent of pursuing, at the time of
purchase, the best rate of return on securities held until maturity, and not with the intent of
speculative trading. However, securities may be sold before maturity if market conditions
present an opportunity for the City to benefit from this transaction.
Investment Strategy
mmtc City in nt ins one _ coin Miia Le __.pctrff9!l o. 1br investment hich
incorpiKates the sRec ific nscand tlit_ - -unic tic, characteristics of the funds in the for °vto ho, : lrc,
investment stratc< list as its zini, cl~a ective assurance that anti�i �ted liabilities we matched
_._ _.. �mm_ _ _ __gy . _. _� lt._ _ _..__ __..
and adequ ifc -- investment lk uidit provided The Citt% shall tii i °st icy conservative 1?otifolio
The irrestinent strai ty Ccir_vht service :shall have as its ... iniLirvobj livd...th tlmtpely
_._
Miyanent of debt service oi-iligations. Successive debt service dates will be fiil]v Funded beflorc
_- ___
qny- v_,,stnient extensions aye�ni,vie� l ° -itv sli , -tlrc f its hall -a if a -s at °
.i iv stnwrit...s ' rgs....prr a thtr --f s cif" " w s aaad :r....4 r Ea e4-+
iiwestment -iiwestinent ob` -- the - -p: ° `; uIar fund -- . ' ..... the,
i" - »
(-3y--4-- -i
(+) -- - - - - -- - f thn -nev ar s-e tea --liq date--tire -invcs =nt
.. na= e�ra�taari.
III. INVESTMENT RESPONSIBILITY AND CONTROL
City's Investment Detc ateOffic°ers
(( i�
In accordance with Section 2256.005 o the Act, investment Officers for the ity 1 lude
the Qty Nl,e;,ttrcr .. ccutiiv _Dir ctorl -1 til Fi.lattcc L3irectc~r rstt(lw li,c , s,iiiart Ei��anc —e-
itrvr: dtasr rat t�f tl Cry's iiFnd —1 h `ity A rnr r 1 - Finance Dirac too
the primary manager of City investment portfolios, and shall develop and maintain written
administrative procedures for the operation of the investment program, consistent with this
Policy, including the following:
(1) Summarizing the economic and market analysis;
(2) Forecasting available cash for investments;
(3) Fonnulating strategies for asset mix, investment instruments, maturities, and
target yields;
(4) Monitoring performance against the current investment strategy and evaluating
reasons for variances;
(5) Reporting portfolios performance for the previous quarter to the City Council; and
(6) Revising the investment strategy based on recommendations by the Investment
Advisory Committee.
Selecting and Processing Investments
The de4g eelnvestni nt-Ofi c er) reviews the composition of
the current portfolio and determines whether the securities under consideration maintain the
portfolio within the guidelines established by this Policy, subchapter A of the Act, and all
federal, state, and local statutes, rules or regulations. The Gz- anagef ��
c psi �irtvcs;r ^rrE fficers . approves the wire transfer form authorizing the transfer of funds
for a specific investment transaction.
Documenting Investments and Providing Details
The C - Vanaggrr =s his �f- designee4C'ity lanage #,,, Finance Dir(ctorand Investment
Officers, retains documentation of all investment transactions, including any bond swaps. The
age % i o le age 3t.`i.y �1arf. gc ..:FCi t c 1 c ^c: a r and Invesisssent -. rovides
information and supporting documentation for all investment transactions for entry in the
General Ledger. The ( xd , L r -d er- A€signe0City IM in, c?r inn
Investment Officers Finance Director will utilize information and back -up documentation on all
investment transactions to ensure accurate calculation of cash position and accurate posting to
appropriate accounts.
Developing Cash Flow Projections for All Portfolios
The .` y Ovals ,: °r fOria'1� dsig+ }tT5_..C_sgi „_ i'ras <_If °cctcr °, and lnvc; ircant
Officers analyzes prior period data and develops and amends cash flow projections of the City's
cash uss * T h _cash flow projections to
match assets and liabilities in order to maximize the return on investments. All funds than can be
leolly--- invested and match the available balance identified in the cash flo�h, prct�c�t�c�n, are
- -- — - - -- - - -- - -- -- —
considered available for investment.
The- g ity M ager { histh:rAesigne -e . -deter n s fl e atr�rrc ofd ity fr�rsds avai le -tfrr
that - days= �: -dadb • c� °nts= -, rora lrr=sl f` assn ° = -�a- inv =c�tn�cnt:
Monitoring Investment Performance
The rlaag...�...Lisflr ds eig+v }CtY...ln tcl..> fiss,e [hrector lrat fl.c ttarst
- Officers must routinely perform market and economic analysis to forecast probable market
conditions for the investment period by assembling and analyzing current and trend data to
develop and plan investment strategy. This analysis uses information obtained from investment
advisors, brokers, and investment industry publications.
The City 6s° t;s {cn l 1aclsines }C ..asaa,a1 ina�scc; Itirattor t?cl l�svt t�azsi
_. ___
Officers monitors the current and expected yield curves for interest rate movements. When
interest rates are expected to decline, maturity ranges are extended within portfolio and the
constraints of this Policy. When interest rates are expected to increase, maturity ranges are
shortened. The
oznodnm yield spreads hmnwocu vudona government agency issues and
United States notes and bonds to determine the best value. The
demi
ououunzzoa 0000nzuiu and
market trend iuihnna1ino and presents ncnoomondutinoo for investments strategy based on
economic and market conditions to the City Council and the Investment Advisory Committee.
Reconciling Investment Records and General Ledger
The
prepares a monthly report that includes information such as identifying investments at
pa, value, identifying CDS|P number, disclosing the premium or dinc000t, and the interest
purchased for the City's bmomuuenuo. The report includes monthly and year-to-date interest
uocmulm and amortization/accretion ofp,uozioo/Jieoouut. This report should reconcile m the
investment accounts in the General Ledger.
Allocating Interest Revenue
The
Zg_.Finai cc Direct
OfficcIso|loumuo the interest revenue earned from investments proportionately m all uocouo|o
that participate iu the investment function.
Providing Revenue Estimates for All Portfolios
The
Officers provides an estimate of the investment revenue for the annual budget
Prudence
Investments of the City shall be made with judgment and the exercise of due care, under
prevailing circumstances, that a person of prudence, discretion and intelligence would exercise in
theouoougumeoaofdhupo/son'oo*nufhire,00tKorapoou|oziou.hu/for investment, considering
the probable safety of capital, aa well oo the probable income u`be derived for the City. Unless
authorized by law, u person may not deposit, withdraw, transfer, or manage iu any other manner
the funds nf the City.
Business Relationships of City Manager
The City h4ouuger uo
onuooenu with the City Council and the Tuzom Ethics Cwonoionin: of any pc/nvuu| boaboeom
relationship that ay have with a lmaineaa
organization aa defined in the Act offering w engage iouu investment transaction with the City.
A personal business relationship is defined by Section 2256.005 of the Act to exist if
(1) The investment officer owns 10% or more of the voting stock or shares of
the business organization or owns $5,000 or more of the fair market value
of the business organization;
(2) Funds received by the investment officer from the business organization
exceed 10% of the investment officer's gross income for the previous year;
or
(3) The investment officer has acquired from the business organization during
the previous year investments with a book value of $2,500 or more for the
personal account of the investment officer.
Liability of 1 ; ° j ear) A__ LM r
Finance, 1) rector an
Investment Officers
The i/Tgnagea_a l z c l ac ° o ° d Investment
Officeas iF-are not responsible for any loss of the City funds through the failure or negligence of
a depository bank or other financial or investment institution as described in Article VI of this
Policy.
IV. INVESTMENT REPORTING
Quarterly Report
The C "ity , Iaa g r {or -1 i � r de ig ;) ,sty_ a age; _ aaaa i irector, an_d l v stt ent
Officers will continually monitor and evaluate the City's investments, and report quarterly to the
City Council as provided in Section 2256.023 of the Act. The report must:
(1) describe in detail the investment position of the City on the date of the report;
(2) be prepared jointly by all investment officers of the City;
(3) be signed by each investment officer of the City;
(4) contain a summary statement, prepared in compliance with generally accepted
accounting principles, of each pooled fund group that states the:
(a) beginning market value for the reporting period;
(b) additions and changes to the market value during the period;
(c) ending market value for the period; and
(d) fully accrued interest for the reporting period;
(5) state the book value and market value of each separately invested asset at the
beginning and end of the reporting period by the type of asset and fund type
invested;
(6) state the maturity date of each separately invested asset that has a maturity date;
(7) state the account or fund or pooled group fund in the City for which each
individual investment was acquired; and
(8) state the compliance of the investment portfolio of the City as it relates to:
(a) the investment strategy expressed in the City's investment policy; and
(b) relevant provisions of the Act.
The report shall be presented not less than quarterly to the City Council and the City
Manager of the City within a reasonable time after the end of the period.
If the City invests in other than money market mutual funds, investment pools or
accounts offered by its depository bank in the form of certificates of deposit, or money market
accounts or similar accounts, the reports prepared by the investment officers under this section
shall be formally reviewed at least annually by an independent auditor, and the result of the
review shall be reported to the City Council by that auditor.
Investment Advisory Committee
An Investment Advisory Committee composed of the City Manager (as Chair), Executive
Directors, the Mayor, Finance Director, Assistant Finance Director, Budget /Financial Analyst,
and one member of the City Council will meet no less than once semiannually to review the last
two quarterly reports prepared by the fLLh la +�a f or h he si rr "it T <� la , L, c,x, 1i i, c
l ff ctc>r an l l Svc tilictitw Officers and review the Investment Objectives, Investment
Responsibility and Control, and Investment Instruments as established by this Policy and the
Act.
Annual Review
This Policy and investment strategy will be reviewed by City Council annually. The City
Council shall adopt a written rule, order, ordinance, or resolution stating that it has reviewed the
Policy and investment strategy and shall record in the order, ordinance or resolution any changes
made to either the Policy or investment strategy.
Investment Training
The CA \4an— { cap =- hi- -,,,laur- de�4giee)CitK an,,; _ finance Director,. ind_l€ vestment
Officer s s4A required to receive 10
hours training pertaining to the Texas Public Funds Investment Act within the first 12 months
after assuming duties and ��h��mc�2yoo �u�u������u ��hc&mu�
c�momdyo�um»o�odby professional organizations and associations in order to ensure
the quality and capability ofthe estment Officers and staff
in making investment decisions. Training for city council officials on the Investment Committee
is recommended to provide education and knowledge pertaining to the Public Funds Investment
Act but the training ia not mandatory.
Notification of Investment Changes orDefaults
It shall be the duty of the Jnaice
Director,and Investment-Officer'; tn notify the City Council o{ any significant changes iucurrent
investment methods and procedures prior to their implementation and to immediately notify the
City Council in the event of a default or nonpayment of any investment acquired with City funds.
In addition, the City Council in its annual review of the Policy shall adopt any order, ordinance,
or resolution establishing its a0000l ,oviovv and record any changes to the Policy or investment
strategies.
Compliance Audit
The City, in conjunction with its annual financial audit, shall perform o compliance audit
nf management controls un investments and adherence m the Policy.
V. INVESTMENT INSTRUMENTS
Authorized Investment Instruments
The
Officers shall use any or all of the following authorized investment ioaUnmoota consistent with
governing law:
(|) Obligations, including letters o[ credit, o[ the United States mits agencies
and instrumentalities;
(2) Collateralized mortgage obligations directly issued hyo federal agency or
instrumentality of the United States, the underlying security for which is
guaranteed hyuu agency nf instrumentality of the United States;
(3) (ien,c alm_Obligations of states, agencies, counties, cities, and other political
subdivisions of any state having been rated as to investment quality by a
nationally recognized investment rating firm and having received a rating
of not less than A or its equivalent;
(6) Certificates of deposit issued by a state or national bank domiciled in this
State, a savings bank domiciled in this state or federal credit union
domiciled in this State that are
(A) Guaranteed or insured by the Federal Deposit Insurance
Corporation or its successor or the National Credit Union Share
Insurance Fund or its successor; or
(B) Secured by obligations that are described by subdivisions (1) -(6) of
this subsection, including mortgage- backed securities directly
issued by a federal agency or instrumentality that have a market
value of not less than the principal amount of the certificates or in
any other manner and amount provided by law for deposits of the
City; or
(C) Secured in any other manner and amount provided by law for
deposits of the City;
(7) Prime domestic bankers` acceptances if it
(A) Has stated maturity of 270 days or fewer from the date of its
issuance;
(B) Will be, in accordance with its terms, liquidated in full at maturity;
(C) Is eligible for collateral for borrowing from a Federal Reserve
Bank; and
(D) Is accepted by a bank organized and existing under the laws of the
United States or any state, if the short-term obligations of the bank,
or of a bank holding company of which the bank is the largest
subsidiary, are rated not less than A -1 or P -1 or an equivalent
rating by at least one nationally recognized credit rating agency;
(8) Commercial paper if it
(A) Has a stated maturity of 270 days or less from the date of its
issuance; and
(B) Is rated not less than A -1, P -1, or the equivalent by at least
10
(1) Two nationally recognized credit rating agencies; or
(2) One nationally recognized credit rating agency and is fully
secured by an irrevocable letter of credit issued by a bank
organized and existing under the laws of the United States
or any state thereof,
Formatted: Indent: Left: 0 ". First line: 0"
(C) ----------------- -For _ commercial pAier With matur tNr -q over_9ildays5_rnontl ly
credit checks will be conducted on the issuer to d tc,nnine risk and
t _tak I ) w>>�riat steps to prot� ;t the investment
(9) Fully collateralized direct repurchase agreements having a defined
termination date, secured by obligations described by subdivision (1) of
this subsection, pledged to the City, held in the City's name, and deposited
at the time the investment is made with a third party selected and approved
by the City, and placed through a primary government securities dealer, as
defined by the Federal Reserve, or a financial institution doing business in
this State;
f l p l - trara tc i�r atrncn dra t i r, -an aurhortza rl ins �tnrcnt fin kt��a
maul T t,t-i tiw -gi - '- c« t $ t
(11) Bond proceeds, other than bond proceeds representing reserves and funds
maintained for debt service purposes, may not be invested under the Act in
a guaranteed investment contract with a term of longer than five years
from date of issuance of the bonds; to be eligible as an authorized
investment
(A) The City Council must specifically authorize guaranteed
investment contracts as an eligible investment in the ordinance or
resolution authorizing the issuance of bonds;
(B) The City must receive bids from at least three separate providers
with no material financial interest in the bonds from which
proceeds were received;
11
(C) The City must purchase the highest yielding guaranteed investment
contract for which a qualifying bid is received;
(D) The price of the guaranteed investment contract must take into
account the reasonably expected drawdown schedule for the bond
proceeds to be invested; and
(E) The provider must certify the administrative costs reasonably
expected to be paid to third parties in connection with the
guaranteed investment contract.
In addition to the investments described by items (1) - (11) above, the City may invest
funds under its control in eligible public funds investment pools as permitted under the Act. A
public funds investment pool must be continuously rated no lower than AAA or AAA -m or at an
equivalent rating by at least one nationally recognized rating service or no lower than investment
grade by at least one nationally recognized rating service with a weighted average maturity no
greater than 90 days.
In addition to the investments described by items (1) - (11) above, the City may, in
accordance with the Act, purchase, sell, and invest funds, after receiving a prospectus and other
information required by the SEC, under its control in an SEC - regulated, no -load money market
mutual fund with a dollar- weighted average stated maturity of 90 days or less and whose
investment objectives include seeking to maintain a stable net asset value of $1 per share or a no-
load mutual fund which is registered with the SEC, has an average weighted maturity of less than
two years, is invested exclusively in obligations approved by the Act, is continuously rated as
investment quality by at least one nationally recognized investment rating firm of not less than
AAA or its equivalent and conforms to the requirements set forth in Sections 2256.016(b) and (c)
of the Act relating to the eligibility of investment pools to receive and invest funds of the City.
The City shall not (i) invest in the aggregate more than 15% of its monthly average fund balance,
excluding bond proceeds and reserves and other funds held for debt service in mutual funds as
described by the Act; (ii) invest any portion of bond proceeds, reserves and funds held for debt
service, in mutual finds described by the Act; or (iii) invest its funds or funds under its control,
including bond proceeds and reserves and other funds held for debt service in any one mutual
fund described by the Act in an amount that exceeds 10% of the total assets of the mutual fund.
VI. INVESTMENT INSTITUTIONS
f t w.ty._.I1 uaga ( leilrer d i ay....whalluvi;iy....faais each <ry..or ill
> 3:vt r@�: --d�✓� �3'iau�= �i —n�ai ret��nt E� <� •` ` " ^�te8� �;�`�`aw::is`c? --il " iR °r�i� i�;4?a ='9
(4-) 'P L- C4y4-1)c : ° ory-b nk-
(-2) ------- - - - - -Other-state-of
r E Dank d :cilcd -i Tc a - that are an ecl by I1 It w
12
(4-) ............ eat m e7n tsiee itr4i es- bfe4e7r,&rwWea lei s-ae eeptable-t E) the -C4y,
Selection of Bank and Securities Dealers
All financial institutions and broker/dealers who desire to become qualified bidders for
investment transactions must be given a copy of the Policy and must supply the
"ity amagL ICK1, and Investment Officers with the information
— M gr-Finance Direct
specified below. First, a broker/dealer must submit audited financial statements for the financial
institution or broker/dealer. Second, a broker/dealer must provide evidence of appropriate
registration by the qualified representative of the business organization as such terms are defined
in the Act. For bank dealers, this requires a statement from a senior bank official that the bank
dealer is appropriately registered with its primary regulatory agency (the Office of the
Comptroller of the Currency for National Banks) as a government securities dealer, municipal
securities dealer, or both. For a securities firm, this requires a statement from a senior official
that the firm is registered with the National Association of Securities Dealers. T1+irdT--a
manager Finally, a broker/dealer must deliver a written statement,
acceptable to the City, by the qualified representative, offering to engage in an investment
transaction with the City, that they have received and thoroughly reviewed the Policy and
acknowledged that the business organization has implemented reasonable procedures and
controls in an effort to preclude investment transactions conducted between the City and the
business organization that are not authorized by this Policy prat ie4e-.,,�,-exeept
pcs,4feW of Fequires the-Public Funds,
Investment Act. The ,Lalla- 1 , 1 lc Cuts �L(!T '1n.d
Investment Officers will recommend both primary and secondary securities dealers to the City
Council for final approval. The TvIaEaggr tjnar q ��
Director aancl Investment Officers may not acquire or otherwise obtain any authorized investment
described in this Policy from a person who has not delivered to the City the written statement
required in this section.
The City Council or the designated Investment Advisory Committee members shall, at
least annually, review, revise, and adopt a list of qualified brokers that are authorized to engage
in investment transactions with the City.
VII. INVESTMENT COLLATERAL AND SAFEKEEPING
Collateral or Insurance for Deposits
The agerj, nance irect(Lr, and Investment
Nfanq - : __ —
Officers shall ensure that all deposited and invested City funds are, to the extent required, fully
collateralized or insured consistent with federal and state law and the current bank depository
contract in one or more of the following manners:
13
(1) FDIC insurance coverage;
(2) Obligations of the United States or its agencies and instrumentalities;
(3) Direct obligations of the State of Texas or its agencies;
(4) Other obligations, the principal of and interest on which are
unconditionally guaranteed or insured by the State of Texas or the United
States or its agencies and instrumentalities; or
(5) Any other manner allowed by law.
Safekeeping
All purchased securities shall be held in safekeeping by the City, or a City account in a
third party financial institution, or with a Federal Reserve Bank.
All certificates of deposit, insured by FDIC, purchased outside the depository bank shall
be held in safekeeping by either the City or a City account in a third party financial institution.
All pledged securities by the depository bank shall be held in safekeeping by the City, or
a City account in a third party financial institution, or with a Federal Reserve Bank.
All certificates of deposit, pledged by the depository bank shall be held in custody of a
Federal Reserve Bank for safekeeping, be the subject of a valid pledge agreement designating the
City as the beneficiary of the pledge agreement; be insured by the FDIC; be described in detail
by a safekeeping receipt issued to the City by the Federal Reserve Bank having custody of the
certificates; and be issued with the City as registered owner.
Delivery vs. Payment
It will be the policy of the City that all transactions, except investment pool funds and
mutual funds, shall be purchased using the delivery vs. payment method through the Federal
Reserve System. By so doing, City funds are not released until the City has received, through
the Federal Reserve wire, the securities purchased.
14
Agenda No. 16
CITY COUNCIL MEMORANDUM
City Council Meeting: December 20, 2016
Department: Fire
Subject: ORDINANCE 16 -T -43
Ordinance authorizing the City
Manager to enter into an agreement
for the Purchase of one (1) Fire
Apparatus and associated equipment
and adjust the FY2016 -17 Budget,
repealing all Ordinances or parts of
Ordinances in conflict with this
Ordinance, declaring an emergency
and providing an effective date
(First and Final Reading)
BACKGROUND
The Citizens of Schertz voted on November 3, 2015 to approve General Obligation Bonds to
construct a new Fire Station. This new station will require one (1) new fire apparatus to be
the frontline response vehicle at the new station, Station Three.
Staff recommends the purchase of the fire apparatus at this point and time due to the length
of construction time typically required for completion. In addition, staff is recommending
early purchase of the apparatus due to a 3% increase in the total cost of the apparatus
beginning January 1, 2017 and a prepay discount totaling $51,945 in combined savings. Total
cost of the fire apparatus and equipment is estimated to be $950,000 after the two discounts
are applied.
Schertz Fire recently accepted delivery of a new custom fire apparatus for Station 2 from
Pierce Manufacturing. As Schertz Fire Department grows, it becomes increasingly important
to maintain consistency throughout the department in order to maintain operational readiness.
Therefore, it is the goal of staff to maintain a very similar cabin design, pump panel controls,
and compartment functionality. It is also the goal of staff to ensure that apparatus engines are
built by the same manufacturer with roughly the same horsepower. Equipment consistency
increases the efficiency of operational readiness. After discussions with Fleet Maintenance,
staff recommends engine consistency will also increase efficiency in Fleet Services.
This fire apparatus will serve in a frontline status for approximately ten years. After which
time, it will transition into a reserve status. A fire apparatus in reserve status is used when
maintenance is needed on the frontline apparatus.
In order for the fire apparatus to be operational once it is delivered, there is approximately
$200,000 worth of equipment necessary to outfit the vehicle for emergency response duties.
The engine will cost approximately $750,000 and the equipment will cost approximately
$200,000 for a total not to exceed amount of $950,000 for a fully equipped and operational
fire engine. The equipment includes radios, computers, breathing apparatus, cardiac
monitor /defibrillator, vehicle extrication tools, firehose, nozzles and various other rescue and
firefighting tools and equipment.
Staff is also recommending Council to move forward on this ordinance, declaring an
emergency and approving this budget adjustment in one (1) reading in order to take
advantage of the cost savings that are available prior to January 2017.
In the past, staff has accomplished these purchases with a resolution to enter into the
agreement with the funding of the purchase previously approved in the budget process.
However while preparing for this purchase, staff feels that Council will need further time to
determine the final funding source of this fire apparatus and equipment in early 2017 . and as
such, we are requesting a budget amendment to spend General Fund Balance dollars
immediately in order to realize the $51,945 savings from discounts.
When Council considers future CO bonds in early 2017, more information will be available
as to the amount of 2016/17 GO bonds for Fire Station 3 that could be available towards this
purchase or if CO bonds are the more appropriate tool or if the purchase should remain out of
the General Fund Balance.
Lastly, the City's practice is to seek authorization from Council when expenditures with a
vendor exceed $50,000 in one fiscal year. This purchase is being done with Siddons - Martin.
Emergency Group, the Texas dealer for Pierce Fire Apparatus, in conjunction with a
cooperative purchasing program. Siddons -Martin is also a vendor that the Fire Department
uses for some equipment and the firm used for fire apparatus parts and repairs that fall out of
warranty. For this reason, we are also asking to authorize spending in excess of $50,000 with
Siddons- Martin and setting a not to exceed amount of $825,000 to allow for equipment
purchase and apparatus repair throughout the remainder of the fiscal year.
GOAL
Authorize City Manager to execute the contract for purchase of one (1) fire apparatus
and authorize funding for the apparatus. Also, to approve expenditures with Siddons -
Martin Emergency Group in excess of $50,000 and set an amount not to exceed of
$825,000 for fiscal year 2017. A custom fire engine will be constructed with an
estimated completion of approximately 12 months from contract approval, giving an
estimated delivery date of January 2018.
COMMUNITY BENEFIT
As the community continues to grow, fire service will improve with the purchase of
the new fire apparatus due to increased efficiency in operational readiness. This fire
apparatus is expected to decrease emergency response times for the citizens of
Schertz. Authorizing the purchase before January 1, 2017 and prepaying for the
engine will add $51,945 in benefit in cost savings.
Approval of the ordinance will authorize the City to exceed $50,000 in expenditures
with Siddons -Martin Emergency Group, not to exceed $825,000 and set the total fire
apparatus project budget including equipment to $950,000. The total amount will be
funded through fund balance.
FISCAL IMPACT
The budget adjustment will be to authorize $950,000 to be spent from the General
Fund Balance. The projected fund balance for FY 2017 would be estimated at
$8,309,777 after the purchase and would be $1,204,040 over the fund balance floor.
Approval would also allow the city to realize the savings of $51,945.
RECOMMENDATION
Approval of Ordinance 16 -T -43 first and final reading and declaring an emergency.
Ir W 1/�4Ia01 OWN
Ordinance 16 -T -43
ORDINANCE NO. 16 -T -43
AN ORDINANCE BY THE CITY COUNCIL OF THE CITY OF
SCHERTZ, TEXAS AUTHORIZING THE CITY MANAGER TO ENTER
INTO AN AGREEMENT FOR THE PURCHASE OF ONE (1) FIRE
APPARATUS AND ASSOCIATED EQUPMENT, AND ADJUST THE FY
2016 -17 BUDGET; REPEALING ALL ORDINANCES OR PARTS OF
ORDINANCES IN CONFLICT WITH THIS ORDINANCE; DECLARING
AN EMERGENCY, AND PROVIDING AN EFFECTIVE DATE
WHEREAS, Schertz Fire Rescue has a need to purchase one fire apparatus for the
addition of fire station # 3; and
WHEREAS, Schertz Fire Rescue has done due diligence in pricing and investigating
functions of a compatible manufacturer of fire apparatus acceptable to the Department; and
WHEREAS, the Schertz Fire Rescue has chosen Pierce Manufacturing through Siddons-
Martin Emergency Group, a cooperative vendor, as meeting its pricing and functional
requirements for fire apparatus, and will purchase associated capital equipment as part of this
project; and
WHEREAS, City resources are conserved and purchasing efficiencies are maximized
through use of a streamlined procurement process, purchases through cooperative programs
which satisfy the Texas state law requirement of local governments to seek competitive
procurement for the purchase of goods or services; and
WHEREAS, pursuant to Ordinance 16 -T -29, the City of Schertz (the "City ") adopted the
budget for the City for the fiscal year 201.6 -2017 (the `Budget), which provides funding for the
City's operations throughout the 2016 -2017 fiscal year; and
WHEREAS, the City needs to authorize the use of General Fund Fund Balance and set a
budget of $950,000; and
WHEREAS, the City Council of the City has determined that it is in the best interest of
the City to adjust the Budget for the purchase of one (1) fire apparatus and equipment and
authorize the expenditure with Pierce Manufacturing through Siddons -Martin Emergency Group.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY
OF SCHERTZ, TEXAS:
Section 1. The City Council hereby authorizes the City Manager to execute
expenditures with Pierce Manufacturing through. Siddons -Martin Emergency Group up to
$749,669, to purchase one (1) fire apparatus described in Exhibit A.
Section 2. The City shall increase the Budget by $950,000 for the purchase of one (1)
fire apparatus and equipment as described in Exhibit A.
Section 3. The City shall authorize the use of fund balance to fund this project.
Section 4. The City shall allow purchases with Siddons- Martin Emergency Group in
excess of $50,000 and not to exceed $825,000 during Fiscal Year 2017.
Section 5. 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 6. 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 7. This Ordinance shall be construed and enforced in accordance with the
laws of the State of Texas and the United States of America.
Section 8. 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 9. 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 1.0. This Ordinance shall be effective upon the date of final adoption hereof
and any publication required by law
PASSED ON FIRST AND FINAL READING, this 20th day of December, 2016.
CITY OF SCHERTZ, TEXAS
Michael R. Carpenter, Mayor
ATTEST:
Brenda Dennis, City Secretary
(CITY SEAL)
imall
FIRE APPARATUS AND EQUIPMENT
1 ea Type 1 Engine with seating for four personnel, 1.250 gpm pump, 1000 gallon water tank,
20 gallon foam tank, Compressed air foam system, and associated equipment.
Estimated Fire Apparatus Cost $776,325.00
Less Prepayment discount $ 28,656.00
HGAC Fee $2,000.00
Total Vehicle $749,669.00
Add Capital Equipment $ 200,331.00
Portable and Vehicle Mounted Motorola Radios,
SCOTT SCBA' S, TNT Rescue Tools, LifePak 15,
Small Fire Equipment, Nozzles, and Hand Tools, etc.
Total Amount $950,000.00
A -1