04-03-2017 Minutes - Special MeetingMINUTES
SPECIAL MEETING
April 3, 2016
A Special Meeting was held by the Schertz City Council of the City of Schertz, Texas, on April
3, 2017 at 6:00 p.m., at 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 Scott Larson
Councilmember Angelina Kiser
Staff Present:
Executive Director Brian James
Executive Director Kyle Kinateder
Assistant to City Manager Sarah Gonzalez
Call to Order — Special Session
Mayor Pro -Tern Cedric Edwards
Councilmember Ralph Gutierrez
Councilmember Robin Thompson
Councilmember Bert Crawford
City Manager John Kessel
Executive Director Dudley Wait
City Attorney Charles Zech
City Secretary Brenda Dennis
Mayor Carpenter called the meeting to order at 6:08 p.m.
Opening Prayer and Pledges of Allegiance to the Flags of the United States and State of
Texas. ( Councilmember Davis)
Mayor Carpenter welcomed everyone who was in attendance and stated that his purpose in
calling this special session was to discuss some things regarding the project being proposed in
the City of Cibolo regarding a toll road which would extend across their city limits and into the
City of Schertz.
He explained the order of the meeting would be to hear any individuals who would like to speak,
followed by a brief presentation by staff and then a council discussion. After that he will again
invite anyone else who would like to speak again. This will probably be the first of other sessions
to come in order to discover, learn and hear from the public. He proceeded to open the session
called Hearing of Residents.
Hearing of Residents
This time is set aside for any person who wishes to address the City Council. Each person should
fill out the speaker's register prior to the meeting. Presentations should be limited to no more
than 3 minutes.
All remarks shall be addressed to the Council as a body, and not to any individual member
thereof. Any person making personal, impertinent, or slanderous remarks while addressing
the Council may be requested to leave the meeting.
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Mayor Carpenter recognized the following individuals who spoke:
Mr. Don Dixon, 206 Morningside Drive, San Antonio, who stated he was a long time taxpayer of
the City of Schertz on property he owns off of FM 3009. He stated FM 1103 is a state farm to
market road and you want a state road to stay that way for efficient maintenance by TxDOT,
which is a good thing for the taxpayer. However, in terms of it becoming a toll road, to him this
would be devastating. It would be a double tax and a burden to all of us. A resolution would be
in order protecting your Schertz citizens and stating you don't want this. This is his suggestion.
Toll roads have a lot of issues associated with them, especially private toll roads.
Ms. Michelle Womack, 2944 Mineral Springs, Schertz, who stated she has several concerns. 1)
Neither Resolution 16 -R -19 nor the bond referenced in Ordinance 15 -E -23 were passed with any
knowledge of this proposed parkway existing. It was just supposed to be the widening of FM
1103. Our bond money should not be going here; this is not what we are paying for. 2) The
overpass proposed at Chelsea and Old Wiederstein is not in our bond; we did not agree to that. 3)
The toll collection point at FM 1103 and IH 35; again, we did not agree to that. 4) The collection
of tolls for the Schertz portion the City of Cibolo has told her they are not going to collect any
money for this portion of the road and that all the toll revenue is going back to the company,
which is not correct. 5) The contract shows that Cibolo will be collecting 50% of surplus income,
to include the Schertz portion. This is unacceptable. She also addressed the suggested `tum over
of the Schertz portion of the road to Cibolo as unacceptable (pgs. 2 and 15, section 7.2). Why
would we put our bond money into this and then turn over our part of the road to Cibolo? 6)
Delays in TxDOT project because of the parkway project: They want to do this project
simultaneously as the FM 1103 expansion and they have until December 2018 to come up with
the money to do so. This could ultimately slow down our widening project. She suggested the
City of Schertz have something in writing from TxDOT stating that for Schertz's portion of this
road we are not going to allow those center lanes to come through. It is only for what we bonded
to do. Other than that, she asks that our bonds be removed from this project.
Mr. Jeff Womack, 2944 Mineral Springs, Schertz, who stated he questions the legality of both
the City of Schertz and City of Cibolo citizens. By overwhelming margins in 2014, the City of
Cibolo voted 71 % in favor of bonds to widen FM 1103 from the City line down to Wagon Way.
In 2015, the City of Schertz followed it up with 73% approval of stated bonds going from the
city limits out to IH 35. On average, 72% of Schertz and Cibolo residents paid to have FM 1103
widened (two lanes in each direction, raised medians in the middle, a left turning lane in the
middle, bicycle lanes on the outside of those two lanes and five to six foot sidewalks). He
questions the legality of TTC and the City of Cibolo taking two taxpayer funded bonds and
basically ripping them up right after construction or during construction so they can put their
express lanes in there. He is not against toll roads in the right circumstances but running them
right in the middle of residential neighborhoods where you have only about 120 feet right -of -way
as it is —he doesn't think this is a good idea. He doesn't want to see high speed traffic right
against their homes.
Terri Hall, representing Texas Turf and Texans for Toll Free Hi hways, Spring Branch, TX, who
stated their movement started as a taxpayer revolt against converting existing Highway 281 into
a toll road. They were also involved in the fight against the Trans Texas Corridor. She thinks
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some of the biggest red flags on this particular project is the imminent domain for private gain. It
affects the property rights of all Texans. It doesn't just stay isolated in the City of Cibolo. Now
they are asking the City of Schertz, for imminent domain in the expansion of these express lanes.
The jurisdiction issues are another big one. How can the City of Cibolo operate this highway,
take it back from TxDOT in the Schertz portion and operate this toll road and hand it to a private
company after that. She does not see any legal precedent anywhere to be able to do that.
Obviously, this is a huge problem. She doesn't believe any of Schertz officials /staff were
consulted before this toll road agreement with this private company was signed.
Also, there is a pattern of failure with these public /private partnerships -- example— bankruptcy
of State Hwy 130 and the bankruptcy of Communal Columbia toll road in Laredo. They heard
there is a bill up in the legislature to take the tolls off the Communal Columbia because it is so
controversial. It went bankrupt and TxDOT got a $90 million road back for about $20 million
and they are still charging tolls even though our gas taxes paid for it in full. This just starts more
controversy. Now we are getting our roads back by contract rather than just plain vanilla
widening them for everyone to access and use them freely.
Another problem with these public /private partnerships is optimism bias in the traffic and
revenue studies. They basically gin up the numbers to prove whatever they need to in order to go
to the bond market and get the money to do the road projects. There are now some of these bond
guys suing some of these private toll operators, some with accusations of fraud. Then they have
the punitively high level of tolls on these public /private partnerships. There are two open in the
metro -plex today which are on Hwy 635 and Hwy 820, both operated by Centro, which went
bankrupt on 130. In an urban area we are seeing punitively high tolls up to $40 a day in tolls to
take these roads because there is no cap on these toll rates.
Also, there will be more costs to the Schertz taxpayer because you share legal counsel with
Cibolo so you will need to get another independent counsel to represent you. Since TxDOT is
responsible for the maintenance of FM 1103 if it gets turned over to Cibolo and Schertz, it
becomes a local taxpayer expense for maintenance.
Lastly, Cibolo signed their agreement and the Cibolo citizens were not even allowed to see it
before it was signed. It isn't even about solving a traffic problem; it is about converting private
agriculture farmland into a commercial tax base, which is really about economic development.
She implores you to reject this toll road agreement and she remains available as a resource to
answer any questions anyone may have.
Mr. Woodrow Richardson, 2496 Jane Adams Drive, Schertz, TX, who stated he wants to talk
about this from a truck driver's standpoint. He spoke about a private toll road in Laredo. The first
week he drove it, the cost was $19 for traveling 18 miles. He called and complained about it. Six
months later it was out of business. Then the state opened it up and had three people collecting
the toll fees. However, the trucks had to sit and wait until 6:00 a.m. before they could enter the
road. He is against it. In Texas there are about 5 to 6 different toll passes. It is the biggest waste
of money he has ever seen. When the toll road in Laredo went bankrupt, we bought it with the
taxpayer's dollars. It has been ten years ago and it still isn't making a profit today. If they would
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use the fuel tax money for the purpose it is intended you wouldn't need a toll road. He is still
driving truck and he had to come down here today to share this. There is a toll road going
through several northern states, one pass that takes care of everything and you buzz right through
it. You get to Texas and you have five or six different toll passes.
Mr. John Sullivan, 513 Triple Crown, Schertz, TX, who stated a concern he has is the right of
way width. He didn't see anything in the memo about bike lanes and sidewalks. He prefers to see
a multi -use trail like ten foot sidewalks and no bike lanes.
Mr. Brent Bolter, 2633 Clover Brook Lane Schertz TX, who stated those in his area that need to
head out to FM 1103 in order to leave their neighborhoods face a stream of cars who are coming
north on FM 1103 to get to III 35 as well as those on the access road trying to cross over. They
need the widening of this road. However, the toll road would bring even more cars into the mix
in addition to the already congested situation from the two neighborhoods. A lot of Cibolo
residents are cutting through their (Schertz) subdivisions to get out to the access road to get onto
IH 35. He is still mystified as to where is all this need for 11110 access coming from? And, yes,
Schertz residents (especially in those neighborhoods) have a stake in this.
Mr. Stace Long, 548 Stonebrook Drive, Cibolo, TX, who stated he lives right off of FM 1103.
They moved out here to avoid the hustle and bustle of the big city. The Cibolo City Council
decisions seem to be all about bringing in more progress. He also does not see the reason for the
full connection from 1113 5 to IH 10. He sees no advantage to the citizens for having a toll road.
The city council is supposed to be representing the citizens but when decisions are made quietly
with nobody knowing anything about them, it's the `cart before the horse' situation. He thinks it
is appalling and unethical what his representatives are doing to the Cibolo citizens and now to
Schertz as well. He is here for the safety and quiet of his neighborhood. This is a small
community and he prefers to keep it that way as much as possible.
Mr. Jay Lambert, 975 Oak Ridge, Schertz, TX, who stated he also owns property in Cibolo and
he is also a business owner in San Antonio, Cibolo and south Texas. He moved to reside in
Schertz in 2000 and it has grown a lot. He leaves early in the morning to go south to IH 10 and
he does not see a problem. There is a problem for those trying to commute to Randolph Air
Force Base. That is where the traffic is, on Hwy 78. He commends the Schertz City Council on
the great job they are doing running their city. He is totally against this toll road and has
previously had occasions to take the toll road to Dallas, where he pays a $11.00 bill and six
months later gets another one for $66.00. He is sick of toll roads.
Ms. Rebecca Melton, 352 Saddlehorn Way, Cibolo, TX, who stated she recently found out the
Cibolo City Council put this toll road agreement through and did not bring it to the citizens first.
With the magnitude of this decision a lot of Cibolo citizens feel it should have been brought
before them for a vote first. Some felt this did not follow the normal sequence of business and
this bothers people. She lives in a subdivision across from Steele High School which is in the
vicinity where the toll road is projected to pass. The traffic is already congested, so what is it
going to be like when the toll road comes through that area. She thanked the City of Schertz for
having this special meeting and allowing some of the Cibolo residents to come and voice their
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thoughts on the proposed toll road project. This is a project of interest to both cities and she feels
we all need to cooperate with each other.
Mr. Robert Roberson, 4015 Lower Seguin Rd, Cibolo, TX, who stated he owns property in the
affected area. He stated TxDOT has money set aside and ready to go to widen FM 1103 from IH
35 to Steele High School and he saw a presentation at a Cibolo City Council Meeting which was
provided by TxDOT sometime in October 2016. It showed how they were going to widen the
road two lanes in each direction with a turn lane in the middle and install stop lights at key
intersections. He feels this will solve 90% of the traffic problems on this road. There was also
money in that project to completely rework the intersection at lH 35 and FM 1103. He feels this
would cause the toll project to become mute. If Cibolo wants to do something, they could widen
Haeckerville Road. Like others, he doesn't think the numbers add up. They already have a
project in hand to widen Haeckerville Rd from Lower Seguin Rd to IH 10. However, it certainly
does not have enough traffic to put forth a $100 million project and turn over control of state
highways to private entities.
Mr. Dana Eldridge, 2628 Gallant Fox Drive, Cibolo, TX, who stated there are two schools that
are going to be built on the other side of IH 35 from FM 1103 which will cause a lot more traffic
on top of what we already have. The kids in the neighborhood know the back roads and they
drive them fast, including passing people, most likely because they are late for school or
whatever. Our backroads are going to get more dangerous and they are already hard to get to by
our emergency responders if there is an accident. We have enough traffic. He doesn't like stop
lights, but more may be a bad idea. People don't like to pay more taxes but they do because it
goes for certain things. But when we see it being stolen, that's not a good thing. Traffic is only
going to get worse when those schools are built and things start building up over there.
Workshop
• Discussion regarding the Development Agreement executed and agreed to by the
City of Cibolo and Cibolo Turnpike, L. P., and discussion regarding Schertz City
Policy as to the tolling of roads, both involving newly constructed roads and existing
public roads. In addition, discussion regarding the City's policy on Thoroughfare
Planning and issues associated with the proposed toll roads as it affects the City's
Infrastructure, and its Land Use Planning. (Mayor /Council)
Mayor Carpenter recognized Executive Director Brian James who stated we were aware that
Cibolo was working on a toll project but we were not aware that it affected Schertz. Previously,
it appeared that the Cibolo Tollway Project was entirely within the Cibolo city limits. New
information indicates the project encroaches into Schertz city limits. Our initial reaction of
concerns and questions were similar to what has been brought forward here tonight.
Part of the reason for holding this meeting was to hear other concerns. Our concerns are the
negative impacts on our residents, significant traffic impact in Schertz, inconsistencies with what
our voters approves with the FM 1103 TxDOT contract and is this what our community wants —
we don't believe it is. These concerns require a factual understanding of what Cibolo is
proposing, what the potential impact on Schertz is so we can develop a list of questions and
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concerns and get factual answers to those issues so staff can provide council with full and
complete information and then make an informed decision for the community. We feel we don't
have that yet, so this meeting is so we can all get on the same page, develop a list of questions
from council, staff and citizens so we can get answers when we come back for another meeting.
Mayor Carpenter opened the discussion for council and started with the development agreement
Cibolo entered into with the Cibolo Turnpike, L.P. He stated there were many things of concern
to him which were confusing and contradictory. He stated this is the first of more meetings they
will be having on this subject. The meetings will be published so everyone will know about them
and we need to also hear from our Schertz residents.
There is no question that the City of Schertz will be affected if the `ask' from Cibolo is that we
ask TxDOT to turn over FM 1103 from IH 35 to our city limits to us and then we turn that over
to Cibolo and then Cibolo turns that over to a private company for operations and maintenance.
We need feedback from our residents on this. He himself has some strong opinions about this
matter which he will express in a few minutes.
This idea that he as mayor and a resident taxpayer would invest our taxpayer money in the form
of a bond in the improvement of an asset, and then as soon as those improvements are
completed, turn that asset over to another entity so they could turn it over to a private sector for
profit is ludicrous. That is crazy talk! He cannot imagine a situation where that would be
beneficial except if there was something significant or valuable in return for our residents. He
sees nothing beneficial for us in Cibolo's agreement.
He has concerns about the residents in the area of the city off of Orth Road whose only exit /entry
from their neighborhood is on to FM 1103 inside the city limits of Cibolo. What effect will
express lanes have if they are allowed to be put in there? He saw some pictures of an area where
some flyover lanes were proposed (Chelsea & Wiederstein at FM 1103). In the picture was a
reference to undeveloped land. It is not undeveloped. People live in those houses and he is sure
they would not want a flyover going over their property.
He is not going to tell Cibolo how to run their business, but when it comes to things being done
in the corporate city limits of Schertz, he expects that same treatment back our way. It is our city,
we pay taxes, we are each other's neighbors and we have responsibilities to one another. At this
time with the information he has today (the express lanes, the tolling, whatever), if Cibolo wants
to do that they can, but he doesn't think it is the best solution, today, and that stops at the
corporate limits of the City of Schertz. It does not pass into our city.
Mayor Carpenter recognized Councilmember Bert Crawford who asked if this is our first
overture on sort of being ignored by the City of Cibolo? Everything he read today didn't really
mention Schertz at all except that no tolls for EMS and Fire would need to be paid. He also
referenced a letter dated April 3, 2017 from Cibolo apologizing, saying they had ignored us. He
stated there are a lot of issues associated with this.
Mayor Carpenter recognized Mayor Pro -Tem Edwards who stated in his time on council they
have been open and transparent and worked with Cibolo and maintained a cordial relationship
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with them. He knows a lot of the leadership at Cibolo and they are great guys. He just feels. they
misplaced value and ethics on this particular project and he thinks their citizens are feeling that.
He recommended an exhaustive search for independent counsel to represent us on this case. It
will be costly, but for us it is the right thing to do; openly and correctly, it is important. He
recommended we put out signs regarding future meetings well in advance to let others know
because he believes the folks that are here tonight is just a small representative of the whole.
Mayor Carpenter recognized Councilmember Thompson who had questions for Executive
Director Brian James. He asked him to define what a turnback is? Mr. James stated his definition
may not match what Cibolo's interpretation is so that is something they need to get clarification
on. Other questions were as follows.
1) Do we know if the express lanes in the proposed Cibolo Expressway would be periodic lanes
with flyover as the concept shows or would they be a continuous isolated two lane
expressway all along FM 1103?
2) Do we know if the turnback would be automatic upon completion of the FM 1103 project?
3) Do we know what the status of this project would be on Schertz commercial businesses and
homes along the proposed turnback portion if the tumback goes into effect? In other words
are they still within the city limits?
4) Do we know where the locations of the toll collection booths would be especially along the
FM 1103 and IH 35 portion?
5) Do we know where the express lanes in the proposed turnback portion will be; in other
words where would the express lane traffic enter FM 1103 or IH 35?
6) Do we know what the added legal cost would be of attaining outside counsel if indeed the
law firm representing both cities cannot represent both cities?
Mr. James responded that they did not have answers to these questions at this time.
Councilmember Thompson stated he believes he knew the answer to these questions but it just
points out that there are many facts that are totally up in the air. There is no way we can move
forward one way or the other. As Mayor Carpenter has stated, we value the city of Cibolo and
relationships we have built over the years. We have a lot of other great agreements that benefit
both cities. A discussion of a whole lot of facts is needed before we can move forward.
Mayor Carpenter recognized Councilmember Gutierrez who asked if when the study is done
could they look at the distance of FM 46 that goes from IH 35 to IH 10 in comparison to FM
1103 and also FM 1604? It seems they are trying to put a toll road between two other roads that
already connect to IH 10. He is also concerned about the conflict of interest because Cibolo and
Schertz both share the same legal counsel. He would like more information as to who is going to
step down. His other concern is the increase in traffic along the Schertz portion of FM 1103.
Even if we don't agree, the turnpike is going to automatically get an increase in traffic. The
average citizen is going to try to avoid these toll roads and google maps make it easy for students
to do that. He has a big concern about safety and health because the people will try to navigate
through the residential areas. Basically, toll roads are trying to generate revenue (i.e. toll road in
Houston). They also have a rate hike during peak hours. The signage of fees is also very
surprising /confusing to the average motorist.
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Mayor Carpenter recognized Councilmember Kiser who stated she thought the residents who
spoke did an excellent job in doing your homework and coming here to give us a lot to think
about. She agrees with pretty much everything they stated. She too, saw the date on the letter
from Cibolo that Councilmember Crawford pointed out earlier. The initial concept of this project-
was in the Spring of 2015 and now on April 3, 2017 in the letter they say `Oh, we made some
assumptions about Schertz." To her this is a problem. However, she agrees we have to continue
to work with Cibolo, who are our neighbors. But did they not think of all the things the residents
brought up, because if they did, this would not be happening. Or, did they just ignore it? It is a
question she would like to ask them.
Mayor Carpenter recognized Councilmember Davis who stated he grew up amongst toll roads
and bridges up north. In his experience, they have a place, but this is the wrong place. He
understands a toll road for the purpose of moving traffic and cutting down on the distance of
getting from point A to point B, but he doesn't understand the concept of a toll road that cuts
through a city and more importantly through residential areas. He agrees with Dr. Kiser noting
that this has been going on for about two years, and two years after the fact, they say, "Oh, by the
way, we thought you guys would be happy about this.' It is disheartening and concerning. He
looks forward to getting the rest of the questions answered from staff and having some more
public hearings on this. He cannot see how a toll road concept going through or along our
residential area is going to be a good thing for Schertz.
Mayor Carpenter recognized Councilmember Larson who stated he echoed a lot of the
previously mentioned concerns. Toll roads can be a potential private market solution to a real
problem but in reality it doesn't make sense in the end. The thing that is a non - starter for him is
the idea of imminent domain—using the force of government to take someone's land against
their will at a value the government decides. We still have a lot of facts to learn.
From his perspective, you have the right to know what he is thinking and if there is ever any
portion of a contract that says we are going to use the force of the government to make
somebody sell their land and give it to a private for - profit company, he doesn't need any other
facts. That is a non - starter. Government exists as a partnership between the people who are in the
government and staff and elected officials in the community. Staff and elected officials are at
the bottom holding up that partnership and supporting the community and the community is what
dictates us. There are times when we run into conflict in our community. That is not always bad,
it sharpens one another.
He is going to give the benefit of doubt to the leaders of Cibolo, but there is frustration; the letter
they wrote us today, the message was, we thought it would be good for you. He never trusts a
government entity who does an agreement without including all parties involved and comes out
and says "Well, we thought it would be good for you." He thinks moving forward, the residents
that are here this evening; that sends a message. They mayor spearheaded this tonight and along
with him we know how important it is to hear your voice. Take advantage of this, let your
neighbors know and let them come here. If you were not heard in Cibolo, you will be heard
here. He thanked Schertz staff for all their extra work on this.
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Mayor Carpenter recognized Councilmember Crawford who suggested more signage to let
people know about future meetings on this subject such as a sign on FM 1103 in the Schertz
portion. Mayor Carpenter stated we intend to over - communicate to get the message out.
Mayor Carpenter stated he doesn't want to tell Cibolo how to run their business but a lot of the
decisions they are making will affect our community as well as their own. He read a quote from
one of his heroes, the second President of the United States, John Adams. He stated:
`Government is instituted for the common good, for the protection, safety, prosperity and
happiness of the people and not for profit, honor or private interest of any one man, family or
class of men. Therefore, the people alone have an incontestable, unalienable, and indefeasible
right to institute government and to reform, alter or totally change the same when their
protection, safety, prosperity and happiness require it. '
Therefore, if we want something different, it is up to all of us and we will have to work together
to get where we want to go. There will be a minimum of three public hearings to follow this one
tonight, one of which will be at our' Council on the Go' meeting. The location may be moved.
They will make sure everyone will have an opportunity to speak who wants to.
Mayor Carpenter went back to the Hearing of Residents portion of the agenda.
Hearing of Residents
Mayor Carpenter recognized the following who spoke:
Mr. Harvey Hill, Cibolo, TX who stated he participated on the original planning of the extension
of FM 1103 down to IH 10 with TxDOT. In speaking with the engineer over this area out here,
he doesn't even know what was negotiated in the first place with them. It was supposed to
originally be four lanes up to 38 and six lanes to 35. They have already started on the expansion
of the bridge across IH 35. Until that is done, nothing will be done as far as the road itself. He
just left and was talking to the City Secretary (Cibolo) and the only thing that has been
negotiated as far as the toll road to come up to Hwy 78 and a flyover, the railroad track and from
there it is the city's responsibility all the way on up and Schertz too. TxDOT is going to expand
it to a five lane with a turn lane in the middle according to the engineer. Because TxDOT has to
purchase right of ways it will probably be a year or two before anything gets done on it. Lastly,
he stated he is not in favor of the toll road either.
Terri Hall representing Texas Turf and Texans for Toll Free Highways, Spring Branch, TX, who
stated another thing you need to consider is how Cibolo Turnpike's expressway lanes will affect
your ability to expand those free lanes on FM 1103 in the future. Due to the toll lanes taking up
valuable real estate in the center of this already very valuable asset, it will force you to possibly
condemn very expensive commercial property, especially near IH 35 in order to expand those
free lanes. She is seeing where you don't get the roads back when the private organizations go
bankrupt. What happens is they go to court and the senior lien holder, the bond holders, get first
dibs at getting their money back. You will not get your road back at fire sale price. She stated
that in regard to overpasses, when they come through the middle of property, they are not going
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to build overpasses for convenient crossing over because the overpasses cost about $10 million
each. Because they are private companies, the government cannot force them to do so. This is
another problem that will impact people's property and potentially their livelihood.
Another issue is traffic diversion —to the side roads, which belong to the cities (i.e., Cibolo &
Schertz). That is going to definitely impact you by increasing your maintenance.
Lastly, who is going to police and collect tolls for this road? There are three things the private
operator wants the government for: 1) non - compete – bondholders require some type of non-
compete agreement or they won't give you the money. Non - compete means they aren't going to
expand any free roads or will penalize you or make you pay the private toll company for any loss
of revenue if you expand any of your city roads that compete with their toll roads. 2) subsidy –
they can't make these toll roads work just on their own money. She has not yet seen one of these
projects get off the ground without public money. 3) toll collection – TxDOT has the power to
block your vehicle registration if you fail to pay the toll. Policing —are they going to use City of
Schertz Police Officers time if you fail to pay?
Mayor Carpenter recognized Executive Brian James who stated a staff member will be coming
around amongst the audience members tonight with a sheet of paper to collect your e -mail
addresses so we can notify you of any more upcoming meetings on this matter.
Mr. Eric Beam, 570 American Flag, Schertz, TX, who stated he likes toll roads and uses the ones
on 45 and 131. There has been speculation of a lot of commercial development along the way of
this local proposed toll road. He does not see this coming based on what he has seen on existing
ones. Seeing where the proposed toll road is being planned, he thinks it is ridiculous. The four
lanes will impede on the area enough, but with the expressway lanes added, it will make it even
worse. He thinks council needs to listen to the residents. They don't necessarily dislike toll
roads, they just think there is a better place for them and FM 1103 is not a good place for one.
Mr. Greg Howell, 2525 Pillory Point, Schertz, TX, who stated like a few other folks here tonight,
he is having difficulty digesting the fact that Cibolo has been working on this project for two
years and today suddenly had an `aha' moment and decided to let Schertz know since part of
their jurisdiction is involved in the agreement. Also, he has read the agreement several times and
it says that it is `irrevocable' meaning if everything doesn't pan out as stated in that agreement
then they are going to be out of a lot of money. He would have thought before they signed that
knowing that some property involved belonged to Schertz, someone would not have signed that
saying Schertz will give us their property and all the citizens who approved this bond; who cares
we will get the money, toll road , and revenues, and they won't even think about it. He has a
really difficult time understanding that.
Mr. Jeff Womack, 944 Mineral Springs, Schertz, TX, who thanked all the City of Schertz
representatives here tonight as well as the individuals from both cities who have come to
participate in this representative government, because this is the way it should be. It is not
supposed to be we are going to tell you how to do things. He appreciates everyone coming
together to work for the City of Schertz and even the City of Cibolo. This city (Schertz),
particularly, has a long history of slow and deliberate progress towards making the city great.
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We don't do things for expediency but rather for what it is going to mean for our children and
ourselves as we age. He moved to Schertz in 2002, and feels we have grown smart. We are
better for the smart decisions and the wise leadership that we have coming from our staff and
our council and he just wants to thank everyone.
Mr. Dana Eldridge, 2628 Gallant Fox Drive, Cibolo, TX, who stated he agrees; how can this
project have been going on for two years and we don't know about it. He has lived in Belmont
Park for eleven years and in Schertz since 1996. When Walmart was coming into Cibolo there
was a huge outcry of all the issues that it would cause in the neighborhood; so why haven't we
heard about this stuff with FM 1103? How was it kept so quiet? Over the years several things
have blown up in Cibolo. He doesn't know how this has been kept out of the public eye for so
long —it is a very questionable thing.
Ms. Melissa Tovar, 1740 Bolton Road, Marion, TX, who stated in regard to imminent domain
which was mentioned earlier by Councilmember Larson, there are approximately 40 landowners
who can potentially be affected by this —a pretty significant amount of people. Mainly she wants
to thank Mayor /Council for having this meeting and making other citizens welcome here and
most importantly for listening to your citizens. There is a large amount of citizens in Cibolo who
do not feel that their voices have been heard or represented. She commends Schertz for stepping
up, listening to your citizens and making decisions based on what your constituents want.
Ms. Rebecca Melton, 352 Saddlehorn Way, Cibolo, TX, who started by saying the Schertz EMS
saved her life several years ago when she had a heart attack. They are awesome. She also
appreciates council's demeanor, taking this toll road issue seriously, and listening to people
outside of your community. They were told that this would not cost the citizens of Cibolo
anything. When 130 went bankrupt on the southern portion, it had $500 million in federal low
cost loans. Everyone in the U.S. will be paying for that because they defaulted on their loans.
Also, in regard to imminent domain, it is for public use —it is not for private entities to profit
from. The other thing that bothers her is that the private entity is giving the City of Cibolo the
money to acquire imminent domain. That is a real ethical issue. She has a problem with that.
Mr. Stace Long, 548 Stonebrook Drive, Cibolo, TX, who stated the concern he has is that when
you asked them what happened here, he doesn't even care what they say because just like with
Walmart, business was conducted and completed before the citizens knew about it. This is
almost identical to that situation. In this case, there are a lot more ramifications. He just wanted
to stress that just because you checked with them and asked what happened here and can you
explain it, he isn't going to even believe what they have to say. It doesn't matter because he
doesn't trust what they are doing. He was also told the reason for the toll was to have access to
IH 10 for business development purposes for Cibolo. He doesn't see how that benefits any of the
Cibolo residents.
Ms. Michelle Womack, 2944 Mineral Springs, Schertz, TX, who stated the copy of the
newsletter she was holding is what was sent to the citizens of Cibolo. It talks about Cibolo
Parkway being the City of Choice. In the last paragraph it says, `Collaboration is key to the
construction, finance, and maintenance of Cibolo Parkway. The city is working closely with
Texas Turnpike Company who will secure private funds for construction, operation, and
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maintenance of the toll road. Under this development agreement the city does not expend any
city funds and therefore property taxes will not be used or increased. As the project moves
forward the Texas Turnpike Company will continue to work closely with the City of Cibolo as
well as the Texas Department of Transportation, the Metropolitan Planning Organization and the
City of Schertz. Again this has gone to all their residents.
Mr. Ron Hayward, 2628 Castle Heights, Schertz, TX who had a question. You say you all
worked in the past closely with the City of Cibolo, so his question becomes, `Do they really
understand where the boundary lines are for the City of Schertz and the City of Cibolo ?'
Everything you have read seems to indicate they don't understand where those boundaries are.
He grew up in the north and had the toll road experiences —it sucks. He thanked council for
having this meeting and stated he will attend the next one, so please keep everyone posted.
Mayor Carpenter stated that the question has been asked this evening, how is it that Schertz did
not know and Cibolo didn't say anything. As a statement of fact, he was at a meeting of the
Northeast Partnership and he asked a pointed question: `So my understanding is that this project
is completely confined within the city limits of the City of Cibolo.' He was told yes that is
correct. He relied upon that until March 10 when he had an opportunity to read the agreement
that was signed. He doesn't know how come communication was not better. What they can
control is what happens here in this city, our ongoing public hearings with our residents and
anyone else from Cibolo who wants to join us. We will march forward in a very open manner
and continue to public discourse.
Mayor Carpenter stated they have an e -mail from TxDOT dated March 23, 2017 from Jonathan
Bean, Director of Transportation and Development in the San Antonio District. The note
clarified that TxDOT has not made any change to their plans for FM 1103 regarding the
expansion project with the cities of Cibolo and Schertz. The expansion includes four lanes with a
two way left turn lane, raised median, bike lanes and sidewalks. Any change to this section
would involve discussions and approval by both city councils. Any project development
activities conducted by the City of Cibolo and/or the private developer regarding the Cibolo
Parkway connection between the existing FM 1103 and IH 10 are independent from the FM
1103 project that has been discussed with TxDOT. Mayor Carpenter stated it sounds like TxDOT
is not on board with the expressway project either.
Mayor Carpenter recognized Councilmember Thompson who stated he wanted to stress that we
are not under any set timetable for the public hearings. We have a great city staff who does a
great job who already have a lot of responsibilities and asking them to find the facts to the many
questions that are coming out is going to take some time. If you don't hear of another meeting
m the immediate future it doesn't mean this has gone underground —staff is simply trying to get
more information together. When the facts are ready, a public hearing will be announced.
Mayor Carpenter recognized Councilmember Crawford who asked if it would be advisable for
any of the residents to contact them when they hear something on their end. Mayor Carpenter
stated it would be fine if anyone wanted to contact them or city staff. He invited anyone to
request a business card from council or staff. They remain accessible. Mayor Carpenter again
thanked everyone present for coming. He stated as they could see this evening, the Schertz city
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council is unanimous in the way they feel about how things have gone so far. As he stated
earlier, and he thinks council agrees,
project stops at the Schertz city limits.
Adiournment
at this time in the absence of any further information, that
Mayor Carpenter adjourned the meeting at 7:58 p.m.
AT
Brenda Dennis, tity Secre ary
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