ccreg 12-16-1997
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SCHERTZ CITY COUNCIL REGULAR SESSION
DECEMBER 16, 1997
The Schertz City Council convened in Regular Session on Tuesday, December
16, 1997 at 7:00 p.m. in the Municipal Complex Council Chambers, 1400 Schertz
Parkway, Schertz, Texas. The following members were present: Mayor Hal
Baldwin, presiding; Councilmembers Charles McDonald; Joe Potempa; Norman
Agee, Sr. and Ken Greenwald. Absent: Councilmember Timothy Swinney.
Staff present were City Manager Kerry Sweatt and City Secretary Norma
Althouse.
Mayor Baldwin asked everyone to rise and join him in the Pledge of Allegiance to
the flag. He then introduced Representative Edmund Kuempel who was
presented a plaque from the City in appreciation for all his support.
At this time Mayor Baldwin, with the help of Steve Simonson, presented the
awards for the Christmas Lighting Contest. The winners were as folJows:
Residential
1 st Place Liahtina
. Fred and June Hensley-1313 Circle Oak
2nd Place Liahtina
Emiliano Alvarez Family - 502 Winburn
1 st Place Creativity
Robert Ludlow Family - 1317 Oak St.
2nd Place Creativity
Ruth Rivette - 145 Valley Oak
1 st Place Combined
Dietz & Concilio Families - 1108, 1109 and 1113 Morning Rose
2nd Place Combined
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James & Cindy Hiebert - 519 and 521 Exchange (This was not actually a
combined entry and was a mistake on the part of the judges, but the award was
given anyway.)
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Business
1 st Place Liahtina
Contreras Flowers & Gifts - 817 Main St.
2nd Place Liahtina
Knights of Columbus - 509 Schertz Parkway
1 st Place Creativity
Sippel's Hardware - 507 Main St.
(There were no other business entries)
The Mayor and Councilmembers congratulated the winners.
#1 APPROVAL OF MINUTES: Special Session 10-01-97
Special Session 10-15-97
Regular Session 10-21-97
Regular Session 11-04-97
. Mr. Greenwald moved to approve the minutes, as written, of the Special Session
10-01-97, the Special Session 10-15-97, the Regular Session 10-21-97 and the
Regular Session 11-04-97. Mr. McDonald seconded the motion, which carried
with the following votes:
AYES: Councilmembers McDonald, Potempa, Agee and Greenwald.
NAYS: None
ABSTENTIONS: Councilmember Potempa for_Regular Session 10-21-97 and
Council member Agee for Special Session 10-01-97 and Special Session
10-15-97.
#2 HEARING OF RESIDENTS: Those citizens wishing to speak on agenda
items (other than public hearing items) or items not on the agenda, will be heard
at this time.
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George Mower of 501 Brooks commented nothing is done until it is done right.
He urged City Council not to forget the people on the bottom end of the rung.
They are giving tax abatements to the people at the top end of the rung. Council
could lead south Texas in turning this thing around. A pyramid needs a
foundation - it doesn't start at the top. The City should help the poor and put in
programs to develop areas of poverty.
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#3 GENERAL OBLIGATION BONDS: Consider and take action on General
Obligation Bonds as follows:
A Receipt of bids relating to the sale of bonds designated as "City of Schertz,
Texas General Obligation Bonds, Series 1997"; consideration and approval
of financial advisor's recommendation concerning this matter and other
matters in connection therewith.
B. Consideration, second reading, and adoption of an Ordinance by the City
Council of the City of Schertz, Texas authorizing the issuance of obligations
designated as City of Schertz, Texas General Obligation Bonds, Series
1997"; levying a continuing direct annual ad valorem tax for the payment of
the bonds; prescribing the form, terms, conditions and resolving other matters
incident and related to the issuance, sale and delivery of the bonds, including
the approval and distribution of an official statement pertaining thereto;
authorizing the execution of a paying agent/registrar agreement and a letter of
representations with the depository trust company; and providing for an
effective date.
Mr. Sweatt asked Mark McLiney of Southwest Securities to step forward at this
time. Mr. McLiney stated Moody's rated these bonds A-2 because of the City's
stability.
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Mr. McLiney then read the submitted bids and the net effective interest rate of
each bid. They were as follows:
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AG. Edwards & Sons Inc.
Chase Securities of Texas
Compass Bank
Dean Witter Reynolds
Everen Securities
Morgan Keegan,
The Principal
First Southwest Company
Stephens Inc.
First Tennessee Capital Markets
Griffin, Kubik, Stephens & Thompson, Inc.
Painewebber, Inc.,
LeggMason Wood Walker, Inc.,
Rauscher Pierce Refsnes, Inc.,
Salomon Smith Barney, Inc.,
Axelrod & Associates
Southwest Securities
William R. Hough & Co.
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4.8233%
4.8712%
4.967492%
4.8484%
4.971 %
4.8589%
4.830884%
4.8413%
4.881899%
4.86651 %
4.8567%
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Mr. McLiney recommended Council accept the bid from A G. Edwards & Sons
Inc. at 4.8233%.
Mr. Greenwald moved to accept the bid from AG. Edwards & Sons at 4.8233%
for General Obligation Bonds designated as "City of Schertz, Texas General
Obligation Bonds, Series 1997". Mr. Agee seconded the motion, which carried
with the following votes:
AYES: Councilmembers McDonald, Potempa, Agee and Greenwald.
NAYS: None.
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Mayor Baldwin introduced an ordinance and read the caption as follows:
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ORDINANCE NO. 97 -B-28
CONSIDERATION, SECOND READING, AND ADOPTION OF AN
ORDINANCE BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS
AUTHORIZING THE ISSUANCE OF OBLIGATIONS DESIGNATED AS "CITY
OF SCHERTZ, TEXAS GENRAL OBLIGATION BONDS, SERIES 1997";
LEVYING A CONTINUING DIRECT ANNUAL AD VALOREM TAX FOR THE
PAYMENT OF THE BONDS; PRESCRIBING THE FORM, TERMS,
CONDITIONS AND RESOLVING OTHER MATTERS INCIDENT AND
RELATED TO THE ISSUANCE, SALE, AND DELIVERY OF THE BONDS,
INCLUDING THE APPROVAL AND DISTRIBUTION OF AN OFFICIAL
STATEMENT PERTAINING THERETO; AUTHORIZING THE EXECUTION OF
A PAYING AGENT/REGISTRAR AGREEMENT AND A LETTER OF
REPRESENTATIONS WITH THE DEPOSITORY TRUST COMPANY; AND
PROVIDING FOR AN EFFECTIVE DATE.
Mr. Potempa moved to approve the final reading of the Ordinace as stated in the
caption above. Mr. Greenwald seconded the motion, which carried with the
following votes:
AYES: Councilmembers McDonald, Potempa, Agee and Greenwald.
NAYS: None.
Mr. Sweatt thanked Mark McLiney for all his efforts on this project.
#4 ARCHITECTURAL SERVICES CONTRACT: Consider and take action on
recommendation regarding architectural services contract.
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Mr. Sweatt advised the field had been narrowed from nine (9) proposals down to
BSA Designer Group, Inc. He then opened the second envelope and proceeded
with financial matters. They are negotiating a fixed rate contract. Norris Fletcher
Is here this evening to represent BSA. The three department heads involved
have been to several sites that BSA is associated with and were pleased with the
results.
Mr. Fletcher expressed appreciation for the confidence in BSA and for their
relationship with the City. Mayor Baldwin asked if they will have an office in the
area and Mr. Fletcher replied they will have no physical office, but will be as
close as a phone call away.
Mr. Sweatt noted that all three facilities will be under construction at the same
time which is a big plus. Mayor Baldwin informed Mr. Fletcher they appreciate
the proposal from BSA and look forward to working with them.
Mr. McDonald moved to approve the services contract with BSA Designer Group,
Inc. as the architectural firm for the building of the public safety facilities. Mr.
Agee seconded the motion, which carried with the following votes:
AYES: Councilmembers McDonald, Potempa, Agee and Greenwald.
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NAYS: None.
#5 ORDINANCE: Consider and take action on first reading of Ordinance
approving Tax Abatement and Tax Abatement Agreement with Lone Star Pet
Supply.
Mayor Baldwin introduced an ordinance and read the caption as follows:
AN ORDINANCE
BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS APPROVING A
TAX ABATEMENT AND A TAX AaATEMENT AGREEMENT FOR AND WITH
414 LLP, A TEXAS CORPORATION, ON BEHALF OF LONE STAR PET
SUPPLY, AND A PROPERTY OWNER IN THE CITY OF SCHERTZ.
Mr. Sweatt reminded Council this is an 86.66% tax abatement over a period of
five years. Dennis Stahl is here this evening to answer any questions Council
may have.
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There were no questions, but Councilmember McDonald told Mr. Stahl their
brochure was very informative. Mr. Stahl stated again he is very excited about
being in Schertz. Mayor Baldwin wished him success and welcomed Lone Star
Pet Supply to the City.
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Mr. Potempa moved to approve the first reading of an ordinance authorizing a tax
abatement and tax abatement agreement with Lone Star Pet Supply. Mr.
Greenwald seconded the motion, which carried with the following votes:
AYES: Council members McDonald, Potempa, Agee and Greenwald.
NAYS: None.
#6 ORDINANCE: Consider and take action on first reading of Ordinance
approving a Tax Abatement and Tax Abatement Agreement for and with
Interplastic Corporation, and a Repealing Provision.
Mayor Baldwin introduced an ordinance and read the caption as follows:
AN ORDINANCE
BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS APPROVING A
TAX ABATEMENT AND A TAX ABATEMENT AGREEMENT FOR AND WITH
INTERPLASTIC CORPORATION, AND A REPEALING PROVISION.
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Mr. Sweatt reminded Council Interplastic was recently granted a tax abatement
of 35.66% over a five-year period and they are asking for an acceleration. The
acceleration would be for a three-year period of time with the first year being a
90% tax abatement, the second year being a 60% tax abatement and the third
year being a 35.60% tax abatement. The Economic Development Commission
recommends approval of the acceleration.
M r. Agee moved to approve the first reading of an Ordinance approving a Tax
Abatement and Tax Abatement Agreement for and with Interplastic Corp. and a
Repealing Provision. Mr. McDonald seconded the motion, which carried with the
following votes:
AYES: Councilmembers McDonald, Potempa, Agee and Greenwald.
NAYS: None.
#7 ORDINANCE: Consider and take action on final reading of Ordinance
annexing 82.22 acres out of Comal County.
Mayor Baldwin introduced an ordinance and read the caption as follows:
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ORDINANCE NO. 97 -A-29
PROVIDING FOR THE EXTENSION OF THE BOUNDARY LINES OF THE
CITY OF SCHERTZ, TEXAS BY THE ANNEXING OF A TRACT OF LAND
CONTAINING 82.22 ACRES OUT OF COMAL COUNTY.
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. Mr. Sweatt pointed out the location on the map and explained that USA Waste
plans to build their new headquarters there.
Mr. Greenwald moved to approve the final reading of the Ordinance providing for
the extension of the boundary lines of the City of Schertz by the annexing of a
tract of land containing 82.22 acres out of Coma I County. Mr. Agee seconded
the motion, which carried with the following votes:
AYES: Councilmembers McDonald, Potempa, Agee and Greenwald.
NAYS: None.
#8 BID AWARD: Consider and take action awarding bid for % ton super cab
pickup truck for Public Works Dept.
Mr. Sweatt advised the City solicited bids through public advertisement and sent
out ten invitations. They received two (2) bids. After review and consideration, it
is recommended the bid be awarded to Bluebonnet Motors Inc. in the amount of
$17,043.95. They meet all the specifications and appear to be the best qualified
bidder.
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Mr. Greenwald moved to award the bid for a % ton super cab pickup truck for the
Public Works Department to Bluebonnet Motors Inc. in the amount of
$17,043.95. Mr. Agee seconded the motion, which carried with the following
votes:
AYES: Councilmembers McDonald, Potempa, Agee and Greenwald.
NAYS: None.
#9 BID AWARD: Consider and take action awarding bid for Sport Utility
Vehicle for Fire Department.
Mr. Sweatt related that the City previously solicited bids but was unable to
consummate the deal on a Tahoe, so they readvertised. Six (6) bids were
received prior to the deadline and one (1) was received afterward. It is
recommended the bid be awarded to Benson Chevrolet in the amount of
$28,783.00.
Mr. Potempa moved to award the bid for a Sport Utility Vehicle for the Fire
Department to Benson Chevrolet in the amount of $28,783.00. Mr. Greenwald
seconded the motion, which carried with the following votes:
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AYES: Councilmembers McDonald, Potempa, Agee and Greenwald.
NAYS: None.
#10 BID AWARD: Consider and take action awarding bids for the following:
A. Ware Seguin and Pfeil Road (Water Improvements) Materials Only Project;
and
B. Ware Seguin and Pfeil Road Water Main Project
A.
Mr. Sweatt advised the City solicited bids and two were received. The project will
consist of furnishing materials for approximately 14,640 linear feet of water
distribution piping, fittings and appurtenances along Ware Seguin and Pfeil
Roads. This project was originally budgeted as a capital improvement project
and was carried over to this fiscal year. Due to the workload at the Public Works
Department, we are unable to use force account work. Ford Engineering also
reviewed the bids and together with the City is recommending the bid be
awarded to Municipal Pipe & Fabricating Co. in the amount of $120,625.79.
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Mr. McDonald moved to award the bid for the Ware Seguin and Pfeil Road
(Water Improvements) Materials Only Project to Municipal Pipe & Fabricating Co.
in the amount of $120,625.79. Mr. Agee seconded the motion, which carried with
the following votes:
AYES: Councilmembers McDonald, Potempa, Agee and Greenwald.
NAYS: None.
B.
Mr. Sweatt reported the City solicited bids and five (5) were received. This
project will consist of approximately 14,640 linear feet of mains with valves, fire
hydrants, services, etc. and appurtenances along Ware Seguin and Pfeil Roads.
The City will furnish materials. Ford Engineering also reviewed these bids and
they, along with the City, recommend the bid be awarded to Diamond S.
Construction Company, Inc. in the amount of $66,131.00.
Mr. Potempa asked why the bid is so low and hoped nothing goes wrong. Mr.
Sweatt explained the City has no experience with Diamond S. Construction, but
they are basically a local company and wanted to work. Mayor Baldwin
suggested Public Works keep an eye on them. Mr. Greenwald asked if they're
bonded and was told they are.
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Mr. Potempa moved to award the bid for the Ware Seguin and Pfeil Road Water
Main Project to Diamond S. Construction Company, Inc. in the amount of
$66,131.00. Mr. McDonald seconded the motion, which carried with the following
votes:
AYES: Councilmembers McDonald, Potempa, Agee and Greenwald.
NAYS: None.
#11 CITY MANAGER'S REPORT:
. Stated the $50,000 grant application for the library has been approved.
· Wished everyone a Merry Christmas and said unless an emergency arises,
this is the last meeting of 1997. Thanked everyone for their support and
noted the community continues to progress.
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. Reminded Council the Fire Department has asked them to drop by the station
tonight for tamales and refreshment.
. Mentioned that tomorrow is the 4th anniversary of the death of Johnny
Peterson and with Council's approval, they would like to fly the flag at half
mast. Council approved.
#12 ITEMS BY COUNCIL:
Mr. Greenwald:
. Wished everyone a Merry Christmas and a Happy New Year.
Mr. AQee:
. Wished everyone a Merry Christmas and a Happy New Year and invited them
all to come to the fire station.
Mr. Potempa:
. Commented he is glad this end of the County is finally being recognized.
. Remarked that with all the Christmas decorations, the City looks good.
. Wished everyone a Merry Christmas and a Happy New Year.
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