ccreg 10-18-1994
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REGULAR MEETING OF THE CITY COUNCIL
OCTOBER 18, 1994
The Schertz City Council convened in Regular Session
Tuesday, October 18, 1994, at 7:00 p,m, in the Council
Chambers of the Municipal Complex. 1400 Schertz Parkway,
Schertz, Texas. The following members were present: Mayor
Hal Baldwin. presiding; Charles McDonald; Joe Potempa;
Barbara Stanhope; Mary Marsh and Ken Greenwald. Staff
present were City Manager Kerry Sweatt and City Secretary
June Krause.
Mayor Baldwin welcomed everyone and asked them to stand and
join him in the Pledge of Allegiance.
Mayor Baldwin then presented a proclamation designating the
week of October 23rd - 29th as "Red Ribbon Week" in Schertz.
The proclamation was accepted by Mr. Greenwald, who
reminded everyone CVADAC will be passing out red ribbons to
all who want them.
#1 APPROVAL OF MINUTES: Special Meeting of 9-14-94.
Mrs. Marsh moved to approve the minutes of the Special
Meeting of September 14, 1994, Mr. Greenwald seconded the
motion, which carried with the following vote:
AYES: Councilmembers McDonald, Potempa, Stanhope, Marsh
and Greenwald.
NAYS: None
#2 HEARING OF RESIDENTS: A. George Mower addressed
Council in regard to recycling. He had heard two sets of
figures at the workshop meeting and wasn't sure what they
meant. He said he hoped the Council did not enact the
ordinance and he also hoped that the property on FM 78 where
he alleged that Mr. Gutierrez dumps, could be cleaned up.
B. Judge Fred J. Moore, County Court at Law,
Schertz Police Department on work done in his
the last twelve years. He was very impressed
they testified and went about their work. He
welcome any comments as to how they could
Schertz.
commended the
court during
with the way
said he would
better serve
C, Jim Harris expressed how much he appreciated Council
making the workshops no smoking.
He also spoke regarding recycling. He said he was for it
but was against paying for it. He mentioned that all
revenues would go to the city and requested the revenues go
into some type of reserve fund for two years or at least one
year. Then Council could better decide what to do with it.
He also mentioned that he did not feel any contract should
go beyond five years and this one is going seven years. He
said he supported the City Manager; but on two important
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issues, the Council does not take his recommendations and he
wonders why Council does not take his recommendation when he
has done so good in the past.
#3 ORDINANCE: Mayor Baldwin introduced an ordinance
and read the caption as follows:
ORDINANCE NO. 94-T-26
AN ORDINANCE BY THE CITY COUNCIL OF THE CITY
OF SCHERTZ. TEXAS. ESTABLISHING THE RAMADA
REINVESTMENT ZONE.
Mr. Sweatt reminded that this is located on 1-35 and is for
the Ramada tract only.
Mrs. Stanhope moved to approve the final consideration of
an ordinance establishing the Ramada Reinvestment zone. Mr.
McDonald seconded the motion. which carried as follows:
AYES: Councilmembers McDonald, Potempa. Stanhope. Marsh and
Greenwald.
NAYS: None
#4 ORDINANCE: Mayor Baldwin introduced an ordinance
and read the caption as follows:
ORDINANCE NO. 94-T-27
AN ORDINANCE BY THE CITY COUNCIL OF THE CITY
OF SCHERTZ. TEXAS, APPROVING A TAX ABATEMENT
AND TAX ABATEMENT AGREEMENT FOR AND WITH
RAMADA INN LTD.
Mrs. Marsh moved to approve the final consideration of an
ordinance approving a tax abatement and agreement with
Ramada Inn Ltd. Mrs. Stanhope seconded the motion, which
carried with the following vote:
AYES: Councilmembers McDonald, Potempa, Stanhope, Marsh and
Greenwald.
NAYS: None
#5 ORDINANCE: Mayor Baldwin introduced an ordinance
and read the caption as follows:
ORDINANCE NO. 94-T-28
AN ORDINANCE BY THE CITY COUNCIL OF THE CITY
OF SCHERTZ, TEXAS, ESTABLISHING THE AMERICAN
FREIGHTWAYS REINVESTMENT ZONE.
Mr. Sweatt advised this property is located on FM 3009 west
of 1-35 and the proposed reinvestment zone covers their
property only.
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Mr. Potempa m9yed to approve the final consideration of an
ordinance establishing the American Freightways Reinvestment
Zone. Mr. McDonald seconded the motion. which carried as
follows:
AYES: Councilmembers McDonald, Potempa, Stanhope, Marsh and
Greenwald.
NAYS: None
#6 ORDINANCE: Mayor Baldwin introduced an ordinance
and read the caption as follows:
ORDINANCE NO. 94-T-29
AN ORDINANCE BY THE CITY COUNCIL OF THE CITY
OF SCHERTZ, TEXAS, APPROVING A TAX ABATEMENT
AND A TAX ABATEMENT AGREEMENT FOR AND WITH
AMERICAN FREIGHTWAYS INCORPORATED, A
PROPERTY OWNER IN THE CITY OF SCHERTZ.
Mr. Sweatt said this is the second reading
ordinance, the first having been approved.
considered an excellent business venture. The
does not include personal property.
of this
This is
agreement
Mrs. Marsh moveg to
ordinance approving
American Freightways
motion, which carried
approve the final consideration of
a tax abatement and agreement
Inc. Mrs. Stanhope seconded
with the following vote:
an
for
the
AYES: Councilmembers McDonald. Potempa, Stanhope, Marsh and
Greenwald.
NAYS: None
#7 ORDINANCE: Mayor Baldwin introduced an ordinance
and read the caption as follows:
ORDINANCE NO. 94-G-30
AN ORDINANCE BY THE CITY COUNCIL OF THE CITY
OF SCHERTZ, TEXAS, PROVIDING THAT THE CODE
OF ORDINANCES, CITY OF SCHERTZ, TEXAS, BE
AMENDED BY ADDING CHAPTER 14 1/2 RECORDS
MANAGEMENT; ESTABLISHING A RECORDS
MANAGEMENT PROGRAM; DESIGNATING A RECORDS
MANAGEMENT OFFICER; ESTABLISHING A RECORDS
MANAGEMENT COMMITTEE AND PROVIDING FOR THE
DEVELOPMENT OF A RECORDS MANAGEMENT PLAN AS
REQUIRED UNDER THE TEXAS LOCAL GOVERNMENT
RECORDS ACT AND REPEALING ALL ORDINANCES OR
PARTS OF ORDINANCES IN CONFLICT.
Mr. Sweatt said the caption pretty well summarizes the
ordinance. This is a State mandated requirement. we have
changed the designation of the Records Management Officer
from the City Secretary to the Office Manager/Data
Processing Coordinator.
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Mr. McDonald moved to approve the final consideration of an
ordinance amending the Code by adding Chapter 14 1/2 on !'
Records Management. Mr. Greenwald seconded the motion,
which carried with the following vote:
AYES: Councilmembers McDonald, Potempa, Stanhope, Marsh and
Greenwald.
NAYS: None
#8 RESOLUTION: Mayor Baldwin introduced a resolution
and read the caption as follows:
RESOLUTION NO. 94-R-8
A RESOLUTION AUTHORIZING THE CREATION OF A
RECYCLING PROGRAM AND EXTENDING THE
FRANCHISE OF ALAMO WASTE INC BY FOUR YEARS.
Mr. Sweatt referred to a sample resolution and exhibit
included in Council packets. There has been additional
discussion with Alamo Waste and our attorneys and revisions
have been made to the exhibit. Highlights describes the
recommended agreement, recyclable material, sets out the
dates from the original franchise, describes the conditions
of the recycling agreement, among which is a provision that
states all recyclable material that is sold the proceeds
would inure to the City. The Company agrees to begin the
program in January of 1995, they will provide containers for
each customer, sufficient publicity will be generated
between the City and the contractor for distribution of
information, that the charge will not exceed $1.25 per
resident, of which 97% will go to the company and 3% to the
City. The recycling agreement will expire January 1996 or
sooner. The current franchise with Alamo Waste will be
extended for a four year period, with a cap placed on the
current rates for the current two years of the agreement and
any increase would not exceed 6.5% for each of those years.
On the four years of the extension, the cap would not exceed
8.25% for each of those calendar years. On page 1, Section
4.1 original agreement provided that all material under the
recycling program would under no circumstances be disposed
of in a landfill. We have added a second section "except
those materials found to be contaminated or for which market
conditions does not justify recycling the material". For
instance, if newsprint is allowed to get wet, it has
literally no market value. Another change is under the
extension terminology in Section 7 we had proposed wording
stating that this agreement may be terminated with ninety
days advance notice by minute order with or without cause.
We have reviewed this and changed Section 7 and added 7.1 in
lieu of that. "7. This agreement, as relates to
recycling, may be terminated by minute order of the City
Council, with or without cause, effective upon written
notice at least sixty days to the company".
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"Section 7.1 This agreement, as it relates to the Original
Franchise and the franchise extension granted herein, may be
terminated by minute order of the City Council upon a
determination by the City Council that the service provided
by Company under the remaining term of the original
Franchise or the extended term thereof, as the case may be,
is unsatisfactory. It goes on to say the City shall provide
at least sixty days written notice to the Company of the
proposed termination of the original Franchise or the
extended term thereof, as the case may be."
Mr. Sweatt added that considerable time was spent on
recycling publicity.
Mr. Ephrin
originally
equipment.
to that -
material
revenue.
Gonzales, a partner in Alamo Waste, advised that
they had estimated spending about $75,000 on
Now they have found some better equipment to add
a baler at a cost of an additional $10,000. Baled
will be easier to transport and will bring more
Mr. McDonald asked how much the company would save in
tipping fees.
Mr. Gutierrez said probably 10 to 15%. He said they had
discussed about expanding into the commercial market, as
well as individual.
Mr. Sweatt advised that in our December newsletter will
have an insert page with a calendar for the full year,
showing the collection days. This flyer will also include a
full description of the materials that will be collected.
The initial distribution of the containers will begin the
week after Christmas so that hopefully everything will be in
place for the first collection day in January.
After further discussion, Mr. McDonald said he thought Mr.
Harris' statement to put the revenues in reserves was a good
idea. He also said he had some qualms about the length of
the contract but with their investment, he could understand
their concerns.
Mayor Baldwin said he understood what was being said about
not taking the City Manager's advise and did not think there
is anything that says that Council always has to go along
with Mr. Sweatt's recommendations, even though they do
consider him to be a top notch City Manager - there's no
better one around. He said it is more of a compliment to
Henry Gutierrez and his family for what they have done in
Schertz and the confidence the Council has in him You can
look at all the bid packages in years past and Henry
Gutierrez or Alamo Waste has always been the low bidder.
This is not by chance but that they want our business and
want to stay here. He said he felt Henry considered that
his contribution contribution to the City that he grew up
in. He said he did not feel uncomfortable at all with a
long term contract with them.
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Mr. Sweatt pointed out one item in the agreement.
Section 9. This agreement, including both the recycling
provisions and extension of the Original Franchise, may be
terminated by the City at any time during the term hereof in
the event of the sale or other disposition of ownership of
the stock or assets of the Company."
Mrs. Stanhope moved to approve the resolution authorizing
execution of an agreement with Alamo Waste for recycling and
franchise extension. Mrs. Marsh seconded the motion, which
carried with the following vote:
AYES: Councilmembers McDonald, Potempa, Stanhope, Marsh
and Greenwald.
NAYS: None
#9 APPOINTMENTS: Consider and take action on the
following Planning and Zoning Commission appointments.
A. reappointing three members.
Mr. Greenwald moved to reappoint Merwin Willman, Tony
Moreno and Keith Van Dine to the Planning & Zoning
Commission. Mrs. Stanhope seconded the motion, which
carried with the following vote:
AYES: Councilmembers McDonald, Potempa, Stanhope, Marsh
and Greenwald.
NAYS: None
B.appointing officers for the Commission.
Mr. Potempa moved to appoint Pia Jarman Chairman, David
Richmond Vice-Chairman and Merwin Willman Secretary of the
Commission. Mrs. Stanhope seconded the motion, which
carried with the following vote:
AYES: Councilmembers McDonald, Potempa, Stanhope, Marsh
and Greenwald.
NAYS: None
#10
execution
Rittimann
AGREEMENT: Consider and take action to
of a revised Management Agreement
Addition Sewer Project.
authorize
for CDBG
Mr. Sweatt referred to the copy of the proposed agreement in
Council packets. This is an unusual contract in that we
share with Bexar County the construction of sewer lines in
Rittimann Addition. The original agreement was for $164,594
but after review by consulting engineer, the cost had
increased to $174,594. Bexar County has voted for the
addition increase and have extended the contract plans and
specifications completion date for construction and
installation of sewer system for Rittimann Addition. Bexar
County will administer the contract , our engineer did the
design work and we will furnish the inspections.
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Mr.
with
Mrs.
Greenwald moved to amend the original CDBG contract
Bexar County for sewer system in Rittimann Addition,
Marsh seconded the motion, which carried as follows:
AYES: Councilmembers McDonald, Potempa, Stanhope, Marsh
and Greenwald.
NAYS: None
Mayor Baldwin called for a short recess at 7:54 p.m.
The Regular Meeting was reconvened at 7:59 p.m.
#11 Discussion of Public Facility Needs and financing
methods.
Mr. Sweatt reviewed some previous discussions on public
facility needs and funding for same. He said we had
identified $2,000,000 of current public facility needs and
an additional $2,000,000 plus needed in the next five year
period just to maintain levels. These being expanding the
police department, municipal building, library, parks and
equipment. We determined it appropriate if we consider a
bond election to meet our immediate needs. He suggested
Council might want to use a committee to review those needs
and consolidate and make recommendations. At the time we
put these figures together, it is our estimate that the debt
service on $2,000,000 would require 5 1/2 to 6 cents on the
tax rate. In reviewing our options, we believe the
consideration of a sales tax, at the current rate, would
produce essentially that amount of money. During the
discussion of sales tax to reduce ad valorem taxes, it was
pointed out that it would be asking the citizens to approve
the sales tax to hold down ad valorem taxes and approve the
bond issue. We believe that the 1/4 of 1% should be used
for economic development. The Commission is reviewing this
now and will be meeting with Council in December with their
recommendation.
Mr. Sweatt advised that over 120 other Texas cities are
using the combination of sales tax and economic development.
He pointed out that this type election had to be held on one
of the four uniform election dates; but a bond election
could be held on any date. At this time, it does not appear
that we could easily put together a complete package for a
January bond election. However, it would need to be
addressed should we consider a sales tax election in
January. If we had the sales tax election in January, it
would go into effect in October of 1995 and we would not get
the first check until December 1995. In the meantime, we
suggest Council study needs for a bond election.
Mrs. Marsh had concerns that there would not be sufficient
time to educate the citizens for a January election. She
said it was clear to her that this is the way to go.
Because of our unique location. a large percentage of our
sales taxes are obtained from people who live outside our
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city. We need to have a plan to educate the citizens so
that they totally understand what we are talking about, what
it would be and how it would help them and the city. She
said if we have time to do that, then she is all for it.
Council then discussed ways of getting the information to
the citizens, using the Councilmembers, Economic Development
Commission, the Economic Development Foundation, newsletter
and various committees and organizations.
Mr. Greenwald said Council should be the ones to go to all
the organizations with information on the needs.
After further discussion, Mr. Sweatt reminded Council that
the next meeting on November 15th would be the last date
they could have the ordinance calling an election for
January. There would be the two issues on the 1/2 cent
sales tax, 1/4 would go to Economic Development where there
are special areas in which the money can be used - many of
the very things we are trying to do now. We would gain the
budgeted money that is now going to economic development by
reducing the general fund. Then the other 1/4 cent would be
devoted to ad valorem tax reduction.
Mrs. Marsh
citizens to
increase.
reminded that Council should never allow
believe there will never be another
the
tax
After further
concensus to
agreed.
discussion, Mayor Baldwin asked if he had a
call an election for January and Council
Mr. Sweatt said he and staff would be meeting with the
Economic Development Commission and will prepare information
and newsletter articles along the lines discussed.
#12 CITY MANAGER'S REPORT: None
#13 ITEMS BY COUNCIL:
Senior Citizen Arts and Crafts
at the Community Center and
judges.
Mrs. Stanhone announced the
Show for the 19th of November
solicited volunteers to be
Mr. Greenwald said he was sorry to see us lose the issuing
of license plates here at the Municipal Complex even though
they will still be selling them at their office on Schertz
Parkway. He added that this has been a good service for the
citizens of Schertz.
#14 ITEMS BY MAYOR: Mayor Baldwin reported on a
meeting that date of all the area Mayors and City Managers
on economic development. Five Mayors and five City Managers
were present, with the only city not being represented being
Kirby. He said it was a good meeting and very encouraging
that the cities can work together.
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Mr. Sweatt added that our Mayor was elected the leader of
the group.
#15 ADJOURNMENT: On a motion by Mr. Potempa,
seconded by Mr. McDonald and unanimously carried, the
meeting adjourned at 8:35 p.m. ~ ~
<4_(1../0. ~
Mayor, City of Schertz, Texas
ATTEST
Yk~~
CitY'Secretary, City of Schertz