ccreg 12-19-1989
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REGULAR MEETING OF THE CITY COUNCIL
DECEMBER 19, 1989
The Schertz City Council convened in Regular Session, Tuesday,
December 19, 1989 at 7:00 p.m. in the Council Chambers of the
Municipal Complex, 1400 Schertz Parkway, Schertz, Texas. The
following members were present: Mayor Earl W. Sawyer, presidingi
Earl P. Hartzogi Hal Baldwinj Barbara Stanhopei Mary Marsh and
Ken Greenwald. Staff present were City Manager Kerry Sweatt and
City Secretary June Krause.
After welcoming everyone to the meeting, Mayor Sawyer announced
the winners of the Christmas Decorating Contest as being Mrs.
Ratchman, residential and Mrs. Bulgrin for the business. He then
called on Mr. Simonson for a few words.
Steve Simonson, Chairman of the Christmas Decorating Committee,
said that one of the things they wanted to start this year was
the decorating contest. They had many requests for consideration
and had a difficult time making a decision.
Mr. Bob Andrews, Chairman of the Contest Committee, said he
really did not realize how hard it would be to judge the contest.
He advised that 44 entrees were received and there were many more
beautifully decorated homes, who were not entered. Besides the
winner in the residential category and one in business, there
were several honorable mentions - 507 Mitchelli almost the entire
2600 block on Cotton King and 400 Brooks Avenue, which was only 1
point below the winner. Mr. Andrews then presented trophies to
Mrs. Michelle Ratchman of 2620 Kline Circle as the residential
winner and to Mrs. Bulgrin of the Kountry Kitchen as the business
winner.
Mayor Sawyer congratulated
being the winners of the
Contest. He said the City
and many years to come.
Mrs. Ratchman and Mrs. BUlgrin on
First Annual Christmas Decorating
plans on doing this again next year
#1 PUBLIC HEARING: The Council to receive citizen input on
proposed annexation of 5 tracts of land out of Comal and
Guadalupe Counties, containing approximately 854.52 acres.
Mr. Sweatt indicated the location of the five tracts on the map,
saying fieldnotes were available for inspection. He advised that
this is the first of two public hearings and we have prepared a
service plan for these tracts. Tract # 1 includes 278.92 acres i
tract #2 has 199.93i tract #3 has 96.67 acreSi tract #4 has
121.49 and tract #5 has 157.51 acres of land.
Mr. Sweatt said that 163 letters of notification of the public
hearing had been sent to property owners in the five tracts. He
advised that from a visual survey, there are about 22 residential
structuresi and based on data from the two Appraisal Districts,
there is a total of approximately 38 structures.
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Mayor Sawyer then asked if there were any citizens who wished to
speak to please come forward and give their name and address.
1. Mr. Tom Ivy, Route 6, Box 582, New Braunfels, said he
did not get a letter but saw the notice in the paper. It was
determined that Mr. Ivy does not live within the proposed area
for annexation.
2. Gerald Hinman, Box 516-B - Freeway Manor, said he has no
water, no sewer, no road maintenance to his house and asked what
this would do for him.
Mr. Sweatt said the services would be extended that are available
to other parts of the community, including water, wastewater,
police service, fire, ambulance and code enforcement. If the
streets are dedicated right-of-way, they would be subject to city
maintenance.
Mr. Hinman said the streets in Freeway Manor are not dedicated
streets.
3. Mr. Darrell Jenschke said he had been annexed for three
years and he has seen no evidence of city services. He said the
only thing he gets out of the City of Schertz is a tax statement.
He said he was not sent a notice when he was annexed.
#4 Mary Rodriguez of Freeway Manor said she had been living
there about 25 years and has no services from the City. Mr.
Sweatt said that if she is annexed, the services would be
extended to her that are available to other parts of the
community.
Mr. Lloyd Guy, Bob Mathes, and Gordon Ellis all said they did not
receive notices when they were annexed.
Mr. Guy also said that Hubertus Road is in terrible shape with
huge holes. Mr. Mathes said that in five years, the City has
only done maintenance to Weiderstein Road one time.
There followed a discussion of the procedures for getting the
streets in Freeway Manor dedicated to the City so that they could
be maintained. One gentleman asked if and when the sewer is
extended to the area, will the people who now have septic tanks
be forced to hook on to the sewer. Mr. Sweatt advised that they
would not, as long as their septic tank works properly.
There were several questions asked that were not relating to the
annexation. Mayor Sawyer briefly answered the questions and then
advised the citizens that staff would be glad to help them at any
time and to just give them a call. Chief Agee even invited the
citizens to meet with him after this meeting and he would give
all of them his card and try to answer questions.
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There being no further input from citizens, Mayor Sawyer declared
the public hearing closed at 8:51 p.m.
#2 APPROVAL OF MINUTES: A. Special Meeting of 11-15-89
B. Regular Meetinq of 11-21-89 and C. Special Meeting of 11-29-
89.
Mrs. Stanhope, after calling attention to several typographical
errors, asked that the minutes of the Special Session of November
29, 1989 be corrected as follows: #2 fourth, fifth and sixth
paragraph should read: "Mr. Marques said most of the provisions
of the law are included in this packet and if someone wants to
talk about tax abatement, then you would give them this package.
This is essentially the policy that Schertz has on Tax Abatement
and it also covers the major provisions of the law."
"Mr. Marques said the question was raised about New Braunfels,
and it was found that New Braunfels does not have guidelines at
all and San Marcos has very broad guidelines, that says they will
complY with the law."
"Mr. Marques said that, as he reads the law, the purpose of the
guidelines and criteria is that you are offerinq the SAME
guidelines and criteria to any person who comes in for it."
"Mr. Sweatt added that the primary reason for doing this is to
create a level so that everyone understandsi and secondly so that
we do have clear cut guidelines."
Under #3, the fifth sentence of the second paragraph should
correctly read: "The reason beinq that we have been dealing with
them for years and the low bidder had bid a different console
than we specified."
Under #8 - Mrs. Stanhope: C, second sentence should read: "Mr.
Greenwald said we can find no plans on this sign."
Under Mr. Greenwald, second sentence under
suggestions that perhaps banks and utility
include comments on monthly bills."
A: "There were
companies could
#9 - first sentence of second paraqraph should read: "We plan to
acknowledge one of our citizens, who you are well aware of
throuqh the National publicity, the Smith family."
Mrs. Marsh moved to approve the minutes of the Special Meetings
of November 15th and 29th and Reqular Meeting of November 21,
1989 as corrected. Mr. Greenwald seconded the motion, which
carried with the followinq vote:
AYES: Councilmembers
11-29) i Baldwini Stanhope,
NAYS: None
ABSTAINING:
Hartzog (for the meetings of 11-21 and
Marsh and Greenwald.
Mr. Hartzog for the minutes of 11-15-89.
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#3 HEARING OF RESIDENTS: Mr. Lewis Borgfeld reserved time
for items #6 and #8. Dr. Roy Richard reserved time for item #8.
#4 RESOLUTION: Mayor Sawyer introduced a resolution and
read the resolution, the caption of which follows:
RESOLUTION NO. 89-R-18
A RESOLUTION BY THE CITY COUNCIL OF THE CITY
OF SCHERTZ, TEXAS, ADOPTING THE CODE OF
CONDUCT OF THE SCHERTZ POLICE DEPARTMENT.
Mr. Greenwald moved to approve the resolution adopting the Code
of Conduct for the Schertz Police Department. Mr. Baldwin
seconded the motion, which carried with the following vote:
AYES: Councilmembers Hartzog, Baldwin, Stanhope, Marsh and
Greenwald.
NAYS: None
#5 ORDIHANCE: Mayor Sawyer introduced an ordinance and
read the caption as follows:
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
REVISING SECTION 18-76 OF SAID CODEi
PROVIDING FOR SPEED LIMIT ON EAST LIVE OAK
ROAD.
Mr. Baldwin moved to approve the first reading of an ordinance
setting speed limits on East Live Oak Road. Mrs. Marsh seconded
the motion, which carried as follows:
AYES: Councilmembers Hartzog, Baldwin, Stanhope, Marsh and
Greenwald.
NAYS: None
#6 RESOLUTION: Mayor Sawyer called on Mr. Borgfeld, who
had reserved time for this item.
Mr. Borgfeld thanked the Mayor and added that he was representing
the Economic Development Task Force. He said, on the issue of
tax abatement, they had put considerable thought into this
program and Mark Marques had done a lot of work in putting a
proposed policy together for tax abatement. He said that within
the area of economic development, we are looking to make an
environment for existing businesses to expand and hopefullY to
attract additional business and industry into the area. He said
that Tax Abatement, in this day and time, is virtually a
necessity for economic development to be competitive. If you go
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to the Texas Economic Development Foundation, that is one of the
first things they will address. This gives us the opportunity to
be a leader in this area. He said the Task Force feels a
definite need for this. He said he personally would be in favor
of this program and it was a recommendation of the Economic
Development Task Force.
Mayor Sawyer then read the caption of the resolution as follows:
RESOLUTION NO. 89-R-19
A RESOLUTION BY THE CITY COUNCIL OF THE CITY
OF SCHERTZ, TEXAS, EVIDENCING INTENT TO ADOPT
A SET OF GUIDELINES AND CRITERIA FOR TAX
ABATEMENT AND RE-INVESTMENT ZONES.
Mr. Hartzog moved to adopt the resolution adopting guidelines and
criteria for tax abatement. Mrs. Stanhope seconded the motion,
which carried with the following vote:
AYES: Councilmembers Hartzog, Baldwin, Stanhope, Marsh and
Greenwald.
NAYS: None
#7 ORDlRAIICE: Mayor Sawyer introduced an ordinance and
read the caption as follows:
AN ORDINANCE
BY THE CITY COUNCIL OF THE CITY OF SCHERTZ,
TEXAS, ADOPTING GUIDELINES AND CRITERIA FOR
TAX ABATEMENT AND RE-INVESTMENT ZONES.
Mrs. Marsh moved to approve the first reading of an ordinance
adopting guidelines and criteria for tax abatement and re-
investment zones. Mr. Greenwald seconded the motion, which
carried with the following vote:
AYES: Councilmembers Hartzog, Baldwin, Stanhope, Marsh and
Greenwald.
NAYS: None
Mr. Sweatt said although not an action item for this meeting, he
would like for Council to very soon consider requesting the
Economic Development Task Force, as well as staff support, to
begin the process of development of specific recommendations
regarding re-investment zones. Mr. Borgfeld as Chairman of the
EDTF has heard the discussion on several occasions of the need to
consider specific zones versus awaiting requests.
#8 ORDIKAIICE: Mayor Sawyer called on Mr. Borgfeld again.
Mr. Borgfeld said that if there is no action taken for the year
1990, certain inventories would be exempt from taxation. There
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is a later date, in April, where there will be a requirement for
taking action to exempt it for the years thereafter. Within the
area of economic development, there is considerable competition
not only within communities surrounding us but in areas
throughout the state. Texas is only one of five states that has
such a tax as this. He said, representina the EDTF and his own
views on this, it is obviously a very difficult tax to enforce -
knowing what the inventory levels are in a certain area at a
certain time of the year. Also looking at it from the
competitive standpoint, if we have other communities that are not
doing it, it makes those more appealing or having an extra
advantage that we do not have. On the short term basis, he said
he did not feel there was much to losei but in the long term, you
possibl y do have something to lose. This is something that
really needs to be considered because if we keep it in place, it
will be a disadvantage. He said he real ized there would be
concern for giving up some tax base but sometimes the competition
does not allow you to do that. There are a number of entities
around us that have chosen to take no action, which would allow
the tax to not be collected for 1990. He said he was aware of
some programs corning up in January and would encourage anyone
involved to study those more in depth for years beyond 1990.
Dr. Richard said he wanted to congratulate the Mayor and Council
on passing the resolution and ordinance on tax abatement.
Considering this item #8, he said it seemed to him we would be
just shooting ourselves in the foot with passing this. We are
allowing abatement then turn right around and taxing something
else. He asked just how much money we would lose this next year
by not passing this. Mayor Sawyer said about $1800. He then
asked several questions such as how will this affect the
prospects. He then asked that Council reconsider this because he
felt Council would be making a big mistake to pass this.
Mayor Sawyer then read the caption of the ordinance as follows:
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 A SECTION TO BE NUMBERED
17-7; PROVIDING FOR THE TAXATION OF PROPERTY
EXEMPT UNDER ARTICLE VIII, SECTION 1-j, TEXAS
CONSTITUTION BEGINNING WITH THE 1990 TAX
YEARi AND DECLARING AN EMERGENCY.
Mr. Baldwin moved to adopt an ordinance providing for the
taxation of property exempt under Article VIII, Section 1-j,
Texas Constitution. Mr. Greenwald seconded the motion.
Mr. Baldwin said that with all due respect to Dr. Richard, Mr.
Borgfeld and the members of the Economic Development Task Force,
he thought that simplY because we are only talking about a few
dollars this year and because we do not have a good solid study
on what the long range effect of permanentlY eliminating that
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category of tax from our rolls, we need to go ahead and hold
that. He said he realized that the public voted for this and he
real ized that it was well lobbied. It sounds good and Texas is
in a decline and we need something to stimulate growth but he is
not sure this is what is needed. He said that until we know for
sure what the long term effect is of this particular
constitutional amendment, we need to hold on to it. Once we make
the decision in April, that is it.
Mayor Sawyer said he favored not enacting this ordinance. We
have been waiting some 20 years to try to do something to bring
some kind of business into this city. If this will induce just
one person to come in here and settle, what we make in taxes from
that one person will far outweigh what we are giving up.
Mr. Hartzog said we have some $30,000 we have committed this
year and last year to Economic Development. He said we have one
of the tools that was needed in this Tax Abatement. Adoption of
the ordinance on the Freeport Tax would hinder our ability to get
addi tional businesses in this area. When we attract businesses
into the area, we will offset what we would lose in the tax.
Mrs. Marsh said she agrees totally with Mr. Hartzog and partially
with Mr. Baldwin. She said it is very true that a study has not
been done and there are a lot of questions unanswered and we do
have until April to find some of these answers. She said she
could not see any reason for this ordinance at this time when we
have four months in which to really study it and look at it. She
said let us not miss out on a prospect during that period of
time. She said she felt we should just let the exemption take
effect until that time.
Mayor Sawyer then called for a vote on the motion, and the motion
failed by the fOllowing vote:
AYES: Councilmembers Baldwin and Greenwald
NAYS: Councilmembers Hartzog, Stanhope and Marsh
#9 BID AWARD: Consider and take action on awarding bids
for carpet and installation for Schertz Library.
Mr. Sweatt said this is connected to the new construction at the
library. There has been budgeted within our operational budget
the sum of approximate I y $4,000 for the purpose of acquiring
carpeting and the labor for installation for the newl y
constructed portion of the library. Bids were solicited and
received from four companies. At the time the entire library was
considered for carpet by a request from the Library Board. After
evaluating the bids and services involved, the apparent low
bidder is A-l Carpet World, including relocating of shelving,
replacing with new carpeting throughout the buildinq,
installation of a vinyl covering in a portion of the front area,
in the amount of $6,193.60 compared to the remaining three bids
ranging from $6,500 to a high of $7,113. The Library Board has
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considered this and has voted to recommend the low bid to City
Council with the codicil that the City's funds - the $4,000 - be
used to provide carpeting for the new portion of the library as
proposed; and the Library Board through their own funds would pay
the remainding $2, 193.60. The bids have been reviewed by our
staff and we concur with the Board's recommendation of $6,193.60
to A-I Carpet for 26 ounce Olefin carpeting and other items.
Mr. Hartzog moved to award the bid to A-l Carpeting, in the
amount of $6,193.60. Mr. Greenwald seconded the motion.
Mr. Hartzog said he regrets that we could not award the bid to
the bidder inside the City but they were not the low bid.
Mayor Sawyer then called for a vote on the motion, which carried
with the following vote:
AYES: Councilmembers Hartzog, Baldwin, Stanhope, Marsh and
Greenwald.
NAYS: None
# 10 CITY MANAGER'S REPORT:
awarding of bids for carpeting,
temporary closing of the library.
over the weekend i but there will
closed for several days.
A. In connection with the
there will be a necessity for
We would like to try to do it
be a requirement to have it
Mrs. Douglas said all bidders had told them it would take from 7
to 10 days for the installation. There was nothing in the
specifications whereby they would be required to work over the
weekends.
#11 ITEMS BY COUNCIL: Mr. Hartzog wished everyone a safe
and happy holiday season and congratulated the people who
decorated their homes and were mentioned as well as those that
were not mentioned.
Mr. Baldwin seconded those thoughts and also commended the people
of the City of Schertz on the Christmas decorations this year.
Mrs. Stanhope agreed, saying it really was neat to see the
response throughout the City.
Mrs. Stanhope said we need to send a thank you to Mrs. Ware. She
reminded everyone that the Schertz Humane Society has T-shirts
for sale.
Mrs. Marsh added her thoughts to those already made.
Congratulations to staff and to all the volunteer workers that
thought up the program and worked so hard building and making
these Christmas decorations and putting them up. Once again, it
shows that Schertz is indeed a volunteer City. She then wished
everyone a very Merry Christmas.
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Mr. Greenwald wanted to congratulate the decorating committee.
He said he felt they did a tremendous job in a short amount of
time. We hope for bigger and better things next year. He added
his Merry Christmas wishes.
# 12 ITEMS BY MAYOR: Mr. Sawyer also wished everyone a
Merry Christmas. He said the Council wanted to commend those
citizens who volunteered of their money, time and everything
else in our Christmas efforts. This is our first Annual
Chr istmas Decorating contest and we plan to continue it. The
next meeting of the committee will be in January and everyone is
welcome.
# 13 ADJOURRMEIIT :
adjourned at 8: 35 p. m.
carried unanimously.
Mr. Baldwin moved the meeting be
Mr. Hartzog seconded the ~otion, which
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Mayor,
Texas
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