08-10-2007-Regular
MINUTES
REGULAR SESSION
AUGUST 10,2007
The Schertz City Council convened in Regular Session on Tuesday, August 10, 2007 at
3:00 p.m. in the Municipal Complex Council Chambers, 1400 Schertz Parkway, Building
#4, Schertz, Texas. The following members were present: Mayor Hal Baldwin presiding,
Councilmembers Jim Fowler, David Scagliola, John Trayhan, Tony Wilenchik and
Michael Carpenter. Also present were City Manager Don Taylor, Assistant City Manager
John Bierschwale, Assistant City Manager David Harris, Director of Development
Services Leonard Truitt, City Secretary Judy Tokar and City Attorney, Michael Spain.
#1 CALL TO ORDER.
Mayor Baldwin called the meeting to order at 3:00 p.m.
#2 PLEDGES OF ALLEGIANCE TO THE UNITED STATES AND STATE
OF TEXAS (Honor the Texas Flag; I pledge allegiance to thee, Texas, one
State under God, one and indivisible).
Both pledges were recited.
#3 INTRODUCTION OF EMPLOYEES: Water Department, Development
Services and Municipal Court.
David Harris, Assistant City Manager introduced Rodolfo Rosales, Receptionist in the
Water Department; Leonard Truitt, Development Services Director introduced Tony
McFalls, GIS Technician; and Patricia Velez, Municipal Court Clerk introduced Jacki
Noyes, Court Clerk.
#4 HEARING OF RESIDENTS.
Frances Rushin~ Chamber President reminded Council on the following; Network
Connection luncheon with a reception for Congressman Cuellar on August 31 st, the
chamber directory is at the printer to be delivered to every door in the city. The Taste of
the Town is scheduled for October 27 at the Civic Center. She asked us to keep Debbie
Gildea in our thoughts and prayers; her father is critically ill.
Robert Brockman. 1000 Elhel Road, congratulated the Council on how good the flags
looked on Schertz Parkway. He wanted to know who was responsible for the Money
Magazine recognition. He has tried to get the pedestrian cross walk signal light repaired
on FM 3009 and asked if the City could help with that.
ACTION ITEMS:
An executive session was held from 3:10 p.m. to 3:50 p.m.
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#5 EXECUTIVE SESSION: Called under Chapter 551 Texas Government Code,
Sub-section 551.072 - Deliberation regarding Real Estate.
#6 Action, if any on the subject of the above Executive Session.
Councilmember Wilenchik made a motion, seconded by Councilmember Trayhan, to
authorize amendment to the agreement with U.S. Post Office to extend the time to
exercise the right to purchase the property until August 31,2007. The motion carried 5-0
and the vote was as follows:
A YES: Councilmembers Fowler, Scagliola, TraYhan, Wilenchik, and Carpenter.
NA YES: None.
#7 Discussion and action for consideration and approval to authorize the City's
staff and Mark McLiney, the City's Financial advisor, to proceed with the
issuance of the second series of General Obligation Bonds, and other matters
related thereto. (Mark McLiney, Southwest Securities)
Mr. Mark McLiney, Southwest Securities, said staff is proposing to sell $6 million dollars
of the second series of bonds approved by the citizens in 2006. This would be a 20 year
note, which saves the city 2 years interest totaling about $2 million. Based on the current
interest rate the interest and sinking tax rate remains at $.15. . The interest rate from JP
Morgan, who is seriously pursuing the City's business, would tentatively be 4.15%. Mr.
McLiney recommends selling $5 million this year, $10.5 million in 2008 and $7 million
in 2010.
Councilmember Trayhan made a motion, seconded by Councilmember Wilenchik to
authorize the City's staff and City's fmancial advisor to proceed with the issuance of the
second series of bonds in an amount up to $6 million. The motion carried 5-0 and the
vote was as follows:
AYES: Councilmembers Fowler, Scagliola, Trayhan, Wilenchik, and Carpenter.
NA YES: None.
#8 Approve minutes of Regular Sessions July 3,2007.
Councilmember Trayhan made a motion, seconded by Councilmember Carpenter, to
approve the minutes for the regular session of July 3, 2007. The motion carried 5-0 and
the vote was as follows:
AYES: Councilmembers Fowler, Scagliola, Trayhan, Wilenchik, and Carpenter.
NA YES: None.
#9 Discussion and action on approving the amended Articles of Incorporation
for the Economic Development Corporation (4B). (G. Antuna)
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Mr. Spain explained the action that needed to be taken would require an ordinance, which
he would prepare for the next meeting.
#10 Discussion and action on appointing members to Parks and Recreation
Advisory Board. (G. Douglas)
Mayor Baldwin reported the Interview Board recommends appointing Reginna Agee and
Jeff Siebert to the Parks and Recreation Advisory Board.
Councilmember Carpenter made a motion, seconded by Councilmember Trayhan, to
appoint Reginna Agee and Jeff Siebert to the Parks and Recreation Advisory Board. The
motion carried 5-0 and the vote was as follows:
AYES: Councilmembers Fowler, Scagliola, Trayhan, Wilenchik, and Carpenter.
NA YES: None.
#11 Discussion and action to vote to place a proposal to adopt the Tax Rate.
(J. Santoya)
Juan Santoya, Director of Finance, said the proposed rate for publication is $0.4090 per
$100 of valuation recommended for FY 2007-2008. The effective tax rate is $0.3882.
The rollback rate is $0.4225.
Councilmember Carpenter made a motion, seconded by Councilmember Trayhan, to
approve to place the proposal to adopt the tax rate of $0.4090. The motion carried 5-0 and
the vote was as follows:
AYES: Councilmembers Fowler, Scagliola, Trayhan, Wilenchik, and Carpenter.
NA YES: None.
#12 Discussion and action to schedule public hearings for Tax Rate and Budget.
(J. Santoya)
Juan Santoya, Director of Finance, said the fIrst public hearing for the tax rate and budget
is to be September 4 and second hearing on September 11,2007.
Councilmember Carpenter made a motion, seconded by Councilmember Trayhan, to set
the public hearings for the tax rate and budget for September 4, 2007 and September 11,
2007. The motion carried 5-0 and the vote was as follows:
A YES: Councilmembers Fowler, Scagliola, Trayhan, Wilenchik, and Carpenter.
NA YES: None.
#13 Discussion and action on approving Schertz/Seguin Local Government
Corporation FY 2008 Budget and water rates. (A. Cockerell)
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Alan Cockerell, General Manager, briefed the Council on the budget and water rates for
the corporation for the fIscal year 2007- 2008.
Councilmember Fowler made a motion, seconded by Mayor Pro Tern Scagliola, to accept
the budget for the operation of the Schertz Seguin Local Government Corporation. The
motion carried 5-0 and the vote was as follows:
AYES: Councilmembers Fowler, Scagliola, Trayhan, Wilenchik, and Carpenter.
NA YES: None.
Councilmember Trayhan made a motion, seconded by Councilmember Carpenter, to
adopt the Schertz Seguin Local Government Corporation proposed fIscal year 2007-2008
water rates as shown on Exhibit A; SchertzJSeguin rate per 1,000 gallon at $2.18, Selma
and Universal City per 1,000 gallon at $1.52 and Springs Hill per 1,000 gallon at $2.33.
The motion carried 5-0 and the vote was as follows:
AYES: Councilmembers Fowler, Scagliola, Trayhan, Wilenchik, and Carpenter.
NA YES: None.
#14 Discussion and action to approve the purchase amount of 8.368 acres of
undeveloped land at the Links of Fairway and Fairhaven for possible
parkland. (D. Taylor)
Don Taylor, City Manager, said the Council approved on June 5, 2007 the purchase of
undeveloped hilltop property at the Links of Fairway and Fairhaven for possible
parkland. The negotiated price has now been established at $184,096.00.
Councilmember Trayhan made a motion, seconded by Mayor Pro Tem Scagliola, to
approve the purchase of8.368 acres of undeveloped property at the Links of Fairway and
Fairhaven for possible parkland in the amount of $184,096.00. The motion carried 4-1
and the vote was as follows:
AYES: Councilmembers Fowler, Scagliola, Trayhan, and Carpenter.
NA YES: Councilmember Wilenchik.
#15 Discussion and action to award bid for 2007-2008 Group Medical, Life, EAP
and AnciUary Benefits. (Scott Barnard)
Scott Barnard, Barnard Donegan Insurance, provided the Council with a handout of his
recommendations for the group health insurance products. Community First, our current
provider, renewal rates were 12% increase for the individual, 46% increase for the spouse
and 22% family increase. Humana (HMO & PPO) premiums were about the same as the
current Community First rates. Also discussed were the dental, vision, life and Employee
Assistance Program products. There is no change in the coverage or providers. The
renewal date for the health insurance is October 1,2007.
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The Council discussed the employee option to opt out of the health insurance, consider in
the future fully funding the employee's portion, subsidizing the employee family
premium over a three year period (15%, 30% and 50%), and subsidize a wellness
program for employees, possibly at the new recreation center. The budget has allowed
for a 10% premium increase for next year.
Council consensus was to delay making a decision to review the information and receive
a written recommendation from city staff after discussing with the employees. They
asked Ms. Tokar, City Secretary, to post an addendum to the agenda for Tuesday's
meeting.
DISCUSSION ITEMS:
#16 Budget Workshop (D. Harris)
David Harris, Assistant City Manager, highlighted major points in the budget that were
notable such as the proposed tax rate of $0.4090 based on the property valuation of$1.85
million which was an 11 % increase; revenue budgeted at 15% growth over current year;
proposed retirement contribution from 6% to 7%; cost of living raise of 3.4%; assumed
10% health insurance increase; total of 15 new positions; organizational changes; projects
and capital items; and projects in planning and inspections; and reviewed the revenue and
expenses in the general fund and other funds.
#17 Items by City Manager Taylor and Staff
None.
#18 Items by Council
Councilmember Fowler
None.
Mayor Pro- Tem Scagliola
· Announced the Schertz Humane Society golf tournament on October 26th
at Canyon Spring, they are anticipating a good turnout.
Councilmember Trayhan
· Thanked City staff for the setting up the HOA schedule for National Night
Out and referred a letter from FEMA regarding adopting an ordinance.
· Asked if there is a joint meeting on August 15th with Planning and Zoning
Commission.
Councilmember Wilenchik
· Requested an agenda item for future executive session on the future of the
municipal court.
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· Attended an investment symposium in Park City, Utah on August 5 - 8,
2007.
Councilmember Carpenter
· Pointed out possible error in the municipal court monthly report.
#19 Items by Mayor
· Expressed appreciation to staff for setting up the HOA visits for National
Night Out events and especially thanked Mayor Pro Tern Scagliola for
insisting to participate. He was very impressed with the comments made
by the citizens on how well the officials and staff were managing the city.
· Read congratulatory letters from Melvin Golla, President, Schertz Bank
and Trust, Ford Engineering and certificate of recognition from State
Senator Judith ZafTrrini.
#20 ADJOURNMENT.
The meeting adjourned at 6: 1 0 p.m.
c7~~
(
Hal Baldwin, Mayor
Attest:
Q';A~
~okil City Secretary
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