01-20-09
MINUTES
REGULAR MEETING
January 20,2009
A Regular Meeting was held by the Schertz City Council of the City of Schertz, Texas, on January
20, 2009 at 6:30 p.m., in the Municipal Complex Council Chambers, 1400 Schertz Parkway,
Building,#4, Schertz, Texas. The following members present, to-wit:
Mayor Hal Baldwin Mayor Pro-Tern Michael Carpenter
Councilmember Jim Fowler Councilmember David Scagliola
Councilmember John Trayhan Councilmember Tony Wilenchik
Staff Present: Assistant City Manager John Bierschwale
Assistant City Manager David Harris City Secretary Brenda Dennis
CALL TO ORDER REGULAR MEETING
Mayor Baldwin called the meeting to order at 6:30 p.m.
INVOCATION AND PLEDGES OF ALLEGIANCE TO THE FLAGS OF THE UNITED
STATES AND STATE OF TEXAS.
Councilmember Fowler gave the Invocation followed by the Pledges of Allegiance to the Flags of
the United States and State of Texas.
HEARING OF RESIDENTS
. .
Mayor Baldwin recognized the following citizens who spoke regarding the RV Parking issue:
. Basil McDaris 600 River Road
. Bob Stetson, 106 Pentonville Drive
. Rosemary Grayson, 5213 Cabana Drive
. Lonnie Ray, 608 Pecan Drive
Mayor Baldwin recognized Schertz Chamber of Commerce President Frances Rushing who
announced the following:
. Ribbon Cutting on Thursday, January 22, 2009 at 10:30 am for the Tangled Web Group,
215 FM 78, Suite 200.
. Chamber Luncheon Friday, January 29,2009 Senator Wentworth will be the speaker.
Mayor Baldwin recognized Robert Brockman, 1000 Elbel, who addressed the council regarding
the three traffic signals on Elbel Road.
Mayor Baldwin recognized EDC Chair Steve White who thanked the Mayor, Councilmember
Fowler and Assistant City Manager David Harris for attending their recent EDC retreat. He
discussed this was an excellent meeting to regain focus on the priorities of the Economic
Development Corporation.
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January 20, 2009
INTRODUCTIONS
. Introductions of new employees: (Public Works)
Mayor Baldwin recognized Doug Ledbetter, Street Supervisor, who introduced Marshall
Phillips and Dillon Rowell who have joined the Street Department.
Discussion and/or Action Items
1. Minutes - Discussion and/or action regarding the approval of the minutes of the Regular
Meeting of January 13,2009.
Mayor Baldwin recognized Councilmember Trayhan who moved, seconded by
Councilmember Scagliola to approve the minutes of January 13, 2009. Vote was
unanimous. Motion Carried
2. Presentation and Bid A ward for Phase II and III Recreation Center -
Presentation/discussion and/or action regarding the approval of awarding bid for Phase II
and Phase II Recreation Center. (G. Logan/K. Lewinski)
Mayor Baldwin recognized Parks Director George Logan, Purchasing Manager Kim
Lewinski and David Dorrough, Construction Consultant, who introduced this item
answering questions from Council. It was stated that the City of Schertz Recreational
Center Development "Team" is comprised of Kell Munoz Architects and Associates,
Everyday Construction, The YMCA of Greater San Antonio, Leonard Truitt, Kim
Lewinski and George Logan. This "Team" has been reviewing each phase of the work
regarding bidding, construction and development of the Recreation Center Complex.
The City of Schertz received bids from 32 local subcontractors for the Recreational Center
Project Phase II and III. The "Team" reviewed bids for the following scope of work.
These bids were reviewed and are recommended by the "Team" for approval in the amount
of$890,331.33. Staff recommends bid awards for the following:
Division 2 Maldonado Nursery & Landscaping Inc. $146,946.00
Division 4 Tarrillion Masonry $ 90,800.00
Division 7 BrinkMann Roofing Company $245,591.00
Division 9 Allegience Floors $118,635.52
Division 9 F.A. McComas, Inc. $ 99,950.00
Division 10 Klinger Specialties Direct $ 35,311.00
Division 10 Alamo Blinds, Shades & Shutters $ 35,333.81
Division 10 Texas Lock & Door Closer, Inc. $ 16,328.00
Division 11 Key Group Co $ 28,436.00
Division 11 Outdoor Excape $ 73,000.00
$890,331.33
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January 20, 2009
The "Team" further recommended that City Council reject the identified Division 3,
Division 5, Division 7, Division 8 and Division 9 bids. These bids were reviewed and are
not recommended by the "Team" for approval in the amount of $1,151,017.00 due to
falling local market pricing (labor and materials) and shipping of the above materials. The
"Team" anticipates a 20% to 30% decrease in the cost ofthese materials.
Mayor Baldwin recognized Councilmember Carpenter who moved, seconded by
Councilmember Trayhan to accept the bids in the amount of $890,331.33 as defined and
outlined by staff in their presentation and reject bids in the amount of$1,151,017.00 again
as defined and outlined by staff in their presentation. Vote was unanimous. Motion
Carried
Mayor Baldwin moved to Agenda Item 7.
7. Ordinance No. 09-H-03 - Discussion and/or action amending Chapter 54 of the Code of
Ordinances Nuisances and replacing Ordinance No. 08-H-16. First Reading (S. O'Brien)
Mayor Baldwin recognized City Marshal Beverly Todd and Health & Code Inspector
Shanna O'Brien, who introduced this item stating the existing Nuisance Ordinance needed
revisions to meet with current State requirements, clarify the language in the current City
Ordinance and to transition duties to the Marshal's Office. Ms. O'Brien went over the
proposed changes. Council discussed the following changes that would need to be made
for final reading:
. Section 54-2 (a) to add "The Code Official is a member of the City Marshal's
Department, which shall have overall enforcement authority as to this Chapter."
. Section 54-6 (d) to add "Final Notice - In the notice, the City may inform the owner by
certified mail, return receipt requested, that if the owner commits another violation of
the same kind or nature on or before the first anniversary of the date of the notice, the
City, without further notice, may issue a citation, correct the violation at the owner's
expense, and assess the expense against the property. If the violation covered by a
notice under this Chapter occurs within the one-year period following issuance of the
notice, and the City has not been informed in writing by the owner of an ownership
change, then the City without notice may take any action permitted by Sec. 54-8 and
assess its expense as provided in Sec. 54-9 and 54-10 or Sec. 54-12.
. Section 54-14 (a) reword to include "tape recorder, cassette player, compact disk
player, DVD player, MP3 player, or any similar device"
. Section 54-14, (h) to add "unoccupied structures" to working on Sundays by
Contractors.
. Add Section 54-17 "Section 54-17. International Building Code Adopted.
The International Building Code, 2006 edition, as amended. Revised and corrected,
including all future editions, revisions, amendments and corrections, published by the
International Code Council (ICC), one copy of which is on file with the City Secretary, is
hereby adopted and incorporated by reference as the Building Code of the City, subject to
and including by reference such amendments as herein shall appear.
.
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January 20, 2009
. Section 54-20, (d) (1) to read... "two members from Planning and Zoning and one
member from Board of Adjustments".
. Section 54-24, (2) to include a "Grandfather Clause" and register RV with Marshal's
Office.
. Section 54-28, (c) remove word "stored" and add "outside of structure".
Mayor Baldwin recognized Councilmember Carpenter who moved, seconded by
Councilmember Scagliola to approve Ordinance No. 09-H-03 first reading with changes
noted by staff. Vote was unanimous. Motion Carried
3. Micro chipping Animals - Discussion and/or regarding the cost and process for micro
chipping animals in the City of Schertz. (G. Logan/C. Lewis)
Mayor Baldwin recognized Parks & Recreation Director George Logan who introduced
Animal Control Supervisor Chris Lewis who gave a brief Power Point presentation
answering questions from Council. Mr. Lewis stated that the City of Schertz Department
of Parks Recreation and Community Services have recently undertaken and reviewed the
mandatory microchipping of all animals within the City of Schertz. Microchipping is not
new for animals within the City of Schertz. The City has been microchipping on a
voluntary basis since 2005 and since that time, only 3,094 animals have been microchipped
at the shelter. Industry standards of microchipping apply throughout the United States.
Cities, towns and municipalities that have mandatory microchipping see return to owner
redemption rates go up considerably, thus easing owner stress due to lost pets. About
ninety percent of animals found with microchips are returned the same day. Costs for
shelters that have mandatory microchipping decrease due to the lower cost of labor for
boarding and cleaning after the animal. Cost for boarding a dog and/or cat at the City of
Schertz Animal Shelter are as follows:
DOG: CAT:
1-3 Day Stay = $221.19 1-3 Day Stay = $232.71
1 Month Stay = $701.25 1 Month Stay = $712.77
Mandatory microchipping of all animals will save labor, food, supplies, medications, and
other inventory items and decrease the time of return of the animals to their owners. Fiscal
impact would be an approximate $30,000 savings over a year in reduced labor, supplies
and boarding. The Animal Services recommends that mandatory microchipping be placed
on a future City Council agenda for review and approval.
Mr. Lewis and staff recommend approval and stated they will be bringing an action item
back to Council on a future agenda to address Council's budget concerns, Council
concurred. No action taken.
4. Dog Park Survey - Discussion and/or action regarding the survey results on a Dog Park.
(G. Logan/C. Lewis)
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January 20, 2009
Mayor Baldwin recognized Parks & Recreation Director George Logan, who introduced
Animal Control Supervisor Chris Lewis who gave a brief Power Point presentation
answering questions from Council. He stated that the City of Schertz Department of Parks
Recreation and Community Services have recently completed with the assistance of the
Media Relations Department and the Director of Emergency Services, a six month survey
on our City Webpage. This survey asked for input regarding the possible development of a
Dog Park for the citizens of the City of Schertz.
The Survey results, from those who completed the survey, pointed overwhelmingly to the
affirmative that the City of Schertz should fund, plan, design, develop, construct and
maintain a dog park for the citizens of Schertz. The survey results and the possible
development of the Dog Park have been reviewed by the Parks and Recreation Advisory
Board. The Parks and Recreation and Advisory Board recommended unanimously in favor
of the funding and development of the proposed Dog Park to the City Council. Staff will
bring back an item later in the year to discuss further, Council concurred. No action taken.
Mayor Baldwin moved to Agenda Item 6
6. Resolution No. 09-R-02 - Discussion and/or action approving a resolution for a
Infrastructure Development Agreement between Eye Care Centers of America Inc., and the
City of Schertz Economic Development Corporation in the amount of $60,000. (1. Jewell)
Mayor Baldwin recognized Economic Development Director George Antuna who
introduced this item stating Eye Care Centers of America (ECCA) operates or manages
over 400 optical retail stores in 37 states and the District of Columbia through 11 store
names that are leaders in eye care service in each of their respective markets. They are the
operators of stores such as EyeMasters and Visionworks. The company has operated a
40,000 sq. ft. production lab and distribution center in the City of Schertz since 1998. In
July 2008, ECCA approached the City of Schertz about the possibility of expanding its
operation into a 108,000 square foot facility in the City of Schertz. The expansion would
require ECCA to invest an additional $11,500,000 million in fully-automated machinery
and equipment and expand its employment of full-time associates to nearly 360 people.
When completed, the new facility will be a state of the art, fully-automated facility capable
of producing over 1.5 million pairs of eyewear per year. It will be equipped with a state of
the art "clean room" that will allow ECCA to produce quality non-glare coatings. The lab
will be populated with robotic equipment and a total capital investment over $11 million.
Starting in 2009, the company will install $8.330 million worth of fixed machinery and
equipment. In 2010, it will make an additional $3.2 million installation of machinery. This
particular building has been 80% unoccupied since it was built 2 years ago. It is technically
in Comal (80%) and Guadalupe (20%) counties and has a 53.3% abatement on the
Guadalupe County portion (in effect, a 10% abatement on the property because only
Guadalupe County honors the tax abatement).
The EDC Board of Directors voted to pay a portion ($60,000) of the infrastructure costs at
the site and recommended a Chapter 380 agreement between the City of Schertz and ECCA
to abate 50% of the business personal property tax for five years. Once an agreement was
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January 20, 2009
struck in principle, ECCA began its move and expansion into the new building at 6601
Guada Coma Drive.
ECCA has completed the move of its distribution operation, but a substantial amount of
tenant upgrades and finish out is required to move its production operation into the new
building. The $60,000 will be delivered to ECCA to assist with a portion of the estimated
$5 million tenant upgrades to the building.
This agreement is the first of two that were negotiated and agreed upon between the EDC
and ECCA. The other agreement is still being finalized, but will include a Chapter 380
agreement to abate 50% of the business personal property taxes on the new equipment.
The fiscal impact would be $60,000 to be paid by the City of Schertz Economic
Development Corporation. Mr. Antuna stated that staff and the Economic Development
Corporation recommend approval of Resolution 09-R-02 approving an Infrastructure
Development Agreement between the EDC and ECCA.
Mayor Baldwin recognized Councilmember Scagliola who moved, seconded by
Councilmember Wilenchik to approve Resolution No. 09-R-02 Infrastructure development
Agreement between Eye Care Centers of America Inc., and the City of Schertz Economic
Development Corporation in the amount of $60.000. Vote was unanimous. Motion
Carried
5. Ordinance No. 09-T-02 - Discussion and/or action approving Ordinance No. 09-T-02 and
adopting the revised City of Schertz Economic Development Incentives Policy. First
Reading (J. Jewell)
. Mayor Baldwin recognized Economic Development Specialist Jeff Jewell who introduced
this item answering questions from Council. Mr. Jewell stated that in September 2006, the
City adopted a "380 Program" to assist in economic development in the City. City staff
recommends repeal of the 380 Program and- implementation of a new City of Schertz
Economic Development Incentives Policy. The economic development incentives policy
and matrices are the result of the work of the incentives subcommittee.
The purpose of offering economic development incentives is two fold: 1) to increase
private investment; and 2) to provide quality jobs in the community. The policy attempts
to do this by providing a formal framework staff can utilize to analyze, discuss and
negotiate incentives with business prospects. The policy reflects the City's priorities as
determined by the Incentives Policy Committee. The Committee met through the months
of August and September and involved representatives from City Council, the EDC Board,
City Management, and Economic Development Staff. The policy combines guidelines and
criteria for Chapter 380 agreements (exclusively the City's domain) and for incentives as
governed by the Development Corporation Act of 1979 (EDC incentives). The goals of the
policy were to:
~ Define economic development in Schertz
~ Guide decision-making regarding how public investments are made
~ Generate private investment in Schertz that benefits all residents
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The policy states that the amount of local incentives offered to developers and/or companies
should ultimately be based on the projected increases in the value and size of the local
workforce, real property, business and personal property and other forms of revenue that inure
to the local taxing entities. Perhaps the greatest change the policy makes is to explicitly state
eligibility and evaluation criteria. Principally, the company contracting with the EDC or City
of Schertz must:
~ Have a profitable operating history; and
~ Propose to create and maintain jobs that are at or above the Alamo Area regional
average wage rate for the industry sector according to Labor Market and Career
Information from the Texas Workforce Commission; and
~ Conform to community character, zoning ordinances, building codes and other
applicable City ordinances.
The application for incentives is requires the much of the same information banks require
when businesses or individuals request financing. The idea behind the more robust
application was that if businesses or individuals request that the City of Schertz make an
investment in a project, they should be subject to the same kinds of scrutiny typically done
. by banks when lending money.
When a company's project will likely increase the average household income in the City of
Schertz, increase the number of jobs offered at these income levels, result in real property
valuation increases, or serve a particular niche for the City's residents, incentives will be
considered. The level of incentives offered is determined on a case-by-case basis only.
This provides for the most flexibility in structuring deals and can provide the best solution
for the private and public partners.
The scoring rubrics for new and existing businesses are designed to help staff determine
worthwhile projects by attaching a quantitative value to the attributes deemed most
important by the committee. It is a scoring template that attempts to quantify the quality of
a company's proposed jobs (40% of total score), investment (30%), business activities or
sector (20%), and public improvements (10%). Staff ran a series of tests on the rubric by
completing it with the information collected from BRE visits and previous incentive
applications. The tested projects received the following out of 1000 possible points, with
50 bonus points offered for a LEED-certified building. Mr. Jewell stated that staff and the
Economic Development Corporation recommend approval of first reading.
Mayor Baldwin reco gnized Councilmember Fowler who moved, seconded by
Councilmember Trayhan to approve Ordinance No. 09-T-02 first reading. Vote was
unanimous. Motion Carried
BOARDS/COMMISSIONS
8. Appointment/Reappointment to Boards and Commissions/Committees -
Consideration and/or action regarding appointments/reappointments to Boards and
Commission/Committees.
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January 20, 2009
. Michael Goos - Alternate TSAC
Mayor Baldwin recognized Councilmember Scagliola who moved, seconded by
Councilmember Trayhan to approve the appointment of Michael Goos as alternate member
to the Transportation Safety Advisory Commission (TSAC). Vote was unanimous. Motion
Carried
ReQuests and Announcements
9. Requests by Mayor and Councilmembers that items be placed on a future City Council
agenda.
Mayor Baldwin recognized Councilmember Wilenchik who stated he received a call from
Mr. Mark Roberts owner of Schertz Auto Service and wanted to know if he could come to
the Council and report on the success of his electronic sign and what it has done for his
business. Mayor and Council concurred. Councilmember Wilenchik also asked if someone
from staff could contact Mr. Roberts regarding the availability to come before Council.
10. Requests by Mayor and Councilmembers to City Manager and Staff for information
"-
Mayor Baldwin recognized Councilmember Scagliola who asked if staff could replace the
Festival of Angles banners on Schertz Parkway. Staff stated that new signs had been
ordered and would be replaced accordingly.
11. Announcements by Mayor and Councilmembers
. City and community events attended and to be attended
. City Council Committee and Liaison Assignments (see assignments below)
. Continuing education events attended and to be attended
. Recognition of actions by City employees
. Recognition of actions by community volunteers
Mayor Baldwin recognized Councilmember Fowler who stated that he and the Mayor
attended the EDC training workshop this past weekend and it was very informative.
Mayor Baldwin recognized Councilmember Scagliola who stated that he is the point of
contact for the Council and Tony McFalls is the staff point of contact. He stated they
recently attended the Census 2010 kickoff meeting in San Antonio. Councilmember
Scagliola stated there are several jobs available with the bureau as well.
Mayor Baldwin recognized Councilmember Wilenchik who announced he recently
attended the Alamo Area Council of Governments meeting regarding economIC
development recovery and recommended approval of a park for Kendall County, but more
important talked about money coming available through the Stimulus Act for both
economic development program and community development block grants. There was a
conversation recently with Congressman Cuellar regarding this and the City Manager will
be briefing the Council under their reports.
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January 20, 2009
Mayor Baldwin stated that he also attended the recent EDC retreat and expressed how
timely this retreat was especially in regards to the comments given this evening regarding
retention of business in the city, i.e. the Eye Care Center expansion. Mayor Baldwin also
stated tomorrow in Seguin at the County Commissioners Office is another Guadalupe
County census meeting. Mayor also announced that tomorrow at 2:00 p.m. in Seguin is the
ground breaking of the Caterpillar Corporation and he will be in attendance and
encouraged other staff members to be present as well.
12. Announcements by City Manager
. Recognition of City employee actions
. New Departmental initiatives
. Upcoming City Council agenda items
Mayor Baldwin recognized Assistant City Manager John Bierschwale who announced last
week they had a conversation with Congressman Cuellar office along with several other
counties in his district regarding coming up with a list of ready to move dirt projects to
submit for the American Recovery and Reinvestment Bill of 2009. Mr. Bierschwale
recognized Assistant City Manager David Harris who provided a list of Water, Sewer,
Roads, Highway, Parks projects in the amount of $710,000,000 to Council which will be
submitted to Cuellar's office this week.
ADJOURNMENT
As there was no further action, Mayor Baldwin adjourned. /e meeting at 9:15 p.m.
aWg~~
Hal Baldwin, Mayor
ATTEST:
-
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January 20, 2009