01-26-2010 Agenda
SCHERTZ CITY COUNCIL
REGULAR SESSION
MUNICIPAL COMPLEX COUNCIL CHAMBERS
1400 SCHERTZ PARKWAY BUILDING #4
SCHERTZ, TEXAS 78154
AGENDA
TUESDAY, JANUARY 26, 2010 AT 6:30 P.M.
REGULAR SESSION
Call to Order
Invocation and Pledges of Allegiance to the Flags of the United States and State of
Texas.
PRESENTATION
SchertzFest 2009 Financial report and update and report on upcoming 2010 Special
Events.(J. Bierschwale/C. Raleigh)
Hearing of Residents
This time is set-aside for any person who wishes to address the City Council. Each person
should fill out the speaker?s register prior to the meeting. Presentations should be limited
to no more than 5 minutes. Discussion by the Council of any item not on the agenda shall
be limited to statements of specific factual information given in response to any inquiry, a
recitation of existing policy in response to an inquiry, and/or a proposal to place the item
on a future agenda. The presiding officer, during the Hearing of Residents portion of the
agenda, will call on those persons who have signed up to speak in the order they have
registered.
Discussion and/or Action Items
Presentation on City Projects
1.? Presentation and consideration and/or action
regarding the City Project Update and Status Report. (L. Dublin)
Minutes
2.- Consideration and/or action regarding the approval of the minutes of the
Regular Meeting of January 19, 2010.
Resolution No. 10-R-05
3.? Consideration and/or action approving a resolution
authorizing a directed energy study letter agreement with McKinstry Essention,
Inc.,and other matters in connection therewith. (M. Spain/G. Logan)
EXECUTIVE SESSION
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Called under Section 551.071 Texas Government Code Litigation, pending litigation;
Section 551.072 Texas Government Code - Deliberation regarding the purchase,
exchange, sale, lease, or value of real property.
RECONVENE TO REGULAR SESSION
4. Take any actiondeemed necessary as a result of the Executive Session.
Requests and Announcements
5. Requests by Mayor and Councilmembers that items be placed on a future City
Council agenda.
6. Requests by Mayor and Councilmembers to City Manager and Staff for information.
7. 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
Upcoming City Council agenda items
8. Announcements by City Manager
Recognition of City employee actions
New Departmental initiatives
Adjournment
CERTIFICATION
I, BRENDA DENNIS, CITY SECRETARY OF THE CITY OF SCHERTZ, TEXAS, DO HEREBY CERTIFY
THAT THE ABOVE AGENDA WAS POSTED ON THE OFFICIAL BULLETIN BOARDS ON THIS THE
st
21 DAY OF JANUARY 2010 AT 12:00 P.M., WHICH IS A PLACE READILY ACCESSIBLE TO THE
PUBLIC AT ALL TIMES AND THAT SAID NOTICE WAS POSTED IN ACCORDANCE WITH
CHAPTER 551, TEXAS GOVERNMENT CODE.
ûËØÏÙÜ ùØÏÏÔÊ
BRENDA DENNIS, TRMC, CMC CITY SECRETARY
I CERTIFY THAT THE ATTACHED NOTICE AND AGENDA OF ITEMS TO BE CONSIDERED BY THE
CITY COUNCIL WAS REMOVED BY ME FROM THE OFFICIAL BULLETIN BOARD ON _____DAY OF
_______________, 2010. ____________________________Title:__________________________
This facility is accessible in accordance with the Americans with Disabilities Act. Handicapped parking spaces are
available. If you require special assistance or have a request for sign interpretative services or other services please
call 619-1030 at least 24 hours in advance of meeting.
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COUNCIL COMMITTEE AND LIAISON ASSIGNMENTS
Mayor BaldwinTBA
Interview Board for Boards and Commissions Investment Advisory Committee
Investment Advisory Committee Audit Committee
ASA Commuter Rail District Board Interview Board for Boards and Commissions
Councilmember FowlerCouncilmember Carpenter
Interview Board for Boards and Commissions TIRZ II Board
Hal Baldwin Scholarship Committee
Mayor Pro- Tem ScagliolaCouncilmember Trayhan
Animal Control Advisory Committee Audit Committee
Interview Board for Boards and Commissions Hal Baldwin Scholarship Committee
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Agenda No. 1
CITY COUNCIL MEMORANDUM
City Council Meeting: January 26, 2009
Department: Engineering
Subject:City Project Update
BACKGROUND
City Engineer Larry Dublin will provide a PowerPoint briefing regarding all City Projects.
FISCAL IMPACT
Agenda No. 2
CITY COUNCIL MEMORANDUM
City Council Meeting: January 26, 2009
Department: City Secretary
Subject: Minutes
BACKGROUND
On January 19, 2010 a Regular City Council Meeting was held at the Municipal Complex
Council Chambers at 6:30 p.m., 1400 Schertz Parkway Building #4.
FISCAL IMPACT
None
RECOMMENDATION
Staff recommends Council approval of the January 19, 2010 minutes.
ATTACHMENT
Minutes 01-19-2010
MINUTES
REGULAR MEETING
January 19, 2010
A Regular Meeting was held by the Schertz City Council of the City of Schertz, Texas, on
January 19, 2010 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-Tem David Scagliola
Councilmember Jim Fowler Councilmember John Trayhan
Staff Present: City Manager Don Taylor Assistant City Manager John Bierschwale
Assistant City Manager David Harris City Secretary Brenda Dennis
Councilmember Michael Carpenter absent.
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.
Mayor Baldwin introduced Schertz-Cibolo-Universal City Independent School District
Board Trustee Scott Harrod who introduced Dr. Greg Gibson the new Superintendent of
the Schertz-Cibolo-Universal City Independent School District who came forward and
thanked everyone for the opportunity of serving the communities of Schertz, Cibolo and
Universal City. Mayor Baldwin also recognized Board Member Mr. Gary Inmon who was
also in the audience.
EMPLOYEE INTRODUCTIONS/RECOGNITION
Introductions of new employees: (Development Services, Library, Police
Department)
Mayor Baldwin recognized Michele Sanchez Director of Development Services
who introduced new Permit Technician Debbie Krause.
Mayor Baldwin recognized Library Director Gail Douglas and Library Manager
Melissa Uhlhorn who introduced new Youth Services Librarian April Toman.
Mayor Baldwin recognized Police Chief Steve Starr who introduced the following:
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-Maria Heaton ? Office Manager, Hillory Mulgrew ? Patrol Officer and
Benito Garcia ? Communications Officer
Employee Recognition of accomplishment (City Secretary Office)
Mayor Baldwin recognized City Secretary Brenda Dennis who briefly explained the
Texas Registered Municipal Clerks Certification Program and introduced Deputy
City Secretary Mary Ybarra. Mayor Baldwin presented Mary Ybarra with an
airflyte acrylic award recognizing her accomplishment in receiving her certification.
Mary introduced members of her family who were present.
PRESENTATIONS
YMCA Presentation and discussion regarding Recreation Center Marketing and
Business Plan (G. Logan to introduce YMCA Executives)
Mayor Baldwin recognized Parks and Recreation Director George Logan who
introduced Mr. Baron Herdelin-Doherty, CEO who introduced the following: Jill
Trammell COO, Joe Bueno VP of Corporate Development, Amanda Gangawer
Association Membership Development and Fredy Degollado, New Braunfels
YMCA Executive Director. Mr. Herdelin-Doherty provided a brief PowerPoint
presentation regarding the Recreation Center Marketing and Business Plan
answering questions from Council.
HEARING OF RESIDENTS
No one spoke.
Discussion and/or Action Items
Minutes
1. - Consideration and/or action regarding the approval of the minutes of the
Regular Meeting of January 12, 2010.
Mayor Baldwin recognized Councilmember Fowler who moved, seconded by
Mayor Pro-Tem Scagliola to approve the minutes of the regular meeting of January
12, 2010 with the correction of deleting the word ?be? in the last paragraph before
Vote was unanimous.Motion Carried.
adjournment.
Pickrell Park Improvement Project
2. ? Consideration and/or action approving the
Pickrell Park Improvement Project. (G. Logan/L. Dublin)
Mayor Baldwin introduced Park and Recreation Director George Logan who
introduced this item answering questions from Council. Mr. Logan stated that action
requested of Council approves the Pickrell Park Improvement Project to include two
additional small pavilions, ornamental fencing completion along Oak Street and Aero
Street, restroom improvements, masonry renovation, upgrades to the Pool Bath House
and all public restrooms located within the park. The Project is projected to be
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completed by March 1, 2010. Fiscal impact of $250,000 paid from the Economic
Development Corporation.
Mayor Baldwin recognized Councilmember Trayhan who moved, seconded by
Vote was
Councilmember Fowler to approve the Pickrell Park Improvement Project.
unanimous. Motion carried.
Resolution No. 10-R-04 ?
3.Discussion and/or action approving a resolution calling a
General/Special Joint Election with the City of Cibolo and Schertz- Cibolo-Universal
City Independent School District (SCUCISD) and Cibolo Creek Municipal Authority
to be held on May 8, 2010 for the purpose of electing the Mayor and
Councilmembers for Place 1, Place 2 and for the unexpired one-year term of
Councilmember Place 4 for said City; making provision for the conduct of a joint
election;contracting with the Elections Administrator of Guadalupe County to
conduct this election. (B. Dennis/M. Spain)
Mayor Baldwin recognized City Secretary Brenda Dennis who introduced this item
stating that action requested of Council approves the May 8, 2010 General/Special
Joint Election between the City of Schertz, the City of Cibolo and Schertz Cibolo
Universal City ISD as well as contracting the election through the Elections
Administrator of Guadalupe County.
Mayor Baldwin recognized Councilmember Fowler who moved, seconded by
Vote was unanimous.
Councilmember Trayhan to approve Resolution No. 10-R-04.
Motion carried.
Appointment/reappointment of a member to the Lone Star District (Formerly
4.
Austin-San Antonio Intermunicipal Commuter Rail District)
- Consideration
and/or action regarding approval of the appointment/reappointment of the City of
Schertz appointment to the Lone Star District Board of Directors. (Mayor/Council)
Mayor Baldwin stated that action would allow the Council to reappoint him to the
Lone Star District board for a term to expire February 2012.
Mayor Baldwin recognized Mayor Pro-Tem Scagliola who moved, seconded by
Councilmember Trayhan to reappoint Mayor Hal Baldwin to the Lone Star District
Vote was unanimous. Motion carried.
Board of Directors.
Bid #09-IT-50-E/F-01
5. - In-Car Camera/Video System ? Consideration and/or
action awarding a bid for In-Car Camera/Video System to L3 Communications /
Mobile-Vision, Inc., in the amount of $154,465.60 and awarding a bid for
upgrading the existing camera system in Police Department Holding Facility to
Lan-Comm Technologies Inc., in the amount of $10,527.00. (M. Clauser)
Mayor Baldwin recognized IT Director Myles Clauser who introduced this item
stating that action requested of Council awards bid to L3 Communications/Mobile-
Vision, Inc., for replacement of in-vehicle cameras for the Police Department in the
amount of $154,465 with a refund from Motorola for the existing system in the
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amount of $118,645. Net fiscal impact of $35,811 to be paid for by a Byrnes JAG
grant from the US Department of Justice for technology purchases. Action also
allows the Council to approve the replacement of 32 Port DVR with hardware and
installation. The fiscal impact of this project is $10,527, and stated that this was an
unbudgeted expense, which will be paid for from the Information Technology budget.
Mayor Baldwin recognized Councilmember Trayhan who moved, seconded by
Councilmember Fowler to award a bid for in-vehicle cameras to L3
Communications / Mobile-Vision, Inc., in the amount of $154,465.60 and award a
bid for upgrading the existing camera system in Police Department Holding Facility
Vote was
to Lan-Comm Technologies Inc., in the amount of $10,527.00.
unanimous. Motion carried.
EXECUTIVE SESSION
Called under Section 551.071 Texas Government Code Litigation, pending litigation;
Section 551.072 Texas Government Code - Deliberation regarding the purchase,
exchange, sale, lease, or value of real property Section 551.087 Deliberation regarding
Economic Development Negotiations.
Section 551.074Deliberate the appointment, employment, evaluation,
?
Called Under
reassignment, duties, discipline or dismissal of the City Secretary.
Council did not meet in executive session. Mayor Baldwin stated that the Council had
met in Executive Session on January 5, 2010 regarding the evaluation of the City
Secretary; therefore, it was not necessary to meet again.
RECONVENE TO REGULAR SESSION
6. Take any actiondeemed necessary as a result of the Executive Session.
Mayor Baldwin recognized Councilmember Trayhan who moved, seconded by
Mayor Pro-Tem Scagliola that Pursuant to executive session on January 5, 2010 and
based upon the evaluation of the City Secretary to increase her pay by 2% effective
Vote was unanimous. Motion carried.
January 1, 2010.
Requests and Announcements
7. Requests by Mayor and Councilmembers that items be placed on a future City
Council agenda.
No requests given.
8. Requests by Mayor and Councilmembers to City Manager and Staff for
information.
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Mayor Baldwin recognized Councilmember Fowler who asked staff to bring an
update on the Chelsea Road Project. City Engineer Larry Dublin stated that he
would be bringing information to Council next week on all the city projects.
9. 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
Upcoming City Council agenda items
Mayor Baldwin recognized Mayor Pro-Tem Scagliola who congratulated Mary
Ybarra on her Texas Registered Municipal Clerks certificate. Mayor Pro-Tem
Scagliola also stated that on February 19, 2010 the Schertz Human Society would
be hosting a Casino Night at the Civic Center.
10. Announcements by City Manager
Recognition of City employee actions
New Departmental initiatives
Mayor Baldwin recognized Assistant City Manager John Bierschwale who announced
that on February 3, 2010 at 6:30 p.m. at the Community Center the Blue Ribbon
Committee would be hosting another meeting and encouraged participants.
ADJOURNMENT
As there was no further action, Mayor Baldwin adjourned the meeting at 7:25 p.m.
___________________________________
Hal Baldwin, Mayor
ATTEST:
______________________________________
Brenda Dennis, TRMC, CMC City Secretary
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Agenda No. 3
CITY COUNCIL MEMORANDUM
City Council Meeting: January 26, 2010
Department: Parks, Recreation, & Community Service
Subject: Resolution No.10-R-05 - Directed Energy
Study Letter Agreement
BACKGROUND
City staff recommends entering into a letter agreement with McKinstry Essention, Inc.
(?McKinstry?) under which McKinstry will conduct a directed energy study for the City and will
develop a comprehensive energy services proposal for selected initiatives. Several points need to
be clarified (shown in the agreement in bold and brackets) before the agreement is final.
FISCAL IMPACT
$35,000
RECOMMENDATION
Adoption of Resolution No. 10-R-05
ATTACHMENT
Resolution No. 10-R-05, with Directed Energy Study letter agreement attached
50291000.1
RESOLUTION NO. 10-R-05
A RESOLUTION BY THE CITY COUNCIL OF THE CITY OF
SCHERTZ, TEXAS AUTHORIZING A DIRECTED ENERGY STUDY
LETTER AGREEMENT WITH MCKINSTRY ESSENTION, INC., AND
OTHER MATTERS IN CONNECTION THEREWITH
WHEREAS, the City Council has determined that it is in the best interest of the City to
contract with McKinstry Essention, Inc. (?McKinstry?) pursuant to the Directed Energy Study
letter agreement attached hereto as Exhibit A (the ?Agreement?) under which McKinstry will
conduct a directed energy study for the City of Schertz and will develop a comprehensive energy
services proposal for selected initiatives.
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS
THAT:
Section 1.The City Council hereby authorizes the City Manager to execute and
deliver the Agreement with McKinstry in substantially the form set forth on Exhibit A.
Section 2.The recitals contained in the preamble hereof are hereby found to be true,
and such recitals are hereby made a part of this Resolution for all purposes and are adopted as a
part of the judgment and findings of the City Council.
Section 3.All resolutions, or parts thereof, which are in conflict or inconsistent with
any provision of this Resolution are hereby repealed to the extent of such conflict, and the
provisions of this Resolution shall be and remain controlling as to the matters resolved herein.
Section 4.This Resolution shall be construed and enforced in accordance with the
laws of the State of Texas and the United States of America.
Section 5.If any provision of this Resolution or the application thereof to any person
or circumstance shall be held to be invalid, the remainder of this Resolution and the application
of such provision to other persons and circumstances shall nevertheless be valid, and the City
Council hereby declares that this Resolution would have been enacted without such invalid
provision.
Section 6.It is officially found, determined, and declared that the meeting at which
this Resolution is adopted was open to the public and public notice of the time, place, and subject
matter of the public business to be considered at such meeting, including this Resolution, was
given, all as required by Chapter 551, Texas Government Code, as amended.
Section 7.This Resolution shall be in force and effect from and after its final
passage, and it is so resolved.
50291003.1
PASSED AND ADOPTED, this 26th day of January, 2010.
CITY OF SCHERTZ, TEXAS
Mayor
ATTEST:
City Secretary
(CITY SEAL)
50291003.1
EXHIBIT A
DIRECTED ENERGY STUDY LETTER AGREEMENT
A-1
50291003.1
Directed Energy Study Proposal
January 26, 2010
The City of Schertz
1400 Schertz Parkway
Schertz, Texas 78154
Attention: Don Taylor, City Manager
ES?CS
Subject: D
IRECTED NERGYTUDY ITY OF CHERTZ
Dear Customer:
The City of Schertz (the ?City?) is interested in improving the infrastructure of its existing
facilities through a performance-based contract with McKinstry Essention, Inc. (?McKinstry?).
This letter agreement will provide the guidelines for which McKinstry will provide the following
tasks:
1.Conduct a Directed Energy Study for the City.
2.Develop a comprehensive Energy Services Proposal for selected initiatives.
The target facilities to be studied are located in Attachment C, located at the end of this letter
agreement.
AP
CTIONS TO BE ERFORMED
McKinstry will complete the following action leading to implementation of performance-
based initiatives:
Directed Energy Study (?DES?): The DES will identify and analyze performance-based
contracting measures along with their associated savings, costs, and potential for utility
rebates. McKinstry shall work closely with the local utilities to secure any applicable rebates
that may be available to the City. The end result of the DES shall be an Energy Services
Proposal for implementation of viable initiatives with associated energy cost savings and
payback information. The deliverables associated with the energy service proposal can be
The City will reimburse McKinstry for its time and expenses at a
found in Attachment A
cost not to exceed$35,000.00for (i) conducting the DES based on the Criteria for
Implementation paragraph below, and (ii) developing an Energy Services Proposal for
selected initiatives.
[INSERT ENERGY SAVINGS GUARANTEE BY MCKINSTRY.]
I
R
EQUESTED NFORMATION
For effective execution of this letter agreement we ask that the City provide access to the
following for each facility:
Historical utility bills for the last 24 months.
2364 Logan?s Way, Blanco, Tx 78606 Tel: (830) 833-5080 Fax: (206) 832-8585
Page 2
All mechanical, electrical, architectural, and structural drawings.
All operational and maintenance manuals, balancing records, and specifications.
Operational records related to the cost of maintaining specific equipment.
Information with regards to any on-going maintenance contracts.
Access to individuals that have relevant information pertaining to the day-to-day
operation of energy using systems on site.
C
RITERIA FOR IMPLEMENTATION
It is the City?s intent that McKinstry will implement [DISCUSS] all approved projects that meet
the following criteria:
Aggregate payback for the work shall be equal to or less than the term to be funded not
to exceed 15 years. Savings will include electricity and hard-cost operational savings
including material and labor cost savings.
The City is willing to finance the project over a term not to exceed 15 years.
Not more than 100% of the Energy Cost Savings may be used to repay the loan
The City?s cash flow including savings, utility contributions, monitoring, cost of ECM?s
[WHAT DOES ?ECM? MEAN?], and debt service (if used) must be neutral or positive
with respect to the baseline cash flow and based on guaranteed savings over the term
of the agreement not to exceed 15 years.
FBBC
EEILLING ASED ON RITERIA
All fees assessed under this letter agreement for the DES and implementation will be included in
the final implementation costs. In the event that McKinstry is unable to recommend projects
that meet the criteria above, the City has no further financial obligation to McKinstry. However,
if the recommendations meet or exceed the above, and the City chooses not to enter into an
agreement with McKinstry to install the projects, the City will reimburse McKinstry for its time
and expenses for the DES and Detailed Design Engineering [NOT DEFINED]. All associated
information, including deliverables, will become the property of the City upon final receipt of
payment.
M
ILESTONES
McKinstry will initiate this scope of work immediately upon acceptance of this letter agreement.
Formal progress review meetings will be conducted regularly throughout the study phase.
During these review meetings, McKinstry will recommend measures, while the City will provide
final direction regarding recommended measures. The goal of these review meetings is to
focus engineering efforts, budgeting, and savings assessment on those measures that possess a
high probability for implementation. The following are key milestones:
Authorize this letter agreement by the City
Study kick-off meeting with all stakeholders
McKinstry to deliver preliminary findings and analysis
Direction from the City based on McKinstry?s preliminary findings
McKinstry to deliver study and implementation agreement
Independent third party review
Implementation agreement authorized by the City and work started by McKinstry
Page 3
Please see the attached terms and conditions related to this scope of consulting work.
Letter Agreement Authorized by:
City of SchertzMcKinstry
Signature Signature
City Manager
TitleTitle
January , 2010 January , 2010
DateDate
Page 4
TERMSANDCONDITIONS
S
C
ONSULTING ERVICES
McKinstry Essention, Inc. (?McKinstry?) will provide consulting services for the project named
above as an independent consultant to the City of Schertz, Texas (the ?City?) and not as an
employee, partner, or joint venture. The scope of McKinstry?s services shall be as indicated in
its proposal letter dated January 26, 2010.
EThe price for the work is $35,000.00. McKinstry shall submit a
C
OMPENSATION AND XPENSES
final invoice with the delivery of the Directed Energy Study. Payment will be made 30 days
after receipt of invoice unless the City enters into a performance contract as presented within
30 days of presentation in which case the cost of these services will be included within the
performance contract.
T
ERMINATION
Either party may terminate this Letter Agreement by giving ten (10) days written notice to the
other party. In the event of such cancellation, McKinstry shall be entitled to compensation for
serviced rendered to date of cancellation.
I
NDEMNIFICATION
McKinstry specifically agrees to defend, indemnify, and save harmless the City, its officers,
agents, and employees against any and all loss, damage, suits, liability, claims, demands or
costs resulting from injury or harm to persons or property, including claims of McKinstry?s own
employees, arising out of or in any way connected to McKinstry?s performance hereunder. In
the event of concurrent negligence of McKinstry and the City, McKinstry shall be liable only to
the extent of McKinstry?s negligence. McKinstry?s activities shall be deemed to include those of
its officers, employees, agents and sub consultants.
In the event of litigation between the parties to enforce the rights under the above paragraph,
reasonable attorney?s fees shall be allowed to the prevailing party.
McKinstry specifically and expressly waives any immunity under Industrial Insurance, Title 51
RCW, and acknowledges that this waiver was mutually negotiated by the parties herein.
I
NSURANCE
McKinstry shall procure and maintain for a period of the services, through insurance companies
authorized to do business in the State of Texas, the following insurance coverages at the limited
of liability specified for each, with renewable deductibles subject to approval of the City [CITY
RISK MANAGER TO REVIEW]:
1) Commercial General Liability?$2 million per occurrence/$2 million in the aggregate
2) Automobile Liability Insurance?$2 million per accident
3) Workers Compensation?Statutory
4) Professional Liability?$2 million per claim / $1 million in the aggregate
Page 5
McKinstry shall name the City as ?Additional Insured? for coverage (1) and (2). Coverage shall
be primary and non-contributory. McKinstry shall provide the City with Certificates of Insurance
before your work begins.
M
EDIATION
In the event that any dispute arises between the parties concerning this Letter Agreement, such
dispute shall be submitted first to mediation. Pending the outcome of mediation either party
may seek injunctive relief in a court of competent jurisdiction. The prevailing party in any
dispute under this Letter Agreement shall be entitled to recover from the other party or parties
to the dispute all costs, expenses, and reasonable attorneys? fees relating to or arising from the
enforcement or interpretation of, or any litigation or arbitration relating to or arising from a
breach of this Letter Agreement.
WB
AIVER OF REACH
The waiver by any party of a breach of any provision of this Letter Agreement cannot operate
or be construed as a waiver of any subsequent breach by a party.
S
EVERABILITY
If any provision of this Letter Agreement or the application thereof is held invalid or
unenforceable, the invalidity shall not affect the remaining provisions of the Letter Agreement,
which shall be read to give effect to the original intent of the parties.
GL
OVERNINGAW
The laws of the State of Texas shall govern interpretation of this Letter Agreement, and the
parties contractually agree to exclusive and mandatory venue in the district court of Guadalupe
County, Texas.
Page 6
AA:DESD
TTACHMENTIRECTEDNERGY TUDYELIVERABLES
:
The following minimum elements will be included
1. A description of the systems which shall receive Equipment and Services;
2. The cost effective Utility Improvement Measures (UIMs) to be installed or caused to be
installed by McKinstry and a description of the UIMs analyzed but disqualified under the
cost effectiveness criteria;
3. A description of the services that McKinstry will perform or cause to be performed on or
in the facility or departments, including but not limited to engineering, construction
management, the operations and maintenance procedures for use on Equipment,
training for facility personnel, warranty service provided, and equipment maintenance
provided;
4. The Maximum Allowable Project Cost;
5. Estimated Energy and Operational Savings
6. The standards of service appropriate for the utility improvement measure;
7. A description of how the City will finance its acquisition of the Equipment and when title
to the Equipment will pass to the City;
8. A description of how the estimated Operations and Maintenance Cost Savings will be
guaranteed by McKinstry;
9. A description of how the McKinstry proposes to be compensated;
10. The term of the Energy Services Agreement;
11. The schedule for project completion;
Page 7
AB:PCL
TTACHMENTERFORMANCE ONTRACTING EGISLATION
CHAPTER 302. ENERGY SAVINGS PERFORMANCE CONTRACTS FOR LOCAL
GOVERNMENTS
Sec. 302.001. DEFINITIONS. In this chapter:
(1) "Baseline" means a calculation or set of calculations in an
energy savings performance contract that may be based on historical
costs, revenues, accuracy, or related components and used for
determining:
(A) the costs for energy or water usage by a local government
and related net operating costs;
(B) the billable revenues from providing energy, water, or other
utilities to users; or
(C) the efficiency or accuracy of metering or related equipment,
systems, or processes or procedures.
2) "Energy or water conservation or usage measures" means:
(A) the installation or implementation of any of the items,
equipment, modifications, alterations, improvements, systems, and
other measures described by Subdivision (4) that are intended to
provide:
(i) estimated energy savings;
(ii) an estimated increase in billable revenues; or
(iii) an estimated increase in meter accuracy; or
(B) the training for, or services related to, the operation of
the items, equipment, modifications, alterations, improvements,
systems, or other measures described by Paragraph (A).
(3) "Energy savings" means an estimated reduction in net fuel costs,
energy costs, water costs, stormwater fees, other utility costs, or
related net operating costs from or as compared to an established
baseline of those costs. The term does not include an estimated
Page 8
reduction due to a decrease in energy rates that is not derived from
increased conservation or reduced usage.
(4) "Energy savings performance contract" means a contract between a
local government and a provider for energy or water conservation or
usage measures in which the estimated energy savings, increase in
billable revenues, or increase in meter accuracy resulting from the
measures is subject to guarantee to offset the cost of the energy or
water conservation or usage measures over a specified period. The
term includes a contract for the installation or implementation of the
following, including all causally connected work:
(A) insulation of a building structure and systems within the
building;
(B) storm windows or doors, caulking or weather stripping,
multiglazed windows or doors, heat-absorbing or heat-reflective glazed
and coated window or door systems, or other window or door system
modifications that reduce energy consumption;
(C) automatic energy control systems, including computer
software and technical data licenses;
(D) heating, ventilating, or air-conditioning system
modifications or replacements that reduce energy or water consumption;
(E) lighting fixtures that increase energy efficiency;
(F) energy recovery systems;
(G) electric systems improvements;
(H) water-conserving fixtures, appliances, and equipment or the
substitution of non-water-using fixtures, appliances, and equipment;
(I) water-conserving landscape irrigation equipment;
(J) landscaping measures that reduce watering demands and
capture and hold applied water and rainfall, including:
(i) landscape contouring, including the use of berms,
swales, and terraces; and
(ii) the use of soil amendments that increase the water-
holding capacity of the soil, including compost;
Page 9
(K) rainwater harvesting equipment and equipment to make use of
water collected as part of a storm-water system installed for water
quality control;
(L) equipment for recycling or reuse of water originating on the
premises or from other sources, including treated municipal effluent;
(M) equipment needed to capture water from nonconventional,
alternate sources, including air-conditioning condensate or graywater,
for nonpotable uses;
(N) metering or related equipment or systems that improve the
accuracy of billable-revenue-generation systems; or
(O) other energy or water conservation-related improvements or
equipment, including improvements or equipment relating to renewable
energy or nonconventional water sources or water reuse.
(5) "Guarantee" means a written guarantee of a provider that the
energy savings, increase in billable revenues, or increase in meter
accuracy from the energy or water conservation or usage measures will
at least equal the cost of the energy or water conservation or usage
measures, all causally connected work, and ancillary improvements
provided for in an energy savings performance contract.
(6) "Increase in billable revenues" means an estimated increase in
billable revenues as compared to an established baseline of billable
revenues.
(7) "Increase in meter accuracy" means an estimated increase in
efficiency or accuracy of metering or related equipment, systems, or
processes or procedures that is calculated or determined by using
applicable industry engineering standards.
(8) "Local government" means a county, municipality, or other
political subdivision of this state. The term does not include a
school district authorized to enter into an energy savings performance
contract under Section 44.901, Education Code.
(9) "Meter guarantee" means a guarantee of a stipulated or agreed
upon increase in billable revenues to result from the estimated
increase in meter accuracy, based on stipulated or agreed upon
Page 10
components of a billable revenue calculation in an energy savings
performance contract.
(10) "Provider" means an entity in the business of designing,
implementing, and installing of energy or water conservation or usage
measures or an affiliate of such an entity.
Added by Acts 1997, 75th Leg., ch. 635, Sec. 1, eff. June 11, 1997. Amended by Acts
2001, 77th Leg., ch. 573, Sec. 6, eff. Sept. 1, 2001; Acts 2003, 78th Leg., ch. 1310,
Sec. 78, eff. June 20, 2003. Amended by: Acts 2007, 80th Leg., R.S., Ch. 527, Sec. 4,
eff. June 16, 2007.
Sec. 302.002. ENERGY SAVINGS PERFORMANCE CONTRACTS.
(a) The governing body of a local government may enter into an
energy savings performance contract in accordance with this chapter.
(b) Each energy or water conservation or usage measure must
comply with current local, state, and federal construction, plumbing,
and environmental codes and regulations. Notwithstanding Section
302.001, an energy savings performance contract may not include
improvements or equipment that allow or cause water from any
condensing, cooling, or industrial process or any system of nonpotable
usage over which public water supply system officials do not have
sanitary control to be returned to the potable water supply.
Added by Acts 1997, 75th Leg., ch. 635, Sec. 1, eff. June 11, 1997. Amended by Acts
2001, 77th Leg., ch. 573, Sec. 6, eff. Sept. 1, 2001; Acts 2001, 77th Leg., ch. 1319,
Sec. 4, eff. Sept. 1, 2001; Acts 2003, 78th Leg., ch. 1310, Sec. 79, eff. June 20,
2003. Amended by: Acts 2007, 80th Leg., R.S., Ch. 527, Sec. 5, eff. June 16, 2007.
Sec. 302.003. PAYMENT AND PERFORMANCE BOND. Notwithstanding
any other law, before entering into an energy savings performance
contract, the governing body of the local government shall require the
provider of the energy or water conservation or usage measures to file
with the governing body a payment and performance bond relating to the
installation of the measures in accordance with Chapter 2253,
Page 11
Government Code. The governing body may also require a separate bond
to cover the value of the guarantee.
Added by Acts 1997, 75th Leg., ch. 635, Sec. 1, eff. June 11, 1997. Amended by Acts
2001, 77th Leg., ch. 573, Sec. 6, eff. Sept. 1, 2001; Acts 2001, 77th Leg., ch. 1319,
Sec. 5, eff. Sept. 1, 2001; Acts 2003, 78th Leg., ch. 1310, Sec. 80, 121(23), eff.
June 20, 2003.
Amended by: Acts 2007, 80th Leg., R.S., Ch. 527, Sec. 6, eff. June 16, 2007.
Sec. 302.004. METHOD OF FINANCING; TERMS OF CONTRACT.
(a) An energy savings performance contract may be financed:
(1) under a lease-purchase contract that has a term not to
exceed 20 years from the final date of installation and that meets
federal tax requirements for tax-free municipal leasing or long-term
financing;
(2) with the proceeds of bonds; or
(3) under a contract with the provider of the energy or water
conservation or usage measures that has a term not to exceed the
lesser of 20 years from the final date of installation or the average
useful life of the energy or water conservation or usage measures.
(b) An energy savings performance contract shall contain provisions
requiring the provider of the energy or water conservation or usage
measures to provide a guarantee. If the term of the contract exceeds
one year, the local government's contractual obligations in any one
year during the term of the contract beginning after the final date of
installation may not exceed the total energy and water savings, the
net operating cost savings, and the stipulated or agreed upon increase
in billable revenues resulting from the estimated increase in meter
accuracy, divided by the number of years in the contract term.
Added by Acts 1997, 75th Leg., ch. 635, Sec. 1, eff. June 11, 1997. Amended by Acts
1999, 76th Leg., ch. 361, Sec. 4, eff. Sept. 1, 1999; Acts 2001, 77th Leg., ch. 573,
Page 12
Sec. 6, eff. Sept. 1, 2001; Acts 2001, 77th Leg., ch. 1319, Sec. 6, eff. Sept. 1,
2001; Acts 2003, 78th Leg., ch. 1310, Sec. 81, eff. June 20, 2003.
Amended by: Acts 2007, 80th Leg., R.S., Ch. 527, Sec. 7, eff. June 16, 2007.
Sec. 302.005. BIDDING PROCEDURES; AWARD OF CONTRACT.
(a) An energy savings performance contract under this chapter may be
let in accordance with the procedures established for procuring
certain professional services by Section 2254.004, Government Code.
Notice of the request for qualifications shall be published in the
manner provided for competitive bidding.
(b) Before entering into an energy savings performance contract, the
governing body must require that the energy savings, increase in
billable revenues, or increase in meter accuracy estimated or
projected by a provider be reviewed by a licensed professional
engineer who:
(1) has a minimum of three years of experience in energy
calculation and review;
(2) is not an officer or employee of a provider for the contract
under review; and
(3) is not otherwise associated with the contract.
(c) In conducting the review, the engineer shall focus primarily on
the proposed improvements from an engineering perspective, the
methodology and calculations related to cost savings, increases in
revenue, and, if applicable, efficiency or accuracy of metering
equipment. An engineer who reviews a contract shall maintain the
confidentiality of any proprietary information the engineer acquires
while reviewing the contract. Sections 1001.053 and 1001.407,
Occupations Code, apply to work performed under the contract.
Added by Acts 1997, 75th Leg., ch. 635, Sec. 1, eff. June 11, 1997. Amended by Acts
2001, 77th Leg., ch. 573, Sec. 12, eff. Sept. 1, 2001; Acts 2001, 77th Leg., ch. 1319,
Sec. 7; Acts 2003, 78th Leg., ch. 1276, Sec. 12.005, eff. Sept. 1, 2003; Acts 2003,
78th Leg., ch. 1310, Sec. 82, eff. June 20, 2003.
Page 13
Amended by: Acts 2007, 80th Leg., R.S., Ch. 527, Sec. 8, eff. June 16, 2007.
Sec. 302.006. METER GUARANTEES.
(a) This section applies to any energy savings performance contract
that:
(1) provides for any metering or related equipment, system, or
process or procedure; and
(2) includes a meter guarantee by the provider, regardless of
whether the meter guarantee is a part of a broader guarantee
applicable to other energy or water conservation or usage measures or
causally connected work.
(b) Not later than the fifth anniversary of the effective date of an
energy savings performance contract, an engineer shall test a
statistically relevant sample of the meters installed or implemented
under the contract to determine or calculate the actual average
accuracy and shall compare the actual average accuracy to the baseline
average accuracy of those tested meters.
(c) A meter guarantee applies if the engineer reports to the local
government and the provider that the average accuracy of the tested
meters as of the testing date is less than the baseline average
accuracy of the tested meters as of the testing date.
(d) The amount payable under the meter guarantee must be determined
for each year subject to the engineer's report and is equal to the
difference between:
(1) the agreed increase in billable revenues based on the
estimated accuracy of all of the meters for each year, according to
the energy savings performance contract; and
(2) the revenues for the same year that would result from
applying the engineer's reported actual average accuracy of the tested
meters to all of the meters subject to the energy savings performance
contract, using the same contract components that were used to
calculate the agreed increase in billable revenues for that year,
assuming the annual decrease in actual average accuracy of all the
Page 14
meters was a pro rata percentage of the reported total decrease in
actual average accuracy.
(e) Notwithstanding Subsection (d), if the meter guarantee in the
contract is part of a broader guarantee applicable to other energy or
water conservation or usage measures or causally connected work under
the contract, the amount payable under the meter guarantee for any
year during the measurement period is reduced or offset by the
difference between:
(1) the sum of the energy savings and the increase in billable
revenues resulting from the other energy or water conservation or
usage measures or causally connected work for that year during the
measurement period; and
(2) the guaranteed amount of the energy savings and the increase
in billable revenues from the other energy or water conservation or
usage measures or causally connected work for that year during the
measurement period.
(f) A test conducted under this section must be performed in
accordance with the procedures established by the International
Performance Measurement and Verification Protocol or succeeding
standards of the United States Department of Energy.
(g) An engineer conducting a test under this section shall:
(1) verify that the tested meters have been properly maintained
and are operating properly; and
(2) comply with Section 302.005(c).
Added by Acts 2007, 80th Leg., R.S., Ch. 527, Sec. 9, eff. June 16, 2007.
Page 15
AC:BIL
TTACHMENTUILDING NVENTORYIST
OCCUPANCYYEAR BUILTSQ FT
ADDRESS
1298 Borgfeld Animal Control 19881,500
103 AeroComfort Station 1982560
401 OakBVYA office 19842,100
403 Oak Small Pavilion1982900
503 Oak Comfort Station 1982150
701 Oak Pool19896,000
701 Oak Child pool 1989300
701 Oak Bath house and concession 19891,500
703 Oak Large Pavilion 198214,400
703 A Oak Family Comfort Station 1982680
703 B Oak Comfort Station 1982150
901 OakBVYA Concession 19823,200
903 OakBYVA Comfort Station 2006732
AshleyComfort Station 1999300
4318 Cherry Tree Bath house and Concession 20031,290
4318 Cherry Tree Pool20032,200
3501 Morning Dr Community Center north 19794,514
19085 IH 35 N Substation20056,442
104 E Huebinger Substation (Marion) 2006840
19625B FM 3009 Radio Repeater Building 2007100
1049 E Live OakDwelling (vacant) 19762,093
608 Schertz Parkway Comfort Station 1994392
608 Schertz Parkway (old) Library 19819,000
798 Schertz Parkway Library 200931,500
1400 Schertz Pkwy Bldg 1 City Hall197712,380
1400 Schertz Pkwy Bldg 2 Administration Building 20089,976
1400 Schertz Pkwy Bldg 3 Community Ctr 19775,200
1400 Schertz Pkwy Bldg 4 Council Chambers 20055,824
1401 Schertz Pkwy Bldg 5 Civic Center 200520,130
1402 Schertz Pkwy Bldg 6 Police Dept199818,375
1400 Schertz Pkwy Bldg 7 EMS19989,743
1400 Schertz Pkwy Bldg 8 Fire Dept199812,400
1400 Schertz Pkwy Bldg 9 Facility Maintenance 20072,400
Page 16
1400 Schertz Parkway Comfort Station 2001732
1400 Schertz Parkway Storage19751,428
1400 Schertz ParkwayBVYA concession / restroom 20063,200
1730 Schertz Parkway Kramer House 19001,676
1100 FM 1518 BVYA storage1975625
1120 FM 1518 Storage19752,400
1130 FM 1518 Storage19621,200
1140 FM 1518 Storage19621,000
10 Commercial Place Bldg1 Purchasing / fleet / parks 19762,987
10 Commercial Place Bldg 2 Public Works200612,960
621 Westchester Rec Ctr 201032,600