09-24-2013 Agenda with Backup
MEETING AGENDA
City Council
REGULAR SESSION CITY COUNCIL
September 24, 2013, 6:00 P.M.
HAL BALDWIN MUNICIPAL COMPLEX COUNCIL CHAMBERS
1400 SCHERTZ PARKWAY BUILDING #4
SCHERTZ, TEXAS 78154
AGENDA
TUESDAY, SEPTEMBER 24, 2013 AT 6:00 P.M.
Call to Order ? Regular Session
Invocation and Pledges of Allegiance to the Flags of the United States and State of
Texas. (Pastor Gerald (Jerry) Goodridge ? Bracken United Methodist Church)
City Events and Announcements
Announcements of upcoming City Events (J. Bierschwale/B. James)
Announcements and recognitions by City Manager Office (J. Bierschwale)
Presentations:
Proclamation Fire Prevention Week (Mayor/D. Covington)
Presentation and Discussion regarding the City of Schertz Skate Park (P.
Gaudreau/G. Logan)
Presentation and Discussion regarding the education component of the City of
Schertz Comprehensive plan. (B. James/L. Wood)
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
3
no more than minutes.
All remarks shall be addressed to the Council as a body, and not to any individual member
thereof. Any person making personal, impertinent, or slanderous remarks while
addressing the Council may be requested to leave the meeting.
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.
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Consent Agenda Items
The Consent Agenda is considered to be self-explanatory and will be enacted by the Council
with one motion. There will be no separate discussion of these items unless they are
removed from the Consent Agenda upon the request by the Mayor or a Councilmember.
Minutes
1. - Consideration and/or action regarding the approval of the minutes of the
Regular and Joint Meeting with the Transportation Safety Advisory Commission
meeting of September 17, 2013. (B. Dennis/D. Schmoekel)
Cancellation of the October 1, 2013, and October 8, 2013 City Council Meetings
2.
? Consideration and/or action cancelling the October 1, 2013 City Council Meeting to
observe National Night Out, and cancelling the October 8, 2013 City Council
Meeting to attend the Texas Municipal League Conference in Austin. (J.
Bierschwale/Council)
Resolution No. 13-R-83
3. ? Consideration and/or action approving a Resolution
authorizing EMS Debt Revenue Adjustments for inactive outstanding accounts
receivables after 180 days of non payment and other matters in connection therewith.
(J. Bierschwale/D. Wait)
Resolution No. 13-R-84
4. ? Consideration and/or action approving a Resolution
authorizing Utility Billing Debt Revenue Adjustments for inactive outstanding
accounts receivables after 180 days of non payment and other matters in connection
therewith. (J. Bierschwale/C. Spence)
Resolution No. 13-R-81
5. ? Consideration and/or action approving a Resolution
authorizing a Release of Waterline Easement for a 25 foot wide Waterline Easement
located in Comal County, Texas, originally granted to the City by George M. Heberer
and India D. Heberer, and more specifically described in the Easement Document
Recorded in Volume 417, Page 467 of the Official Records of Guadalupe County,
Texas, and other matters in connection therewith. (J. Bierschwale/S. Willoughby/L.
Busch)
Resolution No. 13-R-82
6. ? Consideration and/or action approving a Resolution
approving agreements for one (1) 16-Foot Permanent Sanitary Sewer Easement and
one (1) 25-Foot by 25-Foot Turnaround Sanitary Sewer line Easement from Schertz
Commercial Park, L. P. in the Northcliffe Plaza Development and other matters in
connection therewith. (J. Bierschwale/S. Willoughby/J. Hooks)
Resolution No. 13-R-85
7. ? Consideration and/or action approving a Resolution
authorizing an agreement with Alamo Area Council of Governments (AACOG) to
provide funding up to $22,020 for Transit Services in the City of Schertz. (B.
James/B. James)
Resolution No. 13-R-86
8. ? Consideration and/or action approving a Resolution
authorizing the adoption of the City of Schertz Investment Policy. (J. Bierschwale/J.
Santoya/R. Galindo)
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Discussion and Action Items
Appointments/Reappointments and Resignations to City Boards, Commissions,
9.
Committees
? Consideration and/or action regarding appointments/reappointments
and resignations to City Boards, Commissions, and Committees. (B. Dennis/D.
Schmoekel)
Resignation of Mr. Chris Montgomery ? Board of Adjustments
Ordinance No. 13-T-42
10. ? Consideration and/or action approving an Ordinance
adopting a Budget for the Fiscal Year beginning October 1, 2013, and ending
September 30, 2014, for the Schertz Library Board, providing that it has been approved
by the Board; providing that this Ordinance shall be cumulative of all Ordinances;
providing a severability Clause; and Providing an effective date; and declaring an
First & Final Reading
emergency. (B. James/J. Walters/G. Douglas/M. Uhlhorn)
Resolution No. 13-R-87
11. ? Consideration and/or action approving a Resolution
authorizing the termination of the Operating Agreement with the Comal County Senior
Citizen Foundation, and other matters in connection therewith. (B. James/K. Tapley)
Roll Call Vote Confirmation
Requests and Announcements
12. Announcements by City Manager Office
Citizen Kudos
Recognition of City employee actions
New Departmental initiatives
13. Requests by Mayor and Councilmembers that items be placed on a future City
Council agenda.
14. Requests by Mayor and Councilmembers to City Manager and Staff for information.
15. 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
Executive Session
Called under:
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Section 551.071 Texas Government Code Deliberation regarding litigation, pending or
contemplated litigation; and Consultations with the City Attorney regarding advice on
legal matters;
Section 551.072 Texas Government Code - Deliberation regarding the purchase,
exchange, sale, lease, or value of real property, or real estate;
Section 551.074 Texas Government Code - Deliberation regarding personnel matters,
policies, duties, employment, and evaluation of certain public officials and employees;
Reconvene into Regular Session
16. Take any actiondeemed necessary as a result of the Executive Session.
Adjournment
CERTIFICATION
I, BRENDA DENNIS, CITY SECRETARY OF THE CITY OF SCHERTZ, TEXAS, DO
HEREBY CERTIFY THAT THE ABOVE AGENDA WAS PREPARED AND POSTED ON
THE OFFICIAL BULLETIN BOARDS ON THIS THE 20th DAY OF SEPTEMBER 2013
AT 4:10 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.
ûËØÏÙÜùØÏÏÔÊ
Brenda Dennis CPM, TRMC, MMC, 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 _______________, 2013.
____________________________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 210
619-1030 at least 24 hours in advance of meeting.
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COUNCIL COMMITTEE AND LIAISON ASSIGNMENTS
Mayor CarpenterMayor Pro-Tem Fowler ? Place 1
Audit Committee Interview Committee for Boards and Commissions
Hal Baldwin Scholarship Committee Schertz Housing Board Liaison
Interview Committee for Boards and Commissions
Investment Advisory Committee
TIRZ II Board
Councilmember Scagliola ? Place 2Councilmember Antuna - Place 3
Animal Control Advisory Committee ASA Commuter Rail District Board ? Lone Star
Cibolo Valley Local Government Corporation Randolph Joint Land Use Study (JLUS) Executive
Interview Committee for Boards and Commissions Committee
Sweetheart Advisory Committee Schertz Seguin Local Government Corporation
Councilmember Edwards ? Place 4Councilmember ? Verinder ? Place 5
Audit CommitteeAudit Committee
Hal Baldwin Scholarship Committee Investment Advisory Committee
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Proclamation
Fire Prevention Week
October 6-12, 2013
WHEREAS
, the State of Texas is committed to ensuring the safety and security of all
those living in and visiting our state; and the City of Schertz is equally dedicated to
reducing the occurrence of fire; and
WHEREAS
, fire is a serious public safety concern both locally and nationally, and
homes are the locations where people are at greatest risk from fire; and
WHEREAS
, roughly 3,000 people die as a result of home fires and burns, more than
200,000 individuals are seen in the nation?s emergency rooms for burn injuries; and
WHEREAS
, Thermal burns outnumber scalds nearly two-to-one, but for children ages
five and under, scalds outnumber burns roughly two-to-one.
WHEREAS
, cooking is the leading cause of home fires and home fire injuries, while
heating equipment and smoking are the leading causes of home fire deaths; and
WHEREAS
, City of Schertz?s first responders are dedicated to reducing the occurrence
of home fires and home fire injuries through prevention and protection education; and
WHEREAS
, City of Schertz?s residents are responsive to public education measures
and are able to take personal steps to increase their safety from fire, especially in their
homes; and
WHEREAS
, the 2013 Fire Prevention Week theme, ?Prevent Kitchen Fires? effectively
serves to remind us all of the simple actions we can take to stay safer from fire during
Fire Prevention Week and year-round.
THEREFORE
, I Michael Carpenter, Mayor of the City of Schertz do hereby proclaim
October 6-12, 2013 as Fire Prevention Week throughout this state, and I urge all the
people of Texas and the residents of Schertz to protect their homes and families by
heeding the important safety messages of Fire Prevention Week 2013, and to support
the many public safety activities and efforts of Schertz Fire Rescue Emergency Services.
Michael R. Carpenter, Mayor
Agenda No. 1
CITY COUNCIL MEMORANDUM
City Council Meeting: September 24, 2013
Department: City Secretary
Subject: Minutes
BACKGROUND
The City Council held a Joint and Regular meeting on September 17, 2013.
FISCAL IMPACT
None
RECOMMENDATION
Staff recommends Council approve the minutes ofthe Joint and Regular meeting of September
17, 2013.
ATTACHMENT
Minutes ? Joint and Regular meeting September 17, 2013.
MINUTES
SPECIAL JOINT & REGULAR MEETING
September 17, 2013
A Special Joint Meeting with the Transportation Safety Advisory Commission and a Regular
Meeting was held by the Schertz City Council of the City of Schertz, Texas, on September 17, 2013,
at 6:00 p.m., in the Hal Baldwin Municipal Complex Council Chambers, 1400 Schertz Parkway,
Building #4, Schertz, Texas. The following members present to-wit:
Mayor Michael R. Carpenter Mayor Pro-Tem Jim Fowler
Councilmember David Scagliola Councilmember George Antuna
Councilmember Cedric Edwards Councilmember Sydney Verinder
Transportation Safety Advisory Board Members:
Stephen Bish, Chair Mark Davis, Vice Chair
Bill Bowers, Board Member Max Hernandez, Board Member
Gary Preston, Board Member Larry Franklin, Board Member
Phillip Rowland, Board Member John Cook, Board Member
Staff Present:
Executive Director David Harris City Manager John Kessel
Executive Director Brian James Executive Director John Bierschwale
City Attorney Katherine Tapley Chief of Staff Bob Cantu
Deputy City Secretary Donna Schmoekel City Secretary Brenda Dennis
Call to Order ? Regular Session
Mayor Carpenter called the Regular Meeting to order at 6:06 p.m. Mayor Carpenter asked for a
moment of silence in remembrance of those lives lost during the Monday, September 16, 2013,
Washington D. C. Navy Yard shooting.
Invocation and Pledges of Allegiance to the Flags of the United States and State of Texas.
Mayor Pro-Tem Fowler gave the invocation followed by the Pledges of Allegiance to the Flags of
the United States and the State of Texas.
Mayor Carpenter stated that he would like to move to the Hearing of Residence section of the
meeting. Council concurred.
Hearing of Residents:
This time is set aside for any person who wishes to address the City Council. Each person should fill
3
out the speaker?s register prior to the meeting. Presentations should be limited to no more than
minutes.
All remarks shall be addressed to the Council as a body, and not to any individual member thereof.
Any person making personal, impertinent, or slanderous remarks while addressing the Council may
be requested to leave the meeting.
09-17-2013 Minutes
Page- 1 -
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.
Mayor Carpenter recognized the following who spoke regarding the dismissal of Mrs. Donna
Thompson as Manager of the Schertz Area Senior Center, the request for immediate reinstatement of
Mrs. Thompson, request for Council to withdraw participation with the Comal County Senior
Citizen Foundation and request to form a 501(C) 3 Non-Profit Management change:
Mr. Dean Weirtz, 4301 Monument Pass, Schertz
Mr. David Morrison, 321 First Street, Schertz
Ms. Inge Bruner, 315 Aero, Schertz
Ms. Susan Lowe, 305 Sea Headrig Drive, Cibolo
Ms. Raw Weinstein, 217 Silver Wing, Cibolo
Mr. Roy Escobar, 704 Curtiss, Schertz
Ms. Carol Suchan, 4828 Stagecoach, Marion
Members of the Schertz Area Senior Center presented a petition of Formal Protest regarding the
dismissal of Donna Thompson.
Mayor Carpenter recognized the following who also spoke:
Mr. David Richmond, 2921 Bent Tree, who publically thanked the Public Works Department
for the rapid response and removal of graffiti in the Greenshire Subdivision.
Mr. Robin Thompson, Schertz Chambers of Commerce, who stated that the Chamber
reached their 300 mark for members with the Chamber. He also provided updates on the
upcoming events.
Mayor Carpenter recessed the regular meeting into executive session at 6:25 p.m.
Executive Session
Called under:
Section 551.071 Texas Government Code Deliberation regarding litigation, pending or
contemplated litigation; and Consultations with the City Attorney regarding advice on legal
matters;
Reconvene into Regular Session
Mayor Carpenter reconvened into regular session at 6:55 p.m.
15. Take any actiondeemed necessary as a result of the Executive Session.
Mayor Carpenter moved, seconded by Mayor Pro-Tem Fowler to direct staff to negotiate the
The vote
separation of our relationship with the Comal County Senior Citizen Foundation.
09-17-2013 Minutes
Page- 2 -
was unanimous with Mayor Pro-Tem Fowler, Councilmembers Scagliola, Antuna,
Edwards, and Verinder voting yes and no one voting no. Motion Carried.
Mayor Carpenter moved to the Workshop section of the agenda.
Workshop
Discussion and possible action regarding the Schertz Senior Center to include Contracts,
Partners and/or plans. (Mayor Carpenter)
Mayor Carpenter stated the action that was taken by Council this evening will not move fast.
It will take time to negotiate the nature of the separation with the Comal County Senior
Citizen Foundation. We don?t yet know the effect of this decision as it will depend on what
the Foundation wants to do. The commitment from the Council is to work with the seniors to
our collective vision of what the senior center should be. Councilmembers Edwards,
Scagliola, Antuna, Fowler, and Verinder all stated that council and the seniors would have to
work together. This is a good transition but may require more than what we have done in the
past.
Mayor Carpenter recognized City Manager John Kessel who asked Executive Director of
Development Brian James to begin negotiations and Parks, Recreation & Community
Services Director George Logan to start working with the seniors to build some consensus
and common goals. He asked Executive Director David Harris to look for outside support,
such as, other government agencies, partner cities or area counties as we will need this
involvement to be successful. He stated this will be the first action steps we need to take.
Mayor Carpenter stated the beauty of a Home Rule City is we get to write our own charter. It
is our home and we make the rules.
Mayor Carpenter recessed the regular meeting at 6:24 p.m.
Mayor Carpenter reconvened the City Council meeting back to order at 7:22 p.m., and moved to the
Special Joint meeting with the Transportation Safety Advisory Commission.
Call to Order ? Special Session
A.Call to order by each Governing Body.
Chairman Stephen Bish of the Transportation Safety Advisory Commission (TSAC) called
their meeting to order at 7:23 p.m.
B. Presentation/discussion and direction regarding the City of Schertz Code of Ordinances,
Chapter 54 ? Nuisances, Section 54-22(b)(3) ? Any sign, notice, pole, post, basketball goal,
and any other obstructions placed or painted upon any sidewalk, street, or in any public right-
of-way within the corporate limits of the City. (J. Bierschwale/B. Todd)
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Mayor Carpenter recognized Transportation Safety Advisory Commission (TSAC) Chairman
Stephen Bish who stated that they were asked to discuss this issue and provide their findings.
He stated a major job of theirs is to ensure street safety.
Mayor Carpenter then recognized Mark Davis, Vice-Chair of TSAC, who stated the City
Ordinance addresses items which include basketball hoops placed on the sidewalks and in the
roadways. A primary concern is the safety of the children.If a portable basketball hoop is
down on the sidewalk edge, it obstructs pedestrian movement and the kids are literally
playing ball in the street. It is more than just an obstruction issue because you run the risk of
impeding traffic flow or damaging your neighbor?s car. Mr. Davis stated the TSAC
membership voted unanimously that it was just not a good idea to promote the use of a
basketball hoop down on the sidewalk or at the edge of a street. He further addressed Mayor
Pro-Tem Fowlers concern about parents wanting to keep the kids close, rather than going
down to a park out of sight. Mr. Davis stated there is no easy workaround because if you
take the basketball goals out of the ordinance you open up the potential for anyone to put up
a hoop in the City on any street. Councilmember Antuna agreed it was a challenge but
suggested that streets that stub out would not necessarily be an area of danger.
Mayor Carpenter recognized staff members, Executive Director of Development Brian James
and Marshal Beverly Todd. Mr. James stated they were looking for a way to balance the
issue that would not be too heavy handed and allow city staff the discretion to address any
obvious unsafe practices. City Manager John Kessel suggested an amendment to the current
ordinance removing it from the nuisance chapter and placing it in the traffic safety section so
that the police department could enforce any unsafe occurrences. Code Enforcement could
still deal with any nuisance issues. He requested staff to come up with draft ordinances in
both code enforcement and traffic safety for Council to look at.
Mayor Carpenter recognized Councilmember Edwards who agreed this was a good idea to
turn the traffic safety issue over to the Police Department. Mayor Carpenter recognized
Police Chief Michael Hansen, who stated if this happens they will simply address the safety
problem but will not be involved in neighbor to neighbor issues. He pointed out the current
ordinance does not allow for discretion, whereas the suggested option being discussed will.
He stated the authority to enforce is already there, the discretion is not.
Mayor Carpenter recognized City Marshal Beverly Todd who stated this issue situation came
up because of a complaint. She stated they checked with five (5) other cities and none of
those cities allowed basketball goals on the streets. Councilmember Scagliola stated that so
far this ordinance has worked and one case should not set precedence.
Mayor Carpenter recognized TSAC Board Member Max Hernandez, who stated he thinks the
Police Department has enough to do. He stated we should prohibit by law from having the
basketball goal where they could experience a fatality. Responsibility starts at home. Keep
this in the law and in our ordinance. Let those that break the ordinance pay for it. Mayor
Carpenter recognized TSAC Board Member Larry Franklin, who stated we should look at the
word portable more closely. He doesn?t see why a goal should be left out in the road.
Mayor Carpenter recognized City Manager John Kessel, who stated one of the problems that
exists in our current ordinance is it specifically states basketball goals; you could also have
other unsafe play items such as hockey goals, go-carts, skateboard ramps, etc., all equally
09-17-2013 Minutes
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unsafe. The real issue is ?playing in the street?, thus a traffic safety issue. By adding it to our
traffic safety ordinance, we will have a better directive. Mayor Carpenter stated again that
staff would go back and work on both sections of the ordinances and come back to present
Council with drafts for consideration.
Adjournment of Special Joint Meeting
Traffic Safety Advisory Commission
Chairman Stephen Bish recognized Board Member Max Hernandez, who moved, seconded
The vote was
by Vice Chair Mark Davis to adjourn the Special Joint meeting with Council.
unanimous. Motion Carried.
Meeting adjourned at 7:59 p.m.
Mayor Carpenter moved to the announcement section of the agenda.
City Events and Announcements
Announcements of upcoming City Events (D. Harris/J. Bierschwale/B. James)
Mayor Carpenter recognized Executive Director of Development Brian James who
announced the following upcoming events:
thst
Friday and Saturday, September 20 and 21 the Schertz Fest event will be held at Pickrell
Park.
Announcements and recognitions by City Manager (J. Kessel)
Mayor Carpenter recognized City Manager John Kessel who stated that there is a new
wooden plaque that was installed to the right of the doors as you come into the Council
Chambers. It has the City?s four (4) Core Values on it which are: (1) Do the right thing, (2)
Do the best you can, (3) Treat others as you would be treated, and (4) Work together as a
team . He thanked the Police Department who put it together for us. Mayor Carpenter said
he was pleased to have this out front because he anticipates the day when residents will
remind us of them from time to time.
Presentations
Presentation and update regarding the upcoming Schertz Fest Event (J. Bierschwale/M.
Spence)
Mayor Carpenter recognized Events Coordinator Mary Spence who provided a brief Power
Point presentation regarding the Fourth of July Jubilee and the upcoming Schertz Fest Event.
Ms. Spence stated the Fourth of July event netted a profit of $22,675.75.
th
Ms. Spence stated the upcoming Schertz Fest is this Friday, September 20 and Saturday,
st
September 21. In case of rain, they have several plans in place. Festivities will begin on
Friday evening from 6 p.m.-11:00 p.m., and Saturday, beginning at 11:00 a.m. until 12:00
09-17-2013 Minutes
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p.m. There will be a carnival, food and beverage booths, BBQ cook-off, craft booths, and
several bands, along with several competitions.
Guadalupe Regional Medical Center Report (Jerry Riggs)
Mayor Carpenter recognized Pharmacist Jerry Riggs, R. Ph. with the Guadalupe Regional
Medical Center who provided a brief report regarding the Prescription Assistance Program.
He stated the program provides assistance to indigent individuals and those without any
medical or prescription insurance. Monetary assistance is received from a variety of sources
and the City of Schertz contributes $5000 annually. There were 41 individuals from the
Schertz area who received assistance during this six month period. Each applicant receives
approximately $7,400 worth of prescription benefits per year.
Workshop
Presentation, discussion and possible action regarding amendments to the City of Schertz
Health Insurance Benefits (J. Kessel/J. Smith)
Resolution No. 13-R-76 ?
1A.Consideration and/or action approving a Resolution
amending the City of Schertz Employee Health Benefits Plan timeframe from a
calendar year to a fiscal year, and other matters in connection therewith.
The following was read into record:
RESOLUTION NO. 13-R-76
A RESOLUTION BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS
AMENDING THE CITY OF SCHERTZ EMPLOYEE HEALTH BENEFITS PLAN
TIMEFRAME FROM A CALENDAR YEAR TO A FISCAL YEAR, AND OTHER
MATTERS IN CONNECTION THEREWITH
Mayor Carpenter recognized Director of Human Resources Josh Smith who introduced this
item stating that staff researched the efficacy of keeping the existing health insurance plans
on a calendar year as opposed to a fiscal year. For budgetary purposes and other reasons,
staff is recommending changing the City?s health insurance plan year from a calendar plan
year to a fiscal plan year beginning 10/1/2014 to match the budget cycle. Staff recommends
approval.
Mayor Carpenter recognized Councilmember Edwards, who moved, seconded by
The vote was 4-0-1 with
Councilmember Verinder, to approve Resolution No. 13-R-76.
Mayor Pro-Tem Fowler, Councilmembers Scagliola, Edwards, and Verinder voting yes
and no one voting no, and Councilmember Antuna abstaining. Motion Carried.
Resolution No. 13-R-77
1B. ? Consideration and/or action approving a Resolution
adopting amendments to the City?s Health Insurance benefits for City Employees, and
other matters in connection therewith.
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The following was read into record:
RESOLUTION NO. 13-R-77
A RESOLUTION BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS
ADOPTING AMENDMENTS TO THE CITY?S HEALTH INSURANCE BENFITS
FOR CITY EMPLOYEES, AND OTHER MATTERS IN CONNECTION
THEREWITH
Mayor Carpenter recognized Director of Human Resources Josh Smith who provided a brief
Power Point regarding the following summary of renewals answering questions from
Council:
Budgeted 5% increase
5% increase for medical plans
5.5% increase in dependent premiums
3.9% increase in Vision = $942 annually
No increase in Dental PPO
No increase in Life or Disability
2014 Insurance Proposals:
Offer Dual PPO Plan options:
-Maintain traditional PPO with no changes
-Offer High deductable PPO plan to decrease dependent premiums
Offer Health Savings Account with HDHP
City would give to employees difference of cost between Individual PPO
Traditional and HDHP = $1,162 to put in HAS or toward premium
Employees can contribute additional monies to their HAS through their
paychecks
Employees with dependents on HDHP would split Affordable Care Act
premium refunds to City and apply to dependent premium = $10,962
Increase medical bridge for HSA participants from $500 to $1,000 to help
cover catastrophic claims = $1,500 annualized cost
Eliminate Dental HMO and provide 2nd PPO option with larger network and
more coverage = $1.21 PEPM ($4,385 annually)
Move Health Insurance plan year to match fiscal year beginning 10/1/2014
Mayor Carpenter recognized Councilmember Edwards, who moved, seconded by
The vote was unanimous
Councilmember Verinder, to approve Resolution No. 13-R-77.
with Mayor Pro-Tem Fowler, Councilmembers Scagliola, Antuna, Edwards, and Verinder
voting yes and no one voting no. Motion Carried.
Consent Agenda Items
The Consent Agenda is considered to be self-explanatory and will be enacted by the Council with
one motion. There will be no separate discussion of these items unless they are removed from the
Consent Agenda upon the request by the Mayor or a Councilmember.
09-17-2013 Minutes
Page- 7 -
Mayor Carpenter recognized Mayor Pro-Tem Fowler who requested that Item 8 be removed for
separate action.
Minutes
1. - Consideration and/or action regarding the approval of the minutes of the Special
Meeting of September 6, 2013, and Regular Meeting of September 10, 2013. (J. Kessel/B.
Dennis)
Ordinance No. 13-D-41
2. ? Consideration and/or action approving an Ordinance amending
Chapter 86 of the Code of Ordinances by the City of Schertz, as amended, by adding Section
86-63, Prohibiting the use of Engine Brakes on any streets or highways within the City,
providing a penalty of fine not to exceed the sum of Five Hundred Dollars ($500.00) for each
offense; repealing all Ordinances or parts of Ordinances in conflict with this Ordinance; and
Final Reading
providing an effective date. (J. Bierschwale/M. Hansen)
The following was read into record:
ORDINANCE NO. 13-D-41
AN ORDINANCE AMENDING CHAPTER 86 OF THE CODE OF ORDINANCES OF
THE CITY OF SCHERTZ, AS AMENDED, BY ADDING SECTION 86-63,
PROHIBITING THE USE OF ENGINE BRAKES ON ANY STREETS OR
HIGHWAYS WITHIN THE CITY, PROVIDING A PENALTY OF FINE NOT TO
EXCEED THE SUM OF FIVE HUNDRED DOLLARS ($500.00) FOR EACH
OFFENSE; REPEALING ALL ORDINANCES OR PARTS OF ORDINANCES IN
CONFLICT WITH THIS ORDINANCE; AND PROVIDING AN EFFECTIVE DATE
Resolution No. 13-R-80
3. ? Consideration and/or action approving a Resolution authorizing an
Advertising and Graphic Design Services Agreement with Souzamaphone Marketing, LLC,
and other matters in connection therewith. (D. Harris/L. Klepper)
The following was read into record:
RESOLUTION NO. 13-R-80
A RESOLUTION BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS
AUTHORIZING AN ADVERTISING AND GRAPHIC DESIGN SERVICES
AGREEMENT WITH SOUZAMAPHONE MARKETING, LLC, AND OTHER
MATTERS IN CONNECTION THEREWITH
Resolution No. 13-R-71Schertz Seguin Local Government Corporation (SSLGC) Fiscal
4. -
Year 2013-14 Annual Budget SSLGC Resolution # SSLGC #SSLGC R-13-09
-
Consideration and/or action approving the Schertz Seguin Local Government Corporation
(SSLGC) FY 2013-14 Budget. (J. Bierschwale/S. Willoughby/A. Cockerell)
The following was read into record:
RESOLUTION NO. 13-R-71
A RESOLUTION BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS
APPROVING THE SCHERTZ-SEGUIN LOCAL GOVERNMENT CORPORATION
09-17-2013 Minutes
Page- 8 -
FISCAL YEAR 2013-14 ANNUAL BUDGET, AND OTHER MATTERS IN
CONNECTION THEREWITH
Resolution No. 13-R-72 -Schertz Seguin Local Government Corporation (SSLGC)
5.
Fiscal Year 2013-14 Water Rates SSLGC Resolution # SSLGC #SSLGC R-13-10
-
Consideration and/or action approving the Schertz Seguin Local Government Corporation
(SSLGC) FY 2013-14 Water rates. (J. Bierschwale/S. Willoughby/A. Cockerell)
The following was read into record:
RESOLUTION NO. 13-R-72
A RESOLUTION BY THE CITY COUNCIL OF THE CITY OFSCHERTZ, TEXAS
APPROVING THE SCHERTZ-SEGUIN LOCAL GOVERNMENT CORPORATION
FISCAL YEAR 2013-14 WATER RATES, AND OTHER MATTERS IN
CONNECTION THEREWITH
Resolution No. 13-R-73
6. ? Consideration and/or action approving a Resolution authorizing a
Management Services Agreement with Schertz Seguin Local Government Corporation
(SSLGC). (J. Bierschwale/S. Willoughby/A. Cockerell)
The following was read into record:
RESOLUTION NO. 13-R-73
A RESOLUTION BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS
AUTHORIZING AN AGREEMENT FOR MANAGEMENT SERVICES BETWEEN
THE CITY OF SCHERTZ AND THE SCHERTZ-SEGUIN LOCAL GOVERNMENT
CORPORATION WITH SCHERTZ-SEGUIN LOCAL GOVERNMENT
CORPORATION, AND OTHER MATTERS IN CONNECTION THEREWITH
Resolution No. 13-R-74
7. ? Consideration and/or action approving a Resolution authorizing a
second amendment to Tower Lease Agreement with Clear Wireless LLC, and other matters
in connection therewith. (J. Kessel/B. Cantu)
The following was read into record:
RESOLUTION NO. 13-R-74
A RESOLUTION BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS
AUTHORIZING A SECOND AMENDMENT TO TOWER LEASE AGREEMENT
WITH CLEAR WIRELESS LLC, AND OTHER MATTERS IN CONNECTION
THEREWITH
Mayor Carpenter recognized Councilmember Scagliola, who moved, seconded by
The vote was
Councilmember Edwards, to approve the Consent Agenda Items 1 through 7.
unanimous with Mayor Pro-Tem Fowler, Councilmembers Scagliola, Antuna, Edwards,
and Verinder voting yes and no one voting no. Motion Carried.
09-17-2013 Minutes
Page- 9 -
Discussion and Action Items
Resolution No. 13-R-79
8. ? Consideration and/or action approving a Resolution authorizing a
Personal Services Agreement with Charmain Sanchez for Services related to Marketing and
Developing certain City Property for the purpose of the Installation and Operation of
Wireless Communication Equipment and Systems and the Continued Management of the
City?s Telecommunications Tenants, and other matters in connection therewith. (J. Kessel/B.
Cantu)
The following was read into record:
RESOLUTION NO. 13-R-79
A RESOLUTION BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS
AUTHORIZING A PERSONAL SERVICES AGREEMENT WITH CHARMAIN
SANCHEZ FOR SERVICES RELATED TO MARKETING AND DEVELOPING
CERTAIN CITY PROPERTY FOR THE PURPOSE OF THE INSTALLATION AND
OPERATION OF WIRELESS COMMUNICATIONS EQUIPMENT AND SYSTEMS
AND THE CONTINUED MANAGEMENT OF THE CITY?S
TELECOMMUNICATIONS TENANTS, AND OTHER MATTERS IN
CONNECTION THEREWITH
Mayor Carpenter recognized Chief of Staff Bob Cantu who introduced this item stating that
the City staff determined that the City requires the services of a skilled consultant relating to
the marketing and managing of City real estate for telecommunications development. On
August 5, 2008 the City passed and adopted Resolution No 08-R-42 authorizing the City
Manager to execute a Personal Services Agreement with Charmain Sanchez, an individual
uniquely qualified to provide such services for the City. The Agreement with Ms. Sanchez
was for a five (5) year period, and if not renewed, expires on September 30, 2013. Section II
paragraph 2.02 states that the City and the Consultant may agree to further renewals.
Revenues generated from the leases and lease amendments negotiated by Ms. Sanchez over
the twenty (20) year term of the agreements. In the past five years, these agreements have
paid out $909,387.81. A third of this revenue is attributed to fees and requests by Tenants to
change equipment needed to support new technology and improve service. These
modification requests will continue as the telecom industry evolves and offers via wireless
equipment further increasing revenues. Ms. Sanchez is uniquely qualified in managing these
requests, establishing pricing for equipment, amending the Agreements resulting in
increasing rent to the City. The City expects more requests for telecommunication sites as
new development continues. Staff recommends approval.
Mayor Carpenter recognized Mayor Pro-Tem Fowler, who moved, seconded by
The vote was unanimous
Councilmember Edwards, to approve Resolution No. 13-R-79.
with Mayor Pro-Tem Fowler, Councilmembers Scagliola, Antuna, Edwards, and Verinder
voting yes and no one voting no. Motion Carried.
Resolution No. 13-R-75
9. ? Consideration and/or action approving a Resolution authorizing an
Interlocal Agreement between the City of Schertz, Texas and the Cibolo Creek Municipal
Authority regarding purchase of property for a future Wastewater Treatment Facility with the
09-17-2013 Minutes
Page- 10 -
Cibolo Creek Municipal Authority, and other matters in connection therewith. (J.
Bierschwale/S. Willoughby)
The following was read into record:
RESOLUTION NO. 13-R-75
A RESOLUTION BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS
AUTHORIZING AN INTERLOCAL AGREEMENT BETWEEN THE CITY OF
SCHERTZ, TEXAS AND THE CIBOLO CREEK MUNICIPAL AUTHORITY
REGARDING PURCHASE OF PROPERTY FOR A FUTURE WASTEWATER
TREATMENT FACILITY WITH THE CIBOLO CREEK MUNICIPAL AUTHORITY,
AND OTHER MATTERS IN CONNECTION THEREWITH
Mayor Carpenter recognized Executive Director of Operations John Bierschwale who
introduced this item stating that with the development of Southern Schertz and to meet
current and future waste water demands, CCMA needs to begin the process of purchasing the
land for the Southern Wastewater Treatment Plants.
Negotiations have begun between a tri-party agreement with CCMA, Cibolo and Schertz to
complete the contracts for the wastewater treatment. As we continue to develop the tri-party
agreement, TCEQ permits must be applied for the plant treatment affluent into the Cibolo
Creek and/or reuse water programs. CCMA has selected three different sites for the treatment
plant and wants to begin negotiations for the preferred site for the discharge point into the
Cibolo Creek, maintaining the best quality nutrients of the creek.
Once CCMA has completed land negotiations, the City will provide funding up to $2 million
dollars. The City will be reimbursed by CCMA once the revenue bonds have been sold or
full reimbursement terms as described in Section 2 of the Interlocal Agreement.
FISCAL IMPACT: To assist the Authority in its efforts to acquire the Plant Site, the City
desires to advance, in accordance with the terms of this Agreement, up to Two Million and
No/100 Dollars ($2,000,000.00) to the Authority for use by the Authority to purchase the
Plant Site and to perform legal and due diligence activities in connection with such
acquisition.
City staff recommends that the City enter into an Interlocal Agreement between the City of
Schertz, Texas and the Cibolo Creek Municipal Authority regarding purchase of Property for
a Future Wastewater Treatment Facility with Cibolo Creek Municipal Authority relating to
advancement of funds for the purchase of property for a future wastewater treatment facility.
Staff recommends approval.
Mayor Carpenter recognized Councilmember Edwards, who moved, seconded by
The vote was unanimous with
Councilmember Antuna, to approve Resolution No. 13-R-75.
Mayor Pro-Tem Fowler, Councilmembers Scagliola, Antuna, Edwards, and Verinder
voting yes and no one voting no. Motion Carried.
Resolution No. 13-R-78
10. ? Consideration and/or action approving a Resolution approving and
ratifying a Purchase and Sale Agreement and a First Amendment to Purchase and Sale
09-17-2013 Minutes
Page- 11 -
Agreement, both with Michael F. Biry and Jennifer S. Biry, and authorizing a Continuation
Notice granting consent to proceed to Closing related to such Agreement and Amendment, all
in connection with the purchase by the City of Real Property located along Commercial Place
and Windy Meadows Drive, described as Lots 31 and 32, Block 1, Schertz Business Park
according to the plat recorded in Volume 5, Page 225B, Lot 24, Block 2 Windy Meadow,
according to the plat recorded in Volume 5, Page 50A-51A, Lots 23, 24, and 28 Block 1,
Schertz Business Park, according to the plat recorded in Volume 4, Page 336, all located in the
City of Schertz, Guadalupe County, Texas, as well as the Purchase of related improvements
and Personal Property, from Michael F. Biry and Jennifer S. Biry, and other matters in
connection therewith. (J. Bierschwale/K. Tapley)
The following was read into record:
RESOLUTION NO. 13-R-78
A RESOLUTION BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS
APPROVING AND RATIFYING A PURCHASE AND SALE AGREEMENT AND A
FIRST AMENDMENT TO PURCHASE AND SALE AGREEMENT, BOTH WITH
MICHAEL F. BIRY AND JENNIFER S. BIRY, AND AUTHORIZING A
CONTINUATION NOTICE GRANTING CONSENT TO PROCEED TO CLOSING
RELATED TO SUCH AGREEMENT AND AMENDMENT, ALL IN CONNECTION
WITH THE PURCHASE BY THE CITY OF REAL PROPERTY LOCATED ALONG
COMMERCIAL PLACE AND WINDY MEADOWS DRIVE, DESCRIBED AS LOTS
31 AND 32, BLOCK 1, SCHERTZ BUSINESS PARK ACCORDING TO THE PLAT
RECORDED IN VOLUME 5, PAGE 225B, LOT 24, BLOCK 2, WINDY MEADOW,
ACCORDING TO THE PLAT RECORDED IN VOLUME 5, PAGE 50A-51A, LOTS 23,
24, AND 28 BLOCK 1, SCHERTZ BUSINESS PARK, ACCORDING TO THE PLAT
RECORDED IN VOLUME 4, PAGE 336, ALL LOCATED IN THE CITY OF
SCHERTZ, GUADALUPE COUNTY, TEXAS, AS WELL AS THE PURCHASE OF
RELATED IMPROVEMENTS AND PERSONAL PROPERTY, FROM MICHAEL F.
BIRY AND JENNIFER S. BIRY, AND OTHER MATTERS IN CONNECTION
THEREWITH
Mayor Carpenter recognized Councilmember Edwards who stated that Council had been
briefed on this item and knows this is the plan for the Public Works facility and the master
plan and he wanted to make a motion to pass Resolution No. 13-R-78.
Mayor Carpenter recognized Edwards, who moved, seconded by Councilmember Scagliola,
The vote was unanimous with Mayor Pro-Tem
to approve Resolution No. 13.-R-78.
Fowler, Councilmembers Scagliola, Antuna, Edwards, and Verinder voting yes and no one
voting no. Motion Carried.
Roll Call Vote Confirmation
Mayor Carpenter recognized Deputy City Secretary Donna Schmoekel who recapped the votes for
the presentation and agenda items 1 through 15.
09-17-2013 Minutes
Page- 12 -
Requests and Announcements
11. Announcements by City Manager
Citizen Kudos
Recognition of City employee actions
New Departmental initiatives
City Manager John Kessel & Executive Director of Support David Harris will be attending
the annual International City Manager Association (ICMA) conference held in Boston.
Therefore they will not be attending next week?s council meeting.
No further announcements provided.
12. Requests by Mayor and Councilmembers that items be placed on a future City Council
agenda.
No items requested.
13. Requests by Mayor and Councilmembers to City Manager and Staff for information.
Mayor Carpenter recognized Mayor Pro-Tem Fowler who stated that he had spoken to
Executive Director of Development Brian James this week and has agreed to have staff bring
the frontage lot width discussion item back on October 15, 2013, due to no City Council
meetings on October 1, 2013, and October 8, 2013.
14. 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 Carpenter recognized Mayor Pro-Tem Fowler stated he attended the Chamber of
Commerce Luncheon today.
Mayor Carpenter recognized Councilmember Scagliola who attended the following events:
Monday, September 16, 2013, he attended the POW MIA Ceremony at the VFW
Tuesday, September 17, 2013, Schertz Chamber of Commerce meeting
Mayor Carpenter recognized Councilmember Edwards who stated he also attended the
Schertz Chamber Luncheon. He congratulated Ms. Titterington on reaching 300 active
members of the Chamber. Councilmember Edwards congratulated Ms. Titterington.
09-17-2013 Minutes
Page- 13 -
Mayor Carpenter recognized Councilmember Verinder who stated he attended the following
events:
Friday, September 13, 2013, Investment Advisory Committee Meeting
Friday, September 13, 2013, Schertz Animal Services/Homes For Pets Fundraiser
Mayor Carpenter congratulated Council. He stated a lot of the business they conduct is
routine, 90% of the items they are asked to deal with are routine. Sometimes they are
confronted with decision where it is not routine, it?s pace setting, or it is changing a direction
of the City that will have a palatable effect over the long term. We had one of those tonight,
where the Council acted decisively and with strength and courage. He appreciates it and
congratulated each member of Council.
Adjournment
As there was no further business, the meeting was adjourned at 9:14 p.m.
__________________________________
Mayor, Michael R. Carpenter
ATTEST:
__________________________________
Deputy City Secretary, Donna Schmoekel
09-17-2013 Minutes
Page- 14 -
Agenda No. 2
CITY COUNCIL MEMORANDUM
City Council Meeting: September 24, 2013
Department: Council
Subject:Cancellation of the October 1, 2013, and
October 8, 2013 City Council meetings
BACKGROUND
City Administration finds that in observance of ?National Night Out? the City Council meeting
of October 1, 2013 should be cancelled to allow Council to participate.
City Administration also finds that a majority of the City Council will be attending the Texas
Municipal League Conference in Austin which starts October 8, 2013 and goes through October
11, 2013, and recommends cancelling the October 8, 2013 City Council meeting to allow
Council to participate.
FISCAL IMPACT
None
RECOMMENDATION
Staff recommends Council cancelling the October 1, 2013, and the October 8, 2013 regular
Council meetings.
Agenda No. 3
CITY COUNCIL MEMORANDUM
City Council Meeting: September 24, 2013
Department: EMS
Subject: Resolution No. 13-R-83 -
EMS Accounts Receivables
Adjustments
BACKGROUND:
Per City Policy, EMS is to bring our contractual and accounts receivables adjustments before City
Council for proper accounting procedures to be accomplished by the Finance Department.
FISCAL IMPACT
The first adjustments we are requesting Council to make are on private pay accounts that have been
referred to our collection agency (MVBA). These represent accounts that were sent to MVBA from May
1, 2013 through August 31, 2013. For this period we are requesting to remove $542,537.03 from our
accounts receivables account. These funds, from 494 separate accounts will continue to be pursued and if
recovered will be accounted for as miscellaneous revenue.
The second adjustment comes from our internal billing procedures. Some of these are negotiated charge
reductions, write-off?s of co-pays for citizens in the cities we serve, bills of homeless patients who we
cannot locate any longer, and bills of deceased patients who do not have insurance or estates from which
to recover EMS charges for service. The amount of this category is $14,048.92.
This period?s total adjustments are $556,585.95. This is the second Account Receivable Adjustment of
Fiscal Year 2013 and brings the adjustment total to $1,672,550.41 out of a budgeted amount of
$1,777,545.
RECOMMENDATION
Staff recommends Council approve Resolution No. 13-R-83
ATTACHMENTS
Resolution No. 13-R-83
RESOLUTION NO. 13-R-83
A RESOLUTION BY THE CITY COUNCIL OF THE CITY OF SCHERTZ,
TEXAS AUTHORIZING EMS DEBT REVENUE ADJUSTMENTS FOR
INACTIVE OUTSTANDING ACCOUNTS RECEIVABLES AFTER 180 DAYS
OF NON PAYMENT AND OTHER MATTERS IN CONNECTION THEREWITH
WHEREAS, the City staff of the City of Schertz (the ?City?) has recommended
that the City maintains quarterly debt revenue adjustments for inactive outstanding
accounts; and
WHEREAS, the City Council has determined that it is in the best interest of the
City that all inactive outstanding accounts after 180 days non payment will be sent to
City Council for consideration of EMS Billing Debt Revenue Adjustments attached
hereto as Exhibit A. (the ?Account Receivable Adjustment Register?).
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SCHERTZ,
TEXAS THAT:
Section 1. The City Council hereby authorizes the EMS Billing Debt Revenue
Adjustment on the write off audit register, 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 finding 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
Section 7. This Resolution shall be in force and effect from and after its final
passage, and it is so resolved.
PASSED AND ADOPTED, this 24th day of September, 2013.
CITY OF SCHERTZ, TEXAS
__________________________________
Mayor, Michael R. Carpenter
ATTEST:
___________________________
City Secretary, Brenda Dennis
(CITY SEAL)
Exhibit A
EMS Account Receivable Adjustment Register
May 1, 2013 ? August 31, 2013
PRIVATE PAY EMS COLLECTION ACCOUNTS:
Collection accounts with Collection Agency (01/01/13 ? 04/30/13): $542,537.03
EMS BILLING PROCEDURAL REVENUE ADJUSTMENTS:
Revenue adjustments by EMS Billing (01/01/13 ? 04/30/13): $ 14,048.92
TOTAL REQUESTED ADJUSTMENTS: $556,585.95
Agenda No. 4
CITY COUNCIL MEMORANDUM
City Council Meeting: September 24, 2013
Department: Business Office/Utility Billing
Subject:Resolution No. 13-R-84
- Utility Billing
Debt Revenue Adjustments
BACKGROUND
Goal
Our goal is to ensure that our outstanding receivables are current.
Community Benefit
By exhausting all efforts to collect outstanding debts, this will insure the lowest possible rate
to the community.
Summary of Recommended Action
It is the recommendation of the City Auditor, Debbie Fraser, to keep our receivables current.
FISCAL IMPACT
To ensure that our outstanding receivables are current, we are requesting to write-off
$4,199.82 uncollectible Water, Sewer, Garbage, and Drainage Accounts. The amounts
included in this request are for the period of January 1, 2013 through March 31, 2013. All
collections efforts have been exhausted.
RECOMMENDATION
Staff recommends City Council approve Resolution No. 13-R-84 for the Write-Off amount
$4,199.82
of.
ATTACHMENT
Resolution No. 13-R-84
Utility Billing Debt Revenue Adjustments
RESOLUTION NO. 13-R-84
A RESOLUTION BY THE CITY COUNCIL OF THE CITY OF SCHERTZ,
TEXAS AUTHORIZING UTILITY BILLING DEBT REVENUE ADJUSTMENTS
FOR INACTIVE OUTSTANDING ACCOUNTS RECEIVABLES AFTER 180
DAYS OF NON PAYMENT AND OTHER MATTERS IN CONNECTION
THEREWITH
WHEREAS, the City staff of the City of Schertz (the ?City?) has recommended
that the City maintains quarterly debt revenue adjustments for inactive outstanding
accounts; and
WHEREAS, the City Council has determined that it is in the best interest of the
City that all inactive outstanding accounts after 180 days non payment will be sent to
City Council for consideration of Utility Billing Debt Revenue Adjustments attached
hereto as ?Exhibit A?. (the ? Write Off Audit Register?).
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SCHERTZ,
TEXAS THAT:
Section 1. The City Council hereby authorizes Utility Billing Debt Revenue
Adjustment on the write off audit register, 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 finding 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
Section 7. This Resolution shall be in force and effect from and after its final
passage, and it is so resolved.
th
PASSED AND ADOPTED, this 24 day of September, 2013.
CITY OF SCHERTZ, TEXAS
__________________________________
Mayor, Michael Carpenter
ATTEST:
___________________________
City Secretary, Brenda Dennis
(CITY SEAL)
Agenda No. 5
CITY COUNCIL MEMORANDUM
City Council Meeting: September 24, 2013
Department: Public Works
Subject:Resolution No. 13-R-81 -FM 3009 &
FM 2252
? A Resolution by the City
Council of the City of Schertz, Texas
Authorizing a Release of Waterline
Easement for a 25 foot wide waterline
easement located in Comal County,
Texas originally granted to the City by
George M. Heberer and India D.
Heberer, and more specifically described
in the easement document recorded in
volume 417, page 467 of the Official
Records of Guadalupe County, Texas,
and other matters in connection
therewith.
BACKGROUND
In the winter of 2012, the City relocated water mains as requested by the Texas
Department of Transportation (TxDOT) due to conflict with their road improvements
at the intersection of FM 3009 and FM 2252. There was an existing 25?waterline
easement that was dedicated to the City in 1969 by George M. Heberer and India D.
Heberer that ran through the center of a private lot and the Public Works staff worked
with the owner to acquire a waterline easement that is more conducive to the owner
and the City. It was agreed upon that after the relocation of the waterline, the existing
25?easement would be released and the proper documents be recorded in the counties
of Comal and Guadalupe because although the Easement is located in Comal County,
the easement agreement was recorded in Guadalupe County. The project has been
completed and inspected and meets all Public Works requirements.
Goal
To release an existing 25? waterline easement that is no longer being utilized by the
City.
Community Benefit
To have a correct and up to date easement recorded with the County.
Summary of Recommended Action
Staff recommends Council approve the resolution authorizing the City Manager to
execute the necessary document to release the existing 25? waterline easement.
FISCAL IMPACT
No fiscal impact for the easement abandonment.
RECOMMENDATION
Staff recommends Council approve Resolution 13-R-81
ATTACHMENTS
Resolution 13-R-81
Exhibit A: Release of Waterline Easement
Exhibit B: Map of Property
RESOLUTION NO. 13-R-81
A RESOLUTION BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS
AUTHORIZING A RELEASE OF WATERLINE EASEMENT FOR A 25 FOOT WIDE
WATERLINE EASEMENT LOCATED IN COMAL COUNTY, TEXAS, ORIGINALLY
GRANTED TO THE CITY BY GEORGE M. HEBERER AND INDIA D. HEBERER,
AND MORE SPECIFICALLY DESCRIBED IN THE EASEMENT DOCUMENT
RECORDED IN VOLUME 417, PAGE 467 OF THE OFFICIAL RECORDS OF
GUADALUPE COUNTY, TEXAS, AND OTHER MATTERS IN CONNECTION
THEREWITH
WHEREAS
, on March 11, 1969, George M. Heberer and India D. Heberer, pursuant to
Easement Agreement
an Easement agreement (the ??), granted a 25 foot wide waterline
Easement
easement (the ??) to the Releasor over that certain real property more particularly
Property
described on Exhibit A attached hereto and incorporated herein (the ??).
WHEREAS
, although the Easement was located in Comal County, Texas, the Easement
Agreement was recorded in Guadalupe County, Texas in Volume 417, Page 467 of the Official
Records of Guadalupe County, Texas, on March 14, 1969.
WHEREASWaterline
, one or more waterlines (the ??) were located in the Easement.
WHEREAS
, because of construction occurring near the location of the Easement, the
Releasor needed to relocate the Waterline and the Easement to a new location.
WHEREAS
, the current owner of the fee simple interest in the Property has previously,
by separate instrument, granted to the Releasor a new waterline easement for the relocation of
the Waterline and the Easement.
WHEREAS
, the Releasor has completed the relocation of the Waterline and no longer
has a need for the Easement.
WHEREAS
, the Releasor has determined that it is in the Releasor?s best interest to
release the Easement.
WHEREAS
, although the Easement is located in Comal County, Texas, because the
Easement Agreement was recorded in Guadalupe County, Texas, this Release of Waterline
Easement is being recorded in both Comal and Guadalupe Counties, Texas.
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 the
Release of Waterline Easement as outlined in 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.
PASSED AND ADOPTED, this ____ day of _________, 2013.
CITY OF SCHERTZ, TEXAS
Michael R. Carpenter, Mayor
ATTEST:
Brenda Dennis, City Secretary
(CITY SEAL)
EXHIBIT A
RELEASE OF WATERLINE EASEMENT
A-1
After Recording, Please Return to:
Norton Rose Fulbright
300 Convent Street, Suite 2100
San Antonio, Texas 78205
Attention: Katherine A. Tapley
NOTICE OF CONFIDENTIALITY RIGHTS: IF YOU ARE A NATURAL PERSON,
YOU MAY REMOVE OR STRIKE ANY OR ALL OF THE FOLLOWING
INFORMATION FROM ANY INSTRUMENT THAT TRANSFERS AN INTEREST IN
REAL PROPERTY BEFORE IT IS FILED FOR RECORD IN THE PUBLIC RECORDS:
YOUR SOCIAL SECURITY NUMBER OR YOUR DRIVER?S LICENSE NUMBER.
STATE OF TEXAS §
§
COUNTIES OF COMAL AND GUADALUPE §
RELEASE OF WATERLINE EASEMENT
RELEASE OF WATERLINE EASEMENT
Thisis executed to be effective as of the
date of the acknowledgement by the City of Schertz, Texas, a Texas municipal corporation (the
Releasor
??).
WHEREAS
, on March 11, 1969, George M. Heberer and India D. Heberer, pursuant to
Easement Agreement
an Easement agreement (the ??), granted a 25 foot wide waterline
Easement
easement (the ??) to the Releasor over that certain real property more particularly
Property
described on Exhibit A attached hereto and incorporated herein (the ??).
WHEREAS
, although the Easement was located in Comal County, Texas, the Easement
Agreement was recorded in Guadalupe County, Texas in Volume 417, Page 467 of the Official
Records of Guadalupe County, Texas, on March 14, 1969.
WHEREASWaterline
, one or more waterlines (the ??) were located in the Easement.
WHEREAS
, because of construction occurring near the location of the Easement, the
Releasor needed to relocate the Waterline and the Easement to a new location.
WHEREAS
, the current owner of the fee simple interest in the Property has previously,
by separate instrument, granted to the Releasor a new waterline easement for the relocation of
the Waterline and the Easement.
WHEREAS
, the Releasor has completed the relocation of the Waterline and no longer
has a need for the Easement.
WHEREAS
, the Releasor has determined that it is in the Releasor?s best interest to
release the Easement.
Page 1
50678604.1
WHEREAS
, although the Easement is located in Comal County, Texas, because the
Easement Agreement was recorded in Guadalupe County, Texas, this Release of Waterline
Easement is being recorded in both Comal and Guadalupe Counties, Texas.
NOW THEREFORE,
for Ten and No/100 Dollars ($10.00) and other good and valuable
consideration, the adequacy and receipt of which is acknowledged, Releasor has
ABANDONED, RELEASED, QUITCLAIMED, DISCHARGED DOES HEREBY
andand
ABANDON, RELEASE, QUITCLAIM, DISCHARGE
and the Easement.
[ Signature and acknowledgment on the following page ]
Page 2
50678604.1
SIGNATURE PAGE TO
RELEASE OF WATERLINE EASEMENT
IWW,the undersigned has executed this Release of Waterline Easement
NITNESSHEREOF
to be effective as of the date of the acknowledgment.
R:
ELEASOR
CS,T,
ITY OF CHERTZEXAS
a Texas municipal corporation
By:
John C. Kessel, City Manager
THE STATE OF TEXAS §
§
COUNTY OF GUADALUPE §
This instrument was executed before me on this ___ day of __________________, 2013,
by John C. Kessel, the City Manager of the City of Schertz, Texas, a Texas municipal
corporation, on behalf of said City.
[ Seal ]
_____________________________________
,
NOTARY PUBLIC STATE OF TEXAS
S-1
50678604.1
EXHIBIT A TO
RELEASE OF WATERLINE EASEMENT
THE PROPERTY
50678604.1 Exhibit A, Page 1
Agenda No.6
CITY COUNCIL MEMORANDUM
City Council Meeting: September 24, 2013
Department: Public Works
Subject:Resolution No. 13-R-82
? Approving
agreements for one (1) 16-foot Permanent
Sanitary Sewer Easement and one (1) 25-foot by
25-foot Turnaround Sanitary Sewer Easement
with Schertz Commercial Park, L.P. in the
Northcliffe Plaza Development and all others
matters connected therewith.
BACKGROUND
Schertz Commercial Park, L.P. is in the process of developing the Northcliffe Plaza
Subdivision located at the intersection of Country Club Blvd. and IH-35. The developer
needs to extend a sewer line to his property. To do so, a 16? Sanitary Sewer Line Easement
and a 25?x25? Sanitary Sewer Turnaround Easement are needed. Usually, this process would
be done at the time of platting, but the property is already platted and in the site plan process
now.
Goal
To accept two (2) Permanent Sanitary Sewer Easement Agreements from Schertz Commercial
Park, L.P.
Community Benefit
To ensure that all citizens and businesses of Schertz have access to and use of the necessary and
required infrastructure for sewer and water services.
Summary of Recommended Action
Staff recommends Council approve the resolution authorizing the City Manager to execute
and deliver the easement agreements with Schertz Commercial Park, L.P. in substantially the
form set forth on Exhibit A.
FISCAL IMPACT
No fiscal impact for the easement dedication.
RECOMMENDATION
Staff recommends Council approve Resolution 13-R-82
ATTACHMENTS
Resolution 13-R-82
Exhibit A: Two (2) Permanent Sewer Easement Agreements with location map
RESOLUTION NO. 13-R-82
A RESOLUTION BY THE CITY COUNCIL OF THE CITY OF
SCHERTZ, TEXAS APPROVING AGREEMENTS FOR ONE (1) 16-FOOT
PERMANENT SANITARY SEWER EASEMENT AND ONE (1) 25-FOOT
BY 25-FOOT TURNAROUND SANITARY SEWERLINE EASEMENT
FROM SCHERTZ COMMERCIAL PARK, L.P. IN THE NORTHCLIFFE
PLAZA DEVELOPMENT AND OTHER MATTERS IN CONNECTION
THEREWITH
WHEREAS, the City staff of the City of Schertz (the ?City?) has recommended that the
City enter into agreements for one (1) 16-foot Permanent Sanitary Sewer Easement Agreement
and one (1) 25-foot by 25-foot Turnaround Sanitary Sewer Easement Agreement with Schertz
Commercial Park, L.P. ; and
WHEREAS, the City Council has determined that it is in the best interest of the City to
contract with Schertz Commercial Park, L.P. pursuant to the one (1) 16-foot Permanent Sanitary
Sewer Easement and one (1) 25-foot by 25-foot Turnaround Sanitary Sewer Easement
Agreements attached hereto as Exhibit A (the ?Agreements?).
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 Agreements with Schertz Commercial Park, L.P. 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.
PASSED AND ADOPTED, this 24th day of September, 2013.
CITY OF SCHERTZ, TEXAS
Michael R. Carpenter, Mayor
ATTEST:
Brenda Dennis, City Secretary
(CITY SEAL)
EXHIBIT A
EASEMENT AGREEMENTS
A-1
Agenda No. 7
CITY COUNCIL MEMORANDUM
City Council Meeting: September 24, 2013
Department: Development Services
Resolution No. 13-R-85
? Consideration and/or
Subject:
action approving a Resolution authorizing and
agreement with AACOG regarding transit services.
(B. James/B. James)
BACKGROUND:
Currently, Schertz residents benefit from access to ART, the rural transit system operated by the Alamo
Area Council of Governments (AACOG). While the number of passenger trips for our residents is
modest, approximately 930, this option for transit is important to those who use the transit service.
Almost 75 percent of those who use this service are seniors and almost half the trips are for medical
appointments (non-Medicaid). The ability to use transit makes it possible for these residents to be
independent and improves quality of life.
Up until recently, funds to operate rural transit were provided by the Texas Department of Transportation
(TxDOT) from federal and state funds for rural areas. As a result of the 2010 Census, Schertz was
recently included in the San Antonio urbanized area and Rural Transit funds cannot be used to fund this
service. Instead, funds provided to VIA for service to Large Urban Areas can be used. This funding does
require a local match from the City of Schertz. As part of the 2013-1014 Budget, the City allocated
$22,000 for FY 2013-2014. Slightly more funding was available from VIA than had been anticipated,
which increases the City?s match by $20.00 to $22,020. Staff will administratively move the necessary
$20.00 from Contingencies to cover this.
Staff is recommending that the City enter into an agreement with AACOG to continue to provide
transportation services.
FISCAL IMPACT
For the 2013-2014 FY, the fiscal impact is $22,020. Staff anticipates this amount will likely increase over
time as demand for the service increases.
RECOMMENDATION
Staff recommends Council approve Resolution No. 13-R-85
ATTACHMENTS
Resolution No. 13-R-85
Draft Agreement with AACOG
City Council Memorandum
Page 2
Schertz/Cibolo Data
FTA Formula Funds Generated
Memo-Resolution.doc
RESOLUTION NO. 13-R-85
A RESOLUTION BY THE CITY COUNCIL AUTHORIZING AN
AGREEMENT WITH THE ALAMO AREA COUNCIL OF
GOVERNMENTS (AACOG) TO PROVIDE FUNDING UP TO $22,020
FOR TRANSIT SERVICES IN THE CITY OF SCHERTZ.
WHEREAS the Alamo Area Council of Governments (AACOG) has been providing
rural transit services to Schertz through the ART program, and
WHEREAS as a result of the 2010 Census the City of Schertz is now part of the San
Antonio Urbanized Area, and
WHEREAS, as a result of this designation, Rural Transit funds can no longer be used to
support this service, and
WHEREAS, VIA Metropolitan Transit is the designated recipient for Urban Funds which
can be used to support this program, and
WHEREAS a local match of $22,020.00 is required for the upcoming 2013-2014 Fiscal
Year,
WHEREAS AACOG has been designated by VIA as the recipient of funds to continue to
provide transit services,
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS
THAT:
Section 1.The City Council desires to enter into an agreement with AACOG to
provide match funds of $22,020.00 in order for the Alamo Area Council of Governments
(AACOG) to continue to provide this transportation service generally per the agreement attached
as 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
-1-
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.
th
PASSED AND ADOPTED, this 24 day of September, 2013.
CITY OF SCHERTZ, TEXAS
Mayor, Michael R. Carpenter
ATTEST:
City Secretary, Brenda Dennis
(CITY SEAL)
-2-
Exhibit ?A?
Agreement with AACOG
-3-
INTERLOCAL AGREEMENT FOR
City of Schertz Demand-response Route
Article 1. Parties and Purpose
1.1 The Alamo Area Council of Governments ("AACOG") is a regional planning
commission and political subdivision of the State of Texas, organized and
operating under the Texas Regional Planning Act of 1965, as amended, Chapter
391 of the Local Government Code.
1.2 The City of Schertz (the "City") is a home rule municipality, located in Bexar,
Comal, and Guadalupe County Counties, Texas.
1.3 This Interlocal Agreement (the ?Agreement?) for provision of demand-response
public transportation services by AACOG for the City is entered into by and
between the City and AACOG, as authorized under Chapter 791 of the Texas
Government Code.
Article 2. Definitions
2.1 Curb-to-curb. Picking up and discharging passengers at the curb or driveway in
front of their home or destination. The driver does not assist or escort passengers
to the door.
2.2 Demand-response. A non-fixed route system of transporting individuals in which
individual passengers may, at least one day in advance, request a trip from one
specific location to another specific location at a certain time.
2.3 Designated holidays. Christmas Day, Independence Day, Labor Day, Memorial
Day, New Year?s Day, and Thanksgiving.
Article 3. Goods and Services
3.1 For the City?s financial commitment below, AACOG agrees to furnish the City with
a demand-response, curb-to-curb, public transportation service in response to
requests made by residents of City to AACOG?s Alamo Regional Transit (ART).
The service will be open to the public and run Monday through Friday from 7:00
a.m. to 6:00 p.m. for 52 weeks per year, excluding designated holidays. AACOG
will provide for the following:
a. Vehicles having wheelchair accessibility;
b. Necessary, trained personnel to operate the demand-response service;
c. Operating & administrative activities and expenses associated with operation of
the demand-response transportation service;
Page 1 of 5
d. Ensuring all vehicles used in service to City are well maintained to afford
comfortable, safe, and reliable transportation for the City?s residents.
3.2 In return for provision of AACOG?s demand-response transportation service, the
City agrees:
a. To provide AACOG with financial support for Fiscal Year 2014 operations in the
amount of twenty two thousand, twenty dollars ($22,020) (the ?Financial
Contribution?) to help defray operating costs of the demand-response service;
b. To continue financial support of the demand-response service to AACOG in
succeeding fiscal years, so long as the City wishes the transportation services
to continue;
c. That the vehicles used shall not be for the exclusive use by or benefit of City?s
residents, residents shall have no expectation of riding alone or only with other
City residents, and the City shall have no ownership right in the vehicles
engaged in these services; and
d. It shall, for both Fiscal Year 2014 and all subsequent years it may wish to
continue this service, make contributions for performance of the transportation
services from current revenues available to it.
Article 4. Agreement Sum and Payment Terms
4.1 The parties have agreed to the City?s Contribution for Fiscal year 2014.
4.2 The City and AACOG agree to meet annually, at a mutually agreeable time
sufficiently in advance of the City?s budget cycle for the fiscal year to which the
Financial Contribution is to apply, to negotiate and agree to the City?s Financial
Contribution for the next fiscal year.
st
4.3 AACOG shall invoice the City for the Financial Contribution on or about October 1
of each year, beginning in 2013.
4.4 The City shall contribute to AACOG the total Financial Contribution by November
1st, 2013. The City shall contribute all future agreed upon Financial Contributions
for succeeding years by November 1st of the applicable fiscal year.
Article 5. Effective Date and Term of Agreement
5.1 This Agreement shall be for a period of one (1) year, beginning October 1, 2013
and ending on September 30, 2014.
5.2 This Agreement shall renew automatically for successive one-year periods unless
either party notifies the other at the address provided at Article 9 at least sixty (60)
days prior to the then current expiration date of its intention to not renew the
Agreement.
Page 2 of 5
Article 6. Nondiscrimination and Equal Opportunity
6.1. Neither AACOG nor the City shall exclude anyone from participating in and
receiving benefits of the services provided under this Agreement, or otherwise
unlawfully discriminate against anyone in carrying out this Agreement because of
race, color, religion, sex, age, disability, veteran status, or national origin.
Article 7. Early Termination of Agreement
7.1 If either AACOG or the City breaches a material provision of this Agreement, the
other party may notify the breaching party, describing the breach and demanding
corrective action be taken. The breaching party shall have five (5) business days
from its receipt of notice to correct the breach or to begin and continue with
reasonable diligence and in good faith to correct the breach. If the breach cannot
be corrected within a reasonable time, despite the breaching party's reasonable
diligence and good faith effort to do so, the parties may agree to terminate this
Agreement or either party may invoke the dispute resolution process of Article 8.
7.2 Termination for breach under Section 7.1 does not waive either party's claim for
damages resulting from the breach.
Article 8. Dispute Resolution
8.1 The parties desire to resolve disputes arising under this Agreement without
litigation. Accordingly, if a dispute arises, the parties agree to attempt in good faith
to resolve the dispute among them. To this end, the parties agree not to sue one
another, except to enforce compliance with this Article 8, until they have exhausted
the procedures set out in this Article.
8.2 At the written request of a party, each party shall appoint one representative to
negotiate informally and in good faith to resolve any dispute arising under the
Agreement. The representatives appointed shall determine the location, format,
frequency, and duration of the negotiations.
8.3 If the representatives cannot resolve the dispute within thirty (30) calendar days
after the first negotiation meeting, the parties agree to refer the dispute to the
Bexar County Dispute Resolution Center for mediation in accordance with the
Center's mediation procedures. A mediator assigned by the Center will conduct
the mediation. Each party participating in the mediation shall pay one-half the cost
of the Center's mediation services.
8.4 Unless the dispute is for non-payment of funds due under the Agreement, the
parties agree to continue performing their duties under the Agreement, which are
unaffected by the dispute during the negotiation and mediation process.
8.5 All terms of this Agreement are to be construed in accordance with the laws of the
State of Texas with venue lying exclusively in Bexar County.
Page 3 of 5
Article 9. Notice to Parties
9.1 Notice to be effective under this Agreement must be in writing and received by the
party against whom it is to operate. Notice is deemed received by a party as
follows: (1) when delivered to the party personally; (2) on the date shown on the
return receipt if mailed by registered or certified mail, return receipt requested, to
the party's address specified in paragraph 8.2 and signed on behalf of the party; or
(3) three business days after its deposit in the United States mail, with first-class
postage affixed, addressed to the party's address specified in paragraph 9.2.
9.2 AACOG's address is 8700 Tesoro Drive, Suite 700, San Antonio, Texas 78217,
Attention: Dean J. Danos, Executive Director. The City?s address is 1400 Schertz
Parkway, Schertz, Texas 78154, Attention: John Kessel, City Manager.
9.3 A party may change its address or designated representative by providing notice of
the change in accordance with paragraph 9.1.
Article 10. Limitation of Liability
10.1 AACOG agrees to maintain all vehicle, liability, and workers compensation
insurance as legally required by the Texas Department of Transportation.
10.2 Damages. In no event shall AACOG be liable to the City for any indirect, special,
incidental, punitive, or consequential damages, including, but not limited to, loss of
profits, loss of business, or other loss arising out of or resulting from this
agreement even if AACOG has been advised of the possibility of such damages.
Article 11. Miscellaneous
11.1 Each individual signing this Agreement on behalf of a party warrants that he or she
is legally authorized to do so and that the party is legally authorized to perform the
obligations undertaken.
11.2 This Agreement states the entire agreement of the parties, and an amendment to it
is not effective unless in writing and signed by both parties.
11.3 This Agreement is binding on and inures to the benefit of the parties' successors in
interest.
11.4 This Agreement is executed in duplicate originals.
11.5 The invalidity, illegality, or unenforceability of any provision of this Agreement shall
not affect the validity, legality, or enforceability of any other provision of this
Agreement.
11.6 Nothing in this Agreement shall be construed as a waiver either Party?s statutory or
common law immunities.
Page 4 of 5
PASSEDANDAPPROVEDAACOG_______________________
BY ON THE DAY OF
2013.
IN DUPLICATE ORIGINALS
ALAMOAREACOUNCIL
OFGOVERNMENTS
_____________________________
DJ.D
EAN ANOS
ED
XECUTIVE IRECTOR
PASSEDANDAPPROVEDCS_____
BY THE ITY OF CHERTZ ON THE DAY OF
_____________2013.
IN DUPLICATE ORIGINALS
CITYOFSCHERTZ
_____________________________
JK
OHNESSEL
CM
ITYANAGER
Page 5 of 5
Agenda No. 8
CITY COUNCIL MEMORANDUM
City Council Meeting: September 24, 2013
Department: Investment Advisory Committee
Subject: Resolution No.13-R-86 Revising the City
of Schertz Investment Policy
BACKGROUND
The City of Schertz Investment Policy requires an annual review of the Investment Policy. On
September 13, 2013, the Investment Advisory Committee met to review the policy. The
Committee recommends adding a training component to the City of Schertz Investment Policy.
The recommended change would read as follows:
Investment Training
City staff preparing or signing the investment report are required to receive 10 hours
training pertaining to the Texas Public Funds Investment Act within the first 12 months
after assuming duties and 10 hours every 2 years thereafter. Training for city council
officials on the Investment Committee is recommended to provide education and
knowledge pertaining to the Public Funds Investment Act but the training is not
mandatory.
GOAL:
To complete annual review of the City of Schertz Investment Policy.
COMMUNITY BENEFIT:
The community benefits by knowing Investment Committee members are being trained and
educated on a regular basis to ensure the city?s investments are being managed in a prudent and
safe manner as outlined by the Texas Public Funds Investment Act.
FISCAL IMPACT
There will not be any fiscal impact.
RECOMMENDATION
Staff recommends approval of Resolution No.13-R-86
City Council Memorandum
Page 2
ATTACHMENT
Resolution No. 12-R-__75, with City of Schertz Investment Policy attached.
RESOLUTION NO. 13-R-86
A RESOLUTION BY THE CITY COUNCIL OF THE CITY OF
SCHERTZ, TEXAS AUTHORIZING ADOPTION OF THE CITY OF
SCHERTZ INVESTMENT POLICY.
WHEREAS, the City of Schertz Investment Policy requires an annual review by the City
Council (the ?City Council?) and after such review the City of Schertz (the ?City?) has
determined that it is in the best interest of the City to adopt the City of Schertz Investment
Policy, now, therefore,
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS
THAT:
The City Council hereby adopts the City of Schertz Investment Policy and
Section 1.
is repealing any and all prior changes and amendments to Investment Policy attached as Exhibit
A.
The City of Schertz Investment Policy requires an annual review by the
Section 2.
City Council and after review the City Council recommends adding the following training
component to the Investment Policy.
Investment Training - City staff preparing or signing the investment report
Section 3.
are required to receive 10 hours training pertaining to the Texas Public Funds Investment Act
within the first 12 months after assuming duties and 10 hours every 2 years thereafter. Training
for City Council Officials on the Investment Committee is recommended to provide education
and knowledge pertaining to the Public Funds Investment Act but the training is not mandatory.
All resolutions, or parts thereof, which are in conflict or inconsistent with
Section 4.
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.
This Resolution shall be construed and enforced in accordance with the
Section 5.
laws of the State of Texas and the United States of America.
If any provision of this Resolution or the application thereof to any person
Section 6.
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.
It is officially found, determined, and declared that the meeting at which
Section 7.
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.
This Resolution shall be in force and effect from and after its final
Section 8.
passage, and it is so resolved.
PASSED AND ADOPTED, this 24th day of September, 2013.
CITY OF SCHERTZ, TEXAS
Mayor, Michael R. Carpenter
ATTEST:
City Secretary, Brenda Dennis
(CITY SEAL)
EXHIBIT A
CITY OF SCHERTZ, TEXAS INVESTMENT POLICY
See attached
A-1
CITY OF SCHERTZ, TEXAS
INVESTMENT POLICY
TABLE OF CONTENTS
I. INVESTMENT SCOPE
...........................................................................................................1
General Statement
............................................................................................................1
Funds Included
..................................................................................................................1
Funds Excluded
.................................................................................................................1
II. INVESTMENT OBJECTIVES
.............................................................................................1
General Statement
............................................................................................................1
Safety
..................................................................................................................................2
Liquidity
.............................................................................................................................2
Diversification
...................................................................................................................2
Yield
...................................................................................................................................2
Maturity
.............................................................................................................................3
Quality And Capability of Investment Management
....................................................3
Public Trust
.......................................................................................................................4
Portfolio Management
......................................................................................................4
Investment Strategy
..........................................................................................................4
III. INVESTMENT RESPONSIBILITY AND CONTROL
....................................................4
City's Investment Delegate
...............................................................................................4
Selecting And Processing Investments
............................................................................5
Documenting Investments And Providing Details
.........................................................5
Developing Cash Flow Projections For All Portfolios
...................................................5
Determining Cash Available For Investment
.................................................................5
Monitoring Investment Performance
..............................................................................5
Reconciling Investment Records And General Ledger
.................................................6
Allocating Interest Revenue
.............................................................................................6
Providing Revenue Estimates For All Portfolios
...........................................................6
Prudence
............................................................................................................................6
Business Relationships of City Manager (or his/her designee)
.....................................6
Liability of City Manager (or his/her designee)
.............................................................7
IV. INVESTMENT REPORTING
.............................................................................................7
Quarterly Report
..............................................................................................................7
Investment Advisory Committee
.....................................................................................8
Annual Review
..................................................................................................................8
Investment Training
.........................................................................................................8
Notification of Investment Changes or Defaults
............................................................9
Compliance Audit
.............................................................................................................9
V. INVESTMENT INSTRUMENTS
.........................................................................................9
Authorized Investment Instruments
...............................................................................9
VI. INVESTMENT INSTITUTIONS
.......................................................................................12
-i-
Investment Institutions Defined
.....................................................................................12
Selection of Bank And Securities Dealers
.....................................................................13
VII. INVESTMENT COLLATERAL AND SAFEKEEPING
...............................................13
Collateral or Insurance For Deposits
............................................................................13
Safekeeping
......................................................................................................................14
Delivery vs. Payment
......................................................................................................14
-ii-
I. INVESTMENT SCOPE
General Statement
This policy (this ?Policy?) serves to satisfy the statutory requirement of the Public Funds
Investment Act, as amended, Texas Government Code Chapter 2256, as amended (the ?Act?), to
define and adopt a formal written investment policy for the City of Schertz, Texas (the ?City?).
The City shall be authorized to invest its funds pursuant to the provisions of the Act and this
Policy or, upon obtaining the prior approval of the City Council of the City (the ?City Council?),
any other applicable law.
Funds Included
This Policy applies to all City funds under the direct control of the City, at the present
time any funds to be received in the future and any other funds held in custody by the City,
unless expressly prohibited by law or unless it is in contravention of any depository contract
between the City and any depository bank.
The City funds that are entrusted to the City Council for investment pursuant to this
Policy are divided into the following portfolios based on the source of funds:
The operating account portfolio that consists of funds from the general fund and
all other miscellaneous funds.
The agency funds portfolio, which consists of all agency funds.
Special Revenue, Special Assessment, and all other City funds.
Funds Excluded
This Policy shall not be applicable to any funds on deposit in any bond account, reserve
account, or capital improvement construction account. The provisions of the ordinances
authorizing the issuance of these debt obligations and the provisions of the Internal Revenue
Code of 1986, as amended control the investment of funds on deposit in these accounts.
II. INVESTMENT OBJECTIVES
General Statement
Funds of the City will be invested in accordance with the Act, this Policy, written
investment strategy, and written administrative procedures to be developed by the City Manager
(or his/her designee). The City's investment portfolio shall be managed in a manner to attain the
maximum rate of return allowed through prudent and legal investing of City funds while
preserving and protecting capital in the overall portfolio.
1
Safety
The primary objective of the City for all portfolios and funds is to ensure the safety of the
principal. All investment transactions shall first seek to avoid capital losses.
Liquidity
The City's investment portfolio must be structured in a manner that will provide the
liquidity necessary to meet all operating requirements which might reasonably be anticipated,
and to pay obligations as they become due.
Diversification
The policy of the City, except when investing with the City?s depository bank or in U.S.
Treasury Bills, Bonds or Notes, will be to diversify its investment portfolio when investing in
certificates of deposit of other banks and savings and loans domiciled in Texas, repurchase
agreements, U.S. agencies securities, and other investment instruments provided for by law. The
City's portfolio shall be diversified to eliminate the risk of loss resulting from over concentration
of assets in a specific maturity, a specific issuer or a specific class of investments. Investments
of the City shall always be selected to provide stability of income and reasonable liquidity.
Liquidity is defined as the ability to sell an investment at reasonable cost under adverse market
conditions.
In establishing specific diversification strategies, the following general polices and
constraints shall apply:
(1) Portfolio maturities shall be staggered in a way that avoids undue concentration of
assets in a specific maturity sector. Maturities shall be selected which provide for
stability of income and reasonable liquidity.
(2) Liquidity shall be maintained through practices that ensure that the next
disbursement date and payroll date are covered through current revenues,
maturing investments, or marketable securities.
(3) Risks of market price volatility shall be controlled through maturity
diversification.
Yield
It is the objective of the City to earn the maximum rate of return allowed on its
investments within the constraints imposed by its safety and liquidity objectives, and the
applicable law governing the investment of public funds.
The City must invest its portfolios in eligible investments that yield the highest possible
rate of return while providing the necessary protection of the principal. The City seeks to
optimize return on investments in all portfolios. The average minimum rate of return for the
2
entire portfolio, excluding funds needed for current obligations, must be at least equal to a no
default risk rate of return indicator, such as the return on the three-month Treasury bill. If funds
are subject to yield restrictions due to federal arbitrage regulations, those funds are excluded
from the yield calculation. The City may only invest in a particular eligible investment if its
yields are equal to or greater than the bond equivalent yield on United States Treasury
obligations of comparable maturity. The City Council may establish additional appropriate
criteria for investment performance measures.
Maturity
Portfolio maturities will be staggered to achieve the highest return of interest but at the
same time provide for the necessary liquidity to meet the City's cash needs.
City funds shall be invested only in investments whose maturities do not exceed five
years at the time of purchase, except, if permissible, funds accumulated for debt service
payments, bond fund reserve accounts, and registry trust funds. In addition, the average maturity
of the overall portfolio, excluding those investments held for future major capital expenditures
and registry trust funds, shall not exceed 4.5 years.
Quality and Capability of Investment Management
It is the City's policy to provide for periodic training in investments as required by the
Act for the City Manager through courses and seminars offered by professional organizations
and associations in order to ensure the quality and capability of the City Manager (or his/her
designee) in making investment decisions. The treasurer, the chief financial officer if the
treasurer is not the chief financial officer, and the City Manager (or his/her designee) of the City
shall:
(1) attend at least one training session from an independent source approved by the
City Council of the City or the Investment Advisory Committee advising the City
Manager (or his/her designee) as provided for in the Policy of the City and
containing at least 10 hours of instruction relating to the treasurer?s or officer?s
responsibilities under this Policy within 12 months after taking office or assuming
duties; and
(2) attend an investment training session not less than once in a two-year period and
receive not less than 10 hours of instruction relating to investment responsibilities
under this Policy from an independent source approved by the City Council of the
City or the Investment Advisory Committee advising the City Manager (or his/her
designee) as provided for in the Policy of the City.
Training under this Policy must include education in investment controls, security risks,
strategy risks, market risks, diversification of investment portfolio, and compliance with the Act.
3
Public Trust
It will be the objective of the City to act responsibly as custodians of the public trust.
Portfolio Management
Under this Policy all investments will be made with the intent of pursuing, at the time of
purchase, the best rate of return on securities held until maturity, and not with the intent of
speculative trading. However, securities may be sold before maturity if market conditions
present an opportunity for the City to benefit from this transaction.
Investment Strategy
As a part of its Policy, the City shall adopt a separate written investment strategy for each
of the funds or groups of funds under its control. Each investment strategy must describe the
investment objectives for the particular fund using the following priorities in order of
importance:
(1) Understanding of the suitability of the investment to the financial requirements of
the City;
(2) Preservation and safety of principal;
(3) Liquidity;
(4) Marketability of the investment if the need arises to liquidate the investment
before maturity;
(5) Diversification of the investment portfolio; and
(6) Yield.
III. INVESTMENT RESPONSIBILITY AND CONTROL
City's Investment Delegate
In accordance with Section 2256.005 of the Act, the City Manager (or his/her designee) is
designated as the officer responsible for the investment of the City's funds. The City Manager
(or his/her designee) is the primary manager of City investment portfolios, and shall develop and
maintain written administrative procedures for the operation of the investment program,
consistent with this Policy, including the following:
(1) Summarizing the economic and market analysis;
(2) Forecasting available cash for investments;
4
(3) Formulating strategies for asset mix, investment instruments, maturities, and
target yields;
(4) Monitoring performance against the current investment strategy and evaluating
reasons for variances;
(5) Reporting portfolios performance for the previous quarter to the City Council; and
(6) Revising the investment strategy based on recommendations by the Investment
Advisory Committee.
Selecting and Processing Investments
The City Manager (or his/her designee) reviews the composition of the current portfolio
and determines whether the securities under consideration maintain the portfolio within the
guidelines established by this Policy, subchapter A of the Act, and all federal, state, and local
statutes, rules or regulations.The City Manager (or his/her designee) approves the wire transfer
form authorizing the transfer of funds for a specific investment transaction.
Documenting Investments and Providing Details
The City Manager (or his/her designee) retains documentation of all investment
transactions, including any bond swaps. The City Manager (or his/her designee) provides
information and supporting documentation for all investment transactions for entry in the
General Ledger. The City Manager (or his/her designee) will utilize information and back-up
documentation on all investment transactions to ensure accurate calculation of cash position and
accurate posting to appropriate accounts.
Developing Cash Flow Projections for All Portfolios
The City Manager (or his/her designee) analyzes prior period data and develops and
amends cash flow projections of the City's cash requirements. The City Manager (or his/her
designee) uses cash flow projections to match assets and liabilities in order to maximize the
return on investments.
Determining Cash Available for Investment
The City Manager (or his/her designee) determines the amount of City funds available for
investment each business day. All funds that can be legally invested and that are not required for
that day's disbursements are considered funds available for investment.
Monitoring Investment Performance
The City Manager (or his/her designee) must routinely perform market and economic
analysis to forecast probable market conditions for the investment period by assembling and
5
analyzing current and trend data to develop and plan investment strategy. This analysis uses
information obtained from investment advisors, brokers, and investment industry publications.
The City Manager (or his/her designee) monitors the current and expected yield curves
for interest rate movements. When interest rates are expected to decline, maturity ranges are
extended within portfolio and the constraints of this Policy. When interest rates are expected to
increase, maturity ranges are shortened. The City Manager (or his/her designee) monitors yield
spreads between various government agency issues and United States notes and bonds to
determine the best value. The City Manager (or his/her designee) summarizes economic and
market trend information and presents recommendations for investments strategy based on
economic and market conditions to the City Council and the Investment Advisory Committee.
Reconciling Investment Records and General Ledger
The City Manager (or his/her designee) prepares a monthly report that includes
information such as identifying investments at par value, identifying CUSIP number, disclosing
the premium or discount, and the interest purchased for the City's investments. The report
includes monthly and year-to-date interest accruals and amortization/accretion of
premium/discount. This report should reconcile to the investment accounts in the General
Ledger.
Allocating Interest Revenue
The City Manager (or his/her designee) allocates the interest revenue earned from
investments proportionately to all accounts that participate in the investment function.
Providing Revenue Estimates for All Portfolios
The City Manager (or his/her designee) provides an estimate of the investment revenue
for the annual budget by August 1 of each year.
Prudence
Investments of the City shall be made with judgment and the exercise of due care, under
prevailing circumstances, that a person of prudence, discretion and intelligence would exercise in
the management of the person's own affairs, not for speculation, but for investment, considering
the probable safety of capital, as well as the probable income to be derived for the City. Unless
authorized by law, a person may not deposit, withdraw, transfer, or manage in any other manner
the funds of the City.
Business Relationships of City Manager (or his/her designee)
The City Manager (or his/her designee) must file a statement with the City Council and
the Texas Ethics Commission of any personal business relationship that the City Manager (or
his/her designee) may have with a business organization as defined in the Act offering to engage
6
in an investment transaction with the City. A personal business relationship is defined by
Section 2256.005 of the Act to exist if
(1) The investment officer owns 10% or more of the voting stock or shares of
the business organization or owns $5,000 or more of the fair market value
of the business organization;
(2) Funds received by the investment officer from the business organization
exceed 10% of the investment officer's gross income for the previous year;
or
(3) The investment officer has acquired from the business organization during
the previous year investments with a book value of $2,500 or more for the
personal account of the investment officer.
Liability of City Manager (or his/her designee)
The City Manager (or his/her designee) is not responsible for any loss of the City funds
through the failure or negligence of a depository bank or other financial or investment institution
as described in Article VI of this Policy.
IV. INVESTMENT REPORTING
Quarterly Report
The City Manager (or his/her designee) will continually monitor and evaluate the City's
investments, and report quarterly to the City Council as provided in Section 2256.023 of the Act.
The report must:
(1) describe in detail the investment position of the City on the date of the report;
(2) be prepared jointly by all investment officers of the City;
(3) be signed by each investment officer of the City;
(4) contain a summary statement, prepared in compliance with generally accepted
accounting principles, of each pooled fund group that states the:
(a) beginning market value for the reporting period;
(b) additions and changes to the market value during the period;
(c) ending market value for the period; and
(d) fully accrued interest for the reporting period;
7
(5) state the book value and market value of each separately invested asset at the
beginning and end of the reporting period by the type of asset and fund type
invested;
(6) state the maturity date of each separately invested asset that has a maturity date;
(7) state the account or fund or pooled group fund in the City for which each
individual investment was acquired; and
(8) state the compliance of the investment portfolio of the City as it relates to:
(a) the investment strategy expressed in the City's investment policy; and
(b) relevant provisions of the Act.
The report shall be presented not less than quarterly to the City Council and the City
Manager of the City within a reasonable time after the end of the period.
If the City invests in other than money market mutual funds, investment pools or
accounts offered by its depository bank in the form of certificates of deposit, or money market
accounts or similar accounts, the reports prepared by the investment officers under this section
shall be formally reviewed at least annually by an independent auditor, and the result of the
review shall be reported to the City Council by that auditor.
Investment Advisory Committee
An Investment Advisory Committee composed of the City Manager (as Chair), Executive
Directors, the Mayor, Chief of Staff, Finance Director, Assistant Finance Director,
Budget/Financial Analyst, and one member of the City Council will meet no less than once
semiannually to review the last two quarterly reports prepared by the City Manager (or his/her
designee) and review the Investment Objectives, Investment Responsibility and Control, and
Investment Instruments as established by this Policy and the Act.
Annual Review
This Policy and investment strategy will be reviewed by City Council annually. The City
Council shall adopt a written rule, order, ordinance, or resolution stating that it has reviewed the
Policy and investment strategy and shall record in the order, ordinance or resolution any changes
made to either the Policy or investment strategy.
Investment Training
City staff preparing or signing the investment report are required to receive 10 hours
training pertaining to the Texas Public Funds Investment Act within the first 12 months after
assuming duties and 10 hours every 2 years thereafter. Training for city council officials on the
8
Investment Committee is recommended to provide education and knowledge pertaining to the
Public Funds Investment Act but the training is not mandatory.
Notification of Investment Changes or Defaults
It shall be the duty of the City Manager (or his/her designee) to notify the City Council of
any significant changes in current investment methods and procedures prior to their
implementation and to immediately notify the City Council in the event of a default or
nonpayment of any investment acquired with City funds. In addition, the City Council in its
annual review of the Policy shall adopt any order, ordinance, or resolution establishing its annual
review and record any changes to the Policy or investment strategies.
Compliance Audit
The City, in conjunction with its annual financial audit, shall perform a compliance audit
of management controls on investments and adherence to the Policy.
V. INVESTMENT INSTRUMENTS
Authorized Investment Instruments
The City Manager (or his/her designee) shall use any or all of the following authorized
investment instruments consistent with governing law:
(1) Obligations, including letters of credit, of the United States or its agencies
and instrumentalities;
(2) Direct obligations of the State of Texas or its agencies and
instrumentalities;
(3) Collateralized mortgage obligations directly issued by a federal agency or
instrumentality of the United States, the underlying security for which is
guaranteed by an agency of instrumentality of the United States;
(4) Other obligations, the principal of and interest of which are
unconditionally guaranteed or insured by, or backed by the full faith and
credit of the State of Texas or the United States or their respective
agencies and instrumentalities;
(5) Obligations of states, agencies, counties, cities, and other political
subdivisions of any state having been rated as to investment quality by a
nationally recognized investment rating firm and having received a rating
of not less than A or its equivalent;
9
(6) Certificates of deposit issued by a state or national bank domiciled in this
State, a savings bank domiciled in this State or a state or federal credit
union domiciled in this State that are
(A) Guaranteed or insured by the Federal Deposit Insurance
Corporation or its successor or the National Credit Union Share
Insurance Fund or its successor; or
(B) Secured by obligations that are described by subdivisions (1)-(6) of
this subsection, including mortgage-backed securities directly
issued by a federal agency or instrumentality that have a market
value of not less than the principal amount of the certificates or in
any other manner and amount provided by law for deposits of the
City; or
(C) Secured in any other manner and amount provided by law for
deposits of the City;
(7) Prime domestic bankers' acceptances if it
(A) Has stated maturity of 270 days or fewer from the date of its
issuance;
(B) Will be, in accordance with its terms, liquidated in full at maturity;
(C) Is eligible for collateral for borrowing from a Federal Reserve
Bank; and
(D) Is accepted by a bank organized and existing under the laws of the
United States or any state, if the short-term obligations of the bank,
or of a bank holding company of which the bank is the largest
subsidiary, are rated not less than A-1 or P-1 or an equivalent
rating by at least one nationally recognized credit rating agency;
(8) Commercial paper if it
(A) Has a stated maturity of 270 days or less from the date of its
issuance; and
(B) Is rated not less than A-1, P-1, or the equivalent by at least
(1) Two nationally recognized credit rating agencies; or
(2) One nationally recognized credit rating agency and is fully
secured by an irrevocable letter of credit issued by a bank
10
organized and existing under the laws of the United States
or any state thereof;
(9) Fully collateralized direct repurchase agreements having a defined
termination date, secured by obligations described by subdivision (1) of
this subsection, pledged to the City, held in the City?s name, and deposited
at the time the investment is made with a third party selected and approved
by the City, and placed through a primary government securities dealer, as
defined by the Federal Reserve, or a financial institution doing business in
this State;
(10) A guaranteed investment contract is an authorized investment for bond
proceeds under the Act if the guaranteed investment contract
(A) Has a defined termination date;
(B) Is secured by obligations described by subdivision (1) in an
amount at least equal to the amount of bond proceeds invested
under the contract; and
(C) Is pledged to the City and deposited with the City or with a third
party selected and approved by the City; and
(11) Bond proceeds, other than bond proceeds representing reserves and funds
maintained for debt service purposes, may not be invested under the Act in
a guaranteed investment contract with a term of longer than five years
from date of issuance of the bonds; to be eligible as an authorized
investment
(A) The City Council must specifically authorize guaranteed
investment contracts as an eligible investment in the ordinance or
resolution authorizing the issuance of bonds;
(B) The City must receive bids from at least three separate providers
with no material financial interest in the bonds from which
proceeds were received;
(C) The City must purchase the highest yielding guaranteed investment
contract for which a qualifying bid is received;
(D) The price of the guaranteed investment contract must take into
account the reasonably expected drawdown schedule for the bond
proceeds to be invested; and
11
(E) The provider must certify the administrative costs reasonably
expected to be paid to third parties in connection with the
guaranteed investment contract.
In addition to the investments described by items (1) - (11) above, the City may invest
funds under its control in eligible public funds investment pools as permitted under the Act. A
public funds investment pool must be continuously rated no lower than AAA or AAA-m or at an
equivalent rating by at least one nationally recognized rating service or no lower than investment
grade by at least one nationally recognized rating service with a weighted average maturity no
greater than 90 days.
In addition to the investments described by items (1) - (11) above, the City may, in
accordance with the Act, purchase, sell, and invest funds, after receiving a prospectus and other
information required by the SEC, under its control in an SEC-regulated, no-load money market
mutual fund with a dollar-weighted average stated maturity of 90 days or less and whose
investment objectives include seeking to maintain a stable net asset value of $1 per share or a no-
load mutual fund which is registered with the SEC, has an average weighted maturity of less than
two years, is invested exclusively in obligations approved by the Act, is continuously rated as
investment quality by at least one nationally recognized investment rating firm of not less than
AAA or its equivalent and conforms to the requirements set forth in Sections 2256.016(b) and (c)
of the Act relating to the eligibility of investment pools to receive and invest funds of the City.
The City shall not (i) invest in the aggregate more than 15% of its monthly average fund balance,
excluding bond proceeds and reserves and other funds held for debt service in mutual funds as
described by the Act; (ii) invest any portion of bond proceeds, reserves and funds held for debt
service, in mutual finds described by the Act; or (iii) invest its funds or funds under its control,
including bond proceeds and reserves and other funds held for debt service in any one mutual
fund described by the Act in an amount that exceeds 10% of the total assets of the mutual fund.
VI. INVESTMENT INSTITUTIONS
Investment Institutions Defined
The City Manager (or his/her designee) shall invest City funds with any or all of the
following institutions or groups consistent with federal and state law and the current depository
bank contract:
(1) The City?s Depository bank;
(2) Other state or national banks domiciled in Texas that are insured by FDIC;
(3) Savings and loan associations domiciled in Texas that are insured by
FDIC;
(4) Public funds investment pool; or
(5) Government securities brokers and dealers acceptable to the City.
12
Selection of Bank and Securities Dealers
All financial institutions and broker/dealers who desire to become qualified bidders for
investment transactions must be given a copy of the Policy and must supply the City Manager (or
his/her designee) with the information specified below. First, a broker/dealer must submit
audited financial statements for the financial institution or broker/dealer. Second, a broker/dealer
must provide evidence of appropriate registration by the qualified representative of the business
organization as such terms are defined in the Act. For bank dealers, this requires a statement
from a senior bank official that the bank dealer is appropriately registered with its primary
regulatory agency (the Office of the Comptroller of the Currency for National Banks) as a
government securities dealer, municipal securities dealer, or both. For a securities firm, this
requires a statement from a senior official that the firm is registered with the National
Association of Securities Dealers. Third, a broker/dealer must provide a completed
Broker/Dealer questionnaire furnished by the City Manager (or his/her designee). Finally, a
broker/dealer must deliver a written statement, acceptable to the City, by the qualified
representative, offering to engage in an investment transaction with the City, that they have
received and thoroughly reviewed the Policy and acknowledged that the business organization
has implemented reasonable procedures and controls in an effort to preclude investment
transactions conducted between the City and the business organization that are not authorized by
this Policy and other investment policies, except to the extent that this authorization is dependent
on an analysis of the makeup of the City's entire portfolio or requires an interpretation of
subjective investment standards. The City Manager (or his/her designee) will recommend both
primary and secondary securities dealers to the City Council for final approval. The City
Manager (or his/her designee) may not acquire or otherwise obtain any authorized investment
described in this Policy from a person who has not delivered to the City the written statement
required in this section.
The City Council or the designated Investment Advisory Committee member shall, at
least annually, review, revise, and adopt a list of qualified brokers that are authorized to engage
in investment transactions with the City.
VII. INVESTMENT COLLATERAL AND SAFEKEEPING
Collateral or Insurance for Deposits
The City Manager (or his/her designee) shall ensure that all deposited and invested City
funds are, to the extent required, fully collateralized or insured consistent with federal and state
law and the current bank depository contract in one or more of the following manners:
(1) FDIC insurance coverage;
(2) Obligations of the United States or its agencies and instrumentalities;
(3) Direct obligations of the State of Texas or its agencies;
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(4) Other obligations, the principal of and interest on which are
unconditionally guaranteed or insured by the State of Texas or the United
States or its agencies and instrumentalities; or
(5) Any other manner allowed by law.
Safekeeping
All purchased securities shall be held in safekeeping by the City, or a City account in a
third party financial institution, or with a Federal Reserve Bank.
All certificates of deposit, insured by FDIC, purchased outside the depository bank shall
be held in safekeeping by either the City or a City account in a third party financial institution.
All pledged securities by the depository bank shall be held in safekeeping by the City, or
a City account in a third party financial institution, or with a Federal Reserve Bank.
All certificates of deposit, pledged by the depository bank shall be held in custody of a
Federal Reserve Bank for safekeeping, be the subject of a valid pledge agreement designating the
City as the beneficiary of the pledge agreement; be insured by the FDIC; be described in detail
by a safekeeping receipt issued to the City by the Federal Reserve Bank having custody of the
certificates; and be issued with the City as registered owner.
Delivery vs. Payment
It will be the policy of the City that all transactions, except investment pool funds and
mutual funds, shall be purchased using the delivery vs. payment method through the Federal
Reserve System. By so doing, City funds are not released until the City has received, through
the Federal Reserve wire, the securities purchased.
14
Agenda No. 9
CITY COUNCIL MEMORANDUM
City Council Meeting: September 24, 2013
Department: City Secretary
Subject:Boards, Committees, and Commission
appointments/reappointments and
Resignations
BACKGROUND
The City has received a resignation from Mr. Chris Montgomery of the Board of Adjustments
Board.
FISCAL IMPACT
None
RECOMMENDATION
Staff recommends Council ratify the resignation of Chris Montgomery from the Board of
Adjustment.
Attachments
Mr. Chris Montgomery resignation
Agenda No. 10
CITY COUNCIL MEMORANDUM
City Council Meeting: September 24, 2013
Department: Finance
Subject: Ordinance No.13-T-42 Fiscal Year 2013-
14 Library Board Budget ? First & Final
BACKGROUND
rd
The Library Board was established by City Council on January 3, 1978 to provide citizen input
to the City on Library policy and operation and to raise community awareness of the library and
its services. Today the Board oversees various fund raising activities including the Read Before
Bookstore, paper recycling, and book consignment sales with all proceeds dedicated to the
benefit of the Library.
th
The Library Board voted and approved the Library Fund budget on September 9, 2013 at their
regular board meeting.
The Library Board is considered a component unit of the City and its revenues are restricted to
be spent on the library only. As such, Council is not required to approve the Library Fund
budget. However, in continuing with the City?s commitment to financial transparency the budget
for the Library Fund is being brought before Council for their approval. In the future the Library
Fund Budget will be included with the All Funds budget that is brought before Council in
August.
For those not familiar with the expense categories or how they might apply to the Library Fund,
Supplies are for items like book carts, Clorox wipes, pens pencils, etc. for the library and
bookstore
City Support Services includes things like supplies and incentives for the summer and
winter reading club
City Assistance includes contributions that are made to the library to honor community
members
Operating Equipment is for things like new computers
Capital Outlay are any items for the library that are considered capital
FISCAL IMPACT
Supplies$ 2,500
City Support Services $12,000
City Assistance $ 1,000
Operating Equipment $19,000
City Council Memorandum
Page 2
Total$34,500
RECOMMENDATION
Staff recommends that the City Council approve this budget on the first and final reading of
Ordinance No. 13-T-42, adopting the budget for the fiscal year beginning October 1, 2013, and
ending September 30, 2014.
ATTACHMENT
Ordinance No. 13-T-42
ORDINANCE NO. 13-T-42
AN ORDINANCE ADOPTING A BUDGET FOR THE FISCAL YEAR
BEGINNING OCTOBER 1, 2013,AND ENDING SEPTEMBER 30,
2014, FOR THE SCHERTZ LIBRARY BOARD; PROVIDING THAT
IT HAS BEEN APPROVED BY THE BOARD; PROVIDING THAT
THIS ORDINANCE SHALL BE CUMULATIVE OF ALL
ORDINANCES; PROVIDING A SEVERABILITY CLAUSE;
PROVIDING AN EFFECTIVE DATE; AND DECLARING AN
EMERGENCY.
WHEREAS,
the City needs to Adopt a Budget for the Library Board; and
WHEREAS,
the City Council finds that all provisions pertaining to the adoption of a budget
contained in the City Charter have been in all things complied with; and
th
WHEREAS,
the Library Board adopted their budget of $34,500 on September 9, 2013; and
WHEREAS,
after a full and final consideration, the City Council is of the opinion that the
budget should be approved and adopted;
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY
OF SCHERTZ, TEXAS, THAT:
Section 1. The budget of the Expenditures of the City of Schertz Library Board for the
ensuing Fiscal Year beginning October 1, 2013 and ending September 30, 2014, be, and the same is,
in all things, adopted and approved as the said City of Schertz Library Board budget for the Fiscal
Year beginning the first day of October, 2013 and ending the thirtieth day of September, 2014.
Section 2. The sums below are hereby appropriated from the respective categories for the
payment of expenditures on behalf of the City government as established in the approved budget
document:
2013-2014 Budget
Supplies$ 2,500
City Support Services $12,000
City Assistance $ 1,000
Operating Equipment $19,000
Total$34,500
Section 3. The recitals contained in the preamble hereof are hereby found to be true, and
such recitals are hereby made a part of this Ordinance for all purposes and are adopted as a part of
the judgment and findings of the Council.
Section 4. All ordinances and codes, or parts thereof, which are in conflict or inconsistent
with any provision of this Ordinance are hereby repealed to the extent of such conflict, and the
provisions of this Ordinance shall be and remain controlling as to the matters resolved herein.
Section 5. This Ordinance shall be construed and enforced in accordance with the laws of
the State of Texas and the United States of America.
Section 6. If any provision of this Ordinance or the application thereof to any person or
circumstance shall be held to be invalid, the remainder of this Ordinance and the application of such
provision to other persons and circumstances shall nevertheless be valid, and the City hereby
declares that this Ordinance would have been enacted without such invalid provision.
Section 7. It is officially found, determined, and declared that the meeting at which this
Ordinance 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 Ordinance, was given, all as
required by Chapter 551, as amended, Texas Government Code.
Section 8. Pursuant to Section 4.09(e) of the City Charter, by vote of not less than two-thirds
of the members of the City Council present at the meeting at which this Ordinance was first
considered, the City Council has determined that an emergency exists which requires immediate
action, and this Ordinance is hereby adopted on a single reading, and this Ordinance shall be
effective upon the date hereof and any publication required by law.
PASSED, APPROVED AND ADOPTED ON FIRST AND FINAL READING THIS
24th DAY OF SEPETMBER 2013.
___________________________
Mayor, Michael R. Carpenter
ATTEST:
_____________________________
City Secretary, Brenda Dennis
APPROVED AS TO FORM AND LEGALITY:
___________________________________
City Attorney
FUND: 609 LIBRARY FUND
DESCRIPTION
The purpose of the Library Advisory Board is to provide citizen input to the City of
Schertz on Library policy and operation and to raise community awareness of the
library and its services. The Library Advisory Board oversees various fund-
raising activities including the operation of the Read Before Bookstore, paper
recycling and book consignment sales with all proceeds providing supplementary
funding for library materials, programs, projects and building enhancements.
2011-12 2012-13 2013-14
Budget Actual Estimate Budget
Revenue
Fees $21,515 $21,400 $21,200
Fund Transfers 0 0 10,000
Miscellaneous 1,134 1,960 4,060
Total $22,649 $23,360 $35,260
Expenses
Supplies $3,526 $1,500 $2,500
City Support Services 6,895 7,800 12,000
City Assistance 0 0 1,000
Operating Equipment 1,310 7,200 19,000
Capital Outlay 5,750 0 0
Total $17,480 $16,500 $34,500
PROGRAM JUSTIFICATION AND ANALYSIS
Revenues
Revenues will increase with the use of reserves to fund one time projects in FY
2013-14.
Expenses
The increase in budgeted expenditures in FY 2013-14 is to fund a Hal Baldwin
Memorial sculpture and additional computer replacements for the Library.
Agenda No. 11
CITY COUNCIL MEMORANDUM
City Council Meeting: September 24, 2013
Department: Development Services
Subject: Resolution No.13-R-87
BACKGROUND
Information will be provided to Council on Monday, September 23, 2013.
FISCAL IMPACT
RECOMMENDATION
ATTACHMENT