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Home My WebLink About1976-07-20 Regular Meeting � ; , s � CITY OF GRAPEVINE, TEXAS ; � AGENDA E REGULAR CITY COUNCIL MEETING TUESDAY, JULY 20, 1976 AT 7: 30 P.M. COUNCIL CHAMBERS - 413 MAIN STREET ` � � I. CALL TO ORDER r`. g � _ �� II. INVOCATION: Councilman Dalton ' x III. CITIZENS REQUEST AND/OR MISC. REPORTS & DISCUSSIONS � s � IV. CONSIDERATION OF T�3E MINUTES (June 29 & July 6, 1976) � � ; V. OLD BUSINESS � � � � A. City Council to discuss construction of the ; golf course. } B. City Council to discuss the water line on Glade Road in conjunction with the Texas Utility Com- mission. VI. NEW BUSINESS � I � A. City Council to set a date for public hearing to : ; move in a pre-fabricated building at 715 Ruth Wall Ruth for the Church of Mirad. � B. City Council to discuss a proposed bond program � on the following items : _ l. Water & Sewer Systems � 2 . Golf Course � 3. Municipal Service Center ' 4. Streets & Drainage 5. Parks & Recreation Mr. Frank Medanich to make a presentation. i- C. City Council to consider an ordinance providing f � for stop signs at the intersections of Lakeridge � & Forest Hill Drive and Lakeridge and Lakeview Dr. z VII. WORKSHOP �. City Council to hold a workshop on the 1976-77 # Budget. � � � VIII. EXECUTIVE SESSION g t A. City Council to recess to the Conference Room to discuss personnel and the purchase of real � estate pursuant to Article 6252-17, Section 2, � (f) and (g) , Texas Civil Statutes . � � � � B. City Council to return to the Council Chambers � and consider the City Manager ' s recommendation � pursuant to the City Charter, Section 402 (a) . � � t' � ;: � R' : 3 E � � � s § s � � � } P � 4 � f 1 IX. ADJOURNMENT IN ACCORDANCE WITH ARTICLE 6252-17, V.A.T.C.S. , AS AMENDED ; € BY CHAPTER 227, ACTS OF THE 61ST LEGISLATURE, REGULAR SESSION, ` THE REGULAR CITY COUNCIL MEETING AGENDA WAS PREPARED AND � POSTED ON THIS THE 16TH DAY OF JULY, 1976 AT 1 P.M. � � � i � City Secre ry �' � t I S t j � 4 $ � � � % F � a ? k � 73 4 � �# Y Z 3 � 3 S � �yry 3 ! 7 t E � z STATE OF TEXAS X COUNTY OF TARRANT X CITY OF GRAPEVINE X The City Council of the City of Grapevine, Texas convened in regular session at 7:40 P.M. on this the 20th day of July, 1976 with the following members present to-wit: William D. Tate Mayor Charles Gideon Councilman David Florence Councilman Larry Oliver Councilman Charles Dunn Councilman constituting a quorum with Doil Dalton and Willis Pirkle absent, with Floy T. Ezell City Manager Jim Hancock Assistant City Manager Shirley Armstrong City Secretary John Boyle City Attorney Mayor Tate called the meeting to order. The Invocation was given by Councilman Dunn. The first order of business was consideration of the Minutes of the meetings of June 29 and July 6, 1976. Councilman Florence made a motion to approve the minutes as published. The motion was seconded by Councilman Oliver and prevailed by the following vote: Ayes: Tate, Gideon, Florence, Oliver, & Dunn � Nays: None Absent:Councilmen Dalton and Pirkle (Councilman Pirkle arrived late at 7:45 P.M. ) The next order of business was for the City Cauncil to discuss the canstruction of the golf course. City Manager, Floy Ezell, stated that each Councilman had been provided a copy of a. :proposal and estimated cost of construction of the golf course that had been submitted b� Joseph Finger and : Byron Nelson. The City Manager commented that he had met with Mr. Finger during the past week and the proposal was in response to that meeting. The City Manager continued to say th.at action was not necessary on this item at present, but that he wanted the Council to be ,aware of the meeting with Mr. Finger and the proposal that was submitted. Mayor Tate stated that the item may need to be considered further after discussion of the proposed bond program. No action was taken. The next order of business was for the City Council to discuss the water line on Glade Road in conjunction with the Texas �� Util�ty Commission. The City Manager explained that on Monday, July 19th, City Attorney John Boyle, a representative of Freese and Nichols, and himself had met with the Texas Ut�l.ity Commission in Austin. He further stated that the purpose of the trip was to apply for a Convenience and Necessity Permit allow- ing the City of Grapevine to pravide water and sewer service to all points within the City limits of Grapevine. He added that the City of Euless is constructing a twelve inch water line parallel to the South side of Glade Road. He further commented C that there are some Grapevine residents on the north side of Glade Road that have asked permission to buy water from the City of Euless in the event the City of Grapevine cannot provic� them with water service. The City Manager further explained that it would be to the City' s advantage to con- struct a water line along Glade Road sothat we would be in a position to serve the Grapevine residents in that area in f the event the Texas Utility Commission has the authority, and grants Euless permission to provide service to some � Grapevine residents. The City Manager stated that he wanted the Council to be aware of this problem and keep it in mind � when considering the proposed bond program. The City Manager f then asked City Attorney, John Boyle to brief the Council in regard to the Texas Utility Commission. Mr. Boyle expiained that the Texas Utility Commission was expected to act on all of the applications submitted by early fall. He further stated that Grapevine took the position before the hearing examiner that it was our judgement that the Texas Utility Commission did not have jurisdiction and the committee was briefed to that effect in requesting the commission to hold the rule on the jurisdictional question. He continued to say, that in the alternative, Grapevine submitted a request for a �ermit of Convenience and Necessity. The request was based on substantial evidence that pointed out our present ability to serve our citizens, as well as the fact that long term planning has been into effect for a substantial period of time by the City to take care of present and future residents . He stated that the City of Grapevine wanted to go on record that they fully intend to serve the citizens with water and sewer systems within our boundaries, and within the extraterritorial jurisdiction that was acquired out of the Southlake/Grapevine = settlement. The City Manager stated that no action was necessary at this time, but that he wanted the Council to be aware of the situation. (Councilman Dalton arrived late at 7:50 P.M. ) The next order of business was far the City Council to set � a date for a Public Hearing to move in a pre-fabricated building at 715 Ruth Wall Road for the Church of Mirad. The City Manager stated that the City Staff recommended August 3rd. Councilman Gideon made a motion that the Public Hearing be set for August 3rd. The motion was seconded by Councilman Dunn and prevailed ` by the following vote: Ayes : Tate, Gideon, Florence, Oliver, Dalton, Dunn & Pirkle Nays : None 3 The next order of business was for the City Council to discuss a proposed bond program in regard to water and sewer systems, the golf course, municipal service center, streets and drainage, and parks and reereation. The City Manager briefly explained the initial program and stated that the most important items were the ones that would need immediate action. (See Exhibit "A" , attached hereto and made a part hereof to the minutes of the City Council meeting of July 20, 1976. ) The City Manager stated that he would �.ike the Council to keep in mind that these figures are simply a starting point for the proposed bond election and can be changed in any manner that the Council so d�sires. Mayor Tate then introduced Mr. Frank Medanich, City Financial � Advisor, to make a presentation. Mr.. Medanich stated that revenue bonds were not being dealt with at all because of the fact that at this point the City' s net earnings from the utility system is not adequate to allaw the issuance of any additional revenue bonds. He continued to say that hoepfully by the end of the fiscal year, 1978 or at the latest, fiscal year 1979, the utility systems would be generating enough monies to meet the requirements for issuing additional bonds or requirements that call for net earnings (historical earnings) equivalent to one and a half times the principal and interest requirements of outstanding debts plus whatever new debts might be created. He continued to say that it will require that the net income (Gross income less operating charges and before debt servi�e) be increased rather substantially be- tween now and 1979 in order for the City to do any substantial amount of financing with revenue bonds. Mr. Medanich then explained the projections in relation to the proposed bond program totaling $5, 750, 000. See Exhibit "B" attached hereto and made a part hereof. He stated that he had attempted to project the golf course costs at $750,000 and cornmented that those bonds might be issued as early as late 1976. He then pointed out an $800,000 expenditure to begin some watex improvements by July, 1977 and a $100,000 police facility at that same time. He commented that if the �ity issued or sold the bonds at that time of the year, they would not actually be providing for any principal or interest payments until the 1977-78 fiscal period which would end September 30, 1978. He commented that he had totaled out at the end of the page the accumulated principal and interest requirements based on this type of schedule and the fiscal year that it falls in. He reminded the Council that the first payments under this particular proposal would require that some interest be paid on the $750,000 and the $900,000 bonds sometime during the year 1977-78. Mr. . Medanich then referred to `�Exhibit "C" attached hereto and made a part hereaf to the Minutes of July 20, 1976. He commented that he has shown the �iscal year end, the deb� service requirements, the estimated assessed valuation a�d the estimated interest and sinking fund and the tax rate. He acknowledged that . $153, 569 is the amount of principal and interest on all outstanding general obligation bonds that the City is obligated to pay during this particular fiscal period. He further explained that the assessed valuation of the City is $108,860, 382 , and that the City is now levying 0.1547 of the tax dollar for interest and sinking fund for debt �etirement. He continued by saying that next year the debt service re- quirement on all outstanding debts is $144,694. He further stated that it had been indicated that the tax roll would pr.obably� remain about the same this fall as it is at present. He continued to say that on the basis that some of the tax bonds are paid, it could be accommodated with a tax rate of .1400. He further explained that 1978 would be the first � year that something would have to be paid on the $750,000 and $900,000 as shown on Exhibit "B" . He acknowledged that that would be added to the requirement .of the present debt, increase the assessed valuation by a flat 10% (estimated) and come up with a tax rate requirement necessary of .2438. He explained that this process was continued throughout the page showing issuance of additional bonds of $1,000,000 in January, 1978 which would reflect in the 1979 fiscal period, then there would be an additional tax increase. He explained that these figures would be accurate a.f the City proceeded at this basis, � and if assessed valuations grow at 10%. He further stated if they grow less, these numbers would be increased, and if they grow more than that, they are decreased. Mr. Medanich explained that what he had sought to do was to give the Mayor and Council some idea of what they might be looking at and hapefully some sort of a realistic projection, thinking that perhaps a 10% annual increment to the tax roll might be reasonable at this point. He added that in light of the growth that had been experienced in this area and other �� communities, it was not unrealistic to expect that type of incremental growth to the tax roll. He exp�ained that if the growth is not experienced as expected, the program would � have to be slowed down or there would have to be a greater tax rate. Mr. Medanich then offered to answer any questions � that the Council might have. Mr. Ezell asked if Mr. Medanich ; was using the .91 tax rate for the first two years. He s answered yes and explained that none of the new debt service would be in the next fiscal period and the 0.1547 is the current year which was shown for comparative purposes. Councilman Dalton asked if, according to the proposal, the tax rate in 1978 would be approximately $1.00. Mr. Medanich answered yes. Mayor Tate commented that he felt a long look should be taken at some of the programs that we may or may not be able to afford. He further stated that he was confident there would be enough growth and development to carry out the proposed program fully, without any increase in taxes. The Mayor added that one of the key factor� has been that most of our assessed valuation in the past has been on undeveloped and residential land and it wouldn' t take too much industrial or commercial type development to really raise that percentage � on the assessed valuation. Mayor Tate then stated that the � _ 4 next step would be to discuss with the City Manager t he specifics of the program and to determine what the capital improvements program over the next five years is going to demand. Councilman Dunn stated that he was confused because ` Exhibit "A" referred to a bond program of $8,000,000 and Mr. Medanich referred to a bond program of $5, 750,000. Mr. Medanich answered that he was discussing General Obligation bonds only, and did not include the Revenue Bonds. Mayor Tate then asked Mr. Ezell if he had anything further to discuss in regard to the golf course. Mr. Ezell stated that he felt the golf course must be first considered in relation to the bond program and then an architect should be selected as soon as possible. No action was taken. The next order of business was for the City Council to consider '' an ordinance providing for stop signs at the intersections of Lakeridge & Forest Hill Drive and Lakeridge & Lakeview Drive. The City Secretary read the caption of the proposed ordinance. The City Manager stated that Traffic Safety Engineer, Eddie Cheatham and Police Chief, Bill McLain both recommended the stop signs. There was no discussion. Councilman Gideon made a motion to adopt the ordinance. The motion was seconded by Councilman Dalton and prevailed by the following vote: Ayes: Tate, Gide on, Florence, Oliver, Dalton, Pirkle, & Dunn Nays : None ORDINANCE NO. 76-21 AN ORDINANCE AMENDING TITLE 9, CHAPTER 2, SECTION 2, ; OF THE CITY CODE OF THE CITY OF GRAPEVINE, TEXAS, � ; � I � t BY ADDING STOP SIGNS AT CERTAIN LOCATIONS DESCRIBED HEREIN; PROVIDING A SEVERABILITY CLAUSE; PROVIDING A PENALTY; AND DECLARING AN EMERGENCY. ` Mayor Tate called a recess at 8:30 P.M. The meeting reconvened at 8:40 P.M. with all members present. The next order of business was for the City Council to hold a workshop on the 1976-77 Budget. Mr. Ezell briefly explained a statement of revenue from the Utility Fund. He stated that the total proposed revenue from the Utility Department for the 1976-77 Budget was $484, 100. Mr. Ezell then explained that $107, 384 is expected to be transferred from the Utility Fund, which is one of the expenditures going into the debt retirement. The City Manager then explained the proposed expenditures of the Utility Fund for the 1976-77 Budget. There was a lengthy discussion concerning the item of "Personnel Services." The recommended 1976-77 Budget for personnel services in the ' Utility Department was $203,400. The Council asked that this item be broken down into the individual personnel services sa that it could be more clearly understood by the Council. The total recommended expenditures for the Utility Fund for the 1976-77 Budget was $429, 521. There was little discussion. No action was taken. Financial Director, Kenneth Pritt gave a brief presentation concerning the necessity for a utility rate increase. Mr. �?ritt stated that several studies and surveys had been made ' in regard to this problem. He acknowledged that materials - used in utility services are costing the City more than the consumer is being charged. Mr. Pritt asked that the Council review the proposed ordinance for consideration at a later date. There was no action taken. The next order of business was for the City Council to recess to the Conference Room to discuss personnel and the purchase of real estate pursuant to Article 6252-17, Section 2, (f) and (g) , Texas Civil Statutes. The Council reconvened in the Council Chambers at 10:20 P.M. The next order of business was for the City Council to consider the City Manager' s recommendation pursuant to the City Charter, Section 402 (a) . There was no action taken. There being no further business to come before the Council, Councilman Pirkle made a motion to adjourn. The motion was seconded by Councilman Oliver and all present voted aye. =k PASSED AND APPROVED this the � day of , 1976. , -,,�� 1�A� . �m� ��,--.� ,.,� �../�:...�,_,.., MAYOR ATTEST: O' City Sec tary � �XHIBIT "A" P:�OPOSr�D 3U�vD PRUc;R�M i . 1 - 5 YEARS CAPI'rAL I?��i�ROVEMENTS ; �ti'A'I'ER SYSTEM Ii�^�ROVEMENT: . Revenue '1'RA �aat�r - pt�mps , li.nes and supply line . $1 , 500, 000 . 00 � General Water Tr�atrn�nt Pl�nt 1, 000, 000 . 00 O}�ligation (1) Flocu]_ator, clarifi�r, filters & pumps (April, 1977 - $700, 000) (2) Backwash water holding ponds - Ponds , pumps, etc. (July, 1977 - $105, 000) ; (3) Two rate flow controllers for plant (Now - $20, 000) (4) Water extension on Glade Road, South section (Oct. , 1976 - $175, 000) TOTAL WATER IMPROVEAIENTS $2 , 500, 000. 00 SEWER SYSTEM IMPROVFMENTS : Revenue TRA lines & other lines $1, 200, 000 .00 General Extension sewer S.W. Obliaation Lift station on Dove Road 300, 000.00 t' ' TOTAL SEVvER IMPROVEP�;ENTS $l, 500, 000 . 00 STREET AND DRAINAGE IMPROVE?�1ENTS : General Dallas Road, Dove Road to Obligation Kimbell, Mustang & others $2 , 700, 000.00 GOLF COURSE• General Cost 18 holes $ 750, 000 .00 Obligation PARK IriPROVF'�9E?vTS : `� General Land acquisition, sprinkler Obligation systems, & develo�ment of purchased park land $ 100, 000.00 MU?�?ICIPAL SERVICE CENTER COMPLFX) —--- —�—--- General Purchase land, city hall, Obligation etc.� $ 750, 000 .00 ,��r, rc� r,:>c rr,l�r�Y: G�neral Building large ei-,cugh Obligat.i_on to have jail, office �� pace, di spat:ch��rs 100, 000 . 00 '1'0'i'AL PROPOSF,D BOND PROGR�M $S, 000, 000 . 00 4� � Gy Exxzs zT ��s,� . $5,750,000 CITY 4F fRAPEVINE, TEXAS GENERAL OB�TGATION QOf�DS Fiscal Year ��5o,oao(i) $90p,000(2) 3� ,oao,000 C�) S�,aao,oao �j,aao,000 ��,�oo,aoo Ending December 1976 Ju?v 1977 Janu�a��rY 1�9....7...8 Janu�a��-r�- 1��979 Janu�aYr _�.1��980 Janua�rY��1.9.81 Grand Total 9-34 Principal Interest r7nciqal Interest r��clt�al-�nterest r�nczpaT Interes�Y rtnclpal In eres rtnc��a7 Interest Requirements 1978 $ 73,125 $ 58,500 $ 131,625 1979 $ 15,000 48,263 $ 15,q00 58,500 $ 97,500 234,263 2980 15,000 �7,288 15,000 57,525 $ 20,OOQ 6�,350 $ 9�,500 316,663 1981 15,000 46,313 20,000 56,550 20,000 63,050 $ 20,000 64,350 , $ 97,500 402,763 1982 2Q>000 45,175 20,000 55,250 25,000 61,588 20,000 63,050 $ 20,000 64,350 $ 101,250 501,663 1983 20.000 43,875 24,000 53,95Q 25,000 54.963 25,000 6] ,58$ 20,Q00 63.Q50 $ 2(}:004 70,$50 4$3,215 1984 20>000 42,575 25,000 52,650 25,OOQ 58,338 25,000 59,963 25,000 61 ,5$$ 25,000 69,3$8 489,502 1985 20,OJQ 41,275 25,000 51 ,025 30,000 56,550 25,000 58,338 25,000 59,963 25,000 67,763 484,914 1986 25,000 39,$13 25,000 49>400 30,000 54,600 34,000 56,550 25,000 58,338 25,000 66,138 484,839 1987 25,000 38,188 25,Q00 47>775 30,000 52,650 30,000 54,600 30,000 56,550 30,000 64,350 484,113 1988 25,000 3b,563 3Q,O�Q 46,150 35,000 54,538 30,000 52,650 30,000 54,600 30,000 62,400 482,901 '989 30,000 34,775 30,000 44,200 35>000 4$,263 35,000 5f},538 30,000 52,65Q 30,000 6Q,450 �f30,876 1990 30,000 32,825 35,000 42,250 35,000 45,98£3 35,000 48,263 35,000 50,538 35,000 58,338 � 483,202 3941 30,QO�J 30,875 35,4Q4 39,975 44,Q00 43,564 35,044 45,98$ 35,000 48,263 35,000 56,063 474,714 1992 35,d�J0 28,763 40,000 37,700 40,000 40,450 40,000 43,550 35,000 45,988 40,Od0 53,625 480,576 1993 35,000 26,488 40,000 35,'00 45,000 38,1$$ 40,000 40,950 40,Q00 43,550 40,OQ0 51>025 475,301 1944 �Q,OQO 24,054 45,OOQ 32,500 5Q,000 35,100 45,000 38,188 40,OQ0 44,95Q 45,000 4II,263 484,051 ?995 40,000 21,450 45,000 29,575 50,060 31 ,850 50,000 35,100 45,000 38,188 45,OO�J 45,338 47b,501 1996 45,000 '8,688 50,Q00 26,650 55,000 28,438 50,OOQ 31,850 50,000 35,100 50,Q00 42,250 4II2,976 1997 45,00� l5,1b3 54,04Q 23,440 60,000 24,700 55,000 28,438 54,000 31,$50 55,Q00 38,$38 477,489 1998 50,OOQ 12,675 55,000 20,150 60,000 20,$00 60,000 24,700 55,000 28,438 55,oaa 35,263 477,026 1999 55,000 9,263 60,000 16,575 65,000 16,73f3 60,000 20,800 60,000 24,700 60,000 31 ,525 479,601 • 20u0 55,Q00 5,688 60,000 12,675 70,C00 12,356 b5,400 16,738 64,aoa 24,8Q0 b5,400 27,453 410,714 2001 60,000 1,950 65,000 8,775 75,000 7,63$ 70,000 12,350 65,000 16,�38 70,000 23,075 475,52fi 2002 70,000 4,550 80,000 2,600 75,000 7,638 70,000 12,350 75,000 18,363 415,501 2003 84,OQ0 2,600 75,OQ0 7,638 75,000 13,4$8 253,726 2004 80,000 2,600 80,000 8,450 i71,050 2Q05 90,000 2,925 92,925 $750,000 $765,706 $900,000 $961,35q $1 ,00O,OOQ $1,016,280 $1,0OO,OQO $1�016,280 $1,000,000 $1,016,280 $1,100�00d $1,122,887 $11.b48,777 (1) Gal f Course. � �;�5 � J (2} Water - $8QOy000; Police Facility - $100.OQ0. �f° J {3} 4later - $20Q,C00; Streets and Orainage - $$04;�D4. � ��z' �,� -� 5u � � ao � Note: Interest has been calculated at a rate af 6.50� for purposes of illustration. July 20� 1976 - FJM a �` � � i4 EXHIBIT " C" CITY OF GRAPEVINE, TEXAS ESTIMATED DEBT SERVICE, ASSESSED VALUATIONS AND TAX RATES ' RELATIVE TO PROPOSED $5,750,000 GENERAL OBLIGATION BONDS Fiscal Year D e b t S e r v i c e R e q u i r e m e n t s Esti mated Esti mated Endi ng Present Proposed Assessed 18�SF 9-30 Bonds Bonds Total Valuation(1) Tax Rate(2) 1976 $153,569 -0- � $153,569 $108,860,382 0.1547 1977 144,694 -0- 144,694 109,000,000 .1400 1978 14b,069 $131 ,625 277,694 119,900,000 .2438 1979 135,841 234,263 370, 104 131 ,890,000 .2954 1980 131,716 316,663 448,379 145,000,000 .3255 1981 127,766 402,763 530,529 159,500,000 .3500 ]982 128,866 501 ,663 630,529 175,450,000 .3783 � . , (1) Based on annual growth rate of 10%, beginning with 1977/78 tax year. � ' � (2) @ 95% tax collections. . ,� ,