City Council

Belton City Council Meeting May 10, 2016 - 5:30 P.M. The Belton City Council met in regular session in the Wright Room at the Harris Community Center with the following members present: Mayor Marion Grayson, Mayor Pro Tern David K. Leigh and Councilmembers Craig Pearson, Dan Kirkley, Jerri Gauntt and Guy O'Banion. Councilmember Paul Sanderford was absent. Staff present included Sam Listi, John Messer, Gene Ellis, Amy Casey, Brandon Bozon, Erin Smith, Bruce Pritchard, Chris Brown, Aaron Harris, Angellia Points, Matt Bates, Ed Bandas, Byron Sinclair, Kim Kroll and Cynthia Hernandez. The Pledge of Allegiance to the U.S. Flag was led by Mayor Pro Tern David K. Leigh, the Pledge of Allegiance to the Texas Flag was led by Director of Finance Brandon Bozon, and the Invocation was given by Justin Childers, Pastor of Miller Heights Baptist Church. 1. Call to order. Mayor Marion Grayson called the meeting to order at 5:33 p.m. City Manager Sam Listi and City Clerk Amy Casey provided the Council with their annual pay of $1.00 each folded in the form of origami shirts for the women and shirts/ties for the men. 2. Administer the Oath of Office to newly elected Councilmembers and Mayor. The City Attorney administered the Oath of Office to Mayor Marion Grayson and Councilmember Guy O'Banion. Councilmember Paul Sanderford will take the Oath of Office at a later date. 3. Selection of Mayor Pro Tern. Councilmember Craig Pearson made a motion to appoint David K. Leigh as Mayor Pro Tern. The motion was seconded by Councilmember Guy O'Banion and was unanimously approved upon a vote of 6-0. 4. Public Comments. Rae Schmuck, 2200 Legacy Lane, thanked the Council for the work they do for the City, and she invited everyone to attend a Spaghetti Dinner Fundraiser for Project Celebration at the First United Methodist Church on May 12, 2016. 5. Proclamations and Recognitions: A. Presentation of Proclamation for Police Week. The Mayor read the proclamation and presented it to Police Chief Gene Ellis. Chief Ellis thanked his staff and volunteers for all their hard work. He indicated this year's Bell County Law Enforcement Memorial Day ceremony will be combined with the Belton Police Memorial Dedication and will be hosted by the Belton City Council Meeting May 10, 2016 - Page 2 Belton Police Department and Leadership Belton Class of 2016 on May 19, 2016. Chief Ellis also recognized Laura Hutchens who had received the Administrative Tech of the Year award from the 100 Club of Central Texas which includes a six county region of Police, Fire and EMS organizations. B. Recognition of the City of Belton's Finance Department for receiving the Distinguished Budget Presentation Award from the Government Finance Officers Association (GFOA) for the 24th consecutive year. City Manager Sam Listi presented the GFOA Distinguished Budget Presentation Award to the Finance Department and commended them for their hard work and continued excellence in preparing and presenting the annual budget. This is the Finance Department's 24th consecutive year to receive this award. Mr. Listi and City Clerk, Amy Casey, presented Director of Finance, Brandon Bozon, and Assistant Director of Finance, Susan Allamon, with tokens of appreciation. Consent Agenda Items 6-7 under this section are considered to be routine by the City Council and may be enacted by one motion. If discussion is desired by the Council, any item may be removed from the Consent Agenda prior to voting, at the request of any Councilmember, and it will be considered separately. 6. Minutes of previous meetings: A. April 26, 2016, City Council Workshop B. April 26, 2016, City Council Meeting 7. Consider authorizing an extension to a lease agreement between the City and Belco Manufacturing Company, Inc. for property located on Taylors' Valley Road. Upon a motion by Councilmember Dan Kirkley and a second by Councilmember Guy O'Banion, the Consent Agenda items were unanimously approved upon a vote of 6-0. Regular Agenda 8. Hold a public hearing and consider a final plat for Highland Estates, Phase Ill, a 15.229 acre tract of land, located north of Sparta Road, west of Dunn's Canyon Road, and east of the existing Highland Estates Subdivision, Phase I and recently developed Highland Estates, Phase II. Mayor Grayson abstained from this item and left the room . Mayor Pro Tern David K. Leigh took charge of the meeting. Belton City Council Meeting May 10, 2016 - Page 3 Director of Planning Erin Smith stated that Phase II of Highland Estates contains 35 lots. Lacy Ridge Court will extend southeast and terminate in a cul-de-sac north of Sparta Road. Stillman Court will extend north from Lacy Ridge Court and terminate in a cul-de-sac. She explained that the maximum length of a cul-de-sac or dead-end street with a permanent turnaround shall be 600 feet, except under unusual conditions with the approval of the Planning and Zoning Commission. The applicant received approval of a variance to allow for a 1,241 feet cul-de-sac proposed as Lacy Ridge Court when the preliminary plat was presented on January 26, 2016. Mrs. Smith stated that, after discussions with the Belton Independent School District regarding bus stops, Staff still believes the variance request is reasonable. The Council adopted 2009 International Fire Code states two points of ingress/egress is only required for subdivisions with 30 lots or larger. Mrs. Smith said that Jeff Booker, Fire Marshal, has reviewed the ingress/egress and concurs with this design and the single access, given the limited number of lots. Mrs. Smith explained that a major change is proposed in how the developer plans to meet his obligation for neighborhood parks required in the Subdivision Ordinance. This subdivision is proposed to contain 35-lots; therefore, a dedication of 0.35 acres of parkland is required in conjunction with this plat request. Dawson Ranch, Phase VI is a 23-lot subdivision and Highland Estates, Phase II is a 33-lot subdivision. The developer initially proposed to dedicate a total of 1.62 acres of parkland to the City to satisfy the parkland requirements for these three subdivisions, comprising the westernmost properties adjacent to Sparta Road. She stated that the topography of the previously proposed parkland area increases to 20%-100% slope in a strip extending from the northwest to the southeast to the north and south tract boundaries. Creation of a park grading plan to allow for safe pedestrian access from both subdivisions was a condition of preliminary plat approval. During construction plan review, the developer submitted a grading plan for the proposed park area. City staff and developer worked on several alternative proposals and recommendations for the park grading plan; however, the plan did not provide for adequate accessibility for the public. Mrs. Smith said that the developer is now proposing the fee-in-lieu of parkland dedication in the amount of $18,200 to satisfy the parkland requirements for the three subdivisions (91 total lots). Tract B is proposed as an expansion of the existing detention pond in Highland Estates, Phase I, to accommodate the additional drainage generated by this development. Tract B will be owned by the City of Belton and maintained by the HOA. Mrs. Smith added that the Subdivision Ordinance requires the developer to construct and install a 5 feet wide sidewalk along the subdivision side of collector streets. Since Sparta Road is a major collector street, the developer is required to install a 5 feet wide sidewalk along the northern side of Sparta Road. After an evaluation of the location by Staff, and due to the steep topography, she said that a sidewalk is not recommended in this location. Belton City Council Meeting May 10, 2016- Page 4 Mayor Pro Tern Leigh opened the public hearing. John Bandas, the developer's engineer for the project, thanked Erin Smith and City Staff for their work to help bring this project forward. Seeing no one else wishing to speak for or against the item, the Mayor Pro Tern closed the public hearing. Councilmember Dan Kirkley thanked Mrs. Smith for working with the developer to alleviate some of the Council's concerns regarding the parkland. Mayor Pro Tern Leigh questioned Staff's recommendation not to require a sidewalk on Sparta Road. He believes that a sidewalk is needed for pedestrian safety when walking or biking from the subdivision to other places such as Sparta Elementary. He asked what the course would be for a student walking to school. Mrs. Smith explained that the recommended course would be to go from Mystic Mountain Drive to Yturria and then on the hike/bike trail over to Chisholm Trail Parkway hike/bike trail. Mr. Leigh said that he believes that a sidewalk is needed to provide safe routes. City Manager Sam Listi explained that sidewalk might be considered as a part of a future widening of Sparta Road. Councilmember Jerri Gauntt asked if the developer gained two lots when they decided not to build a park. Mrs. Smith stated that the developer only gained one lot. Councilmember Gauntt questioned why the lot was not acceptable to build a park on, but wondered how the lot was usable for construction of a house. John Bandas said that the lot had been reconfigured to a minimum lot size, and they will build a beautiful home on it which will have a very scenic western view. Councilmember Gauntt questioned why the City continues to grant variances for subdivisions in this area. The developer is requesting a variance for the sidewalk and also for the cul-de-sac length. She pointed out that there is not a safe route to the schools, and stated that she cannot continue to support these type of variances. Councilmember Guy O'Banion cautioned Staff about the fee-in-lieu-of payment for parkland as discussed at a prior Council meeting, and recommended a change in standards to ensure Council can make this decision in the future. Upon a motion by Councilmember Craig Pearson and a second by Councilmember Dan Kirkley, item 8 was approved upon a vote of 4 ayes, 1 nay and 1 abstention. Councilmember Jerri Gauntt provided the dissenting vote, and Mayor Grayson abstained from the vote. 9. Receive a presentation on Citv revenue sources in preparation for development of the FY 2017 budget. Director of Finance, Brandon Bozon, discussed the City's revenue sources as shown in Exhibit "A". The funds reviewed included : -- - - Belton City Council Meeting May 10, 2016 - Page 5 FY 2016 Fund Budgeted Revenues General Fund $12,623,882 Water & Sewer Fund $6,371 ,731 BEDC $1 ,645,212 Drainag e Fund $372,000 Hotel/M otel Fund $167,200 Debt Service Fund $1 ,067,832 TIRZF und $1 ,001 ,054 Total Revenues $23,248,911 Mr. Bozon explained that these revenues are derived from several sources including property taxes, sales taxe s, franchise fees and user fees , among others. Mayor Pro Tern Leigh stated that the County's portion of the TIRZ funds should be shown as income to the City. He added that when the TIRZ ends in December 2024, the revenue from the Co unty for TIRZ will also end . Manager Listi reminded the Council that the Tl RZ incl udes an option to be extended. Additionally, Mr. Leigh as ked if the Water and Sewer Fund will include the MUD for FY 2017. Mr. Bozon said that Staff will begin modeling the potential revenues , but with only 30 existing hou ses, it will take some time to gain the data for the most accurate projections. Mayor Grayson asked how the Water and Sewer Fund was faring given all the rain that we have had recentl y. Mr. Bozon said the fund is in good shape, and revenues are ahead of where they were at this time last year. Councilmember Pearson asked if we are seeing more accurate readings with the new metering system . Mr. Bozon said that we are seeing some higher readings. Executive Session At 6:28 p.m., the Mayor anno unced the Council would go into Executive Session for the following items: 10. Executive Session purs uant to the provisions of the Texas Open Meetings Act 2 Chapter 551 2 Govt. Co de 2 Vernon's Texas Codes Annotated 2 in accordance with the authority conta ined in Section 551.074 2 regarding personnel. 11 . Executive Session purs uant to the provisions of the Texas Open Meetings Act 2 Chapter 551 2 Govt. Co de 2 Vernon's Texas Codes Annotated 2 in accordance Belton City Council Meeting May 10, 2016- Page 6 with the authority contained in Section 551.087, regarding economic development negotiations. The Mayor reopened the meeting at 7:27 p.m., and there being no further business, the meeting was adjourned . ATTEST: Exhibit "A" z 0 en en :J (.) en 0 w :J z w > w 0::: Revenue Review Revenues FY 2016 Budget General Fund $ 12,623,882 Water & Sewer Fund 6,371,731 BEDC 1,645,212 Drainage Fund 372,000 Hotel/Motel Fund 167,200 Debt Service Fund 1,067,832 TIRZ Fund 1,001,054 Total Revenues $ 23,248,911  Property Taxes CITY OF BELTON • Bell County Tax Appraisal District 25.83% • Assesses values and collects ad valorem taxes • Tax rates set by the following entities • Belton ISO BELTON ISO 56.36% • City of Belton 17.66% • Bell County 0.15% • Clearwater U.W.C.D • Citizens of Belton pay a combined ad valorem rate of $2.55485 per $100 of assessed value Fr~nchiseTixes • City of Belton rate: $0.6598 per $100 of assessed value 11% S;iles fax~ 25"  Property Taxes • City of Belton rate: $0.6598 per $100 of assessed value • Interest & Sinking: $0.1266 • Calculated based on required debt service Interest & • Maintenance & Operations: $0.5332 Maintenance& Sinking, $1,068,421 Operations, • Total rate - l&S rate $4,499,859 • Funds General City operations TIRZ, $670,770 • Tax Increment Reinvestment Zone (TIRZ) • Assignment of property tax revenue based on location fr.inchise Taxes 11% Other Revenues 28% Sales Taxes 25% Tax Increment Reinvestment Zone . 0 :ii • Legal framework provided by Chapter 311, TexasJ;rax-Gode Lr- , _ 11 1 • Established December 14, 2004 '-1!1 • L • Base values established January 1, 2004 • Five Member Board of Directors • Primarily project focused Bell County, $417,297 City of Belton, $670,770  Sales Taxes • State of Texas imposes tax of 6.25°/o City of Belton, • Local maximum of 2°/o 1.00% • 1°/o City of Belton Bell County, • a.S 01o BEDC State of Texas, 0.50% • a.S 01o Bell County 6.25% BEDC, $1,596,512 Franchise Taxes 11% Otht!f Rewnues 28% so Taxes 2S% City of Belton, $3,193,024 ~---------·-- - - - - - - - - - - - - - - -- - - - - -- - - - - -- - -- - Belton Economic Development Corp. • Type 4A Economic Development Corporation • Legal framework provided by Chapters 501 and 504, Texas Local Government Code • Created in 1990 by citizen vote • Five Member Board of Directors • Eligible expenditures include • Projects related to creation or retention of primary jobs • Projects related to certain job training • Projects related to certain military bases or missions • Certain infrastructure improvement projects  Franchise Fees • Fee assessed on utilities that utilize City of Belton right-of- way for the delivery of their services • Fee calculation governed by State Law and City Charter • Electric $720,000 c~~e ~~ Garbage 73 • Cable $130,000 Telecomm • Gas $95,000 5% • Garbage $89,000 • Telecomm $72,000 Water/Sewer 19% • Water & Sewer $262.907 53% $1,368,907 Other Revenue~ 28" S<lles T.-ixes 25% Property T.-ixes 36%  Other Revenues Harris & Recreation Alcoholic Beverage Permitting & Tax Interest Refuse & Brush Collection Fees $ 1,246,880 Inspections "~ ..../_. Ambulance Services s 1,200,000 lnterfund Transfers $ 168,048 Municipal Court Fines and Fees $ 355,700 Refuse & Brush Public Safety Receipts $ 237,037 Collection Fees Permitting & Inspections $ 168,950 Municipal Court Harris & Recreation $ 62,000 Fines and Fees Grants $ 50,294 Alcoholic Beverage Tax $ 38,000 Miscellaneous & Interest $ 37,000 lnterfund Transfers $ 3,563,909 Ambulance Services Other Revenu s Effluent Revenues 28% FY 2016 estimate: $300,000 (FY15 &16 payment) SalesT~es 2 " FY 2017 estimate: $200,000 General Fund Expenditures Harris & Recreation 2% Library 3% Police 29% $ 3% Maintenance $ Administration Planning $ 375,559 4% Library $ 322,102 Other Finance $ 315,510 5% Harris & Recreation $ 238,909 Info Technology $ 212,240 Muni Court $ 173,776 6% Human Resources $ 161,103 City Council $ 79,477 $12,621,507 Refuse 8% Fire & EMS 22% 9% Hotel - Motel Taxes Bell County, 2% • State of Texas imposes tax of 6% City of Belton, • Local tax of 9°/o 7% • 7°/o City of Belton • 2% Bell County State of Texas, 6% • Use of local revenue governed by Chapter 351 ,Texas Tax Code • Expenditures must directly enhance and promote tourism • Expenditures must fit within 9 statutory categories • City of Belton contracts with the Belton Chamber of Commerce to operate the Belton Convention & Visitors Bureau  Water & Sewer Fund • Rates set to match funding needs of the utility Debt Service, $1,316,930 • Rate study conducted in FY 2014 • Structure designed to fund five year plan O&M, Capital Outlay • Years one and two implemented to date $4,479,699 & Transfers, $557,120 Table 1: Recommended Water Rates FY 2016 W&S Expenditures Revenues FY 2016 Bud et Water $ 3,719,161 Sewer 2,389 ,970 Other Fees 250 ,600 Table 2: Recommended Wastewater Rates Misc Income 6,000 Transfers In Interest Income 6,000 TOTAL REVENUES $ 6,371,731  - -----··- -- - - - -- - - -- Drainage Fund • Rates set to match funding needs of the utility • Held constant since inception in FY 2008 • Funds are used to maintain and improve Belton's drainage system • Detention ponds • Storm drainage • Culverts • Debris management • FY 2016 Budget: $372,000 • Slonn I_ O_l _Ou m-- - s-n___ ,..,.. 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