City Council

Belton City Council Meeting July 24, 2018-5:30 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 Craig Pearson and Councilmembers David K. Leigh, Dan Kirkley, Guy O'Banion, John R. Holmes, Sr. and Wayne Carpenter. Staff present included Sam Listi, John Messer, Amy Casey, Brandon Bozon, Chris Brown, Matt Bates, Paul Romer, Bob van Til, Bruce Pritchard, Kim Kroll, Judy Garrett, Angellia Points, Charlotte Walker, Cheryl Maxwell, Cynthia Hernandez, Susan Allamon, Jen Wesley, Larry Berg and Kelly Trietsch. The Pledge of Allegiance to the U.S. Flag was led by Grants and Special Projects Coordinator Bob van Til, the Pledge of Allegiance to the Texas Flag was led by Councilmember Wayne Carpenter, and the Invocation was given by Bruce Lovesmith, a member of the Belton Clergy-Police Partnership. 1. Call to order. Mayor Marion Grayson called the meeting to order at 5:32 p.m. 2. Public Comments. John Manuel, 2930 Presidio Circle, spoke on the potential adverse impact the Lake-to-Lake Road may have on his neighborhood, and recommended the project be reviewed. 3. Consider minutes of previous meetings: A. July 10, 2018, City Council Workshop Meeting B. July 10, 2018, City Council Meeting Upon a motion by Councilmember David K. Leigh, and a second by John R. Holmes, Sr., the minutes were unanimously approved by a vote of 7-0. Planning and Zoning 4. Hold a public hearing and consider an ordinance amending Section 23, Commercial Highway Zoning District to allow a truck stop and truck parking lot as permitted uses. Director of Planning Cheryl Maxwell explained that one of the items on this agenda is a zone change request to Commercial Highway District to allow truck fueling and parking. Truck Parking Lot and Truck Stop are defined in the Zoning Ordinance, but they are not listed under any of the zoning districts as permitted uses, neither by right nor by Specific Use Permit. She said that after review of the definitions in the Zoning Ordinance, it can be inferred that the fueling of heavy load truck vehicles is allowed in the following Zoning Districts: • Retail (Gasoline or Service Station) • Central Business District (Gasoline Service Station) Belton City Council Meeting July 24, 2018- Page 2 • Commercial Highway (any use allowed in Retail) • Commercial-1 (any use allowed in Retail) • Commercial-2 (any use allowed in Commercial-1) Mrs. Maxwell said a Commercial Auto Parking Lot/Garage is allowed in the C-2 District, and it may be inferred that the truck parking is an accessory use to the truck fueling and allowed in the same zoning districts identified above for truck fueling which would then include Retail, CBD, CH , and C-1. Staff proposes to clarify which districts allow a truck stop and truck parking by amending the Zoning Ordinance to allow the use. "Truck Stop and Truck Parking Lot are both uses related to interstate traffic, " Mrs. Maxwell said . Therefore, the Commercial Highway Zoning District appears to be appropriate for these uses. If approved for the Commercial Highway Zoning District, these uses would also be allowed in Commercial-1 and Commercial-2 Zoning Districts. She added that Staff is not proposing to add these uses to the Retail District, although , if Retail Zoning is along an interstate, they may be appropriate, and could be allowed based on the current definitions. Mrs. Maxwell said the Planning and Zoning Commission met on July 17, 2018 and unanimously recommended approval of the proposed amendment to Section 23, Commercial Highway Zoning District, to allow a truck stop and truck parking lot as permitted uses, and Staff concurs with their recommendation. Councilmember Holmes asked if the Truck Parking Lot meant overnight parking. Mrs. Maxwell said , "Not necessarily." She added that the length of time allowed for parking in the lot is not addressed. Mayor Grayson opened the public hearing on this item. Seeing no one wishing to speak, she closed the public hearing. Upon a motion by Councilmember Guy O'Banion, and a second by Councilmember Wayne Carpenter, Item #4, including the following captioned ordinance, was unanimously approved by a vote of 7-0. ORDINANCE 2018-22 AN ORDINANCE OF THE CITY OF BELTON, TEXAS, AMENDING THE ZONING ORDINANCE BY AMENDING SECTION 23, COMMERCIAL HIGHWAY DISTRICT, TO ALLOW A TRUCK STOP AND TRUCK PARKING LOT AS PERMITTED USES; PROVIDING A SAVINGS CLAUSE; PROVIDING A SEVERABILITY CLAUSE; PROVIDING A PENALTY; AND PROVIDING AN EFFECTIVE DATE. 5. Hold a public hearing and consider a zoning change from Agricultural to Commercial Highway District on a 3.283 acre tract of land located at 3555 W. Belton City Council Meeting July 24, 2018- Page 3 Hwy 190 Service Road, on the southeast corner of 1-14/US 190 and FM 1670, west of 1-35. Director of Planning Cheryl Maxwell explained that this property is under contract, and the proposed purchaser is the applicant. The applicant proposes to develop a larger convenience store to accommodate fueling and parking of large trucks. The proposed Commercial Highway Zoning District allows these types of uses. She added that while alcohol sales is an allowed use under the proposed zoning, this area is currently "dry" for alcohol sales. Mrs. Maxwell said that the Zoning Ordinance is not clear regarding these uses. She added that the approval of the code amendment in Item #4 clarifies that the applicant's proposed uses are allowed in the requested Commercial Highway Zoning District. She added that approval of a subdivision plat and site plan will be required prior to issuing a building permit. Development of this property must comply with all design standards for site development including building design, landscape, tree preservation, etc. The Planning and Zoning Commission met on July 17, 2018, and unanimously recommended approval of the zoning change from Agricultural to Commercial Highway District, and Staff concurs with their recommendation. Mayor Grayson opened the public hearing on this item. Seeing no one wishing to speak, she closed the public hearing. Upon a motion by Councilmember Leigh, and a second by Councilmember O'Banion, Item #5, including the following captioned ordinance, was unanimously approved by a vote of 7-0. ORDINANCE NO. 2018-23 AN ORDINANCE AMENDING THE ZONING ORDINANCE OF THE CITY OF BELTON BY CHANGING THE DESCRIBED DISTRICT FROM AGRICULTURAL TO COMMERICAL HIGHWAY ZONING DISTRICT ON A 3.283 ACRE TRACT, WITH DEVELOPMENT TO BE REGULATED UNDER TYPE AREA 4 DESIGN STANDARDS. 6. Consider a final plat of Hollow Ranch Subdivision, comprising 34.535 acres on the east side of FM 1670, south of West Amity Road in the ETJ of the City of Belton. Director of Planning Cheryl Maxwell said this is a 49-lot subdivision with 47 lots proposed for single family residential development and two lots proposed for commercial development along FM 1670. The preliminary plat was approved in February, under the name of Taylor Subdivision. Belton City Council Meeting July 24, 2018- Page 4 Mrs. Maxwell explained that this property is located in Belton's ETJ, so there is no zoning. The Future Land Use Map shows this area as residential, and there are currently several residential developments in this area. Access to the residential lots is provided off FM 1670 via the proposed road Hollow Drive. Local streets connect with Hollow Drive creating a loop within the development. All of the proposed residential lots are over 0.50 acre in size, and the two commercial lots are both approximately 2.5 acres in size. Following is a summary of the subdivision ordinance requirements as they apply to this subdivision plat. Water: This property is located within the Salado Water Supply Corporation (SWSC) CCN. An existing 6-inch water line runs along the west side of FM 1670 and an 8" line runs along the east side. The applicant proposes to tap the 8" line and construct an 8-inch line throughout the subdivision. A letter has been provided from SWSC confirming their ability and willingness to serve this subdivision. The City of Belton Fire Code requires a minimum water flow of 1,000 gpm for fire hydrants. The existing water pressure is 900 gpm. The developer requested a variance to this requirement with the preliminary plat, and it was approved by Council at that time. Sewer: No sanitary sewer is available to serve this subdivision. Individual septic systems are proposed on the lots. All of the proposed lots are over 0.50 acres in size. A letter has been provided from the Bell County Public Health District tentatively granting approval for septic systems, subject to site plan reviews for the individual lots. Drainage: Drainage will be detained on-site in the vicinity of Block 1, Lot 14 at the northeast corner of this property and will be maintained by the subdivision's home owners' association. Detailed drainage calculations have been provided, and drainage plans are ready for approval. Streets: With 120' of ROW available, no ROW dedication is needed for FM 1670. FM 1670 is a TxDOT roadway; therefore, the requirement for perimeter street improvements is not applicable. TxDOT approval is required for driveway permits to the commercial lots from FM 1670. TxDOT has approved access for the entrance roadway, Hollow Drive, and the southern commercial lot (Lot 1, Block 3); however, access to the northern commercial lot (Lot 1, Block 1) was not granted. Access to this lot will be via Hollow Drive. The internal roads in this subdivision will be constructed as local streets with a 31' pavement width within a 50' wide ROW with curb and gutter. Sidewalks: The Subdivision Ordinance requires the developer to construct and install a 6-foot wide sidewalk along the subdivision side of arterial roadways. Since FM 1670 is a minor arterial, the developer is required to install a 6-foot wide sidewalk along the eastern side of FM 1670. The applicant requested a variance to this requirement with the preliminary plat, and it was denied in conjunction with Belton City Council Meeting July 24, 2018- Page 5 preliminary plat approval. The sidewalk has been included in the proposed construction plans. Parkland Dedication/Fees: This subdivision is proposed to contain 47 residential lots; therefore, a dedication of 0.47 acres of parkland or a $9,400 fee-in-lieu of land dedication is required. The lots in this subdivision are 0.50 acre and larger, which provides open space on each lot for the residents. This subdivision is located outside the Belton City limits and is not close to any existing City parks. The Parks Master Plan does not identify any future parkland in this area. The developer requested a variance to the parkland requirements with the preliminary plat, and the variance was granted. Mrs. Maxwell said that Staff has reviewed the final plat and finds it acceptable, subject to conditions contained in the letter to the applicant. Since this proposed subdivision is located in Belton's ETJ, the Bell County Engineer's Office has also reviewed this plat and made comments that have been addressed. After Council action, this plat will be taken to Bell County Commissioners Court for approval. At the Planning Commission meeting on July 17, 2018, Staff informed the members they were working with the applicant regarding placement of driveways with access to Hollow Drive for the two commercial lots. The proposal is to locate each driveway 125' from the west property line. Staff also informed the members that their recommendation for the sidewalk along FM 1670 was being withdrawn, due to maintenance issues. Neither Bell County nor TxDOT is willing to maintain the sidewalk in the ETJ, and the City cannot justify spending tax dollars generated by residents inside the city limits on sidewalks located outside the City limits where the residents do not pay City taxes. Councilmember Leigh asked, "Although the sidewalk is not going to be built at this time, can we request the developer design the sidewalk so we will be able to construct it at the appropriate time?" City Manager Sam Listi said that TxDOT has stated sidewalk design would not be appropriate at this time since future design of roadway improvements are unknown. Mr. Leigh said that he does not agree with TxDOT and still believes it should be designed. Mr. Listi said that he understands, but the City is having a challenge with areas like this in the ETJ. Councilmember O'Banion asked if there is enough ROW for a sidewalk. David Mojica of Belton Engineering, the applicant's engineer, stated that the original plans show a sidewalk, and there is room within the TxDOT ROW. Mr. Leigh said that he thinks the plans should continue to show the sidewalk even if it is not required to be constructed at this time, thereby demonstrating it is possible. Upon a motion by Councilmember Leigh to approve the final plat as presented but require the sidewalk to be shown on the plans as originally intended, and a second by Mayor Pro Tern Craig Pearson, Item #6 was approved by a vote of 6-1. Councilmember Holmes provided the dissenting vote. Belton City Council Meeting July 24, 2018- Page 6 Miscellaneous 7. Consider authorizing the City Manager to enter into a professional services agreement with Halff Associates for the redesign of the South Belton Sewer System Phase II. Director of Public Works Angellia Points explained that Council previously decided to reevaluate the design of Phase II of the South Belton Sewer Project in order to allow additional areas to be served by gravity sewer east of Toll Bridge Road. Mrs. Points said that on June 12, 2018, two options were presented to the Council in a workshop session. Option A included keeping the lift station along Toll Bridge Road, with the assumption a second lift station would be needed in the future along the Lampasas River. A second bore under IH-35 would also be needed to serve an additional area west of IH-35 and south of Shanklin Road to the Lampasas River. This second bore is consistent with both Option A and Option B. The ultimate cost for both lift stations and second bore was estimated to be $6.12M. Option B included relocating the lift station to the Lampasas River to maximize the service area now and to only have one lift station for the region. In order to do so, additional easements would need to be acquired, and additional gravity and force mains would need to be installed. The ultimate cost for Option B ($4.14M) and the second bore under IH-35 was estimated to be $4.54M and is overall less expensive. Although Option B would require additional easement acquisition, additional time for design, and additional funding (construction and design services) at this time, Council decided to proceed with Option B. Option B results in only one lift station for the region, maximizes the service area sooner than later, and overall is less expensive for the ultimate system. Mrs. Points said Staff worked with Halff Associates to develop a scope of services to redesign Phase II for Option B. The scope of services includes the following items. • Predesign to include horizontal and profile pipeline alignments and preliminary site location of the lift station, which is proposed to be located on the Utley property. • Survey and subsurface utility engineering for locating utilities. • SCADA path study to determine antenna height. • TCEQ permitting. • TxDOT permitting services for the extension of the sewer line to Cedar Crest. • Environmental permitting. • Geotechnical investigations. • 30%, 60%, 95%, and final design phases, each with cost estimates and necessary reviews. • Easement legal descriptions and exhibit preparations. Belton City Council Meeting July 24, 2018- Page 7 • Bid phase services. Construction phase services will be negotiated at the time of bid award. • This scope does not include the second bore under IH-35. This is considered another future phase of the sewer project. Mrs. Points added that there are some economies of scale with the Phase II redesign because the project includes the lines north of the original lift station property, which have already been designed . However, because more service acreage is included , the force main size will need to be increased. The gravity main north of Toll Bridge will be extended to Cedar Crest along IH-35. The scope includes designing 5,900 linear feet of new gravity line and 4,000 linear feet of new force main. Phase II will include moving the lift station, which can keep most of the original design. However, she said that it will require some changes due to the location, increase in size, the configuration and reworking how it will be powered by electrical, etc. An access road/point to the facility will also need to be designed. Finally, the design will need final TCEQ approval. Points explained that the work on the first redesign proposal has halted, leaving approximately $75,000. The revised Phase II design scope of services is 10% of the estimated construction costs at $419, 700 with provisions to add easement legal descriptions if needed. The proposed contract is for $419,700, but net new cost given the $75,000 remaining from the halted project is approximately $345,000. She said that the funding for the redesign is proposed to come from the 2016 Utility Certificates of Obligation. Upon a motion by Councilmember Carpenter, and a second by Councilmember Dan Kirkley, Item #7 was unanimously approved by a vote of 7-0. 8. Consider authorizing the purchase of an ambulance through the BuyBoard Cooperative Purchasing Network from Frazer, Ltd., via Mac Haik Dodge Chrysler Jeep in the amount of $125,775 to be funded through the Greathouse Trust Fund. Fire Chief Bruce Pritchard said that the Fire Department needs a modern and reliable fleet in order to continue to serve the citizens of Belton. The City currently has three ambulances, and the unit that they are requesting be remounted has just over 100,000 miles on it. Current fleet: • Medic 1 2016 - 53,000 miles • Medic 2 2015 - 97,000 miles • Medic 3 2006 - 111,000 miles Fire Department personnel received a BuyBoard quote of $125,775 from Frazer for the remount. Purchases through BuyBoard meet all competitive bidding requirements. Texas law requires purchases of vehicles from licensed vehicle Belton City Council Meeting July 24, 2018- Page 8 dealers, so payment will be made to Mac Haik for the chassis and upfitting of the ambulance body. Mac Haik will deliver the chassis to Frazer who will complete the unit. The unit is expected to be complete by April 2019. The Greathouse Trust was established to help the Fire Department with EMS needs. Chief Pritchard explained that this fund has helped fund the remounting of two ambulances and the purchase of a third ambulance. The current balance in the Greathouse Trust is approximately $134,000. The Greathouse Fund Trustees met prior to this meeting and authorized the funding. The refurbishing and chassis purchase will be repaid from the General Fund in four annual installments. The first year payment from the General Fund to the Greathouse Trust Fund will be included in the FY 2019 budget. Councilmember O'Banion asked what a complete ambulance would cost. Chief Pritchard responded that a new unit would cost between $320-$350K depending on optional equipment. Mayor Grayson explained that Mrs. Greathouse had used Belton EMS while she was living, and she left instructions in her will to provide a sum of money to the City to utilize for ambulances and EMS needs. Upon a motion by Mayor Pro Tern Pearson, and a second by Councilmember Kirkley, Item #8 was unanimously approved by a vote of 7-0. 9. Consider an ordinance amending Chapter 2, Article II, Section 2-26 of the Code of Ordinances regarding the membership requirements for the Lena Armstrong Public Library Board of Directors. A motion was made to table this item by Councilmember Leigh. The motion was seconded by Councilmember Holmes, and Item #7 was tabled by a vote of 7-0. 10. Consider appointments/reappointments to the following Boards and Commissions: A. Library Board of Directors B. Housing Board of Adjustment C. Planning and Zoning Commission Mayor Grayson announced that Item #1 OA needed to be tabled. She asked if there were any questions on this item. There were none. A motion to table Item #1 OA and approve Items #1 OB and #1 OC was made by Mayor Pro Tern Pearson. Councilmember Leigh seconded the motion which was unanimously approved by a vote of 7-0. Councilmember Holmes said that he had worked with Rae Schmuck on the Planning and Zoning Commission, and he thanked her for her service. Belton City Council Meeting July 24, 2018- Page 9 11 . Consider an ordinance amending the following: A. FY2018 BEDC budget. BEDC Executive Director Cynthia Hernandez said that in August 2017, BEDC created their capital fund with $4.1 million dollars for planned infrastructure improvements. The allocation was based on estimates for the Avenue D extension , Rockwool site enhancements, cost share in the proposed East Street improvements, and the IH-35 water line extension. Due to some modifications with the Avenue D design and IH-35 services, and requests made by the City of Belton for support with various road projects, a budget amendment in the amount of $1 ,694,500 is needed. Mrs. Hernandez explained that a contract for design services for the 1-35 water extension has been approved. Services related to engineering are estimated at $94,500 over the original projected costs for engineering services and are included in the budget amendment. She said the Avenue D design is near completion with a target date of August for bids. Construction costs are expected to exceed the original estimates due to some minor enhancements required by TxDOT at the intersection of Loop 121 and Avenue D. The budget amendment includes a 15% increase for construction costs, bringing the total project to $2,478,100 for engineering and construction. She added that this project will help facilitate a safe alternative for traffic to enter and exit the Belton Business Park. Furthermore, this investment will open several tracts for commercial and light industrial development. Currently, the tracts south of IH-14 and west of Loop 121 towards FM 1670 are not served with sewer. Mrs. Hernandez said that BEDC will allocate $220,000 to design wastewater extension to serve a notable area south of IH-14. Hernandez said the remaining funds included in the proposed budget amendment are in response to the City of Belton's request for funding assistance with two additional projects. BEDC will allocate $848,340 for the Loop 121 widening project. This amount reflects the total costs due to TxDOT for the City's cost share in the project. BEDC will also allocate an additional $250,000 to fund the East Street improvements in full , estimated at $350,000. BEDC Board of Directors unanimously voted to approve the budget amendment in the amount of $1 ,694,500 at the July 12, 2018, Board meeting. Mayor Grayson and Councilmember Leigh thanked Mrs. Hernandez for the information. Mr. Leigh added that he appreciates the BEDC Board partnering with the City on many of these projects. Councilmember Dan Kirkley commented , "Wow!" B. FY2018 General Fund and Debt Service Fund budgets. Belton City Council Meeting July 24, 2018 - Page 10 Director of Finance Brandon Bozon explained that the 2005 City Charter states that budget amendments occur by ordinance. The enclosed ordinance includes all known budget amendments to date for FY 2018. Some of these were approved by City Council as they arose during the year, and the need for other amendments occurs in the course of operations during the year. Amendments not yet approved by Council include: • An increase in refuse collection fee revenue and an increase in refuse collection contract expenditures of $50,000 to adjust revenues closer to actual and cover the additional refuse contract expenditures due to greater than anticipated customer growth. • An increase in the General Fund expenditure, 'Transfer to Debt Service Fund' and Debt Service Fund revenue, 'Transfer from General Fund' of $200,000 to assist in the continued implementation of the City's tax rate management strategy in FY 2019. • An increase in the General Fund expenditure, 'Fire Department HVAC Maintenance', of $50,000 to cover unplanned expenditures incurred during the year. • An increase in the General Fund expenditure, 'Transfer to Street Maintenance Fund' of $150,000 to provide additional funding for the City's ongoing preventative street maintenance plan. • An increase in the BEDC Operating Fund expenditure, 'Transfer to BEDC Capital Projects' of $1,694,500 to provide funding/additional funding for the Avenue D extension, East Street Improvements, IH-35 waterline extension, Loop 121 widening cost share and IH-14 sewer line engineering. (See Staff Report for Item 11A for more detailed information.) Other amendments previously approved, and included in this ordinance are: • The increase in BEDC Operating Fund expenditure, 'Land' of $43,000 to cover the acquisition of property adjacent to the Belton Business Park Councilmember Leigh asked if the rollback rate was affected by amending the budget during the year. He added that, although the City isn't changing the total ad valorem tax rate, we are adjusting the allocations between Maintenance/ Operations (M&O) and Debt Service. Mr. Bozon stated, "Just having surplus revenues in sales tax will not affect the roll back rate. However, as the City heads down this path of utilizing debt service fund balance to work our tax rate to maintain the same top line by decreasing the debt service, it will pull next year's rollback rate down from 0.6970 to 0.6722, so we are saying we need less debt service taxes to service our debt. We are on a path toward lowering our rollback rate for next year, but it will still be above our current tax rate. Just having additional revenue streams doesn't impact that." Belton City Council Meeting July 24, 2018 - Page 11 Mr. Leigh asked, "When we look at rollback rates, do they affect the debt service rate, or just primarily the M&O rate? If there was a cap from the State in the future years to say we are going to cap ... you can only go up 10%, it's not 10% overall, is it?" Mr. Bozon said the cap will affect only the M&O rate. He added, "Through this we are increasing our M&O and decreasing our debt service, but that is the rate (M&O) that has been targeted in the past by the Legislature to cap. The reason our top line roll back would be changing is due to us lowering our debt service rate. Our M&O rollback rate cannot change because it's done with a calculation, and the debt service rate is added to that. Mr. Leigh said, "So effectively the State Legislature sees debt service as more of local control issue, while they see M&O as more of a State controlled issue." Mr. Bozon said, "Another way to look at it is debt service is a legal obligation of a government entity." Mr. Leigh added, "Unless the State wants to take over the legal obligation to pay our debt, they aren't going to touch that rate." Councilmember Holmes said , "That's the reason I'm a little hesitant to do the $200,000 adjustment to the debt service fund. I think we are committing ourselves to the tax rate before we have approved the budget. I'm also hesitant to continue to buy down the debt service." Mr. Leigh said, "In my personal opinion, as long as the top line is the top line, the more we can have flexibility under our control without having to anticipate what the State Legislature may or may not do, I think it is a good way to manage the tax rates by not increasing the taxes. It is just allowing us to have more margin under our control." Mr. Holmes responded, "I somewhat agree, but debt service is debt service, and to add funds to that account from the General Fund, I'm a little hesitant." Mayor Grayson asked Mr. Holmes why he was hesitant. Mr. Holmes responded, 'The debt service fund already has a $90,000 surplus, so we are already collecting more taxes for our debt service than we need, and we are going to add $200,000 to that?" Mr. Leigh said , "It is a way to manage the debt service tax rate and the maintenance and operation tax rate if we anticipate that we will have to shift up in the future." Mayor Grayson said, "Anticipating what the Legislature is going to do in January is one that always gets us. We don't want to get in a pickle." Mr. Holmes asked, "So you don't think the Legislature is going to let us adjust funds over the debt service account anymore?" Mr. Leigh responded, "No. We just think moving to the 0.565 rate from the 0.554 rate is going to give the City more margin for collection in the future for future projects that can only be funded by the M&O rate. We are just trying, over time since we have been fairly conservative, to shift more of our ad valorem tax rate into maintenance and operations, and less from debt service. It's just a shift." Councilmember Wayne Carpenter asked Mr. Bozon to explain the rollback rate. Mr. Bozon said the rollback rate is a calculation that adds 8% to the City's Belton City Council Meeting July 24, 2018- Page 12 effective maintenance and operation rate, and that is the highest the City can go on the M&O tax rate. The top line M&O roll back number is that number plus whatever you say you need to levy that year for debt service. The reason our top line rollback is coming down is not because our M&O rollback is coming down, but because we are saying we need less funding for debt service with the idea that we are shifting ... keeping our same top line tax rate and putting more toward M&O." Councilmember O'Banion said, "we've proven that we don't need as much for debt service because we have a surplus in debt service." Mr. Bozon said, "Surplus is a balance sheet number. The $90,000 was $170,000 last year, so in this particular year, we have a deficit in debt service because of a similar plan to utilize our fund balance. So we are not going to collect another $90,000 over what we've projected." Mr. O'Banion asked, "Didn't you say the net rollback rate will actually decrease after it is all said and done, so really what we are saying is we can't even increase, we are limiting our ability to increase, the tax rate at the same time. So as a citizen, I could view that as we are saying we are lowering the amount, the threshold that we could raise taxes if we wanted to." Mr. Bozon said, "Yes. We are lowering our ceiling which is what your rollback rate essentially functions as ... from around $0.69 to around $0.67." Mr. O'Banion said, "I think that is what Mr. Holmes meant about making decisions on tax rate before there is a budget, but we are basically committing that we do not foresee needing to go to the rollback rate." Mr. Bozon said, "It is a very valid concern. It is an unfortunate timing issue of when we got our certified tax roll to when we have to propose a maximum tax rate, and have those rollback calculations finalized that we didn't have two meetings fall in that window. We got the certified roll last week, and the next meeting will be when the Council sets the maximum proposed tax rate. We are limiting ourselves beyond the 0.6722 number " Councilmember Leigh said the good news is the City has excess revenues on things that are not property taxes. He added that it is a good metric for underlying economic performance of a city. Upon a motion by Councilmember Leigh, and a second by Mayor Pro Tern Pearson, Items #11A and #11 B, including the following captioned ordinance, were unanimously approved by a vote of 7-0. Councilmember Holmes asked that the record reflect that he voted in favor of the budget amendment, but he still has a little concern about the $200,000. ORDINANCE NO. 2018-24 AN ORDINANCE AMENDING THE ANNUAL BUDGET OF THE CITY OF BELTON FOR THE FISCAL YEAR BEGINNING OCTOBER 1, 2017, AND ENDING SEPTEMBER 30, 2018. 12. Consider a resolution approving the Advanced Funding Agreement with the Texas Department of Transportation for the Loop 121 Widening Project. Belton City Council Meeting July 24, 2018 - Page 13 City Manager Sam Listi explained that the City has worked with TxDOT to emphasize the priority of widening Loop 121 due to existing and anticipated growth. As discussed at a Council Work Session on April 24, 2018, TxDOT is preparing to initiate final design, ROW acquisition, and utility relocation plans for the Loop 121 Widening Project, between FM 439 (Lake Road) and IH-35. The total project cost estimate is $33 million, with right-of-way and utility relocation costs amounting to an estimated $8,483,385. Belton is responsible for 10% of this amount, totaling $848,338.50, and TxDOT has provided an Advanced Funding Agreement to be executed and accompanied by the City's cost share. Mr. Listi said that approval of the Agreement by the City will trigger the next important step by TxDOT to keep the project moving in an orderly manner. Providing our cost share reflects the City's commitment to the project, and will fix the City's cost share at this amount even if ROW costs exceed this estimate. The final TxDOT public hearing on the project is tentatively scheduled for August 30, 2018 and, following final design, ROW acquisition, and utility relocation , construction could begin in 2021/2022. Funding has been provided by the Belton Economic Development Corporation based on a budget amendment approved by Council in Item #11A. Additionally, Listi explained that a 14" City water line is located within the Loop 121 ROW, which the City will be 100% responsible for its relocation as may be needed for project construction. The actual impact of this line, and the need for its relocation, will not be known until the development of 30% Loop 121 construction plans by TxDOT. Councilmember Holmes asked if the bike lane will be located in the road. Mr. Listi responded that it will be adjacent to the roadway in the right-of-way. Mr. Listi expressed appreciation to BEDC for their partnership on this project. Mayor Grayson echoed the Council's appreciation. Upon a motion by Councilmember Kirkley, and a second by Councilmember O'Banion, Item #12, including the following captioned resolution, was unanimously approved by a vote of 7-0. RESOLUTION NO. 2018-18-R A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BEL TON, TEXAS, AUTHORIZING THE CITY MANAGER TO SIGN AN AGREEMENT WITH THE TEXAS DEPARTMENT OF TRANSPORTATION, FOR THE WIDENING OF STATE LOOP 121 FROM FM 439 TO INTERSTATE HIGHWAY 35 Budget FY2019 13. Receive presentations on the proposed Hotel-Motel Fund budget for FY 2019. Belton City Council Meeting July 24, 2018- Page 14 Director of Finance Brandon Bozon reviewed changes in the Hotel/Motel Fund in FY2018. He then presented the proposed FY2019 Hotel/Motel budget, and said the beginning fund balance is projected to be approximately $149,952. He reviewed revenues, indicating that they are projected to remain flat in FY2019. Councilmember Holmes asked if the funds were still given to the Belton Area Chamber of Commerce. Mr. Bozon explained that prior to January 2017, the hotel- motel funds were given to the Chamber to manage these funds. The Chamber went through some reorganization, and the City now manages the funds for tourism. Additionally, Judy Garrett, CVS/Retail Coordinator, transitioned to a City position at that time. Mr. Bozon discussed anticipated expenditures, and said that the proposed budget of $173,474 shows an increase from FY2018. Judy Garrett, CVS/Retail Coordinator, reviewed the acceptable uses for hotel/motel funds (Exhibit "A"). She also discussed the mission, accomplishments and goals for the Tourism/Retail Development Department. Mayor Grayson congratulated Ms. Garrett stating that the inaugural events held this year were successful, especially the Belton Bacon, Brews and Blues Festival. No action was required by the Council on this item. 14. Receive presentations from the following City departments concerning their mission, annual accomplishments and goals: A. Fire Fire Chief Bruce Pritchard presented the mission, accomplishments and goals for the Belton Fire Department (Exhibit "B"). Mayor Grayson asked about the purpose of the rehab trailer. Chief Pritchard explained that the trailer is used at fire scenes when it is determined that a firefighter needs to rehab from working the fire. The Mayor expressed appreciation to the Fire Corps for their hard work and dedication to the Fire Department. B. Planning and Inspections Director of Planning Cheryl Maxwell presented the mission, accomplishments and goals for the Planning Department including Building Inspections and GIS (Exhibit "C"). Councilmember Leigh asked if the City and BellCAD are able to share data for mapping. Mrs. Maxwell said that she would need to ask the GIS Technician if that could be done. Belton City Council Meeting July 24, 2018- Page 15 There being no further business, the Mayor adjourned the meeting at 7:12 p.m. ATTEST: lkm~- ~ Amy M. Casey, City Clerk  Hotel-Motel FY 2019 Proposed Budget EXHIBIT "A" FY 2018 Projection - Hotel/Motel Fund - Beginning Fund Balance $98,763 Projected Revenues $175,520 Projected Expenditures: ($124,331) Net Impact of Proposed Budget $51,189 Projected Fund Balance $149,952 FY 2019 Proposed - Hotel/Motel Fund - Beginning Fund Balance $149,952 Proposed Revenues $175,533 Proposed Expenditures: ($173,474) Net Impact of Proposed Budget $2,059 Projected Fund Balance $152,011 Revenues and Expenditures FY 2017 FY 2018 FY 2018 FY 2019 Change from 2018 Budget Description Actual Budget Projected Proposed Amount % Hotel/Motel Taxes $ 159,500 $ 164,706 $ 164,706 $ 164,706 $ - 0.00% Prior Year Refund $ 15,206 $ - $ - $ - $ - County Hotel/Motel Tax $ 8,192 $ 9,500 $ 9,487 $ 9,500 $ - Interest Income $ 460 $ 500 $ 1,327 $ 1,327 $ 827 165.40% Total Revenues $ 183,358 $ 174,706 $ 175,520 $ 175,533 $ 827 0.47% FY 2017 FY 2018 FY 2018 FY 2019 Change from 2018 Budget Description Actual Budget Projected Proposed Amount % Chamber $ 38,000 $ - $ - $ - $ - Personnel $ 19,051 $ 27,555 $ 27,555 $ 28,977 $ 1,422 5.16% Supplies $ 2,429 $ 1,269 $ 475 $ 475 $ (794) -62.57% Repairs & Maint $ 385 $ 775 $ 775 $ 775 $ - 0.00% Services $ 7,772 $ 73,237 $ 42,026 $ 58,247 $ (14,990) -20.47% Sponsorships $ 22,095 $ 50,000 $ 30,500 $ 57,000 $ 7,000 14.00% Bell County Expo $ 2,500 $ 9,500 $ 9,500 $ 9,500 $ - 0.00% City Support $ 3,529 $ 3,500 $ 3,500 $ 3,500 $ - 0.00% Transfers $ 64,294 $ - $ 10,000 $ 15,000 $ 15,000 Total Expenditures $160,055 $ 165,836 $ 124,331 $ 173,474 $ 7,638 4.61% Use of Local Hotel Occupancy Tax Texas Tax Code Title 3 – Subtitle D – Chapter 351 Criteria #1: Every expenditure must DIRECTLY enhance and promote tourism AND the convention and hotel industry. Criteria #2: Every expenditure of the hotel occupancy tax must clearly fit into one of the 9 statutorily provided categories for expenditure of the local hotel occupancy tax revenues. 1. Funding the establishment, improvement, or maintenance of a convention center or visitor center. 2. Paying the administrative costs for facilitating convention registration. 3. Paying for advertising, solicitations, and promotions that attract tourists and convention delegates to the city or its vicinity. 4. Expenditures that promote the arts. 5. Funding historical restoration or preservation programs. 6. Funding certain expenses, including promotional expenses, directly related to a sporting event, within counties with a population of under 1 million. 7. Funding the enhancement or upgrading of the existing sports facilities or sports fields for certain municipalities. 8. Funding transportation systems for tourists. 9. Signage directing tourists to sights and attractions that are visited frequently by hotel guests in the city. Tourism Manager/Retail Coordinator Mission: Promote Tourism & Retail/Commercial Development in the City of Belton FY 2018 Accomplishments  Hosted inaugural Bacon and Blues Festival  Provided support to events that brought tourists to Belton  Mother Earth News  Bell County Kennel Club  American Pool Cue Tournament  4th of July Rodeo and Parade  Bell County Comic Con Tourism Manager/Retail Coordinator FY 2019 Goals  Expand Bacon and Blues Festival  Continue to Liaison with Destination Central Texas, Bell County Expo Center, UMHB  Host site tours for prospective new hoteliers  Continue to support events that bring people to Belton! EXHIBIT "B"  2018 Accomplishments Fire Fire • Fire Chief’s Annual Conference • Fire Corp acknowledgement for Best Practices • Walmart $2K Rehab Trailer Equipment Recognition (received) • Initiated the new Firehouse Software • AFG Grant $24K Smoke detectors, fire stops • Conducted joint Ladder Operations training • Rehab trailer & FD operations assistance with Temple Fire & Rescue • Implemented Fire Corps auto response to • Completed a Fire Department Needs structure fires and other emergencies Assessment report for CM • Community and Public Safety: $+30,000 • AFC Gilbreath graduated his 2-year Texas Fire • Volunteer hours: +3,000 hours Chief Academy • Will conduct one of the largest Fire Prevention Programs in the Department’s History (July 28th)  2019 Goals Fire Administration • Research different avenues to recruit new firefighters • Continue to offer Fire Corps classes & find grant opportunities Suppression • Improved/maintain quality training • Begin succession program to provide Officer Development training for “Step Up” officers • Certify 2 fire inspectors and 1 fire investigator Prevention • Continue the smoke detector installation program Emergency Management • Enroll AFC in basic Emergency Management Courses • Conduct 3 Emergency Management exercises • Conduct a “Mock” drill during the 100th anniversary July parade  2019 Goals EMS • Enroll firefighters in Paramedic School as needed • Continue to maintain advanced training • Re-chassis ambulance  Future Challenges Fire EMS • Continue working with CM to prepare FD for • Equipping ambulances with improved future growth patient loading systems • Staffing and station locations preparing • Budgeting for increased ambulance costs for future growth and remount increases • Preparations to purchase a rescue truck in • Adjust to the county EMS transition in 2019/2020. 911 service • Preparations to replace Q2 in 2024. • Designing revised EMS response maps to Initial build process beginning in 2022 adjust to the reduction in county response • Find creative ways to increase retention areas and reduce turnover  Oh Snap! Almost forgot this accomplishment… Questions?  GIS  Building Inspections EXHIBIT "C"  Planning  GIS Mission: To efficiently and effectively provide geospatial information and applications to all City departments and the public in order to enhance City operations, improve decision making and provide better public service. Accomplishments:  Obtained 2017/2018 aerial imagery through CSEC (Commission on State Emergency Communications).  Developed comprehensive Annexation History online map.  Developed custom data collection web application for Code Enforcement Officers to collect information in the field.  Created new Recycle, Garbage and Brush maps for quick information lookup.  Revised and reproduced Miller Springs Trail Map with help from Parks Department. Goals  Update zoning ordinances to our ArcGIS Online maps due to change in website.  Create interactive Walking Tour map, Miller Springs map, and Parks facilities map  Coordinate with Public Works Dept. to develop a Fire Hydrant Maintenance Plan.  Create an address lookup tool to implement on our website or ArcGIS Online maps.  Integrate subdivision plats into GIS.  Building Inspections Mission: Administer the City’s building, plumbing, electrical, mechanical, energy codes, and City Ordinances to ensure the construction and maintenance of safe residential and commercial structures. Accomplishments:  Presented the 2015 International Building Codes and 2014 Electrical Code to Council for adoption.  Enhanced the Building and Inspections webpage to provide a list of guidelines—fence requirements, storage buildings, garages/carports, swimming pools.  Rebuilding the Inspections Department staff.  Completed continuing education for plumbing and code enforcement personnel. Goals  Implement newly adopted 2015 International Building Codes and 2014 Electrical Code.  Coordinate with GIS to scan and digitize all construction plans and floodplain permits.  Provide Training for Building Inspector.  Planning Mission: To address the immediate and long-term needs of the community by enhancing the quality of the City's natural and built environments through implementation of the comprehensive plan, zoning and subdivision ordinances, and design standards/guidelines. Accomplishments:  Historic Preservation Program: Achieved Certified Local Government status  Represented the City of Belton within the KTMPO, providing consideration in project selection and development with staff and TxDOT  Developed Zoning Use Tables to summarize where various uses are allowed  Coordinated with Tax Appraisal District to develop process to monitor non-annexation development agreements Work In Progress: Perform sunset review of sidewalk policy and perimeter street improvements  Establish historic landmarks  Create document providing overview of development process in Belton Upcoming Code Considerations:  Policy regarding Shared Access  RV Park Standards  Food Truck/Handlers Ordinance  Residential uses in Commercial Districts  District for Domestic Abuse Victims  Sign Ordinance  Planning Goals  Implement recommendations from the Joint Land Use Study (JLUS).  Coordinate with KTMPO and TxDOT on Loop 121 widening and other transportation and trail projects.  Maintain updated Comprehensive Plan inventory.  Provide enhanced customer service through a “one stop shop”.  Interesting Facts & Recent Trends  Population Growth  Jan 1, 2017: 21,214  Jan 1, 2018: 21,721 City of 2018  Single Family Building Permits 2016 2017 Belton (to date)  2017 – 127 permits  2018 (to date) – 56 permits Zoning Changes 18 16 11  Two Family Permits Plats 32 26 10  2017 – 18 permits (36 units) Single Family  2018 (to date) – 1 permit (2 units) $16,042,030 $26,756,791 $14,473,774 Permit Valuation  Three Creeks (ETJ)  2015 – 19 permits Commercial  2016 – 114 permits $16,561,000 $42,140 $3,063,905 Permit Valuation  2017 – 105 permits  2018 (to date) – 81 permits  Total to date – 319 permits  Interesting Facts & Recent Trends Belton Skyline UMHB Freshman Hall Projects Newly Constructed or Underway: • Expo Inn and Suites • Bell County Equestrian Center • UMHB Residence Hall and Hardy Hall Addition • Belton Skyline Office Bldg Bell Co Equestrian Center Expo Inn and Suites on Lake Road • Bold Republic Brewery • Oak Fire Pizza and Brew • Luigi’s Italian Garden Grill • Boston Building • Pro Star Rental • Three Creeks Storage Oak Fire Pizza & Brew Bold Republic Brewing • TexMix Office • Murphy Gas Rebuild • Sendero Estates