City of Canyon Commission Meetings

AGENDA NOTICE OF MEETING Notice is hereby given that the governing body of the City of Canyon will meet at 5:30 p.m. on the 6th day of April, 2015, in the Commission Chambers of City Hall at 301 16th Street in the City of Canyon to discuss the following agenda items: 1. Call to Order. 2. Invocation. 3. Pledge of Allegiance. 4. Approval of the Minutes of the Meeting of March 23, 2015. 5. Public Forum – Comments from Interested Citizens. 6. Consider and Take Appropriate Action on Resolution No. 05-2015 for 380 Status. 7. Conduct a Public Hearing and Consider and Take Appropriate Action on Ordinance No. 1020, Amending the Code of Ordinances of the City of Canyon, Chapter 156, Zoning Code, Section A 02 Terms, to Amend the Definition of Parking Space. 8. Consider and Take Appropriate Action on Change Order No. 1 – Street Reconstruction – Hunsley Hills Blvd. from Fairway Dr. to Village Dr. to Include BNSF Quiet Zone Improvements. 9. Consider and Take Appropriate Action on Bids Received for Water Distribution System Improvements – 2014 Texas Community Development Program Project. 10. Consider and Take Appropriate Action on Proposal from Xcel Energy to Eliminate Overhead Utilities in Alley of the 1500 block of 5th Avenue, New Downtown Parking Lot Location. 11. Executive Session Pursuant to Texas Government Code §551.072 Real Property; §551.074 Personnel, (City Manager’s Contract) and §551.087 Economic Development Negotiations. 12. Consider and Take Appropriate Action on Items Discussed in Executive Session. 13. Adjournment. Randy Criswell, City Manager I certify that the above Notice of Meeting was posted on the bulletin board of the Civic Complex of the City of Canyon, Texas on the 3rd day of April 2015. Gretchen Mercer, City Clerk City of Canyon City Commission Meeting March 23, 2015 The City Commission of the City of Canyon met in regular session at 5:30 p.m. in the City Commission Chambers of the Civic Complex. Mayor Quinn Alexander presided over the meeting with the following Commissioners in attendance: Mayor Pro-Tem Jed Welch, Gary Hinders, David Logan and Justin Richardson. Also present were the following City Staff: City Manager Randy Criswell, Assistant City Manager Chris Sharp, City Secretary Gretchen Mercer, Assistant City Manager for Special Projects Jon Behrens, Code Enforcement Director Danny Cornelius, Chief of Police Dale Davis, Director of Public Works Dan Reese, Business and Community Development Director Evelyn Ecker, Parks and Recreation Director Brian Noel, and City Attorney Chuck Hester. Item 1. Call to Order. Mayor Alexander called the meeting to order at 5:33 p.m. Item 2. Invocation. Mayor Alexander gave the invocation. Item 3. Pledge of Allegiance. Canyon High School Lady Eagles State Champion Basketball team members led the Pledge of Allegiance. Item 4. Approval of Minutes of the Meeting of March 2, 2015. Commissioner Logan moved, duly seconded by Commissioner Richardson, to approve the minutes of March 2, 2015. Motion carried unanimously. Item 5. Approval of Minutes of the Meeting of March 9, 2015. Commissioner Logan moved, duly seconded by Mayor Pro-Tem Welch, to approve the minutes of March 9, 2015. Motion carried unanimously. Item 6. Public Forum – Comments from Interested Citizens. No comments were made. Item 7. Presentation of Proclamation Honoring the Canyon High Lady Eagles Basketball Team for Their State Championship. Mayor Alexander presented a Proclamation honoring the Canyon High Lady Eagles on their State Championship. Item 8. Update on Aquatic Feasibility Study from Committee Chair Jimmy Lackey. City Commission Meeting March 23, 2015 Page 2 of 5 Jimmy Lackey, Chair of the Aquatic Feasibility Study Committee presented a brief update on the study for a new pool for Canyon. Mr. Lackey stated Mark Hatchel of Kimley-Horn and George Deines of Counsilman-Hunsaker have visited Canyon twice and plan to present their results of the Family Aquatic Center Feasibility Study. Mr. Lackey stated there had been a very good response from the community and expressed appreciation to the Aquatic Feasibility Committee members for their work on the project. Item 9. Consider and Take Appropriate Action on City of Canyon’s Audit for FY 2013-2014 as Presented by the Audit Committee and Doshier Pickens & Frances, LLC. Assistant City Manager Chris Sharp presented the City of Canyon Audit for FY 2013-2014. Mr. Sharp introduced Henry Davis, partner from Doshier Pickens & Frances, LLC. and Kyle Glascock, Senior Auditor, who were present to answer questions. Mr. Sharp also thanked Joel Wright, a Certified Public Accountant with Tate & Cox, P.C. for his preparation of the work necessary that was turned over to the auditors, allowing them to get the audit done in a timely manner. Mr. Sharp gave an overview of the audit stating the City of Canyon had been given a “Clean Audit Opinion”. After discussion, Commissioner Richardson moved, duly seconded by Commissioner Logan to approve the audit as presented. Motion carried unanimously. Item 10. Consider and Take Appropriate Action on Recommendations for the Board of City Development (BCD) for 2015 Budget. Assistant City Manager Chris Sharp presented the proposed Board of City Development 2015 budget for approval. Billboard Land Lease $ 6,000.00 Xcel Energy (electricity for billboard) $ 1,400.00 Texas Panhandle Heritage Foundation $34,000.00 WTAMU $34,000.00 Panhandle Plains Historical Museum $34,000.00 Chamber of Commerce $33,000.00 Canyon Main Street $25,000.00 Kids Inc. $ 3,000.00 Palo Duro Women’s Golf Association $ 3,000.00 Total $173,400.00 Mr. Sharp said collections for 2014 were up 8.4% from the previous year with a total of $181,842. Mr. Sharp said the Board of City Development met and voted unanimously to recommend a budget of $173,400 for 2015. After discussion, Mayor Pro-Tem Welch moved, duly seconded by Commissioner Hinders to approve the BCD Budget as presented. Motion carried unanimously. Item 11. Consider and Take Appropriate Action on Ordinance No. 1021, Relating to Special Events, Block Parties and Parades. City Commission Meeting March 23, 2015 Page 3 of 5 Assistant City Manager for Special Projects Jon Behrens presented Ordinance No. 1021 for consideration. Mr. Behrens said the with the community events such as the annual 4th of July celebration, Fair on the Square, WTAMU Homecoming and the Chamber Cook-off growing in size, new events and with the ability to serve beer, the City of Canyon needed to prepare for future events. Mr. Behrens said several event ordinances had been reviewed from other cities and an ordinance and permit process was developed from that information. Mr. Behrens stated the permit would go to each department beginning with the Police Department insuring that everyone that needed to know what was going on was informed, preventing potential problems. Commissioner Logan stated he felt Section 98.06 (C)1 was redundant and could be simplified by simply referring to any protected class. After discussion, Commissioner Logan moved, duly seconded by Mayor Pro-Tem Welch to approve Ordinance No. 1021 with suggested changes to Section 98.06 (C)1 as discussed. Motion carried unanimously. ORDINANCE NO. 1021 Chapter 98: Special Events, Block Parties and Parades General Provisions AN ORDINANCE OF THE CITY OF CANYON REPEALING SECTIONS 111.01 – 111.06, CODE OF ORDINANCES OF THE CITY OF CANYON, RESERVING SUCH SECTIONS FOR FUTURE USE, ADDING A NEW CHAPTER 98, RELATING TO SPECIAL EVENTS, BLOCK PARTIES AND PARADES, PROVIDING FOR A PENALTY, SEVERABILITY CLAUSE AND AN EFFECTIVE DATE; AND REPEALING ALL ORDINANCES OR PARTS THEREOF IN CONFLICT WITH THIS ORDINANCE. Item 12. Consider and Take Appropriate Action on Resolution No. 05-2015 for 380 Status. Business and Community Development Director Evelyn Ecker presented Resolution No. 05-2015 for consideration. Mrs. Ecker stated the use of a 380 Development Agreement for economic development in Texas is increasing. Mrs. Ecker the eligible scope of a project could be land development, vertical improvements (renovation or construction of facility) or both. Mrs. Ecker the 380 agreements are used on a case by case basis giving the CEDC another tool that would benefit the city with an increased tax base, job creation / diversification, community amenities, public infrastructure, higher quality development, and help stop leakage of dollars locally by offering more choices. After discussion, Commissioner Logan moved, duly seconded by Commissioner Hinders to put aside Resolution No. 05-2015 until the next meeting to allow time for fine tuning the details. Motion carried unanimously. RESOLUTION NO. 05-2015 A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF CANYON, TEXAS, ESTABLISHING AND PROVIDING FOR THE ADMINISTRATION OF City Commission Meeting March 23, 2015 Page 4 of 5 ECONOMIC DEVELOPMENT PROGRAMS PURSUANT TO CHAPTER 380, TEXAS LOCAL GOVERNMENT CODE. Item 13. Consider and Take Appropriate Action on Ordinance No. 1022, Atmos Rate Review Mechanism Agreement. Assistant City Manager Chris Sharp presented Ordinance No. 1022 for consideration. After discussion, Commissioner Logan moved, duly seconded by Mayor Pro-Tem Welch to approve Ordinance No. 1022 as presented. Motion carried unanimously. ORDINANCE NO. 1022 AN ORIDNANCE OF THE CITY COMMISSION OF THE CITY OF CANYON, TEXAS, APPROVING A NEGOTIATED RESOLUTION BETWEEN THE ATMOS WEST TEXAS CITIES STEERING COMMITTEE (“WTX CITIES”) AND ATMOS ENERGY CORP., WEST TEXAS DIVISION REGARDING THE COMPANY’S 2014 RATE REVIEW MECHANISM FILING; DECLARING EXISTING RATES TO BE UNREASONABLE; ADOPTING TARIFFS THAT REFLECT RATE ADJUSTMENTS CONSISTENT WITH THE NEGOTIATED SETTLEMENT; FINDING THE RATES TO BE SET BY THE ATTACHED TARIFFS TO BE JUST AND REASONABLE AND IN THE PUBLIC INTEREST; REQUIRING THE COMPANY TO REIMBURSE CITIES’ REASONABLE RATEMAKING EXPENSES; DETERMINING THAT THIS ORDINANCE WAS PASSED IN ACCORDANCE WITH THE REQUIREMENTS OF THE TEXAS OPEN MEETINGS ACT; ADOPTING A SAVINGS CLAUSE; DECLARING AN EFFECTIVE DATE; AND REQUIRING DELIVERY OF THIS ORDINANCE TO THE COMPANY AND THE WTX CITIES’ LEGAL COUNSEL. Item 14. Executive Session Pursuant to Texas Government Code §551.072 Real Property. Mayor Alexander indicated the Commission would adjourn into executive session at 7:00 pm. Item 15. Consider and Take Appropriate Action on Items Discussed in Executive Session. Upon returning from executive session at 7:54 pm with no action taken. Item 16. Adjournment There being no further business, Mayor Pro-Tem Welch moved this meeting be adjourned. ______________________________ Quinn Alexander, Mayor ATTEST: City Commission Meeting March 23, 2015 Page 5 of 5 ________________________________ Gretchen Mercer, City Secretary  AGENDA To: Honorable Mayor and Commissioners Randy Criswell, City Manager From: Evelyn Ecker, Director of Business & Community Development Date: March 27, 2015 Re: Consider and Take Appropriate Action on Resolution No. 05-2015 with regards to Chapter 380 Grants/Agreements of the Texas Local Government Code, Chapter 380 authorizing Texas municipalities, both home-rule and general law to provide assistance for economic development. With regards to the discussion and directive from the City Commission at the March 16, 2015 meeting, the area of concerns have been addressed and revised in the resolution. Under Section 1: Program Requirement, New Capital Investment Incentive, Paragraph 1, a. the minimum increased taxable value in Real and Business Personal Property has been increased from $1,000,000 to $2,500,000 for a new business relocating in Canyon. This is based on the current cost of new retail development being $120-$160 Square Foot. Our minimum square footage is 25,000. Based on the lowest dollar amount presented, a building with the minimum required square feet, would cost $3,000,000. There is also an assumption that building cost will not decrease. Under the same section, Paragraph 1, b. the minimum increased taxable value for the City has been increased from $500,000 to $1,000,000 for an existing business established and operating within the city limits. In example only: Johnston Hardware decides to construct a new building on undeveloped land in the city. We can assume the construction will cost at least the current price of $120 square foot and will be larger than his current location, and he is requirement is less because he is an existing/established business currently paying sales tax and property tax. Under the same section, Paragraph 2: Renovation and Improvement of Existing Facilities Incentive. Paragraph 2, a. has been changed to include new and existing business. An example of a possible scenario in Canyon, would be Family Dollar purchasing the Panhandle Plains Student Loan building (40,000+ SF) and making a super Family Dollar store. The changes made to the proposed resolution ensures that the city receives a reasonable return on their investment, and also addresses the issue of large vacant buildings currently in the city. It is staff’s recommendation to adopt Resolution No. 05-2015 with regards to Chapter 380 Agreements as an incentive to be used for economic development. City of Canyon  RESOLUTION NO. 05-2015 A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF CANYON, TEXAS, ESTABLISHING AND PROVIDING FOR THE ADMINISTRATION OF ECONOMIC DEVELOPMENT PROGRAMS PURSUANT TO CHAPTER 380, TEXAS LOCAL GOVERNMENT CODE. WHEREAS, The CITY OF CANYON by and through the City Commission, intends to implement the provisions of Chapter 380, TEXAS LOCAL GOVERNMENT CODE for the purposes of promoting state and local economic development and to stimulate business and commercial activity in the City; and WHEREAS, Consistent with the provisions of '380.001, TEX. LOC. GOVT. CODE, the City will consider, on a case by case basis, giving economic incentives to business applicants based upon economic impact of the business applicant and subject to such terms and agreements negotiated and reduced to writing by the City or its designee and the business applicant; and WHEREAS, The City shall be under no obligation to extend or provide economic incentives to any business applicant, the decision to extend or provide economic incentives being within the sole discretion of the City Commission of the CITY OF CANYON to be determined on the basis of the merit of each applicant and its proposal; and WHEREAS, In the event the City Commission should elect to extend incentives to a business applicant, the terms and conditions thereof shall be reduced to writing in the form of a contract to be signed by an authorized agent of the City and the duly authorized officer of the business applicant. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF CANYON, TEXAS: SECTION 1: Program Requirements. A. Incentives may be granted for new facilities, expansion or modernization of existing facilities that add new taxable values to the ad valorem tax rolls, and to businesses renovating or occupying existing facilities within the city limits of Canyon, the extraterritorial jurisdiction of the City or an area annexed by the City for a limited purpose. To be considered for incentives as a Chapter 380 Economic Development Program, a project must at least meet the following minimum requirements below. B. Incentives established under this Program shall be provided only to the extent that the revenue realized by the City and attributable to a project exceeds a minimum amount established by the Agreement. The public benefit or amount of revenue realized by the City and attributable to the project must be commensurate with value of any incentives granted under this Program. Page 1 1. New Capital Investment Incentive: A project may be considered if it will: a. result in a minimum increased taxable value in Real and Business Personal Property for the City of $2,500,000 for a new business relocating to Canyon; or b. result in a minimum increased taxable value for the City of $1,000,000 of Real and Business Personal Property for an existing business established and operating within the city limits. 2. Renovation and Improvement of Existing Facilities Incentive: A project may qualify by demonstrating that it will: a. be a business undertaking a new lease of a minimum of 25,000 square feet of existing single-tenant space from an unrelated third party; and b. provide justification for incentives based upon • the type and number of jobs to be created or retained; • additional revenues created for the City from sales tax and tax on Business Personal Property and inventory; • the market conditions and growth potential for the business activity; or • any combination of the above. 3. New Retail: A retail business project may be considered under the Program if: a. the type of business is a retail business; and b. it will result in new Real Property and Business Personal Property, excluding inventory, of at least $1 million. 4. Other Projects: Any other project may be considered if it is specifically determined by the Canyon Economic Development Corporation and City Commission to bring extraordinary benefit to the City consistent with this policy. SECTION 2: Types of Economic Incentives A. Grant incentives offered under these Policies and Procedures may be utilized for: a. land and/or building acquisition costs; b. building improvements or renovation; c. extension of public roads; d. drainage improvements; e. any other purpose approved by City Commission; or f. sales tax rebate. Page 2 B. Depending upon the number of employees, wage levels, capital improvements, inventory, and type of business, other types of incentives allowed by Chapter 380, Texas Local Government Code, as amended from time to time, may be considered. Denial of Incentives: 1. All eligible applications for incentives shall be considered on a case-by-case basis as set forth herein, and the decision to approve or deny any incentive shall be made at the discretion of the City Commission. 2. A project shall not be eligible for incentives if a building permit has been requested for the project prior to making application in accordance with this program. Application Process: A. Required Information: In order for the City to evaluate a request for economic incentive and to determine the level at which an applicant qualifies for incentives, the applicant shall complete a Project Impact Worksheet which will be used to perform an economic impact analysis for the proposed project. Additional information may be included to further describe the project and may be required to provide a comprehensive evaluation. Businesses are encouraged to include any information regarding ancillary benefits associated with the project such as the ability of the project to attract other projects to the city. B. Application Submittal: Completed application should be submitted to the Director of Business and Community Development of the City of Canyon. C. Application Review: Upon receipt of completed application, the Board of Directors of the Canyon Economic Development Corporation will review the application and make a recommendation for approval/denial to City Commission. Approval of Incentives: Upon approval of any incentives authorized by City Commission, before the City of Canyon’s incentive grant will be made to the applicant, the applicant shall complete and fulfill: a. the basis upon which the incentives were considered, i.e. by creating new capital investment, renovating/improving an existing building, etc.; and b. shall comply with all other terms of the agreement. SECTION 3: The forms for Economic Development Agreements shall be developed by the City Attorney in conjunction with the Director of Business and Community Development. The Application for the economic incentive program and priority lists shall be developed by the Director of Business and Community Development in conjunction with the Board of the Canyon Economic Development Corporation. Page 3  DULY RESOLVED AND ADOPTED by the City Commission of the CITY OF CANYON, Texas on this the 23rd day of March, 2015. CITY OF CANYON, TEXAS _____________________________________ MAYOR, QUINN ALEXANDER ATTEST: _____________________________________ CITY SECRETARY, GRETCHEN MERCER Page 4  Chapter 380 of the Texas Loeal Government Code Texas City Attorneys Association Riley Fletcher Basic Municipal Law Seminar Lubbock, Texas February 24, 2006 Prepared and Presented by: Jeff Moore Brown & Hofmeister, L.L.P. 740 East Campbell Road, Suite 800 Richardson, Texas 75081 214) 747- 6100  Chapter 380 of the Texas Local Government Code Riley Fletcher Basic Municipal Law Seminar Lubbock, Texas February 24, 2006 What are chapter 380 grants? Chapter 380 is a reference to chapter 380 of the Texas Local Government Code. This chapter of the Texas Local Government Code authorizes Texas municipalities, both home- rule and general law municipalities to provide assistance for economic development. Texas cities may provide monies, loans, city personnel, and city services for promotion and encouragement of economic development. What type of assistance may a city provide under chapter 380 of the Local Government Code for economic development? Cities are authorized to " provide for the administration of one or more programs, including programs for making loans and grants of public money and providing personnel and services of the municipality." Nonetheless, the programs must serve the purpose of promoting state or local economic development by stimulating business and commercial activity within the city, within the extraterritorial jurisdiction ( or" ETJ") of the city, or an area annexed by the city for limited purposes.' What constitutes serving a public purpose? The Texas Constitutional requires all expenditures of municipal funds serve a " public 2 purpose." Accordingly, expenditures pursuant to chapter 380 programs must also serve a public purpose. Prior to 1987, Texas cities did not have constitutional authorization to provide economic assistance to businesses for economic development. In 1987, the Texas voters approved a constitutional amendment which provided that grants of monies for economic development may serve a " public purpose." Article III, section 52- a of the Texas Constitution authorizes " the making of loans and grants of public money . . . for the public purposes of development and diversification of the economy of the state, the elimination of unemployment or underemployment in the state . . . or the development or 3 expansion of transportation or commerce in the state." Further, any transaction providing public monies must contain sufficient controls " to insure that the public purpose [ is] carried out." 4 1 TEX Loc. Gov' T CODE ANN. § 380. 001( a) ( as amended by Texas House Bill 918, 79th Legislature, Regular Session( 2005)( effective date May 17, 2005)). 2 TEx. CONST. art. III,§ 52( a). See also, Texas Mun. League Intergovernmental Risk Pool v. Tex. Workers' Comp. Comm' n, 74 S. W.3d 377, 384 ( Tex. 2002) (" A political subdivision' s paying public money is not gratuitous, within meaning of state constitutional provision prohibiting gratuitous payments to individuals, associations, or corporations, if the political subdivision receives return consideration."). s TEX. CONST. art. III,§ 52- a. 4 Tex. Att' y Gen. Op. No. JM- 1255( 1990) at 8-9. i Page 2 of 7  Chapter 380 ofthe Texas Local Government Code Riley Fletcher Basic Municipal Law Seminar Lubbock, Texas February 24, 2006 Is there a durational limitation on economic assistance provided under chapter 380 of the Texas Local Government Code? Unlike tax abatements which are limited to ten ( 10) years, 5 chapter 380 of the Local Government Code does not contain a durational limitation. Consequently, some Texas cities have entered into 380 agreements which extend beyond ten ( 10) years. Whether your particular city has a durational limitation may be controlled by a home-rule city charter or other local provision. Can you abate delinquent taxes under chapter 380 of the Local Government Code? Article III, section 55 of the Texas Constitution provides that the legislature " shall have no power to release or extinguish, or to authorize the releasing or extinguishing, in whole or in part, the indebtedness, liability or obligation of any corporation or individual, to this State or to any country or defined subdivision thereof." Consequently, in a Texas Attorney General opinion, the Attorney General concluded " section 380. 001( a) of the Local Government Code does not authorize a municipality, as part of an economic 6 development program, to agree to abate a taxpayer' s delinquent taxes." Can a City provide a municipal sales tax rebate as a form of chapter 380 grant? Many cities may condition the grant or loan of public monies based upon estimated sales tax revenue generated by the business prospect. In a recent Texas Attorney General opinion, the Attorney General considered whether recent legislative changes prevented Texas cities from providing chapter 380 grants in the form of a sales tax rebate! The Attorney General concluded the " Local Government Code authorizes municipalities to refund or rebate municipal sales taxes and otherwise expend public funds for certain 8 economic development purposes." Further, the recent legislative change " does not invalidate existing tax rebate contracts, nor does it prohibit municipalities from executing new ones." 9 5 TEX. TAX CODE ANN. § 312. 204( a)( Vernon Supp. 2004-05). 6 Tex. Att' y Gen. Op. No. LO-95- 090( 1995). Tex. Att' y Gen. Op. No. GA-0071 ( 2003). e Tex. Att' y Gen. Op. No. GA-0137( 2004) at 1. 9 Id. at 4. Page 3 of 7  Chapter 380 ofthe Texas Local Government Code Riley Fletcher Basic Municipal Law Seminar Lubbock, Texas February 24, 2006 Can City provide section 4A or 4B economic a development corporations city funds for economic development? A home-rule municipality may provide public money to a section 4A or section 4B corporation. 10 Nonetheless, the grant of public monies must be pursuant to a contract. Further, the development corporation must use the grant money for the" development and diversification of the economy of the state, elimination of unemployment or underemployment in the state, and development and expansion of commerce in the state" 11 10 TEX Loc. Gov' TCODE ANN. § 380. 002( b)., 1' Id. Page 4 of 7  Chapter 380 of the Texas Local Government Code Riley Fletcher Basic Municipal Law Seminar Lubbock, Texas February 24, 2006 Chapter 380 of the Texas Local Government Code 79th Section 380. 001( a) as by Texas House Bill 918, amended Legislature, Regular Session ( 2005) ( effective date May 17, 2005) 380. 001. ECONOMIC DEVELOPMENT PROGRAMS. a) The governing body of a municipality may establish and provide for the administration of one or more programs, including programs for making loans and grants of public money and providing personnel and services of the municipality, to promote state or local economic development and to stimulate business and commercial activity in the municipality. For purposes of this subsection, a municipality includes an area that: 1) has been annexed by the municipality for limited purposes; or 2) is in the extraterritorial jurisdiction of the municipality. b) The governing body may: 1) administer a program by the use of municipal personnel; 2) contract with the federal government, the state, a political subdivision of the state, a nonprofit organization, or any other entity for the administration of a program; and 3) accept contributions, gifts, or other resources to develop and administer a program. c) Any city along the TexasMexico border with a population of more than 500, 000 may establish not-for-profit corporations and cooperative associations for the purpose of creating and developing an intermodal transportation hub to stimulate economic development. Such intermodal hub may also function as an international intermodal transportation center and may be collocated with or near local, state, or federal facilities and facilities of Mexico in order to fulfill its purpose. Added by Acts 1989, 71st Leg., ch. 555, § 1, eff. June 14, 1989. Amended by Acts 1999, 76th Leg., ch. 593, § 1, eff. Sept. 1, 1999. Page 5 of 7  Chapter 380 of the Texas Local Government Code Riley Fletcher Basic Municipal Law Seminar Lubbock, Texas February 24, 2006 380. 002. ECONOMIC DEVELOPMENT GRANTS BY CERTAIN MUNICIPALITIES. a) A home-rule municipality with a population of more than 100, 000 may create programs for the grant of public money to any organization exempt from taxation under Section 501( a) of the Internal Revenue Code of 1986 as an organization described in Section 501( c)( 3) of that code for the public purposes of development and diversification of the economy of the state, elimination of unemployment or underemployment in the state, and development or expansion of commerce in the state. The grants must be in furtherance of those public purposes and shall be used by the recipient as determined by the recipient's governing board for programs found by the municipality to be in furtherance of this section and under conditions prescribed by the municipality. b) A home-rule municipality may, under a contract with a development corporation created by the municipality under the Development Corporation Act of 1979 ( Article 5190. 6, Vernon' s Texas Civil Statutes), grant public money to the corporation. The development corporation shall use the grant money for the development and diversification of the economy of the state, elimination of unemployment or underemployment in the state, and development and expansion of commerce in the state. c) The funds granted by the municipality under this section shall be derived from any source lawfully available to the municipality under its charter or other law, other than from the proceeds of bonds or other obligations of the municipality payable from ad valorem taxes. Added by Acts 1991, 72nd Leg., ch. 16, § 13. 06( a), Aug. 26, 1991. Amended by eff. Acts 1991, 72nd Leg., 1st C. S., ch. 4, § 25. 02, eff. Aug. 22, 1991; Acts 2001, 77th Leg., ch. 56, § 1, eff. Sept. 1, 2001. 380. 003. APPLICATION FOR MATCHING FUNDS FROM FEDERAL GOVERNMENT. A municipality may, as an agency of the state, provide matching funds for a federal program that requires local matching funds from a state agency to the extent state agencies that are eligible decline to participate or do not fully participate in the program. Added by Acts 1995, 74th Leg., ch. 1051, § 1, eff. June 17, 1995. Page 6 of 7  Chapter 380 ofthe Texas Local Government Code Riley Fletcher Basic Municipal Law Seminar Lubbock, Texas February 24, 2006 Article III, Section 52- a of the Texas Constitution ( as amended November 8, 2005) Sec. 52- a. Notwithstanding any other provision of this constitution, the legislature may provide for the creation of programs and the making of loans and grants of public money, other than money otherwise dedicated by this constitution to use for a different purpose, for the public purposes of development and diversification of the economy of the state, the elimination of unemployment or underemployment in the state, the stimulation of agricultural innovation, the fostering of the growth of enterprises based on agriculture, or the development or expansion of transportation or commerce in the state. Any bonds or other obligations of a county, municipality, or other political subdivision of the state that are issued for the purpose of making loans or grants in connection with a program authorized by the legislature under this section and that are payable from ad valorem taxes must be approved by a vote of the majority of the registered voters of the county, municipality, or political subdivision voting on the issue. A program created or a loan or grant made as provided by this section that is not secured by a pledge of ad valorem taxes or financed by the issuance of any bonds or other obligations payable from ad valorem taxes of the political subdivision does not constitute or create a debt for the purpose of any provision of this constitution. An enabling law enacted by the legislature in anticipation of the adoption of this amendment is not void because of its anticipatory character. Page 7 of 7  AGENDA To: Mayor and City Commission From: Danny Cornelius, Director of Code Enforcement Date: March 26, 2015 Re: Conduct a Public Hearing and Consider and Take Appropriate Action on Ordinance No. 1020, Amending the Code of Ordinances of the City of Canyon, Chapter 156, Zoning Code, Section A.02 Terms, to Amend the Definition of Parking Space. The attached ordinance would clarify some of the language in the definition of a Parking Space in the Zoning Ordinance. It would also clarify where the maneuvering can take place to qualify as a required space. A Parking Space in the Zoning Ordinance is defined as: An off-street, ground level area, improved and surfaced with either concrete or asphalt pavement (as specified in the Canyon Subdivision Regulations Ordinance), not less than 180 square feet (measuring approximately 9 feet by 20 feet), not on a public street or alley, together with a similarly-surfaced driveway connecting the area with a street or alley permitting free ingress or egress without encroachment on the street or alley. Any parking adjacent to a public street wherein the maneuvering is done on the public street shall not be classified as off-street parking in computing the parking area requirements for any use. It is the staff recommendation that the minimum dimensions for a parking space be defined as 9 feet x 20 feet. “Approximately” 9 feet x 20 feet and a minimum area of 180 square feet could mean 8 feet x 22.5 feet to a designer, but a plan reviewer may interpret that space as too narrow. The last sentence states that if any maneuvering is done on a public street to exit the parking space, the space will not count toward the required parking. Strict interpretation of this sentence would disqualify almost all residential driveways, where the car is backed into the street when exiting the driveway. It is also unclear what is meant by a public street. Does that include the dedicated right-of-way, which is typically much wider than the paved section between the curbs? It is our recommendation that public street for the purposes of this definition be described as the paved portion of the street. Not to include the unimproved portions of the right-of-way. Also, this requirement would only apply to non-residential uses. The Planning and Zoning Commission voted unanimously to recommend adoption of Ordinance No. 1020. City of Canyon  Planning and Zoning Commission Meeting Minutes – March 9, 2015 The Planning and Zoning Commission of the City of Canyon met in regular session at 4:00 pm in the City Commission Chambers of the Civic Complex. Vice Chairman Joe Shehan presided over the meeting with the following Commissioners in attendance: John Pletcher, Jon Davis, Kent Meyer, Bobbie Jo Krutsch, Kevin Luetkahans, and Leesa Wood Calvi. Chairman Bill Craddock arrived at about 4:15. Commissioner Andy Carter was unable to attend. Also present were the following City Staff: City Manager Randy Criswell, Assistant City Manager Chris Sharp, Assistant City Manager Jon Behrens, and Director of Code Enforcement Danny Cornelius. Item 1: Call to Order. Vice Chairman Shehan called the meeting to order at 4:05 pm. Item 2: Approval of Minutes from December 8, 2014. Commissioner Meyer moved, duly seconded by Commissioner Pletcher to approve the minutes of December 8, 2014. Motion carried unanimously. Item 3: Conduct a Public Hearing and Consider and Take Appropriate Action on an Ordinance Amending Chapter 156, Zoning Code, of the City of Canyon Code of Ordinances, by Amending Section A.02 Terms, to Amend the Definition of a Parking Space. Director of Code Enforcement Danny Cornelius presented an ordinance that would amend the definition of a Parking Space in Section A.02 of the Zoning Code. The current ordinance defines a Parking Space as: An off-street, ground level area, improved and surfaced with either concrete or asphalt pavement (as specified in the Canyon Subdivision Regulations Ordinance), not less than 180 square feet (measuring approximately 9 feet by 20 feet), not on a public street or alley, together with a similarly-surfaced driveway connecting the area with a street or alley permitting free ingress or egress without encroachment on the street or alley. Any parking adjacent to a public street wherein the maneuvering is done on the public street shall not be classified as off-street parking in computing the parking area requirements for any use. Mr. Cornelius explained that the new ordinance would define a parking space as 9 feet x 20 feet, with the word “approximately” and the reference to 180 square feet being deleted. The ordinance would also clarify the maneuvering space on a public street as described in definition. The last sentence of the definition stated that if any maneuvering is done on a public street to exit the parking space, the space would not count toward the required parking. Strict interpretation of the ordinance would disqualify almost all residential driveways, where the car is backed into the street when exiting the driveway. The interpretation of “public street” was also unclear. The ordinance would amend the last sentence to state that a “public street” for the purposes of this definition would be described as the paved portion of the street, not to include the unimproved portions of the right-of- way. The ordinance would also state that the requirement would only apply to non-residential uses. Planning and Zoning Commission Meeting March 9, 2015 Page 2 of 2 Vice Chairman Shehan opened the public hearing at 4:22 pm. No individuals asked to speak and the hearing was closed. Commissioner Krutsch moved, duly seconded by Commissioner Davis, to recommend approval of the ordinance as presented. The motion carried unanimously. Item 4: Adjourn. Vice Chairman Shehan adjourned the meeting at 4:25 pm. Joe Shehan, Vice Chairman, P & Z ATTEST: Gretchen Mercer, City Clerk  ORDINANCE NO. 1020 Parking Spaces AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF CANYON, TEXAS: AMENDING THE CODE OF ORDINANCES OF THE CITY OF CANYON, CHAPTER 156, ZONING CODE, BY AMENDING SECTION A.02 TERMS, TO AMEND THE DEFINITION OF PARKING SPACE; PROVIDING FOR SEVERABILITY; PROVIDING FOR REPEALER; PROVIDING FOR AN EFFECTIVE DATE. WHEREAS; the passage, promulgation, and enforcement of the provisions herein contained are determined necessary and advisable for the promotion of the general welfare of the community to carry out the governmental powers and police powers delegated to and possessed by the City of Canyon; and, WHEREAS; the Planning and Zoning Commission of the City of Canyon, recommended certain amendments to City of Canyon Code of Ordinances, Chapter 156, Zoning Code; and, WHEREAS; the City Commission finds that the proposed amendments to Chapter 156 as recommended by the Planning and Zoning Commission would be in the best interest of the City; and, NOW THEREFORE: BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF CANYON, TEXAS; SECTION 1: Appendix A – Glossary of Terms, Section A.02 Terms is hereby amended as follows: The term, Parking Space, is hereby amended as follows: Parking Space). An off-street, ground level area, improved and surfaced with either concrete or asphalt pavement (as specified in the Canyon Subdivision Regulations Ordinance), not less than 180 square feet (measuring approximately 9 feet by 20 feet) 9 feet wide by 20 feet long, not on a public street or alley, together with a similarly-surfaced driveway connecting the area with a street or alley permitting free ingress or egress without encroachment on the street or alley. Any parking adjacent to a public street wherein the maneuvering is done on the paved portion of the public street shall not be classified as off-street parking in computing the parking area requirements for any non-residential use. SECTION 2: Severability. If any provision, section, subsection, clause, or the application of same to any person or set of circumstances for any reason is held to be unconstitutional, void or invalid or for any reason unenforceable, the validity of the remaining portions of this ordinance or the application thereby shall remain in effect, it being the intent of the City Commission of the City of Canyon, Texas in adopting this ordinance, that no portion thereof or provision continued herein shall become inoperative or fail by any reasons of the unconstitutionality of any other portion or provision. SECTION 3: Repealer. All ordinances, parts of ordinances, resolutions, and parts of resolutions in conflict with this ordinance are hereby repealed to the extent of conflict with this ordinance. SECTION 4: Effective Date. This ordinance shall become effective immediately. INTRODUCED AND PASSED by the City Commission of the City of Canyon, Texas on the 6th day of April, 2015 ________________________ Quinn Alexander, Mayor ATTEST: __________________________ Gretchen Mercer, City Clerk  AGENDA To: Randy Criswell, City Manager From: Dan Reese, Public Works Director Date: March 31, 2015 Re: Consider and Take Appropriate Action on Change Order No. 1 – Street Reconstruction – Hunsley Hills Blvd. from Fairway Dr. to Village Dr. to Include BNSF Quiet Zone Improvements. For several months now, we have been working toward finding a contractor to complete the work on the BNSF Railroad quiet zone project. For whatever reason, we could not find a contractor willing to tackle the work. We think some of it was timing, and some of it was the strict insurance requirements by the railroad. Plus, we had some delays of our own as it took time to generate some drawings of the project (asked for by the railroad). Once the Hunsley Hills project started, we approached MH Civil and asked if they would be interested in doing the work under a change order to the current contract. They were receptive to the idea and quoted us the work based on the design sent to the railroad. This is where we stand today. We figured that we’d present this to the Commission to update them on the progress being made and since it was approaching $100,000, let them approve the change order. The amount for the 15th Street improvements is $ 63,636.00 and the amount for the 4th Street improvements is $ 35,814.00 for a total change order amount of $ 99,450.00. Over the last several years we have been encumbering funds for this project. We had encumbered $ 67,000 to do the work, thinking this would be adequate. However, after some design modifications to improve the grading / drainage, and adding some paving work to accomplish this, it became obvious that the project was under-funded. These changes are the reason for the inflated costs at the 15th Street crossing. This additional work also added to the time required, and the cost of a railroad flagman, which is required, at approximately $1000 / day. The contractor estimates 32 days to complete both crossings. At first, we thought that we could perform the work, mostly in-house. Then, our concrete contractor, along with others, decided that the work was more than they could perform. In a nutshell, the project morphed into some things initially unforeseen, when first estimated. We would request that the additional $ 33,000 or so, come from reserves. The change order documents are attached. The public works department recommends that the additive change order to MH Civil Constructors in the amount of $ 99,450.00 be approved to complete the railroad quiet zone improvements. City of Canyon  AGENDA To: Randy Criswell, City Manager From: Dan Reese, Public Works Director Date: March 30, 2015 Re: Consider and Take Appropriate Action on Bids Received for Water Distribution System Improvements – 2014 Texas Community Development Program Project. On March 15, bids were opened for the construction of Water Distribution System improvements for the 2014 TCDP project (water main replacement). This project is very similar to the grant project completed in 2010 and accomplishes the same objectives as that project. We will be replacing old, 2” cast iron water mains in areas of town serving low to moderate incomes. There will also be some sewer main replacement involved to satisfy the TCEQ main line spacing requirements. The bid tabulation is as follows: Bidder Time Base Bid Amarillo Utility Contractors 150 days $291,255.00 Amarillo, TX L. A. Fuller & Sons 180 days $385,303.00 Amarillo, TX MH Civil Constructors 90 days $347,420.59 Amarillo, TX Roberts Ditching 200 days $270,512.50 Canyon, TX Scott Wampler Construction 180 days $283,820.00 Canyon, TX This project will replace approximately 6 blocks of 2” water main and 2 blocks of sewer will also be replaced. The project is located in the alley between 2nd and 3rd Aves. from 10th to 12th Streets and the alley between 8th and 9th Aves. from 19th to 22nd Streets. A sketch of the project areas is attached. The low bid was submitted by Roberts Ditching in the amount of $270,512.50. This bid is below the original construction estimate of approximately $316,000. The City has committed approximately $ 113,000 as a match based on the original estimate. With the bid being under the estimate, we can add to the project and get more work done for the same match commitment. City of Canyon  AGENDA In the past, these projects were slow to materialize and get started. Generally, it took two years from beginning to end and we could defer budgeting for our matching portion. This time, the TDA kind of surprised us and came with an accelerated project schedule. The project will be completed and closed-out by June 2016. Also, matching funds used to be applied after the grant funds were spent, near the end of the project. That process has been reversed, where matching funds are spent first. Expecting the normal timelines and procedures, matching funds were not anticipated until the 2016 budget. Therefore, we have no funds budgeted for this project in the current budget, but now, anticipate expenditures prior to the end of the fiscal year. To fund our match, we would request that city reserves be used. A letter of recommendation and itemized bid tabulation from Brandt Engineers is attached. Staff concurs with the engineer and recommends to award the bid to Roberts Ditching in the amount of $270,512.50. City of Canyon  AGENDA To: Mayor and City Commission From: Randy Criswell, City Manager Date: March 30, 2015 Re: Consider and Take Appropriate Action on Proposal from Xcel Energy to Eliminate Overhead Utilities in Alley of the 1500 block of 5th Avenue, New Downtown Parking Lot Location. ________________________________________________________________________ As I’ve told you, I’ve been working with SPS again to try to come up with a solution that would eliminate the overhead power lines and the power poles in the alley north of the new downtown parking lot that we are about to start. I’ve met with SPS, Suddenlink, and AT&T, and all have responded favorably. All poles can be pulled except for the two at the far west end, and everything can be relocated underground. That’s the good news. The not-so-good news is that it’s going to cost some more money. SPS says their cost will be about $53,000, AT&T has given me an estimate of about $12,000, Suddenlink will not charge us, and we’ll have to pay an electrician to do all the ditching and relocation of the service drops for the power. We are working on getting that cost right now, and I hope to have at least a good estimate by Monday’s meeting. What I need to know from you tonight is whether or not to proceed with this effort, and if so, I need your authorization to spend the money necessary to accomplish this task. This is an unbudgeted expense, because when I first spoke with SPS about it they were talking about several hundred thousand dollars so we dropped it. But now that it’s considerably less than that, I think we should consider it. City of Canyon