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 11th day of September 2017, 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 September 5, 2017. 5. Public Comment – Comments from Interested Citizens. 6. Consider and Take Appropriate Action on Resolution No. 20-2017, Suspending the Effective Date of A Rate Case Filed on August 21, 2017. 7. Consider and Take Appropriate Action on Ordinance No. 1062 Annexation of JJ Randall, LLC, Property. 8. Consider and Take Appropriate Action on Ordinance No. 1065 Approving a Budget for the City of Canyon for fiscal Year October 1, 2017 Through September 30, 2018. 9. Consider and Take Appropriate Action on Ordinance No. 1066 Setting the Tax Rate and Tax Levy for the Year 2017. 10. Consider and Take Appropriate Action on Ordinance No. 1067, Repealing Ordinance No. 1040, Amending Chapter 51 of the Water and Sewer Code of the City of Canyon, Texas, Section 51-21, by Increasing Rates for Water Service. 11. Consider and Take Appropriate Action Ordinance No. 1068, Repealing Ordinance No. 1028, Amending Chapter 51 of the Water and Sewer Code of the City of Canyon, Texas, Section 51-22, by Increasing Sewer Rates. 12. Consider and Take Appropriate Action on Ordinance No. 1069, Repealing Ordinance No. 1041, Amending Chapter 50 of the Garbage and Trash Code of the City of Canyon, Texas, Subsection 50-18, by Increasing Rates for Trash Disposal. 13. Consider and Take Appropriate Action on Ordinance No. 1070, for 2016-2017 Budget Amendment. 14. Executive Session Pursuant to §551.072 Deliberation Regarding Real Property and §551.074, Personnel Matters (City Engineer). 15. Consider and Take Appropriate Action on Items Discussed in Executive Session. 16. Adjourn. 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 8th day of September 2017. Gretchen Mercer, City Clerk City of Canyon City Commission Meeting September 5, 2017 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 Gary Hinders presided over the meeting with the following Commissioners in attendance, Mayor Pro-Tem Justin Richardson, Paul R. Lyons and Roger Remlinger. Commissioner Cordell Jones was unable to attend. Also present were the following City Staff: City Manager Randy Criswell, Assistant City Manager Chris Sharp, City Secretary Gretchen Mercer, Fire Chief Mike Webb, Director of Code Enforcement Danny Cornelius, Public Works Director Dan Reese, Assistant City Manager for Special Projects Jon Behrens, Business and Community Development Director Evelyn Ecker, Librarian Sandra Munger, Chief of Police Dale Davis, Safety Director Tony Lawson, Police Captain Ray Resendez, and City Attorney Chuck Hester. Item 1. Call to Order. Mayor Hinders called the meeting to order at 5:32 p.m. Item 2. Invocation. Mayor Pro-Tem Richardson gave the invocation. Item 3. Pledge of Allegiance. The Pledge of Allegiance was led by Commissioner Remlinger. Item 4. Approval of Minutes of the Meeting of August 21, 2017. Mayor Pro-Tem Richardson moved, duly seconded by Commissioner Remlinger, to approve the minutes of August 21, 2017 as presented. Motion carried unanimously. Item 5. Public Comment – Comments From Interested Citizens. No comments were made. Item 6. Update from Freese and Nichols on Comprehensive Plan Project. Representatives from Freese and Nichols, Cody Richardson and Chelsea Irby gave a brief presentation on the status of the City of Canyon Comprehensive Plan Project and the next steps. Commissioners were given the opportunity to ask questions. Mr. Richardson stated meetings with the CPAC and citizens were scheduled for this week as well. Item 7. Consider and Take Appropriate Action on Second Reading of Resolution No. 17-2017, Approving a Lease with Option to Purchase the Property Located at 502 15th Street, Canyon, Texas. Commissioner Lyons moved, duly seconded by Mayor Pro-Tem Richardson to approve Resolution No. 17-2017 as recommended by the Canyon Economic Development Corporation. Motion carried with Mayor Hinders abstaining. City Commission Meeting September 5, 2017 Page 2 of 3 RESOLUTION NO. 17-2017 A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF CANYON APPROVING LEASE WITH OPTION TO PURCHASE BETWEEN JOE TACO CANYON, LLC. AND CANYON ECONOMIC DEVELOPMENT CORPORATION RELATING TO THE PROPERTY LOCATED AT 502 15TH STREET, CANYON, TEXAS. THE PROJECT IS RELATED TO NEW BUSINESS DEVELOPMENT. Item 8. Consider and Take Appropriate Action on Second Reading of Resolution No. 18-2017 With Regards to Direct Financial Assistance for Improvements to Property Located at 502 15th Street, Canyon, Texas. The Funding is Based on New Business Development. Commissioner Remlinger moved, duly seconded by Commissioner Lyons to approve Resolution No. 18-2017 as recommended by the Canyon Economic Development Corporation. Motion carried with Mayor Hinders abstaining. RESOLUTION NO. 18-2017 A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF CANYON APPROVING PROJECT FUNDING AGREEMENT BETWEEN JOE TACO CANYON, LLC AND CANYON ECONOMIC DEVELOPMENT CORPORATION REGARDING DIRECT FINANCIAL ASSISTANCE FOR IMPROVEMENTS ON PROPERTY LOCATED AT 502 15TH STREET, CANYON, TEXAS. THE FUNDING IS BASED ON NEW BUSINESS DEVELOPMENT. Item 9. Budget Work Session. City Manager Randy Criswell gave an overview of the last Budget Work Session. Commissioner Lyons stated he had concerns with raising trash rates adding funds to create another route for bulky pick up. Mr. Lyons stated he was still getting complaints from citizens and felt there was a better way to address the tree limbs. He urged staff to look at the situation from every perspective to try to come up with a process that works better, with the goal of eliminating complaints Commissioner Remlinger said he felt it was prudent to move ahead with the plan in place, and give the additional route a chance. Mayor Hinders stated he would like to have an update by July 2018 to see if the additional route has remedied the issues with limb and bulky trash pickup. Item 10. Conduct Second Public Hearing on Proposed Tax Rate for Fiscal Year 2017-2018. City Manager Randy Criswell stated pursuant to the Texas Truth in Taxation Laws, the City of Canyon is required to hold two public hearings if adopting a tax rate higher than the effective tax rate. Mr. Sharp said in anticipation of increasing the effective tax rate of $.43410 by 4.78% to $.45484 ($.39083 M&O, and $.06401 I&S) valuation. Mayor Hinders opened the public hearing. There being no comment, Mayor Hinders closed the public hearing. City Commission Meeting September 5, 2017 Page 3 of 3 This was the second of two required public hearings, no action required. Item 11. Executive Session Pursuant to §551.072 Deliberation Regarding Real Property, §551.074, Appointments to Boards and Commissions (Canyon Economic Development Corporation Board of Directors) and §551.071, Consultation with Attorney. Mayor Hinders indicated the Commission would adjourn into Executive Session at 6:20 pm. Item 12. Consider and Take Appropriate Action on Items Discussed in Executive Session. Upon returning from Executive Session at 6:47pm, the following action was taken. Commissioner Lyons moved, duly seconded by Commissioner Remlinger to appoint James Irlbeck to the Canyon Economic Development Corporation Board of Directors. Motion carried unanimously. Item 13. Adjournment. There being no further business, Mayor Pro-Tem Richardson moved this meeting be adjourned. ______________________________ Gary Hinders, Mayor ATTEST: ________________________________ Gretchen Mercer, City Secretary REGARDING ITEM 6 AGENDA To: Mayor and City Commission From: Randy Criswell, City Manager Date: Sept 11, 2017 Re: Consider and Take Appropriate Action on Resolution No. 20-2017, Suspending the Effective Date of A Rate Case Filed on August 21, 2017. On August 21, 2017, SPS filed an application to increase base rates by approximately $81 million in annual revenue, which equates to an increase of about 14.9%. As a municipality in Texas, we have original jurisdiction over this type of rate increase. The process typically goes something like this: 1. A Rate Case is filed by Xcel (SPS) with all entities who purchase electricity from them. Cities and Industrial customers are typically the intervenors who argue these rate increases. 2. The filing is filed with an Effective Date of the increase. 3. We are provided authority by law to approve the rate increase, so we hire an outside consultant to represent us as cities in these matters. 4. Our consultant reviews the filing, and we typically take action to Suspend the Effective Date of the increase. This is allowed by law and gives our consultants time for further review and discovery. 5. The Effective Date can be suspended for up to 90 days. 6. During that suspension period, we are in negotiation with SPS to come up with a settlement agreement. This also involves Industrial users as well as the Public Utility Commission and the Office of Public Utilities. 7. We are usually able to reach a settlement agreement. 8. If we do not reach a settlement, then we adopt a Resolution to Deny the increase, and the case goes to the Public Utility Commission (PUC) of Texas for litigation. 9. If that occurs, we are basically at the mercy of the opinion of the PUC as to the merits of the increase, or our opinion. SPS files these rate increases frequently, and we have historically been successful in negotiating a reasonable settlement. Resolution No. 20-2017 has been prepared to Suspend the increase, continue participation in AXM (the Alliance of Xcel Municipalities, of which I am a representative), and retain the law firm of Herrera & Boyle, PLLC to represent us in this matter. As a matter of information, rate case expenses are reimbursable, so there is no direct cost to the City for intervening in these rate cases. I expect you’ll have some questions, so feel free to call me before the meeting, or we can discuss Monday night. It is recommended that Resolution No. 20-2017 be adopted. City of Canyon  RESOLUTION NO. 20-2017 A RESOLUTION BY THE CITY OF CANYON, TEXAS (“CITY”) SUSPENDING SOUTHWESTERN PUBLIC SERVICE COMPANY’S PROPOSED EFFECTIVE DATE IN CONNECTION WITH ITS STATEMENT OF INTENT SUBMITTED ON ABOUT AUGUST 21, 2017; CONTINUING THE CITY’S PARTICIPATION IN THE ALLIANCE OF XCEL MUNICIPALITIES (“AXM”); DIRECTING THE ACTIVITIES OF LAWYERS AND CONSULTANTS RELATED TO SPS’S RATE PROCEEDINGS; AUTHORIZING THE HIRING OF ATTORNEYS AND CONSULTANTS; REQUIRING REIMBURSEMENT OF REASONABLE LEGAL AND CONSULTANT EXPENSES; REQUIRING SPS TO PROVIDE PROOF OF PUBLICATION OF NOTICE; FINDING THAT THE MEETING COMPLIES WITH THE OPEN MEETINGS ACT; MAKING OTHER FINDINGS AND PROVISIONS RELATED TO THE SUBJECT; AND DECLARING AN EFFECTIVE DATE WHEREAS, on about August 21, 2017, Southwestern Public Service Company (“SPS”) filed a Statement of Intent with the City of Canyon, Texas (“City”) to increase its base-rate revenue for its Texas retail service area by approximately $80.9 million, which is an increase in base revenue of about 14.9%; and WHEREAS, SPS’s proposed increase of $80.9 million includes recovery of about $14.6 million through base rates of revenue that it currently recovers through its Transmission Cost Recovery Factor, which results in a net base-rate revenue increase for its Texas retail service area of approximately $66.3 million, which equates to an increase in base revenue of about 12.3%; and WHEREAS, the City is a regulatory authority under the Public Utility Regulatory Act (“PURA”) and under Chapter 33, §33.001 et seq. of PURA has exclusive original jurisdiction over SPS’ rates, operations, and services within the municipality; and WHEREAS, in order to maximize the efficient use of resources and expertise in reviewing, analyzing and investigating SPS’ rate request and its changes in tariffs it is prudent to coordinate the City’s efforts with a coalition of similarly situated municipalities; and 1 of 4 SPS 2017 Rate Application Filed on Aug. 21, 2017 Suspension Resolution  WHEREAS, the City, in matters regarding applications by SPS to change rates, has in the past joined with other local regulatory authorities to form the Alliance of Xcel Municipalities (“AXM”) and hereby continues its participation in AXM; and WHEREAS, SPS’ rate request, which was filed on about August 21, 2017, consists of a voluminous amount of information including SPS’ rate-filing package, pre- filed direct testimony, exhibits, schedules, and workpapers; and WHEREAS, SPS proposed September 25, 2017 as the effective date for its requested increase in rates, which is the 35th day after the date SPS submitted its application; and WHEREAS, it is not possible for the City to complete its review of SPS’ filing within 35 days; and WHEREAS, the City will need an adequate amount of time to review and evaluate SPS’ rate application to enable the City to adopt a final decision as a local regulatory authority with regard to SPS’ requested rate increase; and WHEREAS, SPS filed its Statement of Intent to raise rates with the City and with the Public Utility Commission of Texas (“PUCT”) on the same date, August 21, 2017, and it is important to intervene in the PUCT proceeding because the PUCT’s decisions could impact rates within the City. NOW THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION FOR THE CITY OF CANYON, TEXAS THAT: Section 1. The findings set out in the preamble are in all things hereby approved. Section 2. SPS’s proposed effective date of September 25, 2017 for its filing of August 21, 2017, is hereby suspended for an additional one hundred and thirty-five (135) days, or at least until February 7, 2018. Section 3. The statutory suspension period will be extended automatically day for day should SPS extend its proposed effective date, and may be further extended if SPS does not provide timely, meaningful, and proper public notice of its request to increase rates, or if its rate-filing package is materially deficient. 2 of 4 SPS 2017 Rate Application Filed on Aug. 21, 2017 Suspension Resolution  Section 4. The City authorizes intervention in proceedings related to SPS’ Statement of Intent before the Public Utility Commission of Texas and any related proceedings in any courts of law. Section 5. The City continues its participation with other cities in a coalition of cities known as the Alliance of Xcel Municipalities (“AXM”) with the understanding that the Steering Committee of AXM is to provide direction and guidance to Special Counsel representing said cities. Section 6. The City hereby retains Herrera & Boyle, PLLC as Special Counsel to represent the City with regard to SPS’ requested increase in rates and related proceedings before local and state regulatory authorities and any court of law and authorizes Special Counsel to employ such rate experts as may be necessary for review and evaluation of SPS’ rate application. Section 7. The City, in coordination with the Steering Committee, shall review the invoices of the lawyers and rate experts for reasonableness before submitting the invoices to SPS for reimbursement. Section 8. SPS shall reimburse the City on a monthly basis, through AXM’s coordinating city, the City of Amarillo, Texas, for the reasonable costs of attorneys and consultants and expenses related thereto, upon the presentation of invoices reviewed by the City of Amarillo. Section 9. Not later than seven days after SPS has completed publication of notice of its proposed increase in rates, SPS shall notify AXM that it has completed notice by providing proof of notice to AXM’s Special Counsel, Herrera & Boyle, and such proof shall be in the form of an affidavit from a representative from SPS that has personal knowledge that SPS has published notice; such affidavit shall include a copy of notice SPS published. Section 10. The City Secretary or other appropriate city official as a courtesy shall send SPS a copy of this Resolution to Jeremiah W. Cunningham, Rate Case Manager, Southwestern Public Service Company, 790 S. Buchanan St. Amarillo, Texas 79101 and to Mr. Alfred R. Herrera, Herrera & Boyle, PLLC, 816 Congress Ave., Suite 950, Austin, Texas 78701. 3 of 4 SPS 2017 Rate Application Filed on Aug. 21, 2017 Suspension Resolution  Section 11. The meeting at which this Resolution was approved was in all things conducted in strict compliance with the Texas Open Meetings Act, Texas Government Code, Chapter 551. Section 12. The findings set out in the preamble are in all things hereby approved. Section 13. This Resolution shall become effective from and after its passage. PASSED AND APPROVED this 11th day of September 2017. ____________________________________ GARY HINDERS, MAYOR ATTEST: ________________________________________ GRETCHEN MERCER, CITY SECRETARY 4 of 4 SPS 2017 Rate Application Filed on Aug. 21, 2017 Suspension Resolution REGARDING ITEM 7 AGENDA To: Mayor and City Commission From: Randy Criswell, City Manager Date: September 11, 2017 Re: Consider and Take Appropriate Action on Ordinance No. 1062, Annexation of JJ Randall, LLC, Property. In accordance with the Annexation Calendar previously adopted, you have conducted the two (2) required Public Hearings, all publication requirements have been met, and it is now time to finalize the annexation of the JJ Randall, LLC, property. If you recall, this is the property that will be developed into a Skilled Nursing Facility. No other action is required at this point except to adopt the Ordinance and complete the annexation. It is staff’s recommendation to adopt Ordinance No. 1062. City of Canyon  ORDINANCE NO. 1062 ANNEXING TERRITORY TO THE CITY OF CANYON UPON THE VOLUNTARY PETITION OF JJ RANDALL, LLC, a Texas Limited Liability Company AN ORDINANCE OF THE CITY OF CANYON, TEXAS, ANNEXING THE TERRITORY HEREIN DESCRIBED TO THE CITY OF CANYON IN RANDALL COUNTY, TEXAS, EXTENDING THE BOUNDARY LIMITS OF THE CITY OF CANYON TO INCLUDE THE PROPERTY HEREIN DESCRIBED WITHIN THE SAID CITY LIMITS, AND GRANTING TO ALL THE INHABITANTS OF SAID PROPERTY ALL THE RIGHTS AND PRIVILEGES OF OTHER CITIZENS AND BINDING SAID INHABITANTS BY ALL OF THE ACTS, ORDINANCES, RESOLUTIONS, AND REGULATIONS OF SAID CITY. WHEREAS, the TEXAS LOCAL GOVERNMENT CODE and the municipal charter of the City of Canyon authorizes the annexation of the territory described in this Ordinance subject to the laws of the State of Texas; and, WHEREAS, the procedures prescribed by the TEXAS LOCAL GOVERNMENT CODE and the municipal charter of the City of Canyon and the other laws of the State of Texas have been duly complied with and followed with respect to the annexation of the following described territory, to wit: METES AND BOUNDS DESCRIPTION 6.0+ ACRES TRACT #1: A 6.00 acre tract of land out of Section 63, Block B-5, H.&G.N. RR Co. Survey, Randall County, Texas, and being further described by metes and bounds as follows: BEGINNING at a 3/8 inch iron rod with cap stamped "HBD" set in the North line of Section 63, Block B-5, H.&G.N. RR Co. Survey, Randall County, Texas, also being in the South line of Lot 1, Block 1, Conner Park Addition, a recorded plat to the City of Canyon, Texas, under Clerk's File No. 2016-020496, of the Official Public Records of Randall County, Texas, from Whence a railroad spike found for the Northwest corner of said Section 63 bears North 89 degrees 19 minutes 13 seconds West, for a distance of 4030.60 feet; THENCE South 00 degrees 42 minutes 11 seconds West, for a distance of 512.00 feet to a 3/8 inch iron rod with cap stamped "HBD" set for the Southwest corner of this tract; THENCE South 89 degrees 19 minutes 13 seconds East, for a distance of 510.47 feet to a 3/8 inch iron rod with cap stamped "HBD" set for the Southeast corner of this tract; THENCE North 00 degrees 42 minutes 11 seconds East, at a distance of 500.90 feet pass a 1/2 inch iron rod found for the Northwest corner of Lot 7, Block 32, of Canyon Crest Apartments Planned Development, a recorded plat to the City of Canyon, Texas, under Clerk's File No. 2002-16962, of the 1 Official Public Records of Randall County, Texas, continuing for a total distance of 512.00 feet to a 1/2 inch iron rod found for the Northeast corner of this tract; THENCE North 89 degrees 19 minutes 13 seconds West, along the North line of said Section 63, at a distance of 223.08 feet pass a 3/8 inch iron rod with cap stamped "HBD found for the Southeast corner of said Lot 1, Block 1, Conner Park Addition, continuing for a total distance of 510.47 feet to the PLACE OF BEGINNING. Said tract of land contains a computed area of 6.00 acres of land. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF CANYON, TEXAS; SECTION 1.: That the property hereinabove described is hereby annexed to the City of Canyon, a home rule municipal corporation in Randall County, Texas, and that the boundary limits of the City of Canyon be and the same are hereby extended to include the above-described territory within the city limits of the City of Canyon and the same shall hereafter be included within the territorial limits of said City and the inhabitants thereof shall hereafter be entitled to all the rights and privileges of other citizens the City of Canyon and shall be bound by the acts, ordinances, resolutions and regulations of the City of Canyon. SECTION 2.: The City Clerk of the City of Canyon is hereby directed to file with the County Clerk of Randall County, Texas, a certified copy of this Ordinance to evidence the annexation of the territory herein described and the extension of the city limits of the City to include all such property. ADOPTED by the City Commission of the City of Canyon on September 11, 2017. _______________________________________ GARY HINDERS, Mayor ATTEST: _____________________________________ GRETCHEN MERCER, City Clerk (ACKNOWLEDGMENT) 2 THE STATE OF TEXAS § COUNTY OF RANDALL § This instrument was acknowledged before me on the day of September, 2017, by GARY HINDERS, Mayor of the City of Canyon, Texas. _____________________________________________ Notary Public, State of Texas Commission Expires: AFTER RECORDING RETURN TO: PREPARED IN THE LAW OFFICE OF: RANDY CRISWELL CHUCK HESTER City Manager City Attorney City of Canyon City of Canyon 301 16th Street 1507 Fourth Avenue, Suite A Canyon, Texas 79015 Canyon, Texas 79015 3 REGARDING ITEM 8 AGENDA To: Randy Criswell, City Manager From: Chris Sharp, Assistant City Manager Date: September 5, 2017 Re: Consider and Take Appropriate Action on Ordinance No. 1065, Approving a Budget for the City of Canyon for Fiscal Year October 1, 2017 through September 30, 2018 Pursuant to the Texas Local Government Code, the City must adopt a budget for the 2017 – 2018 Fiscal Year. The Budget has been finalized and Ordinance No. 1065 will officially adopt the budget. Summary of Budget The total budget for 2017-2018 is $19,399,814. This includes capital purchases of a little over $1.6 million. Two employees will be added in the Police Department. The tax rate for M&O will remain the same at $.39083. Our I&S rate will decrease to $.6401. Overall, this is an increase of 4.78% over the effective tax rate. Combined tax rate will be $.45484. Trash rates for residential customers will be increase 13.58%. This includes a small increase for operations and a $1.83 a month increase for the purchase and operation of a new bulky route trash truck. One employee will be added in the solid waste department to operate the new route. Commercial rates will increase 4%. Water rates will increase 3% across the board. Sewer rates will increase 2.7% It is staff’s recommendation that the Commission approve Ordinance No. 1065 adopting the 2017-2018 fiscal year budget. City of Canyon  ORDINANCE NO. 1065 AN ORDINANCE ADOPTING AND APPROVING A BUDGET FOR THE CITY OF CANYON, TEXAS, FOR THE FISCAL YEAR OCTOBER 1, 2017 THROUGH SEPTEMBER 30, 2018 WHEREAS, heretofore a budget for the fiscal year October 1, 2017, through September 30, 2018, has been prepared by Randy Criswell, as Budget Officer, for the City of Canyon, Texas; and WHEREAS, said budget has been presented by the City Manager in accordance with the City Charter; and WHEREAS, FURTHER, after full and final consideration, the public hearing has been held of said budget, and it is the consensus of opinion that the budget, as filed, should be approved. The financial condition and comparative expenditures as filed have been duly considered. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF CANYON, that the City Commission of the City of Canyon ratify, adopt and approve the budget as filed and amended for the fiscal year October 1, 2017 through September 30, 2018. PASSED AND APPROVED by a majority of the City Commission at a regular meeting in the Commission Chambers of the Civic Complex on the 11th day of September, 2017. GARY HINDERS, MAYOR ATTEST: _ ______ _ GRETCHEN MERCER, CITY CLERK REGARDING ITEM 9 AGENDA To: Randy Criswell, City Manager From: Chris Sharp, Assistant City Manager Date: September 5, 2017 Re: Consider and Take Appropriate Action on Ordinance No. 1066, Setting the Tax Rate and Tax Levy for the Year 2017 Ordinance No. 1066 has been prepared for adoption. This Ordinance will adopt an ad valorem tax rate of $0.45484/hundred dollars valuation. Of that amount, $.39083 is for maintenance and operation (M&O) and $.06401 is for our Interest and sinking fund (I&S). For the M&O, this is an increase of 0% over the current tax rate, which is an increase of 4.78% over the effective tax rate. There must be specific language used for adoption of the new tax rate. The motion needs to say: “I move that Ordinance No. 1066 be adopted, and that the property tax rate be increased by the adoption of a tax rate of $0.45484, which is effectively a 4.78% increase in the tax rate, and sets the interest and sinking fund rate of $.06401.” City of Canyon  ORDINANCE NO. 1066 AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF CANYON, TEXAS, SETTING THE AD VALOREM TAX RATE OF THE CITY OF CANYON, FOR THE YEAR 2017 AT A RATE OF $0.45484 PER ONE HUNDRED DOLLARS ($100.00) VALUATION ON ALL TAXABLE PROPERTY WITHIN THE CORPORATE LIMITS OF THE CITY OF CANYON SPECIFYING SEPARATE COMPONENTS OF SUCH RATE FOR OPERATIONS AND MAINTENANCE AND FOR DEBT SERVICE; LEVYING AN AD VALOREM TAX FOR THE YEAR 2017; ESTABLISHING AN EFFECTIVE DATE; PROVIDING FOR COLLECTION AND ORDAINING OTHER RELATED MATTERS; REPEALING CONFLICTING ORDINANCES. WHEREAS, the appraisal roll of the City of Canyon, Texas (the City) for 2017 has been prepared and certified by the Potter Randall Appraisal District and submitted to the City’s tax assessor/collector; and WHEREAS, the City’s tax assessor/collector has submitted the appraisal roll for the City showing $1,003,664,286 total appraised, assessed and taxable value of all property and the total taxable value of new property to the City; and WHEREAS, following notice and hearing in accordance with applicable legal requirements and based upon said appraisal roll, the City Commission has determined a tax rate to be levied for 2017 sufficient to provide the tax revenues required by the City; WHEREAS, this tax rate will raise more taxes for maintenance and operations than last year’s tax rate; WHEREAS, the tax rate will effectively be raised by 4.78% and rate will raise taxes for maintenance and operations on a $145,486 home by approximately $4.70 a month. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF CANYON, TEXAS: Section 1. That an ad valorem tax rate of $0.45484 per one hundred dollars ($100.00) assessed valuation is hereby adopted for the 2017 calendar year, such rate consisting of the following specified components: a) For maintenance and operations, $0.39083 per one hundred dollars ($100.00) assessed valuation. b) For payment of principal and interest on bonds, $.06401 per one hundred dollars ($100.00) assessed valuation.  Section 2. That an ad valorem tax for the 2017 calendar year in the amount established by the rate hereinabove provided is hereby levied and assessed on all taxable property, real, personal and mixed, situated within the corporate limits of the City of Canyon, Texas, and not otherwise exempt under the Constitution and laws of the State of Texas. Section 3. That the Randall County tax assessor-collector is hereby authorized to assess and collect the taxes of the City of Canyon, Texas, employing the above tax rate. Section 4. That all ordinances and parts of ordinances in conflict with this ordinance be and the same are hereby repealed to the extent of said conflict. Section 5. That this ordinance shall be effective October 1, 2017. Those Members Present Were: 1. Mayor Gary Hinders 4. Commissioner Cody Jones 2. Mayor Pro-Tem Justin Richardson 5. Commissioner Paul Lyons 3. Commissioner Roger Remlinger Those Members Voting For: 1. 4. 2. 5. 3. Those Members Voting Against: 1. 4. 2. 5. 3. Those Members Present, but Not Voting: 1. n/a 4. 2. 5. 3. Those Members Absent: 1. n/a 4. 2. 5. 3.  PASSED AND APPROVED this 11th day of September, 2017. CITY OF CANYON, TEXAS ________________________________ Gary Hinders, Mayor ATTEST: _________________________________ Gretchen Mercer, City Clerk REGARDING ITEM 10 AGENDA To: Randy Criswell, City Manager From: Chris Sharp, Assistant City Manager Date: September 6, 2017 Re: Consider and Take Appropriate Action on Ordinance No. 1067 Repealing Ordinance No. 1040, Amending Chapter 51 of the Water and Sewer Code of the City of Canyon, Texas, Section 51-21, by Increasing Rates for Water Service As discussed during the budget work sessions, the City of Amarillo is increasing the water rates they charge us. At the time of this memo being prepared, we have not received a fine amount of the increase. Historically that amount has been around 5%. Currently, about 1/3 of the water we use comes from Amarillo. In order to offset the cost of the increase, and in order to meet the demands of increased cost to produce water, we need to increase our water rates by 3% across the board. It is staff’s recommendation that the Commission approve Ordinance No. 1067 adopting the new water rates. City of Canyon  ORDINANCE NO. 1067 AN ORDINANCE REPEALING ORDINANCE NO. 1040 OF THE CITY OF CANYON, TEXAS; AMENDING CHAPTER 51 OF THE WATER AND SEWER CODE OF THE CITY OF CANYON, TEXAS, SECTION 51-21, BY INCREASING RATES FOR WATER SERVICE; PROVIDING A SEVERABILITY CLAUSE; AND ESTABLISHING AN EFFECTIVE DATE. WHEREAS, the City of Canyon has heretofore adopted a Water and Sewer Code providing fees to be charged for water service, and the City Commission has determined that the rates established by Ordinance No. 1040 should be amended, increasing the rates for water service in order that such service shall be self-supporting in operation and provide funds for required maintenance and expansion. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF CANYON, TEXAS THAT: Section 1: That the Water and Sewer Code of the City of Canyon, Texas, Chapter 51, Section 51-21, is hereby amended to read as follows: 51-21. Rates established - For Water (A) Unless otherwise provided in this Article, the water rates per month to be charged and collected by the City from all customers obtaining service from the water system shall be fixed as set forth below: Base + 2,000 gallons $28.28 minimum 2,001 - 8,000 gallons $ 4.71 per thousand 8,001 - 20,000 gallons $ 6.15 per thousand 20,001 - 35,000 gallons $ 6.31 per thousand 35,001 - 50,000 gallons $ 6.47 per thousand Over 50,000 gallons $ 6.89 per thousand (B) Bulk Water. Unless otherwise provided in this chapter, the purchase of bulk water shall be charged and collected by the City from customers purchasing bulk water and fixes the rate set forth below: $7.15 per 1,000 gallons Section 2: All ordinances and amendments thereto in conflict with the provisions of this ordinance shall be and are hereby repealed. Section 3: In the event any part or parts of this ordinance shall be held invalid, no valid part or parts shall be affected thereby. Section 4: This Ordinance shall be effective October 1, 2017. PASSED AND ADOPTED this 11th day of September, 2017. Gary Hinders, Mayor ATTEST: Gretchen Mercer, City Clerk REGARDING ITEM 11 AGENDA To: Randy Criswell, City Manager From: Chris Sharp, Assistant City Manager Date: September 6, 2017 Re: Consider and Take Appropriate Action on Ordinance No. 1068 Repealing Ordinance No. 1028, Amending Chapter 51 of the Water and Sewer Code of the City of Canyon, Texas, Section 51-21, by Increasing Rates for Sewer Service As discussed during the budget work sessions, the sewer rates need to increase by 2.7%. This will increase the monthly sewer fees on residential from $26.30 a month to $27.00 a month. Commercial accounts using less than 25M of water per month will increase from $26.30 to $27.00 a month. Commercial accounts that use more than 25M per month in water, are bill from an actual water consumption rate. These new rates are as follows; Code O – Commercial determined by prior calendar year average monthly usage as follows: Monthly Usage Old Amount New Amount 25M – 50M $105.05 $107.89 50M – 100M $246.34 $252.99 100M – 150M $426.95 $438.48 150M – 200M $601.21 $617.44 200M or over Monthly Water Consumption multiplied by 58% at $5.77 per 1,000 gallons. Old Amount New Amount Code 2 – Residential $26.30 per unit $27.00 per unit Code 3 – Commercial $26.98 per unit $27.71 per unit Code 4 – Commercial $41.02 per unit $42.13 per unit Code 5 – Commercial $57.48 per unit $59.04 per unit Code W – Colleges or Monthly Water Consumption multiplied by 58% Universities $5.77 per 1,000 gallons. It is staff’s recommendation that the Commission approve Ordinance No. 1068 which increases sewer rates for residential and commercial. City of Canyon  ORDINANCE NO. 1068 AN ORDINANCE REPEALING ORDINANCE NO. 1028 OF THE CITY OF CANYON, TEXAS; AMENDING CHAPTER 51 OF THE WATER AND SEWER CODE OF THE CITY OF CANYON, TEXAS, SECTION 51-22, BY INCREASING SEWER RATES; PROVIDING A SEVERABILITY CLAUSE, AND ESTABLISHING AN EFFECTIVE DATE. WHEREAS, the City of Canyon has heretofore passed Ordinance No. 1028 establishing rates to be charged for sewer rates; and WHEREAS, the City Commission has determined that residential and commercial sewer rates should be amended, thereby amending Chapter 51 of the Code of Ordinances of the City of Canyon, Section 51-22; NOW THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF CANYON, THAT: Section 1: That the Water and Sewer Code of the City of Canyon, Texas, Chapter 51, Section 51-22, is hereby amending residential and commercial sewer rates to read as follows: Sec. 51.22 SEWER RATES The monthly rates or charges for sewer services furnished by the City of Canyon shall be as follows: Classification of Service Monthly Charge Code O – Commercial determined by prior calendar year average monthly usage as follows: Monthly Usage 25M – 50M $ 107.89 50M – 100M $ 252.99 100M – 150M $ 438.48 150M – 200M $ 617.44 200M or over Monthly Water Consumption multiplied by 58% at $5.77 per 1,000 gallons. Code 2 – Residential $27.00 per unit Code 3 – Commercial $27.71 per unit Code 4 – Commercial $42.13 per unit Code 5 – Commercial $59.04 per unit Code W – Colleges or Monthly Water Consumption multiplied by 58% Universities $5.77 per 1,000 gallons. All commercial classifications with average monthly usage of 25,000 gallons or more shall be classified as Code O. Commercial classifications with monthly usage less than 25,000 gallons will be classified as follows: Ordinance No. (cont’d) Code 3 Appliance Stores Funeral Homes Auto & Tire Stores Garages Banks Hardware Stores Barber Shops Lumber Yard Beauty Shops Offices Churches Pharmacy Only Dry Cleaners Savings Associations Dry Good Stores Theaters Florists Variety Stores Code 4 Fast Food Establishments Pharmacies with retail and/or snack Restaurants Code 5 Convenience Stores/Stations Grocery Stores Multi-type Department Stores Service Stations Section 2: All ordinances and amendments thereto in conflict with the provisions of this ordinance shall be and are hereby repealed. Section 3: In the event any part or parts of this ordinance shall be held invalid, no valid part or parts shall be affected thereby. Section 4: This Ordinance shall be effective October 1, 2017. PASSED AND ADOPTED THIS 11th day of September, 2017. GARY HINDERS, MAYOR ATTEST: __ GRETCHEN MERCER, CITY CLERK 2 REGARDING ITEM 12 AGENDA To: Randy Criswell, City Manager From: Chris Sharp, Assistant City Manager Date: September 6, 2017 Re: Consider and Take Appropriate Action on Ordinance No. 1069 Repealing Ordinance No. 1041, Amending Chapter 50 of the Garbage and Trash Code of the City of Canyon, Texas, Subsection 50-18, by Increasing Rates for Trash Disposal Service As approved in the 2017-2018 Budget, residential solid waste rates will increase by 13.58%. This includes a 4% increase for maintenance of operation plus a 9.58% increase to add a new truck for an additional bulky route. This also adds an employee to the solid waste department to operate and run the route. Residential rates will increase from $19.00 to $21.58/month. Commercial rates will increase by 4% which will be a minimum of $19.75 a month. Ordinance No. 1069 has been prepared to adopt these new rates. A copy of Ordinance No. 1041 is also included for your comparison. It is staff’s recommendation that the Commission approve Ordinance No. 1069 and adopt the new residential and commercial solid waste rates. City of Canyon  ORDINANCE NO. 1069 AN ORDINANCE REPEALING ORDINANCE NO. 1041 OF THE CITY OF CANYON, TEXAS; PERTAINING TO GARBAGE AND TRASH RATES; AMENDING CHAPTER 50, “GARBAGE AND TRASH” OF THE CODE OF ORDINANCES OF THE CITY OF CANYON, TEXAS, BY AMENDING SUBSECTION 50-18 PROVIDING FOR GARBAGE AND TRASH DISPOSAL BY CITY ONLY AND ESTABLISHING RATES THEREFORE; PROVIDING A SEVERABILITY CLAUSE; AND ESTABLISHING AN EFFECTIVE DATE. WHEREAS, the City of Canyon has heretofore passed Ordinance No. 1041 establishing rates to be charged for garbage and trash collection services provided by the City of Canyon; and the City Commission has determined that such Ordinance shall be repealed; and WHEREAS, the City Commission has determined that Chapter 50, “Garbage and Trash” of the Code of Ordinances of the City of Canyon is hereby amended to that hereafter it shall read as follows: Section 50-18. Disposal by City Only; Rates Established. (a) Only duly authorized agents and/or employees of the City shall remove garbage, trash, rubbish from residential, public, and commercial establishments except as in this article otherwise provided. The monthly rates or charges for garbage and trash disposal services furnished by the City shall be as follows: Type of Service Monthly Charge 1-family residence $21.60 Multi-family residences of 1 to 4 units (per unit) $21.60 Multi-family complexes of 5 or more units (per unit) $19.00 Mobile home parks (per unit) $21.60 Commercial establishments shall be charged $3.02 per cubic yard per weekly pickup with a minimum charge of $19.00; however, if a container is shared with other users, the cost shall be shared equally by all users Example (No. Cubic Yards) Times (No. of Weekly Pickups) Times (4.3 Weeks) Times ($2.90) (Divided by No. Businesses Sharing Dumpsters) Section 2: All ordinances and amendments thereto in conflict with the provisions of this ordinance shall be and are hereby repealed. Section 3: In the event any part or parts of this ordinance shall be held invalid, no valid part or parts shall be affected thereby. Section 4: This Ordinance shall be effective October 1, 2017. Ordinance No. 1069 (cont’d) PASSED AND ADOPTED this 11th day of September, 2017. GARY HINDERS, MAYOR ATTEST: Gretchen Mercer, City Clerk 2  ORDINANCE NO. 1041 AN ORDINANCE REPEALING ORDINANCE NO. 1013 OF THE CITY OF CANYON, TEXAS; PERTAINING TO GARBAGE AND TRASH RATES; AMENDING CHAPTER 50, “GARBAGE AND TRASH” OF THE CODE OF ORDINANCES OF THE CITY OF CANYON, TEXAS, BY AMENDING SUBSECTION 50-18 PROVIDING FOR GARBAGE AND TRASH DISPOSAL BY CITY ONLY AND ESTABLISHING RATES THEREFORE; PROVIDING A SEVERABILITY CLAUSE; AND ESTABLISHING AN EFFECTIVE DATE. WHEREAS, the City of Canyon has heretofore passed Ordinance No. establishing rates to be charged for garbage and trash collection services provided by the City of Canyon; and the City Commission has determined that such Ordinance shall be repealed; and WHEREAS, the City Commission has determined that Chapter 50, “Garbage and Trash” of the Code of Ordinances of the City of Canyon is hereby amended to that hereafter it shall read as follows: Section 50-18. Disposal by City Only; Rates Established. (a) Only duly authorized agents and/or employees of the City shall remove garbage, trash, rubbish from residential, public, and commercial establishments except as in this article otherwise provided. The monthly rates or charges for garbage and trash disposal services furnished by the City shall be as follows: Type of Service Monthly Charge 1-family residence $19.00 Multi-family residences of 1 to 4 units (per unit) $19.00 Multi-family complexes of 5 or more units (per unit) $16.50 Mobile home parks (per unit) $19.00 Commercial establishments shall be charged $2.90 per cubic yard per weekly pickup with a minimum charge of $19.00; however, if a container is shared with other users, the cost shall be shared equally by all users Example (No. Cubic Yards) Times (No. of Weekly Pickups) Times (4.3 Weeks) Times ($2.90) (Divided by No. Businesses Sharing Dumpsters) Section 2: All ordinances and amendments thereto in conflict with the provisions of this ordinance shall be and are hereby repealed. Section 3: In the event any part or parts of this ordinance shall be held invalid, no valid part or parts shall be affected thereby. Section 4: This Ordinance shall be effective October 1, 2016. Ordinance No. 1041 (cont’d) PASSED AND ADOPTED this 12th day of September, 2016. QUINN ALEXANDER, MAYOR ATTEST: Gretchen Mercer, City Clerk 2 REGARDING ITEM 13 AGENDA To: Randy Criswell, City Manager From: Chris Sharp, Assistant City Manager Date: September 6, 2017 Re: Consider and Take Appropriate Action on Ordinance No. 1070 for 2016 – 2017 Budget Amendment As we close the book on the 2016 – 2017 budget, we would like to have the Commission review and approve the amendments of our budget for expenses that occurred in the said budget year that were not a part of the original budget. Exhibit “A” in the attached Ordinance lists the expenditures that were more than originally budgeted. We think it is prudent for the Commission to amend the budget so that it reflects these expenditures. Attached to this memo is Ordinance No. 1070 and attachment A listing the amendments that need to be made. It is staff’s recommendation that the Commission approve Ordinance No. 1070 for the budget amendment. City of Canyon  ORDINANCE NO. 1070 AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF CANYON, TEXAS, AMENDING THE CITY’S BUDGET FOR THE FISCAL YEAR BEGINNING OCTOBER 1, 2016 AND ENDING SEPTEMBER 30, 2017 AS ADOPTED BY ORDINANCE 1038; PROVIDING FOR SUPPLEMENTAL APPROPRIATIONS AND TRANSFER OF CERTAIN FUNDS; PROVIDING THAT PRIOR PARTS OF ORDINANCE 1038 INCONSISTENT WITH OR IN CONFLICT WITH ANY OF THE PROVISIONS OF THIS ORDINANCE ARE HEREBY EXPRESSLY REPEALED TO THE EXTENT OF ANY SUCH INCONSISTENCY OR CONFLICT; PROVIDING FOR SEVERABILITY; AND PROVIDING FOR AN EFFECTIVE DATE WHEREAS, the City Commission of the City of Canyon has heretofore passed Ordinance 1038, making appropriations in support of the City of Canyon’s FY 2016 – 2017 Operating Budget; and, WHEREAS, Chapter 102, Sec. 102.010, Local Government Code, expressly authorizes the City Commission to transfer or revise appropriations within or among appropriation classes for municipal purposes ; and, WHEREAS, the City Commission of the City of Canyon has determined that economic conditions have arisen that require amendment of the Budget adopted thereby for municipal purposes; and, WHEREAS, additional revenues, reserves, and/or debt issuance funding are available for supplemental appropriation and/or that the interfund transfer of certain appropriations is economically feasible and in the best interest of prudent budgeting; and, WHEREAS, the City Commission of the City of Canyon after full and final consideration desires to amend said Original FY 2016-2017 Operating Budget as provided herein. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF CANYON, TEXAS: SECTION 1. THAT, the facts and matters set forth in the preamble of this Ordinance are hereby found to be true and correct. Ordinance 1070 Page 1 of 5  SECTION 2. a. That, the Original FY 2016-2017 Budget including adjustments, is hereby amended to adjust revenues and/or expenditures in the General Fund (Fund 01), Utility Fund (Fund 02) and the Golf Course Fund (Fund 03) as shown in Exhibit “A” attached. b. That, the revenues, expenditures, and amendments authorized by this Ordinance are necessary to meet economic conditions or circumstances that could not have been included in the original budget through the use of reasonably diligent thought and attention. c. That, this Ordinance and Exhibit shall be incorporated into and made part of such Original FY 2016-2017 Budget by the City Secretary and shall be filed as required by law. SECTION 3. This Ordinance shall be cumulative of Ordinance 1038 and shall not repeal any of the provisions of said Ordinance except those instances where there are direct conflicts with the provisions of this Ordinance. The parts of Ordinance 1038 that are inconsistent with this Ordinance at the time this Ordinance shall take effect, are hereby repealed to the extent that they are inconsistent with this Ordinance. Provided, however, that any complaint, action, claim or lawsuit that has been initiated or has arisen under or pursuant to Ordinances 1038 or sections thereof that have been specifically repealed on the date of adoption of this Ordinance shall continue to be governed by the provisions of such Ordinance or section thereof and for that purpose the Ordinance or section thereof shall remain in full force and effect. SECTION 4. If any provision, section, subsection, sentence, clause or the application of the 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 contained herein shall become inoperative or fail by any reasons of unconstitutionality of any other portion or provision. SECTION 5. This Ordinance shall become effective upon the date of final passage. Ordinance 1070 Page 2 of 5  INTRODUCED, on this the 11th day of September 2017, at a regular meeting of the City Commission of the City of Canyon, Texas which meeting was held in compliance with the Open Meetings Act, Tex Gov’t Code, §551.001, et.seq. at which meeting a quorum was present and voting. PASSED, APPROVED, AND ADOPTED, on this the 11th day of September 2017, at a regular meeting of the City Commission of the City of Canyon, Texas which meeting was held in compliance with the Open Meetings Act, Tex Gov’t Code, §551.001, et.seq. at which meeting a quorum was present and voting. ________________________________ Gary Hinders, Mayor ATTEST: ________________________________ Gretchen Mercer, City Secretary Ordinance 1070 Page 3 of 5  EXHIBIT “A” General Fund Budget Amendment Approved Budget Amount Amended Budget Amount $9,719,066 $9,776,266 Funds for line items that went over budget will be adjusted within the department. GF Over Budget Reason Main Street 3301 Advertising $ 4,600.00 3917 Other Contractual $ 4,000.00 Port-A-Potty for 4th of July Parks Dept 4204 Expansion $ 16,400.00 Well and irrigation for Canyon East Civic Complex 3601 R&M Building $ 25,000.00 Reconstruction of front doors to make them compliant with building codes and for safety purposes File system for vault. This freed up space in both the business office and vault room. Commercial Solid Waste $ 7,200.00 Repairs for aging dump truck Utility Fund Budget Amendment Approved Budget Amount Amended Budget Amount $6,881,774 $7,099,274 Funds for line items that went over budget will be adjusted within the department. Notable expenditures that exceed budgeted amounts are: Ordinance 1070 Page 4 of 5 Utility Water Production 3603 R&M Plant Equipment $ 24,000.00 Water well repairs Water Distribution 2362 New Water Taps $ 24,000.00 Demand for new water taps was higher than expected 3612 R&M Meters $ 15,500.00 Replacement of old meters 3917 Other Contractual $ 72,000.00 Rental of building for water dept. Public Works 3917 Other Contractual $ 28,000.00 Additional Engineering for Madison Park 4307 Motor Vehicle $ 30,000.00 Purchase of truck for Safety Director Wastewater Farm R&M Plant Equipment $ 22,000.00 Computer Services 3710 Computer Service $ 26,000.00 New server and computer related equipment Replaced and updated very old infrastructure Golf Course Budget Amendment Approved Budget Amount Amended Budget Amount $1,209,247 $1,239,747 Funds for line items that went over budget will be adjusted within the department. Additional revenue needed will be transferred from the General Fund and or the Utility Fund accounts. Notable expenditures that exceeded budgeted amounts are: Golf Course 3603 R&M Equipment $ 12,500.00 Repair of 7 - 14 year old equipment 3930 Proshop Expenses $ 18,000.00 Additional cost of providing merchandise to sell Ordinance 1070 Page 5 of 5