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 4:30 p.m. on the 9th day of September 2019, 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 August 19, 2019. 5. Public Comment – Comments from Interested Citizens. 6. Conduct a Public Hearing and Consider and Take Appropriate Action on Ordinance No. 1112, Amending the Code of Ordinances of the City of Canyon, Chapter 156, Zoning Code, by Amending Tables 2-1, 2-2, 2-3, 2- 4, 2-5, 3-3, and 4-1. 7. Conduct a Public Hearing and Consider and Take Appropriate Action on Pioneer Estates Unit No. 23 Replat. 8. Consider and Take Appropriate Action on a Plat for Southwind Addition, Unit No. 5. 9. Consider and Take Appropriate Action on Resolution No. 15-2019, A Resolution of the City Commission of the City of Canyon Authorizing Representation in IRS Matter and Delegating Authority to Execute Form 2848 IRS Power of Attorney Concerning TML MultiState Employee Benefit Pool Reporting. 10. Consider and Take Appropriate Action on Resolution No. 13-2019, A Resolution Suspending the Effective Date of Southwestern Public Service Company’s Proposed Increase in Rates as Allowed by Statue; Approving Temporary Rates; Authoring the City’s Continued Participation with Other Cities in the Alliance of XCEL Municipalities (“AXM”) to Direct the Activities of Lawyers and Consultants; and Authorizing the Intervention and Participation in Related Rate Proceedings; Requiring Reimbursement of Reasonable Legal and Consultant Expenses. 11. Consider and Take Appropriate Action on Resolution No. 14-2019, A Resolution Supporting the Designation of the Extension of Interstate 27 as a Future Interstate by Congress and Urging the Texas Department of Transportation to Support Such Designation. 12. Consider and Take Appropriate Action on Ordinance No. 1115, Approving a Budget for the City of Canyon for Fiscal Year October 1, 2019 through September 30, 2020. 13. Consider and Take Appropriate Action on Ordinance No. 1116, Setting the Tax Rate and Tax Levy for the Year 2019. 14. Consider and Take Appropriate Action on Ordinance No. 1117 for the 2018-2019 Budget Amendment. 15. Executive Session Pursuant to §551.074 Personnel Matters (Municipal Court Judge, and City Manager Search), 551.072 Real Property, §551.087 Economic Development, and §551.071 Consultation with Attorney. 16. Consider and Take Appropriate Action on Items Discussed in Executive Session. 17. Adjourn. City of Canyon  Jon Behrens Jon Behrens, Interim 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 6th day of September 2019. Gretchen Mercer, City Clerk City of Canyon City Commission Meeting August 19, 2019 The City Commission of the City of Canyon met in regular session at 4:30 pm 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 Cody Jones, Roger Remlinger, Paul R. Lyons and Randy Ray. Also present were the following City Staff: Interim City Manager Jon Behrens, City Secretary Gretchen Mercer, Director of Public Works Dan Reese, Finance Director Chris Sharp, Fire Chief Mike Webb, Water Superintendent Eric Whitten, Parks Director Brian Noel, Library Director Janice Doan, Chief of Police Dale Davis, IT Manager Shaun Holtman, Planning and Development Director Danny Cornelius, Business and Community Development Director Evelyn Ecker, Economic Development President Don Lee, and City Attorney Chuck Hester. Item 1. Call to Order. Mayor Hinders called the meeting to order at 4:33 p.m. Item 2. Invocation. Mayor Pro-Tem Jones gave the invocation. Item 3. Pledge of Allegiance. The Pledge of Allegiance was led by Commissioner Remlinger. Item 4. Approval of Minutes of the City of Canyon Commission Meeting of August 5, 2019. Mayor Pro-Tem Jones moved, duly seconded by Commissioner Lyons to approve the minutes of August 5, 2019 as presented. Motion carried unanimously. Item 5. Public Comment – Comments from Interested Citizens. No comment was made. Item 6. Update from IT Manager Shaun Holtman on Upgrades in Efficiency and Safety for the City of Canyon. IT Manager Shaun Holtman updated the Commissioners of policies and measures being implemented to keep the City of Canyon safer from cyber-attacks and other possible intrusions. Commissioners commended Mr. Holtman on doing a great job protecting the city and city staff and for all the upgrades around city facilities. Item 7. Conduct Public Hearing and Consider and Take Appropriate Action on Ordinance No. 1109 Amending Chapter 156, Zoning Code, Appendix A, Section A.02 Terms, Accessory Building. City Commission Meeting August 19, 2019 Page 2 of 6 Planning and Development Director Danny Cornelius presented Ordinance No. 1109 for consideration. Mr. Cornelius stated it’s been pointed out that an ordinance passed in January limiting residential accessory buildings to 1200 square feet, 16’ maximum sidewall height, and 1 building over 200 square feet per dwelling unit could have a loophole. Mr. Cornelius stated the ordinance defines an Accessory Building as “in a Residential District” and it defines a Residential District as a “District where the primary purpose is residential use” which limits the regulations to the Single- Family, SF (Duplex Attached Residential), and MF (Multi-Family Attached Residential)Districts. Mr. Cornelius said this means if an Accessory Building Permit were requested for a single-family home in the RC-2 (Commercial) District, the limits would not apply as intended. Mr. Cornelius said Ordinance No. 1109 would amend the definition of Accessory Building by referring to “Residential Dwellings” rather than “Residential District” closing the loophole. Mr. Cornelius stated the Planning and Zoning Commission voted unanimously to recommend approval of the ordinance as presented. Mayor Hinders opened the Public Hearing. There being no comment, Mayor Hinders closed the Public Hearing. After discussion, Commissioner Ray moved, duly seconded by Mayor Pro-Tem Jones to approve Ordinance No. 1109 as presented. Motion carried 4-1 with Commissioner Lyons voting nay. ORDINANCE NO. 1109 Residential Accessory Buildings 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 APPENDIX A, SECTION A.02 TERMS, ACCESSORY BUILDING; PROVIDING FOR SEVERABILITY; PROVIDING FOR REPEALER; PROVIDING FOR AN EFFECTIVE DATE. Item 8. Consider and Take Appropriate Action on Ordinance No. 1108 Amending Chapter 150, Section 150.20, Deleting the Amendment to Table 1507.9.6 of the 2015 International Building Code. Planning and Development Director Danny Cornelius presented Ordinance No. 1108 for consideration. Mr. Cornelius stated with the passage of HB 2439 and an effective date of September 1, 2019, the city can no longer limit the installation of a building product that is approved by the national model code. Mr. Cornelius said an example is limiting taper sawn shake shingles to #1 grade only or cellular core PVC pipe not being allowed. Mr. Cornelius stated 2015 International Code has approved #2 grade taper sawn shake shingles and cellular core PVC Pipe. Mr. Cornelius said the Construction Advisory and Appeals Board voted unanimously to recommend approval of the ordinance. After discussion, Commissioner Lyons moved, duly seconded by Commissioner Ray to approve Ordinance No. 1108 as presented. Motion carried unanimously. ORDINANCE NO. 1108 2015 International Building Code City Commission Meeting August 19, 2019 Page 3 of 6 HB 2439 Amendment AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF CANYON, TEXAS: AMENDING THE CODE OF ORDINANCES OF THE CITY OF CANYON, CHAPTER 150, SECTION 150.20; DELETING THE AMENDMENT TO TABLE 1507.9.6 OF THE 2015 INTERNATIONAL BUILDING CODE; PROVIDING FOR SEVERABILITY; PROVIDING FOR REPEALER; PROVIDING FOR PENALTY; PROVIDING FOR PUBLICATION AND EFFECTIVE DATE. Item 9. Consider and Take Appropriate Action on Ordinance No. 1110 Amending Chapter 150, Section 150.24, Deleting the Amendments to Tables R905.8.5, P3002.1(1), and P3002.2 of the 2015 International Residential Code. Planning and Development Director Danny Cornelius presented Ordinance No. 1110 for consideration. Mr. Cornelius stated as with Ordinance No. 1108, Ordinance No. 1110 would delete amendments to the 2015 International Residential Code affected by the passage of HB 2439. The tables will be amended allowing #2 taper sawn shake shingles and cellular core PVC pipe. Mr. Cornelius stated the Advisory and Appeals Board voted unanimously to recommend approval of Ordinance No. 1110 as presented. After discussion, Commissioner Lyons moved, duly seconded by Commissioner Remlinger to adopt Ordinance No. 1110 as presented. Motion carried unanimously. ORDINANCE NO. 1110 2015 International Residential Code HB 2439 Amendment AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF CANYON, TEXAS: AMENDING THE CODE OF ORDINANCES OF THE CITY OF CANYON, CHAPTER 150, SECTION 150.24; DELETING THE AMENDMENTS TO TABLES R905.8.5, P3002.1(2), AND P3002.2 OF THE 2015 INTERNATIONAL RESIDENTIAL CODE; MAKING CERTAIN AMENDMENTS THERETO; PROVIDING FOR SEVERABILITY; PROVIDING FOR REPEALER; PROVIDING FOR A PENALTY; PROVIDING FOR PUBLICATION AND EFFECTIVE DATE. Item 10. Consider and Take Appropriate Action on Ordinance No. 1111 Amending Chapter 151, Section 151.01, Deleting the Amendments to Tables 702.1, 702.2, and 702.3 of the International Plumbing Code. Planning and Development Director Danny Cornelius presented Ordinance No. 1111 for consideration. Mr. Cornelius said as with Ordinance No’s 1108, and 1110, Ordinance No. 1111 deletes amendments to the 2015 International Plumbing Code affected by HB 2439. Mr. Cornelius stated the table would be amended to allow cellular core PVC pipe. Mr. Cornelius stated the Construction Advisory and Appeals Board voted unanimously to recommend approval of Ordinance No. 1111. After discussion, Mayor Pro-Tem Jones moved, duly seconded by Commissioner Remlinger to approve Ordinance No. 1111 as presented. Motion carried unanimously. City Commission Meeting August 19, 2019 Page 4 of 6 ORDINANCE NO. 1111 2015 International Plumbing Code HB 2439 Amendment AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF CANYON, TEXAS: AMENDING THE CODE OF ORDINANCES OF THE CITY OF CANYON, CHAPTER 151, SECTION 151.01; DELETING THE AMENDMENTS TO TABLES 702.1, 702.2, AND 702.3 OF THE 2015 INTERNATIONAL PLUMBING CODE; PROVIDING FOR SEVERABILITY; PROVIDING FOR REPEALER; PROVIDING A PENALTY; PROVIDING FOR PUBLICATION AND EFFECTIVE DATE. Item 11. Consider and Take Appropriate Action on Resolution No. 12-2019, Enacting Ordinance No. 892, Prohibiting Parking Along Designated Parade Route. City Secretary Gretchen Mercer presented Resolution No. 12-2019 for consideration. Ms. Mercer stated as requested by WTAMU Assistant Police Chief Robert Byrd, Resolution No. 12-2019 would allow the closure of portions of 4th Avenue and Spur 48 for the WTAMU Homecoming Parade October 5, 2019. Ms. Mercer said TxDOT requires the City to pass a Resolution approving the closure before TxDOT will approve. After discussion, Mayor Pro-Tem Jones moved, duly seconded by Commissioner Ray to approve Resolution No. 12-2019 as presented. Motion carried unanimously. RESOLUTION NO. 12-2019 A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF CANYON, ENACTING ORDINANCE NO. 892, PRESCRIBING LIMITATIONS ON PARKING OR STANDING MOTOR VEHICLES OR TRAILERS DURING PARADE TO BE HELD OCTOBER 5, 2019, IN THE CITY OF CANYON. Item 12. Consider and Take Appropriate Action on Ordinance No. 1113, An Ordinance Approving a Negotiated Settlement Between the Executive Committee of Cities Served by Atmos West Texas (“Cities”) and Atmos Energy Corp., West Texas Division Regarding the Company’s 2019 Rate Review Mechanism Filing. Finance Director Chris Sharp presented Ordinance No. 1113 for consideration. Mr. Sharp stated the requested rate increase from Atmos Energy would result in an average increase to residents of approximately $2.48 per month. After discussion, Commissioner Remlinger moved, duly seconded by Mayor Pro-Tem Jones to approve Ordinance No. 1113 as presented. Motion carried unanimously. ORDINANCE NO. 1113 AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF CANYON, TEXAS, APPROVING A NEGOTIATED SETTLEMENT BETWEEN THE EXECUTIVE COMMITTEE OF CITIES SERVED BY ATMOS WEST TEXAS (“CITIES”) AND ATMOS ENERGY CORP., WEST TEXAS DIVISION REGARDING THE COMPANY’S 2019 RATE REVIEW MECHANISM FILING; DECLARING EXISTING RATES TO BE City Commission Meeting August 19, 2019 Page 5 of 6 UNREASONABLE; ADOPTING TARIFFS THAT REFLECT RATE ADJUSTMENTS CONSISTENT WITH THE NEGOTIATED SETTLEMENT; FINDING THE RATES TO BE SET BY THE ATTACHED SETTLEMENT TARIFFS TO BE JUST AND REASONABLE AND IN THE PUBLIC INTEREST; APPROVING AN ATTACHED EXHIBIT ESTABLISHING A BENCHMARK FOR PENSIONS AND RETIREE MEDICAL BENEFITS; APPROVING AN ATTACHED EXHIBIT REGARDING AMORTIZATION OF REGULATORY LIABILITY; 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 CITIES’ LEGAL COUNSEL. Item 13. Consider and Take Appropriate Action on Contract for Bulky Solid Waste Collection Services with Republic Services. Director of Public Works Dan Reese addressed the Commission regarding a contract for bulky solid waste collection services with Republic Services. Mr. Reese stated with the inconsistency of the Randall County trustee program, it is getting more difficult to provide bulky waste pickup for citizens. Mr. Reese stated Republic Services has assisted the city on a few occasions in picking up bulky waste with good results. Mr. Reese stated City Attorney, Chuck Hester, is currently working on a contract with Republic Service’s legal team and should have it finished soon. Mr. Reese said the estimated cost for Republic Services to complete 6 pickups of bulky waste per year is $108,000 with a proposed quarterly pickup schedule. Mr. Reese stated Hunsley Hills would remain on the current schedule of bulky waste being picked up on Monday’s After discussion, Commissioner Remlinger moved, duly seconded by Mayor Pro-Tem Jones to grant the Interim City Manager the authority to complete the negotiation and execute the contract with Republic Services for collection of the City of Canyon bulky solid waste. Mayor Hinders asked if bulky solid waste would be picked up on a as need basis for large accumulations or from people illegally dumping, Mr. Reese stated yes. Mayor Hinders called for a vote on the motion, motion passed unanimously. Item 14. Budget Work Session. Director of Finance Chris Sharp gave a brief overview of the discussion from the Budget Work Session held August 5, 2019. Mr. Sharp said with the proposed M&O tax rate of $0.39083 and the I&S rate at $0.0591, the total proposed tax rate would be $0.44993, an increase to property taxes of 2.7% above the effective tax rate. Mr. Sharp said this would result in an average tax increase of $2.43 per month and generate a little over $76,000 for the General Fund. Commissioners asked if the roll-back rate and a lower I&S rate could be adopted so that there would be no tax increase. Mr. Sharp presented an alternate balanced budget based on an M&O tax rate of $0.37899 and an I&S rate of $0.5675 for a total tax rate of $0.43574 which results in no tax increase. Item 15. Hold Second Public Hearing on Proposed Tax Rate for Fiscal Year 2010-2020. City Commission Meeting August 19, 2019 Page 6 of 6 Director of Finance Chris Sharp stated pursuant to the Texas Truth in Taxation Laws, the City of Canyon is required to hold two public hearing if adopting a tax rate higher than the effective tax rate. With the effective rate at $0.43809/$100 valuation, and the proposed total rate of $0.44993/$100 valuation, (consisting of $0.39083 M&O plus $0.0591 I&S), the public hearings are required. Mayor Hinders opened the public hearing. There being no comment, Mayor Hinders closed the public hearing. This is the second and final public hearing, no action required. Item 16. Executive Session Pursuant to §551.074 Personnel Matters (Economic Development Corporation Board, and City Manager Search), §551.072 Real Property, §551.087 Economic Development, and §551.071 Consultation with Attorney. Mayor Hinders indicated the Commission would adjourn into Executive Session at 5:48 pm. Item 17. Consider and Take Appropriate Action on Items Discussed in Executive Session. Upon returning from Executive Session at 8:16 pm, the following action was taken. Commissioner Ray moved, duly seconded by Mayor Pro-Tem Jones to appoint Matthew West, Keith Brown, and Roger Remlinger to the expiring terms of Jill Shelton, James Irlbeck, and Bridget Johnson. Motion carried with Commissioner Remlinger abstaining. Item 18. Adjourn There being no further business, Mayor Pro-Tem Jones moved this meeting be adjourned at 8:21 pm. ______________________________ Gary Hinders, Mayor ATTEST: ________________________________ Gretchen Mercer, City Secretary REGARDING ITEM 6 AGENDA To: Jon Behrens, Interim City Manager From: Danny Cornelius, Director of Planning and Development Date: August 27, 2019 Re: Conduct a Public Hearing and Consider and Take Appropriate Action on Ordinance No. 1112, Amending the Code of Ordinances of the City of Canyon, Chapter 156, Zoning Code, by Amending Tables 2-1, 2-2, 2-3, 2-4, 2-5, 3-3, and 4-1. Governor Abbott signed HB 2439 (attached) which became effective September 1, 2019. The bill prohibits cities from adopting or enforcing an ordinance that limits the installation of a building product approved by a national model code. The City of Canyon has adopted the 2015 model codes as produced by the International Code Council. The 2015 International Building Code (2015 IBC), International Residential Code (2015 IRC), and International Plumbing Code (2015 IPC) as adopted by the City will be affected by this bill. The City of Canyon Zoning Code will also be affected. 1. Chapter 156, Zoning Code, Tables 3-2, Building Materials. 90% masonry on the exterior front and side walls abutting public streets. Table 3-3, Industrial Districts, limits the exterior to 90% masonry or steel. Any material allowed by the model code will be allowed. Including vinyl siding, hardy board, etc. 2. Chapter 156, Zoning Code, Tables 2-1, 2-2, 2-3, 2-4, 2-5 and 4-1, Building Materials. The use of metal, plastic, or fiberglass panels is prohibited on exterior wall of residences. (Same as above) The City has required 90% masonry exterior on walls abutting streets in the RC-1 (Retail), RC-2 (Commercial), and RC-3 (Central Area) Districts for several years. More recently, the City has adopted a rule that prohibits the exterior use of metal, plastic, or fiberglass panels on residences in residential districts. The intent was to prohibit “Barndominium” or “Barn House” style construction. The bill provides an exception for a building located in an area designated for development, restoration, or preservation in a Main Street City under the Main Street program. The attached map shows the areas in Canyon so designated. According to our City Attorney and the Texas Municipal League, we will have the ability to enforce the ordinances in those areas. Language has been added to address that exception. The bill also provides exceptions for certain historical buildings and districts. At this point it’s hard to tell just how that could benefit our ability to enforce the ordinance, but language has been added to take any advantage possible. The Planning and Zoning Commission voted unanimously to recommend approval of the ordinance. City of Canyon  CITY LIMITS LIMITS S IT LIM CITY TY CI LIMITS S IT M CITY LI Y IT C LIMITS CITY LIMITS CITY LIMITS CITY CITY LIMITS CITY LIMITS LIMITS LIMITS LIMITS CITY CITY LIMITS CITY CITY LIMITS CITY CITY LIMITS CITY LIMITS CITY LIMITS LIMITS CITY LIMITS CITY LIMITS CITY LIMITS CITY CITY LIMITS LIMITS CITY LIMITS CITY CITY LIMITS CITY LIMITS CITY LIMITS CITY LIMITS LIMITS CITY CITY OF CANYON MASTER BASEMAP (REVISED MARCH 2018)  Planning and Zoning Commission Meeting Minutes – August 26, 2019 The Planning and Zoning Commission of the City of Canyon in the City Commission Chambers of the Civic Complex. Chairman Bill Craddock presided over the meeting with the following Commissioners in attendance: Jeremy Bradford, Larry Raemakers, Bobbie Jo Krutsch, Mandy Williams, Charles Munger, Tim Gilliland, Lori Wilhite, and Joel Enriquez. Director of Planning and Development Danny Cornelius was also present. Item 1: Call to Order. Chairman Craddock called the meeting to order at 4:06 pm. Item 2: Approval of Minutes from the August 12, 2019 Meeting. Commissioner Munger moved, duly seconded by Commissioner Bradford, to approve the minutes from the August 12, 2019 meeting. The motion passed unanimously. Item 3: Conduct a Public Hearing and Consider and Take Appropriate Action on Pioneer Estates Unit No. 23 Replat. Shawn Gillispie of Gillispie, Inc. submitted a plat for Pioneer Estates Unit No. 23 Replat. The original plat was approved by the P&Z on September 6, 2018. The replat contained 2 primary revisions to the original: 1. The 20’ Public Utility Easement was widened to 30’. Primarily to provide better Fire Department access. 2. The duplex/townhouses in the southwest corner was removed and replaced with more parking. Letters were sent to 27 property owners within 200’. Two responses were received with one being in support of and one opposed to the request. An additional response was received from 3311 Conner which is not within 200’ of the property. It was in opposition to the request. Chairman Craddock opened the public hearing at 4:07 pm. Jessie Arredondo with OJD explained the need for more drive width to allow for Fire Department access. The width was gained by adding to the PUE. More parking was added to replace spaces lost to the additional drive and PUE width. Chairman Craddock closed the public hearing at 4:08 pm. After discussion, Commission Munger moved, duly seconded by Commissioner Williams to recommend approval of the plat. The motion passed unanimously. Item 4: Conduct a Public Hearing and Consider and Take Appropriate Action on Ordinance No. 1112, Amending the Code of Ordinances of the City of Canyon, Chapter 156, Zoning Code, by Amending Tables 2-1, 2-2, 2-3, 2-4, 2-5, 3-3, and 4-1. Governor Abbott signed HB 2439 which becomes effective September 1, 2019. The bill prohibits cities from adopting or enforcing an ordinance that limits the installation of a building product Planning and Zoning Commission Meeting August 26, 2019 Page 2 of 2 approved by a national model code. The City of Canyon has adopted the 2015 model codes as produced by the International Code Council. The 2015 International Building Code (2015 IBC), International Residential Code (2015 IRC), and International Plumbing Code (2015 IPC) as adopted by the City will be affected by this bill. The City of Canyon Zoning Code will also be affected. 1. Chapter 156, Zoning Code, Tables 3-2, Building Materials. 90% masonry on the exterior front and side walls abutting public streets. Table 3-3, Industrial Districts, limits the exterior to 90% masonry or steel. Any material allowed by the model code will be allowed. Including vinyl siding, hardy board, etc. 2. Chapter 156, Zoning Code, Tables 2-1, 2-2, 2-3, 2-4, 2-5 and 4-1, Building Materials. The use of metal, plastic, or fiberglass panels is prohibited on exterior wall of residences. The zoning ordinance requires 90% masonry exterior on walls abutting streets in the RC-1 (Retail), RC-2 (Commercial), and RC-3 (Central Area) Districts. The ordinance also prohibits the exterior use of metal, plastic, or fiberglass panels on residences in residential districts. The intent is to prohibit “Barndominium” or “Barn House” style construction. The bill provides an exception for a building located in an area designated for development, restoration, or preservation in a Main Street City under the Main Street program. According to our City Attorney and the Texas Municipal League, the City will have the ability to enforce the ordinances in those areas. Language was added to address that exception. The bill also provides exceptions for certain historical buildings and districts. Language was added to take any advantage possible. Chairman Craddock opened the public hearing at 4:18 pm. There being no one present wishing to speak, the public hearing was closed. After discussion, Commissioner Munger moved, duly seconded by Commissioner Williams to recommend approval of Ordinance No. 1112. The motion passed unanimously. Item 5: Adjourn. Chairman Craddock adjourned the meeting at 4:35 pm. Bill Craddock, Chairman Planning and Zoning Commission ATTEST: Gretchen Mercer, City Clerk  ORDINANCE NO. 1112 HB 2439 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 TABLES 2-1, 2-2, 2-3, 2-4, 2-5, 3-2, 3-3, and 4-1; PROVIDING FOR SEVERABILITY; PROVIDING FOR REPEALER; PROVIDING FOR AN EFFECTIVE DATE. WHEREAS; on June 14, 2019, Governor Abbott signed H.B. 2439 into law, amending Title 10, Government Code, by adding Subtitle Z; and, WHEREAS; H.B. 2439 prohibits a city from adopting or enforcing an ordinance that prohibits or limits the use or installation of a building product or material in construction, renovation, maintenance, or other alteration of a residential or commercial building if the building product or material is approved for use by a national model code published within the last three code cycles that applies to the construction renovation, maintenance, or other alteration of the building; and, WHEREAS; H.B. 2439 provides an exception for buildings located in an area designated for development, restoration, or preservation in a Main Street City under the Main Street Program; WHEREAS; H.B. 2439 provides exceptions for certain historical areas and buildings; 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; NOW THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF CANYON, TEXAS; SECTION 1: Tables 2-1, 2-2, 2-3, 2-4, 3-2, 3-3, and 4-1 are hereby amended as follows. Tables 2-1, 2-2, 2-3, 2-4, 2-5, and 4-1 - Residential and Planned Development Districts Item Regulations Building The use of metal, plastic, or fiberglass panels is prohibited on materials exterior walls of residences in areas designated for development, restoration, or preservation under the Main Street Program or other historical areas or buildings as allowed by Title 10, Government Code, Subtitle Z. Exception: Approved manufactured siding.  Table 3-2 Retail/Commercial Districts Item Regulations Building 90% masonry on exterior front and side walls abutting public materials streets, except windows and doors, but not on the rear and sides not abutting streets in areas designated for development, restoration, or preservation under the Main Street Program or other historical areas or buildings as allowed by Title 10, Government Code, Subtitle Z. Table 3-3 Industrial Districts Item Regulations Building 90% masonry or steel exterior walls, except windows and materials doors in areas designated for development, restoration, or preservation under the Main Street Program or other historical areas or buildings as allowed by Title 10, Government Code, Subtitle Z. 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 9th day of September, 2019. ________________________ Gary Hinders, Mayor ATTEST: __________________________ Gretchen Mercer, City Clerk REGARDING ITEM 7 AGENDA To: Planning and Zoning Commission From: Danny Cornelius, Director of Planning and Development Date: August 27, 2019 Re: Conduct a Public Hearing and Consider and Take Appropriate Action on Pioneer Estates Unit No. 23 Replat. We received a plat from Shawn Gillispie of Gillispie, INC for Pioneer Estates Unit No. 23 Replat. The original plat was approved by the P&Z on September 6, 2018. The attached replat contains 2 primary revisions to the original: 1. The 20’ Public Utility Easement has been widened to 30’. Primarily to provide better Fire Department access. 2. The duplex/townhouses in the southwest corner have been removed and replaced with more parking. Letters were sent to 27 property owners within 200’. We received 2 responses with 1 being in support of and 1 opposed to the request. An additional response was received from 3311 Conner which is not within 200’ of the property. It was in opposition to the request. All responses are enclosed. The Planning and Zoning Commission voted unanimously to recommend approval of the request. City of Canyon REGARDING ITEM 8 AGENDA To: Jon Behrens, Interim City Manager From: Danny Cornelius, Director of Planning and Development Date: July 29, 2019 Re: Consider and Take Appropriate Action on a Plat for Southwind Addition Unit No. 5. The attached plat for Hix Road Unit No. 5 has been submitted. Although the property is not within our city limits, the city does have the authority to approve plats within our Extraterritorial Jurisdiction (ETJ). The ETJ for the City of Canyon is 1 mile. This addition is just under a mile south of town. It’s located north of Pondaseta Road and west of Hwy 87. The owner is dividing the property into 2 lots. A 6.03 acre lot and a 8.60 acre lot. The Planning and Zoning Commission voted unanimously to recommend approval of the plat. City of Canyon Map Data displayed were gathered 07/29/19 10:57 by the City of Canyon for municipal purposes. No guarantee is made regarding suitability for any other use or purpose. REGARDING ITEM 9 AGENDA To: Canyon City Commissioners From: Gretchen Mercer, City Secretary Date: September 9, 2019 Re: Consider and Take Appropriate Action on Resolution No. 15-2019, A Resolution of the City Commission of the City of Canyon Authorizing Representation in IRS Matter and Delegating Authority to Execute Form 2848 IRS Power of Attorney Concerning TML MUltiState Employee Benefit Pool Reporting. TML MultiState Employee Benefit Pool reports they “may have failed to timely file IRS Forms 1094-C and 1095-C Tax Forms for the 2016 and 2017 federal tax years on behalf of the City of Canyon and other cities”. These forms are related to the provision of minimum essential health coverage to the cities employees. The Board of Trustees of the Pool have agreed to resolve any proposed imposition of penalties and fines by the IRS for the late filing of the Tax Forms on behalf of all affected members of the Pool. The Pool has engaged the law firm of Mitchell, Williams, Selig, Gates and Woodyard, PLLC (“Mitchell Williams”) to represent the Pool and its members before the IRS with respect to any such Penalties, and the Pool is taking sole responsibility for all communication with and payment of Mitchell Williams with regard to such matter. In order for Mitchell Williams and its attorneys to communicate with the IRS regarding any Penalties proposed to be assessed against the City of Canyon, an authorized official of the City of Canyon must execute a Form 2848 IRS Power of Attorney authorizing the attorneys to represent the City of Canyon before the IRS. The proposed resolution authorizes the City of Canyon to: 1. Engage Mitchell Williams to represent the City of Canyon before the IRS with respect to resolving the proposed IRS Penalties that have been or may in the future be asserted against the City. 2. Delegate the Interim City Manager to execute a Form 2848 IRS Power of Attorney for the purpose of granting the attorneys listed therein the authority to represent the City of Canyon before the IRS solely with respect any such proposed Penalties for tax years 2016 and 2017. It is staff’s recommendation that Resolution No. 15-2019 be approved as presented. City of Canyon  ATTACHMENT "A" Power of Attorney and Declaration of Representative City of Canyon 1-75-6000477-6000 301 16th Street Canyon, Texas 79015 806-655-5000  09-09-2019 Interim City Manager Jon Behrens City of Canyon  RESOLUTION NO. 15-2019 A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF CANYON AUTHORIZING REPRESENTATION IN IRS MATTER AND DELEGATING AUTHORITY TO EXECUTE FORM 2848 IRS POWER OF ATTORNEY WHEREAS, the TML MultiState Intergovernmental Employee Benefits Pool (The “Pool”) may have failed to timely file IRS Forms 1094-C and 1095-C ( the “Tax Forms”) for the 2016 and 2017 federal tax years on behalf of The City of Canyon, related to the City of Canyon’s provision of minimum essential health coverage to its employees; and WHEREAS, the Pool has agreed to resolve any proposed imposition of penalties and fines by the IRS for the late filing of the Tax Forms (the “Penalties”) on behalf of all affected members of the Pool, including the City of Canyon; and WHEREAS, the Pool has engaged the law firm of Mitchell, Williams, Selig, Gates & Woodyard, PLLC (“Mitchell Williams”) to represent the Pool and its members before the IRS with respect to any such Penalties, and the Pool shall be solely responsible for all communication with and payment of Mitchell Williams with regard to such matter; and WHEREAS, in order for Mitchell Williams and its attorneys to communicate with the IRS regarding any Penalties proposed to be assessed against the City of Canyon, an authorized official of the City of Canyon must execute a Form 2848 IRS Power of Attorney authorizing the attorneys to represent the City of Canyon before the IRS; and WHEREAS, the City of Canyon finds it necessary and proper to authorize City Manager to execute a Form 2848 on behalf of the City of Canyon for such purpose; NOW THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF CANYON, TEXAS: 1. The Interim City Manager is hereby authorized to engage Mitchell Williams to represent the City of Canyon before the IRS with respect to resolving the proposed IRS Penalties that have been or may in the future be asserted against the City of Canyon. 2. The Interim City Manager is hereby authorized to execute a Form 2848 IRS Power of Attorney, in the form attached hereto as Exhibit A, for the purpose of granting the attorneys listed therein the authority to represent the City of Canyon before the IRS solely with respect any such proposed Penalties for tax years 2016 and 2017. ADOPTED AND APPROVED this 9th day of September, 2019. _____________________________________________ GARY HINDERS, MAYOR (S E A L) ATTEST ______________________________________________ GRETCHEN MERCER, CITY CLERK REGARDING ITEM 10 AGENDA To: Canyon City Commissioners From: Jon Behrens, Interim City Manager Date: August 16, 2019 Re: Consider and Take Appropriated Action on Resolution No. 13-2019, An Resolution Suspending the Effective Date of Southwestern Public Service Company’s Proposed Increase In Rates As Allowed By Statue; Approving Temporary Rates; Authorizing The City’s Continued Participation With Other Cities In The Alliance Of XCEL Municipalities (“AXM”) To Direct The Activities Of Lawyers And Consultants; And Authorizing The Intervention And Participation In Related Rate Proceedings; Requiring Reimbursement of Reasonable Legal And Consultant Expenses. On or about August 8, 2019, Southwestern Public Service Company (SPS) filed an application to increase its base revenues by approximately $141.3 million, which represents an increase in base revenue of about 25.5% and compared to its current total revenue, including fuel revenue, is an increase of $56.7 million, which equates to an overall increase of 6.25%. SPS’s application to increase rates is based on a test year of July 1, 2018 through June 30, 2019. The attached document from our consultants outlines the effect that this filing could have on residential and commercial users. Residential users could expect a $1 increase in the fixed monthly charge, customers using 1500 kWh/month in the summer could expect and increase in base rate of about $38.52 or about a 29.2% increase and a $17.40 increase in the winter or a 15.1% increase excluding fuel cost. Herrera Law and Associates, PLLC has previously represented Canyon and its participation in the coalition of cities named the “Alliance of Xcel Municipalities” (AXM) in rate matters involving SPS. The accompanying Resolution authorizes retention of Herrera Law & Associates, PLLC as Special Counsel and continued participation in the AXM coalition. The AXM Steering Committee and AXM’s Special Council has recommended that we suspend SPS’s proposed effective date for its rate increase. It is staff’s recommendation that Resolution No. 13-2019 suspending SPS’s proposed effective date to allow AXM’s attorneys and consultants time to review SPS’ application be approved. City of Canyon  HIGH-LEVEL SUMMARY OF SPS’S 2019 GENERAL RATE CASE 1. Deny or Suspend? Steering Committee Cities suspend and other cities deny 2. Action to do either deny or suspend due by Sep. 12, 2019 3. Because SPS included estimated data re: its rate base, suspension period is 90 days + 45 days = 135 days. Filing Date 8/8/19 35th Day 9/12/19 City Suspension 12/11/19 155th Day 1/10/20 PUC Suspension 2/9/20 Extended City Suspension 1/25/20 Extended PUC Suspension 3/25/20 4. Base rate increase: $141.3 million; equals 25.5% increase in base rates. Rate-filing data is for test year of July 1, 2018 – June 30, 2019, and is premised on actual data for period from Apr. 1, 2018 – Mar. 31, 2019. So, the estimated data is for period from Apr. 1, 2019 – Jun. 30, 2019 (the “Update Period”.. Current Base Rate revenue = $553.8 million; Proposed Base Rate revenue = $695.1 million; “base-rate” revenue excludes fuel costs. Rate Base = $2.59 billion (“rate base” equates to investment in assets, that is, capital assets upon which SPS is allowed to earn a return/profit) 5. Overall, including changes in fuel expense, increase is $56.7 million; equals 6.5% increase 6. Cost of Capital – ROE: 10.35%; a more realistic ROE is from 9.5% - 9.65% Equity Ratio: 54.65% LTD Ratio: 45.35% LTD Cost: 4.33% ROR: 7.62% Each percentage point in return on equity equates to about $32.6 million in revenue. The amount included in SPS’ revenue requirement (and hence on rates) of a ROE of 10.35% is about $337.8 million. ROE is often viewed as the utility’s profit. Page 1 of 2  HIGH-LEVEL SUMMARY OF SPS’S 2019 GENERAL RATE CASE The difference between a ROE of 9.65% and 10.35% is about $22.8 million; the difference between a ROE of 9.50% and 10.35% is about $27.7 million. 7. Revenue increases to Classes of Customers Base Rate Total Incldg Fuel Residential: 25.7% 13.9% Small Comm: 14.6% 4.7% Lg. Industrial: 36.7% 3.7% Lg Muni: 19.7% 3.0% Street Lighting: 25.1% 13.9% 8. Temporary rates (aka interim rates) beginning on Sep. 12, 2019 per agreement reached in SPS’s Wind Farm Case. Beginning Sep. 12, 2019, SPS’s proposed rates will go into effect subject to refund, with the refund based on the final rates. For example, for a residential customer, in the Summer, under SPS’s proposed increase, using 1,500 kwh, would see an increase in base rates of about $38.52. If in the end, final rates are 65% of SPS’s requested amount, then customer would be due a refund of about $13.48. The table below shows the effect for Winter rates and the annual average. BASE FINAL FINAL REFUND RATES Current Proposed $ Change % Change INCREASE DUE ONLY Base Base Total Base SUMMER Residential $130.68 $169.20 $38.52 29.48% 65% $25.04 $13.48 WINTER Residential $115.35 $132.75 $17.40 15.08% 65% $11.31 $6.09 ANN. AVG. Residential $120.46 $144.90 $24.44 20.29% 65% $15.89 $8.55 Page 2 of 2  RESOLUTION NO. 13-2019 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 8, 2019; APPROVING TEMPORARY RATES; AUTHORIZING THE CITY’S CONTINUED PARTICIPATION WITH OTHER CITIES IN THE ALLIANCE OF XCEL MUNICIPALITIES (“AXM”) TO DIRECT THE ACTIVITIES OF LAWYERS AND CONSULTANTS AND PARTICIPATION IN RELATED RATE PROCEEDINGS; AUTHORIZING THE HIRING OF ATTORNEYS AND CONSULTANTS; REQUIRING REIMBURSEMENT OF REASONABLE LEGAL AND CONSULTANT EXPENSES; REQUIRING PROOF 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, Southwestern Public Service Company (“SPS”) filed a Statement of Intent with the City of Canyon, Texas (“City”) to increase its base-rate revenue requirement for its Texas retail service area by approximately $141.3 million, which is an increase in base revenue of about 25.5%; 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’s 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’s rate request and its changes in tariffs it is prudent to coordinate the City’s efforts with a coalition of similarly situated municipalities; and 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 1 of 5 2019 SPS Rate Application Filed on or About Aug. 8, 2019 Suspension Resolution  WHEREAS, SPS’s rate request, which was filed on about August 8, 2019, consists of a voluminous amount of information including SPS’s rate-filing package, pre-filed direct testimony, exhibits, schedules, and workpapers; and WHEREAS, SPS proposed September 12, 2019 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’s filing within 35 days; and WHEREAS, the City will need an adequate amount of time to review and evaluate SPS’s rate application to enable the City to adopt a final decision as a local regulatory authority with regard to SPS’s 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 (“PUC”) on the same date, August 8, 2019 and it is important to intervene in the PUC proceeding because the PUC’s decisions could impact rates within the City; and WHEREAS, consistent with the settlement the PUC approved in Docket No. 46936 regarding SPS’s acquisition of the Hale and Sagamore wind-generation facilities, SPS in this application requests that the Commission establish temporary rates on September 12, 2019, which is the 35th day after the date SPS filed its application to increase rates (“Temporary Rate Date”), and that the final rates set in this case be applied to usage on and after the Temporary Rate Date, subject to refund to the extent final rates are lower than SPS’s proposed rates. 2 of 5 2019 SPS Rate Application Filed on or About Aug. 8, 2019 Suspension Resolution NOW THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION FOR THE CITY OF TEXAS, 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 12, 2019 for its filing of August 8, 2019, is hereby suspended one hundred and thirty-five (135) days, or at least until January 25, 2020. 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. Section 4. SPS’s request for Temporary Rates as set forth above, is hereby APPROVED, subject to refund to the extent final rates approved are lower than SPS’s proposed rates. Section 5. The City authorizes intervention in proceedings related to SPS’s Statement of Intent before the Public Utility Commission of Texas and any related proceedings in any courts of law. Section 6. 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 7. The City hereby retains Herrera Law & Associates, PLLC as Special Counsel to represent the City with regard to SPS’s requested increase in rates and related proceedings before local and state regulatory authorities and any court of law and 3 of 5 2019 SPS Rate Application Filed on or About Aug. 8, 2019 Suspension Resolution authorizes Special Counsel to employ such rate experts as may be necessary for review and evaluation of SPS’s rate application. Section 8. 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 9. 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 10. 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 Law & Associates, PLLC, 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 11. The City Secretary or other appropriate city official shall provide a copy of this Resolution to Mr. Alfred R. Herrera, Herrera Law & Associates, PLLC, 816 Congress Ave., Suite 950, Austin, Texas 78701, and as a courtesy, provide SPS a copy of this Resolution by sending a copy of the Resolution to William A. Grant, Regional Vice President, Regulatory and Strategic Planning, Southwestern Public Service Company, 790 S. Buchanan St. Amarillo, Texas 79101. Section 12. 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. 4 of 5 2019 SPS Rate Application Filed on or About Aug. 8, 2019 Suspension Resolution  Section 13. To the extent any Resolution previously adopted by the City Commission is inconsistent with this Resolution, it is hereby superseded. Section 14. The findings set out in the preamble are in all things hereby approved. Section 15. This Resolution shall become effective from and after its passage. PASSED AND APPROVED this 9th day of September 2019. ______________________________ GARY HINDERS, MAYOR ATTEST: _________________________________________ GRETCHEN MERCER, CITY SECRETARY 5 of 5 2019 SPS Rate Application Filed on or About Aug. 8, 2019 Suspension Resolution REGARDING ITEM 11 AGENDA To: City Commission From: Jon Behrens, Interim City Manager Date: August 21, 2019 Re: Consider and Take Appropriated Action on Resolution No. 14-2019, an Resolution Supporting the Designation of the Extension of Interstate 27 as a Future Interstate by Congress and Urging the Texas Department of Transportation to Support Such Designation. The inception of Ports-to-Plains came about in the mid-90’s, when elected officials and civic leaders from Lubbock wanted to improve U.S. 87/287 to the north and south of U.S. Interstate 27 between Lubbock and Amarillo. With interstates in the U.S. predominantly going east and west, there was a growing need for additional north/south corridors to support increasing trade opportunities. In June Governor Abbott signed House Bill 1079 which authorized TxDOT to pursue a comprehensive study of the Ports-to-Plains Corridor. This study will look at feasibility, costs and logistical matters associated with the expansion of Interstate 27, and will be presented no later than January 1, 2021. This study will detail improvements on Interstate 27 north and south, from Amarillo to the Texas-Oklahoma border, to the Texas-New Mexico border, and south of Lubbock to Laredo. Once the study is completed an Advisory Committee will be created and eventually geographic “sub-committees” will be created to provide input opportunities for all of the communities that will be affected by this project. This has been a long process and is far from over, however, the Governor’s authorization of this study was a major step forward for this project. It is staff’s recommendation that Resolution No. 14-2019 supporting the Ports-to-Plains study and eventual construction be approved. City of Canyon  RESOLUTION NO. 14-2019 A RESOLUTION SUPPORTING THE DESIGNATION OF AN EXTENSION OF INTERSTATE 27 AS A FUTURE INTERSTATE IN TEXAS. WHEREAS, Congress has already designated the Ports-to-Plains Corridor in Texas as a High Priority Corridor on the National Highway System; and WHEREAS, the Texas Department of Transportation published an Initial Assessment Report on the Extension of I-27/Ports to Plains Corridor in November , 2015 which stated: “The corridor will continue to be a critical link to state, national and international trade, growing population centers and critical energy and agricultural business sectors”; and WHEREAS, according to the Texas Freight Mobility Plan, “By 2040 over 73 percent of Texas’ population and 82 percent of the state’s employment is projected to be located within five miles of an interstate”; and WHEREAS, Texas has no major north-south interstate west of Interstate 35; and WHEREAS, the Texas Freight Mobility Plan notes that further investment alone on I-35 will not fix the problem saying, “The state must focus not only on improving existing facilities, but also on developing future freight corridors to move products to markets and exports”; and WHEREAS, the Texas Freight Mobility Plan goes on to recommend that TxDOT, “give additional consideration to the extension or designation of other interstate routes. Examples include I-27 and upgrades to portions of US Highway 190 to interstate standards”; and WHEREAS, the extension of I-27 to the North of Amarillo to the Texas border is important to the freight and economic mobility of the Texas Panhandle and the entire State’s Commerce; and WHEREAS, the proposed extension of Interstate 27 connects major West Texas population and economic centers including Amarillo, Lubbock, Midland-Odessa and San Angelo in addition to numerous smaller communities; and WHEREAS, the proposed extension of Interstate 27 intersects with Interstate 40, Interstate 20 and Interstate 10; and WHEREAS, the proposed extension of Interstate 27 will serve three border crossings with Mexico at Laredo, Eagle Pass and Del Rio; and WHEREAS, the proposed extension of Interstate 27 will be a major backbone for the energy industry in Texas serving top oil and gas producing counties as well as the growing wind energy industry; and WHEREAS, the proposed extension of Interstate 27 will also serve the agriculture industry including many of Texas top counties for the production of cotton, cattle, sheep and goats and other commodities; and WHEREAS, extending Interstate 27 in Texas is also a cost-effective option. The Texas Department of Transportation’s Initial Assessment Report on the Extension of I-27/Ports to Plains Corridor estimated that it would cost about $7 billion to upgrade the nearly 1,000 miles of the Ports-to- Plains Corridor from the northern tip of Texas to Laredo. To extend Interstate-27 approximately 500 miles from Lubbock to Laredo is projected to cost $5.2 billion. Compare that to the $4.8 billion it cost to rebuild 28 mile section of Interstate 35 east from Interstate 635 to U.S. Highway 380 in Dallas County; and  WHEREAS, an additional cost saving option is associated with the primarily east-west, recently designated, Interstate 14 which includes a proposed segment that overlaps the Ports-to-Plains Corridor between Midland-Odessa and San Angelo, presenting an opportunity for that segment to be jointly designated as Interstate 14 and Interstate 27; and WHEREAS, a future Interstate designation will be a significant new economic development tool for communities along the corridor. Site selectors for manufacturers, warehousing and distribution recommend sites along an interstate highway and travel services businesses such as hotels, truck stops, convenience stores and restaurants, which can have a dramatic impact on small communities will also expand. This will create much needed new jobs and expanded tax base in rural West Texas; and WHEREAS, while designation as a future interstate is the first step in a very long process before the completion of an interstate highway, that does not lessen the importance of extending Interstate 27. NOW THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF CANYON, TEXAS THAT: Section I. That the City of Canyon supports the designation of the extension of Interstate 27 as a Future Interstate by Congress and urges the Texas Department of Transportation to support such designation. Section 2. This resolution to be in full force and effect from and after its passage and approval. Section 3. If any portion or provision of this resolution shall for any reason be held to be invalid or unenforceable, the invalidity or unenforceability of such portion or provision shall not affect any of the remaining provisions of this Resolution, the intention being that the same are severable. ADOPTED AND APPROVED this 9th day of September, 2019. _____________________________________________ GARY HINDERS, MAYOR (S E A L) ATTEST ______________________________________________ GRETCHEN MERCER, CITY CLERK REGARDING ITEM 12 AGENDA To: Jon Behrens, Interim City Manager From: Chris Sharp, Director of Finance Date: August 29, 2019 Re: Consider and Take Appropriate Action on Ordinance No. 1115, Approving a Budget for the City of Canyon for Fiscal Year October 1, 2019 through September 30, 2020 Pursuant to the Texas Local Government Code, the City must adopt a budget for the 2019 – 2020 Fiscal Year. The Budget has been finalized and Ordinance No. 1115 will officially adopt the budget. Summary of Budget The total budget for 2019-2020 is $20,551,080. This includes capital purchases of a little over $1.1 million. One employee will be added in the Solid Waste Department, one will be added to the Water Distribution Department, a part-time position in the Police Development will become full-time, one new position will be added in Public Works by dissolving the Safety Director position and moving those funds to that department. The tax rate for M&O will the effective rate at $.37899. Our I&S rate will increase slightly to $.0591. Combined tax rate will be $.43809. There will be not rate increases in utility fees. We would like to thanks staff and the Commission for the hard work that has gone into creating this budget. There must be a record vote cast verbally when voting on the approval of the budget. It is staff’s recommendation that the Commission approve Ordinance No. 1115 adopting the 2019-2020 fiscal year budget. City of Canyon  ORDINANCE NO. 1115 AN ORDINANCE ADOPTING AND APPROVING A BUDGET FOR THE CITY OF CANYON, TEXAS, FOR THE FISCAL YEAR OCTOBER 1, 2019 THROUGH SEPTEMBER 30, 2020 WHEREAS, heretofore a budget for the fiscal year October 1, 2019, through September 30, 2020, has been prepared by Jon Behrens, as Budget Officer, for the City of Canyon, Texas; and WHEREAS, said budget has been presented by the Interim 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, 2019 through September 30, 2020. Those Members Present Were: 1. Mayor Gary Hinders 4. Commissioner Paul Lyons 2. Mayor Pro-Tem Cody Jones 5. Commissioner Randy Ray 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. 4. 2. 5. 3. Those Members Absent: 1. 4. 2. 5. 3. PASSED AND APPROVED by a majority of the City Commission at a regular meeting in the Commission Chambers of the Civic Complex on the 9th day of September, 2019. GARY HINDERS, MAYOR ATTEST: _ ______ _ GRETCHEN MERCER, CITY CLERK REGARDING ITEM 13 AGENDA To: Jon Behrens, Interim City Manager From: Chris Sharp, Director of Finance Date: September 9, 2019 Re: Consider and Take Appropriate Action on Ordinance No. 1116, Setting the Tax Rate and Tax Levy for the Year 2019 Ordinance No. 1116 has been prepared for adoption. This Ordinance will adopt an ad valorem tax rate of $0.43809/hundred dollars valuation. Of that amount, $.37899 is for maintenance and operation (M&O) and $.0591 is for our Interest and sinking fund (I&S). For the M&O, this is the effective tax rate and will not increase taxes. There must be specific language used for adoption of the new tax rate. The motion needs to say: “I move that Ordinance No. 1116 be adopted, and that the property tax rate be the effective tax rate of $0.43809, which is a 0% increase in the tax rate, and sets the interest and sinking fund rate of $.0591.” City of Canyon  ORDINANCE NO. 1116 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 2019 AT A RATE OF $0.43809 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 2019; 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 2019 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 $796,876,550 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 2019 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 being adopted will be the effective tax rate and will not raise taxes for maintenance and operations for this year. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF CANYON, TEXAS: Section 1. That an ad valorem tax rate of $0.43809 per one hundred dollars ($100.00) assessed valuation is hereby adopted for the 2019 calendar year, such rate consisting of the following specified components: a) For maintenance and operations, $0.37899 per one hundred dollars ($100.00) assessed valuation. b) For payment of principal and interest on bonds, $.0591 per one hundred dollars ($100.00) assessed valuation.  Section 2. That an ad valorem tax for the 2019 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, 2019. Those Members Present Were: 1. Mayor Gary Hinders 4. Commissioner Paul Lyons 2. Mayor Pro-Tem Cody Jones 5. Commissioner Randy Ray 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. 4. 2. 5. 3. Those Members Absent: 1. 4. 2. 5. 3.  PASSED AND APPROVED this 9th day of September, 2019. CITY OF CANYON, TEXAS ________________________________ Gary Hinders, Mayor ATTEST: _________________________________ Gretchen Mercer, City Clerk REGARDING ITEM 14 AGENDA To: Jon Behrens, Interim City Manager From: Chris Sharp, Director of Finance Date: September 9, 2019 Re: Consider and Take Appropriate Action on Ordinance No. 1117 for the 2018 – 2019 Budget Amendment. As we close the book on the 2018 – 2019 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. 1117 and attachment A that lists the amendments that need to be made. You will notice in the Utility Cash account a transaction in the amount of $4,470,544. This is a cumulation over several years of what the General Fund owes the Utility Fund. We are making this adjustment into our financial software in order to bring that down to zero. This is done at the advice of our auditors and will help to clean up our year-end financial statement. It is staff’s recommendation that the Commission approve Ordinance No. 1117 for the budget amendment. City of Canyon  ORDINANCE NO. 1117 AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF CANYON, TEXAS, AMENDING THE CITY’S BUDGET FOR THE FISCAL YEAR BEGINNING OCTOBER 1, 2018 AND ENDING SEPTEMBER 30, 2019 AS ADOPTED BY ORDINANCE 1092; PROVIDING FOR SUPPLEMENTAL APPROPRIATIONS AND TRANSFER OF CERTAIN FUNDS; PROVIDING THAT PRIOR PARTS OF ORDINANCE 1092 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 1092, making appropriations in support of the City of Canyon’s FY 2018 – 2019 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 2018-2019 Operating Budget as provided herein. NOW THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF CANYON, TEXAS: SECTION 1. Ordinance xxxx Page 1 of 5  THAT, the facts and matters set forth in the preamble of this Ordinance 1117 are hereby found to be true and correct. SECTION 2. a. That, the Original FY 2018-2019 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 2018-2019 Budget by the City Secretary and shall be filed as required by law. SECTION 3. This Ordinance shall be cumulative of Ordinance 1092 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 1092 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 1092 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 xxxx Page 2 of 5  INTRODUCED, on this the 9th day of September 2019, 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 9th day of September 2019, 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 xxxx Page 3 of 5  EXHIBIT “A” General Fund Budget Amendment Approved Budget Amount Amended Budget Amount $11,257,983 $11,481,811 Funds for line items that went over budget will be adjusted within the department. General Fund Over Budget Reason Police Department 4320 Other Equipment $ 10,442.00 New AEDs Fire Department 4320 Other Equipment $ 13,873.00 New AEDs Parks & Rec 4320 Other Equipment $ 9,000.00 Encumber from last year Residential Sanitation 2220 Containers $ 18,030.00 Additional containers purchased 3608 R&M Compactor $ 9,082.00 Numerous repairs to compactor 3917 Other Contractual Services $ 158,761.00 Additional chipping of tree branches Republic Bulky Waste Pickup Commercial Sanitation 3605 R&M Vehicle $ 4,640.00 Repairs to trash trucks Ordinance xxxx Page 4 of 5 Utility Fund Budget Amendment Approved Budget Amount Amended Budget Amount $7,702,400 $7,757,074 Funds for line items that went over budget will be adjusted within the department. Notable expenditures that exceed budgeted amounts are: Utility Water Distribution Matching portion of TDA 4510 Water Main Replacement $ 26,026.00 grant Wastewater Treatment 3603 R&M Plant Equipment $ 5,646.00 Repair on equipment more than anticipated 3917 Other Contractual $ 16,821.00 Repairs done and treatment farm 3919 Lab Contractual $ 6,181.00 Lab work for Lone Star higher than anticipated *Utility Cash Account $ 4,470,544.99 To adjust for years of accumulation of GF owing Utility Fund Golf Course Budget Amendment Approved Budget Amount Amended Budget Amount $1,429,963 $1,436,630 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 2318 Irrigation Supplies $ 20,839.00 Leaks on water system 3930 Proshop Expenses $ 28,079.00 Additional cost of providing merchandise to sell Ordinance xxxx Page 5 of 5