City of Canyon Commission Meetings

City Commission Meeting August 14, 2023 The City Commission of the City of Canyon met 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, Paul Lyons, Robyn Cranmer and Commissioner Danny Potter. Also present were the following City Staff: City Manager Joe Price, Assistant City Manager Jon Behrens, City Secretary Gretchen Mercer, HR Director Hector Mendoza, Communication Director Megan Nelson, Director of Public Works Dan Reese, Planning and Development Director Lucas Raley, Assistant Planning and Development Director Craig Brown, Economic Development Director Stephanie Tucker, Finance Director Joel Wright, Chief of Police Steven Brush, Police Captain Matt Coggins, Fire Chief Dennis Gwyn, Assistant Fire Chief Vince Whitfill, Golf Course Superintendent John Haun, Parks Director Brian Noel, Wastewater Superintendent John Poole, Water Superintendent Eric Whitten, and City Attorney Chuck Hester. Item 1. Call to Order. Mayor Hinders called the meeting to order at 4:34 pm. Item 2. Invocation. Commissioner Potter gave the invocation. Item 3. Pledge of Allegiance. The Pledge of Allegiance was led by Commissioner Cranmer. Item 4. Approval of the Minutes of the Meeting of July 31, 2023. Mayor Pro-Tem Jones moved, duly seconded by Commissioner Cranmer to approve the minutes of July 31, 2023 as presented. Motion carried unanimously. Item 5. Public Comment – Comments from Interested Citizens No public comments were made. NOTE: Mayor Hinders moved to Item 15. Item 15. Update and Consider and Take Appropriate Action on Repairs at Brown Road Railroad Crossing, Quiet Zone, and Future of Brown Road. City Manager Joe Price provided an extensive timeline of events regarding the closure of the railroad crossing on Brown Road and provided information shared from BNSF about the status of the re- opening of the crossing. Mr. Price stated the tracks were repaired within 2 days of the accident and provided visuals of the accident showing it was caused by improper maintenance of the crossing. Mr. Price and City Attorney Chuck Hester commented there were witness affidavits confirming the panel in the crossing was loose and they could feel it move when they drove over it. Mr. Hester said the driver of the truck got out of the truck once stuck, used the railroad phone to alert BNSF her City Commission Meeting August 14, 2023 Page 2 of 8 truck was stuck on the tracks several times with no answer well before the train got to the intersection. Mr. Price commented that the City has asked BNSF to participate in rebuilding the crossing and requested that since the crossing was repaired 2 days after the accident, that they re-open the crossing immediately. Mr. Price said there has been discussion on weight limiting Brown Road and 4th Avenue including all proper signage. Mr. Price said there has been no response on this from BNSF. Mayor Hinders opened the meeting up to public comments. Barbara Thompson, 1001 Brown Road, Canyon, Texas - Ms. Thompson stated she is a registered nurse and with the crossing closed off, and trains regularly blocking 4th Avenue, emergency care is delayed with a lot of elderly in the area as well as soccer fields and other ball fields full of 100’s of children who could need emergency care and the time to reach people could have terrible consequences. Ms. Thompson spoke against the no whistle zone saying it would make it unsafe. Dalton Bell, 16 Lindsey Lane, Canyon, Texas – Mr. Bell spoke in support of opening the railroad crossing as soon as possible and supported widening the crossing and making it a no whistle zone. John Polley, 16335 Dove View Circle, Canyon, Texas – Mr. Polley spoke in favor of the no whistle zone and stated he had lived in Canyon for 10 years, raised 4 children, coached soccer and flag football and that the noise from the trains is disruptive and children cannot hear parents or coaches calling them. Frances Dorsey, 23550 Back Road (off Brown Road) – Ms. Dorsey spoke of the need to get the crossing open as soon as possible, especially with school starting this week. M. Dorsey said the trucks will interfere and create hazards with the school traffic. Shaun Gails, 23500 Back Road, Canyon, Texas – Mr. Gails stated he worked for BNSF and lives off of Brown Road. Mr. Gails said the crossing was never made for trucks to cross at that crossing and voiced concern that if the train had been running at 70 mph, the debris would have very easily hit someone on the playing fields at Brown Road Soccer Complex. Mr. Gails stated he feared if the crossing was flattened and fixed, the trucks would be passing over it at higher rates of speed. Mr. Gails supported weight limiting the roads. Shirley Holeman, 1001 Brown Road, Canyon, Texas – Ms. Holeman said she has lived on Brown Road for 50 years and feels the trucks need to be weighed, and they should receive tickets for being overweight and for speeding. Ms. Holeman spoke against making the crossing a no whistle zone. Mayor Hinders thanked everyone for their comments and closed comments to the public. During discussion, Commissioners expressed in city staff looking into weight limiting 4th Avenue and Brown Road; continuing to move forward with rebuilding the crossing including the widening and preparing for a no whistle zone; and to continue working with Randall County on the project; to seek assistance from BNSF with the cost of repairs. City Commission Meeting August 14, 2023 Page 3 of 8 MAYOR HINDERS MOVED TO ITEM 6 Item 6. Consider and Take Appropriate Action on Proposed Tax Rate, and Setting a Public Hearing of the Proposed Tax Rate for 4:30 pm, August 28, 2023. Director of Finance Joel Wright presented the proposed tax rate stating the 2023-2024 proposed operating budget included $4,351,476 of revenue derived from Ad Valorem (Property) Taxes. Mr. Wright stated that the maximum tax rate being proposed was $0.39286 per $100 valuation, and included the maximum M&O rate of 0.37907 and a maximum I&S rate of $0.1379. After discussion, Commissioner Cranmer moved, duly seconded by Mayor Pro-Tem Jones that a proposal to adopt $0.39286 per $100 valuation, including a maximum M&O rate of $0.37907 and a maximum I&S rate of $0.01379, be placed on the Agenda of the City Commission meeting scheduled for Monday, August 28, 2023 for final action. Motion carried 4-1 with Commissioner Lyons voting against. Mayor Hinders Aye Mayor Pro-Tem Jones Aye Commissioner Lyons Nay Commissioner Cranmer Aye Commissioner Potter Aye Mayor Pro-Tem Jones moved, duly seconded by Commissioner Cranmer to place consideration for the Tax Rate on the agenda, along with a Public Hearing, for August 28, 2023 to allow for public comment and adoption. Motion carried unanimously. Item 7. Consider and Take Appropriate Action on Siren Maintenance Agreement. Assistant City Manager Jon Behrens presented a maintenance agreement with the City of Amarillo for the maintenance, activation, testing, and future expansion of the City of Canyon outdoor warning system. Mr. Behrens stated the City of Amarillo has a person dedicated to the maintenance of the outdoor warning system and could also cover Canyon. After discussion, Mayor Pro-Tem Jones moved, duly seconded by Commissioner Cranmer to authorize City Manager Joe Price to sign an Interlocal Agreement with the City of Amarillo for maintenance and other services associated with the Canyon outdoor warning systems. Motion carried unanimously. Item 8. First Reading of Resolution No. 33-2023, A Resolution of the City Commission of the City of Canyon Approving A Project Funding Agreement Between Nester Apiary, LLC and Canyon Economic Development Corporation Relating to Direct Financial Assistance for Business Expansion for a Business in Canyon, Texas. Canyon Economic Development Director Stephanie Tucker presented Resolution No. 33-2023 for the first of two required readings. Ms. Tucker said the Canyon Economic Development Corporation approved project funding for Nester Apiary, LLC for job incentives and direct financial assistance for City Commission Meeting August 14, 2023 Page 4 of 8 business expansion at their July 20, 2023 board meeting. Ms. Tucker stated the total funding requested is $100,000. Ms. Tucker said the CEDC held a public hearing August 10, 2023 and had no opposition and the CEDC voted unanimously to recommend approval by the City Commission. No action required, first reading only. RESOLUTION NO. 33-2023 A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF CANYON APPROVING A PROJECT FUNDING AGREEMENT BETWEEN NESTER APIARY, LLC AND CANYON ECONOMIC DEVELOPMENT CORPORATION RELATING TO DIRECT FINANCIAL ASSISTANCE FOR BUSINESS EXPANSION FOR A BUSINESS IN CANYON, TEXAS. Item 9. First Reading of Resolution No. 34-2023, A Resolution of the Commission of the City of Canyon Approving Project Funding Agreement Between Pondaseta Brewing Co., LLC and Canyon Economic Development Corporation Relating to Direct Financial Assistance for Business Expansion for a New Business in Canyon, Texas. Canyon Economic Development Director Stephanie Tucker presented Resolution No. 34-2023 for the first of two required readings. Ms. Tucker said the Canyon Economic Development Corporation approved project funding for Pondaseta Brewing Co., LLC for direct financial assistance for business expansion at the July 20, 2023 board meeting. Ms. Tucker stated the total funding requested is $50,000. Ms. Tucker said the CEDC held a public hearing August 10, 2023 and had no opposition and the CEDC voted unanimously to recommend approval by the City Commission. No action required, first reading only. RESOLUTION NO. 34-2023 A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF CANYON APPROVING A PROJECT FUNDING AGREEMENT BETWEEN PONDASETA BREWING CO., LLC AND CANYON ECONOMIC DEVELOPMENT CORPORATION RELATING TO DIRECT FINANCIAL ASSISTANCE FOR BUSINESS EXPANSION FOR NEW BUSINESS IN CANYON, TEXAS. Item 10. Consider and Take Appropriate Action on Resolution No. 31-2023, A Resolution 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 2023 Rate Review Mechanism Filing; Declaring Existing Rates to be Unreasonable; Adopting Tariffs That Reflect Rate Adjustments Consistent with the Negotiated Settlement; Finding the Rates to be Set by the Attached Settlement Tariffs to be Just and Reasonable and in the Public Interest; Approving an Attachment Establishing a Benchmark for Pensions and Retiree City Commission Meeting August 14, 2023 Page 5 of 8 Medical Benefits; Requiring the Company to Reimburse Cities’ Reasonable Ratemaking Expenses; Determining That This Resolution 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 Resolution to the Company and the Cities’ Legal Counsel. City Manager Joe Price presented Resolution No. 31-2023 for consideration. After discussion, Mayor Pro-Tem Jones moved, duly seconded by Commissioner Cranmer to adopt Resolution No. 31-2023 as presented. Motion carried unanimously. RESOLUTION NO. 31-20223 A RESOLUTION 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 2023 RATE REVIEW MECHANISM FILING; DECLARING EXISTING RATES TO BE UNREASONABLE; ADOPTING TARIFFS THAT REFLECT RATE ADJUSTMENTS CONSISTENT WITH THE NEGOTIATED SETTLEMENT; FINDING THE RATES TO BE SET BY THE ATTACHED SETTLEMENT TARIFFS TO BE JUST AND REASONABLE AND IN THE PUBLIC INTEREST; APPROVING AN ATTACHMENT ESTABLISHING A BENCHMARK FOR PENSIONS AND RETIREE MEDICAL BENEFITS; REQUIRING THE COMPANY TO REIMBURSE CITIES’ REASONABLE RATEMAKING EXPENSES; DETERMINING THAT THIS RESOLUTION WAS PASSED IN ACCORDANCE WITH THE REQUIREMENTS OF THE TEXAS OPEN MEETINGS ACT; ADOPTING A SAVINGS CLAUSE; DECLARING AN0 EFFECTIVE DATE; AND REQUIRING DELIVERY OF THIS RESOLUTION TO THE COMPANY AND THE CITIES’ LEGAL COUNSEL. Item 11. Consider and Take Appropriate Action on Resolution No. 32-2023, A Resolution by the City of Canyon, Texas (“City”) Denying Southwestern Public Service Company’s Proposed Rate Increase Request in Connection with its Statement of Intent Submitted on About February 8, 2023; Requiring Reimbursement of Reasonable Legal and Consultant Expenses; Finding That the Meeting Complies with the Open Meetings Act; Making Other Findings and Provisions Related to the Subject. City Manager Joe Price presented Resolution No. 32-2023 for consideration. After discussion, Commissioner Cranmer moved, duly seconded by Commissioner Potter to adopt Resolution No. 32-2023 as presented. Motion carried unanimously. City Commission Meeting August 14, 2023 Page 6 of 8 RESOLUTION NO. 32-2023 A RESOLUTION BY THE CITY OF CANYON, TEXAS (“CITY”) DENYING SOUTHWESTERN PUBLIC SERVICE COMPANY’S PROPOSED RATE INCREASE REQUEST IN CONNECTION WITH ITS STATEMENT OF INTENT SUBMITTED ON ABOUT FEBRUARY 8, 2023; REQUIRING REIMBURSEMENT OF REASONABLE LEGAL AND CONSULTANT EXPENSES; FINDING THAT THE MEETING COMPLIES WITH THE OPEN MEETINGS ACT; MAKING OTHER FINDINGS AND PROVISIONS RELATED TO THE SUBJECT Item 12. Consider and Take Appropriate Action on Authorization of the City Manager to Enter Into a Contract with Azavar to Perform Professional Services to Include Identification, Monitoring, Reporting, Collection, and Customer Service Associated with Short Term Rentals in Canyon. Assistant City Manager Jon Behrens presented a contract with Azavar for professional services including identifying, reporting, collection of payments and customer service associated with short term rentals in Canyon. Mr. Behrens stated it is very time consuming to find all of the “air B&B’s” and short term rentals in operation and this service could help bring in up to 20 additional establishments into compliance. Mr. Behrens stated city staff issued an RFP for services in May and received multiple responses with Granicus and Azavar/Local/gov selected for interview. Mr. Behrens stated after discussion with the selection team and IT Director Shaun Holtman, it was decided Azavar/Local/gov was the firm that could provide needed services most economically. After discussion, Commissioner Potter moved, duly seconded by Commissioner Cranmer to authorize City Manager Joe Price to enter into a contract with Azavar, for professional services to include the identification, monitoring, reporting, collection and customer service associated with Short Term Rentals in Canyon. Motion carried 4-1 with Commissioner Lyons voting against. Item 13. Conduct First Public Hearing on Ordinance No. 1182, Annexing Territory to the City of Canyon The Lumber Yard, Ltd, 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. City Attorney Chuck Hester presented Ordinance No. 1182 annexing the Lumber Yard, LTD in the City of Canyon for the first of two required public hearings. Mr. Hester stated the City Commission accepted the petition for annexation and set the public hearing dates at their July 20, 2023 Commission meeting. Mayor Hinders opened the public hearing, there being no comments, Mayor Hinders closed the public hearing. City Commission Meeting August 14, 2023 Page 7 of 8 No action required, public hearing only. ORDINANCE NO.1182 ANNEXING TERRITORY TO THE CITY OF CANYON THE LUMBER YARD, LTD LUMBER YARD ANNEXATION 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. Item 14. Conduct Second Public Hearing on Ordinance No. 1182, Annexing Territory to the City of Canyon The Lumber Yard, Ltd, 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. City Attorney Chuck Hester presented Ordinance No. 1182 annexing The Lumber Yard to the city limits of Canyon for the 2nd of two required readings. Mr. Hester stated as adopted during the July 20, 2023 Commission meeting, the annexation calendar was planned for the annexation of The Lumber Yard to be acted upon during the City Commission September 18, 2023. Mayor Hinders asked why we conducted 2 public hearings in the same meeting. Mr. Hester stated it was allowed by law as per TML Legal. City Secretary stated the public hearing requirements where not updated when the law changed from allowing cities to involuntarily annex property into the corporate city limits, annexation can only take place by request of the property owner and they won’t contest their own request. Mr. Hester stated there were several things in the law that needed to be updated. Mayor Hinders opened the public hearing, there being no comment, Mayor Hinders closed the public hearing. No action required, public hearing only. ORDINANCE NO.1182 ANNEXING TERRITORY TO THE CITY OF CANYON THE LUMBER YARD, LTD LUMBER YARD ANNEXATION City Commission Meeting August 14, 2023 Page 8 of 8 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. Item 16. Executive Session Pursuant to §551.071 Consultation with Attorney and §551.074 Board Appointments (TIRZ Board, Canyon Economic Development Corporation Board). Mayor Hinders indicated the City Commission would adjourn into Executive Session at 6:01pm. Item 17. Consider and Take Appropriate Action on Items Discussed in Executive Session. Upon returning from Executive Session at 6:44 pm, the following action was taken. Commissioner Cranmer left the meeting during Executive Session. Mayor Pro-Tem Jones moved, duly seconded by Commissioner Potter to reappoint Matt West, Jed Welch, and Keith Brown to the Canyon Economic Development Corporation for another Term. Motion carried unanimously. Item 18. Adjourn. There being no further business, Mayor Pro-Tem Jones moved this meeting be adjourned at 6:45 pm. ______________________________ Gary Hinders, Mayor ATTEST: ________________________________ Gretchen Mercer, City Secretary