Public Utilities Board

City Hall City of Denton 215 E. McKinney St. Denton, Texas 76201 www.cityofdenton.com Meeting Agenda Public Utilities Board Monday, March 25, 2019 6:00 PM Work Session Room After determining that a quorum is present, the Public Utilities Board of the City of Denton, Texas will convene in a meeting on Monday, March 25, 2019 at 6:00 p.m. in the Council Work Session Room at City Hall, 215 E. McKinney Street, Denton, Texas at which the following items will be considered: WORK SESSION A. PUB19-016 Receive a report, hold a discussion, and consider recommending approval of Wastewater Service Agreements with Robson Development, L.P., Hillwood Investment Land L.P., and Petrus Investment, L.P., for diversion of wastewater flows from Robson Ranch Water Reclamation Plant to the Denton wastewater collection system. Attachments: Exhibit 1 - Agenda Information Sheet Exhibit 2 - Presentation B. PUB19-049 Provide a report, hold a discussion, and give staff direction regarding the Credit and Collection Policy of the City Utility System. Attachments: Exhibit 1 - Agenda Information Sheet Exhibit 2 - Navigant Consultant Presentation Exhibit 3 - Staff Presentation C. PUB19-052 Receive a report, hold discussion and provide staff direction on the Pecan Creek Water Reclamation Plant capacity expansion feasibility assessment study. Attachments: Exhibit 1 - Agenda Information Sheet Exhibit 2 - Presentation PCWRP Capacity Upgrade Evaluations. 031819 The Public Utilities Board (PUB) will convene in a Closed Meeting to consider specific items when these items are listed below under the Closed Meeting section of this agenda. When items for consideration are not listed under the Closed Meeting section of the agenda, the PUB will not conduct a Closed Meeting and will immediately convene its open meeting. The PUB reserves the right to adjourn into a Closed Meeting on any item on its open meeting agenda consistent with Chapter 551 of the Texas Government Code, as amended, or as otherwise allowed by law. CLOSED MEETING A. PUB19-027 Deliberations Regarding Certain Public Power Utilities: Competitive Matters - Under Texas Government Code Section 551.086; Consultation with Attorneys - Under Texas Government Code Section 551.071. Discuss and deliberate on strategies and opportunities for the City to acquire natural gas for the Denton Energy Center (“DEC”); receive a presentation from staff regarding public power competitive and financial matters for the purchase of natural gas; and provide Page 1 Printed on 3/22/2019 Public Utilities Board Meeting Agenda March 25, 2019 recommendations on the purchase of natural gas under the existing Base Contract for the Purchase and Sale of Natural Gas with Enterprise Products Operating, LLC. Consultation with the City’s attorneys regarding legal issues associated with the agreements described above where discussion of these legal matters in an open meeting would conflict with the duty of the City’s attorneys to the City of Denton and the Denton City Council under the Texas Disciplinary Rules of Professional Conduct of the State Bar of Texas. B. PUB19-046 Deliberations Regarding Certain Public Power Utilities: Competitive Matters - Under Texas Government Code Section 551.086. Receive a presentation from staff regarding public power competitive and financial matters pertaining to the purchase of renewable energy; discuss and deliberate strategies and opportunities for the City to acquire renewable energy and enter into agreements regarding the same. ANY FINAL ACTION, DECISION, OR VOTE ON A MATTER DELIBERATED IN A CLOSED MEETING WILL ONLY BE TAKEN IN AN OPEN MEETING THAT IS HELD IN COMPLIANCE WITH TEXAS GOVERNMENT CODE, CHAPTER 551, EXCEPT TO THE EXTENT SUCH FINAL ACTION, DECISION, OR VOTE IS TAKEN IN THE CLOSED MEETING IN ACCORDANCE WITH THE PROVISIONS OF §551.086 OF THE TEXAS GOVERNMENT CODE (THE ‘PUBLIC POWER EXCEPTION’). THE PUBLIC UTILITIES BOARD RESERVES THE RIGHT TO ADJOURN INTO A CLOSED MEETING OR EXECUTIVE SESSION AS AUTHORIZED BY TEX. GOV’T. CODE, §551.001, ET SEQ. (THE TEXAS OPEN MEETINGS ACT) ON ANY ITEM ON ITS OPEN MEETING AGENDA OR TO RECONVENE IN A CONTINUATION OF THE CLOSED MEETING ON THE CLOSED MEETING ITEMS NOTED ABOVE, IN ACCORDANCE WITH THE TEXAS OPEN MEETINGS ACT, INCLUDING, WITHOUT LIMITATION §551.071-551.086 OF THE TEXAS OPEN MEETINGS ACT. Following the completion of the Closed Meeting, the Public Utilities Board will convene in a Regular Meeting at which the following items will be considered: REGULAR MEETING 1. CONSENT AGENDA Each of the items on the Consent Agenda is recommended by the Staff and approval thereof will be strictly on the basis of the Staff recommendations. Approval of the Consent Agenda authorizes the Assistant City Manager of Utilities, or his designee, to implement each item in accordance with the Staff recommendations. The Public Utilities Board has received background information and has had an opportunity to raise questions regarding these items prior to consideration. Listed below are bids, purchase orders, contracts, and other items to be approved for payment or other action under the Consent Agenda (Agenda Items A – J). This listing is provided on the Consent Agenda to allow Public Utilities Board Members to discuss or withdraw an item prior to approval of the Consent Agenda. If no items are pulled, Consent Agenda Items A – J below will be approved with one motion. If items are pulled for separate discussion, they may be considered as the first items following approval of the Consent Agenda. A. PUB19-019 Consider recommending adoption of an ordinance approving a Wastewater Service Agreement between the City of Denton, Petrus Investments, L.P., a Texas limited Page 2 Printed on 3/22/2019 Public Utilities Board Meeting Agenda March 25, 2019 partnership, and Hillwood Investment Land, L.P., a Texas Limited Partnership, providing for the conveyance of easements from Petrus Investment, LP, to the City of Denton for construction of the Robson Ranch Wastewater Diversion Project and providing for wastewater service to Hunter Ranch for atleast 800 single family equivalent capacity upon completion of the Robson Ranch Wastewater Diversion Project; authorizing the City Manager to execute the agreement; and providing an effective date. Attachments: Exhibit 1 - Agenda Information Sheet Exhibit 2 - Ordinance B. PUB19-020 Consider recommending adoption of an ordinance approving an agreement regarding the provision of wastewater service for Robson Ranch between the City of Denton and Robson Development, LP, A Arizona limited partnership; authorizing the City Manager to execute the agreement; and providing as effective date. Attachments: Exhibit 1 - Agenda Information Sheet Exhibit 2 - Robson Agreement Ordinance w Exhibit C. PUB19-037 Consider recommending adoption of an ordinance of the City of Denton, a Texas home-rule municipal corporation, authorizing the approval of a fourth amendment to a Professional Services Agreement between the City of Denton and Parkhill Smith & Cooper, amending the contract approved by City Council on April 5, 2016, in the not-to-exceed amount of $274,150, amended by Amendments 1-3 approved by Purchasing Staff; said fourth amendment to provide professional and engineering services in the preparation, development, and submittal of the permit application and the associated services required to secure a Permit Amendment for the City of Denton’s Municipal Solid Waste (MSW) Facility, MSW Permit# 1590B in the amount of $85,500; providing for the expenditure of funds therefor; and providing an effective date (File 6097 - providing for an additional fourth amendment expenditure amount not-to-exceed $85,500, with the total contract amount not-to-exceed $429,010). Attachments: Exhibit 1 - Agenda Information Sheet Exhibit 2a - Original Ordinance Exhibit 2b - Original Contract Exhibit 3a - Amendment 1 Exhibit 3b - Amendment 2 Exhibit 3c - Amendment 3 Exhibit 4 - Ordinance and Contract D. PUB19-038 Consider recommending adoption of an ordinance of the City of Denton, a Texas home-rule municipal corporation, authorizing the approval of a first amendment to a Professional Services Agreement between the City of Denton and Huitt-Zollars, Inc., for Professional Design Services for the McKinney Street Widening Project; amending the contract approved by City Council on October 23, 2018, in the not-to-exceed amount of $1,641,200; providing for the expenditure of funds therefor; and providing an effective date (RFQ 6590-040 - providing for an additional expenditure amount not-to-exceed $382,600, for a total contract amount not-to-exceed $2,023,800). Page 3 Printed on 3/22/2019 Public Utilities Board Meeting Agenda March 25, 2019 Attachments: Exhibit 1 - Agenda Information Sheet - PUB Exhibit 2a - Original Ordinance Exhibit 2b - Original Contract Exhibit 3 - Additional Services Letter Exhibit 4 - Map Exhibit 5 - Ordinance and Amendment E. PUB19-039 Consider recommending adoption of an ordinance of the City of Denton, a Texas home-rule municipal corporation, authorizing the approval of a first amendment to a Professional Services Agreement between the City of Denton and Teague Nall and Perkins, Inc., for Professional Engineering Services for the West Hickory Street Drainage, Paving and Sidewalks Project, amending the contract approved by City Council on October 16, 2018, in the not-to-exceed amount of $167,500; providing for the expenditure of funds therefor; and providing an effective date (RFQ 6590-043 - providing for an additional expenditure amount not-to-exceed $90,300, for a total contract amount not-to-exceed $257,800). Attachments: Exhibit 1 - Agenda Information Sheet - PUB Exhibit 2a - Original Ordinance Exhibit 2b - Original Contract Exhibit 3 - Ordinance and Amendment F. PUB19-040 Consider recommending ratification of an ordinance of the City of Denton, a Texas home-rule municipal corporation, authorizing the City Manager to execute a contract with Integrity Municipal Systems, LLC, to refurbish the bulk caustic storage tank for the chlorine scrubber system of the City of Denton’s Lake Ray Roberts Water Treatment Plant; providing for the expenditure of funds therefor; and providing an effective date (IFB 6750 - awarded to Integrity Municipal Systems, LLC, in the not-to-exceed amount of $111,400). Attachments: Exhibit 1 - Agenda Information Sheet - PUB Exhibit 2 - Bid Tabulation Exhibit 3 - Tank Inspection Report Exhibit 4 - Ordinance and Contract G. PUB19-041 Consider recommending adoption of an ordinance of the City of Denton, a Texas home-rule municipal corporation, authorizing the City Manager, or his designee, to execute a contract through the TXMAS Cooperative Purchasing Network Contract Number 17-8407 for the acquisition of footwear for the City of Denton; providing for the expenditure of funds therefor; and providing an effective date (File 6982 - awarded to Red Wing Shoes in the four (4) year not-to-exceed amount of $400,000). Attachments: Exhibit 1 - Agenda Information Sheet - PUB Exhibit 2 - Ordinance H. PUB19-042 Consider recommending ratification of an ordinance of the City of Denton, Texas, a Texas home-rule municipal corporation, authorizing the approval of a first amendment to a Page 4 Printed on 3/22/2019 Public Utilities Board Meeting Agenda March 25, 2019 contract between the City of Denton and Classic Landscapes, Inc., for Landscape and Sod Replacement Services for various City departments, amending the contract approved by City Council on June 7, 2016, in the not-to-exceed amount of $500,000; providing for the expenditure of funds therefor; and providing an effective date (File 6098 - providing for an additional expenditure amount not-to-exceed $125,000, for a total contract amount not-to-exceed $625,000). Attachments: Exhibit 1 - Agenda Information sheet - PUB Exhibit 2a - Original Ordinance Exhibit 2b - Original Contract Exhibit 3 - Ordinance and Amendment I. PUB19-048 Consider recommending adoption of an ordinance granting approval, in accordance with Chapter 26 of the Texas Parks and Wildlife Code, of the non-park use of a part of Southwest Park for the purpose of installing and maintaining water line for the Allred Water Transmission Main Project and for the maintenance of the existing water transmission line parallel to South Bonnie Brae Street; providing for a notice by the City of Denton of non-park use for installation and maintenance of water line and reservation of easement in the event of sale of park; and providing an effective date. Attachments: Exhibit 1 - Agenda Information Sheet Exhibit 2 - Ordinance Exhibit 3 - Aerial Map Exhibit 4 - Presentation J. PUB19-051 Consider recommending adoption of an ordinance of the City of Denton, a Texas home-rule municipal corporation, authorizing the City Manager to execute a Professional Services Agreement with Teague Nall and Perkins, Inc., for professional surveying services as set forth in the contract; providing for the expenditure of funds therefor; and providing an effective date (RFQ 6965- Professional Services Agreement for professional surveying services awarded to Teague Nall and Perkins, Inc., in the not-to-exceed amount of $900,000). Attachments: Exhibit 1 - Agenda Information Sheet Exhibit 2 - Evaluation Sheet Exhibit 3 - Ordinance and Contract 2. ITEMS FOR INDIVIDUAL CONSIDERATION A. PUB19-043 Consider approval of the Public Utilities Board Meeting minutes of February 25, 2019. Attachments: PUB Draft Minutes 2-25-19 B. PUB19-028 Consider recommending adoption of an Ordinance of the City of Denton authorizing the City Manager, or designee, to execute a physical gas transaction confirmation for the purchase of natural gas under the terms and conditions of base contract for the purchase and sale of natural gas with Enterprise Products Operating, LLC; providing for the expenditure of funds; and, providing for an effective date. Page 5 Printed on 3/22/2019 Public Utilities Board Meeting Agenda March 25, 2019 Attachments: Exhibit 1 - Agenda Information Sheet Exhibit 2 - Ordinance C. PUB19-044 ACM Update: 1. FY 2018-19 First Quarter Financial Report 2. Wastewater Service Agreement Update 3. Georgetown TX Power Supply Overview 4. Future Agenda Items 5. Matrix Attachments: 1. FY 2018 - 19 First Quarter Financial Report 2. Wastewater Service Agreement update 3. Georgetown Power Supply Overview 4. Future Agenda Item List 5. New Business Matrix - PUB 3. CONCLUDING ITEMS A. Under Section 551.042 of the Texas Open Meetings Act, respond to inquiries from the Public Utilities Board or the public with specific factual information or recitation of policy, or accept a proposal to place the matter on the agenda for an upcoming meeting AND Under Section 551.0415 of the Texas Open Meetings Act, provide reports about items of community interest regarding which no action will be taken, to include: expressions of thanks, congratulations, or condolence; information regarding holiday schedules; an honorary or salutary recognition of a public official, public employee, or other citizen; a reminder about an upcoming event organized or sponsored by the governing body; information regarding a social, ceremonial, or community event organized or sponsored by an entity other than the governing body that was attended or is scheduled to be attended by a member of the governing body or an official or employee of the municipality; or an announcement involving an imminent threat to the public health and safety of people in the municipality that has arisen after the posting of the agenda. CERTIFICATE I certify that the above notice of meeting was posted on the bulletin board at the City Hall of the City of Denton, Texas, on the ________day of ___________________, 2019 at ________o'clock (a.m.) (p.m.) __________________________________________ CITY SECRETARY NOTE: THE CITY OF DENTON CITY COUNCIL WORK SESSION ROOM IS HANDICAP-ACCESSIBLE IN ACCORDANCE WITH THE AMERICANS WITH DISABILITIES ACT. THE CITY WILL PROVIDE SIGN LANGUAGE INTERPRETERS FOR THE HEARING IMPAIRED IF REQUESTED AT LEAST 48 HOURS IN ADVANCE OF THE SCHEDULED MEETING. PLEASE CALL THE CITY SECRETARY'S OFFICE AT 349-8309 OR USE TELECOMMUNICATIONS DEVICES FOR THE DEAF (TDD) BY CALLING 1-800-RELAY-TX SO THAT A SIGN LANGUAGE INTERPRETER CAN BE SCHEDULED THROUGH THE CITY SECRETARY’S OFFICE. Page 6 Printed on 3/22/2019