City Council

CITY COUNCIL WORK SESSION MINUTES CITY OF ODESSA, TEXAS September 15, 2020 On September 15, 2020, a work session meeting of the Odessa City Council was held at 10:00 a.m., Odessa, Texas at the Odessa Marriott Conference Center, Devonian I and II, 305 E. 5th St., Odessa, Texas. City Council present: Mayor David R. Turner Council members: Michael Shelton, District One; Detra White, District Three; Tom Sprawls, District Four; Mari Willis, District Five; and Peggy Dean, At-Large. City Council absent: Council member Dewey Bryant, District Two. Others present: Michael Marrero, City Manager; Norma Aguilar-Grimaldo, City Secretary; Natasha Brooks, City Attorney; Cindy Muncy, Assistant City Manager; Phillip Urrutia, Assistant City Manager; and other members of City staff. A quorum being present, Mayor Turner called the meeting to order and the following proceedings were held: Mayor Turner gave the invocation. Discover Odessa’s request to roll over unused 2019-20 funds. Monica Tshrauner, Odessa Chamber, requested for $50,000 of unused funds to be rolled over into next year’s budget due to the pandemic. The funds would be used to market Odessa across the state, produce a jack rabbit jamboree brochure, and incentivize groups. Council member Dean stated that the Discover Odessa’s budget was reduced for the upcoming year. ODC and Gasket & Packings Inc. economic development agreement. Wesley Burnett, Director of Economic Development, stated that ODC approved the agreement with Gasket & Packings. The company was expanding and the focus was to retain five jobs and create five jobs. The grant was for $125,000 over five years. Bids for emergency removal of two unsafe commercial structures. Merita Sandoval, Director of Community Development, stated that the bid was for $133,495 for the removal of two unsafe structures. It would take about five to seven days for removal. The removal would provide for a safer neighborhood. Request of zoning from Future Development (FD) to Heavy Industrial (HI). Randy Brinlee, Director of Development Services, stated that the Halliburton site was for heavy industrial use. There was no residential in the area. Amend the Odessa City Code Chapter 13, Article 13-2, Division 3, Water Conservation and Drought Contingency Plan. Tom Kerr, Director of Public Works/Utilities, stated that the amended plan would provide for specific language as specified with state laws. The change referenced the pro rata of water shortage and other housekeeping items. The process was the same as it followed the state law. Motion was made by Council member Dean and seconded by Council member Willis to approve the ordinance on first approval. The motion was approved by the following vote: Council Work Session Minutes September 15, 2020 Page 2 Aye: Turner, Shelton, White, Sprawls, Willis, and Dean Nay: None Purchase public safety replacement laptops and equipment for $268,732. Mike Parrish, Director of IT, stated that due to a public safety software update, the police and fire hardware needed to be upgraded. The laptops could stay running even if the vehicles were turned off. Motion was made by Council member Shelton and seconded by Council member White to approve the purchase as recommended. The motion was approved by the following vote: Aye: Turner, Shelton, White, Sprawls, Willis, and Dean Nay: None Purchase a command trailer for the Police Department for $289,036.77. Mr. Urrutia stated that a 12-year old trailer was scheduled for replacement and the technology was aged. The trailer was used at public events and would be replaced with a larger trailer and updated technology. The trailer was used about once or twice a month under regular economic conditions. Creation of an Odessa Public Finance Corporation. Mr. Marrero stated that creating a Public Finance Corporation would allow for affordable housing by partnering with developers. The developers would provide for lower rents. The Public Finance Corporation was comprised of the City Council. The Corporation would work with the developers to identify locations for affordable housing. The costs would be by the developers. The developers would obtain a tax exemption for 99 years and the City benefitted with housing units and share in revenue that was generated. He stated that 50% of the units would be available to lower income residents. Council member Shelton commended and supported the project. Sewer, water, and solid waste rate changes. Mrs. Muncy provided an overview of the rate increases. There was a proposed 2.5% rate increase for water, sewer, and solid waste. The small incremental rate was for maintenance and repair of deteriorating lines. She reviewed the last increase of rates. Mrs. Muncy provided a comparison on the proposed rates. The water and sewer rate increase would generate $1.3 million that would assist with the $3 million in expenditures. The solid waste rate increase would generate $360,000. Council member Willis thanked the staff for the breakdown of the proposed rates. Mrs. Muncy stated that the rate increase was for all customers. Council member Dean stated that the Water and Sewer Fund was its own enterprise and funds were needed for repairs and replacement. It was reported that the water line breaks increased annually due to the age of the lines. The rate would be effective on October 1, 2020 which would be seen on the November billing. Tom Kerr, Director of Public Works/Utilities, stated that the maintenance would begin immediately as the master plan identified critical areas. Mr. Kerr reported that Distribution was fully staffed. Ordinance No. 2020-28 - Sewer Rate change. Motion was made by Council member White and seconded by Council member Sprawls to approve the ordinance on second and final approval. The motion was approved by the following vote: Aye: Turner, Shelton, White, Sprawls, Willis, and Dean Nay: None Council Work Session Minutes September 15, 2020 Page 3 Ordinance No. 2020-29 - Water rate change. Motion was made by Council member Dean and seconded by Council member Sprawls to approve the ordinance on second and final approval. The motion was approved by the following vote: Aye: Turner, Shelton, White, Sprawls, Willis, and Dean Nay: None Ordinance No. 2020-30 - Solid waste rate change. Motion was made by Council member Willis and seconded by Council member White to approve the ordinance on second and final approval. The motion was approved by the following vote: Aye: Turner, Shelton, White, Sprawls, Willis, and Dean Nay: None Ordinance No. 2020-31 - Levy the tax for the 2020 tax year Fiscal Year 2020-21. Mrs. Muncy reviewed the changes of the property tax due to change in legislation. In recent meetings, Council reviewed two proposals and opted for the no new revenue tax rate. She reviewed the certified values. The commercial property decreased due to the pandemic. There was an overall net decrease. She reviewed the exemptions which totaled 18.5% of the market value. The tax levy based on the no new revenue at 96% collection was $46,522,884. The average home taxable value increase from 2019 to 2020 was 10.39%. The proposed increased on an average home was $72.75 a year. Mrs. Muncy reviewed the exemptions. Motion was made by Council member White and seconded by Council member Sprawls to approve the ordinance on second and final approval. The motion was approved by the following vote: Aye: Turner, Shelton, White, Sprawls, Willis, and Dean Nay: None Review City’s Investment Policy and the approved brokers/dealers and financial institutions. Mrs. Muncy stated that the investment policy was required to be approved annually and it had no changes. The brokers/dealers list was the same, no change. Discuss maintenance at aquatic facilities. Steve Patton, Director of Parks and Recreation, stated that there was $212,000 in the aquatic facilities budget due to the pools being closed for the summer. He requested that repairs be made at both aquatic facilities. He provided a list of proposed improvements. The facilities were built 18 years ago. Discuss the City of Odessa Business Assistance Grant Program. Council member Dean reported that the program was for small businesses that did not get any federal funds with 20 or fewer employees. The application was simple. The grants ranged from $2,500 to $10,000. There were 90 applications received with 10 rejects. The rejected applications had received federal funding. The program was aimed at small businesses that did not receive any funding assistance and was advertised. The grants were specific to companies and not owners. She stated that $325,000 was granted. The committee wanted to grant the $175,000 that was available. She recognized the committee members. The program has been successful. The recipients have been grateful of the grants. The large percentage of recipients have been Hispanics and Vietnamese. Mayor Turner thanked the committee for their work as it was helping businesses that were hurting during this pandemic. It was vital to Council Work Session Minutes September 15, 2020 Page 4 keep people employed. Mr. Marrero thanked the committee for their time. Council member Willis stated that the funds were assisting businesses which may make a difference of closing or staying open. As authorized by the Texas Government Code, Section 551.071 (Consultation with Attorney), the City Council may adjourn into executive session to consider pending or contemplated litigation. Reconvene in open session for possible action. Motion was made by Council member Willis and seconded by Council member Shelton to go into executive session under 551.071. The motion was approved by the following vote: Aye: Turner, Shelton, White, Sprawls, Willis, and Dean Nay: None The Council reconvened and no action was taken. There was no other business, the meeting adjourned at 12:48 p.m. ATTEST: APPROVED: Norma Aguilar-Grimaldo, TRMC, CMC David R. Turner City Secretary Mayor