City Council

CITY COUNCIL MINUTES CITY OF ODESSA, TEXAS February 25, 2025 On February 25, 2025, a regular meeting of the Odessa City Council was held at 6:00 p.m. in the Council Chambers, 5th floor, City Hall, 411 W. 8th, Odessa, Texas. City Council present: Mayor Cal Hendrick; Council members: Craig Stoker, At-Large; Eddie Mitchell, District One; Steven P. Thompson, District Two; Gilbert Vasquez, District Three; Greg Connell, District Four; and Chris Hanie, District Five. Staff present: Norma Aguilar, City Secretary; Dan Jones, City Attorney; Richard Morton, Interim City Manager, and other members of City staff. A quorum being present, Mayor Hendrick called the meeting to order, and the following proceedings were held: Roll call. Ms. Aguilar conducted the roll call for the City Council. The invocation was given by Council member Hanie and followed by the Pledge of Allegiance and Texas flags. Proclamations. None. Citizen’s comments on non-agenda items. Steven Ellsworth requested to change the ordinance to allow chickens in the City with certain guidelines. He suggested no roosters, regulation with coops and a permit registration. Mayor Hendrick directed that this item be placed on the next work session. Consent Agenda 1. City Council work session minutes, February 11, 2025; 2. City Council minutes, February 11, 2025; 3. Resolution 2025R-21 - Accept and appropriate funds for $20,000 donated to Odessa Fire Rescue from the 1PointFive First Responder Donation Program; 4. Ordinance 2025-04 – Rate increase at Ratliff Ranch. Motion was made by Council member Thompson seconded by Council member Connell to approve the consent agenda items. The motion was approved by the following vote: Aye: Hendrick, Stoker, Mitchell, Thompson, Vasquez, Connell, and Hanie Nay: None Motion was made by Council member Hanie seconded by Council member Thompson to suspend the rules. The motion was approved by the following vote: Aye: Hendrick, Stoker, Mitchell, Thompson, Vasquez, Connell, and Hanie Nay: None Council Minutes February 25, 2025 Page 2 Regular Revocation of the vehicles given to Ojinaga, Mexico by the City of Odessa. Mr. Morton stated that three items were in Odessa. He requested to bring back the three items for auction. There was one vehicle by the border but has not made contact to get back. Motion was made by Council member Vasquez and seconded by Council member Thompson to approve the revocation of the vehicles as recommended. The motion was approved by the following vote: Aye: Hendrick, Stoker, Mitchell, Thompson, Vasquez, Connell, and Hanie Nay: None Allow John Herriage to research into selling vacant lots owned by the City of Odessa. Mr. Herriage requested to research in selling vacant lots for developing the city. He stated some may have reverter clause. Some land may not have surface rights or cannot be developed but could be a park. Mr. Herriage reviewed the process of appraisal, market, offers and Council consideration. Council member Connell stated it was to help neighborhoods with parks if allowable. The mineral rights would be kept by the City. Motion was made by Council member Stoker and seconded by Council member Connell to approve John Herriage to research in selling the vacant lots as recommended. The motion was approved by the following vote: Aye: Hendrick, Stoker, Mitchell, Thompson, Vasquez, Connell, and Hanie Nay: None Action for the Development Department to move forward and prepare public notification of hearings to discuss removing Mobile and HUD-Manufactured Homes as permitted uses from certain zoning districts. Jeffrey Fisher, Strategic Development and Policy Manager, provided an update on mobile and HUD manufactured homes in 10 different zoning districts. There were two options an overlay or remove from zoning. He reviewed the zoning map on each District on allowable mobile and manufactured homes. With the remove from zoning, owners would not be required to remove unless it was abandoned for six months. He stated the change would protect neighborhood character and ensure consistency. John Landgraf stated that UTPB had a campus section designated for manufactured homes for dorms. He suggested an exemption for the area. Elizabeth Shaughnessy, Director of Development Services, explained how it could be allowed for that area with a specific use permit and it would be grandfathered. Motion was made by Council member Mitchell and seconded by Council member Hanie to approve the Development Department to move forward with public notification of hearings to remove mobile and HUD-Manufactured Homes as recommended. The motion was approved by the following vote: Aye: Hendrick, Stoker, Mitchell, Thompson, Vasquez, Connell, and Hanie Nay: None Award automotive tires to Forrest Brothers. Virginia Gavaldon, Fleet Asset Coordinator, stated that the award would be for twelve months for tires from Forrest Brothers. Motion was made by Council member Thompson and seconded by Council member Stoker Council Minutes February 25, 2025 Page 3 to award Forrest Brothers the automotive tires. The motion was approved by the following vote: Aye: Hendrick, Stoker, Mitchell, Thompson, Vasquez, Connell, and Hanie Nay: None Derrington Plant improvements change order. Alex Rowlett, Interim Utilities Director, stated that a change order to install a valve was needed to replace a plug valve that was damaged. It would allow to remove the sludge that affected the water to Pioneer and the draw. The cost was $106,630. Motion was made by Council member Connell and seconded by Council member Mitchell to approve the change order for the Derrington Plant. The motion was approved by the following vote: Aye: Hendrick, Stoker, Mitchell, Thompson, Vasquez, Connell, and Hanie Nay: None Tabled - Emergency repair of a 24” aerial sewer line. Motion was made by Council member Stoker and seconded by Council member Hanie to table the emergency repair of a 24” aerial sewer line. The motion was approved by the following vote: Aye: Hendrick, Stoker, Mitchell, Thompson, Vasquez, Connell, and Hanie Nay: None Purchase of new fleet vehicles for the Street Division of Public Works Department. Joe Tucker, Director of Public Works, stated that the purchase was for a water truck and two trucks. The additional fleet was a total cost of $329,370. Motion was made by Council member Thompson and seconded by Council member Hanie to approve the purchase of new fleet vehicles for the Street Division. The motion was approved by the following vote: Aye: Hendrick, Stoker, Mitchell, Thompson, Vasquez, Connell, and Hanie Nay: None Review a presentation on HOT Fund expenditure procedures. Justin Bragiel, Texas Hotel and Lodging Association, provided an overview of the use of the Hotel Motel Tax Funds. He stated that the hotel taxes were to be collected and spent locally. It was governed by the tax code. The use of funds must meet a two part test which was every expenditure must directly promote tourism and hotel industry and the use of HOT funds. He provided examples of use including events, conference center, arts, and historical preservation. Mayor Hendrick asked about the use of building a sports facility. Mr. Bragiel explained that it could be done with legislature for authority. He stated a venue tax could be implemented with the voters. He expanded on the events and applying the room nights. He recommended a follow up report. Mr. Morton asked who determined the data validity. Mr. Bragiel stated that the Council determined the data validity. He discussed the short term rental that were subject to hotel occupancy tax, but it was a local enforcement. He stated it was a challenge to find and charge. He stated there could be an ordinance for registration. Council Minutes February 25, 2025 Page 4 Public Hearing Open a public hearing to consider a request by P Bar Ranch, LLC for an annexation of a 24.50 acre tract of land located in the southwest quarter of Section 39, Block 41, T-1- S, T&P RR Co. Survey, Ector County, Texas. (Located on the east side of N Faudree Rd., approximately 2,240-feet north of E Yukon Rd). Elizabeth Prieto, Special Projects Coordinator, stated that an annexation for P Bar Ranch for 24.50 acres to be zoned as special dwelling. The County approved a letter of intent. The Planning and Zoning Commission recommended approval. No one came forward and the public hearing was closed. Motion was made by Council member Thompson and seconded by Council member Connell to approve the ordinance on first approval. The motion was approved by the following vote: Aye: Hendrick, Stoker, Mitchell, Thompson, Vasquez, Connell, and Hanie Nay: None Open a public hearing to consider a request by Betenbough Companies, PBC, owner, for an annexation on a 11.425 acre tract of land located in Section 27 and 28, Block 42, T-1-S, T&P RRCo. Survey, Ector County, Texas. (Located southeast of the intersection of Loop 338 and Highway 385). Ms. Prieto stated that an annexation for Betenbough for 11.425 acres for light commercial. The County approved a letter of intent. The Planning and Zoning Commission recommended approval. Brad Beranger stated that it was for a convenience store. John Landgraf provided the location of the area. No one else came forward and the public hearing was closed. Motion was made by Council member Vasquez and seconded by Council member Hanie to approve the ordinance on first approval. The motion was approved by the following vote: Aye: Hendrick, Stoker, Mitchell, Thompson, Vasquez, Connell, and Hanie Nay: None Open a public hearing to consider a request by Headlee Estates, LLC and Covington Brother Properties, LLC, owners for an annexation of a 12.83 acre tract of land located in Section 5, Block 41, T-1-S, T&P RR Co. Survey, Ector County, Texas. (Located on the northeast corner of Loop 338 and E 56th St). Ms. Prieto stated that an annexation for Headlee Estates for 12.83 acres for residential retail. The County approved a letter of intent. The Planning and Zoning Commission recommended approval. The service agreement would be included. Mr. Tucker stated that the street construction was started as it was a County road. No one else came forward and the public hearing was closed. Motion was made by Council member Connell and seconded by Council member Thompson to approve the ordinance on first approval. The motion was approved by the following vote: Aye: Hendrick, Stoker, Mitchell, Thompson, Vasquez, Connell, and Hanie Nay: None Open public hearing to consider a request by P Bar Parks Bell Ranch, LLC for initial zoning of SPD, Special Dwelling District on a 24.50 acre tract located in the southwest quarter of Section 39, Block1, T-1-S, T&P RR Co. Survey, Ector County, Texas (Located on the east side of N Faudree Rd, approximately 2,240 feet north of E Yukon Council Minutes February 25, 2025 Page 5 Rd). Ms. Prieto stated that the 24.50 acres was for zoning for a special dwelling district. No one came forward and the public hearing was closed. Motion was made by Council member Hanie and seconded by Council member Thompson to approve the ordinance on first approval. The motion was approved by the following vote: Aye: Hendrick, Stoker, Mitchell, Thompson, Vasquez, Connell, and Hanie Nay: None Open a public hearing to consider a request by Betenbough Companies, PBC, owner, for initial zoning of LC, Light Commercial District on a 11.425 acre tract of land located in Section 27 and 28,Block 42, T-1-S, T&P RR Co. Survey, Ector County, Texas. (Located southeast of the intersection of Loop 338 and Hwy 385). Ms. Prieto stated that the 11.425 acre was for light commercial and would be annexed with the zone. The Planning and Zoning Commission recommended approval. No one came forward and the public hearing was closed. Motion was made by Council member Vasquez and seconded by Council member Hanie to approve the ordinance on first approval. The motion was approved by the following vote: Aye: Hendrick, Stoker, Mitchell, Thompson, Vasquez, Connell, and Hanie Nay: None Open a public hearing to consider a request by Headlee Estates, LLC and Covington Brothers Properties, LLC, owners, for an initial zoning request of R, Retail District on a 12.83 acre tract of land location in Section 5, Block 41, T-1-S, T&P RR Co. Survey, Ector County, Texas. (Located on the northeast corner of Loop 338 and E 56th St.). Ms. Prieto stated that the zoning was for 12.83 acres for retail. The Planning and Zoning Commission recommended approval. This would be zoned annexed with the zoning. No one came forward and the public hearing was closed. Motion was made by Council member Thompson and seconded by Council member Connell to approve the ordinance on first approval. The motion was approved by the following vote: Aye: Hendrick, Stoker, Mitchell, Thompson, Vasquez, Connell, and Hanie Nay: None Tabled - Open a public hearing to consider approval of the request by Edgar Rodriguez for a zone change from SF-3, Single Family-Residence District - Three, to PD, Planned Development District on Lots 1-7, Block 14, Lemrod Addition. Mrs. Shaughnessy stated that the zone change was to planned development for residential. It was recently replated with four single family residential and three duplexes. She reviewed the conditions. The Planning and Zoning Commission recommended denial as there was no site plan and not enough parking. Staff recommended having a site plan. Paul Miller wanted the site developed but for houses. He stated that there was no street parking. Norberto Brito stated that there was an abandoned well in the alley. There would be four parking spaces on the site and designed to fit the lots with zero scape. The well was properly capped off. No one else came forward and the public hearing was closed. Council Minutes February 25, 2025 Page 6 Motion was made by Council member Connell and seconded by Council member Stoker to table the item. Council member Thompson stated it would set precedence without the required site plan. Council member Thompson amended the motion and seconded by Council member Connell to table the item subject to provide the site plan and all the necessary requirements. Council member Thompson called the question. The motion was approved by the following vote: Aye: Hendrick, Stoker, Mitchell, Thompson, Vasquez, Connell, and Hanie Nay: None Open a public hearing to consider approval of the request by DJK Inc., for a zone change from FD, Future Development District, to PD-H, Planned Development District- Housing, on an 83.17 surface acre tract located in Section 11, Block 41, -2-S, T&P RR. CO. Survey, City of Odessa, Midland County, Texas. Mrs. Shaughnessy stated that the zoning would be for housing development. There would be 514 new homes with two parks. The Planning and Zoning Commission recommended approval with certain conditions. John Landgraf stated it would be a continuation of the housing development. No one else came forward and the public hearing was closed. Motion was made by Council member Thompson and seconded by Council member Connell to approve the ordinance on first approval. The motion was approved by the following vote: Aye: Hendrick, Stoker, Mitchell, Thompson, Vasquez, Connell, and Hanie Nay: None Open a public hearing to consider approval of the request by D.R. Horton-Texas, LTD., for a zone change from FD, Future Development District, to SPD, Special Dwelling District on an 8.23 acre tract located in Section 45, Block 41, T-2-S, T&P RR. CO. Survey, Odessa, Ector County, Texas. Mrs. Shaughnessy stated that the zoning would be for townhomes and housing for teachers. Kevin Kenyon was not against development but was concerned for safety and privacy of his family. With the townhomes, people could see inside his home. He recommended a privacy wall and fencing. John Landgraf stated that there would be a solid wall, single story townhomes, on street parking and a fence. Mr. Kenyon asked for the wall to be off Deer Creek Ranch Road. Discussion was held on the fencing and wall. No one else came forward and the public hearing was closed. Motion was made by Council member Hanie and seconded by Council member Mitchell to approve the ordinance on first approval. The motion was approved by the following vote: Aye: Hendrick, Stoker, Mitchell, Thompson, Vasquez, Connell, and Hanie Nay: None Resolution Resolution No. 2025R-22 – Odessa Development Corporation and Insulation Distributors Inc. performance agreement. Tracy Jones, Chamber Economic Development, stated that ODC approved a grant to Insulation Distributors, a company moving to Odessa with 40 years of business. The company would provide $1 million to renovate the facility and create four new jobs with minimum annual payroll of $500,000. The grant was for $174,432 to be paid out over five years if it met compliance. Council Minutes February 25, 2025 Page 7 Motion was made by Council member Thompson and seconded by Council member Vasquez to approve the resolution. The motion was approved by the following vote: Aye: Hendrick, Stoker, Thompson, Vasquez, Connell, and Hanie Nay None Absent from the Chamber: Mitchell Resolution No. 2025R-23 – Amend the Odessa Development Corporation bylaws. Mr. Jones reviewed the ODC bylaw changes that included removing the Downtown Grant Review Board and the Compliance Committee to review the infrastructure and façade grants. Other changes were housekeeping items. Motion was made by Council member Stoker and seconded by Council member Vasquez to approve the resolution. The motion was approved by the following vote: Aye: Hendrick, Stoker, Mitchell, Thompson, Vasquez, Connell, and Hanie Nay: None Resolution No. 2025R-24 – Accept two deeds from P-Bar Parks Bell Ranch. Mr. Morton stated that the deeds would accept 120 feet of land for dedication to build a road. Motion was made by Council member Thompson and seconded by Council member Mitchell to approve the resolution. The motion was approved by the following vote: Aye: Hendrick, Stoker, Mitchell, Thompson, Vasquez, and Connell Nay: None Absent from the Chamber: Hanie Resolution No. 2025R-25 – Deny Atmos Energy Corp. West Texas Division’s statement of intent to increase rates. Mr. Morton stated that cities reviewed the rate increase. He recommended to deny the rate increase to negotiate with Atmos. Motion was made by Council member Mitchell and seconded by Council member Connell to approve the resolution. The motion was approved by the following vote: Aye: Hendrick, Stoker, Mitchell, Thompson, Vasquez, Connell, and Hanie Nay: None Resolution No. 2025R-26 – Professional service agreement for Bob Derrington Water Reclamation Plant assessment. Mr. Rowlett recommended to dissolve the RFQ for the performance services on the upgrade to the plant. No agreement had been entered or funds spent. He recommended a professional services agreement with Carollo Engineers for $1,581,000. Motion was made by Council member Stoker and seconded by Council member Thompson to approve the resolution. The motion was approved by the following vote: Aye: Hendrick, Stoker, Mitchell, Thompson, Vasquez, Connell, and Hanie Nay: None Council Minutes February 25, 2025 Page 8 Ordinance Correct an error in Section 1-3-3 “Single-member district boundaries” of the Odessa City Code. Mr. Jones stated that this was a housekeeping item to remove a section from the Code. Motion was made by Council member Connell and seconded by Council member Vasquez to approve the ordinance on first approval. The motion was approved by the following vote: Aye: Hendrick, Stoker, Mitchell, Thompson, Vasquez, Connell, and Hanie Nay: None Renew an existing Oncor franchise agreement. Mr. Tucker stated that Oncor has a franchise agreement for the use of right-of-way. He recommended a new renewal. Council member Thompson expressed concern and frustration on the lack of responsiveness to the City needs. There was an issue with two poles needed to be moved for two years. He stated it needed to be done quickly and responsively and be held accountable. Gus Ortega, Oncor, explained the issue with the two poles as it was a complex issue that required coordination. He stated it would be done by April. Mr. Jones stated that the agreement was for 20 years. Motion was made by Council member Thompson and seconded by Council member Connell to approve the ordinance on first approval. The motion was approved by the following vote: Aye: Hendrick, Stoker, Mitchell, Thompson, Vasquez, Connell, and Hanie Nay: None Decodifying Article 1-18 “Annexations”. Mr. Morton stated that decodifying the annexation would streamline the annexation process. Staff would handle the annexations. Motion was made by Council member Stoker and seconded by Council member Vasquez to approve the ordinance on first approval. The motion was approved by the following vote: Aye: Hendrick, Stoker, Mitchell, Thompson, Vasquez, Connell, and Hanie Nay: None Miscellaneous Discuss and consider all City of Odessa commissions and board members including appointment, re-appointment, removing, or modification including the following: Board of Survey, Historic Preservation Commission, Midland Odessa Urban Transit District, Odessa Development Corporation, Parks and Recreation Advisory Board, Planning and Zoning Commission, and Zoning Board of Adjustment. Motion was made by Council member Thompson and seconded by Council member Mitchell to remove Tim Harry from the Midland Odessa Urban Transit District Board. The motion was approved by the following vote: Aye: Hendrick, Stoker, Mitchell, Thompson, Vasquez, Connell, and Hanie Nay: None Council Minutes February 25, 2025 Page 9 Motion was made by Council member Vasquez and seconded by Council member Stoker to make the following appointments: Phil George appointed to the Midland Odessa Urban Transit District Blake Neatherlin appointed to the Odessa Development Corporation The motion was approved by the following vote: Aye: Hendrick, Stoker, Mitchell, Thompson, Vasquez, Connell, and Hanie Nay: None Executive Session: As authorized by the Texas Government Code Section 551.071(2)(Consultation with Attorney), the City Council may adjourn into executive session to: On a matter in which the duty of the attorney to the governmental body under the Texas Disciplinary Rules of Professional Conduct of the State Bar of Texas clearly conflicts with this chapter pertaining to cybersecurity updates, computer network hacking, and other matters relating to information technology for the City of Odessa. As authorized by the Texas Government Code Section 551.089 (Deliberation Regarding Security Devices or Security Audits), the City Council may adjourn into executive session to discuss: (1) security assessments or deployments relating to information resources technology; (2) network security information as described by Section 2059.055(b); or (3) the deployment, or specific occasions or implementation, of security personnel, critical infrastructure, or security devices. Motion was made by Council member Stoker and seconded by Council member Hanie to go into executive session under 551.071(2) and 551.089. The motion was approved by the following vote: Aye: Hendrick, Stoker, Mitchell, Thompson, Vasquez, Connell, and Hanie Nay: None Motion was made by Council member Stoker and seconded by Council member Thompson to return from executive session. The motion was approved by the following vote: Aye: Hendrick, Stoker, Mitchell, Thompson, Vasquez, Connell, and Hanie Nay: None No action was taken in executive session. Reconvene into open session to take possible action on the executive session. Motion was made by Council member Stoker and seconded by Council member Hanie to adjourn the meeting. The motion was approved by the following vote: Aye: Hendrick, Stoker, Mitchell, Thompson, Vasquez, Connell, and Hanie Nay: None Council Minutes February 25, 2025 Page 10 The meeting adjourned at 9:22 p.m. ATTEST: APPROVED: Norma Aguilar, TRMC, CMC Benard Calvin Hendrick VII City Secretary Mayor