Loading...
2024 08 13 WS Minutes MINUTES OF THE SPECIAL WORK SESSION OF THE CITY COUNCIL OF THE CITY OF BAYTOWN August 13, 2024 The City Council of the City of Baytown, Texas, met in a Special Work Session on Tuesday, August 13, 2024, at 4:00 P.M. in the Fire Training Field at 7022 Bayway Drive, Baytown,Texas, with the following in attendance: Laura Alvarado Council Member Kenrick Griffith Council Member Jacob Powell Council Member Mike Lester Council Member Brandon Capetillo Mayor Jason Reynolds City Manager Scott Lemond City Attorney Angela Jackson City Clerk John Stringer Sergeant at Arms Mayor Brandon Capetillo convened the August 13, 2024 City Council Work Session with a quorum present at 4:03 P.M. All members were present with the exception of Mayor Pro Tern Sarah Graham and Council Member James Franco. 1. CITIZEN COMMENTS Mayor Brandon Capetillo announced no citizens signed up to speak. 2. DISCUSSIONS a. Discuss the City of Baytown Fiscal Year 2024-25 Proposed Budget. City Manager Jason Reynolds opened Item 2.a., for discussion regarding the City of Baytown Fiscal Year 2024-2025 Proposed Budget, solutions for the highlighted topics as listed. (Exhibit A): • Capital Improvement Projects(CIP)Funding—Council accepts the overview that 2025 will be approximately$100 million in debt from multiple funds combined. Council Member James Franco entered the City Council meeting at 4:06 P.M. Mr. Reynolds continued the power point presentation for the listed topics. He proceeded to hand the floor to each department director for further in-depth summaries. Public Works and Engineering Director Frank Simoneaux provided details regarding the utility rates and CIP requirements with the potential repair and growth required to maintain the City of Baytown. City Council Special Work Session Minutes August 13,2024 Page 2 of 2 • Utility Intent to cover Baytown Area Water Authority(BAWA)with increments in the coming years. • Utility Rates - rate increase of 6%, raising the 2,000-gallon tier, 12,000-gallon sewer cap. The City Council addresses tax rate increases and reduction for a consensus to level the rates for projected adjustments. • Tax Rate-maintaining the $0.72 or no new revenue rate. Mr. Reynolds introduced Finance Director Teresa McKenzie to discuss more in detail the Fee options for credit card transactions with the City of Baytown. Ms. McKenzie provided a detailed presentation in regards to the fee options available for consid- eration. (Exhibit B) • A 4%increase with credit card transactions to cover 90%of the cost. Council Members expressed their opinions and recommendations as related to the Fiscal Year 2024-2025 Proposed Budget. Mr. Reynolds summarized the remaining budget items as listed: • Aquatics - funding has a positive future with necessary changes, but will show as a deficit in Fiscal Year 2025 budget. • Golf Course - funding will no longer come from the General Fund, only the allocated funds for the Golf Course. Mr. Reynolds will present findings from Council's consensus at this meeting for the next City Council Meeting on August 22, 2024. 3. ADJOURN With there being no further business to discuss, Mayor Brandon Capetillo adjourned the August 13, 2024, City Council Work Session at 5:32 P.M. E tihf 7nsit Coy it. Angela Ja't on, Ci r 6l?rk /1\ „�� City of Baytown %a ` r H t H \hey•"iil�`� .u4tl Xaa; EXHIBIT "A" FY25 Utility Funds and CIP DRAFT Current Residential Rate Structure Water Sewer • Base charge = $11.15 / mo. • Base charge = $12.04 / mo. • Up to 2,000 GAL = $2.72* • Up to 2,000 GAL = $2.98* • 3,000 — 6,000 GAL = $6.79* • Over 2,000 GAL = $6.74* • Over 6,000 GAL = $9.37* Sewer billable volume=metered water consumption • Per 1,000 GAL Notes: 1. Nonresidential rates are same as 3,000—6,000 GAL tier 2.Outside city has 1.5 multiplier 3. BAWA rate to city=$3.44/1,000 GAL(existing)and$3.65/1,000 GAL(FY25 Proposed) Future variables BAYTOWN • Need a balance of cash & possible revenue bonds for funding & financing projects • Projects need to be funded to manage growth and mandated SSO-related system improvements • Lead Service Line Mandate • PFAS New Limits • • 6% Rate Increase BAYTOWN • 12,000 Gallon Residential Recommendations Sewer Cap • Other considerations to be discussed CIP • BAYTOWN FY25 Budget BAYTOWN • Only FY25 GF Debt • Fire Station #2 • No FY25 GF Cash Transfers to CIP Projects Proposed in Budget • Debt Issuances for other funds FY25 Requests by Fund Fund-CIP Categories FY25 New Funding Requests • General Fund BA} TOWN • Transportation • Facilities • $10,825,000(Debt) • Parks • Stormwater Fund • • Stormwater Drainage $10,000,000(Debt) • BAWA Fund • $3,665,000(Debt) • Water&Sewer Fund • Wastewater Collection • Wastewater Treatment • $73,049,667(Debt and Cash) • Water Distribution TOTAL FY25 REQUESTS • $97,539,667 Please Note:Final Recommendations from the CIP Committee are Pending Questions & Discussion • BAYS 8/13/2024 BAYT�A FY25 Transportation System CIP(GF) BAYTOV\ S Proposed Projects IH-10 on and Off Ramps-TxDot Payment Garth Rd Reconstruction from IH-10 to SH146 Neighborhood St Reconstruction of Lantern Park,Dolphin Harbor,and Canvasback Cay Annual Renewal of Asphalt Streets IH-10 Intersection Improvements Annual Signal Modernization Project Sidewalk Master Plan Implementation Oak Leaf St Reconstruction(grant) 1 8/13/2024 FY25 Drainage System CIP BAYTOS{ Proposed Projects San Jacinto Regional Detention Drainage West Baytown Drainage Improvements Danubina Area Drainage System Improvements South Main&Republic Drainage Improvements West Texas Avenue Drainage Improvements FY25 Wastewater Collection System CIP (W&S) Proposed Projects BAYTOW\\ Annual Sanitary Sewer Rehab Program Annual Lift Station Rehab Program Annual Sanitary Sewer Relocation and Oversizing Program Trunkline Sewer Evaluation and Rehabilitation Texas Avenue Lift Station Improvements IH-10 Lift Station Improvements Sjolander/Crosby/Cedar Bayou/Barkuloo Utilities Cedar Landing Lift Station(grant) Abbe Lift Station(grant) Staples Lift Station(grant) Dykes Lift Station(grant) IH-10 Lift Station#2 Force Main and Gravity System Improvements 3 1 8/13/2024 FY25 BAWA System CIP Nat;{14tV" Proposed Projects BAWA East Surface Water Plant Phase 2 Expansion BAWA Raw Water Rehabilitation BAWA Condition Assessment Reports and Rate Study BAWA Backwash and Decant Pump Replacement 5 8/21/2024 EXHIBIT "B" Recap of Current State Number of Transactions & Fees Recap of 2023 217,892 $424,315 Current State 2024 127,475 $643,344 (as of July 2024) Staff Recommends 2% @ $300,554 Bps PERCENTAGE EXAMPLES Based on amount purchased Processing Fee 3% Will automatically change based on amount of the transaction • $25 registration fee • $92 water bill would • Ensuring a fair fee relative to the transaction value would equal$0.50 equal$1.84 charge • Flexibility to absorb fees charge 1 8/21/2024 Other Cities 4.0% 4.00 3.8% City 3.0% 3.x1 • 2.3% Compariso __ _ 2 DO $1.25 L00 0.00 City or Houston League CRy peer park(Permits) Posodeno Mont Belvieu 2