2004 01 08 WS MinutesMINUTES OF THE WORK SESSION
OF THE CITY COUNCIL OF THE CITY OF BAYTOWN
January 8, 2004
The City Council of the City of Baytown, Texas, met in work session on January 8, 2004, at 4:50
p.m. in the Hullum Conference Room of Baytown City Hall, 2401 Market Street, Baytown,
Texas, with the following in attendance:
Ronnie Anderson
Coleman Godwin
Calvin Mundinger
Don Murray
Mercedes Renteria III
Scott Sheley
Pete C. Alfaro
Gary Jackson
Bob Leiper
Ignacio Ramirez, Sr.
Gary W. Smith
Council Member
Council Member
Council Member
Council Member
Council Member
Council Member
Mayor
City Manager
Assistant City Manager
City Attorney
City Clerk
The meeting was opened with a quorum present after which the following business was
conducted:
Discuss Bayland Island.
City Manager, Gary Jackson, reviewed the responses of potential bidders who did not bid in
response to the invitation to bid on Bayland Island. Some talked about encumbrances on the
development. Others heard about the invitation to bid too late to respond and others heard about
the invitation to bid after the bid deadline. At least one person has indicated an interest in
bidding on the restaurant at least at the minimums set out in the invitation to bid.
Mr. Jackson stated that staff recommended one more attempt to attract bids on the same terms as
previously advertised. Council has authority to alter the terms of the bid package, but changes
may affect the timeframe for advertising and receipt of bids.
Council Member Anderson stated his support for readvertising. In response to a question, Mr.
Jackson stated that the invitation to bid provides that the Council may reject any and all bids.
Council discussed the basis for the minimum bids that were part of the initial invitation to bid
and the possibility of informing potential bidders of the marina operator's willingness to
negotiate regarding the lease on the marina. The discussion included the minimum values
required for bids. Mr. Jackson explained that the City currently owes in excess of $722,000 on
the restaurant building and in excess of $180,000 on the ship store building. Mr. Jackson
explained that an election is required to sell the park land on the island and provision must be
made to discharge the general obligation debt for the marina improvements of which $2,770,000
is outstanding. The possibility of including a referendum on the sale of the park land on the May
election was discussed. The restrictions on use of the property to be included in the invitation to
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Minutes of the Work Session — January 8, 2004
bid were discussed. The consensus of Council appeared to be to use the same invitation to bid
with the inclusion of specific notice that the marina operator is willing to negotiate concerning
the marina lease. Bob Leiper, Assistant City Manager, explained that the parties expressing
interest in bidding on the restaurant have not requested a reduction in the minimum bid.
Discuss possible Charter review process and Charter amendment procedures.
Mr. Jackson stated that members of Council had expressed an interest in the process to
recommend changes to the City Charter. There are two methods. In the Charter Commission
method, the first step is to hold an election to elect members of a charter commission. The
commission proposes a new charter that is submitted to the voters in a subsequent election. The
other method allows Council to determine the issues submitted to the voters. A committee of
citizens can be appointed who make recommendations to Council. Council then decides which
proposals are submitted to the voters. The Council may, on its own, review the Charter and
submit proposed changes to the voters. Preclearance of an election on the Charter through the U.
S. Department of Justice is required.
Council discussed items that could be included in a revision of the Charter and discussed the
advantages of Council review versus the appointment of a committee to review and recommend
changes to the Charter.
Receive presentation and discuss ExxonMobil Enterprise Zone Project.
Mr. Jackson gave a brief report on the history of enterprise zones in Baytown and a description
of the recent legislative changes. Enterprise zone designation is based on census block groups
and upon approval, projects within a zone receive incentives from the State of Texas. If
establishment of a new zone will assist a company to expand and provide employment, then it
should be considered.
Warren Dold, ExxonMobil, was invited to address City Council. He described the discussions
that have occurred relating to the creation of the zone. He explained that ExxonMobil could
receive tax credits with an enterprise zone designation and asked for Council's support. The first
step is to set the public hearing to allow comments on incentives to be offered in the enterprise
zone. The second step is to hold the public hearing and to nominate ExxonMobil to the State as
an enterprise zone project. Mr. Dold described the new projects that are proposed at the
Baytown facility that will qualify as enterprise zone projects.
Mr. Jackson stated that there are no negative impacts on the City by designation of an enterprise
zone within an industrial district. In response to a question, it was noted that the policy to be
adopted for incentives would apply to any enterprise zone created by the City.
Council Members Anderson, Godwin and Murray and Mayor Alfaro each signed a conflict of
interest affidavit and filed it with the City Clerk.
A representative from Ernst & Young explained that any census block group with a poverty level
of 20% or more is an enterprise zone. A census block group with a lower poverty level can be
designated upon a showing of meeting a higher standard.
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Minutes of the Work Session — January 8, 2004
Kimberly Brooks, Assistant Director of Planning and Building Services, described existing and
Pk former enterprise zones within the City and listed the incentives that the City offers. The Ernst
& Young representative detailed the steps required for nominating a project to the State of Texas,
including calling a public hearing, providing notice of the public hearing, holding the public
hearing, adopting an enterprise zone policy, and nominating a project. The current policy could
be adopted to apply to any enterprise zone over which the City has authority.
Mayor Alfaro asked that an item be included on the January 22 work session to discuss the
proposed incentives for a project within an enterprise zone. The regular meeting on that date
will provide an item to vote on the policy.
Discuss appointments.
Baytown Industrial Development Corporation Board.
Council Member Sheley announced that he was not ready to make a nomination at the meeting.
Electrical Board.
Council Member Mundinger indicated that he would move the reappointment of the John
Rowland (Graduate Electrical Engineer), A. L. Jordan (Electrical Contractor) and Mark Stanley
(Journeyman Electrician) to the Electrical Board.
Adjourn.
There being no further business, Council Member Mundinger moved adjournment. Council
Member Anderson seconded the motion. The vote follows:
Aye: Council Members Anderson, Godwin, Mundinger, Murray, Renteria, and Sheley
Mayor Alfaro
Nay: None.
The motion carried and the meeting adjourned at 6:25 p.m.
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Gary'W. Smith
City Clerk
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