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1975 03 13 CC Minutes5774 MINUTES OF THE REGULAR MEETING OF THE CITY COUNCIL OF THE CITY OF BAYTOWN March 13, 1975 The City Council of the City of Baytown met in regular session, Thursday, March 13, 1975, at 6:30 P. M. in the Council Chamber of the Baytown City Hall. The following members were in attendance: Jody Lander Fred Bednarski, Charles Pool Henry Dittman Tom Walmsley Mary E. Wilbanks Tom Gentry Fritz Lanham Neel Richardson Edna Oliver Howard Northcutt Councilman Jr Councilman Councilman Councilman Councilman Councilwoman Mayor City Manager City Attorney City Clerk Assistant City Manager Mayor Gentry called the meeting to order and the invocation was offered by Mrs. Edna Oliver. Approve Minutes Councilman Pool moved approval of the minutes of the meeting held February 27, 1975, and ratification of actions taken at that meeting; Councilman Bednarski seconded the motion: Ayes: Council members Lander, Bednarski, Pool, Wilbanks, Dittman and Walmsley Mayor Gentry Nays: None City Manager's Report On March 5, the Bayshore Helping Hands sponsored a meeting in the community building to discuss transportation needs of senior citizens in the Harris County area. Several subcommittees were appointed to make various studies and report back to the major group. Mr. Lanham will make periodic reports to council on the progress of the committees. Regarding the slip lining projects, two fo the three have been completed, and Woodlawn Street is about 95% complete. Mr. Lanham commended the city personnel doing the work on Woodlawn, which was recently resurfaced. On Garth Road, the contractor should have all the roadway poured from the bridge to Baker Road next week. South of the bridge, excavation is underway on the west side of the roadway. All work is complete at the League of Women Voters Park, with the exception of asphalt topping on the tennis court and parking lot. At Jenkins - Hollaway Park, all work is complete with the exception of asphalt surfacing on the east side entrance road and the tennis courts. Three of the eight streets being improved with revenue sharing funds have been completed. The remaining streets are 65% complete. A public hearing has been called for 7:30 P. M. on March 18 regarding the subsidence legislation being sponsored by Representatives Bill Caraway and Joe Allen. Mr. Richardson introduced and read a resolution endorsing the principles of House Bill 552, and Councilman Dittman moved to adopt the resolution; Councilman Lander seconded the motion: Ayes: Council members Lander, Bednarski, Pool, Wiblanks, Dittman and Walmsley Mayor Gentry Nays: None RESOLUTION NO. 504 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BAYTOWN, TEXAS, OFFICIALLY ENDORSING HOUSE BILL NO. 552 AND URGING THE HOUSE NATURAL RESOURCES COMMITTEE TO FAVORABLY REPORT HOUSE BILL NO. 552 TO THE HOUSE OF REPRESENTATIVES OF THE STATE OF TEXAS. March 13, 1975 5775 and all of said persons were present, except the following absentees: none thus constituting a quorum. Whereupon, among other business, the following was transacted at said meeting: a written ordinance entitled: ORDINANCE AUTHORIZING ISSUANCE OF $750,000 WATERWORKS AND SANITARY SEWER SYSTEM JUNIOR LIEN REVENUE BONDS, SERIES 1975; APPROPRIATING $750,000 OF PROCEEDS OF SALE THEREOF FOR VARIOUS PROJECTS; AND CONTAINING OTHER PROVISIONS RELATING THERETO (the "Ordinance ") was duly introduced for the consideration of the City Council and reviewed in full. It was then duly moved and seconded that the Ordinance be passed; and after due discussion, the motion, carrying with it the passage of the Ordinance, prevailed and carried by the following vote: AYES: All members of the City Council shown present above voted "AYE." NOES: None The Mayor thereupon announced that the Ordinance had been duly and lawfully adopted. The Ordinance thus adopted follows: Sale of $750,000 Jr. Lien Water and Sewer Revenue Bonds One bid was received for the sale of $750,000 Junior Lien Water and Sewer Revenue Bonds, from Citizen's National Bank of Baytown. Mr. Lanham opened tte bid, which contained the following terms and conditions: RATE: 5% from 4/1/75 to 4/1/77; 9% thereafter DENOMINATION: DATED DATE: $5,000 4/1/75 MATURITY DATES: $250,000 each year 4/1/91, 4/1/92, and 4/1/93 REDEMPTION: On 30 days Notice from 4/1/75 to 4/1/77. NON- CALLABLE thereafter. DELIVERY: At any bank in Austin, Texas, within 60 days from 3/13/75. LEGAL OPINION: Subject to unqualified opinion of Messrs. Vinson, Elkins, Searls, Connally S Smith Mr. Lanahm recommended that the bid be accepted. Councilman Lander moved to accept the recommendation; Councilman Bednarski seconded the motion: Ayes: Council members Lander, Bednarski, Pool, Wilbanks. Dittman and Walmsley Mayor Gentry Nays: None THE STATEOF TEXAS X X COUNTIES OF HARRIS X Q AND CHAMBERS X sfâ–  The City Council of the City of Baytown, Texas, convened in regular meeting, open to the public, on the 13th day of March, 1975, at the City Hall, and the roll was called of the duly constituted officers and members of the City Council of the City, to -wit: Tom Gentry Mayor Charles Pool Councilman Henry Dittman Councilman Fred Bednarski Councilman Tom Walmsley Councilman Jody Lander Councilman Mary E. Wilbanks Councilwoman and all of said persons were present, except the following absentees: none thus constituting a quorum. Whereupon, among other business, the following was transacted at said meeting: a written ordinance entitled: ORDINANCE AUTHORIZING ISSUANCE OF $750,000 WATERWORKS AND SANITARY SEWER SYSTEM JUNIOR LIEN REVENUE BONDS, SERIES 1975; APPROPRIATING $750,000 OF PROCEEDS OF SALE THEREOF FOR VARIOUS PROJECTS; AND CONTAINING OTHER PROVISIONS RELATING THERETO (the "Ordinance ") was duly introduced for the consideration of the City Council and reviewed in full. It was then duly moved and seconded that the Ordinance be passed; and after due discussion, the motion, carrying with it the passage of the Ordinance, prevailed and carried by the following vote: AYES: All members of the City Council shown present above voted "AYE." NOES: None The Mayor thereupon announced that the Ordinance had been duly and lawfully adopted. The Ordinance thus adopted follows: 5776 ORDINANCE NO. 1759 ORDINANCE AUTHORIZING ISSUANCE OF $750,000 WATERWORKS AND SANITARY SEWER SYSTEM JUNIOR LIEN REVENUE BONDS, SERIES 1975; APPROPRIATING $750,000 OF PROCEEDS OF SALE THEREOF FOR VARIOUS PROJECTS; AND CONTAINING OTHER PROVISIONS RELATING THERETO THE STATE OF TEXAS COUNTIES OF HARRIS AND CHAMBERS X CITY OF BAYTOWN WHEREAS, the bonds hereinafter authorized were duly and favorable voted at an election held in the City of Baytown, Texas, (the "City), on the 17th day of March, 1970; and WHEREAS, the City Council now deems it advisable to issue, sell, and deliver $750,000 bonds as a portion and the second installment of $2,500,000 sanitary sewer system bonds voted at said election, $1,250,000 bonda having been heretofore issued, sold and delivered, the remaining $500,000 bonds to be issued later; and WHEREAS, the bond hereinafter authorized are to be issued and delivered pursuant to Vernon's Articles 1111 through 1118; THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF BAYTOWN THAT: Section 1. The City's negotiable, serial, coupon bonds to be designated CITY OF BAYTOWN, TEXAS, WATERWORKS AND SANITARY SEWER SYSTEM JUNIOR LIEN REVENUE BONDS, SERIES 1975 (hereinafter called the "Bonds "), are hereby authorized to be issued and delivered in the principal amount of $750,000 for the purpose of IMPROVING AND EXTENDING THE CITY'S SANITARY SEWER SYSTEM. Section 2. The Bonds shall be dated April 1, 1975, shall be numbered consecutively from 1 through 150, shall be in the denomination of $5,000 each, and shall mature and become due and payable serially on April 1 in each of the years, and in the amounts, respectively, as set forth in the following schedule: YEAR AMOUNT 1992 $250,000 1993 250,000 1994 250,000 '71 The Bonds may be redeemed prior to their scheduled maturities, at the option of theCity, on the dates stated and in the manner provided in the FORM OF BOND, set forth in this ordinance. 5776 -A Section 3. The Bonds shall bear interest at the rate of 5% per annum from April 1, 1975, to March 31, 1977, both inclusive, and at the rate of 9% per annum on and after April 1, 1977, evidenced by interest coupons which shall appertain to the Bonds and which shall be payable on the dates indicated in the FORM OF BOND set forth in this ordinance. Section 4. The Bonds, and the interest coupons appertaining thereto, shall be payable, shall have the characteristics, and shall be signed and executed (and the Bonds shall be sealed) all as provided, and in the manner indicated, in the FORM OF BOND set forth in this ordinance. Section 5. The form of the Bonds, including the form of registration certificate of the Comptroller of Public Accounts of the State of Texas to be printed and endorsed on each of the Bonds, and the form of the aforesaid interest coupons which shall appertain and be attached initiallly to each of the Bonds, shall be, respectively, substantially as follows: FORM OF BOND: NO. $5,000 UNITED STATES OF AMERICA STATE OF TEXAS COUNTIES OF HARRIS AND CHAMBERS CITY OF BAYTOWN, TEXAS WATERWORKS AND SANITARY SEWER SYSTEM JUNIOR LIEN REVENUE BOND SERIES 1975 ON APRIL 1, _, the CITY OF BAYTOWN (the "City "), in the Counties of Harris and Chambers, in the State of Texas, promises to pay to bearer the principal amount of FIVE THOUSAND DOLLARS and to pay interest thereof, from the date hereof to March 31, 1977, both inclusive, at the rate of 5% per annum, and on and after April 1, 1977, at the rate of 9% per annum, evidenced by interest coupons payable October 1, 1975, and semiannually thereafter on each April 1 and October 1 while this Bond is outstanding. The collection charges to the bearer, upon presentation and surrender of this Bond or peoper interest coupon at the CITIZENS NATIONAL BANK S TRUST CO., Baytown, Texas, which shall be the paying agent for this series of Bonds. principal of this Bond and theinterest coupons appertaining hereto shall be payable to bearer, in lawful money of the United States of America, without exchange or collection charges to the bearer, upon presentation and surrender of this Bond or peoper interest coupon at the CITIZENS NATIONAL BANK S TRUST CO., Baytown, Texas, which shall be the paying agent for this series of Bonds. -0 iiv D THIS BOND is one of a series of negotiable, serial, coupon Bonds, dated APRIL 1, 1975, issued in the principal amount of $750,000 for the purpose of IMPROVING AND EXTENDING THE CITY'S SANITARY SEWER SYSTEM in accordance with Articles 1111 through 1118, Vernon's Texas Civil Statutes, as amended, and the home -rule charter of the City, and pursuant to an election held within the City on the 17th day of March, 1970, and authorized pursuant to an ordinance duly adopted by the City Council of the City entitled ORDINANCE AUTHORIZING ISSUANCE OF $750,000 WATERWORKS AND SANITARY SEWER SYSTEM JUNIOR LIEN REVENUE BONDS, SERIES 1975; APPROPRIATING $750,000 OF PROCEEDS OF SALE THEREOF FOR VARIOUS PROJECTS; AND CONTAINING OTHER PROVISIONS RELATING THERETO and finally passed on the 13th day of March, 1975, this Bond being one of a series of Bonds which constitutes a portion and the second installment of $2,500,000 revenue bonds voted at the aforesaid election. AT ANY TIME FROM THEIR DATE THROUGH MARCH 31, 1977, the outstanding Bonds of this series may be redeemed prior to their scheduled maturities, at the sole option of the City, IN WHOLE OR IN PART IN INVERSE NUMERICAL ORDER, for the principal amount thereof and accrued interest thereon to the date fixed for any such redemption; and such outstanding Bonds may also be so redeemed at the sole option of the City during an additionalperiod of time (the "Additional Redemption J Period") if, in the opinion of Bond Counsel for the City, conditions (the "Precluding Conditions ") existed at any time during the period from April 1, 1975 through March 31, 1977, which would have precluded approval by the Attorney General of Texas of the City's bonds issued for the purpose of refunding this Bond or any of the series of which it is a part, the said Additional Redemption Period to extend for a period of not less than 180 -days beyond the date when in the opinion of Bond Counsel for the City, such Precluding Conditions will have ceased to exist; after the termination of such Additional Redemption FerLod the outsdanding Bonds of this series shall not be redeemable at the sole option of the City. At least thirty days prior to the date fixed for any such redemption, the City shall cause a written notice of such redemption to be mailed to the bank at which the Bonds are payable. By the date fixed for any such redemption, due provision .1 shall be made with the paying agent for the payment of the required redemption 1 price. If such written notice of redemption is mailed and if due provision for such payment is made, all as provided above, the Bonds which are to be so redeemed thereby automatically shall be redeemed prior to their scheduled maturi- ties; and they shall not be regarded as being outstanding except for the purpose of being paid by the paying agent with the funds so provided for such payment. 577 -C IT IS HEREBY certified, recited, and covenanted that this Bond has been duly and validly issued and delivered; that all acts, conditions, and things required or proper to be performed, exist, and be done precedent to or in the issuance and delivery of this Bond have been performed, existed, and been done in accordance with the law; and that the interest on and principal of this Bond and the series sewer system, subject only to the prior lien and pledge presently existing thereon in connection with other outstanding waterworks and sanitary sewer system bonds of the City, as defined and provided in the ordinance authorizing this series of Bonds. THE HOLDER hereof shall never have the right to demand payment of this obligation out of any funds raised or to be raised by taxation. IN WITNESS WHEREOF, this Bond and the interest coupons appertaining hereto have been signed with the facsimile signature of the Mayor and countersigned with the facsimile signature of the City Clerk of the City, respectively, and the official seal of the City has been duly impressed, or placed in facsimile, on this Bond. COUNTERSIGNED: xxxxxxxx Mayor r City Clerk j[ (SEAL) FORM OF REGISTRATION CERTIFICATE: COMPTROLLER'S REGISTRATION CERTIFICATE X REGISTER NO. I hereby certify that this Bond has been examined, certified as to validity , and approved by the Attorney General of the State of Texas, and that this Bond has been registered by the Comptroller of Public Accounts of the State of Texas. WITNESS MY SIGNATURE and seal this xxxxxxxxxxxxxxxxxxxx Comptroller of Public Accounts of the State of Texas (SEAL) rFORM OF INTEREST COUPON: NO. ON 1, 19 , $ the CITY OF BAYTOWN, in the Counties of Harris and Chambers, State of Texas, promises to pay to bearer the amount shown on this interest coupon, in lawful money of the United States of America, without exchange or collection charges to the bearer, unless due provision has been made for the redemption prior to maturity of the Bond to which this coupon appertains, upon presentation and surrender of this interest of which it is a part are secured by and payable from an irrevocable lien on and pladge of the Net Revenues from the operation of the City's waterworks and sanitary sewer system, subject only to the prior lien and pledge presently existing thereon in connection with other outstanding waterworks and sanitary sewer system bonds of the City, as defined and provided in the ordinance authorizing this series of Bonds. THE HOLDER hereof shall never have the right to demand payment of this obligation out of any funds raised or to be raised by taxation. IN WITNESS WHEREOF, this Bond and the interest coupons appertaining hereto have been signed with the facsimile signature of the Mayor and countersigned with the facsimile signature of the City Clerk of the City, respectively, and the official seal of the City has been duly impressed, or placed in facsimile, on this Bond. COUNTERSIGNED: xxxxxxxx Mayor r City Clerk j[ (SEAL) FORM OF REGISTRATION CERTIFICATE: COMPTROLLER'S REGISTRATION CERTIFICATE X REGISTER NO. I hereby certify that this Bond has been examined, certified as to validity , and approved by the Attorney General of the State of Texas, and that this Bond has been registered by the Comptroller of Public Accounts of the State of Texas. WITNESS MY SIGNATURE and seal this xxxxxxxxxxxxxxxxxxxx Comptroller of Public Accounts of the State of Texas (SEAL) rFORM OF INTEREST COUPON: NO. ON 1, 19 , $ the CITY OF BAYTOWN, in the Counties of Harris and Chambers, State of Texas, promises to pay to bearer the amount shown on this interest coupon, in lawful money of the United States of America, without exchange or collection charges to the bearer, unless due provision has been made for the redemption prior to maturity of the Bond to which this coupon appertains, upon presentation and surrender of this interest J771-0 coupons at the CITIZENS NATIONAL BANK & TRUST CO., Baytown, Texas, said amount being interest due that day on the Bond bearing the number hereinafter designated of that issue of CITY OF BAYTOWN, TEXAS, WATERWORKS AND SANITARY SEWER SYSTEM JUNIOR LIEN REVENUE BONDS, SERIES 1975, dated April 1, 1975. The holder hereof shall never have the right to demand payment of thisobligation out of any funds raised or to be raised by taxation. Bond No. xxxxxxxxxxxxxxxxxxx City Clerk Mayor Section 6. (a) The term "Bonds" shallmean the Bonds authorized to be issued and delivered by this ordinance. (b) The term "Additional Bonds" shall mean the additional parity revenue bonds which the City reserves the right to issue and deliver in the future, as provided by this ordinance. (c) The term "Outstanding Senior Lien Bonds" shall mean Waterworks and Sewer System Revenue Bonds, Series 1958, dated February 15, 1958, au- thorized by ordinance dated February 6, 1958 Waterworks and Sanitary Sewer System Revenue Bonds, Series 1966, dated February 15, 1966, authorized by ordinance dated Feburary 24, 1966 Waterworks and Sanitary Sewer System Revenue Bonds, Series 1967, dated May 15, 1967, autho- rized by ordinance dated May 25, 1967 Waterworks and Sanitary Sewer System Revenue Bonds, Series 1971, dated April 15, 1971, au- thorized by ordinance dated April 12, 1971 (d) The term "System" shall mean the City'e entire waterworks and sanitary sewer system, together with all future improvements, extension, enlargements, additions thereto, and replacements thereof. (3) The term "Net Revenues" shall mean all gross revenues of the System, after deducting the expenses of operation and maintenance of the System, including all salaries, labor, materials, repairs, and extensions necessary to render efficient service. provided, however, that only such repairs and extensions, as in the judgment of the,.City Council of the City, reasonably and fairly exercised by the passage of appropriate ordinances. are necessary to keep the System in operation and render adequate service to the City and the inhabitants thereof, or such as might be necessary to meet some physical accident or condition which would otherwise impair the Bonds or Additional Bonds, shall be deducted in determining "Net Revenues." Depreciation, and payments into and out of the Interest and Sinking and Reserve Funds, respectively, hereinafter created, shall 5777 -E never be considered as expenses of operation and maintenance. Section 7. The Bonds, and any Additional Bonds, and the interest thereon, are and shall be payable from and secured by an irrevocable lien on and pledge of theNet Revenues of the System subject only to the prior line and pledge presently existing thereon in connection with the Outstanding Senior Lien Bonds; and said Net Revenues are further pledged irrevocably to the establishment and maintenance of the Funds hereinafter created. Section 8. The City covenants and agrees with the holders of the Bonds and any Additional Bonds as follows: (a) That it will at all times fix, maintain, charge, and collect for services rendered by the System rates and charges which will produce gross revenues at least sufficient to pay all expenses of operation and maintenance of the System, and to provide Net Revenues adequate to pay promptly all of the principal of and interest on all of the Bonds and any Additional Bonds and to make all deposits now or hereafter required to be made into the Funds created by this ordinance in connection with the Bonds and any Additional Bonds. (b) If the System should become legally liable for any other obligations or indebtedness, the City shall fix, maintain, charge and collect additional rates and charges for services rendered by the System sufficient to establish animaintain funds for the payment thereof. Section 9. All revenues of the System shall be kept separate and apart from all other funds of the City, and the following special Funds are hereby created and shall be established and maintained in an official depository bank of the City, so long as any of the Bonds or any Additional Bonds, or interest thereon, are outstanding and unpaid. (a) City of Baytown Waterworks and Sanitary Sewer System Revenue Fund, hereinafter called the "Revenue Fund "; (b) City of Baytown Waterworks and Sanitary Sewer System Revenue Bonds Interest and Sinking Fund, hereinafter called the "Interest and Sinking Fund "; and (c) City of Baytown Waterworks and Sanitary Sewer System Revenue Bonds Reserve Fund, hereinafter called the "Reserve Fund ". Section 10. All gross revenues of every nature received from the operation and ownership of the System shall be deposited from day to day as collected into the Revenue Fund, and the reasonable, necessary, and proper expenses of operation and maintenance of the System shall be paid from the Revenue Fund. The revenues of the System not actually required to pay said expenses shall first be devoted to fulfilling all requirements as to payments of principal and interest on the jiii r Outstanding Senior Lien Bonds and to fulfilling all other covenants and obligations contained or provided therein or in the proceedings whereby the Outstanding Senior Lien Bonds were authorized; and such revenues then remaining shall be deposited-from the Revenue Fund into the other Funds hereinabove created, in the manner and amounts hereinafter provided, and each of such Funds shall have priority as to such deposits in the order in which they are treated in the following sections. Section 11. There shall be deposited into the Interest and Sinking Fund the following: (a) all accrued interest and any premium received from the sale of the Bonds; (b) such amounts, in equal monthly installments, made on or before the 10th day of each month hereinafter, as will be sufficient to pay the interest scheduled to come due on the Bonds on the next interest payment date; and (c) such amounts, in equal monthly installments, made on or before the 10th day of each month hereafter, beginning on April 10, 1991, as will be sufficient to pay the next maturing principal of the Bonds. The Interest and Sinking Fund shall be used to pay the principal of and interest on the Bonds and any Additional Bonds as such principal matures and such interest comes due. Section 12. On or before the 10th day of each month hereafter, until 60 such monthly deposits have been made, there shall be deposited into the Reserve Fund the sum of $1,615; thereafter, on or before the 10th day of each month, there shall be deposited into the Reserve Fund the Sum of $1,840 until the Reserve Fund shall contain monty and investments at least equal to the aggregate amount of $317,700 in market value. No deposits shall be required to be made into the Reserve Fund as long as the Reserve Fund contains said aggregate amount, but if and whenever said Reserve Fund is reduced below said aggregate amount, the aforesaid monthly deposits into the Reserve Fund shall be resumed and continued until such time as the Reserve Fund has been restored to said aggregate amount. The Reserve Fund shall be used to pay the principal of or interest on the Bonds and any Additional Bonds at any time when there is not sufficient money available in the Interest and Sinking Fund for such purpose. Section 13. Money in every Fund created by this ordinance may, at the option of the City, be placed in time deposits or be invested in direct obligations of the United States of America; obligations which, in the opinion of the Attorney General of the United States, are obligations of the United States and backed by its full faith and credit; all obligations guaranteed by the United States of 5777 -G America; evidences of indebtedness of the Federal Land Banks, Federal Intermediate Credit Banks, Banks for Cooperatives, Federal Home Loan Banks, or the Federal National Mortgage Association; provided that all such deposits and investments shall be made in such manner that the money required to be expended from any Fund will abe available at the proper time or times. Any obligations in which money is so invested shall be kept and held in an official depository bank of the City for the benefit of the holders of the Bonds and any Additional Bonds, and shall be promptly sold and the proceeds of sale applied to the making of all payments required to be made from the Fund from which the investment was made. Section 14. If in any month the City shall fail to deposit into any Fund mentioned in this ordinance the full amounts required, amounts equivalent to such deficiencies shall be set apart and paid into said Funds from the first available and unallocated Net Revenues of the System for the following month or months, and such payments shall be in addition to the amounts otherwise required to be paid into said Funds during such month or months. To the extent necessary, the City shall increase the rates and charges for services of the System to make up for any such deficiencies. Section 15. (a) The Net Revenues of the System, in excess of those necessary to establish and maintain the Funds as regiired in this ordinance and to fulfill the City's obligations relating to the Outstanding Senior Lien Bonds as hereinabove provided in Section 10, or as hereafter may be required in connection with the issuance of Additional Bonds, may be used for any lawful purpose. (b) Whenever the sum of the amounts in the Interest and Sinking Fund and the Reserve Fund shall be equivalent to the aggregate principal amount of all unpaid coupons thereto appertaining unmatured and matured, no further payments need be made into the Interest and Sinking Fund or the Reserve Fund, and said obligations shall not be regarded as being outstanding except for the purpose of being paid with the funds on hand. Section 16. All Funds metnioned in this ordinance shall be secured in the manner and to the fullest extent permitted or required by law for the security of public funds, and such Funds shall be used only for the purposes and in the manner permitted or required by this ordinance. Section 17. As used in the following section, the term "Net Earnings of the System" shall mean all of the Net Revenues of the System, except that in calculating Net Revenues there shall not bededucted as an expense of operation or maintenance any charge or disbursement for repairs or extensions which, under standard practice, should be charged to capital expenditures. 5777 -H Section 18. The City reserves the right to issue additional parity revenue bonds, for any lawful purpose, herein sometimes called Additional Bonds, which, when issued and delivered, shall be payable from and secured by a lien on and pledge of Net Revenues of the System, in the same manner and to the same extent as the Bonds; and the Bonds and all Additional Bonds shall in all respects be on a parity and of equal degnity, and shall be secured in;-.the same manner. subject only to the prior lien and pledge presently existing thereon in connection with the Outstanding Senior Lien Bonds. The Additional Bonds may be issued in one or more installments or series, provided, however, thatno installment or series of Additional Bonds shall be issued unless: (a) A certificate is executed by the Mayor and City Clerk of theCity to the effect that no default exists in connection with any of the covenants or requirements of the ordinance or ordinances authorizing the issuance of all then outstanding Bonds and Additional Bonds. (b) A certificate is executed by the Mayor and City Clerk of the City to the effect that the Interest and Sinking Fund and the Reserve Fund, respectively, each contains the amount then required to be on deposit therein. (c) A certificate is executed by A Certified Public Accountant to the effect that, in his opinion, the Net Earnings of theSystem for the fiscal year next preceding the passage of the ordinance authorizing the issuance of such Additional Bonds. were at least one and one -half (13) times the maximum annual principal and interest requirements for all outstanding Bonds and Additional Bonds, and the installment or series of Additional Bonds then proposed to be issued. (d) The Additional Bonds are scheduled to mature on April 1 in each of the years in which they are scheduled to mature. Section 19. All calculations of principal and interest requirements made pursuant to this ordinance shall be made as of and from the date of the bonds then proposed to be issued. Section 20. While any of the Bonds or Additional Bonds are outstanding the City covenants and agrees to maintain the System in good confition and operate the same in an efficient manner and at reasonable expense, and to m maintain insurance on the System, for the benefit of theholder or holders of 5777 -I the Bonds and Additional Bonds, of a kind and in an amount which usually would be carried by private companies engaged in a similar type of business. Nothing in this ordinance shall be construed as requiring the City to expend any funds which are derived from sources other than the System, but nothing herein shall be construed as preventing the City from doing so. Section 21. The City shall keep proper books of records and accounts, separate from all other records and accounts of the City, inwhich complete and correct entries shall be made of all transactions relating to the System, and shall have said books audited once each fiscal year by a Certified Public Accountant. The City agrees to operate the System and keep its books of records and accounts pertaining thereto on the basis of its current fiscal year; provided that the City Council may change such fiscal year by ordinance duly passed if such change is deemed necessary by the City Council. Section 22. Within ninety days after the close of each fiscal year hereafter, the City will furnish, without coast, to any holder of any outstanding Bonds or Additional Bonds who may so request, a signed or certified copy of a report by a Certified Public Accountant, covering the next preceding fiscal year, showing the following information. (a) a detailed statement of all gross revenues of the System and all expenses of operation and maintenance thereof for said fiscal year; (b) Balance sheet as of the end of said fiscal year; (c) Accountant's comment regarding the manner in which the City has compiled with the requirements of this ordinance and his recommendation, if any, for any changes or improvements in the operation of the System; (d) List of insurance policies in force at the end of said fiscal year, showing, as to each policy, the risk covered, the amount of the policy, the name of the insurer, and the expiration date; (e) The number of properties connected with the System. Section 23. Any holder or holders of any Bonds or Additional Bonds shall have the right at all reasonable times to inspect the System and all records, accountaj and data of the City relating thereto. Section 24. The City further covenants as follows: (a) That other than for the payment of the Bonds herein authorized and of the Outstanding Senior Lien Bonds, the Net Revenues of the System have not in any manner been pledged to the payment of any debt or obligation of the City or of the System. 5777 -J (b) That while any of the Bonds or Additional Bonds are outstanding, the City will not sell or encumber the System or any substantial part thereof, and that, with the exception of the Additional Bonds and the refunding bonds expressly permitted by this ordinance to be issued, it will not encumber the Net Revenues of the System, unless such encumbrance is made junior and subordinate in all respects to the Bonds and Additional Bonds and all liens and pledges in connection therewith. (c) That no free service of the System shall be allowed, and should the City or any of its agencies or instrumentalities make use of the services and facilities of the System, payment of the reasonable value thereof shall be made by the City out of the funds from sources other than the revenues and income of the System. (d) That to the extent it legally may, the City further covenants and agrees that while any of the Bonds or Additional Bonds are outstanding no franchise shall be granted for the installation or operation of any competing waterworks or sanitary sewer system; and that the City will prohibit the operation of any such competing system; and the operation of any such competing system is hereby prohibited. (e) That based upon all facts, estimates and dreumstances now known or reasonably expected to be in existence on the date the Bonds are delivered and paid for, the City reasonably expects that the proceeds of the Bonds will not be used in a manner that would cause the Bonds or any portion of the Bonds to be an "arbitrage bond" under Section 103(d)(2) of the INternal Revenue Code of 1954, as amended, and the temporary and proposed regulations heretofore prescribed thereunder, including, without limitation, Sections 1.103 -13 and 1.103 -14 of the - proposed regulations published in the Federal Register on May 3, 1973. Furthermore, all officers, employees and agents of the City are authorized and directed to provide certifications of facts, estimates and circumstances which are material to the reasonable expectations of the City as of the date the Bonds are delivered and paid for, and any such certifications may be relied upon by counsel, by the owners or holders of the Bonds, or by any person interested in the exemption of interest on the Bonds from Federal income taxation. Moreover, the City covenants that it shall make such use of the proceeds of the Bonds, and take such other and further action as may be required so that the Bonds shall not be "arbitrage bonds" under Section 103(d) of the Internal Revenue Code of 1954, as amended, and regulations prescribed from time to time thereunder. March 13, 1975 5777 -K Section 25. The Bonds shall be special obligations of the City payable solely from the pledged revenues, and the holder or holders thereof shall never have the right to demand payment thereof out of funds raised or to be raised by taxation. Section 26. The Mayor of the City is hereby authorized to have control of the Bonds and all necessary records and proceedings pertaining to the Bonds pending their delivery and their investigation, examination, and approval by the Attorney General of the State of Texas and their registration by the Comptroller of Public Accounts (or a deputy deisgnated in writing to act for the Comptroller) shall manually sign the Comptroller's Registration Certificate prescribed herein to be printed and endorsed on each of the Bonds, and the seal of the Comptroller shall be impressed, or printed; or lithographed on each of the Bonds. Section 27. The Bonds are hereby sold and shall be delivered to CITIZENS NATIONAL BANK & TRUST COMPANY., Baytown, Texas for the price of $750,000 and accrued interest thereon to date of delivery, subject to the unqualified approving opinions, as to the legality of the Bonds/ of the Attorney General of the State of Texas and of Vinson, Elkins, Searls, Connally & Smith, Houston, Texas, market attorneys. Section 28. The Mayor and all other appropriate officers of the CITY OF BAYTOWN are hereby authorized and directed to do any and all things necessary or convenient to carry out the provisions of this ordinance. Section 29. This ordinance was read once by the City Council and shall take effect immediately. Section 30. It is hereby officially found and determined that the need of the City for such financing creates an emergency and an urgent public necessity for the holding, at the scheduled time, of the meeting of the City Council at which this ordinance is adopted and for the adoption of this ordinance; and the NOTICE OF MEETING relating to said meeting and heretofore posted by the City Clerk, and the posting thereof, are hereby authorized, approved, adopted, ratified, and confirmed. PASSED AND APPROVED this 13th day of March, 1975. Mayor CITY OF BAYTOWN, TEXAS ATTEST: City Clerk CITY OF BAYTOWN, TEXAS (SEAL) :)/ 10 March 13, 1975 Public Hearing - Annexation of Certain Properties Owned by Gulf Oil Corporation At 7:00 P. M., Mayor Gentry declared the public hearin in session regarding the annexation of certain properties owned by Gulf Oil Corporation. This is in accordance with the industrial district policy adopted by council last year, whereby twenty percent of a particular industry will be annexed into the city limits of Baytown, for tax purposes. There was no one in the audience that spoke to the annexation, and following a brief discussion among council, Mayor Gentry declared the hearing closed. Mr. A. C. Gullett - Taxes on Mobile Home Mr. A. C. Gullett appeared regarding the taxes on his mobile home. He explained that he is forced to pay a mobile home permit fee as well as property taxes, and therefore felt he was being taxed twice by the city. Mr. Gullett stated that he owns the mobile home, and has lived in it on Graham Street for three years. He did receive the $4,000 tax exemption on his property taxes, however, stated that he should not be forced to pay for a trailer permit because it is his home. Councilman Lander explained that Mr. Gullett's home has not been installed and anchored according to the mobile home ordinance, and therefore, is required to pay for an annual permit. Mr. Gullett replied that he would not comply with the ordinance regarding tie -downs because his home was installed by a licensed dealer and has been anchored in twelve places. Mayor Gentry explained that the Council could not forgive any law that other citizens are required to live by. The ordinance was written for the protection of the people living in mobile homes as well as around them, and Mr. Gullett would have to meet those requirements or continue paying for an annual permit. Councilman Dittman suggested council look at the mobile home ordinance. Initiation Ordinance - West Texas Avenue Improvement Proposed Ordinance No. 50227 -4 is the initiation ordinance for the improvement.. of West Texas Avenue from the traffic circle to Airhart Drive. The plans, as reviewed by Mr. Johnny Busch, were prepared in accordance with previous discussions. Mr. Busch requested authorization to advertise for bids for a longer period of time than two weeks in an effort to enhance the competition on the project, and recommended that bids be received on April 28. The actual elevation of the bridge, because of continuing subsidence, will not actually be sixteen feet - it will be sixteen feet based on the 1971 leveling data. The portion across the Loop 201 right of way will be improved by the State Highway Department on the basis of our plans and specifications. Mr. Lanham recommended that the city continue the present policy of requiring the contractor to carry the assessment liens on non - homestead property. Councilman Bednarski moved to adopt theordinance; Councilman Walmsley seconded the motion: Ayes: Council members Lander, Bednarski, Pool, Wilbanks, Dittman & Walmsley Mayor Gentry Nays: None ORDINANCE NO. 1760 AN ORDINANCE DETERMINING THE NECESSITY FOR AND ORDERING THAT WEST TEXAS AVENUE FROM THE WEST RIGHT OF WAY LINE OF THOMAS CIRCLE TO THE EAST RIGHT OF WAY LINE OF AIRHART DRIVE, IN THE CITY OF BAYTOWN, TEXAS, SHALL BE IMPROVED; ADOPTING AND APPROVING PLANS AND SPECIFICATIONS FOR SUCH IMPROVE- MENT; DIRECTING THE CONSULTING ENGINEERS TO PREPARE AN ESTIMATE OF THE COSTS OF SUCH IMPROVEMENT AND A WRITTEN STATEMENT OF THE NAMES OF THE OWNERS OF INTEREST IN PROPERTY ABUTTING ON SAID STREET; PROVIDING THAT A PART OF THE COSTS THEREOF SHALL BE PAID BY THE CITY AND A PART OF THE COSTS THEREOF SHALL BE PAID BY AND ASSESSED AGAINST THE ABUTTING PROPERTY AND THE OWNERS THEREOF, AND FOR INCIDENTAL MATTERS; DECLARING THAT THIS ORDINANCE AND ALL FURTHER PROCEEDINGS RELATED TO SUCH IMPROVEMENTS ARE BY VIRTUE OF ARTICLE 1105b, V.A.T.S., DIRECTING THE CITY CLERK TO FILE A CERTAIN NOTICE WITH THE COUNTY CLERK AND TO ADVERTISE FOR BIDS; AND PROVIDING FOR THE EFFECTIVE DATE HEREOF. Councilman Bednarski moved authorization to receive bids on April 28 as recommended by Mr. Busch; Councilman Lander seconded the motion: Ayes: Council members Lander, Bednarski, Pool, Wilbanks,Dittman & Walmsley Mayor Gentry Nays: None March 13, 1975 5779 Consider Recommendations Regarding Water Wells A test water well was drilled on the city hall site, however, the quality of the water at this site is not within the recommended maximum limits set by the State Health Department with regard to chloride content and dissolved solid content. Because of these results, the plans and specifications for a new well are not ready at this point. Mr. Johnny Busch recommended that a new water well be drilled on the existing property that belongs to the City near the intersection of Bayway Drive and Baker Road. The well presently on this site would be abandoned because it has experienced some type of subsurface structural failure, although much of the existing equipment could be used in the new well. Mr. Busch recommended that the existing will on Park Street be reconditioned to increase its production by one million gallons per day. Although the water from this well is highly mineralized, it enters the distribution system at a point which causes it to mix with the water produced in the northwest portion of the City, giving it a mineral content below the State's recommended maximums. The third recommendation was to install surge valves on the new Decker Drive well at the Baker Road well. With those improvements, the city's water production potential should be increased to about 12 million gallons per day. It may be necessary during a long period of drought this summer, to ask citizens to curtail their use of water. With regard to a surface water supply, this new well should help carry the city through the next three or four years, until a surface water supply is obtained. Councilman Lander moved to pursue this course of action, authorizing the engineer to prepare the necessary plans and specifications; Councilman Walmaley seconded themotion: Ayes: Council members Lander, Bednarski, Pool, Wilbanks, Dittman and Walmsley Mayor Gentry Nays: None Prohibit Angle Parking - Trinity Episcopal Church on Market Street Some time ago, the Trinity Episcopal Church was given permission to have angle parking on Market Street on Sundays. In December, however, there were two accidents involving seven vehicles. As a result, the Churchlas requested action be taken to prohibit angle parking at any time. This has been reviewed by the council's traffic committee, which has recommended approval. Coundlman Dittman moved to accept the recommendation; Councilman Walmsley seconded the motion: Ayes: Council members Lander, Bednarski, Pool, Wilbanks, Dittmacand Walmaley Mayor Gentry Nays: None Designate "Stop" Intersections Proposed Ordinance No. 50313 -2 will designate "stop" intersections at the following locations in the city, which is the recommendation of the traffic committee. Polly at West Sterling Rolland at West Sterling Freamon at West Sterling - Shady Hill Drive at Rollingbrook Bramble Creek at Decker Bramble Creek at Shady Hill Drive Hill at Durain Ferry Road 4 -way stop, Schilling Avenue at North Pruett Councilwoman Wilbanks moved to accept the recommendation; Councilman Bednarski seconded the motion: Ayes: Council members Lander, Bednarski, Pool, Wilbanks, Dittman and Walmaley Mayor Gentry Nays: None The Administration was requested to look at the intersection of Richardson and Ivie Lee, to see if a stop sign is needed. There is an entrance to the Bay Plaza Shcpping Center at this intersection. S /Su March 13, 1975 ORDINANCE NO. 1761 AN ORDINANCE OF THECITY COUNCIL OF THE CITY OF BAYTOWN, TEXAS, PROVIDING FOR THE POSTING OF STOP SIGNS AT CERTAIN INTERSE(IIONS IN ACCORDANCE WITH THE PROVISIONS OF CHAPTER 18, "MOTOR VEHICLES AND TRAFFIC," SECTION 18 -117, STOP INTERSECTIONS, PRESCRIBING A MAXIMUM PENALTY OF TWO HUNDRED AND N01100 ($200.00) DOLLARS FOR THE VIOLATION THEREOF; AND PROVIDING FOR TEE PUBLICATION AND EFFECTIVE DATE HEREOF. Councilman Dittman called attention to a problem with the traffic light on Decker Drive at the Exxon offices. Mr. Lanham explained that the State Highway Deparmtent installed this light but the city has not yet accepted it. The highway department is being asked to install another control. Mayor Gentry suggested police officers direct traffic at this intersection until the light is working properly. Authorize Removal of Parking Meters Proposed Ordinance No. 50313 -4 will authorize the removal pf parking meters in the vicinity of the post office. A 15- minute parking limit will be estab lished. Councilman Dittman moved to adopt the ordinance; Councilman Lander seconded the motion; The spaces on Gaillard Street will be re- striped, and Mr. Lanham was asked to have one of the spaces eliminated in order to provide more convenient parking. Ayes: Council members Lander, Bednarski, Pool, Wilbanks, Dittman and Walmsley Mayor Gentry Nays: None ORDINANCE NO. 1763 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF BAYTOWN, TEXAS, REPEALING DIVISION 3, "PARKING METERS," OF CHAPTER 18, "MOTOR VEHICLES AND TRAFFIC," OF THE CODE OF ORDINANCES AND PROVIDING FOR THE EFFECTIVE DATE HEREOF. Establish Parking Limits Proposed Ordinance No. 50313 -3 will establish a 2 -hour parking limit on the south side of Market Street between Wisconsin and Finley Streets, and will establish a 15- minute parking limit in the vicinity of the post office. This is the recommendation of the traffic committee. Councfl.man Lander moved to adopt the ordinance; Councilman Bednarski seconded the motion: Ayes: Council members Lander, Bednarski, Pool, Wilbanks, Dittman and Walmsley Mayor Gentry Nays: None ORDINANCE NO. 1762 AN ORDINANCE AMENDING THE CODE OF ORDINANCES OF THE CITY OF BAYTOWN, TEXAS, BY THE AMENDMENT OF CHAPTER 18, "MOTOR VEHICLES AND TRAFFIC," BY AMENDING SECTION 18 -122.1 THEREOF, SO AS TO REPEAL THE PROVISIONS OF SUCH SECTION AS PRESENTLY CONSTITUTED AND TO SUBSTITUTE IN ITS PLACE THE PROVISIONS OF A NEW SECTION 18 -122 OF THE CODE OF ORDINANCES; PRESCRIBING A PENALTY; PROVIDING A REPEALING CLAUSE; CONTAINING A SAVINGS CLAUSE; AND PROVIDING FOR THE PUBLICATION AND EFFECTIVE DATE HEREOF. Revised Interim Federal Aid Urban Systems and Revised Urban Boundaries i Proposed Resolution No. 503 will accept the expansion of the urban L boundaries in the Houston urban area, and the reclassification of the Federal -Aid Metropolican System to the Federal Aid Urban System. These changes were reviewed by the steering committee and policy advisory committee of the Multimodal Transportation study group, and were approved. The highway department is asking the various cities in this area to authorize each mayor to indicate its city's accpetance of these changes. With regard to Baytown, there were no changes in the streets and thoroughfares that were included in the original study. The major change in our area was the inclusion of the ship channel in the new boundaries. March 13, 1975 5781 Councilman Bednarski moved to adopt the resolution; Councilman Lander seconded tbe- motion: Ayes: Council members Lander, Bednarski, Pool, Wilbanks, Dittman and Walmsley Mayor Gentry Nays: None RESOLUTION NO. 503 A RESOLUTION OF THE CITY OCUNCIL OF THE CITY OF BAYTOWN, TEXAS, ENDORSING THE REVISED INTERIM FEDERAL -AID URBAN SYSTEMS AND REVISED URBAN BOUNDARIES IN THE HOUSTON - GALVESTON COUNTY MAINLAND AND GALVESTON URBAN AREAS. Utility Location in Perimeter Easements Proposed Oridnance No. 50313 -5 will amend the Code of Ordinances regarding utility locations. This was recommended by the Planning Commission, and would require developers and utility companies to locate their utility lines within certain places in the easement . This was developed by Harris County and the City of Houston, working with the utility companies. Mr. Lanham concurred with the Planning Commission, and recommended approval. Councilman Pool moved to adopt the ordinance; Councilman Lander seconded the motion: Ayes: Council members Lander, Bednarski, Pool, Wilbanks, Dittmaland Walmsley Mayor Gentry Nays: None ORDINANCE NO. 1764 AN ORDINANCE AMENDING THE CODE OF ORDINANCES OF THE CITY OF BAYTOFN,TEXAS, BY THE AMENDMENT OF CHATPER 27, "SUBDIVISIONS," BY AMENDING APPENDIX B THEREOF, BY THE ADDITION OF A NEW PARAGRAPH, UTILITY LOCATION STANDARDS; REPEALING ORDINANCES INCONSISTENT HEREWITH; CONTAINING A SAVINGS CLAUSE; CONTAINING A SAVINGS CLAUSE; AND PROVIDING FOR THE EFFECTIVE DATE HEREOF. Appointments - Museum Advisory Board Five members' terms on the Museum Advisory Board have expired: Mr. Robert Kelly Mr. Leon Brown Mrs. Sibyl Jordan Mrs. Jo Ann Kelly Mrs. Dorris Sherron These people have indicated a willingness to serve another term, and Councilman Dittman moved that they be reappointed; Councilwoman Wilbanks seconded the motion: Ayes: Council members Lander, Bednarski, Pool, Wilbanks, Dittman and Walmsley Mayor Gentry Nays: None Industrial Waste Ordinance In order to comply with EPA requirements for grants, Baytown must have an ordinance establishing a system of charges for any industrial users of a sanitary sewerage system. Proposed Ordinance No. 50313 -6 will amend our Code of Ordinances, based on an ordinance prepared by the Texas Water Quality Board, and will replace our existing ordinance . Although there are no industrial users of the sewer system at the present, this ordinance is required by EPA. The ordinance also prohibits certain types of discharges into the sewer, and sets standards for others. It increases the charge for tank trucks, from the present $2 per thousand gallons, to $7.50 per thousand gallons; this will cover the actual cost for treating that discharge. Councilman Pool moved to adopt the ordinance; Councilman Bednarski seconded the motion: Ayes: Council members Lander, Bednarski, Pool, Wilbanks Dittman and Walmsley Mayor Gentry Nays: None 5782 March 13, 1975 ORDINANCE NO. 1765 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF BAYTOWN, TEXAS, REPEALING ALL ORDINANCES, OR PARTS OF ORDINANCES, OR AMENDMENTS THERETO, THAT CONFLICT WITH THE TERMS OR CONDITIONS OF THIS ORDINANCE AND ENACTING IN LIEU THEREOF A NEW ORDINANCE, REGULATING DEPOSIT OF WASTE INTO THE PUBLIC SEWERS AND REGULATING THE DISCHARGE OF INDUSTRIAL WASTES IN TO THE SANITARY SEWERS OF THE CITY OF BAYTOWN, TEXAS; ESTABLISHING A SYSTEM OF CHARGES FOR SERVICES RENDERED; REGULATING UNSEWERED AND MISCELLANEOUS DISCHARGES; PROVIDING FOR A MAXIMUM PENALTY OF TWO HUNDRED AND N01100 ($200.00) DOLLARS FOR EACH ACT OF VIOLATION AND FOR EACH DAY OF VIOLATION; CONTAINING A SAVINGS CLAUSE AND PROVIDING FOR THE PUBLICATION AND EFFECTIVE DATE HEREOF. Establish Truck Routes Proposed Ordinance No. 50313 -7 will amend the Code of Ordinances with regard to truck routes. The following routes would be deleted: Wooster -Cedar Bayou Road (from Bayway to Airhart) Bayway Drive (from Wisconsin to Airhart) State Highway 201 The following routes would be added: All of Park Street All of Garth Road Baker Road (from Decker to N. Main) All of Loop 201 Councilman Walmsley moved to adopt the ordinance; Councilman Bednarski seconded the motion: '71 Ayes: Council members Lander, Bednarski, Pool, Wilbanks, Dittman and Walmsley Mayor Gentry Nays: None ORDINANCE NO. 1766 AN ORDINANCE AMENDING THE CODE OF ORDINANCES OF THE CITY OF BAYTOWN, TEXAS, BY THE AMENDMENT OF CHAPTER 18, "MOTOR VEHICLES AND TRAFFIC," ARTICLE VII, "TRUCK ROUTES," SECTION 18 -191, CERTAIN COMMERCIAL VEHICLES RESTRICTED TO SPECIFIED TRUCK ROUTES, PRESCRIBING A MAXIMUM PENALTY OF TWO HUNDRED AND N01100 ($200.00) DOLLARS FOR THE VIOLATION THEREOF; AND PROVIDING FOR THE PUBLICATION DATE HEREOF. Award Bid - Fence for Pelly Park Two bids were received for fence material and labor for Pelly Park: HURRICANE FENCE: Material Labor SEARS: Material Labor Item I: $ 858.48 $412.50 $1,419.12 $333.75 Item II: 397.80 205.25 727.35 123.81 Item III: 1,183.25 275.00 1,866.78 137.05 Item IV: 430.40 205.25 843.20 139.30 Item V: 1,430.30 412.50 2,246.85 291.20 The low bid of Hurricane Fence is the better bid, however, there are not funds available to purchase all five items. Mr. Lanham recommended that only the first four items be purchased - both materials and labor. Item #5 is the outfield fencing, and the little league has plans to erect a temporary outfield fence. Councilman Pool moved to accept the recommendation; Councilman Bednarski seconded the motion: Ayes: Council members Lander, Bednarski, Pool, Wilbanks, Dittman & Walmsley Mayor Gentry Nays: None March 13, 1975 5783 ORDINANCE NO. 1767 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF BAYTOWN, TEXAS, ACCEPTING THE BID OF HURRICANE FENCE FOR THE PURCHASE OF MATERIALS AND LABOR TO FENCE PELLY PARK AND AUTHORIZING THE PAYMENT BY THE CITY OF THE SUM OF THREE THOUSAND NINE HUNDRED SIXTY -SEVEN AND 63/100 ($3,967. 63) DOLLARS. Award Bid - Compression and Purification Unit for Fire Department Bids were received for the purchase of a compression & purification unit for the Fire Department: AMERICAN BRISTOL INDUSTRIES: $5,617.45 M & J ASSOCIATES, INC.: $4,300.00 alternate bid: $5,300.00 The bid of M & J Associates did not meet specifications. Mr. Lanham recommended awarding the low bid of American Bristol Industries in the amount of $5,617.45. This unit is used for refilling air bottles for the breathing apparatus that firefighters use, and this item was budgeted. Councilman Pool moved to accept the recommendation; Councilman Bednarski seconded the motion: Ayes: Council members Lander, Bednarski, Pool, Wilbanks, Dittman & Walmsley Mayor Gentry Nays: None ORDINANCE NO. 1768 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF BAYTOWN, TEXAS, ACCEPTING THE BID OF AMERICAN BRISTOL INDUSTRIES, INC., FOR THE PURCHASE OF ONE COMPRESSION AND PURIFICATION UNIT FOR THE FIRE DEPARTMENT AND AUTHORIZING THE PAYMENT BY THE CITY OF THE SUMOF FIVE THOUSAND SIX HUNDRED SEVENTEEN AND 45/100 ($5,617.45) DOLLARS. Authorize Acceptance - Fire Station No. 6 The architect and representatives of the city have inspected and recommended that Fire Station No. 6 be accepted. The total amount of the contract, with change orders, is $52,548.00, and Mr. Lanham recommended approval of the ordinance authorizing final payment. Councilman Pool movedto accept the recommendation; Councilman Lander seconded the motion: Ayes: Council members Lander, Bednarski, Pool, Wilbanks, Dittman & Walmsley Mayor Gentry Nays: None ORDINANCE NO. 1769 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF BAYTOWN, TEXAS, APPROVING AND ACCEPTING CONSTRUCTION OF FIRE STATION NO. 6 BY CHATHAM AND HOLZAEPFEL; FINDING THAT THE IMPROVEMENTS ARE IN ACCORDANCE WITH THE TERMS OF THE CONTRACT; ACCEPTING THE ARCHITECT'S CERTIFICATE OF SAID CHATHAM AND HOLZAEPFEL AND PROVIDING FOR THE EFFECTIVE DATE HEREOF. Authorize Bids - Power Rescue Tool More and more, the fire department is being called upon to provide emergency rescue service in the case of auto accidents. A special type of power rescue tool is needed in order to rescue people trapped in automobiles. Although funds were not provided in the budget for this, there are some unappropriated funds in the revenue sharing accout that could be used to pay for such a tool. Mr. Lanham recommended authorization to go out for bids on this. Councilman Dittman moved to accept the recommendation; Councilman Bednarski seconded the motion: Ayes: Council members Lander, Bednarski, Pool, Wilbanks, Dittman and Walmsley Mayor Gentry Nays: None 5784 March 13, 1975 Recess - Executive Session Mayor Gentry recessed the open meeting into an executive session for discussion of pending litigation. Reconvene When the meeting reconvened, the following action was taken: With regard to Sanitary Sewer Improvement Contract No. 5, the administration recommended that the proposal of Traveler's Indemnity Company be rejected and that they be instructed to commence with the completion of Contract No. 5 and Change Order No. 1 thereto immediately, and to expressly state in this correspondence that we are not in agreement with the opinion as to the validity of Change Order No. 2. We are of the opinion that Change Order No. 2 is a valid change order, that if it is determined that Change Order No. 1 is not sufficient to complete the project, then they are to begin immediately with the construction of Change Order No. 2. With regard to any credit or waiving of liquidated damages for the overlap in time in completion of the job, we will not discuss this with them until such time as the contractor completes the project. Councilman Bednarski moved to adopt the recommendation of the administration: Councilman Pool seconded the motion: Ayes: Council members Lander, Bednarski, Pool, Wilbanks, Dittman & Walmsley Mayor Gentry Nays: None Adjourn With no further business to discuss, CouncilmanBednarski moved to adjourn the meeting. Councilman Lander seconded the motion. The motion passed unanimously. Approved: /s/ Tom Gentry Tom Gentry, Mayor Attest: Edna Oliver, City Clerk